Company: SDHC
Filing Date: 2025-11-05
Form Type: 10-Q
Source: 0001628280-25-049591
Chunk: 96

Company: Smith Douglas Homes Corp.
Filing Date: 2025-11-05
Form: 10-Q
Item: Part I, Item 8
Chunk 96
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udited condensed consolidated statements of income as a component of selling, general and administrative costs is presented in the table below (in thousands). Three months endedSeptember 30,Nine months endedSeptember 30, 2025202420252024Operating lease costs (related party)$— $87 $142 $260 Variable lease costs – operating (related party)$— $27 $21 $66 Payments under the office lease agreement, along with costs associated with the office space, totaled approximately $0.1 million during the nine months ended September 30, 2025 and $0.1 million and $0.3 million during the three and nine months ended September 30, 2024, respectively. The Company made no payments for use of the office space during the three months ended September 30, 2025.During the three and nine months ended September 30, 2025, the Company incurred no fees and $0.4 million, respectively, in the aggregate from certain entities affiliated by common ownership for use of facilities related to business development and vendor relations, which is included in selling, general and administrative costs in the accompanying unaudited condensed consolidated statements of income. During the three and nine months ended September 30, 2024, the Company incurred fees of $16,000 and $0.4 million, respectively, for the use of these facilities. The Company paid fees of $16,000 and $0.1 million, respectively, for the use of these facilities during the three and nine months ended September 30, 2024. The Company did not pay fees for use of these facilities during the three and nine months ended September 30, 2025.The Company charters aircraft services from companies that are controlled by a related entity of the Founder Fund. Expenses incurred and paid to these companies under a dry lease agreement for the use of the aircraft for business travel totaled approximately $10,000 and $12,000 for the three and nine months ended September 30, 2025, respectively, and $8,000 and $86,000 for the three and nine months ended September 30, 2024, respectively, which are included in selling, general and administrative costs in the accompanying unaudited condensed consolidated statements of income.The Company has related party receivables totaling approximately $0.1 million as of both September 30, 2025 and December 31, 2024 for various expenses paid by the Company on behalf of