Toll Brothers, Inc.TOL
Toll Brothers, Inc. Segments Disclosure
Information on Segments
We are engaged in the business of acquiring and developing land and constructing and selling single-family detached and attached homes. In accordance with ASC Topic 280, Segment Reporting, we have aggregated our geographical homebuilding segments under the aggregation criteria outlined. In determining the most appropriate reportable segments, we considered similar economic and other characteristics, including product types, average selling prices, gross profits, production processes, suppliers, subcontractors, regulatory environments, land acquisition results, and underlying demand and supply. In addition, our determination of reporting segments considered how our chief operating decision makers (“CODMs”) evaluate operating performance and capital allocation. Based upon these factors and in consideration of the geographical layout of our homebuilding markets, we have identified five homebuilding reporting segments which are reported under the following hierarchy:
•The North region: Connecticut, Delaware, Massachusetts, Michigan, New Jersey, New York and Pennsylvania;
•The Mid-Atlantic region: Georgia, Maryland, North Carolina, Tennessee and Virginia;
•The South region: Florida, South Carolina and Texas;
•The Mountain region: Arizona, Colorado, Idaho, Nevada and Utah; and
•The Pacific region: California, Oregon and Washington.
Corporate and other is a non-operating segment comprised principally of general corporate expenses such as our executive offices; the corporate finance, accounting, audit, tax, human resources, risk management, information technology, marketing, and legal groups; interest income; income from certain of our ancillary businesses, including our apartment rental development business and our high-rise urban luxury condominium operations; and income from our Rental Property Joint Ventures and Other Joint Ventures.
The reportable segments follow the same accounting policies used for our consolidated financial statements, as described in Note 1, Significant Accounting Policies. Operational results of each reportable segment are not necessarily indicative of the results that would have been achieved had the reportable segment been an independent, stand-alone entity during the periods presented.
In 2025, we adopted ASU 2023-07, which requires expanded disclosure of significant segment expenses and other segment items on an annual and interim basis. The adoption of ASU 2023-07 impacted the presentation of the performance measures presented in the below tables. Information for previous periods in the below tables conforms with the current year presentation.
Our Chief Executive Officer (CEO), Chief Financial Officer (CFO), and Chief Operating Officer (COO) are our CODMs. Our CODMs use segment measures, principally income from operations (the primary measure of segment profit or loss), in addition to revenue, operating profit, and other key homebuilding metrics regularly provided to assess each segment’s performance and decide how to allocate resources. These operating results are reviewed against actual and forecasted figures.
Total revenues, significant expenses, income from operations and income before income taxes for each of our reportable segments were as follows ($ amounts in thousands):
| For the year ended October 31, 2025 | |||||||||||||||||||||||||||||||||||||||||||||||
| North | Mid-Atlantic | South | Mountain | Pacific | Total | Corporate and other | Total consolidated | ||||||||||||||||||||||||||||||||||||||||
| Revenues: | |||||||||||||||||||||||||||||||||||||||||||||||
| Home sales | 1,656,081 | 1,432,847 | 2,706,681 | 2,924,363 | 2,122,234 | 10,842,206 | (3) | 10,842,203 | |||||||||||||||||||||||||||||||||||||||
| Land sales and other | 17,156 | 32,973 | 12,233 | 51,855 | 1,493 | 115,710 | 8,810 | 124,520 | |||||||||||||||||||||||||||||||||||||||
| 1,673,237 | 1,465,820 | 2,718,914 | 2,976,218 | 2,123,727 | 10,957,916 | 8,807 | 10,966,723 | ||||||||||||||||||||||||||||||||||||||||
| Cost of revenues: | |||||||||||||||||||||||||||||||||||||||||||||||
| Home sales | 1,228,627 | 1,058,414 | 1,980,790 | 2,226,229 | 1,573,646 | 8,067,706 | 2,036 | 8,069,742 | |||||||||||||||||||||||||||||||||||||||
| Land sales and other | 18,056 | 45,590 | 9,315 | 48,981 | 9,746 | 131,688 | 11,057 | 142,745 | |||||||||||||||||||||||||||||||||||||||
| 1,246,683 | 1,104,004 | 1,990,105 | 2,275,210 | 1,583,392 | 8,199,394 | 13,093 | 8,212,487 | ||||||||||||||||||||||||||||||||||||||||
| Selling, general and administrative | 107,026 | 111,250 | 235,127 | 194,345 | 139,767 | 787,515 | 246,107 | 1,033,622 | |||||||||||||||||||||||||||||||||||||||
| Income (loss) from operations | 319,528 | 250,566 | 493,682 | 506,663 | 400,568 | 1,971,007 | (250,393) | 1,720,614 | |||||||||||||||||||||||||||||||||||||||
| Other: | |||||||||||||||||||||||||||||||||||||||||||||||
| Income (loss) from unconsolidated entities | 4,937 | 73 | 25,729 | (312) | (1,031) | 29,396 | (10,342) | 19,054 | |||||||||||||||||||||||||||||||||||||||
| Other income - net | 2,542 | 2,987 | 4,735 | 4,718 | 1,313 | 16,295 | 35,408 | 51,703 | |||||||||||||||||||||||||||||||||||||||
| Income (loss) before income taxes | 327,007 | 253,626 | 524,146 | 511,069 | 400,850 | 2,016,698 | (225,327) | 1,791,371 | |||||||||||||||||||||||||||||||||||||||
| For the year ended October 31, 2024 | |||||||||||||||||||||||||||||||||||||||||||||||
| North | Mid-Atlantic | South | Mountain | Pacific | Total | Corporate and other | Total consolidated | ||||||||||||||||||||||||||||||||||||||||
| Revenues: | |||||||||||||||||||||||||||||||||||||||||||||||
| Home sales | 1,484,267 | 1,422,018 | 2,787,459 | 2,590,445 | 2,279,083 | 10,563,272 | 60 | 10,563,332 | |||||||||||||||||||||||||||||||||||||||
Land sales and other (1) | 4,486 | 208,436 | 25,930 | 28,277 | 1,365 | 268,494 | 14,914 | 283,408 | |||||||||||||||||||||||||||||||||||||||
| 1,488,753 | 1,630,454 | 2,813,389 | 2,618,722 | 2,280,448 | 10,831,766 | 14,974 | 10,846,740 | ||||||||||||||||||||||||||||||||||||||||
| Cost of revenues: | |||||||||||||||||||||||||||||||||||||||||||||||
| Home sales | 1,139,600 | 1,029,220 | 1,999,758 | 1,981,501 | 1,599,536 | 7,749,615 | 3,736 | 7,753,351 | |||||||||||||||||||||||||||||||||||||||
| Land sales and other | 752 | 31,077 | 22,245 | 10,521 | 1,192 | 65,787 | 5,124 | 70,911 | |||||||||||||||||||||||||||||||||||||||
| 1,140,352 | 1,060,297 | 2,022,003 | 1,992,022 | 1,600,728 | 7,815,402 | 8,860 | 7,824,262 | ||||||||||||||||||||||||||||||||||||||||
| Selling, general and administrative | 97,176 | 100,097 | 234,037 | 185,409 | 139,279 | 755,998 | 226,293 | 982,291 | |||||||||||||||||||||||||||||||||||||||
| Income (loss) from operations | 251,225 | 470,060 | 557,349 | 441,291 | 540,441 | 2,260,366 | (220,179) | 2,040,187 | |||||||||||||||||||||||||||||||||||||||
| Other: | |||||||||||||||||||||||||||||||||||||||||||||||
| (Loss) income from unconsolidated entities | (6,324) | (243) | 10,591 | 688 | (311) | 4,401 | (28,244) | (23,843) | |||||||||||||||||||||||||||||||||||||||
| Other income - net | 7,838 | 1,661 | 10,082 | 4,189 | 1,659 | 25,429 | 43,867 | 69,296 | |||||||||||||||||||||||||||||||||||||||
| Income (loss) before income taxes | 252,739 | 471,478 | 578,022 | 446,168 | 541,789 | 2,290,196 | (204,556) | 2,085,640 | |||||||||||||||||||||||||||||||||||||||
(1) Included in the Mid-Atlantic region is a $185.0 million land sale to a commercial developer in February 2024, which is further discussed in Note 1, “Significant Accounting Policies - Revenue and Cost Recognition”.
| For the year ended October 31, 2023 | |||||||||||||||||||||||||||||||||||||||||||||||
| North | Mid-Atlantic | South | Mountain | Pacific | Total | Corporate and other | Total consolidated | ||||||||||||||||||||||||||||||||||||||||
| Revenues: | |||||||||||||||||||||||||||||||||||||||||||||||
| Home sales | 1,494,127 | 1,175,348 | 2,204,763 | 2,660,746 | 2,329,365 | 9,864,349 | 1,677 | 9,866,026 | |||||||||||||||||||||||||||||||||||||||
| Land sales and other | 32,620 | 13,169 | 19,014 | 1,140 | 8,705 | 74,648 | 54,263 | 128,911 | |||||||||||||||||||||||||||||||||||||||
| 1,526,747 | 1,188,517 | 2,223,777 | 2,661,886 | 2,338,070 | 9,938,997 | 55,940 | 9,994,937 | ||||||||||||||||||||||||||||||||||||||||
| Cost of revenues: | |||||||||||||||||||||||||||||||||||||||||||||||
| Home sales | 1,186,238 | 844,581 | 1,621,080 | 1,969,054 | 1,580,565 | 7,201,518 | 5,761 | 7,207,279 | |||||||||||||||||||||||||||||||||||||||
| Land sales and other | 46,748 | 20,430 | 18,378 | 1,140 | 11,410 | 98,106 | 55,351 | 153,457 | |||||||||||||||||||||||||||||||||||||||
| 1,232,986 | 865,011 | 1,639,458 | 1,970,194 | 1,591,975 | 7,299,624 | 61,112 | 7,360,736 | ||||||||||||||||||||||||||||||||||||||||
| Selling, general and administrative | 103,330 | 80,076 | 187,311 | 176,726 | 136,729 | 684,172 | 225,274 | 909,446 | |||||||||||||||||||||||||||||||||||||||
| Income (loss) from operations | 190,431 | 243,430 | 397,008 | 514,966 | 609,366 | 1,955,201 | (230,446) | 1,724,755 | |||||||||||||||||||||||||||||||||||||||
| Other: | |||||||||||||||||||||||||||||||||||||||||||||||
| Income (loss) from unconsolidated entities | 972 | 283 | 13,520 | (211) | (414) | 14,150 | 35,948 | 50,098 | |||||||||||||||||||||||||||||||||||||||
| Other income (loss) - net | 6,011 | (249) | 6,183 | 2,325 | 1,174 | 15,444 | 52,074 | 67,518 | |||||||||||||||||||||||||||||||||||||||
| Income (loss) before income taxes | 197,414 | 243,464 | 416,711 | 517,080 | 610,126 | 1,984,795 | (142,424) | 1,842,371 | |||||||||||||||||||||||||||||||||||||||
“Corporate and other” is comprised principally of income from certain of our ancillary businesses, including our apartment rental development business and our high-rise urban luxury condominium operations; income from our Rental Property Joint Ventures and Other Joint Ventures; and interest income; and general corporate expenses such as our executive offices; the corporate finance, accounting, audit, tax, human resources, risk management, information technology, marketing, and legal groups.
Total assets for each of our segments at October 31, 2025 and 2024, are shown in the table below (amounts in thousands):
| 2025 | 2024 | ||||||||||
| North | $ | 1,566,554 | $ | 1,425,738 | |||||||
| Mid-Atlantic | 1,697,949 | 1,444,951 | |||||||||
| South | 2,907,617 | 2,514,446 | |||||||||
| Mountain | 2,948,416 | 2,950,806 | |||||||||
| Pacific | 2,585,987 | 2,266,829 | |||||||||
| Total home building | 11,706,523 | 10,602,770 | |||||||||
| Corporate and other | 2,813,343 | 2,765,162 | |||||||||
| Total consolidated | $ | 14,519,866 | $ | 13,367,932 | |||||||
“Corporate and other” is comprised principally of cash and cash equivalents, restricted cash, investments in our Rental Property Joint Ventures, expected recoveries from insurance carriers and suppliers, manufacturing facilities, our apartment rental development operations, and our mortgage and title subsidiaries.
Inventory for each of our segments, as of the dates indicated, is shown in the table below (amounts in thousands):
| Land controlled for future communities | Land owned for future communities | Operating communities | Total | ||||||||||||||||||||
Balances at October 31, 2025 | |||||||||||||||||||||||
| North | $ | 45,707 | $ | 124,886 | $ | 1,223,239 | $ | 1,393,832 | |||||||||||||||
| Mid-Atlantic | 61,244 | 76,876 | 1,522,998 | 1,661,118 | |||||||||||||||||||
| South | 62,151 | 82,462 | 2,397,842 | 2,542,455 | |||||||||||||||||||
| Mountain | 16,973 | 93,413 | 2,642,887 | 2,753,273 | |||||||||||||||||||
| Pacific | 121,154 | 28,869 | 2,177,759 | 2,327,782 | |||||||||||||||||||
| Total consolidated | $ | 307,229 | $ | 406,506 | $ | 9,964,725 | $ | 10,678,460 | |||||||||||||||
Balances at October 31, 2024 | |||||||||||||||||||||||
| North | $ | 30,597 | $ | 38,920 | $ | 1,169,490 | $ | 1,239,007 | |||||||||||||||
| Mid-Atlantic | 51,400 | 50,762 | 1,297,021 | 1,399,183 | |||||||||||||||||||
| South | 43,571 | 89,145 | 2,100,079 | 2,232,795 | |||||||||||||||||||
| Mountain | 10,868 | 94,103 | 2,705,213 | 2,810,184 | |||||||||||||||||||
| Pacific | 63,730 | 80,100 | 1,887,926 | 2,031,756 | |||||||||||||||||||
| Total consolidated | $ | 200,166 | $ | 353,030 | $ | 9,159,729 | $ | 9,712,925 | |||||||||||||||
The amounts we have provided for inventory impairment charges and the expensing of costs that we believed not to be recoverable for each of our segments, for the years ended October 31, 2025, 2024, and 2023, are shown in the table below (amounts in thousands):
| 2025 | 2024 | 2023 | |||||||||||||||
| North | $ | 1,344 | $ | 1,098 | $ | 677 | |||||||||||
| Mid-Atlantic | 16,841 | 15,214 | 15,898 | ||||||||||||||
| South | 16,887 | 3,404 | 1,766 | ||||||||||||||
| Mountain | 15,612 | 26,032 | 5,662 | ||||||||||||||
| Pacific | 15,230 | 13,693 | 6,703 | ||||||||||||||
| Total consolidated | $ | 65,914 | $ | 59,441 | $ | 30,706 | |||||||||||
The amounts we have provided for land impairment charges included in land sales and other costs of revenues, for the years ended October 31, 2025, 2024, and 2023, are shown in the table below (amounts in thousands):
| 2025 | 2024 | 2023 | |||||||||||||||
| North | $ | 900 | $ | — | $ | 15,560 | |||||||||||
| Mid-Atlantic | 12,100 | 600 | 10,300 | ||||||||||||||
| South | 2,561 | — | — | ||||||||||||||
| Pacific | 8,800 | — | 2,200 | ||||||||||||||
| Traditional Home Building | 24,361 | 600 | 28,060 | ||||||||||||||
| Corporate and other | 2,500 | 3,800 | 2,500 | ||||||||||||||
| Total consolidated | $ | 26,861 | $ | 4,400 | $ | 30,560 | |||||||||||
The net carrying value of our investments in unconsolidated entities, for each of our segments, as of the dates indicated, are shown in the table below (amounts in thousands):
| Investments in unconsolidated entities | ||||||||||||||
| At October 31, | ||||||||||||||
| 2025 | 2024 | |||||||||||||
| North | $ | 14,769 | $ | 58,403 | ||||||||||
| Mid-Atlantic | 14,535 | 12,647 | ||||||||||||
| South | 289,938 | 168,042 | ||||||||||||
| Mountain | 102,147 | 74,909 | ||||||||||||
| Pacific | 146,767 | 132,952 | ||||||||||||
| Total home building | 568,156 | 446,953 | ||||||||||||
| Corporate and other | 457,739 | 560,464 | ||||||||||||
Total consolidated | $ | 1,025,895 | $ | 1,007,417 | ||||||||||
“Corporate and other” is comprised of our investments in the Rental Property Joint Ventures and Other Joint Ventures.
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Dec 19, 2025 | Showing above |
| 2024 | Dec 20, 2024 | |
| 2023 | Dec 21, 2023 | |
| 2022 | Dec 19, 2022 | |
| 2021 | Dec 17, 2021 | |
| 2020 | Dec 22, 2020 | |
| 2019 | Dec 26, 2019 | |
| 2018 | Dec 20, 2018 | |
| 2017 | Dec 21, 2017 | |
| 2016 | Dec 23, 2016 | |
| 2015 | Dec 21, 2015 | |
About Segments Disclosures
Segment disclosures break a company into its reportable operating units, revealing revenue, profit, and asset allocation that consolidated financial statements obscure. Under ASC 280, segments must match how the chief operating decision maker views the business, providing a window into internal management structure and resource allocation priorities.
Key signals: compare segment margins to identify which units drive profitability and which destroy value. Watch for changes in the number of reportable segments — segment aggregation or disaggregation often coincides with strategic shifts or attempts to obscure declining performance. Intersegment elimination patterns reveal internal pricing practices. The reconciliation between segment totals and consolidated figures exposes corporate overhead allocation and unallocated items. Geographic revenue concentration highlights regulatory and currency exposure. Compare segment-level capital expenditure against segment revenue to assess where management is investing for future growth versus harvesting existing assets.