NVR, Inc. (NYSE:NVR) reported third-quarter earnings on Wednesday that came in ahead of analyst forecasts, even as the company continues to face headwinds in the housing market.
The homebuilder posted earnings of $112.33 per diluted share, topping the analyst consensus of $109.36. Revenue reached $2.56 billion, slightly above the $2.55 billion estimate.
However, the results also highlighted a notable year-over-year decline. Net income fell 20% to $342.7 million from $429.3 million in Q3 2024, while revenue dropped 4% from $2.68 billion.
New orders decreased 16% to 4,735 units compared with 5,650 units a year earlier, and the cancellation rate rose to 19% from 15%. Settlements declined 5% to 5,639 units. The backlog of sold but not settled homes fell 19% in unit terms to 9,165 and 17% in dollar value to $4.39 billion.
Gross profit margin narrowed to 21.0% from 23.4% in the same quarter last year, pressured by higher land costs, affordability challenges that led to pricing pressure, and approximately $18.9 million in contract land deposit impairments.
For the first nine months of 2025, NVR reported total revenue of $7.61 billion, down 1% year over year, while net income slid 20% to $976.0 million.