KB Home opened its new Smith’s Landing community in San Jacinto, California, on February 27, 2026. The community offers large homesites and one‑ and two‑story floor plans with up to four bedrooms and three baths. A planned community park and the absence of homeowners’ association fees make the development attractive to buyers seeking a low‑maintenance lifestyle near schools.
On the same day, KB Home opened a retail‑style Design Studio in Tucson, Arizona. The showroom allows buyers to explore flooring, countertops, cabinetry, lighting, appliances, and energy‑efficient products, and each customer is paired with a personal design consultant. The studio reinforces the company’s built‑to‑order model and its commitment to personalized service.
The openings come as KB Home reports a mixed financial picture for its most recent quarter. In Q4 2025, the company posted an adjusted EPS of $1.92, beating the consensus estimate of $1.79 by $0.13, and revenue of $1.69 billion, ahead of the $1.66 billion forecast. However, the housing gross profit margin fell to 17.0% from 20.9% a year earlier, and the ending backlog declined 37% to $1.40 billion. Management expects the margin to improve in 2026 as the built‑to‑order mix rises from 57% to 70% or higher, and it projects housing revenues of $1.05 billion to $1.15 billion for Q1 2026, with a 15.4%–16% gross margin, and full‑year revenue guidance of $5.1 billion to $6.1 billion on 11,000–12,500 deliveries.
CEO Jeffrey Mezger said the company “closed our 2025 fiscal year on a positive note, meeting or exceeding nearly all our fourth quarter financial targets… we were pleased to help nearly 13,000 individuals and families achieve the dream of homeownership during the year, while maintaining our industry‑leading customer satisfaction ratings.” President and COO Rob McGibney added that the company’s cancellation rate remains stable at 18% and that the net order absorption pace is 3 per month per community, while the built‑to‑order mix is expected to rise to 70% or higher.
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