1 EXHIBIT 11 KAUFMAN AND BROAD HOME CORPORATION AND CONSOLIDATED SUBSIDIARIES STATEMENT OF COMPUTATION OF PER SHARE EARNINGS YEARS ENDED NOVEMBER 30, --------------------------------------- 1995 1994 1993 ----------- ----------- ----------- PRIMARY: Net income.............................................. $29,059,000 $46,550,000 $39,921,000 ========== ========== ========== Weighted average common shares outstanding.............. 32,386,000 32,449,000 34,606,000 Weighted average Series B convertible preferred shares(1)............................................. 6,500,000 6,500,000 4,345,000 Common share equivalents: Stock options......................................... 871,000 1,077,000 1,234,000 Warrants.............................................. 1,362,000 ----------- ----------- ----------- 39,757,000 40,026,000 41,547,000 ========== ========== ========== PRIMARY EARNINGS PER SHARE(3)........................... $ .73 $ 1.16 $ .96 ========== ========== ========== FULLY DILUTED: Net income.............................................. $29,059,000 $46,550,000 $39,921,000 ========== ========== ========== Weighted average common shares outstanding.............. 32,386,000 32,449,000 34,606,000 Weighted average Series B convertible preferred shares(1)............................................. 6,500,000 6,500,000 4,345,000 Common share equivalents: Stock options......................................... 871,000 1,077,000 1,310,000 Warrants.............................................. 1,501,000 ----------- ----------- ----------- 39,757,000 40,026,000 41,762,000 ========== ========== ========== FULLY DILUTED EARNINGS PER SHARE(2)(3).................. $ .73 $ 1.16 $ .96 ========== ========== ========== - ------------ (1) Each of the 1,300,000 Series B convertible preferred shares is convertible into five shares of common stock. The 6,500,000 equivalent shares of common stock are weighted for the period outstanding. (2) Fully diluted earnings per share is not disclosed in the Company's consolidated financial statements since the maximum dilutive effect is not material. (3) If, for purposes of calculating primary and fully diluted earnings per share, the Series B convertible preferred shares were excluded from the weighted average shares outstanding and the related dividends deducted from net income, the computations would have resulted in both primary and fully diluted earnings per share of $.58 in 1995, $1.09 in 1994 and $.93 in 1993.