Capital Pacific Profit Declines Despite 38% Revenue Growth

Newport Beach-based home builder Capital Pacific Holdings Inc. said its profit for the fiscal second quarter fell to $575,000, or 4 cents a share, from $1.4 million, or 10 cents a share, a year ago. Revenue of the quarter ended Aug. 31 advanced 38% to $63.7 million from $46.1 million.

The company said the decline in net income was primarily a result of its strategy to move away from lower-margin, low-end products to high-end multimillion-dollar estate homes.