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OPERATING AND REPORTING SEGMENTS
 3 Months Ended
Mar. 31, 2025
Segment Reporting [Abstract]  
OPERATING AND REPORTING SEGMENTS OPERATING AND REPORTING SEGMENTS
We have multiple homebuilding operating components which are engaged in the business of acquiring and developing land, constructing homes, marketing and selling 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. The activity from our Build-to-Rent and Urban Form operations are included in our Corporate and Unallocated segment. We also have a Financial Services reporting segment.
The Company defines the Chief Operating Decision Maker ("CODM") function as the Chief Executive Officer, the Chief Financial Officer, and the Chief Corporate Operations Officer. On a quarterly basis, the CODM is provided with the financial results and key performance metrics at consolidated and disaggregated levels. The Company's CODM assesses the segment's performance by using each segment's gross margin and income before income taxes (which includes certain corporate overhead allocations to each homebuilding segment for certain costs such as travel and entertainment and payroll related costs for the marketing department). The CODM makes company decisions and allocates resources based on the results and performance of the reporting segments.
Our reporting segments are as follows:
EastAtlanta, Charlotte, Jacksonville, Naples, Orlando, Raleigh, Sarasota, and Tampa
CentralAustin, Dallas, Denver, Houston, and Indianapolis
WestBay Area, Las Vegas, Phoenix, Portland, Sacramento, Seattle, and Southern California
Financial Services
Taylor Morrison Home Funding, Inspired Title & Escrow Services, and Taylor Morrison Insurance Services
Operating results for each segment may not be indicative of the results for such segment had it been an independent, stand-alone entity. The prior year tables shown below include Total cost of revenue and a disaggregation of Sales, commissions and other marketing costs and General and administrative expenses as a result of the adoption of ASU 2023-07, Improvements to Reportable Segment Disclosures. The segment information is consistent with the metrics reviewed by the CODM and is as follows (in thousands):
Three Months Ended March 31, 2025
East Central West Financial
Services
Operating and Reporting Segment Subtotal
Corporate
and
Unallocated(1)
Total
Home closings revenue, net$625,714 $477,494 $726,860 $— $1,830,068 $— $1,830,068 
All other revenue6,098 3,721 888 51,193 61,900 4,051 65,951 
Total revenue631,812 481,215 727,748 51,193 1,891,968 4,051 1,896,019 
Cost of home closings473,553 361,657 556,150 — 1,391,360 — 1,391,360 
All other cost of sales6,288 2,950 932 28,321 38,491 2,894 41,385 
Total cost of revenue479,841 364,607 557,082 28,321 1,429,851 2,894 1,432,745 
Home closings gross margin152,161 115,837 170,710 — 438,708 — 438,708 
Total gross margin151,971 116,608 170,666 22,872 462,117 1,157 463,274 
Sales, commissions, and other marketing costs(2)
(39,383)(30,190)(36,052)— (105,625)(3,451)(109,076)
General and administrative expenses(11,996)(8,081)(11,937)— (32,014)(35,534)(67,548)
Net income/(loss) from unconsolidated entities— 58 (49)3,096 3,105 (1,130)1,975 
Interest and other (expense)/income(3)
(4,088)(3,837)(5,254)340 (12,839)2,783 (10,056)
Income before income taxes$96,504 $74,558 $117,374 $26,308 $314,744 $(36,175)$278,569 
(1) Includes the activity from our Build-To-Rent and Urban Form operations.
(2) Includes corporate marketing expense allocations.
(3) Interest and other (expense)/income, net includes pre-acquisition write-offs of terminated projects.
Three Months Ended March 31, 2024
EastCentralWestFinancial
Services
Operating and Reporting Segment Subtotal
Corporate
and
Unallocated(1)
Total
Home closings revenue, net$541,730 $472,032 $622,493 $— $1,636,255 $— $1,636,255 
All other revenue5,581 6,458 336 46,959 59,334 4,163 63,497 
Total revenue547,311 478,490 622,829 46,959 1,695,589 4,163 1,699,752 
Cost of home closings395,328 349,161 498,720 — 1,243,209 — 1,243,209 
All other cost of sales6,095 5,097 444 25,143 36,779 2,919 39,698 
Total cost of revenue401,423 354,258 499,164 25,143 1,279,988 2,919 1,282,907 
Home closings gross margin146,402 122,871 123,773 — 393,046 — 393,046 
Total gross margin145,888 124,232 123,665 21,816 415,601 1,244 416,845 
Sales, commissions, and other marketing costs(2)
(35,057)(32,810)(34,283)— (102,150)(450)(102,600)
General and administrative expenses(11,144)(6,583)(10,465)— (28,192)(39,372)(67,564)
Net (loss)/income from unconsolidated entities— (41)(26)2,897 2,830 (79)2,751 
Interest and other (expense)/income(3)
(827)(2,415)(3,518)730 (6,030)5,478 (552)
Income before income taxes$98,860 $82,383 $75,373 $25,443 $282,059 $(33,179)$248,880 
(1) Includes the activity from our Build-To-Rent and Urban Form operations.
(2) Includes corporate marketing expense allocations.
(3) Interest and other (expense)/income, net includes pre-acquisition write-offs on terminated projects.

As of March 31, 2025
EastCentralWestFinancial Services
Operating and Reporting Segment Subtotal
Corporate
and
Unallocated(1)
Total
Real estate inventory and land deposits$2,459,738 $1,244,629 $2,949,650 $— $6,654,017 $— $6,654,017 
Investments in unconsolidated entities91,378 190,669 94,829 5,483 382,359 92,833 475,192 
Other assets157,540 222,783 594,023 314,336 1,288,682 966,237 2,254,919 
Total assets$2,708,656 $1,658,081 $3,638,502 $319,819 $8,325,058 $1,059,070 $9,384,128 
(1) Includes the assets from our Build-To-Rent and Urban Form operations.
As of December 31, 2024
EastCentralWestFinancial
Services
Operating and Reporting Segment Subtotal
Corporate
and
Unallocated(1)
Total
Real estate inventory and land deposits$2,389,791 $1,296,272 $2,847,689 $— $6,533,752 $— $6,533,752 
Investments in unconsolidated entities86,378 164,434 94,864 5,483 351,159 88,562 439,721 
Other assets173,489 225,846 610,212 297,107 1,306,654 1,017,004 2,323,658 
Total assets$2,649,658 $1,686,552 $3,552,765 $302,590 $8,191,565 $1,105,566 $9,297,131 
(1) Includes the assets from our Build-To-Rent and Urban Form operations.