Information on Segments

3 Months Ended

Jan. 31, 2023

Segment Reporting [Abstract]

Information on Segments

Information on Segments

We operate in the following five geographic segments, with current operations generally located in the states listed below:

Eastern Region:

•The North region: Connecticut, Delaware, Illinois, Massachusetts, Michigan, New Jersey, New York and Pennsylvania;

•The Mid-Atlantic region: Georgia, Maryland, North Carolina, Tennessee and Virginia;

•The South region: Florida, South Carolina and Texas;

Western Region:

•The Mountain region: Arizona, Colorado, Idaho, Nevada and Utah;

•The Pacific region: California, Oregon and Washington.

Our geographic reporting segments are consistent with how our chief operating decision makers are assessing operating performance and allocating capital.

At October 31, 2022, we concluded that our City Living operations were no longer a reportable operating segment, primarily due to their insignificance as a result of the change in structure and shift in strategy. Amounts reported in prior periods have been restated to conform to the fiscal 2023 presentation. The realignment did not have any impact on our consolidated financial position, results of operations, earnings per share or cash flows for the periods presented.

Revenues and income (loss) before income taxes for each of our segments, for the periods indicated, were as follows (amounts in thousands):

	Three months ended January 31,
	2023		2022
			(restated)
Revenues:
North	$	322,794	$	355,134
Mid-Atlantic	189,117		242,877
South	392,881		243,519
Mountain	480,212		462,300
Pacific	364,768		384,949
Total home building	1,749,772		1,688,779
Corporate and other	(350)		(1,427)
	1,749,422		1,687,352
Land sales and other revenues	30,747		103,729
Total consolidated	$	1,780,169	$	1,791,081
Income (loss) before income taxes:
North	$	36,634	$	45,667
Mid-Atlantic	22,923		33,448
South	52,446		22,577
Mountain	87,304		71,011
Pacific	78,978		63,055
Total home building	278,285		235,758
Corporate and other	(24,489)		(34,942)
Total consolidated	$	253,796	$	200,816

“Corporate and other” is comprised principally of general corporate expenses such as our executive offices; the corporate finance, accounting, audit, tax, human resources, risk management, information technology, marketing, and legal groups; interest income; income from certain of our ancillary businesses, including our apartment rental development business and our high-rise urban luxury condominium business, and income from our Rental Property Joint Ventures and Gibraltar Joint Ventures.

Total assets for each of our segments, as of the dates indicated, are shown in the table below (amounts in thousands):

	January 31, 2023		October 31, 2022
North	$	1,426,233	$	1,464,995
Mid-Atlantic	1,095,413		1,049,043
South	2,309,441		2,137,568
Mountain	2,816,386		2,785,603
Pacific	2,326,785		2,174,065
Total home building	9,974,258		9,611,274
Corporate and other	2,010,625		2,677,440
Total consolidated	$	11,984,883	$	12,288,714

“Corporate and other” is comprised principally of cash and cash equivalents, restricted cash, investments in our Rental Property Joint Ventures, expected recoveries from insurance carriers and suppliers, our Gibraltar investments and operations, manufacturing facilities, and our mortgage and title subsidiaries.

The amounts we have provided for inventory impairment charges and the expensing of costs that we believe not to be recoverable, for the periods indicated, which are included in home sales cost of revenues, were as follows (amounts in thousands):

	Three months ended January 31,
	2023		2022
			(restated)
North	$	141	$	325
Mid-Atlantic	1,240		441
South	451		143
Mountain	131		102
Pacific	6,041		1,222
Total consolidated	$	8,004	$	2,233

We have also recognized $13.0 million of land impairment charges included in land sales and other cost of revenues during the three-month period ended January 31, 2023, of which $2.7 million and $10.3 million, were in our North and Mid-Atlantic segments, respectively. No similar charges were recognized during the three-month period ended January 31, 2022.