Document And Entity Information
Document And Entity Information - shares | 9 Months Ended | |
Jul. 31, 2023 | Aug. 29, 2023 | |
Document Information [Line Items] | ||
Entity Central Index Key | 0000357294 | |
Entity Registrant Name | HOVNANIAN ENTERPRISES INC | |
Amendment Flag | false | |
Current Fiscal Year End Date | --10-31 | |
Document Fiscal Period Focus | Q3 | |
Document Fiscal Year Focus | 2023 | |
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Jul. 31, 2023 | |
Document Transition Report | false | |
Entity File Number | 1-8551 | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 22-1851059 | |
Entity Address, Address Line One | 90 Matawan Road, 5th Floor | |
Entity Address, City or Town | Matawan | |
Entity Address, State or Province | NJ | |
Entity Address, Postal Zip Code | 07747 | |
City Area Code | 732 | |
Local Phone Number | 747-7800 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Preferred Stock Purchase Rights [Member] | ||
Document Information [Line Items] | ||
Title of 12(b) Security | Preferred Stock Purchase Rights(1) | |
Security Exchange Name | NYSE | |
No Trading Symbol Flag | true | |
Common Class B [Member] | ||
Document Information [Line Items] | ||
Entity Common Stock, Shares Outstanding | 749,081 | |
Common Class A [Member] | ||
Document Information [Line Items] | ||
Title of 12(b) Security | Class A Common Stock, $0.01 par value per share | |
Trading Symbol | HOV | |
Security Exchange Name | NYSE | |
Entity Common Stock, Shares Outstanding | 5,345,668 | |
Depository Shares [Member] | ||
Document Information [Line Items] | ||
Title of 12(b) Security | Depositary Shares each representing 1/1,000th of a share of 7.625% Series A Preferred Stock | |
Trading Symbol | HOVNP | |
Security Exchange Name | NASDAQ |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets (Current Period Unaudited) - USD ($) $ in Thousands | Jul. 31, 2023 | Oct. 31, 2022 |
ASSETS | ||
Property and equipment, net | $ 31,330 | $ 25,819 |
Assets | 2,393,917 | 2,562,030 |
Assets | 2,393,917 | 2,562,030 |
Deferred tax assets, net | 324,698 | 344,793 |
LIABILITIES AND EQUITY | ||
Senior notes and credit facilities (net of discounts, premiums and debt issuance costs) | 1,044,779 | 1,146,547 |
Liabilities | 1,911,402 | 2,178,979 |
Liabilities | 1,911,402 | 2,178,979 |
Income taxes payable | 434 | 3,167 |
Preferred stock, $0.01 par value - authorized 100,000 shares; issued and outstanding 5,600 shares with a liquidation preference of $140,000 at July 31, 2023 and October 31, 2022 | 135,299 | 135,299 |
Paid in capital - common stock | 731,285 | 727,663 |
Accumulated deficit | (251,794) | (352,413) |
Treasury stock - at cost – 901,379 shares of Class A common stock at July 31, 2023 and 782,901 shares at October 31, 2022; 27,669 shares of Class B common stock at July 31, 2023 and October 31, 2022 | (132,382) | (127,582) |
Total Hovnanian Enterprises, Inc. stockholders’ equity | 482,478 | 383,036 |
Noncontrolling interest in consolidated joint ventures | 37 | 15 |
Total equity | 482,515 | 383,051 |
Total liabilities and equity | 2,393,917 | 2,562,030 |
Common Class A [Member] | ||
LIABILITIES AND EQUITY | ||
Common Stock | 62 | 62 |
Common Class B [Member] | ||
LIABILITIES AND EQUITY | ||
Common Stock | 8 | 7 |
Homebuilding [Member] | ||
ASSETS | ||
Cash and cash equivalents | 325,182 | 326,198 |
Restricted cash and cash equivalents | 8,623 | 13,382 |
Sold and unsold homes and lots under development | 1,049,802 | 1,058,183 |
Land and land options held for future development or sale | 110,343 | 152,406 |
Consolidated inventory not owned | 251,115 | 308,595 |
Total inventories | 1,411,260 | 1,519,184 |
Investments in and advances to unconsolidated joint ventures | 85,260 | 74,940 |
Receivables, deposits and notes, net | 33,016 | 37,837 |
Prepaid expenses and other assets | 58,945 | 63,884 |
Assets | 1,953,616 | 2,061,244 |
Assets | 1,953,616 | 2,061,244 |
LIABILITIES AND EQUITY | ||
Accounts payable and other liabilities | 381,761 | 439,952 |
Customers’ deposits | 63,907 | 74,020 |
Liabilities from inventory not owned, net of debt issuance costs | 145,979 | 202,492 |
Senior notes and credit facilities (net of discounts, premiums and debt issuance costs) | 1,044,779 | 1,146,547 |
Accrued interest | 50,913 | 32,415 |
Liabilities | 1,816,466 | 2,040,231 |
Liabilities | 1,816,466 | 2,040,231 |
Homebuilding [Member] | Nonrecourse Mortgages Secured By Inventory [Member] | Mortgages [Member] | ||
LIABILITIES AND EQUITY | ||
Nonrecourse mortgages, net of debt issuance costs | 129,127 | 144,805 |
Financial Services [Member] | ||
ASSETS | ||
Cash and cash equivalents | 4,119 | |
Restricted cash and cash equivalents | 29,453 | 36,100 |
Assets | 115,603 | 155,993 |
Assets | 115,603 | 155,993 |
LIABILITIES AND EQUITY | ||
Liabilities | 94,502 | 135,581 |
Liabilities | $ 94,502 | $ 135,581 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Current Period Unaudited) (Parentheticals) - USD ($) $ in Millions | Jul. 31, 2023 | Oct. 31, 2022 |
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized (in shares) | 100,000 | 100,000 |
Preferred stock, shares issued (in shares) | 5,600 | 5,600 |
Preferred stock, shares outstanding (in shares) | 5,600 | 5,600 |
Preferred stock, liquidation preference | $ 140 | $ 140 |
Common Class A [Member] | ||
Common stock, shares authorized (in shares) | 16,000,000 | 16,000,000 |
Common stock, shares issued (in shares) | 6,247,047 | 6,159,886 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares held in Treasury (in shares) | 901,379 | 782,901 |
Common Class B [Member] | ||
Common stock, shares authorized (in shares) | 2,400,000 | 2,400,000 |
Common stock, shares issued (in shares) | 776,750 | 733,374 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares held in Treasury (in shares) | 27,669 | 27,669 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations (Unaudited) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Jul. 31, 2023 | Jul. 31, 2022 | Jul. 31, 2023 | Jul. 31, 2022 | ||
Revenues | $ 649,957 | $ 767,593 | $ 1,868,984 | $ 2,035,443 | |
Total expenses | 583,886 | 668,223 | 1,751,311 | 1,824,294 | |
Corporate general and administrative | 27,365 | 24,774 | 77,934 | 75,893 | |
Other interest | [1],[2] | 13,502 | 9,624 | 43,096 | 35,442 |
Other (income) expense, net (1) | [3] | (18,612) | 670 | (17,652) | 1,679 |
Loss on extinguishment of debt, net | (4,082) | 0 | (4,082) | (6,795) | |
Income from unconsolidated joint ventures | 8,401 | 12,557 | 20,969 | 23,919 | |
Income before income taxes | 70,390 | 111,927 | 134,560 | 228,273 | |
Tax provision (benefit) | 14,626 | 29,313 | 25,934 | 58,416 | |
Net income | 55,764 | 82,614 | 108,626 | 169,857 | |
Less: preferred stock dividends | 2,669 | 2,669 | 8,007 | 8,007 | |
Net income available to common stockholders | $ 53,095 | $ 79,945 | $ 100,619 | $ 161,850 | |
Net income per common share (in dollars per share) | $ 7.92 | $ 10.92 | $ 14.97 | $ 22.05 | |
Weighted-average number of common shares outstanding basic (in shares) | 6,249 | 6,485 | 6,201 | 6,424 | |
Net income per common share (in dollars per share) | $ 7.38 | $ 10.82 | $ 13.97 | $ 21.77 | |
Weighted-average number of common shares outstanding (in shares) | 6,705 | 6,544 | 6,642 | 6,507 | |
State and Local Jurisdiction [Member] | |||||
Tax provision (benefit) | $ (500) | $ 6,385 | $ 2,794 | $ 11,515 | |
Domestic Tax Authority [Member] | |||||
Tax provision (benefit) | 15,126 | 22,928 | 23,140 | 46,901 | |
Homebuilding [Member] | |||||
Revenues | 635,308 | 753,060 | 1,827,968 | 1,991,895 | |
Cost of sales, excluding interest | 483,990 | 548,576 | 1,415,652 | 1,480,175 | |
Cost of sales interest | 19,272 | 22,453 | 55,719 | 57,876 | |
Inventory impairments and land option write-offs | 308 | 1,173 | 922 | 1,837 | |
Total cost of sales | 503,570 | 572,202 | 1,472,293 | 1,539,888 | |
Selling, general and administrative | 47,716 | 50,163 | 146,090 | 139,410 | |
Total expenses | 551,286 | 622,365 | 1,618,383 | 1,679,298 | |
Homebuilding [Member] | Sale of Homes [Member] | |||||
Revenues | 630,371 | 736,654 | 1,800,724 | 1,973,843 | |
Homebuilding [Member] | Land Sales and Other Revenues [Member] | |||||
Revenues | 4,937 | 16,406 | 27,244 | 18,052 | |
Financial Services [Member] | |||||
Revenues | 14,649 | 14,533 | 41,016 | 43,548 | |
Total expenses | $ 10,345 | $ 10,790 | $ 29,550 | $ 31,982 | |
[1]Cash paid for interest, net of capitalized interest, is the sum of other interest expensed, as defined above, and interest paid by our mortgage and finance subsidiaries adjusted for the change in accrued interest on notes payable, which is calculated as follows:[2]Other interest expensed includes interest that does not qualify for interest capitalization because our assets that qualify for interest capitalization (inventory under development) do not exceed our debt, which amounted to $2.6 million and $5.0 million for the three months ended July 31, 2023 and 2022, respectively, and $14.5 million and $25.5 million for the nine months ended July 31, 2023 and 2022, respectively. Other interest also includes interest on completed homes, land in planning and fully developed lots without homes under construction, which does not qualify for capitalization and therefore is expensed as incurred. This component of other interest was $10.9 million and $4.6 million for the three months ended July 31, 2023 and 2022, respectively, and $28.6 million and $9.9 million for the nine months ended July 31, 2023 and 2022, respectively.[3]Includes gain on consolidation of a joint venture of $19.1 million for the three and nine months ended July 31, 2023 (see Note 18). |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Operations (Unaudited) (Parentheticals) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |
Jul. 31, 2023 | Jul. 31, 2023 | Jul. 31, 2022 | |
Gain on consolidation | $ 19,100 | $ 19,102 | $ 0 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Changes in Equity (Unaudited) - USD ($) $ in Thousands | Common Stock Outstanding [Member] Common Class A [Member] | Common Stock Outstanding [Member] Common Class B [Member] | Preferred Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Treasury Stock, Common [Member] | Noncontrolling Interest [Member] | Common Class A [Member] | Total |
Balance (in shares) at Oct. 31, 2021 | 5,595,734 | 659,207 | 5,600 | ||||||
Balance at Oct. 31, 2021 | $ 61 | $ 7 | $ 135,299 | $ 722,118 | $ (567,228) | $ (115,360) | $ 487 | $ 175,384 | |
Stock options, amortization and issuances (in shares) | 804 | ||||||||
Stock options, amortization and issuances | 4 | 4 | |||||||
Preferred dividend declared ($476.56 per share) | (2,669) | (2,669) | |||||||
Restricted stock amortization, issuances and forfeitures (in shares) | 17,654 | 17,445 | |||||||
Restricted stock amortization, issuances and forfeitures | (552) | (552) | |||||||
Changes in noncontrolling interest in consolidated joint ventures | (88) | (88) | |||||||
Net income | 24,808 | 24,808 | |||||||
Conversion of Class B to Class A common stock (in shares) | 48 | (48) | |||||||
Conversion of Class B to Class A common stock | 0 | ||||||||
Balance (in shares) at Jan. 31, 2022 | 5,614,240 | 676,604 | 5,600 | ||||||
Balance at Jan. 31, 2022 | $ 61 | $ 7 | $ 135,299 | 721,570 | (545,089) | (115,360) | 399 | 196,887 | |
Balance (in shares) at Oct. 31, 2021 | 5,595,734 | 659,207 | 5,600 | ||||||
Balance at Oct. 31, 2021 | $ 61 | $ 7 | $ 135,299 | 722,118 | (567,228) | (115,360) | 487 | 175,384 | |
Share repurchases (in shares) | 0 | ||||||||
Net income | 169,857 | ||||||||
Balance (in shares) at Jul. 31, 2022 | 5,689,054 | 705,726 | 5,600 | ||||||
Balance at Jul. 31, 2022 | $ 62 | $ 7 | $ 135,299 | 723,797 | (405,378) | (115,360) | 320 | 338,747 | |
Balance (in shares) at Jan. 31, 2022 | 5,614,240 | 676,604 | 5,600 | ||||||
Balance at Jan. 31, 2022 | $ 61 | $ 7 | $ 135,299 | 721,570 | (545,089) | (115,360) | 399 | 196,887 | |
Stock options, amortization and issuances (in shares) | 600 | ||||||||
Stock options, amortization and issuances | 77 | 77 | |||||||
Preferred dividend declared ($476.56 per share) | (2,669) | (2,669) | |||||||
Restricted stock amortization, issuances and forfeitures (in shares) | 20,483 | ||||||||
Restricted stock amortization, issuances and forfeitures | 1,672 | 1,672 | |||||||
Changes in noncontrolling interest in consolidated joint ventures | (3) | (3) | |||||||
Net income | 62,435 | 62,435 | |||||||
Conversion of Class B to Class A common stock (in shares) | 58 | (58) | |||||||
Conversion of Class B to Class A common stock | 0 | ||||||||
Balance (in shares) at Apr. 30, 2022 | 5,635,381 | 676,546 | 5,600 | ||||||
Balance at Apr. 30, 2022 | $ 61 | $ 7 | $ 135,299 | 723,319 | (485,323) | (115,360) | 396 | 258,399 | |
Stock options, amortization and issuances (in shares) | 759 | ||||||||
Stock options, amortization and issuances | 30 | 30 | |||||||
Preferred dividend declared ($476.56 per share) | (2,669) | (2,669) | |||||||
Restricted stock amortization, issuances and forfeitures (in shares) | 52,898 | 29,196 | |||||||
Restricted stock amortization, issuances and forfeitures | $ 1 | 448 | 449 | ||||||
Changes in noncontrolling interest in consolidated joint ventures | (76) | (76) | |||||||
Share repurchases (in shares) | 0 | ||||||||
Net income | 82,614 | 82,614 | |||||||
Conversion of Class B to Class A common stock (in shares) | 16 | (16) | |||||||
Conversion of Class B to Class A common stock | 0 | ||||||||
Balance (in shares) at Jul. 31, 2022 | 5,689,054 | 705,726 | 5,600 | ||||||
Balance at Jul. 31, 2022 | $ 62 | $ 7 | $ 135,299 | 723,797 | (405,378) | (115,360) | 320 | 338,747 | |
Balance (in shares) at Oct. 31, 2022 | 5,376,985 | 705,705 | 5,600 | ||||||
Balance at Oct. 31, 2022 | $ 62 | $ 7 | $ 135,299 | 727,663 | (352,413) | (127,582) | 15 | 383,051 | |
Stock options, amortization and issuances (in shares) | 209 | ||||||||
Stock options, amortization and issuances | 8 | 8 | |||||||
Preferred dividend declared ($476.56 per share) | (2,669) | (2,669) | |||||||
Restricted stock amortization, issuances and forfeitures (in shares) | 18,051 | 14,620 | |||||||
Restricted stock amortization, issuances and forfeitures | 1,487 | 1,487 | |||||||
Changes in noncontrolling interest in consolidated joint ventures | 4 | 4 | |||||||
Share repurchases (in shares) | (118,478) | ||||||||
Share repurchases | (4,800) | (4,800) | |||||||
Net income | 18,716 | 18,716 | |||||||
Balance (in shares) at Jan. 31, 2023 | 5,276,767 | 720,325 | 5,600 | ||||||
Balance at Jan. 31, 2023 | $ 62 | $ 7 | $ 135,299 | 729,158 | (336,366) | (132,382) | 19 | 395,797 | |
Balance (in shares) at Oct. 31, 2022 | 5,376,985 | 705,705 | 5,600 | ||||||
Balance at Oct. 31, 2022 | $ 62 | $ 7 | $ 135,299 | 727,663 | (352,413) | (127,582) | 15 | 383,051 | |
Share repurchases (in shares) | (118,478) | ||||||||
Share repurchases | $ (4,800) | ||||||||
Net income | 108,626 | ||||||||
Balance (in shares) at Jul. 31, 2023 | 5,345,668 | 749,081 | 5,600 | ||||||
Balance at Jul. 31, 2023 | $ 62 | $ 8 | $ 135,299 | 731,285 | (251,794) | (132,382) | 37 | 482,515 | |
Balance (in shares) at Jan. 31, 2023 | 5,276,767 | 720,325 | 5,600 | ||||||
Balance at Jan. 31, 2023 | $ 62 | $ 7 | $ 135,299 | 729,158 | (336,366) | (132,382) | 19 | 395,797 | |
Stock options, amortization and issuances (in shares) | 1,720 | ||||||||
Stock options, amortization and issuances | 59 | 59 | |||||||
Preferred dividend declared ($476.56 per share) | (2,669) | (2,669) | |||||||
Restricted stock amortization, issuances and forfeitures | 2,157 | 2,157 | |||||||
Changes in noncontrolling interest in consolidated joint ventures | 7 | 7 | |||||||
Net income | 34,146 | 34,146 | |||||||
Conversion of Class B to Class A common stock (in shares) | 18 | (18) | |||||||
Conversion of Class B to Class A common stock | 0 | ||||||||
Balance (in shares) at Apr. 30, 2023 | 5,278,505 | 720,307 | 5,600 | ||||||
Balance at Apr. 30, 2023 | $ 62 | $ 7 | $ 135,299 | 731,374 | (304,889) | (132,382) | 26 | 429,497 | |
Stock options, amortization and issuances (in shares) | 1,610 | ||||||||
Stock options, amortization and issuances | 23 | 23 | |||||||
Preferred dividend declared ($476.56 per share) | (2,669) | (2,669) | |||||||
Restricted stock amortization, issuances and forfeitures (in shares) | 65,372 | 28,955 | |||||||
Restricted stock amortization, issuances and forfeitures | $ 1 | (112) | (111) | ||||||
Changes in noncontrolling interest in consolidated joint ventures | 11 | 11 | |||||||
Share repurchases (in shares) | 0 | ||||||||
Net income | 55,764 | 55,764 | |||||||
Conversion of Class B to Class A common stock (in shares) | 181 | (181) | |||||||
Conversion of Class B to Class A common stock | 0 | ||||||||
Balance (in shares) at Jul. 31, 2023 | 5,345,668 | 749,081 | 5,600 | ||||||
Balance at Jul. 31, 2023 | $ 62 | $ 8 | $ 135,299 | $ 731,285 | $ (251,794) | $ (132,382) | $ 37 | $ 482,515 |
Condensed Consolidated Statem_4
Condensed Consolidated Statements of Changes in Equity (Unaudited) (Parentheticals) - $ / shares | 3 Months Ended | |||||
Jul. 31, 2023 | Apr. 30, 2023 | Jan. 31, 2023 | Jul. 31, 2022 | Apr. 30, 2022 | Jan. 31, 2022 | |
Dividend per share (in dollars per share) | $ 476.56 | $ 476.56 | $ 476.56 | $ 476.56 | $ 476.56 | $ 476.56 |
Condensed Consolidated Statem_5
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 9 Months Ended | |
Jul. 31, 2023 | Jul. 31, 2022 | |
Cash flows from operating activities: | ||
Net income | $ 108,626 | $ 169,857 |
Adjustments to reconcile net income to net cash provided by (used in) operating activities: | ||
Depreciation | 7,223 | 4,009 |
Stock-based compensation | 9,553 | 6,404 |
Amortization of debt discounts, premiums and deferred financing costs | 1,561 | (203) |
Gain on sale of property and assets | (81) | (37) |
Gain on consolidation of joint venture | (19,102) | 0 |
Income from unconsolidated joint ventures | (20,969) | (23,919) |
Distributions of earnings from unconsolidated joint ventures | 13,382 | 4,197 |
Loss on extinguishment of debt | 4,082 | 6,795 |
Noncontrolling interest in consolidated joint ventures | 22 | 225 |
Decrease (increase) in assets: | ||
Inventories | 217,211 | (332,858) |
Receivables, deposits and notes | 12,638 | (13,464) |
Origination of mortgage loans | (811,015) | (882,023) |
Sale of mortgage loans | 841,659 | 945,541 |
Deferred tax assets | 20,095 | 49,108 |
(Decrease) increase in liabilities: | ||
Accounts payable, accrued interest and other liabilities | (74,050) | 4,089 |
Increase (Decrease) in Contract with Customer, Liability | (17,425) | 31,226 |
State income tax payable | (2,733) | 619 |
Net cash provided by (used in) operating activities | 291,599 | (28,597) |
Cash flows from investing activities: | ||
Proceeds from sale of property and assets | 459 | 63 |
Purchase of property, equipment, and other fixed assets | (13,203) | (8,606) |
Investment in and advances to unconsolidated joint ventures, net of reimbursements | (78,560) | (169) |
Distributions of capital from unconsolidated joint ventures | 12,889 | 5,427 |
Net cash used in investing activities | (78,415) | (3,285) |
Cash flows from financing activities: | ||
Proceeds from mortgages and notes | 249,041 | 351,227 |
Payments related to mortgages and notes | (269,453) | (287,478) |
Proceeds from model sale leaseback financing programs | 12,412 | 27,433 |
Payments related to model sale leaseback financing programs | (14,551) | (11,295) |
Proceeds from land bank financing programs | 34,713 | 140,179 |
Payments related to land bank financing programs | (90,056) | (39,148) |
Proceeds from partner distributions to consolidated joint venture | 0 | 40 |
Payments for partner distributions to consolidated joint venture | 0 | (432) |
Payments related to senior secured notes | (101,937) | (103,875) |
Preferred dividends paid | (8,007) | (8,007) |
Treasury stock purchases | (4,800) | 0 |
Deferred financing costs from land banking financing programs and note issuances | (2,891) | (5,318) |
Net cash used in financing activities | (227,997) | (931) |
Net decrease in cash and cash equivalents, and restricted cash and cash equivalents | (14,813) | (32,813) |
Cash and cash equivalents, and restricted cash and cash equivalents balance, beginning of period | 382,190 | 311,396 |
Cash and cash equivalents, and restricted cash and cash equivalents balance, end of period | 367,377 | 278,583 |
Supplemental disclosures of cash flows: | ||
Interest, net of capitalized interest (see Note 3 to the Condensed Consolidated Financial Statements) | 26,630 | 17,268 |
Income taxes | 8,571 | 8,689 |
Cash and cash equivalents, and restricted cash and cash equivalents balance, end of period | 367,377 | 278,583 |
Homebuilding [Member] | ||
Adjustments to reconcile net income to net cash provided by (used in) operating activities: | ||
Inventory impairments and land option write-offs | 922 | 1,837 |
Supplemental disclosures of cash flows: | ||
Cash and cash equivalents | 325,182 | 225,089 |
Restricted cash and cash equivalents | 8,623 | 15,505 |
Financial Services [Member] | ||
Cash flows from financing activities: | ||
Net payments related to mortgage warehouse lines of credit | (32,468) | (64,257) |
Supplemental disclosures of cash flows: | ||
Cash and cash equivalents | 4,119 | 4,849 |
Restricted cash and cash equivalents | $ 29,453 | $ 33,140 |
Supplemental Disclosure of Non-
Supplemental Disclosure of Non-cash Operating and Investing Activities | 9 Months Ended |
Jul. 31, 2023 | |
Notes to Financial Statements | |
Cash Flow, Supplemental Disclosures [Text Block] | Supplemental disclosure of non-cash operating and investing activities: In the second 2023, one In the third 2023, one NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS - UNAUDITED |
Note 1 - Basis of Presentation
Note 1 - Basis of Presentation | 9 Months Ended |
Jul. 31, 2023 | |
Notes to Financial Statements | |
Basis of Presentation and Significant Accounting Policies [Text Block] | 1. Basis of Presentation Hovnanian Enterprises, Inc. (“HEI”) conducts all of its homebuilding and financial services operations through its subsidiaries (references herein to the “Company,” “we,” “us” or “our” refer to HEI and its consolidated subsidiaries and should be understood to reflect the consolidated business of HEI’s subsidiaries). Historically, the Company had seven six fourth 2022, three 1 2 3 17 The accompanying unaudited Condensed Consolidated Financial Statements include HEI's accounts and those of all of its consolidated subsidiaries after elimination of all intercompany balances and transactions. Noncontrolling interest represents the proportionate equity interest in a consolidated joint venture that is not 100% The accompanying unaudited Condensed Consolidated Financial Statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) for interim financial information and with the instructions to Form 10 10 X, not 10 October 31, 2022. not |
Note 2 - Stock Compensation
Note 2 - Stock Compensation | 9 Months Ended |
Jul. 31, 2023 | |
Notes to Financial Statements | |
Share-Based Payment Arrangement [Text Block] | 2. Stock Compensation During the first 2023, “2023 2023 November 1, 2022 October 31, 2025. two For the three nine July 31, 2023 , stock-based compensation expense was $5.3 million ($4.2 million net of tax) three nine July 31, 2022 stock-based compensation expense was $3.0 million ($2.2 million net of tax) three nine July 31, 2023 three nine July 31, 2022 |
Note 3 - Interest
Note 3 - Interest | 9 Months Ended |
Jul. 31, 2023 | |
Notes to Financial Statements | |
Home Building Interest [Text Block] | 3. Interest Interest costs incurred, expensed and capitalized were as follows: Three Months Ended Nine Months Ended July 31, July 31, (In thousands) 2023 2022 2023 2022 Interest capitalized at beginning of period $ 60,274 $ 63,573 $ 59,600 $ 58,159 Plus interest incurred(1) 34,214 32,644 103,662 99,299 Less cost of sales interest expensed (19,272 ) (22,453 ) (55,719 ) (57,876 ) Less other interest expensed(2)(3) (13,502 ) (9,624 ) (43,096 ) (35,442 ) Less interest contributed to unconsolidated joint venture(4) (6,440 ) - (9,456 ) - Plus interest acquired from unconsolidated joint venture(5) - - 283 - Interest capitalized at end of period(6) $ 55,274 $ 64,140 $ 55,274 $ 64,140 ( 1 Data does not ( 2 Other interest expensed includes interest that does not not three July 31, 2023 2022 nine July 31, 2023 2022 not three July 31, 2023 2022 nine July 31, 2023 2022 ( 3 Cash paid for interest, net of capitalized interest, is the sum of other interest expensed, as defined above, and interest paid by our mortgage and finance subsidiaries adjusted for the change in accrued interest on notes payable, which is calculated as follows: Three Months Ended Nine Months Ended July 31, July 31, (In thousands) 2023 2022 2023 2022 Other interest expensed $ 13,502 $ 9,624 $ 43,096 $ 35,442 Interest paid by our mortgage and finance subsidiaries 723 404 2,032 1,234 Increase in accrued interest (14,693 ) (19,194 ) (18,498 ) (19,408 ) Cash paid for interest, net of capitalized interest $ (468 ) $ (9,166 ) $ 26,630 $ 17,268 ( 4 Represents capitalized interest which was included as part of the assets contributed to joint ventures, as discussed in Note 18. no ( 5 Represents capitalized interest which was included as part of the assets purchased from joint ventures, as discussed in Note 18. no ( 6 Capitalized interest amounts are shown gross before allocating a portion of impairments, if any, to capitalized interest. |
Note 4 - Reduction of Inventory
Note 4 - Reduction of Inventory to Fair Value | 9 Months Ended |
Jul. 31, 2023 | |
Notes to Financial Statements | |
Inventory Impairments and Land Option Cost Write-offs [Text Block] | 4. Reduction of Inventory to Fair Value During the nine July 31, 2023 2022 not three nine July 31, 2023 2022. We write off certain costs when communities are redesigned, abandoned or we do not three July 31, 2023 2022 nine July 31, 2023 2022 three July 31, 2023 2022 nine July 31, 2023 2022 first three 2023 2022. We sell and lease back certain of our model homes with the right to participate in the potential profit when each home is sold to a third July 31, 2023 October 31, 2022 not not We have land banking arrangements, whereby we sell our land parcels to land bankers and they provide us with an option to purchase back finished lots on a predetermined schedule. Because of our options to repurchase these parcels, these transactions are considered a financing rather than a sale. Our Condensed Consolidated Balance Sheets at July 31, 2023 October 31, 2022 not not |
Note 5 - Variable Interest Enti
Note 5 - Variable Interest Entities | 9 Months Ended |
Jul. 31, 2023 | |
Notes to Financial Statements | |
Variable Interest Entity Disclosure [Text Block] | 5. Variable Interest Entities The Company enters into land and lot option purchase contracts to procure land or lots for the construction of homes. Under these contracts, we will fund a stated deposit in consideration for the right, but not not may We analyze our option purchase contracts to determine whether the corresponding land sellers are VIEs and, if so, whether the Company is the primary beneficiary. Although the Company does not not Including deposits on our unconsolidated VIEs, at July 31, 2023 |
Note 6 - Warranty Costs
Note 6 - Warranty Costs | 9 Months Ended |
Jul. 31, 2023 | |
Notes to Financial Statements | |
Product Warranty Disclosure [Text Block] | 6. Warranty Costs We have an owner-controlled insurance program for certain of our subcontractors whereby the subcontractors pay us an insurance premium (through a reduction of amounts we would otherwise owe such subcontractors for their work on our homes) based on the risk type of the trade. We absorb the liability associated with their work on our homes as part of our overall general liability insurance at no three nine July 31, 2023 2022 We accrue for warranty costs that are covered under our existing general liability and construction defect policy as part of our general liability insurance deductible. For homes to be delivered in fiscal 2023 2022, 2023 2022 2023 2022. not three nine July 31, 2023 2022 Three Months Ended Nine Months Ended July 31, July 31, (In thousands) 2023 2022 2023 2022 Balance, beginning of period $ 90,610 $ 91,464 $ 97,719 $ 94,916 Additions – Selling, general and administrative 1,657 1,995 5,451 6,337 Additions – Cost of sales 1,445 3,990 4,685 7,083 Charges incurred during the period (3,799 ) (3,047 ) (17,186 ) (12,984 ) Changes to pre-existing reserves 437 (94 ) (319 ) (1,044 ) Balance, end of period $ 90,350 $ 94,308 $ 90,350 $ 94,308 The majority of the charges incurred during the first nine 2023 three nine July 31, 2023 2022 |
Note 7 - Commitments and Contin
Note 7 - Commitments and Contingent Liabilities | 9 Months Ended |
Jul. 31, 2023 | |
Notes to Financial Statements | |
Commitments and Contingencies Disclosure [Text Block] | 7. Commitments and Contingent Liabilities We are involved in litigation arising in the ordinary course of business, none We also are subject to a variety of local, state, federal and foreign laws and regulations concerning protection of health and the environment, including those regulating the emission or discharge of materials into the environment, the management of storm water runoff at construction sites, the handling, use, storage and disposal of hazardous substances, impacts to wetlands and other sensitive environments, and the remediation of contamination at properties that we have owned or developed or currently own or are developing (“environmental laws”). The particular environmental laws that apply to a site may may may may We anticipate that increasingly stringent requirements will continue to be imposed on developers and homebuilders in the future. In addition, some of these laws and regulations that significantly affect how certain properties may may may may may In 2015, not April 17, 2023; not In December 2020, 1998, No Not 1999. one 2009 |
Note 8 - Cash Equivalents, Rest
Note 8 - Cash Equivalents, Restricted Cash and Customer's Deposits | 9 Months Ended |
Jul. 31, 2023 | |
Notes to Financial Statements | |
Cash and Cash Equivalents Disclosure [Text Block] | 8. Cash Equivalents, Restricted Cash and Customers' Deposits Cash equivalents include certificates of deposit, U.S. Treasury bills and government money–market funds with maturities of 90 may, July 31, 2023 October 31, 2022 Homebuilding "Restricted cash and cash equivalents" on the Condensed Consolidated Balance Sheets totaled $8.6 million and $13.4 million as of July 31, 2023 October 31, 2022 12 Financial services restricted cash and cash equivalents, which are included in "Financial services" assets on the Condensed Consolidated Balance Sheets, totaled $29.5 million and $36.1 million as of July 31, 2023 October 31, 2022 1 July 31, 2023 October 31, 2022 2 July 31, 2023 October 31, 2022 Homebuilding "Customers' deposits" are shown as a liability on the Condensed Consolidated Balance Sheets. These liabilities are significantly more than the applicable periods’ restricted cash balances because in some states the deposits are not |
Note 9 - Leases
Note 9 - Leases | 9 Months Ended |
Jul. 31, 2023 | |
Notes to Financial Statements | |
Lessee, Operating Leases [Text Block] | 9. Leases We rent certain office space for use in our operations. Our lease population at July 31, 2023 Lease costs are included in our Condensed Consolidated Statements of Operations, primarily in "Selling, general and administrative" homebuilding expenses, and payments on our lease liabilities are presented in the table below. Three Months Ended Nine Months Ended July 31, July 31, (In thousands) 2023 2022 2023 2022 Operating lease costs $ 2,646 $ 2,528 $ 8,510 $ 7,793 Cash payments on lease liabilities $ 2,222 $ 2,432 $ 6,959 $ 7,086 Operating right-of-use lease assets ("ROU assets") are included in "Prepaid expenses and other assets" on our Condensed Consolidated Balance Sheets, while lease liabilities are included in "Accounts payable and other liabilities". During the three nine July 31, 2023 (In thousands) July 31, 2023 October 31, 2022 ROU assets $ 20,085 $ 17,899 Lease liabilities $ 20,800 $ 18,862 Weighted-average remaining lease term (in years) 3.6 3.5 Weighted-average discount rate 9.7 % 9.5 % Maturities of our operating lease liabilities as of July 31, 2023 Fiscal Year Ending October 31, (In thousands) 2023 (excluding the nine months ended July 31, 2023) $ 2,344 2024 7,733 2025 6,400 2026 4,782 2027 3,239 2028 and thereafter 1,018 Total operating lease payments (1) 25,516 Less: imputed interest (4,716 ) Present value of operating lease liabilities $ 20,800 ( 1 not July 31, 2023 not |
Note 10 - Mortgage Loans Held f
Note 10 - Mortgage Loans Held for Sale | 9 Months Ended |
Jul. 31, 2023 | |
Notes to Financial Statements | |
Loans, Notes, Trade and Other Receivables Disclosure [Text Block] | 10. Mortgage Loans Held for Sale Our wholly owned mortgage banking subsidiary, K. Hovnanian American Mortgage, LLC (“K. Hovnanian Mortgage”), originates mortgage loans, primarily from the sale of our homes. Such mortgage loans are sold in the secondary mortgage market within a short period of time of origination. Mortgage loans held for sale are collateralized by the underlying property. Loans held for sale are recorded at fair value with changes in the value recognized in the Condensed Consolidated Statements of Operations in “Financial services” revenue. We use forward sales of mortgage-backed securities (“MBS”), interest rate commitments from borrowers and forward commitments to sell loans to third At July 31, 2023 October 31, 2022 11 may not July 31, 2023 October 31, 2022 not The activity in our loan origination reserves during the three nine July 31, 2023 2022 Three Months Ended Nine Months Ended July 31, July 31, (In thousands) 2023 2022 2023 2022 Loan origination reserves, beginning of period $ 1,906 $ 1,714 $ 1,795 $ 1,632 Provisions for losses during the period 50 43 127 133 Adjustments to pre-existing provisions for losses from changes in estimates - - 34 (8 ) Loan origination reserves, end of period $ 1,956 $ 1,757 $ 1,956 $ 1,757 |
Note 11 - Mortgages
Note 11 - Mortgages | 9 Months Ended |
Jul. 31, 2023 | |
Notes to Financial Statements | |
Line of Credit [Text Block] | 11. Mortgages Nonrecourse We have nonrecourse mortgage loans for certain communities totaling $129.1 million and $144.8 million, net of debt issuance costs, at July 31, 2023 October 31, 2022 July 31, 2023 October 31, 2022 Mortgage Loans K. Hovnanian Mortgage originates mortgage loans primarily from the sale of our homes. Such mortgage loans and related servicing rights are generally sold in the secondary mortgage market within a short period of time. K. Hovnanian Mortgage finances the origination of mortgage loans through various master repurchase agreements, which are recorded in "Financial services" liabilities on the Condensed Consolidated Balance Sheets. Our secured Master Repurchase Agreement with JPMorgan Chase Bank, N.A. (“Chase Master Repurchase Agreement”) is a short-term borrowing facility which was amended on July 31, 2023 July 31, 2024. July 31, 2023 October 31, 2022 K. Hovnanian Mortgage has another secured Master Repurchase Agreement with Customers Bank (“Customers Master Repurchase Agreement”), which is a short-term borrowing facility that provides up to $50.0 million through its maturity on March 6, 2024. July 31, 2023 October 31, 2022 K. Hovnanian Mortgage also has a secured Master Repurchase Agreement with Comerica Bank (“Comerica Master Repurchase Agreement”) which is a short-term borrowing facility through its maturity on January 10, 2024. 15th 30 July 31, 2023 October 31, 2022 The Chase Master Repurchase Agreement, Customers Master Repurchase Agreement and Comerica Master Repurchase Agreement (together, the “Master Repurchase Agreements”) require K. Hovnanian Mortgage to satisfy and maintain specified financial ratios and other financial condition tests. Because of the extremely short period of time mortgages are held by K. Hovnanian Mortgage before the mortgages are sold to investors (generally a period of a few weeks), the immateriality to us on a consolidated basis, the size of the Master Repurchase Agreements, the levels required by these financial covenants, our ability based on our immediately available resources to contribute sufficient capital to cure any default, were such conditions to occur, and our right to cure any conditions of default based on the terms of the applicable agreement, we do not July 31, 2023 |
Note 12 - Senior Notes and Cred
Note 12 - Senior Notes and Credit Facilities | 9 Months Ended |
Jul. 31, 2023 | |
Notes to Financial Statements | |
Long-Term Debt [Text Block] | 12. Senior Notes and Credit Facilities Senior notes and credit facilities balances as of July 31, 2023 October 31, 2022 July 31, October 31, (In thousands) 2023 2022 Senior Secured Notes: 10.0 November 15, 2025 $ 158,502 $ 158,502 7.75 February 15, 2026 150,000 250,000 10.5 February 15, 2026 282,322 282,322 11.25 February 15, 2026 162,269 162,269 Total Senior Secured Notes $ 753,093 $ 853,093 Senior Notes: 8.0 November 1, 2027 $ - $ - 13.5 February 1, 2026 90,590 90,590 5.0 February 1, 2040 90,120 90,120 Total Senior Notes $ 180,710 $ 180,710 Senior Unsecured Term Loan Credit Facility due February 1, 2027 $ 39,551 $ 39,551 Senior Secured 1.75 Lien Term Loan Credit Facility due January 31, 2028 $ 81,498 $ 81,498 Senior Secured Revolving Credit Facility (2) $ - $ - Subtotal senior notes and credit facilities $ 1,054,852 $ 1,154,852 Net (discounts) premiums $ (1,120 ) $ 4,079 Unamortized debt issuance costs $ (8,953 ) $ (12,384 ) Total senior notes and credit facilities, net of discounts, premiums and unamortized debt issuance costs $ 1,044,779 $ 1,146,547 ( 1 2027 "8.0% 2027 not ( 2 July 31, 2023 first June 30, 2024 s option, at either (i) a term secured overnight financing rate (subject to a floor of 1.00%) plus an applicable margin of 4.50% or (ii) an alternate base rate plus an applicable margin of 3.50%. In addition, K. Hovnanian will pay an unused commitment fee on the undrawn revolving commitments at a rate of 1.00% per annum General Except for K. Hovnanian, the issuer of the notes and borrower under the Credit Facilities (as defined below), our home mortgage subsidiaries, certain of our title insurance subsidiaries, joint ventures and subsidiaries holding interests in our joint ventures, we and each of our subsidiaries are guarantors of the Credit Facilities, the senior secured notes and senior notes outstanding at July 31, 2023 ( 8.0% 2027 not The credit agreements governing the term loans and revolving credit facilities (collectively, the "Credit Facilities") and the indentures governing the senior secured and senior notes (together, the “Debt Instruments”) outstanding at July 31, 2023 not February 1, 2027 ( 1.75 January 31, 2028 ( June 30, 2024 ( not July 31, 2023, If our consolidated fixed charge coverage ratio is less than 2.0 to 1.0, 1.0 October 31, 2021, 1.0 1.0, no first 2022. not not no no Under the terms of our Debt Instruments, we have the right to make certain redemptions and prepayments and, depending on market conditions, our strategic priorities and covenant restrictions, may may Fiscal 2023 On May 30, 2023, 1.125 2026 "1.125 three nine July 31, 2023, Fiscal 2022 On April 29, 2022, 1.125 nine July 31, 2022, Secured Obligations On October 31, 2019, June 30, 2024 The 1.125 February 15, 2026 February 15 August 15 February 1 August 1, may may 1.125 February 15, 2023 February 15, 2024. The 10.5% 1.25 2026 "1.25 February 15, 2026 February 15 August 15 February 1 August 1, may may 1.25 February 15, 2023 February 15, 2024. The 10.0% 1.75 2025 "1.75 November 15, 2025 May 15 November 15 May 1 November 1, may November 15, 2023, may 1.75 November 15, 2023, may 1.75 The 11.25% 1.5 2026 "1.5 February 15, 2026 February 15 August 15 February 1 August 1, may 1.5 February 15, 2026 On December 10, 2019, 10.0% January 31, 2028, November 15, 2023, may November 15, 2023, may Each series of secured notes and the guarantees thereof, the Secured Term Loans and the guarantees thereof and the Secured Credit Agreement and the guarantees thereof are secured by the same assets. Among the secured debt, the liens securing the Secured Credit Agreement are senior to the liens securing all of K. Hovnanian’s other secured notes and the Secured Term Loan. The liens securing the 1.125 1.25 1.5 1.75 1.125 1.25 1.5 1.75 1.25 1.5 1.75 1.5 1.75 1.75 As of July 31, 2023 1 2 not may 3 Unsecured Obligations The 13.5% Senior Notes due 2026 “13.5% 2026 13.5% February 1, 2026. 13.5% 2026 February 1 August 1 January 15 July 15, may 13.5% 2026 February 1, 2025 February 1, 2025, may 13.5% 2026 The 5.0% Senior Notes due 2040 “5.0% 2040 5.0% February 1, 2040. 5.0% 2040 February 1 August 1 January 15 July 15, may may 2040 The Unsecured Term Loans bear interest at a rate equal to 5.0% February 1, 2027. Other We have certain stand-alone cash collateralized letter of credit agreements and facilities under which there was a total of $5.1 million and $6.0 million letters of credit outstanding at July 31, 2023 October 31, 2022, July 31, 2023 October 31, 2022, |
Note 13 - Per Share Calculation
Note 13 - Per Share Calculation | 9 Months Ended |
Jul. 31, 2023 | |
Notes to Financial Statements | |
Earnings Per Share [Text Block] | 13. Per Share Calculation Basic and diluted earnings per share for the periods presented below were calculated as follows: Three Months Ended Nine Months Ended July 31, July 31, (In thousands, except per share data) 2023 2022 2023 2022 Numerator: Net income $ 55,764 $ 82,614 $ 108,626 $ 169,857 Less: preferred stock dividends (2,669 ) (2,669 ) (8,007 ) (8,007 ) Less: undistributed earnings allocated to participating securities (3,578 ) (9,139 ) (7,780 ) (20,201 ) Numerator for basic earnings per share $ 49,517 $ 70,806 $ 92,839 $ 141,649 Plus: undistributed earnings allocated to participating securities 3,578 9,139 7,780 20,202 Less: undistributed earnings reallocated to participating securities (3,582 ) (9,141 ) (7,801 ) (20,214 ) Numerator for diluted earnings per share $ 49,513 $ 70,804 $ 92,818 $ 141,637 Denominator: Denominator for basic earnings per share – weighted average shares outstanding 6,249 6,485 6,201 6,424 Effect of dilutive securities: Stock-based payments 456 59 441 83 Denominator for diluted earnings per share – weighted-average shares outstanding 6,705 6,544 6,642 6,507 Basic earnings per share $ 7.92 $ 10.92 $ 14.97 $ 22.05 Diluted earnings per share $ 7.38 $ 10.82 $ 13.97 $ 21.77 In addition, 6 thousand and 80 thousand shares related to out-of-the money stock options, which could potentially dilute basic earnings per share in the future, were not three July 31, 2023 2022, not nine July 31, 2023 2022, |
Note 14 - Preferred Stock
Note 14 - Preferred Stock | 9 Months Ended |
Jul. 31, 2023 | |
Notes to Financial Statements | |
Preferred Stock [Text Block] | 14. Preferred Stock On July 12, 2005, not 7.625%. not 1/1000th three nine July 31, 2023 2022, |
Note 15 - Common Stock
Note 15 - Common Stock | 9 Months Ended |
Jul. 31, 2023 | |
Notes to Financial Statements | |
Equity [Text Block] | 15. Common Stock Each share of Class A common stock entitles its holder to one ten one one On August 4, 2008, January 11, 2018 January 18, 2021, 382 382. 382 382. one August 15, 2008. August 15, 2008, August 4, 2008, may August 14, 2024, 382 5% On September 1, 2022, may may not During the nine July 31, 2023 , July 31, 2023. three July 31, 2023 2022 nine July 31, 2022 . July 31, 2023, |
Note 16 - Income Taxes
Note 16 - Income Taxes | 9 Months Ended |
Jul. 31, 2023 | |
Notes to Financial Statements | |
Income Tax Disclosure [Text Block] | 16. Income Taxes The Company’s income tax expense for the three nine July 31, 2023 three nine July 31, 2023, three nine July 31, 2023 nine July 31, 2023 not We have remaining federal NOL carryforwards of $812.9 million that expire between 2030 2038, 2023 2027; 2028 2032; 2033 2037; 2038 2042; The Company recognizes deferred tax assets, net of deferred tax liabilities, related to NOL carryforwards, tax credits and temporary differences between book and tax income which will be recognized in future years as an offset against future taxable income. Our deferred tax assets, net as of July 31, 2023 October 31, 2022. not not July 31, 2023 October 31, 2022 We considered all available positive and negative evidence to determine whether, based on the weight of that evidence, the valuation allowance for our DTAs was appropriate. Overall, the positive evidence, both objective and subjective, outweighed the negative evidence. The significant improvement in our profitability over the last three not |
Note 17 - Operating and Reporti
Note 17 - Operating and Reporting Segments | 9 Months Ended |
Jul. 31, 2023 | |
Notes to Financial Statements | |
Segment Reporting Disclosure [Text Block] | 17. Operating and Reporting Segments We currently have homebuilding operations in 14 states that are aggregated into reportable segments based primarily upon geographic proximity. Historically, the Company had seven reportable segments consisting of six homebuilding segments (Northeast, Mid-Atlantic, Midwest, Southeast, Southwest and West) and its financial services segment. During the fourth 2022, 280, HEI’s reportable segments now consist of the following three homebuilding segments and a financial services segment. Homebuilding: ( 1 Northeast (Delaware, Illinois, Maryland, New Jersey, Ohio, Pennsylvania, Virginia and West Virginia) ( 2 Southeast (Florida, Georgia and South Carolina) ( 3 West (Arizona, California and Texas) All prior period amounts related to the segment change have been retrospectively reclassified throughout to conform to the new presentation. Operations of the homebuilding segments primarily include the sale and construction of single-family attached and detached homes, attached townhomes and condominiums, urban infill and active lifestyle homes in planned residential developments. In addition, from time to time, operations of the homebuilding segments include sales of land. Operations of the financial services segment include mortgage banking and title services provided to the homebuilding operations’ customers. Our financial services subsidiaries do not Evaluation of segment performance is based primarily on income (loss) before income taxes. Income (loss) before income taxes for the homebuilding segments consist of revenues generated from the sales of homes and land, income (loss) from unconsolidated entities, management fees and other income, less the cost of homes and land sold, selling, general and administrative expenses and interest expense. Income (loss) before income taxes for the financial services segment consist of revenues generated from mortgage financing, title insurance and closing services, less the cost of such services and corporate general and administrative expenses. Financial information relating to our reportable segments was as follows: Three Months Ended Nine Months Ended July 31, July 31, (In thousands) 2023 2022 2023 2022 Revenues: Northeast $ 201,814 $ 305,577 $ 625,323 $ 721,442 Southeast 121,240 71,542 296,084 200,359 West 309,147 375,784 898,882 1,069,917 Total homebuilding 632,201 752,903 1,820,289 1,991,718 Financial services 14,649 14,533 41,016 43,548 Corporate and unallocated 3,107 157 7,679 177 Total revenues $ 649,957 $ 767,593 $ 1,868,984 $ 2,035,443 Income before income taxes: Northeast $ 29,088 $ 59,958 $ 86,311 $ 117,796 Southeast 23,431 15,263 49,902 36,185 West 27,873 61,948 65,981 169,372 Total homebuilding 80,392 137,169 202,194 323,353 Financial services 4,304 3,743 11,466 11,566 Corporate and unallocated (1) (14,306 ) (28,985 ) (79,100 ) (106,646 ) Income before income taxes $ 70,390 $ 111,927 $ 134,560 $ 228,273 ( 1 Corporate and unallocated for the three July 31, 2023 nine July 31, 2023 three July 31, 2022 nine July 31, 2022 July 31, October 31, (In thousands) 2023 2022 Assets: Northeast $ 514,319 $ 530,884 Southeast 298,871 330,894 West 745,531 802,704 Total homebuilding 1,558,721 1,664,482 Financial services 115,603 155,993 Corporate and unallocated 719,593 741,555 Total assets $ 2,393,917 $ 2,562,030 |
Note 18 - Investments in Uncons
Note 18 - Investments in Unconsolidated Homebuilding and Land Development Joint Ventures | 9 Months Ended |
Jul. 31, 2023 | |
Notes to Financial Statements | |
Equity Method Investments and Joint Ventures Disclosure [Text Block] | 18. Investments in Unconsolidated Homebuilding and Land Development Joint Ventures We enter into homebuilding and land development joint ventures from time to time as a means of accessing lot positions, expanding our market opportunities, establishing strategic alliances, managing our risk profile, leveraging our capital base and enhancing returns on capital. During the first 2023, four one one During the second 2023, During the third 2023, During the third 2023, one three nine July 31, 2023. The tables set forth below summarize the combined financial information related to our unconsolidated homebuilding and land development joint ventures that are accounted for under the equity method. (In thousands) July 31, 2023 Land Homebuilding Development Total Assets: Cash and cash equivalents $ 133,631 $ 829 $ 134,460 Inventories 643,489 - 643,489 Other assets 23,628 - 23,628 Total assets $ 800,748 $ 829 $ 801,577 Liabilities and equity: Accounts payable and accrued liabilities $ 515,034 $ 616 $ 515,650 Notes payable 90,652 - 90,652 Total liabilities 605,686 616 606,302 Equity of: Hovnanian Enterprises, Inc. 82,916 209 83,125 Others 112,146 4 112,150 Total equity 195,062 213 195,275 Total liabilities and equity $ 800,748 $ 829 $ 801,577 Debt to capitalization ratio 32 % 0 % 32 % (In thousands) October 31, 2022 Land Homebuilding Development Total Assets: Cash and cash equivalents $ 153,176 $ 868 $ 154,044 Inventories 441,140 - 441,140 Other assets 20,037 - 20,037 Total assets $ 614,353 $ 868 $ 615,221 Liabilities and equity: Accounts payable and accrued liabilities $ 471,813 $ 651 $ 472,464 Notes payable 34,880 - 34,880 Total liabilities 506,693 651 507,344 Equity of: Hovnanian Enterprises, Inc. 73,142 209 73,351 Others 34,518 8 34,526 Total equity 107,660 217 107,877 Total liabilities and equity $ 614,353 $ 868 $ 615,221 Debt to capitalization ratio 24 % 0 % 24 % As of July 31, 2023 October 31, 2022, nine July 31, 2023 2022 not Three Months Ended July 31, 2023 (In thousands) Land Homebuilding Development Total Revenues $ 122,579 $ - $ 122,579 Cost of sales and expenses (106,873 ) (1 ) (106,874 ) Joint venture net income (loss) $ 15,706 $ (1 ) $ 15,705 Our share of net income (loss) $ 8,401 $ - $ 8,401 Three Months Ended July 31, 2022 (In thousands) Land Homebuilding Development Total Revenues $ 80,745 $ - $ 80,745 Cost of sales and expenses (74,303 ) (3 ) (74,306 ) Joint venture net income (loss) $ 6,442 $ (3 ) $ 6,439 Our share of net income (loss) $ 12,570 $ (13 ) $ 12,557 Nine Months Ended July 31, 2023 (In thousands) Land Homebuilding Development Total Revenues $ 283,710 $ - $ 283,710 Cost of sales and expenses (260,110 ) (4 ) (260,114 ) Joint venture net income (loss) $ 23,600 $ (4 ) $ 23,596 Our share of net income (loss) $ 20,969 $ - $ 20,969 Nine Months Ended July 31, 2022 (In thousands) Land Homebuilding Development Total Revenues $ 237,732 $ 113 $ 237,845 Cost of sales and expenses (218,171 ) (34 ) (218,205 ) Joint venture net income $ 19,561 $ 79 $ 19,640 Our share of net income $ 23,887 $ 32 $ 23,919 The reason “Our share of net income” in homebuilding joint ventures is higher or lower than the “Joint venture net income” in the tables above is a result of our varying ownership percentages in each investment. For both the three nine July 31, 2023 2022, 50% three nine d July 31, 2023, two third three nine July 31, 2023 not To compensate us for the administrative services we provide as the manager of certain unconsolidated joint ventures, we receive a management fee based on a percentage of the applicable unconsolidated joint ventures' revenues. These management fees, which totaled $4.5 million and $2.9 million for the three July 31, 2023 2022 nine July 31, 2023 2022 Typically, our unconsolidated joint ventures obtain separate project specific mortgage financing. For some of our unconsolidated joint ventures, obtaining financing was challenging; therefore, some of our unconsolidated joint ventures are capitalized only with equity. Any unconsolidated joint venture financing is on a nonrecourse basis, with guarantees from us limited only to performance and completion of development, environmental warranties and indemnification, standard indemnification for fraud, misrepresentation and other similar actions, including a voluntary bankruptcy filing. In some instances, the unconsolidated joint venture entity is considered a VIE due to the returns being capped to the equity holders; however, in these instances, we have determined that we are not not |
Note 19 - Recent Accounting Pro
Note 19 - Recent Accounting Pronouncements | 9 Months Ended |
Jul. 31, 2023 | |
Notes to Financial Statements | |
Accounting Standards Update and Change in Accounting Principle [Text Block] | 19. Recent Accounting Pronouncements In March 2020, 2020 04, 848 2020 04” 2020 04 March 12, 2020 may December 2022, 2022 06, 848 848”, 848 December 31, 2022 December 31, 2024. not |
Note 20 - Fair Value of Financi
Note 20 - Fair Value of Financial Instruments | 9 Months Ended |
Jul. 31, 2023 | |
Notes to Financial Statements | |
Fair Value Disclosures [Text Block] | 20. Fair Value of Financial Instruments We use a fair-value hierarchy which prioritizes the inputs used in measuring fair value as follows: Level 1: Fair value determined based on quoted prices in active markets for identical assets. Level 2: Fair value determined using significant other observable inputs. Level 3: Fair value determined using significant unobservable inputs. Our financial instruments measured at fair value on a recurring basis are summarized below: Fair Value at Fair Value at Fair Value July 31, October 31, (In thousands) Hierarchy 2023 2022 Mortgage loans held for sale (1) Level 2 $ 80,656 $ 110,548 Forward contracts Level 2 - 752 Total $ 80,656 $ 111,300 ( 1 July 31, 2023 October 31, 2022, We elected the fair value option for our mortgage loans held for sale. Management believes the fair value option improves financial reporting by mitigating volatility in reported earnings caused by measuring the fair value of the loans and derivative instruments used to economically hedge them without having to apply complex hedge accounting. Fair value of mortgage loans held for sale is based on independent quoted market prices, where available, or the prices for other mortgage loans with similar characteristics. The financial services segment had a pipeline of loan applications in process of $662.6 million at July 31, 2023 July 31, 2023 not The financial services segment uses investor commitments and forward sales of mandatory MBS to hedge its mortgage-related interest rate exposure. These instruments involve, to varying degrees, elements of credit and interest rate risk. Credit risk is primarily managed by entering into MBS forward commitments and option contracts. In the event of default by the purchaser, our risk is the difference between the contract price and fair value of the MBS forward commitments and option contracts. At July 31, 2023 no Changes in fair value that are included in income are shown, by financial instrument and financial statement line item, below: Three Months Ended July 31, 2023 Mortgage Interest Rate Loans Held Lock Forward (In thousands) For Sale Commitments Contracts Change in fair value included in financial services revenue $ (64 ) $ 8 $ 2 Three Months Ended July 31, 2022 Mortgage Interest Rate Loans Held Lock Forward (In thousands) For Sale Commitments Contracts Change in fair value included in financial services revenue $ 36 $ 364 $ (781 ) Nine Months Ended July 31, 2023 Mortgage Interest Rate Loans Held Lock Forward (In thousands) For Sale Commitments Contracts Change in fair value included in financial services revenue $ 662 $ - $ - Nine Months Ended July 31, 2022 Mortgage Interest Rate Loans Held Lock Forward (In thousands) For Sale Commitments Contracts Change in fair value included in financial services revenue $ 1,602 $ 78 $ (287 ) We did not three and nine July 31, 2023 2022, The fair value of our cash equivalents, restricted cash and cash equivalents and customers' deposits approximates their carrying amount, based on Level 1 The fair value of each series of our Notes and Credit Facilities are listed below. Level 2 3 third 1.75 1.125 1.25 2026 2040 2 July 31, 2023 Fair Value as of July 31, 2023 (In thousands) Level 1 Level 2 Level 3 Total Senior Secured Notes: 10.0 November 15, 2025 - 162,601 - 162,601 7.75 February 15, 2026 - 147,887 - 147,887 10.5 February 15, 2026 - 287,920 - 287,920 11.25 February 15, 2026 - - 162,569 162,569 Senior Notes: 13.5 February 1, 2026 - 91,949 - 91,949 5.0 February 1, 2040 - 43,258 - 43,258 Senior Credit Facilities: Senior Unsecured Term Loan Credit Facility due February 1, 2027 - - 31,487 31,487 Senior Secured 1.75 Lien Term Loan Credit Facility due January 31, 2028 - - 83,606 83,606 Total fair value $ - $ 733,615 $ 277,662 $ 1,011,277 Fair Value as of October 31, 2022 (In thousands) Level 1 Level 2 Level 3 Total Senior Secured Notes: 10.0 November 15, 2025 - - 165,844 165,844 7.75 February 15, 2026 - - 240,393 240,393 10.5 February 15, 2026 - - 272,966 272,966 11.25 February 15, 2026 - - 162,566 162,566 Senior Notes: 13.5 February 1, 2026 - - 94,282 94,282 5.0 February 1, 2040 - - 55,654 55,654 Senior Credit Facilities: Senior Unsecured Term Loan Credit Facility due February 1, 2027 - - 31,301 31,301 Senior Secured 1.75 Lien Term Loan Credit Facility due January 31, 2028 - - 85,247 85,247 Total fair value $ - $ - $ 1,108,253 $ 1,108,253 The Senior Secured Revolving Credit Facility is not July 31, 2023 October 31, 2022 |
Note 21 - Transactions With Rel
Note 21 - Transactions With Related Parties | 9 Months Ended |
Jul. 31, 2023 | |
Notes to Financial Statements | |
Related Party Transactions Disclosure [Text Block] | 21. Transactions with Related Parties From time to time, an engineering firm owned by Tavit Najarian, a relative of Ara K. Hovnanian, our Chairman and Chief Executive Officer, provides services to the Company. During the three July 31, 2023 2022 nine July 31, 2023 2022, |
Note 22 - Subsequent Events
Note 22 - Subsequent Events | 9 Months Ended |
Jul. 31, 2023 | |
Notes to Financial Statements | |
Subsequent Events [Text Block] | 22. Subsequent Events On August 29, 2023, 1.125 2026. $102.2 1.125 |
Item 5. Other Information
Item 5. Other Information | 9 Months Ended |
Jul. 31, 2023 | |
Notes to Financial Statements | |
Issuer Rule 10b5-1, Material Terms [Text Block] | 5. During the three July 31, 2023, no 16a 1 10b5 1 10b5 1 408 |
Note 3 - Interest (Tables)
Note 3 - Interest (Tables) | 9 Months Ended |
Jul. 31, 2023 | |
Notes Tables | |
Schedule of Real Estate Inventory, Capitalized Interest Costs [Table Text Block] | Three Months Ended Nine Months Ended July 31, July 31, (In thousands) 2023 2022 2023 2022 Interest capitalized at beginning of period $ 60,274 $ 63,573 $ 59,600 $ 58,159 Plus interest incurred(1) 34,214 32,644 103,662 99,299 Less cost of sales interest expensed (19,272 ) (22,453 ) (55,719 ) (57,876 ) Less other interest expensed(2)(3) (13,502 ) (9,624 ) (43,096 ) (35,442 ) Less interest contributed to unconsolidated joint venture(4) (6,440 ) - (9,456 ) - Plus interest acquired from unconsolidated joint venture(5) - - 283 - Interest capitalized at end of period(6) $ 55,274 $ 64,140 $ 55,274 $ 64,140 |
Cash Paid for Interest Net of Capitalized Interest [Table Text Block] | Three Months Ended Nine Months Ended July 31, July 31, (In thousands) 2023 2022 2023 2022 Other interest expensed $ 13,502 $ 9,624 $ 43,096 $ 35,442 Interest paid by our mortgage and finance subsidiaries 723 404 2,032 1,234 Increase in accrued interest (14,693 ) (19,194 ) (18,498 ) (19,408 ) Cash paid for interest, net of capitalized interest $ (468 ) $ (9,166 ) $ 26,630 $ 17,268 |
Note 6 - Warranty Costs (Tables
Note 6 - Warranty Costs (Tables) | 9 Months Ended |
Jul. 31, 2023 | |
Notes Tables | |
Schedule of Product Warranty Liability [Table Text Block] | Three Months Ended Nine Months Ended July 31, July 31, (In thousands) 2023 2022 2023 2022 Balance, beginning of period $ 90,610 $ 91,464 $ 97,719 $ 94,916 Additions – Selling, general and administrative 1,657 1,995 5,451 6,337 Additions – Cost of sales 1,445 3,990 4,685 7,083 Charges incurred during the period (3,799 ) (3,047 ) (17,186 ) (12,984 ) Changes to pre-existing reserves 437 (94 ) (319 ) (1,044 ) Balance, end of period $ 90,350 $ 94,308 $ 90,350 $ 94,308 |
Note 9 - Leases (Tables)
Note 9 - Leases (Tables) | 9 Months Ended |
Jul. 31, 2023 | |
Notes Tables | |
Lease, Cost [Table Text Block] | Three Months Ended Nine Months Ended July 31, July 31, (In thousands) 2023 2022 2023 2022 Operating lease costs $ 2,646 $ 2,528 $ 8,510 $ 7,793 Cash payments on lease liabilities $ 2,222 $ 2,432 $ 6,959 $ 7,086 (In thousands) July 31, 2023 October 31, 2022 ROU assets $ 20,085 $ 17,899 Lease liabilities $ 20,800 $ 18,862 Weighted-average remaining lease term (in years) 3.6 3.5 Weighted-average discount rate 9.7 % 9.5 % |
Lessee, Operating Lease, Liability, to be Paid, Maturity [Table Text Block] | Fiscal Year Ending October 31, (In thousands) 2023 (excluding the nine months ended July 31, 2023) $ 2,344 2024 7,733 2025 6,400 2026 4,782 2027 3,239 2028 and thereafter 1,018 Total operating lease payments (1) 25,516 Less: imputed interest (4,716 ) Present value of operating lease liabilities $ 20,800 |
Note 10 - Mortgage Loans Held_2
Note 10 - Mortgage Loans Held for Sale (Tables) | 9 Months Ended |
Jul. 31, 2023 | |
Notes Tables | |
Financing Receivable, Allowance for Credit Loss [Table Text Block] | Three Months Ended Nine Months Ended July 31, July 31, (In thousands) 2023 2022 2023 2022 Loan origination reserves, beginning of period $ 1,906 $ 1,714 $ 1,795 $ 1,632 Provisions for losses during the period 50 43 127 133 Adjustments to pre-existing provisions for losses from changes in estimates - - 34 (8 ) Loan origination reserves, end of period $ 1,956 $ 1,757 $ 1,956 $ 1,757 |
Note 12 - Senior Notes and Cr_2
Note 12 - Senior Notes and Credit Facilities (Tables) | 9 Months Ended |
Jul. 31, 2023 | |
Notes Tables | |
Schedule of Long-Term Debt Instruments [Table Text Block] | July 31, October 31, (In thousands) 2023 2022 Senior Secured Notes: 10.0 November 15, 2025 $ 158,502 $ 158,502 7.75 February 15, 2026 150,000 250,000 10.5 February 15, 2026 282,322 282,322 11.25 February 15, 2026 162,269 162,269 Total Senior Secured Notes $ 753,093 $ 853,093 Senior Notes: 8.0 November 1, 2027 $ - $ - 13.5 February 1, 2026 90,590 90,590 5.0 February 1, 2040 90,120 90,120 Total Senior Notes $ 180,710 $ 180,710 Senior Unsecured Term Loan Credit Facility due February 1, 2027 $ 39,551 $ 39,551 Senior Secured 1.75 Lien Term Loan Credit Facility due January 31, 2028 $ 81,498 $ 81,498 Senior Secured Revolving Credit Facility (2) $ - $ - Subtotal senior notes and credit facilities $ 1,054,852 $ 1,154,852 Net (discounts) premiums $ (1,120 ) $ 4,079 Unamortized debt issuance costs $ (8,953 ) $ (12,384 ) Total senior notes and credit facilities, net of discounts, premiums and unamortized debt issuance costs $ 1,044,779 $ 1,146,547 |
Note 13 - Per Share Calculati_2
Note 13 - Per Share Calculation (Tables) | 9 Months Ended |
Jul. 31, 2023 | |
Notes Tables | |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | Three Months Ended Nine Months Ended July 31, July 31, (In thousands, except per share data) 2023 2022 2023 2022 Numerator: Net income $ 55,764 $ 82,614 $ 108,626 $ 169,857 Less: preferred stock dividends (2,669 ) (2,669 ) (8,007 ) (8,007 ) Less: undistributed earnings allocated to participating securities (3,578 ) (9,139 ) (7,780 ) (20,201 ) Numerator for basic earnings per share $ 49,517 $ 70,806 $ 92,839 $ 141,649 Plus: undistributed earnings allocated to participating securities 3,578 9,139 7,780 20,202 Less: undistributed earnings reallocated to participating securities (3,582 ) (9,141 ) (7,801 ) (20,214 ) Numerator for diluted earnings per share $ 49,513 $ 70,804 $ 92,818 $ 141,637 Denominator: Denominator for basic earnings per share – weighted average shares outstanding 6,249 6,485 6,201 6,424 Effect of dilutive securities: Stock-based payments 456 59 441 83 Denominator for diluted earnings per share – weighted-average shares outstanding 6,705 6,544 6,642 6,507 Basic earnings per share $ 7.92 $ 10.92 $ 14.97 $ 22.05 Diluted earnings per share $ 7.38 $ 10.82 $ 13.97 $ 21.77 |
Note 17 - Operating and Repor_2
Note 17 - Operating and Reporting Segments (Tables) | 9 Months Ended |
Jul. 31, 2023 | |
Notes Tables | |
Schedule of Segment Reporting Information, by Segment [Table Text Block] | July 31, October 31, (In thousands) 2023 2022 Assets: Northeast $ 514,319 $ 530,884 Southeast 298,871 330,894 West 745,531 802,704 Total homebuilding 1,558,721 1,664,482 Financial services 115,603 155,993 Corporate and unallocated 719,593 741,555 Total assets $ 2,393,917 $ 2,562,030 |
Operating Segments [Member] | |
Notes Tables | |
Schedule of Segment Reporting Information, by Segment [Table Text Block] | Three Months Ended Nine Months Ended July 31, July 31, (In thousands) 2023 2022 2023 2022 Revenues: Northeast $ 201,814 $ 305,577 $ 625,323 $ 721,442 Southeast 121,240 71,542 296,084 200,359 West 309,147 375,784 898,882 1,069,917 Total homebuilding 632,201 752,903 1,820,289 1,991,718 Financial services 14,649 14,533 41,016 43,548 Corporate and unallocated 3,107 157 7,679 177 Total revenues $ 649,957 $ 767,593 $ 1,868,984 $ 2,035,443 Income before income taxes: Northeast $ 29,088 $ 59,958 $ 86,311 $ 117,796 Southeast 23,431 15,263 49,902 36,185 West 27,873 61,948 65,981 169,372 Total homebuilding 80,392 137,169 202,194 323,353 Financial services 4,304 3,743 11,466 11,566 Corporate and unallocated (1) (14,306 ) (28,985 ) (79,100 ) (106,646 ) Income before income taxes $ 70,390 $ 111,927 $ 134,560 $ 228,273 |
Note 18 - Investments in Unco_2
Note 18 - Investments in Unconsolidated Homebuilding and Land Development Joint Ventures (Tables) | 9 Months Ended |
Jul. 31, 2023 | |
Notes Tables | |
Equity Method Investments [Table Text Block] | (In thousands) July 31, 2023 Land Homebuilding Development Total Assets: Cash and cash equivalents $ 133,631 $ 829 $ 134,460 Inventories 643,489 - 643,489 Other assets 23,628 - 23,628 Total assets $ 800,748 $ 829 $ 801,577 Liabilities and equity: Accounts payable and accrued liabilities $ 515,034 $ 616 $ 515,650 Notes payable 90,652 - 90,652 Total liabilities 605,686 616 606,302 Equity of: Hovnanian Enterprises, Inc. 82,916 209 83,125 Others 112,146 4 112,150 Total equity 195,062 213 195,275 Total liabilities and equity $ 800,748 $ 829 $ 801,577 Debt to capitalization ratio 32 % 0 % 32 % (In thousands) October 31, 2022 Land Homebuilding Development Total Assets: Cash and cash equivalents $ 153,176 $ 868 $ 154,044 Inventories 441,140 - 441,140 Other assets 20,037 - 20,037 Total assets $ 614,353 $ 868 $ 615,221 Liabilities and equity: Accounts payable and accrued liabilities $ 471,813 $ 651 $ 472,464 Notes payable 34,880 - 34,880 Total liabilities 506,693 651 507,344 Equity of: Hovnanian Enterprises, Inc. 73,142 209 73,351 Others 34,518 8 34,526 Total equity 107,660 217 107,877 Total liabilities and equity $ 614,353 $ 868 $ 615,221 Debt to capitalization ratio 24 % 0 % 24 % Three Months Ended July 31, 2023 (In thousands) Land Homebuilding Development Total Revenues $ 122,579 $ - $ 122,579 Cost of sales and expenses (106,873 ) (1 ) (106,874 ) Joint venture net income (loss) $ 15,706 $ (1 ) $ 15,705 Our share of net income (loss) $ 8,401 $ - $ 8,401 Three Months Ended July 31, 2022 (In thousands) Land Homebuilding Development Total Revenues $ 80,745 $ - $ 80,745 Cost of sales and expenses (74,303 ) (3 ) (74,306 ) Joint venture net income (loss) $ 6,442 $ (3 ) $ 6,439 Our share of net income (loss) $ 12,570 $ (13 ) $ 12,557 Nine Months Ended July 31, 2023 (In thousands) Land Homebuilding Development Total Revenues $ 283,710 $ - $ 283,710 Cost of sales and expenses (260,110 ) (4 ) (260,114 ) Joint venture net income (loss) $ 23,600 $ (4 ) $ 23,596 Our share of net income (loss) $ 20,969 $ - $ 20,969 Nine Months Ended July 31, 2022 (In thousands) Land Homebuilding Development Total Revenues $ 237,732 $ 113 $ 237,845 Cost of sales and expenses (218,171 ) (34 ) (218,205 ) Joint venture net income $ 19,561 $ 79 $ 19,640 Our share of net income $ 23,887 $ 32 $ 23,919 |
Note 20 - Fair Value of Finan_2
Note 20 - Fair Value of Financial Instruments (Tables) | 9 Months Ended |
Jul. 31, 2023 | |
Notes Tables | |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis [Table Text Block] | Fair Value at Fair Value at Fair Value July 31, October 31, (In thousands) Hierarchy 2023 2022 Mortgage loans held for sale (1) Level 2 $ 80,656 $ 110,548 Forward contracts Level 2 - 752 Total $ 80,656 $ 111,300 |
Fair Value Option, Disclosures [Table Text Block] | Three Months Ended July 31, 2023 Mortgage Interest Rate Loans Held Lock Forward (In thousands) For Sale Commitments Contracts Change in fair value included in financial services revenue $ (64 ) $ 8 $ 2 Three Months Ended July 31, 2022 Mortgage Interest Rate Loans Held Lock Forward (In thousands) For Sale Commitments Contracts Change in fair value included in financial services revenue $ 36 $ 364 $ (781 ) Nine Months Ended July 31, 2023 Mortgage Interest Rate Loans Held Lock Forward (In thousands) For Sale Commitments Contracts Change in fair value included in financial services revenue $ 662 $ - $ - Nine Months Ended July 31, 2022 Mortgage Interest Rate Loans Held Lock Forward (In thousands) For Sale Commitments Contracts Change in fair value included in financial services revenue $ 1,602 $ 78 $ (287 ) |
Fair Value, Liabilities Measured on Recurring and Nonrecurring Basis 2 [Table Text Block] | (In thousands) Level 1 Level 2 Level 3 Total Senior Secured Notes: 10.0 November 15, 2025 - 162,601 - 162,601 7.75 February 15, 2026 - 147,887 - 147,887 10.5 February 15, 2026 - 287,920 - 287,920 11.25 February 15, 2026 - - 162,569 162,569 Senior Notes: 13.5 February 1, 2026 - 91,949 - 91,949 5.0 February 1, 2040 - 43,258 - 43,258 Senior Credit Facilities: Senior Unsecured Term Loan Credit Facility due February 1, 2027 - - 31,487 31,487 Senior Secured 1.75 Lien Term Loan Credit Facility due January 31, 2028 - - 83,606 83,606 Total fair value $ - $ 733,615 $ 277,662 $ 1,011,277 (In thousands) Level 1 Level 2 Level 3 Total Senior Secured Notes: 10.0 November 15, 2025 - - 165,844 165,844 7.75 February 15, 2026 - - 240,393 240,393 10.5 February 15, 2026 - - 272,966 272,966 11.25 February 15, 2026 - - 162,566 162,566 Senior Notes: 13.5 February 1, 2026 - - 94,282 94,282 5.0 February 1, 2040 - - 55,654 55,654 Senior Credit Facilities: Senior Unsecured Term Loan Credit Facility due February 1, 2027 - - 31,301 31,301 Senior Secured 1.75 Lien Term Loan Credit Facility due January 31, 2028 - - 85,247 85,247 Total fair value $ - $ - $ 1,108,253 $ 1,108,253 |
Supplemental Disclosure of No_2
Supplemental Disclosure of Non-cash Operating and Investing Activities (Details Textual) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Jul. 31, 2023 | Apr. 30, 2023 | Jul. 31, 2023 | Jul. 31, 2022 | |
Increase (Decrease) in Inventories | $ (217,211) | $ 332,858 | ||
Increase (Decrease) in Receivables | (12,638) | 13,464 | ||
Increase (Decrease) in Contract with Customer, Liability | (17,425) | 31,226 | ||
Repayments of Notes Payable | $ 269,453 | $ 287,478 | ||
Consolidated Joint Venture [Member] | ||||
Reduction in Investment from Consolidation of Remining Interest in Joint Venture | $ 53,400 | $ 10,800 | ||
Increase (Decrease) in Inventories | 95,300 | 14,900 | ||
Increase (Decrease) in Accounts Payable | 14,500 | $ 5,300 | ||
Increase (Decrease) in Receivables | 3,800 | |||
Increase (Decrease) in Contract with Customer, Liability | 7,300 | |||
Repayments of Notes Payable | $ 4,800 |
Note 1 - Basis of Presentation
Note 1 - Basis of Presentation (Details Textual) | 9 Months Ended |
Jul. 31, 2023 | |
Number of Reportable Segments, Historically | 7 |
Homebuilding [Member] | |
Number of Reportable Segments, Historically | 6 |
Number of Reportable Segments | 3 |
Note 2 - Stock Compensation (De
Note 2 - Stock Compensation (Details Textual) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Jul. 31, 2023 | Jul. 31, 2022 | Jul. 31, 2023 | Jul. 31, 2022 | |
Share-Based Payment Arrangement, Expense | $ 5,300 | $ 3,000 | $ 9,600 | $ 6,400 |
Share-Based Payment Arrangement, Expense, after Tax | 4,200 | 2,200 | $ 7,700 | 4,800 |
Performance Shares [Member] | The 2023 LTIP [Member] | ||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Award Post-Vesting Hold Period (Year) | 2 years | |||
Performance Shares [Member] | Payable in Cash-settled Phantom Shares [Member] | The 2023 LTIP [Member] | ||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Award Vesting Rights, Percentage | 50% | |||
Performance Shares [Member] | Payable in Shares of Company Stock [Member] | The 2023 LTIP [Member] | ||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Award Vesting Rights, Percentage | 50% | |||
Share-Based Payment Arrangement, Option [Member] | ||||
Share-Based Payment Arrangement, Expense | $ 9 | $ 30 | $ 25 | $ 100 |
Note 3 - Interest (Details Text
Note 3 - Interest (Details Textual) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Jul. 31, 2023 | Jul. 31, 2022 | Jul. 31, 2023 | Jul. 31, 2022 | ||
Real Estate Inventory Expense Not Eligible for Capitalization | [1],[2] | $ 13,502 | $ 9,624 | $ 43,096 | $ 35,442 |
Qualifying Assets Not Exceeding Debt [Member] | |||||
Real Estate Inventory Expense Not Eligible for Capitalization | 2,600 | 5,000 | 14,500 | 25,500 | |
Completed Homes, Land in Planning and Fully Developed Lots without Homes under Construction [Member] | |||||
Real Estate Inventory Expense Not Eligible for Capitalization | $ 10,900 | $ 4,600 | $ 28,600 | $ 9,900 | |
[1]Cash paid for interest, net of capitalized interest, is the sum of other interest expensed, as defined above, and interest paid by our mortgage and finance subsidiaries adjusted for the change in accrued interest on notes payable, which is calculated as follows:[2]Other interest expensed includes interest that does not qualify for interest capitalization because our assets that qualify for interest capitalization (inventory under development) do not exceed our debt, which amounted to $2.6 million and $5.0 million for the three months ended July 31, 2023 and 2022, respectively, and $14.5 million and $25.5 million for the nine months ended July 31, 2023 and 2022, respectively. Other interest also includes interest on completed homes, land in planning and fully developed lots without homes under construction, which does not qualify for capitalization and therefore is expensed as incurred. This component of other interest was $10.9 million and $4.6 million for the three months ended July 31, 2023 and 2022, respectively, and $28.6 million and $9.9 million for the nine months ended July 31, 2023 and 2022, respectively. |
Note 3 - Interest - Interest Co
Note 3 - Interest - Interest Costs Incurred, Expensed and Capitalized (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Jul. 31, 2023 | Jul. 31, 2022 | Jul. 31, 2023 | Jul. 31, 2022 | ||
Interest capitalized at beginning of period | $ 60,274 | $ 63,573 | $ 59,600 | $ 58,159 | |
Plus interest incurred(1) | [1] | 34,214 | 32,644 | 103,662 | 99,299 |
Less cost of sales interest expensed | (19,272) | (22,453) | (55,719) | (57,876) | |
Less other interest expensed(2)(3) | [2],[3] | (13,502) | (9,624) | (43,096) | (35,442) |
Less interest contributed to unconsolidated joint venture(4) | [4] | (6,440) | 0 | (9,456) | 0 |
Plus interest acquired from unconsolidated joint venture(5) | [5] | 0 | 0 | 283 | 0 |
Interest capitalized at end of period(6) | [6] | $ 55,274 | $ 64,140 | $ 55,274 | $ 64,140 |
[1]Data does not include interest incurred by our mortgage and finance subsidiaries.[2]Cash paid for interest, net of capitalized interest, is the sum of other interest expensed, as defined above, and interest paid by our mortgage and finance subsidiaries adjusted for the change in accrued interest on notes payable, which is calculated as follows:[3]Other interest expensed includes interest that does not qualify for interest capitalization because our assets that qualify for interest capitalization (inventory under development) do not exceed our debt, which amounted to $2.6 million and $5.0 million for the three months ended July 31, 2023 and 2022, respectively, and $14.5 million and $25.5 million for the nine months ended July 31, 2023 and 2022, respectively. Other interest also includes interest on completed homes, land in planning and fully developed lots without homes under construction, which does not qualify for capitalization and therefore is expensed as incurred. This component of other interest was $10.9 million and $4.6 million for the three months ended July 31, 2023 and 2022, respectively, and $28.6 million and $9.9 million for the nine months ended July 31, 2023 and 2022, respectively.[4]Represents capitalized interest which was included as part of the assets contributed to joint ventures, as discussed in Note 18. There was no impact to the Condensed Consolidated Statement of Operations as a result of these transactions.[5]Represents capitalized interest which was included as part of the assets purchased from joint ventures, as discussed in Note 18. There was no impact to the Condensed Consolidated Statement of Operations as a result of these transactions.[6]Capitalized interest amounts are shown gross before allocating a portion of impairments, if any, to capitalized interest. |
Note 3 - Interest - Cash Paid f
Note 3 - Interest - Cash Paid for Interest, Net of Capitalized Interest (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Jul. 31, 2023 | Jul. 31, 2022 | Jul. 31, 2023 | Jul. 31, 2022 | ||
Real Estate Inventory Expense Not Eligible for Capitalization | [1],[2] | $ 13,502 | $ 9,624 | $ 43,096 | $ 35,442 |
Interest paid by our mortgage and finance subsidiaries | 723 | 404 | 2,032 | 1,234 | |
Increase in accrued interest | (14,693) | (19,194) | (18,498) | (19,408) | |
Cash paid for interest, net of capitalized interest | $ (468) | $ (9,166) | $ 26,630 | $ 17,268 | |
[1]Cash paid for interest, net of capitalized interest, is the sum of other interest expensed, as defined above, and interest paid by our mortgage and finance subsidiaries adjusted for the change in accrued interest on notes payable, which is calculated as follows:[2]Other interest expensed includes interest that does not qualify for interest capitalization because our assets that qualify for interest capitalization (inventory under development) do not exceed our debt, which amounted to $2.6 million and $5.0 million for the three months ended July 31, 2023 and 2022, respectively, and $14.5 million and $25.5 million for the nine months ended July 31, 2023 and 2022, respectively. Other interest also includes interest on completed homes, land in planning and fully developed lots without homes under construction, which does not qualify for capitalization and therefore is expensed as incurred. This component of other interest was $10.9 million and $4.6 million for the three months ended July 31, 2023 and 2022, respectively, and $28.6 million and $9.9 million for the nine months ended July 31, 2023 and 2022, respectively. |
Note 4 - Reduction of Invento_2
Note 4 - Reduction of Inventory to Fair Value (Details Textual) - Homebuilding [Member] $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Jul. 31, 2023 USD ($) | Jul. 31, 2022 USD ($) | Jul. 31, 2023 USD ($) | Jul. 31, 2022 USD ($) | Oct. 31, 2022 USD ($) | |
Number of Communities Evaluated for Impairment | 359 | 393 | |||
Impairment of Real Estate | $ 0 | $ 0 | $ 0 | $ 0 | |
Land Option Write Offs | $ 300 | $ 1,100 | $ 900 | $ 1,800 | |
Number of Walk Away Lots | 521 | 1,892 | 2,918 | 3,025 | |
Liabilities from Inventory Real Estate Not Owned | $ 145,979 | $ 145,979 | $ 202,492 | ||
Model Sale Leaseback Financing Arrangements [Member] | |||||
Inventory Real Estate, Other Options | 49,500 | 49,500 | 48,500 | ||
Liabilities from Inventory Real Estate Not Owned | 49,200 | 49,200 | 51,200 | ||
Land Banking Arrangement [Member] | |||||
Inventory Real Estate, Other Options | 201,600 | 201,600 | 260,100 | ||
Liabilities from Inventory Real Estate Not Owned | $ 96,800 | $ 96,800 | $ 151,300 |
Note 5 - Variable Interest En_2
Note 5 - Variable Interest Entities (Details Textual) $ in Millions | Jul. 31, 2023 USD ($) |
Deposits Associated with Land and Lot Options of Unconsolidated Variable Interest Entities | $ 186 |
Purchase Price Associated with Land and Lot Options of Unconsolidated Variable Interest Entities | $ 1,900 |
Note 6 - Warranty Costs (Detail
Note 6 - Warranty Costs (Details Textual) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Jul. 31, 2023 | Jul. 31, 2022 | Jul. 31, 2023 | Jul. 31, 2022 | |
General Liability Insurance Deductible | $ 25,000 | $ 25,000 | $ 25,000 | $ 25,000 |
Aggregate Retention for Construction Defects Warranty and Bodily Injury Claims | 25,000 | 25,000 | 25,000 | 25,000 |
Payments by Insurance Companies for Claims | 100 | 100 | ||
CALIFORNIA | ||||
Bodily Injury Insurance Deductible | 500 | 500 | 500 | 500 |
Bodily Injury Insurance Limit | 5,000 | 5,000 | 5,000 | 5,000 |
All States Other Than California [Member] | ||||
Bodily Injury Insurance Deductible | 250 | 250 | 250 | 250 |
Bodily Injury Insurance Limit | 5,000 | 5,000 | 5,000 | 5,000 |
Owner-Controlled Insurance Program for Subcontractors [Member] | ||||
Proceeds from Insurance Premiums Collected | $ 1,000 | $ 2,400 | $ 3,000 | $ 5,600 |
Note 6 - Warranty Costs - Warra
Note 6 - Warranty Costs - Warranty and General Liability Reserve (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Jul. 31, 2023 | Jul. 31, 2022 | Jul. 31, 2023 | Jul. 31, 2022 | |
Balance, beginning of period | $ 90,610 | $ 91,464 | $ 97,719 | $ 94,916 |
Charges incurred during the period | (3,799) | (3,047) | (17,186) | (12,984) |
Changes to pre-existing reserves | 437 | (94) | (319) | (1,044) |
Balance, end of period | 90,350 | 94,308 | 90,350 | 94,308 |
Selling, General and Administrative Expenses [Member] | ||||
Additions | 1,657 | 1,995 | 5,451 | 6,337 |
Cost of Sales [Member] | ||||
Additions | $ 1,445 | $ 3,990 | $ 4,685 | $ 7,083 |
Note 7 - Commitments and Cont_2
Note 7 - Commitments and Contingent Liabilities (Details Textual) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | 175 Months Ended |
Jul. 31, 2023 | Jul. 31, 2023 | Jul. 31, 2023 | |
Great Notch Condominium Claims[Member] | |||
Loss Contingency, Damages Sought, Value | $ 119.5 | $ 119.5 | |
Spill Fund Lawsuit [Member] | |||
Loss Contingency, Damages Sought, Value | $ 5.3 |
Note 8 - Cash Equivalents, Re_2
Note 8 - Cash Equivalents, Restricted Cash and Customer's Deposits (Details Textual) - USD ($) $ in Thousands | Jul. 31, 2023 | Oct. 31, 2022 | Jul. 31, 2022 |
Cash Equivalents, at Carrying Value | $ 11,100 | $ 13,400 | |
Homebuilding [Member] | |||
Restricted Cash and Cash Equivalents | 8,623 | 13,382 | $ 15,505 |
Financial Services [Member] | |||
Restricted Cash and Cash Equivalents | 29,453 | 36,100 | $ 33,140 |
Financial Services [Member] | Customer Deposits [Member] | |||
Restricted Cash and Cash Equivalents | 26,900 | 29,700 | |
Financial Services [Member] | Mortgage Warehouse Lines of Credit [Member] | |||
Restricted Cash and Cash Equivalents | $ 2,600 | $ 6,400 |
Note 9 - Leases (Details Textua
Note 9 - Leases (Details Textual) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended |
Jul. 31, 2023 | Jul. 31, 2023 | |
Right-of-Use Asset Obtained in Exchange for Operating Lease Liability | $ 7.2 | $ 8.9 |
Lessee, Operating Lease, Lease Not Yet Commenced | 10.4 | |
Increase (Decrease) in Operating Lease Liability | $ 7.2 | $ 8.9 |
Note 9 - Leases - Lease Cost (D
Note 9 - Leases - Lease Cost (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Jul. 31, 2023 | Jul. 31, 2022 | Jul. 31, 2023 | Jul. 31, 2022 | Oct. 31, 2022 | |
Operating lease costs | $ 2,646 | $ 2,528 | $ 8,510 | $ 7,793 | |
Cash payments on lease liabilities | $ 2,222 | $ 2,432 | $ 6,959 | $ 7,086 | |
Weighted-average remaining lease term (in years) (Year) | 3 years 7 months 6 days | 3 years 7 months 6 days | 3 years 6 months | ||
Weighted-average discount rate | 9.70% | 9.70% | 9.50% | ||
Prepaid Expenses and Other Current Assets [Member] | |||||
ROU assets | $ 20,085 | $ 20,085 | $ 17,899 | ||
Accounts Payable and Accrued Liabilities [Member] | |||||
Lease liabilities | $ 20,800 | $ 20,800 | $ 18,862 |
Note 9 - Leases - Maturities of
Note 9 - Leases - Maturities of Operating Lease Liabilities (Details) - USD ($) $ in Thousands | Jul. 31, 2023 | Oct. 31, 2022 | |
2023 (excluding the nine months ended July 31, 2023) | $ 2,344 | ||
2024 | 7,733 | ||
2025 | 6,400 | ||
2026 | 4,782 | ||
2027 | 3,239 | ||
2028 and thereafter | 1,018 | ||
Total operating lease payments (1) | [1] | 25,516 | |
Less: imputed interest | (4,716) | ||
Accounts Payable and Accrued Liabilities [Member] | |||
Present value of operating lease liabilities | $ 20,800 | $ 18,862 | |
[1]Lease payments include options to extend lease terms that are reasonably certain of being executed and exclude $10.4 million of legally binding minimum lease payments for office leases signed but not yet commenced as of July 31, 2023. The related ROU assets and operating lease liabilities are not reflected on the Company's Condensed Consolidated Balance Sheets. |
Note 10 - Mortgage Loans Held_3
Note 10 - Mortgage Loans Held for Sale (Details Textual) $ in Millions | Jul. 31, 2023 USD ($) | Oct. 31, 2022 USD ($) |
Number of Loans Reserved For | 11 | 14 |
Asset Pledged as Collateral without Right [Member] | ||
Financing Receivable, before Allowance for Credit Loss | $ 76.2 | $ 92.5 |
Note 10 - Mortgage Loans Held_4
Note 10 - Mortgage Loans Held for Sale - Loan Origination Reserves (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Jul. 31, 2023 | Jul. 31, 2022 | Jul. 31, 2023 | Jul. 31, 2022 | |
Loan origination reserves, beginning of period | $ 1,906 | $ 1,714 | $ 1,795 | $ 1,632 |
Provisions for losses during the period | 50 | 43 | 127 | 133 |
Adjustments to pre-existing provisions for losses from changes in estimates | 0 | 0 | 34 | (8) |
Loan origination reserves, end of period | $ 1,956 | $ 1,757 | $ 1,956 | $ 1,757 |
Note 11 - Mortgages (Details Te
Note 11 - Mortgages (Details Textual) - USD ($) $ in Thousands | 9 Months Ended | ||
Jul. 31, 2023 | Jul. 30, 2023 | Oct. 31, 2022 | |
JP Morgan Chase Bank [Member] | |||
Line of Credit Facility, Maximum Borrowing Capacity | $ 75,000 | $ 50,000 | |
Warehouse Agreement Borrowings | $ 6,300 | $ 14,100 | |
JP Morgan Chase Bank [Member] | Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate [Member] | Minimum [Member] | |||
Debt Instrument, Basis Spread on Variable Rate | 2.125% | ||
JP Morgan Chase Bank [Member] | Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate [Member] | Maximum [Member] | |||
Debt Instrument, Basis Spread on Variable Rate | 2.375% | ||
Customers Bank [Member] | |||
Line of Credit Facility, Maximum Borrowing Capacity | $ 50,000 | ||
Warehouse Agreement Borrowings | $ 37,700 | 43,100 | |
Customers Bank [Member] | Bloomberg Short-term Bank Yield Index (BSBY) [Member] | Minimum [Member] | |||
Debt Instrument, Basis Spread on Variable Rate | 2.125% | ||
Customers Bank [Member] | Bloomberg Short-term Bank Yield Index (BSBY) [Member] | Maximum [Member] | |||
Debt Instrument, Basis Spread on Variable Rate | 4.50% | ||
Nonrecourse Mortgages Secured By Inventory [Member] | Mortgages [Member] | Homebuilding [Member] | |||
Secured Debt | $ 129,127 | 144,805 | |
Debt Instrument, Collateral Amount | $ 373,100 | $ 418,900 | |
Debt, Weighted Average Interest Rate | 8.60% | 6.70% | |
Comerica Master Repurchase Agreement [Member] | |||
Line of Credit Facility, Maximum Borrowing Capacity | $ 60,000 | ||
Warehouse Agreement Borrowings | 17,900 | $ 37,100 | |
Line of Credit Facility, Maximum Borrowing Capacity Reversion After Initial Period | $ 50,000 | ||
Comerica Master Repurchase Agreement [Member] | Bloomberg Short-term Bank Yield Index (BSBY) [Member] | |||
Debt Instrument Variable Rate Basis Floor Rate | 0.50% | ||
Comerica Master Repurchase Agreement [Member] | Bloomberg Short-term Bank Yield Index (BSBY) [Member] | Minimum [Member] | |||
Debt Instrument, Basis Spread on Variable Rate | 1.75% | ||
Comerica Master Repurchase Agreement [Member] | Bloomberg Short-term Bank Yield Index (BSBY) [Member] | Maximum [Member] | |||
Debt Instrument, Basis Spread on Variable Rate | 3.25% |
Note 12 - Senior Notes and Cr_3
Note 12 - Senior Notes and Credit Facilities (Details Textual) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | 9 Months Ended | ||||||
May 30, 2023 | Apr. 29, 2022 | Jul. 31, 2023 | Jul. 31, 2022 | Jul. 31, 2023 | Jul. 31, 2023 | Jul. 31, 2022 | Oct. 31, 2022 | Oct. 31, 2019 | |
Debt Covenant Fixed Charge Coverage Ratio Minimum | 2 | 2 | 2 | ||||||
Secured Debt Leverage Ratio | 4 | 4 | 4 | ||||||
Dividends Payable | $ 2,700 | $ 2,700 | $ 2,700 | ||||||
Repayments of Senior Debt | 101,937 | $ 103,875 | |||||||
Gain (Loss) on Extinguishment of Debt | (4,082) | $ 0 | (4,082) | (6,795) | |||||
Senior Secured Revolving Credit Facility [Member] | |||||||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 125,000 | $ 125,000 | $ 125,000 | ||||||
Line of Credit Facility, Unused Commitment Fee Rate | 1% | 1% | 1% | ||||||
Senior Secured Revolving Credit Facility [Member] | Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate [Member] | |||||||||
Line of Credit Facility, Variable Rate Floor | 1% | 1% | 1% | ||||||
Line of Credit Facility, Applicable Margin | 4.50% | 4.50% | 4.50% | ||||||
Senior Secured Revolving Credit Facility [Member] | Base Rate [Member] | |||||||||
Line of Credit Facility, Applicable Margin | 3.50% | 3.50% | 3.50% | ||||||
Stand-alone Cash Collateralized Letter of Credit Agreements and Facilities [Member] | |||||||||
Letters of Credit Outstanding, Amount | $ 5,100 | $ 5,100 | $ 5,100 | $ 6,000 | |||||
Stand-alone Cash Collateralized Letter of Credit Agreements and Facilities [Member] | Restricted Cash [Member] | |||||||||
Debt Instrument, Collateral Amount | $ 5,300 | $ 5,300 | $ 5,300 | $ 6,100 | |||||
Senior Secured Revolving Credit Facility [Member] | |||||||||
Line of Credit Facility, Unused Commitment Fee Rate | 1% | 1% | 1% | ||||||
Senior Secured Revolving Credit Facility [Member] | Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate [Member] | |||||||||
Line of Credit Facility, Variable Rate Floor | 1% | 1% | 1% | ||||||
Line of Credit Facility, Applicable Margin | 4.50% | 4.50% | 4.50% | ||||||
Senior Secured Revolving Credit Facility [Member] | Base Rate [Member] | |||||||||
Line of Credit Facility, Applicable Margin | 3.50% | 3.50% | 3.50% | ||||||
The Secured Credit Facility, the New Secured Notes, and the Second Lien Notes [Member] | Cash and Cash Equivalents Collateral [Member] | |||||||||
Debt Instrument, Collateral Amount | $ 332,500 | $ 332,500 | $ 332,500 | ||||||
The Secured Credit Facility, the New Secured Notes, and the Second Lien Notes [Member] | Restricted Cash [Member] | |||||||||
Debt Instrument, Collateral Amount | 5,300 | 5,300 | 5,300 | ||||||
The Secured Credit Facility, the New Secured Notes, and the Second Lien Notes [Member] | Real Property [Member] | |||||||||
Debt Instrument, Collateral Amount | 463,000 | 463,000 | 463,000 | ||||||
The Secured Credit Facility, the New Secured Notes, and the Second Lien Notes [Member] | Equity Interests in Joint Venture Holding Companies Collateral [Member] | |||||||||
Debt Instrument, Collateral Amount | 82,800 | 82,800 | 82,800 | ||||||
The 8.0% Senior Notes Due 2027 [Member] | Unsecured Senior Notes [Member] | |||||||||
Debt Instrument, Face Amount | $ 26,000 | $ 26,000 | $ 26,000 | ||||||
Debt Instrument, Interest Rate, Stated Percentage | 8% | 8% | 8% | 8% | |||||
The 7.75% Senior Secured 1.125 Lien Notes due February 15, 2026 [Member] | Senior Secured Notes [Member] | |||||||||
Debt Instrument, Interest Rate, Stated Percentage | 7.75% | 7.75% | 7.75% | 7.75% | 7.75% | ||||
Debt Instrument, Redeemed, Face Amount | $ 100,000 | ||||||||
Repayments of Senior Debt | $ 104,200 | ||||||||
Gain (Loss) on Extinguishment of Debt | $ (4,100) | ||||||||
The 7.75% Senior Secured 1.125 Lien Notes due February 15, 2026 [Member] | Senior Secured Notes [Member] | Principal Commencing February 15, 2023 [Member] | |||||||||
Debt Instrument, Redemption Price, Percentage | 101.937% | ||||||||
The 7.75% Senior Secured 1.125 Lien Notes due February 15, 2026 [Member] | Senior Secured Notes [Member] | Principal Commencing February 15, 2024 [Member] | |||||||||
Debt Instrument, Redemption Price, Percentage | 100% | ||||||||
The 7.75% 2026 Notes [Member] | Senior Secured Notes [Member] | |||||||||
Debt Instrument, Redeemed, Face Amount | $ 100,000 | ||||||||
Gain (Loss) on Extinguishment of Debt | $ (6,800) | ||||||||
Repayments of Secured Debt | $ 105,500 | ||||||||
Senior Secured Revolving Credit Facility [Member] | |||||||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 125,000 | ||||||||
The 10.5% Senior Secured 1.25 Lien Notes due February 15, 2026 [Member] | Senior Secured Notes [Member] | |||||||||
Debt Instrument, Interest Rate, Stated Percentage | 10.50% | 10.50% | 10.50% | 10.50% | |||||
The 10.5% Senior Secured 1.25 Lien Notes due February 15, 2026 [Member] | Senior Secured Notes [Member] | Principal Commencing February 15, 2023 [Member] | |||||||||
Debt Instrument, Redemption Price, Percentage | 102.625% | ||||||||
The 10.5% Senior Secured 1.25 Lien Notes due February 15, 2026 [Member] | Senior Secured Notes [Member] | Principal Commencing February 15, 2024 [Member] | |||||||||
Debt Instrument, Redemption Price, Percentage | 100% | ||||||||
The 10.5% Senior Secured 1.25 Lien Notes due February 15, 2026 [Member] | Senior Secured Notes [Member] | After November 15, 2023 [Member] | |||||||||
Debt Instrument, Redemption Price, Percentage | 100% | ||||||||
The 10.0% Senior Secured 1.75 Lien Notes due 2025 [Member] | After November 15, 2023 [Member] | |||||||||
Debt Instrument, Interest Rate, Stated Percentage | 10% | 10% | 10% | ||||||
Debt Instrument, Redemption Price, Percentage | 102.50% | ||||||||
The 10.0% Senior Secured 1.75 Lien Notes due 2025 [Member] | Prior To February 15, 2026 [Member] | |||||||||
Debt Instrument, Redemption Price, Percentage | 100% | ||||||||
The 10.0% Senior Secured 1.75 Lien Notes due 2025 [Member] | Senior Secured Notes [Member] | |||||||||
Debt Instrument, Interest Rate, Stated Percentage | 10% | 10% | 10% | 10% | |||||
The 11.25% Senior Secured 1.5 Lien Notes due February 15, 2026 [Member] | Senior Secured Notes [Member] | |||||||||
Debt Instrument, Interest Rate, Stated Percentage | 11.25% | 11.25% | 11.25% | 11.25% | |||||
Senior Secured 1.75 Lien Term Loan Credit Facility Due January 31, 2028 [Member] | After November 15, 2023 [Member] | |||||||||
Debt Instrument, Redemption Price, Percentage | 100% | ||||||||
Senior Secured 1.75 Lien Term Loan Credit Facility Due January 31, 2028 [Member] | Before Nov 15, 2023 [Member] | |||||||||
Debt Instrument, Redemption Price, Percentage | 102.50% | ||||||||
The 13.5% Senior Notes Due 2026 [Member] | Unsecured Senior Notes [Member] | |||||||||
Debt Instrument, Interest Rate, Stated Percentage | 13.50% | 13.50% | 13.50% | 13.50% | |||||
The 13.5% Senior Notes Due 2026 [Member] | Unsecured Senior Notes [Member] | Debt Instrument, Redemption, Period One [Member] | |||||||||
Debt Instrument, Redemption Price, Percentage | 100% | ||||||||
The 13.5% Senior Notes Due 2026 [Member] | Unsecured Senior Notes [Member] | Debt Instrument, Redemption, Period Two [Member] | |||||||||
Debt Instrument, Redemption Price, Percentage | 100% | ||||||||
The 5.0% Senior Notes due 2040 [Member] | Unsecured Senior Notes [Member] | |||||||||
Debt Instrument, Interest Rate, Stated Percentage | 5% | 5% | 5% | 5% | |||||
The 5.0% Senior Notes due 2040 [Member] | Unsecured Senior Notes [Member] | Debt Instrument, Redemption, Period One [Member] | |||||||||
Debt Instrument, Redemption Price, Percentage | 100% |
Note 12 - Senior Notes and Cr_4
Note 12 - Senior Notes and Credit Facilities - Senior Notes and Credit Facilities Balances (Details) - USD ($) $ in Thousands | Jul. 31, 2023 | Oct. 31, 2022 | |
Senior debt | $ 1,054,852 | $ 1,154,852 | |
Net (discounts) premiums | (1,120) | 4,079 | |
Unamortized debt issuance costs | (8,953) | (12,384) | |
Total senior notes and credit facilities, net of discounts, premiums and unamortized debt issuance costs | 1,044,779 | 1,146,547 | |
Senior Secured Notes [Member] | |||
Senior debt | 753,093 | 853,093 | |
Unsecured Senior Notes [Member] | |||
Senior debt | 180,710 | 180,710 | |
Senior Unsecured Term Loan Credit Facility Due 2027 [Member] | |||
Senior debt | 39,551 | 39,551 | |
Senior Secured Revolving Credit Facility [Member] | |||
Senior debt | [1] | 0 | 0 |
The 10.0% Senior Secured 1.75 Lien Notes due 2025 [Member] | Senior Secured Notes [Member] | |||
Senior debt | 158,502 | 158,502 | |
The 7.75% Senior Secured 1.125 Lien Notes due February 15, 2026 [Member] | Senior Secured Notes [Member] | |||
Senior debt | 150,000 | 250,000 | |
The 10.5% Senior Secured 1.25 Lien Notes due February 15, 2026 [Member] | Senior Secured Notes [Member] | |||
Senior debt | 282,322 | 282,322 | |
The 11.25% Senior Secured 1.5 Lien Notes due February 15, 2026 [Member] | Senior Secured Notes [Member] | |||
Senior debt | 162,269 | 162,269 | |
The 8.0% Senior Notes Due 2027 [Member] | Unsecured Senior Notes [Member] | |||
Senior debt | [2] | 0 | 0 |
The 13.5% Senior Notes Due 2026 [Member] | Unsecured Senior Notes [Member] | |||
Senior debt | 90,590 | 90,590 | |
The 5.0% Senior Notes due 2040 [Member] | Unsecured Senior Notes [Member] | |||
Senior debt | 90,120 | 90,120 | |
The 10.0% Senior Secured 1.75 Lien Term Loans Due 2028 [Member] | Senior Secured Term Loan [Member] | |||
Senior debt | $ 81,498 | $ 81,498 | |
[1]At July 31, 2023, provides for up to $125.0 million in aggregate amount of senior secured first lien revolving loans. The revolving loans thereunder have a maturity of June 30, 2024 and borrowings bear interest, at K. Hovnanian’s option, at either (i) a term secured overnight financing rate (subject to a floor of 1.00%) plus an applicable margin of 4.50% or (ii) an alternate base rate plus an applicable margin of 3.50%. In addition, K. Hovnanian will pay an unused commitment fee on the undrawn revolving commitments at a rate of 1.00% per annum.[2]$26.0 million of 8.0% Senior Notes due 2027 (the "8.0% 2027 Notes") are owned by a wholly-owned consolidated subsidiary of HEI. Therefore, in accordance with U.S. GAAP, such notes are not reflected on the Condensed Consolidated Balance Sheets of HEI. |
Note 12 - Senior Notes and Cr_5
Note 12 - Senior Notes and Credit Facilities - Senior Notes and Credit Facilities Balances (Details) (Parentheticals) | 9 Months Ended | 12 Months Ended | |
Jul. 31, 2023 | Oct. 31, 2022 | May 30, 2023 | |
Senior Unsecured Term Loan Credit Facility Due 2027 [Member] | |||
Debt Instrument, Maturity Date | Feb. 01, 2027 | Feb. 01, 2027 | |
The 10.0% Senior Secured 1.75 Lien Notes due 2025 [Member] | Senior Secured Notes [Member] | |||
Debt Instrument, Interest Rate, Stated Percentage | 10% | 10% | |
Debt Instrument, Maturity Date | Nov. 15, 2025 | Nov. 15, 2025 | |
The 7.75% Senior Secured 1.125 Lien Notes due February 15, 2026 [Member] | Senior Secured Notes [Member] | |||
Debt Instrument, Interest Rate, Stated Percentage | 7.75% | 7.75% | 7.75% |
Debt Instrument, Maturity Date | Feb. 15, 2026 | Feb. 15, 2026 | |
The 10.5% Senior Secured 1.25 Lien Notes due February 15, 2026 [Member] | Senior Secured Notes [Member] | |||
Debt Instrument, Interest Rate, Stated Percentage | 10.50% | 10.50% | |
Debt Instrument, Maturity Date | Feb. 15, 2026 | Feb. 15, 2026 | |
The 11.25% Senior Secured 1.5 Lien Notes due February 15, 2026 [Member] | Senior Secured Notes [Member] | |||
Debt Instrument, Interest Rate, Stated Percentage | 11.25% | 11.25% | |
Debt Instrument, Maturity Date | Feb. 15, 2026 | Feb. 15, 2026 | |
The 8.0% Senior Notes Due 2027 [Member] | Unsecured Senior Notes [Member] | |||
Debt Instrument, Interest Rate, Stated Percentage | 8% | 8% | |
Debt Instrument, Maturity Date | Nov. 01, 2027 | Nov. 01, 2027 | |
The 13.5% Senior Notes Due 2026 [Member] | Unsecured Senior Notes [Member] | |||
Debt Instrument, Interest Rate, Stated Percentage | 13.50% | 13.50% | |
Debt Instrument, Maturity Date | Feb. 01, 2026 | Feb. 01, 2026 | |
The 5.0% Senior Notes due 2040 [Member] | Unsecured Senior Notes [Member] | |||
Debt Instrument, Interest Rate, Stated Percentage | 5% | 5% | |
Debt Instrument, Maturity Date | Feb. 01, 2040 | Feb. 01, 2040 | |
The 10.0% Senior Secured 1.75 Lien Term Loans Due 2028 [Member] | Senior Secured Term Loan [Member] | |||
Debt Instrument, Maturity Date | Jan. 31, 2028 | Jan. 31, 2028 |
Note 13 - Per Share Calculati_3
Note 13 - Per Share Calculation (Details Textual) - shares shares in Thousands | 3 Months Ended | 9 Months Ended | ||
Jul. 31, 2023 | Jul. 31, 2022 | Jul. 31, 2023 | Jul. 31, 2022 | |
Out of the Money Stock Options [Member] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount (in shares) | 6 | 80 | 6 | 24 |
Note 13 - Per Share Calculati_4
Note 13 - Per Share Calculation - Basic and Diluted Earnings Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||||||
Jul. 31, 2023 | Apr. 30, 2023 | Jan. 31, 2023 | Jul. 31, 2022 | Apr. 30, 2022 | Jan. 31, 2022 | Jul. 31, 2023 | Jul. 31, 2022 | |
Net income | $ 55,764 | $ 34,146 | $ 18,716 | $ 82,614 | $ 62,435 | $ 24,808 | $ 108,626 | $ 169,857 |
Less: preferred stock dividends | (2,669) | (2,669) | (8,007) | (8,007) | ||||
Less: undistributed earnings allocated to participating securities | (3,578) | (9,139) | (7,780) | (20,201) | ||||
Numerator for basic earnings per share | 49,517 | 70,806 | 92,839 | 141,649 | ||||
Plus: undistributed earnings allocated to participating securities | 3,578 | 9,139 | 7,780 | 20,202 | ||||
Less: undistributed earnings reallocated to participating securities | (3,582) | (9,141) | (7,801) | (20,214) | ||||
Numerator for diluted earnings per share | $ 49,513 | $ 70,804 | $ 92,818 | $ 141,637 | ||||
Denominator for basic earnings per share – weighted average shares outstanding (in shares) | 6,249 | 6,485 | 6,201 | 6,424 | ||||
Stock-based payments (in shares) | 456 | 59 | 441 | 83 | ||||
Denominator for diluted earnings per share – weighted-average shares outstanding (in shares) | 6,705 | 6,544 | 6,642 | 6,507 | ||||
Net income per common share (in dollars per share) | $ 7.92 | $ 10.92 | $ 14.97 | $ 22.05 | ||||
Diluted earnings per share (in dollars per share) | $ 7.38 | $ 10.82 | $ 13.97 | $ 21.77 |
Note 14 - Preferred Stock (Deta
Note 14 - Preferred Stock (Details Textual) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||||
Jul. 12, 2005 | Jul. 31, 2023 | Jul. 31, 2022 | Jul. 31, 2023 | Jul. 31, 2022 | Oct. 31, 2022 | |
Preferred Stock, Shares Issued, Total (in shares) | 5,600 | 5,600 | 5,600 | |||
Payments of Dividends | $ 8,007 | $ 8,007 | ||||
Preferred Class A [Member] | ||||||
Preferred Stock, Shares Issued, Total (in shares) | 5,600 | |||||
Preferred Stock, Dividend Rate, Percentage | 7.625% | |||||
Preferred Stock, Liquidation Preference Per Share (in dollars per share) | $ 25,000 | |||||
Preferred Stock, Depositary Shares, Number of Shares of Preferred Stock in Each Depositary Share (in shares) | 0.001 | |||||
Payments of Dividends | $ 2,700 | $ 2,700 | $ 8,000 | $ 8,000 |
Note 15 - Common Stock (Details
Note 15 - Common Stock (Details Textual) $ / shares in Units, $ in Millions | 3 Months Ended | 9 Months Ended | ||||||
Jul. 31, 2023 USD ($) shares | Jan. 31, 2023 USD ($) | Jul. 31, 2022 shares | Jul. 31, 2023 USD ($) $ / shares shares | Jul. 31, 2022 shares | Sep. 01, 2022 USD ($) | Jan. 11, 2018 | Aug. 15, 2008 | |
Common Stock Dividends Percent of Increase from Class A to Class B | 110% | 110% | ||||||
Conversion of Stock From Class B to Class A Conversion Ratio | 1 | |||||||
Shareholder Ownership Percentage of Increase | 50% | |||||||
Treasury Stock, Value, Acquired, Cost Method | $ 4.8 | |||||||
Minimum [Member] | ||||||||
Shareholder Ownership Percentage | 5% | |||||||
Common Class A [Member] | ||||||||
Common Stock Voting Rights Votes per Share Number | 1 | |||||||
Shareholder Ownership Percentage | 4.90% | |||||||
Number of Rights | 1 | |||||||
Shareholders Pre Existing Ownership Percentage | 5% | |||||||
Shareholders Current Ownership Percentage | 5% | |||||||
Shareholders Ownership Percentage on Transfers | 5% | |||||||
Shareholders Ownership Percentage Threshold | 5% | |||||||
Stock Repurchase Program, Authorized Amount | $ 50 | |||||||
Treasury Stock, Shares, Acquired (in shares) | shares | 0 | 0 | 118,478 | 0 | ||||
Treasury Stock, Value, Acquired, Cost Method | $ 4.8 | |||||||
Treasury Stock Acquired, Average Cost Per Share (in dollars per share) | $ / shares | $ 40.51 | |||||||
Stock Repurchase Program, Remaining Amount of Shares Authorized to be Repurchased | $ 33 | $ 33 | ||||||
Common Class B [Member] | ||||||||
Common Stock Voting Rights Votes per Share Number | 10 |
Note 16 - Income Taxes (Details
Note 16 - Income Taxes (Details Textual) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Jul. 31, 2023 | Jul. 31, 2022 | Jul. 31, 2023 | Jul. 31, 2022 | Oct. 31, 2022 | |
Income Tax Expense (Benefit) | $ 14,626 | $ 29,313 | $ 25,934 | $ 58,416 | |
Deferred Tax Assets, Net | 324,700 | 324,700 | $ 344,800 | ||
Deferred Tax Assets, Valuation Allowance | 91,800 | 91,800 | $ 95,700 | ||
Energy Efficient Tax Credit [Member] | |||||
Effective Income Tax Rate Reconciliation, Tax Credit, Amount | 6,200 | ||||
State and Local Jurisdiction [Member] | |||||
Income Tax Expense (Benefit) | (500) | 6,385 | 2,794 | 11,515 | |
Effective Income Tax Rate Reconciliation, Change in Deferred Tax Assets Valuation Allowance, Amount | 3,900 | 3,900 | |||
Operating Loss Carryforwards | 2,300,000 | 2,300,000 | |||
State and Local Jurisdiction [Member] | Indefinite Tax Period [Member] | |||||
Operating Loss Carryforwards | 51,600 | 51,600 | |||
State and Local Jurisdiction [Member] | Between 2023 and 2027 [Member] | |||||
Operating Loss Carryforwards | 412,400 | 412,400 | |||
State and Local Jurisdiction [Member] | Between 2028 and 2032 [Member] | |||||
Operating Loss Carryforwards | 1,400,000 | 1,400,000 | |||
State and Local Jurisdiction [Member] | Between 2033 and 2037 [Member] | |||||
Operating Loss Carryforwards | 369,700 | 369,700 | |||
State and Local Jurisdiction [Member] | Between 2038 and 2042 [Member] | |||||
Operating Loss Carryforwards | 73,700 | 73,700 | |||
Domestic Tax Authority [Member] | |||||
Income Tax Expense (Benefit) | 15,126 | $ 22,928 | 23,140 | $ 46,901 | |
Domestic Tax Authority [Member] | Between 2030 and 2038 [Member] | |||||
Operating Loss Carryforwards | 812,900 | 812,900 | |||
Domestic Tax Authority [Member] | Indefinite Tax Period [Member] | |||||
Operating Loss Carryforwards | $ 15,700 | $ 15,700 |
Note 17 - Operating and Repor_3
Note 17 - Operating and Reporting Segments (Details Textual) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Jul. 31, 2023 USD ($) | Jul. 31, 2022 USD ($) | Jul. 31, 2023 USD ($) | Jul. 31, 2022 USD ($) | ||
Number of States in which Entity Operates | 14 | 14 | |||
Number of Reportable Segments, Historically | 7 | ||||
Real Estate Inventory Expense Not Eligible for Capitalization | [1],[2] | $ 13,502 | $ 9,624 | $ 43,096 | $ 35,442 |
Gain (Loss) on Extinguishment of Debt | (4,082) | 0 | (4,082) | (6,795) | |
Qualifying Assets Not Exceeding Debt [Member] | |||||
Real Estate Inventory Expense Not Eligible for Capitalization | 2,600 | 5,000 | 14,500 | 25,500 | |
Corporate, Non-Segment [Member] | |||||
General and Administrative Expense | 27,400 | 24,800 | 78,000 | 75,900 | |
Other Nonoperating Income (Expense) | 19,800 | 800 | 17,400 | 1,600 | |
Gain (Loss) on Extinguishment of Debt | (4,100) | (4,100) | (6,800) | ||
Corporate, Non-Segment [Member] | Qualifying Assets Not Exceeding Debt [Member] | |||||
Real Estate Inventory Expense Not Eligible for Capitalization | $ 2,600 | $ 5,000 | $ 14,400 | $ 25,500 | |
Homebuilding [Member] | |||||
Number of Reportable Segments, Historically | 6 | ||||
Number of Reportable Segments | 3 | ||||
[1]Cash paid for interest, net of capitalized interest, is the sum of other interest expensed, as defined above, and interest paid by our mortgage and finance subsidiaries adjusted for the change in accrued interest on notes payable, which is calculated as follows:[2]Other interest expensed includes interest that does not qualify for interest capitalization because our assets that qualify for interest capitalization (inventory under development) do not exceed our debt, which amounted to $2.6 million and $5.0 million for the three months ended July 31, 2023 and 2022, respectively, and $14.5 million and $25.5 million for the nine months ended July 31, 2023 and 2022, respectively. Other interest also includes interest on completed homes, land in planning and fully developed lots without homes under construction, which does not qualify for capitalization and therefore is expensed as incurred. This component of other interest was $10.9 million and $4.6 million for the three months ended July 31, 2023 and 2022, respectively, and $28.6 million and $9.9 million for the nine months ended July 31, 2023 and 2022, respectively. |
Note 17 - Operating and Repor_4
Note 17 - Operating and Reporting Segments - Financial Information Relating to Segment Operations (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Jul. 31, 2023 | Jul. 31, 2022 | Jul. 31, 2023 | Jul. 31, 2022 | ||
Revenues | $ 649,957 | $ 767,593 | $ 1,868,984 | $ 2,035,443 | |
Income (loss) before income taxes | 70,390 | 111,927 | 134,560 | 228,273 | |
Corporate, Non-Segment [Member] | |||||
Revenues | 3,107 | 157 | 7,679 | 177 | |
Income (loss) before income taxes | [1] | (14,306) | (28,985) | (79,100) | (106,646) |
Homebuilding [Member] | |||||
Revenues | 635,308 | 753,060 | 1,827,968 | 1,991,895 | |
Homebuilding [Member] | Operating Segments [Member] | |||||
Revenues | 632,201 | 752,903 | 1,820,289 | 1,991,718 | |
Income (loss) before income taxes | 80,392 | 137,169 | 202,194 | 323,353 | |
Homebuilding [Member] | Northeast [Member] | Operating Segments [Member] | |||||
Revenues | 201,814 | 305,577 | 625,323 | 721,442 | |
Income (loss) before income taxes | 29,088 | 59,958 | 86,311 | 117,796 | |
Homebuilding [Member] | Southeast [Member] | Operating Segments [Member] | |||||
Revenues | 121,240 | 71,542 | 296,084 | 200,359 | |
Income (loss) before income taxes | 23,431 | 15,263 | 49,902 | 36,185 | |
Homebuilding [Member] | West [Member] | Operating Segments [Member] | |||||
Revenues | 309,147 | 375,784 | 898,882 | 1,069,917 | |
Income (loss) before income taxes | 27,873 | 61,948 | 65,981 | 169,372 | |
Financial Services [Member] | |||||
Revenues | 14,649 | 14,533 | 41,016 | 43,548 | |
Financial Services [Member] | Operating Segments [Member] | |||||
Revenues | 14,649 | 14,533 | 41,016 | 43,548 | |
Income (loss) before income taxes | $ 4,304 | $ 3,743 | $ 11,466 | $ 11,566 | |
[1]Corporate and unallocated for the three months ended July 31, 2023 included corporate general and administrative expenses of $27.4 million, interest expense of $2.6 million (a component of Other interest in our Condensed Consolidated Statements of Operations), $(19.8) million of other expense (income), and loss on extinguishment of debt of $4.1 million. Corporate and unallocated for the nine months ended July 31, 2023 included corporate general and administrative expenses of $78.0 million, interest expense of $14.4 million, $(17.4) million of other expense (income), and loss on extinguishment of debt of $4.1 million. Corporate and unallocated for the three months ended July 31, 2022 included corporate general and administrative expenses of $24.8 million, interest expense of $5.0 million, and $(0.8) million of other expense (income). Corporate and unallocated for the nine months ended July 31, 2022 included corporate general and administrative expenses of $75.9 million, interest expense of $25.5 million, loss on extinguishment of debt of $6.8 million, and $(1.6) million of other expense (income). |
Note 17 - Operating and Repor_5
Note 17 - Operating and Reporting Segments - Financial Information Relating to Segment Financial Position (Details) - USD ($) $ in Thousands | Jul. 31, 2023 | Oct. 31, 2022 |
Assets | $ 2,393,917 | $ 2,562,030 |
Corporate, Non-Segment [Member] | ||
Assets | 719,593 | 741,555 |
Homebuilding [Member] | ||
Assets | 1,953,616 | 2,061,244 |
Homebuilding [Member] | Operating Segments [Member] | ||
Assets | 1,558,721 | 1,664,482 |
Homebuilding [Member] | Northeast [Member] | Operating Segments [Member] | ||
Assets | 514,319 | 530,884 |
Homebuilding [Member] | Southeast [Member] | Operating Segments [Member] | ||
Assets | 298,871 | 330,894 |
Homebuilding [Member] | West [Member] | Operating Segments [Member] | ||
Assets | 745,531 | 802,704 |
Financial Services [Member] | ||
Assets | 115,603 | 155,993 |
Financial Services [Member] | Operating Segments [Member] | ||
Assets | $ 115,603 | $ 155,993 |
Note 18 - Investments in Unco_3
Note 18 - Investments in Unconsolidated Homebuilding and Land Development Joint Ventures (Details Textual) $ in Thousands | 3 Months Ended | 9 Months Ended | |||||
Jul. 31, 2023 USD ($) | Apr. 30, 2023 | Jan. 31, 2023 USD ($) | Jul. 31, 2022 USD ($) | Jul. 31, 2023 USD ($) | Jul. 31, 2022 USD ($) | Oct. 31, 2022 USD ($) | |
Number of Owned Communities Transferred to the Joint Venture | 16 | 4 | |||||
Number of Owned Active Communities Transferred to the Joint Venture | 8 | 1 | |||||
Number of New Joint Ventures | 1 | 1 | |||||
Proceeds from Transfer of Land to Joint Venture | $ 75,700 | $ 41,100 | |||||
Number of Unconsolidated Joint Ventures Dissolved | 1 | ||||||
Gain on Consolidation of Joint Venture | 19,100 | $ 19,102 | $ 0 | ||||
Equity Method Investment, Other than Temporary Impairment | 0 | $ 0 | 0 | 0 | |||
Revenues | 649,957 | 767,593 | 1,868,984 | 2,035,443 | |||
Homebuilding [Member] | |||||||
Revenues | 635,308 | 753,060 | 1,827,968 | 1,991,895 | |||
Homebuilding [Member] | Management Fees [Member] | |||||||
Revenues | $ 4,500 | 2,900 | $ 11,200 | 8,500 | |||
Homebuilding and Land Development Joint Ventures [Member] | |||||||
Number of Owned Active Communities Transferred to the Joint Venture | 8 | ||||||
Homebuilding and Land Development Joint Ventures [Member] | Minimum [Member] | |||||||
Equity Method Investment, Ownership Percentage | 20% | 20% | |||||
Homebuilding and Land Development Joint Ventures [Member] | Maximum [Member] | |||||||
Equity Method Investment, Ownership Percentage | 50% | 50% | |||||
Corporate Joint Venture [Member] | |||||||
Advances to Affiliate | $ 2,100 | $ 2,100 | $ 1,600 | ||||
Revenues | $ 122,579 | $ 80,745 | $ 283,710 | $ 237,845 | |||
New Unconsolidated Joint Venture [Member] | |||||||
Number of Owned Active Communities Transferred to the Joint Venture | 3 | 3 | |||||
Number of New Joint Ventures | 1 | ||||||
Proceeds from Transfer of Land to Joint Venture | $ 48,000 | $ 48,000 |
Note 18 - Investments in Unco_4
Note 18 - Investments in Unconsolidated Homebuilding and Land Development Joint Ventures - Unconsolidated Homebuilding and Land Development Joint Ventures (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||||||
Jul. 31, 2023 | Apr. 30, 2023 | Jan. 31, 2023 | Jul. 31, 2022 | Apr. 30, 2022 | Jan. 31, 2022 | Jul. 31, 2023 | Jul. 31, 2022 | Oct. 31, 2022 | Oct. 31, 2021 | |
Assets | $ 2,393,917 | $ 2,393,917 | $ 2,562,030 | |||||||
Liabilities | 1,911,402 | 1,911,402 | 2,178,979 | |||||||
Hovnanian Enterprises, Inc. | 482,478 | 482,478 | 383,036 | |||||||
Others | 37 | 37 | 15 | |||||||
Total equity | 482,515 | $ 429,497 | $ 395,797 | $ 338,747 | $ 258,399 | $ 196,887 | 482,515 | $ 338,747 | 383,051 | $ 175,384 |
Total liabilities and equity | 2,393,917 | 2,393,917 | 2,562,030 | |||||||
Revenues | 649,957 | 767,593 | 1,868,984 | 2,035,443 | ||||||
Joint venture net income (loss) | 55,764 | $ 34,146 | $ 18,716 | 82,614 | $ 62,435 | $ 24,808 | 108,626 | 169,857 | ||
Our share of net income (loss) | 8,401 | 12,557 | 20,969 | 23,919 | ||||||
Corporate Joint Venture [Member] | ||||||||||
Cash and cash equivalents | 134,460 | 134,460 | 154,044 | |||||||
Inventories | 643,489 | 643,489 | 441,140 | |||||||
Other assets | 23,628 | 23,628 | 20,037 | |||||||
Assets | 801,577 | 801,577 | 615,221 | |||||||
Accounts payable and accrued liabilities | 515,650 | 515,650 | 472,464 | |||||||
Notes payable | 90,652 | 90,652 | 34,880 | |||||||
Liabilities | 606,302 | 606,302 | 507,344 | |||||||
Hovnanian Enterprises, Inc. | 83,125 | 83,125 | 73,351 | |||||||
Others | 112,150 | 112,150 | 34,526 | |||||||
Total equity | 195,275 | 195,275 | 107,877 | |||||||
Total liabilities and equity | $ 801,577 | $ 801,577 | $ 615,221 | |||||||
Debt to capitalization ratio | 32% | 32% | 24% | |||||||
Revenues | $ 122,579 | 80,745 | $ 283,710 | 237,845 | ||||||
Cost of sales and expenses | (106,874) | (74,306) | (260,114) | (218,205) | ||||||
Joint venture net income (loss) | 15,705 | 6,439 | 23,596 | 19,640 | ||||||
Our share of net income (loss) | 8,401 | 12,557 | 20,969 | 23,919 | ||||||
Corporate Joint Venture [Member] | Homebuilding Joint Venture [Member] | ||||||||||
Our share of net income (loss) | 8,401 | 12,570 | 20,969 | 23,887 | ||||||
Corporate Joint Venture [Member] | Land Development Joint Venture [Member] | ||||||||||
Our share of net income (loss) | 0 | (13) | 0 | 32 | ||||||
Homebuilding Joint Venture [Member] | Corporate Joint Venture [Member] | ||||||||||
Cash and cash equivalents | 133,631 | 133,631 | $ 153,176 | |||||||
Inventories | 643,489 | 643,489 | 441,140 | |||||||
Other assets | 23,628 | 23,628 | 20,037 | |||||||
Assets | 800,748 | 800,748 | 614,353 | |||||||
Accounts payable and accrued liabilities | 515,034 | 515,034 | 471,813 | |||||||
Notes payable | 90,652 | 90,652 | 34,880 | |||||||
Liabilities | 605,686 | 605,686 | 506,693 | |||||||
Hovnanian Enterprises, Inc. | 82,916 | 82,916 | 73,142 | |||||||
Others | 112,146 | 112,146 | 34,518 | |||||||
Total equity | 195,062 | 195,062 | 107,660 | |||||||
Total liabilities and equity | $ 800,748 | $ 800,748 | $ 614,353 | |||||||
Debt to capitalization ratio | 32% | 32% | 24% | |||||||
Revenues | $ 122,579 | 80,745 | $ 283,710 | 237,732 | ||||||
Cost of sales and expenses | (106,873) | (74,303) | (260,110) | (218,171) | ||||||
Joint venture net income (loss) | 15,706 | 6,442 | 23,600 | 19,561 | ||||||
Land Development Joint Venture [Member] | Corporate Joint Venture [Member] | ||||||||||
Cash and cash equivalents | 829 | 829 | $ 868 | |||||||
Inventories | 0 | 0 | 0 | |||||||
Other assets | 0 | 0 | 0 | |||||||
Assets | 829 | 829 | 868 | |||||||
Accounts payable and accrued liabilities | 616 | 616 | 651 | |||||||
Notes payable | 0 | 0 | 0 | |||||||
Liabilities | 616 | 616 | 651 | |||||||
Hovnanian Enterprises, Inc. | 209 | 209 | 209 | |||||||
Others | 4 | 4 | 8 | |||||||
Total equity | 213 | 213 | 217 | |||||||
Total liabilities and equity | $ 829 | $ 829 | $ 868 | |||||||
Debt to capitalization ratio | 0% | 0% | 0% | |||||||
Revenues | $ 0 | 0 | $ 0 | 113 | ||||||
Cost of sales and expenses | (1) | (3) | (4) | (34) | ||||||
Joint venture net income (loss) | $ (1) | $ (3) | $ (4) | $ 79 |
Note 20 - Fair Value of Finan_3
Note 20 - Fair Value of Financial Instruments (Details Textual) - USD ($) $ in Thousands | 8 Months Ended | |
Jul. 01, 2023 | Oct. 31, 2022 | |
Loans Held for Sale Mortgages Unpaid Principal | $ 80,000 | $ 110,200 |
Senior Secured Revolving Credit Facility [Member] | ||
Long-term Line of Credit, Total | $ 0 | $ 0 |
The 13.5% 2026 Notes [Member] | ||
Debt Instrument, Interest Rate, Stated Percentage | 13.50% | |
The 5.0% 2040 Notes [Member] | ||
Debt Instrument, Interest Rate, Stated Percentage | 5% | |
Loan Origination Commitments [Member] | ||
Loan Applications in Process | $ 662,600 | |
Loan Origination Commitments [Member] | Maximum [Member] | ||
Number of Days in Committment (Day) | 60 days | |
Interest Rate Committed Loan Applications [Member] | ||
Interest Rate Committed Loan Applications | $ 89,200 |
Note 20 - Fair Value of Finan_4
Note 20 - Fair Value of Financial Instruments - Financial Instruments Measured at Fair Value on a Recurring Basis (Details) - Fair Value, Recurring [Member] - USD ($) $ in Thousands | Jul. 31, 2023 | Oct. 31, 2022 | |
Total | $ 80,656 | $ 111,300 | |
Fair Value, Inputs, Level 2 [Member] | |||
Mortgage loans held for sale | [1] | 80,656 | 110,548 |
Fair Value, Inputs, Level 2 [Member] | Forward Contracts [Member] | |||
Derivative Fair Value | $ 0 | $ 752 | |
[1]The aggregate unpaid principal balance was $80.0 million and $110.2 million at July 31, 2023 and October 31, 2022, respectively. |
Note 20 - Fair Value of Finan_5
Note 20 - Fair Value of Financial Instruments - Changes in Fair Values Included in Income (Loss) (Details) - Financial Services Revenue Line Item [Member] - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Jul. 31, 2023 | Jul. 31, 2022 | Jul. 31, 2023 | Jul. 31, 2022 | |
Loans Held for Sale [Member] | ||||
Change in fair value included in financial services revenue | $ (64) | $ 36 | $ 662 | $ 1,602 |
Interest Rate Lock Commitments [Member] | ||||
Change in fair value included in financial services revenue | 8 | 364 | 0 | 78 |
Forward Contracts [Member] | ||||
Change in fair value included in financial services revenue | $ 2 | $ (781) | $ 0 | $ (287) |
Note 20 - Fair Value of Finan_6
Note 20 - Fair Value of Financial Instruments - Fair Value of Notes (Details) - USD ($) $ in Thousands | Jul. 31, 2023 | Oct. 31, 2022 |
Notes, Fair Value | $ 1,011,277 | $ 1,108,253 |
Senior Secured Notes [Member] | The 10.0% Senior Secured 1.75 Lien Notes due 2025 [Member] | ||
Notes, Fair Value | 162,601 | 165,844 |
Senior Secured Notes [Member] | The 7.75% Senior Secured 1.125 Lien Notes due February 15, 2026 [Member] | ||
Notes, Fair Value | 147,887 | 240,393 |
Senior Secured Notes [Member] | The 10.5% Senior Secured 1.25 Lien Notes due February 15, 2026 [Member] | ||
Notes, Fair Value | 287,920 | 272,966 |
Senior Secured Notes [Member] | The 11.25% Senior Secured 1.5 Lien Notes due February 15, 2026 [Member] | ||
Notes, Fair Value | 162,569 | 162,566 |
Senior Notes [Member] | The 13.5% 2026 Notes [Member] | ||
Notes, Fair Value | 91,949 | 94,282 |
Senior Notes [Member] | The 5.0% 2040 Notes [Member] | ||
Notes, Fair Value | 43,258 | 55,654 |
Unsecured Senior Term Loan [Member] | Senior Unsecured Term Loan Credit Facility Due 2027 [Member] | ||
Notes, Fair Value | 31,487 | 31,301 |
Senior Secured Term Loan [Member] | The 10.0% Senior Secured 1.75 Lien Term Loans Due 2028 [Member] | ||
Notes, Fair Value | 83,606 | 85,247 |
Fair Value, Inputs, Level 1 [Member] | ||
Notes, Fair Value | 0 | 0 |
Fair Value, Inputs, Level 1 [Member] | Senior Secured Notes [Member] | The 10.0% Senior Secured 1.75 Lien Notes due 2025 [Member] | ||
Notes, Fair Value | 0 | 0 |
Fair Value, Inputs, Level 1 [Member] | Senior Secured Notes [Member] | The 7.75% Senior Secured 1.125 Lien Notes due February 15, 2026 [Member] | ||
Notes, Fair Value | 0 | 0 |
Fair Value, Inputs, Level 1 [Member] | Senior Secured Notes [Member] | The 10.5% Senior Secured 1.25 Lien Notes due February 15, 2026 [Member] | ||
Notes, Fair Value | 0 | 0 |
Fair Value, Inputs, Level 1 [Member] | Senior Secured Notes [Member] | The 11.25% Senior Secured 1.5 Lien Notes due February 15, 2026 [Member] | ||
Notes, Fair Value | 0 | 0 |
Fair Value, Inputs, Level 1 [Member] | Senior Notes [Member] | The 13.5% 2026 Notes [Member] | ||
Notes, Fair Value | 0 | 0 |
Fair Value, Inputs, Level 1 [Member] | Senior Notes [Member] | The 5.0% 2040 Notes [Member] | ||
Notes, Fair Value | 0 | 0 |
Fair Value, Inputs, Level 1 [Member] | Unsecured Senior Term Loan [Member] | Senior Unsecured Term Loan Credit Facility Due 2027 [Member] | ||
Notes, Fair Value | 0 | 0 |
Fair Value, Inputs, Level 1 [Member] | Senior Secured Term Loan [Member] | The 10.0% Senior Secured 1.75 Lien Term Loans Due 2028 [Member] | ||
Notes, Fair Value | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | ||
Notes, Fair Value | 733,615 | 0 |
Fair Value, Inputs, Level 2 [Member] | Senior Secured Notes [Member] | The 10.0% Senior Secured 1.75 Lien Notes due 2025 [Member] | ||
Notes, Fair Value | 162,601 | 0 |
Fair Value, Inputs, Level 2 [Member] | Senior Secured Notes [Member] | The 7.75% Senior Secured 1.125 Lien Notes due February 15, 2026 [Member] | ||
Notes, Fair Value | 147,887 | 0 |
Fair Value, Inputs, Level 2 [Member] | Senior Secured Notes [Member] | The 10.5% Senior Secured 1.25 Lien Notes due February 15, 2026 [Member] | ||
Notes, Fair Value | 287,920 | 0 |
Fair Value, Inputs, Level 2 [Member] | Senior Secured Notes [Member] | The 11.25% Senior Secured 1.5 Lien Notes due February 15, 2026 [Member] | ||
Notes, Fair Value | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | Senior Notes [Member] | The 13.5% 2026 Notes [Member] | ||
Notes, Fair Value | 91,949 | 0 |
Fair Value, Inputs, Level 2 [Member] | Senior Notes [Member] | The 5.0% 2040 Notes [Member] | ||
Notes, Fair Value | 43,258 | 0 |
Fair Value, Inputs, Level 2 [Member] | Unsecured Senior Term Loan [Member] | Senior Unsecured Term Loan Credit Facility Due 2027 [Member] | ||
Notes, Fair Value | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | Senior Secured Term Loan [Member] | The 10.0% Senior Secured 1.75 Lien Term Loans Due 2028 [Member] | ||
Notes, Fair Value | 0 | 0 |
Fair Value, Inputs, Level 3 [Member] | ||
Notes, Fair Value | 277,662 | 1,108,253 |
Fair Value, Inputs, Level 3 [Member] | Senior Secured Notes [Member] | The 10.0% Senior Secured 1.75 Lien Notes due 2025 [Member] | ||
Notes, Fair Value | 0 | 165,844 |
Fair Value, Inputs, Level 3 [Member] | Senior Secured Notes [Member] | The 7.75% Senior Secured 1.125 Lien Notes due February 15, 2026 [Member] | ||
Notes, Fair Value | 0 | 240,393 |
Fair Value, Inputs, Level 3 [Member] | Senior Secured Notes [Member] | The 10.5% Senior Secured 1.25 Lien Notes due February 15, 2026 [Member] | ||
Notes, Fair Value | 0 | 272,966 |
Fair Value, Inputs, Level 3 [Member] | Senior Secured Notes [Member] | The 11.25% Senior Secured 1.5 Lien Notes due February 15, 2026 [Member] | ||
Notes, Fair Value | 162,569 | 162,566 |
Fair Value, Inputs, Level 3 [Member] | Senior Notes [Member] | The 13.5% 2026 Notes [Member] | ||
Notes, Fair Value | 0 | 94,282 |
Fair Value, Inputs, Level 3 [Member] | Senior Notes [Member] | The 5.0% 2040 Notes [Member] | ||
Notes, Fair Value | 0 | 55,654 |
Fair Value, Inputs, Level 3 [Member] | Unsecured Senior Term Loan [Member] | Senior Unsecured Term Loan Credit Facility Due 2027 [Member] | ||
Notes, Fair Value | 31,487 | 31,301 |
Fair Value, Inputs, Level 3 [Member] | Senior Secured Term Loan [Member] | The 10.0% Senior Secured 1.75 Lien Term Loans Due 2028 [Member] | ||
Notes, Fair Value | $ 83,606 | $ 85,247 |
Note 20 - Fair Value of Finan_7
Note 20 - Fair Value of Financial Instruments - Fair Value of Notes (Details) (Parentheticals) | 9 Months Ended | 12 Months Ended | |
Jul. 31, 2023 | Oct. 31, 2022 | May 30, 2023 | |
The 10.0% Senior Secured 1.75 Lien Notes due 2025 [Member] | Senior Secured Notes [Member] | |||
Debt Instrument, Stated Interest Rate | 10% | 10% | |
Debt Instrument, Maturity Date | Nov. 15, 2025 | Nov. 15, 2025 | |
The 7.75% Senior Secured 1.125 Lien Notes due February 15, 2026 [Member] | Senior Secured Notes [Member] | |||
Debt Instrument, Stated Interest Rate | 7.75% | 7.75% | 7.75% |
Debt Instrument, Maturity Date | Feb. 15, 2026 | Feb. 15, 2026 | |
The 10.5% Senior Secured 1.25 Lien Notes due February 15, 2026 [Member] | Senior Secured Notes [Member] | |||
Debt Instrument, Stated Interest Rate | 10.50% | 10.50% | |
Debt Instrument, Maturity Date | Feb. 15, 2026 | Feb. 15, 2026 | |
The 11.25% Senior Secured 1.5 Lien Notes due February 15, 2026 [Member] | Senior Secured Notes [Member] | |||
Debt Instrument, Stated Interest Rate | 11.25% | 11.25% | |
Debt Instrument, Maturity Date | Feb. 15, 2026 | Feb. 15, 2026 | |
The 13.5% 2026 Notes [Member] | Senior Notes [Member] | |||
Debt Instrument, Stated Interest Rate | 13.50% | 13.50% | |
Debt Instrument, Maturity Date | Feb. 01, 2026 | Feb. 01, 2026 | |
The 5.0% 2040 Notes [Member] | Senior Notes [Member] | |||
Debt Instrument, Stated Interest Rate | 5% | 5% | |
Debt Instrument, Maturity Date | Feb. 01, 2040 | Feb. 01, 2040 | |
Senior Unsecured Term Loan Credit Facility Due 2027 [Member] | Unsecured Senior Term Loan [Member] | |||
Debt Instrument, Maturity Date | Feb. 01, 2027 | Feb. 01, 2027 | |
The 10.0% Senior Secured 1.75 Lien Term Loans Due 2028 [Member] | Senior Secured Term Loan [Member] | |||
Debt Instrument, Maturity Date | Jan. 31, 2028 | Jan. 31, 2028 |
Note 21 - Transactions With R_2
Note 21 - Transactions With Related Parties (Details Textual) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Jul. 31, 2023 | Jul. 31, 2022 | Jul. 31, 2023 | Jul. 31, 2022 | |
Tavit Najarian [Member] | ||||
Related Party Transaction, Amounts of Transaction | $ 0.3 | $ 0.2 | $ 1.1 | $ 0.7 |
Note 22 - Subsequent Events (De
Note 22 - Subsequent Events (Details Textual) - USD ($) $ in Thousands | 9 Months Ended | |||
Aug. 29, 2023 | May 30, 2023 | Jul. 31, 2023 | Jul. 31, 2022 | |
Repayments of Senior Debt | $ 101,937 | $ 103,875 | ||
Senior Secured Notes [Member] | The 7.75% Senior Secured 1.125 Lien Notes due February 15, 2026 [Member] | ||||
Debt Instrument, Redeemed, Face Amount | $ 100,000 | |||
Repayments of Senior Debt | $ 104,200 | |||
Subsequent Event [Member] | Senior Secured Notes [Member] | The 7.75% Senior Secured 1.125 Lien Notes due February 15, 2026 [Member] | ||||
Debt Instrument, Redeemed, Face Amount | $ 100,000 | |||
Repayments of Senior Debt | 102,200 | |||
Senior Notes | $ 50,000 |