Company: LGIH
Filing Date: 2025-04-30
Form Type: 10-Q
Source: 0001580670-25-000043
Chunk: 67

Company: LGI Homes, Inc.
Filing Date: 2025-04-30
Form: 10-Q
Item: Part I, Item 8
Chunk 67
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 due November 15, 2032; interest paid semi-annually at 7.000%400,000 400,000 Net debt issuance costs(19,816)(21,228)Total notes payable$1,624,597 $1,480,718 Capitalized Interest Interest activity, including other financing costs, for notes payable and financing arrangements for the periods presented is as follows (in thousands):Three Months Ended March 31,20252024Interest incurred$29,924 $29,363 Less: Amounts capitalized(29,924)(29,363)Interest expense$— $— Cash paid for interest$15,518 $21,286 Included in interest incurred was amortization of deferred financing costs and applicable discounts for notes payable and financing arrangements of $2.7 million and $4.9 million for the three months ended March 31, 2025 and 2024, respectively.

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5.     INCOME TAXES 

We file U.S. and state income tax returns in jurisdictions with varying statutes of limitations. The statute of limitations with regards to our federal income tax filings is three years. The statute of limitations for our state tax jurisdictions is three to four years depending on the jurisdiction.  In the normal course of business, we are subject to tax audits in various jurisdictions, and such jurisdictions may assess additional income taxes.  We do not expect the outcome of any audit to have a material effect on our consolidated financial statements; however, audit outcomes and the timing of audit adjustments are subject to significant uncertainty.For the three months ended March 31, 2025, our effective tax rate of 30.2% is higher than the Federal statutory rate primarily as a result of an increase in the rate for state income taxes, net of the federal benefit, and the compensation cost in excess of deductions for share-based payments.

Income taxes paid were $38.6 million and $12.1 million for the three months ended March 31, 2025 and 2024, respectively.  

6.     EQUITY

Stock Repurchase Program

In February 2022, our Board of Directors (the “Board”) approved a $200.0 million increase to our previously authorized stock repurchase program, pursuant to which we may purchase up to $550.0 million of shares of our common stock through open market transactions, privately negotiated transactions or otherwise in accordance with applicable laws. During the three