Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Mar. 31, 2020 | Apr. 23, 2020 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Mar. 31, 2020 | |
Document Transition Report | false | |
Entity File Number | 001-36491 | |
Entity Registrant Name | Century Communities, Inc. | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 68-0521411 | |
Entity Address, Address Line One | 8390 East Crescent Parkway | |
Entity Address, Address Line Two | Suite 650 | |
Entity Address, City or Town | Greenwood Village | |
Entity Address, State or Province | CO | |
Entity Address, Postal Zip Code | 80111 | |
City Area Code | 303 | |
Local Phone Number | 770-8300 | |
Title of 12(b) Security | Common stock, par value $0.01 per share | |
Trading Symbol | CCS | |
Security Exchange Name | NYSE | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 33,332,501 | |
Entity Central Index Key | 0001576940 | |
Document Fiscal Period Focus | Q1 | |
Document Fiscal Year Focus | 2020 | |
Current Fiscal Year End Date | --12-31 | |
Amendment Flag | false |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 |
Assets | ||
Cash and cash equivalents | $ 450,973 | $ 55,436 |
Cash held in escrow | 22,497 | 35,308 |
Accounts receivable | 23,087 | 27,438 |
Inventories | 2,074,509 | 1,995,549 |
Mortgage loans held for sale | 141,846 | 185,246 |
Prepaid expenses and other assets | 121,017 | 124,008 |
Property and equipment, net | 35,004 | 35,998 |
Deferred tax assets, net | 11,110 | 10,589 |
Goodwill | 30,395 | 30,395 |
Total assets | 2,910,438 | 2,499,967 |
Liabilities: | ||
Accounts payable | 40,170 | 84,794 |
Accrued expenses and other liabilities | 230,875 | 213,975 |
Notes payable | 899,166 | 896,704 |
Revolving line of credit | 521,900 | 68,700 |
Mortgage repurchase facilities | 133,794 | 174,095 |
Total liabilities | 1,825,905 | 1,438,268 |
Stockholders' equity: | ||
Preferred stock, $0.01 par value, 50,000,000 shares authorized, none outstanding | ||
Common stock, $0.01 par value, 100,000,000 shares authorized, 33,319,125 and 33,067,375 shares issued and outstanding at March 31, 2020 and December 31, 2019, respectively | 333 | 331 |
Additional paid-in capital | 681,060 | 684,354 |
Retained earnings | 403,140 | 377,014 |
Total stockholders' equity | 1,084,533 | 1,061,699 |
Total liabilities and stockholders' equity | $ 2,910,438 | $ 2,499,967 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares | Mar. 31, 2020 | Dec. 31, 2019 |
Condensed Consolidated Balance Sheets [Abstract] | ||
Preferred stock, par value | $ 0.01 | $ 0.01 |
Preferred stock shares authorized | 50,000,000 | 50,000,000 |
Preferred stock shares outstanding | 0 | 0 |
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock shares authorized | 100,000,000 | 100,000,000 |
Common stock shares issued | 33,319,125 | 33,067,375 |
Common stock shares outstanding | 33,319,125 | 33,067,375 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Revenues | ||
Total revenues | $ 602,609 | $ 533,057 |
Selling, general and administrative | (73,619) | (68,936) |
Inventory impairment | (781) | |
Other income (expense) | 158 | 76 |
Income before income tax expense | 34,088 | 22,997 |
Income tax expense | (7,962) | (5,880) |
Net income | $ 26,126 | $ 17,117 |
Earnings per share: | ||
Basic | $ 0.79 | $ 0.57 |
Diluted | $ 0.78 | $ 0.56 |
Weighted average common shares outstanding: | ||
Basic | 33,207,928 | 30,203,243 |
Diluted | 33,476,444 | 30,444,276 |
Home Sales [Member] | ||
Revenues | ||
Total revenues | $ 572,710 | $ 523,302 |
Cost of revenues | (470,526) | (433,757) |
Land Sales And Other [Member] | ||
Revenues | ||
Total revenues | 20,104 | 1,355 |
Cost of revenues | (14,167) | (614) |
Homebuilding [Member] | ||
Revenues | ||
Total revenues | 592,814 | 524,657 |
Cost of revenues | (484,693) | (434,371) |
Financial Services [Member] | ||
Revenues | ||
Total revenues | 9,795 | 8,400 |
Cost of revenues | $ (9,586) | $ (6,829) |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Operating activities | ||
Net income | $ 26,126 | $ 17,117 |
Adjustments to reconcile net income to net cash used in operating activities: | ||
Depreciation and amortization | 3,415 | 3,074 |
Stock-based compensation expense | 1,685 | 3,534 |
Inventory impairment and other | 781 | |
Deferred income taxes | (521) | 172 |
Loss on disposition of assets | 330 | 358 |
Changes in assets and liabilities: | ||
Cash held in escrow | 12,811 | (320) |
Accounts receivable | 4,349 | 1,028 |
Inventories | (60,930) | (69,106) |
Prepaid expenses and other assets | 2,000 | (2,659) |
Accounts payable | (44,624) | (15,831) |
Accrued expenses and other liabilities | (1,198) | (11,296) |
Mortgage loans held for sale | 43,400 | 14,529 |
Net cash used in operating activities | (12,376) | (59,400) |
Investing activities | ||
Purchases of property and equipment | (2,686) | (3,270) |
Other investing activities | 59 | (14) |
Net cash used in investing activities | (2,627) | (3,284) |
Financing activities | ||
Borrowings under revolving credit facilities | 678,000 | 288,800 |
Payments on revolving credit facilities | (224,800) | (204,300) |
Principal payments on notes payable | (2,043) | (7,716) |
Proceeds from insurance notes payable | 4,137 | 9,301 |
Net proceeds from mortgage repurchase facilities | (40,302) | (13,689) |
Repurchases of common stock upon vesting of stock-based compensation | (4,977) | (3,166) |
Repurchases of common stock under stock repurchase program | (1,439) | |
Net cash provided by financing activities | 410,015 | 67,791 |
Net increase | 395,012 | 5,107 |
Cash and cash equivalents and Restricted cash, Beginning of period | 58,522 | 36,441 |
Cash and cash equivalents and Restricted cash, End of period | 453,534 | 41,548 |
Supplemental cash flow disclosure | ||
Cash paid for income taxes | ||
Cash and cash equivalents and Restricted cash | ||
Cash and cash equivalents | 450,973 | 38,115 |
Restricted cash (Note 5) | $ 2,561 | $ 3,433 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Stockholders' Equity - USD ($) $ in Thousands | Common Stock [Member] | Additional Paid-In Capital [Member] | Retained Earnings [Member] | Total |
Beginning balance at Dec. 31, 2018 | $ 302 | $ 595,037 | $ 264,020 | $ 859,359 |
Beginning balance (in shares) at Dec. 31, 2018 | 30,155,000 | |||
Repurchase of common stock | (1,438) | $ (1,438) | ||
Repurchase of common stock, shares | (83,000) | (83,000) | ||
Vesting of restricted stock units | $ 3 | (3) | ||
Vesting of restricted stock units, shares | 367,000 | |||
Withholding of common stock upon vesting of restricted stock units | $ (2) | (3,164) | $ (3,166) | |
Withholding of common stock upon vesting of restricted stock units, shares | (135,000) | |||
Stock-based compensation expense | 3,534 | 3,534 | ||
Net income | 17,117 | 17,117 | ||
Ending balance at Mar. 31, 2019 | $ 303 | 593,966 | 281,137 | 875,406 |
Ending balance (in shares) at Mar. 31, 2019 | 30,304,000 | |||
Beginning balance at Dec. 31, 2019 | $ 331 | 684,354 | 377,014 | 1,061,699 |
Beginning balance (in shares) at Dec. 31, 2019 | 33,067,000 | |||
Repurchase of common stock | ||||
Repurchase of common stock, shares | ||||
Vesting of restricted stock units | $ 4 | (4) | ||
Vesting of restricted stock units, shares | 412,000 | |||
Withholding of common stock upon vesting of restricted stock units | $ (2) | (4,975) | $ (4,977) | |
Withholding of common stock upon vesting of restricted stock units, shares | (160,000) | |||
Stock-based compensation expense | 1,685 | 1,685 | ||
Net income | 26,126 | 26,126 | ||
Ending balance at Mar. 31, 2020 | $ 333 | $ 681,060 | $ 403,140 | $ 1,084,533 |
Ending balance (in shares) at Mar. 31, 2020 | 33,319,000 |
Basis of Presentation
Basis of Presentation | 3 Months Ended |
Mar. 31, 2020 | |
Basis of Presentation [Abstract] | |
Basis of Presentation | 1. Basis of Presentation Century Communities, Inc. (which we refer to as “we,” “CCS,” or the “Company”), together with its subsidiaries, is engaged in the development, design, construction, marketing and sale of single-family attached and detached homes in metropolitan areas in 17 states. In many of our projects, in addition to building homes, we are responsible for the entitlement and development of the underlying land. We build and sell homes under our Century Communities and Century Complete brands. Our Century Communities brand targets a wide range of buyer profiles including: first time, 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. Our Century Complete brand, formerly referred to as Wade Jurney Homes, targets first time homebuyers, primarily sells homes through retail studios and the internet, and provides no option or upgrade selections. On February 6, 2020 we announced the rebranding of Wade Jurney Homes to Century Complete. Our homebuilding operations are organized into the following five reportable segments: West, Mountain, Texas, Southeast, and Century Complete. Additionally, our indirect wholly owned subsidiaries, Inspire Home Loans, Inc., Parkway Title, LLC, and IHL Home Insurance Agency, LLC, which provide mortgage, title, and insurance services, respectively, to our homebuyers have been identified as our Financial Services segment . The accompanying unaudited condensed consolidated financial statements of the Company have been prepared in accordance with U.S. generally accepted accounting principles (which we refer to as “GAAP”) for interim financial statements and pursuant to the rules and regulations of the U.S. Securities and Exchange Commission (which we refer to as the “SEC”). In the o pinion of management, the accompanying unaudited condensed consolidated financial statements reflect all adjustments consisting of normal recurring adjustments necessary for a fair presentation of our financial position and results of operations. Interim results of operations are not necessarily indicative of the results that may be achieved for the full year. The financial statements and related notes do not include all information and footnotes required by GAAP and should be read in conjunction with the consolidated financial statements for the year ended December 31, 2019, which are included in our Annual Report on Form 10-K for the fiscal year ended December 31, 2019 that was filed with the SEC on February 7, 2020. The recent outbreak of the novel coronavirus COVID-19, which was declared a pandemic by the World Health Organization on March 11, 2020, has led to adverse impacts on the U.S. and global economies and created uncertainty regarding potential impacts to our operations and customer demand. Through late April, there is still significant uncertainty regarding the duration and severity of the disruption caused by this pandemic. Commencing in March 2020 numerous state and local municipalities issued public health orders with varying expiration dates requiring the closure of nonessential businesses, as well as ordering individuals to stay at home and/or shelter in place whenever possible. General exceptions to shelter in place orders are essential services and critical businesses. As of the date of this filing, other than the state of Michigan and certain municipalities within the Bay Area market of Northern California, construction and sale of residential real estate has been determined to be an essential business, and accordingly our operations have been generally exempted from these applicable health orders. Principles of Consolidation The condensed consolidated financial statements include the accounts of the Company, as well as all subsidiaries in which we have a controlling interest, and variable interest entities for which the Company is deemed to be the primary beneficiary. We currently do not have any variable interest entities in which we are deemed the primary beneficiary. All intercompany accounts and transactions have been eliminated. Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Accordingly, actual results could differ from those estimates. Recently Adopted Accounting Standards Financial Instruments - Credit Losses In June 2016, the FASB issued ASU 2016-13, Financial Instruments – Credit Losses (Topic 326) . The standard changes the accounting for credit losses for most financial assets and certain other instruments. Credit losses which have historically been accounted for on an incurred loss basis will now be accounted for using an estimate of lifetime expected credit losses. This will generally result in earlier recognition of allowances for credit losses. We adopted this standard on January 1, 2020 with no material effect on the consolidated financial statements and related disclosures. Internal-Use Software In August 2018, the FASB issued ASU 2018-15, Intangibles—Goodwill and Other—Internal-Use Software (Subtopic 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract (a consensus of the FASB Emerging Issues Task Force) . This update is intended to help entities evaluate the accounting for fees paid by a customer in a cloud computing arrangement by providing guidance for determining when the arrangement includes a software license. We adopted this standard on January 1, 2020 with no material effect on the consolidated financial statements and related disclosures. Recently Issued Accounting Standards In December 2019, the FASB issued Accounting Standards Update No. 2019-12, “ Income Taxes (Topic 740) : Simplifying the Accounting for Income Taxes” (“ASU 2019-12”). The standard simplifies the accounting for income taxes, eliminates certain exceptions, and clarifies certain aspects of ASC 740 to promote consistency among reporting entities. ASU 2019-12 is effective for us beginning January 1, 2021. We do not expect this standard to have a material effect on the consolidated financial statements and related disclosures. |
Reporting Segments
Reporting Segments | 3 Months Ended |
Mar. 31, 2020 | |
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 17 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 targets a wide range of buyer profiles including: first time, 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 first time homebuyers, primarily sells homes through retail studios and the internet, and provides no option or upgrade selections. Our Century Complete brand currently has operations in 11 states and is managed separately from our four geographic regions. Accordingly, it is considered a separate operating segment. The management of our four 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 (Colorado, Nevada and Utah) Texas Southeast (Georgia, North Carolina, South Carolina and Tennessee) Century Complete (Alabama, Arizona, Florida, Georgia, Indiana, Iowa, Michigan, North Carolina, Ohio, South Carolina, and Texas) We have also 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 they 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. The following table summarizes total revenue and income before income tax expense by segment (in thousands ): Three Months Ended March 31, 2020 2019 Revenue: West $ 131,887 $ 112,120 Mountain 171,152 159,666 Texas 60,164 50,486 Southeast 131,502 112,812 Century Complete 98,109 89,573 Financial Services 9,795 8,400 Corporate — — Total revenue $ 602,609 $ 533,057 Income (loss) before income tax expense: West $ 15,341 $ 8,648 Mountain 18,498 19,308 Texas 5,484 3,749 Southeast 8,308 5,739 Century Complete 780 3,973 Financial Services 209 1,590 Corporate ( 14,532 ) ( 20,010 ) Total income before income tax expense $ 34,088 $ 22,997 The following table summarizes total assets by operating segment (in thousands): March 31, December 31, 2020 2019 West $ 634,491 $ 610,248 Mountain 707,925 635,201 Texas 233,247 232,887 Southeast 425,309 441,818 Century Complete 233,394 244,827 Financial Services 223,109 254,282 Corporate 452,963 80,704 Total assets $ 2,910,438 $ 2,499,967 Corporate assets primarily include certain cash and cash equivalents, certain property and equipment, prepaid insurance, and deferred financing costs on our revolving line of credit. |
Inventories
Inventories | 3 Months Ended |
Mar. 31, 2020 | |
Inventories [Abstract] | |
Inventories | 3. Inventories Inventories included the following (in thousands): March 31, December 31, 2020 2019 Homes under construction $ 1,119,989 $ 1,091,576 Land and land development 883,683 836,904 Capitalized interest 70,837 67,069 Total inventories $ 2,074,509 $ 1,995,549 |
Financial Services
Financial Services | 3 Months Ended |
Mar. 31, 2020 | |
Financial Services [Abstract] | |
Financial Services | 4. Financial Services Our Financial Services are principally comprised of our mortgage lending operations, Inspire Home Loans, Inc. (which we refer to as “Inspire”). Inspire is a full-service mortgage lender and primarily originates mortgage loans for our homebuyers. Inspire sells substantially all of the loans it originates and their related servicing rights in the secondary mortgage market within a short period of time after origination, generally within 30 days. Inspire primarily finances these loans using its mortgage repurchase facilities. Mortgage loans in process for which interest rates were committed to borrowers totaled approximately $ 125.0 million and $ 37.6 million at March 31, 2020 and December 31, 2019, respectively, and carried a weighted average interest rate of approximately 3.4 %, and 3.9 %, respectively. As of March 31, 2020 and December 31, 2019, Inspire had mortgage loans held for sale with an aggregate fair value of $ 141.8 million and $ 185.2 million, respectively, and an aggregate outstanding principal balance of $ 137.8 million and $ 179.3 million, respectively. Mortgage loans held-for-sale, including the rights to service the mortgage loans, as well as the derivative instrument used to economically hedge our interest rate risk, which are typically forward commitments on mortgage backed securities, are carried at fair value and changes in fair value are reflected in financial services revenue on the condensed consolidated statement of operations. Management believes carrying loans held-for-sale and the derivative instruments used to economically hedge them at fair value improves financial reporting by more accurately reflecting the underlying transaction. Refer to Note 11 – Fair Value Disclosures for further information regarding our derivative instruments. |
Prepaid Expenses and Other Asse
Prepaid Expenses and Other Assets | 3 Months Ended |
Mar. 31, 2020 | |
Prepaid Expenses and Other Assets [Abstract] | |
Prepaid Expenses and Other Assets | 5. Prepaid Expenses and Other Assets Prepaid expenses and other assets included the following (in thousands): March 31, December 31, 2020 2019 Prepaid insurance $ 27,497 $ 26,175 Lot option and escrow deposits 43,637 48,810 Right of use assets 17,538 18,854 Performance deposits 5,776 6,299 Deferred financing costs revolving line of credit, net 4,231 4,574 Restricted cash (1) 2,561 3,085 Secured notes receivable 2,571 2,602 Other assets and prepaid expenses 7,714 8,633 Mortgage loans held for investment and derivative assets 9,349 4,768 Amortizable intangible assets, net 143 208 Total prepaid expenses and other assets $ 121,017 $ 124,008 (1) Restricted cash consists of earnest money deposits for home sale contracts held by third parties as required by various jurisdictions, and certain pledge balances associated with our mortgage repurchase facilities. |
Accrued Expenses and Other Liab
Accrued Expenses and Other Liabilities | 3 Months Ended |
Mar. 31, 2020 | |
Accrued Expenses and Other Liabilities [Abstract] | |
Accrued Expenses and Other Liabilities | 6. Accrued Expenses and Other Liabilities Accrued expenses and other liabilities included the following (in thousands): March 31, December 31, 2020 2019 Earnest money deposits $ 15,898 $ 10,592 Warranty reserve 9,727 9,731 Accrued compensation costs 16,322 30,888 Land development and home construction accruals 126,930 110,284 Lease liabilities - operating leases 18,065 19,306 Accrued interest 17,323 14,562 Income taxes payable 2,453 329 Liability for product financing arrangement and other 24,157 18,283 Total accrued expenses and other liabilities $ 230,875 $ 213,975 |
Warranties
Warranties | 3 Months Ended |
Mar. 31, 2020 | |
Warranties [Abstract] | |
Warranties | 7. Warranties Estimated future direct warranty costs are accrued and charged to cost of home sales revenues in the period when the related home sales revenues are recognized. Amounts accrued, which are included in accrued expenses and other liabilities on the consolidated balance sheets, are based upon historical experience rates. We subsequently assess the adequacy of our warranty accrual on a quarterly basis through an internal model that incorporates historical payment trends and adjust the amounts recorded if necessary. Based on warranty payment trends relative to our estimates at the time of home closing, we reduced our warranty reserve by $ 1.1 million and increased our reserve by $ 22 thousand during the three months ended March 31, 2020 and 2019, respectively, which is included in cost of home sales revenues on our consolidated statements of operations. Changes in our warranty accrual for the three months ended March 31, 2020 and 2019 are detailed in the table below (in thousands) : Three Months Ended March 31, 2020 2019 Beginning balance $ 9,731 $ 7,970 Warranty expense provisions 1,777 1,661 Payments ( 689 ) ( 1,020 ) Warranty adjustment ( 1,092 ) 22 Ending balance $ 9,727 $ 8,633 |
Debt
Debt | 3 Months Ended |
Mar. 31, 2020 | |
Debt [Abstract] | |
Debt | 8. Debt Our outstanding debt obligations included the following as of March 31, 2020 and December 31, 2019 (in thousands): March 31, December 31, 2020 2019 6.750 % senior notes, due May 2027 (1) $ 494,499 $ 494,307 5.875 % senior notes, due July 2025 (1) 396,296 396,120 Other financing obligations 8,371 6,277 Notes payable 899,166 896,704 Revolving line of credit, due April 2023 521,900 68,700 Mortgage repurchase facilities 133,794 174,095 Total debt $ 1,554,860 $ 1,139,499 (1) The carrying value of senior notes reflects the impact of premiums, discounts, and issuance costs that are amortized to interest cost over the respective terms of the senior notes. Revolving Line of Credit We are party to an Amended and Restated Credit Agreement with Texas Capital Bank, National Association, as Administrative Agent and L/C Issuer, the lenders party thereto and certain of our subsidiaries, which, as amended most recently on December 13, 2019, provides us with a revolving line of credit of up to $ 640.0 million, and unless terminated earlier, will mature on April 30, 2023 . Under the terms of the Amended and Restated Credit Agreement, we may request a twelve-month extension of the maturity date. Our obligations under the Amended and Restated Credit Agreement are guaranteed by certain of our subsidiaries. The Amended and Restated Credit Agreement contains customary affirmative and negative covenants (including limitations on our ability to grant liens, incur additional debt, pay dividends, redeem our common stock, make certain investments and engage in certain merger, consolidation or asset sale transactions), as well as customary events of default. These covenants are measured as defined in the Amended and Restated Credit Agreement and are reported to the lenders quarterly. Borrowings under the Amended and Restated Credit Agreement bear interest at a floating rate equal to the adjusted Eurodollar Rate plus an applicable margin between 2.60 % and 3.10 % per annum, or, in the Administrative Agent’s discretion, a base rate plus an applicable margin between 1.60 % and 2.10 % per annum. As of March 31, 2020, we had $ 521.9 million outstanding under the credit facility and were in compliance with all covenants. Mortgage Repurchase Facilities – Financial Services On May 4, 2018, September 14, 2018, and August 1, 2019, Inspire entered into mortgage warehouse facilities, with Comerica Bank, J.P. Morgan, and Wells Fargo, respectively. The mortgage warehouse lines of credit (which we refer to as the “repurchase facilities”) provide Inspire with uncommitted repurchase facilities of up to an aggregate of $ 225 million, secured by the mortgage loans financed thereunder. Amounts outstanding under the repurchase facilities are not guaranteed by us or any of our subsidiaries and the agreements contain various affirmative and negative covenants applicable to Inspire that are customary for arrangements of this type. As of March 31, 2020, we had $ 133.8 million outstanding under these repurchase facilities and were in compliance with all covenants thereunder. During the three months ended March 31, 2020 and 2019, we incurred interest expense on the repurchase facilities of $ 0.7 million and $ 0.6 million, respectively, which are included in financial services costs on our condensed consolidated statements of operations. |
Interest
Interest | 3 Months Ended |
Mar. 31, 2020 | |
Interest [Abstract] | |
Interest | 9. Interest Interest is capitalized to inventories while the related communities are being actively developed and until homes are completed. As our qualifying assets exceeded our outstanding debt during the three months ended March 31, 2020 and 2019, we capitalized all interest costs incurred during these periods, except for interest incurred on our mortgage repurchase facilities. Our interest costs are as follows (in thousands): Three Months Ended March 31, 2020 2019 Interest capitalized beginning of period $ 67,069 $ 53,842 Interest capitalized during period 17,453 17,866 Less: capitalized interest in cost of sales ( 13,685 ) ( 12,587 ) Interest capitalized end of period $ 70,837 $ 59,121 |
Income Taxes
Income Taxes | 3 Months Ended |
Mar. 31, 2020 | |
Income Taxes [Abstract] | |
Income Taxes | 10 . Income Taxes At the end of each interim period we are required to estimate our annual effective tax rate for the fiscal year, and to use that rate to provide for income taxes for the current year-to-date reporting period. Our 2020 estimated annual effective tax rate of 23.7 % is driven by our blended federal and state statutory rate of 25.4 %, and certain other permanent differences between GAAP and tax which decreased our rate by 1.7 %. For the three months ended March 31, 2020, our estimated annual rate of 23.7 % was impacted by discrete items which had a net impact of decreasing our rate by 0.3 %, including excess tax benefits for vested stock-based compensation . For the three months ended March 31, 2020 and 2019, we recorded income tax expense of $ 8.0 million and $ 5.9 million, respectively. |
Fair Value Disclosures
Fair Value Disclosures | 3 Months Ended |
Mar. 31, 2020 | |
Fair Value Disclosures [Abstract] | |
Fair Value Disclosures | 11. Fair Value Disclosures Accounting Standards Codification Topic 820, Fair Value Measurement , defines fair value as the price that would be received for selling an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date and requires assets and liabilities carried at fair value to be classified and disclosed in the following three categories: Level 1 — Quoted prices for identical instruments in active markets. Level 2 — Quoted prices for similar instruments in active markets; quoted prices for identical or similar instruments in markets that are inactive; and model-derived valuations in which all significant inputs and significant value drivers are observable in active markets at measurement date. Level 3 — Valuations derived from techniques where one or more significant inputs or significant value drivers are unobservable in active markets at measurement date. The following table presents carrying values and estimated fair values of financial instruments (in thousands): March 31, 2020 December 31, 2019 Hierarchy Carrying Fair Value Carrying Fair Value Secured notes receivable (1) Level 2 $ 2,571 $ 2,522 $ 2,602 $ 2,545 Mortgage loans held for sale (2) Level 2 $ 141,846 $ 141,846 $ 185,246 $ 185,246 Derivative assets (3) Level 2 $ 2,962 $ 2,962 $ 1,382 $ 1,382 5.875 % senior notes (4)(5) Level 2 $ 396,296 $ 335,520 $ 396,120 $ 415,680 6.750 % senior notes (4)(5) Level 2 $ 494,499 $ 414,700 $ 494,307 $ 537,500 Revolving line of credit (6) Level 3 $ 521,900 $ 521,900 $ 68,700 $ 68,700 Other financing obligations (6)(7) Level 2 $ 8,371 $ 8,371 $ 6,277 $ 6,277 Derivative liabilities (3) Level 2 $ 3,159 $ 3,159 $ 147 $ 147 Mortgage repurchase facilities (6) Level 2 $ 133,794 $ 133,794 $ 174,095 $ 174,095 (1) Estimated fair value of the secured notes receivable was based on cash flow models discounted at market interest rates which considered the underlying risks of the note. (2) The mortgage loans held for sale are carried at fair value, which is based on quoted market prices for committed mortgage loans. (3) Derivative instruments are carried at fair value and based on market prices for similar instruments. Changes in fair value are reflected in financial services revenue on the condensed consolidated statement of operations. Derivative assets are presented within prepaid expenses and other assets on the condensed consolidated balance sheets. Derivative liabilities are presented within accrued expenses and other liabilities on the condensed consolidated balance sheets. (4) Estimated fair value of the senior notes is based on recent trading activity in inactive markets. (5) Carrying amounts include any associated unamortized deferred financing costs, premiums and discounts. As of March 31, 2020, these amounts totaled $ 5.5 million and $ 3.7 million for the 6.750 % senior notes and 5.875 % senior notes, respectively. As of December 31, 2019, these amounts totaled $ 5.7 million and $ 3.9 million for the 6.875 % senior notes and 5.875 % senior notes, respectively. (6) Carrying amount approximates fair value due to short-term nature and interest rate terms. (7) Insurance premium notes including in other financing obligations bore interest rates ranging from 3.278 % to 3.240 % during the periods ending March 31, 2020 and December 31, 2019. During the three months ended March 31, 2020, we determined that inventory with a carrying value before impairment of $ 2.3 million within one community was not recoverable. Accordingly, we recognized an impairment charge of $ 0.8 million to reflect the estimated fair value of the community of $ 1.5 million. The estimated fair value of the community was determined through a discounted cash flow approach utilizing Level 3 inputs. This inventory impairments was primarily incurred in the Century Complete segment. The carrying amount of cash and cash equivalents approximates fair value. Non-financial assets and liabilities include items such as inventory and property and equipment that are measured at fair value when acquired and resulting from impairment, if deemed necessary. |
Stock-Based Compensation
Stock-Based Compensation | 3 Months Ended |
Mar. 31, 2020 | |
Stock-Based Compensation [Abstract] | |
Stock-Based Compensation | 12. Stock-Based Compensation During the three months ended March 31, 2020, we granted restricted stock units (which we refer to as “RSUs”) covering 0.3 million shares of common stock with a grant date fair value of $ 31.19 per share that vest over a three year period. During the three months ended March 31, 2020 we did no t grant any additional performance share units (which we refer to as “PSUs”), however our recognition of stock based expense associated with previously granted PSU awards was updated to reflect probable financial results as they relate to the performance goals of the awards. Accordingly, our estimate of the number of shares which will ultimately vest under our PSU awards decreased by 0.3 million, and we recorded a cumulative catch-up adjustment to decrease stock-based compensation expense of $ 2.4 million . A summary of our outstanding RSUs and PSUs, assuming target level of performance, are as follows (in thousands, except years): As of March 31, 2020 Unvested units 814 Unrecognized compensation cost $ 13,823 Period to recognize compensation cost 1.39 years During the three months ended March 31, 2020 and 2019, we recognized stock-based compensation expense of $ 1.7 million and $ 3.5 million, respectively. Stock-based compensation expense is included in selling, general, and administrative expense on our condensed consolidated statements of operations. |
Stockholders' Equity
Stockholders' Equity | 3 Months Ended |
Mar. 31, 2020 | |
Stockholders' Equity [Abstract] | |
Stockholders' Equity | 13. Stockholders’ Equity Our authorized capital stock consists of 100.0 million shares of common stock, par value $ 0.01 per share, and 50.0 million shares of preferred stock, par value $ 0.01 per share. As of March 31, 2020, and December 31, 2019, there were 33.3 million and 33.1 million shares of common stock issued and outstanding, respectively. On May 10, 2017, our stockholders approved the adoption of the Century Communities, Inc. 2017 Omnibus Incentive Plan (which we refer to as our “2017 Incentive Plan”), which replaced our First Amended & Restated 2013 Long-Term Incentive Plan. We had reserved a total of 1.8 million shares of our common stock for issuance under our First Amended & Restated 2013 Long-Term Incentive Plan, of which approximately 0.6 million shares rolled over into the 2017 Incentive Plan when it became effective. On May 8, 2019, our stockholders approved the Century Communities, Inc. Amended and Restated 2017 Omnibus Incentive Plan (which we refer to as our “Amended 2017 Incentive Plan”), which increased the number of shares of our common stock authorized for issuance under the 2017 Incentive Plan by an additional 1.631 million shares. We issued 0.4 million and 0.4 million shares of common stock related to the vesting of RSUs during the three months ended March 31, 2020 and 2019, respectively. As of March 31, 2020, approximately 1.7 million shares of common stock remained available for issuance under the Amended 2017 Incentive Plan. On November 27, 2019, we entered into a Distribution Agreement with J.P. Morgan Securities LLC, BofA Securities, Inc., Citigroup Global Markets Inc., and Fifth Third Securities, Inc. (which we refer to as the “Distribution Agreement”), as sales agents pursuant to which we may offer and sell shares of our common stock having an aggregate offering price of up to $ 100.0 million from time to time through any of the sales agents party thereto in “at-the-market” offerings, in accordance with the terms and conditions set forth in the Distribution Agreement. This Distribution Agreement, which superseded and replaced a prior similar Distribution Agreement, had all $ 100 million available for sale as of March 31, 2020. We did no t sell or issue any shares of our common stock during the three months ended March 31, 2020 or the three months ended March 31, 2019. The Distribution Agreement will remain in full force and effect until terminated by either party pursuant to the terms of the agreement or such date that the maximum offering amount has been sold in accordance with the terms of the agreement . In November 2018, we authorized a stock repurchase program, under which we may repurchase up to 4,500,000 shares of our outstanding common stock. During the three months ended March 31, 2020 we did no t repurchase any shares of common stock while during the three months ended March 31, 2019, we repurchased 83,000 shares of common stock under this program for approximately $ 1.4 million. |
Earnings Per Share
Earnings Per Share | 3 Months Ended |
Mar. 31, 2020 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | 14. Earnings Per Share We use the treasury stock method to calculate earnings per share as our currently issued non-vested RSUs and PSUs do not have participating rights. The following table sets forth the computation of basic and diluted EPS for the three months ended March 31, 2020 and 2019 (in thousands, except share and per share information): Three Months Ended March 31, 2020 2019 Numerator Net income $ 26,126 $ 17,117 Denominator Weighted average common shares outstanding - basic 33,207,928 30,203,243 Dilutive effect of restricted stock units 268,516 241,033 Weighted average common shares outstanding - diluted 33,476,444 30,444,276 Earnings per share: Basic $ 0.79 $ 0.57 Diluted $ 0.78 $ 0.56 Stock-based awards are excluded from the calculation of diluted EPS in the event they are subject to unsatisfied performance conditions or are antidilutive. We excluded 0.6 million and 0.3 million common unit equivalents from diluted earnings per share during the three months ended March 31, 2020 and 2019, respectively, related to the PSUs for which performance conditions remain unsatisfied. |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2020 | |
Commitments and Contingencies [Abstract] | |
Commitments and Contingencies | 15. Commitments and Contingencies Letters of Credit and Performance Bonds In the normal course of business, we post letters of credit and performance bonds related to our land development performance obligations with local municipalities. As of March 31, 2020, and December 31, 2019, we had $ 343.7 million and $ 344.1 million, respectively, in letters of credit and performance bonds issued and outstanding. Litigation We are subject to claims and lawsuits that arise primarily in the ordinary course of business, which consist primarily of construction defect claims. It is the opinion of our management that if the claims have merit, parties other than the Company would be, at least in part, liable for the claims, and the eventual outcome of these claims will not have a material adverse effect upon our consolidated financial condition, results of operations, or cash flows. When we believe that a loss is probable and estimable, we record a charge to selling, general, and administrative expense on our condensed consolidated statements of operations for our estimated loss. Under various insurance policies, we have the ability to recoup costs in excess of applicable self-insured retentions. Estimates of such amounts are recorded in other assets when recovery is probable. We do not believe that the ultimate resolution of any claims and lawsuits will have a material adverse effect upon our consolidated financial position, results of operations, or cash flows. |
Supplemental Guarantor Informat
Supplemental Guarantor Information | 3 Months Ended |
Mar. 31, 2020 | |
Supplemental Guarantor Information [Abstract] | |
Supplemental Guarantor Information | 16. Supplemental Guarantor Information Our 5.875 % senior notes due 2025 and 6.750 % senior notes due 2027 (which we collectively refer to as our “Senior Notes ”) are our unsecured senior obligations and are fully and unconditionally guaranteed on an unsecured basis, jointly and severally, by substantially all of our direct and indirect wholly-owned operating subsidiaries (which we refer to collectively as “Guarantors”). In addition, our former 6.875 % senior notes due 2022 which were extinguished during the second quarter of 2019, were our unsecured senior obligations and were fully and unconditionally guaranteed on an unsecured basis, jointly and severally, by the Guarantors. Each of the indentures governing our Senior Notes provides that the guarantees of a Guarantor will be automatically and unconditionally released and discharged: (1) upon any sale, transfer, exchange or other disposition (by merger, consolidation or otherwise) of all of the equity interests of such Guarantor after which the applicable Guarantor is no longer a “Restricted Subsidiary” (as defined in the respective indentures ), which sale, transfer, exchange or other disposition does not constitute an “Asset Sale” (as defined in the respective indentures ) or is made in compliance with applicable provisions of the applicable indenture ; (2) upon any sale, transfer, exchange or other disposition (by merger, consolidation or otherwise) of all of the assets of such Guarantor, which sale, transfer, exchange or other disposition does not constitute an Asset Sale or is made in compliance with applicable provisions of the applicable indenture ; provided, that after such sale, transfer, exchange or other disposition, such Guarantor is an “Immaterial Subsidiary” (as defined in the respective indentures ); (3) unless a default has occurred and is continuing, upon the release or discharge of such Guarantor from its guarantee of any indebtedness for borrowed money of the Company and the Guarantors so long as such Guarantor would not then otherwise be required to provide a guarantee pursuant to the applicable indenture ; provided that if such Guarantor has incurred any indebtedness in reliance on its status as a Guarantor in compliance with applicable provisions of the applicable Indenture, such Guarantor’s obligations under such indebtedness, as the case may be, so incurred are satisfied in full and discharged or are otherwise permitted to be incurred by a Restricted Subsidiary (other than a Guarantor) in compliance with applicable provisions of the applicable Indenture; (4) upon the designation of such Guarantor as an “Unrestricted Subsidiary” (as defined in the respective Indentures), in accordance with the applicable indenture ; (5) if the Company exercises its legal defeasance option or covenant defeasance option under the applicable indenture or if the obligations of the Company and the Guarantors are discharged in compliance with applicable provisions of the applicable indenture , upon such exercise or discharge; or (6) in connection with the dissolution of such Guarantor under applicable law in accordance with the applicable indenture . The indenture governing our former 6.875 % senior notes due 2022 contained a similar provision. As the guarantees were made in connection with exchange offers effected in February 2015, October 2015 and April 2017 and the issuance of the 5.875 % senior notes due 2025 and of the 6.750 % senior notes due 2027 , the Guarantors’ condensed financial information is presented as if the guarantees existed during the periods presented. If any Guarantors are released from the guarantees in future periods, the changes are reflected prospectively. We have determined that separate, full financial statements of the Guarantors would not be material to investors, and accordingly, supplemental financial information is presented below: Supplemental Condensed Consolidated Balance Sheet As of March 31, 2020 ( in thousands ) Guarantor Non Guarantor Elimination Consolidated Century Subsidiaries Subsidiaries Entries Century Assets Cash and cash equivalents $ 401,069 6,404 43,500 — $ 450,973 Cash held in escrow — 22,497 — — 22,497 Accounts receivable 8,000 13,684 19,003 ( 17,600 ) 23,087 Investment in consolidated subsidiaries 2,097,867 — — ( 2,097,867 ) — Inventories — 2,074,509 — — 2,074,509 Mortgage loans held for sale — — 141,846 — 141,846 Prepaid expenses and other assets 9,449 95,096 16,472 — 121,017 Deferred tax assets, net 11,110 — — — 11,110 Property and equipment, net 15,240 18,595 1,169 — 35,004 Goodwill — 30,395 — — 30,395 Total assets $ 2,542,735 $ 2,261,180 $ 221,990 $ ( 2,115,467 ) $ 2,910,438 Liabilities and stockholders’ equity Liabilities: Accounts payable $ 588 38,963 619 — $ 40,170 Accrued expenses and other liabilities 44,919 189,848 13,708 ( 17,600 ) 230,875 Notes payable 890,795 8,371 — — 899,166 Revolving line of credit 521,900 — — — 521,900 Mortgage repurchase facilities — — 133,794 — 133,794 Total liabilities 1,458,202 237,182 148,121 ( 17,600 ) 1,825,905 Stockholders’ equity: 1,084,533 2,023,998 73,869 ( 2,097,867 ) 1,084,533 Total liabilities and stockholders’ equity $ 2,542,735 $ 2,261,180 $ 221,990 $ ( 2,115,467 ) $ 2,910,438 Supplemental Condensed Consolidated Balance Sheet As of December 31, 2019 ( in thousands ) Guarantor Non Guarantor Elimination Consolidated Century Subsidiaries Subsidiaries Entries Century Assets Cash and cash equivalents $ 1,577 — 53,859 — $ 55,436 Cash held in escrow — 35,308 — — 35,308 Accounts receivable 15,363 12,327 ( 252 ) — 27,438 Investment in consolidated subsidiaries 1,996,703 — — ( 1,996,703 ) — Inventories — 1,995,549 — — 1,995,549 Mortgage loans held for sale — — 185,246 — 185,246 Prepaid expenses and other assets 9,539 101,321 13,148 — 124,008 Deferred tax assets, net 10,589 — — — 10,589 Property and equipment, net 15,256 19,614 1,128 — 35,998 Goodwill — 30,395 — — 30,395 Total assets $ 2,049,027 $ 2,194,514 $ 253,129 $ ( 1,996,703 ) $ 2,499,967 Liabilities and stockholders’ equity Liabilities: Accounts payable $ ( 13 ) 83,853 954 — $ 84,794 Accrued expenses and other liabilities 28,214 173,403 12,358 — 213,975 Notes payable 890,427 6,277 — — 896,704 Revolving line of credit 68,700 — — — 68,700 Mortgage repurchase facilities — — 174,095 — 174,095 Total liabilities 987,328 263,533 187,407 — 1,438,268 Stockholders’ equity: 1,061,699 1,930,981 65,722 ( 1,996,703 ) 1,061,699 Total liabilities and stockholders’ equity $ 2,049,027 $ 2,194,514 $ 253,129 $ ( 1,996,703 ) $ 2,499,967 Supplemental Condensed Consolidated Statement of Operations For the Three Months Ended March 31, 2020 ( in thousands ) Guarantor Non Guarantor Elimination Consolidated Century Subsidiaries Subsidiaries Entries CCS Revenues Homebuilding revenues Home sales revenues $ — $ 572,710 $ — $ — $ 572,710 Land sales and other revenues — 20,104 — — 20,104 Total homebuilding revenues — 592,814 — — 592,814 Financial services revenue — — 9,795 — 9,795 Total revenues — 592,814 9,795 — 602,609 Homebuilding cost of revenues Cost of home sales revenues — ( 470,526 ) — — ( 470,526 ) Cost of land sales and other revenues — ( 14,167 ) — — ( 14,167 ) Total homebuilding cost of revenues — ( 484,693 ) — — ( 484,693 ) Financial services costs — — ( 9,586 ) — ( 9,586 ) Selling, general and administrative ( 13,475 ) ( 60,144 ) — — ( 73,619 ) Inventory impairment — ( 781 ) — — ( 781 ) Equity in earnings from consolidated subsidiaries 35,428 — — ( 35,428 ) — Other income (expense) 326 ( 304 ) 136 — 158 Income before income tax expense 22,279 46,892 345 ( 35,428 ) 34,088 Income tax expense 3,847 ( 11,723 ) ( 86 ) — ( 7,962 ) Net income $ 26,126 $ 35,169 $ 259 $ ( 35,428 ) $ 26,126 Supplemental Condensed Consolidated Statement of Operations For the Three Months Ended March 31, 2019 ( in thousands ) Guarantor Non Guarantor Elimination Consolidated Century Subsidiaries Subsidiaries Entries Century Revenues Homebuilding revenues Home sales revenues $ — $ 523,302 $ — $ — $ 523,302 Land sales and other revenues — 1,355 — — 1,355 Total homebuilding revenues — 524,657 — — 524,657 Financial services revenue — — 8,400 — 8,400 Total revenues — 524,657 8,400 — 533,057 Homebuilding cost of revenues Cost of home sales revenues — ( 433,757 ) — — ( 433,757 ) Cost of land sales and other revenues — ( 614 ) — — ( 614 ) Total homebuilding cost of revenues — ( 434,371 ) — — ( 434,371 ) Financial services costs — — ( 6,829 ) — ( 6,829 ) Selling, general and administrative ( 18,655 ) ( 50,281 ) — — ( 68,936 ) Equity in earnings from consolidated subsidiaries 31,163 — — ( 31,163 ) — Other income (expense) 101 ( 45 ) 20 — 76 Income before income tax expense 12,609 39,960 1,591 ( 31,163 ) 22,997 Income tax expense 4,508 ( 9,990 ) ( 398 ) — ( 5,880 ) Net income $ 17,117 $ 29,970 $ 1,193 $ ( 31,163 ) $ 17,117 Supplemental Condensed Consolidated Statement of Cash Flows For the Three Months Ended March 31, 2020 ( in thousands ) Guarantor Non Guarantor Elimination Consolidated Century Subsidiaries Subsidiaries Entries Century Net cash provided by/(used in) operating activities $ ( 652 ) $ ( 33,043 ) $ 21,319 $ — $ ( 12,376 ) Net cash provided by/(used in) investing activities $ ( 48,079 ) $ ( 1,670 ) $ ( 146 ) $ 47,268 $ ( 2,627 ) Financing activities Borrowings under revolving credit facilities $ 678,000 — — — $ 678,000 Payments on revolving credit facilities ( 224,800 ) — — — ( 224,800 ) Principal payments on notes payable — ( 2,043 ) — — ( 2,043 ) Proceeds from insurance notes payable — 4,137 — — 4,137 Net proceeds from mortgage repurchase facilities — — ( 40,302 ) — ( 40,302 ) Repurchases of common stock upon vesting of stock-based compensation ( 4,977 ) — — — ( 4,977 ) Repurchases of common stock under our stock repurchase program — — — — — Payments from (and advances to) parent/subsidiary — 39,379 7,889 ( 47,268 ) — Net cash provided by/(used in) financing activities $ 448,223 $ 41,473 $ ( 32,413 ) $ ( 47,268 ) $ 410,015 Net increase (decrease) $ 399,492 $ 6,760 $ ( 11,240 ) $ — $ 395,012 Cash and cash equivalents and restricted cash Beginning of period $ 1,577 341 56,604 — $ 58,522 End of period $ 401,069 $ 7,101 $ 45,364 $ — $ 453,534 Cash and cash equivalents $ 401,069 6,404 43,500 — $ 450,973 Restricted Cash — 697 1,864 — 2,561 Cash and cash equivalents and Restricted cash $ 401,069 $ 7,101 $ 45,364 $ — $ 453,534 Supplemental Condensed Consolidated Statement of Cash Flows For the Three Months Ended March 31, 2019 ( in thousands ) Guarantor Non Guarantor Elimination Consolidated Century Subsidiaries Subsidiaries Entries Century Net cash provided by/(used in) operating activities $ ( 36,731 ) $ ( 36,216 ) $ 13,547 $ — $ ( 59,400 ) Net cash provided by/(used in) investing activities ( 44,704 ) $ ( 2,031 ) $ 67 $ 43,384 $ ( 3,284 ) Financing activities — Borrowings under revolving credit facilities $ 288,800 — — — $ 288,800 Payments on revolving credit facilities ( 204,300 ) — — — ( 204,300 ) Principal payments on notes payable — ( 7,716 ) — — ( 7,716 ) Proceeds from insurance notes payable — 9,301 — — 9,301 Net proceeds from mortgage repurchase facilities — — ( 13,689 ) — ( 13,689 ) Repurchases of common stock upon vesting of stock-based compensation ( 3,166 ) — — — ( 3,166 ) Repurchases of common stock under our stock repurchase program ( 1,439 ) — — — ( 1,439 ) Payments from (and advances to) parent/subsidiary — 36,890 6,494 ( 43,384 ) — Net cash provided by/(used in) financing activities $ 79,895 $ 38,475 $ ( 7,195 ) $ ( 43,384 ) $ 67,791 Net increase (decrease) $ ( 1,540 ) $ 228 $ 6,419 $ — $ 5,107 Cash and cash equivalents and restricted cash Beginning of period $ 2,183 4,006 30,252 — $ 36,441 End of period $ 643 $ 4,234 $ 36,671 $ — $ 41,548 Cash and cash equivalents $ 643 2,596 34,876 — $ 38,115 Restricted Cash — 1,638 1,795 — 3,433 Cash and cash equivalents and Restricted cash $ 643 $ 4,234 $ 36,671 $ — $ 41,548 |
Basis of Presentation (Policy)
Basis of Presentation (Policy) | 3 Months Ended |
Mar. 31, 2020 | |
Basis of Presentation [Abstract] | |
Basis of Presentation | Century Communities, Inc. (which we refer to as “we,” “CCS,” or the “Company”), together with its subsidiaries, is engaged in the development, design, construction, marketing and sale of single-family attached and detached homes in metropolitan areas in 17 states. In many of our projects, in addition to building homes, we are responsible for the entitlement and development of the underlying land. We build and sell homes under our Century Communities and Century Complete brands. Our Century Communities brand targets a wide range of buyer profiles including: first time, 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. Our Century Complete brand, formerly referred to as Wade Jurney Homes, targets first time homebuyers, primarily sells homes through retail studios and the internet, and provides no option or upgrade selections. On February 6, 2020 we announced the rebranding of Wade Jurney Homes to Century Complete. Our homebuilding operations are organized into the following five reportable segments: West, Mountain, Texas, Southeast, and Century Complete. Additionally, our indirect wholly owned subsidiaries, Inspire Home Loans, Inc., Parkway Title, LLC, and IHL Home Insurance Agency, LLC, which provide mortgage, title, and insurance services, respectively, to our homebuyers have been identified as our Financial Services segment . The accompanying unaudited condensed consolidated financial statements of the Company have been prepared in accordance with U.S. generally accepted accounting principles (which we refer to as “GAAP”) for interim financial statements and pursuant to the rules and regulations of the U.S. Securities and Exchange Commission (which we refer to as the “SEC”). In the o pinion of management, the accompanying unaudited condensed consolidated financial statements reflect all adjustments consisting of normal recurring adjustments necessary for a fair presentation of our financial position and results of operations. Interim results of operations are not necessarily indicative of the results that may be achieved for the full year. The financial statements and related notes do not include all information and footnotes required by GAAP and should be read in conjunction with the consolidated financial statements for the year ended December 31, 2019, which are included in our Annual Report on Form 10-K for the fiscal year ended December 31, 2019 that was filed with the SEC on February 7, 2020. The recent outbreak of the novel coronavirus COVID-19, which was declared a pandemic by the World Health Organization on March 11, 2020, has led to adverse impacts on the U.S. and global economies and created uncertainty regarding potential impacts to our operations and customer demand. Through late April, there is still significant uncertainty regarding the duration and severity of the disruption caused by this pandemic. Commencing in March 2020 numerous state and local municipalities issued public health orders with varying expiration dates requiring the closure of nonessential businesses, as well as ordering individuals to stay at home and/or shelter in place whenever possible. General exceptions to shelter in place orders are essential services and critical businesses. As of the date of this filing, other than the state of Michigan and certain municipalities within the Bay Area market of Northern California, construction and sale of residential real estate has been determined to be an essential business, and accordingly our operations have been generally exempted from these applicable health orders. |
Principles of Consolidation | Principles of Consolidation The condensed consolidated financial statements include the accounts of the Company, as well as all subsidiaries in which we have a controlling interest, and variable interest entities for which the Company is deemed to be the primary beneficiary. We currently do not have any variable interest entities in which we are deemed the primary beneficiary. All intercompany accounts and transactions have been eliminated. |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Accordingly, actual results could differ from those estimates. |
Recently Adopted And Issued Accounting Standards | Recently Adopted Accounting Standards Financial Instruments - Credit Losses In June 2016, the FASB issued ASU 2016-13, Financial Instruments – Credit Losses (Topic 326) . The standard changes the accounting for credit losses for most financial assets and certain other instruments. Credit losses which have historically been accounted for on an incurred loss basis will now be accounted for using an estimate of lifetime expected credit losses. This will generally result in earlier recognition of allowances for credit losses. We adopted this standard on January 1, 2020 with no material effect on the consolidated financial statements and related disclosures. Internal-Use Software In August 2018, the FASB issued ASU 2018-15, Intangibles—Goodwill and Other—Internal-Use Software (Subtopic 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract (a consensus of the FASB Emerging Issues Task Force) . This update is intended to help entities evaluate the accounting for fees paid by a customer in a cloud computing arrangement by providing guidance for determining when the arrangement includes a software license. We adopted this standard on January 1, 2020 with no material effect on the consolidated financial statements and related disclosures. Recently Issued Accounting Standards In December 2019, the FASB issued Accounting Standards Update No. 2019-12, “ Income Taxes (Topic 740) : Simplifying the Accounting for Income Taxes” (“ASU 2019-12”). The standard simplifies the accounting for income taxes, eliminates certain exceptions, and clarifies certain aspects of ASC 740 to promote consistency among reporting entities. ASU 2019-12 is effective for us beginning January 1, 2021. We do not expect this standard to have a material effect on the consolidated financial statements and related disclosures. |
Reporting Segments (Tables)
Reporting Segments (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Reporting Segments [Abstract] | |
Schedule Of Total Revenue And Pretax Income By Segment | Three Months Ended March 31, 2020 2019 Revenue: West $ 131,887 $ 112,120 Mountain 171,152 159,666 Texas 60,164 50,486 Southeast 131,502 112,812 Century Complete 98,109 89,573 Financial Services 9,795 8,400 Corporate — — Total revenue $ 602,609 $ 533,057 Income (loss) before income tax expense: West $ 15,341 $ 8,648 Mountain 18,498 19,308 Texas 5,484 3,749 Southeast 8,308 5,739 Century Complete 780 3,973 Financial Services 209 1,590 Corporate ( 14,532 ) ( 20,010 ) Total income before income tax expense $ 34,088 $ 22,997 |
Schedule Of Total Assets By Segment | March 31, December 31, 2020 2019 West $ 634,491 $ 610,248 Mountain 707,925 635,201 Texas 233,247 232,887 Southeast 425,309 441,818 Century Complete 233,394 244,827 Financial Services 223,109 254,282 Corporate 452,963 80,704 Total assets $ 2,910,438 $ 2,499,967 |
Inventories (Tables)
Inventories (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Inventories [Abstract] | |
Schedule Of Inventories | March 31, December 31, 2020 2019 Homes under construction $ 1,119,989 $ 1,091,576 Land and land development 883,683 836,904 Capitalized interest 70,837 67,069 Total inventories $ 2,074,509 $ 1,995,549 |
Prepaid Expenses and Other As_2
Prepaid Expenses and Other Assets (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Prepaid Expenses and Other Assets [Abstract] | |
Schedule Of Prepaid Expenses And Other Assets | March 31, December 31, 2020 2019 Prepaid insurance $ 27,497 $ 26,175 Lot option and escrow deposits 43,637 48,810 Right of use assets 17,538 18,854 Performance deposits 5,776 6,299 Deferred financing costs revolving line of credit, net 4,231 4,574 Restricted cash (1) 2,561 3,085 Secured notes receivable 2,571 2,602 Other assets and prepaid expenses 7,714 8,633 Mortgage loans held for investment and derivative assets 9,349 4,768 Amortizable intangible assets, net 143 208 Total prepaid expenses and other assets $ 121,017 $ 124,008 (1) Restricted cash consists of earnest money deposits for home sale contracts held by third parties as required by various jurisdictions, and certain pledge balances associated with our mortgage repurchase facilities. |
Accrued Expenses and Other Li_2
Accrued Expenses and Other Liabilities (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Accrued Expenses and Other Liabilities [Abstract] | |
Schedule Of Accrued Expenses And Other Liabilities | March 31, December 31, 2020 2019 Earnest money deposits $ 15,898 $ 10,592 Warranty reserve 9,727 9,731 Accrued compensation costs 16,322 30,888 Land development and home construction accruals 126,930 110,284 Lease liabilities - operating leases 18,065 19,306 Accrued interest 17,323 14,562 Income taxes payable 2,453 329 Liability for product financing arrangement and other 24,157 18,283 Total accrued expenses and other liabilities $ 230,875 $ 213,975 |
Warranties (Tables)
Warranties (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Warranties [Abstract] | |
Schedule Of Changes In Warranty Accrual | Three Months Ended March 31, 2020 2019 Beginning balance $ 9,731 $ 7,970 Warranty expense provisions 1,777 1,661 Payments ( 689 ) ( 1,020 ) Warranty adjustment ( 1,092 ) 22 Ending balance $ 9,727 $ 8,633 |
Debt (Tables)
Debt (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Debt [Abstract] | |
Schedule Of Outstanding Debt Obligations | March 31, December 31, 2020 2019 6.750 % senior notes, due May 2027 (1) $ 494,499 $ 494,307 5.875 % senior notes, due July 2025 (1) 396,296 396,120 Other financing obligations 8,371 6,277 Notes payable 899,166 896,704 Revolving line of credit, due April 2023 521,900 68,700 Mortgage repurchase facilities 133,794 174,095 Total debt $ 1,554,860 $ 1,139,499 (1) The carrying value of senior notes reflects the impact of premiums, discounts, and issuance costs that are amortized to interest cost over the respective terms of the senior notes. |
Interest (Tables)
Interest (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Interest [Abstract] | |
Schedule Of Capitalized Interest Costs | Three Months Ended March 31, 2020 2019 Interest capitalized beginning of period $ 67,069 $ 53,842 Interest capitalized during period 17,453 17,866 Less: capitalized interest in cost of sales ( 13,685 ) ( 12,587 ) Interest capitalized end of period $ 70,837 $ 59,121 |
Fair Value Disclosures (Tables)
Fair Value Disclosures (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Fair Value Disclosures [Abstract] | |
Schedule Of Carrying Values And Estimated Fair Values Of Financial Instruments | March 31, 2020 December 31, 2019 Hierarchy Carrying Fair Value Carrying Fair Value Secured notes receivable (1) Level 2 $ 2,571 $ 2,522 $ 2,602 $ 2,545 Mortgage loans held for sale (2) Level 2 $ 141,846 $ 141,846 $ 185,246 $ 185,246 Derivative assets (3) Level 2 $ 2,962 $ 2,962 $ 1,382 $ 1,382 5.875 % senior notes (4)(5) Level 2 $ 396,296 $ 335,520 $ 396,120 $ 415,680 6.750 % senior notes (4)(5) Level 2 $ 494,499 $ 414,700 $ 494,307 $ 537,500 Revolving line of credit (6) Level 3 $ 521,900 $ 521,900 $ 68,700 $ 68,700 Other financing obligations (6)(7) Level 2 $ 8,371 $ 8,371 $ 6,277 $ 6,277 Derivative liabilities (3) Level 2 $ 3,159 $ 3,159 $ 147 $ 147 Mortgage repurchase facilities (6) Level 2 $ 133,794 $ 133,794 $ 174,095 $ 174,095 (1) Estimated fair value of the secured notes receivable was based on cash flow models discounted at market interest rates which considered the underlying risks of the note. (2) The mortgage loans held for sale are carried at fair value, which is based on quoted market prices for committed mortgage loans. (3) Derivative instruments are carried at fair value and based on market prices for similar instruments. Changes in fair value are reflected in financial services revenue on the condensed consolidated statement of operations. Derivative assets are presented within prepaid expenses and other assets on the condensed consolidated balance sheets. Derivative liabilities are presented within accrued expenses and other liabilities on the condensed consolidated balance sheets. (4) Estimated fair value of the senior notes is based on recent trading activity in inactive markets. (5) Carrying amounts include any associated unamortized deferred financing costs, premiums and discounts. As of March 31, 2020, these amounts totaled $ 5.5 million and $ 3.7 million for the 6.750 % senior notes and 5.875 % senior notes, respectively. As of December 31, 2019, these amounts totaled $ 5.7 million and $ 3.9 million for the 6.875 % senior notes and 5.875 % senior notes, respectively. (6) Carrying amount approximates fair value due to short-term nature and interest rate terms. (7) Insurance premium notes including in other financing obligations bore interest rates ranging from 3.278 % to 3.240 % during the periods ending March 31, 2020 and December 31, 2019. |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Stock-Based Compensation [Abstract] | |
Summary Of Outstanding RSUs, PSUs And RSAs | As of March 31, 2020 Unvested units 814 Unrecognized compensation cost $ 13,823 Period to recognize compensation cost 1.39 years |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Earnings Per Share [Abstract] | |
Schedule Of Earnings Per Share, Basic And Diluted | Three Months Ended March 31, 2020 2019 Numerator Net income $ 26,126 $ 17,117 Denominator Weighted average common shares outstanding - basic 33,207,928 30,203,243 Dilutive effect of restricted stock units 268,516 241,033 Weighted average common shares outstanding - diluted 33,476,444 30,444,276 Earnings per share: Basic $ 0.79 $ 0.57 Diluted $ 0.78 $ 0.56 |
Supplemental Guarantor Inform_2
Supplemental Guarantor Information (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Supplemental Guarantor Information [Abstract] | |
Supplemental Condensed Consolidated Balance Sheet | Supplemental Condensed Consolidated Balance Sheet As of March 31, 2020 ( in thousands ) Guarantor Non Guarantor Elimination Consolidated Century Subsidiaries Subsidiaries Entries Century Assets Cash and cash equivalents $ 401,069 6,404 43,500 — $ 450,973 Cash held in escrow — 22,497 — — 22,497 Accounts receivable 8,000 13,684 19,003 ( 17,600 ) 23,087 Investment in consolidated subsidiaries 2,097,867 — — ( 2,097,867 ) — Inventories — 2,074,509 — — 2,074,509 Mortgage loans held for sale — — 141,846 — 141,846 Prepaid expenses and other assets 9,449 95,096 16,472 — 121,017 Deferred tax assets, net 11,110 — — — 11,110 Property and equipment, net 15,240 18,595 1,169 — 35,004 Goodwill — 30,395 — — 30,395 Total assets $ 2,542,735 $ 2,261,180 $ 221,990 $ ( 2,115,467 ) $ 2,910,438 Liabilities and stockholders’ equity Liabilities: Accounts payable $ 588 38,963 619 — $ 40,170 Accrued expenses and other liabilities 44,919 189,848 13,708 ( 17,600 ) 230,875 Notes payable 890,795 8,371 — — 899,166 Revolving line of credit 521,900 — — — 521,900 Mortgage repurchase facilities — — 133,794 — 133,794 Total liabilities 1,458,202 237,182 148,121 ( 17,600 ) 1,825,905 Stockholders’ equity: 1,084,533 2,023,998 73,869 ( 2,097,867 ) 1,084,533 Total liabilities and stockholders’ equity $ 2,542,735 $ 2,261,180 $ 221,990 $ ( 2,115,467 ) $ 2,910,438 Supplemental Condensed Consolidated Balance Sheet As of December 31, 2019 ( in thousands ) Guarantor Non Guarantor Elimination Consolidated Century Subsidiaries Subsidiaries Entries Century Assets Cash and cash equivalents $ 1,577 — 53,859 — $ 55,436 Cash held in escrow — 35,308 — — 35,308 Accounts receivable 15,363 12,327 ( 252 ) — 27,438 Investment in consolidated subsidiaries 1,996,703 — — ( 1,996,703 ) — Inventories — 1,995,549 — — 1,995,549 Mortgage loans held for sale — — 185,246 — 185,246 Prepaid expenses and other assets 9,539 101,321 13,148 — 124,008 Deferred tax assets, net 10,589 — — — 10,589 Property and equipment, net 15,256 19,614 1,128 — 35,998 Goodwill — 30,395 — — 30,395 Total assets $ 2,049,027 $ 2,194,514 $ 253,129 $ ( 1,996,703 ) $ 2,499,967 Liabilities and stockholders’ equity Liabilities: Accounts payable $ ( 13 ) 83,853 954 — $ 84,794 Accrued expenses and other liabilities 28,214 173,403 12,358 — 213,975 Notes payable 890,427 6,277 — — 896,704 Revolving line of credit 68,700 — — — 68,700 Mortgage repurchase facilities — — 174,095 — 174,095 Total liabilities 987,328 263,533 187,407 — 1,438,268 Stockholders’ equity: 1,061,699 1,930,981 65,722 ( 1,996,703 ) 1,061,699 Total liabilities and stockholders’ equity $ 2,049,027 $ 2,194,514 $ 253,129 $ ( 1,996,703 ) $ 2,499,967 |
Supplemental Condensed Consolidated Statement Of Operations | Supplemental Condensed Consolidated Statement of Operations For the Three Months Ended March 31, 2020 ( in thousands ) Guarantor Non Guarantor Elimination Consolidated Century Subsidiaries Subsidiaries Entries CCS Revenues Homebuilding revenues Home sales revenues $ — $ 572,710 $ — $ — $ 572,710 Land sales and other revenues — 20,104 — — 20,104 Total homebuilding revenues — 592,814 — — 592,814 Financial services revenue — — 9,795 — 9,795 Total revenues — 592,814 9,795 — 602,609 Homebuilding cost of revenues Cost of home sales revenues — ( 470,526 ) — — ( 470,526 ) Cost of land sales and other revenues — ( 14,167 ) — — ( 14,167 ) Total homebuilding cost of revenues — ( 484,693 ) — — ( 484,693 ) Financial services costs — — ( 9,586 ) — ( 9,586 ) Selling, general and administrative ( 13,475 ) ( 60,144 ) — — ( 73,619 ) Inventory impairment — ( 781 ) — — ( 781 ) Equity in earnings from consolidated subsidiaries 35,428 — — ( 35,428 ) — Other income (expense) 326 ( 304 ) 136 — 158 Income before income tax expense 22,279 46,892 345 ( 35,428 ) 34,088 Income tax expense 3,847 ( 11,723 ) ( 86 ) — ( 7,962 ) Net income $ 26,126 $ 35,169 $ 259 $ ( 35,428 ) $ 26,126 Supplemental Condensed Consolidated Statement of Operations For the Three Months Ended March 31, 2019 ( in thousands ) Guarantor Non Guarantor Elimination Consolidated Century Subsidiaries Subsidiaries Entries Century Revenues Homebuilding revenues Home sales revenues $ — $ 523,302 $ — $ — $ 523,302 Land sales and other revenues — 1,355 — — 1,355 Total homebuilding revenues — 524,657 — — 524,657 Financial services revenue — — 8,400 — 8,400 Total revenues — 524,657 8,400 — 533,057 Homebuilding cost of revenues Cost of home sales revenues — ( 433,757 ) — — ( 433,757 ) Cost of land sales and other revenues — ( 614 ) — — ( 614 ) Total homebuilding cost of revenues — ( 434,371 ) — — ( 434,371 ) Financial services costs — — ( 6,829 ) — ( 6,829 ) Selling, general and administrative ( 18,655 ) ( 50,281 ) — — ( 68,936 ) Equity in earnings from consolidated subsidiaries 31,163 — — ( 31,163 ) — Other income (expense) 101 ( 45 ) 20 — 76 Income before income tax expense 12,609 39,960 1,591 ( 31,163 ) 22,997 Income tax expense 4,508 ( 9,990 ) ( 398 ) — ( 5,880 ) Net income $ 17,117 $ 29,970 $ 1,193 $ ( 31,163 ) $ 17,117 |
Supplemental Condensed Consolidated Statement Of Cash Flows | Supplemental Condensed Consolidated Statement of Cash Flows For the Three Months Ended March 31, 2020 ( in thousands ) Guarantor Non Guarantor Elimination Consolidated Century Subsidiaries Subsidiaries Entries Century Net cash provided by/(used in) operating activities $ ( 652 ) $ ( 33,043 ) $ 21,319 $ — $ ( 12,376 ) Net cash provided by/(used in) investing activities $ ( 48,079 ) $ ( 1,670 ) $ ( 146 ) $ 47,268 $ ( 2,627 ) Financing activities Borrowings under revolving credit facilities $ 678,000 — — — $ 678,000 Payments on revolving credit facilities ( 224,800 ) — — — ( 224,800 ) Principal payments on notes payable — ( 2,043 ) — — ( 2,043 ) Proceeds from insurance notes payable — 4,137 — — 4,137 Net proceeds from mortgage repurchase facilities — — ( 40,302 ) — ( 40,302 ) Repurchases of common stock upon vesting of stock-based compensation ( 4,977 ) — — — ( 4,977 ) Repurchases of common stock under our stock repurchase program — — — — — Payments from (and advances to) parent/subsidiary — 39,379 7,889 ( 47,268 ) — Net cash provided by/(used in) financing activities $ 448,223 $ 41,473 $ ( 32,413 ) $ ( 47,268 ) $ 410,015 Net increase (decrease) $ 399,492 $ 6,760 $ ( 11,240 ) $ — $ 395,012 Cash and cash equivalents and restricted cash Beginning of period $ 1,577 341 56,604 — $ 58,522 End of period $ 401,069 $ 7,101 $ 45,364 $ — $ 453,534 Cash and cash equivalents $ 401,069 6,404 43,500 — $ 450,973 Restricted Cash — 697 1,864 — 2,561 Cash and cash equivalents and Restricted cash $ 401,069 $ 7,101 $ 45,364 $ — $ 453,534 Supplemental Condensed Consolidated Statement of Cash Flows For the Three Months Ended March 31, 2019 ( in thousands ) Guarantor Non Guarantor Elimination Consolidated Century Subsidiaries Subsidiaries Entries Century Net cash provided by/(used in) operating activities $ ( 36,731 ) $ ( 36,216 ) $ 13,547 $ — $ ( 59,400 ) Net cash provided by/(used in) investing activities ( 44,704 ) $ ( 2,031 ) $ 67 $ 43,384 $ ( 3,284 ) Financing activities — Borrowings under revolving credit facilities $ 288,800 — — — $ 288,800 Payments on revolving credit facilities ( 204,300 ) — — — ( 204,300 ) Principal payments on notes payable — ( 7,716 ) — — ( 7,716 ) Proceeds from insurance notes payable — 9,301 — — 9,301 Net proceeds from mortgage repurchase facilities — — ( 13,689 ) — ( 13,689 ) Repurchases of common stock upon vesting of stock-based compensation ( 3,166 ) — — — ( 3,166 ) Repurchases of common stock under our stock repurchase program ( 1,439 ) — — — ( 1,439 ) Payments from (and advances to) parent/subsidiary — 36,890 6,494 ( 43,384 ) — Net cash provided by/(used in) financing activities $ 79,895 $ 38,475 $ ( 7,195 ) $ ( 43,384 ) $ 67,791 Net increase (decrease) $ ( 1,540 ) $ 228 $ 6,419 $ — $ 5,107 Cash and cash equivalents and restricted cash Beginning of period $ 2,183 4,006 30,252 — $ 36,441 End of period $ 643 $ 4,234 $ 36,671 $ — $ 41,548 Cash and cash equivalents $ 643 2,596 34,876 — $ 38,115 Restricted Cash — 1,638 1,795 — 3,433 Cash and cash equivalents and Restricted cash $ 643 $ 4,234 $ 36,671 $ — $ 41,548 |
Basis of Presentation (Narrativ
Basis of Presentation (Narrative) (Details) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020USD ($)statesegment | Dec. 31, 2019USD ($) | |
Basis of Presentation [Abstract] | ||
Number of operating states | state | 17 | |
Number of operating segments | segment | 5 | |
Right of use asset | $ 17,538 | $ 18,854 |
Lease liabilities - operating leases | $ 18,065 | $ 19,306 |
Reporting Segments (Narrative)
Reporting Segments (Narrative) (Details) | 3 Months Ended |
Mar. 31, 2020regionstatesegment | |
Segment Reporting Information [Line Items] | |
Number of operating states | 17 |
Number of reportable segments | segment | 5 |
Century Complete [Member] | |
Segment Reporting Information [Line Items] | |
Number of operating states | 11 |
Number of operating regions | region | 4 |
Reporting Segments (Schedule Of
Reporting Segments (Schedule Of Total Revenue And Pretax Income By Segment) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Segment Reporting Information [Line Items] | ||
Total revenue | $ 602,609 | $ 533,057 |
Total income (loss) before income tax expense | 34,088 | 22,997 |
West [Member] | Operating Segments [Member] | ||
Segment Reporting Information [Line Items] | ||
Total revenue | 131,887 | 112,120 |
Total income (loss) before income tax expense | 15,341 | 8,648 |
Mountain [Member] | Operating Segments [Member] | ||
Segment Reporting Information [Line Items] | ||
Total revenue | 171,152 | 159,666 |
Total income (loss) before income tax expense | 18,498 | 19,308 |
Texas [Member] | Operating Segments [Member] | ||
Segment Reporting Information [Line Items] | ||
Total revenue | 60,164 | 50,486 |
Total income (loss) before income tax expense | 5,484 | 3,749 |
Southeast [Member] | Operating Segments [Member] | ||
Segment Reporting Information [Line Items] | ||
Total revenue | 131,502 | 112,812 |
Total income (loss) before income tax expense | 8,308 | 5,739 |
Century Complete [Member] | Operating Segments [Member] | ||
Segment Reporting Information [Line Items] | ||
Total revenue | 98,109 | 89,573 |
Total income (loss) before income tax expense | 780 | 3,973 |
Financial Services [Member] | Operating Segments [Member] | ||
Segment Reporting Information [Line Items] | ||
Total revenue | 9,795 | 8,400 |
Total income (loss) before income tax expense | 209 | 1,590 |
Corporate [Member] | Operating Segments [Member] | ||
Segment Reporting Information [Line Items] | ||
Total income (loss) before income tax expense | $ (14,532) | $ (20,010) |
Reporting Segments (Schedule _2
Reporting Segments (Schedule Of Total Assets By Segment) (Details) - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 |
Segment Reporting Information [Line Items] | ||
Total assets | $ 2,910,438 | $ 2,499,967 |
West [Member] | Operating Segments [Member] | ||
Segment Reporting Information [Line Items] | ||
Total assets | 634,491 | 610,248 |
Mountain [Member] | Operating Segments [Member] | ||
Segment Reporting Information [Line Items] | ||
Total assets | 707,925 | 635,201 |
Texas [Member] | Operating Segments [Member] | ||
Segment Reporting Information [Line Items] | ||
Total assets | 233,247 | 232,887 |
Southeast [Member] | Operating Segments [Member] | ||
Segment Reporting Information [Line Items] | ||
Total assets | 425,309 | 441,818 |
Century Complete [Member] | Operating Segments [Member] | ||
Segment Reporting Information [Line Items] | ||
Total assets | 233,394 | 244,827 |
Financial Services [Member] | Operating Segments [Member] | ||
Segment Reporting Information [Line Items] | ||
Total assets | 223,109 | 254,282 |
Corporate [Member] | Operating Segments [Member] | ||
Segment Reporting Information [Line Items] | ||
Total assets | $ 452,963 | $ 80,704 |
Inventories (Schedule Of Invent
Inventories (Schedule Of Inventories) (Details) - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 | Mar. 31, 2019 | Dec. 31, 2018 |
Inventories [Abstract] | ||||
Homes under construction | $ 1,119,989 | $ 1,091,576 | ||
Land and land development | 883,683 | 836,904 | ||
Capitalized interest | 70,837 | 67,069 | $ 59,121 | $ 53,842 |
Total inventories | $ 2,074,509 | $ 1,995,549 |
Financial Services (Narrative)
Financial Services (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended |
Mar. 31, 2020 | Dec. 31, 2019 | |
Financial Services [Line Items] | ||
Mortgage loans in process | $ 125,000 | $ 37,600 |
Mortgage loans held for sale | $ 141,846 | $ 185,246 |
Weighted Average [Member] | ||
Financial Services [Line Items] | ||
Interest rate | 3.40% | 3.90% |
Inspire [Member] | ||
Financial Services [Line Items] | ||
Mortgage loans held for sale | $ 141,800 | $ 185,200 |
Mortgage loans held for sale aggregate outstanding principal balance | $ 137,800 | $ 179,300 |
Prepaid Expenses and Other As_3
Prepaid Expenses and Other Assets (Schedule Of Prepaid Expenses And Other Assets) (Details) - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 | |
Prepaid Expenses and Other Assets [Abstract] | |||
Prepaid insurance | $ 27,497 | $ 26,175 | |
Lot option and escrow deposits | 43,637 | 48,810 | |
Right of use assets | 17,538 | 18,854 | |
Performance deposits | 5,776 | 6,299 | |
Deferred financing costs revolving line of credit, net | 4,231 | 4,574 | |
Restricted cash | [1] | 2,561 | 3,085 |
Secured notes receivable | 2,571 | 2,602 | |
Other assets and prepaid expenses | 7,714 | 8,633 | |
Mortgage loans held for investment and derivative assets | 9,349 | 4,768 | |
Amortizable intangible assets, net | 143 | 208 | |
Total prepaid expenses and other assets | $ 121,017 | $ 124,008 | |
[1] | Restricted cash consists of earnest money deposits for home sale contracts held by third parties as required by various jurisdictions, and certain pledge balances associated with our mortgage repurchase facilities. |
Accrued Expenses and Other Li_3
Accrued Expenses and Other Liabilities (Schedule Of Accrued Expenses And Other Liabilities) (Details) - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 | Mar. 31, 2019 | Dec. 31, 2018 |
Accrued Expenses and Other Liabilities [Abstract] | ||||
Earnest money deposits | $ 15,898 | $ 10,592 | ||
Warranty reserve | 9,727 | 9,731 | $ 8,633 | $ 7,970 |
Accrued compensation costs | 16,322 | 30,888 | ||
Land development and home construction accruals | 126,930 | 110,284 | ||
Lease liabilities - operating leases | 18,065 | 19,306 | ||
Accrued interest | 17,323 | 14,562 | ||
Income taxes payable | 2,453 | 329 | ||
Liability for product financing arrangement and other | 24,157 | 18,283 | ||
Total accrued expenses and other liabilities | $ 230,875 | $ 213,975 |
Warranties (Narrative) (Details
Warranties (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Warranties [Abstract] | ||
Warranty adjustment | $ (1,092) | $ 22 |
Warranties (Schedule Of Changes
Warranties (Schedule Of Changes In Warranty Accrual) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Warranties [Abstract] | ||
Beginning balance | $ 9,731 | $ 7,970 |
Warranty expense provisions | 1,777 | 1,661 |
Payments | (689) | (1,020) |
Warranty adjustment | (1,092) | 22 |
Ending balance | $ 9,727 | $ 8,633 |
Debt (Narrative) (Details)
Debt (Narrative) (Details) - USD ($) | Dec. 13, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | Dec. 31, 2019 |
Debt Instrument [Line Items] | ||||
Line of credit facility, outstanding amount | $ 521,900,000 | $ 68,700,000 | ||
Mortgage repurchase facilities | 133,794,000 | $ 174,095,000 | ||
Base Rate [Member] | Minimum | Texas Capital Bank [Member] | Revolving Credit Facility [Member] | ||||
Debt Instrument [Line Items] | ||||
Basis spread on variable rate | 1.60% | |||
Base Rate [Member] | Maximum | Texas Capital Bank [Member] | Revolving Credit Facility [Member] | ||||
Debt Instrument [Line Items] | ||||
Basis spread on variable rate | 2.10% | |||
Amended And Restated Credit Agreement [Member] | Revolving Credit Facility [Member] | ||||
Debt Instrument [Line Items] | ||||
Maturity date | Apr. 30, 2023 | |||
Line of credit facility. maximum borrowing capacity | $ 640,000,000 | |||
Line of credit facility, outstanding amount | 521,900,000 | |||
Amended And Restated Credit Agreement [Member] | Eurodollar Rate [Member] | Minimum | Revolving Credit Facility [Member] | ||||
Debt Instrument [Line Items] | ||||
Basis spread on variable rate | 2.60% | |||
Amended And Restated Credit Agreement [Member] | Eurodollar Rate [Member] | Maximum | Texas Capital Bank [Member] | Revolving Credit Facility [Member] | ||||
Debt Instrument [Line Items] | ||||
Basis spread on variable rate | 3.10% | |||
Mortgage Repurchase Facilities - Financial Services [Member] | ||||
Debt Instrument [Line Items] | ||||
Mortgage repurchase facilities | 133,800,000 | |||
Incurred interest expense | 700,000 | $ 600,000 | ||
Mortgage Repurchase Facilities - Financial Services [Member] | Maximum | Inspire [Member] | ||||
Debt Instrument [Line Items] | ||||
Principal amount | $ 225,000,000 |
Debt (Schedule Of Outstanding D
Debt (Schedule Of Outstanding Debt Obligations) (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2020 | Dec. 31, 2019 | ||
Debt Instrument [Line Items] | |||
Notes payable | $ 899,166 | $ 896,704 | |
Revolving line of credit | 521,900 | 68,700 | |
Mortgage repurchase facilities | 133,794 | 174,095 | |
Total debt | 1,554,860 | 1,139,499 | |
Senior Notes 6.750% Due May 2027 [Member] | |||
Debt Instrument [Line Items] | |||
Notes payable | [1] | $ 494,499 | 494,307 |
Interest rate | 6.75% | ||
Maturity date | 2027-05 | ||
Senior Notes 5.875% Due July 2025 [Member] | |||
Debt Instrument [Line Items] | |||
Notes payable | [1] | $ 396,296 | 396,120 |
Interest rate | 5.875% | ||
Maturity date | 2025-07 | ||
Other Financing Obligations [Member] | |||
Debt Instrument [Line Items] | |||
Notes payable | $ 8,371 | 6,277 | |
Mortgage Repurchase Facilities [Member] | |||
Debt Instrument [Line Items] | |||
Mortgage repurchase facilities | 133,794 | 174,095 | |
Revolving Line Of Credit Due April 2023 [Member] | |||
Debt Instrument [Line Items] | |||
Revolving line of credit | $ 521,900 | $ 68,700 | |
Maturity date | 2023-04 | ||
[1] | The carrying value of senior notes reflects the impact of premiums, discounts, and issuance costs that are amortized to interest cost over the respective terms of the senior notes. |
Interest (Schedule Of Capitaliz
Interest (Schedule Of Capitalized Interest Costs) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Interest [Abstract] | ||
Interest capitalized beginning of period | $ 67,069 | $ 53,842 |
Interest capitalized during period | 17,453 | 17,866 |
Less: capitalized interest in cost of sales | (13,685) | (12,587) |
Interest capitalized end of period | $ 70,837 | $ 59,121 |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | Dec. 31, 2019 | |
Income Taxes [Abstract] | |||
Effective tax rate | 23.70% | 23.70% | |
Blended federal and state statutary rate | 25.40% | ||
Increased to effective tax rate | 1.70% | ||
Percentage of decrease related to rate impacted by discrete items | 0.30% | ||
Income tax expense | $ 7,962 | $ 5,880 |
Fair Value Disclosures (Narrati
Fair Value Disclosures (Narrative) (Details) $ in Millions | 3 Months Ended |
Mar. 31, 2020USD ($) | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |
Inventory impairment charge | $ 0.8 |
Carrying Value [Member] | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |
Inventory carrying value before impairment | 2.3 |
Fair Value [Member] | Level 3 [Member] | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |
Inventory fair value | $ 1.5 |
Fair Value Disclosures (Schedul
Fair Value Disclosures (Schedule Of Carrying Values And Estimated Fair Values Of Financial Instruments) (Details) - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Mortgage loans held for sale | $ 141,846 | $ 185,246 | |
Senior Notes 5.875% [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Carrying amounts include unamortized deferred financing costs, premiums and discounts | $ 3,700 | $ 3,900 | |
Interest rate | 5.875% | 5.875% | |
Senior Notes 6.750% [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Carrying amounts include unamortized deferred financing costs, premiums and discounts | $ 5,500 | ||
Interest rate | 6.75% | ||
Senior Notes 6.875% [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Carrying amounts include unamortized deferred financing costs, premiums and discounts | $ 5,700 | ||
Interest rate | 6.875% | ||
Level 2 [Member] | Senior Notes 5.875% [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Interest rate | 5.875% | ||
Level 2 [Member] | Senior Notes 6.750% [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Interest rate | 6.75% | ||
Level 2 [Member] | Carrying Value [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Secured notes receivable | [1] | $ 2,571 | $ 2,602 |
Mortgage loans held for sale | [2] | 141,846 | 185,246 |
Derivative assets | [3] | 2,962 | 1,382 |
Other financing obligations | [4],[5] | 8,371 | 6,277 |
Derivative liabilities | [3] | 3,159 | 147 |
Mortgage repurchase facilities | [4] | 133,794 | 174,095 |
Level 2 [Member] | Carrying Value [Member] | Senior Notes 5.875% [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
5.875% senior notes | [6],[7] | 396,296 | 396,120 |
Level 2 [Member] | Carrying Value [Member] | Senior Notes 6.750% [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
6.750% senior notes | [6],[7] | 494,499 | 494,307 |
Level 2 [Member] | Fair Value [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Secured notes receivable | [1] | 2,522 | 2,545 |
Mortgage loans held for sale | [2] | 141,846 | 185,246 |
Derivative assets | [3] | 2,962 | 1,382 |
Other financing obligations | [4],[5] | 8,371 | 6,277 |
Derivative liabilities | [3] | 3,159 | 147 |
Mortgage repurchase facilities | [4] | 133,794 | 174,095 |
Level 2 [Member] | Fair Value [Member] | Senior Notes 5.875% [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
5.875% senior notes | [6],[7] | 335,520 | 415,680 |
Level 2 [Member] | Fair Value [Member] | Senior Notes 6.750% [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
6.750% senior notes | [6],[7] | 414,700 | 537,500 |
Level 3 [Member] | Carrying Value [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Revolving line of credit | [4] | 521,900 | 68,700 |
Level 3 [Member] | Fair Value [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Revolving line of credit | [4] | $ 521,900 | $ 68,700 |
Minimum | Insurance Premium Note [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Interest rate | 3.24% | 3.24% | |
Maximum | Insurance Premium Note [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Interest rate | 3.278% | 3.278% | |
[1] | Estimated fair value of the secured notes receivable was based on cash flow models discounted at market interest rates which considered the underlying risks of the note. | ||
[2] | The mortgage loans held for sale are carried at fair value, which is based on quoted market prices for committed mortgage loans. | ||
[3] | Derivative instruments are carried at fair value and based on market prices for similar instruments. Changes in fair value are reflected in financial services revenue on the condensed consolidated statement of operations. Derivative assets are presented within prepaid expenses and other assets on the condensed consolidated balance sheets. Derivative liabilities are presented within accrued expenses and other liabilities on the condensed consolidated balance sheets. | ||
[4] | Carrying amount approximates fair value due to short-term nature and interest rate terms. | ||
[5] | Insurance premium notes including in other financing obligations bore interest rates ranging from 3.278 % to 3.240 % during the periods ending March 31, 2020 and December 31, 2019. | ||
[6] | Carrying amounts include any associated unamortized deferred financing costs, premiums and discounts. As of March 31, 2020, these amounts totaled $ 5.5 million and $ 3.7 million for the 6.750 % senior notes and 5.875 % senior notes, respectively. As of December 31, 2019, these amounts totaled $ 5.7 million and $ 3.9 million for the 6.875 % senior notes and 5.875 % senior notes, respectively. | ||
[7] | Estimated fair value of the senior notes is based on recent trading activity in inactive markets. |
Stock-Based Compensation (Narra
Stock-Based Compensation (Narrative) (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Compensation expense | $ 1.7 | $ 3.5 |
Performance Share Units [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Shares granted | 0 | |
Shares decreased | 0.3 | |
Decrease stock-based compensation expense | $ 2.4 | |
Restricted Stock Units [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Restricted stock granted | 0.3 | |
Grant date fair value | $ 31.19 | |
Awards vesting period | 3 years |
Stock-Based Compensation (Summa
Stock-Based Compensation (Summary Of Outstanding RSUs, PSUs And RSAs) (Details) - Restricted Stock Units And Performance Share Units [Member] shares in Thousands, $ in Thousands | 3 Months Ended |
Mar. 31, 2020USD ($)shares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Unvested units | shares | 814 |
Unrecognized compensation cost | $ | $ 13,823 |
Period to recognize compensation cost | 1 year 4 months 20 days |
Stockholders' Equity (Narrative
Stockholders' Equity (Narrative) (Details) - USD ($) $ / shares in Units, $ in Thousands | Nov. 27, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | Dec. 31, 2019 | May 08, 2019 | Nov. 30, 2018 | May 10, 2017 |
Class of Stock [Line Items] | |||||||
Common stock shares authorized | 100,000,000 | 100,000,000 | |||||
Common stock, par value | $ 0.01 | $ 0.01 | |||||
Preferred stock shares authorized | 50,000,000 | 50,000,000 | |||||
Preferred stock, par value | $ 0.01 | $ 0.01 | |||||
Common stock shares issued | 33,319,125 | 33,067,375 | |||||
Common stock shares outstanding | 33,319,125 | 33,067,375 | |||||
Common stock shares issued related to vesting of RSUs | 400,000 | 400,000 | |||||
Common stock shares sold and issued | 0 | 0 | |||||
Number of shares authorized to be repurchased | 4,500,000 | ||||||
Common stock shares repurchased, shares | 83,000 | ||||||
Common stock shares repurchased, value | $ 1,438 | ||||||
First Amended And Restated 2013 Long-Term Incentive Plan [Member] | |||||||
Class of Stock [Line Items] | |||||||
Common stock shares for stock award issuance | 1,800,000 | ||||||
2017 Incentive Plan [Member] | |||||||
Class of Stock [Line Items] | |||||||
Common stock shares for stock award, available for issuance | 1,700,000 | 1,631,000 | |||||
Common stock shares rolled into plan | 600,000 | ||||||
Distribution Agreement [Member] | |||||||
Class of Stock [Line Items] | |||||||
Aggregate offering price | $ 100,000 | ||||||
Available for sale | $ 100,000 |
Earnings Per Share (Narrative)
Earnings Per Share (Narrative) (Details) - shares shares in Millions | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Earnings Per Share [Abstract] | ||
Anti-dilutive shares related to PSU's granted | 0.6 | 0.3 |
Earnings Per Share (Schedule Of
Earnings Per Share (Schedule Of Earnings Per Share, Basic And Diluted) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Numerator | ||
Net income | $ 26,126 | $ 17,117 |
Denominator | ||
Weighted average common shares outstanding - basic | 33,207,928 | 30,203,243 |
Dilutive effect of restricted stock units | 268,516 | 241,033 |
Weighted average common shares outstanding - diluted | 33,476,444 | 30,444,276 |
Earnings per share: | ||
Basic | $ 0.79 | $ 0.57 |
Diluted | $ 0.78 | $ 0.56 |
Commitments and Contingencies (
Commitments and Contingencies (Narrative) (Details) - USD ($) $ in Millions | Mar. 31, 2020 | Dec. 31, 2019 |
Commitments and Contingencies [Abstract] | ||
Outstanding letters of credit and performance bonds | $ 343.7 | $ 344.1 |
Supplemental Guarantor Inform_3
Supplemental Guarantor Information (Narrative) (Details) | 3 Months Ended |
Mar. 31, 2020 | |
Senior Notes Due 2025 [Member] | |
Debt Instrument [Line Items] | |
Interest rate | 5.875% |
Maturity year | 2025 |
Senior Notes Due 2027 [Member] | |
Debt Instrument [Line Items] | |
Interest rate | 6.75% |
Maturity year | 2027 |
Senior Notes Due 2022 [Member] | |
Debt Instrument [Line Items] | |
Interest rate | 6.875% |
Maturity year | 2022 |
Supplemental Guarantor Inform_4
Supplemental Guarantor Information (Supplemental Condensed Consolidated Balance Sheet) (Details) - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 | Mar. 31, 2019 | Dec. 31, 2018 |
Assets | ||||
Cash and cash equivalents | $ 450,973 | $ 55,436 | $ 38,115 | |
Cash held in escrow | 22,497 | 35,308 | ||
Accounts receivable | 23,087 | 27,438 | ||
Inventories | 2,074,509 | 1,995,549 | ||
Mortgage loans held for sale | 141,846 | 185,246 | ||
Prepaid expenses and other assets | 121,017 | 124,008 | ||
Deferred tax assets, net | 11,110 | 10,589 | ||
Property and equipment, net | 35,004 | 35,998 | ||
Goodwill | 30,395 | 30,395 | ||
Total assets | 2,910,438 | 2,499,967 | ||
Liabilities: | ||||
Accounts payable | 40,170 | 84,794 | ||
Accrued expenses and other liabilities | 230,875 | 213,975 | ||
Notes payable | 899,166 | 896,704 | ||
Revolving line of credit | 521,900 | 68,700 | ||
Mortgage repurchase facilities | 133,794 | 174,095 | ||
Total liabilities | 1,825,905 | 1,438,268 | ||
Stockholders' equity: | 1,084,533 | 1,061,699 | 875,406 | $ 859,359 |
Total liabilities and stockholders' equity | 2,910,438 | 2,499,967 | ||
Parent [Member] | ||||
Assets | ||||
Cash and cash equivalents | 401,069 | 1,577 | 643 | |
Accounts receivable | 8,000 | 15,363 | ||
Investment in consolidated subsidiaries | 2,097,867 | 1,996,703 | ||
Prepaid expenses and other assets | 9,449 | 9,539 | ||
Deferred tax assets, net | 11,110 | 10,589 | ||
Property and equipment, net | 15,240 | 15,256 | ||
Total assets | 2,542,735 | 2,049,027 | ||
Liabilities: | ||||
Accounts payable | 588 | (13) | ||
Accrued expenses and other liabilities | 44,919 | 28,214 | ||
Notes payable | 890,795 | 890,427 | ||
Revolving line of credit | 521,900 | 68,700 | ||
Total liabilities | 1,458,202 | 987,328 | ||
Stockholders' equity: | 1,084,533 | 1,061,699 | ||
Total liabilities and stockholders' equity | 2,542,735 | 2,049,027 | ||
Guarantor Subsidiaries [Member] | ||||
Assets | ||||
Cash and cash equivalents | 6,404 | 2,596 | ||
Cash held in escrow | 22,497 | 35,308 | ||
Accounts receivable | 13,684 | 12,327 | ||
Inventories | 2,074,509 | 1,995,549 | ||
Prepaid expenses and other assets | 95,096 | 101,321 | ||
Property and equipment, net | 18,595 | 19,614 | ||
Goodwill | 30,395 | 30,395 | ||
Total assets | 2,261,180 | 2,194,514 | ||
Liabilities: | ||||
Accounts payable | 38,963 | 83,853 | ||
Accrued expenses and other liabilities | 189,848 | 173,403 | ||
Notes payable | 8,371 | 6,277 | ||
Total liabilities | 237,182 | 263,533 | ||
Stockholders' equity: | 2,023,998 | 1,930,981 | ||
Total liabilities and stockholders' equity | 2,261,180 | 2,194,514 | ||
Non Guarantor Subsidiaries [Member] | ||||
Assets | ||||
Cash and cash equivalents | 43,500 | 53,859 | $ 34,876 | |
Accounts receivable | 19,003 | (252) | ||
Mortgage loans held for sale | 141,846 | 185,246 | ||
Prepaid expenses and other assets | 16,472 | 13,148 | ||
Property and equipment, net | 1,169 | 1,128 | ||
Total assets | 221,990 | 253,129 | ||
Liabilities: | ||||
Accounts payable | 619 | 954 | ||
Accrued expenses and other liabilities | 13,708 | 12,358 | ||
Mortgage repurchase facilities | 133,794 | 174,095 | ||
Total liabilities | 148,121 | 187,407 | ||
Stockholders' equity: | 73,869 | 65,722 | ||
Total liabilities and stockholders' equity | 221,990 | 253,129 | ||
Elimination Entries [Member] | ||||
Assets | ||||
Accounts receivable | (17,600) | |||
Investment in consolidated subsidiaries | (2,097,867) | (1,996,703) | ||
Total assets | (2,115,467) | (1,996,703) | ||
Liabilities: | ||||
Accrued expenses and other liabilities | (17,600) | |||
Total liabilities | (17,600) | |||
Stockholders' equity: | (2,097,867) | (1,996,703) | ||
Total liabilities and stockholders' equity | $ (2,115,467) | $ (1,996,703) |
Supplemental Guarantor Inform_5
Supplemental Guarantor Information (Supplemental Condensed Consolidated Statement Of Operations) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Revenues | ||
Total revenues | $ 602,609 | $ 533,057 |
Selling, general and administrative | (73,619) | (68,936) |
Inventory impairment | (781) | |
Other income (expense) | 158 | 76 |
Income before income tax expense | 34,088 | 22,997 |
Income tax expense | (7,962) | (5,880) |
Net income | 26,126 | 17,117 |
Parent [Member] | ||
Revenues | ||
Selling, general and administrative | (13,475) | (18,655) |
Equity in income of unconsolidated subsidiaries | 35,428 | 31,163 |
Other income (expense) | 326 | 101 |
Income before income tax expense | 22,279 | 12,609 |
Income tax expense | 3,847 | 4,508 |
Net income | 26,126 | 17,117 |
Guarantor Subsidiaries [Member] | ||
Revenues | ||
Total revenues | 592,814 | 524,657 |
Selling, general and administrative | (60,144) | (50,281) |
Inventory impairment | (781) | |
Other income (expense) | (304) | (45) |
Income before income tax expense | 46,892 | 39,960 |
Income tax expense | (11,723) | (9,990) |
Net income | 35,169 | 29,970 |
Non Guarantor Subsidiaries [Member] | ||
Revenues | ||
Total revenues | 9,795 | 8,400 |
Other income (expense) | 136 | 20 |
Income before income tax expense | 345 | 1,591 |
Income tax expense | (86) | (398) |
Net income | 259 | 1,193 |
Elimination Entries [Member] | ||
Revenues | ||
Equity in income of unconsolidated subsidiaries | (35,428) | (31,163) |
Income before income tax expense | (35,428) | (31,163) |
Net income | (35,428) | (31,163) |
Home Sales [Member] | ||
Revenues | ||
Total revenues | 572,710 | 523,302 |
Cost of revenues | (470,526) | (433,757) |
Home Sales [Member] | Guarantor Subsidiaries [Member] | ||
Revenues | ||
Total revenues | 572,710 | 523,302 |
Cost of revenues | (470,526) | (433,757) |
Land Sales And Other [Member] | ||
Revenues | ||
Total revenues | 20,104 | 1,355 |
Cost of revenues | (14,167) | (614) |
Land Sales And Other [Member] | Guarantor Subsidiaries [Member] | ||
Revenues | ||
Total revenues | 20,104 | 1,355 |
Cost of revenues | (14,167) | (614) |
Homebuilding [Member] | ||
Revenues | ||
Total revenues | 592,814 | 524,657 |
Cost of revenues | (484,693) | (434,371) |
Homebuilding [Member] | Guarantor Subsidiaries [Member] | ||
Revenues | ||
Total revenues | 592,814 | 524,657 |
Cost of revenues | (484,693) | (434,371) |
Financial Services [Member] | ||
Revenues | ||
Total revenues | 9,795 | 8,400 |
Cost of revenues | (9,586) | (6,829) |
Financial Services [Member] | Non Guarantor Subsidiaries [Member] | ||
Revenues | ||
Total revenues | 9,795 | 8,400 |
Cost of revenues | $ (9,586) | $ (6,829) |
Supplemental Guarantor Inform_6
Supplemental Guarantor Information (Supplemental Condensed Consolidated Statement Of Cash Flows) (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2020 | Mar. 31, 2019 | Dec. 31, 2019 | |
Condensed Cash Flow Statements, Captions [Line Items] | |||
Net cash provided by/(used in) operating activities | $ (12,376) | $ (59,400) | |
Net cash provided by/(used in) investing activities | (2,627) | (3,284) | |
Financing activities | |||
Borrowings under revolving credit facilities | 678,000 | 288,800 | |
Payments on revolving credit facilities | (224,800) | (204,300) | |
Principal payments on notes payable | (2,043) | (7,716) | |
Proceeds from insurance notes payable | 4,137 | 9,301 | |
Net proceeds from mortgage repurchase facilities | (40,302) | (13,689) | |
Repurchases of common stock upon vesting of stock-based compensation | (4,977) | (3,166) | |
Repurchases of common stock under our stock repurchase program | (1,439) | ||
Net cash provided by financing activities | 410,015 | 67,791 | |
Net increase | 395,012 | 5,107 | |
Cash and cash equivalents and Restricted cash, Beginning of period | 58,522 | 36,441 | |
Cash and cash equivalents and Restricted cash, End of period | 453,534 | 41,548 | |
Cash and cash equivalents | 450,973 | 38,115 | $ 55,436 |
Restricted Cash | 2,561 | 3,433 | |
Elimination Entries [Member] | |||
Condensed Cash Flow Statements, Captions [Line Items] | |||
Net cash provided by/(used in) investing activities | 47,268 | 43,384 | |
Financing activities | |||
Payments from (and advances to) parent/subsidiary | (47,268) | (43,384) | |
Net cash provided by financing activities | (47,268) | (43,384) | |
Parent [Member] | |||
Condensed Cash Flow Statements, Captions [Line Items] | |||
Net cash provided by/(used in) operating activities | (652) | (36,731) | |
Net cash provided by/(used in) investing activities | (48,079) | (44,704) | |
Financing activities | |||
Borrowings under revolving credit facilities | 678,000 | 288,800 | |
Payments on revolving credit facilities | (224,800) | (204,300) | |
Repurchases of common stock upon vesting of stock-based compensation | (4,977) | (3,166) | |
Repurchases of common stock under our stock repurchase program | (1,439) | ||
Net cash provided by financing activities | 448,223 | 79,895 | |
Net increase | 399,492 | (1,540) | |
Cash and cash equivalents and Restricted cash, Beginning of period | 1,577 | 2,183 | |
Cash and cash equivalents and Restricted cash, End of period | 401,069 | 643 | |
Cash and cash equivalents | 401,069 | 643 | 1,577 |
Guarantor Subsidiaries [Member] | |||
Condensed Cash Flow Statements, Captions [Line Items] | |||
Net cash provided by/(used in) operating activities | (33,043) | (36,216) | |
Net cash provided by/(used in) investing activities | (1,670) | (2,031) | |
Financing activities | |||
Principal payments on notes payable | (2,043) | (7,716) | |
Proceeds from insurance notes payable | 4,137 | 9,301 | |
Payments from (and advances to) parent/subsidiary | 39,379 | 36,890 | |
Net cash provided by financing activities | 41,473 | 38,475 | |
Net increase | 6,760 | 228 | |
Cash and cash equivalents and Restricted cash, Beginning of period | 341 | 4,006 | |
Cash and cash equivalents and Restricted cash, End of period | 7,101 | 4,234 | |
Cash and cash equivalents | 6,404 | 2,596 | |
Restricted Cash | 697 | 1,638 | |
Non Guarantor Subsidiaries [Member] | |||
Condensed Cash Flow Statements, Captions [Line Items] | |||
Net cash provided by/(used in) operating activities | 21,319 | 13,547 | |
Net cash provided by/(used in) investing activities | (146) | 67 | |
Financing activities | |||
Net proceeds from mortgage repurchase facilities | (40,302) | (13,689) | |
Payments from (and advances to) parent/subsidiary | 7,889 | 6,494 | |
Net cash provided by financing activities | (32,413) | (7,195) | |
Net increase | (11,240) | 6,419 | |
Cash and cash equivalents and Restricted cash, Beginning of period | 56,604 | 30,252 | |
Cash and cash equivalents and Restricted cash, End of period | 45,364 | 36,671 | |
Cash and cash equivalents | 43,500 | 34,876 | $ 53,859 |
Restricted Cash | $ 1,864 | $ 1,795 |