JPMorgan has released its recent Brazilian Homebuilders summary report for 3Q 2011 (thanks to HousingMarketBR). Highlights below…
“All large cap HBs and some others, have reported 3Q11 launches and sales. Overall, results were in line with expectations with 3Q sales growing 17% yoy on average, similar to the previous quarter but better than the +9% in 1Q. Launches continue to increase at a faster pace than sales representing 1.2x sales this quarter vs 1.1x in 1H. In order to meet the mid point of full year guidance on launches, we will need to see a yoy growth of 33% in 4Q on average (+26% in 9M11). In general, PDG and Rossi had the best results, while Cyrela and MRV reported the highest acceleration on presales growth of 41% and 22% respectively. The sector is trading at 6.1x forward earnings and at 1.2x BV.
– Aggregated sales speed continue to decrease
– Lower concentration of launches in 4Q vs 4Q10
– Sector growing at a slower pace”
And this picture below sums it all:
Full report can be downloaded below.