Company: SDHC
Filing Date: 2025-05-14
Form Type: 10-Q
Source: 0001982518-25-000020
Chunk: 87

Company: Smith Douglas Homes Corp.
Filing Date: 2025-05-14
Form: 10-Q
Item: Part I, Item 8
Chunk 87
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 to measure segment profit or loss. The Company's operating segments are aggregated into two reportable segments: Southeast and Central. The Southeast segment consists of the Atlanta, Central Georgia, Charlotte, Greenville, and Raleigh divisions. The Central segment consists of the Alabama, Houston, and Nashville divisions. Each reportable segment follows the accounting policies described in Note 1. As the Central Georgia and Greenville divisions were formed in the second half of 2024, segment information disclosed for the three months ended March 31, 2024 does not include these divisions.The following tables summarize financial information by segment (in thousands):Three months ended March 31, 2025SoutheastCentralTotalHome closing revenue$138,218 $86,504 $224,722 Cost of home closings101,144 70,048 171,192 Home closing gross profit37,074 16,456 53,530 Less:(1)Selling, general, and administrative expenses(2)13,186 8,604 21,790 Other segment items(3)33 842 875 Segment profit23,855 7,010 30,865 Corporate selling, general, and administrative costs(4)11,209 Other corporate items(5)89 Income before income taxes$19,567 Three months ended March 31, 2024SoutheastCentralTotalHome closing revenue$103,495 $85,714 $189,209 Cost of home closings72,507 67,242 139,749 Home closing gross profit30,988 18,472 49,460 Less:(1)Selling, general, and administrative expenses(2)9,925 8,133 18,058 Other segment items(3)58 56 114 Segment profit21,005 10,283 31,288 Corporate selling, general, and administrative costs(4)9,483 Other corporate items(5)398 Income before income taxes$21,407 (1)The significant segment expense categories and amounts align with the segment-level information that is regularly provided to the CODM.

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(2) Selling, general, and administrative expenses consists of internal and external commissions, marketing expense, sales expense, indirect and warranty overhead, marketing department overhead, sales department overhead, general and administrative overhead, and depreciation and amortization expense.(3)Other segment items includes interest expense, interest income, gain (loss)