May 9, 2013 / 2:41 AM / in 5 years

Brazil homebuilder Brookfield posts unexpected Q1 loss

* Q1 net loss widens to 47.7 mln reais, costs overruns weigh

* EBITDA reaches 67.3 mln reais, far short of estimates

SAO PAULO, May 8 (Reuters) - Brazil’s Brookfield Incorporações SA posted a surprise first-quarter net loss on Wednesday, as the homebuilder struggled with cost overruns that have plagued its performance in recent years.

It booked a loss of 47.7 million reais ($23.9 million), which not only fell far short of estimates from 4 analysts for a net profit of 24.25 million reais, but was also wider than a loss of 16.3 million reais a year earlier.

The company, along with many of its rivals, is struggling to rein in costs and reduce debt. Overly aggressive expansion in recent years led to cost overruns, project delays, and a 388 million reais net loss in 2012.

Cost overruns in the quarter amounted to 10.4 million reais, while an increase in the delivery of lower-margin units and expenses related to the firm’s turnaround strategy also weighed on the bottom line, a securities filing said.

Earnings before interest, taxes, depreciation and amortization, a gauge of operating profit known as EBITDA, fell 25.5 percent to 67.3 million reais, missing an average estimate of 119.8 million reais in the Reuters survey.

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