D. R. Horton (DHI) FY2025 10-K Annual Report

Filed: Nov 19, 2025
Industrials
Operative BuildersSEC EDGAR

D. R. Horton (DHI) 10-K annual report for fiscal year 2025, filed with SEC EDGAR on Nov 19, 2025. This page provides AI-powered analysis including business overview, management discussion & analysis (MD&A), risk factors, and key financial data such as revenue, net income, gross margin, operating margin, and return on equity (ROE) extracted from XBRL.

D. R. Horton FY2025 10-K Analysis

Business Overview

  • Core business: Largest U.S. homebuilder focused on constructing and selling single-family and attached homes across 126 markets in 36 states
  • Expanded rental segment with significant multi-family unit sales increase to 2,947 in 2025 from 2,202 in 2024
  • Strategic emphasis on controlling land/lots via 62% ownership of Forestar, selling 83% of Forestar’s 14,240 lots to D.R. Horton in 2025
  • Employee base grew slightly to 14,341 with 9,972 in homebuilding and 2,967 in financial services as of Sept 30, 2025
  • Notable NYSE Texas listing debut in June 2025, expanding stock market presence alongside NYSE New York listing

Management Discussion & Analysis

  • Revenue $34.3B, down 7% YoY from $36.8B; homebuilding revenue $31.5B, down 7% from $34.0B
  • Pre-tax income $4.7B, down 25% YoY from $6.3B; consolidated pre-tax margin 13.8% vs 17.1% prior year
  • Best segment North region: revenue $4.23B up 15%, pre-tax income $584M up from $498M, margin 13.8% vs 13.5%
  • Worst segment Southeast: revenue $7.0B down 21%, pre-tax income $840M down from $1.4B, margin 12.0% vs 16.2%
  • Operating cash flow $3.4B vs $2.2B prior year; homebuilding cash $2.2B down from $3.6B; no specifics on buybacks/dividends/capex
  • Management expects to maintain elevated sales incentives; risks include affordability constraints and mortgage rate changes impacting demand

Risk Factors

  • Regulatory risk: potential losses from mortgage repurchase obligations and indemnifications under representations to Fannie Mae, Freddie Mac, Ginnie Mae, and one major financial entity (71%, 27% loan sales respectively)
  • Macroeconomic risk: elevated mortgage interest rates from Federal Reserve hikes reducing home affordability and requiring pricing incentives, risking profit margins
  • Operational risk: supply chain disruptions causing shortages and price increases in lumber, drywall, cement; tariffs on steel, aluminum, lumber increasing construction costs
  • Competitive risk: reliance on mortgage loan sales to GSEs (Fannie Mae, Freddie Mac); changes or reductions in their programs could limit loan sales and tighten financing availability
  • Financial risk: $2.305B homebuilding revolver, $640M Forestar revolver, $1.05B rental revolver, and $1.4B mortgage repurchase facility subject to renewal, borrowing base and market risk

D. R. Horton FY2025 Key Financial Metrics
XBRL

Revenue

$34.3B

-6.9% YoY

Net Income

$3.6B

-24.6% YoY

Net Margin

10.5%

-246bp YoY

ROE

14.8%

-397bp YoY

Total Assets

$35.5B

-1.8% YoY

EPS (Diluted)

$11.57

-19.3% YoY

Operating Cash Flow

$3.4B

+56.2% YoY

Source: XBRL data from D. R. Horton FY2025 10-K filing on SEC EDGAR. All figures in USD.

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