Lennar Corporation (NYSE:LEN) Q1 2024 Earnings Call Transcript

John Lovallo: Okay. Understood. And then maybe just zeroing in on the second quarter gross margin outlook, which is up about 70 basis points sequentially at the midpoint. Can you just walk us through some of the moving pieces there? Net price cost inflation, incremental cost inflation things of that nature.

Diane Bessette: Yes. John, I think that we can walk through it more in detail, but I think that if you look at the second quarter of last year, it’s very comparable. So you can see the leverage pickup, particularly in field expenses. Just in order of magnitude, you kind of get a lot of pickup just from that perspective. So that’s certainly helpful. And I don’t know if there’s anything more to say on that. I think we’ve talked about controlling incentives showing the right homes, but part of the credibility should be just the operating leverage that we’re going to get in addition to the other things that we spoke about.

John Lovallo: Okay. Thank you.

Stuart Miller: Okay. Well, that wraps it up for this quarter. I thank everybody for joining us out of the quarter that we put forth. We look forward to reporting more progress as we go forward. Thanks for your time, and we’ll get to next quarter.

Operator: That concludes today’s conference. Thank you for participating. Have a wonderful day, and you may disconnect.