Century Communities Inc (CCS) 2025 Q2 法說會逐字稿

Good afternoon ladies and gentlemen, and welcome to the Century Community Inc second-quarter 2025 earnings conference call. (Operator Instructions) This call is being recorded on Wednesday, July 23, 2025.

女士、先生們下午好，歡迎參加 Century Community Inc 2025 年第二季財報電話會議。（操作員指示）此通話於 2025 年 7 月 23 日星期三錄製。

I would now like to turn the conference over to Tyler Langton. Please go ahead.

現在我想將會議交給泰勒·蘭頓。請繼續。

Good afternoon. Thank you for joining us today for Century Community earnings conference call for the second quarter of 2025. Before the call begins, I would like to remind everyone that certain statements made during this call may constitute forward-looking statements. These statements are based on management's current expectations and are subject to a number of risks and uncertainties that could cause actual results to differ materially from those described or implied in the forward-looking statements.

午安.感謝您今天參加世紀社區 2025 年第二季財報電話會議。在電話會議開始之前，我想提醒大家，本次電話會議中所做的某些陳述可能構成前瞻性陳述。這些聲明是基於管理層目前的預期，並受到許多風險和不確定因素的影響，這些風險和不確定因素可能導致實際結果與前瞻性聲明中描述或暗示的結果有重大差異。

Certain of these risks and uncertainties can be found under the heading Risk Factors in the company's latest 10-K as supplemented by our latest 10-Q and other SEC filings. We undertake no duty to update our forward booking statements. Additionally, certain non-GAAP financial measures will be discussed on this conference call. The company's presentation of this information is not intended to be considered in isolation or as a substitute for the financial information presented in accordance with GAAP.

其中一些風險和不確定性可在公司最新的 10-K 報表中的「風險因素」標題下找到，並由我們最新的 10-Q 報表和其他 SEC 文件補充。我們不承擔更新預訂報表的義務。此外，本次電話會議也將討論某些非公認會計準則財務指標。本公司呈現的這些資訊並非旨在單獨考慮或取代依照 GAAP 呈現的財務資訊。

Hosting the call today are Dale Francescon, Executive Chairman; Rob Francescon, Chief Executive Officer and President; and Scott Dixon, Chief Financial Officer. Following today's prepared remarks, we'll open up the line for questions.

今天主持電話會議的有執行主席 Dale Francescon、執行長兼總裁 Rob Francescon 和財務長 Scott Dixon。在今天的準備好的發言之後，我們將開放提問環節。

With that, I'll turn the call over to Dale.

說完這些，我會把電話轉給戴爾。

Thank you, Tyler, and good afternoon, everyone. In the second quarter, we continued to execute well in a challenging environment, generating results that were in line with the expectations outlined during our first quarter conference call back in April.

謝謝你，泰勒，大家下午好。在第二季度，我們繼續在充滿挑戰的環境中表現良好，取得的業績符合我們四月份第一季電話會議上概述的預期。

Similar to the trends from the first quarter, border activity for new homes has continued to be impacted by elevated mortgage rates, affordability constraints, economic uncertainty, and lower consumer confidence. Well, we saw improvement in our order activity as the second quarter progressed, buyers are still cautious and hesitant, and as expected, our incentives increased in the second quarter as we look to maintain an appropriate sales space.

與第一季的趨勢類似，新房邊境活動繼續受到抵押貸款利率上升、負擔能力限制、經濟不確定性和消費者信心下降的影響。嗯，隨著第二季度的進展，我們的訂單活動有所改善，買家仍然謹慎和猶豫，並且正如預期的那樣，由於我們希望保持適當的銷售空間，我們在第二季度的激勵措施有所增加。

Despite the market headwinds, our deliveries of 2,587 homes increased 13% on a sequential basis and exceeded our guidance of 2,300 to 2,500 homes as customers responded to incentives, enabling us to sell and close a greater number of homes within the quarter.

儘管面臨市場逆風，但由於客戶對激勵措施的回應，我們仍交付了 2,587 套房屋，環比增長 13%，超出了我們預期的 2,300 至 2,500 套房屋，這使我們能夠在本季度銷售和成交更多房屋。

While the spring selling season was clearly muted compared to historical trends, we continue to believe that there is underlying demand for affordable new homes supported by solid demographic trends, and we were encouraged by several trends that we saw during the second quarter.

儘管與歷史趨勢相比，春季銷售旺季明顯疲軟，但我們仍然相信，在穩固的人口趨勢的支持下，對經濟適用新房存在潛在需求，而且我們在第二季度看到的幾種趨勢也令我們感到鼓舞。

Both our net orders and absorption rates increased on a sequential basis in May and June, while our cancellation rates remained in line with the levels we have seen over the past several years and well below our pre-COVID averages in the 20% to 25% range.

我們的淨訂單和吸收率在 5 月和 6 月均環比增長，而取消率與過去幾年的水平保持一致，遠低於疫情之前 20% 至 25% 的平均水平。

Also, absorption rates for a Century complete brand were roughly flat on a year-over-year basis, and we believe the business continues to benefit from its focus on markets where there is less direct competition from other large builders.

此外，世紀完整品牌的吸收率與去年同期基本持平，我們相信，該業務將繼續受益於其專注於其他大型建築商直接競爭較少的市場。

However, despite these positive trends, our second quarter absorptions were below seasonal expectations, and given typical seasonality, so far in July, our absorption rate is trending below second quarter 2025 levels. Our Indian community count increased to 327 communities at the end of the second quarter, a record for the company.

然而，儘管存在這些正面趨勢，但我們第二季的吸收量低於季節性預期，並考慮到典型的季節性，截至 7 月，我們的吸收率趨勢低於 2025 年第二季的水平。截至第二季末，我們的印度社區數量增加到 327 個，創下了公司的記錄。

While we have remained disciplined on the land front and reassessed deals to make sure they pencil in the current environment, we also continue to expect our year-end 2025 community count to increase in the mid single digit percentage range on a year-over-year basis, which will provide a strong base to execute from over the next couple of years.

雖然我們在土地方面保持紀律，並重新評估交易以確保它們在當前環境下能夠順利完成，但我們仍然預計，到 2025 年底，我們的社區數量將同比增長中等個位數百分比範圍，這將為未來幾年的執行奠定堅實的基礎。

As we have stated in the past, we are not focused on growth for the sake of growth alone, and we look to balance pace and price at the community level to optimize our returns. We are also taking a balanced approach towards capital allocation.

正如我們過去所說，我們並不單純為了成長而專注於成長，我們也尋求在社區層面平衡速度和價格，以優化我們的回報。我們也對資本配置採取了平衡的方法。

We repurchased $48 million of our shares in the second quarter, or approximately 3% of shares outstanding at the beginning of the quarter, bringing our year-to-date total to $104 million, or 5% of our shares outstanding at the beginning of the year.

我們在第二季回購了價值 4,800 萬美元的股票，約佔本季初流通股的 3%，使我們年初至今的回購總額達到 1.04 億美元，佔年初流通股的 5%。

Additionally, since the start of 2024, we have repurchased over 8% of our shares outstanding. Our book value per share increased by 10% on a year-over-year basis to $86.39 a company record.

此外，自 2024 年初以來，我們已回購了超過 8% 的流通股。我們的每股帳面價值年增 10%，達到公司最高紀錄 86.39 美元。

Before turning the call over to Rob, I wanted to highlight that Century was recently recognized as one of the best companies to work for by US News and World Report. It is our people that make Century Communities a great company, and I want to thank our team members for all they do to create a culture of excellence in support of our mission of providing our customers a home for every dream.

在將電話轉給 Rob 之前，我想強調一下，世紀集團最近被《美國新聞與世界報道》評為最適合工作的公司之一。正是我們的員工讓世紀社區成為一家偉大的公司，我要感謝我們的團隊成員為創造卓越文化所做的一切，以支持我們為客戶提供每個夢想之家的使命。

I'll now turn the call over to Rob to discuss our operations and land position in more detail.

現在我將把電話轉給羅布，更詳細地討論我們的營運和土地狀況。

Thank you, Dale, and good afternoon, everyone. Our second quarter net new contracts totaled 2,546 homes, with both our orders and absorption rates increasing sequentially in May and June. Our ending community count increased to 327 communities at the end of the second quarter, a record for the company.

謝謝你，戴爾，大家下午好。我們第二季的淨新合約總數為 2,546 套房屋，5 月和 6 月的訂單量和吸收率均較上季成長。截至第二季末，我們的期末社群數量增加至 327 個，創下了公司的記錄。

I would like to point out that all of the net growth in our community count this quarter came in June and especially in the back half of June with our April and May community counts below our first quarter ending community count of 318.

我想指出的是，本季我們社區數量的淨增長全部發生在 6 月份，尤其是 6 月下半月，4 月份和 5 月份的社區數量低於第一季末的 318 個社區數量。

As a result, our orders in the second quarter did not see a significant benefit from the growth in our quarter and community count. We currently expect our year end 2025 community count to increase in the mid single digit percentage range, which coupled with our 28% year-over-year growth for the full year 2024 will provide a strong base for future growth in the years ahead.

因此，我們第二季的訂單並沒有因季度和社區數量的成長而獲得顯著的好處。我們目前預計，到 2025 年底，我們的社區數量將增長中等個位數百分比，再加上 2024 年全年 28% 的同比增長，將為未來幾年的增長奠定堅實的基礎。

We had continued success in controlling our costs in the second quarter. Our direct construction costs on the homes we delivered declined by 3% on a year-over-year basis and 2% sequentially. As housing starts have slowed, our negotiating power has increased, and we expect to see further cost reductions in the quarters ahead.

我們在第二季繼續成功控製成本。我們交付的房屋的直接建築成本較去年同期下降了 3%，較上季下降了 2%。隨著新屋開工速度放緩，我們的談判能力增強了，我們預計未來幾季成本將進一步降低。

On the land side, our finished lot costs on the homes we delivered in the second quarter were flat on a quarter-over-quarter basis, similar to the trend that we saw last quarter. Going forward, we would expect to see some land inflation flow through on our deliveries that will be partially offset by direct cost reductions.

在土地方面，我們第二季交付的房屋的竣工地塊成本與上一季持平，與上一季的趨勢相似。展望未來，我們預計我們的交付將受到一些土地通膨的影響，但直接成本的降低將部分抵消這種影響。

As expected, given the competitive pressures in the new home market, our incentives on closed homes increased to approximately 1,050 basis points in the second quarter 2025, up from roughly 900 basis points in the first quarter.

正如預期的那樣，鑑於新房市場的競爭壓力，我們對已售房屋的激勵措施從第一季的約 900 個基點增加到 2025 年第二季的約 1,050 個基點。

Looking forward, we continue to expect incentive levels to be the largest driver of changes to our gross margins in the near term, given our success in managing our costs. We currently expect incentives to increase by up to another 100 basis points in our third quarter closings.

展望未來，鑑於我們在成本管理方面的成功，我們仍然預期激勵水準將成為短期內毛利率變化的最大驅動力。我們目前預計，在第三季結束時，激勵措施將再增加 100 個基點。

During the second quarter, our cycle times continue to improve on a sequential basis and currently sit at approximately four months, and we have not seen any impacts from immigration reform on our labor base so far.

在第二季度，我們的週期時間持續連續改善，目前約為四個月，到目前為止我們還沒有看到移民改革對我們的勞動力基礎產生任何影響。

In the second quarter, we started 2,485 homes and similar to the past several quarters have continued our focus on maintaining an appropriate level of spec home inventory by generally matching our starts with our sales.

在第二季度，我們開工建造了 2,485 套房屋，與過去幾季類似，我們繼續致力於透過將開工量與銷售量基本匹配來維持適當的規格房屋庫存水準。

Turning to land, we ended the second quarter with nearly 70,000 owned and controlled lots. Our own lot count has remained relatively steady since the third quarter of last year, and we have remained disciplined on the land front and continue to underwrite deals to current market assumptions.

談到土地，截至第二季末，我們擁有和控制的土地面積接近 70,000 塊。自去年第三季以來，我們自己的地塊數量一直保持相對穩定，我們在土地方面保持紀律，並繼續根據當前市場假設承銷交易。

During the quarter, we were also able to renegotiate a portion of our existing contracts for controlled lots, securing better terms for the most part and lower prices in some cases. Given our discipline, our control lot count decreased by 12,000 lots sequentially as we exited deals that no longer met our criteria, which resulted in approximately $2.6 million of charges.

在本季度，我們還對部分現有受控地塊的合約進行了重新談判，在大多數情況下確保了更好的條款，在某些情況下確保了更低的價格。鑑於我們的紀律，隨著我們退出不再符合我們標準的交易，我們的控制批次數量連續減少了 12,000 批次，這導致了約 260 萬美元的費用。

As we have said in the past, we believe that our low risk land like business strategy that is primarily based on more traditional option agreements with individual landowners and third party land developers allows us greater flexibility to renegotiate terms versus what could be achieved through an options strategy based on land banking agreements.

正如我們過去所說的那樣，我們相信，我們的低風險土地業務策略主要基於與個人土地所有者和第三方土地開發商簽訂的更傳統的選擇權協議，這使我們能夠更靈活地重新談判條款，而不是透過基於土地儲備協議的選擇策略來實現。

While the industry as a whole is currently facing headwinds, we remain focused on growing our community count, maintaining a solid balance sheet, being opportunistic with our allocation of capital and building value for our shareholders.

儘管整個產業目前面臨逆風，但我們仍專注於增加社群數量，維持穩健的資產負債表，把握資本配置機會，為股東創造價值。

I'll now turn the call over to Scott to discuss our financial results in more detail.

現在我將把電話轉給史考特，讓他更詳細地討論我們的財務表現。

Thank you, Rob. In the second quarter, pre-tax income was $47 million and net income was $35 million or $1.14 per diluted share. Adjusted net income was $42 million or $1.37 per diluted share.EBITDA for the quarter was $66 million and adjusted EBITDA was $76 million.

謝謝你，羅布。第二季度，稅前收入為 4,700 萬美元，淨收入為 3,500 萬美元，即每股 1.14 美元。調整後的淨收入為 4,200 萬美元，即每股攤薄收益 1.37 美元。本季 EBITDA 為 6,600 萬美元，調整後的 EBITDA 為 7,600 萬美元。

Home sales revenues for the second quarter were 976 million, up 10% sequentially on higher deliveries. Our deliveries of 2,587 homes in the second quarter was essentially flat on a year-over-year basis with elevated mortgage rates and economic uncertainty weighing on order activity.

第二季房屋銷售收入為 9.76 億美元，由於交付量增加，季增 10%。由於抵押貸款利率上升和經濟不確定性對訂單活動造成壓力，我們在第二季度交付了 2,587 套房屋，與去年同期相比基本持平。

Our second quarter average sales price of $378,000 decreased by 3% on a year-over-year basis, primarily due to higher levels of incentives. For the third quarter of 2025, we expect our deliveries to range from 2,300 to 2,500 homes. This estimate is based on our backlog heading into the quarter in anticipated seasonal absorptions.

我們第二季的平均銷售價格為 378,000 美元，年減 3%，主要原因是激勵措施水準提高。到 2025 年第三季度，我們預計交付量將在 2,300 至 2,500 套之間。該估計是基於我們預期的季節性吸收量進入本季度的積壓訂單。

As a reminder, we usually see a sequential decrease in our absorption rates in the third quarter with July and August typically representing some of the slower months of the year. At quarter end, our backlog of sold homes was 1,217, valued at $466 million with an average sales price of $383,000.

提醒一下，我們通常會看到第三季的吸收率持續下降，而七月和八月通常是一年中成長較慢的月份。截至季末，我們已售房屋積壓量為 1,217 套，價值 4.66 億美元，平均售價為 383,000 美元。

In the second quarter, adjusted home building growth margin was 20% compared to 21.6% in the first quarter of this year, and home building growth margin, excluding inventory impairment was 18.4% versus 19.9% in the first quarter.

第二季度，調整後的房屋建築成長利潤率為 20%，而今年第一季為 21.6%；不包括庫存減損在內的房屋建築成長利潤率為 18.4%，而第一季為 19.9%。

The quarter-over-quarter differential was driven almost entirely by increased incentive levels. Consistent with the first quarter, purchase price accounting associated with our two acquisitions in 2024 reduced our second quarter 2025 gross margin by 20 basis points.

季度環比差異幾乎完全是由激勵水準的提高所致。與第一季一致，我們 2024 年兩次收購相關的購買價格核算導致 2025 年第二季的毛利率降低了 20 個基點。

We would expect purchase price accounting to have a similar impact on our home building growth margin in the third and fourth quarters of 2025. We also took an inventory impairment charge of $7 million in the second quarter, related to five communities that were in their closeout phase and located primarily in Florida.

我們預計購買價格會計將對 2025 年第三季和第四季的房屋建築成長利潤產生類似的影響。我們還在第二季度提列了 700 萬美元的庫存減損費用，涉及五個處於清理階段且主要位於佛羅裡達州的社區。

For the third quarter 2025, we expect our home building gross margin to ease on a sequential basis by up to 100 basis points compared to our second quarter, primarily due to higher levels of incentives. SG&A [is the] percentage of home sales revenue was 13.2% in the second quarter, assuming the midpoint of our full year home sales revenue guidance, we expect our SG&A as a percent of home sales revenue to be roughly 13% for the full year 2025 with SG%A appearance of home sales revenue of 14% for the third quarter.

對於 2025 年第三季度，我們預計我們的住宅建築毛利率將與第二季度相比將比去年季下降多達 100 個基點，這主要是由於激勵措施水平較高。SG&A 佔房屋銷售收入的百分比在第二季為 13.2%，假設我們全年房屋銷售收入指引的中點，我們預計 2025 年全年 SG&A 佔房屋銷售收入的百分比約為 13%，第三季 SG%A 佔房屋銷售收入的百分比為 14%。

Revenues from financial services were $23.8 million in the second quarter, and the business generated pre-tax income of $6.2 million. Our financial services results benefited from the sale of mortgage servicing rights on loans with $3 billion of unpaid principal for approximately $47.3 million. This transaction resulted in a gain of $4 million.

第二季金融服務收入為 2,380 萬美元，該業務產生的稅前收入為 620 萬美元。我們的金融服務業績受惠於以約 4,730 萬美元的價格出售 30 億美元未償還本金的貸款的抵押貸款服務權。此次交易帶來了400萬美元的收益。

This gain is partially offset by market to market adjustments, we waited to our mortgage loans held for investment. We currently anticipate that the contribution margin from financial services in the back half of the year will more closely resemble our first quarter results.

這一收益被市場調整部分抵消，我們等待持有的抵押貸款用於投資。我們目前預計，下半年金融服務的貢獻利潤率將與第一季的業績更為接近。

Our tax rate was 26% in the second quarter of 2025. We continue to expect our full year tax rate for 2025 to be in the range of 25% to 26%, with the increase over a full year 2024 tax rate of 24.1%, primarily driven by a reduced number of homes expected to qualify for 45 hour credits.

2025 年第二季我們的稅率為 26%。我們繼續預計 2025 年全年稅率將在 25% 至 26% 之間，較 2024 年全年 24.1% 的稅率有所增加，這主要是由於預計符合 45 小時抵免條件的家庭數量減少。

Our second quarter 2025 net home building debt to net capital ratio equals 31% and compared the first quarter 2025 levels of 30.1%. Our home building debt capital ratio equaled 33.3% in the second quarter and compared to first quarter 2025 levels of 32.4%. During the quarter, we maintained our quarterly cash dividend of $0.29 per share and also repurchased 884,000 shares of our common stock for $48 million at an average share price of $54.35 or a 37% discount to our book value per share of $86.39. That's at the end of the second quarter.

我們 2025 年第二季的房屋建築淨負債與淨資本比率為 31%，而 2025 年第一季的水準為 30.1%。我們第二季的房屋建築負債資本比率為 33.3%，而 2025 年第一季的水準為 32.4%。本季度，我們維持了每股0.29美元的季度現金股息，並以4,800萬美元回購了88.4萬股普通股，平均股價為54.35美元，較每股86.39美元的帳面價值折讓37%。以上數據截至第二季末。

Through the first six months of the year, we have repurchased 1.6 million shares for 5% of our shares outstanding at the beginning of the year. We ended the quarter with $2.6 billion in stockholders equity and $858 million of liquidity. We also have no senior debt maturities until June of 2027, providing us ample flexibility with our leverage management.

今年上半年，我們已回購了 160 萬股，佔年初流通股數的 5%。本季結束時，我們的股東權益為 26 億美元，流動資金為 8.58 億美元。我們的優先債務到期日為 2027 年 6 月，這為我們的槓桿管理提供了充足的靈活性。

Turning to guidance, due to current market conditions, we are revising our full year 2025 home delivery guidance to be in the range of 10,000 to 10,500 homes and home sales revenues to be in the range of 3.8 to 4 billion.

談到指導，由於當前的市場狀況，我們正在修改 2025 年全年房屋交付指導，將房屋交付量調整為 10,000 至 10,500 套，房屋銷售收入調整為 38 億至 40 億美元。

In closing, we are taking the necessary steps to address the headwinds facing the market, including reducing our costs, remaining disciplined on the land front, and maintaining appropriate level of spec home inventory by matching our starts with our sales.

最後，我們正在採取必要措施來應對市場面臨的阻力，包括降低成本、在土地方面保持紀律，並透過將開工量與銷售額相匹配來維持適當的規格住宅庫存水準。

Given where our shares have been trading, we've been opportunistic to share repurchases while still positioning the company well for future growth that is supported by our lot pipeline, community count, and strong balance sheet.

考慮到我們股票的交易情況，我們一直在抓住機會回購股票，同時仍為公司未來的成長做好定位，這得益於我們的批量管道、社區數量和強勁的資產負債表。

With that, I'll open the lines for question. Operator?

現在我開始回答問題。操作員？

Thank you. Ladies and gentlemen, we will now begin the question and answer session. (Operator Instructions)

謝謝。女士們、先生們，我們現在開始問答環節。（操作員指示）

Alex Rygiel, Texas Capital.

德州首府的 Alex Rygiel。

Thank you. Good evening, gentlemen. First question, how are you thinking about your land investment in the second half of the year versus the first half?

謝謝。先生們，晚上好。第一個問題，您覺得下半年的土地投資跟上半年相比怎麼樣？

So we're going to redo Alex. First off, great to hear from you, but we're going to reduce our land investment going forward. And as we pointed out, we dropped about 12,000 lots in the second quarter, as we're getting a more disciplined underwriting to bring everything to market now. That was the bulk of things we believe, but things are being pushed out because candidly we don't need a lot of the locks right now. So we're changing the terms to push things out into '26, and that's kind of our focus right now. But the big kind of purge, if you will was in Q2.

所以我們要重做 Alex。首先，很高興收到您的來信，但我們今後將減少土地投資。正如我們所指出的，我們在第二季度減少了約 12,000 手，因為我們現在正在進行更嚴格的承銷，以便將所有產品推向市場。我們相信這些是主要的事情，但事情正在被推遲，因為坦白說，我們現在不需要很多鎖。因此，我們正在改變條款，將事情推遲到 26 年，這也是我們目前的重點。但如果你願意的話，大規模的清洗是在第二季。

And Alex, this is Scott. If I could just add on, I think one of the benefits that we're seeing of our maybe more traditional land (inaudible) strategy is just our ability to have flexibility within our runway on the lot side. We were able to really move a significant number of lots either out or obtain a better pricing with really small impact from a feasibility cost perspective.

亞歷克斯，這是史考特。如果我可以補充一點的話，我認為我們所看到的可能更傳統的土地（聽不清楚）策略的好處之一就是我們能夠在跑道內部擁有靈活性。我們確實能夠將大量地塊移出或獲得更優惠的價格，而從可行性成本的角度來看，影響卻很小。

Sure, understood. And then can you talk a little bit about the mortgage products your buyers are using and you seeing any buyers use any arms?

當然，明白了。然後，您能否談談您的買家正在使用的抵押貸款產品以及您看到任何買家使用任何產品？

Yeah, great question, and very topical at the moment. So we're running about 70% on governmentals, 30% on conventionals, just generally speaking. We've really been leaning into the arms, a really firm kind of a late Q1 and Q2, and we're certainly seeing the buyer acceptance of that continue to pick up sequentially as the quarter in the year has gone on.

是的，這個問題問得很好，而且目前非常熱門。一般來說，我們的政府支出佔 70%，傳統支出佔 30%。我們確實一直在努力，在第一季末和第二季度，我們確實看到隨著今年各季度的推進，買家對此的接受度持續上升。

Very helpful. Thank you. Good luck.

非常有幫助。謝謝。祝你好運。

Thank you.

謝謝。

Rohit Seth, B. Riley.

羅希特·塞斯、B.萊利。

Hey, thanks for taking my question. Just on the 2025 deliveries guidance maybe just talk to the drivers behind lowering it, what you're seeing in July with the traffic portability, just any color you can add there. And my follow up would be on you just discuss kind of what you're seeing across your footprint.

嘿，謝謝你回答我的問題。就 2025 年的交付指導而言，也許只需與降低指導背後的驅動因素進行交談，您會看到 7 月份的交通可移植性，您可以在那裡添加任何顏色。我的後續問題是，您能否討論一下您在您的足跡中看到的情況。

Sure, absolutely. And this is Scott, Rohit. So from a guide perspective, we really step back and look at it and look where our backlog is at the moment going into the quarter knowing that the third quarter from a demand perspective is generally one of the slowest periods of the year, especially at the beginning of the quarter from July and August.

當然，絕對是如此。這是斯科特，羅希特。因此，從指導角度來看，我們確實退後一步，看看我們目前的積壓情況，進入本季度，我們知道從需求角度來看，第三季度通常是一年中最慢的時期之一，特別是在 7 月和 8 月這個季度初。

That was really a large driver of the revision that we did. We're just looking at the third quarter. From a market perspective, I can hit a handful of things here. I think as you run through our various regions, west for the most part, I think it's held up as strong as any of our markets. Certainly we're seeing a little bit of recent slowing maybe in California, but West in general continues to be very strong.

這確實是我們進行修改的一個重要推手。我們只關注第三季。從市場角度來看，我可以在這裡談幾點。我認為，當你瀏覽我們的各個地區時，大部分是西部，我認為它與我們的任何市場一樣強勁。當然，我們最近可能看到加州的經濟放緩，但西部的整體經濟仍然非常強勁。

(inaudible) is a little bit of the tail of various different markets. We see Vegas started out the year very strong and it slowed slightly, but it's still a very strong market for us with maybe Colorado at the moment working through some affordability issues.

（聽不清楚）是各個不同市場的尾部。我們看到拉斯維加斯今年開局非常強勁，後來略有放緩，但對我們來說它仍然是一個非常強勁的市場，而科羅拉多州目前正在解決一些負擔能力問題。

Moving on to Texas, we have a very small footprint in Dallas. I think Dallas generally has been very challenged. But Houston and San Antonio, which are slightly larger positions from us are certainly working through some affordability items in some inventory supply, but we continue to move product and our margins continue to be rather consistent with Texas.

繼續前往德克薩斯州，我們在達拉斯的足跡很小。我認為拉斯總體上面臨著很大的挑戰。但是，休士頓和聖安東尼奧的規模比我們稍大一些，它們肯定會通過一些庫存供應中的可負擔物品來應對，但我們的產品仍在繼續銷售，而且我們的利潤率與德克薩斯州的利潤率仍然相當一致。

And I think our strongest market overall really has been Southeast. Atlanta is a large driver of our position in the Southeast, as well as Charlotte and Nashville. And generally speaking, I would say that those have have thought up the best of any of our markets.

我認為我們整體上最強大的市場確實是東南部。亞特蘭大、夏洛特和納許維爾是我們在東南部地區地位的重要推動力。總的來說，我想說這些都是我們市場上最好的產品。

And then the last piece that, an interesting dynamic that we're really excited to see is our brand, or Century Community brand, which really attracts even a more affordable buyer type and really attracts and doesn't compete necessarily directly with some of the larger publics in certain markets that has really held up quite well. The Carolinas, as well as the Midwest for since we complete are ones that I would call out as being quite strong.

最後一點，我們非常高興地看到一個有趣的動態，那就是我們的品牌，或者說世紀社區品牌，它確實吸引了更實惠的買家類型，並且確實吸引了某些市場中一些較大的公眾，並且不一定直接與他們競爭，這些市場確實保持得很好。自從我們完成以來，我認為卡羅來納州和中西部地區是相當強大的地區。

Okay, thank you. And if I could squeeze one more in on the gross margin, you kind of hit by the 20% on the adjusted side raising incentives a little bit here. And so, are there any offsets that we should think about and you talked about lower costs, lower direct costs, labor costs coming in, savings coming in, but yet some higher lands, just trying to get a sense of, we touched the bottom here for margins, or you still got a little bit more pressure here.

好的，謝謝。如果我可以在毛利率上再擠一點，那麼調整後的毛利率大約會達到 20%，從而稍微提高激勵水平。那麼，我們是否應該考慮一些抵銷措施？您談到了降低成本、降低直接成本、勞動力成本、節省開支，但是還有一些更高的土地，只是想了解一下，我們在這裡觸及了利潤的底部，或者你在這裡仍然面臨一點壓力。

Yeah, Rohit, obviously, a little bit difficult to specifically tell. I would say on the cost side, we have been very successful in getting direct cost out of our homes, and we believe there's continued op opportunity to do that. We see that flowing through from a delivery's perspective, certainly in the back half of the year. However to some degree that is offset from really some normal inflation on the land side. So apples to apples rather consistent on the cost side, and we continue to think that incentives as they move through the P&L will be really the largest driver on the margin side.

是的，羅希特，顯然，具體說起來有點困難。我想說，在成本方面，我們在降低家庭直接成本方面非常成功，我們相信我們仍然有機會繼續這樣做。從交貨的角度來看，我們看到這種情況肯定會在今年下半年出現。然而，從某種程度上來說，這確實抵消了陸地方面的一些正常通貨膨脹。因此，在成本方面，蘋果與蘋果之間的差異相當一致，而且我們繼續認為，激勵措施在損益表中的變動將成為利潤方面最大的驅動力。

Understood. Thank you.

明白了。謝謝。

Absolutely.

絕對地。

Alan Ratner, Zelman Associates.

艾倫·拉特納（Alan Ratner），澤爾曼聯合公司（Zelman Associates）。

Hey guys, good afternoon. Thanks for all the detail and all the helpful guidance. It's appreciated. First question, you alluded to this in a prior response to a question, but you know what you walked away from, I think 12,000 or so lots, but you did allude to renegotiations that are ongoing and even some price concessions from land sellers and I'm curious, what type of magnitude are you seeing there? Are you seeing real capitulation yet in the land market? And if so, is there any ability to actually lower land cost on actively selling communities or are these more kind of go forward projects that are really (inaudible)

大家好，下午好。感謝您提供的所有詳細資訊和有用的指導。非常感謝。第一個問題，您在之前回答問題時提到過這一點，但您知道您放棄了什麼，我想是 12,000 塊左右的地塊，但您確實提到了正在進行的重新談判，甚至土地賣家做出了一些價格讓步，我很好奇，您看到的是什麼樣的幅度？您是否已經看到土地市場出現真正的投降？如果是這樣，是否有能力真正降低積極出售社區的土地成本，或者這些是真正向前發展的項目（聽不清楚）

Yeah, it's more go forward and we're not seeing really huge changes in pricing, more on structure of deals, pushing out takes for a more just in time basis. But in terms of pricing, there is some of that in select markets, but I would not say that's an overreaching item through all the markets. We have not seen that across the board.

是的，它更加向前發展，我們沒有看到定價方面發生真正巨大的變化，更多的是交易結構的變化，以更及時的方式推出需求。但就定價而言，在特定市場確實存在這樣的情況，但我不會說這在所有市場都是一個過度定價的項目。我們還沒有全面看到這種情況。

Got it. Okay, second question, if I look at your margin guidance for third quarter, take roughly the down 100 basis points on gross margin and the 14% on SG$A. I'm getting to a pre-tax margin in the low single digit range overall which would definitely be the lowest level we've seen in quite a while and that's traditionally a level I would imagine where if that's a company average there's a decent number of projects that are closer to break even. So do you have any disclosure you give in terms of, I know some builders give like an impairment watch list, what percentage of communities are on on that watch list that have indicators of potential impairment?

知道了。好的，第二個問題，如果我看一下你們第三季的利潤率預期，毛利率大約下降了100個基點，新加坡元利潤率下降了14%。我得到的稅前利潤率總體上處於個位數的低位，這肯定是我們相當長一段時間以來看到的最低水平。我認為，如果這是公司的平均水平，那麼相當多的項目接近盈虧平衡。那麼，您是否披露過任何信息，我知道有些建築商會提供損害觀察名單，那麼在這份觀察名單上有多少比例的社區存在潛在損害跡象？

Yeah, Alan, all of our -- all of the required disclosures, including how we evaluate it, which is consistent with the industry will be in our 10-Q , which is filed later today. One important item to note is the gross margin item that we called out is really ex the impairment.

是的，艾倫，我們所有必要的披露，包括我們如何評估它，這與行業一致，都將在我們今天晚些時候提交的 10-Q 中。需要注意的一件重要事情是，我們所說的毛​​利率項目實際上是扣除了減損損失。

The $7 million impairment from our perspective is really directly related to a handful of communities that were in close out. They really decided to get aggressive on pricing. I think we would need to see the market, deteriorate rather significantly from here for there to be significant additional impairments.

從我們的角度來看，700 萬美元的損失實際上與少數幾個被關閉的社區有直接關係。他們確實決定在定價上採取激進的措施。我認為我們需要看到市場從現在開始大幅惡化，才會出現重大的額外損害。

Okay. Yeah, I was just referring to more, you did, I think 20% this quarter ex impairments, and capitalized interest is running about 1.5%, so that that's more like 18.5% less than 14% SG&A, that's just how I was getting there.

好的。是的，我剛才提到了更多，我認為本季扣除減損損失後的利息為 20%，資本化利息約為 1.5%，所以這更像是 18.5%，低於 14% 的銷售、一般和行政費用，這就是我得出的結論。

Yeah, correct. In one little note just on the specific GAAP requirements of impairment, you ignore the SG&A. It's just direct cost in and out. So it's really much more akin to your gross margin than than your pre-tax.

是的，正確。在有關減損的具體 GAAP 要求的一個小註釋中，您忽略了 SG&A。這只是直接進出成本。因此，它實際上更類似於您的毛利率，而不是稅前利率。

Okay, that's helpful. I appreciate that. Thanks, guys.

好的，這很有幫助。我很感激。謝謝大家。

Thank you.

謝謝。

Michael Rehaut, JPMorgan.

摩根大通的麥可雷豪特。

Hi everyone, this is Andrew (inaudible) for Michael Rehaut. I appreciate you taking my questions. Just wanted to kind of appreciate all the color you've given so far. I would love to drill down if possible on. I think we talked about July a bit, would love to get a sense of what happened April, May to June, and given the volatility with rates what you were saying in terms of your sales pace versus your expectations month to month?

大家好，我是 Michael Rehaut 的 Andrew（聽不清楚）。感謝您回答我的問題。只是想欣賞您迄今為止所給予的所有色彩。如果可能的話，我很樂意深入探討。我想我們討論了一下 7 月份的情況，想了解一下 4 月份、5 月份到 6 月份的情況，考慮到利率的波動性，您說的銷售速度與每月的預期相比如何？

Yeah, absolutely. So, pretty consistent with some of the items that we outlined in the prepared remarks. We saw sequential improvement from a sales perspective throughout the month. So May was significantly better than April and June was significantly better than than May. I think, consistent with maybe some of the commentary that, you may have heard from others, the end of June was certainly very strong.

是的，絕對是如此。因此，與我們在準備好的評論中概述的一些內容非常一致。我們看到整個月的銷售情況都有改善。因此，五月明顯優於四月份，而六月明顯優於五月。我認為，與您可能從其他人那裡聽到的一些評論一致，六月底的表現肯定非常強勁。

Taking advantage of some of the dips and rates, and then we've paused at the beginning of July, and it's been a little bit choppy so far within July, and so that's from cadence perspective, really where we've been at from a sales perspective.

利用一些下降和利率，然後我們在 7 月初暫停了，到目前為止，7 月份的情況有點不穩定，所以從節奏的角度來看，這實際上是從銷售的角度來看。

Got it. And then in terms of potential incremental Canadian tariffs on lumber. Can you provide maybe your exposure to Canadian lumber versus US source and what kind of impact you expect?

知道了。然後是加拿大可能對木材徵收的增量關稅。您能否介紹一下您對加拿大木材和美國木材的了解情況以及您預計會產生什麼樣的影響？

Yeah, absolutely. So, obviously difficult to tell the exact impact at the moment. We'll need to wait to see until those additional tariffs are potentially finalized here. We generally source between 20% and 30% of our lumber from Canada. It's market dependent, but from a general rule that, that would be our exposure, and certainly we're not seeing that currently running through any cost, but we'll just have to see where that lands going forward.

是的，絕對是如此。因此，目前顯然很難說出具體的影響。我們需要等待，直到這些額外的關稅最終確定。我們一般從加拿大採購 20% 至 30% 的木材。這取決於市場，但從一般規則來看，這將是我們的風險敞口，當然我們目前還沒有看到它產生任何成本，但我們只需要看看它未來會走向何方。

Got it, much appreciated. I'll pass it on. Thank you.

明白了，非常感謝。我會傳達的。謝謝。

Absolutely.

絕對地。

(Operator Instructions)

（操作員指示）

Ken Zener, Seaport Research Partners.

肯‧澤納 (Ken Zener)，海港研究夥伴。

You there? Ken, we can't hear you if you're on. (inaudible)

你在那裡？肯，如果你在線上的話，我們聽不到你的聲音。（聽不清楚）

Thank you for the time. So orders down a community count more attributable to quarter and inventory, excuse me, community growth, so I understand that. But the orders are still down like in the West quite a bit, and the mountains specifically, could you kind of provide details around what that driver was versus the baseline that you guys were?

感謝您抽出時間。因此，社區訂單數量的減少更多地歸因於季度和庫存，對不起，社區增長，所以我理解這一點。但是西部地區的訂單仍然下降了不少，特別是山區，您能否提供一些細節，說明當時的司機與你們的基線相比如何？

I don't know. Thank you.

我不知道。謝謝。

Something less bad than you guys printed, I guess is what I'm asking, like what was the [driver] of that?

我想問的是一些比你們印刷的更糟糕的事情，例如這件事的驅動因素是什麼？

Sure, I mean, there's a handful of factors obviously that's playing itself into it. From an overall perspective, the way the quarter really played itself out from the consumer demand perspective was the sequential growth from May to April and obviously June to April. It was something that we experienced, but, April certainly was off from March.

當然，我的意思是，顯然有很多因素在起作用。從整體來看，從消費者需求的角度來看，本季的實際表現是 5 月至 4 月以及 6 月至 4 月的連續成長。這是我們經歷過的事情，但是四月肯定與三月不同。

So that was part of the driver from an absorption standpoint. The other item that we called out really in our prepared remarks is really that the significant amount of the community count did come online in the back half of the year, or excuse me, at the quarter with most of it really coming online in June. And so that's some of the dynamics that you're seeing flow themselves through mountain in particular.

所以從吸收的角度來看，這是驅動因素的一部分。我們在準備好的發言中真正提到的另一件事是，大量的社區計數確實在今年下半年上線，或者對不起，是在本季度，其中大部分實際上是在 6 月份上線的。這就是您所看到的特別是通過山脈流動的一些動力。

So the 51, I assume quarter and community count verse 47 which is up.

因此，我假設 51 是季度和社區計數第 47 節，即向上。

Right.

正確的。

You're suggesting of the -- or not suggesting, I mean, I'm not trying to pin you down here, but with orders down, contracts down 39. is that fair to think that over half of that was attributable to an average community account being below the quarter end community count what you're suggesting?

您是在暗示——或者不是暗示，我的意思是，我並不是想在這裡給您一個難題，但是隨著訂單減少，合約減少 39。這樣認為超過一半的原因是平均社群帳戶低於您所建議的季度末社群數量，這公平嗎？

Yeah, without quantifying that, that specifically and potentially we can walk through some of the details are the majority of the community count growth coming in mountain occurred in June and therefore it wasn't open throughout the entire (multiple speakers)

是的，沒有量化，具體來說，我們可以了解一些細節，那就是山區社區人數的增長大部分發生在 6 月份，因此整個期間都沒有開放（多位發言者）

So it's not to be that's where it was most expressed is what you're saying the late or the community average community count that's not necessarily a mountain century communities issue is just that community count not being available there, okay.

所以，這並不是最能體現這一點的地方，您所說的已故或社區平均社區計數不一定是山區世紀社區的問題，只是社區計數在那裡不可用，好吧。

Do appreciate that. Do you guys have a comment on what you think, if I wasn't mistaken, did I hear you correctly saying your units under construct well with your starts at 2,485 is that correct?

非常感謝。你們對自己的想法有什麼評論嗎？如果我沒有記錯的話，我是否聽清楚了你們說的正在建設中的單位，起始編號為 2,485，對嗎？

That's right.

這是正確的。

Do you expect kind of the starts to reflect the order's growth as it has been more or less?

您是否預期開局能夠或多或少反映訂單的成長情況？

Yes, more or less.

是的，或多或少。

And then more or less, what do you guys expect your inventory -- your units under construction, right? So wherever you are now that you don't disclose but like starts closings we can kind of get there. Do you -- what's the magnitude that you expect that to be down in the fourth quarter year-over-year.

那麼，或多或少，你們對庫存——正在建造的單位——的預期是什麼，對嗎？因此，無論您現在身在何處，只要您不透露，但開始收盤，我們就可以到達那裡。您預計第四季的年減幅度是多少？

Ken, I think in all honestly, it's really, yeah, I think to some degree it's dependent on where the market is in terms of our ability to continue to drive starts. So, we began the year with obviously a little bit of a higher level of units either under construction and or finished, and it really focused on working those down to levels that we feel quite frankly very confident in putting more units out into the market for the back half of the year to the extent that we believe that the market continues to support that level of starts. So it'll be market dependent and demand dependent on an individual market basis.

肯，我認為說實話，是的，我認為在某種程度上，這取決於市場在我們繼續推動開工的能力方面所處的位置。因此，我們年初的在建和完工單位數量明顯略高一些，而我們真正關注的是將這些數量降低到一定水平，坦白說，我們非常有信心在下半年向市場推出更多單位，只要我們相信市場能夠繼續支持這一開工水平。因此，它將取決於市場，並且取決於單一市場的需求。

Excellent. And the last question which I've been asking builders is, it's the census data has inventory for sale three categories complete under construction not started, but do you guys respond to census bureau requests for inventory or sales or any of that type of information? Do you provide them data is what I'm asking you.

出色的。我一直在問建築商的最後一個問題是，人口普查數據中有三個類別：待售庫存、已完工、在建、未開工，但你們是否會回應人口普查局對庫存或銷售或任何此類資訊的請求？我問的是，你是否提供數據給他們。

Ken, I don't believe we provide them specific inventory data from a census on a regular basis.

肯，我不相信我們會定期向他們提供人口普查的具體庫存數據。

Thank you very much. It's interesting. I don't know what builder is. So it's it's getting to be interesting. Thank you very much, gentlemen.

非常感謝。這很有趣。我不知道 builder 是什麼。所以它變得越來越有趣。非常感謝各位先生。

Absolutely.

絕對地。

Alex Barron, Housing Research Center.

住房研究中心的亞歷克斯·巴倫。

Yes, thank you. I think I heard you say that the build times currently are around four months (multiple speakers) . I was wondering, is there any room for improvement from that level? Do you feel that's about as efficient as the business gets? And if there is there any other initiatives you guys are potentially trying such as vertical integration or acquiring certain trades or anything like that?

是的，謝謝。我想我聽到你說過，目前的建造時間大約是四個月（多位發言者）我想知道，從這個層面來看還有什麼進步的空間嗎？您是否認為這已經達到了業務效率的水平？你們是否還有可能嘗試其他舉措，例如垂直整合或收購某些產業或類似的東西？

So as far as acquiring certain trades, Alex, we have not been looking at that. But in terms of improving cycle times, sequentially each quarter they've gotten better, candidly month by month they've gotten better. That four months is a consolidated average. We have homes, some that are being built in the low 70 day range, certainly a lot in the 80 and 90s, and we have other product specific and basement markets where the time frame may be a little bit longer than that four month period, but on average, that's what we're doing. We do see that potentially even getting better over time, but that has been a bright spot that we're continuing to reduce that down.

因此，就收購某些交易而言，亞歷克斯，我們還沒有考慮這一點。但就改善週期時間而言，他們每季都在不斷進步，坦白說，他們每個月都在不斷進步。這四個月是綜合平均值。我們有一些房屋，其中一些是在 70 天左右建造的，當然也有很多是在 80 到 90 天左右，我們還有其他產品特定和地下室市場，這些市場的時間範圍可能比這四個月的時間要長一點，但平均而言，這就是我們正在做的事情。我們確實看到，隨著時間的推移，這種情況可能會變得更好，但這是一個亮點，我們正在繼續減少這種情況。

Got it. And as far as incentives, especially as it pertains to finish spec inventory, are you guys primarily just doing rate buy downs or are you also having to do price cuts?

知道了。至於激勵措施，特別是涉及成品規格庫存的激勵措施，你們主要只是進行價格下調還是也必須進行降價？

It's a mixture of both, certainly our most aggressive opportunities on the mortgage side are generally geared towards our slowing moving communities, aged inventory, and our consumer profiles that need that assistance. It generally is a mix of both, however.

這是兩者的結合，當然我們在抵押貸款方面最積極的機會通常是針對我們發展放緩的社區、老化的庫存以及需要這種援助的消費者群體。然而，通常來說，兩者是混合的。

Got it. Well, best of luck, guys. Thank you.

知道了。好吧，祝大家好運。謝謝。

Thanks, Alex.

謝謝，亞歷克斯。

There are no further questions at this time. I will now turn the call over to Dale. Please continue.

目前沒有其他問題。現在我將把電話轉給戴爾。請繼續。

Everyone on the call, thank you for your time today and interest in Century Communities. So our team members, thank you for your hard work, dedication to Century, and commitment to our valued homebuyers.

各位與會者，感謝你們今天抽出時間並對世紀社區感興趣。因此，我們的團隊成員感謝你們的辛勤工作、對世紀的奉獻以及對我們尊貴的購房者的承諾。

Ladies and gentlemen, this concludes today's conference call. Thank you for your participation. You may now disconnect.

女士們、先生們，今天的電話會議到此結束。感謝您的參與。您現在可以斷開連線。