Taylor Morrison Home Corp,
Fiscal Year 2025 Q2.

Total revenue$2,030,070 $1,991,053 Income before income taxes margin13.0 %13.4 % Adjusted income before income taxes margin13.6 %14.2 % Adjusted Home Closings Gross Margin Three Months Ended June 30,

Total Company14.6 %9.4 %12.6 %8.1 % (1) Cancellation rate represents the number of canceled sales orders divided by gross sales orders. The total company cancellation rate increased for the three and six months ended June 30, 2025, compared to the same periods in the prior year. We believe the higher cancellation rate for the three and six months ended June 30, 2025 was driven by general market conditions, including the ability of homeowners to sell their current home prior to closing on a new home. In addition, we have reduced required customer deposits as means of stimulating new sales orders which can further contribute to higher cancellation rates. As of June 30,

homes, which can result in cancellations. Total sold homes in backlog and total sales value decreased by 28.7% and 30.0% at June 30, 2025 compared to June 30, 2024, respectively. The decrease in units is primarily due to fewer net sales orders in the current period compared to the same period in the prior year, as well as improved construction cycle times and more quick-move-in homes which sold and closed during the six months ended June 30, 2025 compared to the same period in the prior year. Incentives and discounts as well as net sales orders mix led to the decrease in the average selling price.

Central1,808 1,696 6.6 %959,280 952,554 0.7 %531 562 (5.5 %) West2,145 2,065 3.9 %1,515,977 1,370,969 10.6 %707 664 6.5 % Total6,3885,9317.7 %$3,796,168 $3,556,382 6.7 %$594 $600 (1.0 %) The number of homes closed increased by 4.4% and 7.7% for the three and six months ended June 30, 2025, compared to the same periods in the prior year. The increases are generally due to improved cycle times across various markets and the higher number of quick-move-in homes which sold and closed within the three and six months ended June 30, 2025 as compared to the same periods in the prior year. In addition, the East region had several master plan communities that began closing homes during the current year periods. Incentives and discounts as well as net sales orders mix led to the decrease in the average selling price for the three and six months ended June 30, 2025, compared to the same periods in the prior year.

Home closings gross margin %23.2 %26.5 %23.1 %25.7 %23.1 %20.4 %23.1 %23.9 % Adjusted home closings gross margin %25.2 %26.6 %23.1 %25.7 %23.3 %20.4 %23.9 %24.0 % Consolidated home closings gross margin decreased to 22.3% from 23.8% for the three months ended June 30, 2025, compared to the same period in the prior year and to 23.1% from 23.9% for the six months ended June 30, 2025, compared to the same period in the prior year. The increases in the West region for both three and six months ended June 30, 2025 is primarily due to closing product mix which also contributed to an increase in lot premiums and margin on option revenues. The West also experienced a decrease in home discounts and incentives on a per unit basis during the three and six months ended June 30, 2025 compared to the same periods in the prior year. The changes in the East and Central regions are due to decreases in lot premium and option revenues as well as an increase in finance incentives. In addition, for the three and six months ended June 30, 2025, the East and West regions were negatively impacted by inventory impairment charges across certain communities as a result of recent pricing decreases. The East was also negatively impacted by a warranty charge related to a specific repair issue in the three and six months ended June 30, 2025.

•Home closings revenue of $2.0 billion, up 2% ◦3,340 closings, up 4%, at an average price of $589,000, down 2% •Home closings gross margin of 22.3% and adjusted home closings gross margin of 23.0%

Sales, Commissions and Other Marketing Costs Sales, commissions and other marketing costs, as a percentage of home closings revenue, net, remained consistent at 5.9% for the three months ended June 30, 2025 compared to the same period in the prior year and decreased to 5.9% from 6.1% for the six months ended June 30, 2025 compared to the same period in the prior year. The relatively consistent results are primarily driven by an increase in home closings revenue, net as well as leverage in controllable sales and marketing costs.

Investing Cash Flow Activities Net cash used in investing activities was $56.1 million for the six months ended June 30, 2025, compared to $57.3 million for the six months ended June 30, 2024. The decrease in cash used in investing activities was due to an increase in distributions of capital from unconsolidated entities offset by an increase in investments of capital into unconsolidated entities for newly formed joint ventures.

Net income attributable to non-controlling interests(265)(891) Net income$213,466 $190,270 Home closings gross margin24.0 %24.0 % Sales, commissions and other marketing costs as a percentage of home closings revenue, net

Net Income Net income and diluted earnings per share for the three months ended March 31, 2025 was $213.5 million and $2.07, respectively. Net income and diluted earnings per share for the three months ended March 31, 2024 was $190.3 million and $1.75, respectively. The increases in net income and diluted earnings per share from the prior year were primarily attributable to higher home closings revenue, net and higher gross margin dollars.

Cash Flow Activities Operating Cash Flow Activities Our net cash provided by operating activities was $77.2 million for the three months ended March 31, 2025, compared to net cash used in operating activities of $130.7 million for the three months ended March 31, 2024. The increase in cash provided by operating activities is primarily due to an increase in net income and the change in spend in real estate inventory and land deposits which were partially offset by the change in accounts payable, accrued expenses and other liabilities.

TAYLOR MORRISON HOME CORPORATION 10-Q 37 ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS Critical Accounting Policies and Estimates There have been no significant changes to our critical accounting policies and estimates during the six months ended June 30, 2025 compared to those disclosed in Management's Discussion and Analysis of Financial Condition and Results of Operations included in our Annual Report.

ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS Non-GAAP Measures In addition to the results reported in accordance with GAAP, we have provided information in this quarterly report relating to: (i) adjusted net income and adjusted earnings per common share, (ii) adjusted income before income taxes and related margin, (iii) adjusted home closings gross margin, (iv) EBITDA and Adjusted EBITDA and (v) net homebuilding debt to capitalization ratio. Adjusted net income, adjusted earnings per common share and adjusted income before income taxes and related margin are non-GAAP financial measures that reflect the net income/(loss) available to the Company excluding, to the extent applicable in a given period, the impact of real estate impairment charges inclusive of inventory impairment charges, impairment of investments in unconsolidated entities, pre-acquisition abandonment charges, certain warranty charges, gains/losses on land transfers to joint ventures, extinguishment of debt, net, and legal reserves or settlements that the Company deems not to be in the ordinary course of business and in the case of adjusted net income and adjusted earnings per common share, the tax impact due to such items. EBITDA and Adjusted EBITDA are non-GAAP financial measures that measure performance by adjusting net income before allocation to non-controlling interests to exclude interest expense/(income), net, amortization of capitalized interest, income tax provision, depreciation and amortization to calculate EBITDA. Adjusted EBITDA further excludes non-cash compensation expense, if any, real estate impairment charges inclusive of inventory impairment charges, impairment of investments in unconsolidated entities, pre-acquisition abandonment charges, certain warranty charges, gains/losses on land transfers to joint ventures, extinguishment of debt, net and legal reserves or settlements that the Company deems not to be in the ordinary course of business. Net homebuilding debt to capitalization ratio is a non-GAAP financial measure we calculate by dividing (i) total debt, plus unamortized debt issuance cost/(premium), net, and less mortgage warehouse facilities borrowings, net of unrestricted cash and cash equivalents ("net homebuilding debt"), by (ii) total capitalization (the sum of net homebuilding debt and total stockholders' equity). Adjusted home closings gross margin is a non-GAAP financial measure based on GAAP home closings gross margin (which is inclusive of capitalized interest), excluding inventory impairment charges and certain warranty charges. Management uses these non-GAAP financial measures to evaluate our performance on a consolidated basis, as well as the performance of our segments, and to set targets for performance-based compensation. We also use the net homebuilding debt to capitalization ratio as an indicator of overall financial leverage and to evaluate our performance against other companies in the homebuilding industry. In the future, we may include additional adjustments in the above-described non-GAAP financial measures to the extent we deem them appropriate and useful to management and investors. We believe that adjusted net income, adjusted earnings per common share, adjusted income before income taxes and related margin, as well as EBITDA and Adjusted EBITDA, are useful for investors in order to allow them to evaluate our operations without the effects of various items we do not believe are characteristic of our ongoing operations or performance and also because such metrics assist both investors and management in analyzing and benchmarking the performance and value of our business. Adjusted EBITDA also provides an indicator of general economic performance that is not affected by fluctuations in interest rates or effective tax rates, levels of depreciation or amortization, or unusual items. Because we use the net homebuilding debt to capitalization ratio to evaluate our performance against other companies in the homebuilding industry, we believe this measure is also relevant and useful to investors for that reason. We believe that adjusted home closings gross margin is useful to investors because it allows investors to evaluate the performance of our homebuilding operations without the varying effects of items or transactions we do not believe are characteristic of our ongoing operations or performance. These non-GAAP financial measures should be considered in addition to, rather than as a substitute for, the comparable U.S. GAAP financial measures of our operating performance or liquidity. Although other companies in the homebuilding industry may report similar information, their definitions may differ. We urge investors to understand the methods used by other companies to calculate similarly-titled non-GAAP financial measures before comparing their measures to ours. A reconciliation of adjusted net income, adjusted earnings per common share, adjusted income before income taxes and related margin, adjusted home closings gross margin, EBITDA, Adjusted EBITDA, and net homebuilding debt to capitalization ratio to the comparable GAAP measures follows.

EBITDA and Adjusted EBITDA Reconciliation Three Months Ended June 30, (Dollars in thousands)20252024 Net income before allocation to non-controlling interests$195,985 $199,914

Financial ServicesTaylor Morrison Home Funding, Inspired Title & Escrow Services, and Taylor Morrison Insurance Services As of June 30, 2025, we employed approximately 3,000 full-time equivalent persons. Of these, approximately 2,600 were engaged in corporate and homebuilding operations, and the remaining approximately 400 were engaged in financial services.

Net Sales Orders Three Months Ended June 30, Net Sales Orders (1) Sales Value (1) Average Selling Price (Dollars in thousands)20252024Change 20252024Change 20252024Change

West1,9712,623(24.9 %)1,427,941 1,752,408 (18.5 %)724 668 8.4 % Total6,1076,797(10.2 %)$3,542,532 $4,109,570 (13.8 %)$580 $605 (4.1 %) (1) Net sales orders and sales value represent the number and dollar value, respectively, of new sales contracts executed with customers, net of cancellations. Net sales orders decreased 12.2% and 10.2% for the three and six months ended June 30, 2025, compared to the same periods in the prior year. The decrease in the Central region was primarily due to community close-outs and the decrease in the West region was primarily due to an increase in cancellations. We continue to offer our buyers various incentives, discounts, and financing programs to drive sales orders, however economic conditions such as mortgage interest rates that remain high, contributed to the overall decrease in net sales orders. In addition, incentives and discounts as well a net sales orders mix led to the decrease in the average selling price for the three and six months ended June 30, 2025, compared to the same periods in the prior year.

Segment Home Closings Gross Margins Three Months Ended June 30, East Central West Consolidated (Dollars in thousands)20252024202520242025202420252024

Financial Services The following is a summary for the periods presented of our financial services income before income taxes as well as supplemental data: Three Months EndedJune 30,Six Months EndedJune 30,

General and Administrative Expenses General and administrative expenses as a percentage of home closings revenue, net, decreased to 3.4% from 4.3% and to 3.5% from 4.2% for the three and six months ended June 30, 2025 compared to the same periods in the prior year. The decreases were primarily due to a decrease in variable payroll-related expenses as well as an increase in home closings revenue, net.

Income Tax Provision The effective tax rate for the three and six months ended June 30, 2025 was 25.6% and 24.4%, respectively, compared to 25.2% and 24.2% for the same periods in 2024. For the three months ended June 30, 2025, the effective tax rate differed from the U.S. federal statutory income tax rate primarily due to state income taxes, non-deductible executive compensation, and excess tax benefits from share-based compensation. Our income tax rate for the second quarter of 2025 was higher than the same period last year primarily due to a decrease in credits related to homebuilding activities.

The table below summarizes our total cash and liquidity as of the dates indicated (in thousands): As of (Dollars in thousands)June 30, 2025December 31, 2024

Total cash, excluding restricted cash$130,174 $487,151 $1 Billion Revolving Credit Facility availability(1) 1,000,000 1,000,000 Letters of credit outstanding(48,017)(52,914)

Revolving Credit Facility availability951,983 947,086 Total liquidity$1,082,157 $1,434,237 (1)Subsequent to June 30, 2025, we borrowed $100 million under our $1 Billion Revolving Credit Facility. We believe we have adequate capital resources from cash generated from operations and sufficient access to external financing sources from borrowings under our $1 Billion Revolving Credit Facility to conduct our operations for the next twelve months. Beyond the next twelve months, our primary demand for funds will be for payments of our long-term debt as it becomes due, land purchases, lot development, home and amenity construction, long-term capital investments, investments in our joint ventures, payments of ongoing operating expenses, and repurchases of our common stock. We believe we will generate sufficient cash from our operations to meet the demands for such funds, however we may also access the capital markets to obtain additional liquidity through debt and equity offerings or refinance debt to secure capital for such long-term demands. As part of our operations, we may also from time to time purchase our outstanding debt or equity through open market purchases, privately negotiated transactions or otherwise. Purchases or retirements of debt and/or purchases of equity, if any, will depend on prevailing market conditions, liquidity requirements, contractual restrictions and other factors. The amounts involved may be material.

Financing Cash Flow Activities Net cash used in financing activities was $248.1 million for the six months ended June 30, 2025, compared to $137.0 million for the six months ended June 30, 2024. The increase in cash used in financing activities was primarily due to an increase in the repurchase of common stock and a decrease in the net borrowings on our mortgage warehouse facilities.

Off-Balance Sheet Arrangements as of June 30, 2025 Investments in Land Development and Homebuilding Joint Ventures or Unconsolidated Entities We participate in strategic land development and homebuilding joint ventures with related and unrelated third parties. Our participation with these entities, in some instances, enables us to acquire land to which we could not otherwise obtain access, or could not obtain access on terms that are as favorable. Our partners in these joint ventures historically have been land owners/developers, other homebuilders and financial or strategic partners. Joint ventures with land owners/developers have given us access to sites owned or controlled by our partners. Joint ventures with other homebuilders have provided us with the ability to bid jointly with our partners for large or expensive land parcels. Joint ventures with financial or strategic partners have allowed us to combine our homebuilding expertise with access to our partners' capital. For the six months ended June 30, 2025 and 2024, total cash investments of capital into unconsolidated joint ventures were $48.5 million and $45.0 million, respectively.