Profits for Newport Beach-based William Lyon Homes Inc. doubled in the fourth quarter on higher prices for its homes. But the number of homes sold fell in the quarter.
The homebuilder reported net income of $80 million on revenue of $708 million, which was up 56% from last year.
For all of 2004, William Lyon’s net income rose 138% to $172 million. It’s sales for the year rose 103% to $1.8 billion.
But the company saw the number of escrow closings drop 6% in the fourth quarter to 1,210 homes from a year earlier.
Orders for new homes also declined in Nevada and California.
The drop was primarily due to a lack of land to build on, according to Chief Executive William Lyon.
High prices also have been a factor, he said.
“In Southern California, beginning in late June through December 2004, we experienced some slowing in part due to significant increases in new home prices particularly for higher end products,” Lyon said in a statement.
The company also said bad weather and production delays are impacting results this year.
