Segment Information

9 Months Ended

Sep. 30, 2022

Segment Information

Segment Information

18. Segment Information

The Company conducts primarily all of its business in the following three reportable segments: (1) residential, (2) hospitality and (3) commercial. The Company’s reportable segments are strategic business units that offer different products and services. They are each managed separately and decisions about allocations of resources are determined by management based on these strategic business units. The Company uses income before equity in income (loss) from unconsolidated joint ventures, income taxes and non-controlling interest and other qualitative measures for purposes of making decisions about allocating resources to each segment and assessing each segment’s performance, which the Company believes represents current performance measures.

The accounting policies of the segments are set forth in Note 2 to the Company’s consolidated financial statements contained in Item 15 of the Company’s Annual Report on Form 10-K for the year ended December 31, 2021. Total revenue represents sales to unaffiliated customers, as reported in the Company’s condensed consolidated statements of income. All significant intercompany transactions have been eliminated in consolidation. The caption entitled “Other” consists of mitigation credit, title and insurance business revenue and cost of revenue; corporate operating expenses; corporate depreciation and amortization and corporate other income and expense items.

Information by business segment is as follows:

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2022		2021		2022		2021
Operating revenue:
Residential	$	15,050	$	21,648	$	70,774	$	74,799
Hospitality		29,047		21,957		74,654		57,413
Commercial		12,618		10,049		43,340		34,130
Other		861		342		1,929		1,198
Consolidated operating revenue	$	57,576	$	53,996	$	190,697	$	167,540
Income (loss) before equity in income (loss) from unconsolidated joint ventures and income taxes:
Residential	$	8,473	$	12,817	$	36,073	$	41,014
Hospitality		4,404		4,195		9,187		9,901
Commercial (a) (b) (c) (d)		1,992		4,623		11,533		14,867
Other (e)		(1,126)		72		(2,961)		(7,273)
Consolidated income before equity in income (loss) from unconsolidated joint ventures and income taxes	$	13,743	$	21,707	$	53,832	$	58,509

(a) The three and nine months ended September 30, 2022, includes a gain of $1.4 million on land and impact fees contributed to the unconsolidated Pier Park RI JV. See Note 4. Joint Ventures and Note 17. Other Income, Net for additional information.

(b) The nine months ended September 30, 2022, includes a gain of $0.4 million on land contributed to the unconsolidated Electric Cart Watersound JV. See Note 4. Joint Ventures and Note 17. Other Income, Net for additional information.

(c) The three and nine months ended September 30, 2021, includes $3.6 million the Company received from the Florida Division of Emergency Management’s TRBG program. See Note 7. Hurricane Michael for additional information.

(d) The nine months ended September 30, 2021, includes a gain of $3.1 million on land contributed to the Watersound Fountains Independent Living JV. See Note 4. Joint Ventures and Note 17. Other Income, Net for additional information.

(e) Includes gain on insurance recovery of $0.9 million and $2.5 million during the three months ended September 30, 2022 and 2021, respectively, and gain on insurance recovery of $4.2 million and $3.9 million during the nine months ended September 30, 2022 and 2021, respectively, related to Hurricane Michael. See Note 7. Hurricane Michael for additional information.

	September 30,		December 31,
	2022		2021
Total assets:
Residential	$	213,301	$	192,290
Hospitality		347,330		256,751
Commercial		457,538		378,118
Other		321,371		380,992
Total assets	$	1,339,540	$	1,208,151