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Segment Disclosures
 3 Months Ended
Mar. 31, 2024
Segment Reporting [Abstract]  
Segment Disclosures Segment Disclosures
We disclose four homebuilding reportable segments that aggregate geographically our homebuilding operating segments, and we present our mortgage banking operations as one reportable segment. The homebuilding
reportable segments are comprised of operating divisions in the following geographic areas:
Mid Atlantic: Maryland, Virginia, West Virginia, Delaware and Washington, D.C.
North East: New Jersey and Eastern Pennsylvania
Mid East: New York, Ohio, Western Pennsylvania, Indiana and Illinois
South East: North Carolina, South Carolina, Tennessee, Florida, Georgia and Kentucky
Homebuilding profit before tax includes all revenues and income generated from the sale of homes, less the cost of homes sold, selling, general and administrative expenses and a corporate capital allocation charge. The corporate capital allocation charge is eliminated in consolidation and is based on the segment’s average net assets employed. The corporate capital allocation charged to the operating segment allows the Chief Operating Decision Maker (“CODM”) to determine whether the operating segment’s results are providing the desired rate of return after covering our cost of capital.  
Assets not allocated to the operating segments are not included in either the operating segment’s corporate capital allocation charge or the CODM’s evaluation of the operating segment’s performance. We record charges on contract land deposits when it is determined that it is probable that recovery of the deposit is impaired. For segment reporting purposes, impairments on contract land deposits are generally charged to the operating segment upon the termination of an LPA with the developer, or the restructuring of an LPA resulting in the forfeiture of the deposit. Mortgage banking profit before tax consists of revenues generated from mortgage financing, title insurance and closing services, less the costs of such services and general and administrative costs. Mortgage banking operations are not charged a corporate capital allocation charge.
In addition to the corporate capital allocation and contract land deposit impairments discussed above, the other reconciling items between segment profit and consolidated profit before tax include unallocated corporate overhead (including all management incentive compensation), equity-based compensation expense, consolidation adjustments and external corporate interest expense. Our overhead functions such as accounting, treasury and human resources are centrally performed and these costs are not allocated to our operating segments. Consolidation adjustments consist of such items necessary to convert the reportable segments’ results, which are predominantly maintained on a cash basis, to a full accrual basis for external financial statement presentation purposes, and are not allocated to our operating segments. External corporate interest expense primarily consists of interest charges on our 3.00% Senior Notes due 2030 (the “Senior Notes”), which are not charged to the operating segments because the charges are included in the corporate capital allocation discussed above.
The following tables present segment revenues, profit and assets with reconciliations to the amounts reported for the consolidated enterprise, where applicable:
 Three Months Ended March 31,
 20242023
Revenues:
Homebuilding Mid Atlantic$1,017,471 $941,148 
Homebuilding North East255,669 183,430 
Homebuilding Mid East416,951 402,397 
Homebuilding South East596,086 604,358 
Mortgage Banking47,286 46,944 
Total consolidated revenues$2,333,463 $2,178,277 
Three Months Ended March 31,
 20242023
Income before taxes:
Homebuilding Mid Atlantic$189,964 $159,038 
Homebuilding North East46,858 32,060 
Homebuilding Mid East66,401 56,468 
Homebuilding South East91,405 125,409 
Mortgage Banking29,656 29,427 
Total segment profit before taxes424,284 402,402 
Reconciling items:
Contract land deposit reserve adjustment (1)7,466 3,591 
Equity-based compensation expense (2)(17,141)(22,277)
Corporate capital allocation (3)77,061 69,074 
Unallocated corporate overhead(51,705)(45,965)
Consolidation adjustments and other (2,271)4,000 
Corporate interest expense(6,595)(6,954)
Corporate interest income39,593 29,939 
Reconciling items sub-total46,408 31,408 
Consolidated income before taxes$470,692 $433,810 
(1)This item represents changes to the contract land deposit impairment reserve, which are not allocated to the reportable segments. See further discussion of lot deposit impairment charges in Note 2.
(2)The decrease in equity-based compensation expense for the three-month period ended March 31, 2024 was primarily attributable to the Options and RSUs issued as part of the 2018 four-year block grant being fully vested as of December 31, 2023.
(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 March 31,
 20242023
Corporate capital allocation charge:
Homebuilding Mid Atlantic$33,919 $33,179 
Homebuilding North East9,580 7,325 
Homebuilding Mid East9,865 9,660 
Homebuilding South East23,697 18,910 
Total$77,061 $69,074 

 March 31, 2024December 31, 2023
Assets:
Homebuilding Mid Atlantic$1,303,144 $1,252,360 
Homebuilding North East359,845 314,904 
Homebuilding Mid East384,693 368,154 
Homebuilding South East889,083 796,505 
Mortgage Banking461,829 452,323 
Total segment assets3,398,594 3,184,246 
Reconciling items:
Cash and cash equivalents2,841,354 3,126,472 
Deferred taxes149,958 148,005 
Intangible assets and goodwill49,368 49,368 
Operating lease right-of-use assets66,716 70,384 
Finance lease right-of-use assets14,594 13,310 
Contract land deposit reserve(45,932)(53,397)
Consolidation adjustments and other63,505 63,369 
Reconciling items sub-total3,139,563 3,417,511 
Consolidated assets$6,538,157 $6,601,757