D.R. Horton Inc. (DHI), the largest U.S. homebuilder by volume, said its fiscal third-quarter earnings rose as a tax benefit was realized and sales improved.

Net income was $787.8 million, or $2.22 a share, in the three months ended June 30, up from $28.7 million, or 9 cents, a year earlier, the Fort Worth, Texas-based company said today in a statement. The results included $716.7 million from the partial reversal of deferred tax assets tied to losses during the housing crash.

“Although order growth underperformed peers somewhat, they beat ours and consensus expectations,” Adam Rudiger, a Wells Fargo & Co. analyst, wrote in a note today. He rates D.R. Horton outperform, the equivalent of a buy recommendation. “Negatively, revenues were lower than expected.”

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