* Q1 profit 95.265 mln pesos vs 729.97 mln pesos yr ago
* Revenue nearly halved to 3.3 billion pesos
MEXICO CITY, April 25 Mexican homebuilder
Homex's first-quarter profit and revenue fell sharply as it
struggled with slowing home sales and a rising debt load, the
company said on Thursday.
Net profit tumbled to 95.265 million pesos ($7.7 million)
from 729.97 million pesos in the year-earlier quarter. Revenue
almost halved to 3.331 billion pesos from 6.187 billion pesos.
Home sales by Homex, along with Mexico's two
other big homebuilders Geo and Urbi, have dropped as more
Mexicans are buying old homes closer to schools and offices
rather than new homes in suburban developments.
Homex, Mexico's second-biggest homebuilder by home sales,
sold 5,430 homes in the first quarter, down from 8,738 in the
same period a year earlier.
"We will keep working diligently with authorities, financial
institutions and, more importantly, within the company, to
successfully navigate the challenges in this period," Chief
Executive Gerardo de Nicolas said in a filing to Mexico's stock
Shares in Homex received a boost last week when the
Culiacan-based company said it had agreed to sell a stake in
some of its prisons to a bank and a construction company owned
by tycoon Carlos Slim.
Homex stock, which has lost half its value so far this year,
closed down 1.23 percent at 14.42 pesos before the company
reported its results.