Toll Brothers Inc (NYSE:TOL) stock fell 7.71% (As on May 22, 1:56:05 AM UTC-4, Source: Google Finance) after the company reported a robust second quarter, surpassing analyst expectations for both earnings per share (EPS) and revenue. The Company ended its FY 2024 second quarter with approximately $1.03 billion in cash and cash equivalents, compared to $1.30 billion at FYE 2023 and $754.8 million at FY 2024’s first quarter end. At FY 2024 second quarter end, the Company also had $1.7 billion available under its $1.9 billion revolving credit facility, which is scheduled to mature in February 2028. The Company ended FY 2024’s second quarter with approximately 71,800 lots owned and optioned, compared to 70,400 one quarter earlier, and 71,300 one year earlier. Approximately 52% or 37,000, of these lots were owned, of which approximately 18,500 lots, including those in backlog, were substantially improved. In the second quarter of FY 2024, the Company spent approximately $472.0 million on land to purchase approximately 3,470 lots. The Company ended FY 2024’s second quarter with 386 selling communities, compared to 377 at FY 2024’s first quarter end and 350 at FY 2023’s second quarter end. Net income was $481.6 million compared to net income of $320.2 million in FY 2023’s second quarter.

TOL in the second quarter of FY 24 has reported the adjusted earnings per share of $4.55, beating the analysts’ estimates for the adjusted earnings per share of $4.14. The company had reported the adjusted revenue growth of 6 percent to $2.65 billion in the second quarter of FY 24, beating the analysts’ estimates for revenue of $2.58 billion. Home sales revenues were $2.65 billion, up 6% compared to FY 2023’s second quarter; delivered homes were 2,641, also up 6%. Net signed contract value was $2.94 billion, up 29% compared to FY 2023’s second quarter; contracted homes were 3,041, up 30%. Backlog value was $7.38 billion at second quarter end, down 12% compared to FY 2023’s second quarter; homes in backlog were 7,093, down 6%. Home sales gross margin was 25.8%, compared to FY 2023’s second quarter home sales gross margin of 26.4%.

Additionally, the Company has announced a 10% increase in its quarterly cash dividend from $0.21 to $0.23 per share. The Company repurchased approximately 1.5 million shares at an average price of $120.60 per share for a total purchase price of approximately $181.2 million.