Newport Beach-based William Lyon Homes Inc. posted a $4.5 million loss in the second quarter, a reversal from the $39.4 million in profits the homebuilder reported a year earlier.
The loss came amid improvement in revenue and closed sales for the homebuilder.
William Lyon saw operating revenue rise 12% to $86.7 million for the quarter. Much of that gain was due to $17.2 million in land sales that the company made in the quarter.
Home sales revenue increased 2% to $68.7 million for the quarter. William Lyon reported 233 new home deliveries in the quarter, up 15% from a year ago.
The company signed contracts for 192 homes in the quarter, compared to 269 a year ago. William Lyon Homes builds in California, Arizona and Nevada.
William Lyon officials said the company saw indicators of stabilization in many of its markets during the quarter, including sales absorption rates, decreasing sales incentives and increasing base pricing.
The average sales price of a home closed in the quarter was $295,000, down 12% from year-ago prices of $333,700.
The cost of land at the company’s projects appears to well above prices seen a year ago. William Lyon reported operating costs of $15.6 million for land and lots it built on in the quarter, compared to just $2.3 million a year ago.
