Reporting Segments

6 Months Ended

Jun. 30, 2023

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 18 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 offers a wide range of buyer profiles including: entry-level, 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 entry-level homebuyers, primarily sells homes through retail studios and the

internet, and generally provides no option or upgrade selections. Our Century Complete brand currently has operations in 11 states and it is considered a separate operating segment.

The management of our four Century Communities 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 (Arizona, Colorado, Nevada, and Utah)

Texas

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

Century Complete (Alabama, Arizona, Florida, Georgia, Indiana, Kentucky, Louisiana, Michigan, North Carolina, Ohio, South Carolina)

Commencing in the first quarter of 2023, our Century Complete operations in Texas were realigned and are now managed under our Texas segment. Accordingly, we have presented segment information under this new basis as of and for the three and six months ended June 30, 2023, and we have restated the corresponding segment information for those segments as of December 31, 2022 and for the three and six months ended June 30, 2022.

We have 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 our Corporate operations 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.

Additionally, our wholly owned subsidiary, Century Living, LLC, is engaged in the development, construction and management of multi-family rental properties, currently all located in Colorado. Century Living, LLC is included in our Corporate segment. 

The following table summarizes total revenue and income (loss) before income tax expense by segment (in thousands):

	Three Months Ended June 30,				Six Months Ended June 30,
	2023		2022		2023		2022
Revenue:
West	$	139,292	$	293,839	$	268,373	$	556,548
Mountain		230,103		283,002		476,378		564,362
Texas		126,618		153,389		216,150		291,953
Southeast		117,320		180,556		204,446		330,157
Century Complete		206,581		232,559		391,702		390,370
Financial Services		24,277		22,797		40,132		49,102
Corporate		—		—		—		—
Total revenue	$	844,191	$	1,166,142	$	1,597,181	$	2,182,492
Income (loss) before income tax expense:
West	$	14,966	$	77,945	$	22,939	$	149,187
Mountain		24,689		51,500		52,497		108,503
Texas		11,452		30,664		15,125		53,500
Southeast		17,992		38,782		29,958		69,647
Century Complete		16,348		34,797		30,298		57,219
Financial Services		12,507		8,611		17,581		19,762
Corporate		(29,206)		(28,651)		(55,641)		(55,394)
Total income before income tax expense	$	68,748	$	213,648	$	112,757	$	402,424

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

	June 30,		December 31,
	2023		2022
West	$	676,682	$	665,827
Mountain		1,024,418		1,122,892
Texas		524,317		508,862
Southeast		467,930		415,887
Century Complete		353,034		376,131
Financial Services		367,244		372,284
Corporate		443,023		311,884
Total assets	$	3,856,648	$	3,773,767

Corporate assets primarily include certain cash and cash equivalents, certain property and equipment, costs associated with development of multi-family rental properties, prepaid insurance, and deferred financing costs on our revolving line of credit.