(AOF) – Toll Brothers has revised downwards its delivery forecasts for the whole of the year. The Florida-based upscale homebuilder cited labor shortages and supply chain disruptions. The company expects to deliver in its 2022 fiscal year between 10,000 and 10,300 homes at an average price of between $915,000 and $925,000. Toll Brothers previously forecast 11,000 to 11,500 homes at an average price of $890,000 to $910,000. The company reaffirmed its adjusted gross margin forecast of 27.5% for the full year.
For the fourth quarter, the company said it expects 3,250 to 3,550 units to ship with an average price per home between $935,000 and $955,000. Toll Brother also expects gross margin to improve to 29.2%.
Chief executive Douglas Yearley Jr. said demand waned in the third quarter as potential home buyers faced rising mortgage rates and home prices. However, he said the company has started to see signs of increased demand in recent weeks.
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Concern and caution
La Capeb wants to be cautious in its forecasts for the whole year. It expects business growth of between 1.5 and 2.5% in 2022 due to economic uncertainties and rising prices. For its part, the French Building Federation (FFB) is expressing its concerns about the fall in sales of new housing for 2023. It also calls for measuring the impact of the ecological and digital transition on the sector. The RE2020 standard would thus generate additional costs of 5 to 12%. She would like to see a “National Construction Council” set up, recalling that the sector created more than 8,000 jobs during the first quarter.