KB Home posts quarterly loss : US Business

NEW YORK (Reuters) - Home builder KB Home posted a quarterly loss on Friday with impairment and abandonment charges as the U.S. housing market continued its steep decline, and said it did not expect conditions to improve in the near term.

The No. 5 U.S. home builder reported a net loss of $268.2 million, or $3.47 per share, for its fiscal first quarter, ended February 29, compared with a year-earlier profit of $27.6 million, or 34 cents per share.

Revenues fell 43 percent to $794.2 million, reflecting both a smaller number of homes and lower prices, KB said. The company delivered 2,928 homes during the quarter at an average price of $248,200.

Net orders plunged 75 percent, partly reflecting a smaller number of the company's active selling communities. Its cancellation rate of 53 percent was down from 58 percent in the prior quarter.

"Until prices stabilize and consumer confidence returns, we believe inventory levels will remain significantly out of balance with demand," CEO Jeffrey Mezger said in a statement. "We do not anticipate meaningful improvement in these conditions in the near term."

(Reporting by Nick Zieminski; Editing by Steve Orlofsky and Dave Zimmerman)

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