Century Communities Reports Third Quarter 2026 Results

Lower home prices and fewer deliveries accompanied a Dallas-Fort Worth acquisition and expanded revolving credit capacity.

Rhea-AI Summary

Century Communities (NYSE: CCS) reported third-quarter 2026 net income of $12.6 million as home prices and deliveries declined year over year. Diluted earnings were $0.44, versus $1.25 a year earlier, while revenue fell to $864.5 million from $980.3 million. Deliveries decreased 1.8% to 2,442 homes, and average selling price declined 10.2% to $345,000. Net new contracts fell 4.3% to 2,284. Homebuilding gross margin was 15.0%, including inventory impairment charges.

Century acquired substantially all HistoryMaker Homes assets on October 7, 2026. It expanded revolving credit capacity to $1.2 billion and extended maturity to November 2030. The company expects 2026 deliveries of 9,350–9,650 homes, including 100 HistoryMaker deliveries in the fourth quarter, and home sales revenue of $3.3–$3.4 billion. Quarter-end liquidity was $863.8 million, and book value per share reached a record $90.61.

16 points · 0 major

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0 major · 30 points

Hollow bars mark forward-looking points. How the balance works

Positive

• Moderate pointHistoryMaker asset acquisition completed October 7, 2026, expanding Century’s Dallas-Fort Worth business.
• Moderate pointRevolving credit capacity increased to $1.2 billion, with maturity extended to November 2030. 73% of market cap
• Moderate point. Forward-looking: it has not happened yet and may not happen.Century expects 9,350–9,650 deliveries and $3.3–$3.4 billion home sales revenue for 2026, including 100 fourth-quarter HistoryMaker deliveries.
• Moderate pointSelling communities reached a record 343, up 7% year over year and 4% sequentially.
• Minor pointAcquisition increases Dallas active communities from 12 to 41 on a September 30, 2026 basis.

11 minor points

• Minor pointAcquisition increases Dallas trailing-twelve-month deliveries through third-quarter 2026 from 211 to 669 homes.
• Minor pointBook value per share reached a company record $90.61 at September 30, 2026.
• Minor pointThird-quarter financial services revenue increased to $21.151 million from $19.358 million a year earlier.
• Minor pointThird-quarter financial services pre-tax income totaled $6.2 million.
• Minor pointThird-quarter selling, general and administrative expense decreased to $118.837 million from $119.895 million a year earlier.
• Minor pointDirect construction costs, finished lot costs and fixed overhead excluding advertising decreased sequentially.
• Minor pointTexas third-quarter net new contracts rose 21.0% to 524; Century Complete contracts increased 3.7% to 840.
• Minor pointTexas third-quarter deliveries rose 17.4% to 540; Century Complete deliveries increased 11.4% to 928.
• Minor pointNine-month Texas net new contracts increased 9.0% to 1,565; deliveries rose 1.4% to 1,438.
• Minor pointNine-month financial services revenue increased to $68.991 million from $61.666 million a year earlier.
• Minor pointNine-month selling, general and administrative expense decreased to $362.335 million from $369.491 million a year earlier.

Negative

• Moderate pointThird-quarter net income fell to $12.617 million from $37.403 million a year earlier.
• Moderate pointThird-quarter total revenue declined to $864.467 million from $980.284 million a year earlier.
• Moderate pointThird-quarter deliveries decreased 1.8% to 2,442 homes year over year.
• Moderate pointThird-quarter average selling price declined 10.2% to $345,000 year over year.
• Moderate pointThird-quarter net new contracts declined 4.3% to 2,284 year over year.
• Moderate pointInventory impairments reduced third-quarter homebuilding gross margin to 15.0%, versus 17.3% excluding impairments.
• Moderate pointRevolver borrowings increased to $456 million from $51.5 million at December 31, 2025.

23 minor points

• Minor pointThird-quarter diluted earnings declined to $0.44 from $1.25 a year earlier.
• Minor pointThird-quarter home sales revenue fell to $842.493 million from $955.162 million a year earlier.
• Minor pointHigher mortgage rates affected orders and deliveries, the company said.
• Minor pointWest third-quarter contracts fell 20.5% to 268; deliveries decreased 24.7% to 278.
• Minor pointMountain third-quarter contracts fell 16.3% to 350; deliveries decreased 3.7% to 386.
• Minor pointSoutheast third-quarter contracts fell 22.2% to 302; deliveries decreased 26.7% to 310.
• Minor pointThird-quarter average selling prices declined across all five operating divisions year over year.
• Minor pointNine-month net income declined to $73.174 million from $111.641 million a year earlier.
• Minor pointNine-month diluted earnings declined to $2.54 from $3.65 a year earlier.
• Minor pointNine-month total revenue fell to $2.581367 billion from $2.884240 billion a year earlier.
• Minor pointNine-month home sales revenue fell to $2.474127 billion from $2.815365 billion a year earlier.
• Minor pointNine-month deliveries declined 5.4% to 6,961; average selling price fell 7.1% to $355,400.
• Minor pointNine-month net new contracts decreased 4.5% to 7,278 year over year.
• Minor pointNine-month West contracts fell 13.2% to 913; deliveries decreased 12.9% to 877.
• Minor pointNine-month Mountain deliveries decreased 6.5% to 1,146 year over year.
• Minor pointNine-month Southeast contracts fell 9.7% to 1,047; deliveries decreased 12.4% to 987.
• Minor pointNine-month Century Complete contracts fell 8.1% to 2,537; deliveries decreased 2.6% to 2,513.
• Minor pointNine-month average selling prices declined across all five operating divisions year over year.
• Minor pointCash and equivalents fell to $86.086 million from $109.443 million at December 31, 2025.
• Minor pointCash held in escrow fell to $33.740 million from $48.571 million at December 31, 2025.
• Minor pointNotes payable increased to $1.165321 billion from $1.102376 billion at December 31, 2025.
• Minor pointStockholders’ equity declined to $2.560998 billion from $2.591732 billion at December 31, 2025.
• Minor pointSoutheast selling communities decreased 17.8% to 37 from September 30, 2025.

News Explained

At September 30, Century reported revolving-line debt of $456,000 thousand against facility capacity of $1.2 billion.

On October 7, 2026, Century Communities acquired substantially all HistoryMaker Homes assets; the company says the deal will expand its Dallas division from 12 to 41 active communities and from 211 to 669 trailing-12-month deliveries through third-quarter 2026.

Century says it will maintain an ongoing land relationship with HistoryMaker’s sister land developer, which will complete land development for current and future Dallas-Fort Worth communities.

Key Figures

Total revenues: $864.5 million Net income: $12.6 million Diluted EPS: $0.44 +5 more

Total revenues

$864.5 million

Third quarter 2026

Net income

$12.6 million

Third quarter 2026

Diluted EPS

$0.44

Third quarter 2026

Home deliveries

2,442 homes

Third quarter 2026

Adjusted homebuilding gross margin

19.3%

Third quarter 2026

Full-year home deliveries outlook

9,350 to 9,650 homes

2026 outlook; includes 100 HistoryMaker deliveries in the fourth quarter

Full-year home sales revenue outlook

$3.3 billion to $3.4 billion

2026 outlook

Dallas active communities

12 to 41 communities

Dallas division following the HistoryMaker acquisition; as of September 30, 2026

Previous Earnings Reports

2 past events · Latest: Jul 22

Same Type 2 events

1. Jul 22

   Quarterly earnings

   24h Move

   +7.3%

   Raised full-year 2026 delivery and home-sales revenue guidance after Q1 reductions.

2. Apr 22

   Quarterly earnings

   24h Move

   -7.1%

   Lowered full-year 2026 delivery and home-sales revenue guidance amid market conditions.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Key Terms

gaap, ebitda, revolving line of credit, non-gaap financial measures

4 terms

gaap financial

"GAAP homebuilding gross margin of 15.0% inclusive of inventory impairment charges"

GAAP, or Generally Accepted Accounting Principles, are a set of standardized rules and guidelines that companies follow when preparing their financial statements. They ensure consistency, transparency, and comparability across different companies, making it easier for investors to understand and compare financial information accurately. This helps investors make informed decisions based on trustworthy and uniform financial reports.

View in glossary

ebitda financial

"Adjusted EBITDA and EBITDA for the third quarter 2026 were $63.4 million and $37.1 million"

EBITDA stands for earnings before interest, taxes, depreciation, and amortization. It measures a company's profitability by focusing on the money it makes from its core operations, ignoring expenses like taxes and accounting adjustments. Investors use EBITDA to compare how well different companies are performing financially, as it provides a clearer picture of operational success without the influence of financial structure or accounting choices.

View in glossary

revolving line of credit financial

"Century amended its revolving line of credit at the end of the quarter"

A revolving line of credit is a flexible borrowing arrangement that allows a person or business to access funds up to a set limit whenever needed, much like a prepaid card. As money is repaid, it becomes available to borrow again, making it a convenient way to manage cash flow or cover ongoing expenses. Investors pay attention to it because it reflects a company’s ability to access quick funds and manage financial flexibility.

non-gaap financial measures financial

"this press release includes the following non-GAAP financial measures"

Non-GAAP financial measures are numbers companies use to show their financial performance that exclude certain expenses or income. They help investors see how the company might perform without one-time costs or other unusual items, giving a different perspective from official reports. However, since they can be adjusted, they don’t always tell the full story and should be looked at alongside standard financial figures.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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- Deliveries of 2,442 Homes Generating $864.5 Million in Total Revenues -
- Ending Community Count Increased Sequentially to 343, a Company Record -
- Book Value Per Share of $90.61, a Company Record - 
- Acquired the Assets of HistoryMaker Homes on October 7, 2026 - 
- Increased Capacity on Revolving Line of Credit to $1.2 Billion -

GREENWOOD VILLAGE, Colo., Oct. 28, 2026 /PRNewswire/ -- Century Communities, Inc. (NYSE: CCS), one of the nation's largest homebuilders, today announced financial results for its third quarter ended September 30, 2026.

Third Quarter 2026 Highlights

• Net income of $12.6 million, or $0.44 per diluted share
• Adjusted net income of $28.8 million, or $1.01 per diluted share
• Total revenues of $864.5 million
• Deliveries of 2,442 homes
• Community count of 343, a Company record
• Book value per share of $90.61, a Company record
• Net new home contracts of 2,284
• GAAP homebuilding gross margin of 15.0% inclusive of inventory impairment charges
• Adjusted homebuilding gross margin of 19.3%
• Repurchased 169,903 shares of common stock for $11.6 million

"The third quarter was marked by a significant rise in interest rates, continued inflation and macroeconomic uncertainty, which weighed heavily on consumer confidence in general and first-time homebuyers in particular," said Dale Francescon, Executive Chairman. "Despite these pressures, we continued to make good progress on the operational side of the business during the quarter. We grew our ending community count by 7% year-over-year and 4% sequentially to a new Company record of 343 communities. Our direct construction costs, finished lot costs, and fixed G&A excluding advertising all decreased vs. the prior quarter as we continued to effectively manage our costs and grew our book value per share to a Company record $90.61."

Rob Francescon, Chief Executive Officer and President, said, "In early October, we acquired substantially all of the assets of HistoryMaker Homes in support of our strategy of deepening our share in existing markets to drive improved margins and returns. This acquisition will accelerate our growth in the largest housing market in the country and one we believe will benefit from solid long-term fundamentals. Specifically, the transaction will increase Century's Dallas division's active communities from 12 to 41 communities as of September 30, 2026 and triple deliveries from 211 to 669 homes on a trailing-twelve-month basis through the third quarter 2026."

Acquisition of HistoryMaker Homes

Century Communities acquired substantially all of the assets of HistoryMaker Homes on October 7, 2026. Founded in 1949, HistoryMaker is Texas' longest-standing production homebuilder and builds exclusively in the Dallas-Fort Worth metroplex. The transaction provides Century with the scale, land position and local talent to accelerate its growth in the largest housing market in the country. HistoryMaker also serves a wider range of the Dallas-Fort Worth market through its focus on both entry-level and move-up homes. Century will also maintain an ongoing land relationship with HistoryMaker's sister land development company, which will complete land development on current and future communities for Century in Dallas-Fort Worth.

Third Quarter 2026 Results

Net income for the third quarter 2026 was $12.6 million, or $0.44 per diluted share. Adjusted net income was $28.8 million, or $1.01 per diluted share.

Total revenues were $864.5 million, with third quarter home sales revenues totaling $842.5 million. Deliveries totaled 2,442 homes. The average sales price of home deliveries for the third quarter 2026 was $345,000.

Net new home contracts in the third quarter 2026 were 2,284, and at the end of the third quarter 2026, the Company had 1,106 homes in backlog, representing $414.0 million of backlog dollar value. Adjusted homebuilding gross margin percentage, excluding interest, purchase price accounting and inventory impairment was 19.3% in the third quarter of 2026, and homebuilding gross margin was 15.0%. Homebuilding gross margin excluding inventory impairment was 17.3%. Selling, general, and administrative expenses as a percent of home sales revenues were 14.1% in the quarter. Adjusted EBITDA and EBITDA for the third quarter 2026 were $63.4 million and $37.1 million, respectively.

Financial services revenues and pre-tax income were $21.2 million and $6.2 million, respectively, in the third quarter 2026.

Balance Sheet and Liquidity

The Company ended the third quarter 2026 with a strong financial position, including $2.6 billion of stockholders' equity and $863.8 million of total liquidity, including $119.8 million of cash, including cash equivalents and cash held in escrow. Century amended its revolving line of credit at the end of the quarter, increasing its capacity to $1.2 billion and extending its maturity to November 2030.

Book value per share was $90.61, a Company record, as of September 30, 2026.

During the third quarter, consistent with Century's disciplined capital allocation approach to enhance the long-term value of the Company and return capital to our stockholders, Century maintained its quarterly cash dividend of $0.32 per share and repurchased 169,903 shares of our common stock for $11.6 million.

As of September 30, 2026, homebuilding debt to capital equaled 36.8% and net homebuilding debt to net capital equaled 34.9%.

Full Year 2026 Outlook

Scott Dixon, Chief Financial Officer of the Company, commented, "Given the impact of increased mortgage rates on our orders and deliveries, we now expect our full year 2026 home deliveries to be in the range of 9,350 to 9,650 homes, including 100 deliveries from HistoryMaker in the fourth quarter, and our home sales revenues to be in the range of $3.3 billion to $3.4 billion."

Webcast and Conference Call

The Company will host a webcast and conference call on Wednesday, October 28, 2026, at 5:00 p.m. Eastern time, 3:00 p.m. Mountain time, to review the Company's third quarter 2026 results, provide commentary, and conduct a question-and-answer session. To participate in the call, please dial 833-461-5787 (domestic) or 585-542-9983 (international) and enter the conference ID 100 064 380. The live webcast will be available at www.centurycommunities.com in the Investors section. A replay of the webcast will be available on the Company's website for at least one year.

About Century Communities

Century Communities, Inc. (NYSE: CCS) is one of the nation's largest homebuilders and a recognized industry leader in online home sales. Newsweek has named the Company one of America's Most Trustworthy Companies for three consecutive years, and Century Communities has also been designated as one of U.S. News & World Report's Best Companies to Work For (2025-2026). Through its Century Communities and Century Complete brands, Century's mission is to build attractive, high-quality homes at affordable prices to provide its valued customers with A HOME FOR EVERY DREAM®. Century is engaged in all aspects of homebuilding — including the acquisition, entitlement and development of land, along with the construction, innovative marketing and sale of quality homes designed to appeal to a wide range of homebuyers. The Company operates in 16 states and over 45 markets across the U.S., and also offers mortgage, title, insurance brokerage, and escrow services in select markets through its Inspire Home Loans, Parkway Title, IHL Home Insurance Agency, and IHL Escrow subsidiaries. To learn more about Century Communities, please visit www.centurycommunities.com.

Non-GAAP Financial Measures

In addition to the Company's operating results presented in accordance with United States generally accepted accounting principles (GAAP), this press release includes the following non-GAAP financial measures: adjusted net income, adjusted diluted earnings per share, adjusted homebuilding gross margin, homebuilding gross margin excluding inventory impairment, EBITDA, adjusted EBITDA, and ratio of net homebuilding debt to net capital. These non-GAAP financial measures should not be used as a substitute for the Company's operating results presented in accordance with GAAP, and an analysis of any non-GAAP financial measure should be used in conjunction with results presented in accordance with GAAP. Please refer to the reconciliation of each of the above referenced non-GAAP financial measures following the historical financial information presented in this press release.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and, as such, may involve known and unknown risks, uncertainties and assumptions. Forward-looking statements may be identified by the use of words such as "anticipate," "believe," "expect," "intend," "estimate," "plan," "continue," "will," "may," "should," "potential," "guidance" and "outlook" and other similar expressions that predict or indicate future events or trends or that are not statements of historical matters. Forward-looking statements in this release include the Company's operating and financial guidance for 2026, including anticipated home deliveries and home sales revenues, and anticipated benefits of the recent HistoryMaker Homes acquisition. Forward-looking statements should not be read as a guarantee of future performance or results, and will not necessarily be accurate indications of the times at, or by, which such performance or results will be achieved. Forward-looking statements are based on historical information available at the time the statements are made and are based on management's reasonable belief or expectations with respect to future events, and are subject to risks and uncertainties, many of which are beyond the Company's control, that could cause actual performance or results to differ materially from the belief or expectations expressed in or suggested by the forward-looking statements. The following important factors could cause actual results to differ materially from those expressed in the forward-looking statements: changes in general economic conditions, including interest rates, inflation, and employment levels; consumer confidence and affordability concerns; the impact of geopolitical conflicts including in the Middle East, tariffs and increased costs, immigration reform and enforcement, global supply chain disruptions, labor, land and raw material or other resource shortages and delays, and municipal and utility delays on the Company's business, industry and the broader economy; the availability and cost of financing; home incentive levels; the ability to identify and acquire desirable land and dispose of land when appropriate; availability and pricing for land, labor and raw materials and other resources; reliance on contractors and key personnel; the effect of competition; risks associated with the Company's mortgage lending business and increased use of adjustable-rate mortgages; risks associated with the Company's recent HistoryMaker Homes acquisition, including the possibility that the Company will not realize the anticipated benefits of such acquisition; risks associated with the Company's multi-family rental businesses; future impairment and restructuring charges; the effect of tax changes; the effect of recent federal housing legislation; and the other factors included in the Company's most recent Annual Report on Form 10-K and subsequent Quarterly Reports on Form 10-Q. Forward-looking statements speak only as of the date on which they are made and the Company undertakes no obligation to update any forward-looking statement to reflect future events, developments or otherwise, except as may be required by applicable law. 

Century Communities, Inc. Consolidated Statements of Operations (Unaudited) (in thousands, except share and per share amounts)
		Three Months Ended September 30,						Nine Months Ended September 30,
		2026			2025			2026			2025
Revenues
Homebuilding Revenues
Home sales revenues		$	842,493		$	955,162		$	2,474,127		$	2,815,365
Land sales and other revenues			823			5,764			38,249			7,209
Total homebuilding revenues			843,316			960,926			2,512,376			2,822,574
Financial services revenues			21,151			19,358			68,991			61,666
Total revenues			864,467			980,284			2,581,367			2,884,240
Homebuilding Cost of Revenues
Cost of home sales revenues			(716,082)			(783,746)			(2,054,741)			(2,296,184)
Cost of land sales and other revenues			(26)			(6,303)			(24,275)			(7,199)
Total homebuilding cost of revenues			(716,108)			(790,049)			(2,079,016)			(2,303,383)
Financial services costs			(14,962)			(16,371)			(45,261)			(50,095)
Selling, general, and administrative expense			(118,837)			(119,895)			(362,335)			(369,491)
Other income (expense), net			1,275			(6,131)			3,479			(13,832)
Income before income tax expense			15,835			47,838			98,234			147,439
Income tax expense			(3,218)			(10,435)			(25,060)			(35,798)
Net income		$	12,617		$	37,403		$	73,174		$	111,641
Earnings per share:
Basic		$	0.44		$	1.26		$	2.55		$	3.69
Diluted		$	0.44		$	1.25		$	2.54		$	3.65
Weighted average common shares outstanding:
Basic			28,363,406			29,645,795			28,722,425			30,266,752
Diluted			28,476,268			30,019,153			28,774,514			30,611,011

 

Century Communities, Inc. Consolidated Balance Sheets (in thousands, except share amounts)
		September 30,			December 31,
		2026			2025
Assets		(unaudited)			(audited)
Cash and cash equivalents		$	86,086		$	109,443
Cash held in escrow			33,740			48,571
Accounts receivable			58,907			57,242
Inventories			3,744,023			3,361,158
Mortgage loans held for sale			186,506			299,145
Prepaid expenses and other assets			527,581			435,683
Property and equipment, net			75,232			69,368
Deferred tax assets, net			36,841			38,176
Goodwill			41,109			41,109
Total assets		$	4,790,025		$	4,459,895
Liabilities and stockholders' equity
Liabilities:
Accounts payable		$	142,568		$	114,416
Accrued expenses and other liabilities			273,872			310,602
Notes payable			1,165,321			1,102,376
Revolving line of credit			456,000			51,500
Mortgage repurchase facilities			191,266			289,269
Total liabilities			2,229,027			1,868,163
Stockholders' equity:
Preferred stock, $0.01 par value, 50,000,000 shares authorized, none outstanding			—			—
Common stock, $0.01 par value, 100,000,000 shares authorized, 28,264,817 and 29,050,515 shares issued and outstanding at September 30, 2026 and December 31, 2025, respectively			283			291
Additional paid-in capital			310,161			385,962
Retained earnings			2,250,554			2,205,479
Total stockholders' equity			2,560,998			2,591,732
Total liabilities and stockholders' equity		$	4,790,025		$	4,459,895

 

Century Communities, Inc. Homebuilding Operational Data (Unaudited)
Net New Home Contracts
		Three Months Ended September 30,										Nine Months Ended September 30,
		2026			2025			% Change				2026			2025			% Change
West		268			337			(20.5)	%			913			1,052			(13.2)	%
Mountain		350			418			(16.3)	%			1,216			1,216			—	%
Texas		524			433			21.0	%			1,565			1,436			9.0	%
Southeast		302			388			(22.2)	%			1,047			1,159			(9.7)	%
Century Complete		840			810			3.7	%			2,537			2,761			(8.1)	%
Total		2,284			2,386			(4.3)	%			7,278			7,624			(4.5)	%

 

New Home Deliveries  (dollars in thousands)
		Three Months Ended September 30,
		2026					2025					% Change
		Homes		Average Sales Price			Homes		Average Sales Price			Homes			Average Sales Price
West		278		$	550.7		369		$	591.0		(24.7)	%		(6.8)	%
Mountain		386			467.0		401			506.0		(3.7)	%		(7.7)	%
Texas		540			286.1		460			293.8		17.4	%		(2.6)	%
Southeast		310			389.7		423			413.8		(26.7)	%		(5.8)	%
Century Complete		928			252.0		833			268.9		11.4	%		(6.3)	%
Total / Weighted Average		2,442		$	345.0		2,486		$	384.2		(1.8)	%		(10.2)	%
		Nine Months Ended September 30,
		2026					2025					% Change
		Homes		Average Sales Price			Homes		Average Sales Price			Homes			Average Sales Price
West		877		$	563.0		1,007		$	597.4		(12.9)	%		(5.8)	%
Mountain		1,146			470.0		1,226			517.2		(6.5)	%		(9.1)	%
Texas		1,438			287.5		1,418			295.6		1.4	%		(2.7)	%
Southeast		987			388.6		1,127			427.5		(12.4)	%		(9.1)	%
Century Complete		2,513			256.6		2,579			263.2		(2.6)	%		(2.5)	%
Total / Weighted Average		6,961		$	355.4		7,357		$	382.7		(5.4)	%		(7.1)	%

 

Century Communities, Inc. Homebuilding Operational Data (Unaudited)
Selling Communities
		As of September 30,					Increase/Decrease
		2026		2025			Amount		% Change
West		41		38			3		7.9	%
Mountain		57		53			4		7.5	%
Texas		86		73			13		17.8	%
Southeast		37		45			(8)		(17.8)	%
Century Complete		122		112			10		8.9	%
Total		343		321			22		6.9	%

 

Backlog
(dollars in thousands)
		As of September 30,
		2026								2025								% Change
		Homes		Dollar Value			Average Sales Price			Homes		Dollar Value			Average Sales Price			Homes			Dollar Value			Average Sales Price
West		155		$	86,808		$	560.0		204		$	115,035		$	563.9		(24.0)	%		(24.5)	%		(0.7)	%
Mountain		178			95,939			539.0		139			73,330			527.6		28.1	%		30.8	%		2.2	%
Texas		263			76,233			289.9		195			59,212			303.6		34.9	%		28.7	%		(4.5)	%
Southeast		160			64,684			404.3		139			61,170			440.1		15.1	%		5.7	%		(8.1)	%
Century Complete		350			90,292			258.0		440			108,177			245.9		(20.5)	%		(16.5)	%		4.9	%
Total / Weighted Average		1,106		$	413,956		$	374.3		1,117		$	416,924		$	373.3		(1.0)	%		(0.7)	%		0.3	%

 

Lot Inventory
		As of September 30,
		2026									2025									% Change
		Owned			Controlled			Total			Owned			Controlled			Total			Owned			Controlled			Total
West		3,562			2,309			5,871			3,709			2,207			5,916			(4.0)	%		4.6	%		(0.8)	%
Mountain		7,314			2,501			9,815			8,522			1,292			9,814			(14.2)	%		93.6	%		0.0	%
Texas		13,293			5,235			18,528			14,713			3,198			17,911			(9.7)	%		63.7	%		3.4	%
Southeast		5,141			5,729			10,870			5,221			7,857			13,078			(1.5)	%		(27.1)	%		(16.9)	%
Century Complete		4,163			11,722			15,885			4,318			11,202			15,520			(3.6)	%		4.6	%		2.4	%
Total		33,473			27,496			60,969			36,483			25,756			62,239			(8.3)	%		6.8	%		(2.0)	%
% of Total		54.9 %			45.1 %			100.0 %			58.6 %			41.4 %			100.0 %

 

Century Communities, Inc. Reconciliation of Non-GAAP Financial Measures (Unaudited)
Adjusted net income and adjusted diluted earnings per share ("Adjusted EPS") are non-GAAP financial measures that the Company believes are useful to management, investors and other users of its financial information in evaluating its operating results and understanding its operating trends without the effect of specified factors that management believes affect comparability. The Company believes excluding specified factors that management believes affect comparability provides more comparable assessment of its financial results from period to period. The Company defines adjusted net income as consolidated net income before (i) income tax expense; (ii) inventory impairment; (iii) abandonment of lot option contracts; (iv) restructuring costs; (v) loss on debt extinguishment; (vi) impairment on other investment; and (vii) purchase price accounting for acquired work in process inventory; in each case, as applicable during a period, less adjusted income tax expense, calculated using the Company's estimated annual effective tax rate after discrete items for the applicable period. Adjusted EPS is calculated by dividing adjusted net income by weighted average common shares – diluted.
Adjusted Net Income and Adjusted Diluted Earnings Per Share (in thousands, except share and per share amounts)
		Three Months Ended September 30,						Nine Months Ended September 30,
		2026			2025			2026			2025
Numerator
Net income		$	12,617		$	37,403		$	73,174		$	111,641
Denominator
Weighted average common shares outstanding - basic			28,363,406			29,645,795			28,722,425			30,266,752
Dilutive effect of stock-based compensation awards			112,862			373,358			52,089			344,259
Weighted average common shares outstanding - diluted			28,476,268			30,019,153			28,774,514			30,611,011
Earnings per share:
Basic		$	0.44		$	1.26		$	2.55		$	3.69
Diluted		$	0.44		$	1.25		$	2.54		$	3.65
Adjusted earnings per share
Numerator
Net income		$	12,617		$	37,403		$	73,174		$	111,641
Income tax expense			3,218			10,435			25,060			35,798
Income before income tax expense			15,835			47,838			98,234			147,439
Inventory impairment			19,605			3,180			19,605			10,951
Abandonment of lot option contracts			2,320			5,159			4,399			9,306
Restructuring costs			—			—			—			1,505
Loss on debt extinguishment			—			1,361			—			1,361
Purchase price accounting for acquired work in process inventory			899			2,830			2,200			6,763
Adjusted income before income tax expense			38,659			60,368			124,438			177,325
Adjusted income tax expense(1)			(9,862)			(14,657)			(31,745)			(43,054)
Adjusted net income		$	28,797		$	45,711		$	92,693		$	134,271
Denominator - Diluted			28,476,268			30,019,153			28,774,514			30,611,011
Adjusted diluted earnings per share		$	1.01		$	1.52		$	3.22		$	4.39

(1)

The tax rates used in calculating adjusted net income for the both three and nine months ended September 30, 2026 were 25.5%, which are reflective of our GAAP tax rates for the nine months ended September 30, 2026. The tax rates used in calculating adjusted net income for the three and nine months ended September 30, 2025 were each 24.3%, respectively, which are reflective of our GAAP tax rates for the nine months ended September 30, 2025.

 

Century Communities, Inc. Reconciliation of Non-GAAP Financial Measures (Unaudited)
Adjusted homebuilding gross margin excluding inventory impairment (if applicable), interest in cost of home sales revenues, and purchase price accounting for acquired work in process inventory (if applicable), is not a measurement of financial performance under GAAP; however, the Company's management believes that this information is meaningful as it isolates the impact that inventory impairment, indebtedness, and acquisitions have on homebuilding gross margin and permits the Company's stockholders to make better comparisons with the Company's competitors, who adjust gross margins in a similar fashion. This non-GAAP financial measure should not be used as a substitute for the Company's GAAP operating results. An analysis of any non-GAAP financial measure should be used in conjunction with results presented in accordance with GAAP.
Adjusted Homebuilding Gross Margin (in thousands)
		Three Months Ended September 30,
		2026			%			2025			%
Home sales revenues		$	842,493		100.0	%		$	955,162		100.0	%
Cost of home sales revenues			(716,082)		(85.0)	%			(783,746)		(82.1)	%
Homebuilding gross margin			126,411		15.0	%			171,416		17.9	%
Add: Inventory impairment			19,605		2.3	%			3,180		0.3	%
Adjusted homebuilding gross margin excluding inventory impairment (1)			146,016		17.3	%			174,596		18.3	%
Add: Interest in cost of home sales revenues			15,873		1.9	%			15,005		1.6	%
Add: Purchase price accounting for acquired work in process inventory			899		0.1	%			2,830		0.3	%
Adjusted homebuilding gross margin excluding interest, inventory impairment and purchase price accounting for acquired work in process inventory(1)		$	162,788		19.3	%		$	192,431		20.1	%
		Nine Months Ended September 30,
		2026			%			2025			%
Home sales revenues		$	2,474,127		100.0	%		$	2,815,365		100.0	%
Cost of home sales revenues			(2,054,741)		(83.0)	%			(2,296,184)		(81.6)	%
Homebuilding gross margin			419,386		17.0	%			519,181		18.4	%
Add: Inventory impairment			19,605		0.8	%			10,951		0.4	%
Adjusted homebuilding gross margin excluding inventory impairment (1)			438,991		17.7	%			530,132		18.8	%
Add: Interest in cost of home sales revenues			45,385		1.8	%			41,994		1.5	%
Add: Purchase price accounting for acquired work in process inventory			2,200		0.1	%			6,763		0.2	%
Adjusted homebuilding gross margin excluding interest, inventory impairment and purchase price accounting for acquired work in process inventory(1)		$	486,576		19.7	%		$	578,889		20.6	%

(1)	Beginning in the fourth quarter of 2025, inventory impairment was reclassified to be included in cost of home sales revenues in the Company's consolidated statements of operations rather than presented as a separate line item and prior year amounts have been reclassified to conform to this presentation.

 

Century Communities, Inc. Reconciliation of Non-GAAP Financial Measures (Unaudited)
EBITDA and Adjusted EBITDA
EBITDA and adjusted EBITDA are non-GAAP financial measures the Company uses as supplemental measures in evaluating operating performance. The Company defines EBITDA as net income before (i) income tax expense, (ii) interest in cost of home sales revenues, (iii) interest expense (income), and (iv) depreciation and amortization expense. The Company defines adjusted EBITDA as EBITDA before inventory impairment, abandonment of lot option contracts, stock-based compensation expense, restructuring costs, loss on debt extinguishment, impairment on other investment, and purchase price accounting for acquired work in process inventory, in each case as applicable during a period. The Company believes EBITDA and adjusted EBITDA provide an indicator of general economic performance that is not affected by fluctuations in interest rates or effective tax rates, levels of depreciation or amortization, and other specified factors that management believes affect comparability. Accordingly, the Company's management believes that these measurements are useful for comparing general operating performance from period to period. EBITDA and adjusted EBITDA should be considered in addition to, and not as a substitute for, consolidated net income in accordance with GAAP as a measure of performance. The presentation of adjusted EBITDA should not be construed as an indication that the Company's future results will be unaffected by unusual or other specified factors that management believes affect comparability. Each of EBITDA and adjusted EBITDA is limited as an analytical tool, and should not be considered in isolation or as a substitute for analysis of the Company's results of operations as reported under GAAP.
(in thousands)
		Three Months Ended September 30,										Nine Months Ended September 30,
		2026			2025			% Change				2026			2025			% Change
Net income		$	12,617		$	37,403			(66.3)	%		$	73,174		$	111,641			(34.5)	%
Income tax expense			3,218			10,435			(69.2)	%			25,060			35,798			(30.0)	%
Interest in cost of home sales revenues			15,873			15,005			5.8	%			45,385			41,994			8.1	%
Interest expense (income)			54			876			(93.8)	%			442			445			(0.7)	%
Depreciation and amortization expense			5,365			6,005			(10.7)	%			16,107			18,868			(14.6)	%
EBITDA		$	37,127		$	69,724			(46.8)	%		$	160,168		$	208,746			(23.3)	%
Inventory impairment			19,605			3,180			516.5	%			19,605			10,951			79.0	%
Abandonment of lot option contracts			2,320			5,159			(55.0)	%			4,399			9,306			(52.7)	%
Stock-based compensation expense (1)			3,461			5,486			(36.9)	%			10,641			13,720			(22.4)	%
Restructuring costs			—			—			—	%			—			1,505			(100.0)	%
Loss on debt extinguishment			—			1,361			(100.0)	%			—			1,361			(100.0)	%
Purchase price accounting for acquired work in process inventory			899			2,830			(68.2)	%			2,200			6,763			(67.5)	%
Adjusted EBITDA		$	63,412		$	87,740			(27.7)	%		$	197,013		$	252,352			(21.9)	%

(1)	Beginning in the fourth quarter of 2025, the Company added "Stock-based compensation expense" as an adjustment in its non-GAAP adjusted EBITDA calculation. Accordingly, the corresponding prior period information has been recast to conform to the current presentation and calculation.

 

Century Communities, Inc. Reconciliation of Non-GAAP Financial Measures (Unaudited)
Ratio of Net Homebuilding Debt to Net Capital
The following table presents the Company's ratio of net homebuilding debt to net capital, which is a non-GAAP financial measure. The Company calculates this by dividing net homebuilding debt (homebuilding debt less cash and cash equivalents, and cash held in escrow) by net capital (net homebuilding debt plus total stockholders' equity). Homebuilding debt is total debt minus outstanding borrowings under construction loan agreements and mortgage repurchase facilities. The most directly comparable GAAP measure is the ratio of homebuilding debt to capital. The Company believes the ratio of net homebuilding debt to net capital is a relevant and useful financial measure to investors in understanding the leverage employed in its operations and as an indicator of the Company's ability to obtain external financing.
(in thousands)
		September 30,			December 31,
		2026			2025
Notes payable		$	1,165,321		$	1,102,376
Revolving line of credit			456,000			51,500
Construction loan agreements			(129,450)			(90,269)
Total homebuilding debt			1,491,871			1,063,607
Total stockholders' equity			2,560,998			2,591,732
Total capital		$	4,052,869		$	3,655,339
Homebuilding debt to capital			36.8 %			29.1 %
Total homebuilding debt		$	1,491,871		$	1,063,607
Cash and cash equivalents			(86,086)			(109,443)
Cash held in escrow			(33,740)			(48,571)
Net homebuilding debt			1,372,045			905,593
Total stockholders' equity			2,560,998			2,591,732
Net capital		$	3,933,043		$	3,497,325
Net homebuilding debt to net capital			34.9 %			25.9 %

Contact Information: 
Tyler Langton, Senior Vice President of Investor Relations and Finance
303-268-8345
InvestorRelations@CenturyCommunities.com 

Category:
Earnings

 

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SOURCE Century Communities, Inc.

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

What were Century Communities’ third-quarter 2026 earnings?

Century Communities earned $12.6 million, or $0.44 per diluted share, in the third quarter of 2026. Adjusted net income was $28.8 million, or $1.01 per diluted share. Total revenue was $864.5 million.

What is Century Communities’ full-year 2026 outlook?

Century expects 9,350 to 9,650 home deliveries and home sales revenue of $3.3 billion to $3.4 billion for full-year 2026. The delivery outlook includes 100 HistoryMaker deliveries in the fourth quarter.

How will Century Communities develop land following the HistoryMaker acquisition?

Century will maintain an ongoing land relationship with HistoryMaker’s sister land development company. That company will complete land development on current and future Century communities in Dallas-Fort Worth.

What was Century Communities’ backlog at the end of third-quarter 2026?

Century Communities ended the third quarter of 2026 with 1,106 homes in backlog, representing $414.0 million of backlog dollar value.

What were Century Communities’ debt-to-capital ratios at September 30, 2026?

Century’s homebuilding debt-to-capital ratio was 36.8%, and its net homebuilding debt-to-net-capital ratio was 34.9% at September 30, 2026.