Net new orders in units increased 14% to 8,379 compared to 7,354 in the prior year, indicating strong demand. Net new orders in dollars increased 24% due to geographic mix.

The company strategically increased starts of speculative units to meet buyer demand for quick move-in homes. This is reflected in the increased number of homes under construction and completed homes.

The company is increasing its lot optionality within the land pipeline to increase flexibility and reduce financial risks associated with long-term land holdings. The remaining purchase price under land option agreements totaled $6.7 billion at March 31, 2024.

The time required to construct a home was approximately six weeks shorter at the end of 2023 compared to the end of 2022, and has continued to improve during the first quarter of 2024. This reflects easing supply chain constraints.

SG&A as a percentage of home sale revenues was 9.4% compared to 9.6% in the prior year. This indicates improved efficiency in managing selling, general, and administrative expenses.

The company declared cash dividends totaling $42.6 million and repurchased 2.3 million shares for $245.8 million. The board increased the share repurchase authorization by $1.5 billion, demonstrating a commitment to shareholder returns.

While demand remains strong, affordability is challenged by higher interest rates, cost increases, and general inflation. The company is responding by adjusting sales prices and focusing sales incentives on closing cost incentives.

Production cycle times remain elevated versus historical norms as the availability of certain materials and construction labor remain challenged. This could impact future operating results.

Interest rate volatility can affect the fair value of debt instruments and potentially impact earnings and cash flows, particularly for variable-rate debt. The company actively manages this risk.

While specific market share data is not explicitly provided, the increased net new orders and closings in several segments suggest potential market share gains. The company's ability to adapt to changing market conditions is a key factor.

The strategic decision to increase starts of speculative units in response to buyer demand for quick move-in homes provides a competitive advantage in a market with volatile interest rates and supply chain challenges.

The company's ability to maintain strong demand and improve cancellation rates suggests a strong brand reputation and customer loyalty, which are key competitive advantages.

The shortening of production cycle times contributes to improved operational efficiency, allowing the company to build and deliver homes more quickly.

Ongoing cost reduction initiatives, combined with construction pacing and sales strategies, contributed to strong gross margins despite inflationary pressures.

The slight decrease in SG&A as a percentage of home sale revenues indicates effective management of these expenses, despite increased production volumes.

The Board of Directors increased the share repurchase authorization by $1.5 billion, demonstrating confidence in the company's financial position and future prospects.

The 25% increase in the dividend from $0.16 to $0.20 per share underscores the company's commitment to returning capital to shareholders.

The company continues to pursue land investments that can achieve appropriate risk-adjusted returns, ensuring a pipeline of future development opportunities.

Demand for new housing remains strong, as evidenced by the increase in net new orders. This is supported by limited supply, low unemployment, and favorable demographics.

Recent increases in mortgage interest rates have moderated traffic to communities, particularly those geared toward first-time buyers, indicating a potential headwind.

Geographic mix has a significant impact on revenues, gross margins, and net new orders, highlighting the importance of market selection and adaptation.