Company: LGIH
Filing Date: 2025-08-05
Form Type: 10-Q
Source: 0001580670-25-000058
Chunk: 46

Company: LGI Homes, Inc.
Filing Date: 2025-08-05
Form: 10-Q
Item: Part I, Item 1
Chunk 46
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30, 2025 was $110.6 million, a decrease of $40.3 million, or 26.7%, from $150.9 million for the three months ended June 30, 2024. Gross margin as a percentage of home sales revenues was 22.9% for the three months ended June 30, 2025 and 25.0% for the three months ended June 30, 2024. The decrease in gross margin as a percentage of home sales revenues was primarily due to a higher number of wholesale closings, higher lot costs, higher capitalized interest, and higher indirect overhead as a percentage of revenue, partially offset by a decrease in sales incentives offered during the three months ended June 30, 2025 as compared to the three months ended June 30, 2024.  

Selling Expenses. Selling expenses for the three months ended June 30, 2025 were $41.6 million, a decrease of $11.3 million, or 21.3%, from $52.9 million for the three months ended June 30, 2024.  The decrease in selling expenses was primarily due to a decrease in sales commissions and, to a lesser extent, personnel expenses.  Sales commissions decreased to $18.9 million for the three months ended June 30, 2025 from $27.2 million for the three months ended June 30, 2024, primarily due to a 19.8% decrease in home sales revenues during the three months ended June 30, 2025 as compared to the three months ended June 30, 2024. Selling expenses as a percentage of home sales revenues were 8.6% and 8.8% for the three months ended June 30, 2025 and 2024, respectively. The decrease in selling expenses as a percentage of home sales revenues was primarily 

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due to lower commissions and other personnel expenses during the three months ended June 30, 2025 as compared to the three months ended June 30, 2024. 

General and Administrative. General and administrative expenses for the three months ended June 30, 2025 were $29.4 million, a decrease of $1.1 million, or 3.6%, from $30.5 million for the three months ended June 30, 2024. The decrease in general and administrative expenses was primarily due to a decrease in indirect overhead expenses and bonuses, partially