Del Webb profit improves

Wednesday, Jan. 24, 2001 | 11:22 a.m.

SUN STAFF AND WIRE REPORTS

Del Webb Corp. of Phoenix, a big home builder in Las Vegas and Henderson, today said its second-quarter profit increased 65 percent as profit margins improved.

Del Webb said net income for the quarter ended Dec. 31 climbed to $22.6 million or $1.20 per share from $13.7 million or 73 cents in the year-ago quarter.

The earnings beat the mean estimate of analysts surveyed by Thomson Global Markets by 10 cents.

Sales, however, slipped to $489 million from $496 million as home closings declined.

Del Webb said it's comfortable with analysts' profit estimates of $4.40 per share for the fiscal year ending June 30.

Chief Executive LeRoy Hanneman had announced in December that Del Webb would beat earnings expectations in part because of declines in mortgage rates and lumber and drywall costs.

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