KB Home

kbhome.com

What Do They Do?

Builds attached and detached homes, townhomes and condominiums for homebuyers, including first-time, move-up and active adult buyers.

How Do They Make Money?

Homebuyers pay an initial deposit when they sign a sales contract, then the balance through escrow at closing for the completed home.

FY2025 revenue by product or service revenue

Segment	Share	Revenue	How money arrives
Housing Sold outright	100% FY2022: 100%		Sold outright
Financial service	0.4% FY2022: 0.3%

Who Are Their Customers?

Homebuyers, mainly first-time and first move-up buyers, along with second move-up and active adult buyers, purchase homes from KB Home. Mortgage banking services reach homebuyers indirectly through KBHS Home Loans.

Do Revenues Turn Into Profits?

Yes. It kept 7 cents of every revenue dollar as net income in FY2025 and turned 5 cents into free cash flow.

Net income, FY2025

7% of revenue

▼ −35% vs FY2024 ($655M, 9%)

Free cash flow, FY2025

5% of revenue

▼ −11% vs FY2024 ($323.4M, 5%)

How Are They Changing?

Since the FY2025 annual report

Latest quarter: Q3 FY2026, the three months to Aug 31, 2026

Revenue: ▼ −20%; vs $1.6B in Q3 FY2025
Net income: ▼ −41%; vs $109.8M in Q3 FY2025

Homebuilding share of revenue vs 99.6% in Q3 FY2025

Jun 23, 2026 Provided third-quarter and full-year housing revenue guidance Projected third-quarter housing revenue of $1.20 billion to $1.35 billion and full-year housing revenue of $4.90 billion to $5.30 billion.
May 1, 2026 CFO Robert R. Dillard resigned His resignation was effective May 8, 2026.
Jan 28, 2026 CEO Robert V. McGibney appointment announced

Growing. Revenue grew 9% in 4 years, from $5.7B in FY2021 to $6.2B in FY2025, about 2% a year.

Atlanta market reentry The latest report adds an announced return to Atlanta; KB Home had not yet acquired land or begun selling homes there.

Revenue over time

Housing Financial service

$10B$5B$0

FY2021 FY2022 FY2023 FY2024 FY2025

Comments