So much for the Spring selling season

D.R. Horton reports 40% drop in quarterly orders

By Steve Goldstein

Last Update: 7:08 AM ET Jul 10, 2007

LONDON (MarketWatch) -- D.R. Horton Inc. (DHI) reported that orders for the third quarter ending June 30 dropped 40% to 8,559 homes, or down 47% to $2 billion by value. The cancellation rate at the Fort Worth, Tex.-based builder was 38%.

"Market conditions for new home sales declined in our June quarter as inventory levels of both new and existing homes remained high, and we expect the housing environment to remain challenging," said Chairman Donald R. Horton in a statement. It expects a profit before impairments, but a loss after including those impairments, during the June quarter.