D.R. Horton, the largest homebuilder in the United States, reported its fiscal third-quarter 2025 earnings with earnings per share (EPS) of $3.36, surpassing analyst estimates of approximately $2.90 to $2.92. The company posted revenue of $9.23 billion, beating expectations of around $8.76 billion to $8.8 billion, though this represented a 7% decline year-over-year. Net income declined 24% year-over-year to $1.0 billion, while pre-tax profit totaled $1.4 billion with a margin of 14.7%. Home sales revenue reached $8.6 billion on 23,160 homes sold. The homebuilding margin contracted to 13.8% from 17% a year earlier, but the cancellation rate improved, falling to 17%. D.R. Horton’s backlog stood at 14,100 homes. The company declared a quarterly dividend of $0.40 per share. For the full fiscal year 2025, D.R. Horton provided guidance for revenue between $33.7 billion and $34.2 billion, slightly below previous estimates, and expects to close between 85,000 and 85,500 homes. The company also plans share repurchases in the range of $4.2 billion to $4.4 billion. Despite declining home prices and margin compression, the company noted that sales incentives are expected to remain elevated. Following the earnings release, D.R. Horton’s stock rose significantly, with gains reported between 6.7% and 14% in pre-market and after-hours trading.