RESTON, Va., Oct. 20, 2015 /PRNewswire/ -- NVR, Inc. (NYSE: NVR), one of the nation's largest homebuilding and mortgage banking companies, announced net income for its third quarter ended September 30, 2015 of $116,470,000, or $27.11 per diluted share. Net income and diluted earnings per share for the third quarter ended September 30, 2015 increased 29% and 31%, respectively, when compared to the 2014 third quarter. Consolidated revenues for the third quarter of 2015 totaled $1,402,351,000, a 17% increase from $1,203,166,000 for the comparable 2014 quarter.

For the nine months ended September 30, 2015, consolidated revenues were $3,603,733,000, 16% higher than the $3,116,530,000 reported for the same period of 2014. Net income for the nine months ended September 30, 2015 was $248,923,000, an increase of 37% when compared to the nine months ended September 30, 2014. Diluted earnings per share for the nine months ended September 30, 2015 was $58.32, an increase of 44% from $40.59 per diluted share for the comparable period of 2014.

Homebuilding
New orders in the third quarter of 2015 increased 11% to 3,258 units, when compared to 2,936 units in the third quarter of 2014. The average sales price of new orders in the third quarter of 2015 was $378,900, an increase of 1% when compared with the third quarter of 2014. Settlements increased in the third quarter of 2015 to 3,607 units, 11% higher than the third quarter of 2014. The Company's backlog of homes sold but not settled as of September 30, 2015 increased 15% on both a unit and dollar basis to 7,139 units and $2,716,947,000 when compared to September 30, 2014.

Homebuilding revenues for the three months ended September 30, 2015 totaled $1,374,467,000, 16% higher than the year earlier period. Gross profit margin was 19.1% in the 2015 third quarter, which was flat when compared to the same period in 2014. Income before tax from the homebuilding segment totaled $168,874,000 in the third quarter of 2015, an increase of 24% when compared to the third quarter of 2014.

Mortgage Banking
Mortgage closed loan production of $951,872,000 for the three months ended September 30, 2015 increased by 19% when compared to the three months ended September 30, 2014. Operating income for the mortgage banking operations during the third quarter of 2015 was $16,122,000, compared to $7,280,000 reported for the third quarter of 2014. Operating income was favorably impacted by improved leveraging of general and administrative expenses.

About NVR
NVR, Inc. operates in two business segments: homebuilding and mortgage banking. The homebuilding unit sells and builds homes under the Ryan Homes, NVHomes, Fox Ridge Homes and Heartland Homes trade names, and operates in twenty-eight metropolitan areas in fourteen states and Washington, D.C. For more information about NVR, Inc. and its brands, see www.nvrinc.com, www.ryanhomes.com, www.nvhomes.com, www.foxridgehomes.com and www.heartlandluxuryhomes.com.

Some of the statements in this release made by the Company constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Certain, but not necessarily all, of such forward-looking statements can be identified by the use of forward-looking terminology, such as "believes," "expects," "may," "will," "should" or "anticipates" or the negative thereof or other comparable terminology. All statements other than of historical facts are forward-looking statements. Forward-looking statements contained in this document may include those regarding market trends, NVR's financial position, business strategy, the outcome of pending litigation, investigations or similar contingencies, projected plans and objectives of management for future operations. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause the actual results or performance of NVR to be materially different from future results, performance or achievements expressed or implied by the forward-looking statements. Such risk factors include, but are not limited to the following: general economic and business conditions (on both a national and regional level); interest rate changes; access to suitable financing by NVR and NVR's customers; increased regulation in the mortgage banking industry; the ability of our mortgage banking subsidiary to sell loans it originates into the secondary market; competition; the availability and cost of land and other raw materials used by NVR in its homebuilding operations; shortages of labor; weather related slow-downs; building moratoriums; governmental regulation; fluctuation and volatility of stock and other financial markets; mortgage financing availability; and other factors over which NVR has little or no control. NVR undertakes no obligation to update such forward-looking statements except as required by law.

NVR, Inc. Consolidated Statements of Income (in thousands, except per share data) (Unaudited)

	Three Months Ended September 30,				Nine Months Ended September 30,
	2015		2014		2015		2014
*Homebuilding:*
Revenues	$	1,374,467	$	1,185,160	$	3,537,116	$	3,068,427
Other income		643		905		2,490		2,354
Cost of sales		(1,111,672)		(960,055)		(2,880,194)		(2,497,985)
Selling, general and administrative		(88,664)		(83,881)		(279,207)		(268,096)
Operating income		174,774		142,129		380,205		304,700
Interest expense		(5,900)		(5,618)		(17,499)		(16,895)
Homebuilding income		168,874		136,511		362,706		287,805

*Mortgage Banking:*
Mortgage banking fees		27,884		18,006		66,617		48,103
Interest income		1,972		1,373		4,353		3,382
Other income		363		240		711		493
General and administrative		(13,916)		(12,182)		(37,888)		(37,064)
Interest expense		(181)		(157)		(456)		(397)
Mortgage banking income		16,122		7,280		33,337		14,517

*Income before taxes*		184,996		143,791		396,043		302,322
Income tax expense		(68,526)		(53,639)		(147,120)		(120,143)

*Net income*	$	116,470	$	90,152	$	248,923	$	182,179

*Basic earnings per share*	$	28.75	$	21.49	$	61.34	$	42.01

*Diluted earnings per share*	$	27.11	$	20.70	$	58.32	$	40.59

*Basic weighted average shares outstanding*		4,050		4,196		4,058		4,336

*Diluted weighted average shares outstanding*		4,296		4,354		4,268		4,489

NVR, Inc. Consolidated Balance Sheets (in thousands, except share and per share data)

	September 30, 2015		December 31, 2014
	(Unaudited)
ASSETS

*Homebuilding:*
Cash and cash equivalents	$	375,886	$	514,780
Receivables		9,850		10,021
Inventory:
Lots and housing units, covered under
sales agreements with customers		987,933		690,955
Unsold lots and housing units		110,589		131,938
Land under development		53,203		33,689
Building materials and other		9,730		12,904
		1,161,455		869,486

Assets related to consolidated variable interest entity		1,799		3,590
Contract land deposits, net		318,588		294,676
Property, plant and equipment, net		44,911		46,242
Reorganization value in excess of amounts
allocable to identifiable assets, net		41,580		41,580
Goodwill and finite-lived intangible assets, net		4,327		5,364
Other assets		305,918		302,280
		2,264,314		2,088,019

*Mortgage Banking:*
Cash and cash equivalents		10,407		30,158
Mortgage loans held for sale, net		260,074		205,664
Property and equipment, net		5,502		6,189
Reorganization value in excess of amounts
allocable to identifiable assets, net		7,347		7,347
Other assets		23,038		13,958
		306,368		263,316

Total assets	$	2,570,682	$	2,351,335



LIABILITIES AND SHAREHOLDERS' EQUITY

*Homebuilding:*
Accounts payable	$	260,941	$	204,622
Accrued expenses and other liabilities		301,594		289,058
Liabilities related to consolidated variable interest entity		1,619		1,618
Non-recourse debt related to consolidated
variable interest entity		—		64
Customer deposits		132,072		106,755
Senior notes		599,237		599,166
		1,295,463		1,201,283

*Mortgage Banking:*
Accounts payable and other liabilities		34,729		25,797
		34,729		25,797

Total liabilities		1,330,192		1,227,080

*Commitments and contingencies*

*Shareholders' equity:*
Common stock, $0.01 par value; 60,000,000 shares
authorized; 20,555,330 shares issued as of
both September 30, 2015 and December 31, 2014	206		206
Additional paid-in capital		1,420,214		1,325,495
Deferred compensation trust – 108,614 shares of
NVR, Inc. common stock as of both
September 30, 2015 and December 31, 2014		(17,333)		(17,333)
Deferred compensation liability		17,333		17,333
Retained earnings		5,136,110		4,887,187
Less treasury stock at cost – 16,573,224 and
16,506,229 shares at September 30, 2015 and
December 31, 2014, respectively		(5,316,040)		(5,088,633)
Total shareholders' equity		1,240,490		1,124,255
Total liabilities and shareholders' equity	$	2,570,682	$	2,351,335

NVR, Inc. Operating Activity (dollars in thousands) (Unaudited)

	Three Months Ended September 30,						Nine Months Ended September 30,
	2015			2014			2015			2014
*Homebuilding data:*
New orders (units)
Mid Atlantic (1)		1,662			1,504			5,520			4,930
North East (2)		304			310			936			896
Mid East (3)		730			653			2,686			2,369
South East (4)		562			469			1,838			1,481
Total		3,258			2,936			10,980			9,676

Average new order price	$	378.9		$	375.5		$	377.4		$	370.3

Settlements (units)
Mid Atlantic (1)		1,795			1,650			4,770			4,321
North East (2)		337			276			899			780
Mid East (3)		915			827			2,171			2,012
South East (4)		560			483			1,476			1,277
Total		3,607			3,236			9,316			8,390

Average settlement price	$	380.4		$	366.2		$	379.2		$	365.6

Backlog (units)
Mid Atlantic (1)								3,696			3,319
North East (2)								625			611
Mid East (3)								1,665			1,389
South East (4)								1,153			912
Total								7,139			6,231

Average backlog price							$	380.6		$	378.9

Community count (average)		469			493			473			489
Lots controlled at end of period								73,000			68,500

*Mortgage banking data:*
Loan closings	$	951,872		$	803,125		$	2,449,902		$	1,951,682
Capture rate		88	%		86	%		88	%		83	%

*Common stock information:*
Shares outstanding at end of period								3,982,106			4,166,661
Number of shares repurchased		128,097			53,988			183,128			371,727
Aggregate cost of shares repurchased	$	194,161		$	61,989		$	263,446		$	409,436

(1)	Maryland, Virginia, West Virginia, Delaware and Washington, D.C.
(2)	New Jersey and Eastern Pennsylvania
(3)	New York, Ohio, Western Pennsylvania, Indiana and Illinois
(4)	North Carolina, South Carolina, Tennessee and Florida

CONTACT: Curt McKay, (703) 956-4058

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

¨	Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

¨	Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

¨	Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

¨	Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))


(d) Exhibits

Exhibit Number		Exhibit Description

99.1		Press release dated October 20, 2015

		NVR, Inc.

Date: October 20, 2015	By:	/s/ Daniel D. Malzahn
		Daniel D. Malzahn
		Vice President, Chief Financial Officer and Treasurer

EXHIBIT INDEX

Exhibit Number		Exhibit Description

99.1		Press release dated October 20, 2015