KBH KB Home

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Basis of Presentation. The accompanying unaudited consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) for interim financial information and the rules and regulations of the Securities and Exchange Commission (“SEC”). Accordingly, they do not include all the information and footnotes required by GAAP for complete financial statements. These unaudited consolidated financial statements should be read in conjunction with the audited consolidated financial statements for the year ended November 30, 2023, which are contained in our Annual Report on Form 10-K for that period. The consolidated balance sheet at November 30, 2023 has been taken from the audited consolidated financial statements as of that date. In the opinion of management, the accompanying unaudited consolidated financial statements contain all adjustments (consisting of normal recurring adjustments) considered necessary for the fair presentation of our results for the interim periods presented. The results of our consolidated operations for the three months and nine months ended August 31, 2024 are not necessarily indicative of the results to be expected for the full year due to seasonal variations in operating results and other factors.

Unless the context indicates otherwise, the terms “we,” “our,” and “us” used in this report refer to KB Home, a Delaware corporation, and its subsidiaries.

Use of Estimates. The preparation of financial statements in conformity with GAAP requires management to make estimates and judgments that affect the amounts reported in the consolidated financial statements and accompanying notes. Actual results could differ from those estimates.

Cash and Cash Equivalents. We consider all highly liquid short-term investments purchased with an original maturity of three months or less to be cash equivalents. Our cash equivalents totaled $218.9 million at August 31, 2024 and $508.2 million at November 30, 2023. At August 31, 2024 and November 30, 2023, our cash equivalents were mainly invested in interest-bearing bank deposit accounts and money market funds.

Comprehensive Income. Our comprehensive income was $157.3 million for the three months ended August 31, 2024 and $149.9 million for the three months ended August 31, 2023. For the nine months ended August 31, 2024 and 2023, our comprehensive income was $464.4 million and $439.9 million, respectively. Our comprehensive income for each of the three-month and nine-month periods ended August 31, 2024 and 2023 was equal to our net income for the respective periods.

Recent Accounting Pronouncements Not Yet Adopted. In November 2023, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update No. 2023-07, “Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures” (“ASU 2023-07”), which is intended to improve reportable segment disclosure requirements, primarily through enhanced disclosures about significant segment expenses. The guidance is effective for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024. Early adoption is permitted. ASU 2023-07 is to be applied retrospectively to all prior periods presented in the financial statements. Upon transition, the segment expense categories and amounts disclosed in the prior periods should be based on the significant segment expense categories identified and disclosed in the period of adoption. We are currently evaluating the potential impact of adopting this new guidance on our consolidated financial statements and related disclosures.

In December 2023, the FASB issued Accounting Standards Update No. 2023-09, “Income Taxes (Topic 740): Improvements to Income Tax Disclosures” (“ASU 2023-09”), which modifies the rules on income tax disclosures to require entities to disclose (1) specific categories in the rate reconciliation, (2) the income or loss from continuing operations before income tax expense or benefit (separated between domestic and foreign) and (3) income tax expense or benefit from continuing operations (separated by federal, state and foreign). ASU 2023-09 also requires entities to disclose their income tax payments to international, federal, state and local jurisdictions, among other changes. The guidance is effective for annual periods beginning after December 15, 2024. Early adoption is permitted for annual financial statements that have not yet been issued or made available for issuance. ASU 2023-09 should be applied on a prospective basis, but retrospective application is permitted. We are currently evaluating the potential impact of adopting this new guidance on our consolidated financial statements and related disclosures.

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We have identified five operating reporting segments, comprised of four homebuilding reporting segments and one financial services reporting segment. As of August 31, 2024, our homebuilding reporting segments conducted ongoing operations in the following states:

West Coast:			California, Idaho and Washington
Southwest:			Arizona and Nevada
Central:			Colorado and Texas
Southeast:			Florida and North Carolina

Our homebuilding reporting segments are engaged in the acquisition and development of land primarily for residential purposes and offer a wide variety of homes that are designed to appeal to first-time, first move-up and active adult homebuyers. Our homebuilding operations generate most of their revenues from the delivery of completed homes to homebuyers. They also earn revenues from the sale of land.

Our financial services reporting segment offers property and casualty insurance and, in certain instances, earthquake, flood and personal property insurance to our homebuyers in the same markets as our homebuilding reporting segments, and provides title services in the majority of our markets located within our Southwest, Central and Southeast homebuilding reporting segments. Our financial services reporting segment earns revenues primarily from insurance commissions and from the provision of title services.

We offer mortgage banking services, including residential consumer mortgage loan (“mortgage loan”) originations, to our homebuyers indirectly through KBHS Home Loans, LLC (“KBHS”), our unconsolidated joint venture with GR Alliance Ventures, LLC (“GR Alliance”), a subsidiary of Guaranteed Rate, Inc. We and GR Alliance each have a 50.0% ownership interest, with GR Alliance providing management oversight of KBHS’ operations.

Our reporting segments follow the same accounting policies used for our consolidated financial statements. The results of each reporting segment are not necessarily indicative of the results that would have occurred had the segment been an independent, stand-alone entity during the periods presented, nor are they indicative of the results to be expected in future periods.

The following tables present financial information relating to our homebuilding reporting segments (in thousands):

			Three Months Ended August 31,												Nine Months Ended August 31,
			2024						2023						2024						2023
Revenues:
West Coast			$	760,617					$	506,802					$	2,017,336					$	1,611,171
Southwest			312,812						306,284						954,602						881,699
Central			372,862						506,640						1,069,136						1,441,805
Southeast			299,688						259,993						868,115						781,427
Total			$	1,745,979					$	1,579,719					$	4,909,189					$	4,716,102
Pretax income (loss):
West Coast			$	99,222					$	55,034					$	252,099					$	169,683
Southwest			54,826						46,193						165,302						147,341
Central			43,304						75,421						128,446						213,239
Southeast			33,003						38,495						103,827						110,951
Corporate and other			(33,879)						(30,521)						(82,254)						(96,875)
Total			$	196,476					$	184,622					$	567,420					$	544,339

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						Three Months Ended August 31,												Nine Months Ended August 31,
						2024						2023						2024						2023
Inventory impairment and land option contract abandonment charges:
West Coast						$	496					$	400					$	2,441					$	4,348
Southwest						—						—						116						—
Central						469						231						725						2,310
Southeast						212						—						403						3,549
Total						$	1,177					$	631					$	3,685					$	10,207

			August 31, 2024						November 30, 2023
Assets:
West Coast			$	3,117,670					$	2,638,455
Southwest			962,585						908,578
Central			1,068,714						1,158,949
Southeast			1,041,912						939,997
Corporate and other			586,220						945,504
Total			$	6,777,101					$	6,591,483

The following tables present financial information relating to our financial services reporting segment (in thousands):

			Three Months Ended August 31,												Nine Months Ended August 31,
			2024						2023						2024						2023
Revenues
Insurance commissions			$	3,691					$	4,153					$	12,685					$	11,537
Title services			2,938						3,139						8,313						9,002
Total			6,629						7,292						20,998						20,539
Expenses
General and administrative			(1,608)						(1,530)						(4,627)						(4,360)
Operating income			5,021						5,762						16,371						16,179
Equity in income of unconsolidated joint venture			5,932						4,149						19,422						11,157
Pretax income			$	10,953					$	9,911					$	35,793					$	27,336

			August 31, 2024						November 30, 2023
Assets
Cash and cash equivalents			$	782					$	266
Receivables			3,655						2,783
Investment in unconsolidated joint venture			19,743						19,354
Other assets (a)			38,599						34,476
Total assets			$	62,779					$	56,879

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			August 31, 2024						November 30, 2023
Liabilities
Accounts payable and accrued expenses			$	2,030					$	1,645
Total liabilities			$	2,030					$	1,645

(a)Other assets at August 31, 2024 and November 30, 2023 included $38.5 million and $34.4 million, respectively, of contract assets for estimated future renewal commissions.

Basic and diluted earnings per share were calculated as follows (in thousands, except per share amounts):

			Three Months Ended August 31,												Nine Months Ended August 31,
			2024						2023						2024						2023
Numerator:
Net income			$	157,329					$	149,933					$	464,413					$	439,875
Less: Distributed earnings allocated to participating securities			(143)						(120)						(406)						(295)
Less: Undistributed earnings allocated to participating securities			(1,062)						(998)						(3,137)						(2,851)
Numerator for basic earnings per share			156,124						148,815						460,870						436,729
Effect of dilutive securities:
Add: Undistributed earnings allocated to participating securities			1,062						998						3,137						2,851
Less: Undistributed earnings reallocated to participating securities			(1,032)						(967)						(3,047)						(2,766)
Numerator for diluted earnings per share			$	156,154					$	148,846					$	460,960					$	436,814
Denominator:
Weighted average shares outstanding — basic			74,476						80,175						75,339						81,790
Effect of dilutive securities:
Share-based payments			2,154						2,557						2,226						2,542
Weighted average shares outstanding — diluted			76,630						82,732						77,565						84,332
Basic earnings per share			$	2.10					$	1.86					$	6.12					$	5.34
Diluted earnings per share			$	2.04					$	1.80					$	5.94					$	5.18

We compute earnings per share using the two-class method, which is an allocation of earnings between the holders of common stock and a company’s participating security holders. Our outstanding nonvested shares of restricted stock contain non-forfeitable rights to dividends and, therefore, are considered participating securities for purposes of computing earnings per share pursuant to the two-class method. We had no other participating securities during the three-month and nine-month periods ended August 31, 2024 and 2023.

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Receivables consisted of the following (in thousands):

			August 31, 2024						November 30, 2023
Due from utility companies, improvement districts and municipalities			$	184,855					$	197,102
Recoveries related to self-insurance and other legal claims			120,820						107,065
Refundable deposits and bonds			12,089						13,292
Income taxes receivable			10,626						—
Other			49,502						53,615
Subtotal			377,892						371,074
Allowance for doubtful accounts			(4,356)						(4,212)
Total			$	373,536					$	366,862

Inventories consisted of the following (in thousands):

			August 31, 2024						November 30, 2023
Homes completed or under construction			$	2,316,960					$	2,106,149
Land under development			3,331,970						3,027,497
Total			$	5,648,930					$	5,133,646

Land under development at August 31, 2024 and November 30, 2023 included land held for future development of $10.5 million and $17.0 million, respectively.

Interest is capitalized to inventories while the related communities or land parcels are being actively developed and until homes are completed or the land is available for immediate sale. Capitalized interest is amortized to construction and land costs as the related inventories are delivered to homebuyers or land buyers (as applicable). In the case of land held for future development and land held for sale, applicable interest is expensed as incurred.

Our interest costs were as follows (in thousands):

			Three Months Ended August 31,												Nine Months Ended August 31,
			2024						2023						2024						2023
Capitalized interest at beginning of period			$	131,765					$	141,225					$	134,375					$	145,494
Interest incurred			26,583						26,810						79,665						80,609
Interest amortized to construction and land costs (a)			(28,180)						(29,305)						(83,872)						(87,373)
Capitalized interest at end of period			$	130,168					$	138,730					$	130,168					$	138,730

Each community or land parcel in our owned inventory is assessed on a quarterly basis to determine if indicators of potential impairment exist. We record an inventory impairment charge on a community or land parcel that is active or held for future development when indicators of potential impairment exist and the carrying value of the real estate asset is greater than the undiscounted future net cash flows the asset is expected to generate. These real estate assets are written down to fair value, which is primarily determined based on the estimated future net cash flows discounted for inherent risk associated with each such asset, or other valuation techniques. We record an inventory impairment charge on land held for

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sale when the carrying value of a land parcel is greater than its fair value. These real estate assets are written down to fair value, less associated costs to sell. The estimated fair values of such assets are generally based on bona fide letters of intent from outside parties, executed sales contracts, broker quotes or similar information.

We evaluated six active communities or land parcels for recoverability as of August 31, 2024 with a carrying value of $121.0 million. As of November 30, 2023, we evaluated five active communities or land parcels for recoverability with a carrying value of $89.3 million. In addition, we evaluated land held for future development for recoverability as of both August 31, 2024 and November 30, 2023. Based on the results of our evaluations, we recognized no inventory impairment charges for the three-month and nine-month periods ended August 31, 2024 and 2023.

As of August 31, 2024, the aggregate carrying value of our inventory that had been impacted by previous inventory impairment charges was $48.4 million, representing five communities and various other land parcels. As of November 30, 2023, the aggregate carrying value of our inventory that had been impacted by previous inventory impairment charges was $73.9 million, representing five communities and various other land parcels.

Our inventory controlled under land option contracts and other similar contracts is assessed on a quarterly basis to determine whether it continues to meet our investment return standards. When a decision is made not to exercise certain land option contracts and other similar contracts due to market conditions and/or changes in our marketing strategy, we write off the related inventory costs, including non-refundable deposits and unrecoverable pre-acquisition costs. Based on the results of our assessments, we recognized land option contract abandonment charges of $1.2 million and $3.7 million for the three-month and nine-month periods ended August 31, 2024, respectively. For the three-month and nine-month periods ended August 31, 2023, we recognized land option contract abandonment charges of $.6 million and $10.2 million, respectively.

Due to the judgment and assumptions applied in our inventory impairment and land option contract abandonment assessment processes, and in our estimations of the remaining operating lives of our inventory assets and the realization of our inventory balances, particularly as to land held for future development, it is possible that actual results could differ substantially from those estimated.

Unconsolidated Joint Ventures. We participate in joint ventures from time to time that conduct land acquisition, land development and/or other homebuilding activities in various markets where our homebuilding operations are located. Our investments in these joint ventures may create a variable interest in a variable interest entity (“VIE”), depending on the contractual terms of the arrangement. We analyze our joint ventures under the variable interest model to determine whether they are VIEs and, if so, whether we are the primary beneficiary. Based on our analyses, we determined that one of our joint ventures at August 31, 2024 and November 30, 2023 was a VIE, but we were not the primary beneficiary of the VIE. Therefore, all of our joint ventures at August 31, 2024 and November 30, 2023 were unconsolidated and accounted for under the equity method because we did not have a controlling financial interest.

Land Option Contracts and Other Similar Contracts. In the ordinary course of our business, we enter into land option contracts and other similar contracts with third parties and unconsolidated entities to acquire rights to land for the construction of homes. Under these contracts, we typically make a specified option payment or earnest money deposit in consideration for the right to purchase land in the future, usually at a predetermined price. We analyze each of our land option contracts and other similar contracts under the variable interest model to determine whether the land seller is a VIE and, if so, whether we are the primary beneficiary. Although we do not have legal title to the underlying land, we are required to consolidate a VIE if we are the primary beneficiary. As a result of our analyses, we determined that as of August 31, 2024 and November 30, 2023, we were not the primary beneficiary of any VIEs from which we have acquired rights to land under land option contracts and other similar contracts.

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The following table presents a summary of our interests in land option contracts and other similar contracts (in thousands):

			August 31, 2024												November 30, 2023
			Cash Deposits						Aggregate Purchase Price						Cash Deposits						Aggregate Purchase Price
Unconsolidated VIEs			$	49,649					$	1,397,800					$	21,554					$	727,620
Other land option contracts and other similar contracts			27,809						724,273						23,464						540,912
Total			$	77,458					$	2,122,073					$	45,018					$	1,268,532

In addition to the cash deposits presented in the table above, our exposure to loss related to our land option contracts and other similar contracts with third parties and unconsolidated entities consisted of pre-acquisition costs of $26.0 million at August 31, 2024 and $18.5 million at November 30, 2023. These pre-acquisition costs and cash deposits were included in inventories in our consolidated balance sheets.

Homebuilding. We have investments in unconsolidated joint ventures that conduct land acquisition, land development and/or other homebuilding activities in various markets where our homebuilding operations are located. We and our unconsolidated joint venture partners make initial and/or ongoing capital contributions to these unconsolidated joint ventures, typically on a pro rata basis, according to our respective equity interests. The obligations to make capital contributions are governed by each such unconsolidated joint venture’s respective operating agreement and related governing documents.

We had investments in six homebuilding unconsolidated joint ventures as of August 31, 2024 and November 30, 2023. The following table presents combined condensed information from the statements of operations for our homebuilding unconsolidated joint ventures (in thousands):

			Three Months Ended August 31,												Nine Months Ended August 31,
			2024						2023						2024						2023
Revenues			$	32,241					$	—					$	37,539					$	1,171
Construction and land costs			(23,580)						—						(27,404)						(686)
Other expense, net			(1,694)						(193)						(3,541)						(2,603)
Income (loss)			$	6,967					$	(193)					$	6,594					$	(2,118)

The combined revenues and construction and land costs for the three-month and nine-month periods ended August 31, 2024 primarily related to homes delivered by an unconsolidated joint venture in California. In the three-month and nine-month periods ended August 31, 2023, our unconsolidated joint ventures did not deliver any homes.

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The following table presents combined condensed balance sheet information for our homebuilding unconsolidated joint ventures (in thousands):

			August 31, 2024						November 30, 2023
Assets
Cash			$	15,860					$	16,260
Receivables			2,894						3,437
Inventories			162,392						152,456
Other assets			1,174						679
Total assets			$	182,320					$	172,832
Liabilities and equity
Accounts payable and other liabilities			$	7,444					$	9,632
Notes payable (a)			56,361						53,386
Equity			118,515						109,814
Total liabilities and equity			$	182,320					$	172,832

(a)    As of both August 31, 2024 and November 30, 2023, one of our unconsolidated joint ventures had borrowings outstanding under a revolving line of credit it entered into with a third-party lender in April 2022 to finance its land acquisition, development and construction activities. In April 2024, the revolving line of credit was amended, increasing the aggregate commitment to $70.0 million from $62.0 million, with the amount of all advances through October 2024 not to exceed $80.0 million. Principal repayments are made as homes are delivered, which began in May 2024. Pursuant to the amendment, the revolving line of credit will convert to a term loan and the aggregate commitment will be reduced to $55.0 million effective October 31, 2024, and then to $25.0 million by April 30, 2025. Borrowings under the line of credit are secured by the underlying property and related project assets. The line of credit is scheduled to mature on April 19, 2026, unless extended or terminated pursuant to its applicable terms. None of our other unconsolidated joint ventures had outstanding debt at August 31, 2024 or November 30, 2023.

We provide certain guarantees and indemnities to the lender in connection with the above-described revolving line of credit, including a guaranty of interest and carry costs; a guaranty to complete the construction of phases of the improvements for the project as such phases are commenced; a guaranty against losses suffered due to certain bad acts or failures to act by the unconsolidated joint venture or its partners; and an indemnity from environmental issues. Except to the extent related to the foregoing guarantees and indemnities, we do not have a guaranty or any other obligation to repay borrowings under the line of credit or to support the value of the underlying collateral. However, various financial and non-financial covenants apply under the line of credit and with respect to the related guaranty and indemnity obligations, and a failure to comply with such covenants could result in a default and cause the lender to seek to enforce such guaranty and indemnity obligations. As of the date of this report, we were in compliance with the relevant covenants. We do not believe that our existing exposure under our guaranty and indemnity obligations related to outstanding borrowings under the line of credit is material to our consolidated financial statements.

Financial Services. The following table presents combined condensed information from the statements of operations for our financial services unconsolidated joint venture (in thousands):

			Three Months Ended August 31,												Nine Months Ended August 31,
			2024						2023						2024						2023
Revenues			$	31,615					$	26,000					$	93,485					$	74,640
Expenses			(19,751)						(17,701)						(54,641)						(52,325)
Income			$	11,864					$	8,299					$	38,844					$	22,315

Revenues are primarily generated from fees earned on mortgage loan originations, interest earned for the period loans are held by KBHS, and gains on the sales of mortgage loans held for sale. Gains on the sales of mortgage loans held for sale include the realized and unrealized gains and losses associated with changes in the fair value of such loans and any related derivative financial instruments.

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The following table presents combined condensed balance sheet information for our financial services unconsolidated joint venture (in thousands):

			August 31, 2024						November 30, 2023
Assets
Cash and cash equivalents			$	25,517					$	29,163
Mortgage loans held for sale			192,267						164,252
Other assets			22,598						18,380
Total assets			$	240,382					$	211,795
Liabilities and equity
Accounts payable and other liabilities			$	15,024					$	13,763
Funding facilities			185,872						159,324
Equity			39,486						38,708
Total liabilities and equity			$	240,382					$	211,795

Mortgage loans held for sale. Originated mortgage loans expected to be sold into the secondary market in the foreseeable future are reported as mortgage loans held for sale and carried in KBHS’ balance sheets at fair value, with changes in fair value recognized within revenues in KBHS’ statements of operations.

Interest Rate Lock Commitments (“IRLCs”). KBHS enters into IRLCs in connection with originating certain mortgage loans held for sale, at specified interest rates and within a specified period of time, with customers who have applied for a mortgage loan and meet certain credit and underwriting criteria. KBHS accounts for IRLCs as free-standing derivatives and does not designate any for hedge accounting. As a result, IRLCs are recognized in KBHS’ balance sheets at fair value, and gains or losses resulting from changes in fair value are recognized within revenues in KBHS’ statements of operations. The fair value of IRLCs is based on market prices, which includes an estimate of the fair value of the associated mortgage servicing rights, adjusted for estimated costs to originate the underlying mortgage loans as well as the probability that the mortgage loans will fund within the terms of the IRLCs. The fair value of IRLCs included in other assets in KBHS’ balance sheets was $17.6 million at August 31, 2024 and $13.9 million at November 30, 2023. The changes in the fair value of IRLCs, which were reported in revenues for the applicable periods, were a loss of $.4 million for the three months ended August 31, 2024, a gain of $3.8 million for the nine months ended August 31, 2024, and losses of $5.2 million and $9.4 million for the three-month and nine-month periods ended August 31, 2023, respectively.

KBHS manages the interest rate and price risk associated with its outstanding IRLCs by entering into best efforts forward sale commitments under which mortgage loans locked with a borrower are simultaneously committed to a secondary market investor at a fixed price, subject to the underlying mortgage loans being funded. These best efforts forward sale commitments do not meet the definition of derivative financial instruments and are therefore not recorded in KBHS’ balance sheets. If the mortgage loans underlying the IRLCs do not fund, KBHS has no obligation to fulfill the secondary market investor commitments.

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Other assets consisted of the following (in thousands):

			August 31, 2024						November 30, 2023
Cash surrender value of corporate-owned life insurance contracts			$	52,442					$	53,079
Prepaid expenses			23,731						15,879
Lease right-of-use assets			19,737						24,725
Other			17,765						3,304
Total			$	113,675					$	96,987

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

			August 31, 2024						November 30, 2023
Self-insurance and other legal liabilities			$	294,274					$	269,735
Employee compensation and related benefits			157,722						171,408
Warranty liability			93,670						98,000
Customer deposits			56,988						58,910
Inventory-related obligations (a)			46,360						41,525
Lease liabilities			21,718						26,531
Accrued interest payable			17,392						29,391
Real estate and business taxes			16,966						15,169
Federal and state taxes payable			4,842						1,851
Other			47,996						45,707
Total			$	757,928					$	758,227

(a)Represents liabilities for financing arrangements discussed in Note 8 – Variable Interest Entities, as well as liabilities for fixed or determinable amounts associated with tax increment financing entity (“TIFE”) assessments. As homes are delivered, our obligation to pay the remaining TIFE assessments associated with each underlying lot is transferred to the homebuyer. As such, these assessment obligations will be paid by us only to the extent we do not deliver homes on applicable lots before the related TIFE obligations mature.

We lease certain property and equipment for use in our operations. We recognize lease expense for these leases generally on a straight-line basis over the lease term and combine lease and non-lease components for all leases. Lease right-of-use assets and lease liabilities are recorded in our consolidated balance sheets for leases with an expected term at the commencement date of more than 12 months. Lease expense is included in selling, general and administrative expenses in our consolidated statements of operations and includes costs for leases with terms of more than 12 months as well as short-

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term leases with terms of 12 months or less. Our total lease expense for the three months ended August 31, 2024 and 2023 was $5.1 million and $5.7 million, respectively, and included short-term lease costs of $1.9 million and $2.4 million, respectively. For the nine months ended August 31, 2024 and 2023, our total lease expense was $15.4 million and $16.5 million, respectively, and included short-term lease costs of $5.6 million and $6.3 million, respectively. Variable lease costs and external sublease income for the three-month and nine-month periods ended August 31, 2024 and 2023 were immaterial.

The following table presents our lease right-of-use assets and lease liabilities (in thousands):

			August 31, 2024						November 30, 2023
Lease right-of-use assets (a)			$	19,771					$	24,773
Lease liabilities (a)			21,754						26,581

Income Tax Expense. Our income tax expense and effective tax rates were as follows (dollars in thousands):

			Three Months Ended August 31,												Nine Months Ended August 31,
			2024						2023						2024						2023
Income tax expense			$	50,100					$	44,600					$	138,800					$	131,800
Effective tax rate			24.2		%				22.9		%				23.0		%				23.1		%

Our income tax expense and effective tax rate for the three months ended August 31, 2024 included the favorable impact of $3.9 million of Internal Revenue Code Section 45L (“Section 45L”) tax credits we recognized primarily from building energy-efficient homes, and a $2.4 million year-over-year decrease in state taxes, partly offset by $2.4 million of nondeductible executive compensation expense. Our income tax expense and effective tax rate for the three months ended August 31, 2023 reflected the favorable impact of $6.9 million of Section 45L tax credits and $1.9 million of excess tax benefits related to stock-based compensation, partly offset by $2.6 million of nondeductible executive compensation expense.

For the nine months ended August 31, 2024, our income tax expense and effective tax rate included the favorable impacts of $12.8 million of Section 45L tax credits we recognized primarily from building energy-efficient homes, $6.5 million of excess tax benefits related to stock-based compensation, and a $5.3 million year-over-year decrease in state income taxes, partly offset by $7.9 million of nondeductible executive compensation expense. Our income tax expense and effective tax rate for the nine months ended August 31, 2023 reflected the favorable impact of $19.4 million of Section 45L tax credits and $5.7 million of excess tax benefits related to stock-based compensation, partly offset by $9.2 million of nondeductible executive compensation expense.

Deferred Tax Asset Valuation Allowance. We evaluate our deferred tax assets quarterly to determine if adjustments to our valuation allowance are required based on the consideration of all available positive and negative evidence using a “more likely than not” standard with respect to whether deferred tax assets will be realized. Our evaluation considers, among other factors, our historical operating results, our expectation of future profitability, the duration of the applicable statutory carryforward periods, and conditions in the housing market and the broader economy. The ultimate realization of our deferred tax assets depends primarily on our ability to generate future taxable income during the periods in which the related deferred tax assets become deductible. The value of our deferred tax assets depends on applicable income tax rates.

Our deferred tax assets of $130.7 million as of August 31, 2024 and $136.4 million at November 30, 2023 were both partly offset by valuation allowances of $16.9 million. The deferred tax asset valuation allowances at August 31, 2024 and November 30, 2023 were primarily related to certain state net operating losses that had not met the “more likely than not” realization standard at those dates. Based on the evaluation of our deferred tax assets as of August 31, 2024, we determined that most of our deferred tax assets would be realized. Therefore, no adjustments to our deferred tax asset valuation allowance were needed for the nine months ended August 31, 2024.

We will continue to evaluate both the positive and negative evidence on a quarterly basis in determining the need for a valuation allowance with respect to our deferred tax assets. The accounting for deferred tax assets is based upon estimates

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of future results. Changes in positive and negative evidence, including differences between estimated and actual results, could result in changes in the valuation of our deferred tax assets that could have a material impact on our consolidated financial statements. Changes in existing federal and state tax laws and corporate income tax rates could also affect actual tax results and the realization of deferred tax assets over time.

Notes payable consisted of the following (in thousands):

			August 31, 2024						November 30, 2023
Senior unsecured term loan due August 25, 2026			$	358,659					$	358,156
6.875% Senior notes due June 15, 2027			298,432						298,062
4.80% Senior notes due November 15, 2029			297,840						297,572
7.25% Senior notes due July 15, 2030			346,453						346,101
4.00% Senior notes due June 15, 2031			386,527						386,199
Mortgages and land contracts due to land sellers and other loans			3,149						3,808
Total			$	1,691,060					$	1,689,898

The carrying amounts of our senior notes listed above are net of unamortized debt issuance costs, which totaled $12.1 million at August 31, 2024 and $13.9 million at November 30, 2023.

Unsecured Revolving Credit Facility. We have a $1.09 billion Credit Facility that will mature on February 18, 2027. The Credit Facility contains an uncommitted accordion feature under which its aggregate principal amount of available loans can be increased to a maximum of $1.29 billion under certain conditions, including obtaining additional bank commitments. The Credit Facility also contains a sublimit of $250.0 million for the issuance of letters of credit. Interest on amounts borrowed under the Credit Facility accrues at an adjusted term Secured Overnight Financing Rate (“SOFR”) or a base rate, plus a spread that depends on our consolidated leverage ratio (“Leverage Ratio”), as defined under the Credit Facility. Interest is payable quarterly (base rate) or each month or three months (adjusted term SOFR). The Credit Facility also requires the payment of a commitment fee at a per annum rate ranging from .15% to .35% of the unused commitment, based on our Leverage Ratio. Under the terms of the Credit Facility, we are required, among other things, to maintain compliance with various covenants, including financial covenants relating to our consolidated tangible net worth, Leverage Ratio, and either a consolidated interest coverage ratio (“Interest Coverage Ratio”) or minimum level of liquidity, each as defined therein. Our obligations to pay borrowings under the Credit Facility are guaranteed on a joint and several basis by our Guarantor Subsidiaries. The amount of the Credit Facility available for cash borrowings and the issuance of letters of credit depends on the total cash borrowings and letters of credit outstanding under the Credit Facility and the maximum available amount under the terms of the Credit Facility. As of August 31, 2024, we had no cash borrowings and $8.3 million of letters of credit outstanding under the Credit Facility. Therefore, as of August 31, 2024, we had $1.08 billion available for cash borrowings under the Credit Facility, with up to $241.7 million of that amount available for the issuance of letters of credit.

Senior Unsecured Term Loan. We have a $360.0 million Term Loan with the lenders party thereto. The Term Loan will mature on August 25, 2026, or earlier if we secure borrowings under the Credit Facility without similarly securing the Term Loan (subject to certain exceptions). Interest under the Term Loan accrues at an adjusted term SOFR or a base rate, plus a spread that depends on our Leverage Ratio. Interest is payable quarterly (base rate) or each month or three months (adjusted term SOFR). The Term Loan contains various covenants that are substantially the same as those under the Credit Facility. Proceeds drawn under the Term Loan are guaranteed on a joint and several basis by our Guarantor Subsidiaries. As of August 31, 2024, the weighted average annual interest rate on our outstanding borrowings under the Term Loan was 6.8%.

Letter of Credit Facility. We maintain an unsecured letter of credit agreement with a financial institution (“LOC Facility”) to obtain letters of credit from time to time in the ordinary course of operating our business. Under the LOC Facility, which expires on February 18, 2027, we may issue up to $75.0 million of letters of credit. As of August 31, 2024 and November 30, 2023, we had letters of credit outstanding under the LOC Facility of $70.6 million and $12.5 million, respectively.

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Senior Notes. All the senior notes outstanding at August 31, 2024 and November 30, 2023 represent senior unsecured obligations that are guaranteed by our Guarantor Subsidiaries and rank equally in right of payment with all of our and our Guarantor Subsidiaries’ existing unsecured and unsubordinated indebtedness. All of our senior notes were issued in underwritten public offerings. Interest on each of these senior notes is payable semi-annually.

The indenture governing our senior notes does not contain any financial covenants. Subject to specified exceptions, the indenture contains certain restrictive covenants that, among other things, limit our ability to incur secured indebtedness, or engage in sale and leaseback transactions involving property above a certain specified value. In addition, the indenture contains certain limitations related to mergers, consolidations, and sales of assets.

As of August 31, 2024, we were in compliance with all of our covenants and other requirements under the Credit Facility, the Term Loan, the senior notes, the indenture, the LOC Facility, and the mortgages and land contracts due to land sellers and other loans. Our ability to access the Credit Facility for cash borrowings and letters of credit and our ability to secure future debt financing depend, in part, on our ability to remain in such compliance. Our ability to access the Credit Facility’s full borrowing capacity, as well as the LOC Facility’s full issuance capacity, also depends on the ability and willingness of the applicable lenders and financial institutions, including any substitute or additional lenders and financial institutions, to meet their commitments to fund loans, extend credit or provide payment guarantees to or for us under those instruments.

Mortgages and Land Contracts Due to Land Sellers and Other Loans. As of August 31, 2024, inventories having a carrying value of $11.7 million were pledged to collateralize mortgages and land contracts due to land sellers and other loans.

Fair value measurements of assets and liabilities are categorized based on the following hierarchy:

Level 1						Fair value determined based on quoted prices in active markets for identical assets or liabilities.
Level 2						Fair value determined using significant observable inputs, such as quoted prices for similar assets or liabilities or quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the asset or liability, or inputs that are derived principally from or corroborated by observable market data, by correlation or other means.
Level 3						Fair value determined using significant unobservable inputs, such as pricing models, discounted cash flows, or similar techniques.

Fair value measurements are used for inventories on a nonrecurring basis when events and circumstances indicate that their carrying value is not recoverable. Our inventories are generally Level 3 assets. We had no inventories with carrying values that were adjusted to fair value during the nine months ended August 31, 2024 or the year ended November 30, 2023. See Note 7 – Inventory Impairments and Land Option Contract Abandonments for information regarding the valuation of these assets.

The following table presents the fair value hierarchy, carrying values and estimated fair values of our financial instruments, except those for which the carrying values approximate fair values (in thousands):

												August 31, 2024												November 30, 2023
Description						Fair Value Hierarchy						Carrying Value (a)						Estimated Fair Value						Carrying Value (a)						Estimated Fair Value
Financial Liabilities:
Senior notes						Level 2						$	1,329,252					$	1,321,538					$	1,327,934					$	1,260,725

(a)The carrying value for the senior notes, as presented, includes unamortized debt issuance costs. Debt issuance costs are not factored into the estimated fair values of these notes.

The fair values of our senior notes are generally estimated based on quoted market prices for these instruments. The carrying values reported for cash and cash equivalents, the Term Loan, and mortgages and land contracts due to land sellers

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Commitments and contingencies include typical obligations of homebuilders for the completion of contracts and those incurred in the ordinary course of business.

Warranty. We provide a limited warranty on all of our homes. The specific terms and conditions of our limited warranty program vary depending upon the markets in which we do business. We generally provide a structural warranty of 10 years, a warranty on electrical, heating, cooling, plumbing and certain other building systems each varying from two to five years based on geographic market and state law, and a warranty of one year for other components of the home. Our limited warranty program is ordinarily how we respond to and account for homeowners’ requests to local division offices seeking repairs of certain conditions or defects, including claims where we could have liability under applicable state statutes or tort law for a defective condition in or damages to a home. Our warranty liability covers our costs of repairs associated with homeowner claims made under our limited warranty program. These claims are generally made directly by a homeowner and involve their individual home.

We estimate the costs that may be incurred under each limited warranty and record a liability in the amount of such costs at the time the revenue associated with the sale of each home is recognized. Our primary assumption in estimating the amounts we accrue for warranty costs is that historical claims experience is a strong indicator of future claims experience. Factors that affect our warranty liability include the number of homes delivered, historical and anticipated rates of warranty claims, and cost per claim. We periodically assess the adequacy of our accrued warranty liability, which is included in accrued expenses and other liabilities in our consolidated balance sheets, and adjust the amount as necessary based on our assessment. Our assessment includes the review of our actual warranty costs incurred to identify trends and changes in our warranty claims experience, and considers our home construction quality and customer service initiatives and outside events. While we believe the warranty liability currently reflected in our consolidated balance sheets to be adequate, unanticipated changes or developments in the legal environment, local weather, land or environmental conditions, quality of materials or methods used in the construction of homes or customer service practices and/or our warranty claims experience could have a significant impact on our actual warranty costs in future periods and such amounts could differ significantly from our current estimates.

The changes in our warranty liability were as follows (in thousands):

			Three Months Ended August 31,												Nine Months Ended August 31,
			2024						2023						2024						2023
Balance at beginning of period			$	94,803					$	99,142					$	98,000					$	101,890
Warranties issued			9,731						9,354						27,596						27,997
Payments			(10,864)						(12,781)						(31,926)						(34,172)
Balance at end of period			$	93,670					$	95,715					$	93,670					$	95,715

Guarantees. In the normal course of our business, we issue certain representations, warranties and guarantees related to our home sales and land sales. Based on historical experience, we do not believe any potential liability with respect to these representations, warranties or guarantees would be material to our consolidated financial statements.

Self-Insurance. We maintain, and require the majority of our independent contractors to maintain, general liability insurance (including construction defect and bodily injury coverage) and workers’ compensation insurance. These insurance policies protect us against a portion of our risk of loss from claims related to our homebuilding activities, subject to certain self-insured retentions, deductibles and other coverage limits. We also maintain certain other insurance policies. Costs associated with our self-insurance programs are included in selling, general and administrative expenses. In Arizona, California, Colorado and Nevada, our contractors’ general liability insurance primarily takes the form of a wrap-up policy under a program where eligible independent contractors are enrolled as insureds on each community. Enrolled contractors generally contribute toward the cost of the insurance and agree to pay a contractual amount in the future if there is a claim related to their work. To the extent provided under the wrap-up program, we absorb the enrolled contractors’ general liability associated with the work performed on our homes within the applicable community as part of our overall general liability insurance and our self-insurance.

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We self-insure a portion of our overall risk through the use of a captive insurance subsidiary, which provides coverage for our exposure to construction defect, bodily injury and property damage claims and related litigation or regulatory actions, up to certain limits. Our self-insurance liability generally covers the costs of settlements and/or repairs, if any, as well as our costs to defend and resolve the following types of claims:

•Construction defect: Construction defect claims, which represent the largest component of our self-insurance liability, typically originate through a legal or regulatory process rather than directly by a homeowner and involve the alleged occurrence of a condition affecting two or more homes within the same community, or they involve a common area or homeowners’ association property within a community. These claims typically involve higher costs to resolve than individual homeowner warranty claims, and the rate of claims is highly variable.

•Bodily injury: Bodily injury claims typically involve individuals (other than our employees) who claim they were injured while on our property or as a result of our operations.

•Property damage: Property damage claims generally involve claims by third parties for alleged damage to real or personal property as a result of our operations. Such claims may occasionally include those made against us by owners of property located near our communities.

Our self-insurance liability at each reporting date represents the estimated costs of reported claims, claims incurred but not yet reported, and claim adjustment expenses. The amount of our self-insurance liability is based on an analysis performed by a third-party actuary that uses our historical claim and expense data, as well as industry data to estimate these overall costs. Key assumptions used in developing these estimates include claim frequencies, severities and resolution patterns, which can occur over an extended period of time. These estimates are subject to variability due to the length of time between the delivery of a home to a homebuyer and when a construction defect claim is made, and the ultimate resolution of such claim; uncertainties regarding such claims relative to our markets and the types of products we build; and legal or regulatory actions and/or interpretations, among other factors. Due to the degree of judgment involved and the potential for variability in these underlying assumptions, our actual future costs could differ from those estimated. In addition, changes in the frequency and severity of reported claims and the estimates to resolve claims can impact the trends and assumptions used in the actuarial analysis, which could be material to our consolidated financial statements. Though state regulations vary, construction defect claims are reported and resolved over a long period of time, which can extend for 10 years or more. As a result, the majority of the estimated self-insurance liability based on the actuarial analysis relates to claims incurred but not yet reported. Therefore, adjustments related to individual existing claims generally do not significantly impact the overall estimated liability. Adjustments to our liabilities related to homes delivered in prior years are recorded in the period in which a change in our estimate occurs.

Our self-insurance liability is presented on a gross basis for all periods without consideration of insurance recoveries and amounts we have paid on behalf of and expect to recover from other parties, if any. Estimated probable insurance and other recoveries of $23.1 million and $31.1 million are included in receivables in our consolidated balance sheets at August 31, 2024 and November 30, 2023, respectively. These self-insurance recoveries are principally based on actuarially determined amounts and depend on various factors, including, among other things, the above-described claim cost estimates, our insurance policy coverage limits for the applicable policy year(s), historical third-party recovery rates, insurance industry practices, the regulatory environment and legal precedent, and are subject to a high degree of variability from period to period. Because of the inherent uncertainty and variability in these assumptions, our actual insurance recoveries could differ significantly from amounts currently estimated.

The changes in our self-insurance liability were as follows (in thousands):

			Three Months Ended August 31,												Nine Months Ended August 31,
			2024						2023						2024						2023
Balance at beginning of period			$	173,029					$	172,223					$	179,832					$	175,977
Self-insurance provided			5,604						4,794						14,867						12,612
Payments			(3,206)						(4,277)						(14,686)						(13,411)
Adjustments (a)			(3,410)						1,259						(7,996)						(1,179)
Balance at end of period			$	172,017					$	173,999					$	172,017					$	173,999

(a)Represents net changes in estimated probable recoveries related to self-insurance, which are recorded in receivables, to present our self-insurance liability on a gross basis.

For most of our claims, there is no interaction between our warranty liability and self-insurance liability. Typically, if a matter is identified at its outset as either a warranty or self-insurance claim, it remains as such through its resolution.

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However, there can be instances of interaction between the liabilities, such as where individual homeowners in a community separately request warranty repairs to their homes to address a similar condition or issue and subsequently join together to initiate, or potentially initiate, a legal process with respect to that condition or issue and/or the repair work we have undertaken. In these instances, the claims and related repair work generally are initially covered by our warranty liability, and the costs associated with resolving the legal matter (including any additional repair work) are covered by our self-insurance liability.

The payments we make in connection with claims and related repair work, whether covered within our warranty liability and/or our self-insurance liability, may be recovered from our insurers to the extent such payments exceed the self-insured retentions or deductibles under our general liability insurance policies. Also, in certain instances, in the course of resolving a claim, we pay amounts in advance of and/or on behalf of an independent contractor(s) or their insurer(s) and believe we will be reimbursed for such payments. Estimates of all such amounts, if any, are recorded as receivables in our consolidated balance sheets when any such recovery is considered probable.

In addition to the risk that is effectively self-insured through our captive insurance subsidiary, we often obtain project-specific insurance coverage for construction defect risk on attached projects (e.g., condominiums or townhomes) with policy deductibles generally ranging from $50,000 to $250,000. We record estimated liabilities and recoveries for projected losses related to these projects on a gross basis, including for known claims as well as estimates for claims incurred but not yet reported, to the extent such amounts are considered probable and estimable.

Florida Chapter 558 Actions. We and certain of our trade partners continue to receive claims from attorneys on behalf of individual owners of our homes and/or homeowners’ associations that allege, pursuant to Chapter 558 of the Florida Statutes, various construction defects, with most relating to stucco and water-intrusion issues. The claims primarily involve homes in our Jacksonville, Orlando, and Tampa operations. Under Chapter 558, homeowners must serve written notice of a construction defect(s) and provide the served construction and/or design contractor(s) with an opportunity to respond to the noticed issue(s) before they can file a lawsuit. Although we have resolved many of these claims without litigation, and a number of others have been resolved with applicable trade partners or their insurers covering the related costs, as of August 31, 2024, we had approximately 452 outstanding noticed claims, and some are scheduled for trial over the next few quarters and beyond. In addition, some of our trade partners’ insurers in some of these cases have informed us of their inability to continue to pay claims-related costs. At August 31, 2024, we had an accrual for our estimated probable loss for these matters and a receivable for estimated probable insurance recoveries, including an estimate for claims incurred but not reported. While it is reasonably possible that our losses could exceed the amounts accrued and our recoveries could be less than the amounts recorded, at this time, we are unable to estimate the total amount of the loss in excess of the accrued amount and/or associated with a shortfall in the recoveries that is reasonably possible as each of these is dependent on several factors, including the extent of additional claims to be reported in future periods; the nature of any specific claims; our evaluation of the particular facts surrounding each such claim; and actions of third parties over which we have no control.

Performance Bonds and Letters of Credit. We are often required to provide to various municipalities and other government agencies performance bonds and/or letters of credit to secure the completion of our projects and/or in support of obligations to build community improvements such as roads, sewers, water systems and other utilities, and to support similar development activities by certain of our unconsolidated joint ventures. At August 31, 2024, we had $1.31 billion of performance bonds and $78.9 million of letters of credit outstanding. At November 30, 2023, we had $1.32 billion of performance bonds and $19.1 million of letters of credit outstanding. If any such performance bonds or letters of credit are called, we would be obligated to reimburse the issuer of the performance bond or letter of credit. We do not believe that a material amount of any currently outstanding performance bonds or letters of credit will be called. Performance bonds do not have stated expiration dates. Rather, we are released from the performance bonds as the underlying performance is completed. The expiration dates of some letters of credit issued in connection with community improvements coincide with the expected completion dates of the related projects or obligations. Most letters of credit, however, are issued with an initial term of one year and are typically extended on a year-to-year basis until the related performance obligations are completed.

Land Option Contracts and Other Similar Contracts. In the ordinary course of our business, we enter into land option contracts and other similar contracts to acquire rights to land for the construction of homes. At August 31, 2024, we had total cash deposits of $77.5 million to purchase land having an aggregate purchase price of $2.12 billion. Our land option contracts and other similar contracts generally do not contain provisions requiring our specific performance.

Civil Subpoena. On October 2, 2023, we received a subpoena from the U.S. Department of Justice Civil Division, dated September 27, 2023, to produce certain documents and testimony with respect to the inspection, rating, marketing and advertising of our ENERGY STAR homes, including our contracts and/or communications with U.S. Environmental

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Protection Agency and third-party ENERGY STAR rating companies, real estate brokers, real estate appraisers, financial institutions and other parties, as well as inspection-related guidelines, instructions, methods, policies, processes and procedures. We are cooperating with the government, producing documents and information. As of the date of this report, we are unable to predict what actions the government will take, if any; the timing or nature of the ultimate outcome in this matter; or the impact, if any, such outcome may have on our business or consolidated financial statements. As a result, while a loss or penalty, if any, is reasonably possible in this matter, it is not considered to be probable or estimable.

On February 28, 2024, the management development and compensation committee of our board of directors approved the payout of 519,636 shares of our common stock in connection with the vesting of PSUs that were granted to certain employees on October 8, 2020. The shares paid out under the PSUs reflected our achievement of certain performance measures that were based on cumulative earnings per share, average return on invested capital, and revenue growth relative to a peer group of high-production public homebuilding companies over the three-year period from December 1, 2020 through November 30, 2023. Of the shares of common stock paid out, 248,157 shares, or $15.9 million, were purchased by us in the 2024 first quarter to satisfy the recipients’ withholding taxes on the vesting of the PSUs. The shares purchased were not considered repurchases under the authorizations described below.

On March 21, 2023, our board of directors authorized us to repurchase up to $500.0 million of our outstanding common stock. As of November 30, 2023, there was $163.6 million of remaining availability under this share repurchase authorization. In the 2024 first quarter, we repurchased 826,663 shares of our common stock at a total cost of $50.0 million. On April 18, 2024, our board of directors authorized us to repurchase up to $1.00 billion of our outstanding common stock. This authorization replaced the prior board of directors authorization, which had $113.6 million remaining. In the 2024 second quarter, we repurchased 764,742 shares of our common stock at a total cost of $50.0 million. In the 2024 third quarter, we repurchased 1,869,292 shares of our common stock at a total cost of $150.0 million, bringing our total repurchases for the nine months ended August 31, 2024 to 3,460,697 shares of common stock at a total cost of $250.0 million. Repurchases under the authorization may occur periodically through open market purchases, privately negotiated transactions or otherwise, with the timing and amount at management’s discretion and dependent on market, business and other conditions. This share repurchase authorization will continue in effect until fully used or earlier terminated or suspended by our board of directors, and does not obligate us to purchase any shares. As of August 31, 2024, there was $800.0 million of remaining availability under this share repurchase authorization.

The Inflation Reduction Act of 2022, which was enacted into law on August 16, 2022, imposed a nondeductible 1% excise tax on the net value of certain stock repurchases made after December 31, 2022. In the three-month and nine-month

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periods ended August 31, 2024 and 2023, we reflected the applicable excise tax in treasury stock as part of the cost basis of the stock repurchased and recorded a corresponding liability for the excise taxes payable in accrued expenses and other liabilities on our consolidated balance sheet. All amounts presented in this report related to our share repurchases and our share repurchase authorization exclude such excise taxes, to the extent applicable, unless otherwise indicated.

In the 2024 second quarter, our board of directors approved a $.05 per share increase in the quarterly cash dividend on our common stock to $.25 per share. In the 2024 third quarter, our board of directors declared, and we paid, a quarterly cash dividend of $.25 per share. In the 2023 third quarter, our board of directors declared, and we paid, a quarterly cash dividend on our common stock of $.20 per share. Quarterly dividends declared and paid during the nine-month periods ended August 31, 2024 and 2023 totaled $.70 per share and $.50 per share, respectively.

Stock Options. At August 31, 2024 and November 30, 2023, we had 493,641 and 1,109,567 stock options outstanding with a weighted average exercise price of $16.05 and $15.50, respectively. We have not granted any stock option awards since 2016. During the nine months ended August 31, 2024, a total of 615,926 stock options with a weighted average exercise price of $15.05 were exercised. As of August 31, 2024, stock options outstanding and stock options exercisable each had a weighted average remaining contractual life of 2.0 years. As all outstanding stock options have been fully vested since 2019, there was no stock-based compensation expense associated with stock options for the three-month and nine-month periods ended August 31, 2024 and 2023. Stock options outstanding and stock options exercisable each had an aggregate intrinsic value of $33.4 million at August 31, 2024. (The intrinsic value of a stock option is the amount by which the market value of a share of the underlying common stock exceeds the exercise price of the stock option.)

Other Stock-Based Awards. From time to time, we grant restricted stock and PSUs to various employees as a compensation benefit. We recognized total compensation expense of $8.0 million and $9.2 million for the three months ended August 31, 2024 and 2023, respectively, related to restricted stock and PSUs. For the nine months ended August 31, 2024 and 2023, we recognized total compensation expense of $25.3 million and $23.9 million, respectively, related to restricted stock and PSUs.

The following are supplemental disclosures to the consolidated statements of cash flows (in thousands):

			Nine Months Ended August 31,
			2024						2023
Summary of cash and cash equivalents at end of period:
Homebuilding			$	374,911					$	612,076
Financial services			782						321
Total			$	375,693					$	612,397
Supplemental disclosures of cash flow information:
Interest paid, net of amounts capitalized			$	11,999					$	12,366
Income taxes paid			145,915						104,799
Supplemental disclosures of non-cash activities:
Inventories acquired through seller financing			3,149						2,891
Increase (decrease) in consolidated inventories not owned			4,616						(2,129)
Increase in inventories due to distributions of land and land development from an unconsolidated joint venture			7,753						7,569

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v3.24.3

Cover - shares	9 Months Ended
	Aug. 31, 2024	Nov. 30, 2023
Document Information [Line Items]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Aug. 31, 2024
Document Transition Report	false
Entity File Number	001-09195
Entity Registrant Name	KB HOME
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	95-3666267
Entity Address, Address Line One	10990 Wilshire Boulevard
Entity Address, City or Town	Los Angeles
Entity Address, State or Province	CA
Entity Address, Postal Zip Code	90024
City Area Code	310
Local Phone Number	231-4000
Title of 12(b) Security	Common Stock (par value $1.00 per share)
Trading Symbol	KBH
Security Exchange Name	NYSE
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock Shares Outstanding	73,334,477
Grantor Stock Ownership Trust (in shares)	6,705,247	6,705,247
Entity Central Index Key	0000795266
Amendment Flag	false
Current Fiscal Year End Date	--11-30
Document Fiscal Year Focus	2024
Document Fiscal Period Focus	Q3
Grantor Stock Ownership Trust
Document Information [Line Items]
Grantor Stock Ownership Trust (in shares)	6,705,247

v3.24.3

Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Aug. 31, 2024	Aug. 31, 2023	Aug. 31, 2024	Aug. 31, 2023
Revenues	$ 1,752,608	$ 1,587,011	$ 4,930,187	$ 4,736,641
Equity in income (loss) of unconsolidated joint ventures			22,654	9,975
Total pretax income	207,429	194,533	603,213	571,675
Income tax expense	(50,100)	(44,600)	(138,800)	(131,800)
Net income	$ 157,329	$ 149,933	$ 464,413	$ 439,875
Earnings per share:
Basic (in dollars per share)	$ 2.10	$ 1.86	$ 6.12	$ 5.34
Diluted (in dollars per share)	$ 2.04	$ 1.80	$ 5.94	$ 5.18
Weighted average shares outstanding:
Basic (in shares)	74,476	80,175	75,339	81,790
Diluted (in shares)	76,630	82,732	77,565	84,332
Homebuilding
Revenues	$ 1,745,979	$ 1,579,719	$ 4,909,189	$ 4,716,102
Construction and land costs	(1,385,563)	(1,240,380)	(3,874,193)	(3,709,759)
Selling, general and administrative expenses	(171,466)	(160,097)	(500,187)	(468,510)
Operating income	188,950	179,242	534,809	537,833
Other	4,073	5,492	29,379	7,688
Equity in income (loss) of unconsolidated joint ventures	3,453	(112)	3,232	(1,182)
Total pretax income	196,476	184,622	567,420	544,339
Financial services
Revenues	6,629	7,292	20,998	20,539
Selling, general and administrative expenses	(1,608)	(1,530)	(4,627)	(4,360)
Operating income	5,021	5,762	16,371	16,179
Equity in income (loss) of unconsolidated joint ventures	5,932	4,149	19,422	11,157
Total pretax income	$ 10,953	$ 9,911	$ 35,793	$ 27,336

v3.24.3

Consolidated Balance Sheets - USD ($) $ in Thousands		Aug. 31, 2024	Nov. 30, 2023
Assets
Inventories		$ 5,648,930	$ 5,133,646
Total assets		6,839,880	6,648,362
Liabilities and stockholders’ equity
Accrued expenses and other liabilities		757,928	758,227
Notes payable		1,691,060	1,689,898
Stockholders’ equity:
Common stock — 101,891,905 and 101,275,979 shares issued at August 31, 2024 and November 30, 2023, respectively		101,892	101,276
Paid-in capital		856,603	845,693
Retained earnings		4,087,800	3,676,924
Accumulated other comprehensive loss		(3,671)	(3,671)
Grantor stock ownership trust, at cost: 6,705,247 shares at August 31, 2024 and November 30, 2023		(72,718)	(72,718)
Treasury stock, at cost: 21,852,181 and 18,703,704 at August 31, 2024 and November 30, 2023, respectively		(982,812)	(737,364)
Total stockholders’ equity		3,987,094	3,810,140
Total liabilities and stockholders’ equity		6,839,880	6,648,362
Homebuilding
Assets
Cash and cash equivalents		374,911	727,076
Receivables		373,536	366,862
Inventories		5,648,930	5,133,646
Investments in unconsolidated joint ventures		62,984	59,128
Property and equipment, net		89,290	88,309
Deferred tax assets, net		113,775	119,475
Other assets		113,675	96,987
Total assets		6,777,101	6,591,483
Liabilities and stockholders’ equity
Accounts payable		401,768	388,452
Accrued expenses and other liabilities		757,928	758,227
Notes payable		1,691,060	1,689,898
Total Homebuilding		2,850,756	2,836,577
Financial services
Assets
Cash and cash equivalents		782	266
Receivables		3,655	2,783
Investments in unconsolidated joint ventures		19,743	19,354
Other assets	[1]	38,599	34,476
Total assets		62,779	56,879
Liabilities and stockholders’ equity
Financial services		$ 2,030	$ 1,645
[1] Other assets at August 31, 2024 and November 30, 2023 included $38.5 million and $34.4 million, respectively, of contract assets for estimated future renewal commissions.

v3.24.3

Consolidated Balance Sheets (Parenthetical) - shares	Aug. 31, 2024	Nov. 30, 2023
Statement of Financial Position [Abstract]
Common stock, shares, issued (in shares)	101,891,905	101,275,979
Grantor stock ownership trust (in shares)	6,705,247	6,705,247
Treasury stock (in shares)	21,852,181	18,703,704

v3.24.3

Consolidated Statements of Stockholders' Equity - USD ($) $ in Thousands	Total	Common Stock	Grantor Stock Ownership Trust	Treasury Stock	Paid-in Capital	Retained Earnings	Accumulated Other Comprehensive Loss
Number of shares, beginning balance (in shares) at Nov. 30, 2022		100,711,000	6,705,000
Treasury stock, beginning balance (in shares) at Nov. 30, 2022				(10,016,000)
Beginning balance at Nov. 30, 2022	$ 3,660,795	$ 100,711	$ (72,718)	$ (341,461)	$ 836,260	$ 3,143,578	$ (5,575)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	439,875					439,875
Dividends on common stock	(41,635)					(41,635)
Employee stock options/other (in shares)		548,000
Employee stock options/other	8,608	$ 548			8,060
Stock awards (in shares)				717,000
Stock awards	0			$ 24,883	(24,883)
Stock-based compensation	23,934				23,934
Stock repurchases, including excise tax (in shares)				(5,659,000)
Stock repurchases, including excise tax	(251,701)			$ (251,701)
Tax payments associated with stock-based compensation awards (in shares)				(277,000)
Tax payments associated with stock-based compensation awards	(9,748)			$ (9,748)
Number of shares, ending balance (in shares) at Aug. 31, 2023		101,259,000	6,705,000
Treasury stock, ending balance (in shares) at Aug. 31, 2023				(15,235,000)
Ending balance at Aug. 31, 2023	3,830,128	$ 101,259	$ (72,718)	$ (578,027)	843,371	3,541,818	(5,575)
Number of shares, beginning balance (in shares) at May. 31, 2023		101,019,000	6,705,000
Treasury stock, beginning balance (in shares) at May. 31, 2023				(13,704,000)
Beginning balance at May. 31, 2023	3,766,482	$ 101,019	$ (72,718)	$ (494,822)	830,765	3,407,813	(5,575)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	149,933					149,933
Dividends on common stock	(15,928)					(15,928)
Employee stock options/other (in shares)		240,000
Employee stock options/other	3,598	$ 240			3,358
Stock-based compensation	9,248				9,248
Stock repurchases, including excise tax (in shares)				(1,531,000)
Stock repurchases, including excise tax	(83,205)			$ (83,205)
Number of shares, ending balance (in shares) at Aug. 31, 2023		101,259,000	6,705,000
Treasury stock, ending balance (in shares) at Aug. 31, 2023				(15,235,000)
Ending balance at Aug. 31, 2023	$ 3,830,128	$ 101,259	$ (72,718)	$ (578,027)	843,371	3,541,818	(5,575)
Number of shares, beginning balance (in shares) at Nov. 30, 2023		101,276,000	6,705,000
Treasury stock, beginning balance (in shares) at Nov. 30, 2023	(18,703,704)			(18,704,000)
Beginning balance at Nov. 30, 2023	$ 3,810,140	$ 101,276	$ (72,718)	$ (737,364)	845,693	3,676,924	(3,671)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	464,413					464,413
Dividends on common stock	$ (53,537)					(53,537)
Employee stock options/other (in shares)	615,926	616,000
Employee stock options/other	$ 9,272	$ 616			8,656
Stock awards (in shares)				571,000
Stock awards	0			$ 22,998	(22,998)
Stock-based compensation	$ 25,252				25,252
Stock repurchases, including excise tax (in shares)	(3,460,697)			(3,461,000)
Stock repurchases, including excise tax	$ (251,941)			$ (251,941)
Tax payments associated with stock-based compensation awards (in shares)				(258,000)
Tax payments associated with stock-based compensation awards	$ (16,505)			$ (16,505)
Number of shares, ending balance (in shares) at Aug. 31, 2024		101,892,000	6,705,000
Treasury stock, ending balance (in shares) at Aug. 31, 2024	(21,852,181)			(21,852,000)
Ending balance at Aug. 31, 2024	$ 3,987,094	$ 101,892	$ (72,718)	$ (982,812)	856,603	4,087,800	(3,671)
Number of shares, beginning balance (in shares) at May. 31, 2024		101,892,000	6,705,000
Treasury stock, beginning balance (in shares) at May. 31, 2024				(19,983,000)
Beginning balance at May. 31, 2024	3,991,704	$ 101,892	$ (72,718)	$ (831,312)	848,635	3,948,878	(3,671)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	157,329					157,329
Dividends on common stock	(18,407)					(18,407)
Stock-based compensation	7,968				7,968
Stock repurchases, including excise tax (in shares)				(1,869,000)
Stock repurchases, including excise tax	$ (151,500)			$ (151,500)
Number of shares, ending balance (in shares) at Aug. 31, 2024		101,892,000	6,705,000
Treasury stock, ending balance (in shares) at Aug. 31, 2024	(21,852,181)			(21,852,000)
Ending balance at Aug. 31, 2024	$ 3,987,094	$ 101,892	$ (72,718)	$ (982,812)	$ 856,603	$ 4,087,800	$ (3,671)

v3.24.3

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	9 Months Ended
	Aug. 31, 2024	Aug. 31, 2023
Cash flows from operating activities:
Net income	$ 464,413	$ 439,875
Adjustments to reconcile net income to net cash provided by operating activities:
Equity in income of unconsolidated joint ventures	(22,654)	(9,975)
Distributions of earnings from unconsolidated joint ventures	21,275	12,172
Amortization of debt issuance costs and premiums	2,602	2,525
Depreciation and amortization	28,259	26,986
Deferred income taxes	5,700	14,900
Gain on sale of investment	(12,516)	0
Stock-based compensation	25,252	23,934
Inventory impairments and land option contract abandonments	3,685	10,207
Changes in assets and liabilities:
Receivables	6,205	(1,581)
Inventories	(504,436)	355,280
Accounts payable, accrued expenses and other liabilities	(14,405)	(100,486)
Other, net	(3,299)	(1,314)
Net cash provided by operating activities	81	772,523
Cash flows from investing activities:
Contributions to unconsolidated joint ventures	(12,611)	(23,461)
Return of investments in unconsolidated joint ventures	1,992	5,100
Proceeds from sale of investment	1,709	0
Purchases of property and equipment, net	(29,228)	(26,412)
Net cash used in investing activities	(38,138)	(44,773)
Cash flows from financing activities:
Borrowings under revolving credit facility	0	170,000
Repayments under revolving credit facility	0	(320,000)
Payments on mortgages and land contracts due to land sellers and other loans	(2,822)	(3,188)
Issuance of common stock under employee stock plans	9,272	8,608
Stock repurchases	(250,000)	(249,588)
Tax payments associated with stock-based compensation awards	(16,505)	(9,748)
Payments of cash dividends	(53,537)	(41,635)
Net cash used in financing activities	(313,592)	(445,551)
Net increase (decrease) in cash and cash equivalents	(351,649)	282,199
Cash and cash equivalents at beginning of period	727,342	330,198
Cash and cash equivalents at end of period	$ 375,693	$ 612,397

v3.24.3

Basis of Presentation and Significant Accounting Policies	9 Months Ended
	Aug. 31, 2024
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Presentation and Significant Accounting Policies	Basis of Presentation and Significant Accounting Policies Basis of Presentation. The accompanying unaudited consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) for interim financial information and the rules and regulations of the Securities and Exchange Commission (“SEC”). Accordingly, they do not include all the information and footnotes required by GAAP for complete financial statements. These unaudited consolidated financial statements should be read in conjunction with the audited consolidated financial statements for the year ended November 30, 2023, which are contained in our Annual Report on Form 10-K for that period. The consolidated balance sheet at November 30, 2023 has been taken from the audited consolidated financial statements as of that date. In the opinion of management, the accompanying unaudited consolidated financial statements contain all adjustments (consisting of normal recurring adjustments) considered necessary for the fair presentation of our results for the interim periods presented. The results of our consolidated operations for the three months and nine months ended August 31, 2024 are not necessarily indicative of the results to be expected for the full year due to seasonal variations in operating results and other factors. Unless the context indicates otherwise, the terms “we,” “our,” and “us” used in this report refer to KB Home, a Delaware corporation, and its subsidiaries. Use of Estimates. The preparation of financial statements in conformity with GAAP requires management to make estimates and judgments that affect the amounts reported in the consolidated financial statements and accompanying notes. Actual results could differ from those estimates. Cash and Cash Equivalents. We consider all highly liquid short-term investments purchased with an original maturity of three months or less to be cash equivalents. Our cash equivalents totaled $218.9 million at August 31, 2024 and $508.2 million at November 30, 2023. At August 31, 2024 and November 30, 2023, our cash equivalents were mainly invested in interest-bearing bank deposit accounts and money market funds. Comprehensive Income. Our comprehensive income was $157.3 million for the three months ended August 31, 2024 and $149.9 million for the three months ended August 31, 2023. For the nine months ended August 31, 2024 and 2023, our comprehensive income was $464.4 million and $439.9 million, respectively. Our comprehensive income for each of the three-month and nine-month periods ended August 31, 2024 and 2023 was equal to our net income for the respective periods. Recent Accounting Pronouncements Not Yet Adopted. In November 2023, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update No. 2023-07, “Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures” (“ASU 2023-07”), which is intended to improve reportable segment disclosure requirements, primarily through enhanced disclosures about significant segment expenses. The guidance is effective for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024. Early adoption is permitted. ASU 2023-07 is to be applied retrospectively to all prior periods presented in the financial statements. Upon transition, the segment expense categories and amounts disclosed in the prior periods should be based on the significant segment expense categories identified and disclosed in the period of adoption. We are currently evaluating the potential impact of adopting this new guidance on our consolidated financial statements and related disclosures. In December 2023, the FASB issued Accounting Standards Update No. 2023-09, “Income Taxes (Topic 740): Improvements to Income Tax Disclosures” (“ASU 2023-09”), which modifies the rules on income tax disclosures to require entities to disclose (1) specific categories in the rate reconciliation, (2) the income or loss from continuing operations before income tax expense or benefit (separated between domestic and foreign) and (3) income tax expense or benefit from continuing operations (separated by federal, state and foreign). ASU 2023-09 also requires entities to disclose their income tax payments to international, federal, state and local jurisdictions, among other changes. The guidance is effective for annual periods beginning after December 15, 2024. Early adoption is permitted for annual financial statements that have not yet been issued or made available for issuance. ASU 2023-09 should be applied on a prospective basis, but retrospective application is permitted. We are currently evaluating the potential impact of adopting this new guidance on our consolidated financial statements and related disclosures.

v3.24.3

Segment Information	9 Months Ended
	Aug. 31, 2024
Segment Reporting [Abstract]
Segment Information	Segment Information We have identified five operating reporting segments, comprised of four homebuilding reporting segments and one financial services reporting segment. As of August 31, 2024, our homebuilding reporting segments conducted ongoing operations in the following states: West Coast: California, Idaho and Washington Southwest: Arizona and Nevada Central: Colorado and Texas Southeast: Florida and North Carolina Our homebuilding reporting segments are engaged in the acquisition and development of land primarily for residential purposes and offer a wide variety of homes that are designed to appeal to first-time, first move-up and active adult homebuyers. Our homebuilding operations generate most of their revenues from the delivery of completed homes to homebuyers. They also earn revenues from the sale of land. Our financial services reporting segment offers property and casualty insurance and, in certain instances, earthquake, flood and personal property insurance to our homebuyers in the same markets as our homebuilding reporting segments, and provides title services in the majority of our markets located within our Southwest, Central and Southeast homebuilding reporting segments. Our financial services reporting segment earns revenues primarily from insurance commissions and from the provision of title services. We offer mortgage banking services, including residential consumer mortgage loan (“mortgage loan”) originations, to our homebuyers indirectly through KBHS Home Loans, LLC (“KBHS”), our unconsolidated joint venture with GR Alliance Ventures, LLC (“GR Alliance”), a subsidiary of Guaranteed Rate, Inc. We and GR Alliance each have a 50.0% ownership interest, with GR Alliance providing management oversight of KBHS’ operations. Our reporting segments follow the same accounting policies used for our consolidated financial statements. The results of each reporting segment are not necessarily indicative of the results that would have occurred had the segment been an independent, stand-alone entity during the periods presented, nor are they indicative of the results to be expected in future periods. The following tables present financial information relating to our homebuilding reporting segments (in thousands):   Three Months Ended August 31, Nine Months Ended August 31,   2024 2023 2024 2023 Revenues: West Coast $ 760,617  $ 506,802  $ 2,017,336  $ 1,611,171  Southwest 312,812  306,284  954,602  881,699  Central 372,862  506,640  1,069,136  1,441,805  Southeast 299,688  259,993  868,115  781,427  Total $ 1,745,979  $ 1,579,719  $ 4,909,189  $ 4,716,102  Pretax income (loss): West Coast $ 99,222  $ 55,034  $ 252,099  $ 169,683  Southwest 54,826  46,193  165,302  147,341  Central 43,304  75,421  128,446  213,239  Southeast 33,003  38,495  103,827  110,951  Corporate and other (33,879) (30,521) (82,254) (96,875) Total $ 196,476  $ 184,622  $ 567,420  $ 544,339    Three Months Ended August 31, Nine Months Ended August 31,   2024 2023 2024 2023 Inventory impairment and land option contract abandonment charges: West Coast $ 496  $ 400  $ 2,441  $ 4,348  Southwest —  —  116  —  Central 469  231  725  2,310  Southeast 212  —  403  3,549  Total $ 1,177  $ 631  $ 3,685  $ 10,207  August 31, 2024 November 30, 2023 Assets: West Coast $ 3,117,670  $ 2,638,455  Southwest 962,585  908,578  Central 1,068,714  1,158,949  Southeast 1,041,912  939,997  Corporate and other 586,220  945,504  Total $ 6,777,101  $ 6,591,483

v3.24.3

Financial Services	9 Months Ended
	Aug. 31, 2024
Segment Reporting [Abstract]
Financial Services	Financial Services The following tables present financial information relating to our financial services reporting segment (in thousands):   Three Months Ended August 31, Nine Months Ended August 31,   2024 2023 2024 2023 Revenues Insurance commissions $ 3,691  $ 4,153  $ 12,685  $ 11,537  Title services 2,938  3,139  8,313  9,002  Total 6,629  7,292  20,998  20,539  Expenses General and administrative (1,608) (1,530) (4,627) (4,360) Operating income 5,021  5,762  16,371  16,179  Equity in income of unconsolidated joint venture 5,932  4,149  19,422  11,157  Pretax income $ 10,953  $ 9,911  $ 35,793  $ 27,336  August 31, 2024 November 30, 2023 Assets Cash and cash equivalents $ 782  $ 266  Receivables 3,655  2,783  Investment in unconsolidated joint venture 19,743  19,354  Other assets (a) 38,599  34,476  Total assets $ 62,779  $ 56,879  August 31, 2024 November 30, 2023 Liabilities Accounts payable and accrued expenses $ 2,030  $ 1,645  Total liabilities $ 2,030  $ 1,645  (a)Other assets at August 31, 2024 and November 30, 2023 included $38.5 million and $34.4 million, respectively, of contract assets for estimated future renewal commissions.

v3.24.3

Earnings Per Share	9 Months Ended
	Aug. 31, 2024
Earnings Per Share [Abstract]
Earnings Per Share	Earnings Per Share Basic and diluted earnings per share were calculated as follows (in thousands, except per share amounts): Three Months Ended August 31, Nine Months Ended August 31,   2024 2023 2024 2023 Numerator: Net income $ 157,329  $ 149,933  $ 464,413  $ 439,875  Less: Distributed earnings allocated to participating securities (143) (120) (406) (295) Less: Undistributed earnings allocated to participating securities (1,062) (998) (3,137) (2,851) Numerator for basic earnings per share 156,124  148,815  460,870  436,729  Effect of dilutive securities: Add: Undistributed earnings allocated to participating securities 1,062  998  3,137  2,851  Less: Undistributed earnings reallocated to participating securities (1,032) (967) (3,047) (2,766) Numerator for diluted earnings per share $ 156,154  $ 148,846  $ 460,960  $ 436,814  Denominator: Weighted average shares outstanding — basic 74,476  80,175  75,339  81,790  Effect of dilutive securities: Share-based payments 2,154  2,557  2,226  2,542  Weighted average shares outstanding — diluted 76,630  82,732  77,565  84,332  Basic earnings per share $ 2.10  $ 1.86  $ 6.12  $ 5.34  Diluted earnings per share $ 2.04  $ 1.80  $ 5.94  $ 5.18  We compute earnings per share using the two-class method, which is an allocation of earnings between the holders of common stock and a company’s participating security holders. Our outstanding nonvested shares of restricted stock contain non-forfeitable rights to dividends and, therefore, are considered participating securities for purposes of computing earnings per share pursuant to the two-class method. We had no other participating securities during the three-month and nine-month periods ended August 31, 2024 and 2023. For the three-month and nine-month periods ended August 31, 2024 and 2023, no outstanding stock options were excluded from the diluted earnings per share calculations. Contingently issuable shares associated with outstanding performance-based restricted stock units (each, a “PSU”) were not included in the basic earnings per share calculations for the periods presented, as the applicable vesting conditions had not been satisfied.

v3.24.3

Receivables	9 Months Ended
	Aug. 31, 2024
Receivables [Abstract]
Receivables	Receivables Receivables consisted of the following (in thousands):   August 31, 2024 November 30, 2023 Due from utility companies, improvement districts and municipalities $ 184,855  $ 197,102  Recoveries related to self-insurance and other legal claims 120,820  107,065  Refundable deposits and bonds 12,089  13,292  Income taxes receivable 10,626  —  Other 49,502  53,615  Subtotal 377,892  371,074  Allowance for doubtful accounts (4,356) (4,212) Total $ 373,536  $ 366,862

v3.24.3

Inventories	9 Months Ended
	Aug. 31, 2024
Inventory Disclosure [Abstract]
Inventories	Inventories Inventories consisted of the following (in thousands): August 31, 2024 November 30, 2023 Homes completed or under construction $ 2,316,960  $ 2,106,149  Land under development 3,331,970  3,027,497  Total $ 5,648,930  $ 5,133,646  Land under development at August 31, 2024 and November 30, 2023 included land held for future development of $10.5 million and $17.0 million, respectively. Interest is capitalized to inventories while the related communities or land parcels are being actively developed and until homes are completed or the land is available for immediate sale. Capitalized interest is amortized to construction and land costs as the related inventories are delivered to homebuyers or land buyers (as applicable). In the case of land held for future development and land held for sale, applicable interest is expensed as incurred. Our interest costs were as follows (in thousands):   Three Months Ended August 31, Nine Months Ended August 31,   2024 2023 2024 2023 Capitalized interest at beginning of period $ 131,765  $ 141,225  $ 134,375  $ 145,494  Interest incurred 26,583  26,810  79,665  80,609  Interest amortized to construction and land costs (a) (28,180) (29,305) (83,872) (87,373) Capitalized interest at end of period $ 130,168  $ 138,730  $ 130,168  $ 138,730  (a)Interest amortized to construction and land costs for the nine-month period ended August 31, 2024 and the three-month and nine-month periods ended August 31, 2023 included $.2 million related to land sales. There was no interest amortized to construction and land costs related to land sales for the three-month period ended August 31, 2024.

v3.24.3

Inventory Impairments and Land Option Contract Abandonments	9 Months Ended
	Aug. 31, 2024
Inventory Impairments and Land Option Contract Abandonments [Abstract]
Inventory Impairments and Land Option Contract Abandonments	Inventory Impairments and Land Option Contract Abandonments Each community or land parcel in our owned inventory is assessed on a quarterly basis to determine if indicators of potential impairment exist. We record an inventory impairment charge on a community or land parcel that is active or held for future development when indicators of potential impairment exist and the carrying value of the real estate asset is greater than the undiscounted future net cash flows the asset is expected to generate. These real estate assets are written down to fair value, which is primarily determined based on the estimated future net cash flows discounted for inherent risk associated with each such asset, or other valuation techniques. We record an inventory impairment charge on land held for sale when the carrying value of a land parcel is greater than its fair value. These real estate assets are written down to fair value, less associated costs to sell. The estimated fair values of such assets are generally based on bona fide letters of intent from outside parties, executed sales contracts, broker quotes or similar information. We evaluated six active communities or land parcels for recoverability as of August 31, 2024 with a carrying value of $121.0 million. As of November 30, 2023, we evaluated five active communities or land parcels for recoverability with a carrying value of $89.3 million. In addition, we evaluated land held for future development for recoverability as of both August 31, 2024 and November 30, 2023. Based on the results of our evaluations, we recognized no inventory impairment charges for the three-month and nine-month periods ended August 31, 2024 and 2023. As of August 31, 2024, the aggregate carrying value of our inventory that had been impacted by previous inventory impairment charges was $48.4 million, representing five communities and various other land parcels. As of November 30, 2023, the aggregate carrying value of our inventory that had been impacted by previous inventory impairment charges was $73.9 million, representing five communities and various other land parcels. Our inventory controlled under land option contracts and other similar contracts is assessed on a quarterly basis to determine whether it continues to meet our investment return standards. When a decision is made not to exercise certain land option contracts and other similar contracts due to market conditions and/or changes in our marketing strategy, we write off the related inventory costs, including non-refundable deposits and unrecoverable pre-acquisition costs. Based on the results of our assessments, we recognized land option contract abandonment charges of $1.2 million and $3.7 million for the three-month and nine-month periods ended August 31, 2024, respectively. For the three-month and nine-month periods ended August 31, 2023, we recognized land option contract abandonment charges of $.6 million and $10.2 million, respectively. Due to the judgment and assumptions applied in our inventory impairment and land option contract abandonment assessment processes, and in our estimations of the remaining operating lives of our inventory assets and the realization of our inventory balances, particularly as to land held for future development, it is possible that actual results could differ substantially from those estimated.

v3.24.3

Variable Interest Entities	9 Months Ended
	Aug. 31, 2024
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Variable Interest Entities	Variable Interest Entities Unconsolidated Joint Ventures. We participate in joint ventures from time to time that conduct land acquisition, land development and/or other homebuilding activities in various markets where our homebuilding operations are located. Our investments in these joint ventures may create a variable interest in a variable interest entity (“VIE”), depending on the contractual terms of the arrangement. We analyze our joint ventures under the variable interest model to determine whether they are VIEs and, if so, whether we are the primary beneficiary. Based on our analyses, we determined that one of our joint ventures at August 31, 2024 and November 30, 2023 was a VIE, but we were not the primary beneficiary of the VIE. Therefore, all of our joint ventures at August 31, 2024 and November 30, 2023 were unconsolidated and accounted for under the equity method because we did not have a controlling financial interest. Land Option Contracts and Other Similar Contracts. In the ordinary course of our business, we enter into land option contracts and other similar contracts with third parties and unconsolidated entities to acquire rights to land for the construction of homes. Under these contracts, we typically make a specified option payment or earnest money deposit in consideration for the right to purchase land in the future, usually at a predetermined price. We analyze each of our land option contracts and other similar contracts under the variable interest model to determine whether the land seller is a VIE and, if so, whether we are the primary beneficiary. Although we do not have legal title to the underlying land, we are required to consolidate a VIE if we are the primary beneficiary. As a result of our analyses, we determined that as of August 31, 2024 and November 30, 2023, we were not the primary beneficiary of any VIEs from which we have acquired rights to land under land option contracts and other similar contracts. The following table presents a summary of our interests in land option contracts and other similar contracts (in thousands): August 31, 2024 November 30, 2023 Cash Deposits Aggregate Purchase Price Cash Deposits Aggregate Purchase Price Unconsolidated VIEs $ 49,649  $ 1,397,800  $ 21,554  $ 727,620  Other land option contracts and other similar contracts 27,809  724,273  23,464  540,912  Total $ 77,458  $ 2,122,073  $ 45,018  $ 1,268,532  In addition to the cash deposits presented in the table above, our exposure to loss related to our land option contracts and other similar contracts with third parties and unconsolidated entities consisted of pre-acquisition costs of $26.0 million at August 31, 2024 and $18.5 million at November 30, 2023. These pre-acquisition costs and cash deposits were included in inventories in our consolidated balance sheets. For land option contracts and other similar contracts where the land seller entity is not required to be consolidated under the variable interest model, we consider whether such contracts should be accounted for as financing arrangements. Land option contracts and other similar contracts that may be considered financing arrangements include those we enter into with third-party land financiers or developers in conjunction with such third parties acquiring a specific land parcel(s) on our behalf, at our direction, and those with other landowners where we or our designee make improvements to the optioned land parcel(s) during the applicable option period. For these land option contracts and other similar contracts, we record the remaining purchase price of the associated land parcel(s) in inventories in our consolidated balance sheets with a corresponding financing obligation if we determine that we are effectively compelled to exercise the option to purchase the land parcel(s). As a result of our evaluations of land option contracts and other similar contracts for financing arrangements, we recorded inventories in our consolidated balance sheets, with a corresponding increase to accrued expenses and other liabilities, of $26.1 million at August 31, 2024 and $21.5 million at November 30, 2023.

v3.24.3

Investments in Unconsolidated Joint Ventures	9 Months Ended
	Aug. 31, 2024
Equity Method Investments and Joint Ventures [Abstract]
Investments in Unconsolidated Joint Ventures	Investments in Unconsolidated Joint Ventures Homebuilding. We have investments in unconsolidated joint ventures that conduct land acquisition, land development and/or other homebuilding activities in various markets where our homebuilding operations are located. We and our unconsolidated joint venture partners make initial and/or ongoing capital contributions to these unconsolidated joint ventures, typically on a pro rata basis, according to our respective equity interests. The obligations to make capital contributions are governed by each such unconsolidated joint venture’s respective operating agreement and related governing documents. We had investments in six homebuilding unconsolidated joint ventures as of August 31, 2024 and November 30, 2023. The following table presents combined condensed information from the statements of operations for our homebuilding unconsolidated joint ventures (in thousands):   Three Months Ended August 31, Nine Months Ended August 31,   2024 2023 2024 2023 Revenues $ 32,241  $ —  $ 37,539  $ 1,171  Construction and land costs (23,580) —  (27,404) (686) Other expense, net (1,694) (193) (3,541) (2,603) Income (loss) $ 6,967  $ (193) $ 6,594  $ (2,118) The combined revenues and construction and land costs for the three-month and nine-month periods ended August 31, 2024 primarily related to homes delivered by an unconsolidated joint venture in California. In the three-month and nine-month periods ended August 31, 2023, our unconsolidated joint ventures did not deliver any homes. The following table presents combined condensed balance sheet information for our homebuilding unconsolidated joint ventures (in thousands): August 31, 2024 November 30, 2023 Assets Cash $ 15,860  $ 16,260  Receivables 2,894  3,437  Inventories 162,392  152,456  Other assets 1,174  679  Total assets $ 182,320  $ 172,832  Liabilities and equity Accounts payable and other liabilities $ 7,444  $ 9,632  Notes payable (a) 56,361  53,386  Equity 118,515  109,814  Total liabilities and equity $ 182,320  $ 172,832  (a)    As of both August 31, 2024 and November 30, 2023, one of our unconsolidated joint ventures had borrowings outstanding under a revolving line of credit it entered into with a third-party lender in April 2022 to finance its land acquisition, development and construction activities. In April 2024, the revolving line of credit was amended, increasing the aggregate commitment to $70.0 million from $62.0 million, with the amount of all advances through October 2024 not to exceed $80.0 million. Principal repayments are made as homes are delivered, which began in May 2024. Pursuant to the amendment, the revolving line of credit will convert to a term loan and the aggregate commitment will be reduced to $55.0 million effective October 31, 2024, and then to $25.0 million by April 30, 2025. Borrowings under the line of credit are secured by the underlying property and related project assets. The line of credit is scheduled to mature on April 19, 2026, unless extended or terminated pursuant to its applicable terms. None of our other unconsolidated joint ventures had outstanding debt at August 31, 2024 or November 30, 2023. We provide certain guarantees and indemnities to the lender in connection with the above-described revolving line of credit, including a guaranty of interest and carry costs; a guaranty to complete the construction of phases of the improvements for the project as such phases are commenced; a guaranty against losses suffered due to certain bad acts or failures to act by the unconsolidated joint venture or its partners; and an indemnity from environmental issues. Except to the extent related to the foregoing guarantees and indemnities, we do not have a guaranty or any other obligation to repay borrowings under the line of credit or to support the value of the underlying collateral. However, various financial and non-financial covenants apply under the line of credit and with respect to the related guaranty and indemnity obligations, and a failure to comply with such covenants could result in a default and cause the lender to seek to enforce such guaranty and indemnity obligations. As of the date of this report, we were in compliance with the relevant covenants. We do not believe that our existing exposure under our guaranty and indemnity obligations related to outstanding borrowings under the line of credit is material to our consolidated financial statements. Financial Services. The following table presents combined condensed information from the statements of operations for our financial services unconsolidated joint venture (in thousands):   Three Months Ended August 31, Nine Months Ended August 31,   2024 2023 2024 2023 Revenues $ 31,615  $ 26,000  $ 93,485  $ 74,640  Expenses (19,751) (17,701) (54,641) (52,325) Income $ 11,864  $ 8,299  $ 38,844  $ 22,315  Revenues are primarily generated from fees earned on mortgage loan originations, interest earned for the period loans are held by KBHS, and gains on the sales of mortgage loans held for sale. Gains on the sales of mortgage loans held for sale include the realized and unrealized gains and losses associated with changes in the fair value of such loans and any related derivative financial instruments. The following table presents combined condensed balance sheet information for our financial services unconsolidated joint venture (in thousands): August 31, 2024 November 30, 2023 Assets Cash and cash equivalents $ 25,517  $ 29,163  Mortgage loans held for sale 192,267  164,252  Other assets 22,598  18,380  Total assets $ 240,382  $ 211,795  Liabilities and equity Accounts payable and other liabilities $ 15,024  $ 13,763  Funding facilities 185,872  159,324  Equity 39,486  38,708  Total liabilities and equity $ 240,382  $ 211,795  Mortgage loans held for sale. Originated mortgage loans expected to be sold into the secondary market in the foreseeable future are reported as mortgage loans held for sale and carried in KBHS’ balance sheets at fair value, with changes in fair value recognized within revenues in KBHS’ statements of operations. Interest Rate Lock Commitments (“IRLCs”). KBHS enters into IRLCs in connection with originating certain mortgage loans held for sale, at specified interest rates and within a specified period of time, with customers who have applied for a mortgage loan and meet certain credit and underwriting criteria. KBHS accounts for IRLCs as free-standing derivatives and does not designate any for hedge accounting. As a result, IRLCs are recognized in KBHS’ balance sheets at fair value, and gains or losses resulting from changes in fair value are recognized within revenues in KBHS’ statements of operations. The fair value of IRLCs is based on market prices, which includes an estimate of the fair value of the associated mortgage servicing rights, adjusted for estimated costs to originate the underlying mortgage loans as well as the probability that the mortgage loans will fund within the terms of the IRLCs. The fair value of IRLCs included in other assets in KBHS’ balance sheets was $17.6 million at August 31, 2024 and $13.9 million at November 30, 2023. The changes in the fair value of IRLCs, which were reported in revenues for the applicable periods, were a loss of $.4 million for the three months ended August 31, 2024, a gain of $3.8 million for the nine months ended August 31, 2024, and losses of $5.2 million and $9.4 million for the three-month and nine-month periods ended August 31, 2023, respectively. KBHS manages the interest rate and price risk associated with its outstanding IRLCs by entering into best efforts forward sale commitments under which mortgage loans locked with a borrower are simultaneously committed to a secondary market investor at a fixed price, subject to the underlying mortgage loans being funded. These best efforts forward sale commitments do not meet the definition of derivative financial instruments and are therefore not recorded in KBHS’ balance sheets. If the mortgage loans underlying the IRLCs do not fund, KBHS has no obligation to fulfill the secondary market investor commitments. Funding facilities. KBHS maintains warehouse lines of credit and master repurchase agreements with various financial institutions to fund its originated mortgage loans, with its mortgage loans held for sale pledged as collateral under these agreements. The agreements contain covenants which include certain financial requirements, including maintenance of minimum tangible net worth, minimum liquid assets, maximum debt to net worth ratio and positive net income, as defined in the agreements. KBHS was in compliance with these covenants as of August 31, 2024. In addition to its compliance with these covenants, KBHS also depends on the ability and willingness of the applicable lenders and financial institutions to extend such credit facilities to KBHS to fund its originated mortgage loans. KBHS intends to renew these facilities when they expire at various dates in 2024 and 2025. The warehouse lines of credit and master repurchase agreements are not guaranteed by us or any of the subsidiaries that guarantee our senior notes, unsecured revolving credit facility with various banks (“Credit Facility”) and senior unsecured term loan agreement (“Term Loan”), (collectively, “Guarantor Subsidiaries”).

v3.24.3

Other Assets	9 Months Ended
	Aug. 31, 2024
Other Assets [Abstract]
Other Assets	Other Assets Other assets consisted of the following (in thousands): August 31, 2024 November 30, 2023 Cash surrender value of corporate-owned life insurance contracts $ 52,442  $ 53,079  Prepaid expenses 23,731  15,879  Lease right-of-use assets 19,737  24,725  Other 17,765  3,304  Total $ 113,675  $ 96,987  On March 1, 2024, substantially all the assets of an investee company, in which we had an aggregate ownership interest of approximately 13.5%, held largely through a limited liability company we established to hold the investment, were sold to a privately held buyer through a merger. Prior to the sale, certain assets of the investee company that were not included in the sale were distributed to a separate privately held entity in which we received the same proportionate equity interest. From the sale, we received cash plus certain preferred and common equity interests in the buyer. The estimated fair value of the private equity interests is included in other assets as of August 31, 2024. In connection with the sale, we recognized a gain of $12.5 million, which is included in interest income and other in our consolidated statements of operations for the nine months ended August 31, 2024. Certain of our executives are eligible to receive a portion of the proceeds from the sale transaction, including any later distributions, pursuant to nominal interests they acquired, including our chairman and chief executive officer who acquired a 3.3% interest, in the relevant limited liability company in 2000 through an incentive program described in the Proxy Statement for our 2001 Annual Meeting of Stockholders.

v3.24.3

Accrued Expenses and Other Liabilities	9 Months Ended
	Aug. 31, 2024
Payables and Accruals [Abstract]
Accrued Expenses and Other Liabilities	Accrued Expenses and Other Liabilities Accrued expenses and other liabilities consisted of the following (in thousands): August 31, 2024 November 30, 2023 Self-insurance and other legal liabilities $ 294,274  $ 269,735  Employee compensation and related benefits 157,722  171,408  Warranty liability 93,670  98,000  Customer deposits 56,988  58,910  Inventory-related obligations (a) 46,360  41,525  Lease liabilities 21,718  26,531  Accrued interest payable 17,392  29,391  Real estate and business taxes 16,966  15,169  Federal and state taxes payable 4,842  1,851  Other 47,996  45,707  Total $ 757,928  $ 758,227  (a)Represents liabilities for financing arrangements discussed in Note 8 – Variable Interest Entities, as well as liabilities for fixed or determinable amounts associated with tax increment financing entity (“TIFE”) assessments. As homes are delivered, our obligation to pay the remaining TIFE assessments associated with each underlying lot is transferred to the homebuyer. As such, these assessment obligations will be paid by us only to the extent we do not deliver homes on applicable lots before the related TIFE obligations mature.

v3.24.3

Leases	9 Months Ended
	Aug. 31, 2024
Leases [Abstract]
Leases	Leases We lease certain property and equipment for use in our operations. We recognize lease expense for these leases generally on a straight-line basis over the lease term and combine lease and non-lease components for all leases. Lease right-of-use assets and lease liabilities are recorded in our consolidated balance sheets for leases with an expected term at the commencement date of more than 12 months. Lease expense is included in selling, general and administrative expenses in our consolidated statements of operations and includes costs for leases with terms of more than 12 months as well as short- term leases with terms of 12 months or less. Our total lease expense for the three months ended August 31, 2024 and 2023 was $5.1 million and $5.7 million, respectively, and included short-term lease costs of $1.9 million and $2.4 million, respectively. For the nine months ended August 31, 2024 and 2023, our total lease expense was $15.4 million and $16.5 million, respectively, and included short-term lease costs of $5.6 million and $6.3 million, respectively. Variable lease costs and external sublease income for the three-month and nine-month periods ended August 31, 2024 and 2023 were immaterial. The following table presents our lease right-of-use assets and lease liabilities (in thousands): August 31, 2024 November 30, 2023 Lease right-of-use assets (a) $ 19,771  $ 24,773  Lease liabilities (a) 21,754  26,581  (a)Consists of amounts within both our homebuilding and financial services operations. The financial services amounts were nominal as of each date.

v3.24.3

Income Taxes	9 Months Ended
	Aug. 31, 2024
Income Tax Disclosure [Abstract]
Income Taxes	Income Taxes Income Tax Expense. Our income tax expense and effective tax rates were as follows (dollars in thousands):   Three Months Ended August 31, Nine Months Ended August 31,   2024 2023 2024 2023 Income tax expense $ 50,100  $ 44,600  $ 138,800  $ 131,800  Effective tax rate 24.2  % 22.9  % 23.0  % 23.1  % Our income tax expense and effective tax rate for the three months ended August 31, 2024 included the favorable impact of $3.9 million of Internal Revenue Code Section 45L (“Section 45L”) tax credits we recognized primarily from building energy-efficient homes, and a $2.4 million year-over-year decrease in state taxes, partly offset by $2.4 million of nondeductible executive compensation expense. Our income tax expense and effective tax rate for the three months ended August 31, 2023 reflected the favorable impact of $6.9 million of Section 45L tax credits and $1.9 million of excess tax benefits related to stock-based compensation, partly offset by $2.6 million of nondeductible executive compensation expense. For the nine months ended August 31, 2024, our income tax expense and effective tax rate included the favorable impacts of $12.8 million of Section 45L tax credits we recognized primarily from building energy-efficient homes, $6.5 million of excess tax benefits related to stock-based compensation, and a $5.3 million year-over-year decrease in state income taxes, partly offset by $7.9 million of nondeductible executive compensation expense. Our income tax expense and effective tax rate for the nine months ended August 31, 2023 reflected the favorable impact of $19.4 million of Section 45L tax credits and $5.7 million of excess tax benefits related to stock-based compensation, partly offset by $9.2 million of nondeductible executive compensation expense. Deferred Tax Asset Valuation Allowance. We evaluate our deferred tax assets quarterly to determine if adjustments to our valuation allowance are required based on the consideration of all available positive and negative evidence using a “more likely than not” standard with respect to whether deferred tax assets will be realized. Our evaluation considers, among other factors, our historical operating results, our expectation of future profitability, the duration of the applicable statutory carryforward periods, and conditions in the housing market and the broader economy. The ultimate realization of our deferred tax assets depends primarily on our ability to generate future taxable income during the periods in which the related deferred tax assets become deductible. The value of our deferred tax assets depends on applicable income tax rates. Our deferred tax assets of $130.7 million as of August 31, 2024 and $136.4 million at November 30, 2023 were both partly offset by valuation allowances of $16.9 million. The deferred tax asset valuation allowances at August 31, 2024 and November 30, 2023 were primarily related to certain state net operating losses that had not met the “more likely than not” realization standard at those dates. Based on the evaluation of our deferred tax assets as of August 31, 2024, we determined that most of our deferred tax assets would be realized. Therefore, no adjustments to our deferred tax asset valuation allowance were needed for the nine months ended August 31, 2024. We will continue to evaluate both the positive and negative evidence on a quarterly basis in determining the need for a valuation allowance with respect to our deferred tax assets. The accounting for deferred tax assets is based upon estimates of future results. Changes in positive and negative evidence, including differences between estimated and actual results, could result in changes in the valuation of our deferred tax assets that could have a material impact on our consolidated financial statements. Changes in existing federal and state tax laws and corporate income tax rates could also affect actual tax results and the realization of deferred tax assets over time.

v3.24.3

Notes Payable	9 Months Ended
	Aug. 31, 2024
Debt Disclosure [Abstract]
Notes Payable	Notes Payable Notes payable consisted of the following (in thousands): August 31, 2024 November 30, 2023 Senior unsecured term loan due August 25, 2026 $ 358,659  $ 358,156  6.875% Senior notes due June 15, 2027 298,432  298,062  4.80% Senior notes due November 15, 2029 297,840  297,572  7.25% Senior notes due July 15, 2030 346,453  346,101  4.00% Senior notes due June 15, 2031 386,527  386,199  Mortgages and land contracts due to land sellers and other loans 3,149  3,808  Total $ 1,691,060  $ 1,689,898  The carrying amounts of our senior notes listed above are net of unamortized debt issuance costs, which totaled $12.1 million at August 31, 2024 and $13.9 million at November 30, 2023. Unsecured Revolving Credit Facility. We have a $1.09 billion Credit Facility that will mature on February 18, 2027. The Credit Facility contains an uncommitted accordion feature under which its aggregate principal amount of available loans can be increased to a maximum of $1.29 billion under certain conditions, including obtaining additional bank commitments. The Credit Facility also contains a sublimit of $250.0 million for the issuance of letters of credit. Interest on amounts borrowed under the Credit Facility accrues at an adjusted term Secured Overnight Financing Rate (“SOFR”) or a base rate, plus a spread that depends on our consolidated leverage ratio (“Leverage Ratio”), as defined under the Credit Facility. Interest is payable quarterly (base rate) or each month or three months (adjusted term SOFR). The Credit Facility also requires the payment of a commitment fee at a per annum rate ranging from .15% to .35% of the unused commitment, based on our Leverage Ratio. Under the terms of the Credit Facility, we are required, among other things, to maintain compliance with various covenants, including financial covenants relating to our consolidated tangible net worth, Leverage Ratio, and either a consolidated interest coverage ratio (“Interest Coverage Ratio”) or minimum level of liquidity, each as defined therein. Our obligations to pay borrowings under the Credit Facility are guaranteed on a joint and several basis by our Guarantor Subsidiaries. The amount of the Credit Facility available for cash borrowings and the issuance of letters of credit depends on the total cash borrowings and letters of credit outstanding under the Credit Facility and the maximum available amount under the terms of the Credit Facility. As of August 31, 2024, we had no cash borrowings and $8.3 million of letters of credit outstanding under the Credit Facility. Therefore, as of August 31, 2024, we had $1.08 billion available for cash borrowings under the Credit Facility, with up to $241.7 million of that amount available for the issuance of letters of credit. Senior Unsecured Term Loan. We have a $360.0 million Term Loan with the lenders party thereto. The Term Loan will mature on August 25, 2026, or earlier if we secure borrowings under the Credit Facility without similarly securing the Term Loan (subject to certain exceptions). Interest under the Term Loan accrues at an adjusted term SOFR or a base rate, plus a spread that depends on our Leverage Ratio. Interest is payable quarterly (base rate) or each month or three months (adjusted term SOFR). The Term Loan contains various covenants that are substantially the same as those under the Credit Facility. Proceeds drawn under the Term Loan are guaranteed on a joint and several basis by our Guarantor Subsidiaries. As of August 31, 2024, the weighted average annual interest rate on our outstanding borrowings under the Term Loan was 6.8%. Letter of Credit Facility. We maintain an unsecured letter of credit agreement with a financial institution (“LOC Facility”) to obtain letters of credit from time to time in the ordinary course of operating our business. Under the LOC Facility, which expires on February 18, 2027, we may issue up to $75.0 million of letters of credit. As of August 31, 2024 and November 30, 2023, we had letters of credit outstanding under the LOC Facility of $70.6 million and $12.5 million, respectively. Senior Notes. All the senior notes outstanding at August 31, 2024 and November 30, 2023 represent senior unsecured obligations that are guaranteed by our Guarantor Subsidiaries and rank equally in right of payment with all of our and our Guarantor Subsidiaries’ existing unsecured and unsubordinated indebtedness. All of our senior notes were issued in underwritten public offerings. Interest on each of these senior notes is payable semi-annually. The indenture governing our senior notes does not contain any financial covenants. Subject to specified exceptions, the indenture contains certain restrictive covenants that, among other things, limit our ability to incur secured indebtedness, or engage in sale and leaseback transactions involving property above a certain specified value. In addition, the indenture contains certain limitations related to mergers, consolidations, and sales of assets. As of August 31, 2024, we were in compliance with all of our covenants and other requirements under the Credit Facility, the Term Loan, the senior notes, the indenture, the LOC Facility, and the mortgages and land contracts due to land sellers and other loans. Our ability to access the Credit Facility for cash borrowings and letters of credit and our ability to secure future debt financing depend, in part, on our ability to remain in such compliance. Our ability to access the Credit Facility’s full borrowing capacity, as well as the LOC Facility’s full issuance capacity, also depends on the ability and willingness of the applicable lenders and financial institutions, including any substitute or additional lenders and financial institutions, to meet their commitments to fund loans, extend credit or provide payment guarantees to or for us under those instruments. Mortgages and Land Contracts Due to Land Sellers and Other Loans. As of August 31, 2024, inventories having a carrying value of $11.7 million were pledged to collateralize mortgages and land contracts due to land sellers and other loans. As of August 31, 2024, principal payments on our notes payable are due during each year ending November 30 as follows: 2024 – $0; 2025 – $.5 million; 2026 – $360.6 million; 2027 – $300.8 million; 2028 – $.8 million and thereafter – $1.04 billion.

v3.24.3

Fair Value Disclosures	9 Months Ended
	Aug. 31, 2024
Fair Value Disclosures [Abstract]
Fair Value Disclosures	Fair Value Disclosures Fair value measurements of assets and liabilities are categorized based on the following hierarchy: Level 1 Fair value determined based on quoted prices in active markets for identical assets or liabilities. Level 2 Fair value determined using significant observable inputs, such as quoted prices for similar assets or liabilities or quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the asset or liability, or inputs that are derived principally from or corroborated by observable market data, by correlation or other means. Level 3 Fair value determined using significant unobservable inputs, such as pricing models, discounted cash flows, or similar techniques. Fair value measurements are used for inventories on a nonrecurring basis when events and circumstances indicate that their carrying value is not recoverable. Our inventories are generally Level 3 assets. We had no inventories with carrying values that were adjusted to fair value during the nine months ended August 31, 2024 or the year ended November 30, 2023. See Note 7 – Inventory Impairments and Land Option Contract Abandonments for information regarding the valuation of these assets. The following table presents the fair value hierarchy, carrying values and estimated fair values of our financial instruments, except those for which the carrying values approximate fair values (in thousands):     August 31, 2024 November 30, 2023  Description Fair Value Hierarchy Carrying Value (a) Estimated Fair Value Carrying Value (a) Estimated Fair Value Financial Liabilities: Senior notes Level 2 $ 1,329,252  $ 1,321,538  $ 1,327,934  $ 1,260,725  (a)The carrying value for the senior notes, as presented, includes unamortized debt issuance costs. Debt issuance costs are not factored into the estimated fair values of these notes. The fair values of our senior notes are generally estimated based on quoted market prices for these instruments. The carrying values reported for cash and cash equivalents, the Term Loan, and mortgages and land contracts due to land sellers and other loans approximate fair values. The carrying value of corporate-owned life insurance is based on the cash surrender value of the policies and, accordingly, approximates fair value.

v3.24.3

Commitments and Contingencies	9 Months Ended
	Aug. 31, 2024
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Commitments and Contingencies Commitments and contingencies include typical obligations of homebuilders for the completion of contracts and those incurred in the ordinary course of business. Warranty. We provide a limited warranty on all of our homes. The specific terms and conditions of our limited warranty program vary depending upon the markets in which we do business. We generally provide a structural warranty of 10 years, a warranty on electrical, heating, cooling, plumbing and certain other building systems each varying from two to five years based on geographic market and state law, and a warranty of one year for other components of the home. Our limited warranty program is ordinarily how we respond to and account for homeowners’ requests to local division offices seeking repairs of certain conditions or defects, including claims where we could have liability under applicable state statutes or tort law for a defective condition in or damages to a home. Our warranty liability covers our costs of repairs associated with homeowner claims made under our limited warranty program. These claims are generally made directly by a homeowner and involve their individual home. We estimate the costs that may be incurred under each limited warranty and record a liability in the amount of such costs at the time the revenue associated with the sale of each home is recognized. Our primary assumption in estimating the amounts we accrue for warranty costs is that historical claims experience is a strong indicator of future claims experience. Factors that affect our warranty liability include the number of homes delivered, historical and anticipated rates of warranty claims, and cost per claim. We periodically assess the adequacy of our accrued warranty liability, which is included in accrued expenses and other liabilities in our consolidated balance sheets, and adjust the amount as necessary based on our assessment. Our assessment includes the review of our actual warranty costs incurred to identify trends and changes in our warranty claims experience, and considers our home construction quality and customer service initiatives and outside events. While we believe the warranty liability currently reflected in our consolidated balance sheets to be adequate, unanticipated changes or developments in the legal environment, local weather, land or environmental conditions, quality of materials or methods used in the construction of homes or customer service practices and/or our warranty claims experience could have a significant impact on our actual warranty costs in future periods and such amounts could differ significantly from our current estimates. The changes in our warranty liability were as follows (in thousands):   Three Months Ended August 31, Nine Months Ended August 31,   2024 2023 2024 2023 Balance at beginning of period $ 94,803  $ 99,142  $ 98,000  $ 101,890  Warranties issued 9,731  9,354  27,596  27,997  Payments (10,864) (12,781) (31,926) (34,172) Balance at end of period $ 93,670  $ 95,715  $ 93,670  $ 95,715  Guarantees. In the normal course of our business, we issue certain representations, warranties and guarantees related to our home sales and land sales. Based on historical experience, we do not believe any potential liability with respect to these representations, warranties or guarantees would be material to our consolidated financial statements. Self-Insurance. We maintain, and require the majority of our independent contractors to maintain, general liability insurance (including construction defect and bodily injury coverage) and workers’ compensation insurance. These insurance policies protect us against a portion of our risk of loss from claims related to our homebuilding activities, subject to certain self-insured retentions, deductibles and other coverage limits. We also maintain certain other insurance policies. Costs associated with our self-insurance programs are included in selling, general and administrative expenses. In Arizona, California, Colorado and Nevada, our contractors’ general liability insurance primarily takes the form of a wrap-up policy under a program where eligible independent contractors are enrolled as insureds on each community. Enrolled contractors generally contribute toward the cost of the insurance and agree to pay a contractual amount in the future if there is a claim related to their work. To the extent provided under the wrap-up program, we absorb the enrolled contractors’ general liability associated with the work performed on our homes within the applicable community as part of our overall general liability insurance and our self-insurance. We self-insure a portion of our overall risk through the use of a captive insurance subsidiary, which provides coverage for our exposure to construction defect, bodily injury and property damage claims and related litigation or regulatory actions, up to certain limits. Our self-insurance liability generally covers the costs of settlements and/or repairs, if any, as well as our costs to defend and resolve the following types of claims: •Construction defect: Construction defect claims, which represent the largest component of our self-insurance liability, typically originate through a legal or regulatory process rather than directly by a homeowner and involve the alleged occurrence of a condition affecting two or more homes within the same community, or they involve a common area or homeowners’ association property within a community. These claims typically involve higher costs to resolve than individual homeowner warranty claims, and the rate of claims is highly variable. •Bodily injury: Bodily injury claims typically involve individuals (other than our employees) who claim they were injured while on our property or as a result of our operations. •Property damage: Property damage claims generally involve claims by third parties for alleged damage to real or personal property as a result of our operations. Such claims may occasionally include those made against us by owners of property located near our communities. Our self-insurance liability at each reporting date represents the estimated costs of reported claims, claims incurred but not yet reported, and claim adjustment expenses. The amount of our self-insurance liability is based on an analysis performed by a third-party actuary that uses our historical claim and expense data, as well as industry data to estimate these overall costs. Key assumptions used in developing these estimates include claim frequencies, severities and resolution patterns, which can occur over an extended period of time. These estimates are subject to variability due to the length of time between the delivery of a home to a homebuyer and when a construction defect claim is made, and the ultimate resolution of such claim; uncertainties regarding such claims relative to our markets and the types of products we build; and legal or regulatory actions and/or interpretations, among other factors. Due to the degree of judgment involved and the potential for variability in these underlying assumptions, our actual future costs could differ from those estimated. In addition, changes in the frequency and severity of reported claims and the estimates to resolve claims can impact the trends and assumptions used in the actuarial analysis, which could be material to our consolidated financial statements. Though state regulations vary, construction defect claims are reported and resolved over a long period of time, which can extend for 10 years or more. As a result, the majority of the estimated self-insurance liability based on the actuarial analysis relates to claims incurred but not yet reported. Therefore, adjustments related to individual existing claims generally do not significantly impact the overall estimated liability. Adjustments to our liabilities related to homes delivered in prior years are recorded in the period in which a change in our estimate occurs. Our self-insurance liability is presented on a gross basis for all periods without consideration of insurance recoveries and amounts we have paid on behalf of and expect to recover from other parties, if any. Estimated probable insurance and other recoveries of $23.1 million and $31.1 million are included in receivables in our consolidated balance sheets at August 31, 2024 and November 30, 2023, respectively. These self-insurance recoveries are principally based on actuarially determined amounts and depend on various factors, including, among other things, the above-described claim cost estimates, our insurance policy coverage limits for the applicable policy year(s), historical third-party recovery rates, insurance industry practices, the regulatory environment and legal precedent, and are subject to a high degree of variability from period to period. Because of the inherent uncertainty and variability in these assumptions, our actual insurance recoveries could differ significantly from amounts currently estimated. The changes in our self-insurance liability were as follows (in thousands):   Three Months Ended August 31, Nine Months Ended August 31,   2024 2023 2024 2023 Balance at beginning of period $ 173,029  $ 172,223  $ 179,832  $ 175,977  Self-insurance provided 5,604  4,794  14,867  12,612  Payments (3,206) (4,277) (14,686) (13,411) Adjustments (a) (3,410) 1,259  (7,996) (1,179) Balance at end of period $ 172,017  $ 173,999  $ 172,017  $ 173,999  (a)Represents net changes in estimated probable recoveries related to self-insurance, which are recorded in receivables, to present our self-insurance liability on a gross basis. For most of our claims, there is no interaction between our warranty liability and self-insurance liability. Typically, if a matter is identified at its outset as either a warranty or self-insurance claim, it remains as such through its resolution. However, there can be instances of interaction between the liabilities, such as where individual homeowners in a community separately request warranty repairs to their homes to address a similar condition or issue and subsequently join together to initiate, or potentially initiate, a legal process with respect to that condition or issue and/or the repair work we have undertaken. In these instances, the claims and related repair work generally are initially covered by our warranty liability, and the costs associated with resolving the legal matter (including any additional repair work) are covered by our self-insurance liability. The payments we make in connection with claims and related repair work, whether covered within our warranty liability and/or our self-insurance liability, may be recovered from our insurers to the extent such payments exceed the self-insured retentions or deductibles under our general liability insurance policies. Also, in certain instances, in the course of resolving a claim, we pay amounts in advance of and/or on behalf of an independent contractor(s) or their insurer(s) and believe we will be reimbursed for such payments. Estimates of all such amounts, if any, are recorded as receivables in our consolidated balance sheets when any such recovery is considered probable. In addition to the risk that is effectively self-insured through our captive insurance subsidiary, we often obtain project-specific insurance coverage for construction defect risk on attached projects (e.g., condominiums or townhomes) with policy deductibles generally ranging from $50,000 to $250,000. We record estimated liabilities and recoveries for projected losses related to these projects on a gross basis, including for known claims as well as estimates for claims incurred but not yet reported, to the extent such amounts are considered probable and estimable. Florida Chapter 558 Actions. We and certain of our trade partners continue to receive claims from attorneys on behalf of individual owners of our homes and/or homeowners’ associations that allege, pursuant to Chapter 558 of the Florida Statutes, various construction defects, with most relating to stucco and water-intrusion issues. The claims primarily involve homes in our Jacksonville, Orlando, and Tampa operations. Under Chapter 558, homeowners must serve written notice of a construction defect(s) and provide the served construction and/or design contractor(s) with an opportunity to respond to the noticed issue(s) before they can file a lawsuit. Although we have resolved many of these claims without litigation, and a number of others have been resolved with applicable trade partners or their insurers covering the related costs, as of August 31, 2024, we had approximately 452 outstanding noticed claims, and some are scheduled for trial over the next few quarters and beyond. In addition, some of our trade partners’ insurers in some of these cases have informed us of their inability to continue to pay claims-related costs. At August 31, 2024, we had an accrual for our estimated probable loss for these matters and a receivable for estimated probable insurance recoveries, including an estimate for claims incurred but not reported. While it is reasonably possible that our losses could exceed the amounts accrued and our recoveries could be less than the amounts recorded, at this time, we are unable to estimate the total amount of the loss in excess of the accrued amount and/or associated with a shortfall in the recoveries that is reasonably possible as each of these is dependent on several factors, including the extent of additional claims to be reported in future periods; the nature of any specific claims; our evaluation of the particular facts surrounding each such claim; and actions of third parties over which we have no control. Performance Bonds and Letters of Credit. We are often required to provide to various municipalities and other government agencies performance bonds and/or letters of credit to secure the completion of our projects and/or in support of obligations to build community improvements such as roads, sewers, water systems and other utilities, and to support similar development activities by certain of our unconsolidated joint ventures. At August 31, 2024, we had $1.31 billion of performance bonds and $78.9 million of letters of credit outstanding. At November 30, 2023, we had $1.32 billion of performance bonds and $19.1 million of letters of credit outstanding. If any such performance bonds or letters of credit are called, we would be obligated to reimburse the issuer of the performance bond or letter of credit. We do not believe that a material amount of any currently outstanding performance bonds or letters of credit will be called. Performance bonds do not have stated expiration dates. Rather, we are released from the performance bonds as the underlying performance is completed. The expiration dates of some letters of credit issued in connection with community improvements coincide with the expected completion dates of the related projects or obligations. Most letters of credit, however, are issued with an initial term of one year and are typically extended on a year-to-year basis until the related performance obligations are completed. Land Option Contracts and Other Similar Contracts. In the ordinary course of our business, we enter into land option contracts and other similar contracts to acquire rights to land for the construction of homes. At August 31, 2024, we had total cash deposits of $77.5 million to purchase land having an aggregate purchase price of $2.12 billion. Our land option contracts and other similar contracts generally do not contain provisions requiring our specific performance. Civil Subpoena. On October 2, 2023, we received a subpoena from the U.S. Department of Justice Civil Division, dated September 27, 2023, to produce certain documents and testimony with respect to the inspection, rating, marketing and advertising of our ENERGY STAR homes, including our contracts and/or communications with U.S. Environmental Protection Agency and third-party ENERGY STAR rating companies, real estate brokers, real estate appraisers, financial institutions and other parties, as well as inspection-related guidelines, instructions, methods, policies, processes and procedures. We are cooperating with the government, producing documents and information. As of the date of this report, we are unable to predict what actions the government will take, if any; the timing or nature of the ultimate outcome in this matter; or the impact, if any, such outcome may have on our business or consolidated financial statements. As a result, while a loss or penalty, if any, is reasonably possible in this matter, it is not considered to be probable or estimable.

v3.24.3

Legal Matters	9 Months Ended
	Aug. 31, 2024
Loss Contingency, Information about Litigation Matters [Abstract]
Legal Matters	Legal MattersWe are involved in litigation and regulatory proceedings incidental to our business that are in various procedural stages. We believe the accruals we have recorded for probable and reasonably estimable losses with respect to these proceedings are adequate and that, as of August 31, 2024, it was not reasonably possible that an additional material loss had been incurred in an amount in excess of the estimated amounts already recognized or disclosed in our consolidated financial statements. We evaluate our accruals for litigation and regulatory proceedings at least quarterly and, as appropriate, adjust them to reflect (a) the facts and circumstances known to us at the time, including information regarding negotiations, settlements, rulings and other relevant events and developments; (b) the advice and analyses of counsel; and (c) the assumptions and judgment of management. Similar factors and considerations are used in establishing new accruals for proceedings as to which losses have become probable and reasonably estimable at the time an evaluation is made. Our accruals for litigation and regulatory proceedings are presented on a gross basis without consideration of recoveries and amounts we have paid on behalf of and expect to recover from other parties, if any. Estimates of 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 our experience, we believe the amounts that may be claimed or alleged against us in these proceedings are not a meaningful indicator of our potential liability. The outcome of any of these proceedings, including the defense and other litigation-related costs and expenses we may incur, however, is inherently uncertain and could differ significantly from the estimate reflected in a related accrual, if made. Therefore, it is possible that the ultimate outcome of any proceeding, if in excess of a related accrual or if an accrual had not been made, could be material to our consolidated financial statements. Pursuant to SEC rules, we will disclose any proceeding in which a governmental authority is a party and that arises under any federal, state or local provisions enacted or adopted regulating the discharge of materials into the environment or primarily for the purpose of protecting the environment only where we believe that such proceeding will result in monetary sanctions on us, exclusive of interest and costs, above $1.0 million or is otherwise material to our consolidated financial statements.

v3.24.3

Stockholders' Equity	9 Months Ended
	Aug. 31, 2024
Equity [Abstract]
Stockholders’ Equity	Stockholders’ Equity On February 28, 2024, the management development and compensation committee of our board of directors approved the payout of 519,636 shares of our common stock in connection with the vesting of PSUs that were granted to certain employees on October 8, 2020. The shares paid out under the PSUs reflected our achievement of certain performance measures that were based on cumulative earnings per share, average return on invested capital, and revenue growth relative to a peer group of high-production public homebuilding companies over the three-year period from December 1, 2020 through November 30, 2023. Of the shares of common stock paid out, 248,157 shares, or $15.9 million, were purchased by us in the 2024 first quarter to satisfy the recipients’ withholding taxes on the vesting of the PSUs. The shares purchased were not considered repurchases under the authorizations described below. On March 21, 2023, our board of directors authorized us to repurchase up to $500.0 million of our outstanding common stock. As of November 30, 2023, there was $163.6 million of remaining availability under this share repurchase authorization. In the 2024 first quarter, we repurchased 826,663 shares of our common stock at a total cost of $50.0 million. On April 18, 2024, our board of directors authorized us to repurchase up to $1.00 billion of our outstanding common stock. This authorization replaced the prior board of directors authorization, which had $113.6 million remaining. In the 2024 second quarter, we repurchased 764,742 shares of our common stock at a total cost of $50.0 million. In the 2024 third quarter, we repurchased 1,869,292 shares of our common stock at a total cost of $150.0 million, bringing our total repurchases for the nine months ended August 31, 2024 to 3,460,697 shares of common stock at a total cost of $250.0 million. Repurchases under the authorization may occur periodically through open market purchases, privately negotiated transactions or otherwise, with the timing and amount at management’s discretion and dependent on market, business and other conditions. This share repurchase authorization will continue in effect until fully used or earlier terminated or suspended by our board of directors, and does not obligate us to purchase any shares. As of August 31, 2024, there was $800.0 million of remaining availability under this share repurchase authorization. The Inflation Reduction Act of 2022, which was enacted into law on August 16, 2022, imposed a nondeductible 1% excise tax on the net value of certain stock repurchases made after December 31, 2022. In the three-month and nine-month periods ended August 31, 2024 and 2023, we reflected the applicable excise tax in treasury stock as part of the cost basis of the stock repurchased and recorded a corresponding liability for the excise taxes payable in accrued expenses and other liabilities on our consolidated balance sheet. All amounts presented in this report related to our share repurchases and our share repurchase authorization exclude such excise taxes, to the extent applicable, unless otherwise indicated. In the 2024 second quarter, our board of directors approved a $.05 per share increase in the quarterly cash dividend on our common stock to $.25 per share. In the 2024 third quarter, our board of directors declared, and we paid, a quarterly cash dividend of $.25 per share. In the 2023 third quarter, our board of directors declared, and we paid, a quarterly cash dividend on our common stock of $.20 per share. Quarterly dividends declared and paid during the nine-month periods ended August 31, 2024 and 2023 totaled $.70 per share and $.50 per share, respectively.

v3.24.3

Stock-Based Compensation	9 Months Ended
	Aug. 31, 2024
Share-Based Payment Arrangement [Abstract]
Stock-Based Compensation	Stock-Based Compensation Stock Options. At August 31, 2024 and November 30, 2023, we had 493,641 and 1,109,567 stock options outstanding with a weighted average exercise price of $16.05 and $15.50, respectively. We have not granted any stock option awards since 2016. During the nine months ended August 31, 2024, a total of 615,926 stock options with a weighted average exercise price of $15.05 were exercised. As of August 31, 2024, stock options outstanding and stock options exercisable each had a weighted average remaining contractual life of 2.0 years. As all outstanding stock options have been fully vested since 2019, there was no stock-based compensation expense associated with stock options for the three-month and nine-month periods ended August 31, 2024 and 2023. Stock options outstanding and stock options exercisable each had an aggregate intrinsic value of $33.4 million at August 31, 2024. (The intrinsic value of a stock option is the amount by which the market value of a share of the underlying common stock exceeds the exercise price of the stock option.) Other Stock-Based Awards. From time to time, we grant restricted stock and PSUs to various employees as a compensation benefit. We recognized total compensation expense of $8.0 million and $9.2 million for the three months ended August 31, 2024 and 2023, respectively, related to restricted stock and PSUs. For the nine months ended August 31, 2024 and 2023, we recognized total compensation expense of $25.3 million and $23.9 million, respectively, related to restricted stock and PSUs.

v3.24.3

Supplemental Disclosure to Consolidated Statements of Cash Flows	9 Months Ended
	Aug. 31, 2024
Supplemental Cash Flow Information [Abstract]
Supplemental Disclosure to Consolidated Statements of Cash Flows	Supplemental Disclosure to Consolidated Statements of Cash Flows The following are supplemental disclosures to the consolidated statements of cash flows (in thousands):   Nine Months Ended August 31,   2024 2023 Summary of cash and cash equivalents at end of period: Homebuilding $ 374,911  $ 612,076  Financial services 782  321  Total $ 375,693  $ 612,397  Supplemental disclosures of cash flow information: Interest paid, net of amounts capitalized $ 11,999  $ 12,366  Income taxes paid 145,915  104,799  Supplemental disclosures of non-cash activities: Inventories acquired through seller financing 3,149  2,891  Increase (decrease) in consolidated inventories not owned 4,616  (2,129) Increase in inventories due to distributions of land and land development from an unconsolidated joint venture 7,753  7,569

v3.24.3

Pay vs Performance Disclosure - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Aug. 31, 2024	Aug. 31, 2023	Aug. 31, 2024	Aug. 31, 2023
Pay vs Performance Disclosure
Net income	$ 157,329	$ 149,933	$ 464,413	$ 439,875

v3.24.3

Insider Trading Arrangements	3 Months Ended
	Aug. 31, 2024
Trading Arrangements, by Individual
Rule 10b5-1 Arrangement Adopted	false
Non-Rule 10b5-1 Arrangement Adopted	false
Rule 10b5-1 Arrangement Terminated	false
Non-Rule 10b5-1 Arrangement Terminated	false

v3.24.3

Basis of Presentation and Significant Accounting Policies (Policies)	9 Months Ended
	Aug. 31, 2024
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Use of Estimates	Use of Estimates. The preparation of financial statements in conformity with GAAP requires management to make estimates and judgments that affect the amounts reported in the consolidated financial statements and accompanying notes. Actual results could differ from those estimates.
Cash and Cash Equivalents	Cash and Cash Equivalents. We consider all highly liquid short-term investments purchased with an original maturity of three months or less to be cash equivalents.
Recent Accounting Pronouncements Not Yet Adopted	Recent Accounting Pronouncements Not Yet Adopted. In November 2023, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update No. 2023-07, “Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures” (“ASU 2023-07”), which is intended to improve reportable segment disclosure requirements, primarily through enhanced disclosures about significant segment expenses. The guidance is effective for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024. Early adoption is permitted. ASU 2023-07 is to be applied retrospectively to all prior periods presented in the financial statements. Upon transition, the segment expense categories and amounts disclosed in the prior periods should be based on the significant segment expense categories identified and disclosed in the period of adoption. We are currently evaluating the potential impact of adopting this new guidance on our consolidated financial statements and related disclosures. In December 2023, the FASB issued Accounting Standards Update No. 2023-09, “Income Taxes (Topic 740): Improvements to Income Tax Disclosures” (“ASU 2023-09”), which modifies the rules on income tax disclosures to require entities to disclose (1) specific categories in the rate reconciliation, (2) the income or loss from continuing operations before income tax expense or benefit (separated between domestic and foreign) and (3) income tax expense or benefit from continuing operations (separated by federal, state and foreign). ASU 2023-09 also requires entities to disclose their income tax payments to international, federal, state and local jurisdictions, among other changes. The guidance is effective for annual periods beginning after December 15, 2024. Early adoption is permitted for annual financial statements that have not yet been issued or made available for issuance. ASU 2023-09 should be applied on a prospective basis, but retrospective application is permitted. We are currently evaluating the potential impact of adopting this new guidance on our consolidated financial statements and related disclosures.
Segment Reporting	We have identified five operating reporting segments, comprised of four homebuilding reporting segments and one financial services reporting segment. As of August 31, 2024, our homebuilding reporting segments conducted ongoing operations in the following states: West Coast: California, Idaho and Washington Southwest: Arizona and Nevada Central: Colorado and Texas Southeast: Florida and North Carolina Our homebuilding reporting segments are engaged in the acquisition and development of land primarily for residential purposes and offer a wide variety of homes that are designed to appeal to first-time, first move-up and active adult homebuyers. Our homebuilding operations generate most of their revenues from the delivery of completed homes to homebuyers. They also earn revenues from the sale of land. Our financial services reporting segment offers property and casualty insurance and, in certain instances, earthquake, flood and personal property insurance to our homebuyers in the same markets as our homebuilding reporting segments, and provides title services in the majority of our markets located within our Southwest, Central and Southeast homebuilding reporting segments. Our financial services reporting segment earns revenues primarily from insurance commissions and from the provision of title services. We offer mortgage banking services, including residential consumer mortgage loan (“mortgage loan”) originations, to our homebuyers indirectly through KBHS Home Loans, LLC (“KBHS”), our unconsolidated joint venture with GR Alliance Ventures, LLC (“GR Alliance”), a subsidiary of Guaranteed Rate, Inc. We and GR Alliance each have a 50.0% ownership interest, with GR Alliance providing management oversight of KBHS’ operations. Our reporting segments follow the same accounting policies used for our consolidated financial statements. The results of each reporting segment are not necessarily indicative of the results that would have occurred had the segment been an independent, stand-alone entity during the periods presented, nor are they indicative of the results to be expected in future periods.
Earnings Per Share	We compute earnings per share using the two-class method, which is an allocation of earnings between the holders of common stock and a company’s participating security holders. Our outstanding nonvested shares of restricted stock contain non-forfeitable rights to dividends and, therefore, are considered participating securities for purposes of computing earnings per share pursuant to the two-class method. We had no other participating securities during the three-month and nine-month periods ended August 31, 2024 and 2023.
Interest Capitalization	Interest is capitalized to inventories while the related communities or land parcels are being actively developed and until homes are completed or the land is available for immediate sale. Capitalized interest is amortized to construction and land costs as the related inventories are delivered to homebuyers or land buyers (as applicable). In the case of land held for future development and land held for sale, applicable interest is expensed as incurred.
Inventory Impairment	Each community or land parcel in our owned inventory is assessed on a quarterly basis to determine if indicators of potential impairment exist. We record an inventory impairment charge on a community or land parcel that is active or held for future development when indicators of potential impairment exist and the carrying value of the real estate asset is greater than the undiscounted future net cash flows the asset is expected to generate. These real estate assets are written down to fair value, which is primarily determined based on the estimated future net cash flows discounted for inherent risk associated with each such asset, or other valuation techniques. We record an inventory impairment charge on land held for sale when the carrying value of a land parcel is greater than its fair value. These real estate assets are written down to fair value, less associated costs to sell. The estimated fair values of such assets are generally based on bona fide letters of intent from outside parties, executed sales contracts, broker quotes or similar information.
Consolidation	We participate in joint ventures from time to time that conduct land acquisition, land development and/or other homebuilding activities in various markets where our homebuilding operations are located. Our investments in these joint ventures may create a variable interest in a variable interest entity (“VIE”), depending on the contractual terms of the arrangement. We analyze our joint ventures under the variable interest model to determine whether they are VIEs and, if so, whether we are the primary beneficiary. Based on our analyses, we determined that one of our joint ventures at August 31, 2024 and November 30, 2023 was a VIE, but we were not the primary beneficiary of the VIE. Therefore, all of our joint ventures at August 31, 2024 and November 30, 2023 were unconsolidated and accounted for under the equity method because we did not have a controlling financial interest. Land Option Contracts and Other Similar Contracts. In the ordinary course of our business, we enter into land option contracts and other similar contracts with third parties and unconsolidated entities to acquire rights to land for the construction of homes. Under these contracts, we typically make a specified option payment or earnest money deposit in consideration for the right to purchase land in the future, usually at a predetermined price. We analyze each of our land option contracts and other similar contracts under the variable interest model to determine whether the land seller is a VIE and, if so, whether we are the primary beneficiary. Although we do not have legal title to the underlying land, we are required to consolidate a VIE if we are the primary beneficiary. As a result of our analyses, we determined that as of August 31, 2024 and November 30, 2023, we were not the primary beneficiary of any VIEs from which we have acquired rights to land under land option contracts and other similar contracts.
Debt	For land option contracts and other similar contracts where the land seller entity is not required to be consolidated under the variable interest model, we consider whether such contracts should be accounted for as financing arrangements. Land option contracts and other similar contracts that may be considered financing arrangements include those we enter into with third-party land financiers or developers in conjunction with such third parties acquiring a specific land parcel(s) on our behalf, at our direction, and those with other landowners where we or our designee make improvements to the optioned land parcel(s) during the applicable option period. For these land option contracts and other similar contracts, we record the remaining purchase price of the associated land parcel(s) in inventories in our consolidated balance sheets with a corresponding financing obligation if we determine that we are effectively compelled to exercise the option to purchase the land parcel(s). Funding facilities. KBHS maintains warehouse lines of credit and master repurchase agreements with various financial institutions to fund its originated mortgage loans, with its mortgage loans held for sale pledged as collateral under these agreements. The agreements contain covenants which include certain financial requirements, including maintenance of minimum tangible net worth, minimum liquid assets, maximum debt to net worth ratio and positive net income, as defined in the agreements. KBHS was in compliance with these covenants as of August 31, 2024. In addition to its compliance with these covenants, KBHS also depends on the ability and willingness of the applicable lenders and financial institutions to extend such credit facilities to KBHS to fund its originated mortgage loans. KBHS intends to renew these facilities when they expire at various dates in 2024 and 2025. The warehouse lines of credit and master repurchase agreements are not guaranteed by us or any of the subsidiaries that guarantee our senior notes, unsecured revolving credit facility with various banks (“Credit Facility”) and senior unsecured term loan agreement (“Term Loan”), (collectively, “Guarantor Subsidiaries”).
Mortgage Loans Held for Sale	Mortgage loans held for sale. Originated mortgage loans expected to be sold into the secondary market in the foreseeable future are reported as mortgage loans held for sale and carried in KBHS’ balance sheets at fair value, with changes in fair value recognized within revenues in KBHS’ statements of operations.
Interest Rate Lock Commitments	Interest Rate Lock Commitments (“IRLCs”). KBHS enters into IRLCs in connection with originating certain mortgage loans held for sale, at specified interest rates and within a specified period of time, with customers who have applied for a mortgage loan and meet certain credit and underwriting criteria. KBHS accounts for IRLCs as free-standing derivatives and does not designate any for hedge accounting. As a result, IRLCs are recognized in KBHS’ balance sheets at fair value, and gains or losses resulting from changes in fair value are recognized within revenues in KBHS’ statements of operations. The fair value of IRLCs is based on market prices, which includes an estimate of the fair value of the associated mortgage servicing rights, adjusted for estimated costs to originate the underlying mortgage loans as well as the probability that the mortgage loans will fund within the terms of the IRLCs. The fair value of IRLCs included in other assets in KBHS’ balance sheets was $17.6 million at August 31, 2024 and $13.9 million at November 30, 2023. The changes in the fair value of IRLCs, which were reported in revenues for the applicable periods, were a loss of $.4 million for the three months ended August 31, 2024, a gain of $3.8 million for the nine months ended August 31, 2024, and losses of $5.2 million and $9.4 million for the three-month and nine-month periods ended August 31, 2023, respectively. KBHS manages the interest rate and price risk associated with its outstanding IRLCs by entering into best efforts forward sale commitments under which mortgage loans locked with a borrower are simultaneously committed to a secondary market investor at a fixed price, subject to the underlying mortgage loans being funded. These best efforts forward sale commitments do not meet the definition of derivative financial instruments and are therefore not recorded in KBHS’ balance sheets. If the mortgage loans underlying the IRLCs do not fund, KBHS has no obligation to fulfill the secondary market investor commitments.
Leases	We lease certain property and equipment for use in our operations. We recognize lease expense for these leases generally on a straight-line basis over the lease term and combine lease and non-lease components for all leases. Lease right-of-use assets and lease liabilities are recorded in our consolidated balance sheets for leases with an expected term at the commencement date of more than 12 months. Lease expense is included in selling, general and administrative expenses in our consolidated statements of operations and includes costs for leases with terms of more than 12 months as well as short- term leases with terms of 12 months or less.
Income Taxes	We evaluate our deferred tax assets quarterly to determine if adjustments to our valuation allowance are required based on the consideration of all available positive and negative evidence using a “more likely than not” standard with respect to whether deferred tax assets will be realized. Our evaluation considers, among other factors, our historical operating results, our expectation of future profitability, the duration of the applicable statutory carryforward periods, and conditions in the housing market and the broader economy. The ultimate realization of our deferred tax assets depends primarily on our ability to generate future taxable income during the periods in which the related deferred tax assets become deductible. The value of our deferred tax assets depends on applicable income tax rates.
Fair Value Measurements and Disclosures	Fair value measurements of assets and liabilities are categorized based on the following hierarchy: Level 1 Fair value determined based on quoted prices in active markets for identical assets or liabilities. Level 2 Fair value determined using significant observable inputs, such as quoted prices for similar assets or liabilities or quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the asset or liability, or inputs that are derived principally from or corroborated by observable market data, by correlation or other means. Level 3 Fair value determined using significant unobservable inputs, such as pricing models, discounted cash flows, or similar techniques. Fair value measurements are used for inventories on a nonrecurring basis when events and circumstances indicate that their carrying value is not recoverable.
Warranty	Warranty. We provide a limited warranty on all of our homes. The specific terms and conditions of our limited warranty program vary depending upon the markets in which we do business. We generally provide a structural warranty of 10 years, a warranty on electrical, heating, cooling, plumbing and certain other building systems each varying from two to five years based on geographic market and state law, and a warranty of one year for other components of the home. Our limited warranty program is ordinarily how we respond to and account for homeowners’ requests to local division offices seeking repairs of certain conditions or defects, including claims where we could have liability under applicable state statutes or tort law for a defective condition in or damages to a home. Our warranty liability covers our costs of repairs associated with homeowner claims made under our limited warranty program. These claims are generally made directly by a homeowner and involve their individual home. We estimate the costs that may be incurred under each limited warranty and record a liability in the amount of such costs at the time the revenue associated with the sale of each home is recognized. Our primary assumption in estimating the amounts we accrue for warranty costs is that historical claims experience is a strong indicator of future claims experience. Factors that affect our warranty liability include the number of homes delivered, historical and anticipated rates of warranty claims, and cost per claim. We periodically assess the adequacy of our accrued warranty liability, which is included in accrued expenses and other liabilities in our consolidated balance sheets, and adjust the amount as necessary based on our assessment. Our assessment includes the review of our actual warranty costs incurred to identify trends and changes in our warranty claims experience, and considers our home construction quality and customer service initiatives and outside events. While we believe the warranty liability currently reflected in our consolidated balance sheets to be adequate, unanticipated changes or developments in the legal environment, local weather, land or environmental conditions, quality of materials or methods used in the construction of homes or customer service practices and/or our warranty claims experience could have a significant impact on our actual warranty costs in future periods and such amounts could differ significantly from our current estimates.
Guarantees	Guarantees. In the normal course of our business, we issue certain representations, warranties and guarantees related to our home sales and land sales. Based on historical experience, we do not believe any potential liability with respect to these representations, warranties or guarantees would be material to our consolidated financial statements.
Self-Insurance	Self-Insurance. We maintain, and require the majority of our independent contractors to maintain, general liability insurance (including construction defect and bodily injury coverage) and workers’ compensation insurance. These insurance policies protect us against a portion of our risk of loss from claims related to our homebuilding activities, subject to certain self-insured retentions, deductibles and other coverage limits. We also maintain certain other insurance policies. Costs associated with our self-insurance programs are included in selling, general and administrative expenses. In Arizona, California, Colorado and Nevada, our contractors’ general liability insurance primarily takes the form of a wrap-up policy under a program where eligible independent contractors are enrolled as insureds on each community. Enrolled contractors generally contribute toward the cost of the insurance and agree to pay a contractual amount in the future if there is a claim related to their work. To the extent provided under the wrap-up program, we absorb the enrolled contractors’ general liability associated with the work performed on our homes within the applicable community as part of our overall general liability insurance and our self-insurance. We self-insure a portion of our overall risk through the use of a captive insurance subsidiary, which provides coverage for our exposure to construction defect, bodily injury and property damage claims and related litigation or regulatory actions, up to certain limits. Our self-insurance liability generally covers the costs of settlements and/or repairs, if any, as well as our costs to defend and resolve the following types of claims: •Construction defect: Construction defect claims, which represent the largest component of our self-insurance liability, typically originate through a legal or regulatory process rather than directly by a homeowner and involve the alleged occurrence of a condition affecting two or more homes within the same community, or they involve a common area or homeowners’ association property within a community. These claims typically involve higher costs to resolve than individual homeowner warranty claims, and the rate of claims is highly variable. •Bodily injury: Bodily injury claims typically involve individuals (other than our employees) who claim they were injured while on our property or as a result of our operations. •Property damage: Property damage claims generally involve claims by third parties for alleged damage to real or personal property as a result of our operations. Such claims may occasionally include those made against us by owners of property located near our communities. Our self-insurance liability at each reporting date represents the estimated costs of reported claims, claims incurred but not yet reported, and claim adjustment expenses. The amount of our self-insurance liability is based on an analysis performed by a third-party actuary that uses our historical claim and expense data, as well as industry data to estimate these overall costs. Key assumptions used in developing these estimates include claim frequencies, severities and resolution patterns, which can occur over an extended period of time. These estimates are subject to variability due to the length of time between the delivery of a home to a homebuyer and when a construction defect claim is made, and the ultimate resolution of such claim; uncertainties regarding such claims relative to our markets and the types of products we build; and legal or regulatory actions and/or interpretations, among other factors. Due to the degree of judgment involved and the potential for variability in these underlying assumptions, our actual future costs could differ from those estimated. In addition, changes in the frequency and severity of reported claims and the estimates to resolve claims can impact the trends and assumptions used in the actuarial analysis, which could be material to our consolidated financial statements. Though state regulations vary, construction defect claims are reported and resolved over a long period of time, which can extend for 10 years or more. As a result, the majority of the estimated self-insurance liability based on the actuarial analysis relates to claims incurred but not yet reported. Therefore, adjustments related to individual existing claims generally do not significantly impact the overall estimated liability. Adjustments to our liabilities related to homes delivered in prior years are recorded in the period in which a change in our estimate occurs. Our self-insurance liability is presented on a gross basis for all periods without consideration of insurance recoveries and amounts we have paid on behalf of and expect to recover from other parties, if any. Estimated probable insurance and other recoveries of $23.1 million and $31.1 million are included in receivables in our consolidated balance sheets at August 31, 2024 and November 30, 2023, respectively. These self-insurance recoveries are principally based on actuarially determined amounts and depend on various factors, including, among other things, the above-described claim cost estimates, our insurance policy coverage limits for the applicable policy year(s), historical third-party recovery rates, insurance industry practices, the regulatory environment and legal precedent, and are subject to a high degree of variability from period to period. Because of the inherent uncertainty and variability in these assumptions, our actual insurance recoveries could differ significantly from amounts currently estimated.

v3.24.3

Segment Information (Tables)	9 Months Ended
	Aug. 31, 2024
Segment Reporting [Abstract]
Schedule of Financial Information Relating to Company Reporting Segments	The following tables present financial information relating to our homebuilding reporting segments (in thousands):   Three Months Ended August 31, Nine Months Ended August 31,   2024 2023 2024 2023 Revenues: West Coast $ 760,617  $ 506,802  $ 2,017,336  $ 1,611,171  Southwest 312,812  306,284  954,602  881,699  Central 372,862  506,640  1,069,136  1,441,805  Southeast 299,688  259,993  868,115  781,427  Total $ 1,745,979  $ 1,579,719  $ 4,909,189  $ 4,716,102  Pretax income (loss): West Coast $ 99,222  $ 55,034  $ 252,099  $ 169,683  Southwest 54,826  46,193  165,302  147,341  Central 43,304  75,421  128,446  213,239  Southeast 33,003  38,495  103,827  110,951  Corporate and other (33,879) (30,521) (82,254) (96,875) Total $ 196,476  $ 184,622  $ 567,420  $ 544,339    Three Months Ended August 31, Nine Months Ended August 31,   2024 2023 2024 2023 Inventory impairment and land option contract abandonment charges: West Coast $ 496  $ 400  $ 2,441  $ 4,348  Southwest —  —  116  —  Central 469  231  725  2,310  Southeast 212  —  403  3,549  Total $ 1,177  $ 631  $ 3,685  $ 10,207  August 31, 2024 November 30, 2023 Assets: West Coast $ 3,117,670  $ 2,638,455  Southwest 962,585  908,578  Central 1,068,714  1,158,949  Southeast 1,041,912  939,997  Corporate and other 586,220  945,504  Total $ 6,777,101  $ 6,591,483

v3.24.3

Financial Services (Tables)	9 Months Ended
	Aug. 31, 2024
Segment Reporting Information [Line Items]
Schedule of Financial Services Income (Loss)	The following tables present financial information relating to our financial services reporting segment (in thousands):   Three Months Ended August 31, Nine Months Ended August 31,   2024 2023 2024 2023 Revenues Insurance commissions $ 3,691  $ 4,153  $ 12,685  $ 11,537  Title services 2,938  3,139  8,313  9,002  Total 6,629  7,292  20,998  20,539  Expenses General and administrative (1,608) (1,530) (4,627) (4,360) Operating income 5,021  5,762  16,371  16,179  Equity in income of unconsolidated joint venture 5,932  4,149  19,422  11,157  Pretax income $ 10,953  $ 9,911  $ 35,793  $ 27,336
Financial services
Segment Reporting Information [Line Items]
Schedule of Financial Services Assets and Liabilities	August 31, 2024 November 30, 2023 Assets Cash and cash equivalents $ 782  $ 266  Receivables 3,655  2,783  Investment in unconsolidated joint venture 19,743  19,354  Other assets (a) 38,599  34,476  Total assets $ 62,779  $ 56,879  August 31, 2024 November 30, 2023 Liabilities Accounts payable and accrued expenses $ 2,030  $ 1,645  Total liabilities $ 2,030  $ 1,645  (a)Other assets at August 31, 2024 and November 30, 2023 included $38.5 million and $34.4 million, respectively, of contract assets for estimated future renewal commissions.

v3.24.3

Earnings Per Share (Tables)	9 Months Ended
	Aug. 31, 2024
Earnings Per Share [Abstract]
Schedule of Earnings Per Share, Basic and Diluted	Basic and diluted earnings per share were calculated as follows (in thousands, except per share amounts): Three Months Ended August 31, Nine Months Ended August 31,   2024 2023 2024 2023 Numerator: Net income $ 157,329  $ 149,933  $ 464,413  $ 439,875  Less: Distributed earnings allocated to participating securities (143) (120) (406) (295) Less: Undistributed earnings allocated to participating securities (1,062) (998) (3,137) (2,851) Numerator for basic earnings per share 156,124  148,815  460,870  436,729  Effect of dilutive securities: Add: Undistributed earnings allocated to participating securities 1,062  998  3,137  2,851  Less: Undistributed earnings reallocated to participating securities (1,032) (967) (3,047) (2,766) Numerator for diluted earnings per share $ 156,154  $ 148,846  $ 460,960  $ 436,814  Denominator: Weighted average shares outstanding — basic 74,476  80,175  75,339  81,790  Effect of dilutive securities: Share-based payments 2,154  2,557  2,226  2,542  Weighted average shares outstanding — diluted 76,630  82,732  77,565  84,332  Basic earnings per share $ 2.10  $ 1.86  $ 6.12  $ 5.34  Diluted earnings per share $ 2.04  $ 1.80  $ 5.94  $ 5.18

v3.24.3

Receivables (Tables)	9 Months Ended
	Aug. 31, 2024
Receivables [Abstract]
Schedule of Receivables	Receivables consisted of the following (in thousands):   August 31, 2024 November 30, 2023 Due from utility companies, improvement districts and municipalities $ 184,855  $ 197,102  Recoveries related to self-insurance and other legal claims 120,820  107,065  Refundable deposits and bonds 12,089  13,292  Income taxes receivable 10,626  —  Other 49,502  53,615  Subtotal 377,892  371,074  Allowance for doubtful accounts (4,356) (4,212) Total $ 373,536  $ 366,862

v3.24.3

Inventories (Tables)	9 Months Ended
	Aug. 31, 2024
Inventory Disclosure [Abstract]
Schedule of Inventories	Inventories consisted of the following (in thousands): August 31, 2024 November 30, 2023 Homes completed or under construction $ 2,316,960  $ 2,106,149  Land under development 3,331,970  3,027,497  Total $ 5,648,930  $ 5,133,646
Schedule of Capitalized Interest Costs	Our interest costs were as follows (in thousands):   Three Months Ended August 31, Nine Months Ended August 31,   2024 2023 2024 2023 Capitalized interest at beginning of period $ 131,765  $ 141,225  $ 134,375  $ 145,494  Interest incurred 26,583  26,810  79,665  80,609  Interest amortized to construction and land costs (a) (28,180) (29,305) (83,872) (87,373) Capitalized interest at end of period $ 130,168  $ 138,730  $ 130,168  $ 138,730  (a)Interest amortized to construction and land costs for the nine-month period ended August 31, 2024 and the three-month and nine-month periods ended August 31, 2023 included $.2 million related to land sales. There was no interest amortized to construction and land costs related to land sales for the three-month period ended August 31, 2024.

v3.24.3

Variable Interest Entities (Tables)	9 Months Ended
	Aug. 31, 2024
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Schedule of Variable Interest Entities	The following table presents a summary of our interests in land option contracts and other similar contracts (in thousands): August 31, 2024 November 30, 2023 Cash Deposits Aggregate Purchase Price Cash Deposits Aggregate Purchase Price Unconsolidated VIEs $ 49,649  $ 1,397,800  $ 21,554  $ 727,620  Other land option contracts and other similar contracts 27,809  724,273  23,464  540,912  Total $ 77,458  $ 2,122,073  $ 45,018  $ 1,268,532

v3.24.3

Investments in Unconsolidated Joint Ventures (Tables)	9 Months Ended
	Aug. 31, 2024
Homebuilding
Schedule of Equity Method Investments [Line Items]
Schedule of Statements of operations of unconsolidated joint ventures	The following table presents combined condensed information from the statements of operations for our homebuilding unconsolidated joint ventures (in thousands):   Three Months Ended August 31, Nine Months Ended August 31,   2024 2023 2024 2023 Revenues $ 32,241  $ —  $ 37,539  $ 1,171  Construction and land costs (23,580) —  (27,404) (686) Other expense, net (1,694) (193) (3,541) (2,603) Income (loss) $ 6,967  $ (193) $ 6,594  $ (2,118)
Schedule of Balance sheets of unconsolidated joint ventures	The following table presents combined condensed balance sheet information for our homebuilding unconsolidated joint ventures (in thousands): August 31, 2024 November 30, 2023 Assets Cash $ 15,860  $ 16,260  Receivables 2,894  3,437  Inventories 162,392  152,456  Other assets 1,174  679  Total assets $ 182,320  $ 172,832  Liabilities and equity Accounts payable and other liabilities $ 7,444  $ 9,632  Notes payable (a) 56,361  53,386  Equity 118,515  109,814  Total liabilities and equity $ 182,320  $ 172,832  (a)    As of both August 31, 2024 and November 30, 2023, one of our unconsolidated joint ventures had borrowings outstanding under a revolving line of credit it entered into with a third-party lender in April 2022 to finance its land acquisition, development and construction activities. In April 2024, the revolving line of credit was amended, increasing the aggregate commitment to $70.0 million from $62.0 million, with the amount of all advances through October 2024 not to exceed $80.0 million. Principal repayments are made as homes are delivered, which began in May 2024. Pursuant to the amendment, the revolving line of credit will convert to a term loan and the aggregate commitment will be reduced to $55.0 million effective October 31, 2024, and then to $25.0 million by April 30, 2025. Borrowings under the line of credit are secured by the underlying property and related project assets. The line of credit is scheduled to mature on April 19, 2026, unless extended or terminated pursuant to its applicable terms. None of our other unconsolidated joint ventures had outstanding debt at August 31, 2024 or November 30, 2023.
Financial services
Schedule of Equity Method Investments [Line Items]
Schedule of Statements of operations of unconsolidated joint ventures	The following table presents combined condensed information from the statements of operations for our financial services unconsolidated joint venture (in thousands):   Three Months Ended August 31, Nine Months Ended August 31,   2024 2023 2024 2023 Revenues $ 31,615  $ 26,000  $ 93,485  $ 74,640  Expenses (19,751) (17,701) (54,641) (52,325) Income $ 11,864  $ 8,299  $ 38,844  $ 22,315
Schedule of Balance sheets of unconsolidated joint ventures	The following table presents combined condensed balance sheet information for our financial services unconsolidated joint venture (in thousands): August 31, 2024 November 30, 2023 Assets Cash and cash equivalents $ 25,517  $ 29,163  Mortgage loans held for sale 192,267  164,252  Other assets 22,598  18,380  Total assets $ 240,382  $ 211,795  Liabilities and equity Accounts payable and other liabilities $ 15,024  $ 13,763  Funding facilities 185,872  159,324  Equity 39,486  38,708  Total liabilities and equity $ 240,382  $ 211,795

v3.24.3

Other Assets (Tables)	9 Months Ended
	Aug. 31, 2024
Other Assets [Abstract]
Schedule of Other Assets	Other assets consisted of the following (in thousands): August 31, 2024 November 30, 2023 Cash surrender value of corporate-owned life insurance contracts $ 52,442  $ 53,079  Prepaid expenses 23,731  15,879  Lease right-of-use assets 19,737  24,725  Other 17,765  3,304  Total $ 113,675  $ 96,987

v3.24.3

Accrued Expenses and Other Liabilities (Tables)	9 Months Ended
	Aug. 31, 2024
Payables and Accruals [Abstract]
Schedule of Accrued Expenses and Other Liabilities	Accrued expenses and other liabilities consisted of the following (in thousands): August 31, 2024 November 30, 2023 Self-insurance and other legal liabilities $ 294,274  $ 269,735  Employee compensation and related benefits 157,722  171,408  Warranty liability 93,670  98,000  Customer deposits 56,988  58,910  Inventory-related obligations (a) 46,360  41,525  Lease liabilities 21,718  26,531  Accrued interest payable 17,392  29,391  Real estate and business taxes 16,966  15,169  Federal and state taxes payable 4,842  1,851  Other 47,996  45,707  Total $ 757,928  $ 758,227  (a)Represents liabilities for financing arrangements discussed in Note 8 – Variable Interest Entities, as well as liabilities for fixed or determinable amounts associated with tax increment financing entity (“TIFE”) assessments. As homes are delivered, our obligation to pay the remaining TIFE assessments associated with each underlying lot is transferred to the homebuyer. As such, these assessment obligations will be paid by us only to the extent we do not deliver homes on applicable lots before the related TIFE obligations mature.

v3.24.3

Leases (Tables)	9 Months Ended
	Aug. 31, 2024
Leases [Abstract]
Schedule of Lease Information	The following table presents our lease right-of-use assets and lease liabilities (in thousands): August 31, 2024 November 30, 2023 Lease right-of-use assets (a) $ 19,771  $ 24,773  Lease liabilities (a) 21,754  26,581  (a)Consists of amounts within both our homebuilding and financial services operations. The financial services amounts were nominal as of each date.

v3.24.3

Income Taxes (Tables)	9 Months Ended
	Aug. 31, 2024
Income Tax Disclosure [Abstract]
Schedule of Income Tax Expense and Effective Tax Rates	Our income tax expense and effective tax rates were as follows (dollars in thousands):   Three Months Ended August 31, Nine Months Ended August 31,   2024 2023 2024 2023 Income tax expense $ 50,100  $ 44,600  $ 138,800  $ 131,800  Effective tax rate 24.2  % 22.9  % 23.0  % 23.1  %

v3.24.3

Notes Payable (Tables)	9 Months Ended
	Aug. 31, 2024
Debt Disclosure [Abstract]
Schedule of Mortgages and Notes Payable	Notes payable consisted of the following (in thousands): August 31, 2024 November 30, 2023 Senior unsecured term loan due August 25, 2026 $ 358,659  $ 358,156  6.875% Senior notes due June 15, 2027 298,432  298,062  4.80% Senior notes due November 15, 2029 297,840  297,572  7.25% Senior notes due July 15, 2030 346,453  346,101  4.00% Senior notes due June 15, 2031 386,527  386,199  Mortgages and land contracts due to land sellers and other loans 3,149  3,808  Total $ 1,691,060  $ 1,689,898

v3.24.3

Fair Value Disclosures (Tables)	9 Months Ended
	Aug. 31, 2024
Fair Value Disclosures [Abstract]
Schedule of Fair Value Hierarchy, Carrying Values, and Estimated Fair Values of Financial Instruments	The following table presents the fair value hierarchy, carrying values and estimated fair values of our financial instruments, except those for which the carrying values approximate fair values (in thousands):     August 31, 2024 November 30, 2023  Description Fair Value Hierarchy Carrying Value (a) Estimated Fair Value Carrying Value (a) Estimated Fair Value Financial Liabilities: Senior notes Level 2 $ 1,329,252  $ 1,321,538  $ 1,327,934  $ 1,260,725  (a)The carrying value for the senior notes, as presented, includes unamortized debt issuance costs. Debt issuance costs are not factored into the estimated fair values of these notes.

v3.24.3

Commitments and Contingencies (Tables)	9 Months Ended
	Aug. 31, 2024
Commitments and Contingencies Disclosure [Abstract]
Schedule of Product Warranty Liability	The changes in our warranty liability were as follows (in thousands):   Three Months Ended August 31, Nine Months Ended August 31,   2024 2023 2024 2023 Balance at beginning of period $ 94,803  $ 99,142  $ 98,000  $ 101,890  Warranties issued 9,731  9,354  27,596  27,997  Payments (10,864) (12,781) (31,926) (34,172) Balance at end of period $ 93,670  $ 95,715  $ 93,670  $ 95,715
Schedule of Self-Insurance Liability	The changes in our self-insurance liability were as follows (in thousands):   Three Months Ended August 31, Nine Months Ended August 31,   2024 2023 2024 2023 Balance at beginning of period $ 173,029  $ 172,223  $ 179,832  $ 175,977  Self-insurance provided 5,604  4,794  14,867  12,612  Payments (3,206) (4,277) (14,686) (13,411) Adjustments (a) (3,410) 1,259  (7,996) (1,179) Balance at end of period $ 172,017  $ 173,999  $ 172,017  $ 173,999  (a)Represents net changes in estimated probable recoveries related to self-insurance, which are recorded in receivables, to present our self-insurance liability on a gross basis.

v3.24.3

Supplemental Disclosure to Consolidated Statements of Cash Flows (Tables)	9 Months Ended
	Aug. 31, 2024
Supplemental Cash Flow Information [Abstract]
Schedule of Supplemental Disclosures to the Consolidated Statements Of Cash Flows	The following are supplemental disclosures to the consolidated statements of cash flows (in thousands):   Nine Months Ended August 31,   2024 2023 Summary of cash and cash equivalents at end of period: Homebuilding $ 374,911  $ 612,076  Financial services 782  321  Total $ 375,693  $ 612,397  Supplemental disclosures of cash flow information: Interest paid, net of amounts capitalized $ 11,999  $ 12,366  Income taxes paid 145,915  104,799  Supplemental disclosures of non-cash activities: Inventories acquired through seller financing 3,149  2,891  Increase (decrease) in consolidated inventories not owned 4,616  (2,129) Increase in inventories due to distributions of land and land development from an unconsolidated joint venture 7,753  7,569

v3.24.3

Basis of Presentation and Significant Accounting Policies (Narratives) (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Aug. 31, 2024	Aug. 31, 2023	Aug. 31, 2024	Aug. 31, 2023	Nov. 30, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Cash equivalents	$ 218.9		$ 218.9		$ 508.2
Other comprehensive income (loss)	$ 157.3	$ 149.9	$ 464.4	$ 439.9

v3.24.3

Segment Information (Narratives) (Details)	9 Months Ended
	Aug. 31, 2024 segment
Schedule of Equity Method Investments [Line Items]
Number of reportable segments	5
KBHS, LLC | Financial services
Schedule of Equity Method Investments [Line Items]
Ownership interest in joint venture	50.00%
KBHS, LLC | GR Alliance, LLC
Schedule of Equity Method Investments [Line Items]
Ownership interest in joint venture	50.00%
Homebuilding
Schedule of Equity Method Investments [Line Items]
Number of reportable segments	4
Financial services
Schedule of Equity Method Investments [Line Items]
Number of reportable segments	1

v3.24.3

Segment Information (Segment Financial Information) (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Aug. 31, 2024	Aug. 31, 2023	Aug. 31, 2024	Aug. 31, 2023	Nov. 30, 2023
Revenues:
Revenues	$ 1,752,608	$ 1,587,011	$ 4,930,187	$ 4,736,641
Pretax income (loss):
Pretax income (loss)	207,429	194,533	603,213	571,675
Inventory impairments and land option contract abandonments			3,685	10,207
Assets:
Total assets	6,839,880		6,839,880		$ 6,648,362
Homebuilding
Revenues:
Revenues	1,745,979	1,579,719	4,909,189	4,716,102
Pretax income (loss):
Pretax income (loss)	196,476	184,622	567,420	544,339
Inventory impairments and land option contract abandonments	1,177	631	3,685	10,207
Assets:
Total assets	6,777,101		6,777,101		6,591,483
Homebuilding | West Coast
Revenues:
Revenues	760,617	506,802	2,017,336	1,611,171
Pretax income (loss):
Pretax income (loss)	99,222	55,034	252,099	169,683
Inventory impairments and land option contract abandonments	496	400	2,441	4,348
Assets:
Total assets	3,117,670		3,117,670		2,638,455
Homebuilding | Southwest
Revenues:
Revenues	312,812	306,284	954,602	881,699
Pretax income (loss):
Pretax income (loss)	54,826	46,193	165,302	147,341
Inventory impairments and land option contract abandonments	0	0	116	0
Assets:
Total assets	962,585		962,585		908,578
Homebuilding | Central
Revenues:
Revenues	372,862	506,640	1,069,136	1,441,805
Pretax income (loss):
Pretax income (loss)	43,304	75,421	128,446	213,239
Inventory impairments and land option contract abandonments	469	231	725	2,310
Assets:
Total assets	1,068,714		1,068,714		1,158,949
Homebuilding | Southeast
Revenues:
Revenues	299,688	259,993	868,115	781,427
Pretax income (loss):
Pretax income (loss)	33,003	38,495	103,827	110,951
Inventory impairments and land option contract abandonments	212	0	403	3,549
Assets:
Total assets	1,041,912		1,041,912		939,997
Homebuilding | Corporate and other
Pretax income (loss):
Pretax income (loss)	(33,879)	$ (30,521)	(82,254)	$ (96,875)
Assets:
Total assets	$ 586,220		$ 586,220		$ 945,504

v3.24.3

Financial Services (Schedule of Income (Loss)) (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Aug. 31, 2024	Aug. 31, 2023	Aug. 31, 2024	Aug. 31, 2023
Revenues
Total	$ 1,752,608	$ 1,587,011	$ 4,930,187	$ 4,736,641
Expenses
Equity in income of unconsolidated joint venture			22,654	9,975
Total pretax income	207,429	194,533	603,213	571,675
Financial services
Revenues
Insurance commissions	3,691	4,153	12,685	11,537
Title services	2,938	3,139	8,313	9,002
Total	6,629	7,292	20,998	20,539
Expenses
General and administrative	1,608	1,530	4,627	4,360
Operating income	5,021	5,762	16,371	16,179
Equity in income of unconsolidated joint venture	5,932	4,149	19,422	11,157
Total pretax income	$ 10,953	$ 9,911	$ 35,793	$ 27,336

v3.24.3

Financial Services (Schedule of Assets and Liabilities) (Details) - USD ($) $ in Thousands		Aug. 31, 2024	Nov. 30, 2023
Assets
Total assets		$ 6,839,880	$ 6,648,362
Financial services
Assets
Cash and cash equivalents		782	266
Receivables		3,655	2,783
Investment in unconsolidated joint venture		19,743	19,354
Other assets	[1]	38,599	34,476
Total assets		62,779	56,879
Liabilities
Accounts payable and accrued expenses		2,030	1,645
Total liabilities		2,030	1,645
Contract assets for estimated future renewal commissions		$ 38,500	$ 34,400
[1] Other assets at August 31, 2024 and November 30, 2023 included $38.5 million and $34.4 million, respectively, of contract assets for estimated future renewal commissions.

v3.24.3

Earnings Per Share (Basic and Diluted Earnings Per Share) (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Aug. 31, 2024	Aug. 31, 2023	Aug. 31, 2024	Aug. 31, 2023
Numerator:
Net income	$ 157,329	$ 149,933	$ 464,413	$ 439,875
Less: Distributed earnings allocated to participating securities	(143)	(120)	(406)	(295)
Less: Undistributed earnings allocated to participating securities	(1,062)	(998)	(3,137)	(2,851)
Numerator for basic earnings per share	156,124	148,815	460,870	436,729
Add: Undistributed earnings allocated to participating securities	1,062	998	3,137	2,851
Less: Undistributed earnings reallocated to participating securities	(1,032)	(967)	(3,047)	(2,766)
Numerator for diluted earnings per share	$ 156,154	$ 148,846	$ 460,960	$ 436,814
Denominator:
Weighted average shares outstanding — basic (in shares)	74,476	80,175	75,339	81,790
Effect of dilutive securities: Share-based payments (in shares)	2,154	2,557	2,226	2,542
Weighted average shares outstanding — diluted (in shares)	76,630	82,732	77,565	84,332
Basic earnings per share (in dollars per share)	$ 2.10	$ 1.86	$ 6.12	$ 5.34
Diluted earnings per share (in dollars per share)	$ 2.04	$ 1.80	$ 5.94	$ 5.18
Antidilutive securities excluded from computation of earnings per share (in shares)	0	0	0	0

v3.24.3

Receivables (Details) - USD ($) $ in Thousands	Aug. 31, 2024	Nov. 30, 2023
Accounts, Notes, Loans and Financing Receivable [Line Items]
Income taxes receivable	$ 10,626	$ 0
Homebuilding
Accounts, Notes, Loans and Financing Receivable [Line Items]
Due from utility companies, improvement districts and municipalities	184,855	197,102
Recoveries related to self-insurance and other legal claims	120,820	107,065
Refundable deposits and bonds	12,089	13,292
Other	49,502	53,615
Subtotal	377,892	371,074
Allowance for doubtful accounts	(4,356)	(4,212)
Total	$ 373,536	$ 366,862

v3.24.3

Inventories (Schedule of Inventories) (Details) - USD ($) $ in Thousands	Aug. 31, 2024	Nov. 30, 2023
Inventories
Homes completed or under construction	$ 2,316,960	$ 2,106,149
Land under development	3,331,970	3,027,497
Total	5,648,930	5,133,646
Land held for future development or sale	$ 10,500	$ 17,000

v3.24.3

Inventories (Schedule of Capitalized Interest Costs) (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Aug. 31, 2024	Aug. 31, 2023	Aug. 31, 2024		Aug. 31, 2023
Interest Costs
Capitalized interest at beginning of period	$ 131,765	$ 141,225	$ 134,375		$ 145,494
Interest incurred	26,583	26,810	79,665		80,609
Interest amortized to construction and land costs	(28,180)	(29,305)	(83,872)	[1]	(87,373)
Capitalized Interest amortized to land costs	0	200	200		200
Capitalized interest at end of period	$ 130,168	$ 138,730	$ 130,168		$ 138,730
[1] of $10.5 million and $17.0 million, respectively.

v3.24.3

Inventory Impairments and Land Option Contract Abandonments (Narratives) (Details)	3 Months Ended		9 Months Ended
	Aug. 31, 2024 USD ($) community	Aug. 31, 2023 USD ($)	Aug. 31, 2024 USD ($) community	Aug. 31, 2023 USD ($)	Nov. 30, 2023 USD ($) community
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Number of land parcels or communities evaluated for recoverability | community	6		6		5
Carrying value of communities of land parcels evaluated for impairment	$ 121,000,000.0		$ 121,000,000.0		$ 89,300,000
Inventory impairment charges	0	$ 0	0	$ 0
Aggregate carrying value of inventory impacted by pretax, noncash inventory impairment charges	$ 48,400,000		$ 48,400,000		$ 73,900,000
Number of communities and various other land parcels impacted by pretax, noncash inventory impairment charges | community	5		5		5
Land Option Contract Abandonment
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Land option abandonments	$ 1,200,000	$ 600,000	$ 3,700,000	$ 10,200,000

v3.24.3

Variable Interest Entities (Details) $ in Thousands	Aug. 31, 2024 USD ($) joint_venture	Nov. 30, 2023 USD ($) joint_venture
Variable Interest Entity [Line Items]
Number of investments in unconsolidated joint ventures | joint_venture	6	6
Cash Deposits	$ 77,458	$ 45,018
Aggregate Purchase Price	2,122,073	1,268,532
Pre-acquisition costs related to land option contracts and other similar contracts	26,000	18,500
Increase in inventories and accrued expenses and other liabilities	$ 26,100	$ 21,500
Unconsolidated VIEs
Variable Interest Entity [Line Items]
Number of investments in unconsolidated joint ventures | joint_venture	1	1
Cash Deposits	$ 49,649	$ 21,554
Aggregate Purchase Price	1,397,800	727,620
Other land option contracts and other similar contracts
Variable Interest Entity [Line Items]
Cash Deposits	27,809	23,464
Aggregate Purchase Price	$ 724,273	$ 540,912

v3.24.3

Investments in Unconsolidated Joint Ventures (Financial Information for Unconsolidated Joint Ventures) (Details) $ in Thousands		3 Months Ended		9 Months Ended
		Aug. 31, 2024 USD ($) joint_venture	Aug. 31, 2023 USD ($)	Aug. 31, 2024 USD ($) joint_venture	Aug. 31, 2023 USD ($)	Apr. 30, 2025 USD ($)	Oct. 31, 2024 USD ($)	May 31, 2024 USD ($)	Apr. 30, 2024 USD ($)	Mar. 31, 2024 USD ($)	Nov. 30, 2023 USD ($) joint_venture	May 31, 2023 USD ($)	Nov. 30, 2022 USD ($)
Schedule of Equity Method Investments [Line Items]
Number of investments in unconsolidated joint ventures | joint_venture		6		6							6
Statements of operations of unconsolidated joint venture
Net income		$ 157,329	$ 149,933	$ 464,413	$ 439,875
Assets
Total assets		6,839,880		6,839,880							$ 6,648,362
Liabilities and equity
Equity		3,987,094	3,830,128	3,987,094	3,830,128			$ 3,991,704			3,810,140	$ 3,766,482	$ 3,660,795
Total liabilities and stockholders’ equity		$ 6,839,880		$ 6,839,880							$ 6,648,362
Number of joint ventures with funding commitments | joint_venture		1		1							1
Number of other unconsolidated joint ventures with outstanding debt | joint_venture		0		0							0
Homebuilding
Assets
Cash and cash equivalents		$ 374,911		$ 374,911							$ 727,076
Other assets		113,675		113,675							96,987
Total assets		6,777,101		6,777,101							6,591,483
Financial services
Assets
Cash and cash equivalents		782		782							266
Other assets	[1]	38,599		38,599							34,476
Total assets		62,779		62,779							56,879
Financial services | Interest Rate Lock Commitments
Liabilities and equity
Derivative asset, notional amount		17,600		17,600							13,900
Change in fair value included in gain (loss) on sale of mortgage loans held for sale		(400)	(5,200)	$ 3,800	(9,400)
Equity Method Investment, Nonconsolidated Investee or Group of Investees | Unsecured revolving credit facility
Liabilities and equity
Line of credit facility, current borrowing capacity									$ 70,000	$ 62,000
Unsecured revolving credit facility, expiration date				Apr. 19, 2026
Equity Method Investment, Nonconsolidated Investee or Group of Investees | Unsecured revolving credit facility | Term Loan Commitment | Forecast
Liabilities and equity
Debt instrument, face amount						$ 25,000	$ 55,000
Equity Method Investment, Nonconsolidated Investee or Group of Investees | Unsecured revolving credit facility | Max | Forecast
Liabilities and equity
Line of credit facility, current borrowing capacity							$ 80,000
Equity Method Investment, Nonconsolidated Investee or Group of Investees | Homebuilding
Statements of operations of unconsolidated joint venture
Revenues		32,241	0	$ 37,539	1,171
Construction and land costs		(23,580)	0	(27,404)	(686)
Other expense, net		(1,694)	(193)	(3,541)	(2,603)
Net income		6,967	(193)	6,594	(2,118)
Assets
Cash		15,860		15,860							16,260
Receivables		2,894		2,894							3,437
Inventories		162,392		162,392							152,456
Other assets		1,174		1,174							679
Total assets		182,320		182,320							172,832
Liabilities and equity
Accounts payable and other liabilities		7,444		7,444							9,632
Notes payable	[2]	56,361		56,361							53,386
Equity		118,515		118,515							109,814
Total liabilities and stockholders’ equity		182,320		182,320							172,832
Equity Method Investment, Nonconsolidated Investee or Group of Investees | Financial services
Statements of operations of unconsolidated joint venture
Revenues		31,615	26,000	93,485	74,640
Other expense, net		(19,751)	(17,701)	(54,641)	(52,325)
Net income		11,864	$ 8,299	38,844	$ 22,315
Assets
Cash and cash equivalents		25,517		25,517							29,163
Mortgage loans held for sale		192,267		192,267							164,252
Other assets		22,598		22,598							18,380
Total assets		240,382		240,382							211,795
Liabilities and equity
Accounts payable and other liabilities		15,024		15,024							13,763
Funding facilities		185,872		185,872							159,324
Equity		39,486		39,486							38,708
Total liabilities and stockholders’ equity		$ 240,382		$ 240,382							$ 211,795
[1] Other assets at August 31, 2024 and November 30, 2023 included $38.5 million and $34.4 million, respectively, of contract assets for estimated future renewal commissions. [2] As of both August 31, 2024 and November 30, 2023, one of our unconsolidated joint ventures had borrowings outstanding under a revolving line of credit it entered into with a third-party lender in April 2022 to finance its land acquisition, development and construction activities. In April 2024, the revolving line of credit was amended, increasing the aggregate commitment to $70.0 million from $62.0 million, with the amount of all advances through October 2024 not to exceed $80.0 million. Principal repayments are made as homes are delivered, which began in May 2024. Pursuant to the amendment, the revolving line of credit will convert to a term loan and the aggregate commitment will be reduced to $55.0 million effective October 31, 2024, and then to $25.0 million by April 30, 2025. Borrowings under the line of credit are secured by the underlying property and related project assets. The line of credit is scheduled to mature on April 19, 2026, unless extended or terminated pursuant to its applicable terms. None of our other unconsolidated joint ventures had outstanding debt at August 31, 2024 or November 30, 2023

v3.24.3

Other Assets (Details) - USD ($) $ in Thousands		Aug. 31, 2024	Nov. 30, 2023
Other Assets [Line Items]
Lease right-of-use assets	[1]	$ 19,771	$ 24,773
Homebuilding
Other Assets [Line Items]
Cash surrender value of corporate-owned life insurance contracts		52,442	53,079
Prepaid expenses		23,731	15,879
Lease right-of-use assets		19,737	24,725
Other Assets, Miscellaneous		17,765	3,304
Total		$ 113,675	$ 96,987
[1] Consists of amounts within both our homebuilding and financial services operations. The financial services amounts were nominal as of each date.

v3.24.3

Other Assets - Additional Information (Details) - USD ($) $ in Millions	9 Months Ended
	Aug. 31, 2024	Mar. 01, 2024
Business Acquisition [Line Items]
Ownership interest in investment sold (percent)		13.50%
Gain on sale of investments	$ 12.5
Chairman and Chief Executive Officer
Business Acquisition [Line Items]
Ownership interest in limited liability Company (percent)	3.30%

v3.24.3

Accrued Expenses and Other Liabilities (Details) - USD ($) $ in Thousands		Aug. 31, 2024	May 31, 2024	Nov. 30, 2023	Aug. 31, 2023	May 31, 2023	Nov. 30, 2022
Lessee, Lease, Description [Line Items]
Self-insurance and other legal liabilities		$ 294,274		$ 269,735
Employee compensation and related benefits		157,722		171,408
Warranty liability		93,670	$ 94,803	98,000	$ 95,715	$ 99,142	$ 101,890
Customer deposits		56,988		58,910
Inventory-related obligations	[1]	46,360		41,525
Lease liabilities	[2]	21,754		26,581
Accrued interest payable		17,392		29,391
Real estate and business taxes		16,966		15,169
Federal and state taxes payable		4,842		1,851
Other		47,996		45,707
Total		757,928		758,227
Homebuilding
Lessee, Lease, Description [Line Items]
Lease liabilities		21,718		26,531
Total		$ 757,928		$ 758,227
[1] Represents liabilities for financing arrangements discussed in Note 8 – Variable Interest Entities, as well as liabilities for fixed or determinable amounts associated with tax increment financing entity (“TIFE”) assessments. As homes are delivered, our obligation to pay the remaining TIFE assessments associated with each underlying lot is transferred to the homebuyer. As such, these assessment obligations will be paid by us only to the extent we do not deliver homes on applicable lots before the related TIFE obligations mature. [2] Consists of amounts within both our homebuilding and financial services operations. The financial services amounts were nominal as of each date.

v3.24.3

Leases (Narrative) (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Aug. 31, 2024	Aug. 31, 2023	Aug. 31, 2024	Aug. 31, 2023
Leases [Abstract]
Lease expense	$ 5.1	$ 5.7	$ 15.4	$ 16.5
Short-term lease cost	$ 1.9	$ 2.4	$ 5.6	$ 6.3

v3.24.3

Leases (Lease Information) (Details) - USD ($) $ in Thousands		Aug. 31, 2024	Nov. 30, 2023
Leases [Abstract]
Lease right-of-use assets	[1]	$ 19,771	$ 24,773
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration]		Other Assets	Other Assets
Lease liabilities	[1]	$ 21,754	$ 26,581
Operating Lease, Liability, Statement of Financial Position [Extensible Enumeration]		Accrued Liabilities	Accrued Liabilities
[1] Consists of amounts within both our homebuilding and financial services operations. The financial services amounts were nominal as of each date.

v3.24.3

Income Taxes (Income Tax Expense and Effective Tax Rates) (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Aug. 31, 2024	Aug. 31, 2023	Aug. 31, 2024	Aug. 31, 2023
Income Tax Expense (Benefit), Continuing Operations [Abstract]
Income tax expense	$ 50,100	$ 44,600	$ 138,800	$ 131,800
Effective tax rate	24.20%	22.90%	23.00%	23.10%

v3.24.3

Income Taxes (Narrative) (Details) - USD ($)	3 Months Ended		9 Months Ended
	Aug. 31, 2024	Aug. 31, 2023	Aug. 31, 2024	Aug. 31, 2023	Nov. 30, 2023
Income Tax Disclosure [Abstract]
Tax benefits from share-based compensation		$ 1,900,000	$ 6,500,000	$ 5,700,000
Income tax credits and adjustments	$ 3,900,000	6,900,000	12,800,000	19,400,000
Nondeductible expense	2,400,000	$ 2,600,000	7,900,000	$ 9,200,000
Deferred tax assets	130,700,000		130,700,000		$ 136,400,000
Deferred tax assets, valuation allowance	16,900,000		16,900,000		$ 16,900,000
Adjustments to deferred tax valuation allowance			0
State and Local Jurisdiction
Effective Income Tax Rate Reconciliation [Line Items]
Decrease in income taxes	$ 2,400,000		$ 5,300,000

v3.24.3

Notes Payable (Schedule Notes Payable) (Details) - USD ($) $ in Thousands	Aug. 31, 2024	Nov. 30, 2023
Debt Instrument [Line Items]
Notes payable	$ 1,691,060	$ 1,689,898
Senior unsecured term loan due August 25, 2026 | Senior unsecured term loan due August 25, 2026
Debt Instrument [Line Items]
Notes payable	$ 358,659	358,156
Senior Notes | 6.875% Senior notes due June 15, 2027
Debt Instrument [Line Items]
Stated interest rate percentage	6.875%
Notes payable	$ 298,432	298,062
Senior Notes | 4.80% Senior notes due November 15, 2029
Debt Instrument [Line Items]
Stated interest rate percentage	4.80%
Notes payable	$ 297,840	297,572
Senior Notes | 7.25% Senior notes due July 15, 2030
Debt Instrument [Line Items]
Stated interest rate percentage	7.25%
Notes payable	$ 346,453	346,101
Senior Notes | 4.00% Senior notes due June 15, 2031
Debt Instrument [Line Items]
Stated interest rate percentage	4.00%
Notes payable	$ 386,527	386,199
Mortgages and land contracts due to land sellers and other loans
Debt Instrument [Line Items]
Notes payable	$ 3,149	$ 3,808

v3.24.3

Notes Payable (Narratives) (Details) - USD ($)	9 Months Ended
	Aug. 31, 2024	Nov. 30, 2023
Debt Instrument [Line Items]
Unamortized debt issuance costs, premiums and discounts	$ 12,100,000	$ 13,900,000
Debt instrument, maturity date	Aug. 25, 2026
Letters of credit outstanding	$ 78,900,000	19,100,000
Debt instrument, collateral amount	11,700,000
Long-Term Debt, Fiscal Year Maturity [Abstract]
Repayments of principal, 2024	0
Repayments of principal, 2025	500,000
Repayments of principal, 2026	360,600,000
Repayments of principal, 2027	300,800,000
Repayments of principal, 2028	800,000
Repayments of principal, thereafter	1,040,000,000.00
Senior unsecured term loan due August 25, 2026
Debt Instrument [Line Items]
Debt instrument, face amount	$ 360,000,000
Senior unsecured term loan due August 25, 2026 | Senior unsecured term loan due August 25, 2026
Debt Instrument [Line Items]
Weighted average interest rate (in percentage)	6.80%
Revolving Credit Facility
Debt Instrument [Line Items]
Line of credit facility, current borrowing capacity	$ 1,090,000,000.00
Unsecured revolving credit facility, expiration date	Feb. 18, 2027
Unsecured revolving credit facility, maximum borrowing capacity	$ 1,290,000,000
Credit facility, letters of credit outstanding	0
Unsecured revolving credit facility, remaining borrowing capacity	$ 1,080,000,000.00
Revolving Credit Facility | Min
Debt Instrument [Line Items]
Line of credit facility, unused capacity, commitment fee percentage	0.15%
Revolving Credit Facility | Max
Debt Instrument [Line Items]
Line of credit facility, unused capacity, commitment fee percentage	0.35%
Letter of Credit
Debt Instrument [Line Items]
Line of credit facility, current borrowing capacity	$ 250,000,000.0
Credit facility, letters of credit outstanding	8,300,000
Unsecured revolving credit facility, remaining borrowing capacity	241,700,000
LOC Facilities
Debt Instrument [Line Items]
Line of credit facility, current borrowing capacity	$ 75,000,000.0
Unsecured revolving credit facility, expiration date	Feb. 18, 2027
Letters of credit outstanding	$ 70,600,000	$ 12,500,000

v3.24.3

Fair Value Disclosures (Fair Value Hierarchy, Carrying Values, and Estimated Fair Values of Financial Instruments) (Details) - USD ($) $ in Thousands		Aug. 31, 2024	Nov. 30, 2023
Level 3 | Fair Value, Nonrecurring
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Pre-impairment value		$ 0	$ 0
Carrying Value | Level 2 | Senior Notes
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Senior notes	[1]	1,329,252	1,327,934
Estimated Fair Value | Level 2 | Senior Notes
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Senior notes		$ 1,321,538	$ 1,260,725
[1] The carrying value for the senior notes, as presented, includes unamortized debt issuance costs. Debt issuance costs are not factored into the estimated fair values of these notes.

v3.24.3

Commitments and Contingencies (Narratives) (Details)	9 Months Ended
	Aug. 31, 2024 USD ($) claim home	Nov. 30, 2023 USD ($)
Loss Contingencies [Line Items]
Structural warranty provided by company (in years)	10 years
Warranty for other components of home (in years)	1 year
Performance bonds	$ 1,310,000,000	$ 1,320,000,000
Letters of credit outstanding	78,900,000	19,100,000
Cash deposits	77,458,000	45,018,000
Aggregate purchase price of land	2,122,073,000	1,268,532,000
LOC Facilities
Loss Contingencies [Line Items]
Letters of credit outstanding	$ 70,600,000	12,500,000
Expiration period	1 year
Damages from Product Defects
Loss Contingencies [Line Items]
Minimum number of affected homes for construction defect claims | home	2
Warranty Obligations
Loss Contingencies [Line Items]
Structural warranty provided by company (in years)	10 years
Self Insurance
Loss Contingencies [Line Items]
Reclassification of warranty recoveries to receivables	$ 23,100,000	$ 31,100,000
Chapter 558 of the Florida Statutes
Loss Contingencies [Line Items]
Number of new claims filed | claim	452
Minimum
Loss Contingencies [Line Items]
Warranty on electrical and other building systems (in years)	2 years
Insurance coverage amount for construction	$ 50,000
Maximum
Loss Contingencies [Line Items]
Warranty on electrical and other building systems (in years)	5 years
Insurance coverage amount for construction	$ 250,000

v3.24.3

Commitments and Contingencies (Changes in the Warranty and Self-Insurance Liability) (Details) - USD ($) $ in Thousands		3 Months Ended		9 Months Ended
		Aug. 31, 2024	Aug. 31, 2023	Aug. 31, 2024	Aug. 31, 2023
Changes in the Company's warranty liability
Balance at beginning of period		$ 94,803	$ 99,142	$ 98,000	$ 101,890
Warranties issued		9,731	9,354	27,596	27,997
Payments		(10,864)	(12,781)	(31,926)	(34,172)
Balance at end of period		93,670	95,715	93,670	95,715
Movement In Self Insurance Reserve [Roll Forward]
Balance at beginning of period		173,029	172,223	179,832	175,977
Self-insurance provided		5,604	4,794	14,867	12,612
Payments		(3,206)	(4,277)	(14,686)	(13,411)
Balance at end of period		172,017	173,999	172,017	173,999
Self Insurance
Movement In Self Insurance Reserve [Roll Forward]
Adjustments	[1]	$ (3,410)	$ 1,259	$ (7,996)	$ (1,179)
[1] Represents net changes in estimated probable recoveries related to self-insurance, which are recorded in receivables, to present our self-insurance liability on a gross basis.

v3.24.3

Legal Matters (Details)	9 Months Ended
	Aug. 31, 2024
Loss Contingency, Information about Litigation Matters [Abstract]
Applicability and impact of environmental laws	Pursuant to SEC rules, we will disclose any proceeding in which a governmental authority is a party and that arises under any federal, state or local provisions enacted or adopted regulating the discharge of materials into the environment or primarily for the purpose of protecting the environment only where we believe that such proceeding will result in monetary sanctions on us, exclusive of interest and costs, above $1.0 million or is otherwise material to our consolidated financial statements

v3.24.3

Stockholders' Equity (Narratives) (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended				9 Months Ended		36 Months Ended
	Aug. 31, 2024	May 31, 2024	Feb. 29, 2024	Aug. 31, 2023	Aug. 31, 2024	Aug. 31, 2023	Nov. 30, 2023	Apr. 18, 2024	Feb. 28, 2024	Mar. 21, 2023
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Common stock, shares, issued (in shares)	101,891,905				101,891,905		101,275,979
Payment, tax withholding, share-based payment arrangement					$ 16,505	$ 9,748
Stock repurchased (in shares)					3,460,697
Stock repurchased, value					$ 250,000
Increase in cash dividend declared per common share (in dollars per share)		$ 0.05
Cash dividend declared per common share (in dollars per share)	$ 0.25	0.25		$ 0.20	$ 0.70	$ 0.50
Dividend paid (in dollars per share)	$ 0.25	$ 0.25		$ 0.20	$ 0.70	$ 0.50
Treasury Stock
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Tax payments associated with stock-based compensation awards (in shares)					258,000	277,000
Stock repurchased (in shares)	1,869,000			1,531,000	3,461,000	5,659,000
Shares Withheld to Pay Taxes
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Tax payments associated with stock-based compensation awards (in shares)			248,157
Payment, tax withholding, share-based payment arrangement			$ 15,900
March 2023 Stock Repurchase Program
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock repurchase program, remaining authorized repurchase amount							$ 163,600	$ 113,600		$ 500,000
Stock repurchased (in shares)			826,663
Stock repurchased, value			$ 50,000
April 2024 Stock Repurchase Program
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock repurchase program, remaining authorized repurchase amount	$ 800,000				$ 800,000			$ 1,000,000
Stock repurchased (in shares)	1,869,292	764,742
Stock repurchased, value	$ 150,000	$ 50,000
Performance Shares | PSU 2020 Member
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Common stock, shares, issued (in shares)									519,636
Share-based payment arrangement, nonvested award, cost not yet recognized, period for recognition							3 years

v3.24.3

Stock-Based Compensation (Narratives) (Details) - USD ($)	3 Months Ended		9 Months Ended
	Aug. 31, 2024	Aug. 31, 2023	Aug. 31, 2024	Aug. 31, 2023	Nov. 30, 2023
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Options outstanding (in shares)	493,641		493,641		1,109,567
Options outstanding weighted average exercise price (in dollars per share)	$ 16.05		$ 16.05		$ 15.50
Exercised (in shares)			615,926
Exercised (in dollars per share)			$ 15.05
Aggregate intrinsic value of stock options outstanding	$ 33,400,000		$ 33,400,000
Aggregate intrinsic value of stock options exercisable	33,400,000		$ 33,400,000
Stock Options
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Weighted average remaining contractual life of stock options outstanding			2 years
Weighted average remaining contractual life of stock options exercisable			2 years
Stock-based compensation expense	0	$ 0	$ 0	$ 0
Restricted Stock and Performance Unit Shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock-based compensation expense	$ 8,000,000.0	$ 9,200,000	$ 25,300,000	$ 23,900,000

v3.24.3

Supplemental Disclosure to Consolidated Statements of Cash Flows (Details) - USD ($) $ in Thousands	9 Months Ended
	Aug. 31, 2024	Aug. 31, 2023	Nov. 30, 2023	Nov. 30, 2022
Summary of cash and cash equivalents at end of period:
Cash and cash equivalents	$ 375,693	$ 612,397	$ 727,342	$ 330,198
Supplemental disclosures of cash flow information:
Interest paid, net of amounts capitalized	11,999	12,366
Income taxes paid	145,915	104,799
Supplemental disclosures of non-cash activities:
Inventories acquired through seller financing	3,149	2,891
Increase (decrease) in consolidated inventories not owned	4,616	(2,129)
Inspirada Builders LLC
Supplemental disclosures of non-cash activities:
Increase in inventories due to distributions of land and land development from an unconsolidated joint venture	7,753	7,569
Homebuilding
Summary of cash and cash equivalents at end of period:
Cash and cash equivalents	374,911	612,076
Financial services
Summary of cash and cash equivalents at end of period:
Cash and cash equivalents	$ 782	$ 321

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