Toll Brothers (TOL) Q2 Earnings: Taking a Look at Key Metrics Versus Estimates

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For the quarter ended April 2025, Toll Brothers (TOL) reported revenue of $2.74 billion, down 3.5% over the same period last year. EPS came in at $3.50, compared to $3.38 in the year-ago quarter.

The reported revenue compares to the Zacks Consensus Estimate of $2.5 billion, representing a surprise of +9.54%. The company delivered an EPS surprise of +22.38%, with the consensus EPS estimate being $2.86.

While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.

Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.

Here is how Toll Brothers performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

  • Closed/Delivered - Units: 2,899 versus 2,621 estimated by five analysts on average.

  • Backlog - Units: 6,063 versus the five-analyst average estimate of 6,738.

  • Average delivered price (Total Average Price Per Unit): $933.60 versus $949.89 estimated by five analysts on average.

  • Net contracts - Units: 2,650 versus 3,046 estimated by five analysts on average.

  • Average Backlog Price: $1,128.10 versus $1,100.15 estimated by three analysts on average.

  • Number of Selling Communities: 421 versus 416 estimated by three analysts on average.

  • Backlog - Value: $6.84 billion versus $7.47 billion estimated by two analysts on average.

  • Revenues- Home Sales: $2.71 billion versus $2.49 billion estimated by six analysts on average. Compared to the year-ago quarter, this number represents a +2.3% change.

  • Revenues- Land sales: $32.60 million versus $18.21 million estimated by three analysts on average. Compared to the year-ago quarter, this number represents a -82.9% change.

  • Gross Margin- Home sales: $704.24 million versus the four-analyst average estimate of $640.39 million.

  • Gross Margin- Land sales and other: $1.20 million compared to the $0.56 million average estimate based on three analysts.

View all Key Company Metrics for Toll Brothers here>>>

Shares of Toll Brothers have returned +15.1% over the past month versus the Zacks S&P 500 composite's +13.1% change. The stock currently has a Zacks Rank #4 (Sell), indicating that it could underperform the broader market in the near term.

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