Summary of Significant Accounting Policies (Tables)

12 Months Ended

Dec. 31, 2023

Other income (expense), net consists of the following ($000’s omitted):


	2023		2022		2021
Write-offs of deposits and pre-acquisition costs (Note 2)	$	(23,512)	$	(63,559)	$	(12,283)
Amortization of intangible assets (Note 1)	(10,538)		(11,118)		(16,502)
Interest income	61,533		1,971		1,953
Interest expense	(469)		(284)		(502)
Miscellaneous, net	10,186		8,592		7,724
Total other income (expense), net	$	37,200	$	(64,398)	$	(19,610)

Schedule of Earnings Per Share of Common Stock

The following table presents a reconciliation of the Numerator used in our earnings per common share calculation ($000's omitted):


	December 31, 2023		December 31, 2022		December 31, 2021
Numerator:
Net income	$	2,602,372	$	2,617,317	$	1,946,320
Less: earnings distributed to participating securities	(511)		(846)		(1,218)
Less: undistributed earnings allocated to participating securities	(8,990)		(15,330)		(15,117)
Numerator for basic earnings per share	$	2,592,871	$	2,601,141	$	1,929,985
Add: undistributed earnings allocated to participating securities	8,990		15,330		15,117
Less: undistributed earnings reallocated to participating securities	(8,923)		(15,229)		(15,080)
Numerator for diluted earnings per share	$	2,592,938	$	2,601,242	$	1,930,022

Schedule of Derivative Instruments in Statement of Financial Position, Fair Value

The fair values of derivative instruments and their location in the Consolidated Balance Sheets are summarized below ($000’s omitted):


	December 31, 2023				December 31, 2022
	Other Assets		Other Liabilities		Other Assets		Other Liabilities
IRLCs	$	3,926	$	1,506	$	10,830	$	1,572
Forward contracts	110		26,104		4,144		20,853
Whole loan commitments	24		47		806		165
	$	4,060	$	27,657	$	15,780	$	22,590

Operating Data by Segment


	Operating Data by Segment ($000’s omitted) Years Ended December 31,
	2023		2022		2021
Revenues (a):
Northeast	$	969,628	$	1,063,568	$	1,112,778
Southeast	2,675,213		2,764,945		2,208,345
Florida	4,740,387		3,930,828		3,108,017
Midwest	2,089,257		2,292,871		1,959,752
Texas	2,069,467		2,193,295		1,768,895
West	3,196,871		3,445,756		3,189,676
	15,740,823		15,691,263		13,347,463
Financial Services	320,755		311,716		389,532
Consolidated revenues	$	16,061,578	$	16,002,979	$	13,736,995

Income before income taxes (a)(b):
Northeast	$	218,159	$	244,233	$	215,193
Southeast	620,969		692,279		417,880
Florida	1,212,675		939,034		585,680
Midwest	368,321		363,028		287,956
Texas	389,085		465,461		322,979
West (c)	419,635		687,403		592,845
Other homebuilding (d)	87,231		(84,110)		(134,405)
	3,316,075		3,307,328		2,288,128
Financial Services	133,192		132,230		221,717
Consolidated income before income taxes	$	3,449,267	$	3,439,558	$	2,509,845

(a)All periods reflect the reclassification of closing cost incentives to home sale revenues from home sale cost of revenues (Note 1).

(b)Includes certain land-related charges (see the following table and Note 2).

(d) Other homebuilding includes the amortization of intangible assets, amortization of capitalized interest, and other items not allocated to the operating segments. Also included are insurance reserve reversals of $130.8 million, $65.0 million, and $81.1 million in 2023, 2022 and 2021, respectively, partially offset by a loss on debt retirement of $61.5 million in 2021 (Note 5).


	Operating Data by Segment
	($000's omitted)
	December 31, 2023
	Homes Under Construction		Land Under Development		Raw Land		Consolidated Inventory Not Owned		Total Inventory		Total Assets
Northeast	$	312,903	$	337,130	$	4,091	$	—	$	654,124	$	775,316
Southeast	786,698		826,240		80,451		27,963		1,721,352		1,994,492
Florida (a)	1,405,934		1,211,087		205,843		48,139		2,871,003		3,420,924
Midwest	621,144		685,139		14,265		3,472		1,324,020		1,476,166
Texas	634,574		721,032		101,394		40,948		1,497,948		1,686,609
West	1,473,617		1,688,498		190,082		—		3,352,197		3,752,089
Other homebuilding (b)	27,980		336,867		9,879		—		374,726		2,140,954
	5,262,850		5,805,993		606,005		120,522		11,795,370		15,246,550
Financial Services	—		—		—		—		—		840,500
	$	5,262,850	$	5,805,993	$	606,005	$	120,522	$	11,795,370	$	16,087,050

	December 31, 2022
	Homes Under Construction		Land Under Development		Raw Land		Consolidated Inventory Not Owned		Total Inventory		Total Assets
Northeast	$	321,687	$	241,897	$	45,455	$	—	$	609,039	$	700,413
Southeast	793,539		544,867		102,336		20,169		1,460,911		1,668,053
Florida (a)	1,417,657		1,081,836		125,253		51,889		2,676,635		3,195,091
Midwest	523,194		689,541		22,467		—		1,235,202		1,382,227
Texas	690,622		726,342		133,300		—		1,550,264		1,735,683
West	1,662,251		1,528,863		238,758		—		3,429,872		3,771,808
Other homebuilding (b)	31,236		321,086		11,772		—		364,094		1,470,919
	5,440,186		5,134,432		679,341		72,058		11,326,017		13,924,194
Financial Services	—		—		—		—		—		872,321
	$	5,440,186	$	5,134,432	$	679,341	$	72,058	$	11,326,017	$	14,796,515

(a)Florida includes goodwill of $28.6 million, net of cumulative impairment charges of $20.2 million.

(b)Other homebuilding primarily includes cash and equivalents, capitalized interest, intangibles, deferred tax assets, and other corporate items that are not allocated to the operating segments. Other homebuilding also includes goodwill of $40.4 million.


	Operating Data by Segment ($000's omitted) Years Ended December 31,
	2023		2022		2021
Land-related charges*:
Northeast	$	497	$	4,597	$	1,433
Southeast	7,853		18,381		5,365
Florida	2,683		13,515		1,088
Midwest	7,786		6,517		2,150
Texas	3,661		6,745		1,357
West	19,343		16,406		909
Other homebuilding	1,292		495		—
	$	43,115	$	66,656	$	12,302

* Land-related charges include land impairments, NRV adjustments for land held for sale, and write-offs of deposits and pre-acquisition costs for land option contracts we elected not to pursue. See Note 2 for additional discussion of these charges.

Depreciation and Amortization Expense by Reporting Segment


	Operating Data by Segment ($000's omitted) Years Ended December 31,
	2023		2022		2021
Depreciation and amortization:
Northeast	$	3,365	$	2,956	$	2,631
Southeast	6,056		5,151		4,765
Florida	13,471		11,720		8,823
Midwest	8,207		7,035		6,332
Texas	6,214		5,591		4,989
West	12,438		11,840		11,898
Other homebuilding	22,992		19,929		24,811
	72,743		64,222		64,249
Financial Services	8,081		6,696		5,704
	$	80,824	$	70,918	$	69,953