Toll Brothers Q3 Results Beat Estimates; CEO Says Market Environment Challenging

When Toll Brothers reported its third-quarter results after Tuesday's close, the market got a glimpse into the high end of the housing market.

Here's a look at the key data for the quarter.

TOL stock is moving. Check out the price action here.

Toll Brothers Q3 Details

Toll Brothers reported quarterly earnings of $2.97 per share, beating the analyst consensus estimate of $2.91 by 2.06%.

Quarterly revenue came in at $2.66 billion, surpassing Wall Street expectations of $2.61 billion but falling short of the $2.95 billion reported in the same period last year.

Toll Brothers reported the following third-quarter highlights:

Home sales revenue was $2.65 billion, compared to $2.88 billion in the third quarter; home deliveries were 2,662 units, compared to 2,959 units in the third quarter of fiscal 2025.

Net signed contract value was $2.52 billion, compared to $2.41 billion in the third quarter; signed homes were 2,508 units, compared to 2,388 units.

Backlog value stood at $6.24 billion at the end of the third quarter, compared to $6.38 billion at the end of the third quarter of fiscal 2025; homes in backlog were 5,312 units, compared to 5,492 units.

Adjusted home sales gross margin was 25.6%, compared to an adjusted home sales gross margin of 27.5% in the third quarter of fiscal 2025.

CEO Karl Mistry said: "Toll Brothers delivered solid third-quarter results in a challenging market. We exceeded the midpoint of our guidance, achieving $2.65 billion in home sales revenue, delivering 2,662 homes at an average price of $996,400."

TOL Stock Price Action: According to data, Toll Brothers shares fell 1.31% to $140.99 in Tuesday's after-hours trading.