William Lyon Homes Inc. said Thursday that first-quarter profit soared 57% as the Newport Beach-based home builder benefited from a sharp increase in new-home prices that offset a decline in sales.
William Lyon, which sells homes in Arizona, California and Nevada, reported net income of $4.9 million, or 49 cents a share, for the three months ended March 31. That compares with net income of $3.1 million, or 29 cents a share, a year earlier.
Quarterly revenue fell slightly on a year-over-year basis to $139.8 million.
The company said sales fell primarily because it had fewer developments with available homes. Net new-home orders declined 19% to 757 homes.
The home builder’s average selling price rose, however. In California, the average sales price jumped 32% to $545,800. The average price in Arizona increased 21.5% to $229,500, and the average in Nevada rose 8.7% to $276,500.
The company reported its results after financial markets closed. In regular trading Thursday, shares of William Lyon rose 30 cents to $29.80 on the New York Stock Exchange.