Reporting Segments

6 Months Ended

Jun. 30, 2020

Reporting Segments [Abstract]

Reporting Segments

2. Reporting Segments

Our homebuilding operations are engaged in the development, design, construction, marketing and sale of single-family attached and detached homes in 17 states. We build and sell homes under our Century Communities and Century Complete brands. Our Century Communities brand is managed by geographic location, and each of our four geographic regions targets a wide range of buyer profiles including: first time, first and second time move up, and lifestyle homebuyers, and provides our homebuyers with the ability to personalize their homes through certain option and upgrade selections. Each of our four geographic regions is considered a separate operating segment. Our Century Complete brand targets first time homebuyers, primarily sells homes through retail studios and the internet, and provides no option or upgrade selections. Our Century Complete brand currently has operations in 11 states and is managed separately from our four geographic regions. Accordingly, it is considered a separate operating segment.

The management of our four geographic regions and Century Complete reports to our chief operating decision makers (which we refer to as “CODMs”), the Co-Chief Executive Officers of our Company. The CODMs review the results of our operations, including total revenue and income before income tax expense to determine profitability and to allocate resources. Accordingly, we have presented our homebuilding operations as the following five reportable segments:

West (California and Washington)

Mountain (Colorado, Nevada and Utah)

Texas

Southeast (Georgia, North Carolina, South Carolina and Tennessee)

Century Complete (Alabama, Arizona, Florida, Georgia, Indiana, Iowa, Michigan, North Carolina, Ohio, South Carolina, and Texas)

We have also identified our Financial Services operations, which provide mortgage, title, and insurance services to our homebuyers, as a sixth reportable segment. Our Corporate operations are a non-operating segment, as they serve to support our homebuilding, and to a lesser extent our financial services operations, through functions, such as our executive, finance, treasury, human resources, accounting and legal departments. The following table summarizes total revenue and income before income tax expense by segment (in thousands): 

‎

	Three Months Ended June 30,				Six Months Ended June 30,
	2020		2019		2020		2019
Revenue:
West	$	166,125	$	135,226	$	298,012	$	247,346
Mountain		177,569		179,410		348,721		339,076
Texas		98,678		61,522		158,842		112,008
Southeast		174,626		124,814		306,128		237,626
Century Complete		133,724		109,063		231,833		198,636
Financial Services		25,722		9,915		35,517		18,315
Corporate		—		—		—		—
Total revenue	$	776,444	$	619,950	$	1,379,053	$	1,153,007
Income (loss) before income tax expense:
West	$	13,747	$	9,973	$	29,089	$	18,621
Mountain		20,616		22,526		39,094		41,834
Texas		9,610		5,587		15,108		9,336
Southeast		12,020		4,649		20,329		10,388
Century Complete		8,548		8,318		9,333		12,291
Financial Services		12,978		2,168		13,187		3,739
Corporate		(27,416)		(32,391)		(41,949)		(52,382)
Total income before income tax expense	$	50,103	$	20,830	$	84,191	$	43,827

The following table summarizes total assets by operating segment (in thousands):

	June 30,		December 31,
	2020		2019
West	$	566,724	$	610,248
Mountain		691,622		635,201
Texas		204,925		232,887
Southeast		376,028		441,818
Century Complete		189,215		244,827
Financial Services		306,519		254,282
Corporate		216,749		80,704
Total assets	$	2,551,782	$	2,499,967

Corporate assets primarily include certain cash and cash equivalents, certain property and equipment, prepaid insurance, and deferred financing costs on our revolving line of credit.