Newport Beach homebuilder William Lyon Homes Inc. on Wednesday reported a charge-driven loss of $186 million for the fourth quarter, the biggest quarterly loss its seen during the current housing downturn.
The company reported profits of $7.7 million a year earlier.
The fourth quarter’s losses surpass the $60 million loss in the third quarter, and a pre-tax loss of $78 million in the second quarter.
The builder reported a net loss of $349.4 million for all of 2007, compared to profits of $74.6 million in 2006.
The company posted revenue of $446 million in the latest quarter, a 4% drop from a year earlier.
Revenue included $75.3 million in land sales, as the homebuilder looked to bolster cash and reduce debt. Officials said they are evaluating additional sales.
Last quarter’s losses included $87.7 million from land sales, as well as $17 million in write-downs for land the homebuilder still owns.
The company, which builds in California, Arizona and Nevada, reported 359 orders for homes in the fourth quarter, down 29% from a year ago.
The average sales price of its homes was $465,100, down 5% from a year earlier.
2007 home orders, or contracts to purchase a William Lyon home, totaled 1,855, a 16% drop.
Home deliveries, or closed purchases of a home, were down 24% in 2007 from a year ago.
William Lyon Homes is managing the housing downturn as a private company, following a buyout in July 2006. It’s been consolidating a number of its operations and reducing its staff by several hundred positions to ride out the slower market.
Company officials said they weren’t predicting an improvement in current market conditions any time soon.
“In an industry where no immediate improvement of current market conditions can be reasonably predicted, we believe that we have undertaken the necessary steps to protect our financial position for the immediate future,” Chief Executive Gen. William Lyon said in a statement.
