D.R. Horton posts profit for first time since 2007

A rush of first-time homebuyers taking advantage of federal tax credits enabled D.R. Horton Inc. to earn its first profit in more than two years.

The Fort Worth-based homebuilder earned $192 million in the quarter ended in December thanks to increased sales and a one-time tax benefit.The company said Tuesday that its new home sales orders for the final three months of 2009 rose by 45 percent from the same period a year earlier. And total completed sales were up by more than a third.

Horton’s jump in home sales and overall 17.1 percent profit margin was due in part to Horton’s ability to purchase building lots at attractive prices in the last year, CEO Donald Tomnitz said in a conference call with investors and analysts.

Tomnitz said the company this year has “a great opportunity to build on what we have started,” and expects to be profitable in the quarters ahead.

Horton’s average sales price was up 3 percent in the most recent quarter, with almost 66 percent of its houses going to first-time buyers.

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