Toll Brothers Inc. (TOL, Financial) filed Annual Report for the period ended 2009-10-31.
TOLL BROTHERS INC. designs, builds, markets and arranges financing for single-family detached and attached homes in middle and high income residential communities in thirteen staes and five regions around the country. The communities are generally located on land Co. has developed, although, due to the poor economic conditions during the early 1990's, Co. has been able to acquire a number of fully approved parcels and often improved subdivisions. Toll Brothers Inc. has a market cap of $2.97 billion; its shares were traded at around $18.38 with and P/S ratio of 1.7.
At October 31, 2009, we were offering attached homes in 62 communities at prices, excluding customized options, lot premiums and sales incentives, generally ranging from $180,000 to $840,000, with some units offered at prices higher than $840,000. During fiscal 2009, we delivered 1,306 attached homes at an average base price of approximately $508,700. On average, our attached home buyers added approximately 8.8%, or $44,600 per home, in customized options and lot premiums to the base price of attached homes we delivered in fiscal 2009. At October 31, 2009, we were offering sales incentives that averaged approximately 11.8% of the sales price of our attached homes.
We had a backlog of $874.8 million (1,531 homes) at October 31, 2009 and $1.33 billion (2,046 homes) at October 31, 2008. Of the homes in backlog at October 31, 2009, approximately 94% are scheduled to be delivered by October 31, 2010.
In all of our communities, a wide selection of options is available to home buyers for additional charges. The number and complexity of options typically increase with the size and base selling price of our homes. Major options include additional garages, guest suites and other additional rooms, finished lofts and extra fireplaces. On average, options purchased by our detached home buyers, including lot premiums, added approximately 26.0%, or $163,000 per home, to the base price of homes delivered in fiscal 2009, and options purchased by our attached home buyers, including lot premiums, added approximately 8.8%, or $44,600 per home, to the base price of homes delivered in fiscal 2009.
Contracts for the sale of homes are at fixed prices. In the past, the prices at which homes were offered in a community generally increased during the period in which that community was offering homes for sale; however, the current weak market has adversely affected that pattern. In fiscal 2009, the average sales incentive on homes delivered was approximately $93,200, as compared to approximately $70,200 in fiscal 2008, and $34,100 in fiscal 2007. At October 31, 2009, we were offering sales incentives that averaged $70,300 per home, as compared to $61,000 at October 31, 2008, and $46,400 at October 31, 2007.
Read the The complete ReportTOL is in the portfolios of John Keeley of Keeley Fund Management, Arnold Van Den Berg of Century Management, John Buckingham of Al Frank Asset Management, Inc., Ron Baron of Baron Funds, Paul Tudor Jones of The Tudor Group, Chuck Royce of ROYCE & ASSOCIATES, Jeremy Grantham of GMO LLC.
TOLL BROTHERS INC. designs, builds, markets and arranges financing for single-family detached and attached homes in middle and high income residential communities in thirteen staes and five regions around the country. The communities are generally located on land Co. has developed, although, due to the poor economic conditions during the early 1990's, Co. has been able to acquire a number of fully approved parcels and often improved subdivisions. Toll Brothers Inc. has a market cap of $2.97 billion; its shares were traded at around $18.38 with and P/S ratio of 1.7.
Highlight of Business Operations:
At October 31, 2009, we were offering single-family detached homes in 138 communities at prices, excluding customized options, lot premiums and sales incentives, generally ranging from $235,000 to $1,911,000. During fiscal 2009, we delivered 1,659 single-family detached homes at an average base price of approximately $626,300. On average, our single-family detached home buyers added approximately 26.0%, or $163,000 per home, in customized options and lot premiums to the base price of single-family detached homes we delivered in fiscal 2009. At October 31, 2009, we were offering sales incentives that averaged approximately 10.9% of the sales price of our single-family detached homes.At October 31, 2009, we were offering attached homes in 62 communities at prices, excluding customized options, lot premiums and sales incentives, generally ranging from $180,000 to $840,000, with some units offered at prices higher than $840,000. During fiscal 2009, we delivered 1,306 attached homes at an average base price of approximately $508,700. On average, our attached home buyers added approximately 8.8%, or $44,600 per home, in customized options and lot premiums to the base price of attached homes we delivered in fiscal 2009. At October 31, 2009, we were offering sales incentives that averaged approximately 11.8% of the sales price of our attached homes.
We had a backlog of $874.8 million (1,531 homes) at October 31, 2009 and $1.33 billion (2,046 homes) at October 31, 2008. Of the homes in backlog at October 31, 2009, approximately 94% are scheduled to be delivered by October 31, 2010.
In all of our communities, a wide selection of options is available to home buyers for additional charges. The number and complexity of options typically increase with the size and base selling price of our homes. Major options include additional garages, guest suites and other additional rooms, finished lofts and extra fireplaces. On average, options purchased by our detached home buyers, including lot premiums, added approximately 26.0%, or $163,000 per home, to the base price of homes delivered in fiscal 2009, and options purchased by our attached home buyers, including lot premiums, added approximately 8.8%, or $44,600 per home, to the base price of homes delivered in fiscal 2009.
Contracts for the sale of homes are at fixed prices. In the past, the prices at which homes were offered in a community generally increased during the period in which that community was offering homes for sale; however, the current weak market has adversely affected that pattern. In fiscal 2009, the average sales incentive on homes delivered was approximately $93,200, as compared to approximately $70,200 in fiscal 2008, and $34,100 in fiscal 2007. At October 31, 2009, we were offering sales incentives that averaged $70,300 per home, as compared to $61,000 at October 31, 2008, and $46,400 at October 31, 2007.
Read the The complete ReportTOL is in the portfolios of John Keeley of Keeley Fund Management, Arnold Van Den Berg of Century Management, John Buckingham of Al Frank Asset Management, Inc., Ron Baron of Baron Funds, Paul Tudor Jones of The Tudor Group, Chuck Royce of ROYCE & ASSOCIATES, Jeremy Grantham of GMO LLC.
