XML 66 R26.htm IDEA: XBRL DOCUMENT v3.19.3.a.u2
Segment Information, Nature of Operations, and Certain Concentrations (Tables)
 12 Months Ended
Dec. 31, 2019
Segment Reporting [Abstract]  
Revenues
Following are tables presenting segment revenues, profit before taxes, assets, interest income, interest expense, depreciation and amortization and expenditures for property and equipment, with reconciliations to the amounts reported for the consolidated enterprise, where applicable:
 
 
Year Ended December 31,
 
 
2019
 
2018
 
2017
Revenues:
 
 
 
 
 
 
Homebuilding Mid Atlantic
 
$
3,901,573

 
$
3,893,358

 
$
3,543,687

Homebuilding North East
 
514,804

 
580,726

 
517,141

Homebuilding Mid East
 
1,501,139

 
1,455,834

 
1,250,165

Homebuilding South East
 
1,303,328

 
1,074,386

 
864,528

Mortgage Banking
 
167,820

 
159,370

 
130,319

Consolidated revenues
 
$
7,388,664

 
$
7,163,674

 
$
6,305,840
Profit before Taxes
 
 
Year Ended December 31,
 
 
2019
 
2018
 
2017
Profit before taxes:
 
 
 
 
 
 
Homebuilding Mid Atlantic
 
$
478,537

 
$
462,178

 
$
398,494

Homebuilding North East
 
51,728

 
69,789

 
60,218

Homebuilding Mid East
 
173,374

 
175,134

 
149,639

Homebuilding South East
 
155,144

 
118,296

 
95,826

Mortgage Banking
 
105,292

 
93,462

 
73,959

Total segment profit
 
964,075

 
918,859

 
778,136

Reconciling items:
 
 
 
 
 
 
Equity-based compensation expense (1)
 
(78,532
)
 
(75,701
)
 
(44,562
)
Corporate capital allocation (2)
 
224,468

 
213,903

 
198,384

Unallocated corporate overhead
 
(105,125
)
 
(89,973
)
 
(89,514
)
Consolidation adjustments and other
 
45,130

 
16,612

 
27,450

Corporate interest expense
 
(24,221
)
 
(23,968
)
 
(22,983
)
Reconciling items sub-total
 
61,720

 
40,873

 
68,775

Consolidated profit before taxes
 
$
1,025,795

 
$
959,732

 
$
846,911



(1)
The increase in equity-based compensation expense for the year ended December 31, 2018 was primarily attributable to the issuance of Options and RSUs in the second quarter of 2018. See Note 12 for additional discussion of equity-based compensation.
(2)
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 years presented:
Assets
 
 
As of December 31,
 
 
2019
 
2018
Assets:
 
 
 
 
Homebuilding Mid Atlantic
 
$
1,024,996

 
$
1,018,953

Homebuilding North East
 
166,860

 
144,412

Homebuilding Mid East
 
293,773

 
290,815

Homebuilding South East
 
400,979

 
332,468

Mortgage Banking
 
560,407

 
517,075

Total segment assets
 
2,447,015

 
2,303,723

Reconciling items:
 
 
 
 
Cash and cash equivalents
 
1,110,892

 
688,783

Deferred taxes
 
115,731

 
112,333

Intangible assets and goodwill
 
49,834

 
49,989

Operating lease right-of-use assets
 
63,825

 
—

Contract land deposit reserve
 
(27,572
)
 
(29,216
)
Consolidation adjustments and other
 
50,090

 
40,321

Reconciling items sub-total
 
1,362,800

 
862,210

Consolidated assets
 
$
3,809,815

 
$
3,165,933
Interest Income
 
 
Year Ended December 31,
 
 
2019
 
2018
 
2017
Interest income:
 
 
 
 
 
 
Mortgage Banking
 
$
12,142

 
$
11,593

 
$
7,850

Total segment interest income
 
12,142

 
11,593

 
7,850

Other unallocated interest income
 
20,635

 
8,588

 
4,554

Consolidated interest income
 
$
32,777

 
$
20,181

 
$
12,404
Interest Expense
 
 
Year Ended December 31,
 
 
2019
 
2018
 
2017
Interest expense:
 
 
 
 
 
 
Homebuilding Mid Atlantic
 
$
123,178

 
$
123,908

 
$
123,075

Homebuilding North East
 
19,804

 
17,897

 
16,117

Homebuilding Mid East
 
37,266

 
35,804

 
29,663

Homebuilding South East
 
44,334

 
36,362

 
29,583

Mortgage Banking
 
1,045

 
1,045

 
1,148

Total segment interest expense
 
225,627

 
215,016

 
199,586

Corporate capital allocation (2)
 
(224,468
)
 
(213,903
)
 
(198,384
)
Senior Notes and other interest
 
24,221

 
23,968

 
22,983

Consolidated interest expense
 
$
25,380

 
$
25,081

 
$
24,185
Depreciation and Amortization
 
 
Year Ended December 31,
 
 
2019
 
2018
 
2017
Depreciation and amortization:
 
 
 
 
 
 
Homebuilding Mid Atlantic
 
$
7,069

 
$
7,753

 
$
8,095

Homebuilding North East
 
1,411

 
1,600

 
2,034

Homebuilding Mid East
 
4,348

 
3,481

 
3,590

Homebuilding South East
 
3,086

 
2,523

 
2,531

Mortgage Banking
 
1,581

 
1,489

 
1,297

Total segment depreciation and amortization
 
17,495

 
16,846

 
17,547

Unallocated corporate
 
3,323

 
3,322

 
5,120

Consolidated depreciation and amortization
 
$
20,818

 
$
20,168

 
$
22,667
Expenditures for Property and Equipment
 
 
Year Ended December 31,
 
 
2019
 
2018
 
2017
Expenditures for property and equipment:
 
 
 
 
 
 
Homebuilding Mid Atlantic
 
$
9,218

 
$
6,657

 
$
9,257

Homebuilding North East
 
2,000

 
1,074

 
1,299

Homebuilding Mid East
 
5,221

 
4,302

 
3,117

Homebuilding South East
 
3,944

 
2,732

 
3,313

Mortgage Banking
 
899

 
1,677

 
2,723

Total segment expenditures for property and equipment
 
21,282

 
16,442

 
19,709

Unallocated corporate
 
1,417

 
3,223

 
560

Consolidated expenditures for property and equipment
 
$
22,699

 
$
19,665

 
$
20,269
Corporate Capital Allocation Charge
 
 
Year Ended December 31,
 
 
2019
 
2018
 
2017
Corporate capital allocation charge:
 
 

 
 
 
 
Homebuilding Mid Atlantic
 
$
123,130

 
$
123,855

 
$
123,028

Homebuilding North East
 
19,755

 
17,893

 
16,115

Homebuilding Mid East
 
37,263

 
35,803

 
29,663

Homebuilding South East
 
44,320

 
36,352

 
29,578

Total corporate capital allocation charge
 
$
224,468

 
$
213,903

 
$
198,384