Restatement of Previously Issued Consolidated Financial Statements

3 Months Ended

Mar. 31, 2023

Accounting Changes and Error Corrections [Abstract]

Restatement of Previously Issued Consolidated Financial Statements

During the quarter ended June 30, 2023, the Company identified and corrected an error related to the classification of cash outflows associated with the purchase of manufactured homes in the Consolidated Statements of Cash Flows. Previously, the Company classified these cash outflows within investing activities in the Consolidated Statements of Cash Flows. Based on the predominance principle in ASC 230-10-45-22, the Company determined that all of the cash flows associated with the purchase and sale of manufactured homes should be classified within operating activities in the Consolidated Statements of Cash Flows. There was no impact to the Consolidated Statements of Income and Comprehensive Income, Consolidated Balance Sheets, or Consolidated Statements of Changes in Equity for any periods presented. The Company is correcting this misclassification by restating its Consolidated Statements of Cash Flows through this Amended Report.

The impact on the line items within the previously reported Consolidated Statements of Cash Flows for the quarters ended March 31, 2023 and 2022 previously filed in the Original Report are as follows (in thousands):


	Three Month Ended March 31, 2023					Three Month Ended March 31, 2022
Operating Activities	As Reported		Adjustment	As Restated		As Reported		Adjustment		As Restated
Manufactured homes, net	$	—	(19,574)	$	(19,574)	$	—	$	(1,378)	$	(1,378)
Other assets, net	$	21,763	(15,907)	$	5,856	$	23,168	$	(21,311)	$	1,857
Net cash provided by operating activities	$	194,461	(35,481)	$	158,980	$	177,331	(22,689)		$	154,642

Investing Activities
Capital improvements	$	(96,455)	35,481	$	(60,974)	$	(83,647)	$	22,689	$	(60,958)
Net cash used in investing activities	$	(101,928)	35,481	$	(66,447)	$	(105,182)	$	22,689	$	(82,493)

Cash and restricted cash, end of period	$	30,661	—	$	30,661	$	38,120	—		$	38,120

In addition, capital improvements in our Home Sales and Rental Operations segment shown in Note 14. Reportable Segments has been updated to reflect the restatement to our Consolidated Statements of Cash Flows.