Luxury homebuilder Toll Brothers Inc said on Tuesday it expects fourth quarter net contracts to be up about 42 percent, as the housing market shows some signs of stabilization and its shares rose 3.3 percent in after-hours trading.
Toll Brothers said preliminary results for the quarter ended October 31 showed fourth quarter net contracts likely rose 42 percent to 765 units, or 62 percent to $430.8 million.
It expects total consolidated homebuilding revenue of about $486.6 million, down from $691.1 million a year earlier.
Analysts, on average, expected revenues of $386.2 million, according to Thomson Reuters I/B/E/S.
Toll Brothers' shares rose 3.3 percent to $19 after the bell from their close of $18.39 on the New York Stock Exchange.
(Reporting by Aarthi Sivaraman; editing by Andre Grenon)