Document_and_Entity_Informatio
Document and Entity Information (USD $) | 12 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Sep. 30, 2014 | Nov. 10, 2014 | Mar. 31, 2014 |
Document and Entity Information [Abstract] | ' | ' | ' |
Entity Registrant Name | 'HORTON D R INC /DE/ | ' | ' |
Entity Central Index Key | '0000882184 | ' | ' |
Document Type | '10-K | ' | ' |
Document Period End Date | 30-Sep-14 | ' | ' |
Amendment Flag | 'false | ' | ' |
Document Fiscal Year Focus | '2014 | ' | ' |
Document Fiscal Period Focus | 'FY | ' | ' |
Current Fiscal Year End Date | '--09-30 | ' | ' |
Entity Well-known Seasoned Issuer | 'Yes | ' | ' |
Entity Voluntary Filers | 'No | ' | ' |
Entity Current Reporting Status | 'Yes | ' | ' |
Entity Filer Category | 'Large Accelerated Filer | ' | ' |
Entity Public Float | ' | ' | $6,431,364 |
Entity Common Stock, Shares Outstanding | ' | 364,586,694 | ' |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Sep. 30, 2014 | Sep. 30, 2013 | ||
In Millions, unless otherwise specified | ||||
ASSETS | ' | ' | ||
Cash and cash equivalents | $661.80 | $977.40 | ||
Inventories: | ' | ' | ||
Deferred income taxes, net of valuation allowance of $31.1 million and $31.0 million at September 30, 2014 and 2013, respectively | 565 | 586.6 | ||
Property and equipment, net | 193.7 | [1] | 109.5 | [1] |
Other assets | 502.7 | 476.5 | ||
Total assets | 10,202.50 | 8,856.40 | ||
LIABILITIES | ' | ' | ||
Notes payable | 3,682.80 | 3,509 | ||
Total liabilities | 5,082.80 | 4,795 | ||
Commitments and contingencies (Note K) | ' | ' | ||
EQUITY | ' | ' | ||
Preferred stock, $.10 par value, 30,000,000 shares authorized, no shares issued | 0 | 0 | ||
Common stock, $.01 par value, 1,000,000,000 shares authorized, 371,786,765 shares issued and 364,586,694 shares outstanding at September 30, 2014 and 330,143,689 shares issued and 322,943,618 shares outstanding at September 30, 2013 | 3.7 | 3.3 | ||
Additional paid-in capital | 2,613.70 | 2,042 | ||
Retained earnings | 2,630.50 | 2,145.60 | ||
Treasury stock, 7,200,071 shares at September 30, 2014 and 2013, at cost | -134.3 | -134.3 | ||
Accumulated other comprehensive income | 2.2 | 1.9 | ||
Total stockholders' equity | 5,115.80 | 4,058.50 | ||
Noncontrolling interests | 3.9 | 2.9 | ||
Total equity | 5,119.70 | 4,061.40 | ||
Total liabilities and equity | 10,202.50 | 8,856.40 | ||
Homebuilding [Member] | ' | ' | ||
ASSETS | ' | ' | ||
Cash and cash equivalents | 632.5 | [2] | 954.2 | [2] |
Restricted cash | 10 | [2] | 77.8 | [2] |
Inventories: | ' | ' | ||
Construction in progress and finished homes | 3,541.30 | 2,498 | ||
Residential land and lots - developed and under development | 3,800 | 3,215.20 | ||
Land held for development | 332.8 | 450.2 | ||
Land held for sale | 26.4 | 34 | ||
Total inventories | 7,700.50 | [3] | 6,197.40 | [3] |
Deferred income taxes, net of valuation allowance of $31.1 million and $31.0 million at September 30, 2014 and 2013, respectively | 565 | 586.6 | ||
Property and equipment, net | 190.8 | 106.7 | ||
Other assets | 441.1 | 419.6 | ||
Goodwill | 94.8 | 38.9 | ||
Total assets | 9,634.70 | 8,381.20 | ||
LIABILITIES | ' | ' | ||
Accounts payable | 480.3 | 346.4 | ||
Accrued expenses and other liabilities | 875 | 886 | ||
Notes payable | 3,323.60 | 3,270.40 | ||
Total liabilities | 4,678.90 | 4,502.80 | ||
Financial Services [Member] | ' | ' | ||
ASSETS | ' | ' | ||
Cash and cash equivalents | 29.3 | [2] | 23.2 | [2] |
Inventories: | ' | ' | ||
Property and equipment, net | 2.9 | 2.8 | ||
Mortgage loans held for sale | 476.9 | 395.1 | ||
Other assets | 61.6 | 56.9 | ||
Total assets | 567.8 | 475.2 | ||
LIABILITIES | ' | ' | ||
Accounts payable and other liabilities | 44.7 | 53.6 | ||
Assets Sold under Agreements to Repurchase, Repurchase Liability | 359.2 | [2] | 238.6 | [2] |
Total liabilities | $403.90 | $292.20 | ||
[1] | Includes $2.9 million and $2.8 million at September 30, 2014 and 2013, respectively, of property and equipment related to the Company's financial services subsidiaries which is included in financial services other assets in the consolidated balance sheets. | |||
[2] | The fair value approximates carrying value due to its short-term nature, short maturity or floating interest rate terms, as applicable. | |||
[3] | Homebuilding inventories are the only assets included in the measure of homebuilding segment assets used by the Company’s chief operating decision makers. |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets (Parenthetical) (USD $) | Sep. 30, 2014 | Sep. 30, 2013 |
In Millions, except Share data, unless otherwise specified | ||
ASSETS | ' | ' |
Valuation allowance for deferred income taxes | $31.10 | $31 |
EQUITY | ' | ' |
Preferred stock, par value | $0.10 | $0.10 |
Preferred stock, shares authorized | 30,000,000 | 30,000,000 |
Preferred stock, shares issued | 0 | 0 |
Common stock, par value | $0.01 | $0.01 |
Common stock, shares authorized | 1,000,000,000 | 1,000,000,000 |
Common stock, shares issued | 371,786,765 | 330,143,689 |
Common stock, shares outstanding | 364,586,694 | 322,943,618 |
Treasury stock, shares | 7,200,071 | 7,200,071 |
Consolidated_Statements_of_Ope
Consolidated Statements of Operations and Comprehensive Income (Loss) (USD $) | 12 Months Ended | |||||
In Millions, except Per Share data, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 | |||
Gross profit: | ' | ' | ' | |||
Inventory and land option charges | ($85.20) | ($31.10) | ($6.20) | |||
Interest expense | 0 | 7.1 | 26.9 | |||
Income before income taxes | 814.2 | [1] | 657.8 | [1] | 242.9 | [1] |
Income tax expense (benefit) | 280.7 | 195.1 | -713.4 | |||
Net income | 533.5 | 462.7 | 956.3 | |||
Other comprehensive income (loss), net of income tax: | ' | ' | ' | |||
Unrealized gain (loss) related to available-for-sale securities | 0.3 | 1.7 | 0.1 | |||
Comprehensive income | 533.8 | 464.4 | 956.4 | |||
Basic net income per common share | $1.57 | $1.44 | $3.01 | |||
Net income per common share assuming dilution | $1.50 | $1.33 | $2.77 | |||
Cash dividends declared per common share | $0.14 | $0.19 | $0.15 | |||
Homebuilding [Member] | ' | ' | ' | |||
Revenues: | ' | ' | ' | |||
Home sales | 7,804.70 | 6,024.80 | 4,218.40 | |||
Land/lot sales and other | 53.8 | 61.1 | 17.8 | |||
Total revenues | 7,858.50 | 6,085.90 | 4,236.20 | |||
Cost of sales: | ' | ' | ' | |||
Home sales | 6,139.10 | 4,771.50 | 3,472.90 | |||
Land/lot sales and other | 44.3 | 50.9 | 13.3 | |||
Production Related Impairments or Charges | 85.2 | 31.1 | 6.2 | |||
Total cost of sales | 6,268.60 | 4,853.50 | 3,492.40 | |||
Gross profit: | ' | ' | ' | |||
Home sales | 1,665.60 | 1,253.30 | 745.5 | |||
Land/lot sales and other | 9.5 | 10.2 | 4.5 | |||
Gross profit | 1,589.90 | 1,232.40 | 743.8 | |||
Selling, general and administrative expense | 834.2 | 649.9 | 528.7 | |||
Interest expense | 0 | 5.1 | 23.6 | |||
Other (income) | -13.1 | -14.9 | -12.2 | |||
Income before income taxes | 768.8 | [1] | 592.3 | [1] | 203.7 | [1] |
Financial Services [Member] | ' | ' | ' | |||
Gross profit: | ' | ' | ' | |||
Financial Services Revenue | 166.4 | 173.4 | 117.8 | |||
General and administrative expense | 131.2 | 116.4 | 85.5 | |||
Interest and other income | -10.2 | -8.5 | -6.9 | |||
Income before income taxes | 45.4 | [1] | 65.5 | [1] | 39.2 | [1] |
Available-for-sale Securities [Member] | ' | ' | ' | |||
Other comprehensive income (loss), net of income tax: | ' | ' | ' | |||
Unrealized gain (loss) related to available-for-sale securities | 0 | -0.2 | 0.1 | |||
Debt Securities [Member] | ' | ' | ' | |||
Other comprehensive income (loss), net of income tax: | ' | ' | ' | |||
Unrealized gain (loss) related to available-for-sale securities | $0.30 | $1.90 | $0 | |||
[1] | Expenses maintained at the corporate level consist primarily of interest and property taxes, which are capitalized and amortized to cost of sales or expensed directly, and the expenses related to operating the Company’s corporate office. The amortization of capitalized interest and property taxes is allocated to each segment based on the segment’s revenue, while those expenses associated with the corporate office are allocated to each segment based on the segment’s inventory balances. |
Consolidated_Statements_of_Tot
Consolidated Statements of Total Equity (USD $) | Total | Common Stock | Additional Paid-in Capital | Retained Earnings | Treasury Stock | Accumulated Other Comprehensive Income | Non-controlling Interests |
In Millions, unless otherwise specified | |||||||
Beginning Balances at Sep. 30, 2011 | $2,623.50 | $3.20 | $1,917 | $834.60 | ($134.30) | $0.10 | $2.90 |
Increase (Decrease) in Stockholders' Equity | ' | ' | ' | ' | ' | ' | ' |
Net income | 956.3 | ' | ' | 956.3 | ' | ' | ' |
Issuances under employee benefit plans (79,455 shares in 2012, 63,105 shares in 2013, 77,216 shares in 2014) | 0.9 | ' | 0.9 | ' | ' | ' | ' |
Exercise of stock options (4,493,797 shares in 2012, 1,785,412 shares in 2013, 2,687,724 shares in 2014) | 40.8 | 0.1 | 40.7 | ' | ' | ' | ' |
Stock issued under Performance Unit Plan (275,625 shares in 2012, 203,125 shares in 2013, 288,685 shares in 2014) | -3.1 | ' | -3.1 | ' | ' | ' | ' |
Stock based compensation expense | 18.1 | ' | 18.1 | ' | ' | ' | ' |
Cash dividends declared | -47.8 | ' | ' | -47.8 | ' | ' | ' |
Other comprehensive income (loss) | 0.1 | ' | ' | ' | ' | 0.1 | ' |
Noncontrolling interests | -0.3 | ' | ' | ' | ' | ' | -0.3 |
Ending Balances at Sep. 30, 2012 | 3,594.70 | 3.3 | 1,979.80 | 1,743.10 | -134.3 | 0.2 | 2.6 |
Increase (Decrease) in Stockholders' Equity | ' | ' | ' | ' | ' | ' | ' |
Net income | 462.7 | ' | ' | 462.7 | ' | ' | ' |
Issuances under employee benefit plans (79,455 shares in 2012, 63,105 shares in 2013, 77,216 shares in 2014) | 1.1 | ' | 1.1 | ' | ' | ' | ' |
Exercise of stock options (4,493,797 shares in 2012, 1,785,412 shares in 2013, 2,687,724 shares in 2014) | 37.8 | ' | 37.8 | ' | ' | ' | ' |
Adjustments to Additional Paid in Capital, Income Tax Benefit from Share-based Compensation | 6.7 | 0 | 6.7 | ' | ' | ' | ' |
Stock issued under Performance Unit Plan (275,625 shares in 2012, 203,125 shares in 2013, 288,685 shares in 2014) | -2.4 | ' | -2.4 | ' | ' | ' | ' |
Stock based compensation expense | 19 | ' | 19 | ' | ' | ' | ' |
Cash dividends declared | -60.2 | ' | ' | -60.2 | ' | ' | ' |
Other comprehensive income (loss) | 1.7 | ' | ' | ' | ' | 1.7 | ' |
Noncontrolling interests | 0.3 | ' | ' | ' | ' | ' | 0.3 |
Ending Balances at Sep. 30, 2013 | 4,061.40 | 3.3 | 2,042 | 2,145.60 | -134.3 | 1.9 | 2.9 |
Increase (Decrease) in Stockholders' Equity | ' | ' | ' | ' | ' | ' | ' |
Net income | 533.5 | ' | ' | 533.5 | ' | ' | ' |
Issuances under employee benefit plans (79,455 shares in 2012, 63,105 shares in 2013, 77,216 shares in 2014) | 1.4 | ' | 1.4 | ' | ' | ' | ' |
Exercise of stock options (4,493,797 shares in 2012, 1,785,412 shares in 2013, 2,687,724 shares in 2014) | 43.8 | 0 | 43.8 | ' | ' | ' | ' |
Adjustments to Additional Paid in Capital, Income Tax Deficiency from Share-based Compensation | -3.4 | 0 | -3.4 | ' | ' | ' | ' |
Stock issued under Performance Unit Plan (275,625 shares in 2012, 203,125 shares in 2013, 288,685 shares in 2014) | -5.5 | ' | -5.5 | ' | ' | ' | ' |
Conversion of Stock, Amount Issued | ' | 0.4 | 498.2 | ' | ' | ' | ' |
Stock Issued During Period, Value, Conversion of Convertible Securities, Net of Adjustments | 498.6 | ' | ' | ' | ' | ' | ' |
Stock based compensation expense | 26.2 | ' | 26.2 | ' | ' | ' | ' |
Cash dividends declared | -48.6 | ' | ' | -48.6 | ' | ' | ' |
Other comprehensive income (loss) | 0.3 | ' | ' | ' | ' | 0.3 | ' |
Noncontrolling interests | 1 | ' | ' | ' | ' | ' | 1 |
Ending Balances at Sep. 30, 2014 | $5,119.70 | $3.70 | $2,613.70 | $2,630.50 | ($134.30) | $2.20 | $3.90 |
Consolidated_Statements_of_Tot1
Consolidated Statements of Total Equity (Parenthetical) | 12 Months Ended | ||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 | |
Increase (Decrease) in Stockholders' Equity | ' | ' | ' |
Beginning Balances,shares | 322,943,618 | ' | ' |
Issuances under employee benefit plans, shares | 77,216 | 63,105 | 79,455 |
Exercise of stock options, shares | 2,687,724 | 1,785,412 | 4,493,797 |
Debt Conversion, Converted Instrument, Shares Issued | 38,589,451 | ' | ' |
Ending Balances, shares | 364,586,694 | 322,943,618 | ' |
Common Stock | ' | ' | ' |
Increase (Decrease) in Stockholders' Equity | ' | ' | ' |
Beginning Balances,shares | 322,943,618 | 320,891,976 | 316,043,099 |
Issuances under employee benefit plans, shares | 77,216 | 63,105 | 79,455 |
Exercise of stock options, shares | 2,687,724 | 1,785,412 | 4,493,797 |
Issuance under Performance Unit Plan, shares | 288,685 | 203,125 | 275,625 |
Ending Balances, shares | 364,586,694 | 322,943,618 | 320,891,976 |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 |
OPERATING ACTIVITIES | ' | ' | ' |
Net income | $533.50 | $462.70 | $956.30 |
Adjustments to reconcile net income to net cash (used in) provided by operating activities: | ' | ' | ' |
Depreciation and Amortization | 38.4 | 22.7 | 18.8 |
Amortization of discounts and fees | 27.4 | 39.7 | 40.4 |
Stock based compensation expense | 26.2 | 19 | 18.1 |
Income tax benefit from stock option exercises | -0.6 | -6.7 | 0 |
Deferred income taxes | 17.4 | 130.9 | -709.5 |
(Gain) loss on early retirement of debt, net | 0 | 0 | -0.1 |
Available-for-sale Securities, Gross Realized Gain (Loss), Excluding Other than Temporary Impairments | 0 | -0.2 | -0.2 |
Inventory impairments and land option charges | 85.2 | 31.1 | 6.2 |
Changes in operating assets and liabilities: | ' | ' | ' |
(Increase) decrease in construction in progress and finished homes | -918.2 | -815.3 | -275.4 |
(Increase) decrease in residential land and lots - developed, under development, and held for development | -513.6 | -1,235.60 | -371 |
(Increase) decrease in other assets | 8.8 | 18.3 | -36.2 |
(Increase) decrease in income taxes receivable | 0 | 14.4 | -2 |
Increase in mortgage loans held for sale | -81.8 | -49.8 | -51.2 |
Increase (decrease) in accounts payable, accrued expenses and other liabilities | 115.9 | 139.5 | 113.6 |
Net cash (used in) provided by operating activities | -661.4 | -1,229.30 | -292.2 |
INVESTING ACTIVITIES | ' | ' | ' |
Purchases of property and equipment | -100.2 | -58 | -33.6 |
Purchases of marketable securities | 0 | -28.9 | -240.8 |
Proceeds from the sale or maturity of marketable securities | 0 | 325.4 | 232.8 |
(Increase) decrease in restricted cash | 67.8 | -28.5 | -0.2 |
Net principal increase of other mortgage loans and real estate owned | -5.6 | -2.5 | -4.7 |
Purchases of debt securities collateralized by residential real estate | 0 | -18.6 | 0 |
Principal payments received on debt securities collateralized by residential real estate | 0 | 1.4 | 0 |
Payments related to acquisition of a business | -244.1 | -9.4 | -96.5 |
Net cash used in investing activities | -282.1 | 180.9 | -143 |
FINANCING ACTIVITIES | ' | ' | ' |
Proceeds from notes payable | 1,427.60 | 1,307.90 | 765.9 |
Repayment of notes payable | -796.9 | -345.1 | -17.5 |
Proceeds from stock associated with certain employee benefit plans | 45.2 | 29.7 | 50.9 |
Income tax benefit from stock option exercises | 0.6 | 6.7 | 0 |
Cash dividends paid | -48.6 | -60.2 | -47.8 |
Net cash provided by (used in) financing activities | 627.9 | 939 | 751.5 |
Increase (decrease) in cash and cash equivalents | -315.6 | -109.4 | 316.3 |
Cash and cash equivalents at beginning of year | 977.4 | 1,086.80 | 770.5 |
Cash and cash equivalents at end of year | 661.8 | 977.4 | 1,086.80 |
Supplemental cash flow information: | ' | ' | ' |
Interest paid, net of amounts capitalized | 0 | 5.6 | 19.5 |
Income taxes paid (refunded), net | 279.8 | 34.8 | 6.1 |
Supplemental disclosures of non-cash activities: | ' | ' | ' |
Notes payable issued for inventory | 0 | 11.4 | 4.1 |
Stock issued under Performance Unit Plan | 5.5 | 3.9 | 3.1 |
Conversion of 2% convertible senior notes into equity | 498.6 | 0 | 0 |
Notes Assumed | 18.6 | 0 | 0 |
Note receivable related to sale of land | 5 | 0 | 0 |
Accrual for holdback payment related to acquisition | $0 | $0 | $9.40 |
Summary_of_Significant_Account
Summary of Significant Accounting Policies | 12 Months Ended | |||||||
Sep. 30, 2014 | ||||||||
Accounting Policies [Abstract] | ' | |||||||
Summary of Significant Accounting Policies | ' | |||||||
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ||||||||
Basis of Presentation | ||||||||
The consolidated financial statements have been prepared in accordance with U.S. Generally Accepted Accounting Principles (GAAP) and include the accounts of D.R. Horton, Inc. and all of its 100% owned, majority-owned and controlled subsidiaries (which are referred to as the Company, unless the context otherwise requires). All significant intercompany accounts, transactions and balances have been eliminated in consolidation. | ||||||||
Use of Estimates | ||||||||
The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ materially from those estimates. | ||||||||
Reclassifications | ||||||||
Certain reclassifications have been made in the prior years' financial statements to conform to classifications used in the current year. Cash balances of the Company's captive insurance subsidiary, which are expected to be used by the Company to pay future anticipated legal claims, have been correctly presented within homebuilding cash and cash equivalents rather than homebuilding other assets. These balances were $40.9 million, $39.1 million and $37.9 million at September 30, 2013, 2012 and 2011, respectively. The balance sheet at September 30, 2013 and the statements of cash flows for the fiscal years ended September 30, 2013 and 2012, including the financial statements of the Non-Guarantor Subsidiaries as reflected in Note O, have been revised to reflect this correction. Additionally, the balance sheet at September 30, 2013 has been revised to present land held for sale of $34.0 million as a separate component of inventory, of which $12.1 million had previously been included in residential land and lots - developed and under development and $21.9 million had been included in land held for development. As other prior period financial information is presented in future filings, the Company will similarly revise its financial statements in such filings. | ||||||||
Revenue Recognition | ||||||||
Homebuilding revenue and related profit are generally recognized at the time of the closing of a sale, when title to and possession of the property are transferred to the buyer. In situations where the buyer’s financing is originated by DHI Mortgage, the Company’s 100% owned mortgage subsidiary, and the buyer has not made an adequate initial or continuing investment, the profit is deferred until the sale of the related mortgage loan to a third-party purchaser has been completed. At September 30, 2014 and 2013, the Company had deferred profit on these home sales in the amounts of $1.4 million and $2.3 million, respectively. Any profit on land sales is deferred until the full accrual method criteria are met. When appropriate, revenue and profit on long-term construction projects are recognized under the percentage-of-completion method. | ||||||||
Financial services revenues associated with the Company’s title operations are recognized as closing services are rendered and title insurance policies are issued, both of which generally occur simultaneously as each home is closed. The Company transfers substantially all underwriting risk associated with title insurance policies to third-party insurers. The Company typically elects the fair value option for its mortgage loan originations. Mortgage loans held for sale are initially recorded at fair value based on either sale commitments or current market quotes and are adjusted for subsequent changes in fair value until the loans are sold. Net origination costs and fees associated with mortgage loans are recognized at the time of origination. The expected net future cash flows related to the associated servicing of a loan are included in the measurement of all written loan commitments that are accounted for at fair value through earnings at the time of commitment. The Company generally sells the mortgages it originates and the related servicing rights to third-party purchasers. Interest income is earned from the date a mortgage loan is originated until the loan is sold. | ||||||||
Cash and Cash Equivalents | ||||||||
The Company considers all highly liquid investments with an initial maturity of three months or less when purchased to be cash equivalents. Proceeds from home closings held for the Company’s benefit at title companies are included in homebuilding cash in the consolidated balance sheets. | ||||||||
Restricted Cash | ||||||||
The Company has cash that is restricted as to its use. Restricted cash related to homebuilding operations includes cash used as collateral for outstanding letters of credit and customer deposits that are temporarily restricted in accordance with regulatory requirements. | ||||||||
Inventories and Cost of Sales | ||||||||
Inventory includes the costs of direct land acquisition, land development and home construction, capitalized interest, real estate taxes and direct overhead costs incurred during development and home construction. Costs incurred after development projects or homes are substantially complete, such as utilities, maintenance, and cleaning, are charged to selling, general and administrative (SG&A) expense as incurred. All indirect overhead costs, such as compensation of sales personnel, division and region management, and the costs of advertising and builder’s risk insurance are charged to SG&A expense as incurred. | ||||||||
Land and development costs are typically allocated to individual residential lots on a pro-rata basis, and the costs of residential lots are transferred to construction in progress when home construction begins. The specific identification method is used for the purpose of accumulating home construction costs. Cost of sales for homes closed includes the specific construction costs of each home and all applicable land acquisition, land development and related costs (both incurred and estimated to be incurred) allocated to each residential lot based upon the total number of homes expected to be closed in each community. Any changes to the estimated total development costs subsequent to the initial home closings in a community are generally allocated on a pro-rata basis to the remaining homes in the community associated with the relevant development activity. | ||||||||
When a home is closed, the Company generally has not paid all incurred costs necessary to complete the home. A liability and a charge to cost of sales are recorded for the amount that is estimated to ultimately be paid related to completed homes that have been closed. The home construction budgets are compared to actual recorded costs to determine the additional costs remaining to be paid on each closed home. | ||||||||
The Company rarely purchases land for resale. However, when the Company owns land or communities under development that do not fit into its development and construction plans and determines it will sell the asset, the project is accounted for as land held for sale. The Company records land held for sale at the lesser of its carrying value or fair value less estimated costs to sell. | ||||||||
Each quarter, the performance and outlook of land inventory and communities under development are reviewed for indicators of potential impairment. If indicators of impairment are present for a community, the Company performs an impairment evaluation of the community, which includes an analysis to determine if the undiscounted cash flows estimated to be generated by those assets are less than their carrying amounts, and if so, impairment charges are recorded to cost of sales if the fair value of such assets is less than their carrying amounts. Impairment charges are also recorded on finished homes in substantially completed communities when events or circumstances indicate that the carrying values are greater than the fair values less estimated costs to sell these homes. The key assumptions relating to asset valuations are impacted by local market and economic conditions, and are inherently uncertain. Due to uncertainties in the estimation process, actual results could differ from such estimates. See Note C. | ||||||||
Capitalized Interest | ||||||||
The Company capitalizes interest costs incurred to inventory during active development and construction (active inventory). Capitalized interest is charged to cost of sales as the related inventory is delivered to the buyer. During fiscal 2012 and a portion of fiscal 2013, the Company’s active inventory was lower than its debt level and therefore, a portion of the interest incurred was reflected as interest expense. However, since the third quarter of fiscal 2013, the Company's active inventory has exceeded its debt level, and all interest incurred has been capitalized to inventory. See Note E. | ||||||||
Land Option Deposits and Pre-Acquisition Costs | ||||||||
The Company enters into land and lot option purchase contracts to acquire land or lots for the construction of homes. Under these contracts, the Company will fund a stated deposit in consideration for the right, but not the obligation, to purchase land or lots at a future point in time with predetermined terms. Under the terms of many of the option purchase contracts, the option deposits are not refundable in the event the Company elects to terminate the contract. Option deposits and capitalized pre-acquisition costs are expensed to cost of sales when the Company believes it is probable that it will no longer acquire the property under option and will not be able to recover these costs through other means. | ||||||||
Variable Interests | ||||||||
Option purchase contracts can result in the creation of a variable interest in the entity holding the land parcel under option. There were no variable interest entities reported in the consolidated balance sheets at September 30, 2014 and 2013 because the Company determined it did not control the activities that most significantly impact the variable interest entity’s economic performance and it did not have an obligation to absorb losses of or the right to receive benefits from the entity. The maximum exposure to loss related to the Company’s variable interest entities is limited to the amounts of the Company’s related option deposits. At September 30, 2014 and 2013, the amount of option deposits related to these contracts totaled $55.7 million and $36.9 million, respectively, and are included in homebuilding other assets in the consolidated balance sheets. | ||||||||
Property and Equipment | ||||||||
Property and equipment are stated at cost less accumulated depreciation. Repairs and maintenance costs are expensed as incurred. Depreciation generally is recorded using the straight-line method over the estimated useful life of the asset. The depreciable life of model home furniture is 2 years, depreciable lives of office furniture and equipment typically range from 2 to 5 years, and depreciable lives of buildings and improvements typically range from 5 to 20 years. | ||||||||
The Company's property and equipment balances and the related accumulated depreciation at September 30, 2014 and 2013 were as follows: | ||||||||
September 30, | ||||||||
2014 | 2013 | |||||||
(In millions) | ||||||||
Buildings and improvements | $ | 112.8 | $ | 92.2 | ||||
Model home furniture | 86.7 | 72.7 | ||||||
Office furniture and equipment | 68.4 | 54.9 | ||||||
Land | 66.9 | 16.9 | ||||||
Total property and equipment | 334.8 | 236.7 | ||||||
Accumulated depreciation | (141.1 | ) | (127.2 | ) | ||||
Property and equipment, net (1) | $ | 193.7 | $ | 109.5 | ||||
_________________ | ||||||||
-1 | Includes $2.9 million and $2.8 million at September 30, 2014 and 2013, respectively, of property and equipment related to the Company's financial services subsidiaries which is included in financial services other assets in the consolidated balance sheets. | |||||||
Depreciation expense was $36.6 million, $22.3 million and $18.8 million in fiscal 2014, 2013 and 2012, respectively. | ||||||||
In July 2014, the Company purchased approximately 177,000 acres in New Mexico as a long-term land investment for $56.0 million. The Company paid $37.4 million in cash and assumed notes payable of $18.6 million from the seller. Of the total purchase price, $46.5 million was allocated to land and the remainder was allocated to buildings, improvements and equipment. As part of the purchase, the Company also obtained the livestock grazing rights under long-term leases on approximately 114,000 acres of land. The Company plans to use the property to conduct ranching and agricultural activities. | ||||||||
Business Acquisitions | ||||||||
The Company accounts for acquisitions of businesses by allocating the purchase price of the business to the various assets acquired and liabilities assumed at their respective fair values. Any excess of the purchase price over the estimated fair values of the identifiable net assets acquired is recorded as goodwill. Significant judgment is often required in estimating the fair value of assets acquired, particularly intangible assets. These estimates and assumptions are based on historical experience and information obtained from the management of the acquired companies. While the Company believes the estimates and assumptions are reasonable, they are inherently uncertain. Unanticipated market or macroeconomic events and circumstances may occur, which could affect the accuracy or validity of the estimates and assumptions. | ||||||||
In August 2012, the Company acquired the homebuilding operations of Breland Homes for $105.9 million in cash, of which $9.4 million was paid in fiscal 2013. Breland Homes operates in Huntsville and Mobile, Alabama and along the coast of Mississippi. The assets acquired included approximately 300 homes in inventory, 1,000 lots and control of approximately 3,700 additional lots through option contracts. The Company also acquired a sales order backlog of 228 homes. In October 2013, the Company acquired the homebuilding operations of Regent Homes, Inc. for $34.5 million in cash. Regent Homes operates in Charlotte, Greensboro and Winston-Salem, North Carolina. The assets acquired included approximately 240 homes in inventory, 300 lots and control of approximately 600 additional lots through option contracts. The Company also acquired a sales order backlog of 213 homes. All of the assets acquired were recorded at their estimated fair values by the Company. These acquisitions were not material to the Company's results of operations or its financial condition. | ||||||||
In May 2014, the Company acquired the homebuilding operations of Crown Communities (Crown) for $209.6 million in cash. Crown operates in Georgia, South Carolina and eastern Alabama. The assets acquired included approximately 640 homes in inventory, 2,350 lots and control of approximately 3,400 additional lots through option contracts. The Company also acquired a sales order backlog of 431 homes. Subsequent to the acquisition, Crown closed 721 homes and generated home sales revenues of $187.7 million during fiscal 2014. | ||||||||
The assets acquired and liabilities assumed from Crown were recorded by the Company at their estimated fair values as of the acquisition date and were as follows (amounts in millions): | ||||||||
Inventories | $ | 140.5 | ||||||
Property and equipment | 1.9 | |||||||
Other assets | 4.9 | |||||||
Goodwill | 53.6 | |||||||
Intangible assets | 11.7 | |||||||
Other liabilities | (3.0 | ) | ||||||
$ | 209.6 | |||||||
As a result of the transaction, the Company recorded goodwill of $53.6 million, whereby $34.1 million was allocated to its Southeast reporting segment and $19.5 million was allocated to its East reporting segment, all of which is tax deductible. The goodwill relates to expected synergies from increasing the Company's market presence in the Georgia and South Carolina markets, Crown's experienced and knowledgeable workforce and their capital efficient operating processes. The intangible assets will be amortized on a straight-line basis to SG&A expense over their expected five-year lives. | ||||||||
Goodwill | ||||||||
The Company records goodwill associated with its acquisitions of businesses when the purchase price of the business exceeds the fair value of the net tangible and identifiable intangible assets acquired. Goodwill balances are evaluated for potential impairment on an annual basis. The accounting guidance allows an entity to assess qualitatively whether it is necessary to perform step one of a prescribed two-step annual goodwill impairment test. If an entity believes, as a result of its qualitative assessment, that it is more likely than not that the fair value of a reporting unit exceeds its carrying amount, the two-step goodwill impairment test is not required. The Company performed a qualitative assessment of goodwill at September 30, 2014 and 2013, except for the goodwill related to the recent Crown acquisition, and determined that the two-step process was not necessary. The Company's goodwill balances by reporting segment were as follows: | ||||||||
September 30, | ||||||||
2014 | 2013 | |||||||
(In millions) | ||||||||
East | $ | 21.8 | $ | — | ||||
Midwest | — | — | ||||||
Southeast | 57.1 | 23 | ||||||
South Central | 15.9 | 15.9 | ||||||
Southwest | — | — | ||||||
West | — | — | ||||||
Total Goodwill | $ | 94.8 | $ | 38.9 | ||||
Warranty Claims | ||||||||
The Company typically provides its homebuyers with a ten-year limited warranty for major defects in structural elements such as framing components and foundation systems, a two-year limited warranty on major mechanical systems, and a one-year limited warranty on other construction components. Since the Company subcontracts its construction work to subcontractors who typically provide it with an indemnity and a certificate of insurance prior to receiving payments for their work, claims relating to workmanship and materials are generally the primary responsibility of the subcontractors. Warranty liabilities have been established by charging cost of sales for each home delivered. The amounts charged are based on management’s estimate of expected warranty-related costs under all unexpired warranty obligation periods. The Company’s warranty liability is based upon historical warranty cost experience in each market in which it operates, and is adjusted as appropriate to reflect qualitative risks associated with the types of homes built and the geographic areas in which they are built. See Note K. | ||||||||
Legal Claims and Insurance | ||||||||
The Company records expenses and liabilities for contingencies for legal claims related to construction defect matters, personal injury claims, employment matters, land development issues and contract disputes. The amounts recorded for these contingencies are based on the estimated costs of pending claims and the estimated costs of anticipated future claims related to previously closed homes. The Company estimates and records receivables under applicable insurance policies related to its estimated contingencies when recovery is probable. Additionally, the Company may have the ability to recover a portion of its losses from its subcontractors and their insurance carriers when the Company has been named as an additional insured on their insurance policies. The estimation of losses related to these contingencies and the related estimates of recoveries from insurance policies are subject to a high degree of variability due to uncertainties such as trends in construction defect claims relative to the Company's markets and the types of products built, claim frequency, claim settlement costs and patterns, insurance industry practices and legal interpretations, among others. See Note K. | ||||||||
Advertising Costs | ||||||||
The Company expenses advertising costs as incurred. Advertising expense was approximately $44.0 million, $33.2 million and $24.4 million in fiscal 2014, 2013 and 2012, respectively. | ||||||||
Income Taxes | ||||||||
The Company’s income tax expense (benefit) is calculated using the asset and liability method, under which deferred tax assets and liabilities are recorded based on the tax consequences of temporary differences between the financial statement amounts of assets and liabilities and their tax bases, and of tax loss and credit carryforwards. In assessing the realizability of deferred tax assets, management considers whether it is more likely than not that some portion or all of the deferred tax assets will not be realized. The realization of deferred tax assets is primarily dependent upon the generation of sufficient taxable income in future periods and in the jurisdictions in which those temporary differences become deductible. The Company records a valuation allowance when it determines it is more likely than not that a portion of the deferred tax assets will not be realized. In determining the future tax consequences of events that have been recognized in the Company’s financial statements or tax returns, judgment is required. Differences between the anticipated and actual outcomes of these future tax consequences could have a material impact on the Company’s consolidated results of operations or financial position. | ||||||||
Interest and penalties related to unrecognized tax benefits are recognized in the financial statements as a component of income tax expense. Significant judgment is required to evaluate uncertain tax positions. The Company evaluates its uncertain tax positions on a quarterly basis. The evaluations are based upon a number of factors, including changes in facts or circumstances, changes in tax law, correspondence with tax authorities during the course of audits and effective settlement of audit issues. Changes in the recognition or measurement of uncertain tax positions could result in increases or decreases in the Company’s income tax expense in the period in which the change is made. See Note G. | ||||||||
Earnings Per Share | ||||||||
Basic earnings per share is based on the weighted average number of shares of common stock outstanding during each year. Diluted earnings per share is based on the weighted average number of shares of common stock and dilutive securities outstanding during each year. See Note H. | ||||||||
Stock-Based Compensation | ||||||||
The Company's common stockholders formally authorize shares of stock-based compensation available for future grants. From time to time, the Compensation Committee of the Company's Board of Directors authorizes the grant of stock-based compensation to its employees and directors from these available shares. At September 30, 2014, the outstanding stock-based compensation awards include stock options and restricted stock units. Grants of restricted stock units may vest immediately or over a certain number of years as determined by the Compensation Committee of the Board of Directors. Restricted stock units outstanding at September 30, 2014 have a remaining vesting period of 1 to 3 years. Stock options are granted at exercise prices which equal the market value of the Company's common stock at the date of the grant. The stock options outstanding at September 30, 2014 vest over periods of 2 to 9.75 years from the initial grant date and expire 10 years after the dates on which they were granted. | ||||||||
The compensation expense for stock-based awards is based on the fair value of the award and is recognized on a straight-line basis over the remaining vesting period. The fair values of restricted stock units are based on the stock prices at the date of grant. The fair values of stock options granted are calculated on the date of grant using a Black-Scholes option pricing model. Determining the fair value of share-based awards at the grant date requires judgment in developing assumptions, which involve a number of variables. These variables include, but are not limited to, the expected stock price volatility over the term of the awards, the expected dividend yield and expected stock option exercise behavior. In addition, judgment is used in estimating the number of share-based awards that are expected to be forfeited. The benefits of tax deductions in excess of recognized compensation expense are reported in the consolidated statements of cash flows as a financing cash flow. See Note J. | ||||||||
Fair Value Measurements | ||||||||
The Financial Accounting Standards Board’s (FASB) authoritative guidance for fair value measurements establishes a three-level hierarchy based upon the inputs to the valuation model of an asset or liability. When available, the Company uses quoted market prices in active markets to determine fair value. The Company considers the principal market and nonperformance risk associated with the Company’s counterparties when determining the fair value measurements, if applicable. Fair value measurements are used for the Company’s mortgage loans held for sale, debt securities collateralized by residential real estate, interest rate lock commitments and other derivative instruments on a recurring basis. Fair value measurements are used for inventories, other mortgage loans, rental properties and real estate owned on a nonrecurring basis, when events and circumstances indicate that the carrying value may not be recoverable. See Note M. | ||||||||
Recent Accounting Pronouncements | ||||||||
In January 2014, the FASB issued ASU 2014-04, “Receivables - Troubled Debt Restructurings by Creditors,” which clarifies when an in substance repossession or foreclosure of residential real estate property collateralizing a consumer mortgage loan has occurred. This guidance helps determine when a creditor should derecognize a loan receivable and recognize real estate property. The guidance is effective for the Company beginning October 1, 2015 and is not expected to have a material impact on its consolidated financial position, results of operations or cash flows. | ||||||||
In May 2014, the FASB issued ASU 2014-09, “Revenue from Contracts with Customers,” which is a comprehensive new revenue recognition model requiring a company to recognize revenue to depict the transfer of goods or services to a customer at an amount reflecting the consideration it expects to receive in exchange for those goods or services. The guidance is effective for the Company beginning October 1, 2017 and allows for both full retrospective or modified retrospective methods of adoption. The Company is currently evaluating the impact of this guidance on its consolidated financial position, results of operations and cash flows. | ||||||||
In June 2014, the FASB issued ASU 2014-11, “Transfers and Servicing - Repurchase-to-Maturity Transactions, Repurchase Financings, and Disclosures,” which changes the accounting for repurchase-to-maturity transactions to secured borrowing accounting. Also, for repurchase financing arrangements, the amendments require separate accounting for a transfer of a financial asset executed contemporaneously with a repurchase agreement with the same counterparty, which will result in secured borrowing accounting for the repurchase agreement. The guidance is effective for the Company beginning January 1, 2015 and will not have a material impact on its consolidated financial position, results of operations or cash flows. | ||||||||
In June 2014, the FASB issued ASU 2014-12, “Compensation - Stock Compensation,” which states that a performance target in a share-based payment that affects vesting and that could be achieved after the requisite service period should be accounted for as a performance condition. The guidance is effective for the Company beginning October 1, 2016 and is not expected to have a material impact on its consolidated financial position, results of operations or cash flows. | ||||||||
In August 2014, the FASB issued ASU 2014-14, “Receivables - Troubled Debt Restructurings by Creditors,” which requires that certain government-guaranteed mortgage loans, including those guaranteed by the FHA and VA, be derecognized and that a separate other receivable be recognized upon foreclosure if certain conditions are met. Upon foreclosure, the separate other receivable should be measured based on the amount of the loan balance expected to be recovered from the guarantor. The guidance is effective for the Company beginning October 1, 2015 and is not expected to have a material impact on its consolidated financial position, results of operations or cash flows. | ||||||||
In August 2014, the FASB issued ASU 2014-15, “Presentation of Financial Statements - Going Concern,” which provides guidance about management's responsibility to evaluate whether there is substantial doubt about the entity's ability to continue as a going concern and to provide related footnote disclosures. This guidance is intended to reduce the diversity in the timing and content of footnote disclosures. The guidance is effective for the Company at the end of fiscal 2017 and is not expected to have any impact on its consolidated financial position, results of operations or cash flows. |
Segment_Information
Segment Information | 12 Months Ended | |||||||||||
Sep. 30, 2014 | ||||||||||||
Segment Reporting [Abstract] | ' | |||||||||||
SEGMENT INFORMATION | ' | |||||||||||
SEGMENT INFORMATION | ||||||||||||
The Company’s 37 homebuilding operating divisions and its financial services operation are its operating segments. The homebuilding operating segments are aggregated into six reporting segments and the financial services operating segment is its own reporting segment. The Company’s reportable homebuilding segments are: East, Midwest, Southeast, South Central, Southwest and West. These reporting segments have homebuilding operations located in the following states: | ||||||||||||
East: | Delaware, Georgia (Savannah only), Maryland, New Jersey, North Carolina, Pennsylvania, South Carolina and Virginia | |||||||||||
Midwest: | Colorado, Illinois, Indiana and Minnesota | |||||||||||
Southeast: | Alabama, Florida, Georgia, Mississippi and Tennessee | |||||||||||
South Central: | Louisiana, Oklahoma and Texas | |||||||||||
Southwest: | Arizona and New Mexico | |||||||||||
West: | California, Hawaii, Nevada, Oregon, Utah and Washington | |||||||||||
Homebuilding is the Company’s core business, generating 98% of consolidated revenues in fiscal 2014 and 97% of consolidated revenues in fiscal 2013 and 2012. The Company’s homebuilding segments are primarily engaged in the acquisition and development of land and the construction and sale of residential homes in 27 states and 79 markets in the United States. The homebuilding segments generate most of their revenues from the sale of completed homes, and to a lesser extent from the sale of land and lots. | ||||||||||||
The Company’s financial services segment provides mortgage financing and title agency services primarily to the Company’s homebuilding customers. The Company sells substantially all of the mortgages it originates and the related servicing rights to third-party purchasers. The financial services segment generates its revenues from originating and selling mortgages and collecting fees for title insurance agency and closing services. | ||||||||||||
The accounting policies of the reporting segments are described throughout Note A. Financial information relating to the Company's reporting segments is as follows: | ||||||||||||
Year Ended September 30, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
(In millions) | ||||||||||||
Revenues | ||||||||||||
Homebuilding revenues: | ||||||||||||
East | $ | 954.7 | $ | 686.3 | $ | 542.4 | ||||||
Midwest | 483.5 | 471.5 | 339.3 | |||||||||
Southeast | 2,167.00 | 1,520.70 | 934.6 | |||||||||
South Central | 1,971.20 | 1,526.20 | 1,158.40 | |||||||||
Southwest | 285.2 | 327.7 | 270.7 | |||||||||
West | 1,996.90 | 1,553.50 | 990.8 | |||||||||
Homebuilding revenues | 7,858.50 | 6,085.90 | 4,236.20 | |||||||||
Financial services revenues | 166.4 | 173.4 | 117.8 | |||||||||
Total revenues | $ | 8,024.90 | $ | 6,259.30 | $ | 4,354.00 | ||||||
Inventory Impairments | ||||||||||||
East | $ | 17.7 | $ | 0.1 | $ | 1 | ||||||
Midwest | 49.3 | — | — | |||||||||
Southeast | 3.1 | — | 1.6 | |||||||||
South Central | — | 1 | 0.1 | |||||||||
Southwest | — | — | 0.5 | |||||||||
West | 5.1 | 20.2 | — | |||||||||
Total inventory impairments | $ | 75.2 | $ | 21.3 | $ | 3.2 | ||||||
Income (Loss) Before Income Taxes (1) | ||||||||||||
Homebuilding pre-tax income (loss): | ||||||||||||
East | $ | 45.2 | $ | 48.3 | $ | 16 | ||||||
Midwest | (9.5 | ) | 38.9 | 1.1 | ||||||||
Southeast | 218 | 148.4 | 38 | |||||||||
South Central | 208 | 149 | 80.6 | |||||||||
Southwest | 25.5 | 26.3 | 16.8 | |||||||||
West | 281.6 | 181.4 | 51.2 | |||||||||
Homebuilding pre-tax income | 768.8 | 592.3 | 203.7 | |||||||||
Financial services pre-tax income | 45.4 | 65.5 | 39.2 | |||||||||
Income before income taxes | $ | 814.2 | $ | 657.8 | $ | 242.9 | ||||||
____________ | ||||||||||||
-1 | Expenses maintained at the corporate level consist primarily of interest and property taxes, which are capitalized and amortized to cost of sales or expensed directly, and the expenses related to operating the Company’s corporate office. The amortization of capitalized interest and property taxes is allocated to each segment based on the segment’s revenue, while those expenses associated with the corporate office are allocated to each segment based on the segment’s inventory balances. | |||||||||||
September 30, | ||||||||||||
2014 | 2013 | |||||||||||
(In millions) | ||||||||||||
Homebuilding Inventories (1): | ||||||||||||
East | $ | 842.7 | $ | 742.9 | ||||||||
Midwest | 477.6 | 412.2 | ||||||||||
Southeast | 1,943.00 | 1,508.50 | ||||||||||
South Central | 1,742.50 | 1,443.60 | ||||||||||
Southwest | 292.9 | 262.4 | ||||||||||
West | 2,169.40 | 1,668.20 | ||||||||||
Corporate and unallocated (2) | 232.4 | 159.6 | ||||||||||
Total homebuilding inventories | $ | 7,700.50 | $ | 6,197.40 | ||||||||
____________ | ||||||||||||
-1 | Homebuilding inventories are the only assets included in the measure of homebuilding segment assets used by the Company’s chief operating decision makers. | |||||||||||
-2 | Corporate and unallocated consists primarily of capitalized interest and property taxes. |
Inventory_Impairments_and_Land
Inventory Impairments and Land Option Cost Write-Offs | 12 Months Ended |
Sep. 30, 2014 | |
Inventory Impairments and Land Option Cost Write-Offs [Abstract] | ' |
INVENTORY IMPAIRMENTS AND LAND OPTION COST WRITE-OFFS | ' |
INVENTORY | |
The Company reviewed the performance and outlook for all of its land inventories and communities each quarter for indicators of potential impairment and performed detailed impairment evaluations and analyses when necessary. As of September 30, 2014, the Company performed detailed impairment evaluations of communities with a combined carrying value of $359.8 million and recorded impairment charges of $18.1 million during the fourth quarter to reduce the carrying value of impaired communities to their estimated fair value. Total impairment charges during fiscal 2014, 2013 and 2012 were $75.2 million, $21.3 million and $3.2 million, respectively. | |
Of the total impairment charges in fiscal 2014, $49.3 million occurred in the Midwest region, primarily related to communities in Chicago that were purchased predominantly in 2004 through 2007 and had been previously impaired. In contrast to most of the Company's markets, the Chicago housing market remains weak with sales absorptions and returns in these communities performing below management’s expectations given the size of the Company's investments. During the year, the Company reduced home prices and identified land parcels it intends to sell in these communities in an effort to increase sales pace, reduce inventories and improve cash flows and returns. | |
Also during fiscal 2014, $17.7 million of impairment charges occurred in the East region. These impairments primarily related to long-held inactive and underperforming projects in the suburban Washington, D.C. market that the Company intends to sell to reduce inventories and improve cash flows and returns. | |
During fiscal 2014, 2013 and 2012, the Company wrote off $10.0 million, $9.8 million and $3.0 million, respectively, of earnest money deposits and pre-acquisition costs related to land option contracts that are expected to be terminated. |
Notes_Payable
Notes Payable | 12 Months Ended | |||||||||||
Sep. 30, 2014 | ||||||||||||
Debt Disclosure [Abstract] | ' | |||||||||||
NOTES PAYABLE | ' | |||||||||||
NOTES PAYABLE | ||||||||||||
The Company’s notes payable at their principal amounts, net of any unamortized discounts, consist of the following: | ||||||||||||
September 30, | ||||||||||||
2014 | 2013 | |||||||||||
(In millions) | ||||||||||||
Homebuilding: | ||||||||||||
Unsecured: | ||||||||||||
Revolving credit facility, maturing 2019 | $ | 300 | $ | — | ||||||||
6.125% senior notes due 2014, net | — | 145.8 | ||||||||||
2% convertible senior notes due 2014, net | — | 478.7 | ||||||||||
5.625% senior notes due 2014, net | — | 137.8 | ||||||||||
5.25% senior notes due 2015, net | 157.7 | 157.5 | ||||||||||
5.625% senior notes due 2016, net | 169.9 | 169.7 | ||||||||||
6.5% senior notes due 2016, net | 372.6 | 372.5 | ||||||||||
4.75% senior notes due 2017 | 350 | 350 | ||||||||||
3.625% senior notes due 2018 | 400 | 400 | ||||||||||
3.75% senior notes due 2019 | 500 | — | ||||||||||
4.375% senior notes due 2022 | 350 | 350 | ||||||||||
4.75% senior notes due 2023 | 300 | 300 | ||||||||||
5.75% senior notes due 2023 | 400 | 400 | ||||||||||
Other secured | 23.4 | 8.4 | ||||||||||
$ | 3,323.60 | $ | 3,270.40 | |||||||||
Financial Services: | ||||||||||||
Mortgage repurchase facility, maturing 2015 | $ | 359.2 | $ | 238.6 | ||||||||
As of September 30, 2014, maturities of consolidated notes payable, assuming the mortgage repurchase facility is not extended or renewed, are $522.4 million in fiscal 2015, $543.5 million in fiscal 2016, $350.6 million in fiscal 2017, $400.6 million in fiscal 2018, $800.6 million in fiscal 2019 and $1,065.5 million in maturities thereafter. | ||||||||||||
Homebuilding: | ||||||||||||
The Company has a senior unsecured revolving credit facility which was amended in August 2014 to increase its capacity from $725 million to $975 million and to extend its maturity date to September 7, 2019. The facility has an uncommitted accordion feature that could increase the size of the facility to $1.25 billion, subject to certain conditions and availability of additional bank commitments. The facility also provides for the issuance of letters of credit with a sublimit equal to approximately 50% of the revolving credit commitment. Letters of credit issued under the facility reduce the available borrowing capacity. The interest rate on borrowings under the revolving credit facility may be based on either the Prime Rate or London Interbank Offered Rate (LIBOR) plus an applicable margin, as defined in the credit agreement governing the facility. At September 30, 2014, the Company had $300.0 million of borrowings outstanding at a 2.9% annual interest rate and $92.7 million of letters of credit issued under the revolving credit facility. | ||||||||||||
The Company's revolving credit facility imposes restrictions on its operations and activities, including requiring the maintenance of a minimum level of tangible net worth, a maximum allowable ratio of debt to tangible net worth and a borrowing base restriction if the Company's ratio of debt to tangible net worth exceeds a certain level. These covenants are measured as defined in the credit agreement governing the facility and are reported to the lenders quarterly. A failure to comply with these financial covenants could allow the lending banks to terminate the availability of funds under the revolving credit facility or cause any outstanding borrowings to become due and payable prior to maturity. In addition, the credit agreement governing the facility and the indentures governing the senior notes impose restrictions on the creation of secured debt and liens. At September 30, 2014, the Company was in compliance with all of the covenants, limitations and restrictions of its revolving credit facility and public debt obligations. | ||||||||||||
The Company has an automatically effective universal shelf registration statement filed with the Securities and Exchange Commission (SEC) in September 2012, registering debt and equity securities that the Company may issue from time to time in amounts to be determined. | ||||||||||||
On January 15, 2014, the Company repaid the remaining $145.9 million principal amount of its 6.125% senior notes which were due on that date. On September 15, 2014, the Company repaid the remaining $137.9 million principal amount of its 5.625% senior notes which were due on that date. In February 2014, the Company issued $500.0 million principal amount of 3.75% senior notes due March 1, 2019. | ||||||||||||
During April and May of 2014, the Company's outstanding 2% convertible senior notes were converted into 38.6 million shares of the Company's common stock. The conversion rate was 77.18004 shares of the Company's common stock per $1,000 principal amount of senior notes, which was equivalent to a conversion price of approximately $12.96 per share of common stock. | ||||||||||||
The key terms of each of the Company’s senior notes outstanding as of September 30, 2014 are summarized below. | ||||||||||||
Note Payable | Principal Amount | Date Issued | Date Due | Redeemable | Effective | |||||||
Prior to | Interest Rate (1) | |||||||||||
Maturity | ||||||||||||
(In millions) | ||||||||||||
5.25% senior | $157.70 | Feb-05 | February 15, 2015 | Yes | -2 | 5.40% | ||||||
5.625% senior | $170.20 | Dec-04 | January 15, 2016 | Yes | -2 | 5.80% | ||||||
6.5% senior | $372.70 | Apr-06 | April 15, 2016 | Yes | -2 | 6.60% | ||||||
4.75% senior | $350.00 | May-12 | May 15, 2017 | Yes | -2 | 5.00% | ||||||
3.625% senior | $400.00 | Feb-13 | February 15, 2018 | Yes | -2 | 3.80% | ||||||
3.75% senior | $500.00 | Feb-14 | March 1, 2019 | Yes | -2 | 3.90% | ||||||
4.375% senior | $350.00 | Sep-12 | September 15, 2022 | Yes | -2 | 4.50% | ||||||
4.75% senior | $300.00 | Feb-13 | February 15, 2023 | Yes | -2 | 4.90% | ||||||
5.75% senior | $400.00 | Aug-13 | August 15, 2023 | Yes | -2 | 5.90% | ||||||
______________ | ||||||||||||
-1 | Interest is payable semi-annually on each of the series of senior notes. The annual effective interest rate is calculated after giving effect to the amortization of the financing costs and any discount associated with the note issuance. | |||||||||||
-2 | The Company may redeem the notes in whole at any time or in part from time to time, at a redemption price equal to the greater of 100% of their principal amount or the present value of the remaining scheduled payments on the redemption date, plus accrued interest. | |||||||||||
All series of senior notes and borrowings under the revolving credit facility are senior obligations and rank pari passu in right of payment to all existing and future unsecured indebtedness, and senior to all existing and future indebtedness expressly subordinated to them. The senior notes and borrowings under the revolving credit facility are guaranteed by substantially all of the Company’s homebuilding subsidiaries. Upon the occurrence of both a change of control of the Company and a ratings downgrade event, as defined in the indentures governing $2.3 billion principal amount of its senior notes as of September 30, 2014, the Company would be required in certain circumstances to offer to repurchase these notes at 101% of their principal amount, along with accrued and unpaid interest. Also, a change of control as defined in the revolving credit facility would constitute an event of default under the revolving credit facility, which could result in the acceleration of any borrowings outstanding under the facility and the termination of the commitments thereunder. | ||||||||||||
Effective August 1, 2014, the Board of Directors authorized the repurchase of up to $500 million of the Company’s debt securities effective through July 31, 2015. All of the $500 million authorization was remaining at September 30, 2014. | ||||||||||||
Financial Services: | ||||||||||||
The Company’s mortgage subsidiary, DHI Mortgage, has a mortgage repurchase facility that is accounted for as a secured financing. The mortgage repurchase facility provides financing and liquidity to DHI Mortgage by facilitating purchase transactions in which DHI Mortgage transfers eligible loans to the counterparties against the transfer of funds by the counterparties, thereby becoming purchased loans. DHI Mortgage then has the right and obligation to repurchase the purchased loans upon their sale to third-party purchasers in the secondary market or within specified time frames from 45 to 120 days in accordance with the terms of the mortgage repurchase facility. The total capacity of the facility is $300 million; however, the capacity can be increased up to $400 million subject to the availability of additional commitments. In February 2014, the mortgage repurchase facility was renewed and amended. This renewal and amendment extends the maturity date of the facility to February 27, 2015 and allows for the capacity of the facility to be increased, without requiring additional commitments, from $300 million to $325 million on the last five days of any fiscal quarter and the first twenty-five days of the following fiscal quarter, excluding the quarter ending December 31, 2014. Through an additional commitment obtained in September 2014, the capacity of the facility was temporarily increased to $400 million until October 24, 2014. | ||||||||||||
As of September 30, 2014, $448.1 million of mortgage loans held for sale with a collateral value of $429.0 million were pledged under the mortgage repurchase facility. As a result of advance paydowns totaling $69.8 million, DHI Mortgage had an obligation of $359.2 million outstanding under the mortgage repurchase facility at September 30, 2014 at a 2.6% annual interest rate. | ||||||||||||
The mortgage repurchase facility is not guaranteed by D.R. Horton, Inc. or any of the subsidiaries that guarantee the Company’s homebuilding debt. The facility contains financial covenants as to the mortgage subsidiary’s minimum required tangible net worth, its maximum allowable ratio of debt to tangible net worth and its minimum required liquidity. These covenants are measured and reported monthly. At September 30, 2014, DHI Mortgage was in compliance with all of the conditions and covenants of the mortgage repurchase facility. |
Capitalized_Interest_Capitaliz
Capitalized Interest Capitalized Interest | 12 Months Ended | |||||||||||
Sep. 30, 2014 | ||||||||||||
Interest Costs Incurred [Abstract] | ' | |||||||||||
Capitalized Interest Costs [Table Text Block] | ' | |||||||||||
The following table summarizes the Company’s interest costs incurred, capitalized, expensed as interest expense and charged to cost of sales during the years ended September 30, 2014, 2013 and 2012: | ||||||||||||
Year Ended September 30, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
(In millions) | ||||||||||||
Capitalized interest, beginning of year | $ | 137.1 | $ | 82.3 | $ | 79.2 | ||||||
Interest incurred (1) | 185.8 | 172.8 | 124.1 | |||||||||
Interest expensed: | ||||||||||||
Directly to interest expense | — | (7.1 | ) | (26.9 | ) | |||||||
Amortized to cost of sales | (123.1 | ) | (110.2 | ) | (94.0 | ) | ||||||
Written off with inventory impairments | $ | (1.3 | ) | $ | (0.7 | ) | $ | (0.1 | ) | |||
Capitalized interest, end of year | $ | 198.5 | $ | 137.1 | $ | 82.3 | ||||||
______________ | ||||||||||||
-1 | Interest incurred includes interest incurred on the Company's financial services mortgage repurchase facility of $4.5 million, $4.6 million and $3.3 million in fiscal 2014, 2013 and 2012, respectively. | |||||||||||
Capitalized Interest [Text Block] | ' | |||||||||||
CAPITALIZED INTEREST | ||||||||||||
The following table summarizes the Company’s interest costs incurred, capitalized, expensed as interest expense and charged to cost of sales during the years ended September 30, 2014, 2013 and 2012: | ||||||||||||
Year Ended September 30, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
(In millions) | ||||||||||||
Capitalized interest, beginning of year | $ | 137.1 | $ | 82.3 | $ | 79.2 | ||||||
Interest incurred (1) | 185.8 | 172.8 | 124.1 | |||||||||
Interest expensed: | ||||||||||||
Directly to interest expense | — | (7.1 | ) | (26.9 | ) | |||||||
Amortized to cost of sales | (123.1 | ) | (110.2 | ) | (94.0 | ) | ||||||
Written off with inventory impairments | $ | (1.3 | ) | $ | (0.7 | ) | $ | (0.1 | ) | |||
Capitalized interest, end of year | $ | 198.5 | $ | 137.1 | $ | 82.3 | ||||||
______________ | ||||||||||||
-1 | Interest incurred includes interest incurred on the Company's financial services mortgage repurchase facility of $4.5 million, $4.6 million and $3.3 million in fiscal 2014, 2013 and 2012, respectively. |
Mortgage_Loans
Mortgage Loans | 12 Months Ended | |||||||
Sep. 30, 2014 | ||||||||
Mortgage Loans on Real Estate [Abstract] | ' | |||||||
MORTGAGE LOANS | ' | |||||||
MORTGAGE LOANS | ||||||||
Mortgage Loans Held for Sale | ||||||||
Mortgage loans held for sale consist primarily of single-family residential loans collateralized by the underlying property. At September 30, 2014, mortgage loans held for sale had an aggregate fair value of $476.9 million and an aggregate outstanding principal balance of $466.6 million. At September 30, 2013, mortgage loans held for sale had an aggregate fair value of $395.1 million and an aggregate outstanding principal balance of $381.1 million. During the years ended September 30, 2014, 2013 and 2012, mortgage loans originated totaled $3.7 billion, $3.4 billion and $2.7 billion, respectively, and mortgage loans sold totaled $3.6 billion, $3.4 billion and $2.6 billion, respectively. The Company had gains on sales of loans and servicing rights, net of recourse expense (benefit), of $101.8 million, $112.0 million and $69.2 million during the years ended September 30, 2014, 2013 and 2012, respectively. Net gains on sales of loans and servicing rights are included in financial services revenues in the consolidated statements of operations. Approximately 71% of the mortgage loans sold by DHI Mortgage during fiscal 2014 were sold to four major financial institutions and the largest concentration of total loans sold to one institution was 28%. | ||||||||
To manage the interest rate risk inherent in its mortgage operations, the Company hedges its risk using derivative instruments, generally forward sales of mortgage-backed securities (MBS), which are referred to as “hedging instruments” in the following discussion. The Company does not enter into or hold derivatives for trading or speculative purposes. | ||||||||
Newly originated loans that have been closed but not committed to third-party purchasers are hedged to mitigate the risk of changes in their fair value. Hedged loans are committed to third-party purchasers typically within three days after origination. The notional amounts of the hedging instruments used to hedge mortgage loans held for sale vary in relationship to the underlying loan amounts, depending on the movements in the value of each hedging instrument relative to the value of the underlying mortgage loans. The fair value change related to the hedging instruments generally offsets the fair value change in the mortgage loans held for sale. The net fair value change, which for the years ended September 30, 2014, 2013 and 2012 was not significant, is recognized in financial services revenues in the consolidated statements of operations. As of September 30, 2014, the Company had $348.6 million in mortgage loans held for sale not committed to third-party purchasers, and the notional amounts of the hedging instruments related to those loans totaled $348.2 million. | ||||||||
Other Mortgage Loans and Loss Reserves | ||||||||
Mortgage loans are sold with limited recourse provisions derived from industry-standard representations and warranties in the relevant agreements. Primarily, these representations and warranties involve the absence of misrepresentations by the borrower or other parties, the appropriate underwriting of the loan and in some cases, a required minimum number of payments to be made by the borrower. The Company generally does not retain any other continuing interest related to mortgage loans sold in the secondary market. Other mortgage loans generally consist of loans repurchased due to these limited recourse obligations. Typically, these loans are impaired and some become real estate owned through the foreclosure process. At September 30, 2014 and 2013, the Company’s total other mortgage loans and real estate owned, before loss reserves, were as follows: | ||||||||
September 30, | ||||||||
2014 | 2013 | |||||||
(In millions) | ||||||||
Other mortgage loans | $ | 41 | $ | 35.9 | ||||
Real estate owned | 0.7 | 1.3 | ||||||
$ | 41.7 | $ | 37.2 | |||||
The Company has recorded reserves for estimated losses on other mortgage loans, real estate owned and future loan repurchase obligations due to the limited recourse provisions, all of which are recorded as reductions of financial services revenue. The loss reserve for loan repurchase and settlement obligations is estimated based on an analysis of loan repurchase requests received, actual repurchases and losses through the disposition of such loans or requests, discussions with mortgage purchasers and analysis of mortgages originated. The reserve balances at September 30, 2014 and 2013 were as follows: | ||||||||
September 30, | ||||||||
2014 | 2013 | |||||||
(In millions) | ||||||||
Loss reserves related to: | ||||||||
Other mortgage loans | $ | 1.7 | $ | 3.2 | ||||
Real estate owned | 0.1 | 0.2 | ||||||
Loan repurchase and settlement obligations — known and expected | 24.4 | 25.9 | ||||||
$ | 26.2 | $ | 29.3 | |||||
Other mortgage loans and real estate owned and the related loss reserves are included in financial services other assets, while loan repurchase obligations are included in financial services accounts payable and other liabilities in the accompanying consolidated balance sheets. | ||||||||
Loan Commitments and Related Derivatives | ||||||||
The Company is party to interest rate lock commitments (IRLCs), which are extended to borrowers who have applied for loan funding and meet defined credit and underwriting criteria. At September 30, 2014, the notional amount of IRLCs, which are accounted for as derivative instruments recorded at fair value, totaled $303.2 million. | ||||||||
The Company manages interest rate risk related to its IRLCs through the use of best-efforts whole loan delivery commitments and hedging instruments. These instruments are considered derivatives in an economic hedge and are accounted for at fair value with gains and losses recognized in financial services revenues in the consolidated statements of operations. As of September 30, 2014, the Company had a notional amount of approximately $28.2 million of best-efforts whole loan delivery commitments and a notional amount of $243.8 million of hedging instruments related to IRLCs not yet committed to purchasers. |
Income_Taxes
Income Taxes | 12 Months Ended | |||||||||||
Sep. 30, 2014 | ||||||||||||
Income Tax Disclosure [Abstract] | ' | |||||||||||
INCOME TAXES | ' | |||||||||||
INCOME TAXES | ||||||||||||
Income Tax Expense (Benefit) | ||||||||||||
The components of the Company’s income tax expense (benefit) are as follows: | ||||||||||||
Year Ended September 30, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
(In millions) | ||||||||||||
Current tax expense (benefit): | ||||||||||||
Federal | $ | 253.6 | $ | 66.6 | $ | (7.0 | ) | |||||
State | 9.1 | 6.8 | 3.1 | |||||||||
262.7 | 73.4 | (3.9 | ) | |||||||||
Deferred tax expense (benefit): | ||||||||||||
Federal | 2.9 | 146.3 | (616.1 | ) | ||||||||
State | 15.1 | (24.6 | ) | (93.4 | ) | |||||||
18 | 121.7 | (709.5 | ) | |||||||||
Total income tax expense (benefit) | $ | 280.7 | $ | 195.1 | $ | (713.4 | ) | |||||
The Company's effective tax rate was 34.5% and 29.7% in fiscal 2014 and 2013, respectively. The effective tax rate for fiscal 2014 includes a tax benefit for the domestic production activities deduction and a reduction in unrecognized tax benefits and the related interest. In fiscal 2013, a reduction in the valuation allowance on deferred tax assets, as well as a reduction in unrecognized tax benefits and related interest, contributed to the low effective tax rate. The Company did not have a meaningful effective tax rate in fiscal 2012 because its net deferred tax assets were fully offset by a valuation allowance until the third quarter when the Company significantly reduced the valuation allowance on its deferred tax assets. The reduction in the valuation allowance resulted in an income tax benefit in fiscal 2012. | ||||||||||||
Reconciliation of Expected Income Tax Expense (Benefit) | ||||||||||||
Differences between income tax expense (benefit) and tax computed by applying the federal statutory rate of 35% to income before income taxes during each year is due to the following: | ||||||||||||
Year Ended September 30, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
(In millions) | ||||||||||||
Income taxes at federal statutory rate | $ | 285 | $ | 230.2 | $ | 85 | ||||||
Increase (decrease) in tax resulting from: | ||||||||||||
State income taxes, net of federal benefit | 24.9 | 6.5 | 12.1 | |||||||||
Domestic production activities deduction | (22.4 | ) | (6.5 | ) | — | |||||||
Uncertain tax positions | (6.4 | ) | (12.7 | ) | (2.3 | ) | ||||||
Valuation allowance | 0.1 | (24.1 | ) | (806.6 | ) | |||||||
Tax credits | (0.9 | ) | (1.1 | ) | (1.3 | ) | ||||||
Other | 0.4 | 2.8 | (0.3 | ) | ||||||||
Total income tax expense (benefit) | $ | 280.7 | $ | 195.1 | $ | (713.4 | ) | |||||
Deferred Income Taxes | ||||||||||||
Deferred tax assets and liabilities reflect the tax consequences of temporary differences between the financial statement amounts of assets and liabilities and their tax bases, and of tax loss and credit carryforwards. Components of deferred income taxes are summarized as follows: | ||||||||||||
September 30, | ||||||||||||
2014 | 2013 | |||||||||||
(In millions) | ||||||||||||
Deferred tax assets: | ||||||||||||
Inventory costs | $ | 88.6 | $ | 74.5 | ||||||||
Inventory impairments | 234.7 | 267.6 | ||||||||||
Warranty and construction defect costs | 117.3 | 114.5 | ||||||||||
Net operating loss carryforwards | 84.5 | 99.3 | ||||||||||
Tax credit carryforwards | 7.6 | 5.9 | ||||||||||
Incentive compensation plans | 69.3 | 69.9 | ||||||||||
Deferral of profit on home sales | 1.9 | 1.9 | ||||||||||
Other | 19.9 | 21.5 | ||||||||||
Total deferred tax assets | 623.8 | 655.1 | ||||||||||
Valuation allowance | (31.1 | ) | (31.0 | ) | ||||||||
Total deferred tax assets, net of valuation allowance | 592.7 | 624.1 | ||||||||||
Deferred tax liabilities | 27.7 | 37.5 | ||||||||||
Deferred income taxes, net | $ | 565 | $ | 586.6 | ||||||||
Tax benefits of $84.5 million exist for state net operating loss (NOL) carryforwards that will expire (beginning at various times depending on the tax jurisdiction) from fiscal 2015 to fiscal 2034. Tax benefits for state tax credit carryforwards of $5.7 million will expire from fiscal 2018 to fiscal 2024 and $1.9 million of tax benefits for state tax credit carryforwards that have no expiration date. | ||||||||||||
The accounting for deferred taxes is based upon estimates of future results. Differences between the anticipated and actual outcomes of these future results could have a material impact on the Company's consolidated results of operations or financial position. Also, changes in existing federal and state tax laws and tax rates could affect future tax results and the valuation of the Company's deferred tax assets. | ||||||||||||
Valuation Allowance | ||||||||||||
When assessing the realizability of deferred tax assets, the Company considers whether it is more likely than not that some portion or all of its deferred tax assets will not be realized. The realization of deferred tax assets is dependent upon the generation of sufficient taxable income in future periods. The Company records a valuation allowance when it determines it is more likely than not that a portion of the deferred tax assets will not be realized. At September 30, 2014, the Company determined it was more likely than not that all of the Company’s federal deferred tax assets will be realized. | ||||||||||||
The Company had a valuation allowance of $31.1 million at September 30, 2014 related to its state deferred tax assets for NOL carryforwards and tax credit carryforwards. The Company believes it is more likely than not that a portion of its state NOL carryforwards will not be realized because some state NOL carryforward periods are too brief to realize the related deferred tax assets. The Company continues to evaluate both the positive and negative evidence in determining the need for a valuation allowance with respect to its tax benefits for state NOL carryforwards. | ||||||||||||
During most of fiscal 2012, the Company's net deferred tax assets were fully offset by a valuation allowance. The Company’s analyses leading to changes in the valuation allowance during fiscal 2012 and 2013 are discussed below. | ||||||||||||
In fiscal 2012, the Company determined it was more likely than not that the substantial majority of the Company's deferred tax assets would be realized, which resulted in a $753.2 million reversal of the valuation allowance on its deferred tax assets. The Company evaluated both positive and negative evidence to determine its ability to realize its deferred tax assets. | ||||||||||||
The most significant changes in the Company's evaluation of the realizability of its deferred tax assets in fiscal 2012 compared to prior periods were the development of significant positive evidence related to the Company's accelerating growth in pre-tax income, net sales orders and backlog as fiscal 2012 progressed; the Company's expectation to realize all of its federal NOLs in less than five years and to absorb all federal deductible temporary differences as they reverse in future years based on fiscal 2012 pre-tax income levels; the Company's expectation of sustained and increasing profitability in future years; and the lessening of the significance of the negative evidence considered in prior periods related to the Company's pre-tax losses incurred in prior years, because the Company had generated positive cumulative pre-tax income for the past three years as of June 30, 2012. These significant changes led the Company to determine that it was appropriate to reverse all of the valuation allowance related to its federal deferred tax assets and a portion of the valuation allowance related to its state deferred tax assets. | ||||||||||||
Further changes in the valuation allowance were recorded during fiscal 2013 based on the Company’s quarterly evaluations to determine the need for a valuation allowance related to its state deferred tax assets. At March 31, 2013, after considering the impact of significantly improving profits from operations, the Company concluded it was more likely than not that it would realize more of its deferred tax assets related to state NOL carryforwards than previously anticipated. The Company based this conclusion on additional positive evidence related to the actual pre-tax profits achieved during the six months ended March 31, 2013 and higher levels of forecasted profitability for the remainder of fiscal 2013 and in future years. The Company expected these increased profits to result in a greater realization of its NOL carryforwards in certain states before they expire than previously estimated. Accordingly, at March 31, 2013, the Company reduced the valuation allowance on its state deferred tax assets by $18.7 million to a balance of $23.2 million. Because this reduction of the valuation allowance was recognized in an interim period, a portion of the valuation allowance to be reversed was allocated to the remaining interim periods. Therefore, the Company reversed an additional $2.9 million of the valuation allowance in the third and fourth quarters of fiscal 2013. Additionally, approximately $13.2 million of the Company's valuation allowance was attributable to state NOL carryforwards that expired at the end of fiscal 2013, at which time the related unrealized deferred tax assets and valuation allowances were written off. The amount of the Company’s valuation allowance at September 30, 2013 as a result of the activity described above would have been $7.1 million. | ||||||||||||
At September 30, 2013 the Company recorded an out-of-period adjustment which increased both the Company’s deferred income taxes and the valuation allowance on its deferred income taxes by $23.9 million. The out-of-period adjustment had no impact on the Company’s statement of operations during fiscal 2013. The increase in the Company’s deferred income taxes of $23.9 million corrected an error in recording the future benefits for state NOL carryforwards based on each of the Company’s legal entities’ NOLs in each state and the current tax rate of each state. The valuation allowance was also increased by $23.9 million because the Company determined it is more likely than not that these state NOL carryforwards will not be realized because the Company estimates it will not have sufficient taxable income within these states' carryforward periods. As a result of this adjustment, the remaining amount of the valuation allowance related to state deferred tax assets was $31.0 million at September 30, 2013. The Company’s valuation allowance is based on an analysis of the amount of NOL carryforwards associated with each of its legal entities in the states in which it conducts business, as compared to its expected level of taxable income under existing apportionment or recognition rules in each state and the carryforward periods allowed in each state's tax code. Had deferred income taxes related to the state NOL carryforwards of each of the Company's legal entities been reflected at state specific tax rates as of September 30, 2012, the Company's deferred income taxes would have increased by $31.6 million and the corresponding valuation allowance on its deferred income taxes would have increased by $37.6 million. This would have resulted in a decrease in the Company’s income tax benefit of $6.0 million in fiscal 2012, which would have reversed and decreased income tax expense by $6.0 million in fiscal 2013. The unadjusted amounts from fiscal 2012 are not material to the Company’s financial statements for fiscal 2012, and the out-of-period adjustment recorded in fiscal 2013 is not material to the financial statements for fiscal 2013. | ||||||||||||
Unrecognized Tax Benefits | ||||||||||||
Unrecognized tax benefits are the differences between tax positions taken or expected to be taken in a tax return and the benefits recognized for accounting purposes. A reconciliation of the beginning and ending amounts of unrecognized tax benefits is as follows: | ||||||||||||
Year Ended September 30, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
(In millions) | ||||||||||||
Unrecognized tax benefits, beginning of year | $ | 4.2 | $ | 14.1 | $ | 16.3 | ||||||
Reductions attributable to tax positions taken in prior years | (4.2 | ) | (2.4 | ) | (1.6 | ) | ||||||
Reductions attributable to lapse of statute of limitations | — | (7.5 | ) | (0.6 | ) | |||||||
Unrecognized tax benefits, end of year | $ | — | $ | 4.2 | $ | 14.1 | ||||||
The Company had no unrecognized tax benefits at September 30, 2014. The Company classifies interest expense and penalties on income taxes as income tax expense. During fiscal 2014, 2013 and 2012, the Company recognized interest benefits related to unrecognized tax benefits of $2.2 million, $2.8 million and $0.1 million, respectively, in its consolidated statements of operations. At September 30, 2014, the Company had no accrued interest or penalties related to unrecognized tax benefits. At September 30, 2013, the Company had $2.2 million of accrued interest and no accrued penalties related to unrecognized tax benefits. | ||||||||||||
Regulations and Legislation | ||||||||||||
The Company is subject to federal income tax and to income tax in multiple states. The statute of limitations for the Company's major tax jurisdictions remains open for examination for fiscal years 2010 through 2014. The Company is currently being audited by various states. |
Earnings_Per_Share
Earnings Per Share | 12 Months Ended | ||||||||||||
Sep. 30, 2014 | |||||||||||||
Earnings Per Share [Abstract] | ' | ||||||||||||
EARNINGS PER SHARE | ' | ||||||||||||
EARNINGS PER SHARE | |||||||||||||
The following table sets forth the numerators and denominators used in the computation of basic and diluted earnings per share. Options to purchase 8.5 million, 4.6 million and 6.4 million shares of common stock were excluded from the computation of diluted earnings per share for fiscal 2014, 2013 and 2012, respectively, because the exercise price of the options was greater than the average market price of the common shares and, therefore, their effect would have been antidilutive. | |||||||||||||
Year Ended September 30, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
(In millions) | |||||||||||||
Numerator: | |||||||||||||
Net income | $ | 533.5 | $ | 462.7 | $ | 956.3 | |||||||
Effect of dilutive securities: | |||||||||||||
Interest and amortization of issuance costs associated with convertible senior notes, net of tax, if applicable | 16.5 | 23.9 | 36.8 | ||||||||||
Numerator for diluted earnings per share after assumed conversions | $ | 550 | $ | 486.6 | $ | 993.1 | |||||||
Denominator: | |||||||||||||
Denominator for basic earnings per share — weighted average common shares | 340.5 | 322.1 | 318.1 | ||||||||||
Effect of dilutive securities: | |||||||||||||
Employee stock awards | 3.1 | 4.2 | 2.6 | ||||||||||
Convertible senior notes | 23 | 38.6 | 38.3 | ||||||||||
Denominator for diluted earnings per share — adjusted weighted average common shares | 366.6 | 364.9 | 359 | ||||||||||
Stockholders_Equity
Stockholders' Equity | 12 Months Ended |
Sep. 30, 2014 | |
Equity [Abstract] | ' |
STOCKHOLDERS' EQUITY | ' |
STOCKHOLDERS’ EQUITY | |
The Company has an automatically effective universal shelf registration statement, filed with the SEC in September 2012, registering debt and equity securities that it may issue from time to time in amounts to be determined. At September 30, 2014, the Company had 371,786,765 shares of common stock issued and 364,586,694 shares outstanding. No shares of preferred stock were issued or outstanding. At September 30, 2014, the Company had 23.2 million and 3.5 million shares of common stock reserved for issuance pursuant to the D.R. Horton, Inc. Stock Incentive Plans and Employee Stock Purchase Plan, respectively. | |
During April and May of 2014, the Company's outstanding 2% convertible senior notes were converted into 38.6 million shares of the Company's common stock. The conversion rate was 77.18004 shares of the Company's common stock per $1,000 principal amount of senior notes, which was equivalent to a conversion price of approximately $12.96 per share of common stock. | |
Effective August 1, 2014, the Board of Directors authorized the repurchase of up to $100 million of the Company’s common stock effective through July 31, 2015. All of the $100 million authorization was remaining at September 30, 2014. | |
The Board of Directors approved and paid cash dividends of $0.0375 per common share in each of the second and third quarters of fiscal 2014 and a cash dividend of $0.0625 per common share in the fourth quarter of fiscal 2014. In November 2014, the Board of Directors approved a cash dividend of $0.0625 per common share, payable on December 15, 2014, to stockholders of record on December 1, 2014. | |
During the first quarter of fiscal 2013, the Board of Directors approved and paid total cash dividends of $0.1875 per common share, which included cash dividends of $0.0375 per share and an additional cash dividend of $0.15 per share. The cash dividend of $0.15 per share was in lieu of and accelerated the payment of all quarterly dividends that the Company would have otherwise paid in calendar year 2013. |
Employee_Benefit_Plans
Employee Benefit Plans | 12 Months Ended | ||||||||||||||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||||||||||||||
Compensation Related Costs [Abstract] | ' | ||||||||||||||||||||||||||||
EMPLOYEE BENEFIT PLANS | ' | ||||||||||||||||||||||||||||
EMPLOYEE BENEFIT PLANS | |||||||||||||||||||||||||||||
Deferred Compensation Plans | |||||||||||||||||||||||||||||
The Company has a 401(k) plan for all employees who have been with the Company for a period of six months or more. The Company matches portions of employees’ voluntary contributions. Additional employer contributions in the form of profit sharing may also be made at the Company’s discretion. The Company recorded $8.5 million, $6.4 million and $5.6 million of expense for matching contributions in fiscal 2014, 2013 and 2012 respectively. | |||||||||||||||||||||||||||||
The Company’s Supplemental Executive Retirement Plan (SERP) is a non-qualified deferred compensation program that provides benefits payable to certain management employees upon retirement, death, or termination of employment. Under the SERP, the Company accrues an unfunded benefit based on a percentage of the eligible employees’ salaries, as well as an interest factor based upon a predetermined formula. The Company’s liabilities related to the SERP were $24.3 million and $21.5 million at September 30, 2014 and 2013, respectively. The Company recorded $3.9 million, $3.6 million and $3.1 million of expense for this plan in fiscal 2014, 2013 and 2012, respectively. | |||||||||||||||||||||||||||||
The Company has a deferred compensation plan available to a select group of employees which allows participating employees to contribute compensation into the plan on a before tax basis and defer income taxation on the contributions until the funds are withdrawn from the plan. The participating employees designate investments for their contributions; however, the Company is not required to invest the contributions in the designated investments. The Company’s net liabilities related to the deferred compensation plan were $39.7 million and $22.9 million at September 30, 2014 and 2013, respectively. The Company records as expense the amount that the employee contributions would have earned had the funds been invested in the designated investments. The Company recorded $1.6 million, $0.6 million and $1.6 million of expense for this plan in fiscal 2014, 2013 and 2012, respectively. | |||||||||||||||||||||||||||||
Employee Stock Purchase Plan | |||||||||||||||||||||||||||||
The Company’s Employee Stock Purchase Plan provides eligible employees the opportunity to purchase common stock of the Company at a discounted price of 85% of the fair market value of the stock on the designated dates of purchase. The price to eligible employees may be further discounted depending on the average fair market value of the stock during the period and certain other criteria. Under the terms of the plan, the total fair market value of common stock that an eligible employee may purchase each year is limited to the lesser of 15% of the employee’s annual compensation or $25,000. Under the plan, employees purchased 77,216 shares for $1.4 million in fiscal 2014, 63,105 shares for $1.1 million in fiscal 2013 and 79,455 shares for $0.9 million in fiscal 2012. | |||||||||||||||||||||||||||||
Stock Options | |||||||||||||||||||||||||||||
The Company’s Stock Incentive Plan provides for the granting of stock options to certain executive officers, other key employees and non-management directors to purchase shares of common stock. Options are granted at exercise prices which equal the market value of the Company’s common stock at the date of the grant. The options outstanding at September 30, 2014 vest over periods of 2 to 9.75 years from the initial grant date and expire 10 years after the dates on which they were granted. | |||||||||||||||||||||||||||||
The following table provides additional information related to stock option activity under the Company’s Stock Incentive Plan. | |||||||||||||||||||||||||||||
Year Ended September 30, | |||||||||||||||||||||||||||||
2014 | 2013 | 2012 | |||||||||||||||||||||||||||
Stock Options | Weighted Average Exercise Price | Stock Options | Weighted Average Exercise Price | Stock Options | Weighted Average Exercise Price | ||||||||||||||||||||||||
Outstanding at beginning of year | 18,962,536 | $ | 15.91 | 17,580,031 | $ | 14.24 | 22,705,963 | $ | 13.63 | ||||||||||||||||||||
Granted | 3,856,166 | 23.85 | 3,676,000 | 23.8 | — | — | |||||||||||||||||||||||
Exercised | (2,687,724 | ) | 16.3 | (1,785,412 | ) | 16 | (4,493,797 | ) | 11.13 | ||||||||||||||||||||
Canceled or expired | (652,167 | ) | 17.68 | (508,083 | ) | 14.66 | (632,135 | ) | 14.46 | ||||||||||||||||||||
Outstanding at end of year | 19,478,811 | $ | 17.37 | 18,962,536 | $ | 15.91 | 17,580,031 | $ | 14.24 | ||||||||||||||||||||
Exercisable at end of year | 7,207,978 | $ | 16.27 | 6,626,337 | $ | 16.83 | 5,815,913 | $ | 18.55 | ||||||||||||||||||||
At September 30, 2014, there were 3.8 million shares available for future grants under the Plan. | |||||||||||||||||||||||||||||
The total intrinsic value of options exercised during fiscal 2014, 2013 and 2012 was $18.0 million, $14.6 million and $26.4 million, respectively. The intrinsic value of a stock option is the amount by which the market value of the underlying stock exceeds the option exercise price. | |||||||||||||||||||||||||||||
The aggregate intrinsic value of options outstanding and exercisable at September 30, 2014 was $101.4 million and $47.0 million, respectively. Exercise prices for options outstanding at September 30, 2014, ranged from $9.03 to $36.92. The weighted average remaining contractual lives of options outstanding and exercisable at September 30, 2014 were 6.1 years and 4.6 years, respectively. | |||||||||||||||||||||||||||||
During fiscal 2014 and 2013, the Compensation Committee of the Board of Directors and the Board of Directors approved and granted stock options to executive officers, other officers, employees and non-management directors of the Company. There were approximately 520 recipients of the 2014 stock option grants and 500 recipients of the 2013 stock option grants who collectively may purchase approximately 3.9 million shares and 3.7 million shares, respectively, of the Company's common stock at the closing market price of the stock on the date of the grant. The stock options granted in fiscal 2014 and 2013 vest over periods of 2 to 5 years and expire 10 years after the dates on which they were granted. No stock options were granted by the Company during fiscal 2012. | |||||||||||||||||||||||||||||
The Company measures and recognizes compensation expense at an amount equal to the fair value of share-based payments granted under compensation arrangements. The weighted average fair value of options granted in fiscal 2014 and 2013 was $11.21 per share and $10.92 per share, respectively. The fair values of the options granted were estimated on the date of their grant using the Black-Scholes option pricing model based on the following weighted average assumptions: | |||||||||||||||||||||||||||||
Year Ended September 30, | |||||||||||||||||||||||||||||
2014 | 2013 | 2012 | |||||||||||||||||||||||||||
Risk free interest rate | 2.01% | 1.13% | — | ||||||||||||||||||||||||||
Expected life (in years) | 6.48 | 6.46 | — | ||||||||||||||||||||||||||
Expected volatility | 48.80% | 49.30% | — | ||||||||||||||||||||||||||
Expected dividend yield | 0.63% | 0.63% | — | ||||||||||||||||||||||||||
For fiscal 2014, 2013 and 2012, the Company’s compensation expense related to stock option grants was $25.5 million, $18.6 million and $15.1 million, respectively, and at September 30, 2014, there was $71.7 million of total unrecognized compensation expense related to unvested stock option awards. This expense is expected to be recognized over a weighted average period of 3.75 years. | |||||||||||||||||||||||||||||
Incentive Bonus Plan | |||||||||||||||||||||||||||||
The Company's Incentive Bonus Plan provides for the Compensation Committee to award short-term performance bonuses to senior management based upon the level of achievement of certain criteria. For fiscal 2014, 2013 and 2012 the Compensation Committee approved awards whereby certain executive officers could earn performance bonuses based upon percentages of the Company's pre-tax income. Compensation expense related to these plans was $11.8 million, $9.8 million and $4.9 million in fiscal 2014, 2013 and 2012, respectively. | |||||||||||||||||||||||||||||
Restricted Stock Unit Agreement | |||||||||||||||||||||||||||||
The Company has a Restricted Stock Unit Agreement (RSU Agreement) for awards to certain executive officers, other key employees and non-management directors pursuant to the Stock Incentive Plan. Under the RSU Agreement, the Compensation Committee may award performance or service (time) based restricted stock units subject to the terms and conditions of the RSU Agreement and the Stock Incentive Plan. | |||||||||||||||||||||||||||||
In September 2010, the Compensation Committee approved and granted awards of 200,000 performance based restricted stock units (Performance RSUs) that vested at the end of a two-year performance period that ended September 30, 2012. The number of units that vested depended on the Company's relative position as compared to its peers at the end of the two-year period in achieving certain performance criteria and ranged from 0% to 200% of the number of units granted. The performance criteria were total shareholder return, return on investment, SG&A expense containment and gross profit. Each Performance RSU represented the contingent right to receive one share of the Company's common stock if the vesting conditions were satisfied. The Performance RSUs had no dividend or voting rights during the performance period. The fair value of these awards on the date of grant was $11.53 per unit. Based on the achievement of the performance criteria, 325,000 Performance RSUs were earned and vested on September 30, 2012. Compensation expense for these awards was based on the Company's performance against the peer group, the elapsed portion of the performance period and the grant date fair value of the award. Compensation expense for these awards was $2.6 million in fiscal 2012. | |||||||||||||||||||||||||||||
In fiscal 2014, 2013 and 2012, the Compensation Committee approved and granted awards of performance based units (Performance Units) that vest at the end of three-year performance periods. The number of units that ultimately vest depends on the Company's relative position as compared to its peers at the end of the three-year period in achieving certain performance criteria and can range from 0% to 200% of the number of units granted. The performance criteria are total shareholder return, return on investment, SG&A expense containment and gross profit. The earned awards will have a value equal to the number of earned units multiplied by the closing price of the Company's common stock at the end of the respective performance period and may be paid in cash, equity or a combination of both at the discretion of the Compensation Committee. The Compensation Committee also has the discretion to reduce the final payout on the Performance Units from the amount earned. The Performance Units have no dividend or voting rights during the performance period. Compensation expense related to these grants is based on the Company's performance against the peer group, the elapsed portion of the performance period and the Company's stock price at the end of the period. The following table provides additional information related to the Performance Units granted in fiscal 2014, 2013 and 2012 and outstanding at September 30, 2014. | |||||||||||||||||||||||||||||
Grant Date | Vesting Date | Target Number of Performance Units | Grant Date Fair Value per Unit | Liability at September 30, | Compensation Expense | ||||||||||||||||||||||||
Year Ended September 30, | |||||||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | 2012 | |||||||||||||||||||||||||
(In millions) | (In millions) | ||||||||||||||||||||||||||||
Nov-11 | Sep-14 | 350,000 | $ | 11.79 | $ | 11.7 | $ | 7.4 | $ | 4.3 | $ | 3.3 | $ | 4.1 | |||||||||||||||
Nov-12 | Sep-15 | 350,000 | 22.15 | 4.9 | 2.7 | 2.2 | 2.7 | — | |||||||||||||||||||||
Nov-13 | Sep-16 | 350,000 | 19.64 | 2.6 | — | 2.6 | — | — | |||||||||||||||||||||
$ | 19.2 | $ | 10.1 | $ | 9.1 | $ | 6 | $ | 4.1 | ||||||||||||||||||||
Based on the achievement of performance criteria, 568,750 Performance Units related to the awards granted in November 2011, were earned and vested on September 30, 2014. In November 2014, the Compensation Committee approved the payout of these Performance Units in the form of 568,750 shares of common stock to satisfy the award. | |||||||||||||||||||||||||||||
In January 2014 and 2013, the Company's Board of Directors approved and granted awards of 6,667 and 33,333 Restricted Stock Units, respectively, to non-management directors which vest in annual installments over one to three-year periods ending in January 2017. Each Restricted Stock Unit represents the contingent right to receive one share of the Company's common stock if the vesting conditions are satisfied. The Restricted Stock Units have no dividend or voting rights during the vesting period. The fair value of the January 2014 award on the date of grant was $21.58 per unit. The fair value of the January 2013 awards on the date of grant was $21.49 per unit. Compensation expense related to these grants was $0.3 million and $0.2 million in fiscal 2014 and 2013, respectively. |
Commitments_and_Contingencies
Commitments and Contingencies | 12 Months Ended | |||||||
Sep. 30, 2014 | ||||||||
Commitments and Contingencies Disclosure [Abstract] | ' | |||||||
COMMITMENTS AND CONTINGENCIES | ' | |||||||
COMMITMENTS AND CONTINGENCIES | ||||||||
Warranty Claims | ||||||||
The Company provides its homebuyers with warranties on the homes it sells for defects in structural components, mechanical systems and other construction components of the home. Warranty liabilities are established by charging cost of sales for each home delivered based on management's estimate of expected warranty-related costs and by accruing for existing warranty claims. The Company’s warranty liability is based upon historical warranty cost experience in each market in which it operates, and is adjusted as appropriate to reflect qualitative risks associated with the types of homes built and the geographic areas in which they are built. The estimation of these costs is subject to a high degree of variability due to uncertainties related to these factors. Due to the high degree of judgment required in establishing the liability for warranty claims, actual future costs could differ significantly from current estimated amounts, and it is not possible for the Company to make a reasonable estimate of the possible loss or range of loss in excess of its warranty liability. | ||||||||
Changes in the Company’s warranty liability during fiscal 2014 and 2013 were as follows: | ||||||||
September 30, | ||||||||
2014 | 2013 | |||||||
(In millions) | ||||||||
Warranty liability, beginning of year | $ | 56.9 | $ | 56.8 | ||||
Warranties issued | 34.6 | 26.7 | ||||||
Changes in liability for pre-existing warranties | 8.3 | 10.1 | ||||||
Settlements made | (34.1 | ) | (36.7 | ) | ||||
Warranty liability, end of year | $ | 65.7 | $ | 56.9 | ||||
Legal Claims and Insurance | ||||||||
The Company is named as a defendant in various claims, complaints and other legal actions in the ordinary course of business. At any point in time, the Company is managing several hundred individual claims related to construction defect matters, personal injury claims, employment matters, land development issues and contract disputes. The Company has established reserves for these contingencies based on the estimated costs of pending claims and the estimated costs of anticipated future claims related to previously closed homes. The estimated liabilities for these contingencies were $456.9 million and $482.0 million at September 30, 2014 and 2013, respectively, and are included in homebuilding accrued expenses and other liabilities in the consolidated balance sheets. At both September 30, 2014 and 2013, approximately 99% of these reserves related to construction defect matters. Expenses related to the Company’s legal contingencies were $18.9 million, $19.3 million and $41.2 million in fiscal 2014, 2013 and 2012, respectively. | ||||||||
The Company’s reserves for construction defect claims include the estimated costs of both known claims and anticipated future claims. As of September 30, 2014, no individual existing claim was material to the Company’s financial statements, and the majority of the Company’s total construction defect reserves consisted of the estimated exposure to future claims on previously closed homes. The Company has closed a significant number of homes during recent years, and the Company may be subject to future construction defect claims on these homes. Although regulations vary from state to state, construction defect issues can generally be reported for up to ten years after the home has closed in many states in which the Company operates. Historical data and trends regarding the frequency of claims incurred and the costs to resolve claims relative to the types of products and markets where the Company operates are used to estimate the construction defect liabilities for both existing and anticipated future claims. These estimates are subject to ongoing revision as the circumstances of individual pending claims and historical data and trends change. Adjustments to estimated reserves are recorded in the accounting period in which the change in estimate occurs. | ||||||||
Historical trends in construction defect claims have been inconsistent, and the Company believes they may continue to fluctuate over the next several years. Housing market conditions have been volatile across most of the Company's markets over the past ten years, and the Company believes such conditions can affect the frequency and cost of construction defect claims. The Company closed a significant number of homes during its peak operating years from 2003 to 2007. If the ultimate resolution of construction defect claims resulting from closings in the Company's peak operating years varies from current expectations, it could significantly change the Company's estimates regarding the frequency and timing of claims incurred and the costs to resolve existing and anticipated future claims, which would impact the construction defect reserves in the future. If the frequency of claims incurred or costs of existing and future legal claims significantly exceed the Company's current estimates, they will have a significant negative impact on its future earnings and liquidity. | ||||||||
The Company's reserves for legal claims decreased from $482.0 million at September 30, 2013 to $456.9 million at September 30, 2014 primarily due to payments made for legal claims during the period, net of reimbursements received from subcontractors. Also, a net decrease in the reserves was caused by a decrease in the estimated cost to resolve future claims, partially offset by an increase in reserves for homes closed during the current year that are subject to possible future construction defect claims. Changes in the Company’s legal claims reserves during fiscal 2014 and 2013 were as follows: | ||||||||
September 30, | ||||||||
2014 | 2013 | |||||||
(In millions) | ||||||||
Reserves for legal claims, beginning of year | $ | 482 | $ | 544.9 | ||||
Decrease in reserves | (3.0 | ) | (34.6 | ) | ||||
Payments | (22.1 | ) | (28.3 | ) | ||||
Reserves for legal claims, end of year | $ | 456.9 | $ | 482 | ||||
In the majority of states in which it operates, the Company has, and requires the majority of the subcontractors it uses to have, general liability insurance which includes construction defect coverage. The Company's general liability insurance policies protect it against a portion of its risk of loss from construction defect and other claims and lawsuits, subject to self-insured retentions and other coverage limits. For policy years ended June 30, 2004 through 2014, the Company is self-insured for up to $17.5 million of the aggregate completed operations indemnity claims incurred, at which point the excess loss insurance begins, depending on the policy year. Once the Company has satisfied the annual aggregate limits, it is self-insured for the first $0.25 million to $1.0 million of indemnity for each claim occurrence, depending on the policy year. For policy years 2013, 2014 and 2015, the Company is self-insured for up to $15.0 million of the aggregate completed operations indemnity claims incurred and for up to $0.25 million, plus a portion of the legal fees incurred, for each claim occurrence thereafter. | ||||||||
In some states where the Company believes it is too difficult or expensive for its subcontractors to obtain general liability insurance, the Company has waived its normal subcontractor general liability insurance requirements to obtain lower costs from subcontractors. In these states, the Company purchases insurance policies from either third-party carriers or its 100% owned captive insurance subsidiary, and names certain subcontractors as additional insureds. The policies issued by the captive insurance subsidiary represent self-insurance of these risks by the Company. The Company is self-insured under its captive policies for up to $25.0 million in aggregate completed operations indemnity claims per policy year, at which point the excess loss insurance begins, and it is self-insured for the first $0.25 million for each claim occurrence. For all policy years after April 2007, the captive insurance subsidiary has $15.0 million of risk transfer with a third-party insurer. For policy years 2013, 2014 and 2015, after consideration of the aforementioned $15.0 million of risk transfer, the Company is self-insured under these captive policies for up to $10.0 million in aggregate completed operations indemnity claims, plus defense costs, per policy year and for up to $0.25 million for each claim occurrence. For the portion of states insured by third party carriers, the aggregate amount of self-insured retentions for completed operations indemnity claims for each year is limited to $4.0 million. | ||||||||
The Company is self-insured for the deductible amounts under its workers' compensation insurance policies. The deductibles vary by policy year, but in no years exceed $0.5 million per occurrence. The deductible for the 2013, 2014 and 2015 policy years is $0.5 million per occurrence. | ||||||||
The Company estimates and records receivables under applicable insurance policies related to its estimated contingencies for known claims and anticipated future construction defect claims on previously closed homes and other legal claims and lawsuits incurred in the ordinary course of business when recovery is probable. Additionally, the Company may have the ability to recover a portion of its losses from its subcontractors and their insurance carriers when the Company has been named as an additional insured on their insurance policies. The Company's receivables related to its estimates of insurance recoveries from estimated losses from pending legal claims and anticipated future claims related to previously closed homes totaled $138.4 million and $162.1 million at September 30, 2014 and 2013, respectively, and are included in homebuilding other assets in the consolidated balance sheets. The decrease in these receivables corresponds closely to the decrease in the reserve for legal claims. | ||||||||
The estimation of losses related to these reserves and the related estimates of recoveries from insurance policies are subject to a high degree of variability due to uncertainties such as trends in construction defect claims relative to the Company's markets and the types of products built, claim frequency, claim settlement costs and patterns, insurance industry practices and legal interpretations, among others. Due to the high degree of judgment required in establishing reserves for these contingencies, actual future costs and recoveries from insurance could differ significantly from current estimated amounts, and it is not possible for the Company to make a reasonable estimate of the possible loss or range of loss in excess of its reserves. | ||||||||
Land and Lot Option Purchase Contracts | ||||||||
The Company enters into land and lot option purchase contracts to acquire land or lots for the construction of homes. At September 30, 2014, the Company had total deposits of $58.7 million, consisting of cash deposits of $48.6 million and promissory notes, letters of credit and surety bonds of $10.1 million, to purchase land and lots with a total remaining purchase price of approximately $2.0 billion. A limited number of the land and lot option purchase contracts at September 30, 2014, representing $30.9 million of remaining purchase price, were subject to specific performance clauses which may require the Company to purchase the land or lots upon the land sellers meeting their contractual obligations. The majority of land and lots under contract are currently expected to be purchased within three years. | ||||||||
Other Commitments | ||||||||
At September 30, 2014, the Company had outstanding surety bonds of $876.2 million and letters of credit of $95.8 million to secure performance under various contracts. Of the total letters of credit, $92.7 million were issued under the Company's revolving credit facility. The remaining $3.1 million of letters of credit were issued under secured letter of credit agreements requiring the Company to deposit cash as collateral with the issuing banks, and the cash restricted for this purpose is included in homebuilding restricted cash in the consolidated balance sheets. | ||||||||
The Company leases office space and equipment under non-cancelable operating leases. At September 30, 2014, the future minimum annual lease payments under these agreements are as follows (in millions): | ||||||||
2015 | $ | 14.3 | ||||||
2016 | 11.1 | |||||||
2017 | 4.4 | |||||||
2018 | 2.6 | |||||||
2019 | 0.8 | |||||||
Thereafter | 0.1 | |||||||
$ | 33.3 | |||||||
Rent expense was $19.3 million, $18.1 million and $18.5 million for fiscal 2014, 2013 and 2012, respectively. |
Other_Assets_and_Accrued_Expen
Other Assets and Accrued Expenses and Other Liabilities | 12 Months Ended | |||||||
Sep. 30, 2014 | ||||||||
Other Assets and Accrued Expenses and Other Liabilities [Abstract] | ' | |||||||
OTHER ASSETS AND ACCRUED EXPENSES AND OTHER LIABILITIES | ' | |||||||
OTHER ASSETS AND ACCRUED EXPENSES AND OTHER LIABILITIES | ||||||||
The Company’s homebuilding other assets at September 30, 2014 and 2013 were as follows: | ||||||||
September 30, | ||||||||
2014 | 2013 | |||||||
(In millions) | ||||||||
Insurance receivables | $ | 138.4 | $ | 162.1 | ||||
Earnest money and refundable deposits | 113.3 | 98.5 | ||||||
Accounts and notes receivable | 38.6 | 24.1 | ||||||
Prepaid assets | 55.4 | 49.4 | ||||||
Rental properties | 48.7 | 41.3 | ||||||
Debt securities collateralized by residential real estate | 20.8 | 20.3 | ||||||
Other assets | 25.9 | 23.9 | ||||||
$ | 441.1 | $ | 419.6 | |||||
The Company’s homebuilding accrued expenses and other liabilities at September 30, 2014 and 2013 were as follows: | ||||||||
September 30, | ||||||||
2014 | 2013 | |||||||
(In millions) | ||||||||
Reserves for legal claims | $ | 456.9 | $ | 482 | ||||
Employee compensation and related liabilities | 150.8 | 130.2 | ||||||
Warranty liability | 65.7 | 56.9 | ||||||
Accrued interest | 29.1 | 34 | ||||||
Federal and state income tax liabilities | 12.8 | 29.9 | ||||||
Inventory related accruals | 36.1 | 46.3 | ||||||
Homebuyer deposits | 49.5 | 39.3 | ||||||
Accrued property taxes | 29.1 | 30 | ||||||
Other liabilities | 45 | 37.4 | ||||||
$ | 875 | $ | 886 | |||||
Fair_Value_Measurements
Fair Value Measurements | 12 Months Ended | |||||||||||||||||||||||||||
Sep. 30, 2014 | ||||||||||||||||||||||||||||
Fair Value Disclosures [Abstract] | ' | |||||||||||||||||||||||||||
FAIR VALUE MEASUREMENTS | ' | |||||||||||||||||||||||||||
FAIR VALUE MEASUREMENTS | ||||||||||||||||||||||||||||
Fair value measurements are used for the Company's mortgage loans held for sale, debt securities collateralized by residential real estate, IRLCs and other derivative instruments on a recurring basis, and are used for inventories, other mortgage loans, rental properties and real estate owned on a nonrecurring basis, when events and circumstances indicate that the carrying value may not be recoverable. The fair value hierarchy and its application to the Company’s assets and liabilities is as follows: | ||||||||||||||||||||||||||||
• | Level 1 – Valuation is based on quoted prices in active markets for identical assets and liabilities. | |||||||||||||||||||||||||||
• | Level 2 – Valuation is determined from quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar instruments in markets that are not active, or by model-based techniques in which all significant inputs are observable in the market. The Company’s assets and liabilities measured at fair value using Level 2 inputs on a recurring basis are as follows: | |||||||||||||||||||||||||||
• | Mortgage loans held for sale - The fair value of these loans is generally calculated by reference to quoted prices in secondary markets for commitments to sell mortgage loans with similar characteristics. Closed mortgage loans are typically sold shortly after origination, which limits exposure to nonperformance by loan buyer counterparties to a short time period. In addition, the Company actively monitors the financial strength of its counterparties. | |||||||||||||||||||||||||||
• | IRLCs - The fair value of IRLCs is calculated by reference to quoted prices in secondary markets for commitments to sell mortgage loans with similar characteristics. These valuations do not contain adjustments for expirations as any expired commitments are excluded from the fair value measurement. The Company generally only issues IRLCs for products that meet specific purchaser guidelines. Should any purchaser become insolvent, the Company would not be required to close the transaction based on the terms of the commitment. Since not all IRLCs will become closed loans, the Company adjusts its fair value measurements for the estimated amount of IRLCs that will not close. | |||||||||||||||||||||||||||
• | Loan sale commitments and hedging instruments - The fair values of best-efforts and mandatory loan sale commitments and derivative instruments such as forward sales of MBS that are utilized as hedging instruments are calculated by reference to quoted prices for similar assets. The Company mitigates exposure to nonperformance risk associated with derivative instruments by limiting the number of counterparties and actively monitoring their financial strength and creditworthiness while requiring them to be well-known institutions with credit ratings equal to or better than AA- or equivalent. Further, the Company’s derivative contracts typically have short-term durations with maturities from one to four months. Accordingly, the Company’s risk of nonperformance relative to its derivative positions is not significant. | |||||||||||||||||||||||||||
After consideration of nonperformance risk, no additional adjustments were made to the fair value measurements of mortgage loans held for sale, IRLCs or hedging instruments. | ||||||||||||||||||||||||||||
• | Level 3 – Valuation is typically derived from model-based techniques in which at least one significant input is unobservable and based on the Company’s own estimates about the assumptions that market participants would use to value the asset or liability. | |||||||||||||||||||||||||||
The Company's assets measured at fair value using Level 3 inputs on a recurring basis are its debt securities collateralized by residential real estate and a limited number of mortgage loans held for sale with some degree of impairment affecting their marketability. | ||||||||||||||||||||||||||||
The Company’s assets measured at fair value using Level 3 inputs that are typically reported at the lower of carrying value or fair value on a nonrecurring basis are as follows: | ||||||||||||||||||||||||||||
• | Inventory held and used - In determining the fair values of its inventory held and used in its impairment evaluations, the Company performs an analysis of the undiscounted cash flows estimated to be generated by those assets. The most significant factors used to estimate undiscounted future cash flows include pricing and incentive levels actually realized by the community, the rate at which the homes are sold and the costs incurred to develop the lots and construct the homes. Inventory held and used measured at fair value represents those communities for which the estimated undiscounted cash flows are less than their carrying amounts and therefore, the Company has recorded impairments during the current period to record the inventory at fair value calculated based on its discounted estimated future cash flows. | |||||||||||||||||||||||||||
• | Inventory available for sale - The factors considered in determining fair values of the Company's land held for sale primarily include actual sale contracts and recent offers received from outside third parties, and may also include prices for land in recent comparable sales transactions and other market analysis. If the estimated fair value less the costs to sell an asset is less than the asset's current carrying value, the asset is written down to its estimated fair value less costs to sell. | |||||||||||||||||||||||||||
• | Certain other mortgage loans, rental properties and real estate owned - Other mortgage loans include performing and nonperforming mortgage loans, which often become real estate owned through the foreclosure process. The fair values of other mortgage loans, rental properties and real estate owned are determined based on the Company’s assessment of the value of the underlying collateral or the value of the property, as applicable. The Company uses different methods to assess the value of the properties, which may include broker price opinions, appraisals or cash flow valuation models. | |||||||||||||||||||||||||||
The following tables summarize the Company’s assets and liabilities measured at fair value on a recurring basis at September 30, 2014 and 2013, and the changes in the fair value of the Level 3 assets during fiscal 2014. | ||||||||||||||||||||||||||||
Fair Value at September 30, 2014 | ||||||||||||||||||||||||||||
Balance Sheet Location | Level 1 | Level 2 | Level 3 | Total | ||||||||||||||||||||||||
(In millions) | ||||||||||||||||||||||||||||
Homebuilding: | ||||||||||||||||||||||||||||
Debt securities collateralized by residential real estate (a) | Other assets | $ | — | $ | — | $ | 20.8 | $ | 20.8 | |||||||||||||||||||
Financial Services: | ||||||||||||||||||||||||||||
Mortgage loans held for sale (b) | Mortgage loans held for sale | — | 464.9 | 12 | 476.9 | |||||||||||||||||||||||
Derivatives not designated as hedging instruments (c): | ||||||||||||||||||||||||||||
Interest rate lock commitments | Other assets | — | 2.4 | — | 2.4 | |||||||||||||||||||||||
Forward sales of MBS | Other liabilities | — | (1.9 | ) | — | (1.9 | ) | |||||||||||||||||||||
Best-efforts and mandatory commitments | Other liabilities | — | (0.1 | ) | — | (0.1 | ) | |||||||||||||||||||||
Fair Value at September 30, 2013 | ||||||||||||||||||||||||||||
Balance Sheet Location | Level 1 | Level 2 | Level 3 | Total | ||||||||||||||||||||||||
(In millions) | ||||||||||||||||||||||||||||
Homebuilding: | ||||||||||||||||||||||||||||
Debt securities collateralized by residential real estate (a) | Other assets | $ | — | $ | — | $ | 20.3 | $ | 20.3 | |||||||||||||||||||
Financial Services: | ||||||||||||||||||||||||||||
Mortgage loans held for sale (b) | Mortgage loans held for sale | — | 389.4 | 5.7 | 395.1 | |||||||||||||||||||||||
Derivatives not designated as hedging instruments (c): | ||||||||||||||||||||||||||||
Interest rate lock commitments | Other assets | — | 7 | — | 7 | |||||||||||||||||||||||
Forward sales of MBS | Other liabilities | — | (8.8 | ) | — | (8.8 | ) | |||||||||||||||||||||
Best-efforts and mandatory commitments | Other liabilities | — | (3.1 | ) | — | (3.1 | ) | |||||||||||||||||||||
Level 3 Assets at Fair Value for the | ||||||||||||||||||||||||||||
Year Ended September 30, 2014 | ||||||||||||||||||||||||||||
Balance at | Net realized and unrealized gains/(losses) | Purchases | Sales and Settlements | Principal Reductions | Net transfers in (out) of | Balance at | ||||||||||||||||||||||
30-Sep-13 | Level 3 | 30-Sep-14 | ||||||||||||||||||||||||||
(In millions) | ||||||||||||||||||||||||||||
Debt securities collateralized by residential real estate (a) | $ | 20.3 | $ | 0.5 | $ | — | $ | — | $ | — | $ | — | $ | 20.8 | ||||||||||||||
Mortgage loans held for sale (b) | 5.7 | 0.8 | — | (0.8 | ) | — | 6.3 | 12 | ||||||||||||||||||||
(a) | In October 2012, the Company purchased defaulted debt securities which are secured by residential real estate. The Company intends to negotiate an agreement to obtain the right to take possession of the residential real estate in order to develop the property and ultimately build and sell homes. These securities, which are included in other assets in the consolidated balance sheets, are classified as available for sale and are reflected at fair value. The fair value of these securities was determined by estimating the future cash flows of the securities and the residential real estate utilizing discount rates of 6% and 18%, respectively. Unrealized gains or losses on these securities, net of tax, are recorded in accumulated other comprehensive income (loss) in the consolidated balance sheets. | |||||||||||||||||||||||||||
(b) | Mortgage loans held for sale are reflected at fair value. Interest income earned on mortgage loans held for sale is based on contractual interest rates and included in financial services interest and other income. Mortgage loans held for sale at September 30, 2014 includes $12.0 million of originated loans for which the Company elected the fair value option upon origination and which the Company has not sold into the secondary market, but plans to sell as market conditions permit. The fair value of these mortgage loans held for sale is generally calculated considering the secondary market and adjusted for the value of the underlying collateral, including interest rate risk, liquidity risk and prepayment risk. | |||||||||||||||||||||||||||
(c) | Fair value measurements of these derivatives represent changes in fair value and are reflected in the balance sheet. Changes in these fair values during the periods presented are included in financial services revenues in the consolidated statements of operations. | |||||||||||||||||||||||||||
The following table summarizes the Company’s assets measured at fair value on a nonrecurring basis at September 30, 2014 and 2013: | ||||||||||||||||||||||||||||
Fair Value at September 30, 2014 | Fair Value at September 30, 2013 | |||||||||||||||||||||||||||
Balance Sheet Location | Level 3 | Level 3 | ||||||||||||||||||||||||||
(In millions) | ||||||||||||||||||||||||||||
Homebuilding: | ||||||||||||||||||||||||||||
Inventory held and used (a) (b) | Inventories | $ | 19.2 | $ | 0.5 | |||||||||||||||||||||||
Inventory available for sale (a) (c) | Inventories | 8.2 | 10.8 | |||||||||||||||||||||||||
Financial Services: | ||||||||||||||||||||||||||||
Other mortgage loans (a) (d) | Other assets | 16 | 22.6 | |||||||||||||||||||||||||
Real estate owned (a) (d) | Other assets | 0.5 | 0.7 | |||||||||||||||||||||||||
________________ | ||||||||||||||||||||||||||||
(a) | The fair values included in the table above represent only those assets whose carrying values were adjusted to fair value in the respective period. | |||||||||||||||||||||||||||
(b) | In performing its impairment analysis of communities, discount rates ranging from 12% to 18% were used in the periods presented. | |||||||||||||||||||||||||||
(c) | The fair value of inventory available for sale was determined based on recent offers received from outside third parties, comparable sales or actual contracts. | |||||||||||||||||||||||||||
(d) | The fair values of other mortgage loans and real estate owned are determined based on the value of the underlying collateral. | |||||||||||||||||||||||||||
For the financial assets and liabilities that the Company does not reflect at fair value, the following tables present both their respective carrying value and fair value at September 30, 2014 and 2013: | ||||||||||||||||||||||||||||
Carrying Value | Fair Value at September 30, 2014 | |||||||||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||||||||||
(In millions) | ||||||||||||||||||||||||||||
Homebuilding: | ||||||||||||||||||||||||||||
Cash and cash equivalents (a) | $ | 632.5 | $ | 632.5 | $ | — | $ | — | $ | 632.5 | ||||||||||||||||||
Restricted cash (a) | 10 | 10 | — | — | 10 | |||||||||||||||||||||||
Revolving credit facility (a) | 300 | — | — | 300 | 300 | |||||||||||||||||||||||
Senior notes (b) | 3,000.20 | — | 3,033.80 | — | 3,033.80 | |||||||||||||||||||||||
Financial Services: | ||||||||||||||||||||||||||||
Cash and cash equivalents (a) | 29.3 | 29.3 | — | — | 29.3 | |||||||||||||||||||||||
Mortgage repurchase facility (a) | 359.2 | — | — | 359.2 | 359.2 | |||||||||||||||||||||||
Carrying Value | Fair Value at September 30, 2013 | |||||||||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||||||||||
(In millions) | ||||||||||||||||||||||||||||
Homebuilding: | ||||||||||||||||||||||||||||
Cash and cash equivalents (a) | $ | 954.2 | $ | 954.2 | $ | — | $ | — | $ | 954.2 | ||||||||||||||||||
Restricted cash (a) | 77.8 | 77.8 | — | — | 77.8 | |||||||||||||||||||||||
Senior notes (b) | 2,783.30 | — | 2,811.50 | — | 2,811.50 | |||||||||||||||||||||||
Convertible senior notes (b) | 478.7 | — | 762.4 | — | 762.4 | |||||||||||||||||||||||
Financial Services: | ||||||||||||||||||||||||||||
Cash and cash equivalents (a) | 23.2 | 23.2 | — | — | 23.2 | |||||||||||||||||||||||
Mortgage repurchase facility (a) | 238.6 | — | — | 238.6 | 238.6 | |||||||||||||||||||||||
________________ | ||||||||||||||||||||||||||||
(a) | The fair value approximates carrying value due to its short-term nature, short maturity or floating interest rate terms, as applicable. | |||||||||||||||||||||||||||
(b) | The fair value is determined based on quoted market prices of recent transactions of the notes, which is classified as Level 2 within the fair value hierarchy. |
Quarterly_Results_of_Operation
Quarterly Results of Operations (Unaudited) | 12 Months Ended | |||||||||||||||
Sep. 30, 2014 | ||||||||||||||||
Quarterly Financial Data [Abstract] | ' | |||||||||||||||
QUARTERLY RESULTS OF OPERATIONS (UNAUDITED) | ' | |||||||||||||||
QUARTERLY RESULTS OF OPERATIONS (UNAUDITED) | ||||||||||||||||
Consolidated quarterly results of operations were (in millions, except per share amounts): | ||||||||||||||||
Fiscal 2014 | ||||||||||||||||
1st Quarter | 2nd Quarter | 3rd Quarter | 4th Quarter | |||||||||||||
Revenues | $ | 1,670.60 | $ | 1,735.00 | $ | 2,147.00 | $ | 2,472.30 | ||||||||
Inventory and land option charges | 2.6 | 4.4 | 56.8 | 21.3 | ||||||||||||
Gross profit | 362 | 376.8 | 377.4 | 473.7 | ||||||||||||
Income before income taxes | 189.7 | 201.9 | 171.8 | 250.8 | ||||||||||||
Income tax expense | 66.5 | 70.9 | 58.7 | 84.5 | ||||||||||||
Net income | 123.2 | 131 | 113.1 | 166.3 | ||||||||||||
Basic net income per common share | 0.38 | 0.4 | 0.32 | 0.46 | ||||||||||||
Net income per common share assuming dilution | 0.36 | 0.38 | 0.32 | 0.45 | ||||||||||||
Fiscal 2013 | ||||||||||||||||
1st Quarter | 2nd Quarter | 3rd Quarter | 4th Quarter | |||||||||||||
Revenues | $ | 1,275.10 | $ | 1,431.60 | $ | 1,692.80 | $ | 1,859.80 | ||||||||
Inventory and land option charges | 1.3 | 1.8 | 0.8 | 27.1 | ||||||||||||
Gross profit | 230.9 | 281.2 | 349.1 | 371.4 | ||||||||||||
Income before income taxes | 107.9 | 142.1 | 205.1 | 202.8 | ||||||||||||
Income tax expense | 41.6 | 31.1 | 59.1 | 63.3 | ||||||||||||
Net income | 66.3 | 111 | 146 | 139.5 | ||||||||||||
Basic net income per common share | 0.21 | 0.35 | 0.45 | 0.43 | ||||||||||||
Net income per common share assuming dilution | 0.2 | 0.32 | 0.42 | 0.4 | ||||||||||||
The Company experiences variability in its results of operations from quarter to quarter due to the seasonal nature of its homebuilding business. The Company generally has more homes under construction, closes more homes and has greater revenues and income before income taxes in the third and fourth quarters (June and September) than in the first and second quarters (December and March) of its fiscal year. | ||||||||||||||||
Income tax expense in the second quarter of fiscal 2013 was reduced by $18.7 million due to a reduction of the Company's deferred tax asset valuation allowance in that quarter. |
Supplemental_Guarantor_Informa
Supplemental Guarantor Information | 12 Months Ended | |||||||||||||||||||
Sep. 30, 2014 | ||||||||||||||||||||
Supplemental Guarantor Information [Abstract] | ' | |||||||||||||||||||
SUPPLEMENTAL GUARANTOR INFORMATION | ' | |||||||||||||||||||
SUPPLEMENTAL GUARANTOR INFORMATION | ||||||||||||||||||||
All of the Company's senior notes and the unsecured revolving credit facility are fully and unconditionally guaranteed, on a joint and several basis, by substantially all of the Company's homebuilding subsidiaries (collectively, Guarantor Subsidiaries). Each of the Guarantor Subsidiaries is 100% owned, directly or indirectly, by the Company. The Company's subsidiaries engaged in the financial services segment and certain other subsidiaries do not guarantee the Company's senior notes and the unsecured revolving credit facility (collectively, Non-Guarantor Subsidiaries). In lieu of providing separate financial statements for the Guarantor Subsidiaries, consolidating condensed financial statements are presented below. Separate financial statements and other disclosures concerning the Guarantor Subsidiaries are not presented because management has determined that they are not material to investors. | ||||||||||||||||||||
The guarantees by a Guarantor Subsidiary will be automatically and unconditionally released and discharged upon: (1) the sale or other disposition of its common stock whereby it is no longer a subsidiary of the Company; (2) the sale or other disposition of all or substantially all of its assets (other than to the Company or another Guarantor); (3) its merger or consolidation with an entity other than the Company or another Guarantor; or (4) depending on the provisions of the applicable indenture, either (a) its proper designation as an unrestricted subsidiary, (b) its ceasing to guarantee any of the Company's publicly traded debt securities, or (c) its ceasing to guarantee any of the Company's obligations under the revolving credit facility. | ||||||||||||||||||||
Consolidating Balance Sheet | ||||||||||||||||||||
September 30, 2014 | ||||||||||||||||||||
D.R. | Guarantor | Non-Guarantor | Eliminations | Total | ||||||||||||||||
Horton, Inc. | Subsidiaries | Subsidiaries | ||||||||||||||||||
(In millions) | ||||||||||||||||||||
ASSETS | ||||||||||||||||||||
Cash and cash equivalents | $ | 497.4 | $ | 89.5 | $ | 74.9 | $ | — | $ | 661.8 | ||||||||||
Restricted cash | 6.8 | 2.1 | 1.1 | — | 10 | |||||||||||||||
Investments in subsidiaries | 2,878.20 | — | — | (2,878.2 | ) | — | ||||||||||||||
Inventories | 2,675.90 | 5,014.30 | 10.3 | — | 7,700.50 | |||||||||||||||
Deferred income taxes | 189.9 | 364.4 | 10.7 | — | 565 | |||||||||||||||
Property and equipment, net | 51.9 | 49.1 | 89.8 | — | 190.8 | |||||||||||||||
Other assets | 163 | 250.8 | 88.9 | — | 502.7 | |||||||||||||||
Mortgage loans held for sale | — | — | 476.9 | — | 476.9 | |||||||||||||||
Goodwill | — | 94.8 | — | — | 94.8 | |||||||||||||||
Intercompany receivables | 2,364.20 | — | — | (2,364.2 | ) | — | ||||||||||||||
Total Assets | $ | 8,827.30 | $ | 5,865.00 | $ | 752.6 | $ | (5,242.4 | ) | $ | 10,202.50 | |||||||||
LIABILITIES & EQUITY | ||||||||||||||||||||
Accounts payable and other liabilities | $ | 409.8 | $ | 853.3 | $ | 136.9 | $ | — | $ | 1,400.00 | ||||||||||
Intercompany payables | — | 2,282.20 | 82 | (2,364.2 | ) | — | ||||||||||||||
Notes payable | 3,301.70 | 3.4 | 377.7 | — | 3,682.80 | |||||||||||||||
Total Liabilities | 3,711.50 | 3,138.90 | 596.6 | (2,364.2 | ) | 5,082.80 | ||||||||||||||
Total stockholders’ equity | 5,115.80 | 2,726.10 | 152.1 | (2,878.2 | ) | 5,115.80 | ||||||||||||||
Noncontrolling interests | — | — | 3.9 | — | 3.9 | |||||||||||||||
Total Equity | 5,115.80 | 2,726.10 | 156 | (2,878.2 | ) | 5,119.70 | ||||||||||||||
Total Liabilities & Equity | $ | 8,827.30 | $ | 5,865.00 | $ | 752.6 | $ | (5,242.4 | ) | $ | 10,202.50 | |||||||||
NOTE O – SUPPLEMENTAL GUARANTOR INFORMATION - (Continued) | ||||||||||||||||||||
Consolidating Balance Sheet | ||||||||||||||||||||
September 30, 2013 | ||||||||||||||||||||
D.R. | Guarantor | Non-Guarantor | Eliminations | Total | ||||||||||||||||
Horton, Inc. | Subsidiaries | Subsidiaries | ||||||||||||||||||
(In millions) | ||||||||||||||||||||
ASSETS | ||||||||||||||||||||
Cash and cash equivalents | $ | 871.4 | $ | 38.4 | $ | 67.6 | $ | — | $ | 977.4 | ||||||||||
Restricted cash | 76.5 | 1.2 | 0.1 | — | 77.8 | |||||||||||||||
Investments in subsidiaries | 2,477.70 | — | — | (2,477.7 | ) | — | ||||||||||||||
Inventories | 2,177.40 | 4,002.90 | 17.1 | — | 6,197.40 | |||||||||||||||
Deferred income taxes | 201.7 | 384.9 | — | — | 586.6 | |||||||||||||||
Property and equipment, net | 41 | 34.5 | 31.2 | — | 106.7 | |||||||||||||||
Other assets | 167 | 233.4 | 76.1 | — | 476.5 | |||||||||||||||
Mortgage loans held for sale | — | — | 395.1 | — | 395.1 | |||||||||||||||
Goodwill | — | 38.9 | — | — | 38.9 | |||||||||||||||
Intercompany receivables | 1,697.00 | — | — | (1,697.0 | ) | — | ||||||||||||||
Total Assets | $ | 7,709.70 | $ | 4,734.20 | $ | 587.2 | $ | (4,174.7 | ) | $ | 8,856.40 | |||||||||
LIABILITIES & EQUITY | ||||||||||||||||||||
Accounts payable and other liabilities | $ | 383.8 | $ | 766.5 | $ | 135.7 | $ | — | $ | 1,286.00 | ||||||||||
Intercompany payables | — | 1,664.20 | 32.8 | (1,697.0 | ) | — | ||||||||||||||
Notes payable | 3,267.40 | 3 | 238.6 | — | 3,509.00 | |||||||||||||||
Total Liabilities | 3,651.20 | 2,433.70 | 407.1 | (1,697.0 | ) | 4,795.00 | ||||||||||||||
Total stockholders’ equity | 4,058.50 | 2,300.50 | 177.2 | (2,477.7 | ) | 4,058.50 | ||||||||||||||
Noncontrolling interests | — | — | 2.9 | — | 2.9 | |||||||||||||||
Total Equity | 4,058.50 | 2,300.50 | 180.1 | (2,477.7 | ) | 4,061.40 | ||||||||||||||
Total Liabilities & Equity | $ | 7,709.70 | $ | 4,734.20 | $ | 587.2 | $ | (4,174.7 | ) | $ | 8,856.40 | |||||||||
NOTE O – SUPPLEMENTAL GUARANTOR INFORMATION - (Continued) | ||||||||||||||||||||
Consolidating Statement of Operations | ||||||||||||||||||||
Year Ended September 30, 2014 | ||||||||||||||||||||
D.R. | Guarantor | Non-Guarantor | Eliminations | Total | ||||||||||||||||
Horton, Inc. | Subsidiaries | Subsidiaries | ||||||||||||||||||
(In millions) | ||||||||||||||||||||
Homebuilding: | ||||||||||||||||||||
Revenues | $ | 2,547.40 | $ | 5,299.90 | $ | 11.2 | $ | — | $ | 7,858.50 | ||||||||||
Cost of sales | 2,038.00 | 4,222.50 | 8.1 | — | 6,268.60 | |||||||||||||||
Gross profit | 509.4 | 1,077.40 | 3.1 | — | 1,589.90 | |||||||||||||||
Selling, general and administrative expense | 388.3 | 433 | 12.9 | — | 834.2 | |||||||||||||||
Equity in (income) of subsidiaries | (691.8 | ) | — | — | 691.8 | — | ||||||||||||||
Other (income) | (1.3 | ) | (3.3 | ) | (8.5 | ) | — | (13.1 | ) | |||||||||||
Homebuilding pre-tax income (loss) | 814.2 | 647.7 | (1.3 | ) | (691.8 | ) | 768.8 | |||||||||||||
Financial Services: | ||||||||||||||||||||
Revenues, net of recourse and reinsurance expense | — | — | 166.4 | — | 166.4 | |||||||||||||||
General and administrative expense | — | — | 131.2 | — | 131.2 | |||||||||||||||
Interest and other (income) | — | — | (10.2 | ) | — | (10.2 | ) | |||||||||||||
Financial services pre-tax income | — | — | 45.4 | — | 45.4 | |||||||||||||||
Income before income taxes | 814.2 | 647.7 | 44.1 | (691.8 | ) | 814.2 | ||||||||||||||
Income tax expense | 280.7 | 222.1 | 16.6 | (238.7 | ) | 280.7 | ||||||||||||||
Net income | $ | 533.5 | $ | 425.6 | $ | 27.5 | $ | (453.1 | ) | $ | 533.5 | |||||||||
Comprehensive income | $ | 533.5 | $ | 425.9 | $ | 27.5 | $ | (453.1 | ) | $ | 533.8 | |||||||||
NOTE O – SUPPLEMENTAL GUARANTOR INFORMATION - (Continued) | ||||||||||||||||||||
Consolidating Statement of Operations | ||||||||||||||||||||
Year Ended September 30, 2013 | ||||||||||||||||||||
D.R. | Guarantor | Non-Guarantor | Eliminations | Total | ||||||||||||||||
Horton, Inc. | Subsidiaries | Subsidiaries | ||||||||||||||||||
(In millions) | ||||||||||||||||||||
Homebuilding: | ||||||||||||||||||||
Revenues | $ | 1,981.60 | $ | 4,094.10 | $ | 10.2 | $ | — | $ | 6,085.90 | ||||||||||
Cost of sales | 1,563.10 | 3,279.90 | 10.5 | — | 4,853.50 | |||||||||||||||
Gross profit (loss) | 418.5 | 814.2 | (0.3 | ) | — | 1,232.40 | ||||||||||||||
Selling, general and administrative expense | 302.1 | 341.1 | 6.7 | — | 649.9 | |||||||||||||||
Equity in (income) of subsidiaries | (542.5 | ) | — | — | 542.5 | — | ||||||||||||||
Interest expense | 5.1 | — | — | — | 5.1 | |||||||||||||||
Other (income) | (4.0 | ) | (3.7 | ) | (7.2 | ) | — | (14.9 | ) | |||||||||||
Homebuilding pre-tax income | 657.8 | 476.8 | 0.2 | (542.5 | ) | 592.3 | ||||||||||||||
Financial Services: | ||||||||||||||||||||
Revenues, net of recourse and reinsurance expense | — | — | 173.4 | — | 173.4 | |||||||||||||||
General and administrative expense | — | — | 116.4 | — | 116.4 | |||||||||||||||
Interest and other (income) | — | — | (8.5 | ) | — | (8.5 | ) | |||||||||||||
Financial services pre-tax income | — | — | 65.5 | — | 65.5 | |||||||||||||||
Income before income taxes | 657.8 | 476.8 | 65.7 | (542.5 | ) | 657.8 | ||||||||||||||
Income tax expense | 195.1 | 126.9 | 18.7 | (145.6 | ) | 195.1 | ||||||||||||||
Net income | $ | 462.7 | $ | 349.9 | $ | 47 | $ | (396.9 | ) | $ | 462.7 | |||||||||
Comprehensive income | $ | 462.5 | $ | 351.8 | $ | 47 | $ | (396.9 | ) | $ | 464.4 | |||||||||
NOTE O – SUPPLEMENTAL GUARANTOR INFORMATION - (Continued) | ||||||||||||||||||||
Consolidating Statement of Operations | ||||||||||||||||||||
Year Ended September 30, 2012 | ||||||||||||||||||||
D.R. | Guarantor | Non-Guarantor | Eliminations | Total | ||||||||||||||||
Horton, Inc. | Subsidiaries | Subsidiaries | ||||||||||||||||||
(In millions) | ||||||||||||||||||||
Homebuilding: | ||||||||||||||||||||
Revenues | $ | 1,400.30 | $ | 2,828.00 | $ | 7.9 | $ | — | $ | 4,236.20 | ||||||||||
Cost of sales | 1,130.90 | 2,341.50 | 20 | — | 3,492.40 | |||||||||||||||
Gross profit (loss) | 269.4 | 486.5 | (12.1 | ) | — | 743.8 | ||||||||||||||
Selling, general and administrative expense | 243.6 | 277.5 | 7.6 | — | 528.7 | |||||||||||||||
Equity in (income) of subsidiaries | (235.7 | ) | — | — | 235.7 | — | ||||||||||||||
Interest expense | 23.6 | — | — | — | 23.6 | |||||||||||||||
Other (income) | (5.0 | ) | (2.2 | ) | (5.0 | ) | — | (12.2 | ) | |||||||||||
Homebuilding pre-tax income (loss) | 242.9 | 211.2 | (14.7 | ) | (235.7 | ) | 203.7 | |||||||||||||
Financial Services: | ||||||||||||||||||||
Revenues, net of recourse and reinsurance expense | — | — | 117.8 | — | 117.8 | |||||||||||||||
General and administrative expense | — | — | 85.5 | — | 85.5 | |||||||||||||||
Interest and other (income) | — | — | (6.9 | ) | — | (6.9 | ) | |||||||||||||
Financial services pre-tax income | — | — | 39.2 | — | 39.2 | |||||||||||||||
Income before income taxes | 242.9 | 211.2 | 24.5 | (235.7 | ) | 242.9 | ||||||||||||||
Income tax benefit | (713.4 | ) | (463.4 | ) | (20.6 | ) | 484 | (713.4 | ) | |||||||||||
Net income | $ | 956.3 | $ | 674.6 | $ | 45.1 | $ | (719.7 | ) | $ | 956.3 | |||||||||
Comprehensive income | $ | 956.4 | $ | 674.6 | $ | 45.1 | $ | (719.7 | ) | $ | 956.4 | |||||||||
NOTE O – SUPPLEMENTAL GUARANTOR INFORMATION - (Continued) | ||||||||||||||||||||
Consolidating Statement of Cash Flows | ||||||||||||||||||||
Year Ended September 30, 2014 | ||||||||||||||||||||
D.R. | Guarantor | Non-Guarantor | Eliminations | Total | ||||||||||||||||
Horton, Inc. | Subsidiaries | Subsidiaries | ||||||||||||||||||
(In millions) | ||||||||||||||||||||
OPERATING ACTIVITIES | ||||||||||||||||||||
Net cash used in operating activities | $ | (257.4 | ) | $ | (293.9 | ) | $ | (57.5 | ) | $ | (52.6 | ) | $ | (661.4 | ) | |||||
INVESTING ACTIVITIES | ||||||||||||||||||||
Purchases of property and equipment | (63.9 | ) | (28.0 | ) | (8.3 | ) | — | (100.2 | ) | |||||||||||
Decrease (increase) in restricted cash | 69.7 | (0.9 | ) | (1.0 | ) | — | 67.8 | |||||||||||||
Net principal increase of other mortgage loans and real estate owned | — | — | (5.6 | ) | — | (5.6 | ) | |||||||||||||
Intercompany advances | (385.7 | ) | — | — | 385.7 | — | ||||||||||||||
Payments related to acquisition of a business | (244.1 | ) | — | — | — | (244.1 | ) | |||||||||||||
Net cash used in investing activities | (624.0 | ) | (28.9 | ) | (14.9 | ) | 385.7 | (282.1 | ) | |||||||||||
FINANCING ACTIVITIES | ||||||||||||||||||||
Proceeds from notes payable | 1,307.00 | — | 120.6 | — | 1,427.60 | |||||||||||||||
Repayment of notes payable | (796.8 | ) | — | (0.1 | ) | — | (796.9 | ) | ||||||||||||
Intercompany advances | — | 373.9 | 11.8 | (385.7 | ) | — | ||||||||||||||
Proceeds from stock associated with certain employee benefit plans | 45.2 | — | — | — | 45.2 | |||||||||||||||
Excess income tax benefit from employee stock awards | 0.6 | — | — | — | 0.6 | |||||||||||||||
Cash dividends paid | (48.6 | ) | — | (52.6 | ) | 52.6 | (48.6 | ) | ||||||||||||
Net cash provided by financing activities | 507.4 | 373.9 | 79.7 | (333.1 | ) | 627.9 | ||||||||||||||
(Decrease) increase in cash and cash equivalents | (374.0 | ) | 51.1 | 7.3 | — | (315.6 | ) | |||||||||||||
Cash and cash equivalents at beginning of year | 871.4 | 38.4 | 67.6 | — | 977.4 | |||||||||||||||
Cash and cash equivalents at end of year | $ | 497.4 | $ | 89.5 | $ | 74.9 | $ | — | $ | 661.8 | ||||||||||
NOTE O – SUPPLEMENTAL GUARANTOR INFORMATION - (Continued) | ||||||||||||||||||||
Consolidating Statement of Cash Flows | ||||||||||||||||||||
Year Ended September 30, 2013 | ||||||||||||||||||||
D.R. | Guarantor | Non-Guarantor | Eliminations | Total | ||||||||||||||||
Horton, Inc. | Subsidiaries | Subsidiaries | ||||||||||||||||||
(In millions) | ||||||||||||||||||||
OPERATING ACTIVITIES | ||||||||||||||||||||
Net cash (used in) provided by operating activities | $ | (523.7 | ) | $ | (670.6 | ) | $ | 5 | $ | (40.0 | ) | $ | (1,229.3 | ) | ||||||
INVESTING ACTIVITIES | ||||||||||||||||||||
Purchases of property and equipment | (29.7 | ) | (24.0 | ) | (4.3 | ) | — | (58.0 | ) | |||||||||||
Purchases of marketable securities | (28.9 | ) | — | — | — | (28.9 | ) | |||||||||||||
Proceeds from the sale or maturity of marketable securities | 325.4 | — | — | — | 325.4 | |||||||||||||||
Increase in restricted cash | (27.8 | ) | (0.7 | ) | — | — | (28.5 | ) | ||||||||||||
Net principal increase of other mortgage loans and real estate owned | — | — | (2.5 | ) | — | (2.5 | ) | |||||||||||||
Purchase of debt securities collateralized by residential real estate | (18.6 | ) | — | — | — | (18.6 | ) | |||||||||||||
Principal payments received on debt securities collateralized by residential real estate | 1.4 | — | — | — | 1.4 | |||||||||||||||
Intercompany advances | (674.4 | ) | — | — | 674.4 | — | ||||||||||||||
Payments related to acquisition of a business | (9.4 | ) | — | — | — | (9.4 | ) | |||||||||||||
Net cash (used in) provided by investing activities | (462.0 | ) | (24.7 | ) | (6.8 | ) | 674.4 | 180.9 | ||||||||||||
FINANCING ACTIVITIES | ||||||||||||||||||||
Proceeds from notes payable | 1,257.10 | — | 50.8 | — | 1,307.90 | |||||||||||||||
Repayment of notes payable | (345.1 | ) | — | — | — | (345.1 | ) | |||||||||||||
Intercompany advances | — | 677.4 | (3.0 | ) | (674.4 | ) | — | |||||||||||||
Proceeds from stock associated with certain employee benefit plans | 29.7 | — | — | — | 29.7 | |||||||||||||||
Excess income tax benefit from employee stock awards | 6.7 | — | — | — | 6.7 | |||||||||||||||
Cash dividends paid | (60.2 | ) | — | (40.0 | ) | 40 | (60.2 | ) | ||||||||||||
Net cash provided by financing activities | 888.2 | 677.4 | 7.8 | (634.4 | ) | 939 | ||||||||||||||
(Decrease) increase in cash and cash equivalents | (97.5 | ) | (17.9 | ) | 6 | — | (109.4 | ) | ||||||||||||
Cash and cash equivalents at beginning of year | 968.9 | 56.3 | 61.6 | — | 1,086.80 | |||||||||||||||
Cash and cash equivalents at end of year | $ | 871.4 | $ | 38.4 | $ | 67.6 | $ | — | $ | 977.4 | ||||||||||
NOTE O – SUPPLEMENTAL GUARANTOR INFORMATION - (Continued) | ||||||||||||||||||||
Consolidating Statement of Cash Flows | ||||||||||||||||||||
Year Ended September 30, 2012 | ||||||||||||||||||||
D.R. | Guarantor | Non-Guarantor | Eliminations | Total | ||||||||||||||||
Horton, Inc. | Subsidiaries | Subsidiaries | ||||||||||||||||||
(In millions) | ||||||||||||||||||||
OPERATING ACTIVITIES | ||||||||||||||||||||
Net cash (used in) provided by operating activities | $ | (115.2 | ) | $ | (126.3 | ) | $ | 0.4 | $ | (51.1 | ) | $ | (292.2 | ) | ||||||
INVESTING ACTIVITIES | ||||||||||||||||||||
Purchases of property and equipment | (10.2 | ) | (7.6 | ) | (15.8 | ) | — | (33.6 | ) | |||||||||||
Purchases of marketable securities | (240.8 | ) | — | — | — | (240.8 | ) | |||||||||||||
Proceeds from the sale or maturity of marketable securities | 232.8 | — | — | — | 232.8 | |||||||||||||||
Increase in restricted cash | — | (0.1 | ) | (0.1 | ) | — | (0.2 | ) | ||||||||||||
Net principal increase of other mortgage loans and real estate owned | — | — | (4.7 | ) | — | (4.7 | ) | |||||||||||||
Intercompany advances | (168.3 | ) | — | — | 168.3 | — | ||||||||||||||
Payments related to acquisition of a business | (96.5 | ) | — | — | — | (96.5 | ) | |||||||||||||
Net cash used in investing activities | (283.0 | ) | (7.7 | ) | (20.6 | ) | 168.3 | (143.0 | ) | |||||||||||
FINANCING ACTIVITIES | ||||||||||||||||||||
Proceeds from notes payable | 694.6 | — | 71.3 | — | 765.9 | |||||||||||||||
Repayment of notes payable | (11.9 | ) | (5.6 | ) | — | — | (17.5 | ) | ||||||||||||
Intercompany advances | — | 164.6 | 3.7 | (168.3 | ) | — | ||||||||||||||
Proceeds from stock associated with certain employee benefit plans | 50.9 | — | — | — | 50.9 | |||||||||||||||
Cash dividends paid | (47.8 | ) | — | (51.1 | ) | 51.1 | (47.8 | ) | ||||||||||||
Net cash provided by financing activities | 685.8 | 159 | 23.9 | (117.2 | ) | 751.5 | ||||||||||||||
Increase in cash and cash equivalents | 287.6 | 25 | 3.7 | — | 316.3 | |||||||||||||||
Cash and cash equivalents at beginning of year | 681.3 | 31.3 | 57.9 | — | 770.5 | |||||||||||||||
Cash and cash equivalents at end of year | $ | 968.9 | $ | 56.3 | $ | 61.6 | $ | — | $ | 1,086.80 | ||||||||||
Summary_of_Significant_Account1
Summary of Significant Accounting Policies (Policies) | 12 Months Ended | |||||||
Sep. 30, 2014 | ||||||||
Accounting Policies [Abstract] | ' | |||||||
Basis of Presentation | ' | |||||||
Basis of Presentation | ||||||||
The consolidated financial statements have been prepared in accordance with U.S. Generally Accepted Accounting Principles (GAAP) and include the accounts of D.R. Horton, Inc. and all of its 100% owned, majority-owned and controlled subsidiaries (which are referred to as the Company, unless the context otherwise requires). All significant intercompany accounts, transactions and balances have been eliminated in consolidation. | ||||||||
Use of Estimates | ' | |||||||
Use of Estimates | ||||||||
The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ materially from those estimates. | ||||||||
Reclassification, Policy [Policy Text Block] | ' | |||||||
Reclassifications | ||||||||
Certain reclassifications have been made in the prior years' financial statements to conform to classifications used in the current year. Cash balances of the Company's captive insurance subsidiary, which are expected to be used by the Company to pay future anticipated legal claims, have been correctly presented within homebuilding cash and cash equivalents rather than homebuilding other assets. These balances were $40.9 million, $39.1 million and $37.9 million at September 30, 2013, 2012 and 2011, respectively. The balance sheet at September 30, 2013 and the statements of cash flows for the fiscal years ended September 30, 2013 and 2012, including the financial statements of the Non-Guarantor Subsidiaries as reflected in Note O, have been revised to reflect this correction. Additionally, the balance sheet at September 30, 2013 has been revised to present land held for sale of $34.0 million as a separate component of inventory, of which $12.1 million had previously been included in residential land and lots - developed and under development and $21.9 million had been included in land held for development. As other prior period financial information is presented in future filings, the Company will similarly revise its financial statements in such filings. | ||||||||
Revenue Recognition | ' | |||||||
Revenue Recognition | ||||||||
Homebuilding revenue and related profit are generally recognized at the time of the closing of a sale, when title to and possession of the property are transferred to the buyer. In situations where the buyer’s financing is originated by DHI Mortgage, the Company’s 100% owned mortgage subsidiary, and the buyer has not made an adequate initial or continuing investment, the profit is deferred until the sale of the related mortgage loan to a third-party purchaser has been completed. At September 30, 2014 and 2013, the Company had deferred profit on these home sales in the amounts of $1.4 million and $2.3 million, respectively. Any profit on land sales is deferred until the full accrual method criteria are met. When appropriate, revenue and profit on long-term construction projects are recognized under the percentage-of-completion method. | ||||||||
Financial services revenues associated with the Company’s title operations are recognized as closing services are rendered and title insurance policies are issued, both of which generally occur simultaneously as each home is closed. The Company transfers substantially all underwriting risk associated with title insurance policies to third-party insurers. The Company typically elects the fair value option for its mortgage loan originations. Mortgage loans held for sale are initially recorded at fair value based on either sale commitments or current market quotes and are adjusted for subsequent changes in fair value until the loans are sold. Net origination costs and fees associated with mortgage loans are recognized at the time of origination. The expected net future cash flows related to the associated servicing of a loan are included in the measurement of all written loan commitments that are accounted for at fair value through earnings at the time of commitment. The Company generally sells the mortgages it originates and the related servicing rights to third-party purchasers. Interest income is earned from the date a mortgage loan is originated until the loan is sold. | ||||||||
Cash and Cash Equivalents | ' | |||||||
Cash and Cash Equivalents | ||||||||
The Company considers all highly liquid investments with an initial maturity of three months or less when purchased to be cash equivalents. Proceeds from home closings held for the Company’s benefit at title companies are included in homebuilding cash in the consolidated balance sheets. | ||||||||
Restricted Cash | ||||||||
The Company has cash that is restricted as to its use. Restricted cash related to homebuilding operations includes cash used as collateral for outstanding letters of credit and customer deposits that are temporarily restricted in accordance with regulatory requirements. | ||||||||
Inventories and Cost of Sales | ' | |||||||
Inventories and Cost of Sales | ||||||||
Inventory includes the costs of direct land acquisition, land development and home construction, capitalized interest, real estate taxes and direct overhead costs incurred during development and home construction. Costs incurred after development projects or homes are substantially complete, such as utilities, maintenance, and cleaning, are charged to selling, general and administrative (SG&A) expense as incurred. All indirect overhead costs, such as compensation of sales personnel, division and region management, and the costs of advertising and builder’s risk insurance are charged to SG&A expense as incurred. | ||||||||
Land and development costs are typically allocated to individual residential lots on a pro-rata basis, and the costs of residential lots are transferred to construction in progress when home construction begins. The specific identification method is used for the purpose of accumulating home construction costs. Cost of sales for homes closed includes the specific construction costs of each home and all applicable land acquisition, land development and related costs (both incurred and estimated to be incurred) allocated to each residential lot based upon the total number of homes expected to be closed in each community. Any changes to the estimated total development costs subsequent to the initial home closings in a community are generally allocated on a pro-rata basis to the remaining homes in the community associated with the relevant development activity. | ||||||||
When a home is closed, the Company generally has not paid all incurred costs necessary to complete the home. A liability and a charge to cost of sales are recorded for the amount that is estimated to ultimately be paid related to completed homes that have been closed. The home construction budgets are compared to actual recorded costs to determine the additional costs remaining to be paid on each closed home. | ||||||||
The Company rarely purchases land for resale. However, when the Company owns land or communities under development that do not fit into its development and construction plans and determines it will sell the asset, the project is accounted for as land held for sale. The Company records land held for sale at the lesser of its carrying value or fair value less estimated costs to sell. | ||||||||
Each quarter, the performance and outlook of land inventory and communities under development are reviewed for indicators of potential impairment. If indicators of impairment are present for a community, the Company performs an impairment evaluation of the community, which includes an analysis to determine if the undiscounted cash flows estimated to be generated by those assets are less than their carrying amounts, and if so, impairment charges are recorded to cost of sales if the fair value of such assets is less than their carrying amounts. Impairment charges are also recorded on finished homes in substantially completed communities when events or circumstances indicate that the carrying values are greater than the fair values less estimated costs to sell these homes. The key assumptions relating to asset valuations are impacted by local market and economic conditions, and are inherently uncertain. Due to uncertainties in the estimation process, actual results could differ from such estimates. See Note C. | ||||||||
Capitalized Interest | ' | |||||||
Capitalized Interest | ||||||||
The Company capitalizes interest costs incurred to inventory during active development and construction (active inventory). Capitalized interest is charged to cost of sales as the related inventory is delivered to the buyer. During fiscal 2012 and a portion of fiscal 2013, the Company’s active inventory was lower than its debt level and therefore, a portion of the interest incurred was reflected as interest expense. However, since the third quarter of fiscal 2013, the Company's active inventory has exceeded its debt level, and all interest incurred has been capitalized to inventory. See Note E. | ||||||||
Land and Lot Option Purchase Contracts | ' | |||||||
Land Option Deposits and Pre-Acquisition Costs | ||||||||
The Company enters into land and lot option purchase contracts to acquire land or lots for the construction of homes. Under these contracts, the Company will fund a stated deposit in consideration for the right, but not the obligation, to purchase land or lots at a future point in time with predetermined terms. Under the terms of many of the option purchase contracts, the option deposits are not refundable in the event the Company elects to terminate the contract. Option deposits and capitalized pre-acquisition costs are expensed to cost of sales when the Company believes it is probable that it will no longer acquire the property under option and will not be able to recover these costs through other means. | ||||||||
Consolidation, Variable Interest Entity, Policy [Policy Text Block] | ' | |||||||
Variable Interests | ||||||||
Option purchase contracts can result in the creation of a variable interest in the entity holding the land parcel under option. There were no variable interest entities reported in the consolidated balance sheets at September 30, 2014 and 2013 because the Company determined it did not control the activities that most significantly impact the variable interest entity’s economic performance and it did not have an obligation to absorb losses of or the right to receive benefits from the entity. The maximum exposure to loss related to the Company’s variable interest entities is limited to the amounts of the Company’s related option deposits. At September 30, 2014 and 2013, the amount of option deposits related to these contracts totaled $55.7 million and $36.9 million, respectively, and are included in homebuilding other assets in the consolidated balance sheets. | ||||||||
Property and Equipment | ' | |||||||
Property and Equipment | ||||||||
Property and equipment are stated at cost less accumulated depreciation. Repairs and maintenance costs are expensed as incurred. Depreciation generally is recorded using the straight-line method over the estimated useful life of the asset. The depreciable life of model home furniture is 2 years, depreciable lives of office furniture and equipment typically range from 2 to 5 years, and depreciable lives of buildings and improvements typically range from 5 to 20 years. | ||||||||
The Company's property and equipment balances and the related accumulated depreciation at September 30, 2014 and 2013 were as follows: | ||||||||
September 30, | ||||||||
2014 | 2013 | |||||||
(In millions) | ||||||||
Buildings and improvements | $ | 112.8 | $ | 92.2 | ||||
Model home furniture | 86.7 | 72.7 | ||||||
Office furniture and equipment | 68.4 | 54.9 | ||||||
Land | 66.9 | 16.9 | ||||||
Total property and equipment | 334.8 | 236.7 | ||||||
Accumulated depreciation | (141.1 | ) | (127.2 | ) | ||||
Property and equipment, net (1) | $ | 193.7 | $ | 109.5 | ||||
_________________ | ||||||||
-1 | Includes $2.9 million and $2.8 million at September 30, 2014 and 2013, respectively, of property and equipment related to the Company's financial services subsidiaries which is included in financial services other assets in the consolidated balance sheets. | |||||||
Depreciation expense was $36.6 million, $22.3 million and $18.8 million in fiscal 2014, 2013 and 2012, respectively. | ||||||||
In July 2014, the Company purchased approximately 177,000 acres in New Mexico as a long-term land investment for $56.0 million. The Company paid $37.4 million in cash and assumed notes payable of $18.6 million from the seller. Of the total purchase price, $46.5 million was allocated to land and the remainder was allocated to buildings, improvements and equipment. As part of the purchase, the Company also obtained the livestock grazing rights under long-term leases on approximately 114,000 acres of land. The Company plans to use the property to conduct ranching and agricultural activities. | ||||||||
Property, Plant and Equipment [Table Text Block] | ' | |||||||
The Company's property and equipment balances and the related accumulated depreciation at September 30, 2014 and 2013 were as follows: | ||||||||
September 30, | ||||||||
2014 | 2013 | |||||||
(In millions) | ||||||||
Buildings and improvements | $ | 112.8 | $ | 92.2 | ||||
Model home furniture | 86.7 | 72.7 | ||||||
Office furniture and equipment | 68.4 | 54.9 | ||||||
Land | 66.9 | 16.9 | ||||||
Total property and equipment | 334.8 | 236.7 | ||||||
Accumulated depreciation | (141.1 | ) | (127.2 | ) | ||||
Property and equipment, net (1) | $ | 193.7 | $ | 109.5 | ||||
Business Combinations Policy [Policy Text Block] | ' | |||||||
Business Acquisitions | ||||||||
The Company accounts for acquisitions of businesses by allocating the purchase price of the business to the various assets acquired and liabilities assumed at their respective fair values. Any excess of the purchase price over the estimated fair values of the identifiable net assets acquired is recorded as goodwill. Significant judgment is often required in estimating the fair value of assets acquired, particularly intangible assets. These estimates and assumptions are based on historical experience and information obtained from the management of the acquired companies. While the Company believes the estimates and assumptions are reasonable, they are inherently uncertain. Unanticipated market or macroeconomic events and circumstances may occur, which could affect the accuracy or validity of the estimates and assumptions. | ||||||||
In August 2012, the Company acquired the homebuilding operations of Breland Homes for $105.9 million in cash, of which $9.4 million was paid in fiscal 2013. Breland Homes operates in Huntsville and Mobile, Alabama and along the coast of Mississippi. The assets acquired included approximately 300 homes in inventory, 1,000 lots and control of approximately 3,700 additional lots through option contracts. The Company also acquired a sales order backlog of 228 homes. In October 2013, the Company acquired the homebuilding operations of Regent Homes, Inc. for $34.5 million in cash. Regent Homes operates in Charlotte, Greensboro and Winston-Salem, North Carolina. The assets acquired included approximately 240 homes in inventory, 300 lots and control of approximately 600 additional lots through option contracts. The Company also acquired a sales order backlog of 213 homes. All of the assets acquired were recorded at their estimated fair values by the Company. These acquisitions were not material to the Company's results of operations or its financial condition. | ||||||||
In May 2014, the Company acquired the homebuilding operations of Crown Communities (Crown) for $209.6 million in cash. Crown operates in Georgia, South Carolina and eastern Alabama. The assets acquired included approximately 640 homes in inventory, 2,350 lots and control of approximately 3,400 additional lots through option contracts. The Company also acquired a sales order backlog of 431 homes. Subsequent to the acquisition, Crown closed 721 homes and generated home sales revenues of $187.7 million during fiscal 2014. | ||||||||
The assets acquired and liabilities assumed from Crown were recorded by the Company at their estimated fair values as of the acquisition date and were as follows (amounts in millions): | ||||||||
Inventories | $ | 140.5 | ||||||
Property and equipment | 1.9 | |||||||
Other assets | 4.9 | |||||||
Goodwill | 53.6 | |||||||
Intangible assets | 11.7 | |||||||
Other liabilities | (3.0 | ) | ||||||
$ | 209.6 | |||||||
As a result of the transaction, the Company recorded goodwill of $53.6 million, whereby $34.1 million was allocated to its Southeast reporting segment and $19.5 million was allocated to its East reporting segment, all of which is tax deductible. The goodwill relates to expected synergies from increasing the Company's market presence in the Georgia and South Carolina markets, Crown's experienced and knowledgeable workforce and their capital efficient operating processes. The intangible assets will be amortized on a straight-line basis to SG&A expense over their expected five-year lives. | ||||||||
Goodwill | ' | |||||||
Goodwill | ||||||||
The Company records goodwill associated with its acquisitions of businesses when the purchase price of the business exceeds the fair value of the net tangible and identifiable intangible assets acquired. Goodwill balances are evaluated for potential impairment on an annual basis. The accounting guidance allows an entity to assess qualitatively whether it is necessary to perform step one of a prescribed two-step annual goodwill impairment test. If an entity believes, as a result of its qualitative assessment, that it is more likely than not that the fair value of a reporting unit exceeds its carrying amount, the two-step goodwill impairment test is not required. The Company performed a qualitative assessment of goodwill at September 30, 2014 and 2013, except for the goodwill related to the recent Crown acquisition, and determined that the two-step process was not necessary. The Company's goodwill balances by reporting segment were as follows: | ||||||||
September 30, | ||||||||
2014 | 2013 | |||||||
(In millions) | ||||||||
East | $ | 21.8 | $ | — | ||||
Midwest | — | — | ||||||
Southeast | 57.1 | 23 | ||||||
South Central | 15.9 | 15.9 | ||||||
Southwest | — | — | ||||||
West | — | — | ||||||
Total Goodwill | $ | 94.8 | $ | 38.9 | ||||
Warranty Claims | ' | |||||||
Warranty Claims | ||||||||
The Company typically provides its homebuyers with a ten-year limited warranty for major defects in structural elements such as framing components and foundation systems, a two-year limited warranty on major mechanical systems, and a one-year limited warranty on other construction components. Since the Company subcontracts its construction work to subcontractors who typically provide it with an indemnity and a certificate of insurance prior to receiving payments for their work, claims relating to workmanship and materials are generally the primary responsibility of the subcontractors. Warranty liabilities have been established by charging cost of sales for each home delivered. The amounts charged are based on management’s estimate of expected warranty-related costs under all unexpired warranty obligation periods. The Company’s warranty liability is based upon historical warranty cost experience in each market in which it operates, and is adjusted as appropriate to reflect qualitative risks associated with the types of homes built and the geographic areas in which they are built. See Note K. | ||||||||
Insurance and Legal Claims | ' | |||||||
Legal Claims and Insurance | ||||||||
The Company records expenses and liabilities for contingencies for legal claims related to construction defect matters, personal injury claims, employment matters, land development issues and contract disputes. The amounts recorded for these contingencies are based on the estimated costs of pending claims and the estimated costs of anticipated future claims related to previously closed homes. The Company estimates and records receivables under applicable insurance policies related to its estimated contingencies when recovery is probable. Additionally, the Company may have the ability to recover a portion of its losses from its subcontractors and their insurance carriers when the Company has been named as an additional insured on their insurance policies. The estimation of losses related to these contingencies and the related estimates of recoveries from insurance policies are subject to a high degree of variability due to uncertainties such as trends in construction defect claims relative to the Company's markets and the types of products built, claim frequency, claim settlement costs and patterns, insurance industry practices and legal interpretations, among others. See Note K. | ||||||||
Advertising Costs | ' | |||||||
Advertising Costs | ||||||||
The Company expenses advertising costs as incurred. Advertising expense was approximately $44.0 million, $33.2 million and $24.4 million in fiscal 2014, 2013 and 2012, respectively. | ||||||||
Income Taxes | ' | |||||||
Income Taxes | ||||||||
The Company’s income tax expense (benefit) is calculated using the asset and liability method, under which deferred tax assets and liabilities are recorded based on the tax consequences of temporary differences between the financial statement amounts of assets and liabilities and their tax bases, and of tax loss and credit carryforwards. In assessing the realizability of deferred tax assets, management considers whether it is more likely than not that some portion or all of the deferred tax assets will not be realized. The realization of deferred tax assets is primarily dependent upon the generation of sufficient taxable income in future periods and in the jurisdictions in which those temporary differences become deductible. The Company records a valuation allowance when it determines it is more likely than not that a portion of the deferred tax assets will not be realized. In determining the future tax consequences of events that have been recognized in the Company’s financial statements or tax returns, judgment is required. Differences between the anticipated and actual outcomes of these future tax consequences could have a material impact on the Company’s consolidated results of operations or financial position. | ||||||||
Interest and penalties related to unrecognized tax benefits are recognized in the financial statements as a component of income tax expense. Significant judgment is required to evaluate uncertain tax positions. The Company evaluates its uncertain tax positions on a quarterly basis. The evaluations are based upon a number of factors, including changes in facts or circumstances, changes in tax law, correspondence with tax authorities during the course of audits and effective settlement of audit issues. Changes in the recognition or measurement of uncertain tax positions could result in increases or decreases in the Company’s income tax expense in the period in which the change is made. See Note G. | ||||||||
Earnings (Loss) Per Share | ' | |||||||
Earnings Per Share | ||||||||
Basic earnings per share is based on the weighted average number of shares of common stock outstanding during each year. Diluted earnings per share is based on the weighted average number of shares of common stock and dilutive securities outstanding during each year. See Note H. | ||||||||
Stock-Based Compensation | ' | |||||||
Stock-Based Compensation | ||||||||
The Company's common stockholders formally authorize shares of stock-based compensation available for future grants. From time to time, the Compensation Committee of the Company's Board of Directors authorizes the grant of stock-based compensation to its employees and directors from these available shares. At September 30, 2014, the outstanding stock-based compensation awards include stock options and restricted stock units. Grants of restricted stock units may vest immediately or over a certain number of years as determined by the Compensation Committee of the Board of Directors. Restricted stock units outstanding at September 30, 2014 have a remaining vesting period of 1 to 3 years. Stock options are granted at exercise prices which equal the market value of the Company's common stock at the date of the grant. The stock options outstanding at September 30, 2014 vest over periods of 2 to 9.75 years from the initial grant date and expire 10 years after the dates on which they were granted. | ||||||||
The compensation expense for stock-based awards is based on the fair value of the award and is recognized on a straight-line basis over the remaining vesting period. The fair values of restricted stock units are based on the stock prices at the date of grant. The fair values of stock options granted are calculated on the date of grant using a Black-Scholes option pricing model. Determining the fair value of share-based awards at the grant date requires judgment in developing assumptions, which involve a number of variables. These variables include, but are not limited to, the expected stock price volatility over the term of the awards, the expected dividend yield and expected stock option exercise behavior. In addition, judgment is used in estimating the number of share-based awards that are expected to be forfeited. The benefits of tax deductions in excess of recognized compensation expense are reported in the consolidated statements of cash flows as a financing cash flow. See Note J. | ||||||||
Fair Value Measurements | ' | |||||||
Fair Value Measurements | ||||||||
The Financial Accounting Standards Board’s (FASB) authoritative guidance for fair value measurements establishes a three-level hierarchy based upon the inputs to the valuation model of an asset or liability. When available, the Company uses quoted market prices in active markets to determine fair value. The Company considers the principal market and nonperformance risk associated with the Company’s counterparties when determining the fair value measurements, if applicable. Fair value measurements are used for the Company’s mortgage loans held for sale, debt securities collateralized by residential real estate, interest rate lock commitments and other derivative instruments on a recurring basis. Fair value measurements are used for inventories, other mortgage loans, rental properties and real estate owned on a nonrecurring basis, when events and circumstances indicate that the carrying value may not be recoverable. See Note M. | ||||||||
Recent Accounting Pronouncements | ' | |||||||
Recent Accounting Pronouncements | ||||||||
In January 2014, the FASB issued ASU 2014-04, “Receivables - Troubled Debt Restructurings by Creditors,” which clarifies when an in substance repossession or foreclosure of residential real estate property collateralizing a consumer mortgage loan has occurred. This guidance helps determine when a creditor should derecognize a loan receivable and recognize real estate property. The guidance is effective for the Company beginning October 1, 2015 and is not expected to have a material impact on its consolidated financial position, results of operations or cash flows. | ||||||||
In May 2014, the FASB issued ASU 2014-09, “Revenue from Contracts with Customers,” which is a comprehensive new revenue recognition model requiring a company to recognize revenue to depict the transfer of goods or services to a customer at an amount reflecting the consideration it expects to receive in exchange for those goods or services. The guidance is effective for the Company beginning October 1, 2017 and allows for both full retrospective or modified retrospective methods of adoption. The Company is currently evaluating the impact of this guidance on its consolidated financial position, results of operations and cash flows. | ||||||||
In June 2014, the FASB issued ASU 2014-11, “Transfers and Servicing - Repurchase-to-Maturity Transactions, Repurchase Financings, and Disclosures,” which changes the accounting for repurchase-to-maturity transactions to secured borrowing accounting. Also, for repurchase financing arrangements, the amendments require separate accounting for a transfer of a financial asset executed contemporaneously with a repurchase agreement with the same counterparty, which will result in secured borrowing accounting for the repurchase agreement. The guidance is effective for the Company beginning January 1, 2015 and will not have a material impact on its consolidated financial position, results of operations or cash flows. | ||||||||
In June 2014, the FASB issued ASU 2014-12, “Compensation - Stock Compensation,” which states that a performance target in a share-based payment that affects vesting and that could be achieved after the requisite service period should be accounted for as a performance condition. The guidance is effective for the Company beginning October 1, 2016 and is not expected to have a material impact on its consolidated financial position, results of operations or cash flows. | ||||||||
In August 2014, the FASB issued ASU 2014-14, “Receivables - Troubled Debt Restructurings by Creditors,” which requires that certain government-guaranteed mortgage loans, including those guaranteed by the FHA and VA, be derecognized and that a separate other receivable be recognized upon foreclosure if certain conditions are met. Upon foreclosure, the separate other receivable should be measured based on the amount of the loan balance expected to be recovered from the guarantor. The guidance is effective for the Company beginning October 1, 2015 and is not expected to have a material impact on its consolidated financial position, results of operations or cash flows. | ||||||||
In August 2014, the FASB issued ASU 2014-15, “Presentation of Financial Statements - Going Concern,” which provides guidance about management's responsibility to evaluate whether there is substantial doubt about the entity's ability to continue as a going concern and to provide related footnote disclosures. This guidance is intended to reduce the diversity in the timing and content of footnote disclosures. The guidance is effective for the Company at the end of fiscal 2017 and is not expected to have any impact on its consolidated financial position, results of operations or cash flows. |
Segment_Information_Tables
Segment Information (Tables) | 12 Months Ended | |||||||||||
Sep. 30, 2014 | ||||||||||||
Segment Reporting [Abstract] | ' | |||||||||||
Reporting segment results | ' | |||||||||||
The accounting policies of the reporting segments are described throughout Note A. Financial information relating to the Company's reporting segments is as follows: | ||||||||||||
Year Ended September 30, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
(In millions) | ||||||||||||
Revenues | ||||||||||||
Homebuilding revenues: | ||||||||||||
East | $ | 954.7 | $ | 686.3 | $ | 542.4 | ||||||
Midwest | 483.5 | 471.5 | 339.3 | |||||||||
Southeast | 2,167.00 | 1,520.70 | 934.6 | |||||||||
South Central | 1,971.20 | 1,526.20 | 1,158.40 | |||||||||
Southwest | 285.2 | 327.7 | 270.7 | |||||||||
West | 1,996.90 | 1,553.50 | 990.8 | |||||||||
Homebuilding revenues | 7,858.50 | 6,085.90 | 4,236.20 | |||||||||
Financial services revenues | 166.4 | 173.4 | 117.8 | |||||||||
Total revenues | $ | 8,024.90 | $ | 6,259.30 | $ | 4,354.00 | ||||||
Inventory Impairments | ||||||||||||
East | $ | 17.7 | $ | 0.1 | $ | 1 | ||||||
Midwest | 49.3 | — | — | |||||||||
Southeast | 3.1 | — | 1.6 | |||||||||
South Central | — | 1 | 0.1 | |||||||||
Southwest | — | — | 0.5 | |||||||||
West | 5.1 | 20.2 | — | |||||||||
Total inventory impairments | $ | 75.2 | $ | 21.3 | $ | 3.2 | ||||||
Income (Loss) Before Income Taxes (1) | ||||||||||||
Homebuilding pre-tax income (loss): | ||||||||||||
East | $ | 45.2 | $ | 48.3 | $ | 16 | ||||||
Midwest | (9.5 | ) | 38.9 | 1.1 | ||||||||
Southeast | 218 | 148.4 | 38 | |||||||||
South Central | 208 | 149 | 80.6 | |||||||||
Southwest | 25.5 | 26.3 | 16.8 | |||||||||
West | 281.6 | 181.4 | 51.2 | |||||||||
Homebuilding pre-tax income | 768.8 | 592.3 | 203.7 | |||||||||
Financial services pre-tax income | 45.4 | 65.5 | 39.2 | |||||||||
Income before income taxes | $ | 814.2 | $ | 657.8 | $ | 242.9 | ||||||
____________ | ||||||||||||
-1 | Expenses maintained at the corporate level consist primarily of interest and property taxes, which are capitalized and amortized to cost of sales or expensed directly, and the expenses related to operating the Company’s corporate office. The amortization of capitalized interest and property taxes is allocated to each segment based on the segment’s revenue, while those expenses associated with the corporate office are allocated to each segment based on the segment’s inventory balances. | |||||||||||
September 30, | ||||||||||||
2014 | 2013 | |||||||||||
(In millions) | ||||||||||||
Homebuilding Inventories (1): | ||||||||||||
East | $ | 842.7 | $ | 742.9 | ||||||||
Midwest | 477.6 | 412.2 | ||||||||||
Southeast | 1,943.00 | 1,508.50 | ||||||||||
South Central | 1,742.50 | 1,443.60 | ||||||||||
Southwest | 292.9 | 262.4 | ||||||||||
West | 2,169.40 | 1,668.20 | ||||||||||
Corporate and unallocated (2) | 232.4 | 159.6 | ||||||||||
Total homebuilding inventories | $ | 7,700.50 | $ | 6,197.40 | ||||||||
____________ | ||||||||||||
-1 | Homebuilding inventories are the only assets included in the measure of homebuilding segment assets used by the Company’s chief operating decision makers. | |||||||||||
-2 | Corporate and unallocated consists primarily of capitalized interest and property taxes. |
Notes_Payable_Tables
Notes Payable (Tables) | 12 Months Ended | |||||||||||
Sep. 30, 2014 | ||||||||||||
Debt Disclosure [Abstract] | ' | |||||||||||
Summary of notes payable at principal amounts, net of unamortized discounts | ' | |||||||||||
The Company’s notes payable at their principal amounts, net of any unamortized discounts, consist of the following: | ||||||||||||
September 30, | ||||||||||||
2014 | 2013 | |||||||||||
(In millions) | ||||||||||||
Homebuilding: | ||||||||||||
Unsecured: | ||||||||||||
Revolving credit facility, maturing 2019 | $ | 300 | $ | — | ||||||||
6.125% senior notes due 2014, net | — | 145.8 | ||||||||||
2% convertible senior notes due 2014, net | — | 478.7 | ||||||||||
5.625% senior notes due 2014, net | — | 137.8 | ||||||||||
5.25% senior notes due 2015, net | 157.7 | 157.5 | ||||||||||
5.625% senior notes due 2016, net | 169.9 | 169.7 | ||||||||||
6.5% senior notes due 2016, net | 372.6 | 372.5 | ||||||||||
4.75% senior notes due 2017 | 350 | 350 | ||||||||||
3.625% senior notes due 2018 | 400 | 400 | ||||||||||
3.75% senior notes due 2019 | 500 | — | ||||||||||
4.375% senior notes due 2022 | 350 | 350 | ||||||||||
4.75% senior notes due 2023 | 300 | 300 | ||||||||||
5.75% senior notes due 2023 | 400 | 400 | ||||||||||
Other secured | 23.4 | 8.4 | ||||||||||
$ | 3,323.60 | $ | 3,270.40 | |||||||||
Financial Services: | ||||||||||||
Mortgage repurchase facility, maturing 2015 | $ | 359.2 | $ | 238.6 | ||||||||
Summary of notes payable terms | ' | |||||||||||
The key terms of each of the Company’s senior notes outstanding as of September 30, 2014 are summarized below. | ||||||||||||
Note Payable | Principal Amount | Date Issued | Date Due | Redeemable | Effective | |||||||
Prior to | Interest Rate (1) | |||||||||||
Maturity | ||||||||||||
(In millions) | ||||||||||||
5.25% senior | $157.70 | Feb-05 | February 15, 2015 | Yes | -2 | 5.40% | ||||||
5.625% senior | $170.20 | Dec-04 | January 15, 2016 | Yes | -2 | 5.80% | ||||||
6.5% senior | $372.70 | Apr-06 | April 15, 2016 | Yes | -2 | 6.60% | ||||||
4.75% senior | $350.00 | May-12 | May 15, 2017 | Yes | -2 | 5.00% | ||||||
3.625% senior | $400.00 | Feb-13 | February 15, 2018 | Yes | -2 | 3.80% | ||||||
3.75% senior | $500.00 | Feb-14 | March 1, 2019 | Yes | -2 | 3.90% | ||||||
4.375% senior | $350.00 | Sep-12 | September 15, 2022 | Yes | -2 | 4.50% | ||||||
4.75% senior | $300.00 | Feb-13 | February 15, 2023 | Yes | -2 | 4.90% | ||||||
5.75% senior | $400.00 | Aug-13 | August 15, 2023 | Yes | -2 | 5.90% | ||||||
______________ | ||||||||||||
-1 | Interest is payable semi-annually on each of the series of senior notes. The annual effective interest rate is calculated after giving effect to the amortization of the financing costs and any discount associated with the note issuance. | |||||||||||
-2 | The Company may redeem the notes in whole at any time or in part from time to time, at a redemption price equal to the greater of 100% of their principal amount or the present value of the remaining scheduled payments on the redemption date, plus accrued interest. |
Mortgage_Loans_Tables
Mortgage Loans (Tables) | 12 Months Ended | |||||||
Sep. 30, 2014 | ||||||||
Mortgage Loans on Real Estate [Abstract] | ' | |||||||
Schedule of other mortgage loans and real estate owned | ' | |||||||
At September 30, 2014 and 2013, the Company’s total other mortgage loans and real estate owned, before loss reserves, were as follows: | ||||||||
September 30, | ||||||||
2014 | 2013 | |||||||
(In millions) | ||||||||
Other mortgage loans | $ | 41 | $ | 35.9 | ||||
Real estate owned | 0.7 | 1.3 | ||||||
$ | 41.7 | $ | 37.2 | |||||
Schedule of mortgage loss reserves | ' | |||||||
The reserve balances at September 30, 2014 and 2013 were as follows: | ||||||||
September 30, | ||||||||
2014 | 2013 | |||||||
(In millions) | ||||||||
Loss reserves related to: | ||||||||
Other mortgage loans | $ | 1.7 | $ | 3.2 | ||||
Real estate owned | 0.1 | 0.2 | ||||||
Loan repurchase and settlement obligations — known and expected | 24.4 | 25.9 | ||||||
$ | 26.2 | $ | 29.3 | |||||
Income_Taxes_Tables
Income Taxes (Tables) | 12 Months Ended | |||||||||||
Sep. 30, 2014 | ||||||||||||
Income Tax Disclosure [Abstract] | ' | |||||||||||
Components of income tax expense (benefit) | ' | |||||||||||
The components of the Company’s income tax expense (benefit) are as follows: | ||||||||||||
Year Ended September 30, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
(In millions) | ||||||||||||
Current tax expense (benefit): | ||||||||||||
Federal | $ | 253.6 | $ | 66.6 | $ | (7.0 | ) | |||||
State | 9.1 | 6.8 | 3.1 | |||||||||
262.7 | 73.4 | (3.9 | ) | |||||||||
Deferred tax expense (benefit): | ||||||||||||
Federal | 2.9 | 146.3 | (616.1 | ) | ||||||||
State | 15.1 | (24.6 | ) | (93.4 | ) | |||||||
18 | 121.7 | (709.5 | ) | |||||||||
Total income tax expense (benefit) | $ | 280.7 | $ | 195.1 | $ | (713.4 | ) | |||||
Comparison of income tax expense (benefit) and tax computed at the statutory rate | ' | |||||||||||
Differences between income tax expense (benefit) and tax computed by applying the federal statutory rate of 35% to income before income taxes during each year is due to the following: | ||||||||||||
Year Ended September 30, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
(In millions) | ||||||||||||
Income taxes at federal statutory rate | $ | 285 | $ | 230.2 | $ | 85 | ||||||
Increase (decrease) in tax resulting from: | ||||||||||||
State income taxes, net of federal benefit | 24.9 | 6.5 | 12.1 | |||||||||
Domestic production activities deduction | (22.4 | ) | (6.5 | ) | — | |||||||
Uncertain tax positions | (6.4 | ) | (12.7 | ) | (2.3 | ) | ||||||
Valuation allowance | 0.1 | (24.1 | ) | (806.6 | ) | |||||||
Tax credits | (0.9 | ) | (1.1 | ) | (1.3 | ) | ||||||
Other | 0.4 | 2.8 | (0.3 | ) | ||||||||
Total income tax expense (benefit) | $ | 280.7 | $ | 195.1 | $ | (713.4 | ) | |||||
Components of deferred tax assets and liabilities | ' | |||||||||||
Components of deferred income taxes are summarized as follows: | ||||||||||||
September 30, | ||||||||||||
2014 | 2013 | |||||||||||
(In millions) | ||||||||||||
Deferred tax assets: | ||||||||||||
Inventory costs | $ | 88.6 | $ | 74.5 | ||||||||
Inventory impairments | 234.7 | 267.6 | ||||||||||
Warranty and construction defect costs | 117.3 | 114.5 | ||||||||||
Net operating loss carryforwards | 84.5 | 99.3 | ||||||||||
Tax credit carryforwards | 7.6 | 5.9 | ||||||||||
Incentive compensation plans | 69.3 | 69.9 | ||||||||||
Deferral of profit on home sales | 1.9 | 1.9 | ||||||||||
Other | 19.9 | 21.5 | ||||||||||
Total deferred tax assets | 623.8 | 655.1 | ||||||||||
Valuation allowance | (31.1 | ) | (31.0 | ) | ||||||||
Total deferred tax assets, net of valuation allowance | 592.7 | 624.1 | ||||||||||
Deferred tax liabilities | 27.7 | 37.5 | ||||||||||
Deferred income taxes, net | $ | 565 | $ | 586.6 | ||||||||
Rollforward of unrecognized tax benefits | ' | |||||||||||
A reconciliation of the beginning and ending amounts of unrecognized tax benefits is as follows: | ||||||||||||
Year Ended September 30, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
(In millions) | ||||||||||||
Unrecognized tax benefits, beginning of year | $ | 4.2 | $ | 14.1 | $ | 16.3 | ||||||
Reductions attributable to tax positions taken in prior years | (4.2 | ) | (2.4 | ) | (1.6 | ) | ||||||
Reductions attributable to lapse of statute of limitations | — | (7.5 | ) | (0.6 | ) | |||||||
Unrecognized tax benefits, end of year | $ | — | $ | 4.2 | $ | 14.1 | ||||||
Earnings_Per_Share_Tables
Earnings Per Share (Tables) | 12 Months Ended | ||||||||||||
Sep. 30, 2014 | |||||||||||||
Earnings Per Share [Abstract] | ' | ||||||||||||
Numerator and denominator used to compute basic and diluted earnings (loss) per share | ' | ||||||||||||
The following table sets forth the numerators and denominators used in the computation of basic and diluted earnings per share. Options to purchase 8.5 million, 4.6 million and 6.4 million shares of common stock were excluded from the computation of diluted earnings per share for fiscal 2014, 2013 and 2012, respectively, because the exercise price of the options was greater than the average market price of the common shares and, therefore, their effect would have been antidilutive. | |||||||||||||
Year Ended September 30, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
(In millions) | |||||||||||||
Numerator: | |||||||||||||
Net income | $ | 533.5 | $ | 462.7 | $ | 956.3 | |||||||
Effect of dilutive securities: | |||||||||||||
Interest and amortization of issuance costs associated with convertible senior notes, net of tax, if applicable | 16.5 | 23.9 | 36.8 | ||||||||||
Numerator for diluted earnings per share after assumed conversions | $ | 550 | $ | 486.6 | $ | 993.1 | |||||||
Denominator: | |||||||||||||
Denominator for basic earnings per share — weighted average common shares | 340.5 | 322.1 | 318.1 | ||||||||||
Effect of dilutive securities: | |||||||||||||
Employee stock awards | 3.1 | 4.2 | 2.6 | ||||||||||
Convertible senior notes | 23 | 38.6 | 38.3 | ||||||||||
Denominator for diluted earnings per share — adjusted weighted average common shares | 366.6 | 364.9 | 359 | ||||||||||
Employee_Benefit_Plans_Tables
Employee Benefit Plans (Tables) | 12 Months Ended | ||||||||||||||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||||||||||||||
Compensation Related Costs [Abstract] | ' | ||||||||||||||||||||||||||||
Schedule of Share-based Compensation, Restricted Stock Units Award Activity [Table Text Block] | ' | ||||||||||||||||||||||||||||
The following table provides additional information related to the Performance Units granted in fiscal 2014, 2013 and 2012 and outstanding at September 30, 2014. | |||||||||||||||||||||||||||||
Grant Date | Vesting Date | Target Number of Performance Units | Grant Date Fair Value per Unit | Liability at September 30, | Compensation Expense | ||||||||||||||||||||||||
Year Ended September 30, | |||||||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | 2012 | |||||||||||||||||||||||||
(In millions) | (In millions) | ||||||||||||||||||||||||||||
Nov-11 | Sep-14 | 350,000 | $ | 11.79 | $ | 11.7 | $ | 7.4 | $ | 4.3 | $ | 3.3 | $ | 4.1 | |||||||||||||||
Nov-12 | Sep-15 | 350,000 | 22.15 | 4.9 | 2.7 | 2.2 | 2.7 | — | |||||||||||||||||||||
Nov-13 | Sep-16 | 350,000 | 19.64 | 2.6 | — | 2.6 | — | — | |||||||||||||||||||||
$ | 19.2 | $ | 10.1 | $ | 9.1 | $ | 6 | $ | 4.1 | ||||||||||||||||||||
Summarized information related to activity under the Company's Stock Incentive Plan | ' | ||||||||||||||||||||||||||||
The following table provides additional information related to stock option activity under the Company’s Stock Incentive Plan. | |||||||||||||||||||||||||||||
Year Ended September 30, | |||||||||||||||||||||||||||||
2014 | 2013 | 2012 | |||||||||||||||||||||||||||
Stock Options | Weighted Average Exercise Price | Stock Options | Weighted Average Exercise Price | Stock Options | Weighted Average Exercise Price | ||||||||||||||||||||||||
Outstanding at beginning of year | 18,962,536 | $ | 15.91 | 17,580,031 | $ | 14.24 | 22,705,963 | $ | 13.63 | ||||||||||||||||||||
Granted | 3,856,166 | 23.85 | 3,676,000 | 23.8 | — | — | |||||||||||||||||||||||
Exercised | (2,687,724 | ) | 16.3 | (1,785,412 | ) | 16 | (4,493,797 | ) | 11.13 | ||||||||||||||||||||
Canceled or expired | (652,167 | ) | 17.68 | (508,083 | ) | 14.66 | (632,135 | ) | 14.46 | ||||||||||||||||||||
Outstanding at end of year | 19,478,811 | $ | 17.37 | 18,962,536 | $ | 15.91 | 17,580,031 | $ | 14.24 | ||||||||||||||||||||
Exercisable at end of year | 7,207,978 | $ | 16.27 | 6,626,337 | $ | 16.83 | 5,815,913 | $ | 18.55 | ||||||||||||||||||||
Weighted average assumptions of stock options | ' | ||||||||||||||||||||||||||||
The fair values of the options granted were estimated on the date of their grant using the Black-Scholes option pricing model based on the following weighted average assumptions: | |||||||||||||||||||||||||||||
Year Ended September 30, | |||||||||||||||||||||||||||||
2014 | 2013 | 2012 | |||||||||||||||||||||||||||
Risk free interest rate | 2.01% | 1.13% | — | ||||||||||||||||||||||||||
Expected life (in years) | 6.48 | 6.46 | — | ||||||||||||||||||||||||||
Expected volatility | 48.80% | 49.30% | — | ||||||||||||||||||||||||||
Expected dividend yield | 0.63% | 0.63% | — |
Commitments_and_Contingencies_
Commitments and Contingencies (Tables) | 12 Months Ended | |||||||
Sep. 30, 2014 | ||||||||
Commitments and Contingencies Disclosure [Abstract] | ' | |||||||
Changes in warranty liability | ' | |||||||
Changes in the Company’s warranty liability during fiscal 2014 and 2013 were as follows: | ||||||||
September 30, | ||||||||
2014 | 2013 | |||||||
(In millions) | ||||||||
Warranty liability, beginning of year | $ | 56.9 | $ | 56.8 | ||||
Warranties issued | 34.6 | 26.7 | ||||||
Changes in liability for pre-existing warranties | 8.3 | 10.1 | ||||||
Settlements made | (34.1 | ) | (36.7 | ) | ||||
Warranty liability, end of year | $ | 65.7 | $ | 56.9 | ||||
Rollforward of reserves for legal claims | ' | |||||||
Changes in the Company’s legal claims reserves during fiscal 2014 and 2013 were as follows: | ||||||||
September 30, | ||||||||
2014 | 2013 | |||||||
(In millions) | ||||||||
Reserves for legal claims, beginning of year | $ | 482 | $ | 544.9 | ||||
Decrease in reserves | (3.0 | ) | (34.6 | ) | ||||
Payments | (22.1 | ) | (28.3 | ) | ||||
Reserves for legal claims, end of year | $ | 456.9 | $ | 482 | ||||
Minimum annual lease payments | ' | |||||||
At September 30, 2014, the future minimum annual lease payments under these agreements are as follows (in millions): | ||||||||
2015 | $ | 14.3 | ||||||
2016 | 11.1 | |||||||
2017 | 4.4 | |||||||
2018 | 2.6 | |||||||
2019 | 0.8 | |||||||
Thereafter | 0.1 | |||||||
$ | 33.3 | |||||||
Other_Assets_and_Accrued_Expen1
Other Assets and Accrued Expenses and Other Liabilities (Tables) | 12 Months Ended | |||||||
Sep. 30, 2014 | ||||||||
Other Assets and Accrued Expenses and Other Liabilities [Abstract] | ' | |||||||
Homebuilding other assets | ' | |||||||
The Company’s homebuilding other assets at September 30, 2014 and 2013 were as follows: | ||||||||
September 30, | ||||||||
2014 | 2013 | |||||||
(In millions) | ||||||||
Insurance receivables | $ | 138.4 | $ | 162.1 | ||||
Earnest money and refundable deposits | 113.3 | 98.5 | ||||||
Accounts and notes receivable | 38.6 | 24.1 | ||||||
Prepaid assets | 55.4 | 49.4 | ||||||
Rental properties | 48.7 | 41.3 | ||||||
Debt securities collateralized by residential real estate | 20.8 | 20.3 | ||||||
Other assets | 25.9 | 23.9 | ||||||
$ | 441.1 | $ | 419.6 | |||||
Homebuilding accrued expenses and other liabilities | ' | |||||||
The Company’s homebuilding accrued expenses and other liabilities at September 30, 2014 and 2013 were as follows: | ||||||||
September 30, | ||||||||
2014 | 2013 | |||||||
(In millions) | ||||||||
Reserves for legal claims | $ | 456.9 | $ | 482 | ||||
Employee compensation and related liabilities | 150.8 | 130.2 | ||||||
Warranty liability | 65.7 | 56.9 | ||||||
Accrued interest | 29.1 | 34 | ||||||
Federal and state income tax liabilities | 12.8 | 29.9 | ||||||
Inventory related accruals | 36.1 | 46.3 | ||||||
Homebuyer deposits | 49.5 | 39.3 | ||||||
Accrued property taxes | 29.1 | 30 | ||||||
Other liabilities | 45 | 37.4 | ||||||
$ | 875 | $ | 886 | |||||
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 12 Months Ended | |||||||||||||||||||||||||||
Sep. 30, 2014 | ||||||||||||||||||||||||||||
Fair Value Disclosures [Abstract] | ' | |||||||||||||||||||||||||||
Fair value measurements of assets and liabilities on a recurring basis | ' | |||||||||||||||||||||||||||
The following tables summarize the Company’s assets and liabilities measured at fair value on a recurring basis at September 30, 2014 and 2013, and the changes in the fair value of the Level 3 assets during fiscal 2014. | ||||||||||||||||||||||||||||
Fair Value at September 30, 2014 | ||||||||||||||||||||||||||||
Balance Sheet Location | Level 1 | Level 2 | Level 3 | Total | ||||||||||||||||||||||||
(In millions) | ||||||||||||||||||||||||||||
Homebuilding: | ||||||||||||||||||||||||||||
Debt securities collateralized by residential real estate (a) | Other assets | $ | — | $ | — | $ | 20.8 | $ | 20.8 | |||||||||||||||||||
Financial Services: | ||||||||||||||||||||||||||||
Mortgage loans held for sale (b) | Mortgage loans held for sale | — | 464.9 | 12 | 476.9 | |||||||||||||||||||||||
Derivatives not designated as hedging instruments (c): | ||||||||||||||||||||||||||||
Interest rate lock commitments | Other assets | — | 2.4 | — | 2.4 | |||||||||||||||||||||||
Forward sales of MBS | Other liabilities | — | (1.9 | ) | — | (1.9 | ) | |||||||||||||||||||||
Best-efforts and mandatory commitments | Other liabilities | — | (0.1 | ) | — | (0.1 | ) | |||||||||||||||||||||
Fair Value at September 30, 2013 | ||||||||||||||||||||||||||||
Balance Sheet Location | Level 1 | Level 2 | Level 3 | Total | ||||||||||||||||||||||||
(In millions) | ||||||||||||||||||||||||||||
Homebuilding: | ||||||||||||||||||||||||||||
Debt securities collateralized by residential real estate (a) | Other assets | $ | — | $ | — | $ | 20.3 | $ | 20.3 | |||||||||||||||||||
Financial Services: | ||||||||||||||||||||||||||||
Mortgage loans held for sale (b) | Mortgage loans held for sale | — | 389.4 | 5.7 | 395.1 | |||||||||||||||||||||||
Derivatives not designated as hedging instruments (c): | ||||||||||||||||||||||||||||
Interest rate lock commitments | Other assets | — | 7 | — | 7 | |||||||||||||||||||||||
Forward sales of MBS | Other liabilities | — | (8.8 | ) | — | (8.8 | ) | |||||||||||||||||||||
Best-efforts and mandatory commitments | Other liabilities | — | (3.1 | ) | — | (3.1 | ) | |||||||||||||||||||||
Level 3 Assets at Fair Value for the | ||||||||||||||||||||||||||||
Year Ended September 30, 2014 | ||||||||||||||||||||||||||||
Balance at | Net realized and unrealized gains/(losses) | Purchases | Sales and Settlements | Principal Reductions | Net transfers in (out) of | Balance at | ||||||||||||||||||||||
30-Sep-13 | Level 3 | 30-Sep-14 | ||||||||||||||||||||||||||
(In millions) | ||||||||||||||||||||||||||||
Debt securities collateralized by residential real estate (a) | $ | 20.3 | $ | 0.5 | $ | — | $ | — | $ | — | $ | — | $ | 20.8 | ||||||||||||||
Mortgage loans held for sale (b) | 5.7 | 0.8 | — | (0.8 | ) | — | 6.3 | 12 | ||||||||||||||||||||
(a) | In October 2012, the Company purchased defaulted debt securities which are secured by residential real estate. The Company intends to negotiate an agreement to obtain the right to take possession of the residential real estate in order to develop the property and ultimately build and sell homes. These securities, which are included in other assets in the consolidated balance sheets, are classified as available for sale and are reflected at fair value. The fair value of these securities was determined by estimating the future cash flows of the securities and the residential real estate utilizing discount rates of 6% and 18%, respectively. Unrealized gains or losses on these securities, net of tax, are recorded in accumulated other comprehensive income (loss) in the consolidated balance sheets. | |||||||||||||||||||||||||||
(b) | Mortgage loans held for sale are reflected at fair value. Interest income earned on mortgage loans held for sale is based on contractual interest rates and included in financial services interest and other income. Mortgage loans held for sale at September 30, 2014 includes $12.0 million of originated loans for which the Company elected the fair value option upon origination and which the Company has not sold into the secondary market, but plans to sell as market conditions permit. The fair value of these mortgage loans held for sale is generally calculated considering the secondary market and adjusted for the value of the underlying collateral, including interest rate risk, liquidity risk and prepayment risk. | |||||||||||||||||||||||||||
(c) | Fair value measurements of these derivatives represent changes in fair value and are reflected in the balance sheet. Changes in these fair values during the periods presented are included in financial services revenues in the consolidated statements of operations. | |||||||||||||||||||||||||||
Fair value measurements of assets on a non-recurring basis | ' | |||||||||||||||||||||||||||
The following table summarizes the Company’s assets measured at fair value on a nonrecurring basis at September 30, 2014 and 2013: | ||||||||||||||||||||||||||||
Fair Value at September 30, 2014 | Fair Value at September 30, 2013 | |||||||||||||||||||||||||||
Balance Sheet Location | Level 3 | Level 3 | ||||||||||||||||||||||||||
(In millions) | ||||||||||||||||||||||||||||
Homebuilding: | ||||||||||||||||||||||||||||
Inventory held and used (a) (b) | Inventories | $ | 19.2 | $ | 0.5 | |||||||||||||||||||||||
Inventory available for sale (a) (c) | Inventories | 8.2 | 10.8 | |||||||||||||||||||||||||
Financial Services: | ||||||||||||||||||||||||||||
Other mortgage loans (a) (d) | Other assets | 16 | 22.6 | |||||||||||||||||||||||||
Real estate owned (a) (d) | Other assets | 0.5 | 0.7 | |||||||||||||||||||||||||
________________ | ||||||||||||||||||||||||||||
(a) | The fair values included in the table above represent only those assets whose carrying values were adjusted to fair value in the respective period. | |||||||||||||||||||||||||||
(b) | In performing its impairment analysis of communities, discount rates ranging from 12% to 18% were used in the periods presented. | |||||||||||||||||||||||||||
(c) | The fair value of inventory available for sale was determined based on recent offers received from outside third parties, comparable sales or actual contracts. | |||||||||||||||||||||||||||
(d) | The fair values of other mortgage loans and real estate owned are determined based on the value of the underlying collateral. | |||||||||||||||||||||||||||
Fair value of financial assets and liabilities | ' | |||||||||||||||||||||||||||
For the financial assets and liabilities that the Company does not reflect at fair value, the following tables present both their respective carrying value and fair value at September 30, 2014 and 2013: | ||||||||||||||||||||||||||||
Carrying Value | Fair Value at September 30, 2014 | |||||||||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||||||||||
(In millions) | ||||||||||||||||||||||||||||
Homebuilding: | ||||||||||||||||||||||||||||
Cash and cash equivalents (a) | $ | 632.5 | $ | 632.5 | $ | — | $ | — | $ | 632.5 | ||||||||||||||||||
Restricted cash (a) | 10 | 10 | — | — | 10 | |||||||||||||||||||||||
Revolving credit facility (a) | 300 | — | — | 300 | 300 | |||||||||||||||||||||||
Senior notes (b) | 3,000.20 | — | 3,033.80 | — | 3,033.80 | |||||||||||||||||||||||
Financial Services: | ||||||||||||||||||||||||||||
Cash and cash equivalents (a) | 29.3 | 29.3 | — | — | 29.3 | |||||||||||||||||||||||
Mortgage repurchase facility (a) | 359.2 | — | — | 359.2 | 359.2 | |||||||||||||||||||||||
Carrying Value | Fair Value at September 30, 2013 | |||||||||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||||||||||
(In millions) | ||||||||||||||||||||||||||||
Homebuilding: | ||||||||||||||||||||||||||||
Cash and cash equivalents (a) | $ | 954.2 | $ | 954.2 | $ | — | $ | — | $ | 954.2 | ||||||||||||||||||
Restricted cash (a) | 77.8 | 77.8 | — | — | 77.8 | |||||||||||||||||||||||
Senior notes (b) | 2,783.30 | — | 2,811.50 | — | 2,811.50 | |||||||||||||||||||||||
Convertible senior notes (b) | 478.7 | — | 762.4 | — | 762.4 | |||||||||||||||||||||||
Financial Services: | ||||||||||||||||||||||||||||
Cash and cash equivalents (a) | 23.2 | 23.2 | — | — | 23.2 | |||||||||||||||||||||||
Mortgage repurchase facility (a) | 238.6 | — | — | 238.6 | 238.6 | |||||||||||||||||||||||
________________ | ||||||||||||||||||||||||||||
(a) | The fair value approximates carrying value due to its short-term nature, short maturity or floating interest rate terms, as applicable. | |||||||||||||||||||||||||||
(b) | The fair value is determined based on quoted market prices of recent transactions of the notes, which is classified as Level 2 within the fair value hierarchy |
Quarterly_Results_of_Operation1
Quarterly Results of Operations (Unaudited) (Tables) | 12 Months Ended | |||||||||||||||
Sep. 30, 2014 | ||||||||||||||||
Quarterly Financial Data [Abstract] | ' | |||||||||||||||
Summary of quarterly results of operations | ' | |||||||||||||||
Consolidated quarterly results of operations were (in millions, except per share amounts): | ||||||||||||||||
Fiscal 2014 | ||||||||||||||||
1st Quarter | 2nd Quarter | 3rd Quarter | 4th Quarter | |||||||||||||
Revenues | $ | 1,670.60 | $ | 1,735.00 | $ | 2,147.00 | $ | 2,472.30 | ||||||||
Inventory and land option charges | 2.6 | 4.4 | 56.8 | 21.3 | ||||||||||||
Gross profit | 362 | 376.8 | 377.4 | 473.7 | ||||||||||||
Income before income taxes | 189.7 | 201.9 | 171.8 | 250.8 | ||||||||||||
Income tax expense | 66.5 | 70.9 | 58.7 | 84.5 | ||||||||||||
Net income | 123.2 | 131 | 113.1 | 166.3 | ||||||||||||
Basic net income per common share | 0.38 | 0.4 | 0.32 | 0.46 | ||||||||||||
Net income per common share assuming dilution | 0.36 | 0.38 | 0.32 | 0.45 | ||||||||||||
Fiscal 2013 | ||||||||||||||||
1st Quarter | 2nd Quarter | 3rd Quarter | 4th Quarter | |||||||||||||
Revenues | $ | 1,275.10 | $ | 1,431.60 | $ | 1,692.80 | $ | 1,859.80 | ||||||||
Inventory and land option charges | 1.3 | 1.8 | 0.8 | 27.1 | ||||||||||||
Gross profit | 230.9 | 281.2 | 349.1 | 371.4 | ||||||||||||
Income before income taxes | 107.9 | 142.1 | 205.1 | 202.8 | ||||||||||||
Income tax expense | 41.6 | 31.1 | 59.1 | 63.3 | ||||||||||||
Net income | 66.3 | 111 | 146 | 139.5 | ||||||||||||
Basic net income per common share | 0.21 | 0.35 | 0.45 | 0.43 | ||||||||||||
Net income per common share assuming dilution | 0.2 | 0.32 | 0.42 | 0.4 | ||||||||||||
Supplemental_Guarantor_Informa1
Supplemental Guarantor Information (Tables) | 12 Months Ended | |||||||||||||||||||
Sep. 30, 2014 | ||||||||||||||||||||
Supplemental Guarantor Information [Abstract] | ' | |||||||||||||||||||
Condensed Financial Statements [Table Text Block] | ' | |||||||||||||||||||
Consolidating Balance Sheet | ||||||||||||||||||||
September 30, 2014 | ||||||||||||||||||||
D.R. | Guarantor | Non-Guarantor | Eliminations | Total | ||||||||||||||||
Horton, Inc. | Subsidiaries | Subsidiaries | ||||||||||||||||||
(In millions) | ||||||||||||||||||||
ASSETS | ||||||||||||||||||||
Cash and cash equivalents | $ | 497.4 | $ | 89.5 | $ | 74.9 | $ | — | $ | 661.8 | ||||||||||
Restricted cash | 6.8 | 2.1 | 1.1 | — | 10 | |||||||||||||||
Investments in subsidiaries | 2,878.20 | — | — | (2,878.2 | ) | — | ||||||||||||||
Inventories | 2,675.90 | 5,014.30 | 10.3 | — | 7,700.50 | |||||||||||||||
Deferred income taxes | 189.9 | 364.4 | 10.7 | — | 565 | |||||||||||||||
Property and equipment, net | 51.9 | 49.1 | 89.8 | — | 190.8 | |||||||||||||||
Other assets | 163 | 250.8 | 88.9 | — | 502.7 | |||||||||||||||
Mortgage loans held for sale | — | — | 476.9 | — | 476.9 | |||||||||||||||
Goodwill | — | 94.8 | — | — | 94.8 | |||||||||||||||
Intercompany receivables | 2,364.20 | — | — | (2,364.2 | ) | — | ||||||||||||||
Total Assets | $ | 8,827.30 | $ | 5,865.00 | $ | 752.6 | $ | (5,242.4 | ) | $ | 10,202.50 | |||||||||
LIABILITIES & EQUITY | ||||||||||||||||||||
Accounts payable and other liabilities | $ | 409.8 | $ | 853.3 | $ | 136.9 | $ | — | $ | 1,400.00 | ||||||||||
Intercompany payables | — | 2,282.20 | 82 | (2,364.2 | ) | — | ||||||||||||||
Notes payable | 3,301.70 | 3.4 | 377.7 | — | 3,682.80 | |||||||||||||||
Total Liabilities | 3,711.50 | 3,138.90 | 596.6 | (2,364.2 | ) | 5,082.80 | ||||||||||||||
Total stockholders’ equity | 5,115.80 | 2,726.10 | 152.1 | (2,878.2 | ) | 5,115.80 | ||||||||||||||
Noncontrolling interests | — | — | 3.9 | — | 3.9 | |||||||||||||||
Total Equity | 5,115.80 | 2,726.10 | 156 | (2,878.2 | ) | 5,119.70 | ||||||||||||||
Total Liabilities & Equity | $ | 8,827.30 | $ | 5,865.00 | $ | 752.6 | $ | (5,242.4 | ) | $ | 10,202.50 | |||||||||
NOTE O – SUPPLEMENTAL GUARANTOR INFORMATION - (Continued) | ||||||||||||||||||||
Consolidating Balance Sheet | ||||||||||||||||||||
September 30, 2013 | ||||||||||||||||||||
D.R. | Guarantor | Non-Guarantor | Eliminations | Total | ||||||||||||||||
Horton, Inc. | Subsidiaries | Subsidiaries | ||||||||||||||||||
(In millions) | ||||||||||||||||||||
ASSETS | ||||||||||||||||||||
Cash and cash equivalents | $ | 871.4 | $ | 38.4 | $ | 67.6 | $ | — | $ | 977.4 | ||||||||||
Restricted cash | 76.5 | 1.2 | 0.1 | — | 77.8 | |||||||||||||||
Investments in subsidiaries | 2,477.70 | — | — | (2,477.7 | ) | — | ||||||||||||||
Inventories | 2,177.40 | 4,002.90 | 17.1 | — | 6,197.40 | |||||||||||||||
Deferred income taxes | 201.7 | 384.9 | — | — | 586.6 | |||||||||||||||
Property and equipment, net | 41 | 34.5 | 31.2 | — | 106.7 | |||||||||||||||
Other assets | 167 | 233.4 | 76.1 | — | 476.5 | |||||||||||||||
Mortgage loans held for sale | — | — | 395.1 | — | 395.1 | |||||||||||||||
Goodwill | — | 38.9 | — | — | 38.9 | |||||||||||||||
Intercompany receivables | 1,697.00 | — | — | (1,697.0 | ) | — | ||||||||||||||
Total Assets | $ | 7,709.70 | $ | 4,734.20 | $ | 587.2 | $ | (4,174.7 | ) | $ | 8,856.40 | |||||||||
LIABILITIES & EQUITY | ||||||||||||||||||||
Accounts payable and other liabilities | $ | 383.8 | $ | 766.5 | $ | 135.7 | $ | — | $ | 1,286.00 | ||||||||||
Intercompany payables | — | 1,664.20 | 32.8 | (1,697.0 | ) | — | ||||||||||||||
Notes payable | 3,267.40 | 3 | 238.6 | — | 3,509.00 | |||||||||||||||
Total Liabilities | 3,651.20 | 2,433.70 | 407.1 | (1,697.0 | ) | 4,795.00 | ||||||||||||||
Total stockholders’ equity | 4,058.50 | 2,300.50 | 177.2 | (2,477.7 | ) | 4,058.50 | ||||||||||||||
Noncontrolling interests | — | — | 2.9 | — | 2.9 | |||||||||||||||
Total Equity | 4,058.50 | 2,300.50 | 180.1 | (2,477.7 | ) | 4,061.40 | ||||||||||||||
Total Liabilities & Equity | $ | 7,709.70 | $ | 4,734.20 | $ | 587.2 | $ | (4,174.7 | ) | $ | 8,856.40 | |||||||||
NOTE O – SUPPLEMENTAL GUARANTOR INFORMATION - (Continued) | ||||||||||||||||||||
Consolidating Statement of Operations | ||||||||||||||||||||
Year Ended September 30, 2014 | ||||||||||||||||||||
D.R. | Guarantor | Non-Guarantor | Eliminations | Total | ||||||||||||||||
Horton, Inc. | Subsidiaries | Subsidiaries | ||||||||||||||||||
(In millions) | ||||||||||||||||||||
Homebuilding: | ||||||||||||||||||||
Revenues | $ | 2,547.40 | $ | 5,299.90 | $ | 11.2 | $ | — | $ | 7,858.50 | ||||||||||
Cost of sales | 2,038.00 | 4,222.50 | 8.1 | — | 6,268.60 | |||||||||||||||
Gross profit | 509.4 | 1,077.40 | 3.1 | — | 1,589.90 | |||||||||||||||
Selling, general and administrative expense | 388.3 | 433 | 12.9 | — | 834.2 | |||||||||||||||
Equity in (income) of subsidiaries | (691.8 | ) | — | — | 691.8 | — | ||||||||||||||
Other (income) | (1.3 | ) | (3.3 | ) | (8.5 | ) | — | (13.1 | ) | |||||||||||
Homebuilding pre-tax income (loss) | 814.2 | 647.7 | (1.3 | ) | (691.8 | ) | 768.8 | |||||||||||||
Financial Services: | ||||||||||||||||||||
Revenues, net of recourse and reinsurance expense | — | — | 166.4 | — | 166.4 | |||||||||||||||
General and administrative expense | — | — | 131.2 | — | 131.2 | |||||||||||||||
Interest and other (income) | — | — | (10.2 | ) | — | (10.2 | ) | |||||||||||||
Financial services pre-tax income | — | — | 45.4 | — | 45.4 | |||||||||||||||
Income before income taxes | 814.2 | 647.7 | 44.1 | (691.8 | ) | 814.2 | ||||||||||||||
Income tax expense | 280.7 | 222.1 | 16.6 | (238.7 | ) | 280.7 | ||||||||||||||
Net income | $ | 533.5 | $ | 425.6 | $ | 27.5 | $ | (453.1 | ) | $ | 533.5 | |||||||||
Comprehensive income | $ | 533.5 | $ | 425.9 | $ | 27.5 | $ | (453.1 | ) | $ | 533.8 | |||||||||
NOTE O – SUPPLEMENTAL GUARANTOR INFORMATION - (Continued) | ||||||||||||||||||||
Consolidating Statement of Operations | ||||||||||||||||||||
Year Ended September 30, 2013 | ||||||||||||||||||||
D.R. | Guarantor | Non-Guarantor | Eliminations | Total | ||||||||||||||||
Horton, Inc. | Subsidiaries | Subsidiaries | ||||||||||||||||||
(In millions) | ||||||||||||||||||||
Homebuilding: | ||||||||||||||||||||
Revenues | $ | 1,981.60 | $ | 4,094.10 | $ | 10.2 | $ | — | $ | 6,085.90 | ||||||||||
Cost of sales | 1,563.10 | 3,279.90 | 10.5 | — | 4,853.50 | |||||||||||||||
Gross profit (loss) | 418.5 | 814.2 | (0.3 | ) | — | 1,232.40 | ||||||||||||||
Selling, general and administrative expense | 302.1 | 341.1 | 6.7 | — | 649.9 | |||||||||||||||
Equity in (income) of subsidiaries | (542.5 | ) | — | — | 542.5 | — | ||||||||||||||
Interest expense | 5.1 | — | — | — | 5.1 | |||||||||||||||
Other (income) | (4.0 | ) | (3.7 | ) | (7.2 | ) | — | (14.9 | ) | |||||||||||
Homebuilding pre-tax income | 657.8 | 476.8 | 0.2 | (542.5 | ) | 592.3 | ||||||||||||||
Financial Services: | ||||||||||||||||||||
Revenues, net of recourse and reinsurance expense | — | — | 173.4 | — | 173.4 | |||||||||||||||
General and administrative expense | — | — | 116.4 | — | 116.4 | |||||||||||||||
Interest and other (income) | — | — | (8.5 | ) | — | (8.5 | ) | |||||||||||||
Financial services pre-tax income | — | — | 65.5 | — | 65.5 | |||||||||||||||
Income before income taxes | 657.8 | 476.8 | 65.7 | (542.5 | ) | 657.8 | ||||||||||||||
Income tax expense | 195.1 | 126.9 | 18.7 | (145.6 | ) | 195.1 | ||||||||||||||
Net income | $ | 462.7 | $ | 349.9 | $ | 47 | $ | (396.9 | ) | $ | 462.7 | |||||||||
Comprehensive income | $ | 462.5 | $ | 351.8 | $ | 47 | $ | (396.9 | ) | $ | 464.4 | |||||||||
NOTE O – SUPPLEMENTAL GUARANTOR INFORMATION - (Continued) | ||||||||||||||||||||
Consolidating Statement of Operations | ||||||||||||||||||||
Year Ended September 30, 2012 | ||||||||||||||||||||
D.R. | Guarantor | Non-Guarantor | Eliminations | Total | ||||||||||||||||
Horton, Inc. | Subsidiaries | Subsidiaries | ||||||||||||||||||
(In millions) | ||||||||||||||||||||
Homebuilding: | ||||||||||||||||||||
Revenues | $ | 1,400.30 | $ | 2,828.00 | $ | 7.9 | $ | — | $ | 4,236.20 | ||||||||||
Cost of sales | 1,130.90 | 2,341.50 | 20 | — | 3,492.40 | |||||||||||||||
Gross profit (loss) | 269.4 | 486.5 | (12.1 | ) | — | 743.8 | ||||||||||||||
Selling, general and administrative expense | 243.6 | 277.5 | 7.6 | — | 528.7 | |||||||||||||||
Equity in (income) of subsidiaries | (235.7 | ) | — | — | 235.7 | — | ||||||||||||||
Interest expense | 23.6 | — | — | — | 23.6 | |||||||||||||||
Other (income) | (5.0 | ) | (2.2 | ) | (5.0 | ) | — | (12.2 | ) | |||||||||||
Homebuilding pre-tax income (loss) | 242.9 | 211.2 | (14.7 | ) | (235.7 | ) | 203.7 | |||||||||||||
Financial Services: | ||||||||||||||||||||
Revenues, net of recourse and reinsurance expense | — | — | 117.8 | — | 117.8 | |||||||||||||||
General and administrative expense | — | — | 85.5 | — | 85.5 | |||||||||||||||
Interest and other (income) | — | — | (6.9 | ) | — | (6.9 | ) | |||||||||||||
Financial services pre-tax income | — | — | 39.2 | — | 39.2 | |||||||||||||||
Income before income taxes | 242.9 | 211.2 | 24.5 | (235.7 | ) | 242.9 | ||||||||||||||
Income tax benefit | (713.4 | ) | (463.4 | ) | (20.6 | ) | 484 | (713.4 | ) | |||||||||||
Net income | $ | 956.3 | $ | 674.6 | $ | 45.1 | $ | (719.7 | ) | $ | 956.3 | |||||||||
Comprehensive income | $ | 956.4 | $ | 674.6 | $ | 45.1 | $ | (719.7 | ) | $ | 956.4 | |||||||||
NOTE O – SUPPLEMENTAL GUARANTOR INFORMATION - (Continued) | ||||||||||||||||||||
Consolidating Statement of Cash Flows | ||||||||||||||||||||
Year Ended September 30, 2014 | ||||||||||||||||||||
D.R. | Guarantor | Non-Guarantor | Eliminations | Total | ||||||||||||||||
Horton, Inc. | Subsidiaries | Subsidiaries | ||||||||||||||||||
(In millions) | ||||||||||||||||||||
OPERATING ACTIVITIES | ||||||||||||||||||||
Net cash used in operating activities | $ | (257.4 | ) | $ | (293.9 | ) | $ | (57.5 | ) | $ | (52.6 | ) | $ | (661.4 | ) | |||||
INVESTING ACTIVITIES | ||||||||||||||||||||
Purchases of property and equipment | (63.9 | ) | (28.0 | ) | (8.3 | ) | — | (100.2 | ) | |||||||||||
Decrease (increase) in restricted cash | 69.7 | (0.9 | ) | (1.0 | ) | — | 67.8 | |||||||||||||
Net principal increase of other mortgage loans and real estate owned | — | — | (5.6 | ) | — | (5.6 | ) | |||||||||||||
Intercompany advances | (385.7 | ) | — | — | 385.7 | — | ||||||||||||||
Payments related to acquisition of a business | (244.1 | ) | — | — | — | (244.1 | ) | |||||||||||||
Net cash used in investing activities | (624.0 | ) | (28.9 | ) | (14.9 | ) | 385.7 | (282.1 | ) | |||||||||||
FINANCING ACTIVITIES | ||||||||||||||||||||
Proceeds from notes payable | 1,307.00 | — | 120.6 | — | 1,427.60 | |||||||||||||||
Repayment of notes payable | (796.8 | ) | — | (0.1 | ) | — | (796.9 | ) | ||||||||||||
Intercompany advances | — | 373.9 | 11.8 | (385.7 | ) | — | ||||||||||||||
Proceeds from stock associated with certain employee benefit plans | 45.2 | — | — | — | 45.2 | |||||||||||||||
Excess income tax benefit from employee stock awards | 0.6 | — | — | — | 0.6 | |||||||||||||||
Cash dividends paid | (48.6 | ) | — | (52.6 | ) | 52.6 | (48.6 | ) | ||||||||||||
Net cash provided by financing activities | 507.4 | 373.9 | 79.7 | (333.1 | ) | 627.9 | ||||||||||||||
(Decrease) increase in cash and cash equivalents | (374.0 | ) | 51.1 | 7.3 | — | (315.6 | ) | |||||||||||||
Cash and cash equivalents at beginning of year | 871.4 | 38.4 | 67.6 | — | 977.4 | |||||||||||||||
Cash and cash equivalents at end of year | $ | 497.4 | $ | 89.5 | $ | 74.9 | $ | — | $ | 661.8 | ||||||||||
NOTE O – SUPPLEMENTAL GUARANTOR INFORMATION - (Continued) | ||||||||||||||||||||
Consolidating Statement of Cash Flows | ||||||||||||||||||||
Year Ended September 30, 2013 | ||||||||||||||||||||
D.R. | Guarantor | Non-Guarantor | Eliminations | Total | ||||||||||||||||
Horton, Inc. | Subsidiaries | Subsidiaries | ||||||||||||||||||
(In millions) | ||||||||||||||||||||
OPERATING ACTIVITIES | ||||||||||||||||||||
Net cash (used in) provided by operating activities | $ | (523.7 | ) | $ | (670.6 | ) | $ | 5 | $ | (40.0 | ) | $ | (1,229.3 | ) | ||||||
INVESTING ACTIVITIES | ||||||||||||||||||||
Purchases of property and equipment | (29.7 | ) | (24.0 | ) | (4.3 | ) | — | (58.0 | ) | |||||||||||
Purchases of marketable securities | (28.9 | ) | — | — | — | (28.9 | ) | |||||||||||||
Proceeds from the sale or maturity of marketable securities | 325.4 | — | — | — | 325.4 | |||||||||||||||
Increase in restricted cash | (27.8 | ) | (0.7 | ) | — | — | (28.5 | ) | ||||||||||||
Net principal increase of other mortgage loans and real estate owned | — | — | (2.5 | ) | — | (2.5 | ) | |||||||||||||
Purchase of debt securities collateralized by residential real estate | (18.6 | ) | — | — | — | (18.6 | ) | |||||||||||||
Principal payments received on debt securities collateralized by residential real estate | 1.4 | — | — | — | 1.4 | |||||||||||||||
Intercompany advances | (674.4 | ) | — | — | 674.4 | — | ||||||||||||||
Payments related to acquisition of a business | (9.4 | ) | — | — | — | (9.4 | ) | |||||||||||||
Net cash (used in) provided by investing activities | (462.0 | ) | (24.7 | ) | (6.8 | ) | 674.4 | 180.9 | ||||||||||||
FINANCING ACTIVITIES | ||||||||||||||||||||
Proceeds from notes payable | 1,257.10 | — | 50.8 | — | 1,307.90 | |||||||||||||||
Repayment of notes payable | (345.1 | ) | — | — | — | (345.1 | ) | |||||||||||||
Intercompany advances | — | 677.4 | (3.0 | ) | (674.4 | ) | — | |||||||||||||
Proceeds from stock associated with certain employee benefit plans | 29.7 | — | — | — | 29.7 | |||||||||||||||
Excess income tax benefit from employee stock awards | 6.7 | — | — | — | 6.7 | |||||||||||||||
Cash dividends paid | (60.2 | ) | — | (40.0 | ) | 40 | (60.2 | ) | ||||||||||||
Net cash provided by financing activities | 888.2 | 677.4 | 7.8 | (634.4 | ) | 939 | ||||||||||||||
(Decrease) increase in cash and cash equivalents | (97.5 | ) | (17.9 | ) | 6 | — | (109.4 | ) | ||||||||||||
Cash and cash equivalents at beginning of year | 968.9 | 56.3 | 61.6 | — | 1,086.80 | |||||||||||||||
Cash and cash equivalents at end of year | $ | 871.4 | $ | 38.4 | $ | 67.6 | $ | — | $ | 977.4 | ||||||||||
NOTE O – SUPPLEMENTAL GUARANTOR INFORMATION - (Continued) | ||||||||||||||||||||
Consolidating Statement of Cash Flows | ||||||||||||||||||||
Year Ended September 30, 2012 | ||||||||||||||||||||
D.R. | Guarantor | Non-Guarantor | Eliminations | Total | ||||||||||||||||
Horton, Inc. | Subsidiaries | Subsidiaries | ||||||||||||||||||
(In millions) | ||||||||||||||||||||
OPERATING ACTIVITIES | ||||||||||||||||||||
Net cash (used in) provided by operating activities | $ | (115.2 | ) | $ | (126.3 | ) | $ | 0.4 | $ | (51.1 | ) | $ | (292.2 | ) | ||||||
INVESTING ACTIVITIES | ||||||||||||||||||||
Purchases of property and equipment | (10.2 | ) | (7.6 | ) | (15.8 | ) | — | (33.6 | ) | |||||||||||
Purchases of marketable securities | (240.8 | ) | — | — | — | (240.8 | ) | |||||||||||||
Proceeds from the sale or maturity of marketable securities | 232.8 | — | — | — | 232.8 | |||||||||||||||
Increase in restricted cash | — | (0.1 | ) | (0.1 | ) | — | (0.2 | ) | ||||||||||||
Net principal increase of other mortgage loans and real estate owned | — | — | (4.7 | ) | — | (4.7 | ) | |||||||||||||
Intercompany advances | (168.3 | ) | — | — | 168.3 | — | ||||||||||||||
Payments related to acquisition of a business | (96.5 | ) | — | — | — | (96.5 | ) | |||||||||||||
Net cash used in investing activities | (283.0 | ) | (7.7 | ) | (20.6 | ) | 168.3 | (143.0 | ) | |||||||||||
FINANCING ACTIVITIES | ||||||||||||||||||||
Proceeds from notes payable | 694.6 | — | 71.3 | — | 765.9 | |||||||||||||||
Repayment of notes payable | (11.9 | ) | (5.6 | ) | — | — | (17.5 | ) | ||||||||||||
Intercompany advances | — | 164.6 | 3.7 | (168.3 | ) | — | ||||||||||||||
Proceeds from stock associated with certain employee benefit plans | 50.9 | — | — | — | 50.9 | |||||||||||||||
Cash dividends paid | (47.8 | ) | — | (51.1 | ) | 51.1 | (47.8 | ) | ||||||||||||
Net cash provided by financing activities | 685.8 | 159 | 23.9 | (117.2 | ) | 751.5 | ||||||||||||||
Increase in cash and cash equivalents | 287.6 | 25 | 3.7 | — | 316.3 | |||||||||||||||
Cash and cash equivalents at beginning of year | 681.3 | 31.3 | 57.9 | — | 770.5 | |||||||||||||||
Cash and cash equivalents at end of year | $ | 968.9 | $ | 56.3 | $ | 61.6 | $ | — | $ | 1,086.80 | ||||||||||
Summary_of_Significant_Account2
Summary of Significant Accounting Policies (Details) (USD $) | 12 Months Ended | 12 Months Ended | ||||||||||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2011 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 |
Cash and Cash Equivalents [Member] | Cash and Cash Equivalents [Member] | Cash and Cash Equivalents [Member] | Homebuilding [Member] | Homebuilding [Member] | Homebuilding [Member] | Homebuilding [Member] | Homebuilding [Member] | Homebuilding [Member] | ||||
Variable Interest Entity, Not Primary Beneficiary [Member] | Variable Interest Entity, Not Primary Beneficiary [Member] | Land and Land Improvements [Member] | Land [Member] | |||||||||
Business Information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Earnest Money Deposits | ' | ' | ' | ' | ' | ' | $58.70 | ' | $55.70 | $36.90 | ' | ' |
Prior Period Reclassification Adjustment | ' | 23.9 | ' | 40.9 | 39.1 | 37.9 | ' | ' | ' | ' | 12.1 | 21.9 |
Land held for sale | ' | ' | ' | ' | ' | ' | 26.4 | 34 | ' | ' | ' | ' |
Deferred profit on sales | 1.4 | 2.3 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Advertising expense | $44 | $33.20 | $24.40 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Summary_of_Significant_Account3
Summary of Significant Accounting Policies (Details Textuals 1) (USD $) | 3 Months Ended | 12 Months Ended | |||||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 | |||
acre | acre | ||||||
Property, Plant and Equipment [Line Items] | ' | ' | ' | ' | |||
Property, Plant and Equipment, Gross | $334.80 | $334.80 | $236.70 | ' | |||
Area of Land | 177,000 | 177,000 | ' | ' | |||
Real Estate Investment Property, at Cost | 56 | 56 | ' | ' | |||
Payments to Acquire Property, Plant, and Equipment | 37.4 | ' | ' | ' | |||
Property, Plant and Equipment, Net | 193.7 | [1] | 193.7 | [1] | 109.5 | [1] | ' |
Accumulated depreciation | -141.1 | -141.1 | -127.2 | ' | |||
Depreciation | ' | 36.6 | 22.3 | 18.8 | |||
Notes Assumed | ' | 18.6 | 0 | 0 | |||
Payments to Acquire Real Estate Held-for-investment | 46.5 | ' | ' | ' | |||
Acreage, grazing rights assumed under long-term lease | 114,000 | ' | ' | ' | |||
Building and Building Improvements [Member] | ' | ' | ' | ' | |||
Property, Plant and Equipment [Line Items] | ' | ' | ' | ' | |||
Property, Plant and Equipment, Gross | 112.8 | 112.8 | 92.2 | ' | |||
Building and Building Improvements [Member] | Minimum [Member] | ' | ' | ' | ' | |||
Property, Plant and Equipment [Line Items] | ' | ' | ' | ' | |||
Property, Plant and Equipment, Useful Life | ' | '5 years | ' | ' | |||
Building and Building Improvements [Member] | Maximum [Member] | ' | ' | ' | ' | |||
Property, Plant and Equipment [Line Items] | ' | ' | ' | ' | |||
Property, Plant and Equipment, Useful Life | ' | '20 years | ' | ' | |||
2510 Household Furniture [Member] | ' | ' | ' | ' | |||
Property, Plant and Equipment [Line Items] | ' | ' | ' | ' | |||
Property, Plant and Equipment, Gross | 86.7 | 86.7 | 72.7 | ' | |||
Property, Plant and Equipment, Useful Life | ' | '2 years | ' | ' | |||
Office furniture [Member] | ' | ' | ' | ' | |||
Property, Plant and Equipment [Line Items] | ' | ' | ' | ' | |||
Property, Plant and Equipment, Gross | 68.4 | 68.4 | 54.9 | ' | |||
Office furniture [Member] | Minimum [Member] | ' | ' | ' | ' | |||
Property, Plant and Equipment [Line Items] | ' | ' | ' | ' | |||
Property, Plant and Equipment, Useful Life | ' | '2 years | ' | ' | |||
Office furniture [Member] | Maximum [Member] | ' | ' | ' | ' | |||
Property, Plant and Equipment [Line Items] | ' | ' | ' | ' | |||
Property, Plant and Equipment, Useful Life | ' | '5 years | ' | ' | |||
Land [Member] | ' | ' | ' | ' | |||
Property, Plant and Equipment [Line Items] | ' | ' | ' | ' | |||
Property, Plant and Equipment, Gross | 66.9 | 66.9 | 16.9 | ' | |||
Homebuilding [Member] | ' | ' | ' | ' | |||
Property, Plant and Equipment [Line Items] | ' | ' | ' | ' | |||
Property, Plant and Equipment, Net | 190.8 | 190.8 | 106.7 | ' | |||
Financial Services [Member] | ' | ' | ' | ' | |||
Property, Plant and Equipment [Line Items] | ' | ' | ' | ' | |||
Property, Plant and Equipment, Net | $2.90 | $2.90 | $2.80 | ' | |||
[1] | Includes $2.9 million and $2.8 million at September 30, 2014 and 2013, respectively, of property and equipment related to the Company's financial services subsidiaries which is included in financial services other assets in the consolidated balance sheets. |
Summary_of_Significant_Account4
Summary of Significant Accounting Policies (Details Textuals 2) (Homebuilding [Member], USD $) | Sep. 30, 2014 | Sep. 30, 2013 |
In Millions, unless otherwise specified | ||
Goodwill [Line Items] | ' | ' |
Goodwill | $94.80 | $38.90 |
East [Member] | ' | ' |
Goodwill [Line Items] | ' | ' |
Goodwill | 21.8 | 0 |
South Central [Member] | ' | ' |
Goodwill [Line Items] | ' | ' |
Goodwill | 15.9 | 15.9 |
Southeast [Member] | ' | ' |
Goodwill [Line Items] | ' | ' |
Goodwill | $57.10 | $23 |
Summary_of_Significant_Account5
Summary of Significant Accounting Policies Stock Based Compensation (Details) | 12 Months Ended |
Sep. 30, 2014 | |
Employee Stock Option [Member] | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period | '10 years |
Employee Stock Option [Member] | Minimum [Member] | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | '2 years |
Employee Stock Option [Member] | Maximum [Member] | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | '9 years 9 months |
January Two Thousand Fourteen Grant [Member] | Performance Shares [Member] | Minimum [Member] | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | '1 year |
January Two Thousand Fourteen Grant [Member] | Performance Shares [Member] | Maximum [Member] | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | '3 years |
Summary_of_Significant_Account6
Summary of Significant Accounting Policies Business Acquisitions (Details) (USD $) | 12 Months Ended | 3 Months Ended | 12 Months Ended | 3 Months Ended | 3 Months Ended | ||||||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 | Jun. 30, 2014 | Sep. 30, 2014 | 31-May-14 | Dec. 31, 2013 | Oct. 31, 2013 | Sep. 30, 2012 | Jun. 30, 2014 | Jun. 30, 2014 |
Crown Communities [Member] | Crown Communities [Member] | Crown Communities [Member] | RegentHomes [Member] | RegentHomes [Member] | Breland Homes [Member] | Southeast [Member] | East [Member] | ||||
Home | Lot | Home | Crown Communities [Member] | Crown Communities [Member] | |||||||
Lot | Home | Lot | |||||||||
Business Acquisition [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Inventory | ' | ' | ' | $140.50 | ' | ' | ' | ' | ' | ' | ' |
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Property, Plant, and Equipment | ' | ' | ' | 1.9 | ' | ' | ' | ' | ' | ' | ' |
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Assets, Prepaid Expense and Other Assets | ' | ' | ' | 4.9 | ' | ' | ' | ' | ' | ' | ' |
Goodwill, Acquired During Period | ' | ' | ' | 53.6 | ' | ' | ' | ' | ' | 34.1 | 19.5 |
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Intangible Assets, Other than Goodwill | ' | ' | ' | 11.7 | ' | ' | ' | ' | ' | ' | ' |
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Liabilities | ' | ' | ' | -3 | ' | ' | ' | ' | ' | ' | ' |
Payments to Acquire Businesses, Net of Cash Acquired | 244.1 | 9.4 | 96.5 | 209.6 | ' | ' | 34.5 | ' | 105.9 | ' | ' |
Business Acquisition, Number of Homes Acquired | ' | ' | ' | ' | ' | 640 | ' | 240 | 300 | ' | ' |
Business Acquisition, Number of Finished Lots Acquired | ' | ' | ' | ' | ' | 2,350 | ' | 300 | 1,000 | ' | ' |
Business Acquisition, Number of Lots Under Option Contracts | ' | ' | ' | ' | ' | 3,400 | ' | 600 | 3,700 | ' | ' |
Business Acquisition, Sales Order Backlog Acquired (Homes) | ' | ' | ' | ' | ' | 431 | ' | 213 | 228 | ' | ' |
Business Acquisition, Number of Homes Closed | ' | ' | ' | ' | '721 | ' | ' | ' | ' | ' | ' |
Business Combination, Pro Forma Information, Revenue of Acquiree since Acquisition Date, Actual | ' | ' | ' | ' | $187.70 | ' | ' | ' | ' | ' | ' |
Segment_Information_Details
Segment Information (Details) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||||||||
In Millions, unless otherwise specified | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 | |||||
Revenues | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Revenues, Total | $2,472.30 | $2,147 | $1,735 | $1,670.60 | $1,859.80 | $1,692.80 | $1,431.60 | $1,275.10 | $8,024.90 | $6,259.30 | $4,354 | |||||
Income (Loss) before income taxes | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Income before income taxes | 250.8 | 171.8 | 201.9 | 189.7 | 202.8 | 205.1 | 142.1 | 107.9 | 814.2 | [1] | 657.8 | [1] | 242.9 | [1] | ||
Homebuilding [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Number of Operating Segments | 37 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Revenues | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Homebuilding revenues | ' | ' | ' | ' | ' | ' | ' | ' | 7,858.50 | 6,085.90 | 4,236.20 | |||||
Inventory Impairments | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Inventory impairments | 18.1 | ' | ' | ' | ' | ' | ' | ' | 75.2 | 21.3 | 3.2 | |||||
Income (Loss) before income taxes | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Income before income taxes | ' | ' | ' | ' | ' | ' | ' | ' | 768.8 | [1] | 592.3 | [1] | 203.7 | [1] | ||
Homebuilding inventories | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Total inventories | 7,700.50 | [2] | ' | ' | ' | 6,197.40 | [2] | ' | ' | ' | 7,700.50 | [2] | 6,197.40 | [2] | ' | |
Financial Services [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Revenues | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Financial Services Revenue | ' | ' | ' | ' | ' | ' | ' | ' | 166.4 | 173.4 | 117.8 | |||||
Income (Loss) before income taxes | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Income before income taxes | ' | ' | ' | ' | ' | ' | ' | ' | 45.4 | [1] | 65.5 | [1] | 39.2 | [1] | ||
East [Member] | Homebuilding [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Revenues | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Homebuilding revenues | ' | ' | ' | ' | ' | ' | ' | ' | 954.7 | 686.3 | 542.4 | |||||
Inventory Impairments | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Inventory impairments | ' | ' | ' | ' | ' | ' | ' | ' | 17.7 | 0.1 | 1 | |||||
Income (Loss) before income taxes | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Income before income taxes | ' | ' | ' | ' | ' | ' | ' | ' | 45.2 | [1] | 48.3 | [1] | 16 | [1] | ||
Homebuilding inventories | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Total inventories | 842.7 | [2] | ' | ' | ' | 742.9 | [2] | ' | ' | ' | 842.7 | [2] | 742.9 | [2] | ' | |
Midwest [Member] | Homebuilding [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Revenues | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Homebuilding revenues | ' | ' | ' | ' | ' | ' | ' | ' | 483.5 | 471.5 | 339.3 | |||||
Inventory Impairments | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Inventory impairments | ' | ' | ' | ' | ' | ' | ' | ' | 49.3 | 0 | 0 | |||||
Income (Loss) before income taxes | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Income before income taxes | ' | ' | ' | ' | ' | ' | ' | ' | -9.5 | [1] | 38.9 | [1] | 1.1 | [1] | ||
Homebuilding inventories | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Total inventories | 477.6 | [2] | ' | ' | ' | 412.2 | [2] | ' | ' | ' | 477.6 | [2] | 412.2 | [2] | ' | |
Southeast [Member] | Homebuilding [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Revenues | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Homebuilding revenues | ' | ' | ' | ' | ' | ' | ' | ' | 2,167 | 1,520.70 | 934.6 | |||||
Inventory Impairments | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Inventory impairments | ' | ' | ' | ' | ' | ' | ' | ' | 3.1 | 0 | 1.6 | |||||
Income (Loss) before income taxes | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Income before income taxes | ' | ' | ' | ' | ' | ' | ' | ' | 218 | [1] | 148.4 | [1] | 38 | [1] | ||
Homebuilding inventories | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Total inventories | 1,943 | [2] | ' | ' | ' | 1,508.50 | [2] | ' | ' | ' | 1,943 | [2] | 1,508.50 | [2] | ' | |
South Central [Member] | Homebuilding [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Revenues | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Homebuilding revenues | ' | ' | ' | ' | ' | ' | ' | ' | 1,971.20 | 1,526.20 | 1,158.40 | |||||
Inventory Impairments | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Inventory impairments | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 1 | 0.1 | |||||
Income (Loss) before income taxes | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Income before income taxes | ' | ' | ' | ' | ' | ' | ' | ' | 208 | [1] | 149 | [1] | 80.6 | [1] | ||
Homebuilding inventories | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Total inventories | 1,742.50 | [2] | ' | ' | ' | 1,443.60 | [2] | ' | ' | ' | 1,742.50 | [2] | 1,443.60 | [2] | ' | |
Southwest [Member] | Homebuilding [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Revenues | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Homebuilding revenues | ' | ' | ' | ' | ' | ' | ' | ' | 285.2 | 327.7 | 270.7 | |||||
Inventory Impairments | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Inventory impairments | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0.5 | |||||
Income (Loss) before income taxes | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Income before income taxes | ' | ' | ' | ' | ' | ' | ' | ' | 25.5 | [1] | 26.3 | [1] | 16.8 | [1] | ||
Homebuilding inventories | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Total inventories | 292.9 | [2] | ' | ' | ' | 262.4 | [2] | ' | ' | ' | 292.9 | [2] | 262.4 | [2] | ' | |
West [Member] | Homebuilding [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Revenues | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Homebuilding revenues | ' | ' | ' | ' | ' | ' | ' | ' | 1,996.90 | 1,553.50 | 990.8 | |||||
Inventory Impairments | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Inventory impairments | ' | ' | ' | ' | ' | ' | ' | ' | 5.1 | 20.2 | 0 | |||||
Income (Loss) before income taxes | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Income before income taxes | ' | ' | ' | ' | ' | ' | ' | ' | 281.6 | [1] | 181.4 | [1] | 51.2 | [1] | ||
Homebuilding inventories | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Total inventories | 2,169.40 | [2] | ' | ' | ' | 1,668.20 | [2] | ' | ' | ' | 2,169.40 | [2] | 1,668.20 | [2] | ' | |
Corporate and unallocated [Member] | Homebuilding [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Homebuilding inventories | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Total inventories | $232.40 | [2],[3] | ' | ' | ' | $159.60 | [2],[3] | ' | ' | ' | $232.40 | [2],[3] | $159.60 | [2],[3] | ' | |
[1] | Expenses maintained at the corporate level consist primarily of interest and property taxes, which are capitalized and amortized to cost of sales or expensed directly, and the expenses related to operating the Company’s corporate office. The amortization of capitalized interest and property taxes is allocated to each segment based on the segment’s revenue, while those expenses associated with the corporate office are allocated to each segment based on the segment’s inventory balances. | |||||||||||||||
[2] | Homebuilding inventories are the only assets included in the measure of homebuilding segment assets used by the Company’s chief operating decision makers. | |||||||||||||||
[3] | Corporate and unallocated consists primarily of capitalized interest and property taxes. |
Segment_Information_Details_Te
Segment Information (Details Textuals) (Homebuilding [Member]) | 3 Months Ended | 12 Months Ended | ||
Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 | |
Segments | Market | |||
OperatingDivisions | State | |||
Market | ||||
State | ||||
Homebuilding [Member] | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Number of homebuilding operating divisions | 37 | ' | ' | ' |
Number of homebuilding reporting segments | 6 | ' | ' | ' |
Homebuilding percentage of consolidated revenues | ' | 98.00% | 97.00% | 97.00% |
Number of housing construction states | 27 | 27 | ' | ' |
Number of housing construction markets | 79 | 79 | ' | ' |
Inventory_Impairments_and_Land1
Inventory Impairments and Land Option Cost Write-Offs (Details) (Homebuilding [Member], USD $) | 3 Months Ended | 12 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 |
Inventory Impairments Information [Line Items] | ' | ' | ' | ' |
Carrying value of communities with impairment indicators | $359.80 | $359.80 | ' | ' |
Impairment charges | 18.1 | 75.2 | 21.3 | 3.2 |
Write-offs (recoveries) of earnest money deposits and pre-acquisition costs | ' | 10 | 9.8 | 3 |
Midwest [Member] | ' | ' | ' | ' |
Inventory Impairments Information [Line Items] | ' | ' | ' | ' |
Impairment charges | ' | 49.3 | 0 | 0 |
East [Member] | ' | ' | ' | ' |
Inventory Impairments Information [Line Items] | ' | ' | ' | ' |
Impairment charges | ' | $17.70 | $0.10 | $1 |
Notes_Payable_Details
Notes Payable (Details) (USD $) | Sep. 30, 2014 | Sep. 30, 2013 | ||
In Millions, unless otherwise specified | ||||
Unsecured: | ' | ' | ||
Notes payable | $3,682.80 | $3,509 | ||
Homebuilding [Member] | ' | ' | ||
Unsecured: | ' | ' | ||
Notes payable | 3,323.60 | 3,270.40 | ||
Financial Services [Member] | ' | ' | ||
Unsecured: | ' | ' | ||
Assets Sold under Agreements to Repurchase, Repurchase Liability | 359.2 | [1] | 238.6 | [1] |
Secured Debt [Member] | Homebuilding [Member] | ' | ' | ||
Unsecured: | ' | ' | ||
Notes payable | 23.4 | 8.4 | ||
Unsecured Debt [Member] | SeniorNoteTwentyEight [Member] | Homebuilding [Member] | ' | ' | ||
Unsecured: | ' | ' | ||
Senior notes, stated interest rate | 5.75% | ' | ||
Notes payable | 400 | 400 | ||
Unsecured Debt [Member] | Senior Note Twenty Seven [Member] | Homebuilding [Member] | ' | ' | ||
Unsecured: | ' | ' | ||
Senior notes, stated interest rate | 4.75% | ' | ||
Notes payable | 300 | 300 | ||
Unsecured Debt [Member] | Senior Note Member Twenty Five [Member] | Homebuilding [Member] | ' | ' | ||
Unsecured: | ' | ' | ||
Senior notes, stated interest rate | 4.38% | ' | ||
Notes payable | 350 | 350 | ||
Unsecured Debt [Member] | Senior Note Twenty Nine [Member] | Homebuilding [Member] | ' | ' | ||
Unsecured: | ' | ' | ||
Senior notes, stated interest rate | 3.75% | ' | ||
Notes payable | 500 | 0 | ||
Unsecured Debt [Member] | Senior Note Twenty Six [Member] | Homebuilding [Member] | ' | ' | ||
Unsecured: | ' | ' | ||
Senior notes, stated interest rate | 3.63% | ' | ||
Notes payable | 400 | 400 | ||
Unsecured Debt [Member] | Senior Note Twenty Four [Member] | Homebuilding [Member] | ' | ' | ||
Unsecured: | ' | ' | ||
Senior notes, stated interest rate | 4.75% | ' | ||
Notes payable | 350 | 350 | ||
Unsecured Debt [Member] | Senior Note Nine [Member] | Homebuilding [Member] | ' | ' | ||
Unsecured: | ' | ' | ||
Senior notes, stated interest rate | 6.50% | ' | ||
Notes payable | 372.6 | 372.5 | ||
Unsecured Debt [Member] | Senior Note Eight [Member] | Homebuilding [Member] | ' | ' | ||
Unsecured: | ' | ' | ||
Senior notes, stated interest rate | 5.63% | ' | ||
Notes payable | 169.9 | 169.7 | ||
Unsecured Debt [Member] | Senior Note Seven [Member] | Homebuilding [Member] | ' | ' | ||
Unsecured: | ' | ' | ||
Senior notes, stated interest rate | 5.25% | ' | ||
Notes payable | 157.7 | 157.5 | ||
Unsecured Debt [Member] | Senior Note Six [Member] | Homebuilding [Member] | ' | ' | ||
Unsecured: | ' | ' | ||
Senior notes, stated interest rate | 5.63% | ' | ||
Notes payable | 0 | 137.8 | ||
Unsecured Debt [Member] | Convertible Senior Note One [Member] | Homebuilding [Member] | ' | ' | ||
Unsecured: | ' | ' | ||
Senior notes, stated interest rate | 2.00% | ' | ||
Notes payable | 0 | [2] | 478.7 | [2] |
Unsecured Debt [Member] | Senior Note Five [Member] | Homebuilding [Member] | ' | ' | ||
Unsecured: | ' | ' | ||
Senior notes, stated interest rate | 6.13% | ' | ||
Notes payable | 0 | 145.8 | ||
Line of Credit [Member] | Homebuilding [Member] | ' | ' | ||
Summary of notes payable at principal amounts, net of unamortized discounts | ' | ' | ||
Line of credit, amount outstanding | $300 | [1] | $0 | |
[1] | The fair value approximates carrying value due to its short-term nature, short maturity or floating interest rate terms, as applicable. | |||
[2] | The fair value is determined based on quoted market prices of recent transactions of the notes, which is classified as Level 2 within the fair value hierarchy. |
Notes_Payable_Details_1
Notes Payable (Details 1) (USD $) | 12 Months Ended | |
In Millions, unless otherwise specified | Sep. 30, 2014 | |
Debt Instrument [Line Items] | ' | |
Line of Credit Facility, Interest Rate at Period End | 2.90% | [1] |
Unsecured Debt [Member] | Homebuilding [Member] | Senior Note Seven [Member] | ' | |
Summary of unsecured homebuilding notes payable outstanding | ' | |
Principal Amount | $157.70 | |
Date Issued | 1-Feb-05 | |
Date Due | 15-Feb-15 | |
Redeemable Prior to Maturity | 'Yes | [2] |
Effective Interest Rate | 5.40% | [1] |
Unsecured Debt [Member] | Homebuilding [Member] | Senior Note Eight [Member] | ' | |
Summary of unsecured homebuilding notes payable outstanding | ' | |
Principal Amount | 170.2 | |
Date Issued | 1-Dec-04 | |
Date Due | 15-Jan-16 | |
Redeemable Prior to Maturity | 'Yes | [2] |
Effective Interest Rate | 5.80% | [1] |
Unsecured Debt [Member] | Homebuilding [Member] | Senior Note Nine [Member] | ' | |
Summary of unsecured homebuilding notes payable outstanding | ' | |
Principal Amount | 372.7 | |
Date Issued | 1-Apr-06 | |
Date Due | 15-Apr-16 | |
Redeemable Prior to Maturity | 'Yes | [2] |
Effective Interest Rate | 6.60% | [1] |
Unsecured Debt [Member] | Homebuilding [Member] | Senior Note Twenty Four [Member] | ' | |
Summary of unsecured homebuilding notes payable outstanding | ' | |
Principal Amount | 350 | |
Date Issued | 1-May-12 | |
Date Due | 15-May-17 | |
Redeemable Prior to Maturity | 'Yes | [2] |
Effective Interest Rate | 5.00% | [1] |
Unsecured Debt [Member] | Homebuilding [Member] | Senior Note Twenty Six [Member] | ' | |
Summary of unsecured homebuilding notes payable outstanding | ' | |
Principal Amount | 400 | |
Date Issued | 1-Feb-13 | |
Date Due | 15-Feb-18 | |
Redeemable Prior to Maturity | 'Yes | [2] |
Effective Interest Rate | 3.80% | [1] |
Unsecured Debt [Member] | Homebuilding [Member] | Senior Note Twenty Nine [Member] | ' | |
Summary of unsecured homebuilding notes payable outstanding | ' | |
Principal Amount | 500 | |
Date Issued | 1-Feb-14 | |
Date Due | 1-Mar-19 | |
Redeemable Prior to Maturity | 'Yes | [2] |
Effective Interest Rate | 3.90% | [1] |
Unsecured Debt [Member] | Homebuilding [Member] | Senior Note Member Twenty Five [Member] | ' | |
Summary of unsecured homebuilding notes payable outstanding | ' | |
Principal Amount | 350 | |
Date Issued | 1-Sep-12 | |
Date Due | 15-Sep-22 | |
Redeemable Prior to Maturity | 'Yes | [2] |
Effective Interest Rate | 4.50% | [1] |
Unsecured Debt [Member] | Homebuilding [Member] | Senior Note Twenty Seven [Member] | ' | |
Summary of unsecured homebuilding notes payable outstanding | ' | |
Principal Amount | 300 | |
Date Issued | 1-Feb-13 | |
Date Due | 15-Feb-23 | |
Redeemable Prior to Maturity | 'Yes | [2] |
Effective Interest Rate | 4.90% | [1] |
Unsecured Debt [Member] | Homebuilding [Member] | SeniorNoteTwentyEight [Member] | ' | |
Summary of unsecured homebuilding notes payable outstanding | ' | |
Principal Amount | $400 | |
Date Issued | 1-Aug-13 | |
Date Due | 15-Aug-23 | |
Redeemable Prior to Maturity | 'Yes | [2] |
Effective Interest Rate | 5.90% | [1] |
[1] | Interest is payable semi-annually on each of the series of senior notes. The annual effective interest rate is calculated after giving effect to the amortization of the financing costs and any discount associated with the note issuance. | |
[2] | The Company may redeem the notes in whole at any time or in part from time to time, at a redemption price equal to the greater of 100% of their principal amount or the present value of the remaining scheduled payments on the redemption date, plus accrued interest. |
Notes_Payable_Details_Textuals
Notes Payable (Details Textuals 1) (USD $) | 3 Months Ended | 12 Months Ended | 0 Months Ended | 12 Months Ended | 3 Months Ended | 1 Months Ended | 12 Months Ended | 12 Months Ended | |||||||||||||||||||||||||||||
Jun. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Aug. 01, 2014 | Sep. 30, 2014 | Jul. 24, 2013 | Sep. 30, 2014 | Jun. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Jan. 31, 2014 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Feb. 01, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | ||||||||||||
Letter of credit, under revolving credit facility [Member] | Homebuilding [Member] | Homebuilding [Member] | Homebuilding [Member] | Homebuilding [Member] | Homebuilding [Member] | Homebuilding [Member] | SeniorNoteTwentyEight [Member] | Senior Note Member Twenty Five [Member] | Senior Note Twenty Seven [Member] | Senior Note Seven [Member] | Senior Note Six [Member] | Convertible Senior Note One [Member] | Senior Note Five [Member] | Senior Note Five [Member] | Senior Note Four [Member] | Senior Note Eight [Member] | Senior Note Nine [Member] | Senior Note Twenty Four [Member] | Senior Note Twenty Six [Member] | Senior Note Twenty Nine [Member] | Senior Note Twenty Nine [Member] | Senior Notes Redeemable Prior to Maturity [Member] | Senior Notes Subject to Repurchase Upon Change of Control and Ratings Downgrade [Member] | ||||||||||||||
Revolving credit facility, maturing 2018 [Member] | Revolving credit facility, maturing 2018 [Member] | Revolving credit facility, maturing 2018 [Member] | Homebuilding [Member] | Homebuilding [Member] | Homebuilding [Member] | Homebuilding [Member] | Homebuilding [Member] | Homebuilding [Member] | Homebuilding [Member] | Homebuilding [Member] | Homebuilding [Member] | Homebuilding [Member] | Homebuilding [Member] | Homebuilding [Member] | Homebuilding [Member] | Homebuilding [Member] | Homebuilding [Member] | Homebuilding [Member] | Homebuilding [Member] | ||||||||||||||||||
Unsecured Debt [Member] | Unsecured Debt [Member] | Unsecured Debt [Member] | Unsecured Debt [Member] | Unsecured Debt [Member] | Unsecured Debt [Member] | Unsecured Debt [Member] | Unsecured Debt [Member] | Unsecured Debt [Member] | Unsecured Debt [Member] | Unsecured Debt [Member] | Unsecured Debt [Member] | Unsecured Debt [Member] | Unsecured Debt [Member] | Unsecured Debt [Member] | Unsecured Debt [Member] | Unsecured Debt [Member] | |||||||||||||||||||||
Maturities of Long-term Debt [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Maturities of notes payable in fiscal 2015 | ' | $522,400,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Maturities of notes payable in fiscal 2016 | ' | 543,500,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Maturities of notes payable in fiscal 2017 | ' | 350,600,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Maturities of notes payable in fiscal 2018 | ' | 400,600,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Maturities of notes payable in fiscal 2019 | ' | 800,600,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Maturities of notes payable after fiscal 2019 | ' | 1,065,500,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Debt Instrument [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Line of credit, current borrowing capacity | ' | ' | ' | ' | ' | ' | 975,000,000 | 725,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Line of credit, maximum borrowing capacity | ' | ' | ' | ' | ' | 1,300,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Line of credit, amount outstanding | ' | ' | ' | ' | ' | ' | 300,000,000 | [1] | ' | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||
Line of Credit Facility, Interest Rate at Period End | ' | 2.90% | [2] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||
Letters of credit, amount outstanding | ' | 95,800,000 | 92,700,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Senior notes, date issued | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1-Aug-13 | 1-Sep-12 | 1-Feb-13 | 1-Feb-05 | ' | ' | ' | ' | ' | 1-Dec-04 | 1-Apr-06 | 1-May-12 | 1-Feb-13 | 1-Feb-14 | ' | ' | ' | |||||||||||
Senior notes, principal amount issued | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 500,000,000 | ' | ' | |||||||||||
Senior notes, stated interest rate | ' | ' | ' | ' | ' | ' | ' | ' | ' | 5.75% | 4.38% | 4.75% | 5.25% | 5.63% | 2.00% | ' | 6.13% | 6.88% | 5.63% | 6.50% | 4.75% | 3.63% | 3.75% | ' | ' | ' | |||||||||||
Senior notes, date due | ' | ' | ' | ' | ' | ' | ' | ' | ' | 15-Aug-23 | 15-Sep-22 | 15-Feb-23 | 15-Feb-15 | ' | ' | ' | ' | ' | 15-Jan-16 | 15-Apr-16 | 15-May-17 | 15-Feb-18 | 1-Mar-19 | ' | ' | ' | |||||||||||
Debt Instrument, Call Feature | ' | ' | ' | ' | ' | ' | ' | ' | ' | 'Yes | [3] | 'Yes | [3] | 'Yes | [3] | 'Yes | [3] | ' | ' | ' | ' | ' | 'Yes | [3] | 'Yes | [3] | 'Yes | [3] | 'Yes | [3] | 'Yes | [3] | ' | ' | ' | ||
Incremental Common Shares Attributable to Dilutive Effect of Conversion of Debt Securities | 38,600,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Debt Instrument, Interest Rate, Effective Percentage | ' | ' | ' | ' | ' | ' | ' | ' | ' | 5.90% | [2] | 4.50% | [2] | 4.90% | [2] | 5.40% | [2] | ' | ' | ' | ' | ' | 5.80% | [2] | 6.60% | [2] | 5.00% | [2] | 3.80% | [2] | 3.90% | [2] | ' | ' | ' | ||
Principal amount | ' | ' | ' | ' | ' | ' | ' | ' | ' | 400,000,000 | 350,000,000 | 300,000,000 | 157,700,000 | ' | ' | ' | ' | ' | 170,200,000 | 372,700,000 | 350,000,000 | 400,000,000 | 500,000,000 | ' | ' | 2,300,000,000 | |||||||||||
Debt Instrument, Redemption Price, Percentage | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 100.00% | 101.00% | |||||||||||
Authorized repurchase of debt securities | ' | ' | ' | 500,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Debt repurchase program, remaining authorized repurchase amount | ' | ' | ' | ' | 500,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Maturities of Senior Debt | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $137,900,000 | ' | $145,900,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Debt Conversion, Converted Instrument, Shares Issued | 77.18004 | 38,589,451 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
[1] | The fair value approximates carrying value due to its short-term nature, short maturity or floating interest rate terms, as applicable. | ||||||||||||||||||||||||||||||||||||
[2] | Interest is payable semi-annually on each of the series of senior notes. The annual effective interest rate is calculated after giving effect to the amortization of the financing costs and any discount associated with the note issuance. | ||||||||||||||||||||||||||||||||||||
[3] | The Company may redeem the notes in whole at any time or in part from time to time, at a redemption price equal to the greater of 100% of their principal amount or the present value of the remaining scheduled payments on the redemption date, plus accrued interest. |
Notes_Payable_Notes_Payable_De
Notes Payable Notes Payable (Details Textuals 2) (Financial Services [Member], USD $) | Sep. 30, 2014 | Sep. 30, 2013 | ||
Debt Instrument [Line Items] | ' | ' | ||
Mortgage repurchase facility, current capacity | $300,000,000 | ' | ||
Increase in mortgage repurchase capacity | 400,000,000 | ' | ||
Mortgage loans held for sale pledged under repurchase agreement | 448,100,000 | ' | ||
Mortgage loans, collateral value | 429,000,000 | ' | ||
Advance pay downs on mortgage repurchase facility | 69,800,000 | ' | ||
Assets Sold under Agreements to Repurchase, Repurchase Liability | 359,200,000 | [1] | 238,600,000 | [1] |
Interest rate on mortgage repurchase facility | 2.60% | ' | ||
Maximum [Member] | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Mortgage repurchase facility, current capacity | $325,000,000 | ' | ||
[1] | The fair value approximates carrying value due to its short-term nature, short maturity or floating interest rate terms, as applicable. |
Capitalized_Interest_Capitaliz1
Capitalized Interest Capitalized Interest (Details) (USD $) | 12 Months Ended | ||||||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2011 | |||
Capitalized Interest [Line Items] | ' | ' | ' | ' | |||
Interest Costs Incurred | $185.80 | [1] | $172.80 | [1] | $124.10 | [1] | ' |
Real Estate Inventory, Capitalized Interest Costs [Roll Forward] | ' | ' | ' | ' | |||
Real Estate Inventory, Capitalized Interest Costs | 198.5 | 137.1 | 82.3 | 79.2 | |||
Interest Expense | 0 | -7.1 | -26.9 | ' | |||
Real Estate Inventory, Capitalized Interest Costs, Cost of Sales | -123.1 | -110.2 | -94 | ' | |||
Capitalized Interest Costs Written Off With Inventory Impairments | -1.3 | -0.7 | -0.1 | ' | |||
Financial Services [Member] | ' | ' | ' | ' | |||
Capitalized Interest [Line Items] | ' | ' | ' | ' | |||
Interest Costs Incurred | $4.50 | $4.60 | $3.30 | ' | |||
[1] | Interest incurred includes interest incurred on the Company's financial services mortgage repurchase facility of $4.5 million, $4.6 million and $3.3 million in fiscal 2014, 2013 and 2012, respectively. |
Mortgage_Loans_Details_1
Mortgage Loans (Details 1) (Financial Services [Member], USD $) | Sep. 30, 2014 | Sep. 30, 2013 |
In Millions, unless otherwise specified | ||
Mortgage Loans on Real Estate [Line Items] | ' | ' |
Mortgage Loans on Real Estate | $41 | $35.90 |
Real Estate Acquired Through Foreclosure | 0.7 | 1.3 |
Other Real Estate, Foreclosed Assets, and Repossessed Assets | 41.7 | 37.2 |
Schedule of mortgage loss reserves | ' | ' |
Loans and Leases Receivable, Allowance | 26.2 | 29.3 |
Mortgage Loans on Real Estate [Member] | ' | ' |
Schedule of mortgage loss reserves | ' | ' |
Loans and Leases Receivable, Allowance | 1.7 | 3.2 |
Real Estate [Member] | ' | ' |
Schedule of mortgage loss reserves | ' | ' |
Loans and Leases Receivable, Allowance | 0.1 | 0.2 |
Obligation to Repurchase Receivables Sold [Member] | ' | ' |
Schedule of mortgage loss reserves | ' | ' |
Loans and Leases Receivable, Allowance | $24.40 | $25.90 |
Mortgage_Loans_Details_Textual
Mortgage Loans (Details Textuals 1) (Financial Services [Member], USD $) | 12 Months Ended | ||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 | |
Loans Receivable [Line Items] | ' | ' | ' |
Mortgage loans held for sale | $476,900,000 | $395,100,000 | ' |
Principal Amount Outstanding on Loans Held-for-sale or Securitization or Asset-backed Financing Arrangement | 466,600,000 | 381,100,000 | ' |
Payments for Origination of Mortgage Loans Held-for-sale | 3,680,600,000 | 3,424,600,000 | 2,687,200,000 |
Proceeds from Sale of Mortgage Loans Held-for-sale | 3,580,000,000 | 3,370,000,000 | 2,640,000,000 |
Net gain on sales of loans | 101,800,000 | 112,000,000 | 69,200,000 |
Percentage of mortgage loans sold to major purchaser | 71.00% | ' | ' |
Percentage Of Mortgage Loans Sold To Major Purchasers | 28.00% | ' | ' |
Uncommitted Loans [Member] | ' | ' | ' |
Loans Receivable [Line Items] | ' | ' | ' |
Mortgage loans held for sale | $348,600,000 | ' | ' |
Mortgage_Loans_Details_Textual1
Mortgage Loans (Details Textuals 2) (Financial Services [Member], USD $) | Sep. 30, 2014 |
In Millions, unless otherwise specified | |
Interest rate lock commitments [Member] | ' |
Derivative [Line Items] | ' |
Notional amount | $303.20 |
Best-efforts whole loan delivery commitments [Member] | ' |
Derivative [Line Items] | ' |
Notional amount | 28.2 |
Hedging Instruments Related To IRLCs [Member] | ' |
Derivative [Line Items] | ' |
Derivative Asset, Notional Amount | 348.2 |
Notional amount | $243.80 |
Income_Taxes_Details
Income Taxes (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Millions, unless otherwise specified | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 |
Current tax expense (benefit): | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Federal | ' | ' | ' | ' | ' | ' | ' | ' | $253.60 | $66.60 | ($7) |
State | ' | ' | ' | ' | ' | ' | ' | ' | 9.1 | 6.8 | 3.1 |
Total current tax expense (benefit) | ' | ' | ' | ' | ' | ' | ' | ' | 262.7 | 73.4 | -3.9 |
Deferred tax expense: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Federal | ' | ' | ' | ' | ' | ' | ' | ' | 2.9 | 146.3 | -616.1 |
State | ' | ' | ' | ' | ' | ' | ' | ' | 15.1 | -24.6 | -93.4 |
Total deferred tax expense (benefit) | ' | ' | ' | ' | ' | ' | ' | ' | 18 | 121.7 | -709.5 |
Total income tax expense (benefit) | $84.50 | $58.70 | $70.90 | $66.50 | $63.30 | $59.10 | $31.10 | $41.60 | $280.70 | $195.10 | ($713.40) |
Income_Taxes_Details_1
Income Taxes (Details 1) (USD $) | 0 Months Ended | 3 Months Ended | 12 Months Ended | |||||||||
In Millions, unless otherwise specified | Apr. 02, 2012 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 |
Income Tax Disclosures [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Valuation allowance for deferred income taxes | ' | $31.10 | ' | ' | ' | $31 | ' | $23.20 | ' | $31.10 | $31 | ' |
Valuation Allowance, Deferred Tax Asset, Change in Amount | 753.2 | ' | ' | ' | ' | -2.9 | ' | 18.7 | ' | ' | ' | ' |
Effective Income Tax Rate Reconciliation, Percent | ' | ' | ' | ' | ' | ' | ' | ' | ' | 34.50% | 29.70% | ' |
Federal statutory rate | ' | ' | ' | ' | ' | ' | ' | ' | ' | 35.00% | ' | ' |
Comparison of income tax expense (benefit) and tax computed at the statutory rate | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Income taxes at federal statutory rate | ' | ' | ' | ' | ' | ' | ' | ' | ' | 285 | 230.2 | 85 |
Increase (decrease) in tax resulting from: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
State income taxes, net of federal benefit | ' | ' | ' | ' | ' | ' | ' | ' | ' | 24.9 | 6.5 | 12.1 |
Domestic production activities deduction | ' | ' | ' | ' | ' | ' | ' | ' | ' | -22.4 | -6.5 | 0 |
Uncertain tax positions, net of deferred tax | ' | ' | ' | ' | ' | ' | ' | ' | ' | -6.4 | -12.7 | -2.3 |
Valuation allowance | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.1 | -24.1 | -806.6 |
Tax credits | ' | ' | ' | ' | ' | ' | ' | ' | ' | -0.9 | -1.1 | -1.3 |
Other | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.4 | 2.8 | -0.3 |
Total income tax expense (benefit) | ' | 84.5 | 58.7 | 70.9 | 66.5 | 63.3 | 59.1 | 31.1 | 41.6 | 280.7 | 195.1 | -713.4 |
ValuationAllowancePortionExpectedtobeWrittenOff [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Income Tax Disclosures [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Valuation allowance for deferred income taxes | ' | ' | ' | ' | ' | 13.2 | ' | ' | ' | ' | 13.2 | ' |
Pro Forma [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Income Tax Disclosures [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Valuation allowance for deferred income taxes | ' | ' | ' | ' | ' | 7.1 | ' | ' | ' | ' | 7.1 | ' |
Valuation Allowance, Deferred Tax Asset, Change in Amount | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 37.6 |
Increase (decrease) in tax resulting from: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total income tax expense (benefit) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $6 | $6 |
Income_Taxes_Details_2
Income Taxes (Details 2) (USD $) | Sep. 30, 2014 | Sep. 30, 2013 | Mar. 31, 2013 |
In Millions, unless otherwise specified | |||
Deferred tax assets: | ' | ' | ' |
Inventory costs | $88.60 | $74.50 | ' |
Inventory impairments | 234.7 | 267.6 | ' |
Deferred Tax Assets, Tax Deferred Expense, Reserves and Accruals, Warranty Reserves | 117.3 | 114.5 | ' |
Net operating loss carryforwards | 84.5 | 99.3 | ' |
Tax credit carryforwards | 7.6 | 5.9 | ' |
Incentive compensation plans | 69.3 | 69.9 | ' |
Deferral of profit on home sales | 1.9 | 1.9 | ' |
Other | 19.9 | 21.5 | ' |
Total deferred tax assets | 623.8 | 655.1 | ' |
Valuation allowance | -31.1 | -31 | -23.2 |
Total deferred tax assets, net of valuation allowance | 592.7 | 624.1 | ' |
Deferred Tax Liabilities, Gross | 27.7 | 37.5 | ' |
Deferred income taxes, net | 565 | 586.6 | ' |
State and Local Jurisdiction [Member] | Tax Credit Carryforward Amount to Expire [Member] | ' | ' | ' |
Tax Credit Carryforward [Line Items] | ' | ' | ' |
Tax Credit Carryforward, Amount | 5.7 | ' | ' |
State and Local Jurisdiction [Member] | Tax Credit Carryforward Amount with No Expiration [Member] | ' | ' | ' |
Tax Credit Carryforward [Line Items] | ' | ' | ' |
Tax Credit Carryforward, Amount | $1.90 | ' | ' |
Income_Taxes_Details_3
Income Taxes (Details 3) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 |
Unrecognized tax benefits | ' | ' | ' |
Unrecognized tax benefits, beginning of year | $4.20 | $14.10 | $16.30 |
Reductions attributable to tax positions taken in prior years | -4.2 | -2.4 | -1.6 |
Reductions attributable to lapse of statue of limitations | 0 | -7.5 | -0.6 |
Unrecognized tax benefits, end of year | $0 | $4.20 | $14.10 |
Income_Taxes_Details_Textuals_
Income Taxes (Details Textuals 1) (USD $) | 0 Months Ended | 3 Months Ended | 12 Months Ended | ||||||||||
In Millions, unless otherwise specified | Apr. 02, 2012 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2011 |
Income Taxes [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Income Tax Expense (Benefit) | ' | $84.50 | $58.70 | $70.90 | $66.50 | $63.30 | $59.10 | $31.10 | $41.60 | $280.70 | $195.10 | ($713.40) | ' |
Operating Loss Carryforwards [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Unrecognized Tax Benefits | ' | 0 | ' | ' | ' | 4.2 | ' | ' | ' | 0 | 4.2 | 14.1 | 16.3 |
Valuation allowance | ' | -31.1 | ' | ' | ' | -31 | ' | -23.2 | ' | -31.1 | -31 | ' | ' |
Prior Period Reclassification Adjustment | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 23.9 | ' | ' |
Valuation Allowance, Deferred Tax Asset, Change in Amount | 753.2 | ' | ' | ' | ' | -2.9 | ' | 18.7 | ' | ' | ' | ' | ' |
Income Tax Uncertainties [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Interest expense related to unrecognized tax benefits | ' | ' | ' | ' | ' | ' | ' | ' | ' | -2.2 | -2.8 | -0.1 | ' |
Total accrued interest expense related to unrecognized tax benefits | ' | 0 | ' | ' | ' | 2.2 | ' | ' | ' | 0 | 2.2 | ' | ' |
Accrued penalties on income taxes | ' | $0 | ' | ' | ' | ' | ' | ' | ' | $0 | ' | ' | ' |
Income_Taxes_Income_Taxes_Prio
Income Taxes Income Taxes Prior Period Adjustment (Details) (USD $) | 0 Months Ended | 3 Months Ended | 12 Months Ended | |||||||||
In Millions, unless otherwise specified | Apr. 02, 2012 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 |
Deferred Tax Assets, Valuation Allowance | ' | $31.10 | ' | ' | ' | $31 | ' | $23.20 | ' | $31.10 | $31 | ' |
Increase (Decrease) in Deferred Income Taxes | ' | ' | ' | ' | ' | ' | ' | ' | ' | -17.4 | -130.9 | 709.5 |
Valuation Allowance, Deferred Tax Asset, Change in Amount | 753.2 | ' | ' | ' | ' | -2.9 | ' | 18.7 | ' | ' | ' | ' |
Income Tax Expense (Benefit) | ' | 84.5 | 58.7 | 70.9 | 66.5 | 63.3 | 59.1 | 31.1 | 41.6 | 280.7 | 195.1 | -713.4 |
Scenario, ProForma [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Deferred Tax Assets, Valuation Allowance | ' | ' | ' | ' | ' | 7.1 | ' | ' | ' | ' | 7.1 | ' |
Increase (Decrease) in Deferred Income Taxes | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 31.6 |
Valuation Allowance, Deferred Tax Asset, Change in Amount | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 37.6 |
Income Tax Expense (Benefit) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $6 | $6 |
Earnings_Per_Share_Details
Earnings Per Share (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Millions, unless otherwise specified | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 |
Earnings Per Share [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of shares excluded from computation of earnings per share | ' | ' | ' | ' | ' | ' | ' | ' | 8.5 | 4.6 | 6.4 |
Earnings Per Share Reconciliation [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net income | $166.30 | $113.10 | $131 | $123.20 | $139.50 | $146 | $111 | $66.30 | $533.50 | $462.70 | $956.30 |
Interest expense and amortization of issuance costs associated with convertible senior notes | ' | ' | ' | ' | ' | ' | ' | ' | 16.5 | 23.9 | 36.8 |
Numerator for diluted earnings per share after assumed conversions | ' | ' | ' | ' | ' | ' | ' | ' | $550 | $486.60 | $993.10 |
Weighted Average Number of Shares Outstanding Reconciliation [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Denominator for basic earnings per share - weighted average common shares | ' | ' | ' | ' | ' | ' | ' | ' | 340.5 | 322.1 | 318.1 |
Employee stock awards | ' | ' | ' | ' | ' | ' | ' | ' | 3.1 | 4.2 | 2.6 |
Convertible senior notes | ' | ' | ' | ' | ' | ' | ' | ' | 23 | 38.6 | 38.3 |
Denominator for diluted earnings per share - adjusted weighted average common shares | ' | ' | ' | ' | ' | ' | ' | ' | 366.6 | 364.9 | 359 |
Stockholders_Equity_Details
Stockholders' Equity (Details) (USD $) | 0 Months Ended | 3 Months Ended | 12 Months Ended | 3 Months Ended | 3 Months Ended | ||||||||
Aug. 01, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2012 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2014 | Sep. 30, 2014 | Dec. 31, 2012 | Jun. 30, 2014 | Dec. 31, 2014 | |
Stock Compensation Plan [Member] | Employee Stock Purchase Plan [Member] | Accelerated Dividend [Member] | Convertible Senior Note One [Member] | Subsequent Event [Member] | |||||||||
Common Stock, Number of Shares, Par Value and Other Disclosures [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Common stock, shares issued | ' | 371,786,765 | ' | ' | ' | 371,786,765 | 330,143,689 | ' | ' | ' | ' | ' | ' |
Common stock, shares outstanding | ' | 364,586,694 | ' | ' | ' | 364,586,694 | 322,943,618 | ' | ' | ' | ' | ' | ' |
Preferred Stock, Shares Issued | ' | 0 | ' | ' | ' | 0 | 0 | ' | ' | ' | ' | ' | ' |
Common Stock reserved for issuance | ' | ' | ' | ' | ' | ' | ' | ' | 23,200,000 | 3,500,000 | ' | ' | ' |
Amount of stock repurchase authorization | $100,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Amount remaining under stock repurchase authorization | ' | 100,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Dividends, Common Stock [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cash dividends declared per common share | ' | $0.06 | $0.04 | $0.04 | $0.04 | $0.14 | $0.19 | $0.15 | ' | ' | $0.15 | ' | $0.06 |
Debt Conversion, Converted Instrument, Shares Issued | ' | ' | 77.18004 | ' | ' | 38,589,451 | ' | ' | ' | ' | ' | ' | ' |
Debt Instrument, Face Amount | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $1,000 | ' |
Debt Instrument, Convertible, Conversion Price | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $12.96 | ' |
Employee_Benefit_Plans_Details
Employee Benefit Plans (Details) (USD $) | 12 Months Ended | ||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 | |
Stock Options | ' | ' | ' |
Outstanding at beginning of year, shares | 18,962,536 | 17,580,031 | 22,705,963 |
Granted, shares | 3,856,166 | 3,676,000 | 0 |
Exercised, shares | -2,687,724 | -1,785,412 | -4,493,797 |
Canceled or expired, shares | -652,167 | -508,083 | -632,135 |
Outstanding at end of year, shares | 19,478,811 | 18,962,536 | 17,580,031 |
Exercisable at end of year, shares | 7,207,978 | 6,626,337 | 5,815,913 |
Outstanding at beginning of year, weighted average exercise price, per share | $15.91 | $14.24 | $13.63 |
Granted, weighted average exercise price, per share | $23.85 | $23.80 | $0 |
Exercised, weighted average exercise price, per share | $16.30 | $16 | $11.13 |
Canceled or expired, weighted average exercise price, per share | $17.68 | $14.66 | $14.46 |
Outstanding at end of year, weighted average exercise price, per share | $17.37 | $15.91 | $14.24 |
Exercisable at end of year, weighted average exercise price, per share | $16.27 | $16.83 | $18.55 |
Assumptions used in Black-Scholes option valuation model | ' | ' | ' |
Risk free interest rate | 2.01% | 1.13% | ' |
Expected life (in years) | '6 years 5 months 22 days | '6 years 5 months 15 days | ' |
Expected volatility | 48.80% | 49.30% | ' |
Expected dividend yield | 0.63% | 0.63% | ' |
Employee_Benefit_Plans_Details1
Employee Benefit Plans (Details Textuals 1) (USD $) | 12 Months Ended | ||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 | |
Schedule of Deferred Compensation Arrangement with Individual, Postretirement Benefits [Table] | ' | ' | ' |
Officers' Compensation | $11,800,000 | $9,800,000 | $4,900,000 |
Employee Stock Purchase Plan [Abstract] | ' | ' | ' |
Discounted price for purchasing company's common stock | 85.00% | ' | ' |
Employee Stock Purchase Plan, Maximum Percent of Annual Compensation | 15.00% | ' | ' |
Annual limit on common stock purchases under the ESPP | 25,000 | ' | ' |
Number of shares issued under employee benefit plans | 77,216 | 63,105 | 79,455 |
Value of shares issued under employee benefit plans | 1,400,000 | 1,100,000 | 900,000 |
401(k) plan [Member] | ' | ' | ' |
Schedule of Deferred Compensation Arrangement with Individual, Postretirement Benefits [Table] | ' | ' | ' |
401(k) expense | 8,500,000 | 6,400,000 | 5,600,000 |
Supplemental executive retirement plan [Member] | ' | ' | ' |
Schedule of Deferred Compensation Arrangement with Individual, Postretirement Benefits [Table] | ' | ' | ' |
Deferred compensation liability | 24,300,000 | 21,500,000 | ' |
Deferred compensation expense | 3,900,000 | 3,600,000 | 3,100,000 |
Deferred compensation plan for select group of employees [Member] | ' | ' | ' |
Schedule of Deferred Compensation Arrangement with Individual, Postretirement Benefits [Table] | ' | ' | ' |
Deferred compensation liability | 39,700,000 | 22,900,000 | ' |
Deferred compensation expense | $1,600,000 | $600,000 | $1,600,000 |
Employee_Benefit_Plans_Employe
Employee Benefit Plans Employee Benefit Plans (Details Textuals 2) (USD $) | 12 Months Ended | 12 Months Ended | 1 Months Ended | 12 Months Ended | 1 Months Ended | 12 Months Ended | 1 Months Ended | 12 Months Ended | 1 Months Ended | 12 Months Ended | 1 Months Ended | 12 Months Ended | 1 Months Ended | 12 Months Ended | 3 Months Ended | |||||||||||||||||||||
In Millions, except Share data, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 | Mar. 06, 2014 | Mar. 05, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2010 | Sep. 30, 2012 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 | Nov. 30, 2011 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 | Jan. 31, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Nov. 30, 2012 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 | Jan. 31, 2013 | Sep. 30, 2013 | Nov. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2014 |
Employee Stock Option [Member] | Employee Stock Option [Member] | Employee Stock Option [Member] | Employee Stock Option [Member] | Employee Stock Option [Member] | Employee Stock Option [Member] | Employee Stock Option [Member] | Restricted Stock Units (RSUs) [Member] | Restricted Stock Units (RSUs) [Member] | Performance Shares [Member] | Performance Shares [Member] | Performance Shares [Member] | Performance Shares [Member] | Performance Shares [Member] | Performance Shares [Member] | Performance Shares [Member] | Performance Shares [Member] | Performance Shares [Member] | Performance Shares [Member] | Performance Shares [Member] | Performance Shares [Member] | Performance Shares [Member] | Performance Shares [Member] | Performance Shares [Member] | Performance Shares [Member] | Performance Shares [Member] | Performance Shares [Member] | Performance Shares [Member] | Performance Shares [Member] | Performance Shares [Member] | Subsequent Event [Member] | ||||||
Minimum [Member] | Maximum [Member] | March Two Thousand Fourteen Grant [Member] [Member] | March Two Thousand Fourteen Grant [Member] [Member] | September Two Thousand Ten Grant [Member] | September Two Thousand Ten Grant [Member] | November Two Thousand Eleven Grant [Member] | November Two Thousand Eleven Grant [Member] | November Two Thousand Eleven Grant [Member] | November Two Thousand Eleven Grant [Member] | January Two Thousand Fourteen Grant [Member] | January Two Thousand Fourteen Grant [Member] | January Two Thousand Fourteen Grant [Member] | January Two Thousand Fourteen Grant [Member] | November Two Thousand Twelve Grant [Member] | November Two Thousand Twelve Grant [Member] | November Two Thousand Twelve Grant [Member] | November Two Thousand Twelve Grant [Member] | January Two Thousand Thirteen Grant [Member] | January Two Thousand Thirteen Grant [Member] | November Two Thousand Thirteen Grant [Member] | November Two Thousand Thirteen Grant [Member] | November Two Thousand Thirteen Grant [Member] | November Two Thousand Thirteen Grant [Member] | Performance Shares [Member] | ||||||||||||
Minimum [Member] | Maximum [Member] | Minimum [Member] | Maximum [Member] | November Two Thousand Eleven Grant [Member] | ||||||||||||||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Vesting period | ' | ' | ' | ' | ' | ' | ' | ' | '2 years | '9 years 9 months | '2 years | '5 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '1 year | '3 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period | ' | ' | ' | ' | ' | '10 years | ' | ' | ' | ' | ' | '10 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of shares granted to purchase | 3,856,166 | 3,676,000 | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Shares available for grant | 3,800,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total intrinsic value of options exercised | ' | ' | ' | ' | ' | $18 | $14.60 | $26.40 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Aggregate intrinsic value of options outstanding | ' | ' | ' | ' | ' | 101.4 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Aggregate intrinsic value of options exercisable | ' | ' | ' | ' | ' | 47 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Lower range of options outstanding exercise price | ' | ' | ' | ' | ' | $9.03 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Upper range of options outstanding exercise price | ' | ' | ' | ' | ' | $36.92 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted average remaining contractual term of options outstanding | ' | ' | ' | ' | ' | '6 years 1 month | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted average remaining contractual term of options exercisable | ' | ' | ' | ' | ' | '4 years 7 months | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock Option Grant Recipients | ' | ' | ' | 520 | 500 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted average fair value per share of options granted | $11.21 | $10.92 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock based compensation expense | 26.2 | 19 | 18.1 | ' | ' | 25.5 | 18.6 | 15.1 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Unrecognized compensation expense related to options | ' | ' | ' | ' | ' | 71.7 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted average period over which unrecognized compensation cost is expected to be recognized | ' | ' | ' | ' | ' | '3 years 9 months | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of units granted | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 200,000 | ' | ' | ' | ' | 350,000 | ' | ' | ' | 6,667 | ' | ' | ' | 350,000 | ' | ' | ' | 33,333 | ' | 350,000 | ' | ' | ' | ' |
Performance period | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '2 years | ' | '3 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Range of percentage of units vested upon achieving performance criteria, low | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.00% | ' | 0.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Range of percentage of units vested upon achieving performance criteria, high | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 200.00% | ' | 200.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Grant date fair value per unit | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $11.53 | ' | ' | ' | ' | $11.79 | ' | ' | ' | $21.58 | ' | ' | ' | $22.15 | ' | ' | ' | $21.49 | ' | $19.64 | ' | ' | ' | ' |
Number of units earned | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 325,000 | ' | ' | ' | ' | 568,750 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock Issued During Period, Shares, Restricted Stock Award, Net of Forfeitures | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 568,750 |
Liabilities for share-based compensation | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 19.2 | 10.1 | ' | ' | 11.7 | 7.4 | ' | ' | ' | ' | ' | ' | 4.9 | 2.7 | ' | ' | ' | ' | 2.6 | 0 | ' | ' |
Share-based compensation expense | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $2.60 | $9.10 | $6 | $4.10 | ' | $4.30 | $3.30 | $4.10 | ' | $0.30 | ' | ' | ' | $2.20 | $2.70 | $0 | ' | $0.20 | ' | $2.60 | $0 | $0 | ' |
Commitments_and_Contingencies_1
Commitments and Contingencies (Details) (Homebuilding [Member], USD $) | 12 Months Ended | |
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 |
Homebuilding [Member] | ' | ' |
Changes in warranty liability | ' | ' |
Warranty liability, beginning of year | $56.90 | $56.80 |
Warranties issued | 34.6 | 26.7 |
Changes in liability for pre-existing warranties | 8.3 | 10.1 |
Settlements made | -34.1 | -36.7 |
Warranty liability, end of year | $65.70 | $56.90 |
Commitments_and_Contingencies_2
Commitments and Contingencies Commitments and Contingencies (Details 1) (Homebuilding [Member], USD $) | 12 Months Ended | |
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 |
Homebuilding [Member] | ' | ' |
Rollforward of reserves for legal claims | ' | ' |
Reserves for legal claims, beginning of period | $482 | $544.90 |
Change in reserves | 3 | 34.6 |
Payments | -22.1 | -28.3 |
Reserves for legal claims, end of period | $456.90 | $482 |
Commitments_and_Contingencies_3
Commitments and Contingencies (Details 2) (USD $) | Sep. 30, 2014 |
In Millions, unless otherwise specified | |
Minimum annual lease payments | ' |
2015 | $14.30 |
2016 | 11.1 |
2017 | 4.4 |
2018 | 2.6 |
2019 | 0.8 |
Thereafter | 0.1 |
Total | $33.30 |
Commitments_and_Contingencies_4
Commitments and Contingencies (Details Textuals) (USD $) | 12 Months Ended | ||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 | |
Loss Contingency [Abstract] | ' | ' | ' |
Amount of self insurance | $17,500,000 | ' | ' |
Annual insurance limit minimum | 250,000 | ' | ' |
Annual insurance limit maximum | 1,000,000 | ' | ' |
Amount of Captive Insurance - Aggregate Limit | 25,000,000 | ' | ' |
Amount of Captive Insurance - Individual Claim Limit | 250,000 | ' | ' |
Reinsurance coverage acquired by captive insurance subsidiary | 15,000,000 | ' | ' |
Captive Insurance - Aggregate amount beyond reinsurance coverage | 10,000,000 | ' | ' |
Captive Insurance - Individual claim limit beyond reinsurance coverage | 250,000 | ' | ' |
States with Third Party Reinsurance, Max Aggregate Retentions per Year | 4,000,000 | ' | ' |
Maximum amount deductible under workers compensation insurance policy | 500,000 | ' | ' |
Deductible policy amount per occurrence | 500,000 | ' | ' |
Other Commitments [Abstract] | ' | ' | ' |
Outstanding letters of credit | 95,800,000 | ' | ' |
Surety bonds | 876,200,000 | ' | ' |
Rent expense | 19,300,000 | 18,100,000 | 18,500,000 |
Letter of credit, other [Member] | ' | ' | ' |
Other Commitments [Abstract] | ' | ' | ' |
Outstanding letters of credit | 3,100,000 | ' | ' |
Letter of credit, under revolving credit facility [Member] | ' | ' | ' |
Other Commitments [Abstract] | ' | ' | ' |
Outstanding letters of credit | 92,700,000 | ' | ' |
Homebuilding [Member] | ' | ' | ' |
Loss Contingency [Abstract] | ' | ' | ' |
Liabilities for various claims, complaints and other legal actions | 456,900,000 | 482,000,000 | 544,900,000 |
Construction defect portion of loss contingency accrual | 99.00% | 99.00% | ' |
Expenses related to legal claims | 18,900,000 | 19,300,000 | 41,200,000 |
Estimated insurance recoveries related to legal claims | 138,400,000 | 162,100,000 | ' |
Land and Lot Option Purchase Contracts [Abstract] | ' | ' | ' |
Deposits | 58,700,000 | ' | ' |
Purchase Obligation | 2,000,000,000 | ' | ' |
Homebuilding [Member] | Cash Deposits [Member] | ' | ' | ' |
Land and Lot Option Purchase Contracts [Abstract] | ' | ' | ' |
Deposits | 48,600,000 | ' | ' |
Homebuilding [Member] | Promissory Notes And Surety Bonds [Member] | ' | ' | ' |
Land and Lot Option Purchase Contracts [Abstract] | ' | ' | ' |
Deposits | 10,100,000 | ' | ' |
Aggregate Limit [Member] | ' | ' | ' |
Loss Contingency [Abstract] | ' | ' | ' |
Self-insurance limits | 15,000,000 | ' | ' |
Individual Claim Limit [Member] | ' | ' | ' |
Loss Contingency [Abstract] | ' | ' | ' |
Self-insurance limits | 250,000 | ' | ' |
Option Contracts Subject to Specific Performance Clauses [Member] | Homebuilding [Member] | ' | ' | ' |
Land and Lot Option Purchase Contracts [Abstract] | ' | ' | ' |
Purchase Obligation | $30,900,000 | ' | ' |
Other_Assets_and_Accrued_Expen2
Other Assets and Accrued Expenses and Other Liabilities (Details) (USD $) | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 |
In Millions, unless otherwise specified | |||
Homebuilding other assets | ' | ' | ' |
Rental Properties | $48.70 | $41.30 | ' |
Homebuilding other assets | 502.7 | 476.5 | ' |
Homebuilding [Member] | ' | ' | ' |
Homebuilding other assets | ' | ' | ' |
Insurance receivables | 138.4 | 162.1 | ' |
Earnest money and refundable deposits | 113.3 | 98.5 | ' |
Accounts and notes receivable | 38.6 | 24.1 | ' |
Prepaid assets | 55.4 | 49.4 | ' |
Other Investments | 20.8 | 20.3 | ' |
Other assets | 25.9 | 23.9 | ' |
Homebuilding other assets | 441.1 | 419.6 | ' |
Homebuilding accrued expenses and other liabilities | ' | ' | ' |
Reserves for legal claims | 456.9 | 482 | 544.9 |
Employee compensation and related liabilities | 150.8 | 130.2 | ' |
Warranty liability | 65.7 | 56.9 | 56.8 |
Accrued interest | 29.1 | 34 | ' |
Federal and state income tax liabilities | 12.8 | 29.9 | ' |
Construction Payable | 36.1 | 46.3 | ' |
Customer Deposits, Current | 49.5 | 39.3 | ' |
Accrual for Taxes Other than Income Taxes, Current | 29.1 | 30 | ' |
Other liabilities | 45 | 37.4 | ' |
Homebuilding accrued expenses and other liabilities | $875 | $886 | ' |
Fair_Value_Measurements_Detail
Fair Value Measurements (Details) (USD $) | Sep. 30, 2014 | Sep. 30, 2013 | ||
In Millions, unless otherwise specified | ||||
Homebuilding [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Other Investments | $20.80 | $20.30 | ||
Financial Services [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ' | ' | ||
Mortgage loans held for sale | 476.9 | 395.1 | ||
Recurring [Member] | Level 1 [Member] | Homebuilding [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Other Investments | 0 | [1] | 0 | [1] |
Recurring [Member] | Level 1 [Member] | Financial Services [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ' | ' | ||
Mortgage loans held for sale | 0 | [2] | 0 | [2] |
Recurring [Member] | Level 1 [Member] | Financial Services [Member] | Interest rate lock commitments [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ' | ' | ||
Fair value of interest rate derivatives | 0 | [3] | 0 | [3] |
Recurring [Member] | Level 1 [Member] | Financial Services [Member] | Forward Sales Of MBS [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ' | ' | ||
Fair value of interest rate derivatives | 0 | [3] | 0 | [3] |
Recurring [Member] | Level 1 [Member] | Financial Services [Member] | Best-efforts and mandatory commitments [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ' | ' | ||
Fair value of interest rate derivatives | 0 | [3] | 0 | [3] |
Recurring [Member] | Level 2 [Member] | Homebuilding [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Other Investments | 0 | [1] | 0 | [1] |
Recurring [Member] | Level 2 [Member] | Financial Services [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ' | ' | ||
Mortgage loans held for sale | 464.9 | [2] | 389.4 | [2] |
Recurring [Member] | Level 2 [Member] | Financial Services [Member] | Interest rate lock commitments [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ' | ' | ||
Fair value of interest rate derivatives | 2.4 | [3] | 7 | [3] |
Recurring [Member] | Level 2 [Member] | Financial Services [Member] | Forward Sales Of MBS [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ' | ' | ||
Fair value of interest rate derivatives | -1.9 | [3] | -8.8 | [3] |
Recurring [Member] | Level 2 [Member] | Financial Services [Member] | Best-efforts and mandatory commitments [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ' | ' | ||
Fair value of interest rate derivatives | -0.1 | [3] | -3.1 | [3] |
Recurring [Member] | Level 3 [Member] | Homebuilding [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Other Investments | 20.8 | [1] | 20.3 | [1] |
Recurring [Member] | Level 3 [Member] | Financial Services [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ' | ' | ||
Mortgage loans held for sale | 12 | [2] | 5.7 | [2] |
Recurring [Member] | Level 3 [Member] | Financial Services [Member] | Interest rate lock commitments [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ' | ' | ||
Fair value of interest rate derivatives | 0 | 0 | [3] | |
Recurring [Member] | Level 3 [Member] | Financial Services [Member] | Forward Sales Of MBS [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ' | ' | ||
Fair value of interest rate derivatives | 0 | 0 | [3] | |
Recurring [Member] | Level 3 [Member] | Financial Services [Member] | Best-efforts and mandatory commitments [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ' | ' | ||
Fair value of interest rate derivatives | 0 | 0 | [3] | |
Recurring [Member] | Estimate fair value [Member] | Homebuilding [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Other Investments | 20.8 | [1] | 20.3 | [1] |
Recurring [Member] | Estimate fair value [Member] | Financial Services [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ' | ' | ||
Mortgage loans held for sale | 476.9 | [2] | 395.1 | [2] |
Recurring [Member] | Estimate fair value [Member] | Financial Services [Member] | Interest rate lock commitments [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ' | ' | ||
Fair value of interest rate derivatives | 2.4 | [3] | 7 | |
Recurring [Member] | Estimate fair value [Member] | Financial Services [Member] | Forward Sales Of MBS [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ' | ' | ||
Fair value of interest rate derivatives | -1.9 | [3] | -8.8 | |
Recurring [Member] | Estimate fair value [Member] | Financial Services [Member] | Best-efforts and mandatory commitments [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ' | ' | ||
Fair value of interest rate derivatives | ($0.10) | [3] | ($3.10) | |
[1] | In October 2012, the Company purchased defaulted debt securities which are secured by residential real estate. The Company intends to negotiate an agreement to obtain the right to take possession of the residential real estate in order to develop the property and ultimately build and sell homes. These securities, which are included in other assets in the consolidated balance sheets, are classified as available for sale and are reflected at fair value. The fair value of these securities was determined by estimating the future cash flows of the securities and the residential real estate utilizing discount rates of 6% and 18%, respectively. Unrealized gains or losses on these securities, net of tax, are recorded in accumulated other comprehensive income (loss) in the consolidated balance sheets. | |||
[2] | Mortgage loans held for sale are reflected at fair value. Interest income earned on mortgage loans held for sale is based on contractual interest rates and included in financial services interest and other income. Mortgage loans held for sale at September 30, 2014 includes $12.0 million of originated loans for which the Company elected the fair value option upon origination and which the Company has not sold into the secondary market, but plans to sell as market conditions permit. The fair value of these mortgage loans held for sale is generally calculated considering the secondary market and adjusted for the value of the underlying collateral, including interest rate risk, liquidity risk and prepayment risk. | |||
[3] | Fair value measurements of these derivatives represent changes in fair value and are reflected in the balance sheet. Changes in these fair values during the periods presented are included in financial services revenues in the consolidated statements of operations. |
Fair_Value_Measurements_Detail1
Fair Value Measurements (Details 1) (USD $) | 12 Months Ended | |||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | ||
Financial Services [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Real Estate Acquired Through Foreclosure | 0.7 | 1.3 | ||
Nonrecurring [Member] | Level 3 [Member] | Financial Services [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Other mortgage loans | 16 | [1],[2] | 22.6 | [1],[2] |
Real Estate Acquired Through Foreclosure | 0.5 | [1],[2] | 0.7 | [1],[2] |
Inventories [Member] | Nonrecurring [Member] | Level 3 [Member] | Homebuilding [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Inventory held and used | 19.2 | [1],[3] | 0.5 | [1],[3] |
Fair Value Adjusted - Available for Sale [Member] [Member] | Nonrecurring [Member] | Level 3 [Member] | Homebuilding [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Inventory held and used | 8.2 | [1],[4] | 10.8 | [1],[4] |
Minimum [Member] | Inventories [Member] | Homebuilding [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Fair Value Inputs, Discount Rate | 12.00% | 12.00% | ||
Maximum [Member] | Inventories [Member] | Homebuilding [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Fair Value Inputs, Discount Rate | 18.00% | 18.00% | ||
[1] | The fair values included in the table above represent only those assets whose carrying values were adjusted to fair value in the respective period. | |||
[2] | The fair values of other mortgage loans and real estate owned are determined based on the value of the underlying collateral. | |||
[3] | In performing its impairment analysis of communities, discount rates ranging from 12% to 18% were used in the periods presented. | |||
[4] | The fair value of inventory available for sale was determined based on recent offers received from outside third parties, comparable sales or actual contracts. |
Fair_Value_Measurements_Detail2
Fair Value Measurements (Details 2) (USD $) | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2011 | ||
In Millions, unless otherwise specified | ||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ' | ' | ||
Cash and cash equivalents, carrying value | $661.80 | $977.40 | $1,086.80 | $770.50 | ||
Notes payable, carrying value | 3,682.80 | 3,509 | ' | ' | ||
Homebuilding [Member] | ' | ' | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ' | ' | ||
Cash and cash equivalents, carrying value | 632.5 | [1] | 954.2 | [1] | ' | ' |
Restricted cash, carrying value | 10 | [1] | 77.8 | [1] | ' | ' |
Notes payable, carrying value | 3,323.60 | 3,270.40 | ' | ' | ||
Homebuilding [Member] | Senior notes [Member] | ' | ' | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ' | ' | ||
Notes payable, carrying value | 3,000.20 | [2] | 2,783.30 | [2] | ' | ' |
Financial Services [Member] | ' | ' | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ' | ' | ||
Cash and cash equivalents, carrying value | 29.3 | [1] | 23.2 | [1] | ' | ' |
Assets Sold under Agreements to Repurchase, Repurchase Liability | 359.2 | [1] | 238.6 | [1] | ' | ' |
Level 1 [Member] | Homebuilding [Member] | ' | ' | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ' | ' | ||
Cash and cash equivalents, fair value | 632.5 | [1] | 954.2 | [1] | ' | ' |
Restricted cash, fair value | 10 | [1] | 77.8 | [1] | ' | ' |
Level 1 [Member] | Financial Services [Member] | ' | ' | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ' | ' | ||
Cash and cash equivalents, fair value | 29.3 | [1] | 23.2 | [1] | ' | ' |
Level 2 [Member] | Homebuilding [Member] | Senior notes [Member] | ' | ' | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ' | ' | ||
Notes payable, fair value | 3,033.80 | [2] | 2,811.50 | [2] | ' | ' |
Level 2 [Member] | Homebuilding [Member] | Convertible Senior Note One [Member] | ' | ' | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ' | ' | ||
Notes payable, fair value | ' | 762.4 | [2] | ' | ' | |
Level 3 [Member] | Homebuilding [Member] | ' | ' | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ' | ' | ||
Line of Credit Facility, Fair Value of Amount Outstanding | 300 | [1] | ' | ' | ' | |
Level 3 [Member] | Financial Services [Member] | ' | ' | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ' | ' | ||
Mortgage repurchase facility, fair value | 359.2 | [1] | 238.6 | [1] | ' | ' |
Estimate fair value [Member] | Homebuilding [Member] | ' | ' | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ' | ' | ||
Cash and cash equivalents, fair value | 632.5 | [1] | 954.2 | [1] | ' | ' |
Restricted cash, fair value | 10 | [1] | 77.8 | [1] | ' | ' |
Line of Credit Facility, Fair Value of Amount Outstanding | 300 | [1] | ' | ' | ' | |
Estimate fair value [Member] | Homebuilding [Member] | Senior notes [Member] | ' | ' | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ' | ' | ||
Notes payable, fair value | 3,033.80 | [2] | 2,811.50 | [2] | ' | ' |
Estimate fair value [Member] | Homebuilding [Member] | Convertible Senior Note One [Member] | ' | ' | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ' | ' | ||
Notes payable, fair value | ' | 762.4 | [2] | ' | ' | |
Estimate fair value [Member] | Financial Services [Member] | ' | ' | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ' | ' | ||
Cash and cash equivalents, fair value | 29.3 | [1] | 23.2 | [1] | ' | ' |
Mortgage repurchase facility, fair value | 359.2 | [1] | 238.6 | [1] | ' | ' |
Convertible Senior Note One [Member] | Homebuilding [Member] | Unsecured Debt [Member] | ' | ' | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ' | ' | ||
Notes payable, carrying value | $0 | [2] | $478.70 | [2] | ' | ' |
[1] | The fair value approximates carrying value due to its short-term nature, short maturity or floating interest rate terms, as applicable. | |||||
[2] | The fair value is determined based on quoted market prices of recent transactions of the notes, which is classified as Level 2 within the fair value hierarchy. |
Fair_Value_Measurements_Fair_V
Fair Value Measurements Fair Value Measurements - Level 3 Rollforward (Details) (USD $) | 12 Months Ended | |||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | ||
Debt Securities [Member] | ' | ' | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' | ||
Fair Value Inputs, Discount Rate | 6.00% | ' | ||
Residential Real Estate [Member] | ' | ' | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' | ||
Fair Value Inputs, Discount Rate | 18.00% | ' | ||
Homebuilding [Member] | ' | ' | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' | ||
Other Investments | 20.8 | 20.3 | ||
Homebuilding [Member] | Debt Securities [Member] | ' | ' | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' | ||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Other Comprehensive Income (Loss) | 0.5 | [1] | ' | |
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Purchases | 0 | [1] | ' | |
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Settlements | 0 | [1] | ' | |
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Sales | 0 | [2] | ' | |
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset Transfers Into Level 3 | 0 | [2] | ' | |
Financial Services [Member] | ' | ' | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' | ||
Mortgage loans held for sale | 476.9 | 395.1 | ||
Financial Services [Member] | Loans Receivable [Member] | ' | ' | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' | ||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Other Comprehensive Income (Loss) | 0.8 | [2] | ' | |
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Purchases | 0 | [2] | ' | |
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Settlements | 0 | [1] | ' | |
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Sales | -0.8 | [2] | ' | |
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset Transfers Into Level 3 | 6.3 | [2] | ' | |
Level 3 [Member] | Fair Value, Measurements, Recurring [Member] | Homebuilding [Member] | ' | ' | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' | ||
Other Investments | 20.8 | [1] | 20.3 | [1] |
Level 3 [Member] | Fair Value, Measurements, Recurring [Member] | Financial Services [Member] | ' | ' | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' | ||
Mortgage loans held for sale | 12 | [2] | 5.7 | [2] |
Maximum [Member] | Homebuilding [Member] | Inventories [Member] | ' | ' | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' | ||
Fair Value Inputs, Discount Rate | 18.00% | 18.00% | ||
[1] | In October 2012, the Company purchased defaulted debt securities which are secured by residential real estate. The Company intends to negotiate an agreement to obtain the right to take possession of the residential real estate in order to develop the property and ultimately build and sell homes. These securities, which are included in other assets in the consolidated balance sheets, are classified as available for sale and are reflected at fair value. The fair value of these securities was determined by estimating the future cash flows of the securities and the residential real estate utilizing discount rates of 6% and 18%, respectively. Unrealized gains or losses on these securities, net of tax, are recorded in accumulated other comprehensive income (loss) in the consolidated balance sheets. | |||
[2] | Mortgage loans held for sale are reflected at fair value. Interest income earned on mortgage loans held for sale is based on contractual interest rates and included in financial services interest and other income. Mortgage loans held for sale at September 30, 2014 includes $12.0 million of originated loans for which the Company elected the fair value option upon origination and which the Company has not sold into the secondary market, but plans to sell as market conditions permit. The fair value of these mortgage loans held for sale is generally calculated considering the secondary market and adjusted for the value of the underlying collateral, including interest rate risk, liquidity risk and prepayment risk. |
Quarterly_Results_of_Operation2
Quarterly Results of Operations (Unaudited) (Details) (USD $) | 0 Months Ended | 3 Months Ended | 12 Months Ended | ||||||||||||
In Millions, except Per Share data, unless otherwise specified | Apr. 02, 2012 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 | |||
Quarterly Financial Data [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Valuation Allowance, Deferred Tax Asset, Change in Amount | $753.20 | ' | ' | ' | ' | ($2.90) | ' | $18.70 | ' | ' | ' | ' | |||
Summary of quarterly results of operations | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Revenues | ' | 2,472.30 | 2,147 | 1,735 | 1,670.60 | 1,859.80 | 1,692.80 | 1,431.60 | 1,275.10 | 8,024.90 | 6,259.30 | 4,354 | |||
Income before income taxes | ' | 250.8 | 171.8 | 201.9 | 189.7 | 202.8 | 205.1 | 142.1 | 107.9 | 814.2 | [1] | 657.8 | [1] | 242.9 | [1] |
Income Tax Expense (Benefit) | ' | 84.5 | 58.7 | 70.9 | 66.5 | 63.3 | 59.1 | 31.1 | 41.6 | 280.7 | 195.1 | -713.4 | |||
Net income | ' | 166.3 | 113.1 | 131 | 123.2 | 139.5 | 146 | 111 | 66.3 | 533.5 | 462.7 | 956.3 | |||
Basic net income (loss) per common share | ' | $0.46 | $0.32 | $0.40 | $0.38 | $0.43 | $0.45 | $0.35 | $0.21 | $1.57 | $1.44 | $3.01 | |||
Diluted net income (loss) per common share | ' | $0.45 | $0.32 | $0.38 | $0.36 | $0.40 | $0.42 | $0.32 | $0.20 | $1.50 | $1.33 | $2.77 | |||
Homebuilding [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Summary of quarterly results of operations | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Production Related Impairments or Charges | ' | 21.3 | 56.8 | 4.4 | 2.6 | 27.1 | 0.8 | 1.8 | 1.3 | 85.2 | 31.1 | 6.2 | |||
Gross profit | ' | 473.7 | 377.4 | 376.8 | 362 | 371.4 | 349.1 | 281.2 | 230.9 | 1,589.90 | 1,232.40 | 743.8 | |||
Income before income taxes | ' | ' | ' | ' | ' | ' | ' | ' | ' | $768.80 | [1] | $592.30 | [1] | $203.70 | [1] |
[1] | Expenses maintained at the corporate level consist primarily of interest and property taxes, which are capitalized and amortized to cost of sales or expensed directly, and the expenses related to operating the Company’s corporate office. The amortization of capitalized interest and property taxes is allocated to each segment based on the segment’s revenue, while those expenses associated with the corporate office are allocated to each segment based on the segment’s inventory balances. |
Quarterly_Results_of_Operation3
Quarterly Results of Operations (Unaudited) (Details Textuals) (USD $) | 0 Months Ended | 3 Months Ended | 12 Months Ended | |||||||||||
In Millions, unless otherwise specified | Apr. 02, 2012 | Sep. 30, 2013 | Mar. 31, 2013 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 |
Homebuilding [Member] | Homebuilding [Member] | Homebuilding [Member] | Homebuilding [Member] | Homebuilding [Member] | Homebuilding [Member] | Homebuilding [Member] | Homebuilding [Member] | Homebuilding [Member] | Homebuilding [Member] | Homebuilding [Member] | ||||
Inventory Impairments Information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Inventory impairments and land option charges | ' | ' | ' | $21.30 | $56.80 | $4.40 | $2.60 | $27.10 | $0.80 | $1.80 | $1.30 | $85.20 | $31.10 | $6.20 |
Valuation Allowance, Deferred Tax Asset, Change in Amount | ($753.20) | $2.90 | ($18.70) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Supplemental_Guarantor_Informa2
Supplemental Guarantor Information (Details) (USD $) | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2011 | ||
In Millions, unless otherwise specified | ||||||
ASSETS | ' | ' | ' | ' | ||
Cash and cash equivalents | $661.80 | $977.40 | $1,086.80 | $770.50 | ||
Investments in subsidiaries | 0 | 0 | ' | ' | ||
Deferred income taxes | 565 | 586.6 | ' | ' | ||
Property and equipment, net | 193.7 | [1] | 109.5 | [1] | ' | ' |
Other Assets | 502.7 | 476.5 | ' | ' | ||
Advances to Affiliate | 0 | 0 | ' | ' | ||
Total assets | 10,202.50 | 8,856.40 | ' | ' | ||
LIABILITIES & EQUITY | ' | ' | ' | ' | ||
Accounts payable and other liabilities | 1,400 | 1,286 | ' | ' | ||
Intercompany Receivables | 0 | 0 | ' | ' | ||
Notes payable | 3,682.80 | 3,509 | ' | ' | ||
Total liabilities | 5,082.80 | 4,795 | ' | ' | ||
Total stockholders' equity | 5,115.80 | 4,058.50 | ' | ' | ||
Noncontrolling interests | 3.9 | 2.9 | ' | ' | ||
Total equity | 5,119.70 | 4,061.40 | 3,594.70 | 2,623.50 | ||
Total liabilities and equity | 10,202.50 | 8,856.40 | ' | ' | ||
D.R Horton, Inc. [Member] | ' | ' | ' | ' | ||
ASSETS | ' | ' | ' | ' | ||
Cash and cash equivalents | 497.4 | 871.4 | 968.9 | 681.3 | ||
Investments in subsidiaries | 2,878.20 | 2,477.70 | ' | ' | ||
Other Assets | 163 | 167 | ' | ' | ||
Advances to Affiliate | 2,364.20 | 1,697 | ' | ' | ||
Total assets | 8,827.30 | 7,709.70 | ' | ' | ||
LIABILITIES & EQUITY | ' | ' | ' | ' | ||
Accounts payable and other liabilities | 409.8 | 383.8 | ' | ' | ||
Intercompany Receivables | 0 | 0 | ' | ' | ||
Notes payable | 3,301.70 | 3,267.40 | ' | ' | ||
Total liabilities | 3,711.50 | 3,651.20 | ' | ' | ||
Total stockholders' equity | 5,115.80 | 4,058.50 | ' | ' | ||
Noncontrolling interests | 0 | 0 | ' | ' | ||
Total equity | 5,115.80 | 4,058.50 | ' | ' | ||
Total liabilities and equity | 8,827.30 | 7,709.70 | ' | ' | ||
Guarantor Subsidiaries [Member] | ' | ' | ' | ' | ||
ASSETS | ' | ' | ' | ' | ||
Cash and cash equivalents | 89.5 | 38.4 | 56.3 | 31.3 | ||
Investments in subsidiaries | 0 | 0 | ' | ' | ||
Other Assets | 250.8 | 233.4 | ' | ' | ||
Advances to Affiliate | 0 | 0 | ' | ' | ||
Total assets | 5,865 | 4,734.20 | ' | ' | ||
LIABILITIES & EQUITY | ' | ' | ' | ' | ||
Accounts payable and other liabilities | 853.3 | 766.5 | ' | ' | ||
Intercompany Receivables | 2,282.20 | 1,664.20 | ' | ' | ||
Notes payable | 3.4 | 3 | ' | ' | ||
Total liabilities | 3,138.90 | 2,433.70 | ' | ' | ||
Total stockholders' equity | 2,726.10 | 2,300.50 | ' | ' | ||
Noncontrolling interests | 0 | 0 | ' | ' | ||
Total equity | 2,726.10 | 2,300.50 | ' | ' | ||
Total liabilities and equity | 5,865 | 4,734.20 | ' | ' | ||
Non-Guarantor Subsidiaries [Member] | ' | ' | ' | ' | ||
ASSETS | ' | ' | ' | ' | ||
Cash and cash equivalents | 74.9 | 67.6 | 61.6 | 57.9 | ||
Investments in subsidiaries | 0 | 0 | ' | ' | ||
Other Assets | 88.9 | 76.1 | ' | ' | ||
Advances to Affiliate | 0 | 0 | ' | ' | ||
Total assets | 752.6 | 587.2 | ' | ' | ||
LIABILITIES & EQUITY | ' | ' | ' | ' | ||
Accounts payable and other liabilities | 136.9 | 135.7 | ' | ' | ||
Intercompany Receivables | 82 | 32.8 | ' | ' | ||
Notes payable | 377.7 | 238.6 | ' | ' | ||
Total liabilities | 596.6 | 407.1 | ' | ' | ||
Total stockholders' equity | 152.1 | 177.2 | ' | ' | ||
Noncontrolling interests | 3.9 | 2.9 | ' | ' | ||
Total equity | 156 | 180.1 | ' | ' | ||
Total liabilities and equity | 752.6 | 587.2 | ' | ' | ||
Eliminations [Member] | ' | ' | ' | ' | ||
ASSETS | ' | ' | ' | ' | ||
Cash and cash equivalents | 0 | 0 | 0 | 0 | ||
Investments in subsidiaries | -2,878.20 | -2,477.70 | ' | ' | ||
Other Assets | 0 | 0 | ' | ' | ||
Advances to Affiliate | -2,364.20 | -1,697 | ' | ' | ||
Total assets | -5,242.40 | -4,174.70 | ' | ' | ||
LIABILITIES & EQUITY | ' | ' | ' | ' | ||
Accounts payable and other liabilities | 0 | 0 | ' | ' | ||
Intercompany Receivables | -2,364.20 | -1,697 | ' | ' | ||
Notes payable | 0 | 0 | ' | ' | ||
Total liabilities | -2,364.20 | -1,697 | ' | ' | ||
Total stockholders' equity | -2,878.20 | -2,477.70 | ' | ' | ||
Noncontrolling interests | 0 | 0 | ' | ' | ||
Total equity | -2,878.20 | -2,477.70 | ' | ' | ||
Total liabilities and equity | -5,242.40 | -4,174.70 | ' | ' | ||
Financial Services [Member] | ' | ' | ' | ' | ||
ASSETS | ' | ' | ' | ' | ||
Cash and cash equivalents | 29.3 | [2] | 23.2 | [2] | ' | ' |
Property and equipment, net | 2.9 | 2.8 | ' | ' | ||
Other Assets | 61.6 | 56.9 | ' | ' | ||
Mortgage loans held for sale | 476.9 | 395.1 | ' | ' | ||
Total assets | 567.8 | 475.2 | ' | ' | ||
LIABILITIES & EQUITY | ' | ' | ' | ' | ||
Total liabilities | 403.9 | 292.2 | ' | ' | ||
Financial Services [Member] | D.R Horton, Inc. [Member] | ' | ' | ' | ' | ||
ASSETS | ' | ' | ' | ' | ||
Mortgage loans held for sale | 0 | 0 | ' | ' | ||
Financial Services [Member] | Guarantor Subsidiaries [Member] | ' | ' | ' | ' | ||
ASSETS | ' | ' | ' | ' | ||
Mortgage loans held for sale | 0 | 0 | ' | ' | ||
Financial Services [Member] | Non-Guarantor Subsidiaries [Member] | ' | ' | ' | ' | ||
ASSETS | ' | ' | ' | ' | ||
Mortgage loans held for sale | 476.9 | 395.1 | ' | ' | ||
Financial Services [Member] | Eliminations [Member] | ' | ' | ' | ' | ||
ASSETS | ' | ' | ' | ' | ||
Mortgage loans held for sale | 0 | 0 | ' | ' | ||
Homebuilding [Member] | ' | ' | ' | ' | ||
ASSETS | ' | ' | ' | ' | ||
Cash and cash equivalents | 632.5 | [2] | 954.2 | [2] | ' | ' |
Restricted cash | 10 | [2] | 77.8 | [2] | ' | ' |
Inventories | 7,700.50 | [3] | 6,197.40 | [3] | ' | ' |
Deferred income taxes | 565 | 586.6 | ' | ' | ||
Property and equipment, net | 190.8 | 106.7 | ' | ' | ||
Other Assets | 441.1 | 419.6 | ' | ' | ||
Goodwill | 94.8 | 38.9 | ' | ' | ||
Total assets | 9,634.70 | 8,381.20 | ' | ' | ||
LIABILITIES & EQUITY | ' | ' | ' | ' | ||
Notes payable | 3,323.60 | 3,270.40 | ' | ' | ||
Total liabilities | 4,678.90 | 4,502.80 | ' | ' | ||
Homebuilding [Member] | D.R Horton, Inc. [Member] | ' | ' | ' | ' | ||
ASSETS | ' | ' | ' | ' | ||
Restricted cash | 6.8 | 76.5 | ' | ' | ||
Inventories | 2,675.90 | 2,177.40 | ' | ' | ||
Deferred income taxes | 189.9 | 201.7 | ' | ' | ||
Property and equipment, net | 51.9 | 41 | ' | ' | ||
Goodwill | 0 | 0 | ' | ' | ||
Homebuilding [Member] | Guarantor Subsidiaries [Member] | ' | ' | ' | ' | ||
ASSETS | ' | ' | ' | ' | ||
Restricted cash | 2.1 | 1.2 | ' | ' | ||
Inventories | 5,014.30 | 4,002.90 | ' | ' | ||
Deferred income taxes | 364.4 | 384.9 | ' | ' | ||
Property and equipment, net | 49.1 | 34.5 | ' | ' | ||
Goodwill | 94.8 | 38.9 | ' | ' | ||
Homebuilding [Member] | Non-Guarantor Subsidiaries [Member] | ' | ' | ' | ' | ||
ASSETS | ' | ' | ' | ' | ||
Restricted cash | 1.1 | 0.1 | ' | ' | ||
Inventories | 10.3 | 17.1 | ' | ' | ||
Deferred income taxes | 10.7 | 0 | ' | ' | ||
Property and equipment, net | 89.8 | 31.2 | ' | ' | ||
Goodwill | 0 | 0 | ' | ' | ||
Homebuilding [Member] | Eliminations [Member] | ' | ' | ' | ' | ||
ASSETS | ' | ' | ' | ' | ||
Restricted cash | 0 | 0 | ' | ' | ||
Inventories | 0 | 0 | ' | ' | ||
Deferred income taxes | 0 | 0 | ' | ' | ||
Property and equipment, net | 0 | 0 | ' | ' | ||
Goodwill | $0 | $0 | ' | ' | ||
[1] | Includes $2.9 million and $2.8 million at September 30, 2014 and 2013, respectively, of property and equipment related to the Company's financial services subsidiaries which is included in financial services other assets in the consolidated balance sheets. | |||||
[2] | The fair value approximates carrying value due to its short-term nature, short maturity or floating interest rate terms, as applicable. | |||||
[3] | Homebuilding inventories are the only assets included in the measure of homebuilding segment assets used by the Company’s chief operating decision makers. |
Supplemental_Guarantor_Informa3
Supplemental Guarantor Information (Details 1) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||||||
In Millions, unless otherwise specified | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 | |||
Unaudited Supplemental Consolidating Statement of Operations | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Interest expense | ' | ' | ' | ' | ' | ' | ' | ' | $0 | $7.10 | $26.90 | |||
Income before income taxes | 250.8 | 171.8 | 201.9 | 189.7 | 202.8 | 205.1 | 142.1 | 107.9 | 814.2 | [1] | 657.8 | [1] | 242.9 | [1] |
Income Tax Expense (Benefit) | 84.5 | 58.7 | 70.9 | 66.5 | 63.3 | 59.1 | 31.1 | 41.6 | 280.7 | 195.1 | -713.4 | |||
Net income | 166.3 | 113.1 | 131 | 123.2 | 139.5 | 146 | 111 | 66.3 | 533.5 | 462.7 | 956.3 | |||
Comprehensive income | ' | ' | ' | ' | ' | ' | ' | ' | 533.8 | 464.4 | 956.4 | |||
Homebuilding [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Unaudited Supplemental Consolidating Statement of Operations | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Revenues | ' | ' | ' | ' | ' | ' | ' | ' | 7,858.50 | 6,085.90 | 4,236.20 | |||
Cost of sales | ' | ' | ' | ' | ' | ' | ' | ' | 6,268.60 | 4,853.50 | 3,492.40 | |||
Gross profit | 473.7 | 377.4 | 376.8 | 362 | 371.4 | 349.1 | 281.2 | 230.9 | 1,589.90 | 1,232.40 | 743.8 | |||
Selling, general and administrative expense | ' | ' | ' | ' | ' | ' | ' | ' | 834.2 | 649.9 | 528.7 | |||
Equity in (income) of subsidiaries | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 | |||
Interest expense | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 5.1 | 23.6 | |||
Other (income) | ' | ' | ' | ' | ' | ' | ' | ' | -13.1 | -14.9 | -12.2 | |||
Income before income taxes | ' | ' | ' | ' | ' | ' | ' | ' | 768.8 | [1] | 592.3 | [1] | 203.7 | [1] |
Financial Services [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Unaudited Supplemental Consolidating Statement of Operations | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Revenues, net of recourse and reinsurance expense | ' | ' | ' | ' | ' | ' | ' | ' | 166.4 | 173.4 | 117.8 | |||
General and administrative expense | ' | ' | ' | ' | ' | ' | ' | ' | 131.2 | 116.4 | 85.5 | |||
Interest and other income | ' | ' | ' | ' | ' | ' | ' | ' | -10.2 | -8.5 | -6.9 | |||
Income before income taxes | ' | ' | ' | ' | ' | ' | ' | ' | 45.4 | [1] | 65.5 | [1] | 39.2 | [1] |
D.R Horton, Inc. [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Unaudited Supplemental Consolidating Statement of Operations | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Income before income taxes | ' | ' | ' | ' | ' | ' | ' | ' | 814.2 | 657.8 | 242.9 | |||
Income Tax Expense (Benefit) | ' | ' | ' | ' | ' | ' | ' | ' | 280.7 | 195.1 | -713.4 | |||
Net income | ' | ' | ' | ' | ' | ' | ' | ' | 533.5 | 462.7 | 956.3 | |||
Comprehensive income | ' | ' | ' | ' | ' | ' | ' | ' | 533.5 | 462.5 | 956.4 | |||
D.R Horton, Inc. [Member] | Homebuilding [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Unaudited Supplemental Consolidating Statement of Operations | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Revenues | ' | ' | ' | ' | ' | ' | ' | ' | 2,547.40 | 1,981.60 | 1,400.30 | |||
Cost of sales | ' | ' | ' | ' | ' | ' | ' | ' | 2,038 | 1,563.10 | 1,130.90 | |||
Gross profit | ' | ' | ' | ' | ' | ' | ' | ' | 509.4 | 418.5 | 269.4 | |||
Selling, general and administrative expense | ' | ' | ' | ' | ' | ' | ' | ' | 388.3 | 302.1 | 243.6 | |||
Equity in (income) of subsidiaries | ' | ' | ' | ' | ' | ' | ' | ' | -691.8 | -542.5 | -235.7 | |||
Interest expense | ' | ' | ' | ' | ' | ' | ' | ' | ' | 5.1 | 23.6 | |||
Other (income) | ' | ' | ' | ' | ' | ' | ' | ' | -1.3 | -4 | -5 | |||
Income before income taxes | ' | ' | ' | ' | ' | ' | ' | ' | 814.2 | 657.8 | 242.9 | |||
D.R Horton, Inc. [Member] | Financial Services [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Unaudited Supplemental Consolidating Statement of Operations | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Revenues, net of recourse and reinsurance expense | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 | |||
General and administrative expense | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 | |||
Interest and other income | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 | |||
Income before income taxes | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 | |||
Guarantor Subsidiaries [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Unaudited Supplemental Consolidating Statement of Operations | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Income before income taxes | ' | ' | ' | ' | ' | ' | ' | ' | 647.7 | 476.8 | 211.2 | |||
Income Tax Expense (Benefit) | ' | ' | ' | ' | ' | ' | ' | ' | 222.1 | 126.9 | -463.4 | |||
Net income | ' | ' | ' | ' | ' | ' | ' | ' | 425.6 | 349.9 | 674.6 | |||
Comprehensive income | ' | ' | ' | ' | ' | ' | ' | ' | 425.9 | 351.8 | 674.6 | |||
Guarantor Subsidiaries [Member] | Homebuilding [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Unaudited Supplemental Consolidating Statement of Operations | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Revenues | ' | ' | ' | ' | ' | ' | ' | ' | 5,299.90 | 4,094.10 | 2,828 | |||
Cost of sales | ' | ' | ' | ' | ' | ' | ' | ' | 4,222.50 | 3,279.90 | 2,341.50 | |||
Gross profit | ' | ' | ' | ' | ' | ' | ' | ' | 1,077.40 | 814.2 | 486.5 | |||
Selling, general and administrative expense | ' | ' | ' | ' | ' | ' | ' | ' | 433 | 341.1 | 277.5 | |||
Equity in (income) of subsidiaries | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 | |||
Interest expense | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | |||
Other (income) | ' | ' | ' | ' | ' | ' | ' | ' | -3.3 | -3.7 | -2.2 | |||
Income before income taxes | ' | ' | ' | ' | ' | ' | ' | ' | 647.7 | 476.8 | 211.2 | |||
Guarantor Subsidiaries [Member] | Financial Services [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Unaudited Supplemental Consolidating Statement of Operations | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Revenues, net of recourse and reinsurance expense | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 | |||
General and administrative expense | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 | |||
Interest and other income | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 | |||
Income before income taxes | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 | |||
Non-Guarantor Subsidiaries [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Unaudited Supplemental Consolidating Statement of Operations | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Income before income taxes | ' | ' | ' | ' | ' | ' | ' | ' | 44.1 | 65.7 | 24.5 | |||
Income Tax Expense (Benefit) | ' | ' | ' | ' | ' | ' | ' | ' | 16.6 | 18.7 | -20.6 | |||
Net income | ' | ' | ' | ' | ' | ' | ' | ' | 27.5 | 47 | 45.1 | |||
Comprehensive income | ' | ' | ' | ' | ' | ' | ' | ' | 27.5 | 47 | 45.1 | |||
Non-Guarantor Subsidiaries [Member] | Homebuilding [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Unaudited Supplemental Consolidating Statement of Operations | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Revenues | ' | ' | ' | ' | ' | ' | ' | ' | 11.2 | 10.2 | 7.9 | |||
Cost of sales | ' | ' | ' | ' | ' | ' | ' | ' | 8.1 | 10.5 | 20 | |||
Gross profit | ' | ' | ' | ' | ' | ' | ' | ' | 3.1 | -0.3 | -12.1 | |||
Selling, general and administrative expense | ' | ' | ' | ' | ' | ' | ' | ' | 12.9 | 6.7 | 7.6 | |||
Equity in (income) of subsidiaries | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 | |||
Interest expense | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | |||
Other (income) | ' | ' | ' | ' | ' | ' | ' | ' | -8.5 | -7.2 | -5 | |||
Income before income taxes | ' | ' | ' | ' | ' | ' | ' | ' | -1.3 | 0.2 | -14.7 | |||
Non-Guarantor Subsidiaries [Member] | Financial Services [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Unaudited Supplemental Consolidating Statement of Operations | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Revenues, net of recourse and reinsurance expense | ' | ' | ' | ' | ' | ' | ' | ' | 166.4 | 173.4 | 117.8 | |||
General and administrative expense | ' | ' | ' | ' | ' | ' | ' | ' | 131.2 | 116.4 | 85.5 | |||
Interest and other income | ' | ' | ' | ' | ' | ' | ' | ' | -10.2 | -8.5 | -6.9 | |||
Income before income taxes | ' | ' | ' | ' | ' | ' | ' | ' | 45.4 | 65.5 | 39.2 | |||
Eliminations [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Unaudited Supplemental Consolidating Statement of Operations | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Income before income taxes | ' | ' | ' | ' | ' | ' | ' | ' | -691.8 | -542.5 | -235.7 | |||
Income Tax Expense (Benefit) | ' | ' | ' | ' | ' | ' | ' | ' | -238.7 | -145.6 | 484 | |||
Net income | ' | ' | ' | ' | ' | ' | ' | ' | -453.1 | -396.9 | -719.7 | |||
Comprehensive income | ' | ' | ' | ' | ' | ' | ' | ' | -453.1 | -396.9 | -719.7 | |||
Eliminations [Member] | Homebuilding [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Unaudited Supplemental Consolidating Statement of Operations | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Revenues | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 | |||
Cost of sales | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 | |||
Gross profit | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 | |||
Selling, general and administrative expense | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 | |||
Equity in (income) of subsidiaries | ' | ' | ' | ' | ' | ' | ' | ' | 691.8 | 542.5 | 235.7 | |||
Interest expense | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | |||
Other (income) | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 | |||
Income before income taxes | ' | ' | ' | ' | ' | ' | ' | ' | -691.8 | -542.5 | -235.7 | |||
Eliminations [Member] | Financial Services [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Unaudited Supplemental Consolidating Statement of Operations | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Revenues, net of recourse and reinsurance expense | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 | |||
General and administrative expense | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 | |||
Interest and other income | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 | |||
Income before income taxes | ' | ' | ' | ' | ' | ' | ' | ' | $0 | $0 | $0 | |||
[1] | Expenses maintained at the corporate level consist primarily of interest and property taxes, which are capitalized and amortized to cost of sales or expensed directly, and the expenses related to operating the Company’s corporate office. The amortization of capitalized interest and property taxes is allocated to each segment based on the segment’s revenue, while those expenses associated with the corporate office are allocated to each segment based on the segment’s inventory balances. |
Supplemental_Guarantor_Informa4
Supplemental Guarantor Information (Details 2) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 |
OPERATING ACTIVITIES | ' | ' | ' |
Net cash (used in) provided by operating activities | ($661.40) | ($1,229.30) | ($292.20) |
INVESTING ACTIVITIES | ' | ' | ' |
Purchases of property and equipment | -100.2 | -58 | -33.6 |
Purchases of marketable securities | 0 | -28.9 | -240.8 |
Proceeds from the sale or maturity of marketable securities | 0 | 325.4 | 232.8 |
(Increase) decrease in restricted cash | 67.8 | -28.5 | -0.2 |
Net principal increase of other mortgage loans and real estate owned | -5.6 | -2.5 | -4.7 |
Purchases of debt securities collateralized by residential real estate | 0 | -18.6 | 0 |
Principal payments received on debt securities collateralized by residential real estate | 0 | 1.4 | 0 |
Principal payments received on debt secrities collateralized by residential real estate | 0 | 0 | 0 |
Payments related to acquisition of a business | -244.1 | -9.4 | -96.5 |
Net cash used in investing activities | -282.1 | 180.9 | -143 |
Proceeds from Notes Payable | 1,427.60 | 1,307.90 | 765.9 |
FINANCING ACTIVITIES | ' | ' | ' |
Repayments of Notes Payable | -796.9 | -345.1 | -17.5 |
Net change in intercompany receivables/payables | 0 | 0 | 0 |
Proceeds from stock associated with certain employee benefit plans | 45.2 | 29.7 | 50.9 |
Income tax benefit from stock option exercises | 0.6 | 6.7 | 0 |
Cash dividends paid | -48.6 | -60.2 | -47.8 |
Net cash provided by (used in) financing activities | 627.9 | 939 | 751.5 |
Increase (decrease) in cash and cash equivalents | -315.6 | -109.4 | 316.3 |
Cash and cash equivalents at beginning of year | 977.4 | 1,086.80 | 770.5 |
Cash and cash equivalents at end of year | 661.8 | 977.4 | 1,086.80 |
D.R Horton, Inc. [Member] | ' | ' | ' |
OPERATING ACTIVITIES | ' | ' | ' |
Net cash (used in) provided by operating activities | -257.4 | -523.7 | -115.2 |
INVESTING ACTIVITIES | ' | ' | ' |
Purchases of property and equipment | -63.9 | -29.7 | -10.2 |
Purchases of marketable securities | ' | -28.9 | -240.8 |
Proceeds from the sale or maturity of marketable securities | ' | 325.4 | 232.8 |
(Increase) decrease in restricted cash | 69.7 | -27.8 | 0 |
Net principal increase of other mortgage loans and real estate owned | 0 | 0 | 0 |
Purchases of debt securities collateralized by residential real estate | ' | -18.6 | ' |
Principal payments received on debt securities collateralized by residential real estate | ' | 1.4 | ' |
Principal payments received on debt secrities collateralized by residential real estate | -385.7 | -674.4 | -168.3 |
Payments related to acquisition of a business | -244.1 | -9.4 | -96.5 |
Net cash used in investing activities | -624 | -462 | -283 |
Proceeds from Notes Payable | 1,307 | 1,257.10 | 694.6 |
FINANCING ACTIVITIES | ' | ' | ' |
Repayments of Notes Payable | -796.8 | -345.1 | -11.9 |
Net change in intercompany receivables/payables | 0 | 0 | 0 |
Proceeds from stock associated with certain employee benefit plans | 45.2 | 29.7 | 50.9 |
Income tax benefit from stock option exercises | 0.6 | 6.7 | ' |
Cash dividends paid | -48.6 | -60.2 | -47.8 |
Net cash provided by (used in) financing activities | 507.4 | 888.2 | 685.8 |
Increase (decrease) in cash and cash equivalents | -374 | -97.5 | 287.6 |
Cash and cash equivalents at beginning of year | 871.4 | 968.9 | 681.3 |
Cash and cash equivalents at end of year | 497.4 | 871.4 | 968.9 |
Guarantor Subsidiaries [Member] | ' | ' | ' |
OPERATING ACTIVITIES | ' | ' | ' |
Net cash (used in) provided by operating activities | -293.9 | -670.6 | -126.3 |
INVESTING ACTIVITIES | ' | ' | ' |
Purchases of property and equipment | -28 | -24 | -7.6 |
Purchases of marketable securities | ' | 0 | 0 |
Proceeds from the sale or maturity of marketable securities | ' | 0 | 0 |
(Increase) decrease in restricted cash | -0.9 | -0.7 | -0.1 |
Net principal increase of other mortgage loans and real estate owned | 0 | 0 | 0 |
Purchases of debt securities collateralized by residential real estate | ' | 0 | ' |
Principal payments received on debt securities collateralized by residential real estate | ' | 0 | ' |
Principal payments received on debt secrities collateralized by residential real estate | 0 | 0 | 0 |
Payments related to acquisition of a business | 0 | 0 | 0 |
Net cash used in investing activities | -28.9 | -24.7 | -7.7 |
Proceeds from Notes Payable | 0 | 0 | 0 |
FINANCING ACTIVITIES | ' | ' | ' |
Repayments of Notes Payable | 0 | 0 | -5.6 |
Net change in intercompany receivables/payables | 373.9 | 677.4 | 164.6 |
Proceeds from stock associated with certain employee benefit plans | 0 | 0 | 0 |
Income tax benefit from stock option exercises | 0 | 0 | ' |
Cash dividends paid | 0 | 0 | 0 |
Net cash provided by (used in) financing activities | 373.9 | 677.4 | 159 |
Increase (decrease) in cash and cash equivalents | 51.1 | -17.9 | 25 |
Cash and cash equivalents at beginning of year | 38.4 | 56.3 | 31.3 |
Cash and cash equivalents at end of year | 89.5 | 38.4 | 56.3 |
Non-Guarantor Subsidiaries [Member] | ' | ' | ' |
OPERATING ACTIVITIES | ' | ' | ' |
Net cash (used in) provided by operating activities | -57.5 | 5 | 0.4 |
INVESTING ACTIVITIES | ' | ' | ' |
Purchases of property and equipment | -8.3 | -4.3 | -15.8 |
Purchases of marketable securities | ' | 0 | 0 |
Proceeds from the sale or maturity of marketable securities | ' | 0 | 0 |
(Increase) decrease in restricted cash | -1 | 0 | -0.1 |
Net principal increase of other mortgage loans and real estate owned | -5.6 | -2.5 | -4.7 |
Purchases of debt securities collateralized by residential real estate | ' | 0 | ' |
Principal payments received on debt securities collateralized by residential real estate | ' | 0 | ' |
Principal payments received on debt secrities collateralized by residential real estate | 0 | 0 | 0 |
Payments related to acquisition of a business | 0 | 0 | 0 |
Net cash used in investing activities | -14.9 | -6.8 | -20.6 |
Proceeds from Notes Payable | 120.6 | 50.8 | 71.3 |
FINANCING ACTIVITIES | ' | ' | ' |
Repayments of Notes Payable | -0.1 | 0 | 0 |
Net change in intercompany receivables/payables | 11.8 | -3 | 3.7 |
Proceeds from stock associated with certain employee benefit plans | 0 | 0 | 0 |
Income tax benefit from stock option exercises | 0 | 0 | ' |
Cash dividends paid | -52.6 | -40 | -51.1 |
Net cash provided by (used in) financing activities | 79.7 | 7.8 | 23.9 |
Increase (decrease) in cash and cash equivalents | 7.3 | 6 | 3.7 |
Cash and cash equivalents at beginning of year | 67.6 | 61.6 | 57.9 |
Cash and cash equivalents at end of year | 74.9 | 67.6 | 61.6 |
Consolidation, Eliminations [Member] | ' | ' | ' |
OPERATING ACTIVITIES | ' | ' | ' |
Net cash (used in) provided by operating activities | -52.6 | -40 | -51.1 |
INVESTING ACTIVITIES | ' | ' | ' |
Purchases of property and equipment | 0 | 0 | 0 |
Purchases of marketable securities | ' | 0 | 0 |
Proceeds from the sale or maturity of marketable securities | ' | 0 | 0 |
(Increase) decrease in restricted cash | 0 | 0 | 0 |
Net principal increase of other mortgage loans and real estate owned | 0 | 0 | 0 |
Purchases of debt securities collateralized by residential real estate | ' | 0 | ' |
Principal payments received on debt securities collateralized by residential real estate | ' | 0 | ' |
Principal payments received on debt secrities collateralized by residential real estate | 385.7 | 674.4 | 168.3 |
Payments related to acquisition of a business | 0 | 0 | 0 |
Net cash used in investing activities | 385.7 | 674.4 | 168.3 |
Proceeds from Notes Payable | 0 | 0 | 0 |
FINANCING ACTIVITIES | ' | ' | ' |
Repayments of Notes Payable | 0 | 0 | 0 |
Net change in intercompany receivables/payables | -385.7 | -674.4 | -168.3 |
Proceeds from stock associated with certain employee benefit plans | 0 | 0 | 0 |
Income tax benefit from stock option exercises | 0 | 0 | ' |
Cash dividends paid | 52.6 | 40 | 51.1 |
Net cash provided by (used in) financing activities | -333.1 | -634.4 | -117.2 |
Increase (decrease) in cash and cash equivalents | 0 | 0 | 0 |
Cash and cash equivalents at beginning of year | 0 | 0 | 0 |
Cash and cash equivalents at end of year | $0 | $0 | $0 |