Document And Entity Information
Document And Entity Information - shares | 6 Months Ended | |
Apr. 30, 2021 | Jun. 01, 2021 | |
Document Information [Line Items] | ||
Entity Central Index Key | 0000357294 | |
Entity Registrant Name | HOVNANIAN ENTERPRISES INC | |
Amendment Flag | false | |
Current Fiscal Year End Date | --10-31 | |
Document Fiscal Period Focus | Q2 | |
Document Fiscal Year Focus | 2021 | |
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Apr. 30, 2021 | |
Document Transition Report | false | |
Entity File Number | 1-8551 | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 22-1851059 | |
Entity Address, Address Line One | 90 Matawan Road, 5th Floor | |
Entity Address, City or Town | Matawan | |
Entity Address, State or Province | NJ | |
Entity Address, Postal Zip Code | 07747 | |
City Area Code | 732 | |
Local Phone Number | 747-7800 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Common Class B [Member] | ||
Document Information [Line Items] | ||
Entity Common Stock, Shares Outstanding | 629,885 | |
Common Class A [Member] | ||
Document Information [Line Items] | ||
Title of 12(b) Security | Class A Common Stock, $0.01 par value per share | |
Trading Symbol | HOV | |
Security Exchange Name | NYSE | |
Entity Common Stock, Shares Outstanding | 5,562,840 | |
Series A Preferred Stock [Member] | ||
Document Information [Line Items] | ||
Title of 12(b) Security | Depositary Shares each representing 1/1,000th of a share of 7.625% Series A Preferred Stock | |
Trading Symbol | HOVNP | |
Security Exchange Name | NASDAQ | |
Preferred Stock [Member] | ||
Document Information [Line Items] | ||
Title of 12(b) Security | Preferred Stock Purchase Rights(1) | |
Trading Symbol | N/A | |
Security Exchange Name | NYSE |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets (Current Period Unaudited) - USD ($) $ in Thousands | Apr. 30, 2021 | Oct. 31, 2020 |
ASSETS | ||
Assets | $ 2,337,988 | $ 1,827,342 |
Assets | 2,337,988 | 1,827,342 |
Deferred tax assets, net | 459,186 | 0 |
LIABILITIES AND EQUITY | ||
Senior notes and credit facilities (net of discounts, premiums and debt issuance costs) | 1,429,324 | 1,431,110 |
Liabilities | 2,265,274 | 2,263,436 |
Liabilities | 2,265,274 | 2,263,436 |
Income taxes payable | 2,588 | 3,832 |
Preferred stock, $0.01 par value - authorized 100,000 shares; issued and outstanding 5,600 shares with a liquidation preference of $140,000 at April 30, 2021 and October 31, 2020 | 135,299 | 135,299 |
Paid in capital - common stock | 719,347 | 718,110 |
Accumulated deficit | (667,410) | (1,175,045) |
Treasury stock - at cost – 470,430 shares of Class A common stock and 27,669 shares of Class B common stock at April 30, 2021 and October 31, 2020 | (115,360) | (115,360) |
Total Hovnanian Enterprises, Inc. stockholders’ equity (deficit) | 71,943 | (436,929) |
Noncontrolling interest in consolidated joint ventures | 771 | 835 |
Total equity (deficit) | 72,714 | (436,094) |
Total liabilities and equity | 2,337,988 | 1,827,342 |
Common Class A [Member] | ||
LIABILITIES AND EQUITY | ||
Common stock | 60 | 60 |
Common Class B [Member] | ||
LIABILITIES AND EQUITY | ||
Common stock | 7 | 7 |
Homebuilding [Member] | ||
ASSETS | ||
Cash and cash equivalents | 218,321 | 262,489 |
Restricted cash and cash equivalents | 12,753 | 14,731 |
Sold and unsold homes and lots under development | 1,029,089 | 921,594 |
Land and land options held for future development or sale | 102,370 | 91,957 |
Consolidated inventory not owned | 125,414 | 182,224 |
Total inventories | 1,256,873 | 1,195,775 |
Investments in and advances to unconsolidated joint ventures | 112,505 | 103,164 |
Receivables, deposits and notes, net | 34,102 | 33,686 |
Property, plant and equipment, net | 17,828 | 18,185 |
Prepaid expenses and other assets | 56,712 | 58,705 |
Assets | 1,709,094 | 1,686,735 |
Assets | 1,709,094 | 1,686,735 |
LIABILITIES AND EQUITY | ||
Accounts payable and other liabilities | 379,381 | 359,274 |
Customers’ deposits | 65,930 | 48,286 |
Liabilities from inventory not owned, net of debt issuance costs | 90,430 | 131,204 |
Senior notes and credit facilities (net of discounts, premiums and debt issuance costs) | 1,429,324 | 1,431,110 |
Accrued Interest | 35,321 | 35,563 |
Liabilities | 2,114,247 | 2,140,559 |
Liabilities | 2,114,247 | 2,140,559 |
Homebuilding [Member] | Nonrecourse Mortgages Secured By Inventory [Member] | Mortgages [Member] | ||
LIABILITIES AND EQUITY | ||
Secured Debt, Total | 113,861 | 135,122 |
Financial Services [Member] | ||
ASSETS | ||
Cash and cash equivalents | 4,117 | |
Restricted cash and cash equivalents | 36,449 | |
Assets | 169,708 | 140,607 |
Assets | 169,708 | 140,607 |
LIABILITIES AND EQUITY | ||
Liabilities | 148,439 | 119,045 |
Liabilities | $ 148,439 | $ 119,045 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Current Period Unaudited) (Parentheticals) - USD ($) $ in Millions | Apr. 30, 2021 | Oct. 31, 2020 |
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized (in shares) | 100,000 | 100,000 |
Preferred stock, shares issued (in shares) | 5,600 | 5,600 |
Preferred stock, shares outstanding (in shares) | 5,600 | 5,600 |
Preferred stock, liquidation preference | $ 140 | $ 140 |
Common Class A [Member] | ||
Common stock, shares authorized (in shares) | 16,000,000 | 16,000,000 |
Common stock, shares issued (in shares) | 6,030,903 | 5,990,310 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares held in Treasury (in shares) | 470,430 | 470,430 |
Common Class B [Member] | ||
Common stock, shares authorized (in shares) | 2,400,000 | 2,400,000 |
Common stock, shares issued (in shares) | 657,554 | 649,886 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares held in Treasury (in shares) | 27,669 | 27,669 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations (Unaudited) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Apr. 30, 2021 | Apr. 30, 2020 | Apr. 30, 2021 | Apr. 30, 2020 | ||
Revenues | $ 703,162 | $ 538,351 | $ 1,277,826 | $ 1,032,407 | |
Inventory impairment and land option write-offs | 1,958 | 3,838 | |||
Total expenses | 674,771 | 540,219 | 1,231,766 | 1,052,707 | |
Corporate general and administrative | 40,382 | 15,275 | 63,865 | 35,019 | |
Less other interest expensed(2)(3) | [1],[2] | 22,033 | 26,869 | 46,008 | 51,872 |
Other operations | 451 | 214 | 729 | 408 | |
(Loss) gain on extinguishment of debt | 0 | (174) | 0 | 9,282 | |
Income from unconsolidated joint ventures | 2,641 | 6,221 | 4,557 | 7,761 | |
Income (loss) before income taxes | 31,032 | 4,179 | 50,617 | (3,257) | |
Tax provision (benefit) | (457,644) | 100 | (457,018) | 1,812 | |
Net income (loss) | $ 488,676 | $ 4,079 | $ 507,635 | $ (5,069) | |
Net income (loss) per common share (in dollars per share) | $ 71.11 | $ 0.63 | $ 74 | $ (0.82) | |
Weighted-average number of common shares outstanding basic (in shares) | 6,248 | 6,172 | 6,236 | 6,166 | |
Net income (loss) per common share (in dollars per share) | $ 69.65 | $ 0.60 | $ 72.71 | $ (0.82) | |
Weighted-average number of common shares outstanding (in shares) | 6,368 | 6,432 | 6,331 | 6,166 | |
State and Local Jurisdiction [Member] | |||||
Tax provision (benefit) | $ (91,374) | $ 100 | $ (90,748) | $ 1,812 | |
Domestic Tax Authority [Member] | |||||
Tax provision (benefit) | (366,270) | 0 | (366,270) | 0 | |
Homebuilding [Member] | |||||
Revenues | 681,434 | 523,990 | 1,236,601 | 1,004,032 | |
Cost of sales, excluding interest | 536,534 | 428,027 | 976,172 | 824,382 | |
Cost of sales interest | 21,725 | 18,589 | 38,890 | 36,725 | |
Inventory impairment and land option write-offs | 81 | 1,010 | 1,958 | 3,838 | |
Total cost of sales | 558,340 | 447,626 | 1,017,020 | 864,945 | |
Selling, general and administrative | 42,204 | 40,605 | 82,429 | 81,279 | |
Total expenses | 600,544 | 488,231 | 1,099,449 | 946,224 | |
Homebuilding [Member] | Sale of Homes [Member] | |||||
Revenues | 679,515 | 523,347 | 1,230,880 | 1,002,580 | |
Homebuilding [Member] | Land Sales and Other Revenues [Member] | |||||
Revenues | 1,919 | 643 | 5,721 | 1,452 | |
Financial Services [Member] | |||||
Revenues | 21,728 | 14,361 | 41,225 | 28,375 | |
Total expenses | $ 11,361 | $ 9,630 | $ 21,715 | $ 19,184 | |
[1] | Cash paid for interest, net of capitalized interest, is the sum of other interest expensed, as defined above, and interest paid by our mortgage and finance subsidiaries adjusted for the change in accrued interest on notes payable, which is calculated as follows: | ||||
[2] | Other interest expensed includes interest that does not qualify for interest capitalization because our assets that qualify for interest capitalization (inventory under development) do not exceed our debt, which amounted to $17.5 million and $13.8 million for the three months ended April 30, 2021 and 2020, respectively, and $33.7 million and $28.7 million for the six months ended April 30, 2021 and 2020, respectively. Other interest also includes interest on completed homes, land in planning and fully developed lots without homes under construction, which does not qualify for capitalization and therefore is expensed. This component of other interest was $4.5 million and $13.1 million for the three months ended April 30, 2021 and 2020, respectively, and $12.3 million and $23.2 million for the six months ended April 30, 2021 and 2020, respectively. |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Changes in Equity (Deficit) (Unaudited) - USD ($) $ in Thousands | Common Stock Outstanding [Member]Common Class A [Member] | Common Stock Outstanding [Member]Common Class B [Member] | Preferred Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Treasury Stock [Member] | Noncontrolling Interest [Member] | Total |
Balance (in shares) at Oct. 31, 2019 | 5,503,297 | 622,694 | 5,600 | |||||
Balance at Oct. 31, 2019 | $ 60 | $ 7 | $ 135,299 | $ 715,504 | $ (1,225,973) | $ (115,360) | $ 687 | $ (489,776) |
Stock options, amortization and issuances (in shares) | ||||||||
Stock options, amortization and issuances | 162 | 162 | ||||||
Restricted stock amortization, issuances and forfeitures (in shares) | 3,000 | 1,796 | ||||||
Restricted stock amortization, issuances and forfeitures | (330) | (330) | ||||||
Conversion of Class B to Class A common stock (in shares) | 4 | (4) | ||||||
Conversion of Class B to Class A common stock | 0 | |||||||
Changes in noncontrolling interest in consolidated joint ventures | 13 | 13 | ||||||
Net income (loss) | (9,148) | (9,148) | ||||||
Balance (in shares) at Jan. 31, 2020 | 5,506,301 | 624,486 | 5,600 | |||||
Balance at Jan. 31, 2020 | $ 60 | $ 7 | $ 135,299 | 715,336 | (1,235,121) | (115,360) | 700 | (499,079) |
Stock options, amortization and issuances (in shares) | ||||||||
Stock options, amortization and issuances | 96 | 96 | ||||||
Restricted stock amortization, issuances and forfeitures (in shares) | 869 | |||||||
Restricted stock amortization, issuances and forfeitures | (189) | (189) | ||||||
Conversion of Class B to Class A common stock (in shares) | 1 | (1) | ||||||
Conversion of Class B to Class A common stock | 0 | |||||||
Changes in noncontrolling interest in consolidated joint ventures | 20 | 20 | ||||||
Net income (loss) | 4,079 | 4,079 | ||||||
Balance (in shares) at Apr. 30, 2020 | 5,507,171 | 624,485 | 5,600 | |||||
Balance at Apr. 30, 2020 | $ 60 | $ 7 | $ 135,299 | 715,243 | (1,231,042) | (115,360) | 720 | (495,073) |
Balance (in shares) at Oct. 31, 2020 | 5,519,880 | 622,217 | 5,600 | |||||
Balance at Oct. 31, 2020 | $ 60 | $ 7 | $ 135,299 | 718,110 | (1,175,045) | (115,360) | 835 | (436,094) |
Stock options, amortization and issuances (in shares) | ||||||||
Stock options, amortization and issuances | 54 | 54 | ||||||
Restricted stock amortization, issuances and forfeitures (in shares) | 7,207 | 2,370 | ||||||
Restricted stock amortization, issuances and forfeitures | 668 | 668 | ||||||
Conversion of Class B to Class A common stock (in shares) | 45 | (45) | ||||||
Conversion of Class B to Class A common stock | 0 | |||||||
Changes in noncontrolling interest in consolidated joint ventures | 78 | 78 | ||||||
Net income (loss) | 18,959 | 18,959 | ||||||
Balance (in shares) at Jan. 31, 2021 | 5,527,132 | 624,542 | 5,600 | |||||
Balance at Jan. 31, 2021 | $ 60 | $ 7 | $ 135,299 | 718,832 | (1,156,086) | (115,360) | 913 | (416,335) |
Stock options, amortization and issuances (in shares) | 33,316 | 5,368 | ||||||
Stock options, amortization and issuances | (255) | (255) | ||||||
Restricted stock amortization, issuances and forfeitures | 770 | 770 | ||||||
Conversion of Class B to Class A common stock (in shares) | 25 | (25) | ||||||
Conversion of Class B to Class A common stock | 0 | |||||||
Changes in noncontrolling interest in consolidated joint ventures | (142) | (142) | ||||||
Net income (loss) | 488,676 | 488,676 | ||||||
Balance (in shares) at Apr. 30, 2021 | 5,560,473 | 629,885 | 5,600 | |||||
Balance at Apr. 30, 2021 | $ 60 | $ 7 | $ 135,299 | $ 719,347 | $ (667,410) | $ (115,360) | $ 771 | $ 72,714 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Apr. 30, 2021 | Apr. 30, 2020 | Apr. 30, 2021 | Apr. 30, 2020 | |
Cash flows from operating activities: | ||||
Net income (loss) | $ 488,676 | $ 4,079 | $ 507,635 | $ (5,069) |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | ||||
Depreciation | 2,822 | 2,542 | ||
Compensation from stock options and awards | 1,753 | (204) | ||
Amortization of bond discounts, premiums and deferred financing costs | 534 | 1,442 | ||
Gain on sale and retirement of property and assets | (14) | (24) | ||
Income from unconsolidated joint ventures | (2,641) | (6,221) | (4,557) | (7,761) |
Distributions of earnings from unconsolidated joint venture | 5,397 | 14,935 | ||
Gain on extinguishment of debt | 0 | 174 | 0 | (9,282) |
Noncontrolling interest in consolidated joint ventures | 190 | 33 | ||
Inventory impairment and land option write-offs | 1,958 | 3,838 | ||
(Increase) decrease in assets: | ||||
Origination of mortgage loans | (728,674) | (562,842) | ||
Sale of mortgage loans | 706,446 | 653,979 | ||
Receivables, prepaids, deposits and other assets | 2,541 | 17,345 | ||
Inventories | (63,056) | 150 | ||
Deferred tax assets | (459,186) | 0 | ||
(Decrease) increase in liabilities: | ||||
State income tax payable | (1,244) | 616 | ||
Customers’ deposits | 17,644 | (745) | ||
Accounts payable, accrued interest and other accrued liabilities | 25,271 | (29,234) | ||
Net cash provided by operating activities | 15,460 | 79,719 | ||
Cash flows from investing activities: | ||||
Proceeds from sale of property and assets | 15 | 31 | ||
Purchase of property, equipment, and other fixed assets and acquisitions | (2,461) | (1,867) | ||
Investment in and advances to unconsolidated joint ventures | (29,578) | (19,924) | ||
Distributions of capital from unconsolidated joint ventures | 19,596 | 441 | ||
Net cash used in investing activities | (12,428) | (21,319) | ||
Cash flows from financing activities: | ||||
Proceeds from mortgages and notes | 121,340 | 139,861 | ||
Payments related to mortgages and notes | (143,115) | (132,352) | ||
Proceeds from model sale leaseback financing programs | 2,738 | 3,307 | ||
Payments related to model sale leaseback financing programs | (9,879) | (11,606) | ||
Proceeds from land bank financing programs | 16,494 | 48,260 | ||
Payments related to land bank financing programs | (50,606) | (36,839) | ||
Payments for partner distributions to consolidated joint venture | (254) | 0 | ||
Net proceeds (payments) related to mortgage warehouse lines of credit | 23,274 | (80,813) | ||
Net borrowings from senior secured credit facility | 0 | 125,000 | ||
Deferred financing costs from land banking financing programs and note issuances | (844) | (12,117) | ||
Net cash (used in) provided by financing activities | (40,852) | 42,701 | ||
Net (decrease) increase in cash and cash equivalents, and restricted cash and cash equivalents | (37,820) | 101,101 | ||
Cash and cash equivalents, and restricted cash and cash equivalents balance, beginning of period | 309,460 | 182,266 | ||
Cash and cash equivalents, and restricted cash and cash equivalents balance, end of period | 271,640 | 283,367 | 271,640 | 283,367 |
Supplemental disclosures of cash flows: | ||||
Interest, net of capitalized interest (see Note 3 to the Condensed Consolidated Financial Statements) | 37,280 | 21,825 | 47,202 | 35,780 |
Income taxes | 3,412 | 1,266 | ||
Cash and cash equivalents, and restricted cash and cash equivalents balance, end of period | 271,640 | 283,367 | 271,640 | 283,367 |
Homebuilding [Member] | ||||
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | ||||
Inventory impairment and land option write-offs | 81 | 1,010 | 1,958 | 3,838 |
Supplemental disclosures of cash flows: | ||||
Cash and cash equivalents | 218,321 | 232,801 | 218,321 | 232,801 |
Restricted cash and cash equivalents | 12,753 | 16,052 | 12,753 | 16,052 |
Financial Services [Member] | ||||
Supplemental disclosures of cash flows: | ||||
Cash and cash equivalents | 4,117 | 4,787 | 4,117 | 4,787 |
Restricted cash and cash equivalents | $ 36,449 | $ 29,727 | $ 36,449 | $ 29,727 |
Supplemental Disclosure of Nonc
Supplemental Disclosure of Noncash Investing and Financing Activities | 6 Months Ended |
Apr. 30, 2021 | |
Notes to Financial Statements | |
Cash Flow, Supplemental Disclosures [Text Block] | Supplemental disclosure of noncash investing and financing activities: In accordance with the adoption of ASU 2016 02, first 2020, In the first 2020, 1.75 2025 2022 2024. 1.75 1.75 January 31, 2028. In the second 2020, 1.5 2026 2022. See Note 12 NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS - UNAUDITED |
Note 1 - Basis of Presentation
Note 1 - Basis of Presentation | 6 Months Ended |
Apr. 30, 2021 | |
Notes to Financial Statements | |
Basis of Presentation and Significant Accounting Policies [Text Block] | 1. Basis of Presentation Hovnanian Enterprises, Inc. (“HEI”) conducts all of its homebuilding and financial services operations through its subsidiaries (references herein to the “Company,” “we,” “us” or “our” refer to HEI and its consolidated subsidiaries and should be understood to reflect the consolidated business of HEI’s subsidiaries). HEI has reportable segments consisting of six 17 The accompanying unaudited Condensed Consolidated Financial Statements include HEI's accounts and those of all of its consolidated subsidiaries after elimination of all of its significant intercompany balances and transactions. Noncontrolling interest represents the proportionate equity interest in a consolidated joint venture that is not 100% not The accompanying unaudited Condensed Consolidated Financial Statements have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) for interim financial information and with the instructions to Form 10 10 X, not 10 October 31, 2020. not |
Note 2 - Stock Compensation
Note 2 - Stock Compensation | 6 Months Ended |
Apr. 30, 2021 | |
Notes to Financial Statements | |
Share-based Payment Arrangement [Text Block] | 2. Stock Compensation For the three six April 30, 2021, three six April 30, 2020, not no three six April 30, 2021, three six April 30, 2020, 2 2019 “2019 |
Note 3 - Interest
Note 3 - Interest | 6 Months Ended |
Apr. 30, 2021 | |
Notes to Financial Statements | |
Home Building Interest [Text Block] | 3. Interest Interest costs incurred, expensed and capitalized were: Three Months Ended Six Months Ended April 30, April 30, (In thousands) 2021 2020 2021 2020 Interest capitalized at beginning of period $ 65,327 $ 67,879 $ 65,010 $ 71,264 Plus interest incurred(1) 41,870 45,323 83,327 89,657 Less cost of sales interest expensed 21,725 18,589 38,890 36,725 Less other interest expensed(2)(3) 22,033 26,869 46,008 51,872 Less interest contributed to unconsolidated joint venture(4) 3,667 - 3,667 4,580 Interest capitalized at end of period(5) $ 59,772 $ 67,744 $ 59,772 $ 67,744 ( 1 Data does not ( 2 Other interest expensed includes interest that does not not three April 30, 2021 2020, $28.7 six April 30, 2021 2020, not three April 30, 2021 2020, six April 30, 2021 2020, ( 3 Cash paid for interest, net of capitalized interest, is the sum of other interest expensed, as defined above, and interest paid by our mortgage and finance subsidiaries adjusted for the change in accrued interest on notes payable, which is calculated as follows: Three Months Ended Six Months Ended April 30, April 30, (In thousands) 2021 2020 2021 2020 Other interest expensed $ 22,033 $ 26,869 $ 46,008 $ 51,872 Interest paid by our mortgage and finance subsidiaries 527 509 952 1,279 Decrease (increase) in accrued interest 14,720 (5,553 ) 242 (17,371 ) Cash paid for interest, net of capitalized interest $ 37,280 $ 21,825 $ 47,202 $ 35,780 ( 4 Represents capitalized interest which was included as part of the assets contributed to joint ventures, as discussed in Note 18. no ( 5 Capitalized interest amounts are shown gross before allocating any portion of impairments, if any, to capitalized interest. |
Note 4 - Reduction of Inventory
Note 4 - Reduction of Inventory to Fair Value | 6 Months Ended |
Apr. 30, 2021 | |
Notes to Financial Statements | |
Inventory Impairments and Land Option Cost Write-offs [Text Block] | 4. Reduction of Inventory to Fair Value We record impairment losses on inventories related to communities under development and held for future development when events and circumstances indicate that they may six April 30, 2021, first 2020, not may During the six April 30, 2021 2020, six April 30, 2021 one six April 30, 2021, six April 30, 2020 one 374 not no six April 30, 2020. The Condensed Consolidated Statement of Operations line entitled “Homebuilding: Inventory impairment loss and land option write-offs” also includes write-offs of options and approval, engineering and capitalized interest costs that we record when we redesign communities and/or abandon certain engineering costs and we do not not three April 30, 2021 2020, six April 30, 2021 2020, not three April 30, 2021 2020 six April 30, 2021 2020, first 2021 first 2020. We decide to mothball (or stop development on) certain communities when we determine that the current performance does not first 2021, not two two two April 30, 2021 October 31, 2020, We sell and lease back certain of our model homes with the right to participate in the potential profit when each home is sold to a third 606 10 55 68, April 30, 2021 October 31, 2020, not not We have land banking arrangements, whereby we sell our land parcels to the land bankers and they provide us an option to purchase back finished lots on a predetermined schedule. Because of our options to repurchase these parcels, for accounting purposes, in accordance with ASC 606 10 55 70, April 30, 2021 October 31, 2020, not not |
Note 5 - Variable Interest Enti
Note 5 - Variable Interest Entities | 6 Months Ended |
Apr. 30, 2021 | |
Notes to Financial Statements | |
Variable Interest Entity Disclosure [Text Block] | 5. Variable Interest Entities The Company enters into land and lot option purchase contracts to procure land or lots for the construction of homes. Under these contracts, the Company will fund a stated deposit in consideration for the right, but not not 810, may In compliance with ASC 810, not 810 April 30, 2021 October 31, 2020, not We will continue to secure land and lots using options, some of which are with VIEs. Including deposits on our unconsolidated VIEs, at April 30, 2021, not |
Note 6 - Warranty Costs
Note 6 - Warranty Costs | 6 Months Ended |
Apr. 30, 2021 | |
Notes to Financial Statements | |
Product Warranty Disclosure [Text Block] | 6. Warranty Costs General liability insurance for homebuilding companies and their suppliers and subcontractors is very difficult to obtain. The availability of general liability insurance is limited due to a decreased number of insurance companies willing to underwrite for the industry. In addition, those few insurers willing to underwrite liability insurance have significantly increased the premium costs. To date, we have been able to obtain general liability insurance but at higher premium costs with higher deductibles. Our subcontractors and suppliers have advised us that they have also had difficulty obtaining insurance that also provides us coverage. As a result, we have an owner controlled insurance program for certain of our subcontractors whereby the subcontractors pay us an insurance premium (through a reduction of amounts we would otherwise owe such subcontractors for their work on our homes) based on the risk type of the trade. We absorb the liability associated with their work on our homes as part of our overall general liability insurance at no three six April 30, 2021 2020, We accrue for warranty costs that are covered under our existing general liability and construction defect policy as part of our general liability insurance deductible. This accrual is expensed as selling, general and administrative costs. For homes delivered in fiscal 2021 2020, 2021 2020 2021 2020. not three six April 30, 2021 2020 Three Months Ended Six Months Ended April 30, April 30, (In thousands) 2021 2020 2021 2020 Balance, beginning of period $ 88,861 $ 89,905 $ 86,417 $ 89,371 Additions – Selling, general and administrative 2,409 2,050 4,457 3,991 Additions – Cost of sales 2,103 2,020 4,001 3,923 Charges incurred during the period (4,760 ) (7,551 ) (6,736 ) (11,216 ) Changes to pre-existing reserves 1,412 715 1,886 1,070 Balance, end of period $ 90,025 $ 87,139 $ 90,025 $ 87,139 Warranty accruals are based upon historical experience. We engage a third not second 2020 Insurance claims paid by our insurance carriers, excluding insurance deductibles paid, were less than $0.1 six April 30, 2021 2020 |
Note 7 - Commitments and Contin
Note 7 - Commitments and Contingent Liabilities | 6 Months Ended |
Apr. 30, 2021 | |
Notes to Financial Statements | |
Commitments and Contingencies Disclosure [Text Block] | 7. Commitments and Contingent Liabilities We are involved in litigation arising in the ordinary course of business, none We also are subject to a variety of local, state, federal and foreign laws and regulations concerning protection of health and the environment, including those regulating the emission or discharge of materials into the environment, the management of storm water runoff at construction sites, the handling, use, storage and disposal of hazardous substances, impacts to wetlands and other sensitive environments, and the remediation of contamination at properties that we have owned or developed or currently own or are developing (“environmental laws”). The particular environmental laws that apply to a site may may may may We anticipate that increasingly stringent requirements will continue to be imposed on developers and homebuilders in the future. In addition, some of these laws and regulations that significantly affect how certain properties may may may may may In March 2013, 1990s. August 2013, not may not April 2014 March 2017 May 2, 2018 June 15, 2018 three two October 20, 2021. In 2015, September 9, 2021. September 2020 In December 2020, 1998, No Not 1999. one 2009 No |
Note 8 - Cash and Cash Equivale
Note 8 - Cash and Cash Equivalents, Restricted Cash and Cash Equivalents and Customer's Deposits | 6 Months Ended |
Apr. 30, 2021 | |
Notes to Financial Statements | |
Cash and Cash Equivalents Disclosure [Text Block] | 8. Cash and Cash Equivalents, Restricted Cash and Cash Equivalents and Customer's Deposits Cash represents cash deposited in checking accounts. Cash equivalents include certificates of deposit, Treasury bills and government money–market funds with maturities of 90 may, April 30, 2021 October 31, 2020, Homebuilding - Restricted cash and cash equivalents on the Condensed Consolidated Balance Sheets totaled $12.8 million and $14.7 million as of April 30, 2021 October 31, 2020, 12. Financial services restricted cash and cash equivalents, which are included in Financial services assets on the Condensed Consolidated Balance Sheets, totaled $36.4 million and $27.4 million as of April 30, 2021 October 31, 2020, 1 April 30, 2021 October 31, 2020, 2 April 30, 2021 October 31, 2020 Total Homebuilding Customers’ deposits are shown as a liability on the Condensed Consolidated Balance Sheets. These liabilities are significantly more than the applicable periods’ restricted cash balances because, in some states, the deposits are not |
Note 9 - Leases
Note 9 - Leases | 6 Months Ended |
Apr. 30, 2021 | |
Notes to Financial Statements | |
Lessee, Operating Leases [Text Block] | 9. Leases We lease certain office space for use in our operations. We assess each of these contracts to determine whether the arrangement contains a lease as defined by ASC 842 842" 842, three five 842, 842, not Our lease population at April 30, 2021 842, not twelve Lease cost included in our Condensed Consolidated Statements of Operations in Selling, general and administrative expenses and payments on our lease liabilities are presented in the table below. Our short-term lease costs and sublease income are de minimis. Three Months Ended Six Months Ended (In thousands) April 30, 2021 April 30, 2020 April 30, 2021 April 30, 2020 Operating lease cost $ 2,594 $ 2,625 $ 5,210 $ 5,216 Cash payments on lease liabilities $ 2,390 $ 2,308 $ 4,688 $ 4,624 ROU assets are classified within Prepaids and other assets on our Condensed Consolidated Balance Sheets, while lease liabilities are classified within Accounts payable and other liabilities on our Condensed Consolidated Balance Sheets. During the three six April 30, 2021, (In thousands) At April 30, 2021 At October 31, 2020 ROU assets $ 18,959 $ 20,016 Lease liabilities $ 19,970 $ 21,049 Weighted-average remaining lease term (in years) 3.0 3.5 Weighted-average discount rate (incremental borrowing rate) 9.5 % 9.6 % Maturities of our operating lease liabilities as of April 30, 2021 Year ended October 31, (in thousands) 2021 (excluding the six months ended April 30, 2021) $ 4,817 2022 8,422 2023 5,173 2024 2,455 2025 2,083 Thereafter 1,162 Total payments 24,112 Less: imputed interest (4,142 ) Present value of lease liabilities $ 19,970 |
Note 10 - Mortgage Loans Held f
Note 10 - Mortgage Loans Held for Sale | 6 Months Ended |
Apr. 30, 2021 | |
Notes to Financial Statements | |
Loans, Notes, Trade and Other Receivables Disclosure [Text Block] | 10. Mortgage Loans Held for Sale Our wholly owned mortgage banking subsidiary, K. Hovnanian American Mortgage, LLC (“K. Hovnanian Mortgage”), originates mortgage loans, primarily from the sale of our homes. Such mortgage loans are sold in the secondary mortgage market within a short period of time of origination. Mortgage loans held for sale consist primarily of single-family residential loans collateralized by the underlying property. We have elected the fair value option to record loans held for sale, and therefore these loans are recorded at fair value with the changes in the value recognized in the Condensed Consolidated Statements of Operations in “Revenues: Financial services.” We currently use forward sales of mortgage-backed securities (“MBS”), interest rate commitments from borrowers and mandatory and/or best efforts forward commitments to sell loans to third not At April 30, 2021 October 31, 2020, 11 may not April 30, 2021 2020, not The activity in our loan origination reserves during the three six April 30, 2021 2020 Three Months Ended Six Months Ended April 30, April 30, (In thousands) 2021 2020 2021 2020 Loan origination reserves, beginning of period $ 1,508 $ 1,308 $ 1,458 $ 1,268 Provisions for losses during the period 59 44 109 84 Adjustments to pre-existing provisions for losses from changes in estimates (43 ) 6 (43 ) 6 Loan origination reserves, end of period $ 1,524 $ 1,358 $ 1,524 $ 1,358 |
Note 11 - Mortgages
Note 11 - Mortgages | 6 Months Ended |
Apr. 30, 2021 | |
Notes to Financial Statements | |
Line of Credit [Text Block] | 11. Mortgages Nonrecourse. April 30, 2021 October 31, 2020, $419.7 April 30, 2021 October 31, 2020, Mortgage Loans. Our secured Master Repurchase Agreement with JPMorgan Chase Bank, N.A. (“Chase Master Repurchase Agreement”) is a short-term borrowing facility that provides up to $50.0 million through its maturity on December 10, 2021 . April 30, 2021, April 30, 2021 October 31, 2020, K. Hovnanian Mortgage has another secured Master Repurchase Agreement with Customers Bank (“Customers Master Repurchase Agreement”), which was amended on March 10, 2021 March 9, 2022, April 30, 2021 October 31, 2020, K. Hovnanian Mortgage also has a secured Master Repurchase Agreement with Comerica Bank (“Comerica Master Repurchase Agreement”) which is a short-term borrowing facility through its maturity on December 28, 2021. 15th 30 April 30, 2021 October 31, 2020, The Chase Master Repurchase Agreement, Customers Master Repurchase Agreement and Comerica Master Repurchase Agreement (together, the “Master Repurchase Agreements”) require K. Hovnanian Mortgage to satisfy and maintain specified financial ratios and other financial condition tests. Because of the extremely short period of time mortgages are held by K. Hovnanian Mortgage before the mortgages are sold to investors (generally a period of a few weeks), the immateriality to us on a consolidated basis of the size of the Master Repurchase Agreements, the levels required by these financial covenants, our ability based on our immediately available resources to contribute sufficient capital to cure any default, were such conditions to occur, and our right to cure any conditions of default based on the terms of the applicable agreement, we do not April 30, 2021, |
Note 12 - Senior Notes and Cred
Note 12 - Senior Notes and Credit Facilities | 6 Months Ended |
Apr. 30, 2021 | |
Notes to Financial Statements | |
Long-term Debt [Text Block] | 12. Senior Notes and Credit Facilities Senior notes and credit facilities balances as of April 30, 2021 October 31, 2020, April 30, October 31, (In thousands) 2021 2020 Senior Secured Notes: 10.0% July 15, 2022 $ 111,214 $ 111,214 10.5% July 15, 2024 69,683 69,683 10.0% November 15, 2025 158,502 158,502 7.75% February 15, 2026 350,000 350,000 10.5% February 15, 2026 282,322 282,322 11.25% February 15, 2026 162,269 162,269 Total Senior Secured Notes $ 1,133,990 $ 1,133,990 Senior Notes: 8.0% November 1, 2027 $ - $ - 13.5% February 1, 2026 90,590 90,590 5.0% February 1, 2040 90,120 90,120 Total Senior Notes $ 180,710 $ 180,710 Senior Unsecured Term Loan Credit Facility due February 1, 2027 $ 39,551 $ 39,551 Senior Secured 1.75 Lien Term Loan Credit Facility due January 31, 2028 $ 81,498 $ 81,498 Senior Secured Revolving Credit Facility (2) $ - $ - Subtotal notes payable $ 1,435,749 $ 1,435,749 Net (discounts) premiums $ 13,614 $ 17,521 Net debt issuance costs $ (20,039 ) $ (22,160 ) Total notes payable, net of discounts, premiums and debt issuance costs $ 1,429,324 $ 1,431,110 ( 1 2027 "8.0% 2027 not November 1, 2019, 8.0% 2027 November 1, 2027. ( 2 April 30, 2021, first December 28, 2022. General Except for K. Hovnanian, the issuer of the notes and borrower under the Credit Facilities (as defined below), our home mortgage subsidiaries, certain of our title insurance subsidiaries, joint ventures and subsidiaries holding interests in our joint ventures, we and each of our subsidiaries are guarantors of the Credit Facilities, the senior secured notes (subject in the case of the 10.5% 2024 10.5% 2024 8.0% 2027 not April 30, 2021 The credit agreements governing the Credit Facilities and the indentures governing the senior secured and senior notes (together, the “Debt Instruments”) outstanding at April 30, 2021 not not April 30, 2021, If our consolidated fixed charge coverage ratio is less than 2.0 to 1.0, 1.0 not not Under the terms of our Debt Instruments, we have the right to make certain redemptions and prepayments and, depending on market conditions, our strategic priorities and covenant restrictions, may may Fiscal 2021 There were no six April 30, 2021. Fiscal 2020 On December 10, 2019, "1.75 1.75 2025 “1.75 2022 “10.0% 2022 2024 “10.5% 2024 10.0% 2022 1.75 January 31, 2028 ( no 470 60, $158.5 1.75 $81.5 second 2020 six April 30, 2020 In connection with the 1.75 10.5% 2024 10.5% 2024 December 6, 2019 “10.5% 2024 December 10, 2019. December 10, 2019 10.5% 2024 10.5% 2024 not The 1.75 December 10, 2019, 1.75 1.75 May 15 November 15 May 1 November 1, may 1.75 November 15, 2025. The 1.75 November 15, 2021 November 15, 2021 November 15, 2022, may 1.75 November 15, 2022 November 15, 2023, may 1.75 November 15, 2023, may 1.75 may 1.75 November 15, 2021 The Secured Term Loans and the guarantees thereof are secured on a pari passu basis with the 1.75 1.75 10.0% January 31, 2028, may November 15, 2021 November 15, 2021 November 15, 2022, may November 15, 2022 November 15, 2023, may November 15, 2023, may On March 25, 2020, 1.5 1.5 $59.1 2022 March 25, 2020 ( 1.5 1.5 1.5 The Additional 1.5 1.5 2026 October 31, 2019 ( 1.5 1.5 “1.5 1.5 March 25, 2020 ( October 31, 2019 ( 1.5 March 25, 2020, 1.5 1.5 1.5 1.5 Secured Obligations On October 31, 2019, December 28, 2022. The 10.0% Senior Secured Notes due 2022 "10% 2022 July 15, 2022 January 15 July 15 January 1 July 1, may may 10.0% 2022 July 15, 2020 July 15, 2021. The 10.5% 2024 "10.5% 2024 10.0% 2022 July 15, 2024 10.5% January 15 July 15 January 1 July 1, may may 10.5% 2024 July 15, 2020, July 15, 2021 July 15, 2022. The 7.75% 1.125 2026 "1.125 February 15, 2026 February 15 August 15 February 1 August 1, may 1.125 February 15, 2022 1.125 may February 15, 2022. may 1.125 February 15, 2022, February 15, 2023 February 15, 2024. The 10.5% 1.25 2026 "1.25 February 15, 2026 February 15 August 15 February 1 August 1, may 1.25 February 15, 2022 1.25 may February 15, 2022. may 1.25 February 15, 2022, February 15, 2023 February 15, 2024. The 11.25% 1.5 2026 "1.5 February 15, 2026 February 15 August 15 February 1 August 1, may 1.5 February 15, 2026 See “— Fiscal 2020 1.75 Each series of secured notes (subject in the case of the 10.5% 2024 10.5% 2024 1.125 1.25 1.5 1.75 1.125 1.25 1.5 1.75 1.25 1.5 1.75 1.5 1.75 1.75 As of April 30, 2021, 10.5% 2024 10.5% 2024 1 2 $495.4 not may 3 Unsecured Obligations The 13.5% Senior Notes due 2026 “13.5% 2026 13.5% February 1, 2026. 13.5% 2026 February 1 August 1 January 15 July 15, may 13.5% 2026 February 1, 2025 February 1, 2025, may 13.5% 2026 The 5.0% Senior Notes due 2040 “5.0% 2040 5.0% February 1, 2040. 5.0% 2040 February 1 August 1 January 15 July 15, may February 1, 2021, may 2040 The Unsecured Term Loans bear interest at a rate equal to 5.0% February 1, 2027. Other We have certain stand-alone cash collateralized letter of credit agreements and facilities under which there was a total of $9.3 million and $11.3 million letters of credit outstanding at April 30, 2021 October 31, 2020, April 30, 2021 October 31, 2020, |
Note 13 - Per Share Calculation
Note 13 - Per Share Calculation | 6 Months Ended |
Apr. 30, 2021 | |
Notes to Financial Statements | |
Earnings Per Share [Text Block] | 13. Per Share Calculation Basic earnings per share is computed by dividing net income (loss) (the “numerator”) by the weighted-average number of common shares outstanding, adjusted for nonvested shares of restricted stock (the “denominator”) for the period. Computing diluted earnings per share is similar to computing basic earnings per share, except that the denominator is increased to include the dilutive effects of options and nonvested shares of restricted stock. Any options that have an exercise price greater than the average market price are considered to be anti-dilutive and are excluded from the diluted earnings per share calculation. All outstanding nonvested shares that contain nonforfeitable rights to dividends or dividend equivalents that participate in undistributed earnings with common stock are considered participating securities and are included in computing earnings per share pursuant to the two two Basic and diluted earnings per share for the periods presented below were calculated as follows: Three Months Ended Six Months Ended April 30, April 30, (In thousands, except per share data) 2021 2020 2021 2020 Numerator: Net earnings (loss) attributable to Hovnanian $ 488,676 $ 4,079 $ 507,635 $ (5,069 ) Less: undistributed earnings allocated to nonvested shares (44,383 ) (216 ) (46,147 ) - Numerator for basic earnings (loss) per share $ 444,293 $ 3,863 $ 461,488 $ (5,069 ) Plus: undistributed earnings allocated to nonvested shares 44,383 216 46,147 - Less: undistributed earnings reallocated to nonvested shares (45,170 ) (216 ) (47,338 ) - Numerator for diluted earnings per share $ 443,506 $ 3,863 $ 460,297 $ (5,069 ) Denominator: Denominator for basic earnings per share – weighted average shares outstanding 6,248 6,172 6,236 6,166 Effect of dilutive securities: Share based payments 120 260 95 - Denominator for diluted earnings per share – weighted average shares outstanding 6,368 6,432 6,331 6,166 Basic earnings (loss) per share $ 71.11 $ 0.63 $ 74.00 $ (0.82 ) Diluted earnings (loss) per share $ 69.65 $ 0.60 $ 72.71 $ (0.82 ) There were 0.3 million incremental shares attributed to nonvested stock and outstanding options to purchase common stock for the six April 30, 2020 In addition, shares related to out-of-the money stock options that could potentially dilute basic earnings per share in the future that were not three six April 30, 2021, three six April 30, 2020 |
Note 14 - Preferred Stock
Note 14 - Preferred Stock | 6 Months Ended |
Apr. 30, 2021 | |
Notes to Financial Statements | |
Preferred Stock [Text Block] | 14. Preferred Stock On July 12, 2005, not 7.625%. not 1/1000th three six April 30, 2021 2020, not not |
Note 15 - Common Stock
Note 15 - Common Stock | 6 Months Ended |
Apr. 30, 2021 | |
Notes to Financial Statements | |
Stockholders' Equity Note Disclosure [Text Block] | 15. Common Stock Each share of Class A Common Stock entitles its holder to one ten one one On August 4, 2008, January 11, 2018 January 18, 2021, 382 382. 382 382. one August 15, 2008. August 15, 2008, August 4, 2008, may August 14, 2024, 382 5% On July 3, 2001, three six April 30, 2021. April 30, 2021, may 22 |
Note 16 - Income Taxes
Note 16 - Income Taxes | 6 Months Ended |
Apr. 30, 2021 | |
Notes to Financial Statements | |
Income Tax Disclosure [Text Block] | 16. Income Taxes The total income tax benefit for the three six April 30, 2021 $457.6 three six April 30, 2021 not The total income tax expense for the three six April 30, 2020 six April 30, 2020 not Our federal net operating losses of $1.4 billion expire between 2028 2038, 2021 2025; 2026 2030; 2031 2035; 2036 2040; On December 27, 2020, not six April 30, 2021. Deferred federal and state income tax assets ("DTAs") primarily represent the deferred tax benefits arising from NOL carryforwards and temporary differences between book and tax income which will be recognized in future years as an offset against future taxable income. If the combination of future years’ income (or loss) and the reversal of the timing differences results in a loss, such losses can be carried forward to future years. In accordance with ASC 740, 740 not” As of April 30, 2021 , 740. not no April 30, 2021, 1. As of April 30, 2021, three three April 30, 2021, six October 31, 2020. 18 2. Over the last several years, we have completed a number of debt refinancing/restructuring transactions which, by extending our debt maturities, will enable us to allocate cash to invest in new communities and grow our community count to get back to sustained profitability. (Positive Objective Evidence) 3. We incurred pre-tax losses during the housing market decline that began in 2007 4. We exited several geographic markets over the last few years that have historically had losses. By exiting these underperforming markets, the Company has been able to redeploy capital to better performing markets, which over time should improve our profitability. (Positive Subjective Evidence) 5. The historical cyclicality of the U.S. housing market, a more restrictive mortgage lending environment compared to before the housing downturn of 2007 2009, 19 The significant positive improvement in our operations in the last 18 April 30, 2021, $1.8 April 30, 2021 not no $102.9 not As of October 31, 2020, April 30, 2021. October 31, 2020, second 2021 April 30, 2021. |
Note 17 - Operating and Reporti
Note 17 - Operating and Reporting Segments | 6 Months Ended |
Apr. 30, 2021 | |
Notes to Financial Statements | |
Segment Reporting Disclosure [Text Block] | 17. Operating and Reporting Segments HEI’s operating segments are components of the Company’s business for which discrete financial information is available and reviewed regularly by the chief operating decision maker, our Chief Executive Officer, to evaluate performance and make operating decisions. Based on this criteria, each of the Company's communities qualifies as an operating segment, and therefore, it is impractical to provide segment disclosures for this many segments. As such, HEI has aggregated the homebuilding operating segments into six HEI’s homebuilding operating segments are aggregated into reportable segments based primarily upon geographic proximity, similar regulatory environments, land acquisition characteristics and similar methods used to construct and sell homes. HEI’s reportable segments consist of the following six Homebuilding: ( 1 Northeast (New Jersey and Pennsylvania) ( 2 Mid-Atlantic (Delaware, Maryland, Virginia, Washington D.C. and West Virginia) ( 3 Midwest (Illinois and Ohio) ( 4 Southeast (Florida, Georgia and South Carolina) ( 5 Southwest (Arizona and Texas) ( 6 West (California) Financial Services Operations of the Homebuilding segments primarily include the sale and construction of single-family attached and detached homes, attached townhomes and condominiums, urban infill and active lifestyle homes in planned residential developments. In addition, from time to time, operations of the homebuilding segments include sales of land. Operations of the Financial Services segment include mortgage banking and title services provided to the homebuilding operations’ customers. Our financial services subsidiaries do not Corporate and unallocated primarily represents operations at our headquarters in New Jersey. This includes our executive offices, information services, human resources, corporate accounting, training, treasury, process redesign, internal audit, construction services, and administration of insurance, quality and safety. It also includes interest income and interest expense resulting from interest incurred that cannot be capitalized in inventory in the Homebuilding segments, as well as the gains or losses on extinguishment of debt from any debt repurchases or exchanges. Evaluation of segment performance is based primarily on operating earnings from continuing operations before provision or benefit for income taxes (“Income (loss) before income taxes”). Income (loss) before income taxes for the Homebuilding segments consist of revenues generated from the sales of homes and land, income (loss) from unconsolidated entities, management fees and other income, less the cost of homes and land sold, selling, general and administrative expenses and interest expense. Income (loss) before income taxes for the Financial Services segment consist of revenues generated from mortgage financing, title insurance and closing services, less the cost of such services and selling, general and administrative expenses incurred by the Financial Services segment. Operational results of each segment are not Financial information relating to HEI’s segment operations was as follows: Three Months Ended Six Months Ended April 30, April 30, (In thousands) 2021 2020 2021 2020 Revenues: Northeast $ 30,189 $ 46,798 $ 62,233 $ 92,074 Mid-Atlantic 112,200 89,738 205,145 177,497 Midwest 64,079 56,673 123,236 103,117 Southeast 80,917 56,369 126,691 93,143 Southwest 217,312 170,654 407,721 334,553 West 176,733 103,603 311,565 203,224 Total homebuilding 681,430 523,835 1,236,591 1,003,608 Financial services 21,728 14,361 41,225 28,375 Corporate and unallocated 4 155 10 424 Total revenues $ 703,162 $ 538,351 $ 1,277,826 $ 1,032,407 Income (loss) before income taxes: Northeast $ 5,068 $ 6,722 $ 9,662 $ 12,463 Mid-Atlantic 12,010 5,466 22,711 9,524 Midwest 4,128 (385 ) 7,712 (3,828 ) Southeast 6,504 50 6,858 (4,261 ) Southwest 29,275 13,052 50,325 21,672 West 21,863 2,723 31,540 4,334 Total homebuilding 78,848 27,628 128,808 39,904 Financial services 10,367 4,731 19,510 9,191 Corporate and unallocated (1) (58,183 ) (28,180 ) (97,701 ) (52,352 ) Income (loss) before income taxes $ 31,032 $ 4,179 $ 50,617 $ (3,257 ) ( 1 Corporate and unallocated for the three April 30, 2021 six April 30, 2021 $63.9 $33.7 three April 30, 2020 six April 30, 2020 April 30, October 31, (In thousands) 2021 2020 Assets: Northeast $ 126,306 $ 107,748 Mid-Atlantic 271,207 271,867 Midwest 100,896 106,774 Southeast 245,353 248,506 Southwest 411,068 357,444 West 278,568 278,811 Total homebuilding 1,433,398 1,371,150 Financial services (1) 169,832 140,607 Corporate and unallocated 734,758 315,585 Total assets $ 2,337,988 $ 1,827,342 ( 1 |
Note 18 - Investments in Uncons
Note 18 - Investments in Unconsolidated Homebuilding and Land Development Joint Ventures | 6 Months Ended |
Apr. 30, 2021 | |
Notes to Financial Statements | |
Equity Method Investments and Joint Ventures Disclosure [Text Block] | 18. Investments in Unconsolidated Homebuilding and Land Development Joint Ventures We enter into homebuilding and land development joint ventures from time to time as a means of accessing lot positions, expanding our market opportunities, establishing strategic alliances, managing our risk profile, leveraging our capital base and enhancing returns on capital. Our homebuilding joint ventures are generally entered into with third third third During the second 2021, During the first 2020, eight four a The tables set forth below summarize the combined financial information related to our unconsolidated homebuilding and land development joint ventures that are accounted for under the equity method. (Dollars in thousands) April 30, 2021 Land Homebuilding Development Total Assets: Cash and cash equivalents $ 119,958 $ 2,254 $ 122,212 Inventories 465,748 - 465,748 Other assets 34,631 2 34,633 Total assets $ 620,337 $ 2,256 $ 622,593 Liabilities and equity: Accounts payable and accrued liabilities $ 326,688 $ 1,933 $ 328,621 Notes payable 80,321 - 80,321 Total liabilities 407,009 1,933 408,942 Equity of: Hovnanian Enterprises, Inc. 95,933 267 96,200 Others 117,395 56 117,451 Total equity 213,328 323 213,651 Total liabilities and equity $ 620,337 $ 2,256 $ 622,593 Debt to capitalization ratio 27 % 0 % 27 % (Dollars in thousands) October 31, 2020 Land Homebuilding Development Total Assets: Cash and cash equivalents $ 120,107 $ 3,454 $ 123,561 Inventories 389,001 91 389,092 Other assets 27,062 488 27,550 Total assets $ 536,170 $ 4,033 $ 540,203 Liabilities and equity: Accounts payable and accrued liabilities $ 207,277 $ 2,152 $ 209,429 Notes payable 117,179 - 117,179 Total liabilities 324,456 2,152 326,608 Equity of: Hovnanian Enterprises, Inc. 102,908 1,340 104,248 Others 108,806 541 109,347 Total equity 211,714 1,881 213,595 Total liabilities and equity $ 536,170 $ 4,033 $ 540,203 Debt to capitalization ratio 36 % 0 % 35 % As of April 30, 2021 October 31, 2020, April 30, 2021 October 31, 2020, six April 30, 2021 2020, not Three Months Ended April 30, 2021 (In thousands) Land Homebuilding Development Total Revenues $ 91,526 $ 428 $ 91,954 Cost of sales and expenses (87,696 ) (149 ) (87,845 ) Joint venture net income $ 3,830 $ 279 $ 4,109 Our share of net income $ 2,637 $ 113 $ 2,750 Three Months Ended April 30, 2020 (In thousands) Land Homebuilding Development Total Revenues $ 112,812 $ 3,812 $ 116,624 Cost of sales and expenses (107,453 ) (3,448 ) (110,901 ) Joint venture net income $ 5,359 $ 364 $ 5,723 Our share of net income $ 6,146 $ 181 $ 6,327 Six Months Ended April 30, 2021 (In thousands) Land Homebuilding Development Total Revenues $ 162,990 $ 691 $ 163,681 Cost of sales and expenses (158,969 ) (177 ) (159,146 ) Joint venture net income $ 4,021 $ 514 $ 4,535 Our share of net income $ 4,548 $ 208 $ 4,756 Six Months Ended April 30, 2020 (In thousands) Land Homebuilding Development Total Revenues $ 199,776 $ 7,552 $ 207,328 Cost of sales and expenses (196,004 ) (8,401 ) (204,405 ) Joint venture net income (loss) $ 3,772 $ (849 ) $ 2,923 Our share of net income (loss) $ 7,616 $ (425 ) $ 7,191 “Income (loss) from unconsolidated joint ventures” is reflected as a separate line in the accompanying Condensed Consolidated Statements of Operations and reflects our proportionate share of the income or loss from these unconsolidated homebuilding and land development joint ventures. The difference between our share of the income or loss from these unconsolidated joint ventures in the tables above compared to the Condensed Consolidated Statements of Operations is due primarily to the reclassification of the intercompany portion of management fee income from certain unconsolidated joint ventures and the deferral of income for lots purchased by us from certain unconsolidated joint ventures. The reason “Our share of net income (loss)” is higher or lower than the “Joint venture net income (loss)” shown in the tables above for both the three six April 30, 2021 2020, 50%, three April 30, 2021, two not two six April 30, 2021 three six April 30, 2020, two not not 13 12 To compensate us for the administrative services we provide as the manager of certain unconsolidated joint ventures, we receive a management fee based on a percentage of the applicable unconsolidated joint venture’s revenues. These management fees, which totaled $3.0 million and $4.0 million for the three April 30, 2021 2020, $5.3 $7.7 six April 30, 2021 2020, In determining whether or not Typically, our unconsolidated joint ventures obtain separate project specific mortgage financing. For some of our unconsolidated joint ventures, obtaining financing was challenging, therefore, some of our unconsolidated joint ventures are capitalized only with equity. The total debt to capitalization ratio of all our unconsolidated joint ventures was 27% as of April 30, 2021. 810 10 not not |
Note 19 - Recent Accounting Pro
Note 19 - Recent Accounting Pronouncements | 6 Months Ended |
Apr. 30, 2021 | |
Notes to Financial Statements | |
Accounting Standards Update and Change in Accounting Principle [Text Block] | 19. Recent Accounting Pronouncements In March 2020, 2020 04, 2020 04” 2020 04 March 12, 2020, may December 31, 2022. not |
Note 20 - Fair Value of Financi
Note 20 - Fair Value of Financial Instruments | 6 Months Ended |
Apr. 30, 2021 | |
Notes to Financial Statements | |
Fair Value Disclosures [Text Block] | 20. Fair Value of Financial Instruments ASC 820, Level 1: Fair value determined based on quoted prices in active markets for identical assets. Level 2: Fair value determined using significant other observable inputs. Level 3: Fair value determined using significant unobservable inputs. Our financial instruments measured at fair value on a recurring basis are summarized below: Fair Value at Fair Value at Fair Value April 30, October 31, (In thousands) Hierarchy 2021 2020 Mortgage loans held for sale (1) Level 2 $ 126,553 $ 104,378 Forward contracts Level 2 (403 ) (28 ) Total $ 126,150 $ 104,350 Interest rate lock commitments Level 3 439 11 Total $ 126,589 $ 104,361 ( 1 April 30, 2021 October 31, 2020, We elected the fair value option for our loans held for sale in accordance with ASC 825, The Financial Services segment had a pipeline of loan applications in process of $1.1 billion at April 30, 2021. April 30, 2021. not The Financial Services segment uses investor commitments and forward sales of mandatory MBS to hedge its mortgage-related interest rate exposure. These instruments involve, to varying degrees, elements of credit and interest rate risk. Credit risk is managed by entering into MBS forward commitments, option contracts with investment banks, federally regulated bank affiliates and loan sales transactions with permanent investors meeting the segment’s credit standards. The segment’s risk, in the event of default by the purchaser, is the difference between the contract price and fair value of the MBS forward commitments and option contracts. At April 30, 2021, May 20, 2021. The assets accounted for using the fair value option are initially measured at fair value. Gains and losses from initial measurement and subsequent changes in fair value are recognized in the Condensed Consolidated Financial Statements in “Revenues: Financial services.” The fair values that are included in income are shown, by financial instrument and financial statement line item, below: Three Months Ended April 30, 2021 Mortgage Interest Rate Loans Held Lock Forward (In thousands) For Sale Commitments Contracts Fair value included in net income all reflected in financial services revenues $ (636 ) $ 385 $ (252 ) Three Months Ended April 30, 2020 Mortgage Interest Rate Loans Held Lock Forward (In thousands) For Sale Commitments Contracts Fair value included in net income all reflected in financial services revenues $ (709 ) $ 224 $ (271 ) Six Months Ended April 30, 2021 Mortgage Interest Rate Loans Held Lock Forward (In thousands) For Sale Commitments Contracts Fair value included in net income all reflected in financial services revenues $ 4,257 $ 439 $ (403 ) Six Months Ended April 30, 2020 Mortgage Interest Rate Loans Held Lock Forward (In thousands) For Sale Commitments Contracts Fair value included in net loss all reflected in financial services revenues $ 2,153 $ 342 $ (454 ) The Company's assets measured at fair value on a nonrecurring basis are those assets for which the Company has recorded valuation adjustments and write-offs during the six April 30, 2021. not three April 30, 2021 three six April 30, 2020. Nonfinancial Assets Six Months Ended April 30, 2021 Pre- Fair Value Impairment (In thousands) Hierarchy Amount Total Losses Fair Value Sold and unsold homes and lots under development Level 3 $ 2,286 $ (843 ) $ 1,443 Land and land options held for future development or sale Level 3 $ - $ - $ - We record impairment losses on inventories related to communities under development and held for future development when events and circumstances indicate that they may may six April 30, 2021. not three April 30, 2021 three six April 30, 2020. 4 The fair value of our cash equivalents, restricted cash and cash equivalents and customer’s deposits approximates their carrying amount, based on Level 1 The fair value of each series of our Notes and Credit Facilities are listed below. Level 2 3 third 2024 2 April 30, 2021 3 October 31, 2020). Fair Value as of April 30, 2021 (In thousands) Level 1 Level 2 Level 3 Total Senior Secured Notes: 10.0% July 15, 2022 $ - $ 112,465 $ - $ 112,465 10.5% July 15, 2024 - 72,296 - 72,296 10.0% November 15, 2025 - - 164,446 164,446 7.75% February 15, 2026 - - 378,000 378,000 10.5% February 15, 2026 - - 307,731 307,731 11.25% February 15, 2026 - - 162,318 162,318 Senior Notes: 13.5% February 1, 2026 - 68,468 - 68,468 5.0% February 1, 2040 - 36,949 - 36,949 Senior Credit Facilities: Senior Unsecured Term Loan Credit Facility due February 1, 2027 - - 18,431 18,431 Senior Secured 1.75 Lien Term Loan Credit Facility due January 31, 2028 - - 88,491 88,491 Total fair value $ - $ 290,178 $ 1,119,417 $ 1,409,595 Fair Value as of October 31, 2020 (In thousands) Level 1 Level 2 Level 3 Total Senior Secured Notes: 10.0% July 15, 2022 $ - $ 107,878 $ - $ 107,878 10.5% July 15, 2024 - - 67,941 67,941 10.0% November 15, 2025 - - 132,246 132,246 7.75% February 15, 2026 - - 353,500 353,500 10.5% February 15, 2026 - - 274,558 274,558 11.25% February 15, 2026 - - 162,723 162,723 Senior Notes: 13.5% February 1, 2026 - 54,354 - 54,354 5.0% February 1, 2040 - 10,814 - 10,814 Senior Credit Facilities: Senior Unsecured Term Loan Credit Facility due February 1, 2027 - - 13,091 13,091 Senior Secured 1.75 Lien Term Loan Credit Facility due January 31, 2028 - - 64,465 64,465 Total fair value $ - $ 173,046 $ 1,068,524 $ 1,241,570 The Senior Secured Revolving Credit Facility is not April 30, 2021 October 31, 2020. |
Note 21 - Transactions With Rel
Note 21 - Transactions With Related Parties | 6 Months Ended |
Apr. 30, 2021 | |
Notes to Financial Statements | |
Related Party Transactions Disclosure [Text Block] | 21. Transactions with Related Parties From time to time, an engineering firm owned by Tavit Najarian, a relative of Ara K. Hovnanian, our Chairman of the Board of Directors and our Chief Executive Officer, provides services to the Company. During the three April 30, 2021 2020, six April 30, 2021 2020, |
Note 22 - Subsequent Events
Note 22 - Subsequent Events | 6 Months Ended |
Apr. 30, 2021 | |
Notes to Financial Statements | |
Subsequent Events [Text Block] | 22. Subsequent Events On June 2, 2021, 2022 July 30, 2021. |
Note 3 - Interest (Tables)
Note 3 - Interest (Tables) | 6 Months Ended |
Apr. 30, 2021 | |
Notes Tables | |
Schedule of Real Estate Inventory, Capitalized Interest Costs [Table Text Block] | Three Months Ended Six Months Ended April 30, April 30, (In thousands) 2021 2020 2021 2020 Interest capitalized at beginning of period $ 65,327 $ 67,879 $ 65,010 $ 71,264 Plus interest incurred(1) 41,870 45,323 83,327 89,657 Less cost of sales interest expensed 21,725 18,589 38,890 36,725 Less other interest expensed(2)(3) 22,033 26,869 46,008 51,872 Less interest contributed to unconsolidated joint venture(4) 3,667 - 3,667 4,580 Interest capitalized at end of period(5) $ 59,772 $ 67,744 $ 59,772 $ 67,744 |
Cash Paid for Interest Net of Capitalized Interest [Table Text Block] | Three Months Ended Six Months Ended April 30, April 30, (In thousands) 2021 2020 2021 2020 Other interest expensed $ 22,033 $ 26,869 $ 46,008 $ 51,872 Interest paid by our mortgage and finance subsidiaries 527 509 952 1,279 Decrease (increase) in accrued interest 14,720 (5,553 ) 242 (17,371 ) Cash paid for interest, net of capitalized interest $ 37,280 $ 21,825 $ 47,202 $ 35,780 |
Note 6 - Warranty Costs (Tables
Note 6 - Warranty Costs (Tables) | 6 Months Ended |
Apr. 30, 2021 | |
Notes Tables | |
Schedule of Product Warranty Liability [Table Text Block] | Three Months Ended Six Months Ended April 30, April 30, (In thousands) 2021 2020 2021 2020 Balance, beginning of period $ 88,861 $ 89,905 $ 86,417 $ 89,371 Additions – Selling, general and administrative 2,409 2,050 4,457 3,991 Additions – Cost of sales 2,103 2,020 4,001 3,923 Charges incurred during the period (4,760 ) (7,551 ) (6,736 ) (11,216 ) Changes to pre-existing reserves 1,412 715 1,886 1,070 Balance, end of period $ 90,025 $ 87,139 $ 90,025 $ 87,139 |
Note 9 - Leases (Tables)
Note 9 - Leases (Tables) | 6 Months Ended |
Apr. 30, 2021 | |
Notes Tables | |
Lease, Cost [Table Text Block] | Three Months Ended Six Months Ended (In thousands) April 30, 2021 April 30, 2020 April 30, 2021 April 30, 2020 Operating lease cost $ 2,594 $ 2,625 $ 5,210 $ 5,216 Cash payments on lease liabilities $ 2,390 $ 2,308 $ 4,688 $ 4,624 (In thousands) At April 30, 2021 At October 31, 2020 ROU assets $ 18,959 $ 20,016 Lease liabilities $ 19,970 $ 21,049 Weighted-average remaining lease term (in years) 3.0 3.5 Weighted-average discount rate (incremental borrowing rate) 9.5 % 9.6 % |
Lessee, Operating Lease, Liability, Maturity [Table Text Block] | Year ended October 31, (in thousands) 2021 (excluding the six months ended April 30, 2021) $ 4,817 2022 8,422 2023 5,173 2024 2,455 2025 2,083 Thereafter 1,162 Total payments 24,112 Less: imputed interest (4,142 ) Present value of lease liabilities $ 19,970 |
Note 10 - Mortgage Loans Held_2
Note 10 - Mortgage Loans Held for Sale (Tables) | 6 Months Ended |
Apr. 30, 2021 | |
Notes Tables | |
Financing Receivable, Allowance for Credit Loss [Table Text Block] | Three Months Ended Six Months Ended April 30, April 30, (In thousands) 2021 2020 2021 2020 Loan origination reserves, beginning of period $ 1,508 $ 1,308 $ 1,458 $ 1,268 Provisions for losses during the period 59 44 109 84 Adjustments to pre-existing provisions for losses from changes in estimates (43 ) 6 (43 ) 6 Loan origination reserves, end of period $ 1,524 $ 1,358 $ 1,524 $ 1,358 |
Note 12 - Senior Notes and Cr_2
Note 12 - Senior Notes and Credit Facilities (Tables) | 6 Months Ended |
Apr. 30, 2021 | |
Notes Tables | |
Schedule of Long-term Debt Instruments [Table Text Block] | April 30, October 31, (In thousands) 2021 2020 Senior Secured Notes: 10.0% July 15, 2022 $ 111,214 $ 111,214 10.5% July 15, 2024 69,683 69,683 10.0% November 15, 2025 158,502 158,502 7.75% February 15, 2026 350,000 350,000 10.5% February 15, 2026 282,322 282,322 11.25% February 15, 2026 162,269 162,269 Total Senior Secured Notes $ 1,133,990 $ 1,133,990 Senior Notes: 8.0% November 1, 2027 $ - $ - 13.5% February 1, 2026 90,590 90,590 5.0% February 1, 2040 90,120 90,120 Total Senior Notes $ 180,710 $ 180,710 Senior Unsecured Term Loan Credit Facility due February 1, 2027 $ 39,551 $ 39,551 Senior Secured 1.75 Lien Term Loan Credit Facility due January 31, 2028 $ 81,498 $ 81,498 Senior Secured Revolving Credit Facility (2) $ - $ - Subtotal notes payable $ 1,435,749 $ 1,435,749 Net (discounts) premiums $ 13,614 $ 17,521 Net debt issuance costs $ (20,039 ) $ (22,160 ) Total notes payable, net of discounts, premiums and debt issuance costs $ 1,429,324 $ 1,431,110 |
Note 13 - Per Share Calculati_2
Note 13 - Per Share Calculation (Tables) | 6 Months Ended |
Apr. 30, 2021 | |
Notes Tables | |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | Three Months Ended Six Months Ended April 30, April 30, (In thousands, except per share data) 2021 2020 2021 2020 Numerator: Net earnings (loss) attributable to Hovnanian $ 488,676 $ 4,079 $ 507,635 $ (5,069 ) Less: undistributed earnings allocated to nonvested shares (44,383 ) (216 ) (46,147 ) - Numerator for basic earnings (loss) per share $ 444,293 $ 3,863 $ 461,488 $ (5,069 ) Plus: undistributed earnings allocated to nonvested shares 44,383 216 46,147 - Less: undistributed earnings reallocated to nonvested shares (45,170 ) (216 ) (47,338 ) - Numerator for diluted earnings per share $ 443,506 $ 3,863 $ 460,297 $ (5,069 ) Denominator: Denominator for basic earnings per share – weighted average shares outstanding 6,248 6,172 6,236 6,166 Effect of dilutive securities: Share based payments 120 260 95 - Denominator for diluted earnings per share – weighted average shares outstanding 6,368 6,432 6,331 6,166 Basic earnings (loss) per share $ 71.11 $ 0.63 $ 74.00 $ (0.82 ) Diluted earnings (loss) per share $ 69.65 $ 0.60 $ 72.71 $ (0.82 ) |
Note 17 - Operating and Repor_2
Note 17 - Operating and Reporting Segments (Tables) | 6 Months Ended |
Apr. 30, 2021 | |
Notes Tables | |
Schedule of Segment Reporting Information, by Segment [Table Text Block] | April 30, October 31, (In thousands) 2021 2020 Assets: Northeast $ 126,306 $ 107,748 Mid-Atlantic 271,207 271,867 Midwest 100,896 106,774 Southeast 245,353 248,506 Southwest 411,068 357,444 West 278,568 278,811 Total homebuilding 1,433,398 1,371,150 Financial services (1) 169,832 140,607 Corporate and unallocated 734,758 315,585 Total assets $ 2,337,988 $ 1,827,342 |
Operating Segments [Member] | |
Notes Tables | |
Schedule of Segment Reporting Information, by Segment [Table Text Block] | Three Months Ended Six Months Ended April 30, April 30, (In thousands) 2021 2020 2021 2020 Revenues: Northeast $ 30,189 $ 46,798 $ 62,233 $ 92,074 Mid-Atlantic 112,200 89,738 205,145 177,497 Midwest 64,079 56,673 123,236 103,117 Southeast 80,917 56,369 126,691 93,143 Southwest 217,312 170,654 407,721 334,553 West 176,733 103,603 311,565 203,224 Total homebuilding 681,430 523,835 1,236,591 1,003,608 Financial services 21,728 14,361 41,225 28,375 Corporate and unallocated 4 155 10 424 Total revenues $ 703,162 $ 538,351 $ 1,277,826 $ 1,032,407 Income (loss) before income taxes: Northeast $ 5,068 $ 6,722 $ 9,662 $ 12,463 Mid-Atlantic 12,010 5,466 22,711 9,524 Midwest 4,128 (385 ) 7,712 (3,828 ) Southeast 6,504 50 6,858 (4,261 ) Southwest 29,275 13,052 50,325 21,672 West 21,863 2,723 31,540 4,334 Total homebuilding 78,848 27,628 128,808 39,904 Financial services 10,367 4,731 19,510 9,191 Corporate and unallocated (1) (58,183 ) (28,180 ) (97,701 ) (52,352 ) Income (loss) before income taxes $ 31,032 $ 4,179 $ 50,617 $ (3,257 ) |
Note 18 - Investments in Unco_2
Note 18 - Investments in Unconsolidated Homebuilding and Land Development Joint Ventures (Tables) | 6 Months Ended |
Apr. 30, 2021 | |
Notes Tables | |
Equity Method Investments [Table Text Block] | (Dollars in thousands) April 30, 2021 Land Homebuilding Development Total Assets: Cash and cash equivalents $ 119,958 $ 2,254 $ 122,212 Inventories 465,748 - 465,748 Other assets 34,631 2 34,633 Total assets $ 620,337 $ 2,256 $ 622,593 Liabilities and equity: Accounts payable and accrued liabilities $ 326,688 $ 1,933 $ 328,621 Notes payable 80,321 - 80,321 Total liabilities 407,009 1,933 408,942 Equity of: Hovnanian Enterprises, Inc. 95,933 267 96,200 Others 117,395 56 117,451 Total equity 213,328 323 213,651 Total liabilities and equity $ 620,337 $ 2,256 $ 622,593 Debt to capitalization ratio 27 % 0 % 27 % (Dollars in thousands) October 31, 2020 Land Homebuilding Development Total Assets: Cash and cash equivalents $ 120,107 $ 3,454 $ 123,561 Inventories 389,001 91 389,092 Other assets 27,062 488 27,550 Total assets $ 536,170 $ 4,033 $ 540,203 Liabilities and equity: Accounts payable and accrued liabilities $ 207,277 $ 2,152 $ 209,429 Notes payable 117,179 - 117,179 Total liabilities 324,456 2,152 326,608 Equity of: Hovnanian Enterprises, Inc. 102,908 1,340 104,248 Others 108,806 541 109,347 Total equity 211,714 1,881 213,595 Total liabilities and equity $ 536,170 $ 4,033 $ 540,203 Debt to capitalization ratio 36 % 0 % 35 % Three Months Ended April 30, 2021 (In thousands) Land Homebuilding Development Total Revenues $ 91,526 $ 428 $ 91,954 Cost of sales and expenses (87,696 ) (149 ) (87,845 ) Joint venture net income $ 3,830 $ 279 $ 4,109 Our share of net income $ 2,637 $ 113 $ 2,750 Three Months Ended April 30, 2020 (In thousands) Land Homebuilding Development Total Revenues $ 112,812 $ 3,812 $ 116,624 Cost of sales and expenses (107,453 ) (3,448 ) (110,901 ) Joint venture net income $ 5,359 $ 364 $ 5,723 Our share of net income $ 6,146 $ 181 $ 6,327 Six Months Ended April 30, 2021 (In thousands) Land Homebuilding Development Total Revenues $ 162,990 $ 691 $ 163,681 Cost of sales and expenses (158,969 ) (177 ) (159,146 ) Joint venture net income $ 4,021 $ 514 $ 4,535 Our share of net income $ 4,548 $ 208 $ 4,756 Six Months Ended April 30, 2020 (In thousands) Land Homebuilding Development Total Revenues $ 199,776 $ 7,552 $ 207,328 Cost of sales and expenses (196,004 ) (8,401 ) (204,405 ) Joint venture net income (loss) $ 3,772 $ (849 ) $ 2,923 Our share of net income (loss) $ 7,616 $ (425 ) $ 7,191 |
Note 20 - Fair Value of Finan_2
Note 20 - Fair Value of Financial Instruments (Tables) | 6 Months Ended |
Apr. 30, 2021 | |
Notes Tables | |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis [Table Text Block] | Fair Value at Fair Value at Fair Value April 30, October 31, (In thousands) Hierarchy 2021 2020 Mortgage loans held for sale (1) Level 2 $ 126,553 $ 104,378 Forward contracts Level 2 (403 ) (28 ) Total $ 126,150 $ 104,350 Interest rate lock commitments Level 3 439 11 Total $ 126,589 $ 104,361 |
Fair Value Option, Disclosures [Table Text Block] | Three Months Ended April 30, 2021 Mortgage Interest Rate Loans Held Lock Forward (In thousands) For Sale Commitments Contracts Fair value included in net income all reflected in financial services revenues $ (636 ) $ 385 $ (252 ) Three Months Ended April 30, 2020 Mortgage Interest Rate Loans Held Lock Forward (In thousands) For Sale Commitments Contracts Fair value included in net income all reflected in financial services revenues $ (709 ) $ 224 $ (271 ) Six Months Ended April 30, 2021 Mortgage Interest Rate Loans Held Lock Forward (In thousands) For Sale Commitments Contracts Fair value included in net income all reflected in financial services revenues $ 4,257 $ 439 $ (403 ) Six Months Ended April 30, 2020 Mortgage Interest Rate Loans Held Lock Forward (In thousands) For Sale Commitments Contracts Fair value included in net loss all reflected in financial services revenues $ 2,153 $ 342 $ (454 ) |
Fair Value Measurements, Nonrecurring [Table Text Block] | Six Months Ended April 30, 2021 Pre- Fair Value Impairment (In thousands) Hierarchy Amount Total Losses Fair Value Sold and unsold homes and lots under development Level 3 $ 2,286 $ (843 ) $ 1,443 Land and land options held for future development or sale Level 3 $ - $ - $ - |
Fair Value, Liabilities Measured on Recurring and Nonrecurring Basis 2 [Table Text Block] | (In thousands) Level 1 Level 2 Level 3 Total Senior Secured Notes: 10.0% July 15, 2022 $ - $ 112,465 $ - $ 112,465 10.5% July 15, 2024 - 72,296 - 72,296 10.0% November 15, 2025 - - 164,446 164,446 7.75% February 15, 2026 - - 378,000 378,000 10.5% February 15, 2026 - - 307,731 307,731 11.25% February 15, 2026 - - 162,318 162,318 Senior Notes: 13.5% February 1, 2026 - 68,468 - 68,468 5.0% February 1, 2040 - 36,949 - 36,949 Senior Credit Facilities: Senior Unsecured Term Loan Credit Facility due February 1, 2027 - - 18,431 18,431 Senior Secured 1.75 Lien Term Loan Credit Facility due January 31, 2028 - - 88,491 88,491 Total fair value $ - $ 290,178 $ 1,119,417 $ 1,409,595 (In thousands) Level 1 Level 2 Level 3 Total Senior Secured Notes: 10.0% July 15, 2022 $ - $ 107,878 $ - $ 107,878 10.5% July 15, 2024 - - 67,941 67,941 10.0% November 15, 2025 - - 132,246 132,246 7.75% February 15, 2026 - - 353,500 353,500 10.5% February 15, 2026 - - 274,558 274,558 11.25% February 15, 2026 - - 162,723 162,723 Senior Notes: 13.5% February 1, 2026 - 54,354 - 54,354 5.0% February 1, 2040 - 10,814 - 10,814 Senior Credit Facilities: Senior Unsecured Term Loan Credit Facility due February 1, 2027 - - 13,091 13,091 Senior Secured 1.75 Lien Term Loan Credit Facility due January 31, 2028 - - 64,465 64,465 Total fair value $ - $ 173,046 $ 1,068,524 $ 1,241,570 |
Supplemental Disclosure of No_2
Supplemental Disclosure of Noncash Investing and Financing Activities (Details Textual) - USD ($) $ in Millions | Apr. 30, 2021 | Oct. 31, 2020 | Apr. 30, 2020 | Mar. 25, 2020 | Jan. 31, 2020 | Dec. 10, 2019 |
The 10.0% Senior Secured 1.75 Lien Notes due 2025 [Member] | Senior Secured Notes [Member] | ||||||
Debt Instrument, Face Amount | $ 158.5 | $ 158.5 | ||||
Debt Instrument, Interest Rate, Stated Percentage | 10.00% | 10.00% | 10.00% | 10.00% | ||
The 10.0% 2022 Notes [Member] | Senior Secured Notes [Member] | ||||||
Debt Instrument, Interest Rate, Stated Percentage | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | |
Debt Instrument Exchanged, Face Amount | $ 23.2 | $ 23.2 | ||||
Debt Instrument, Exchange, Amount Issued | $ 59.1 | |||||
The 10.5% 2024 Notes [Member] | ||||||
Debt Instrument, Interest Rate, Stated Percentage | 10.50% | |||||
The 10.5% 2024 Notes [Member] | Senior Secured Notes [Member] | ||||||
Debt Instrument, Interest Rate, Stated Percentage | 10.50% | 10.50% | 10.50% | 10.50% | ||
Debt Instrument Exchanged, Face Amount | $ 141.7 | $ 141.7 | ||||
Senior Unsecured Term Loan Credit Facility [Member] | ||||||
Debt Instrument Exchanged, Face Amount | 163 | 163 | ||||
The 10.0% Senior Secured 1.75 Lien Term Loans Due 2028 [Member] | ||||||
Debt Instrument, Face Amount | 81.5 | $ 81.5 | ||||
The 11.25% Senior Secured 1.5 Lien Notes due February 15, 2026 [Member] | ||||||
Debt Instrument, Interest Rate, Stated Percentage | 11.25% | 11.25% | ||||
Debt Instrument, Exchange, Amount Issued | $ 59.1 | $ 59.1 | ||||
The 11.25% Senior Secured 1.5 Lien Notes due February 15, 2026 [Member] | Senior Secured Notes [Member] | ||||||
Debt Instrument, Interest Rate, Stated Percentage | 11.25% | 11.25% | ||||
Accounting Standards Update 2016-02 [Member] | ||||||
Operating Lease, Right-of-Use Asset | 23.3 | |||||
Operating Lease, Liability, Total | $ 24.4 |
Note 1 - Basis of Presentation
Note 1 - Basis of Presentation (Details Textual) | 3 Months Ended | 6 Months Ended |
Jan. 31, 2021 | Apr. 30, 2021 | |
Consolidated Joint Venture [Member] | ||
Noncontrolling Interest, Ownership Percentage by Parent | 99.00% | |
Noncontrolling Interest, Ownership Percentage by Noncontrolling Owners | 1.00% | |
Homebuilding [Member] | ||
Number of Reportable Segments | 6 | 6 |
Note 2 - Stock Compensation (De
Note 2 - Stock Compensation (Details Textual) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Apr. 30, 2021 | Apr. 30, 2020 | Apr. 30, 2021 | Apr. 30, 2020 | |
Share-based Payment Arrangement, Expense | $ 0.9 | $ 0.3 | $ 1.8 | $ 0.9 |
Allocated Share Based Compensation, Income | 0.1 | 0.2 | ||
Share-based Payment Arrangement, Option [Member] | ||||
Share-based Payment Arrangement, Expense | $ 0.1 | $ 0.1 | $ 0.1 | $ 0.3 |
Note 3 - Interest (Details Text
Note 3 - Interest (Details Textual) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Apr. 30, 2021 | Apr. 30, 2020 | Apr. 30, 2021 | Apr. 30, 2020 | ||
Real Estate Inventory Expense Not Eligible for Capitalization | [1],[2] | $ 22,033 | $ 26,869 | $ 46,008 | $ 51,872 |
Qualifying Assets Not Exceeding Debt [Member] | |||||
Real Estate Inventory Expense Not Eligible for Capitalization | 17,500 | 13,800 | 33,700 | 28,700 | |
Completed Homes, Land in Planning and Fully Developed Lots without Homes under Construction [Member] | |||||
Real Estate Inventory Expense Not Eligible for Capitalization | $ 4,500 | $ 13,100 | $ 12,300 | $ 23,200 | |
[1] | Cash paid for interest, net of capitalized interest, is the sum of other interest expensed, as defined above, and interest paid by our mortgage and finance subsidiaries adjusted for the change in accrued interest on notes payable, which is calculated as follows: | ||||
[2] | Other interest expensed includes interest that does not qualify for interest capitalization because our assets that qualify for interest capitalization (inventory under development) do not exceed our debt, which amounted to $17.5 million and $13.8 million for the three months ended April 30, 2021 and 2020, respectively, and $33.7 million and $28.7 million for the six months ended April 30, 2021 and 2020, respectively. Other interest also includes interest on completed homes, land in planning and fully developed lots without homes under construction, which does not qualify for capitalization and therefore is expensed. This component of other interest was $4.5 million and $13.1 million for the three months ended April 30, 2021 and 2020, respectively, and $12.3 million and $23.2 million for the six months ended April 30, 2021 and 2020, respectively. |
Note 3 - Interest - Interest Co
Note 3 - Interest - Interest Costs Incurred, Expensed and Capitalized (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Apr. 30, 2021 | Apr. 30, 2020 | Apr. 30, 2021 | Apr. 30, 2020 | ||
Interest capitalized at beginning of period | $ 65,327 | $ 67,879 | $ 65,010 | $ 71,264 | |
Plus interest incurred(1) | [1] | 41,870 | 45,323 | 83,327 | 89,657 |
Less cost of sales interest expensed | 21,725 | 18,589 | 38,890 | 36,725 | |
Less other interest expensed(2)(3) | [2],[3] | 22,033 | 26,869 | 46,008 | 51,872 |
Less interest contributed to unconsolidated joint venture(4) | [4] | 3,667 | 0 | 3,667 | 4,580 |
Interest capitalized at end of period(5) | [5] | $ 59,772 | $ 67,744 | $ 59,772 | $ 67,744 |
[1] | Data does not include interest incurred by our mortgage and finance subsidiaries. | ||||
[2] | Cash paid for interest, net of capitalized interest, is the sum of other interest expensed, as defined above, and interest paid by our mortgage and finance subsidiaries adjusted for the change in accrued interest on notes payable, which is calculated as follows: | ||||
[3] | Other interest expensed includes interest that does not qualify for interest capitalization because our assets that qualify for interest capitalization (inventory under development) do not exceed our debt, which amounted to $17.5 million and $13.8 million for the three months ended April 30, 2021 and 2020, respectively, and $33.7 million and $28.7 million for the six months ended April 30, 2021 and 2020, respectively. Other interest also includes interest on completed homes, land in planning and fully developed lots without homes under construction, which does not qualify for capitalization and therefore is expensed. This component of other interest was $4.5 million and $13.1 million for the three months ended April 30, 2021 and 2020, respectively, and $12.3 million and $23.2 million for the six months ended April 30, 2021 and 2020, respectively. | ||||
[4] | Represents capitalized interest which was included as part of the assets contributed to joint ventures, as discussed in Note 18. There was no impact to the Condensed Consolidated Statement of Operations as a result of these transactions. | ||||
[5] | Capitalized interest amounts are shown gross before allocating any portion of impairments, if any, to capitalized interest. |
Note 3 - Interest - Cash Paid f
Note 3 - Interest - Cash Paid for Interest, Net of Capitalized Interest (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Apr. 30, 2021 | Apr. 30, 2020 | Apr. 30, 2021 | Apr. 30, 2020 | ||
Less other interest expensed(2)(3) | [1],[2] | $ 22,033 | $ 26,869 | $ 46,008 | $ 51,872 |
Interest paid by our mortgage and finance subsidiaries | 527 | 509 | 952 | 1,279 | |
Decrease (increase) in accrued interest | 14,720 | (5,553) | 242 | (17,371) | |
Cash paid for interest, net of capitalized interest | $ 37,280 | $ 21,825 | $ 47,202 | $ 35,780 | |
[1] | Cash paid for interest, net of capitalized interest, is the sum of other interest expensed, as defined above, and interest paid by our mortgage and finance subsidiaries adjusted for the change in accrued interest on notes payable, which is calculated as follows: | ||||
[2] | Other interest expensed includes interest that does not qualify for interest capitalization because our assets that qualify for interest capitalization (inventory under development) do not exceed our debt, which amounted to $17.5 million and $13.8 million for the three months ended April 30, 2021 and 2020, respectively, and $33.7 million and $28.7 million for the six months ended April 30, 2021 and 2020, respectively. Other interest also includes interest on completed homes, land in planning and fully developed lots without homes under construction, which does not qualify for capitalization and therefore is expensed. This component of other interest was $4.5 million and $13.1 million for the three months ended April 30, 2021 and 2020, respectively, and $12.3 million and $23.2 million for the six months ended April 30, 2021 and 2020, respectively. |
Note 4 - Reduction of Invento_2
Note 4 - Reduction of Inventory to Fair Value (Details Textual) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Apr. 30, 2021USD ($) | Apr. 30, 2020USD ($) | Apr. 30, 2021USD ($) | Apr. 30, 2020USD ($) | Oct. 31, 2020USD ($) | |
Impairment of Real Estate | $ 0 | $ 0 | $ 800 | $ 0 | |
Number of Communities Evaluated for Impairment | 362 | 374 | |||
Homebuilding [Member] | |||||
Impairment of Real Estate | 0 | $ 800 | $ 0 | ||
Number of Communities Performed Detailed Impairment Calculations | 1 | 1 | |||
Carrying Value of Communities Tested for Impairment | $ 2,300 | $ 600 | |||
Land Option Write Offs | $ 100 | $ 1,000 | $ 1,200 | $ 3,800 | |
Number of Walk Away Lots | 149 | 1,079 | 569 | 2,364 | |
Number of Previously Mothballed Communities Sold During the Period | 2 | ||||
Number of Mothballed Communities Reactivated | 2 | ||||
Number of Mothballed Communities Partially Reactivated | 2 | ||||
Number of Communities Mothballed | 8 | 8 | 12 | ||
Inventory Real Estate Mothballed Communities | $ 4,400 | $ 4,400 | $ 11,400 | ||
Inventory Real Estate Mothballed Communities Accumulated Impairment Charges | 61,500 | 61,500 | 122,200 | ||
Liabilities from Inventory Real Estate Not Owned | 90,430 | 90,430 | 131,204 | ||
Homebuilding [Member] | Model Sale Leaseback Financing Arrangements [Member] | |||||
Inventory Real Estate, Other Options | 40,800 | 40,800 | 48,800 | ||
Liabilities from Inventory Real Estate Not Owned | 40,200 | 40,200 | 47,200 | ||
Homebuilding [Member] | Land Banking Arrangement [Member] | |||||
Inventory Real Estate, Other Options | 84,600 | 84,600 | 133,400 | ||
Liabilities from Inventory Real Estate Not Owned | $ 50,200 | $ 50,200 | $ 84,000 | ||
Homebuilding [Member] | Measurement Input, Discount Rate [Member] | |||||
Inventory, Measurement Input | 0.193 |
Note 5 - Variable Interest En_2
Note 5 - Variable Interest Entities (Details Textual) $ in Millions | Apr. 30, 2021USD ($) |
Deposits Associated with Land and Lot Options of Unconsolidated Variable Interest Entities | $ 79.8 |
Purchase Price Associated with Land and Lot Options of Unconsolidated Variable Interest Entities | $ 1,300 |
Note 6 - Warranty Costs (Detail
Note 6 - Warranty Costs (Details Textual) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Apr. 30, 2021 | Apr. 30, 2020 | Apr. 30, 2021 | Apr. 30, 2020 | Oct. 31, 2020 | |
Cash Received from Subcontractors for Owner Controlled Insurance Program | $ 1,600 | $ 1,100 | $ 3,000 | $ 2,400 | |
General Liability Insurance Deductible | 20,000 | 20,000 | $ 20,000 | ||
Bodily Injury Insurance Deductible | 250 | 250 | 250 | ||
Bodily Injury Insurance Limit | 5,000 | 5,000 | 5,000 | ||
Aggregate Retention for Construction Defects Warranty and Bodily Injury Claims | $ 20,000 | 20,000 | $ 20,000 | ||
Payments by Insurance Companies for Claims | $ 100 | $ 100 |
Note 6 - Warranty Costs - Warra
Note 6 - Warranty Costs - Warranty and General Liability Reserve (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Apr. 30, 2021 | Apr. 30, 2020 | Apr. 30, 2021 | Apr. 30, 2020 | |
Balance, beginning of period | $ 88,861 | $ 89,905 | $ 86,417 | $ 89,371 |
Charges incurred during the period | (4,760) | (7,551) | (6,736) | (11,216) |
Changes to pre-existing reserves | 1,412 | 715 | 1,886 | 1,070 |
Balance, end of period | 90,025 | 87,139 | 90,025 | 87,139 |
Selling, General and Administrative Expenses [Member] | ||||
Additions | 2,409 | 2,050 | 4,457 | 3,991 |
Cost of Sales [Member] | ||||
Additions | $ 2,103 | $ 2,020 | $ 4,001 | $ 3,923 |
Note 7 - Commitments and Cont_2
Note 7 - Commitments and Contingent Liabilities (Details Textual) - USD ($) $ in Millions | May 02, 2018 | Apr. 30, 2021 |
EPA Case Involving a Housing Redevelopment Project in Newark, New Jersey [Member] | ||
Loss Contingency, Percentage of Plaintiff's Costs for Which Reimbursement is Demanded | 100.00% | |
Loss Contingency, Damages Sought, Value | $ 2.7 | |
Great Notch Condominium Claims[Member] | ||
Loss Contingency, Damages Sought, Value | $ 119.5 | |
Spill Fund Lawsuit [Member] | ||
Loss Contingency, Damages Sought, Value | $ 5.3 |
Note 8 - Cash and Cash Equiva_2
Note 8 - Cash and Cash Equivalents, Restricted Cash and Cash Equivalents and Customer's Deposits (Details Textual) - USD ($) $ in Thousands | Apr. 30, 2021 | Oct. 31, 2020 | Apr. 30, 2020 |
Cash Equivalents, at Carrying Value, Total | $ 13,000 | $ 15,500 | |
Mortgage Warehouse Lines of Credit [Member] | |||
Restricted Cash and Cash Equivalents, Total | 3,500 | 2,000 | |
Homebuilding [Member] | |||
Restricted Cash and Cash Equivalents, Total | 12,753 | 14,731 | $ 16,052 |
Financial Services [Member] | |||
Restricted Cash and Cash Equivalents, Total | 36,449 | $ 29,727 | |
Financial Services [Member] | Customer Deposits [Member] | |||
Restricted Cash and Cash Equivalents, Total | 32,900 | 25,400 | |
Financial Services [Member] | Other Assets [Member] | |||
Restricted Cash and Cash Equivalents, Total | $ 36,400 | $ 27,400 |
Note 9 - Leases (Details Textua
Note 9 - Leases (Details Textual) $ in Millions | 3 Months Ended | 6 Months Ended |
Apr. 30, 2021USD ($) | Apr. 30, 2021USD ($) | |
Increase (Decrease) in Operating Lease, Right-of-Use Asset | $ 2.3 | $ 4 |
Increase (Decrease) in Operating Lease Liability | $ 2.3 | $ 4 |
Minimum [Member] | Office Leases [Member] | ||
Lessee, Operating Lease, Term of Contract (Year) | 3 years | 3 years |
Maximum [Member] | Office Leases [Member] | ||
Lessee, Operating Lease, Term of Contract (Year) | 5 years | 5 years |
Note 9 - Leases - Lease Cost (D
Note 9 - Leases - Lease Cost (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Apr. 30, 2021 | Apr. 30, 2020 | Apr. 30, 2021 | Apr. 30, 2020 | Oct. 31, 2020 | |
Operating lease cost | $ 2,594 | $ 2,625 | $ 5,210 | $ 5,216 | |
Cash payments on lease liabilities | $ 2,390 | $ 2,308 | $ 4,688 | $ 4,624 | |
Weighted-average remaining lease term (in years) (Year) | 3 years | 3 years | 3 years 6 months | ||
Weighted-average discount rate (incremental borrowing rate) | 9.50% | 9.50% | 9.60% | ||
Prepaid Expenses and Other Current Assets [Member] | |||||
ROU assets | $ 18,959 | $ 18,959 | $ 20,016 | ||
Accounts Payable and Accrued Liabilities [Member] | |||||
Lease liabilities | $ 19,970 | $ 19,970 | $ 21,049 |
Note 9 - Leases - Maturities of
Note 9 - Leases - Maturities of Operating Lease Liabilities (Details) - USD ($) $ in Thousands | Apr. 30, 2021 | Oct. 31, 2020 |
2021 (excluding the six months ended April 30, 2021) | $ 4,817 | |
2022 | 8,422 | |
2023 | 5,173 | |
2024 | 2,455 | |
2025 | 2,083 | |
Thereafter | 1,162 | |
Total payments | 24,112 | |
Less: imputed interest | (4,142) | |
Accounts Payable and Accrued Liabilities [Member] | ||
Operating Lease, Liability, Total | $ 19,970 | $ 21,049 |
Note 10 - Mortgage Loans Held_3
Note 10 - Mortgage Loans Held for Sale (Details Textual) $ in Millions | Apr. 30, 2021USD ($) | Oct. 31, 2020USD ($) | Apr. 30, 2020 |
Loans Pledged as Collateral | $ 112.6 | $ 87.9 | |
Number of Loans Reserved For | 15 | 21 |
Note 10 - Mortgage Loans Held_4
Note 10 - Mortgage Loans Held for Sale - Loan Origination Reserves (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Apr. 30, 2021 | Apr. 30, 2020 | Apr. 30, 2021 | Apr. 30, 2020 | |
Loan origination reserves, beginning of period | $ 1,508 | $ 1,308 | $ 1,458 | $ 1,268 |
Provisions for losses during the period | 59 | 44 | 109 | 84 |
Adjustments to pre-existing provisions for losses from changes in estimates | (43) | 6 | (43) | 6 |
Loan origination reserves, end of period | $ 1,524 | $ 1,358 | $ 1,524 | $ 1,358 |
Note 11 - Mortgages (Details Te
Note 11 - Mortgages (Details Textual) - USD ($) $ in Thousands | 6 Months Ended | |
Apr. 30, 2021 | Oct. 31, 2020 | |
JP Morgan Chase Bank [Member] | ||
Line of Credit Facility, Maximum Borrowing Capacity | $ 50,000 | |
Warehouse Agreement Borrowings, Total | $ 37,900 | $ 23,500 |
JP Morgan Chase Bank [Member] | London Interbank Offered Rate (LIBOR) [Member] | ||
Debt Instrument Variable Rate Basis Adjusted London Interbank Offered Rate LIBOR | 2.61% | |
Debt Instrument, Basis Spread on Variable Rate | 2.50% | |
Customers Bank [Member] | ||
Line of Credit Facility, Maximum Borrowing Capacity | $ 50,000 | |
Warehouse Agreement Borrowings, Total | $ 36,100 | 31,100 |
Customers Bank [Member] | London Interbank Offered Rate (LIBOR) [Member] | Minimum [Member] | ||
Debt Instrument, Basis Spread on Variable Rate | 2.125% | |
Customers Bank [Member] | London Interbank Offered Rate (LIBOR) [Member] | Maximum [Member] | ||
Debt Instrument, Basis Spread on Variable Rate | 4.75% | |
Nonrecourse Mortgages Secured By Inventory [Member] | Mortgages [Member] | Homebuilding [Member] | ||
Secured Debt, Total | $ 113,861 | 135,122 |
Debt Instrument, Collateral Amount | $ 419,700 | $ 368,100 |
Debt, Weighted Average Interest Rate | 5.00% | 6.40% |
Comerica Master Repurchase Agreement [Member] | ||
Line of Credit Facility, Maximum Borrowing Capacity | $ 60,000 | |
Warehouse Agreement Borrowings, Total | 36,500 | $ 32,600 |
Line of Credit Facility, Maximum Borrowing Capacity Reversion After Initial Period | $ 50,000 | |
Comerica Master Repurchase Agreement [Member] | London Interbank Offered Rate (LIBOR) [Member] | ||
Debt Instrument Variable Rate Basis Floor Rate | 0.25% | |
Comerica Master Repurchase Agreement [Member] | London Interbank Offered Rate (LIBOR) [Member] | Minimum [Member] | ||
Debt Instrument, Basis Spread on Variable Rate | 1.875% | |
Comerica Master Repurchase Agreement [Member] | London Interbank Offered Rate (LIBOR) [Member] | Maximum [Member] | ||
Debt Instrument, Basis Spread on Variable Rate | 3.25% |
Note 12 - Senior Notes and Cr_3
Note 12 - Senior Notes and Credit Facilities (Details Textual) - USD ($) $ / shares in Units, $ in Thousands | Dec. 10, 2019 | Apr. 30, 2021 | Apr. 30, 2020 | Apr. 30, 2021 | Apr. 30, 2020 | Oct. 31, 2020 | Mar. 25, 2020 | Jan. 31, 2020 | Oct. 31, 2019 |
Debt Covenant Fixed Charge Coverage Ratio Minimum | 2 | 2 | |||||||
Secured Debt Leverage Ratio | 4 | 4 | |||||||
Long-term Debt, Gross | $ 1,435,749 | $ 1,435,749 | $ 1,435,749 | ||||||
Gain (Loss) on Extinguishment of Debt, Total | 0 | $ (174) | 0 | $ 9,282 | |||||
Senior Secured Notes [Member] | |||||||||
Long-term Debt, Gross | $ 1,133,990 | $ 1,133,990 | 1,133,990 | ||||||
Senior Secured Notes [Member] | The 10.0% 2022 Notes [Member] | |||||||||
Debt Instrument, Interest Rate, Stated Percentage | 10.00% | 10.00% | |||||||
The Secured Credit Facility, the New Secured Notes, and the Second Lien Notes [Member] | Cash and Cash Equivalents Collateral [Member] | |||||||||
Debt Instrument, Collateral Amount | $ 218,800 | $ 218,800 | |||||||
The Secured Credit Facility, the New Secured Notes, and the Second Lien Notes [Member] | Restricted Cash [Member] | |||||||||
Debt Instrument, Collateral Amount | 9,500 | 9,500 | |||||||
The Secured Credit Facility, the New Secured Notes, and the Second Lien Notes [Member] | Real Property [Member] | |||||||||
Debt Instrument, Collateral Amount | 495,400 | 495,400 | |||||||
The Secured Credit Facility, the New Secured Notes, and the Second Lien Notes [Member] | Equity Interests in Joint Venture Holding Companies Collateral [Member] | |||||||||
Debt Instrument, Collateral Amount | 172,200 | $ 172,200 | |||||||
Series A Preferred Stock [Member] | |||||||||
Preferred Stock, Dividend Rate, Percentage | 7.625% | ||||||||
Senior Secured Revolving Credit Facility [Member] | |||||||||
Debt Instrument, Interest Rate, Stated Percentage | 7.75% | ||||||||
Line of Credit Facility, Maximum Borrowing Capacity | 125,000 | $ 125,000 | $ 125,000 | ||||||
Stand-alone Cash Collateralized Letter of Credit Agreements and Facilities [Member] | |||||||||
Letters of Credit Outstanding, Amount | 9,300 | 9,300 | 11,300 | ||||||
Stand-alone Cash Collateralized Letter of Credit Agreements and Facilities [Member] | Restricted Cash [Member] | |||||||||
Debt Instrument, Collateral Amount | 9,500 | 9,500 | $ 11,600 | ||||||
The 8.0% Senior Notes Due 2027 [Member] | |||||||||
Debt Instrument, Face Amount | $ 26,000 | $ 26,000 | |||||||
Debt Instrument, Interest Rate, Stated Percentage | 8.00% | 8.00% | |||||||
The 10.0% Senior Secured 1.75 Lien Notes due 2025 [Member] | Debt Instrument, Redemption, Period One [Member] | |||||||||
Debt Instrument, Redemption Price, Percentage | 100.00% | ||||||||
The 10.0% Senior Secured 1.75 Lien Notes due 2025 [Member] | Debt Instrument, Redemption, Period One [Member] | Redemption with Net Cash Proceeds from Certain Equity Offerings [Member] | |||||||||
Debt Instrument, Redemption Price, Percentage | 110.00% | ||||||||
Debt Instrument, Redemption Price, Percentage of Principal Amount Redeemed | 35.00% | ||||||||
The 10.0% Senior Secured 1.75 Lien Notes due 2025 [Member] | Debt Instrument, Redemption, Period Two [Member] | |||||||||
Debt Instrument, Redemption Price, Percentage | 105.00% | ||||||||
The 10.0% Senior Secured 1.75 Lien Notes due 2025 [Member] | Debt Instrument, Redemption, Period Three [Member] | |||||||||
Debt Instrument, Redemption Price, Percentage | 102.50% | ||||||||
The 10.0% Senior Secured 1.75 Lien Notes due 2025 [Member] | Debt Instrument, Redemption, Period Four [Member] | |||||||||
Debt Instrument, Redemption Price, Percentage | 100.00% | ||||||||
The 10.0% Senior Secured 1.75 Lien Notes due 2025 [Member] | Senior Secured Notes [Member] | |||||||||
Debt Instrument, Face Amount | $ 158,500 | $ 158,500 | |||||||
Debt Instrument, Interest Rate, Stated Percentage | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | ||||
Long-term Debt, Gross | $ 158,502 | $ 158,502 | $ 158,502 | ||||||
The 10.0% 2022 Notes [Member] | Senior Secured Notes [Member] | |||||||||
Debt Instrument, Interest Rate, Stated Percentage | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | ||
Debt Instrument Exchanged, Face Amount | $ 23,200 | $ 23,200 | |||||||
Long-term Debt, Gross | $ 111,214 | $ 111,214 | $ 111,214 | ||||||
Debt Instrument, Exchange, Amount Issued | $ 59,100 | $ 59,100 | |||||||
The 10.0% 2022 Notes [Member] | Senior Secured Notes [Member] | Debt Instrument, Redemption, Period One [Member] | |||||||||
Debt Instrument, Redemption Price, Percentage | 102.50% | ||||||||
The 10.0% 2022 Notes [Member] | Senior Secured Notes [Member] | Debt Instrument, Redemption, Period Two [Member] | |||||||||
Debt Instrument, Redemption Price, Percentage | 100.00% | ||||||||
The 10.5% 2024 Notes [Member] | |||||||||
Debt Instrument, Interest Rate, Stated Percentage | 10.50% | 10.50% | |||||||
The 10.5% 2024 Notes [Member] | Senior Secured Notes [Member] | |||||||||
Debt Instrument, Interest Rate, Stated Percentage | 10.50% | 10.50% | 10.50% | 10.50% | 10.50% | ||||
Debt Instrument Exchanged, Face Amount | $ 141,700 | $ 141,700 | |||||||
Long-term Debt, Gross | $ 69,683 | $ 69,683 | $ 69,683 | ||||||
The 10.5% 2024 Notes [Member] | Senior Secured Notes [Member] | Debt Instrument, Redemption, Period One [Member] | |||||||||
Debt Instrument, Redemption Price, Percentage | 105.25% | ||||||||
The 10.5% 2024 Notes [Member] | Senior Secured Notes [Member] | Debt Instrument, Redemption, Period Two [Member] | |||||||||
Debt Instrument, Redemption Price, Percentage | 102.625% | ||||||||
The 10.5% 2024 Notes [Member] | Senior Secured Notes [Member] | Debt Instrument, Redemption, Period Three [Member] | |||||||||
Debt Instrument, Redemption Price, Percentage | 100.00% | ||||||||
Senior Unsecured Term Loan Credit Facility [Member] | |||||||||
Debt Instrument Exchanged, Face Amount | 163,000 | 163,000 | |||||||
The 10.0% Senior Secured 1.75 Lien Term Loans Due 2028 [Member] | |||||||||
Debt Instrument, Face Amount | $ 81,500 | $ 81,500 | |||||||
Gain (Loss) on Extinguishment of Debt, Total | $ 200 | $ 9,300 | |||||||
Gain (Loss) on Extinguishment of Debt, Per Share, Excluding Taxes (in dollars per share) | $ 1.51 | ||||||||
The 10.0% Senior Secured 1.75 Lien Term Loans Due 2028 [Member] | Debt Instrument, Redemption, Period One [Member] | |||||||||
Debt Instrument, Redemption Price, Percentage | 100.00% | ||||||||
The 10.0% Senior Secured 1.75 Lien Term Loans Due 2028 [Member] | Debt Instrument, Redemption, Period Two [Member] | |||||||||
Debt Instrument, Redemption Price, Percentage | 105.00% | ||||||||
The 10.0% Senior Secured 1.75 Lien Term Loans Due 2028 [Member] | Debt Instrument, Redemption, Period Three [Member] | |||||||||
Debt Instrument, Redemption Price, Percentage | 102.50% | ||||||||
The 10.0% Senior Secured 1.75 Lien Term Loans Due 2028 [Member] | Debt Instrument, Redemption, Period Four [Member] | |||||||||
Debt Instrument, Redemption Price, Percentage | 100.00% | ||||||||
First Lien Notes [Member] | |||||||||
Long-term Debt, Gross | $ 164,900 | ||||||||
Secured Term Loan Facility [Member] | |||||||||
Long-term Debt, Gross | $ 148,800 | ||||||||
The 11.25% Senior Secured 1.5 Lien Notes due February 15, 2026 [Member] | |||||||||
Debt Instrument, Interest Rate, Stated Percentage | 11.25% | 11.25% | 11.25% | 11.25% | |||||
Long-term Debt, Gross | $ 103,100 | $ 103,100 | $ 162,300 | ||||||
Debt Instrument, Exchange, Amount Issued | $ 59,100 | $ 59,100 | $ 59,100 | ||||||
Debt Instrument, Maximum Secured Amount | $ 162,300 | $ 162,300 | |||||||
The 11.25% Senior Secured 1.5 Lien Notes due February 15, 2026 [Member] | Senior Secured Notes [Member] | |||||||||
Debt Instrument, Interest Rate, Stated Percentage | 11.25% | 11.25% | 11.25% | ||||||
Long-term Debt, Gross | $ 162,269 | $ 162,269 | $ 162,269 | ||||||
The 11.25% Senior Secured 1.5 Lien Notes due February 15, 2026 [Member] | Senior Secured Notes [Member] | Debt Instrument, Redemption, Period One [Member] | |||||||||
Debt Instrument, Redemption Price, Percentage | 100.00% | ||||||||
The 7.75% Senior Secured 1.125 Lien Notes due February 15, 2026 [Member] | Senior Secured Notes [Member] | |||||||||
Debt Instrument, Interest Rate, Stated Percentage | 7.75% | 7.75% | 7.75% | ||||||
Long-term Debt, Gross | $ 350,000 | $ 350,000 | $ 350,000 | ||||||
The 7.75% Senior Secured 1.125 Lien Notes due February 15, 2026 [Member] | Senior Secured Notes [Member] | Redemption with Net Cash Proceeds from Certain Equity Offerings [Member] | |||||||||
Debt Instrument, Redemption Price, Percentage of Principal Amount Redeemed | 35.00% | ||||||||
The 7.75% Senior Secured 1.125 Lien Notes due February 15, 2026 [Member] | Senior Secured Notes [Member] | Debt Instrument, Redemption, Period One [Member] | |||||||||
Debt Instrument, Redemption Price, Percentage | 100.00% | ||||||||
The 7.75% Senior Secured 1.125 Lien Notes due February 15, 2026 [Member] | Senior Secured Notes [Member] | Debt Instrument, Redemption, Period One [Member] | Redemption with Net Cash Proceeds from Certain Equity Offerings [Member] | |||||||||
Debt Instrument, Redemption Price, Percentage | 107.75% | ||||||||
The 7.75% Senior Secured 1.125 Lien Notes due February 15, 2026 [Member] | Senior Secured Notes [Member] | Debt Instrument, Redemption, Period Two [Member] | Redemption with Net Cash Proceeds from Certain Equity Offerings [Member] | |||||||||
Debt Instrument, Redemption Price, Percentage | 103.875% | ||||||||
The 7.75% Senior Secured 1.125 Lien Notes due February 15, 2026 [Member] | Senior Secured Notes [Member] | Debt Instrument, Redemption, Period Three [Member] | Redemption with Net Cash Proceeds from Certain Equity Offerings [Member] | |||||||||
Debt Instrument, Redemption Price, Percentage | 101.937% | ||||||||
The 7.75% Senior Secured 1.125 Lien Notes due February 15, 2026 [Member] | Senior Secured Notes [Member] | Debt Instrument, Redemption, Period Four [Member] | Redemption with Net Cash Proceeds from Certain Equity Offerings [Member] | |||||||||
Debt Instrument, Redemption Price, Percentage | 100.00% | ||||||||
The 10.5% Senior Secured 1.25 Lien Notes due February 15, 2026 [Member] | Senior Secured Notes [Member] | |||||||||
Debt Instrument, Interest Rate, Stated Percentage | 10.50% | 10.50% | 10.50% | ||||||
Long-term Debt, Gross | $ 282,322 | $ 282,322 | $ 282,322 | ||||||
The 10.5% Senior Secured 1.25 Lien Notes due February 15, 2026 [Member] | Senior Secured Notes [Member] | Redemption with Net Cash Proceeds from Certain Equity Offerings [Member] | |||||||||
Debt Instrument, Redemption Price, Percentage of Principal Amount Redeemed | 35.00% | ||||||||
The 10.5% Senior Secured 1.25 Lien Notes due February 15, 2026 [Member] | Senior Secured Notes [Member] | Debt Instrument, Redemption, Period One [Member] | |||||||||
Debt Instrument, Redemption Price, Percentage | 100.00% | ||||||||
The 10.5% Senior Secured 1.25 Lien Notes due February 15, 2026 [Member] | Senior Secured Notes [Member] | Debt Instrument, Redemption, Period One [Member] | Redemption with Net Cash Proceeds from Certain Equity Offerings [Member] | |||||||||
Debt Instrument, Redemption Price, Percentage | 110.50% | ||||||||
The 10.5% Senior Secured 1.25 Lien Notes due February 15, 2026 [Member] | Senior Secured Notes [Member] | Debt Instrument, Redemption, Period Two [Member] | Redemption with Net Cash Proceeds from Certain Equity Offerings [Member] | |||||||||
Debt Instrument, Redemption Price, Percentage | 105.25% | ||||||||
The 10.5% Senior Secured 1.25 Lien Notes due February 15, 2026 [Member] | Senior Secured Notes [Member] | Debt Instrument, Redemption, Period Three [Member] | Redemption with Net Cash Proceeds from Certain Equity Offerings [Member] | |||||||||
Debt Instrument, Redemption Price, Percentage | 102.625% | ||||||||
The 10.5% Senior Secured 1.25 Lien Notes due February 15, 2026 [Member] | Senior Secured Notes [Member] | Debt Instrument, Redemption, Period Four [Member] | Redemption with Net Cash Proceeds from Certain Equity Offerings [Member] | |||||||||
Debt Instrument, Redemption Price, Percentage | 100.00% | ||||||||
The 13.5% Senior Notes Due 2026 [Member] | |||||||||
Debt Instrument, Interest Rate, Stated Percentage | 13.50% | 13.50% | |||||||
The 13.5% Senior Notes Due 2026 [Member] | Unsecured Senior Notes [Member] | Debt Instrument, Redemption, Period One [Member] | |||||||||
Debt Instrument, Redemption Price, Percentage | 100.00% | ||||||||
The 13.5% Senior Notes Due 2026 [Member] | Unsecured Senior Notes [Member] | Debt Instrument, Redemption, Period Two [Member] | |||||||||
Debt Instrument, Redemption Price, Percentage | 100.00% | ||||||||
The 5.0% Senior Notes due 2040 [Member] | |||||||||
Debt Instrument, Interest Rate, Stated Percentage | 5.00% | 5.00% | |||||||
The 5.0% Senior Notes due 2040 [Member] | Unsecured Senior Notes [Member] | Debt Instrument, Redemption, Period One [Member] | |||||||||
Debt Instrument, Redemption Price, Percentage | 100.00% |
Note 12 - Senior Notes and Cr_4
Note 12 - Senior Notes and Credit Facilities - Senior Notes and Credit Facilities Balances (Details) - USD ($) $ in Thousands | Apr. 30, 2021 | Oct. 31, 2020 | Mar. 25, 2020 | |
Long-term Debt, Gross | $ 1,435,749 | $ 1,435,749 | ||
Net (discounts) premiums | 13,614 | 17,521 | ||
Net debt issuance costs | (20,039) | (22,160) | ||
Total notes payable, net of discounts, premiums and debt issuance costs | 1,429,324 | 1,431,110 | ||
The 11.25% Senior Secured 1.5 Lien Notes due February 15, 2026 [Member] | ||||
Long-term Debt, Gross | 103,100 | $ 162,300 | ||
Senior Secured Notes [Member] | ||||
Long-term Debt, Gross | 1,133,990 | 1,133,990 | ||
Senior Secured Notes [Member] | The 10.0% 2022 Notes [Member] | ||||
Long-term Debt, Gross | 111,214 | 111,214 | ||
Senior Secured Notes [Member] | The 10.5% 2024 Notes [Member] | ||||
Long-term Debt, Gross | 69,683 | 69,683 | ||
Senior Secured Notes [Member] | The 10.0% Senior Secured 1.75 Lien Notes due 2025 [Member] | ||||
Long-term Debt, Gross | 158,502 | 158,502 | ||
Senior Secured Notes [Member] | The 7.75% Senior Secured 1.125 Lien Notes due February 15, 2026 [Member] | ||||
Long-term Debt, Gross | 350,000 | 350,000 | ||
Senior Secured Notes [Member] | The 10.5% Senior Secured 1.25 Lien Notes due February 15, 2026 [Member] | ||||
Long-term Debt, Gross | 282,322 | 282,322 | ||
Senior Secured Notes [Member] | The 11.25% Senior Secured 1.5 Lien Notes due February 15, 2026 [Member] | ||||
Long-term Debt, Gross | 162,269 | 162,269 | ||
Unsecured Senior Notes Excluding Senior Amortizing Notes and Senior Exchangeable Notes [Member] | ||||
Long-term Debt, Gross | 180,710 | 180,710 | ||
Unsecured Senior Notes Excluding Senior Amortizing Notes and Senior Exchangeable Notes [Member] | The 8.0% Senior Notes Due 2027 [Member] | ||||
Long-term Debt, Gross | [1] | 0 | 0 | |
Unsecured Senior Notes Excluding Senior Amortizing Notes and Senior Exchangeable Notes [Member] | The 13.5% Senior Notes Due 2026 [Member] | ||||
Long-term Debt, Gross | 90,590 | 90,590 | ||
Unsecured Senior Notes Excluding Senior Amortizing Notes and Senior Exchangeable Notes [Member] | The 5.0% Senior Notes due 2040 [Member] | ||||
Long-term Debt, Gross | 90,120 | 90,120 | ||
Senior Unsecured Term Loan Credit Facility Due 2027 [Member] | ||||
Long-term Debt, Gross | 39,551 | 39,551 | ||
Senior Secured Term Loan [Member] | The 10.0% Senior Secured 1.75 Lien Term Loans Due 2028 [Member] | ||||
Long-term Debt, Gross | 81,498 | 81,498 | ||
Senior Secured Revolving Credit Facility [Member] | ||||
Long-term Debt, Gross | [2] | $ 0 | $ 0 | |
[1] | $26.0 million of 8.0% Senior Notes due 2027 (the "8.0% 2027 Notes") are owned by a wholly-owned consolidated subsidiary of HEI. Therefore, in accordance with GAAP, such notes are not reflected on the Condensed Consolidated Balance Sheets of HEI. On November 1, 2019, the maturity of the 8.0% 2027 Notes was extended to November 1, 2027. | |||
[2] | At April 30, 2021, provides for up to $125.0 million in aggregate amount of senior secured first lien revolving loans. Availability thereunder will terminate on December 28, 2022. |
Note 12 - Senior Notes and Cr_5
Note 12 - Senior Notes and Credit Facilities - Senior Notes and Credit Facilities Balances (Details) (Parentheticals) | 6 Months Ended | 12 Months Ended | ||||
Apr. 30, 2021 | Oct. 31, 2020 | Apr. 30, 2020 | Jan. 31, 2020 | Dec. 10, 2019 | ||
Senior Unsecured Term Loan Credit Facility Due 2027 [Member] | ||||||
Debt Instrument, Maturity Date | Feb. 1, 2027 | Feb. 1, 2027 | ||||
The 10.0% 2022 Notes [Member] | Senior Secured Notes [Member] | ||||||
Debt Instrument, Interest Rate, Stated Percentage | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | |
Debt Instrument, Maturity Date | Jul. 15, 2022 | Jul. 15, 2022 | ||||
The 10.5% 2024 Notes [Member] | ||||||
Debt Instrument, Interest Rate, Stated Percentage | 10.50% | |||||
The 10.5% 2024 Notes [Member] | Senior Secured Notes [Member] | ||||||
Debt Instrument, Interest Rate, Stated Percentage | 10.50% | 10.50% | 10.50% | 10.50% | ||
Debt Instrument, Maturity Date | Jul. 15, 2024 | Jul. 15, 2024 | ||||
The 10.0% Senior Secured 1.75 Lien Notes due 2025 [Member] | Senior Secured Notes [Member] | ||||||
Debt Instrument, Interest Rate, Stated Percentage | 10.00% | 10.00% | 10.00% | 10.00% | ||
Debt Instrument, Maturity Date | Nov. 15, 2025 | Nov. 15, 2025 | ||||
The 7.75% Senior Secured 1.125 Lien Notes due February 15, 2026 [Member] | Senior Secured Notes [Member] | ||||||
Debt Instrument, Interest Rate, Stated Percentage | 7.75% | 7.75% | ||||
Debt Instrument, Maturity Date | Feb. 15, 2026 | Feb. 15, 2026 | ||||
The 10.5% Senior Secured 1.25 Lien Notes due February 15, 2026 [Member] | Senior Secured Notes [Member] | ||||||
Debt Instrument, Interest Rate, Stated Percentage | 10.50% | 10.50% | ||||
Debt Instrument, Maturity Date | Feb. 15, 2026 | Feb. 15, 2026 | ||||
The 11.25% Senior Secured 1.5 Lien Notes due February 15, 2026 [Member] | ||||||
Debt Instrument, Interest Rate, Stated Percentage | 11.25% | 11.25% | ||||
The 11.25% Senior Secured 1.5 Lien Notes due February 15, 2026 [Member] | Senior Secured Notes [Member] | ||||||
Debt Instrument, Interest Rate, Stated Percentage | 11.25% | 11.25% | ||||
Debt Instrument, Maturity Date | Feb. 15, 2026 | Feb. 15, 2026 | ||||
The 8.0% Senior Notes Due 2027 [Member] | ||||||
Debt Instrument, Interest Rate, Stated Percentage | 8.00% | |||||
The 8.0% Senior Notes Due 2027 [Member] | Unsecured Senior Notes Excluding Senior Amortizing Notes and Senior Exchangeable Notes [Member] | ||||||
Debt Instrument, Interest Rate, Stated Percentage | [1] | 8.00% | 8.00% | |||
Debt Instrument, Maturity Date | [1] | Nov. 1, 2027 | Nov. 1, 2027 | |||
The 13.5% Senior Notes Due 2026 [Member] | ||||||
Debt Instrument, Interest Rate, Stated Percentage | 13.50% | |||||
The 13.5% Senior Notes Due 2026 [Member] | Unsecured Senior Notes Excluding Senior Amortizing Notes and Senior Exchangeable Notes [Member] | ||||||
Debt Instrument, Interest Rate, Stated Percentage | 13.50% | 13.50% | ||||
Debt Instrument, Maturity Date | Feb. 1, 2026 | Feb. 1, 2026 | ||||
The 5.0% Senior Notes due 2040 [Member] | ||||||
Debt Instrument, Interest Rate, Stated Percentage | 5.00% | |||||
The 5.0% Senior Notes due 2040 [Member] | Unsecured Senior Notes Excluding Senior Amortizing Notes and Senior Exchangeable Notes [Member] | ||||||
Debt Instrument, Interest Rate, Stated Percentage | 5.00% | 5.00% | ||||
Debt Instrument, Maturity Date | Feb. 1, 2040 | Feb. 1, 2040 | ||||
The 10.0% Senior Secured 1.75 Lien Term Loans Due 2028 [Member] | Senior Secured Term Loan [Member] | ||||||
Debt Instrument, Maturity Date | Jan. 31, 2028 | Jan. 31, 2028 | ||||
[1] | $26.0 million of 8.0% Senior Notes due 2027 (the "8.0% 2027 Notes") are owned by a wholly-owned consolidated subsidiary of HEI. Therefore, in accordance with GAAP, such notes are not reflected on the Condensed Consolidated Balance Sheets of HEI. On November 1, 2019, the maturity of the 8.0% 2027 Notes was extended to November 1, 2027. |
Note 13 - Per Share Calculati_3
Note 13 - Per Share Calculation (Details Textual) - shares shares in Thousands | 3 Months Ended | 6 Months Ended | ||
Apr. 30, 2021 | Apr. 30, 2020 | Apr. 30, 2021 | Apr. 30, 2020 | |
Non Vested Stock and Outstanding Options [Member] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount (in shares) | 300 | |||
Out of the Money Stock Options [Member] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount (in shares) | 27 | 200 | 100 | 200 |
Note 13 - Per Share Calculati_4
Note 13 - Per Share Calculation - Basic and Diluted Earnings Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Apr. 30, 2021 | Apr. 30, 2020 | Apr. 30, 2021 | Apr. 30, 2020 | |
Net earnings (loss) attributable to Hovnanian | $ 488,676 | $ 4,079 | $ 507,635 | $ (5,069) |
Less: undistributed earnings allocated to nonvested shares | (44,383) | (216) | (46,147) | 0 |
Numerator for basic earnings (loss) per share | 444,293 | 3,863 | 461,488 | (5,069) |
Plus: undistributed earnings allocated to nonvested shares | 44,383 | 216 | 46,147 | 0 |
Less: undistributed earnings reallocated to nonvested shares | (45,170) | (216) | (47,338) | 0 |
Numerator for diluted earnings per share | $ 443,506 | $ 3,863 | $ 460,297 | $ (5,069) |
Denominator for basic earnings per share – weighted average shares outstanding (in shares) | 6,248 | 6,172 | 6,236 | 6,166 |
Share based payments (in shares) | 120 | 260 | 95 | 0 |
Denominator for diluted earnings per share – weighted average shares outstanding (in shares) | 6,368 | 6,432 | 6,331 | 6,166 |
Net income (loss) per common share (in dollars per share) | $ 71.11 | $ 0.63 | $ 74 | $ (0.82) |
Diluted earnings (loss) per share (in dollars per share) | $ 69.65 | $ 0.60 | $ 72.71 | $ (0.82) |
Note 14 - Preferred Stock (Deta
Note 14 - Preferred Stock (Details Textual) - USD ($) $ / shares in Units, $ in Thousands | Jul. 12, 2005 | Apr. 30, 2021 | Apr. 30, 2020 | Oct. 31, 2020 |
Preferred Stock, Shares Issued, Total (in shares) | 5,600 | 5,600 | ||
Preferred Class A [Member] | ||||
Preferred Stock, Shares Issued, Total (in shares) | 5,600 | |||
Preferred Stock, Dividend Rate, Percentage | 7.625% | |||
Preferred Stock, Liquidation Preference Per Share (in dollars per share) | $ 25,000 | |||
Preferred Stock, Depositary Shares, Number of Shares of Preferred Stock in Each Depositary Share (in shares) | 0.001 | |||
Payments of Dividends, Total | $ 0 | $ 0 |
Note 15 - Common Stock (Details
Note 15 - Common Stock (Details Textual) shares in Thousands | 3 Months Ended | 6 Months Ended | |||
Apr. 30, 2021shares | Apr. 30, 2021shares | Jan. 11, 2018 | Aug. 15, 2008 | Jul. 03, 2001shares | |
Common Stock Dividends Percent of Increase from Class A to Class B | 110.00% | 110.00% | |||
Conversion of Stock From Class B to Class A Conversion Ratio | 1 | ||||
Shareholder Ownership Percentage of Increase | 50.00% | ||||
Minimum [Member] | |||||
Shareholder Ownership Percentage | 5.00% | ||||
Common Class A [Member] | |||||
Common Stock Voting Rights Votes per Share Number | 1 | ||||
Shareholder Ownership Percentage | 4.90% | ||||
Number of Rights | 1 | ||||
Shareholders Pre Existing Ownership Percentage | 5.00% | ||||
Shareholders Current Ownership Percentage | 5.00% | ||||
Shareholders Ownership Percentage on Transfers | 5.00% | ||||
Shareholders Ownership Percentage Threshold | 5.00% | ||||
Stock Repurchase Program, Number of Shares Authorized to be Repurchased (in shares) | 200 | ||||
Stock Repurchased During Period, Shares (in shares) | 0 | 0 | |||
Stock Repurchase Program, Remaining Number of Shares Authorized to be Repurchased (in shares) | 22 | 22 | |||
Common Class B [Member] | |||||
Common Stock Voting Rights Votes per Share Number | 10 |
Note 16 - Income Taxes (Details
Note 16 - Income Taxes (Details Textual) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | 42 Months Ended | ||
Apr. 30, 2021 | Apr. 30, 2020 | Apr. 30, 2021 | Apr. 30, 2020 | Oct. 31, 2020 | Apr. 30, 2021 | |
Income Tax Expense (Benefit), Total | $ (457,644) | $ 100 | $ (457,018) | $ 1,812 | ||
Deferred Tax Assets, Valuation Allowance, Total | 102,900 | 102,900 | $ 102,900 | |||
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest, Total | 31,032 | 4,179 | 50,617 | (3,257) | $ 55,400 | 114,500 |
Federal Deferred Tax Assets Related to NOLs and Other Matters [Member] | ||||||
Deferred Tax Assets, Valuation Allowance, Total | 396,500 | |||||
Valuation Allowance, Deferred Tax Asset, Increase (Decrease), Amount | (396,500) | |||||
Deferred Tax Assets Related to State NOLs [Member] | ||||||
Deferred Tax Assets, Valuation Allowance, Total | 102,900 | 102,900 | $ 181,000 | 102,900 | ||
Valuation Allowance, Deferred Tax Asset, Increase (Decrease), Amount | (78,100) | |||||
State and Local Jurisdiction [Member] | ||||||
Income Tax Expense (Benefit), Total | (91,374) | 100 | (90,748) | 1,812 | ||
Operating Loss Carryforwards, Total | 2,400,000 | 2,400,000 | 2,400,000 | |||
State and Local Jurisdiction [Member] | Indefinite Tax Period [Member] | ||||||
Operating Loss Carryforwards, Total | 48,800 | 48,800 | 48,800 | |||
State and Local Jurisdiction [Member] | Between 2021 and 2025 [Member] | ||||||
Operating Loss Carryforwards, Total | 232,600 | 232,600 | 232,600 | |||
State and Local Jurisdiction [Member] | Between 2026 and 2030 [Member] | ||||||
Operating Loss Carryforwards, Total | 1,300,000 | 1,300,000 | 1,300,000 | |||
State and Local Jurisdiction [Member] | Between 2031 and 2035 [Member] | ||||||
Operating Loss Carryforwards, Total | 587,900 | 587,900 | 587,900 | |||
State and Local Jurisdiction [Member] | Between 2036 and 2040 [Member] | ||||||
Operating Loss Carryforwards, Total | 239,200 | 239,200 | 239,200 | |||
Domestic Tax Authority [Member] | ||||||
Income Tax Expense (Benefit), Total | (366,270) | $ 0 | (366,270) | $ 0 | ||
Domestic Tax Authority [Member] | Between 2028 and 2038 [Member] | ||||||
Operating Loss Carryforwards, Total | 1,400,000 | 1,400,000 | 1,400,000 | |||
Domestic Tax Authority [Member] | Indefinite Tax Period [Member] | ||||||
Operating Loss Carryforwards, Total | $ 15,700 | $ 15,700 | $ 15,700 |
Note 17 - Operating and Repor_3
Note 17 - Operating and Reporting Segments (Details Textual) $ in Thousands | 3 Months Ended | 6 Months Ended | ||||
Apr. 30, 2021USD ($) | Jan. 31, 2021 | Apr. 30, 2020USD ($) | Apr. 30, 2021USD ($) | Apr. 30, 2020USD ($) | ||
Real Estate Inventory Expense Not Eligible for Capitalization | [1],[2] | $ 22,033 | $ 26,869 | $ 46,008 | $ 51,872 | |
Gain (Loss) on Extinguishment of Debt, Total | 0 | (174) | 0 | 9,282 | ||
Qualifying Assets Not Exceeding Debt [Member] | ||||||
Real Estate Inventory Expense Not Eligible for Capitalization | 17,500 | 13,800 | 33,700 | 28,700 | ||
Corporate, Non-Segment [Member] | ||||||
General and Administrative Expense, Total | 40,400 | 15,300 | 63,900 | 35,000 | ||
Other Nonoperating Income (Expense), Total | 300 | (1,100) | 100 | (2,000) | ||
Gain (Loss) on Extinguishment of Debt, Total | (200) | (9,300) | ||||
Corporate, Non-Segment [Member] | Qualifying Assets Not Exceeding Debt [Member] | ||||||
Real Estate Inventory Expense Not Eligible for Capitalization | $ 17,500 | $ 13,800 | $ 33,700 | $ 28,700 | ||
Homebuilding [Member] | ||||||
Number of Reportable Segments | 6 | 6 | ||||
[1] | Cash paid for interest, net of capitalized interest, is the sum of other interest expensed, as defined above, and interest paid by our mortgage and finance subsidiaries adjusted for the change in accrued interest on notes payable, which is calculated as follows: | |||||
[2] | Other interest expensed includes interest that does not qualify for interest capitalization because our assets that qualify for interest capitalization (inventory under development) do not exceed our debt, which amounted to $17.5 million and $13.8 million for the three months ended April 30, 2021 and 2020, respectively, and $33.7 million and $28.7 million for the six months ended April 30, 2021 and 2020, respectively. Other interest also includes interest on completed homes, land in planning and fully developed lots without homes under construction, which does not qualify for capitalization and therefore is expensed. This component of other interest was $4.5 million and $13.1 million for the three months ended April 30, 2021 and 2020, respectively, and $12.3 million and $23.2 million for the six months ended April 30, 2021 and 2020, respectively. |
Note 17 - Operating and Repor_4
Note 17 - Operating and Reporting Segments - Financial Information Relating to Segment Operations (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | 42 Months Ended | |||
Apr. 30, 2021 | Apr. 30, 2020 | Apr. 30, 2021 | Apr. 30, 2020 | Oct. 31, 2020 | Apr. 30, 2021 | ||
Revenues, Total | $ 703,162 | $ 538,351 | $ 1,277,826 | $ 1,032,407 | |||
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest, Total | 31,032 | 4,179 | 50,617 | (3,257) | $ 55,400 | $ 114,500 | |
Corporate, Non-Segment [Member] | |||||||
Revenues, Total | 4 | 155 | 10 | 424 | |||
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest, Total | [1] | (58,183) | (28,180) | (97,701) | (52,352) | ||
Homebuilding [Member] | |||||||
Revenues, Total | 681,434 | 523,990 | 1,236,601 | 1,004,032 | |||
Homebuilding [Member] | Operating Segments [Member] | |||||||
Revenues, Total | 681,430 | 523,835 | 1,236,591 | 1,003,608 | |||
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest, Total | 78,848 | 27,628 | 128,808 | 39,904 | |||
Homebuilding [Member] | Northeast [Member] | Operating Segments [Member] | |||||||
Revenues, Total | 30,189 | 46,798 | 62,233 | 92,074 | |||
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest, Total | 5,068 | 6,722 | 9,662 | 12,463 | |||
Homebuilding [Member] | Mid-Atlantic [Member] | Operating Segments [Member] | |||||||
Revenues, Total | 112,200 | 89,738 | 205,145 | 177,497 | |||
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest, Total | 12,010 | 5,466 | 22,711 | 9,524 | |||
Homebuilding [Member] | Midwest [Member] | Operating Segments [Member] | |||||||
Revenues, Total | 64,079 | 56,673 | 123,236 | 103,117 | |||
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest, Total | 4,128 | (385) | 7,712 | (3,828) | |||
Homebuilding [Member] | Southeast [Member] | Operating Segments [Member] | |||||||
Revenues, Total | 80,917 | 56,369 | 126,691 | 93,143 | |||
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest, Total | 6,504 | 50 | 6,858 | (4,261) | |||
Homebuilding [Member] | Southwest [Member] | Operating Segments [Member] | |||||||
Revenues, Total | 217,312 | 170,654 | 407,721 | 334,553 | |||
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest, Total | 29,275 | 13,052 | 50,325 | 21,672 | |||
Homebuilding [Member] | West [Member] | Operating Segments [Member] | |||||||
Revenues, Total | 176,733 | 103,603 | 311,565 | 203,224 | |||
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest, Total | 21,863 | 2,723 | 31,540 | 4,334 | |||
Financial Services [Member] | |||||||
Revenues, Total | 21,728 | 14,361 | 41,225 | 28,375 | |||
Financial Services [Member] | Operating Segments [Member] | |||||||
Revenues, Total | 21,728 | 14,361 | 41,225 | 28,375 | |||
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest, Total | $ 10,367 | $ 4,731 | $ 19,510 | $ 9,191 | |||
[1] | Corporate and unallocated for the three months ended April 30, 2021 included corporate general and administrative costs of $40.4 million, interest expense of $17.5 million (a component of Other interest on our Condensed Consolidated Statements of Operations), and $0.3 million of other income and expenses primarily related to interest income and stock compensation. Corporate and unallocated for the six months ended April 30, 2021 included corporate general and administrative costs of $63.9 million, interest expense of $33.7 million (a component of Other interest on our Condensed Consolidated Statements of Operations), and $0.1 million of other income and expenses. Corporate and unallocated for the three months ended April 30, 2020 included corporate general and administrative costs of $15.3 million, interest expense of $13.8 million (a component of Other interest on our Condensed Consolidated Statements of Operations), $0.2 million of loss on extinguishment of debt and $(1.1) million of other income and expenses primarily related to interest income and stock compensation. Corporate and unallocated for the six months ended April 30, 2020 included corporate general and administrative costs of $35.0 million, interest expense of $28.7 million (a component of Other interest on our Condensed Consolidated Statements of Operations), $(9.3) million of gain on extinguishment of debt and $(2.0) million of other income and expenses. |
Note 17 - Operating and Repor_5
Note 17 - Operating and Reporting Segments - Financial Information Relating to Segment Financial Position (Details) - USD ($) $ in Thousands | Apr. 30, 2021 | Oct. 31, 2020 |
Assets | $ 2,337,988 | $ 1,827,342 |
Corporate, Non-Segment [Member] | ||
Assets | 734,758 | 315,585 |
Homebuilding [Member] | ||
Assets | 1,709,094 | 1,686,735 |
Homebuilding [Member] | Operating Segments [Member] | ||
Assets | 1,433,398 | 1,371,150 |
Homebuilding [Member] | Northeast [Member] | Operating Segments [Member] | ||
Assets | 126,306 | 107,748 |
Homebuilding [Member] | Mid-Atlantic [Member] | Operating Segments [Member] | ||
Assets | 271,207 | 271,867 |
Homebuilding [Member] | Midwest [Member] | Operating Segments [Member] | ||
Assets | 100,896 | 106,774 |
Homebuilding [Member] | Southeast [Member] | Operating Segments [Member] | ||
Assets | 245,353 | 248,506 |
Homebuilding [Member] | Southwest [Member] | Operating Segments [Member] | ||
Assets | 411,068 | 357,444 |
Homebuilding [Member] | West [Member] | Operating Segments [Member] | ||
Assets | 278,568 | 278,811 |
Financial Services [Member] | ||
Assets | 169,708 | 140,607 |
Financial Services [Member] | Operating Segments [Member] | ||
Assets | $ 169,832 | $ 140,607 |
Note 18 - Investments in Unco_3
Note 18 - Investments in Unconsolidated Homebuilding and Land Development Joint Ventures (Details Textual) $ in Thousands | 3 Months Ended | 6 Months Ended | ||||
Apr. 30, 2021USD ($) | Apr. 30, 2020USD ($) | Jan. 31, 2020USD ($) | Apr. 30, 2021USD ($) | Apr. 30, 2020USD ($) | Oct. 31, 2020USD ($) | |
Number of Owned Communities Transferred to the Joint Venture | 6 | 8 | ||||
Number of Owned Active Communities Transferred to the Joint Venture | 3 | 4 | ||||
Number of New Joint Ventures | 2 | 1 | ||||
Proceeds from Transfer of Land to Joint Venture | $ 21,200 | $ 29,800 | ||||
Equity Method Investment, Other than Temporary Impairment | $ 0 | $ 0 | ||||
Revenues, Total | $ 703,162 | $ 538,351 | $ 1,277,826 | $ 1,032,407 | ||
Joint Venture Total Debt to Capitalization Ratio | 27.00% | 27.00% | ||||
Homebuilding and Land Development Joint Ventures [Member] | ||||||
Equity Method Investment, Number of Unconsolidated Joint Ventures | 13 | 12 | ||||
Number Of Investments In Joint Ventures Written Off | 2 | 2 | 2 | |||
Equity Method Investment, Estimated Percentage Share of Net Loss Without Investment Write Off | 50.00% | 50.00% | ||||
Minimum [Member] | Homebuilding and Land Development Joint Ventures [Member] | ||||||
Equity Method Investment, Ownership Percentage | 20.00% | 20.00% | ||||
Maximum [Member] | Homebuilding and Land Development Joint Ventures [Member] | ||||||
Equity Method Investment, Ownership Percentage | 50.00% | 50.00% | ||||
Homebuilding [Member] | ||||||
Investments in and Advance to Affiliates, Subsidiaries, Associates, and Joint Ventures, Total | $ 112,505 | $ 112,505 | $ 103,164 | |||
Revenues, Total | 681,434 | $ 523,990 | 1,236,601 | $ 1,004,032 | ||
Homebuilding [Member] | Management Fees [Member] | ||||||
Revenues, Total | 3,000 | $ 4,000 | 5,300 | $ 7,700 | ||
Corporate Joint Venture [Member] | ||||||
Advances to Affiliate | $ 16,300 | $ 16,300 | $ 1,100 |
Note 18 - Investments in Unco_4
Note 18 - Investments in Unconsolidated Homebuilding and Land Development Joint Ventures - Unconsolidated Homebuilding and Land Development Joint Ventures (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||||||
Apr. 30, 2021 | Apr. 30, 2020 | Apr. 30, 2021 | Apr. 30, 2020 | Jan. 31, 2021 | Oct. 31, 2020 | Jan. 31, 2020 | Oct. 31, 2019 | |
Assets | $ 2,337,988 | $ 2,337,988 | $ 1,827,342 | |||||
Liabilities | 2,265,274 | 2,265,274 | 2,263,436 | |||||
Hovnanian Enterprises, Inc. | 71,943 | 71,943 | (436,929) | |||||
Others | 771 | 771 | 835 | |||||
Total equity (deficit) | 72,714 | $ (495,073) | 72,714 | $ (495,073) | $ (416,335) | (436,094) | $ (499,079) | $ (489,776) |
Total liabilities and equity | $ 2,337,988 | $ 2,337,988 | 1,827,342 | |||||
Debt to capitalization ratio | 27.00% | 27.00% | ||||||
Revenues, Total | $ 703,162 | 538,351 | $ 1,277,826 | 1,032,407 | ||||
Joint venture net income (loss) | 488,676 | 4,079 | 507,635 | (5,069) | ||||
Our share of net income (loss) | 2,641 | 6,221 | 4,557 | 7,761 | ||||
Corporate Joint Venture [Member] | Equity Method Investment, Nonconsolidated Investee or Group of Investees [Member] | ||||||||
Cash and cash equivalents | 122,212 | 122,212 | 123,561 | |||||
Inventories | 465,748 | 465,748 | 389,092 | |||||
Other assets | 34,633 | 34,633 | 27,550 | |||||
Assets | 622,593 | 622,593 | 540,203 | |||||
Accounts payable and accrued liabilities | 328,621 | 328,621 | 209,429 | |||||
Notes payable | 80,321 | 80,321 | 117,179 | |||||
Liabilities | 408,942 | 408,942 | 326,608 | |||||
Hovnanian Enterprises, Inc. | 96,200 | 96,200 | 104,248 | |||||
Others | 117,451 | 117,451 | 109,347 | |||||
Total equity (deficit) | 213,651 | 213,651 | 213,595 | |||||
Total liabilities and equity | $ 622,593 | $ 622,593 | $ 540,203 | |||||
Debt to capitalization ratio | 27.00% | 27.00% | 35.00% | |||||
Revenues, Total | $ 91,954 | 116,624 | $ 163,681 | 207,328 | ||||
Cost of sales and expenses | (87,845) | (110,901) | (159,146) | (204,405) | ||||
Joint venture net income (loss) | 4,109 | 5,723 | 4,535 | 2,923 | ||||
Our share of net income (loss) | 2,750 | 6,327 | 4,756 | 7,191 | ||||
Homebuilding Joint Venture [Member] | Corporate Joint Venture [Member] | Equity Method Investment, Nonconsolidated Investee or Group of Investees [Member] | ||||||||
Cash and cash equivalents | 119,958 | 119,958 | $ 120,107 | |||||
Inventories | 465,748 | 465,748 | 389,001 | |||||
Other assets | 34,631 | 34,631 | 27,062 | |||||
Assets | 620,337 | 620,337 | 536,170 | |||||
Accounts payable and accrued liabilities | 326,688 | 326,688 | 207,277 | |||||
Notes payable | 80,321 | 80,321 | 117,179 | |||||
Liabilities | 407,009 | 407,009 | 324,456 | |||||
Hovnanian Enterprises, Inc. | 95,933 | 95,933 | 102,908 | |||||
Others | 117,395 | 117,395 | 108,806 | |||||
Total equity (deficit) | 213,328 | 213,328 | 211,714 | |||||
Total liabilities and equity | $ 620,337 | $ 620,337 | $ 536,170 | |||||
Debt to capitalization ratio | 27.00% | 27.00% | 36.00% | |||||
Revenues, Total | $ 91,526 | 112,812 | $ 162,990 | 199,776 | ||||
Cost of sales and expenses | (87,696) | (107,453) | (158,969) | (196,004) | ||||
Joint venture net income (loss) | 3,830 | 5,359 | 4,021 | 3,772 | ||||
Our share of net income (loss) | 2,637 | 6,146 | 4,548 | 7,616 | ||||
Land Development Joint Venture [Member] | Corporate Joint Venture [Member] | Equity Method Investment, Nonconsolidated Investee or Group of Investees [Member] | ||||||||
Cash and cash equivalents | 2,254 | 2,254 | $ 3,454 | |||||
Inventories | 0 | 0 | 91 | |||||
Other assets | 2 | 2 | 488 | |||||
Assets | 2,256 | 2,256 | 4,033 | |||||
Accounts payable and accrued liabilities | 1,933 | 1,933 | 2,152 | |||||
Notes payable | 0 | 0 | 0 | |||||
Liabilities | 1,933 | 1,933 | 2,152 | |||||
Hovnanian Enterprises, Inc. | 267 | 267 | 1,340 | |||||
Others | 56 | 56 | 541 | |||||
Total equity (deficit) | 323 | 323 | 1,881 | |||||
Total liabilities and equity | $ 2,256 | $ 2,256 | $ 4,033 | |||||
Debt to capitalization ratio | 0.00% | 0.00% | 0.00% | |||||
Revenues, Total | $ 428 | 3,812 | $ 691 | 7,552 | ||||
Cost of sales and expenses | (149) | (3,448) | (177) | (8,401) | ||||
Joint venture net income (loss) | 279 | 364 | 514 | (849) | ||||
Our share of net income (loss) | $ 113 | $ 181 | $ 208 | $ (425) |
Note 20 - Fair Value of Finan_3
Note 20 - Fair Value of Financial Instruments (Details Textual) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||||
Apr. 30, 2021 | Apr. 30, 2020 | Apr. 30, 2021 | Apr. 30, 2020 | Oct. 31, 2020 | Oct. 31, 2019 | |
Loans Held for Sale Mortgages Unpaid Principal | $ 122,300 | $ 122,300 | $ 100,400 | |||
Other Commitment, Total | 24,000 | 24,000 | ||||
Impairment of Real Estate | 0 | $ 0 | 800 | $ 0 | ||
Senior Secured Revolving Credit Facility [Member] | ||||||
Debt Instrument, Interest Rate, Stated Percentage | 7.75% | |||||
Long-term Line of Credit, Total | $ 0 | $ 0 | $ 0 | |||
The 10.5% 2024 Notes [Member] | ||||||
Debt Instrument, Interest Rate, Stated Percentage | 10.50% | 10.50% | ||||
Fair Value, Nonrecurring [Member] | ||||||
Assets, Fair Value Disclosure | $ 0 | $ 0 | $ 0 | $ 0 | ||
Loan Origination Commitments [Member] | ||||||
Loan Applications in Process | 1,100 | $ 1,100 | ||||
Loan Origination Commitments [Member] | Maximum [Member] | ||||||
Number of Days in Committment (Day) | 60 days | |||||
Interest Rate Committed Loan Applications [Member] | ||||||
Interest Rate Committed Loan Applications | $ 98,000 | $ 98,000 |
Note 20 - Fair Value of Finan_4
Note 20 - Fair Value of Financial Instruments - Financial Instruments Measured at Fair Value on a Recurring Basis (Details) - Fair Value, Recurring [Member] - USD ($) $ in Thousands | Apr. 30, 2021 | Oct. 31, 2020 | |
Total | $ 126,589 | $ 104,361 | |
Fair Value, Inputs, Level 2 [Member] | |||
Mortgage loans held for sale | [1] | 126,553 | 104,378 |
Total | 126,150 | 104,350 | |
Fair Value, Inputs, Level 2 [Member] | Forward Contracts [Member] | |||
Derivative Fair Value | (403) | (28) | |
Fair Value, Inputs, Level 3 [Member] | Interest Rate Lock Commitments [Member] | |||
Derivative Fair Value | $ 439 | $ 11 | |
[1] | The aggregate unpaid principal balance was $122.3 million and $100.4 million at April 30, 2021 and October 31, 2020, respectively. |
Note 20 - Fair Value of Finan_5
Note 20 - Fair Value of Financial Instruments - Changes in Fair Values Included in Income (Loss) (Details) - Financial Services Revenue Line Item [Member] - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Apr. 30, 2021 | Apr. 30, 2020 | Apr. 30, 2021 | Apr. 30, 2020 | |
Loans Held for Sale [Member] | ||||
Fair value included in net income (loss) all reflected in financial services revenues | $ (636) | $ (709) | $ 4,257 | $ 2,153 |
Interest Rate Lock Commitments [Member] | ||||
Fair value included in net income (loss) all reflected in financial services revenues | 385 | 224 | 439 | 342 |
Forward Contracts [Member] | ||||
Fair value included in net income (loss) all reflected in financial services revenues | $ (252) | $ (271) | $ (403) | $ (454) |
Note 20 - Fair Value of Finan_6
Note 20 - Fair Value of Financial Instruments - Assets Measured at Fair Value on a Nonrecurring Basis (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Apr. 30, 2021 | Apr. 30, 2020 | Apr. 30, 2021 | Apr. 30, 2020 | |
Total Losses | $ 0 | $ 0 | $ (800) | $ 0 |
Sold and Unsold Homes and Lots Under Development [Member] | Fair Value, Inputs, Level 3 [Member] | Fair Value, Nonrecurring [Member] | ||||
Pre-Impairment Amount | 2,286 | |||
Total Losses | (843) | |||
Fair Value of Inventory | 1,443 | |||
Land and Land Options Held for Future Development or Sale [Member] | Fair Value, Inputs, Level 3 [Member] | Fair Value, Nonrecurring [Member] | ||||
Pre-Impairment Amount | 0 | |||
Total Losses | 0 | |||
Fair Value of Inventory | $ 0 |
Note 20 - Fair Value of Finan_7
Note 20 - Fair Value of Financial Instruments - Fair Value of Notes (Details) - USD ($) $ in Thousands | Apr. 30, 2021 | Oct. 31, 2020 | Apr. 30, 2020 | Jan. 31, 2020 | Dec. 10, 2019 |
Notes, Fair Value | $ 1,409,595 | $ 1,241,570 | |||
Fair Value, Inputs, Level 1 [Member] | |||||
Notes, Fair Value | 0 | 0 | |||
Fair Value, Inputs, Level 2 [Member] | |||||
Notes, Fair Value | 290,178 | 173,046 | |||
Fair Value, Inputs, Level 3 [Member] | |||||
Notes, Fair Value | 1,119,417 | 1,068,524 | |||
The 10.0% 2022 Notes [Member] | Senior Secured Notes [Member] | |||||
Notes, Fair Value | $ 112,465 | $ 107,878 | |||
Debt Instrument, Stated Interest Rate | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% |
The 10.0% 2022 Notes [Member] | Senior Secured Notes [Member] | Fair Value, Inputs, Level 1 [Member] | |||||
Notes, Fair Value | $ 0 | $ 0 | |||
The 10.0% 2022 Notes [Member] | Senior Secured Notes [Member] | Fair Value, Inputs, Level 2 [Member] | |||||
Notes, Fair Value | 112,465 | 107,878 | |||
The 10.0% 2022 Notes [Member] | Senior Secured Notes [Member] | Fair Value, Inputs, Level 3 [Member] | |||||
Notes, Fair Value | $ 0 | 0 | |||
The 10.5% 2024 Notes [Member] | |||||
Debt Instrument, Stated Interest Rate | 10.50% | ||||
The 10.5% 2024 Notes [Member] | Senior Secured Notes [Member] | |||||
Notes, Fair Value | $ 72,296 | $ 67,941 | |||
Debt Instrument, Stated Interest Rate | 10.50% | 10.50% | 10.50% | 10.50% | |
The 10.5% 2024 Notes [Member] | Senior Secured Notes [Member] | Fair Value, Inputs, Level 1 [Member] | |||||
Notes, Fair Value | $ 0 | $ 0 | |||
The 10.5% 2024 Notes [Member] | Senior Secured Notes [Member] | Fair Value, Inputs, Level 2 [Member] | |||||
Notes, Fair Value | 72,296 | 0 | |||
The 10.5% 2024 Notes [Member] | Senior Secured Notes [Member] | Fair Value, Inputs, Level 3 [Member] | |||||
Notes, Fair Value | 0 | 67,941 | |||
The 10.0% Senior Secured 1.75 Lien Notes due 2025 [Member] | Senior Secured Notes [Member] | |||||
Notes, Fair Value | $ 164,446 | $ 132,246 | |||
Debt Instrument, Stated Interest Rate | 10.00% | 10.00% | 10.00% | 10.00% | |
The 10.0% Senior Secured 1.75 Lien Notes due 2025 [Member] | Senior Secured Notes [Member] | Fair Value, Inputs, Level 1 [Member] | |||||
Notes, Fair Value | $ 0 | $ 0 | |||
The 10.0% Senior Secured 1.75 Lien Notes due 2025 [Member] | Senior Secured Notes [Member] | Fair Value, Inputs, Level 2 [Member] | |||||
Notes, Fair Value | 0 | 0 | |||
The 10.0% Senior Secured 1.75 Lien Notes due 2025 [Member] | Senior Secured Notes [Member] | Fair Value, Inputs, Level 3 [Member] | |||||
Notes, Fair Value | 164,446 | 132,246 | |||
The 7.75% Senior Secured 1.125 Lien Notes due February 15, 2026 [Member] | Senior Secured Notes [Member] | |||||
Notes, Fair Value | $ 378,000 | $ 353,500 | |||
Debt Instrument, Stated Interest Rate | 7.75% | 7.75% | |||
The 7.75% Senior Secured 1.125 Lien Notes due February 15, 2026 [Member] | Senior Secured Notes [Member] | Fair Value, Inputs, Level 1 [Member] | |||||
Notes, Fair Value | $ 0 | $ 0 | |||
The 7.75% Senior Secured 1.125 Lien Notes due February 15, 2026 [Member] | Senior Secured Notes [Member] | Fair Value, Inputs, Level 2 [Member] | |||||
Notes, Fair Value | 0 | 0 | |||
The 7.75% Senior Secured 1.125 Lien Notes due February 15, 2026 [Member] | Senior Secured Notes [Member] | Fair Value, Inputs, Level 3 [Member] | |||||
Notes, Fair Value | 378,000 | 353,500 | |||
The 10.5% Senior Secured 1.25 Lien Notes due February 15, 2026 [Member] | Senior Secured Notes [Member] | |||||
Notes, Fair Value | $ 307,731 | $ 274,558 | |||
Debt Instrument, Stated Interest Rate | 10.50% | 10.50% | |||
The 10.5% Senior Secured 1.25 Lien Notes due February 15, 2026 [Member] | Senior Secured Notes [Member] | Fair Value, Inputs, Level 1 [Member] | |||||
Notes, Fair Value | $ 0 | $ 0 | |||
The 10.5% Senior Secured 1.25 Lien Notes due February 15, 2026 [Member] | Senior Secured Notes [Member] | Fair Value, Inputs, Level 2 [Member] | |||||
Notes, Fair Value | 0 | 0 | |||
The 10.5% Senior Secured 1.25 Lien Notes due February 15, 2026 [Member] | Senior Secured Notes [Member] | Fair Value, Inputs, Level 3 [Member] | |||||
Notes, Fair Value | $ 307,731 | 274,558 | |||
The 11.25% Senior Secured 1.5 Lien Notes due February 15, 2026 [Member] | |||||
Debt Instrument, Stated Interest Rate | 11.25% | 11.25% | |||
The 11.25% Senior Secured 1.5 Lien Notes due February 15, 2026 [Member] | Senior Secured Notes [Member] | |||||
Notes, Fair Value | $ 162,318 | $ 162,723 | |||
Debt Instrument, Stated Interest Rate | 11.25% | 11.25% | |||
The 11.25% Senior Secured 1.5 Lien Notes due February 15, 2026 [Member] | Senior Secured Notes [Member] | Fair Value, Inputs, Level 1 [Member] | |||||
Notes, Fair Value | $ 0 | $ 0 | |||
The 11.25% Senior Secured 1.5 Lien Notes due February 15, 2026 [Member] | Senior Secured Notes [Member] | Fair Value, Inputs, Level 2 [Member] | |||||
Notes, Fair Value | 0 | 0 | |||
The 11.25% Senior Secured 1.5 Lien Notes due February 15, 2026 [Member] | Senior Secured Notes [Member] | Fair Value, Inputs, Level 3 [Member] | |||||
Notes, Fair Value | 162,318 | 162,723 | |||
The 13.5% 2026 Notes [Member] | Senior Notes [Member] | |||||
Notes, Fair Value | $ 68,468 | $ 54,354 | |||
Debt Instrument, Stated Interest Rate | 13.50% | 13.50% | |||
The 13.5% 2026 Notes [Member] | Senior Notes [Member] | Fair Value, Inputs, Level 1 [Member] | |||||
Notes, Fair Value | $ 0 | $ 0 | |||
The 13.5% 2026 Notes [Member] | Senior Notes [Member] | Fair Value, Inputs, Level 2 [Member] | |||||
Notes, Fair Value | 68,468 | 54,354 | |||
The 13.5% 2026 Notes [Member] | Senior Notes [Member] | Fair Value, Inputs, Level 3 [Member] | |||||
Notes, Fair Value | 0 | 0 | |||
The 5.0% 2040 Notes [Member] | Senior Notes [Member] | |||||
Notes, Fair Value | $ 36,949 | $ 10,814 | |||
Debt Instrument, Stated Interest Rate | 5.00% | 5.00% | |||
The 5.0% 2040 Notes [Member] | Senior Notes [Member] | Fair Value, Inputs, Level 1 [Member] | |||||
Notes, Fair Value | $ 0 | $ 0 | |||
The 5.0% 2040 Notes [Member] | Senior Notes [Member] | Fair Value, Inputs, Level 2 [Member] | |||||
Notes, Fair Value | 36,949 | 10,814 | |||
The 5.0% 2040 Notes [Member] | Senior Notes [Member] | Fair Value, Inputs, Level 3 [Member] | |||||
Notes, Fair Value | 0 | 0 | |||
Senior Unsecured Term Loan Credit Facility Due 2027 [Member] | Unsecured Senior Term Loan [Member] | |||||
Notes, Fair Value | 18,431 | 13,091 | |||
Senior Unsecured Term Loan Credit Facility Due 2027 [Member] | Unsecured Senior Term Loan [Member] | Fair Value, Inputs, Level 1 [Member] | |||||
Notes, Fair Value | 0 | 0 | |||
Senior Unsecured Term Loan Credit Facility Due 2027 [Member] | Unsecured Senior Term Loan [Member] | Fair Value, Inputs, Level 2 [Member] | |||||
Notes, Fair Value | 0 | 0 | |||
Senior Unsecured Term Loan Credit Facility Due 2027 [Member] | Unsecured Senior Term Loan [Member] | Fair Value, Inputs, Level 3 [Member] | |||||
Notes, Fair Value | 18,431 | 13,091 | |||
The 10.0% Senior Secured 1.75 Lien Term Loans Due 2028 [Member] | Senior Secured Term Loan [Member] | |||||
Notes, Fair Value | 88,491 | 64,465 | |||
The 10.0% Senior Secured 1.75 Lien Term Loans Due 2028 [Member] | Senior Secured Term Loan [Member] | Fair Value, Inputs, Level 1 [Member] | |||||
Notes, Fair Value | 0 | 0 | |||
The 10.0% Senior Secured 1.75 Lien Term Loans Due 2028 [Member] | Senior Secured Term Loan [Member] | Fair Value, Inputs, Level 2 [Member] | |||||
Notes, Fair Value | 0 | 0 | |||
The 10.0% Senior Secured 1.75 Lien Term Loans Due 2028 [Member] | Senior Secured Term Loan [Member] | Fair Value, Inputs, Level 3 [Member] | |||||
Notes, Fair Value | $ 88,491 | $ 64,465 |
Note 20 - Fair Value of Finan_8
Note 20 - Fair Value of Financial Instruments - Fair Value of Notes (Details) (Parentheticals) | 6 Months Ended | 12 Months Ended | |||
Apr. 30, 2021 | Oct. 31, 2020 | Apr. 30, 2020 | Jan. 31, 2020 | Dec. 10, 2019 | |
The 10.0% 2022 Notes [Member] | Senior Secured Notes [Member] | |||||
Debt Instrument, Stated Interest Rate | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% |
Debt Instrument, Maturity Date | Jul. 15, 2022 | Jul. 15, 2022 | |||
The 10.5% 2024 Notes [Member] | |||||
Debt Instrument, Stated Interest Rate | 10.50% | ||||
The 10.5% 2024 Notes [Member] | Senior Secured Notes [Member] | |||||
Debt Instrument, Stated Interest Rate | 10.50% | 10.50% | 10.50% | 10.50% | |
Debt Instrument, Maturity Date | Jul. 15, 2024 | Jul. 15, 2024 | |||
The 10.0% Senior Secured 1.75 Lien Notes due 2025 [Member] | Senior Secured Notes [Member] | |||||
Debt Instrument, Stated Interest Rate | 10.00% | 10.00% | 10.00% | 10.00% | |
Debt Instrument, Maturity Date | Nov. 15, 2025 | Nov. 15, 2025 | |||
The 7.75% Senior Secured 1.125 Lien Notes due February 15, 2026 [Member] | Senior Secured Notes [Member] | |||||
Debt Instrument, Stated Interest Rate | 7.75% | 7.75% | |||
Debt Instrument, Maturity Date | Feb. 15, 2026 | Feb. 15, 2026 | |||
The 10.5% Senior Secured 1.25 Lien Notes due February 15, 2026 [Member] | Senior Secured Notes [Member] | |||||
Debt Instrument, Stated Interest Rate | 10.50% | 10.50% | |||
Debt Instrument, Maturity Date | Feb. 15, 2026 | Feb. 15, 2026 | |||
The 11.25% Senior Secured 1.5 Lien Notes due February 15, 2026 [Member] | |||||
Debt Instrument, Stated Interest Rate | 11.25% | 11.25% | |||
The 11.25% Senior Secured 1.5 Lien Notes due February 15, 2026 [Member] | Senior Secured Notes [Member] | |||||
Debt Instrument, Stated Interest Rate | 11.25% | 11.25% | |||
Debt Instrument, Maturity Date | Feb. 15, 2026 | Feb. 15, 2026 | |||
The 13.5% 2026 Notes [Member] | Senior Notes [Member] | |||||
Debt Instrument, Stated Interest Rate | 13.50% | 13.50% | |||
Debt Instrument, Maturity Date | Feb. 1, 2026 | Feb. 1, 2026 | |||
The 5.0% 2040 Notes [Member] | Senior Notes [Member] | |||||
Debt Instrument, Stated Interest Rate | 5.00% | 5.00% | |||
Debt Instrument, Maturity Date | Feb. 1, 2040 | Feb. 1, 2040 | |||
Senior Unsecured Term Loan Credit Facility Due 2027 [Member] | Unsecured Senior Term Loan [Member] | |||||
Debt Instrument, Maturity Date | Feb. 1, 2027 | Feb. 1, 2027 | |||
The 10.0% Senior Secured 1.75 Lien Term Loans Due 2028 [Member] | Senior Secured Term Loan [Member] | |||||
Debt Instrument, Maturity Date | Jan. 31, 2028 | Jan. 31, 2028 |
Note 21 - Transactions With R_2
Note 21 - Transactions With Related Parties (Details Textual) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Apr. 30, 2021 | Apr. 30, 2020 | Apr. 30, 2021 | Apr. 30, 2020 | |
Tavit Najarian [Member] | ||||
Related Party Transaction, Amounts of Transaction | $ 0.1 | $ 0.2 | $ 0.2 | $ 0.3 |
Note 22 - Subsequent Events (De
Note 22 - Subsequent Events (Details Textual) - The 10.0% 2022 Notes [Member] - Senior Secured Notes [Member] - USD ($) $ in Millions | Jun. 02, 2021 | Apr. 30, 2021 | Oct. 31, 2020 | Apr. 30, 2020 | Jan. 31, 2020 | Dec. 10, 2019 |
Debt Instrument, Interest Rate, Stated Percentage | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | |
Subsequent Event [Member] | ||||||
Debt Instrument, Repurchased Face Amount | $ 111.2 | |||||
Debt Instrument, Interest Rate, Stated Percentage | 10.00% | |||||
Debt Instrument, Redemption Price, Percentage of Principal Amount Redeemed | 100.00% |