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Segment Information
 6 Months Ended
Jun. 30, 2024
Segment Reporting [Abstract]  
Segment Information Segment Information
We operate two principal businesses: homebuilding and financial services.
In accordance with ASC Topic 280, Segment Reporting, in determining the most appropriate reportable segments within our homebuilding business, we have considered similar economic and other characteristics, including product types, average sales prices, gross profits, production processes, suppliers, subcontractors, regulatory environments, land acquisition results, and underlying demand and supply. Based upon these factors and in consideration of the geographical layout of our homebuilding markets, we have identified three homebuilding reporting segments and, as such, our homebuilding segments are reported under the following hierarchy:
West region: Arizona, California, Nevada and Washington
Central region: Colorado, Texas and Utah
East region: District of Columbia, Florida, Maryland, North Carolina, South Carolina and Virginia
In September 2023, we announced our expansion into the greater Salt Lake City region with the launch of a new division in Utah. In April 2024 we announced further expansion into Orlando, Florida, and the Coastal Carolinas area, which includes parts of Georgia and South Carolina. As of June 30, 2024, we had not yet commenced significant operations in these new markets, however we have controlled lots within Utah.
Our Tri Pointe Solutions financial services operation is a reportable segment and is comprised of our Tri Pointe Connect mortgage financing operations, our Tri Pointe Assurance title and escrow services operations, and our Tri Pointe Advantage property and casualty insurance agency operations. For further details, see Note 1, Organization, Basis of Presentation and Summary of Significant Accounting Policies.
Corporate is a non-operating segment that develops and implements company-wide strategic initiatives and provides support to our homebuilding reporting segments by centralizing certain administrative functions, such as marketing, legal, accounting, treasury, insurance, internal audit, risk management, information technology and human resources, to benefit from economies of scale. Our Corporate non-operating segment also includes general and administrative expenses related to operating our corporate headquarters. All of the expenses incurred by Corporate are allocated to each of the homebuilding reporting segments based on their respective percentage of revenues.
The reportable segments follow the same accounting policies used for our consolidated financial statements, as described in Note 1, Organization, Basis of Presentation and Summary of Significant Accounting Policies. Operational results of each reportable segment are not necessarily indicative of the results that would have been achieved had the reportable segment been an independent, stand-alone entity during the periods presented.
Total revenues and income before income taxes for each of our reportable segments were as follows (in thousands):
Three Months Ended June 30,Six Months Ended June 30,
2024202320242023
Revenues
West $677,649 $525,796 $1,231,240 $1,006,737 
Central301,594 198,490 575,817 364,630 
East158,707 102,673 257,101 226,377 
Total homebuilding revenues1,137,950 826,959 2,064,158 1,597,744 
Financial services16,974 10,370 30,168 19,246 
Total$1,154,924 $837,329 $2,094,326 $1,616,990 
Income before income taxes
West$90,523 $52,496 $163,382 $125,407 
Central44,025 17,903 87,318 31,842 
East18,597 10,079 28,558 23,391 
Total homebuilding income before income taxes153,145 80,478 279,258 180,640 
Financial services6,084 2,965 10,551 6,010 
Total$159,229 $83,443 $289,809 $186,650 
 
Total real estate inventories and total assets for each of our reportable segments, as of the date indicated, were as follows (in thousands):
June 30, 2024December 31, 2023
Real estate inventories
West$2,245,659 $2,209,113 
Central777,098 762,051 
East443,054 366,319 
Total$3,465,811 $3,337,483 
Total assets(1)
West$2,516,024 $2,557,608 
Central948,241 947,200 
East486,885 421,630 
Corporate558,891 941,824 
Total homebuilding assets4,510,041 4,868,262 
Financial services86,157 46,326 
Total$4,596,198 $4,914,588 
__________
(1)    Total assets as of June 30, 2024 and December 31, 2023 includes $139.3 million of goodwill, with $125.4 million included in the West segment, $8.3 million included in the Central segment and $5.6 million included in the East segment. Total Corporate assets as of June 30, 2024 and December 31, 2023 includes our Tri Pointe Homes trade name. For further details on goodwill and our intangible assets, see Note 8, Goodwill and Other Intangible Assets.