DHI · News · 20261103N
Gross Margin Drivers
HORTON D R INC /DE/ · 2026-11-03 · Importance 42 · Surprise 40 · No source text
D.R. Horton’s fiscal Q4 2026 operating margin was 9.9%, down from 11.6% in the prior-year quarter. Management expected first-quarter fiscal 2027 home sales gross margin of 18% to 18.5%, compared with 19.5% in Q4. The reported drivers of continued margin pressure were elevated mortgage rates and affordability pressures affecting demand.
Key facts
- D.R. Horton expected first-quarter home sales gross margin of 18% to 18.5%, down from 19.5% in Q4. source
Impact estimates
| metric | direction | stage | expected | basis |
|---|---|---|---|---|
| margin | negative | probable | -0.6% | D.R. Horton expected first-quarter home sales gross margin of 18% to 18.5%, down from 19.5% in Q4. |