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KB Home KBH Homebuilding — Inventory impairments and land option contract abandonments

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Other financials

Income statement

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Revenue$1.1B-27.3%
Net income$27.3M-74.6%
EPS (diluted)$0.43-71.3%

Balance sheet

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Cash & equivalents$330.2M+13.0%
Total debt$30.0M+27.9%
Total equity$3.8B-4.9%
Total assets$6.8B-3.5%

Cash flow

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Operating cash flow-$125.4M+62.5%
CapEx$9.7M-16.0%
Free cash flow-$138.6M+59.9%

Valuation

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Market cap$3.59B-10.2%
P/E13.2×+6.1×
P/S0.7×+0.1×

Profitability

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Operating margin7.6%
Net margin4.9%-3.5pp
FCF margin-0.6%-15.7pp

Returns & leverage

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Return on equity7%-7.2pp
Debt / equity0.0×

Where this comes from

Reported directly by KB Home in its filing.

Tagged under the XBRL concept kbh:InventoryImpairmentsAndLandOptionContractAbandonments.

The source filing: KB Home’s 10-Q, filed July 9, 2026.

Filed
Jul 9, 2026, 4:29 PM EDT
Fiscal quarter
Q2 FY2026
Calendar quarter
Q2 2026
Accession
0000795266-26-000063
Line itemWest CoastSouthwestCentralSoutheastCorporate and OtherTotal
Construction and land costs:
Housing(435,060)(132,593)(173,259)(189,304)(1,834)(932,050)
Land(780)(780)
Inventory-related charges(4,335)(408)(367)(469)(5,579)
Total(440,175)(133,001)(173,626)(189,773)(1,834)(938,409)
Gross profits:
Housing (a)71,24333,62432,20333,387(1,834)168,623
Land7575

Item 1.Financial Statements

FAQ

What is KB Home's homebuilding — inventory impairments and land option contract abandonments?
KB Home (KBH) reported homebuilding — inventory impairments and land option contract abandonments of $5.58M in Q1 2026.
How has KB Home's homebuilding — inventory impairments and land option contract abandonments changed year-over-year?
KB Home's homebuilding — inventory impairments and land option contract abandonments increased by 0.4% year-over-year, from $5.56M to $5.58M.
What is the long-term trend for KB Home's homebuilding — inventory impairments and land option contract abandonments?
Over 4 years (2021 to 2025), KB Home's homebuilding — inventory impairments and land option contract abandonments has grown at a 28.0% compound annual growth rate (CAGR), from $11.95M to $32.05M.
What does homebuilding — inventory impairments and land option contract abandonments mean?
Reflects the non-cash charges taken when the carrying value of land assets or land option deposits exceeds their estimated fair market value. High levels of these impairments indicate deteriorating market conditions or poor strategic decisions regarding land acquisition.

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