Revenue growth remains highly volatile due to seasonal lot delivery cycles, with NOI margins trending downward from a 25.0% peak in 2024Q2 to 21.4% in 2026Q2.
| Metric | TTM | Sep'25 | Sep'24 | Sep'23 | Sep'22 | Sep'21 | Sep'20 | Sep'19 | Sep'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 |
|---|
| Revenue | 1.71B | 1.66B | 1.51B | 1.44B | 1.52B | 1.33B | 931.8M | 428.3M | 104.4M | 114.32M | 197.31M | 262.42M | 306.77M | 331.05M | 172.59M | 135.57M | 101.36M | 146.25M | 159.72M | 177.99M | 225.56M | 155.49M |
| Revenue Growth % | 16.12% | 10.14% | 5.05% | -5.41% | 14.58% | 42.28% | 117.56% | 310.26% | -8.68% | -42.06% | -24.81% | -14.46% | -7.33% | 91.81% | 27.3% | 33.75% | -30.69% | -8.43% | -10.26% | -21.09% | 45.07% | - |
| Property Operating Expenses | 1.34B | 1.3B | 1.15B | 1.13B | 1.2B | 1.1B | 813.7M | 362.7M | 65.55M | 109.78M | 168.93M | 341.37M | 225.14M | 200.89M | 83.88M | 66.97M | 48.96M | 50.63M | 58.49M | 58.05M | 90.63M | 57.4M |
| Net Operating Income (NOI) | 364.5M | 363.5M | 359.3M | 304.1M | 324M | 229.2M | 118.1M | 65.6M | 38.85M | 4.54M | 28.38M | -78.95M | 81.63M | 130.15M | 88.72M | 68.61M | 52.4M | 95.63M | 101.23M | 119.94M | 134.93M | 98.08M |
| NOI Margin % | 21.34% | 21.87% | 23.8% | 21.16% | 21.33% | 17.29% | 12.67% | 15.32% | 37.21% | 3.97% | 14.38% | -30.09% | 26.61% | 39.32% | 51.4% | 50.61% | 51.69% | 65.38% | 63.38% | 67.39% | 59.82% | 63.08% |
| Operating Expenses | 154.5M | 154.4M | 118.5M | 97.7M | 93.6M | 68.4M | 45.7M | 28.9M | 10M | 78.19M | 54.77M | 86.61M | 80.91M | 88.73M | 87.53M | 72.28M | 33.51M | -29.44M | 65.43M | 70.67M | 63.11M | 52.5M |
| G&A Expenses | 117.1M | 154.4M | 118.5M | 97.7M | 93.6M | 68.4M | 45.7M | 28.9M | 1 | 56.53M | 21.6M | 27.25M | 22.23M | 28.38M | 32.32M | 23.33M | 22.58M | 29.93M | 22.23M | 18.62M | 16.14M | 9.48M |
| EBITDA | 213.4M | 212.6M | 243.8M | 209.4M | 233.1M | 163.5M | 931.7M | 425.3M | 72.6M | 45.23M | 369.74M | -119.6M | 80.47M | 76.56M | 46.09M | 67.93M | 27.9M | 134.85M | 43.48M | 52.18M | 74.18M | 47.84M |
| EBITDA Margin % | 12.49% | 12.79% | 16.15% | 14.57% | 15.34% | 12.33% | 99.99% | 99.3% | 69.54% | 39.56% | 187.39% | -45.58% | 26.23% | 23.13% | 26.71% | 50.1% | 27.52% | 92.2% | 27.22% | 29.32% | 32.89% | 30.76% |
| Depreciation & Amortization | 1.7M | 3.5M | 3M | 3M | 2.7M | 2.7M | 859.3M | 388.6M | 54.8M | 5.46M | 229.39M | 45.09M | 41.72M | 29.98M | 18.93M | 9.81M | 9.01M | 9.79M | 7.67M | 2.92M | 2.35M | 2.25M |
| D&A / Revenue % | 0.1% | 0.21% | 0.2% | 0.21% | 0.18% | 0.2% | 92.22% | 90.73% | 52.49% | 4.78% | 116.25% | 17.18% | 13.6% | 9.06% | 10.97% | 7.24% | 8.89% | 6.69% | 4.8% | 1.64% | 1.04% | 1.45% |
| Operating Income | 210.1M | 209.1M | 240.8M | 206.4M | 230.4M | 160.8M | 72.4M | 36.7M | 17.8M | 39.77M | 140.35M | -164.68M | 38.76M | 46.58M | 27.16M | 58.12M | 18.89M | 125.06M | 35.81M | 49.27M | 71.82M | 45.59M |
| Operating Margin % | 12.3% | 12.58% | 15.95% | 14.36% | 15.17% | 12.13% | 7.77% | 8.57% | 17.05% | 34.78% | 71.13% | -62.76% | 12.63% | 14.07% | 15.74% | 42.87% | 18.63% | 85.51% | 22.42% | 27.68% | 31.84% | 29.32% |
| Interest Expense | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 8.53M | 19.98M | 34.07M | 30.29M | 20M | 19.36M | 17.01M | 16.45M | 20.46M | 21.28M | 9.23M | 0 | 0 |
| Interest Coverage | - | - | - | - | - | - | - | - | - | 7.10x | 5.62x | 1.26x | 2.90x | 3.11x | 2.34x | -0.54x | -1.59x | 5.75x | 1.91x | 5.19x | - | - |
| Non-Operating Income | -1.6M | -10.2M | 0 | 0 | 0 | 0 | 0 | -400K | 0 | -49.9M | 28.02M | -19.01M | -17.27M | -15.7M | -52.66M | 0 | 45.05M | 7.4M | -4.92M | 1.33M | 0 | 0 |
| Pretax Income | 221.4M | 219.3M | 270.1M | 221.6M | 235.8M | 146.6M | 78.1M | 45.7M | 49.81M | 52.12M | 92.35M | -179.74M | 25.75M | 42.27M | 25.89M | 12.26M | 8.3M | 97.21M | 17.21M | 38.7M | 81.81M | 55.76M |
| Pretax Margin % | 12.96% | 13.19% | 17.89% | 15.42% | 15.52% | 11.06% | 8.38% | 10.67% | 47.71% | 45.59% | 46.8% | -68.49% | 8.39% | 12.77% | 15% | 9.04% | 8.19% | 66.47% | 10.77% | 21.75% | 36.27% | 35.86% |
| Income Tax | 53.9M | 51.4M | 66.7M | 54.7M | 57M | 36.1M | 16.4M | 9.4M | 49.81M | 45.82M | 15.3M | 32.63M | 8.66M | 7.21M | 8.02M | 3.02M | 2.47M | 35.63M | 5.24M | 13.91M | 29.97M | 20.86M |
| Effective Tax Rate % | 24.35% | 23.44% | 24.69% | 24.68% | 24.17% | 24.62% | 21% | 20.57% | 100% | 87.91% | 16.57% | -18.16% | 33.63% | 17.05% | 30.96% | 24.64% | 29.74% | 36.66% | 30.42% | 35.94% | 36.63% | 37.41% |
| Net Income | 167.4M | 167.9M | 203.4M | 166.9M | 178.8M | 110.2M | 60.8M | 33M | 59.55M | 50.25M | 58.65M | -213.05M | 16.58M | 29.32M | 12.94M | 7.15M | 5.13M | 59.11M | 11.97M | 24.8M | 51.84M | 34.9M |
| Net Margin % | 9.8% | 10.1% | 13.48% | 11.62% | 11.77% | 8.31% | 6.53% | 7.7% | 57.04% | 43.96% | 29.72% | -81.19% | 5.41% | 8.86% | 7.5% | 5.28% | 5.06% | 40.41% | 7.5% | 13.93% | 22.98% | 22.44% |
| Net Income Growth % | -0.59% | -17.45% | 21.87% | -6.66% | 62.25% | 81.25% | 84.24% | -44.58% | 18.49% | -14.31% | 127.53% | -1384.73% | -43.44% | 126.56% | 80.91% | 39.59% | -91.33% | 393.63% | -51.71% | -52.17% | 48.56% | - |
| Funds From Operations (FFO) | 170.7M | 171.4M | 206.4M | 169.9M | 181.5M | 112.9M | 920.1M | 421.6M | 114.34M | 55.72M | 288.04M | -167.96M | 58.3M | 59.3M | 31.87M | 16.97M | 14.14M | 68.89M | 19.65M | 27.71M | 54.2M | 37.15M |
| FFO Margin % | 9.99% | 10.31% | 13.67% | 11.82% | 11.95% | 8.52% | 98.74% | 98.44% | 109.53% | 48.74% | 145.98% | -64% | 19% | 17.91% | 18.46% | 12.51% | 13.95% | 47.11% | 12.3% | 15.57% | 24.03% | 23.89% |
| FFO Growth % | -13.26% | -16.96% | 21.48% | -6.39% | 60.76% | -87.73% | 118.24% | 268.71% | 105.22% | -80.66% | 271.49% | -388.11% | -1.69% | 86.08% | 87.83% | 19.99% | -79.48% | 250.65% | -29.1% | -48.87% | 45.91% | - |
| FFO per Share | 3.35 | 3.37 | 4.06 | 3.39 | 3.64 | 2.31 | 19.13 | 10.04 | 2.72 | 1.31 | 6.80 | -4.90 | 1.34 | 1.61 | 0.90 | 0.47 | 0.39 | 1.91 | 0.55 | 0.78 | 1.53 | 1.05 |
| FFO Payout Ratio % | 0% | 0% | 0% | 0% | 0% | 0% | 0% | 0% | 0% | 0% | 0% | 0% | 0% | 0% | 0% | 0% | 0% | 0% | 0% | 99.98% | 0% | 0% |
| EPS (Diluted) | 3.28 | 3.29 | 4.00 | 3.33 | 3.59 | 2.25 | 1.26 | 0.79 | 1.42 | 1.19 | 1.38 | -6.22 | 0.38 | 0.80 | 0.36 | 0.20 | 0.14 | 1.64 | 0.33 | 0.70 | 1.47 | 0.99 |
| EPS Growth % | -0.61% | -17.75% | 20.12% | -7.24% | 59.56% | 78.57% | 59.49% | -44.37% | 19.33% | -13.77% | 122.19% | -1736.84% | -52.5% | 122.22% | 80% | 42.86% | -91.46% | 396.97% | -52.86% | -52.38% | 48.48% | - |
| EPS (Basic) | - | 3.30 | 4.04 | 3.34 | 3.59 | 2.25 | 1.27 | 0.79 | 1.42 | 1.19 | 1.40 | -6.25 | 0.38 | 0.81 | 0.37 | 0.20 | 0.14 | 1.65 | 0.34 | 0.70 | 1.47 | 0.99 |
| Diluted Shares Outstanding | 51M | 50.9M | 50.8M | 50.12M | 49.85M | 48.98M | 48.09M | 42.01M | 42.01M | 42.38M | 42.33M | 34.27M | 43.6M | 36.81M | 35.48M | 35.78M | 36.38M | 36.1M | 35.89M | 35.38M | 35.38M | 35.38M |
Parent-subsidiary demand concentration
As reported in recent financial filings, Forestar Group experienced significant revenue fluctuations, with growth rates swinging from a 18.1% contraction in 2025Q1 to a 21.6% expansion by 2025Q4, highlighting the inherent lumpiness of lot delivery cycles and the company's sensitivity to seasonal builder demand patterns.
The revenue trajectory appears heavily influenced by the timing of lot closings rather than consistent organic growth. Investors should monitor whether these swings represent genuine shifts in absorption velocity or merely the timing of project completions within the D.R. Horton pipeline.
Based on the provided income statement data, NOI margins have trended downward from a peak of 25.0% in 2024Q2 to 21.4% in 2026Q2, suggesting that rising development costs or competitive pricing pressures may be eroding the profitability of each delivered residential lot over time.
The contraction in NOI margin warrants further investigation into whether the company is facing higher municipal impact fees or increased labor costs. If this trend persists, it may imply that the company's ability to pass through inflationary costs to its primary builder client is becoming increasingly constrained.
According to quarterly earnings reports, FFO per share has demonstrated extreme volatility, ranging from a low of $0.32 in 2026Q1 to a high of $1.73 in 2025Q4, which indicates that the company's earnings quality is highly susceptible to the timing of large-scale lot sales.
The lack of consistent FFO growth suggests that the company's earnings are not yet stabilized by a diversified revenue stream. Analysts should be cautious in extrapolating quarterly FFO peaks, as they appear to be driven by specific project delivery milestones rather than sustainable operational improvements.
Financial data indicates that while the company maintains a low reported debt-to-equity ratio, the reliance on project-based revenue creates significant exposure to inventory stagnation, as evidenced by the sharp FFO declines observed during periods of slower revenue growth in early 2025 and 2026.
The potential for inventory to become non-productive if builder demand softens suggests that the company's balance sheet may be more vulnerable than the headline leverage ratios imply. Investors should monitor the ratio of owned versus controlled lots to assess the true extent of capital at risk in the current development pipeline.
Quick answers to the most common questions about buying FOR stock.
For fiscal year 2025, Forestar Group Inc. (FOR) reported total revenue of $1.66B. This represents a 969.2% increase compared to $155.5M in 2005.
Forestar Group Inc. (FOR) is profitable, generating $167.9M in net income for the fiscal year ending 2025 with a net profit margin of 10.1%.
Forestar Group Inc. (FOR) reported an operating income of $209.1M, resulting in an operating profit margin of 12.6%. This margin reflects the operational efficiency of the business before interest and taxes.
Forestar Group Inc. (FOR) generated $363.5M in gross profit for the year, representing a gross profit margin of 21.9%. This demonstrates the company's core pricing power and production efficiency.