Lennar

(LEN) - Get Report

lowered its 2003 earnings-per-share forecast to reflect a 10% increase in the number of shares outstanding.

The homebuilder now expects to profit $7.73 a share, down from $8.50 this year, as a result of plans to issue additional class B common shares. Lennar anticipates a higher diluted share-count of 83.6 million, compared with 76 million shares previously. The company expects these shares to begin trading April 22.

Lennar

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(LEN) - Get Report

lowered its 2003 earnings-per-share forecast to reflect a 10% increase in the number of shares outstanding.

The increased shares reflects a distribution of class B shares to existing shareholders in exchange for their waiver of certain rules governing their transfer.

The Miami-based builder had recently forecast better-than-expected profit for its fiscal 2003 and 2004, citing record backlog of about $3.5 billion and strong sales pace. Its fiscal first-quarter earnings rose 38%, helping Lennar post a profit of $106.3 million, or $1.51 per share, compared with $71.9 million, or $1.03 per share, a year earlier. But that result fell below analysts' estimates of $1.35 to $1.56, according to Thomson First Call.

At the company's annual meeting, shareholders approved the homebuilder's 2003 stock option plan, allowing Lennar to issue up to 5,000,000 additional shares of class A and B in stock options or restricted stock.

The Miami-based builder had recently forecast better-than-expected profit for its fiscal 2003 and 2004, citing record backlog of about $3.5 billion and strong sales pace. Its fiscal first-quarter earnings rose 38%, helping Lennar post a profit of $106.3 million, or $1.51 per share, compared with $71.9 million, or $1.03 per share, a year earlier. But that result fell below analysts' estimates of $1.35 to $1.56, according to Thomson First Call.