XML 29 R17.htm IDEA: XBRL DOCUMENT v3.26.1
Business Segments
 6 Months Ended
Jun. 30, 2026
Segment Reporting [Abstract]  
Segment Reporting [Text Block]
The Company’s chief operating decision makers evaluate the Company’s performance in various ways, including: (1) the results of our individual homebuilding operating segments and the results of our financial services operations; (2) the results of our homebuilding reportable segments; and (3) our consolidated financial results.
In accordance with ASC 280, Segment Reporting (“ASC 280”), we have identified each homebuilding division as an operating segment and have elected to aggregate our operating segments into separate reportable segments as they share similar aggregation characteristics prescribed in ASC 280 in the following regards: (1) long-term economic characteristics; (2) historical and expected future long-term gross margin percentages; (3) housing products, production processes and methods of distribution; and (4) geographical proximity.
The homebuilding operating segments that comprise each of our reportable segments are as follows:
NorthernSouthern
Chicago, IllinoisFt. Myers/Naples, Florida
Cincinnati, OhioOrlando, Florida
Columbus, OhioSarasota, Florida
Indianapolis, IndianaTampa, Florida
Minneapolis/St. Paul, MinnesotaAustin, Texas
Detroit, MichiganDallas/Fort Worth, Texas
Houston, Texas
San Antonio, Texas
Charlotte, North Carolina
Raleigh, North Carolina
Nashville, Tennessee
The following table shows, by segment: revenue; cost of sales; selling, general and administrative expense; operating income; interest (income) expense; and income before income taxes for the three and six months ended June 30, 2026 and 2025:
Three Months Ended June 30,Six Months Ended June 30,
(In thousands)2026202520262025
Revenue:
Northern homebuilding$452,640 $488,250 $829,546 $898,627 
Southern homebuilding578,282 642,892 1,090,852 1,177,088 
Financial services (a)
32,336 31,450 63,567 62,970 
Total revenue$1,063,258 $1,162,592 $1,983,965 $2,138,685 
Cost of Sales:
Northern homebuilding$356,896 $376,979 $660,347 $696,438 
Southern homebuilding470,863 498,994 885,528 902,845 
Financial services (a)
— — — — 
Total cost of sales (b)
$827,759 $875,973 $1,545,875 $1,599,283 
General and administrative expense:
Northern homebuilding$11,733 $10,823 $21,401 $19,959 
Southern homebuilding20,154 21,004 38,393 39,812 
Financial services (a)
15,310 13,908 29,817 26,661 
Segment general and administrative expense$47,197 $45,735 $89,611 $86,432 
Corporate and unallocated general and administrative expense23,001 21,512 41,773 39,888 
Total general and administrative expense$70,198 $67,247 $131,384 $126,320 
Selling expense:
Northern homebuilding$25,856 $24,434 $46,720 $45,624 
Southern homebuilding37,353 38,594 71,128 69,700 
Financial services (a)
— — — — 
Segment selling expense$63,209 $63,028 $117,848 $115,324 
Corporate and unallocated selling expense814 6271,515 1,117 
Total selling expense$64,023 $63,655 $119,363 $116,441 
Operating income:
Northern homebuilding$58,155 $76,014 $101,078 $136,606 
Southern homebuilding49,912 84,300 95,803 164,731 
Financial services (a)
17,026 17,542 33,750 36,309 
Segment operating income$125,093 $177,856 $230,631 $337,646 
 Corporate selling, general and administrative expense(23,815)(22,139)(43,288)(41,005)
Total operating income (a)(b)
$101,278 $155,717 $187,343 $296,641 
Interest (income) expense - net:
Northern homebuilding$— $(24)$(10)$(46)
Southern homebuilding(345)(1)(539)(3)
Financial services (a)
2,603 3,066 5,230 5,727 
Segment Interest (income) expense - net$2,258 $3,041 $4,681 $5,678 
Corporate Interest (income) expense - net(5,544)(7,418)(11,072)(15,252)
Total interest income, net of interest expense
$(3,286)$(4,377)$(6,391)$(9,574)
Income before income taxes$104,564 $160,094 $193,734 $306,215 
(a)Our financial services operational results should be viewed in connection with our homebuilding business as its operations originate loans and provide title services primarily for our homebuying customers, with the exception of an immaterial amount of mortgage refinancing.
(b)For the three and six months ended June 30, 2026, total cost of sales and operating income were impacted by $4.2 million in inventory charges taken during the period. $0.4 million and $3.8 million of these charges were attributable to the Northern homebuilding operating segment and the Southern homebuilding operating segment, respectively. Additionally, total cost of sales and operating income in the Southern homebuilding operating segment were impacted by $4.0 million and $5.5 million, respectively, for warranty charges in two of our Florida communities primarily relating to attic ventilation issues (See Note 6).
.
The following tables show total assets by segment at June 30, 2026 and December 31, 2025:
June 30, 2026
(In thousands)NorthernSouthernFinancial Services Segment
Total		Corporate and UnallocatedTotal
Deposits on real estate under option or contract$19,766 $63,189 $— $82,955 $— $82,955 
Inventory (a)
1,186,269 2,236,074 — 3,422,343 — 3,422,343 
Investments in joint venture arrangements— 62,018 — 62,018 — 62,018 
Other assets43,317 151,372 
(b)
375,767 570,456 718,271 1,288,727 
Total assets$1,249,352 $2,512,653 $375,767 $4,137,772 $718,271 $4,856,043 

December 31, 2025
(In thousands)NorthernSouthernFinancial Services Segment
Total		Corporate and UnallocatedTotal
Deposits on real estate under option or contract$14,319 $60,226 $— $74,545 $— $74,545 
Inventory (a)
1,164,647 2,144,748 — 3,309,395 — 3,309,395 
Investments in joint venture arrangements— 106,299 — 106,299 — 106,299 
Other assets35,087 122,223 
(b)
375,682 532,992 753,894 1,286,886 
Total assets$1,214,053 $2,433,496 $375,682 $4,023,231 $753,894 $4,777,125 
(a)Inventory includes single-family lots, land and land development costs; land held for sale; homes under construction; model homes and furnishings; community development district infrastructure; and consolidated inventory not owned.
(b)Includes development reimbursements from local municipalities