Hovnanian Enterprises

(HOV) - Get Report

raised its earnings forecast for the full year, but the homebuilder provided third-quarter guidance that would fall short of the consensus Wall Street estimate.

For the second quarter ended April 30, the company had earnings of $1.62 a share, compared with $1.06 a share in the same period a year ago. Total revenue was $1.2 billion, a 32% increase over last year's second quarter. Consolidated deliveries in the second quarter were 3,748 homes.

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Contract backlog at the end of the quarter, including unconsolidated joint ventures, was 10,986 homes with a sales value of $3.9 billion. The company expects fiscal 2005 earnings to exceed $7 a share, an increase of 15 cents over its previous projection. In fiscal 2004, Hovnanian earned $5.35 a share.

The company projected third-quarter EPS of $1.70, vs. last year's $1.33.

According to Thomson First Call, analysts were expecting a profit of $1.61 a share for the second quarter. The consensus estimates are $1.80 a share for the third quarter and $6.94 for the year.

Shares of Hovnanian were down $2.55, or 4%, to $59.55 in after-hours trading Tuesday.