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Toll Brothers TOL Contract Liabilities and Refund Liability

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Other financials

Income statement

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Revenue$2.5B-7.6%
Gross profit$604.9M-14.3%
Operating income$346.6M-22.9%
Net income$260.6M-26.1%
EPS (diluted)$2.72-22.3%

Balance sheet

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Cash & equivalents$1.2B+53.9%
Total debt$139.8M+8.1%
Total equity$8.5B+6.6%
Total assets$14.5B+2.4%

Cash flow

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Operating cash flow$134.5M-62.9%
CapEx$24.5M+56.9%
Free cash flow$110.0M-68.3%

Valuation

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Market cap$14.55B+34.0%
Enterprise value$13.52B+32.0%
P/E11.3×+3.4×
P/S1.3×+0.3×

Profitability

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Gross margin24.2%-2.0pp
Operating margin14.6%-2.0pp
Net margin11.7%-1.3pp
FCF margin11%+4.2pp

Returns & leverage

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Return on equity15.7%-2.4pp
Debt / equity0.0×

Where this comes from

Reported directly by Toll Brothers in its filing.

Tagged under the XBRL concept us-gaap:ContractWithCustomerRefundLiability.

The official record: Toll Brothers’s 10-K, filed December 19, 2025, on SEC EDGAR. View the filing →

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Questions, answered.

What is Toll Brothers's contract liabilities and refund liability?
Toll Brothers (TOL) reported contract liabilities and refund liability of $418.9M in Q3 2025.
What is the long-term trend for Toll Brothers's contract liabilities and refund liability?
Over 2 years (2023 to 2025), Toll Brothers's contract liabilities and refund liability has grown at a -12.0% compound annual growth rate (CAGR), from $540.7M to $418.9M.
What does contract liabilities and refund liability mean?
Money collected from customers for work not yet completed or potential refunds owed.
How do you interpret contract liabilities and refund liability?
An increase typically signals strong future revenue growth and high customer demand, while a decrease may indicate slowing sales.
How does contract liabilities and refund liability compare across companies?
Standard in industries with long-cycle construction or service contracts.