What changed in this filing

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Item 1. Financial Statements

2025-10-23 compared with 2025-07-24 · 163 added, 136 removed, 457 unchanged (40% of the section changed)

2 unchanged sentences

Condensed Consolidated Balance Sheets

As of June 30, 2025 and December 31, 2024

As of September 30, 2025 and December 31, 2024

(in thousands, except share and per share amounts)

September 30,

Cash and cash equivalents

14 unchanged sentences

Preferred stock, $ 0.01 par value, 50,000,000 shares authorized, none outstanding

Common stock, $ 0.01 par value, 100,000,000 shares authorized, 29,679,571 and 30,961,227 shares issued and outstanding at June 30, 2025 and December 31, 2024, respectively

Common stock, $ 0.01 par value, 100,000,000 shares authorized, 29,383,819 and 30,961,227 shares issued and outstanding at September 30, 2025 and December 31, 2024, respectively

Additional paid-in capital

5 unchanged sentences

Unaudited Condensed Consolidated Statements of Operations

For the Three and Six Months Ended June 30, 2025 and 2024

For the Three and Nine Months Ended September 30, 2025 and 2024

(in thousands, except share and per share amounts)

Three Months Ended June 30,

Six Months Ended June 30,

Three Months Ended September 30,

Nine Months Ended September 30,

Homebuilding revenues

23 unchanged sentences

Unaudited Condensed Consolidated Statements of Cash Flows

For the Six Months Ended June 30, 2025 and 2024

For the Nine Months Ended September 30, 2025 and 2024

(in thousands)

Six Months Ended June 30,

Nine Months Ended September 30,

Operating activities

3 unchanged sentences

Fair value adjustments of mortgage-related assets and liabilities

Loss on debt extinguishment

Inventory impairment

2 unchanged sentences

Deferred income taxes

(Gain) loss on disposition of assets and other

Changes in assets and liabilities:

11 unchanged sentences

Expenditures related to development of rental properties

Payments for business combination

Payments for business combinations

Other investing activities

4 unchanged sentences

( 2,221,500 )

( 1,045,000 )

Proceeds from issuance of senior notes due 2033

Extinguishment of senior notes due 2027

Borrowing under construction loan agreements

7 unchanged sentences

Other financing activities

Net cash (used in) provided by financing activities

Net cash provided by financing activities

Cash and cash equivalents and Restricted cash

11 unchanged sentences

(in thousands)

For the Three Months Ended June 30, 2025 and 2024

For the Three Months Ended September 30, 2025 and 2024

Additional Paid-In Capital

1 unchanged sentence

Total Stockholders' Equity

Balance at March 31, 2025

Balance at June 30, 2025

Vesting of stock-based compensation awards

3 unchanged sentences

Cash dividends declared and dividend equivalents

Balance at September 30, 2025

Balance at June 30, 2024

Balance at March 31, 2024

Vesting of stock-based compensation awards

3 unchanged sentences

Cash dividends declared and dividend equivalents

Balance at June 30, 2024

For the Six Months Ended June 30, 2025 and 2024

Balance at September 30, 2024

For the Nine Months Ended September 30, 2025 and 2024

Additional Paid-In Capital

7 unchanged sentences

Cash dividends declared and dividend equivalents

Balance at June 30, 2025

Balance at September 30, 2025

Balance at December 31, 2023

4 unchanged sentences

Cash dividends declared and dividend equivalents

Balance at June 30, 2024

Balance at September 30, 2024

See Notes to Unaudited Condensed Consolidated Financial Statements

1 unchanged sentence

Notes to Unaudited Condensed Consolidated Financial Statements

June 30, 2025

September 30, 2025

Basis of Presentation

38 unchanged sentences

ASU 2023-09 will become effective for our fiscal year ending December 31, 2025.

We are currently evaluating the impact of the adoption of ASU 2023-09 on our consolidated financial statements and related annual disclosures, but we do not expect the impact to be significant.

We are currently evaluating the impact of the adoption of ASU 2023-09 on our consolidated financial statements and related annual disclosures, but we currently do not expect the impact to be significant.

Reporting Segments

6 unchanged sentences

Our Century Complete brand has operations in nine states and is managed separately from our four geographic regions, and it is considered a separate operating segment.

We have presented our homebuilding operations as the following reportable segments as of June 30, 2025:

We have presented our homebuilding operations as the following reportable segments as of September 30, 2025:

 West (California and Washington)

6 unchanged sentences

The management of our four Century Communities geographic regions, Century Complete, our Financial Services segment, and our Century Living segment reports to our CODMs.

The CODMs evaluate the segment’s operating performance and allocates resources for all of our reportable segments based on income before income tax expense.

The CODMs evaluate the segment’s operating performance and allocate resources for all of our reportable segments based on income before income tax expense.

For all of the segments, the CODMs use segment income before income tax expense in the annual budget and forecasting process.

3 unchanged sentences

Beginning in the first quarter of 2025, we have separately reported our Century Living segment as a reportable segment, which was previously included in our Corporate segment, in order to reflect the distinct nature of our multi-family rental operations.

Accordingly, we have recast the corresponding segment information for the three and six months ended June 30, 2024.

During the first quarter of 2025, our strategy evolved for our Century Living multi-family rental properties to be predominantly focused on the disposition of the assets.

Accordingly, we have recast the corresponding segment information for the three and nine months ended September 30, 2024.

During the first quarter of 2025, our strategy evolved for our Century Living multi-family rental properties to be predominantly focused on the disposition of the assets shortly after lease stabilization.

Accordingly, we have determined that these multi-family rental operations have become part of our ordinary activities, and revenue is recognized from the sale of these properties when performance obligations are satisfied, generally when the respective properties are delivered and title has passed to the buyers, and r ental income and expenses from these properties during lease-up is recognized as other income on the condensed consolidated statement of operations.

1 unchanged sentence

The following tables summarize total revenue, significant expenses, and income (loss) before income tax expense by segment (in thousands ):

Three months ended June 30, 2025

Three months ended September 30, 2025

Century Complete

2 unchanged sentences

Cost of home sales

Inventory impairment

Selling, general and administrative

Financial services costs

Selling, general and administrative

Inventory impairment

Other segment items (1)

Income (loss) before tax expense

Three months ended June 30, 2024

Three months ended September 30, 2024

Century Complete

2 unchanged sentences

Cost of home sales

Inventory impairment

Selling, general and administrative

Financial services costs

Selling, general and administrative

Inventory impairment

Other segment items (1)

Income (loss) before tax expense

Six months ended June 30, 2025

Nine months ended September 30, 2025

Century Complete

3 unchanged sentences

( 2,285,233 )

Inventory impairment

Selling, general and administrative

Financial services costs

Selling, general and administrative

Inventory impairment

Other segment items (1)

Income (loss) before tax expense

Six months ended June 30, 2024

Nine months ended September 30, 2024

Century Complete

3 unchanged sentences

( 2,386,208 )

Inventory impairment

Selling, general and administrative

Financial services costs

Selling, general and administrative

Inventory impairment

Other segment items (1)

2 unchanged sentences

The following table summarizes total assets by segment (in thousands):

September 30,

Century Complete

7 unchanged sentences

We concluded that the acquisition represented a business combination.

During the six months ended June 30, 2024, we incurred $ 0.1 million in acquisition costs, which are reflected in other expense in our condensed consolidated statements of operations

During the nine months ended September 30, 2024, we incurred $ 0.1 million in acquisition costs, which are reflected in other expense in our condensed consolidated statements of operations.

On July 31, 2024, we closed the acquisition of substantially all the assets and operations and assumed certain liabilities of Anglia Homes LP (“Anglia”), a homebuilder with operations, including 26 active communities, in the greater Houston, Texas area, for approximately $ 127.0 million in cash, inclusive of customary holdbacks.

We concluded that the acquisition represented a business combination, as we determined that the fair value of the gross assets acquired was not concentrated in a single identifiable asset or group of similar identifiable assets, and the acquired assets and processes have the ability to create outputs in the form of revenue from the sale of single-family residences.

During the three and nine months ended September 30, 2024, we incurred $ 0.5 million in acquisition costs, which are reflected in other expense in our condensed consolidated statements of operations.

Inventories included the following (in thousands):

September 30,

Homes under construction

10 unchanged sentences

Management believes carrying mortgage loans held for sale at fair value improves financial reporting by mitigating volatility in reported earnings caused by measuring the fair value of the loans and the derivative instruments used to economically hedge them.

As of June 30, 2025 and December 31, 2024, Inspire had mortgage loans held for sale with an aggregate fair value of $ 184.4 million and $ 236.9 million, respectively, and an aggregate outstanding principal balance of $ 187.1 million and $ 241.6 million, respectively.

The loss from the change in fair value for mortgage loans held for sale was $ 1.2 million for the three months ended June 30, 2025 and the gain from the change in fair value for mortgage loans held for sale was $ 2.0 million for the six months ended June 30, 2025.

The gain from the change in fair value for mortgage loans held for sale was $ 0.9 million for the three months ended June 30, 2024, and the loss from the change in fair value for mortgage loans held for sale was $ 4.2 million for the six months ended June 30, 2024.

During the three months ended June 30, 2025, we sold mortgage servicing rights with an unpaid principal balance of approximately $ 3.0 billion.

Refer to Note 13 – Fair Value Disclosures for further information regarding our mortgage servicing rights.

The total unpaid principal balance of mortgage loans serviced at June 30, 2025 and December 31, 2024 was $ 100.1 million and $ 2.9 billion, respectively .

As of September 30, 2025 and December 31, 2024, Inspire had mortgage loans held for sale with an aggregate fair value of $ 183.5 million and $ 236.9 million, respectively, and an aggregate outstanding principal balance of $ 186.8 million and $ 241.6 million, respectively.

F or the three and nine months ended September 30,

2025, the change in fair value for mortgage loans held for sale resulted in a loss of $ 0.4 million and a gain of $ 1.5 million, respectively.

For the three and nine months ended September 30, 2024, the change in fair value for mortgage loans held for sale resulted in a gain of $ 0.1 million, and a loss of $ 4.1 million, respectively.

During the second quarter of 2025, we sold mortgage servicing rights with an unpaid principal balance of approximately $ 3.0 billion.

The total unpaid principal balance of mortgage loans serviced at September 30, 2025 and December 31, 2024 was $ 401.2 million and $ 2.9 billion, respectively .

Refer to Note 13 – Fair Value Disclosures for further information regarding our mortgage loans held for sale and mortgage servicing rights.

Net gains and losses from the sale of mortgage loans held for sale are included in financial services revenue on the consolidated statements of operations, and include (1) net gains on sale of loans, which are recognized based upon the difference between the sales proceeds and carrying value of the related loans upon sale, with sale proceeds reflecting the cash received from investors through the sale of the mortgage loan and servicing release premium;

2 unchanged sentences

(4) the change in fair value of derivatives instruments, including interest rate lock commitments and forward commitments on mortgage-backed securities;

(5) provision for or benefit from investor reserves;

(5) provision for investor reserves;

and (6) fees earned from originating mortgage loans.

Fees earned from originating mortgage loans, which are recognized at the time the mortgage loans are funded, include origination fees, credits, commitment fees, and discount points provided directly to our customers to reduce interest rates .

Net gains on the sale of mortgage loans were $ 15.3 million and $ 28.1 million for the three and six months ended June 30, 202 5, respectively, and were $ 14.0 million and $ 31.8 million for the three and six months ended June 30, 2024, respectively.

Mortgage loans in process for which interest rates were locked by borrowers, or interest rate lock commitments, had an aggregate principal balance of $ 111.1 million and $ 76.3 million as of June 30, 2025 and December 31, 2024, respectively, and carried a weighted average interest rate of approximately 5.2 % and 5.5 %, respectively .

Net gains on the sale of mortgage loans were $ 11.7 million and $ 39.9 million for the three and nine months ended September 30, 202 5, respectively, and were $ 15.3 million and $ 47.1 million for the three and nine months ended September 30, 2024, respectively.

Mortgage loans in process for which interest rates were locked by borrowers, or interest rate lock commitments, had an aggregate principal balance of $ 85.9 million and $ 76.3 million as of September 30, 2025 and December 31, 2024, respectively, and carried a weighted average interest rate of approximately 4.9 % and 5.5 %, respectively .

Interest rate risks related to these obligations are typically mitigated through our interest rate hedging program or by the preselling of loans to investors.

5 unchanged sentences

Prepaid expenses and other assets included the following (in thousands):

September 30,

Prepaid insurance

10 unchanged sentences

(1) Restricted cash consists of restricted cash related to land development, earnest money deposits for home sale contracts held by third parties as required by various jurisdictions, and certain compensating balances associated with our mortgage repurchase facilities and other financing obligations.

(2) During the first quarter of 2025, our strategy evolved for our Century Living multi-family rental properties to be predominantly focused on the disposition of the assets and we determined that these operations have become part of our ordinary activities.

(2) During the first quarter of 2025, our strategy evolved for our Century Living multi-family rental properties to be predominantly focused on the disposition of the assets shortly after lease stabilization and we determined that these operations have become part of our ordinary activities.

Accordingly, we reclassified $ 119.4 million associated with multi-family properties under construction within prepaid and other assets and $ 90.5 million associated with completed multi-family rental property assets within property and equipment, net to multi-family rental properties inventory within prepaid and other assets on the condensed consolidated balance sheet as of the beginning of the period.

Multi-family rental properties inventory includes multi-family rental properties that are under construction and properties that are in lease-up.

(3) During the three months ended September 30, 2025, we determined that we no longer had the intent to hold the mortgage loans, and subsequently sold the majority of the mortgage loans during the period.

Accrued Expenses and Other Liabilities

Accrued expenses and other liabilities included the following (in thousands):

September 30,

Earnest money deposits

9 unchanged sentences

Amounts accrued, which are included in accrued expenses and other liabilities on the condensed consolidated balance sheets, are based upon historical experience rates.

We subsequently assess the adequacy of our warranty accrual on a quarterly basis through a model that incorporates historical payment trends and adjust the amounts recorded, if necessary.

Based on warranty payment trends relative to our estimates at the time of home closing, we increased our warranty reserve by $ 0.6 million during the three months ended June 30, 2025, and we reduced our warranty reserve by $ 0.2 million during the three months ended June 30, 2024.

We reduced our warranty reserve by $ 1.4 million and $ 1.5 million during the six months ended June 30, 2025 and 2024, respectively, which is included as a reduction to cost of home sales revenues on our condensed consolidated statements of operations.

Changes in our warranty accrual for the three and six months ended June 30, 2025 and 2024 are detailed in the table below (in thousands) :

Three Months Ended June 30,

Six Months Ended June 30,

We subsequently assess the adequacy of our warranty accrual on a quarterly basis through a model that incorporates historical payment trends and we adjust the amounts recorded, if necessary.

Based on warranty payment trends relative to our estimates at the time of home closing, we reduced our warranty reserve by $ 0.1 million and $ 0.3 million during the three months ended September 30, 2025 and 2024, respectively, and we reduced our warranty reserve by $ 1.4 million and $ 1.9 million during the nine months ended September 30, 2025 and 2024, respectively, which is included as a reduction to cost of home sales revenues on our condensed consolidated statements of operations.

Changes in our warranty accrual for the three and nine months ended September 30, 2025 and 2024 are detailed in the table below (in thousands) :

Three Months Ended September 30,

Nine Months Ended September 30,

Beginning balance

5 unchanged sentences

These insurance policies are designed to protect us against a portion of the risk of loss from claims, subject to certain self-insured per occurrence and aggregate retentions, deductibles, and available policy limits.

In circumstances where we have elected to retain a higher portion of the overall risk for construction defect claims in return for a lower initial premium, we reserve for the estimated self-insured retention costs that we will incur that are above our coverage limits or that are not covered by our insurance policies.

The reserve is recorded on an undiscounted basis at the time revenue is recognized for each home closing.

We reserve for costs associated with such claims on an undiscounted basis at the time revenue is recognized for each home closing.

Amounts accrued, which are included in accrued expenses and other liabilities on the condensed consolidated balance sheets, are based upon third party actuarial analyses that are primarily based on industry data and partially on our historical claims, which include estimates of claims incurred but not yet reported.

1 unchanged sentence

Our self-insurance liability is presented on a gross basis without consideration of insurance recoveries and amounts we have paid on behalf of and expect to recover from other parties, if any.

Estimates of insurance recoveries and amounts we have paid on behalf

of and expect to recover from other parties, if any, are recorded as receivables when such recoveries are considered probable.

During the six months ended June 30, 2025 and 2024, we recorded no adjustment to our self-insurance reserve.

Estimates of insurance recoveries and amounts we have paid on behalf of and expect to recover from other parties, if any, are recorded as receivables when such recoveries are considered probable.

Based on a third-party actuarial analysis, we increased our self-insurance reserve by $ 1.3 million during the three and nine months ended September 30, 2025, and we reduced our self-insurance reserve by $ 0.8 million during the three and nine months ended September 30, 2024.

Any adjustments to our self-insurance reserve would be included in cost of home sales revenues on our condensed consolidated statements of operations .

Changes in our self-insurance reserve for incurred but not reported construction defect claims for the three and six months ended June 30, 2025 and 2024 are detailed in the table below (in thousands) :

Three Months Ended June 30,

Six Months Ended June 30,

Changes in our self-insurance reserve for incurred but not reported construction defect claims for the three and nine months ended September 30, 2025 and 2024 are detailed in the table below (in thousands) :

Three Months Ended September 30,

Nine Months Ended September 30,

Beginning balance

2 unchanged sentences

Ending balance

Our outstanding debt obligations included the following as of June 30, 2025 and December 31, 2024 (in thousands):

Our outstanding debt obligations included the following as of September 30, 2025 and December 31, 2024 (in thousands):

September 30,

6.750 % senior notes, due June 2027 (1)

3.875 % senior notes, due August 2029 (1)

6.625 % senior notes, due September 2033 (1)

Other financing obligations (2)

3 unchanged sentences

(1) The carrying value of senior notes reflects the impact of premiums, discounts, and issuance costs that are amortized to interest expense over the respective terms of the senior notes.

(2) As of June 30, 2025, other financing obligations included $ 12.3 million related to certain secured borrowings as well as $ 127.7 million outstanding under construction loan agreements related to Century Living.

(2) As of September 30, 2025, other financing obligations included $ 26.1 million related to insurance premium notes and certain secured borrowings as well as $ 131.1 million outstanding under construction loan agreements related to Century Living.

As of December 31, 2024, other financing obligations included $ 11.0 million related to insurance premium notes and certain secured borrowings , as well as $ 102.4 million outstanding under construction loan agreements.

6.750% Senior Notes Due 2027

As of June 30, 2025, we had outstanding $ 500.0 million in aggregate principal amount of our 6.750 % Senior Notes due 2027, which principal balance is due in June 2027.

Prior to that date, interest only payments are due semi-annually in June and December of each year.

These notes were issued under an indenture which contains certain restrictive covenants on issuing future secured debt and other transactions.

As of June 30, 2025, the aggregate obligation of these notes, inclusive of unamortized financing costs on these notes was $ 498.4 million as reported on our condensed consolidated financial statements.

Issuance of 6.625% Senior Notes Due 2033

During the three months ended September 30, 2025 , we entered into an indenture with U.S.

Bank Trust Company, National Association, as trustee pursuant to which we issued $ 500.0 million aggregate principal amount of our 6.625 % Senior Notes due 2033 (the “2033 Notes”).

The 2033 Notes were issued at 100% of their principal amount and we received proceeds of $ 493.1 million, net of $ 6.9 million in issuance costs.

The indenture contains certain restrictive covenants on issuing future secured debt and other transactions, and contains various optional redemption provisions to redeem the 2033 Notes, in whole or in part, at a time before, or on or after, September 15, 2028, and a put provision triggered by certain change of control events.

The aggregate principal balance of the 2033 Notes is due in September 2033.

Interest on the 2033 Notes will accrue from September 17, 2025 at a rate of 6.625 % per annum, and will be payable semi-annually in cash in March and September of each year, beginning in March 2026.

As of September 30, 2025, the aggregate obligation, inclusive of unamortized financing costs on these notes, was $ 493.1 million.

Extinguishment of 6.750% Senior Notes Due 2027

During the three months ended September 30, 2025, we legally extinguished $ 500.0 million in outstanding principal of our 6.750 % Senior Notes due 2027 at a redemption price equal to 100% of the principal amount, plus accrued and unpaid interest, totaling $ 511.4 million.

The extinguishment transaction resulted in a loss on debt extinguishment of $ 1.4 million included in other expense in the condensed consolidated statements of operations.

3.875% Senior Notes Due 2029

As of June 30, 2025, we had outstanding $ 500.0 million in aggregate principal amount of our 3.875 % Senior Notes due 2029, which principal balance is due in August 2029.

As of September 30, 2025, we had outstanding $ 500.0 million in aggregate principal amount of our 3.875 % Senior Notes due 2029, which principal balance is due in August 2029.

Prior to that date, interest only payments are due semi-annually in February and August of each year.

These notes were issued under an indenture which contains certain restrictive covenants on issuing future secured debt and other transactions.

As of June 30, 2025, the aggregate obligation, inclusive of unamortized financing costs on these notes, was $ 496.8 million, as reported on our condensed consolidated financial statements.

These notes were issued under an indenture which contains certain restrictive covenants on issuing future secured debt and other transactions, and contains various optional redemption provisions to redeem the 2029 Notes, in whole or in part, at a time before, or on or after, February 15, 2029, and a put provision triggered by certain change of control events.

As of September 30, 2025, the aggregate obligation, inclusive of unamortized financing costs on these notes, was $ 497.0 million.

Construction Loan Agreements

Certain wholly owned subsidiaries of Century Living, LLC are parties to construction loan agreements with various banks (which we collectively refer to as “the lenders”).

Certain wholly owned subsidiaries of Century Living, LLC are parties to secured construction loan agreements with various banks (which we collectively refer to as “the lenders”).

These construction loan agreements collectively provide that we may borrow up to an aggregate of $ 204.7 million from the lenders for purposes of construction of multi-family projects in Colorado, with advances made by the lenders upon the satisfaction of certain conditions.

The obligations under construction loan agreements are guaranteed by certain of our subsidiaries.

Portions of the obligations under the secured construction loan agreements are guaranteed by us.

Borrowings under the construction loan agreements bear interest at various rates, including a fixed rate and floating interest rates per annum equal to the Secured Overnight Financing Rate (which we refer to as “SOFR”) plus an applicable margin.

outstanding principal balances and all accrued and unpaid interest is due on varying maturity dates from March 17, 2026 through February 28, 2029 , with certain of the construction loan agreements allowing for the option to extend the maturity dates for a period of 12 months if certain conditions are satisfied.

The outstanding principal balances and all accrued and unpaid interest is due on varying maturity dates from March 17, 2026 through February 28, 2029 , with certain of the construction loan agreements allowing for the option to extend the maturity dates for a period of 12 months if certain conditions are satisfied.

The construction loan agreements contain customary affirmative and negative covenants (including covenants related to construction completion, and limitations on the use of loan proceeds, transfers of land, equipment, and improvements), as well as customary events of default.

Interest on our construction loan agreements is capitalized to the multi-family properties assets included in prepaid expenses and other assets on the condensed consolidated balance sheets while the related multi-family rental properties are being actively developed .

As of June 30, 2025 and December 31, 2024, $ 127.7 million and $ 102.4 million was outstanding under the construction loan agreements respectively, with borrowings that bore a weighted average interest rate of 6.6 % and 6.5 % as of June 30, 2025 and December 31, 2024, respectively, and we were in compliance with all covenants thereunder.

As of September 30, 2025 and December 31, 2024, $ 131.1 million and $ 102.4 million was outstanding under the construction loan agreements respectively, with borrowings that bore a weighted average interest rate of 6.6 % and 6.5 % as of September 30, 2025 and December 31, 2024, respectively, and we were in compliance with all covenants thereunder.

Revolving Line of Credit

12 unchanged sentences

The Credit Agreement also provides for customary fees including commitment fees payable to each lender ranging from 0.20 % to 0.35 % per annum based on our leverage ratio of the unused portion of the revolving line of credit and other customary fees.

As of June 30, 2025 and December 31, 2024, $ 270.0 million and $ 135.5 million, respectively, was outstanding under the revolving line of credit, with borrowings that bore an interest rate of 5.8 % and 5.9 %, respectively, and we were in compliance with all covenants under the Credit Agreement.

As of September 30, 2025 and December 31, 2024, $ 339.0 million and $ 135.5 million, respectively, was outstanding under the revolving line of credit, with borrowings that bore an interest rate of 5.7 % and 5.9 %, respectively, and we were in compliance with all covenants under the Credit Agreement.

Mortgage Repurchase Facilities – Financial Services

1 unchanged sentence

Morgan Chase Bank, N.A., U.S.

Bank National Association and Truist Bank, which provide Inspire with uncommitted repurchase facilities of up to an aggregate of $ 375.0 million as of June 30, 2025, secured by the mortgage loans financed thereunder.

Bank National Association and Truist Bank, which provide Inspire with uncommitted repurchase facilities of up to an aggregate of $ 375.0 million as of September 30, 2025, secured by the mortgage loans financed thereunder.

The repurchase facilities have varying short term maturity dates through June 1, 2026 .

Borrowings under the mortgage repurchase facilities bear interest at variable interest rates per annum equal to SOFR plus an applicable margin, and bore a weighted average interest rate of 6.0 % as of June 30, 2025.

Amounts outstanding under the repurchase facilities are not guaranteed by us or any of our subsidiaries, and the agreements contain various affirmative and negative covenants applicable to Inspire that are customary for arrangements of this type.

As of June 30, 2025 and December 31, 2024, we had $ 181.4 million and $ 232.8 million outstanding under the repurchase facilities, respectively, and were in compliance with all covenants thereunder.

As of September 30, 2025 and December 31, 2024, we had $ 176.6 million and $ 232.8 million outstanding under the repurchase facilities, respectively, and were in compliance with all covenants thereunder.

Interest on Senior Notes and Revolving Line of Credit

Interest on our senior notes and revolving line of credit, if applicable, is capitalized to homebuilding inventories while the related communities are being actively developed and until homes are completed.

As our qualifying assets exceeded our outstanding debt during the three and six months ended June 30, 2025 and 2024, we capitalized all interest costs incurred on these facilities during these periods.

As our qualifying assets exceeded our outstanding debt during the three and nine months ended September 30, 2025 and 2024, we capitalized all interest costs incurred on these facilities during these periods.

Our interest costs were as follows (in thousands):

Three Months Ended June 30,

Six Months Ended June 30,

Three Months Ended September 30,

Nine Months Ended September 30,

Interest capitalized beginning of period

3 unchanged sentences

At the end of each interim period, we are required to estimate our annual effective tax rate for the fiscal year and to use that rate to provide for income taxes for the current year-to-date reporting period.

Our 2025 estimated annual effective tax rate, before discrete items, of 25.6 %, is driven by our blended federal and state statutory rate of 24.9 %, and certain permanent differences between GAAP and tax, including disallowed deductions for executive compensation, and partially offset by estimated federal energy home credits for current year home deliveries.

For the six months ended June 30, 2025, our estimated annual rate of 25.6 % was benefitted by discrete items which had a net impact of decreasing our rate by 0.1 %, including the impact of excess tax benefits for vested stock-based compensation.

Our 2025 estimated annual effective tax rate, before discrete items, of 25.0 %, is driven by our blended federal and state statutory rate of 24.8 %, and certain permanent differences between GAAP and tax, including disallowed deductions for executive compensation, and offset by estimated federal energy home credits for current year home deliveries.

For the nine months ended September 30, 2025, our estimated annual rate of 25.0 % was benefitted by discrete items which had a net impact of decreasing our rate by 0.7 %, including federal energy home tax credits claimed in excess of previous estimates and the impact of excess tax benefits for vested stock-based compensation.

On July 4, 2025, H.R.1, the One Big Beautiful Bill Act , was signed into law, which disallows Section 45L tax credits for new energy-efficient homes delivered after June 30, 2026.

As a result, our income tax expense and effective tax rate would not reflect a benefit from such tax credits as to homes delivered after that date.

For the three months ended June 30, 2025 and 2024, we recorded income tax expense of $ 12.2 million and $ 26.9 million, respectively .

For the six months ended June 30, 2025 and 2024, we recorded income tax expense of $ 25.4 million and $ 46.9 million, respectively.

For the three months ended September 30, 2025 and 2024, we recorded income tax expense of $ 10.4 million and $ 26.9 million, respectively .

For the nine months ended September 30, 2025 and 2024, we recorded income tax expense of $ 35.8 million and $ 73.8 million, respectively.

Fair Value Disclosures

13 unchanged sentences

The key assumptions, which are generally unobservable inputs, used in the valuation of the mortgage servicing rights include mortgage prepayment rates, discount rates and cost to service.

 Mortgage loans held for investment at fair value – A portion of our mortgage loans held for investment included in prepaid expenses and other assets , which were those determined to be unsaleable and transferred from mortgage loans held for sale, are recorded at fair value and are calculated based on Level 3 analysis which incorporates information including the value of underlying collateral, from markets where there is little observable trading activity.

The following outlines the Company’s assets and liabilities measured at fair value on a recurring basis at June 30, 2025 and December 31, 2024, respectively (in thousands):

 Mortgage loans held for investment at fair value – A portion of our mortgage loans held for investment included in prepaid expenses and other assets , which were those determined to be unsaleable and transferred from mortgage loans held for sale, are recorded at fair value and are calculated based on a Level 3 analysis which incorporates information including the value of underlying collateral, from markets where there is little observable trading activity.

The following outlines the Company’s assets and liabilities measured at fair value on a recurring basis at September 30, 2025 and December 31, 2024, respectively (in thousands):

September 30,

Balance Sheet Classification

3 unchanged sentences

Prepaid expenses and other assets

Derivative assets

Prepaid expenses and other assets

Mortgage servicing rights (2)

Prepaid expenses and other assets

Derivative assets

Prepaid expenses and other assets

Derivative liabilities

Accrued expenses and other liabilities

(1) A portion of our mortgage loans held for investment are recorded at fair value, which were those determined to be unsaleable and transferred from mortgage loans held for sale which are recorded at fair value.

(1) During the three months ended September 30, 2025, mortgage loans held for investment at fair value totaling $ 20.0 million were transferred to mortgage loans held for sale, as we no longer had the intent to hold the mortgage loans, and subsequently sold the majority of the mortgage loans during the period.

The unobservable inputs used in the valuation of the mortgage loans held for investment at fair value include, among other items, the value of underlying collateral, from markets where there is little observable trading activity.

(2) The unobservable inputs used in the valuation of the mortgage servicing rights include mortgage prepayment rates, discount rates and cost to service, which were a weighted average of 7.3 %, 10.4 %, and $ 75 per year per loan, respectively, as of June 30, 2025 , and 8.5 %, 10.6 %, and $ 74 per year per loan, respectively, as of December 31, 2024.

(2) The unobservable inputs used in the valuation of the mortgage servicing rights include mortgage prepayment rates, discount rates and cost to service, which were a weighted average of 7.8 %, 10.4 %, and $ 80 per year per loan, respectively, as of September 30, 2025 , and 8.5 %, 10.6 %, and $ 74 per year per loan, respectively, as of December 31, 2024.

The high and low end of the range of unobservable inputs used in the valuation did not result in a significant change to the fair value measurement.

The following table represents the reconciliation of the beginning and ending balance for the Level 3 recurring fair value measurements, with gains and losses from the changes in fair value reflected in financial services revenue on our condensed consolidated statements of operations (in thousands):

Three Months Ended June 30,

Six Months Ended June 30,

Three Months Ended September 30,

Nine Months Ended September 30,

Mortgage servicing rights

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End of period

Three Months Ended June 30,

Six Months Ended June 30,

Three Months Ended September 30,

Nine Months Ended September 30,

Mortgage loans held-for-investment at fair value

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Transfers from loans held for sale

Transfers to loans held for sale

Reduction in unpaid principal balance

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End of period

During the three months ended June 30, 2025, we sold mortgage servicing rights with an unpaid principal balance of approximately $ 3.0 billion for approximately $ 47.3 million, including customary holdbacks.

For the financial assets and liabilities that the Company does not reflect at fair value, the following present both their respective carrying value and fair value at June 30, 2025 and December 31, 2024, respectively (in thousands).

June 30, 2025

During the three months ended September 30, 2025, mortgage loans held for investment at fair value totaling $ 20.0 million were transferred to mortgage loans held for sale, as we no longer had the intent to hold the mortgage loans, and subsequently sold the majority of the mortgage loans during the period.

During the second quarter of 2025, we sold mortgage servicing rights with an unpaid principal balance of approximately $ 3.0 billion for approximately $ 47.3 million, including customary holdbacks.

For the financial assets and liabilities that the Company does not reflect at fair value, the following present both their respective carrying value and fair value at September 30, 2025 and December 31, 2024, respectively (in thousands).

September 30, 2025

December 31, 2024

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3.875 % senior notes (1)(2)

6.625 % senior notes (1)(2)

Revolving line of credit (3)

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(1) Estimated fair value of the senior notes is based on recent trading activity in inactive markets.

(2) During the three months ended September 30, 2025, we entered into an indenture pursuant to which we issued $ 500.0 million aggregate principal amount of our 6.625 % senior notes due 2033 and we legally extinguished $ 500.0 million in outstanding principal of our 6.750 % senior notes due 2027.

Carrying amounts include any associated unamortized deferred financing costs, premiums and discounts.

As of June 30, 2025, these amounts totaled $ 1.6 million and $ 3.2 million for the 6.750 % senior notes and 3.875 % senior notes, respectively.

As of September 30, 2025, these amounts totaled $ 3.0 million and $ 6.9 million for the 3.875 % senior notes and 6.625 % senior notes, respectively.

As of December 31, 2024, these amounts totaled $ 2.0 million and $ 3.6 million for the 6.750 % senior notes and 3.875 % senior notes, respectively.

(3) Carrying amount approximates fair value due to short-term nature and/or interest rate terms.

(4) As of June 30, 2025, other financing obligations included $ 12.3 million related to certain secured borrowings that bore a weighted average interest rate of 5.0 %, and $ 127.7 million related to outstanding borrowings on the construction loan agreements related to Century Living that bore a weighted average interest rate of 6.6 %.

(4) As of September 30, 2025, other financing obligations included $ 26.1 million related to insurance premium notes and certain secured borrowings that bore a weighted average interest rate of 6.0 %, and $ 131.1 million related to outstanding borrowings on the construction loan agreements related to Century Living that bore a weighted average interest rate of 6.6 %.

As of December 31, 2024, other financing obligations included $ 11.0 million related to insurance premium notes and certain secured borrowings that bore a weighted average interest rate of 6.7 %, and $ 102.4 million related to outstanding borrowings on the construction loan agreements that bore a weighted average interest rate of 6.5 %.

Non-financial assets and liabilities include items such as inventory and property and equipment that are measured at fair value when acquired and as a result of impairments, if deemed necessary.

D uring the three months ended June 30, 2025, we determined that inventory with a carrying value before impairment of $ 31.6 million for five communities in our Century Complete and Southeast segments was not recoverable.

D uring the six months ended June 30, 2025, we determined that inventory with a carrying value before impairment of $ 33.7 million for six communities in our Century Complete and Southeast segments was not recoverable.

Accordingly, during the three and six months ended June 30, 2025, we recognized impairment charges of an aggregate $ 7.4 million and $ 7.8 million, respectively, in order to record the communities at fair value .

During the three and six months ended June 30, 2024, w e recognized impairment charges of $ 0.6 million related to two communities with a carrying value before impairment of $ 4.5 million.

D uring the three months ended September 30, 2025, we determined that inventory with a carrying value before impairment of $ 11.9 million for three communities in our Texas, Southeast, and Century Complete segments was not recoverable.

D uring the nine months ended September 30, 2025, we determined that inventory with a carrying value before impairment of $ 41.3 million for eight communities in our Texas, Southeast and Century Complete segments was not recoverable.

Accordingly, during the three and nine months ended September 30, 2025, we recognized impairment charges of an aggregate $ 3.2 million and $ 11.0 million, respectively, in order to record the communities at fair value .

During the three months ended September 30, 2024, w e recognized impairment charges of $ 1.4 million related to two communities with a carrying value before impairment of $ 10.6 million, and during the nine months ended September 30, 2024, w e recognized impairment charges of $ 1.9 million related to four communities with a carrying value before impairment of $ 15.2 million.

The estimated fair values of the communities were determined through a discounted cash flow approach utilizing Level 3 inputs.

When estimating future discounted cash flows, we utilized a weighted-average discount rate of approximately 12 % in each of our valuations during the three months and six months ended June 30, 2025 and 2024, respectively.

When estimating future discounted cash flows, we utilized a weighted-average discount rate of approximately 12 % in each of our valuations during the three months and nine months ended September 30, 2025 and 2024, respectively.

Changes in our cash flow projections in future periods related to our communities may change our conclusions on the recoverability of inventory in the future.

Stock-Based Compensation

During the six months ended June 30, 2025 and 2024, we granted restricted stock units (which we refer to as “RSUs”) covering 0.2 million and 0.2 million shares of common stock, respectively, with a grant date fair value of $ 76.38 and $ 85.84 per share, respectively, that vest over a three year period.

During the six months ended June 30, 2025 and 2024, we granted 16.0 thousand and 11.0 thousand shares of common stock, respectively, on an unrestricted basis (which we refer to as “stock awards”) with a grant date fair value of $ 53.26 and $ 82.84 per share, respectively, to our non-employee directors.

During the six months ended June 30, 2025, we granted performance share units (which we refer to as “PSUs”) covering up to 0.5 million shares of common stock assuming maximum level of performance with a weighted-average grant date fair value of $ 67.01 per share that are subject to service, performance, and market vesting conditions.

During the nine months ended September 30, 2025 and 2024, we granted restricted stock units (which we refer to as “RSUs”) covering 0.2 million and 0.2 million shares of common stock, respectively, with a grant date fair value of $ 76.14 and $ 86.01 per share, respectively, that vest over a three year period.

During the nine months ended September 30, 2025 and 2024, we granted 16.0 thousand and 11.0 thousand shares of common stock, respectively, on an unrestricted basis (which we refer to as “stock awards”) with a grant date fair value of $ 53.26 and $ 82.84 per share, respectively, to our non-employee directors.

During the nine months ended September 30, 2025, we granted performance share units (which we refer to as “PSUs”) covering up to 0.5 million shares of common stock assuming maximum level of performance with a weighted-average grant date fair value of $ 67.01 per share that are subject to service, performance, and market vesting conditions.

The quantity of shares that will vest and be issued upon settlement of the PSUs ranges from 0 % to up to 250 % of a targeted number of shares depending upon the participant and will be determined based on achievement of three-year cumulative revenue and three-year cumulative adjusted pre-tax income performance goals.

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W e u tilize the Monte Carlo simulation model to determine the fair value of PSUs that contain market conditions , and stock-based compensation expense is recognized ratably for awards subject to market conditions regardless of whether the market condition is satisfied, provided that the requisite service has been met.

During the six months ended June 30, 2024, we granted PSUs covering up to 0.3 million shares of common stock assuming maximum level of performance with a grant date fair value of $ 82.23 per share that are subject to both service and performance vesting conditions.

During the nine months ended September 30, 2024, we granted PSUs covering up to 0.3 million shares of common stock assuming maximum level of performance with a grant date fair value of $ 82.23 per share that are subject to both service and performance vesting conditions.

The quantity of shares that will ultimately vest and be issued upon settlement of the PSUs ranges from 0 % to 250 % of a targeted number of shares and will be determined based on achievement of a three-year cumulative adjusted pre-tax income performance goal.

During the six months ended June 30, 2025 and 2024, we issued 0.4 million and 0.2 million shares of common stock, respectively, upon the vesting

and settlement of PSUs that were granted in previous periods.

During the nine months ended September 30, 2025 and 2024, we issued 0.4 million and 0.2 million shares of common stock, respectively, upon the vesting and settlement of PSUs that were granted in previous periods.

Approximately 1.1 million shares will vest from 2026 to 2028 if the defined maximum performance targets are met and, for applicable awards, if the defined maximum TSR conditions are met, and no shares will vest if the defined minimum performance targets are not met.

A summary of our outstanding RSUs and PSUs, assuming the current estimated level of performance achievement , are as follows (in thousands, except years):

June 30, 2025

September 30, 2025

Unvested units

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Weighted-average years to recognize compensation cost

During the three months ended June 30, 2025 and 2024, we recognized stock-based compensation expense of $ 7.9 million and $ 7.9 million, respectively.

During the six months ended June 30, 2025 and 2024, we recognized stock-based compensation expense of $ 8.2 million and $ 10.7 million, respectively.

During the three months ended September 30, 2025 and 2024, we recognized stock-based compensation expense of $ 5.5 million and $ 7.4 million, respectively.

During the nine months ended September 30, 2025 and 2024, we recognized stock-based compensation expense of $ 13.7 million and $ 18.1 million, respectively.

Stock-based compensation expense is included in selling, general, and administrative expense on our condensed consolidated statements of operations.

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Accordingly, future compensation cost associated with outstanding PSUs may increase or decrease based on the probability and extent of achievement with respect to the applicable performance measures.

During the three and six months ended June 30, 2025, in accordance with ASC 718, Compensation—Stock Compensation, we updated our recognition of stock-based compensation expense associated with previously granted PSU awards to reflect probable financial results as they relate to the performance goals of the awards.

Accordingly, our estimate of the number of shares which will ultimately vest and be issued upon settlement of certain PSU awards increased by a total of 0.2 million shares during the three months ended June 30, 2025, and increased by approximately 40 thousand shares during the six months ended June 30, 2025.

During the three months ended June 30, 2025, we recorded a cumulative adjustment to increase stock-based compensation expense of $ 1.0 million ($ 0.8 million net of tax), or $ 0.03 per basic share and $ 0.02 per diluted share.

During the six months ended June 30, 2025, we recorded a cumulative adjustment to reduce stock-based compensation expense of $ 4.7 million ($ 3.5 million net of tax), or $ 0.12 per basic share and $ 0.11 per diluted share.

During the three and nine months ended September 30, 2025, in accordance with ASC 718, Compensation—Stock Compensation, we updated our recognition of stock-based compensation expense associated with previously granted PSU awards to reflect probable financial results as they relate to the performance goals of the awards.

Accordingly, our estimate of the number of shares which will ultimately vest and be issued upon settlement of certain PSU awards decreased approximately 0.1 million shares and 0.1 million shares during the three and nine months ended September 30, 2025, respectively.

During the three and nine months ended September 30, 2025, we recorded cumulative net adjustments to reduce stock-based compensation expense of $ 1.4 million ($ 1.1 million net of tax) or $ 0.04 per basic share and diluted share, and $ 6.1 million ($ 4.7 million net of tax), and $ 0.15 per basic share and diluted share, respectively.

Stockholders’ Equity

The Company’s authorized capital stock consists of 100.0 million shares of common stock, par value $ 0.01 per share, and 50.0 million shares of preferred stock, par value $ 0.01 per share.

As of June 30, 2025 and December 31, 2024, there were 29.7 million and 31.0 million shares of common stock issued and outstanding, respectively, and no shares of preferred stock outstanding.

As of September 30, 2025 and December 31, 2024, there were 29.4 million and 31.0 million shares of common stock issued and outstanding, respectively, and no shares of preferred stock outstanding.

On May 4, 2022, the stockholders approved the adoption of the Century Communities, Inc.

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Under the 2022 Incentive Plan, 3.1 million shares of common stock are available for issuance to eligible participants, plus 51.2 thousand shares of our common stock that remained available for issuance under the 2017 Incentive Plan and any shares subject to awards outstanding under the 2017 Incentive Plan that are subsequently forfeited, cancelled, expire or otherwise terminate without the issuance of such shares.

During the six months ended June 30, 2025 and 2024, we issued 0.6 million and 0.3 million shares of common stock, respectively, related to the vesting and settlement of RSUs and PSUs.

As of June 30, 2025, approximately 1.5 million shares of common stock remained available for issuance under the 2022 Incentive Plan .

The following table sets forth cash dividends declared by our Board of Directors to holders of record of our common stock during the three and six months ended June 30, 2025 and 2024, respectively (dollars in thousands, except per share information):

Six months ended June 30, 2025

During the nine months ended September 30, 2025 and 2024, we issued 0.6 million and 0.3 million shares of common stock, respectively, related to the vesting and settlement of RSUs and PSUs.

As of September 30, 2025, approximately 1.5 million shares of common stock remained available for issuance under the 2022 Incentive Plan .

The following table sets forth cash dividends declared by our Board of Directors to holders of record of our common stock during the three and nine months ended September 30, 2025 and 2024, respectively (dollars in thousands, except per share information):

Nine months ended September 30, 2025

Cash Dividends Declared and Paid

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June 11, 2025

Six months ended June 30, 2024

August 13, 2025

August 27, 2025

September 10, 2025

Nine months ended September 30, 2024

Cash Dividends Declared and Paid

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June 12, 2024

Under the 2022 Incentive Plan and the previous 2017 Incentive Plan, at the discretion of the Compensation Committee of the Board of Directors, RSUs and PSUs granted under the plan have the right to earn dividend equivalents, which entitles the holders of such RSUs and PSUs to additional RSUs and PSUs equal to the same dividend value per share as holders of common stock.

August 14, 2024

August 28, 2024

September 11, 2024

Under the 2022 Incentive Plan, at the discretion of the Compensation Committee of the Board of Directors, RSUs and PSUs granted under the plan have the right to earn dividend equivalents, which entitles the holders of such RSUs and PSUs to additional RSUs and PSUs equal to the same dividend value per share as holders of common stock.

Dividend equivalents are subject to the same vesting and other terms and conditions as the underlying RSUs and PSUs.

Our stock repurchase program authorizes us to repurchase up to 4.5 million shares of our outstanding common stock, of which 3.1 million shares remained available to be repurchased as of June 30, 2025.

During the three and six months ended June 30, 2025, an aggregate of 883.6 thousand shares and 1.6 million shares, respectively, were repurchased under our stock repurchase program for a total purchase price of approximately $ 48.0 million and $ 103.6 million, respectively, and a weighted average price of $ 54.35 and $ 63.28 per share, respectively , excluding the excise tax accrued on our net share repurchases as a result of the Inflation Reduction Act of 2022.

During the three and six months ended June 30, 2024, an aggregate of 465.0 thousand and 651.9 thousand shares, respectively, were repurchased for a total purchase price of approximately $ 37.0 million and $ 53.1 million, respectively, and a weighted average price of $ 79.61 and $ 81.49 per share, respectively.

During the six months ended June 30, 2025 and 2024, shares of common stock at a total cost of $ 17.2 million and $ 10.4 million, respectively , were netted and surrendered as payment for minimum statutory withholding obligations in connection with the vesting of outstanding stock-based compensation awards.

Our stock repurchase program authorizes us to repurchase up to 4.5 million shares of our outstanding common stock, of which 2.8 million shares remained available to be repurchased as of September 30, 2025.

During the three and nine months ended September 30, 2025, an aggregate of 296.9 thousand shares and 1.9 million shares, respectively, were repurchased under our stock repurchase program for a total purchase price of approximately $ 20.0 million and $ 123.6 million, respectively, and a weighted average price of $ 67.36 and $ 63.91 per share, respectively , excluding the excise tax accrued on our net share repurchases as a result of the Inflation Reduction Act of 2022.

We did no t repurchase any shares of common stock during the three months ended September 30, 2024.

During the nine months ended September 30, 2024, an aggregate of 651.9 thousand shares were repurchased for a total purchase price of approximately $ 53.1 million and a weighted average price of $ 81.49 per share.

During the nine months ended September 30, 2025 and 2024, shares of common stock at a total cost of $ 17.3 million and $ 10.5 million, respectively , were netted and surrendered as payment for minimum statutory withholding obligations in connection with the vesting of outstanding stock-based compensation awards.

Shares surrendered by the participants in accordance with the applicable award agreements and plan are deemed repurchased and retired by us but are not part of our publicly announced stock repurchase program.

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We use the treasury stock method to calculate earnings per share as our currently issued non-vested RSUs and PSUs do not have participating rights.

The following table sets forth the computation of basic and diluted earnings per share (which we refer to as “EPS”) for the three and six months ended June 30, 2025 and 2024 (in thousands, except share and per share information):

Three Months Ended June 30,

Six Months Ended June 30,

The following table sets forth the computation of basic and diluted earnings per share (which we refer to as “EPS”) for the three and nine months ended September 30, 2025 and 2024 (in thousands, except share and per share information):

Three Months Ended September 30,

Nine Months Ended September 30,

Weighted average common shares outstanding - basic

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Stock-based awards are excluded from the calculation of diluted EPS in the event they are subject to unsatisfied performance conditions or are antidilutive.

We excluded 0.7 million and 0.7 million common stock unit equivalents from diluted earnings per share during the three and six months ended June 30, 2025, respectively, and we excluded 0.4 million and 0.4 million common stock unit equivalents from diluted earnings per share during the three and six months ended June 30, 2024 , respectively, related to the PSUs for which performance conditions remained unsatisfied.

We excluded 0.3 million and 0.3 million common stock unit equivalents from diluted earnings per share during the three and six months ended June 30, 2025, respectively, that were antidilutive.

No amounts were antidilutive during the three and six months ended June 30, 2024.

We excluded 0.7 million and 0.7 million common stock unit equivalents from diluted earnings per share during the

three and nine months ended September 30, 2025, respectively, and we excluded 0.4 million and 0.4 million common stock unit equivalents from diluted earnings per share during the three and nine months ended September 30, 2024 , respectively, related to the PSUs for which performance conditions remained unsatisfied.

We excluded 0.3 million and 0.3 million common stock unit equivalents from diluted earnings per share during the three and nine months ended September 30, 2025, respectively, that were antidilutive.

No amounts were antidilutive during the three and nine months ended September 30, 2024.

Commitments and Contingencies

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In the normal course of business, we post letters of credit and performance and other bonds primarily related to our land development performance obligations with local municipalities.

As of June 30, 2025 and December 31, 2024, we had issued and outstanding letters of credit of $ 90.8 million and $ 97.5 million, respectively, and we had issued and outstanding performance and other bonds of $ 454.0 million and $ 466.0 million, respectively.

As of September 30, 2025 and December 31, 2024, we had issued and outstanding letters of credit of $ 74.7 million and $ 97.5 million, respectively, and we had issued and outstanding performance and other bonds of $ 450.1 million and $ 466.0 million, respectively.

Legal Proceedings

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Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-Q

Item 1. Financial Statements