On Wednesday, Jan. 24, homebuilder Ryland (NYSE:RYL) released fourth-quarter 2006 earnings for the period ended Dec. 31, 2006.

  • Revenues fell 11% to $1.4 billion in the quarter.
  • Earnings per share fell 40% to $1.98 per share, down from $3.32 per share last year.
  • Closings were down nearly 16%, while new orders were off 44% from the year-ago period.
  • Ryland has a one-star rating at Motley Fool CAPS.

(Figures in millions, except per-share data)

Income Statement Highlights

Avg. Est.

Q4 2006

Q4 2005

Change

Sales

$1,140

$1,355

$1,530

(11.4%)

Net Profit

--

$87

$162

(46.2%)

EPS

$1.84

$1.98

$3.32

(40.3%)

Diluted Shares

--

44

49

(9.8%)



Get back to basics with a look at the income statement.

Margin Checkup

Q4 2006

Q4 2005

Change*

Gross Margin

19.93%

27.03%

(7.10)

Operating Margin

10.29%

17.07%

(6.78)

Net Margin

6.44%

10.59%

(4.15)

*Expressed in percentage points.

Margins are the earnings engine. See how they work.

Balance Sheet Highlights

Assets

Q4 2006

Q4 2005

Change

Cash + ST Invest.

$215

$461

(53.3%)

Inventory

$2,771

$2,580

7.4%



Liabilities

Q4 2006

Q4 2005

Change

Accounts Payable

$187

$250

(25.1%)

Long-Term Debt

$950

$922

3.04%



Learn the ways of the balance sheet.

Cash Flow Highlights
There was no cash flow statement provided in the press release. Bad form, guys!

Find out why Fools always follow the money.

Related Companies:

  • Beazer Homes (NYSE:BZH)
  • Centex (NYSE:CTX)
  • DR Horton
  • Hovnanian Lennar (NYSE:LEN)
  • MDC Holdings (NYSE:MDC)

Related Foolishness:

MDC Holdings is a recommendation of Motley Fool Hidden Gems. See why the top small-cap investing service thinks this homebuilder is still a winner with a 30-day guest pass.

Fool by Numbers is designed to give you the raw earnings information in a timely fashion, putting all the numbers you need in one easy-to-read place. But at The Motley Fool, we believe numbers tell only part of the story, so check Fool.com for more of our in-depth discussion of what the numbers mean.

At the time of publication, Fool contributor Rich Duprey had no positions in any of the companies mentioned in the article. Fool rules are here.