Toll Brothers Inc. (TOL), the largest U.S. luxury-home builder, reported higher income than expected as it booked a deferred tax asset and home sales and orders increased.
Net income was $411.4 million, or $2.35 a share, in the three months ended Oct. 31, compared with $15 million, or 9 cents, a year earlier, Horsham, Pennsylvania-based Toll said today in a statement. The results included a net benefit of $350.7 million from adding the tax asset to its balance sheet. Net contracts jumped 70 percent
“This was an exceptional earnings release, driven by orders, which will propel the earnings next year,” Stephen East, an analyst at International Strategy & Investment Group in Saint Charles, Missouri, wrote in a note to clients.