REPORTING SEGMENTS

We have multiple homebuilding operating components which are engaged in the business of acquiring and developing land, constructing homes, marketing and selling those homes, and providing warranty and customer service. We aggregate our homebuilding operating components into three reporting segments, East, Central, and West, based on similar long-term economic characteristics. We also have a mortgage and title services reporting segment. We have no inter-segment sales as all sales are to external customers.

During the quarter ended March 31, 2017, we realigned our homebuilding operating divisions within our existing segments based on geographic location and management's long term strategic plans. As a result, all historical periods presented in the segment information have been reclassified to give effect to this segment realignment.

Our reporting segments are as follows:



East	Atlanta, Charlotte, Chicago, Orlando, Raleigh, Southwest Florida and Tampa
Central	Austin, Dallas and Houston (both include a Taylor Morrison division and a Darling Homes division), and Denver
West	Bay Area, Phoenix, Sacramento and Southern California
Mortgage Operations	Taylor Morrison Home Funding and Inspired Title

Segment information is as follows (in thousands):



	Three Months Ended June 30, 2017
	East			Central			West			Mortgage Operations		Corporate and Unallocated			Total
Total revenues	$	320,053		$	267,562		$	305,245		$	15,634	$	—		$	908,494

Gross margin	68,988			48,413			48,487			5,532		—			171,420
Selling, general and administrative expenses	(29,337		)	(25,933		)	(18,854		)	—		(21,286		)	(95,410		)
Equity in income of unconsolidated entities	—			226			685			2,160		—			3,071
Interest and other (expense)/income, net	(129		)	602			(67		)	—		(1,081		)	(675		)
Income/(loss) before income taxes	$	39,522		$	23,308		$	30,251		$	7,692	$	(22,367	)	$	78,406



	Three Months Ended June 30, 2016
	East			Central			West			Mortgage Operations		Corporate and Unallocated			Total
Total revenues	$	267,188		$	272,163		$	301,467		$	13,498	$	—		$	854,316

Gross margin	53,633			47,156			53,658			5,305		—			159,752
Selling, general and administrative expenses	(27,165		)	(25,272		)	(19,363		)	—		(19,092		)	(90,892		)
Equity in income/(loss) of unconsolidated entities	308			(164		)	740			1,421		—			2,305
Interest and other (expense)/income, net	(1,314		)	(349		)	(639		)	10		(1,105		)	(3,397		)
Income/(loss) before income taxes	$	25,462		$	21,371		$	34,396		$	6,736	$	(20,197	)	$	67,768



	Six Months Ended June 30, 2017
	East			Central			West			Mortgage Operations		Corporate and Unallocated			Total
Total revenues	$	583,718		$	473,819		$	590,164		$	29,883	$	—		$	1,677,584

Gross margin	122,346			85,621			94,067			11,079		—			313,113
Selling, general and administrative expenses	(56,506		)	(47,425		)	(37,907		)	—		(42,317		)	(184,155		)
Equity in income of unconsolidated entities	—			58			602			3,496		—			4,156
Interest and other (expense)/income, net	(213		)	258			(192		)	—		(87		)	(234		)
Income/(loss) before income taxes	$	65,627		$	38,512		$	56,570		$	14,575	$	(42,404	)	$	132,880



	Six Months Ended June 30, 2016
	East			Central			West			Mortgage Operations		Corporate and Unallocated			Total
Total revenues	$	448,912		$	494,731		$	532,866		$	23,136	$	—		$	1,499,645

Gross margin	91,411			87,381			91,182			8,419		—			278,393
Selling, general and administrative expenses	(49,160		)	(46,885		)	(35,769		)	—		(36,343		)	(168,157		)
Equity in income/(loss) of unconsolidated entities	307			(221		)	985			2,016		—			3,087
Interest and other (expense)/income, net	(2,560		)	(1,992		)	(412		)	10		(1,610		)	(6,564		)
Income/(loss) before income taxes	$	39,998		$	38,283		$	55,986		$	10,445	$	(37,953	)	$	106,759



	As of June 30, 2017
	East		Central		West		Mortgage Operations		Corporate and Unallocated		Total
Real estate inventory and land deposits	$	1,210,299	$	891,792	$	1,150,913	$	—	$	—	$	3,253,004
Investments in unconsolidated entities	26,547		31,629		117,087		3,615		—		178,878
Other assets	56,715		132,702		35,028		146,691		455,068		826,204
Total assets	$	1,293,561	$	1,056,123	$	1,303,028	$	150,306	$	455,068	$	4,258,086



	As of December 31, 2016
	East		Central		West		Mortgage Operations		Corporate and Unallocated		Total
Real estate inventory and land deposits	$	1,110,340	$	829,354	$	1,114,758	$	—	$	—	$	3,054,452
Investments in unconsolidated entities	25,923		30,146		98,625		3,215		—		157,909
Other assets	80,320		139,383		43,304		269,131		476,427		1,008,565
Total assets	$	1,216,583	$	998,883	$	1,256,687	$	272,346	$	476,427	$	4,220,926