Century Communities, Inc.

September 30, 2026

1. Basis of Presentation

Century Communities, Inc. (which we refer to as “we,” “CCS,” or the “Company”), together with its subsidiaries, is engaged in the development, design, construction, marketing and sale of single-family attached and detached homes in 16 states. In many of our projects, in addition to building homes, we entitle and develop the underlying land. We build and sell homes under our Century Communities and Century Complete brands. Our Century Communities brand has an emphasis on serving the affordable homebuilding market but offers a wide range of buyer profiles including: entry-level, first and second time move-up, and lifestyle homebuyers, and provides our homebuyers with the limited ability to personalize their homes through certain option and upgrade selections. Our Century Complete brand targets entry-level homebuyers, primarily sells homes through retail studios, centralized locations, and the internet, and generally provides no option or upgrade selections.

Our homebuilding operations are organized into the following five reportable segments: West, Mountain, Texas, Southeast, and Century Complete. Our indirect wholly-owned subsidiaries, Inspire Home Loans Inc., Parkway Title, LLC, IHL Home Insurance Agency, LLC, and IHL Escrow Inc., which provide mortgage, title, insurance brokerage and escrow services, respectively, primarily to our homebuyers, have been identified as our Financial Services segment. Additionally, our Century Living segment is engaged in the development, construction, management, and sales of multi-family rental properties, currently all located in Colorado.

The accompanying unaudited condensed consolidated financial statements of the Company have been prepared in accordance with U.S. generally accepted accounting principles (which we refer to as “GAAP”) and pursuant to the rules and regulations of the U.S. Securities and Exchange Commission (which we refer to as the “SEC”). In the opinion of management, the accompanying unaudited condensed consolidated financial statements reflect all adjustments consisting of normal recurring adjustments necessary for a fair presentation of our financial position and results of operations for the periods presented. Interim results of operations are not necessarily indicative of the results that may be achieved for the full year. The financial statements and related notes do not include all information and footnotes required by GAAP and should be read in conjunction with the consolidated financial statements for the year ended December 31, 2025, which are included in our Annual Report on Form 10-K for the fiscal year ended December 31, 2025 that was filed with the SEC on January 29, 2026.

Principles of Consolidation

The condensed consolidated financial statements include the accounts of the Company, and all subsidiaries in which we have a controlling interest, as well as variable interest entities for which the Company is deemed to be the primary beneficiary. We do not have any variable interest entities in which we are deemed the primary beneficiary.

Use of Estimates

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the condensed consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Accordingly, actual results could differ from those estimates.

Reclassification

Certain prior period amounts have been reclassified to conform to current period presentation, including the presentation of inventory impairment. Beginning in the fourth quarter of 2025, inventory impairment was reclassified to be included in cost of home sales revenues in our condensed consolidated statements of operations rather than presented as a separate line item. These reclassifications have not changed the results of operations of prior periods.

Recently Issued Accounting Standards

In November 2024, the Financial Accounting Standards Board (which we refer to as“FASB”) issued Accounting Standards Update (which we refer to as“ASU”)No. 2024-03, Income Statement—Reporting Comprehensive Income—Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses (“ASU 2024-03”), which requires disclosure of certain costs and expenses on an interim and annual basis in the notes to the financial statements. ASU 2024-03 will become effective for us for the fiscal year ending December 31, 2027. Early adoption is permitted, and guidance should be applied prospectively, with an option to apply guidance retrospectively. We are currently evaluating the impact of the adoption of ASU 2024-03 on our consolidated financial statements and related disclosures.

Subsequent Event

On October 7, 2026, we completed the acquisition of substantially all of the assets and assumed certain liabilities of HMH Lifestyles, L.P., doing business as HistoryMaker Homes ("HMH"), a homebuilder with operations in the greater Dallas, Texas area, for initial cash consideration of approximately $160.2 million, subject to customary holdbacks and post-closing adjustments based on the final closing balance sheet. The acquisition expands our presence within our Texas segment, adding 29 active communities. Because the acquisition was completed subsequent to September 30, 2026, the acquired assets and assumed liabilities are not reflected in the accompanying condensed consolidated financial statements. As of the date these financial statements were issued, the valuation analyses necessary to determine the fair values of certain acquired assets and assumed liabilities remain incomplete. Accordingly, the initial accounting for the acquisition has not been finalized, and certain disclosures required by ASC 805, Business Combinations, including the allocation of the purchase price among the acquired assets and assumed liabilities and the resulting amounts of identifiable intangible assets and goodwill, are not yet available. We expect to complete the purchase accounting during the measurement period as the necessary information becomes available and the related analyses are finalized.

2. Reporting Segments

Our homebuilding operations are engaged in the development, design, construction, marketing and sale of single-family attached and detached homes in 16 states. We build and sell homes under our Century Communities and Century Complete brands. Our Century Communities brand is managed by geographic location, and each of ourfour geographic regions offers a wide range of buyer profiles including: entry-level, first and second time move-up, and lifestyle homebuyers, and provides our homebuyers with the limited ability to personalize their homes through certain option and upgrade selections. Each of our four geographic regions is considered a separate operating segment. Our Century Complete brand targets entry-level homebuyers, primarily sells homes through retail studios, centralized locations, and the internet, and generally provides no option or upgrade selections. Our Century Complete brand has operations in 10 states and is managed separately from our four geographic regions, and it is considered a separate operating segment.

We have presented our homebuilding operations as the following reportable segments as of September 30, 2026:

West (California and Washington)

Mountain (Arizona, Colorado, Nevada, and Utah)

Texas

Southeast (Florida, Georgia, North Carolina, South Carolina, and Tennessee)

Century Complete (Alabama, Arizona, Florida, Georgia, Indiana, Kentucky, Michigan, Nevada, North Carolina, and South Carolina)

We have identified our Financial Services operations, which provide mortgage, title, insurance brokerage and escrow services to our homebuyers, and Century Living, which is engaged in the development, construction, management, and salesof multi-family rental properties currently all located in Colorado, as reportable segments.

Our Corporate operations are a non-operating segment, as it serves to support our homebuilding operations, and to a lesser extent our Financial Services operations, through various functions, such as our executive, finance, treasury, human resources, accounting and legal departments.

Our Executive Chairman and our Chief Executive Officer, collectively, have been determined to be our Chief Operating Decision Makers (“CODMs”) to make key operating decisions and assess performance. The management of our four Century Communities geographic regions, Century Complete, our Financial Services segment, and our Century Living segment reports to our CODMs. The CODMs evaluate the segment’s operating performance and allocate resources for all of our reportable segments based on income before income tax expense. For all of the segments, the CODMs use segment income before income tax expense in the annual budget and forecasting process. The CODMs consider budget-to-actual forecast variances for income before tax expense on a monthly basis for evaluating performance of each segment and making decisions about allocating capital and other resources to each segment. The measure of segment assets is reported on the condensed consolidated balance sheets as total assets. The accounting policies of the reportable segments are the same as those described in the summary of significant accounting policies which are included in our Annual Report on Form 10-K for the fiscal year ended December 31, 2025.

The following tables summarize total revenue, significant expenses, and income (loss) before income tax expense by segment (in thousands):

(1)Includes cost of land sales and other revenues, and other income (expense).

The following table summarizes total assets by segment (in thousands):

Century Living assets primarily include multi-family rental properties under construction and properties that are in lease-up, which are included in prepaid and other assets on the condensed consolidated balance sheets. Corporate assets include primarily costs associated with certain prepaids and other assets, including prepaid insurance, certain property and equipment, deferred tax assets, certain receivables, and certain cash and cash equivalents.

3. Inventories

Inventories included the following (in thousands):

4. Financial Services

Our Financial Services are principally comprised of our mortgage lending operations, Inspire Home Loans Inc. (which we refer to as “Inspire”). Inspire is a full-service mortgage lender and primarily originates mortgage loans for our homebuyers. Inspire sells substantially all of the loans it originates either as loans with servicing rights released, or with servicing rights retained, in the secondary mortgage market within a short period of time after origination, generally within 30 days. Inspire primarily finances these loans using its mortgage repurchase facilities.

Mortgage loans held for sale and mortgage servicing rights are carried at fair value, with gains and losses from the changes in fair value reflected in financial services revenue on the condensed consolidated statements of operations. Management believes carrying mortgage loans held for sale at fair value improves financial reporting by mitigating volatility in reported earnings caused by measuring the fair value of the loans and the derivative instruments used to economically hedge them. As of September 30, 2026 and December 31, 2025, Inspire had mortgage loans held for sale with an aggregate fair value of $186.5 million and $299.1 million, respectively, and an aggregate outstanding principal balance of $200.2 million and $304.9 million, respectively. The change in fair value for mortgage loans held for sale resulted in a loss of $9.0 million and $8.0 millionfor the three and nine months ended September 30, 2026, respectively, and resulted in a loss of $0.4 million and a gain of $1.5 million for the three and nine months ended September 30, 2025 respectively. The total unpaid principal balance of mortgage loans serviced at September 30, 2026 and December 31, 2025 was $2.2 billion and $769.4 million, respectively. Refer to Note 12 – Fair Value Disclosuresfor further information regarding our mortgage loans held for sale and mortgage servicing rights.

Net gains and losses from the sale of mortgage loans held for sale are included in financial services revenue on the condensed consolidated statements of operations, and include(1) net gains or losses on sale of loans, whichare recognized based upon the difference between the sales proceeds and carrying value of the related loans upon sale, with sale proceeds reflecting the cash received from investors through the sale of the mortgage loan and servicing release premium; (2) the fair value of originated mortgage servicing rights; (3) the change in fair value of mortgage loans held for sale; (4) the change in fair value of derivatives instruments, including interest rate lock commitments and forward commitments on mortgage-backed securities; (5)provision for investor reserves; and (6) fees earned from originating mortgage loans. Fees earned from originating mortgage loans, which are recognized at the time the mortgage loans are funded, include origination fees, commitment fees, and discount points, net of credits. Net gains on the sale of mortgage loans were

$13.1 million and $47.3 million for the three and nine months ended September 30, 2026, respectively, and were $11.7 million and $39.9 million for the three and nine months ended September 30, 2025, respectively.

Mortgage loans in process for which interest rates were locked by borrowers, or interest rate lock commitments, had an aggregate principal balance of $152.6 millionand $67.5 million as of September 30, 2026 and December 31, 2025, respectively, and carried a weighted average interest rate of approximately 4.9% and 4.7%, respectively. Interest rate risks related to these obligations are typically mitigated through our interest rate hedging program or by the preselling of loans to investors. Derivative instruments used to economically hedge our market and interest rate risk are carried at fair value. Derivative instruments typically include interest rate lock commitments and forward commitments on mortgage-backed securities. Changes in fair value of these derivatives as well as any gains or losses upon settlement, are reflected in financial services revenue on our condensed consolidated statements of operations. Refer to Note 12 – Fair Value Disclosuresfor further information regarding our derivative instruments.

5. Prepaid Expenses and Other Assets

Prepaid expenses and other assets included the following (in thousands):

(1)Restricted cash consists of earnest money deposits for home sale contracts held by third parties as required by various jurisdictions, restricted cash related to land development, and certain compensating balances associated with our mortgage repurchase facilities and other financing obligations.

(2)Multi-family rental properties inventory includes multi-family rental properties that are under construction and those in lease-up.

6. Accrued Expenses and Other Liabilities

Accrued expenses and other liabilities included the following (in thousands):

7. Warranties

Estimated future direct warranty costs are accrued and charged to cost of home sales revenues in the period when the related home sales revenues are recognized. Amounts accrued, which are included in accrued expenses and other liabilities on the condensed consolidated balance sheets, are based upon historical experience rates. As of September 30, 2026 and December 31, 2025, our warranty reserve was $12.6 million and $14.1 million, respectively. We subsequently assess the adequacy of our warranty accrual on a quarterly basis through a model that incorporates historical payment trends and we adjust the amounts recorded, if necessary. Based on warranty payment trends relative to our estimates at the time of home closing, we reduced our warranty reserve by $0.9 million and $4.5 million during the three and nine months ended September 30, 2026, respectively, which is included as a reduction to cost of home sales revenues on our condensed consolidated statements of operations. We reduced our warranty reserve by $0.1 million and $1.4 million during the three and nine months ended September 30, 2025, respectively.

8. Self-Insurance Reserve

We maintain general liability insurance coverage, including coverage for certain construction defects after homes have been delivered and premises operations during construction. These insurance policies are designed to protect us against a portion of the risk of loss from claims, subject to certain self-insured per occurrence and aggregate retentions, deductibles, and available policy limits. We reserve for costs associated with such claims on an undiscounted basis at the time revenue is recognized for each home closing. Amounts accrued, which are included in accrued expenses and other liabilities on the condensed consolidated balance sheets, are based upon third party actuarial analyses that are primarily based on industry data and partially on our historical claims, and include estimates of claims incurred but not yet reported. Adjustments to estimated reserves are recorded in the period in which the change in estimate occurs. Our self-insurance liability is presented on a gross basis without consideration of insurance recoveries and amounts we have paid on behalf of and expect to recover from other parties, if any. Estimates of insurance recoveries and amounts we have paid on behalf of and expect to recover from other parties, if any, are recorded as receivables when such recoveries are considered probable. Based on a third-party actuarial analysis, we reduced our self-insurance reserve by $3.7 million during the three and nine months ended September 30, 2026, and we increased our self-insurance reserve by $1.3 million during the three and nine months ended September 30, 2025. Any adjustments to our self-insurance reserve are included in cost of home sales revenues on our condensed consolidated statements of operations.

Changes in our self-insurance reserve for the three and nine months ended September 30, 2026 and 2025 are detailed in the table below (in thousands):

9. Debt

Our outstanding debt obligations included the following as of September 30, 2026 and December 31, 2025 (in thousands):

(1)The carrying value of senior notes reflects the impact of premiums and/or discounts (if applicable), and issuance costs that are amortized to interest expense over the respective terms of the senior notes.

(2)As of September 30, 2026 and December 31, 2025, other financing obligations included certain secured borrowings and insurance premium notes, which bore a weighted average interest rate of 6.3% and 5.8%, respectively.

3.875% Senior Notes Due 2029

As of September 30, 2026, we had outstanding $500.0 million in aggregate principal amount ofour 3.875% Senior Notes due 2029 (the “2029 Notes”), which principal balance is due in August 2029. Prior to that date, interest only payments are due semi-annually in February and August of each year. These notes were issued under an indenture which contains certain restrictive covenants on issuing future secured debt and other transactions, and contains various optional redemption provisions to redeem the 2029 Notes, in whole or in part, at a time before, on, or after, February 15, 2029, and a put provision triggered by certain change of control events. As of September 30, 2026, the aggregate obligation, inclusive of unamortized financing costs on these notes, was $497.8 million.

6.625% Senior Notes Due 2033

As of September 30, 2026, we had outstanding $500.0 million in aggregate principal amount ofour 6.625% Senior Notes due 2033 (the “2033 Notes”), which principal balance is due in September 2033. Prior to that date, interest only payments are due semi-annually in March and September of each year. These notes were issued under an indenture which contains certain restrictive covenants on issuing future secured debt and other transactions, and contains various optional redemption provisions to redeem the 2033 Notes, in whole or in part, at a time before, on, or after, September 15, 2028, and a put provision triggered by certain change of control events. As of September 30, 2026, the aggregate obligation, inclusive of unamortized financing costs on these notes, was $494.0 million.

Construction Loan Agreements

Certain wholly owned subsidiaries of Century Living, LLC are parties to secured construction loan agreements with various banks (which we collectively refer to as “the lenders”). These construction loan agreements collectively provide that we may borrow up to an aggregate of $140.1 million from the lenders for purposes of construction of multi-family projects in Colorado, with advances made by the lenders upon the satisfaction of certain conditions. Portions of the obligations under the secured construction loan agreements are guaranteed by us. Borrowings under the construction loan agreements bear interest at various rates, including floating interest rates per annum equal to the Secured Overnight Financing Rate (which we refer to as “SOFR”) plus an applicable margin. The outstanding principal balances and all accrued and unpaid interest is due on varying maturity dates from December 31, 2026 through February 28, 2029, with certain of the construction loan agreements allowing for the option to extend the maturity dates for a period of 12 months if certain conditions are satisfied. The construction loan agreements contain customary affirmative and negative covenants (including covenants related to construction completion, and limitations on the use of loan proceeds, transfers of land, equipment, and improvements), as well as customary events of default. Interest on our construction loan agreements is capitalized to the multi-family properties assets included in prepaid expenses and other assets on the condensed consolidated balance sheets while the related multi-family rental properties are being actively developed.

As of September 30, 2026 and December 31, 2025, $129.5 million and $90.3 million was outstanding under the construction loan agreements respectively, with borrowings that bore a weighted average interest rate of 6.1% and 6.1% as of September 30, 2026 and December 31, 2025, respectively, and we were in compliance with all covenants thereunder.

Revolving Line of Credit

On September 30, 2026, we entered into a First Amendment to Credit Agreement (the “First Amendment”) with the lenders party thereto and U.S. Bank National Association, as Administrative Agent, amending the Credit Agreement, dated as of November 1, 2024, among us, the lenders party thereto, U.S. Bank National Association, as Administrative Agent, and the other banks party thereto (as amended, supplemented or otherwise modified to the date hereof, including by the First Amendment, the “Credit Agreement”).

The First Amendment increased the aggregate commitments under our senior unsecured revolving credit facility from $1.0 billion to $1.2 billion and extended the maturity date for participating extending lenders to November 1, 2030. The First Amendment also added new lenders, revised certain financial covenants, eliminated the 0.10% credit spread adjustment applicable to SOFR-based borrowings, and made certain related amendments to the schedules and exhibits to the Credit Agreement. The revolving line of credit includes a $250.0 million sublimit for letters of credit. Subject to the terms and conditions of the Credit Agreement, we are entitled to request an increase in the size of the revolving line of credit by an amount not exceeding $400.0 million. The obligations under the Credit Agreement are guaranteed by certain of our subsidiaries. Funds are available under the revolving line of credit for the construction of homes, for the acquisition and development of land, land under development and lots for the eventual construction of homes thereon, and for working capital in the ordinary course of business. Unless terminated earlier, $100.0 million will mature on November 1, 2028, with the remaining $1.1 billion in commitments maturing on November 1, 2030. The principal amount thereunder, together with all accrued unpaid interest and other amounts owing thereunder, if any, will be payable in full on such date. Subject to the terms and conditions of the Credit Agreement, we may request once per year aone-year extension of the maturity date, with up tothree such extensions permitted during the term of the revolving line of credit, subject to the approval of the lenders and the Administrative Agent. The Credit Agreement contains customary affirmative and negative covenants (including limitations on our ability to grant liens, incur additional debt, pay dividends, redeem our common stock, make certain investments, issue certain equity securities, engage in transactions with affiliates and engage in certain merger, consolidation or asset sale transactions), as well as customary events of default. Borrowings under the Credit Agreement bear interest at a floating rate equal to Term SOFR or Daily Simple SOFR (in each case as defined in the Credit Agreement), plus an applicable margin between 1.45% and 2.30% per annum, or if selected by us, a base rate plus an applicable margin between 0.45% and 1.30% per annum. The “applicable margins” described above are determined by a schedule based on our leverage ratio, as defined in the Credit Agreement. The Credit Agreement also provides for customary fees including commitment fees payable to each lender ranging from 0.20% to 0.35% per annum based on our leverage ratio of the unused portion of the revolving line of credit and other customary fees.

As of September 30, 2026 and December 31, 2025, $456.0 million and $51.5 million, respectively, was outstanding under the revolving line of credit, with borrowings that bore an interest rate of 5.3% and 5.2%, respectively, and we were in compliance with all covenants under the Credit Agreement.

Mortgage Repurchase Facilities – Financial Services

Inspire is party to mortgage warehouse facilities with J.P. Morgan Chase Bank, N.A. and U.S. Bank National Association, which provide Inspire with uncommitted repurchase facilities, and Truist Bank, which provides Inspire with a committed repurchase facility, collectively providing up to an aggregate of $300.0 million as of September 30, 2026, secured by the mortgage loans financed thereunder. Therepurchase facilities have varying short term maturity dates through May 28, 2027. Borrowings under the mortgage repurchase facilities bear interest at variable interest rates per annum equal to SOFR plus an applicable margin, and bore a weighted average interest rate of 5.4% and 5.4% as of September 30, 2026 and December 31, 2025, respectively.

Amounts outstanding under the repurchase facilities are not guaranteed by us or any of our subsidiaries, and the agreements contain various affirmative and negative covenants applicable to Inspire that are customary for arrangements of this type. As of September 30, 2026 and December 31, 2025, we had $191.3 million and $289.3 million outstanding under the repurchase facilities, respectively, and were in compliance with all covenants thereunder.

10. Interest on Senior Notes and Revolving Line of Credit

Interest on our senior notes and revolving line of credit, if applicable, is capitalized to homebuilding inventories while the related communities are being actively developed and until homes are completed. As our qualifying assets exceeded our outstanding debt during the three and nine months ended September 30, 2026 and 2025, we capitalized all interest costs incurred on these facilities during these periods.

Our interest costs were as follows (in thousands):

11. Income Taxes

At the end of each interim period, we are required to estimate our annual effective tax rate for the fiscal year and to use that rate to provide for income taxes for the current year-to-date reporting period. Our 2026 estimated annual effective tax rate, before discrete items, of 26.0%, is driven by our blended federal and state statutory rate of 24.6%, and certain permanent differences between GAAP and tax, including disallowed deductions for executive compensation, partially offset by estimated federal energy home credits for current year home deliveries, which combined resulted in a net increase in our effective tax rate of 1.4%.

For the nine months ended September 30, 2026, our estimated annual rate of 26.0% was impacted by discrete items which decreased our rate by 0.5%, primarily reflecting favorable adjustments to prior-year income tax estimates upon completion of our federal income tax return.

On July 4, 2025, H.R.1, the One Big Beautiful Bill Act, was signed into law, which disallows Section 45L tax credits for new energy-efficient homes delivered after June 30, 2026. As a result, our income tax expense and effective tax rate for 2026 will not reflect a benefit from such tax credits related to homes delivered after June 30, 2026.

For thethree months ended September 30, 2026 and 2025, we recorded income tax expense of $3.2 million and $10.4 million, respectively. For thenine months ended September 30, 2026 and 2025, we recorded income tax expense of $25.1 million and $35.8 million, respectively.

12. Fair Value Disclosures

Fair value measurements are used for the Company’s mortgage loans held for sale, mortgage servicing rights, interest rate lock commitments and other derivative instruments on a recurring basis. We also utilize fair value measurements on a non-recurring basis for inventories and intangible assets when events and circumstances indicate that the carrying value is not recoverable. The fair value hierarchy and its application to the Company’s assets and liabilities is as follows:

Level 1 – Quoted prices for identical instruments in active markets.

Level 2 – Quoted prices for similar instruments in active markets; quoted prices for identical or similar instruments in markets that are inactive; and model-derived valuations in which all significant inputs and significant value drivers are observable in active markets at the measurement date.

Mortgage loans held for sale –Fair value is based on quoted market prices for committed and uncommitted mortgage loans.

Derivative assets and liabilities –Derivative assets are associated with interest rate lock commitments and investor commitments on loans and may also be associated with forward mortgage-backed securities contracts. Derivative liabilities are associated with forward mortgage-backed securities contracts. Fair value is based on market prices for similar instruments.

Level 3 – Valuations derived from techniques where one or more significant inputs or significant value drivers are unobservable in active markets at the measurement date.

Mortgage servicing rights - The fair value of the mortgage servicing rights is calculated using third-party valuations. The key assumptions, which are generally unobservable inputs, used in the valuation of the mortgage servicing rights include mortgage prepayment rates, discount rates and cost to service.

The following outlines the Company’s assets and liabilities measured at fair value on a recurring basis at September 30, 2026 and December 31, 2025, respectively (in thousands):

(1)The unobservable inputs used in the valuation of the mortgage servicing rights include mortgage prepayment rates, discount rates and cost to service, which were a weighted average of 7.7%,12.5%, and $79 per year per loan, respectively, as of September 30, 2026, and 7.8%,10.4%, and $80 per year per loan, respectively, as of December 31, 2025. The high and low end of the range of unobservable inputs used in the valuation did not result in a significant change to the fair value measurement.

The following table represents the reconciliation of the beginning and ending balance for the Level 3 recurring fair value measurements, with gains and losses from the changes in fair value reflected infinancial services revenue on our condensed consolidated statements of operations (in thousands):

For the financial assets and liabilities that the Company does not reflect at fair value, the following table presents both their respective carrying value and fair value at September 30, 2026 and December 31, 2025, respectively (in thousands). The fair values of cash and cash equivalents, cash held in escrow, and restricted cash approximate their carrying values and are classified as Level 1 within the fair value hierarchy, and are not presented in the table below.

(1)Estimated fair value of the senior notes is based on recent trading activity in inactive markets.

(2)Carrying amounts include any associated unamortized deferred financing costs, premiums and discounts. As of September 30, 2026, these amounts totaled $2.2 million and $6.0 millionfor the 3.875% senior notes and 6.625% senior notes, respectively. As of December 31, 2025, these amounts totaled $2.8 million and $6.6 million for the 3.875% senior notes and 6.625% senior notes, respectively.

(3)Carrying amount approximates fair value due to short-term nature and/or interest rate terms.

(4)As of September 30, 2026 and December 31, 2025, construction loan agreements related to Century Living bore a weighted average interest rate of 6.1% and 6.1%, respectively.

(5)As of September 30, 2026 and December 31, 2025, other financing obligations related to certain secured borrowings and insurance premium notes, which bore a weighted average interest rate of 6.3% and 5.8%, respectively.

Non-financial assets and liabilities include items such as inventory and property and equipment that are measured at fair value when acquired and as a result of impairments, if deemed necessary.

During the three and nine months ended September 30, 2026, we determined that inventory with a carrying value before impairment of $62.3 million, comprised ofsix communities across our West, Texas, and Century Complete homebuilding segments, was not recoverable. Accordingly, we recognized inventory impairment charges of $19.6 million in order to record the inventory at fair value, consisting of $19.1 million, $0.2 million, and $0.3 million for our West, Texas, and Century Complete segments, respectively. Impairment charges primarily related to communities in which we are actively selling homes, driven by our decision to increase incentives in certain communities directed at improving our sales absorptions. During the three months ended September 30, 2025, we recorded impairment charges of $3.2 million related tothree communities with a carrying value before impairment of $11.9 million, and during the nine months ended September 30, 2025, we recorded impairment charges of $11.0 million related toeight communities with a carrying value before impairment of $41.3 million. The estimated fair value of the communities was measured using a discounted cash flow approach with Level 3 inputs, and reflects estimated fair values in the periods the respective impairments were identified. When estimating future discounted cash flows, we have utilized a weighted-average discount rate of approximately 11% in our valuations during the three and nine months ended September 30, 2026, and 12%during the three and nine months ended September 30, 2025. Changes in our cash flow projections in future periods related to these communities may change our conclusions on the recoverability of inventory in the future.

13. Stock-Based Compensation

During the nine months ended September 30, 2026 and 2025, we granted restricted stock units (which we refer to as “RSUs”) covering 0.4 million and 0.2 million shares of common stock, respectively, with a grant date fair value of $60.76 and $76.14 per share, respectively, that vest over athree year period. During the nine months ended September 30, 2026 and 2025, we granted 16.1 thousand and 16.0 thousand shares of common stock, respectively, on an unrestricted basis (which we refer to as “stock awards”) with a grant date fair value of $54.27 and $53.26 per share, respectively, to our non-employee directors.

During the nine months ended September 30, 2026 and 2025, we granted performance share units (which we refer to as “PSUs”) covering up to an aggregate of 0.5 million and 0.5 million shares of common stock, respectively, assuming maximum level of performance and market conditions are met with a weighted-average grant date fair value of $52.10 and $67.01 per share, respectively, that are subject to service, performance, and market vesting conditions. The quantity of shares that will vest and be issued upon settlement of the PSUs ranges from 0% to up to 250% of a targeted number of shares depending upon the participant and will be determined based on achievement ofthree-year cumulative revenue andthree-year cumulative adjusted pre-tax income performance goals. The ultimate share payout may then be adjusted by a relative total stockholder return modifier based on ourthree-year cumulative total stockholder return (which we refer to as “TSR”) relative to the average TSR of all companies in a defined peer group, with the potential to decrease the payout by 10% or increase it by up to 20%. We utilize the Monte Carlo simulation model to determine the fair value of PSUs that contain market conditions, and stock-based compensation expense is recognized ratably for awards subject to market conditions regardless of whether the market condition is satisfied, provided that the requisite service period has been met.

During the nine months ended September 30, 2026 and 2025, we issued 0.4 million and 0.4 million shares of common stock, respectively, upon the settlement of PSUs based on final achievement of the performance level goals specified under the terms of the PSU awards granted in previous periods. Approximately 1.2 million shares will be issued upon settlement from 2027 to 2029 if the defined service and maximum performance targets under currently outstanding PSU awards are met and, for applicable PSU awards, if the defined maximum TSR conditions are met, andno shares will be issued upon settlement if the defined service or minimum performance targets are not met.

A summary of our nonvested awards, including PSUs, assuming the current estimated level of performance achievement, and RSUs, are as follows (in thousands, except years):

Stock-based compensation expense totaled $3.5 million and $5.5 million for the three months ended September 30, 2026 and 2025, respectively, and totaled$10.6 million and $13.7 million for the nine months ended September 30, 2026 and 2025, respectively. Stock-based compensation expenseis included in selling, general, and administrative expense on our condensed consolidated statements of operations. Stock-based compensation expense for PSUs is initially estimated based on target performance achievement and then adjusted as appropriate throughout the respective three-year performance periods. Accordingly, future compensation cost associated with outstanding PSUs may increase or decrease based on the probability and extent of achievement with respect to the applicable performance measures. During the three and nine months ended September 30, 2026 and 2025, in accordance with ASC 718, Compensation—Stock Compensation, we updated our recognition of stock-based compensation expense associated with previously granted PSU awards to reflect probable financial results as they relate to the performance goals of the PSU awards. Our estimate of the number of shares which will ultimately vest and be issued upon settlement of certain PSU awards decreased by approximately 81 thousand shares during the three months ended September 30, 2026, and increased on a net basis by 23 thousand shares during the nine months ended September 30, 2026. During the three and nine months ended September 30, 2026, we recorded net cumulative adjustments to reduce stock-based compensation expense of $3.1 million ($2.4 million net of tax), or $0.09 per share (basic and diluted) and $7.2 million ($5.4 million net of tax), or $0.19 per share (basic and diluted), respectively. During the three and nine months ended September 30, 2025, our estimate of the number of shares expected to vest decreased approximately 0.1 million shares and 0.1 million shares, respectively. During the three and nine months ended September 30, 2025, we recorded cumulative net adjustments to reduce stock-based compensation expense of $1.4 million ($1.1 million net of tax) or $0.04 per basic share and diluted share, and $6.1 million ($4.7 million net of tax), and $0.15 per basic share and diluted share, respectively.

14. Stockholders’ Equity

The Company’s authorized capital stock consists of 100.0 million shares of common stock, par value $0.01 per share, and 50.0 million shares of preferred stock, par value $0.01 per share. As of September 30, 2026 and December 31, 2025, there were 28.3 million and 29.1 million shares of common stock issued and outstanding, respectively, andno shares of preferred stock outstanding.

On May 4, 2022, the stockholders approved the adoption of the Century Communities, Inc. 2022 Omnibus Incentive Plan (which we refer to as the “2022 Incentive Plan”), which replaced the Century Communities, Inc. Amended and Restated 2017 Omnibus Incentive Plan (which we refer to as our “2017 Incentive Plan”). The 2022 Incentive Plan provides that 3.1 million shares of common stock are available for issuance to eligible participants under the plan, plus 51.2 thousand shares of our common stock that remained available for issuance under the 2017 Incentive Plan and any shares subject to awards outstanding under the 2017 Incentive Plan that were subsequently forfeited, cancelled, expired or otherwise terminated without the issuance of such shares. During the nine months ended September 30, 2026 and 2025, we issued 0.6 million and 0.6 million shares of common stock, respectively, related to the vesting and settlement of RSUs and PSUs. As of September 30, 2026, approximately 0.7 million shares of common stock remained available for issuance under the 2022 Incentive Plan, assuming maximum levels of performance achievement for nonvested PSUs.

The following tables set forth cash dividends declared by our Board of Directors to holders of record of our common stock during the three and nine months ended September 30, 2026 and 2025, respectively (dollars in thousands, except per share information):

Under the 2022 Incentive Plan, at the discretion of the Compensation Committee of the Board of Directors, RSUs and PSUs granted under the plan have the right to earn dividend equivalents, which entitles the holders of such RSUs and PSUs to additional RSUs and PSUs equal to the same dividend value per share as holders of common stock. Dividend equivalents are subject to the same vesting and other terms and conditions as the underlying RSUs and PSUs.

Our stock repurchase program authorizes us to repurchase up to 4.5 million shares of our outstanding common stock, of which 1.3 million shares remained available to be repurchased as of September 30, 2026. During the three and nine months ended September 30, 2026, an aggregate of 169.9 thousand shares and 1.1 million shares, respectively, were repurchased under our stock repurchase program for a total purchase price of approximately $11.6 million and $71.2 million, respectively, and a weighted average per share price of $68.16 and $62.45, respectively, excluding the excise tax accrued on our net share repurchases as a result of the Inflation Reduction Act of 2022. During the three and nine months ended September 30, 2025, an aggregate of 296.9 thousand shares and 1.9 million shares, respectively, were repurchased for a total purchase price of approximately $20.0 million and $123.6 million, respectively, and a weighted average per share price of $67.36 and $63.91, respectively.

During the nine months ended September 30, 2026 and 2025, shares of common stock at a total cost of $15.4 million and $17.3 million, respectively, were netted and surrendered as payment for minimum statutory withholding obligations in connection with the settlement of outstanding stock-based compensation awards. Shares surrendered by the participants in accordance with the applicable award agreements and plan are deemed repurchased and retired by us but are not part of our publicly announced stock repurchase program.

15. Earnings Per Share

We use the treasury stock method to calculate earnings per share as our currently issued non-vested RSUs and PSUs do not have participating rights.

The following table sets forth the computation of basic and diluted earnings per share (which we refer to as “EPS”) for the three and nine months ended September 30, 2026 and 2025 (in thousands, except share and per share information):

Stock-based awards are excluded from the calculation of diluted EPS in the event they are subject to unsatisfied performance conditions or are antidilutive. We excluded 1.2 million and 1.1 million common stock unit equivalents from diluted earnings per share during the three and nine months ended September 30, 2026, respectively, andwe excluded 0.7 million and 0.7 million common stock unit equivalents from diluted earnings per share during the three and nine months ended September 30, 2025, respectively, related to the PSUs for which performance conditions remained unsatisfied, assuming maximum levels of performance achievement. We excluded 0.0 million and 0.2 million antidilutive common stock unit equivalents from diluted earnings per share during the three and nine months ended September 30, 2026 andwe excluded 0.3 million and 0.3 million antidilutive common stock unit equivalents from diluted earnings per share during the three and nine months ended September 30, 2025, respectively.

16. Commitments and Contingencies

Letters of Credit and Performance Bonds

In the normal course of business, we post letters of credit and performance and other bonds primarily related to our land development performance obligations with local municipalities. As of September 30, 2026 and December 31, 2025, we had issued and outstanding letters of credit under various facilities of $42.3 million and $65.3 million, respectively, and we had issued and outstanding performance and other bonds of $431.4 million and $445.1 million, respectively.

Legal Proceedings

The Company and our subsidiaries and affiliates are subject to claims, lawsuits and other legal actions from time to time that arise primarily in the ordinary course of business, which consist mostly of construction claims, but also could include warranty, workers’ compensation, tort, breach of contract, employment, personal injury, and other similar claims. It is the opinion of management that if the construction or warranty claims have merit, parties other than the Company would be, at least in part, liable for the claims, and eventual outcome of these claims will not have a material adverse effect upon our consolidated financial condition, results of operations, or cash flows. When we believe that a loss is probable and estimable, we record the estimated amount to other accrued liabilities included in accrued expenses and other liabilities on the condensed consolidated balance sheet. We are also involved in other claims and/or legal proceedings for which a loss is reasonably possible, but for which we are unable to estimate a possible loss or range of loss due to evolving facts and inherent uncertainties.

Under various insurance policies, we have the ability to recoup costs in excess of applicable self-insured retentions. Estimates of such amounts are recorded in accounts receivable on our condensed consolidated balance sheet when recovery is probable.

We do not believe that the ultimate resolution of any claims, lawsuits and other legal actions will have a material adverse effect upon our consolidated financial position, results of operations, or cash flows.

ITEM 2. MANAGEMENT’S DISCUSSION AND