Revenues |
The following tables present segment revenues, profit and assets with reconciliations to the amounts reported for the consolidated enterprise, where applicable: | | | | | | | | | | | | | | | | | | | | Three Months Ended June 30, | | Six Months Ended June 30, | | | 2018 | | 2017 | | 2018 | | 2017 | Revenues: | | | | | | | | | Homebuilding Mid Atlantic | | $ | 973,677 |
| | $ | 872,148 |
| | $ | 1,816,173 |
| | $ | 1,594,416 |
| Homebuilding North East | | 147,618 |
| | 127,541 |
| | 270,332 |
| | 233,771 |
| Homebuilding Mid East | | 363,288 |
| | 313,237 |
| | 653,525 |
| | 556,268 |
| Homebuilding South East | | 265,880 |
| | 199,788 |
| | 500,526 |
| | 375,846 |
| Mortgage Banking | | 36,842 |
| | 31,778 |
| | 76,163 |
| | 61,283 |
| Total consolidated revenues | | $ | 1,787,305 |
| | $ | 1,544,492 |
| | $ | 3,316,719 |
| | $ | 2,821,584 |
|
|
Profit before Taxes |
| | | | | | | | | | | | | | | | | | | | Three Months Ended June 30, | | Six Months Ended June 30, | | | 2018 | | 2017 | | 2018 | | 2017 | Income before taxes: | | | | | | | | | Homebuilding Mid Atlantic | | $ | 112,221 |
| | $ | 100,621 |
| | $ | 203,268 |
| | $ | 165,109 |
| Homebuilding North East | | 16,777 |
| | 14,112 |
| | 32,481 |
| | 23,218 |
| Homebuilding Mid East | | 42,174 |
| | 35,986 |
| | 69,385 |
| | 58,145 |
| Homebuilding South East | | 29,203 |
| | 22,911 |
| | 52,440 |
| | 37,481 |
| Mortgage Banking | | 19,685 |
| | 18,004 |
| | 42,235 |
| | 33,957 |
| Total segment profit before taxes | | 220,060 |
| | 191,634 |
| | 399,809 |
| | 317,910 |
| Reconciling items: | | | | | | | | | Contract land deposit reserve adjustment (1) | | 592 |
| | (2,064 | ) | | 2,720 |
| | (2,792 | ) | Equity-based compensation expense (2) | | (18,595 | ) | | (10,878 | ) | | (28,104 | ) | | (21,467 | ) | Corporate capital allocation (3) | | 53,954 |
| | 49,646 |
| | 104,653 |
| | 95,833 |
| Unallocated corporate overhead | | (22,503 | ) | | (23,360 | ) | | (53,787 | ) | | (50,594 | ) | Consolidation adjustments and other | | 14,109 |
| | 9,614 |
| | 19,311 |
| | 13,427 |
| Corporate interest expense | | (6,031 | ) | | (5,624 | ) | | (12,018 | ) | | (11,188 | ) | Reconciling items sub-total | | 21,526 |
| | 17,334 |
| | 32,775 |
| | 23,219 |
| Consolidated income before taxes | | $ | 241,586 |
| | $ | 208,968 |
| | $ | 432,584 |
| | $ | 341,129 |
|
| | (1) | This item represents changes to the contract land deposit impairment reserve, which are not allocated to the reportable segments. |
| | (2) | The increase in equity-based compensation expense in the three and six month periods ended June 30, 2018 was primarily attributable to the issuance of Options and RSUs in the second quarter of 2018. See Note 7 for additional discussion of equity-based compensation. |
| | (3) | This item represents the elimination of the corporate capital allocation charge included in the respective homebuilding reportable segments. The corporate capital allocation charge is based on the segment’s monthly average asset balance, and was as follows for the periods presented: |
| | | | | | | | | | | | | | | | | | | | Three Months Ended June 30, | | Six Months Ended June 30, | | | 2018 | | 2017 | | 2018 | | 2017 | Corporate capital allocation charge: | | | | | | | | | Homebuilding Mid Atlantic | | $ | 31,501 |
| | $ | 31,005 |
| | $ | 61,949 |
| | $ | 60,130 |
| Homebuilding North East | | 4,580 |
| | 4,133 |
| | 8,760 |
| | 7,947 |
| Homebuilding Mid East | | 9,057 |
| | 7,535 |
| | 17,030 |
| | 14,277 |
| Homebuilding South East | | 8,816 |
| | 6,973 |
| | 16,914 |
| | 13,479 |
| Total | | $ | 53,954 |
| | $ | 49,646 |
| | $ | 104,653 |
| | $ | 95,833 |
|
|
Assets |
| | | | | | | | | | | | June 30, 2018 | | December 31, 2017 | Assets: | | | | | Homebuilding Mid Atlantic | | $ | 1,139,958 |
| | $ | 1,079,225 |
| Homebuilding North East | | 155,089 |
| | 143,008 |
| Homebuilding Mid East | | 322,718 |
| | 263,019 |
| Homebuilding South East | | 315,599 |
| | 277,705 |
| Mortgage Banking | | 448,779 |
| | 397,052 |
| Total segment assets | | 2,382,143 |
| | 2,160,009 |
| Reconciling items: | | | | | Cash and cash equivalents | | 417,341 |
| | 645,087 |
| Deferred taxes | | 116,295 |
| | 111,953 |
| Intangible assets and goodwill | | 50,066 |
| | 50,144 |
| Contract land deposit reserve | | (27,279 | ) | | (29,999 | ) | Consolidation adjustments and other | | 70,829 |
| | 52,085 |
| Reconciling items sub-total | | 627,252 |
| | 829,270 |
| Consolidated assets | | $ | 3,009,395 |
| | $ | 2,989,279 |
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