Beazer Homes USA, Inc. (NYSE:BZH) Q3 2019 Earnings Conference Call - Final Transcript
Aug 01, 2019 • 05:00 pm ET
Good afternoon, and welcome to the Beazer Homes Earnings Conference Call for the Quarter Ended June 30, 2019. Today's call is being recorded and a replay will be available on the Company's website later today. In addition, PowerPoint slides intended to accompany this call are available in the Investor Relations section of the Company's website at www.beazer.com.
At this point, I will turn the call over to David Goldberg, Vice President and Treasurer.
Thank you. Good afternoon and welcome to the Beazer Homes' conference call discussing our results for the third quarter of fiscal 2019. Before we begin, you should be aware that during this call, we will be making forward-looking statements. Such statements involve known and unknown risks, uncertainties and other factors, which are described in our SEC filings, including our Form 10-Q for the quarter, which may cause actual results to differ materially from our projections.
Any forward-looking statement speaks only as of the date this statement is made. And we do not undertake any obligation to update or revise any forward-looking statement whether as a result of new information, future events or otherwise. New factors emerge from time-to-time and it is simply not possible to predict all such factors. Joining me today are Allan Merrill, our President and Chief Executive Officer; and Bob Salomon, our Executive Vice President and Chief Financial Officer.
On our call today, Allan will review highlights from the third quarter and then discuss our operational and capital allocation priorities for the remainder of this year and end of the future. Bob will cover our third quarter results in greater depth, as well as our expectations for the fourth quarter of fiscal 2019. And I will then come back to provide more details about efforts to improve balance sheet efficiency, land spend and our capital allocation priorities followed by a wrap-up by Allan. After our prepared remarks, we will take questions in the time remaining.
I will now turn the call over to Allan.
Allan P. Merrill
Thanks, David, and thank you for joining us on our call this afternoon. We had productive and profitable third quarter, generating results that were at or above our expectations on every front leaving us well positioned for a strong end to fiscal year. Orders were up over 6% as we benefited from an increase in community count and improving demand. This led to higher revenue and a better operating margin than we anticipated allowing us to deliver EBITDA ahead of our expectations. The quarter was successful in terms of capital allocation as well.
We retired about $17 million of debt and repurchased $11 million of stock during the quarter, bringing our total capital return to investors this year to nearly $60 million. We expect that number to reach approximately a $100 million by year-end with more debt than equity repurchased. The long-term goal of our balance growth strategy is to achieve a double digit return on assets by delivering higher EBITDA from a more efficient and less leverage balance sheet. While