Homebuilder Pulte Takes Hit With Key Materials Hard to Find
(Bloomberg) -- Supply chain problems are hampering PulteGroup Inc., with the homebuilder trimming its guidance because of issues acquiring key building materials.
The Atlanta-based company, which previously said it had deliberately restricted home sales as it struggled to acquire windows and lumber, now expects to report 7,000 closings in the third quarter, down from a range of 7,300 to 7,600, according to a statement Wednesday. The company also cut its guidance for the full year.
“We continue to work closely with our suppliers, but shortages for a variety of building products, combined with increased production volumes across the homebuilding industry, are directly impacting our ability to get homes closed to our level of quality over the remainder of 2021,” Pulte Chief Executive Officer Ryan Marshall said in the statement.
Pulte shares fell as much as 6.1% to $49.53 on Wednesday, the biggest intraday drop in almost four months. The stock had gained 22% this year through Tuesday’s close.
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