Soft Buyer Demand Weighs on Q4 Results for PulteGroup
Originally Published by: Builder — January 29, 2026
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PulteGroup benefited from its balanced and diversified operating platform in the fiscal fourth quarter. Net new orders increased in the fourth quarter while closings in the period were essentially flat despite ongoing affordability challenges and demand weakness. 
President and CEO Ryan Marshall told investors the geographic scope of PulteGroup’s operation helped offset market weaknesses in some Texas markets while product diversification across first-time, move-up, and active-adult buyer segments helped offset weaker demand among first-time buyers in the fourth quarter and the 2025 fiscal year.
“Our 2025 financial operating results further demonstrate the value of our differentiated operating model that emphasizes diversification and balance across markets, buyer groups, and spec vs. built-to-order production,” Marshall said during the builder’s earnings call. “In a year that saw buyer demand and overall market dynamics be highly variable, our operating model helped us to generate annual revenues, margins, and earnings that rank among the highest in the 75-year history of PulteGroup.”
In the fourth quarter, home sales revenues decreased 5% to $4.45 billion compared to the prior year period. Closings decreased 3% to 7,821, while the average sales price of closings declined 1% to $573,000.
For the full fiscal year 2025, home sales revenue declined to $16.7 billion from $17.3 billion in the 2024 fiscal year. Full-year closings declined to 29,572 from 31,219 in 2024 while the average sales price of closings increased to $566,000 from $555,000 in the 2024 fiscal year.
Net new orders in the fourth quarter increased 4% from the fourth quarter of 2024 to 6,428. For the full fiscal year, net new orders decreased to 27,914 from 29,226 in 2024.
“A critical driver to PulteGroup’s results in 2025 is our highly diversified home building platform. Our buyer base in 2025 was 38% first-time, 40% move-up, and 22% active-adult,” Marshall said.
“In a year in which buyer demand was more challenged among first-time and move-up buyers, full-year signups among active-adult buyers increased 6% over last year and were up 14% in the fourth quarter of 2025 over the fourth quarter in the prior year,” Marshall explained.
In the fourth quarter, PulteGroup generated a profit of $502 million, or $2.56 per share, down from a profit of $913 million, or $4.43 per share, in the fourth quarter of 2024. For the full fiscal year, the builder reported a profit of $2.2 billion, or $11.12 per share, compared to a profit of $3.1 billion, or $14.69 per share, in the 2024 fiscal year.
“While lower interest rates and more favorable pricing dynamics have worked to improve the overall affordability of new homes relative to a year ago, lagging consumer confidence continued to weigh on home buyer demand in the quarter,” Marshall said.
In addition to its operating results, PulteGroup shared it is divesting from its offsite manufacturing operations with Innovative Construction Group, which it acquired in January 2020.
“ICG has proven to be a strong operator that can continuously deliver high-quality house shell components that have delivered many benefits to our home building platform,” Marshall said. “We have determined that our business and, in turn, our shareholders are best served by us focusing on our core home building operations. After the sale, we will be able to benefit from any innovation in offsite manufacturing achieved by the building components supplier—many of which are making significant investments in technology and innovation—while we focus on our core competencies.”