Item 1. Financial Statements

Lennar Corporation and Subsidiaries

Condensed Consolidated Balance Sheets

(In thousands)

(Unaudited)

			February 28,						November 30,
			2026 (1)						2025 (1)
ASSETS
Homebuilding:
Cash and cash equivalents			$	2,085,384					3,441,324
Restricted cash			27,541						25,930
Receivables, net			960,912						1,002,629
Inventories:
Finished homes and construction in progress			9,547,262						8,822,271
Land and land under development			928,517						1,098,961
Inventory owned			10,475,779						9,921,232
Consolidated inventory not owned			1,646,284						1,696,401
Inventory owned and consolidated inventory not owned			12,122,063						11,617,633
Deposits and pre-acquisition costs on real estate			6,824,948						6,383,633
Investments in unconsolidated entities			1,479,812						1,545,370
Goodwill			3,442,359						3,442,359
Other assets			1,787,517						1,794,378
			28,730,536						29,253,256
Financial Services			2,808,039						3,377,413
Multifamily			842,100						902,136
Lennar Other			829,667						897,632
Total assets			$	33,210,342					34,430,437

(1)Under certain provisions of Accounting Standards Codification (“ASC”) Topic 810, Consolidations (“ASC 810”), the Company is required to separately disclose on its condensed consolidated balance sheets the assets owned by consolidated variable interest entities (“VIEs”) and liabilities of consolidated VIEs as to which neither Lennar Corporation, nor any of its subsidiaries, has any obligations.

As of February 28, 2026, total assets include $1.5 billion related to consolidated VIEs of which $49.7 million is included in Homebuilding cash and cash equivalents, $0.2 million in Homebuilding receivables, net, $38.2 million in Homebuilding finished homes and construction in progress, $232.9 million in Homebuilding land and land under development, $1.0 billion in Homebuilding consolidated inventory not owned, $94.1 million in Homebuilding deposits and pre-acquisition costs on real estate, $0.3 million in Homebuilding investments in unconsolidated entities, $1.7 million in Homebuilding other assets and $24.7 million in Multifamily assets.

As of November 30, 2025, total assets include $1.5 billion related to consolidated VIEs of which $61.1 million is included in Homebuilding cash and cash equivalents, $2.0 million in Homebuilding receivables, net, $45.6 million in Homebuilding finished homes and construction in progress, $300.3 million in Homebuilding land and land under development, $984.4 million in Homebuilding consolidated inventory not owned, $88.3 million in Homebuilding deposits and pre-acquisition costs on real estate, $0.3 million in Homebuilding investments in unconsolidated entities, $8.9 million in Homebuilding other assets and $25.0 million in Multifamily assets.

See accompanying notes to condensed consolidated financial statements.

Lennar Corporation and Subsidiaries

Condensed Consolidated Balance Sheets (Continued)

(In thousands, except share amounts)

(Unaudited)

			February 28,						November 30,
			2026 (2)						2025 (2)
LIABILITIES AND EQUITY
Homebuilding:
Accounts payable			$	1,737,575					1,812,484
Liabilities related to consolidated inventory not owned			1,447,697						1,476,376
Senior notes and other debts payable, net			4,065,459						4,084,686
Other liabilities			2,353,359						2,691,876
			9,604,090						10,065,422
Financial Services			1,390,277						2,010,598
Multifamily			88,547						113,361
Lennar Other			95,165						100,447
Total liabilities			11,178,079						12,289,828
Commitments and contingent liabilities (See Note 10)
Stockholders’ equity:
Preferred stock			—						—
Class A common stock of $0.10 par value; Authorized: February 28, 2026 and November 30, 2025 - 400,000,000 shares; Issued: February 28, 2026 - 263,189,720 shares and November 30, 2025 - 261,579,253 shares			26,319						26,158
Class B common stock of $0.10 par value; Authorized: February 28, 2026 and November 30, 2025 - 90,000,000 shares; Issued: February 28, 2026 - 36,601,215 shares and November 30, 2025 - 36,601,215 shares			3,660						3,660
Additional paid-in capital			5,993,733						5,909,726
Retained earnings			22,577,374						22,471,471
Treasury stock, at cost; February 28, 2026 - 47,945,322 shares of Class A common stock and 5,547,317 shares of Class B common stock; November 30, 2025 - 45,804,348 shares of Class A common stock and 5,384,202 shares of Class B common stock			(6,727,316)						(6,457,609)
Accumulated other comprehensive income			5,606						6,011
Total stockholders’ equity			21,879,376						21,959,417
Noncontrolling interests			152,887						181,192
Total equity			22,032,263						22,140,609
Total liabilities and equity			$	33,210,342					34,430,437

(2)As of February 28, 2026, total liabilities include $1.0 billion related to consolidated VIEs as to which there was no recourse against the Company, of which $15.5 million is included in Homebuilding accounts payable, $961.7 million in Homebuilding liabilities related to consolidated inventory not owned, $1.2 million in Homebuilding other liabilities, and $1.0 million in Multifamily liabilities.

As of November 30, 2025, total liabilities include $962.4 million related to consolidated VIEs as to which there was no recourse against the Company, of which $23.8 million is included in Homebuilding accounts payable, $930.1 million in Homebuilding liabilities related to consolidated inventory not owned, $6.0 million in Homebuilding senior notes and other debts payable, net, $1.5 million in Homebuilding other liabilities, and $1.0 million in Multifamily liabilities.

See accompanying notes to condensed consolidated financial statements.

Lennar Corporation and Subsidiaries

Condensed Consolidated Statements of Operations and Comprehensive Income (Loss)

(In thousands, except per share amounts)

(Unaudited)

			Three Months Ended
			February 28,
			2026						2025
Revenues:
Homebuilding			$	6,298,563					7,283,870
Financial Services			215,555						277,077
Multifamily			82,499						63,196
Lennar Other			22,859						7,402
Total revenues			6,619,476						7,631,545
Costs and expenses:
Homebuilding			5,970,420						6,539,960
Financial Services			124,242						133,594
Multifamily			90,428						73,376
Lennar Other			43,684						23,564
Corporate general and administrative			157,638						147,378
Charitable foundation contribution			16,863						17,834
Total costs and expenses			6,403,275						6,935,706
Equity in earnings from unconsolidated entities			63,268						33,234
Other income, net and other gains, net			8,146						31,668
Lennar Other gains (losses) from technology investments			14,838						(62,503)
Earnings before income taxes			302,453						698,238
Provision for income taxes			(69,092)						(169,525)
Net earnings (including net earnings attributable to noncontrolling interests)			233,361						528,713
Less: Net earnings attributable to noncontrolling interests			3,978						9,187
Net earnings attributable to Lennar			$	229,383					519,526
Other comprehensive loss, net of tax:
Net unrealized losses on securities available-for-sale			$	(405)					(178)
Total other comprehensive loss, net of tax			$	(405)					(178)
Total comprehensive income attributable to Lennar			$	228,978					519,348
Total comprehensive income attributable to noncontrolling interests			$	3,978					9,187
Basic and diluted earnings per share			$	0.93					1.96

See accompanying notes to condensed consolidated financial statements.

Lennar Corporation and Subsidiaries

Condensed Consolidated Statements of Cash Flows

(In thousands)

(Unaudited)

			Three Months Ended
			February 28,
			2026						2025
Cash flows from operating activities:
Net earnings (including net earnings attributable to noncontrolling interests)			$	233,361					528,713
Adjustments to reconcile net earnings to net cash used in operating activities:
Depreciation and amortization			33,388						31,332
Amortization of discount/premium and accretion on debt, net			112						(91)
Equity in earnings from unconsolidated entities			(63,268)						(33,234)
Distributions of earnings from unconsolidated entities			26,656						11,586
Share-based compensation expense			62,377						84,085
Deferred income tax expense			44,205						23,472
Loans held-for-sale unrealized (gains) losses			(32,402)						(30,403)
Lennar Other (gains) losses from technology investments and other (gains) losses, net			(14,838)						71,427
Gains on sale of operating properties and equipment and other assets			(9,296)						(23,411)
Valuation adjustments and write-offs of option deposits and pre-acquisition costs on real estate, and other assets			38,128						28,261
Changes in assets and liabilities:
Decrease in receivables			296,232						117,753
Increase in inventories, excluding valuation adjustments			(652,015)						(513,257)
Increase in deposits and pre-acquisition costs on real estate			(353,721)						(757,972)
Increase in other assets			(36,460)						(57,501)
Decrease in loans held-for-sale			397,801						445,233
Decrease in accounts payable and other liabilities			(403,762)						(215,035)
Net cash used in operating activities			(433,502)						(289,042)
Cash flows from investing activities:
Net additions of operating properties and equipment			(29,992)						(56,043)
Proceeds from sale of other assets			26,163						40,258
Proceeds from sale of investments in unconsolidated joint venture			—						233,007
Proceeds from sales of investments			28,258						72,003
Investments in and contributions to unconsolidated entities			(31,841)						(78,709)
Distributions of capital from unconsolidated entities			104,999						35,455
Acquisition, net of cash and restricted cash acquired			—						(231,426)
Decrease in Financial Services loans held-for-investment			—						8,467
Purchases of investment securities			(6,218)						(3,456)
Proceeds from maturities/sales of investment securities			1,993						1,934
Net cash provided by investing activities			$	93,362					21,490

See accompanying notes to condensed consolidated financial statements.

Lennar Corporation and Subsidiaries

Condensed Consolidated Statements of Cash Flows (Continued)

(Dollars in thousands)

(Unaudited)

			Three Months Ended
			February 28,
			2026						2025
Cash flows from financing activities:
Net repayments under warehouse facilities			$	(599,303)					(533,831)
Principal payments on notes payable and other borrowings			(12,092)						(27,600)
Net cash distributed in connection with Millrose Properties, Inc. spin-off			—						(416,006)
Proceeds from liabilities related to consolidated inventory not owned			—						259
Payments for liabilities related to consolidated inventory not owned			(80,155)						(255,862)
Payments related to other liabilities, net			(1,421)						(1,421)
Receipts related to noncontrolling interests			1,083						11,328
Payments related to noncontrolling interests			(10,709)						(5,389)
Common stock:
Repurchases			(269,707)						(774,475)
Dividends			(123,480)						(131,646)
Net cash used in financing activities			(1,095,784)						(2,134,643)
Net decrease in cash and cash equivalents and restricted cash			(1,435,924)						(2,402,195)
Cash and cash equivalents and restricted cash at beginning of period			3,830,734						4,990,210
Cash and cash equivalents and restricted cash at end of period			$	2,394,810					2,588,015
Summary of cash and cash equivalents and restricted cash:
Homebuilding			$	2,085,384					2,283,928
Financial Services			210,147						188,833
Multifamily			32,623						15,030
Lennar Other			24,488						28,981
Homebuilding restricted cash			27,541						22,487
Financial Services restricted cash			14,627						48,756
			$	2,394,810					2,588,015
Supplemental disclosures of non-cash investing and financing activities:
Homebuilding:
Payments of inventories financed by sellers			$	1,235					320
Net non-cash contributions to unconsolidated entities			21,241						17,330
Non-cash sale of investments in unconsolidated entities			90,730						—
Non-cash impact of Millrose Properties, Inc. spin-off:
Inventories			$	—					(5,576,376)
Investments in unconsolidated entities			—						1,194,711
Other assets			—						(60,156)
Notes payable			—						19,000
Retained earnings			—						4,422,821

See accompanying notes to condensed consolidated financial statements.

Lennar Corporation and Subsidiaries

Notes to Condensed Consolidated Financial Statements (Unaudited)

**(1)**Basis of Presentation

Basis of Consolidation

The condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information and pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. These condensed consolidated financial statements should be read in conjunction with the consolidated financial statements in the Company’s Annual Report on Form 10-K for the year ended November 30, 2025 ("2025 Form 10-K"). The basis of consolidation is unchanged from the disclosure in the Company's Notes to Consolidated Financial Statements section in its 2025 Form 10-K. In the opinion of management, all adjustments (consisting of normal recurring adjustments) necessary for the fair presentation of the accompanying condensed consolidated financial statements have been made.

Seasonality

The Company has historically experienced, and expects to continue to experience, variability in quarterly results. The condensed consolidated statements of operations for the three months ended February 28, 2026 are not necessarily indicative of the results to be expected for the full year.

Use of Estimates

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the condensed consolidated financial statements and accompanying notes. Actual results could differ from those estimates.

Cash and Cash Equivalents

Homebuilding cash and cash equivalents as of February 28, 2026 and November 30, 2025 included $530.6 million and $150.6 million, respectively, of cash held in escrow for approximately two days.

Share-based Payments

During the three months ended February 28, 2026 and 2025, the Company granted employees 1.5 million and 1.4 million of nonvested shares of Class A common stock, respectively.

Recently Adopted Accounting Pronouncements

In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures (“ASU 2023-09”). ASU 2023-09 requires public companies to annually (1) disclose specific categories in the rate reconciliation and (2) provide additional information for reconciling items that meet a quantitative threshold (if the effect of those reconciling items is equal to or greater than five percent of the amount computed by multiplying pretax income or loss by the applicable statutory income tax rate). ASU 2023-09 is effective for the Company's fiscal year ending November 30, 2026 and may be applied either retrospectively or prospectively. The Company does not expect ASU 2023-09 to have a material effect on its condensed consolidated financial statements and disclosures.

In November 2024, the FASB issued ASU 2024-03, Income Statement - Reporting Comprehensive Income - Expense Disaggregation Disclosures (“ASU 2024-03”), which requires disclosure of disaggregated information about certain income statement expense line items in the notes to the financial statements on an interim and annual basis. ASU 2024-03 will be effective for the Company's fiscal year ending November 30, 2028. The Company is currently evaluating the impact

that the adoption of ASU 2024-03 will have on its condensed consolidated financial statements and disclosures.

Reclassifications

In the first quarter of fiscal 2026, the Company implemented a reorganization of certain geographic communities within its Homebuilding segments. As a result of this reorganization, eleven communities previously allocated to the Central segment were moved to the East segment. Accordingly, the Company reclassified certain prior year segment information in the condensed consolidated financial statements to conform with the 2026 presentation. This reclassification was for operational purposes and between segments and had no impact on the Company's total assets, total equity, revenue or net income in the condensed consolidated financial statements.

Lennar Corporation and Subsidiaries

Notes to Condensed Consolidated Financial Statements (Unaudited) (Continued)

(2) Operating and Reporting Segments

Operations of the Company’s Homebuilding segments primarily include the construction and sale of single-family attached and detached homes, as well as the purchase, development and sale of residential land directly and through the Company’s unconsolidated entities. The Company defines the Chief Operating Decision Maker ("CODM") function as the Executive Chairman, Chief Executive Officer and President. The CODM manages and assesses the Company's Homebuilding performance at a regional level. The CODM evaluates the Homebuilding segment performance using each segment’s revenues generated from sales of homes and earnings (loss) before income taxes. These operating results are reviewed against the annual business plan and quarterly forecast updates, as applicable, and used by the CODM when making the Company’s decisions about the allocation of operating and capital resources to each Homebuilding segment. The CODM’s evaluation of the Financial Services, Multifamily and Lennar Other segments is based on the revenues and earnings (loss) before income taxes.

Operational results of each segment are not necessarily indicative of the results that would have occurred had the segment been an independent, stand-alone entity during the periods presented. The following are the Company’s operating and reportable segments:

Homebuilding segments: (1) East (2) Central (3) South Central (4) West

(5) Financial Services

(6) Multifamily

(7) Lennar Other

The assets and liabilities related to the Company’s segments were as follows:

(In thousands)			At February 28, 2026
Assets:			Homebuilding						Financial Services						Multifamily						Lennar Other						Total
Cash and cash equivalents			$	2,085,384					210,147						32,623						24,488						2,352,642
Restricted cash			27,541						14,627						—						—						42,168
Receivables, net (1)			960,912						305,460						39,888												1,306,260
Inventory owned and consolidated inventory not owned			12,122,063						—						212,882						—						12,334,945
Deposits and pre-acquisition costs on real estate			6,824,948						—						7,756						—						6,832,704
Investments in unconsolidated entities			1,479,812						2,431						474,767						361,092						2,318,102
Loans held-for-sale (2)			—						1,847,078						—						—						1,847,078
Investments in equity securities (3)			—						—						—						222,460						222,460
Investments available-for-sale (4)			—						—						—						38,655						38,655
Investments held-to-maturity			—						130,997						—						—						130,997
Goodwill			3,442,359						189,699						—						—						3,632,058
Other assets			1,787,517						107,600						74,184						182,972						2,152,273
Total assets			$	28,730,536					2,808,039						842,100						829,667						33,210,342
Liabilities:
Senior notes and other debts payable, net			$	4,065,459					1,191,006						—						—						5,256,465
Liabilities related to consolidated inventory not owned			1,447,697						—						—						—						1,447,697
Accounts payable and other liabilities			4,090,934						199,271						88,547						95,165						4,473,917
Total liabilities			$	9,604,090					1,390,277						88,547						95,165						11,178,079

Lennar Corporation and Subsidiaries

Notes to Condensed Consolidated Financial Statements (Unaudited) (Continued)

(In thousands)			At November 30, 2025
Assets:			Homebuilding						Financial Services						Multifamily						Lennar Other						Total
Cash and cash equivalents			$	3,441,324					258,873						34,172						21,936						3,756,305
Restricted cash			25,930						48,499						—						—						74,429
Receivables, net (1)			1,002,629						429,560						38,673						—						1,470,862
Inventory owned and consolidated inventory not owned			11,617,633						—						223,622						—						11,841,255
Deposits and pre-acquisition costs on real estate			6,383,633						—						15,096						—						6,398,729
Investments in unconsolidated entities			1,545,370						2,528						506,573						367,965						2,422,436
Loans held-for-sale (2) (5)			—						2,212,624						—						—						2,212,624
Investments in equity securities (3)			—						—						—						346,820						346,820
Investments available-for-sale (4)			—						—						—						39,060						39,060
Investments held-to-maturity			—						132,868						—						—						132,868
Goodwill			3,442,359						189,699						—						—						3,632,058
Other assets			1,794,378						102,762						84,000						121,851						2,102,991
Total assets			$	29,253,256					3,377,413						902,136						897,632						34,430,437
Liabilities:
Senior notes and other debts payable, net			$	4,084,686					1,790,309						—						—						5,874,995
Liabilities related to consolidated inventory not owned			1,476,376						—						—						—						1,476,376
Accounts payable and other liabilities			4,504,360						220,289						113,361						100,447						4,938,457
Total liabilities			$	10,065,422					2,010,598						113,361						100,447						12,289,828

(1)Financial Services, receivables, net, are primarily related to loans sold to investors for which the Company had not yet been paid as of both February 28, 2026 and November 30, 2025.

(2)Loans held-for-sale related to unsold residential and commercial loans carried at fair value, of which $15.3 million and $15.5 million of residential loans are carried at lower of cost or fair value as of February 28, 2026 and November 30, 2025, respectively.

(3)Investments in equity securities include investments of $114.4 million without readily available fair values as of both February 28, 2026 and November 30, 2025.

(4)Investments available-for-sale are carried at fair value with changes in fair value recorded as a component of accumulated other comprehensive income (loss) in the condensed consolidated balance sheets.

(5)During the year ended November 30, 2025, the Financial Services segment transferred its loans held-for-investment of $61.0 million (fair value of $50.3 million) to held-for-sale, based on the Company’s intent to sell the loans in the near future.

Homebuilding Segments

Information about homebuilding activities in states which are not economically similar to other states in the same geographic area is grouped under “Homebuilding Other,” which is not considered a reportable segment.

East: Florida, New Jersey and Pennsylvania

Central: Alabama, Georgia, Illinois, Indiana, Maryland/Virginia, Minnesota, North Carolina, South Carolina and Tennessee

South Central: Arkansas, Kansas, Oklahoma and Texas

West: Arizona, California, Colorado, Idaho, Nevada, Oregon, Utah and Washington

Other: Urban divisions and other homebuilding related investments primarily in California, including FivePoint Holdings, LLC (“FivePoint”).

Lennar Corporation and Subsidiaries

Notes to Condensed Consolidated Financial Statements (Unaudited) (Continued)

The assets related to the Company’s Homebuilding segments were as follows:

(In thousands)			At February 28, 2026						At November 30, 2025
East			$	5,510,902					5,413,918
Central			4,686,323						4,565,781
South Central			4,553,494						4,195,858
West			9,775,856						9,519,804
Other			1,800,785						1,692,453
Corporate and Unallocated			2,403,176						3,865,442
Total Homebuilding			$	28,730,536					29,253,256

Financial information relating to the Company’s segments was as follows:

			Three Months Ended February 28, 2026
(In thousands)			East			Central			South Central			West			Other (2)			Homebuilding			Financial Services			Multifamily			Lennar Other			Total
Revenues:
Sales of homes			$	1,512,078		1,345,033			1,160,180			2,251,747			3,884			6,272,922			—			—			—			6,272,922
Sales of land			8,074			873			4,023			2,188			—			15,158			—			—			—			15,158
Other revenues			4,869			1,153			660			1,202			2,599			10,483			215,555			82,499			22,859			331,396
Total revenues			1,525,021			1,347,059			1,164,863			2,255,137			6,483			6,298,563			215,555			82,499			22,859			6,619,476
Costs and expenses:
Costs of home sold			1,238,852			1,152,715			956,368			1,967,522			6,157			5,321,614			—			—			—			5,321,614
Costs of land sold			15,302			3,736			6,368			5,905			—			31,311			—			—			—			31,311
Other costs and expenses			—			—			—			—			—			—			124,242			90,428			43,684			258,354
Selling, general and administrative expenses			162,774			148,205			107,634			191,170			7,712			617,495			—			—			—			617,495
Corporate general and administrative expenses (1)			—			—			—			—			—			—			—			—			—			157,638
Charitable foundation contribution (1)			—			—			—			—			—			—			—			—			—			16,863
Total costs and expenses			1,416,928			1,304,656			1,070,370			2,164,597			13,869			5,970,420			124,242			90,428			43,684			6,403,275
Equity in earnings (losses) from unconsolidated entities			10,683			59			(15)			912			26,542			38,181			—			25,481			(394)			63,268
Other income (expense), net and other gains (losses), net			(3,821)			1,883			(1,669)			(2,032)			12,343			6,704			—			307			1,135			8,146
Lennar Other gains from technology investments			—			—			—			—			—			—			—			—			14,838			14,838
Earnings (loss) before income taxes			$	114,955		44,345			92,809			89,420			31,499			373,028			91,313			17,859			(5,246)			302,453

Lennar Corporation and Subsidiaries

Notes to Condensed Consolidated Financial Statements (Unaudited) (Continued)

			Three Months Ended February 28, 2025
(In thousands)			East			Central			South Central			West			Other (2)			Homebuilding			Financial Services			Multifamily			Lennar Other			Total
Revenues:
Sales of homes			$	1,655,259		1,530,193			1,160,523			2,888,685			5,886			7,240,546			—			—			—			7,240,546
Sales of land			23,122			1,600			5,604			5,000			—			35,326			—			—			—			35,326
Other revenues			2,736			854			701			1,248			2,459			7,998			277,077			63,196			7,402			355,673
Total revenues			1,681,117			1,532,647			1,166,828			2,894,933			8,345			7,283,870			277,077			63,196			7,402			7,631,545
Costs and expenses:
Costs of home sold			1,303,019			1,245,610			946,529			2,386,679			6,307			5,888,144			—			—			—			5,888,144
Costs of land sold			23,511			3,040			2,940			6,586			—			36,077			—			—			—			36,077
Other costs and expenses			—			—			—			—			—			—			133,594			73,376			23,564			230,534
Selling, general and administrative expenses			162,186			152,324			94,822			202,381			4,026			615,739			—			—			—			615,739
Corporate general and administrative expenses (1)			—			—			—			—			—			—			—			—			—			147,378
Charitable foundation contribution (1)			—			—			—			—			—			—			—			—			—			17,834
Total costs and expenses			1,488,716			1,400,974			1,044,291			2,595,646			10,333			6,539,960			133,594			73,376			23,564			6,935,706
Equity in earnings (losses) from unconsolidated entities			6,638			(3)			(2)			(28)			28,399			35,004			—			727			(2,497)			33,234
Other income (expense), net and other gains (losses), net			25,315			2,050			(452)			(478)			3,924			30,359			—			9,430			(8,121)			31,668
Lennar Other losses from technology investments			—			—			—			—			—			—			—			—			(62,503)			(62,503)
Earnings (loss) before income taxes			$	224,354		133,720			122,083			298,781			30,335			809,273			143,483			(23)			(89,283)			698,238

(1)Primarily represent costs of operations at the Company's corporate headquarters in Miami. These operations include the Company's executive offices, information technology, treasury, corporate accounting and tax, legal, internal audit and human resources. Also included are property expenses related to the leases of corporate offices, data processing, general corporate expenses and charitable foundation contributions to the Lennar Foundation. These corporate expenses cannot be attributed to any specific segment, thus they are presented within the Total column in the table above.

(2)The Other segment includes operating results from the Company's Urban divisions, which are not considered reportable segments.

Financial Services

Operations of the Financial Services segment include mortgage financing, title and closing services primarily for buyers of the Company’s homes. They also include originating and selling into securitizations commercial mortgage loans through its LMF Commercial business. Financial Services’ operating earnings consist of revenues generated primarily from mortgage financing, title and closing services, and sales of property and casualty insurance, less the cost of such services and certain selling, general and administrative expenses incurred by the segment. The Financial Services segment operates generally in the same states as the Company’s homebuilding operations.

Lennar Corporation and Subsidiaries

Notes to Condensed Consolidated Financial Statements (Unaudited) (Continued)

At February 28, 2026, the Financial Services segment had warehouse facilities which were all 364-day repurchase facilities and were used to fund residential mortgages or commercial mortgages for LMF Commercial as follows:

			Maximum Aggregate Commitment
(In thousands)			Committed Amount						Uncommitted Amount						Total
Residential facilities maturing:
March 2026 (1)			$	250,000					250,000						500,000
May 2026			250,000						250,000						500,000
July 2026			100,000						100,000						200,000
September 2026			200,000						200,000						400,000
November 2026			100,000						100,000						200,000
December 2026			—						375,000						375,000
Total residential facilities			$	900,000					1,275,000						2,175,000
LMF commercial facilities maturing:
January 2027			100,000						—						100,000
December 2027			200,000						—						200,000
Total LMF commercial facilities			$	300,000					—						300,000
Total															$	2,475,000

(1)Subsequent to February 28, 2026, the maturity date was extended to March 2027.

The Financial Services segment uses residential mortgage loan warehouse facilities to finance its residential lending activities until the mortgage loans are sold to investors and the proceeds are collected. The facilities are non-recourse to the Company and are expected to be renewed or replaced with other facilities when they mature. The LMF Commercial facilities finance LMF Commercial loan originations and securitization activities and were secured by up to 80% interests in the originated commercial loans financed.

Borrowings and collateral under the facilities were as follows:

(In thousands)			At February 28, 2026						At November 30, 2025
Borrowings under residential facilities			$	1,008,627					1,653,484
Collateral under residential facilities			1,794,339						1,718,338
Borrowings under LMF Commercial facilities			61,000						13,719

If the facilities are not renewed or replaced, the borrowings under the lines of credit will be repaid by selling the mortgage loans held-for-sale to investors and by collecting receivables on loans sold but not yet paid for. Without the facilities, the Financial Services segment would have to use cash from operations and other funding sources to finance its lending activities.

Substantially all of the loans the Financial Services segment originates are sold within a short period on the secondary mortgage market on a servicing-released, non-recourse basis. After the loans are sold, the Company retains potential liability for possible claims by purchasers that it breached certain limited industry-standard representations and warranties in the loan sale agreements. Purchasers sometimes try to defray any losses incurred by purporting to have found inaccuracies related to sellers’ representations and warranties in particular loan sale agreements and seeking to have the Company buy back mortgage loans or compensate them for losses incurred on mortgage loans that the Company has sold. The Company’s mortgage operations have established accruals for possible losses associated with mortgage loans previously originated and sold to investors, which are included in Financial Services’ liabilities in the Company's consolidated balance sheets. These accruals are based upon, among other things, an analysis of repurchase requests received, an estimate of potential repurchase claims not yet received and actual past repurchases and losses through the disposition of affected loans as well as previous settlements. While the Company believes it has adequately reserved for known losses and projected repurchase requests, given the volatility in the mortgage market and the uncertainty regarding the ultimate resolution of these claims, if either actual repurchases or the losses incurred resolving purchase claims exceed the Company’s expectations, additional recourse expense may be incurred. The provision for loan losses was immaterial for both the three months ended February 28, 2026 and 2025. Loan origination liabilities were $17.4 million as of both February 28, 2026 and November 30, 2025 and included in Financial Services’ liabilities in the Company's condensed consolidated balance sheets.

Lennar Corporation and Subsidiaries

Notes to Condensed Consolidated Financial Statements (Unaudited) (Continued)

LMF Commercial - loans held-for-sale

LMF Commercial originated commercial loans as follows:

			Three Months Ended
			February 28,
(Dollars in thousands)			2026						2025
Originations (1)			$	83,050					127,965
Sold			33,325						94,887
Securitizations			1						4

(1)During both the three months ended February 28, 2026 and 2025, the commercial loans originated were recorded as loans held-for-sale, which are held at fair value.

Investments held-to-maturity

At February 28, 2026 and November 30, 2025, the Financial Services segment held commercial mortgage-backed securities (“CMBS”). These securities are classified as held-to-maturity based on the segment's intent and ability to hold the securities until maturity and changes in estimated cash flows are reviewed periodically to determine if an other-than-temporary impairment has occurred. Based on the segment’s assessment, no impairment charges were recorded during the three months ended February 28, 2026 and 2025. The Company has financing agreements to finance CMBS that have been purchased as investments by the Financial Services segment.

Details related to Financial Services' CMBS were as follows:

(Dollars in thousands)			At February 28, 2026						At November 30, 2025
Carrying value			$	130,997					132,868
Outstanding debt, net of debt issuance costs			121,379						123,106
Incurred interest rate			3.4%						3.4%

			At February 28, 2026
			Range
Discount rates at purchase			6%			—			84%
Coupon rates			2.0%			—			5.3%
Distribution dates			October 2027			—			December 2028
Stated maturity dates			October 2050			—			December 2051

Multifamily

The Company is actively involved, primarily through unconsolidated funds and joint ventures, in the development and construction of multifamily rental properties. The Multifamily segment focuses on developing a geographically diversified portfolio of institutional quality multifamily rental properties in select U.S. markets.

The Multifamily segment (i) manages and owns interests in funds that are engaged in the development of multifamily residential communities with the intention of holding the newly constructed and occupied properties as income and fee generating assets, and (ii) manages and owns interests in joint ventures that are engaged in the development of multifamily residential communities, in most instances with the intention of selling them when they are built and substantially occupied. The multifamily business is a vertically integrated platform with capabilities spanning development, construction, asset management, and capital markets. Revenues are generated from the sales of land, from construction activities, and from management and promote fees generated from funds and joint ventures less the cost of sales of land sold, expenses related to construction activities and general and administrative expenses. Operations of the Multifamily segment also include equity in earnings (losses) from unconsolidated entities and other gains (losses), which include proceeds of sales of investments.

Lennar Other

Lennar Other includes strategic investments in various types of technology and other companies, primarily managed by the Company's LENX subsidiary, and fund interests the Company retained when it sold the Rialto Capital Management ("Rialto") asset and investment management platform. Operations of the Lennar Other segment include operating earnings (loss) consisting of revenues generated primarily from the Company's share of carried interests in the Rialto fund investments, along with equity in earnings (losses) from the Rialto fund investments and technology investments, realized and unrealized gains (losses) from investments in equity securities and other income (expense), net from the remaining assets related to the Company's former Rialto segment.

The Company has investments in several publicly traded technology companies, which are held at market and the carrying value of which will therefore change depending on the value of the Company's shareholdings in those entities on the

Lennar Corporation and Subsidiaries

Notes to Condensed Consolidated Financial Statements (Unaudited) (Continued)

last day of each quarter. All the investments are accounted for as investments in equity securities and other assets which are held at fair value and the changes in fair values are recognized through earnings.

During the three months ended February 28, 2026 and February 28, 2025, the Company recorded mark-to-market gains of $14.8 million and losses of $62.5 million, respectively, on its publicly traded technology investments, which were included in Lennar Other gains (losses) in the Company's condensed consolidated statements of operations and comprehensive income (loss).

**(3)**Investments in Unconsolidated Entities

Homebuilding Unconsolidated Entities

The investments in the Company's Homebuilding unconsolidated entities were as follows:

(In thousands)						At February 28, 2026						At November 30, 2025
Investments in unconsolidated entities (1) (2)						$	1,479,812					1,545,370
Underlying equity in unconsolidated entities' net assets (1) (2)						1,777,533						1,790,697

(1)The basis difference was primarily as a result of the Company contributing its investment in three strategic joint ventures with a higher fair value than book value for an investment in FivePoint.

(2)Included in the Company's recorded investments in Homebuilding unconsolidated entities is the Company's 40% ownership of FivePoint. As of February 28, 2026 and November 30, 2025, the carrying amount of the Company's investment was $605.6 million and $585.2 million, respectively.

As of February 28, 2026 and November 30, 2025, the Homebuilding segment's unconsolidated entities had non-recourse debt with completion guarantees of $324.0 million and $511.9 million, respectively.

The Company has an immaterial amount of recourse exposure to debt of the Homebuilding unconsolidated entities in which it has investments. While the Company sometimes guarantees debt of unconsolidated entities, in most instances the Company’s partners have also guaranteed that debt and are required to contribute their shares of any payments. In most instances, the amount of guaranteed debt of an unconsolidated entity is less than the value of the collateral securing it.

As of both February 28, 2026 and November 30, 2025, the fair values of the repayment guarantees, maintenance guarantees, and completion guarantees were immaterial. The Company believes that as of February 28, 2026, in the event it becomes legally obligated to perform under a guarantee of the obligation of a Homebuilding unconsolidated entity due to a triggering event under a guarantee, the collateral would be sufficient to repay at least a significant portion of the obligation or the Company and its partners would contribute additional capital into the venture. In certain instances, the Company has placed performance letters of credit and surety bonds with municipalities with regard to obligations of its joint ventures (see Note 7 of the Notes to Condensed Consolidated Financial Statements). The details related to these are unchanged from the disclosure in the Company's Notes to the Financial Statements section in its 2025 Form 10-K.

The Upward America Venture LP (“Upward America”) is an investment fund that acquires new single-family homes in high growth markets across the United States and rents them to the people who will live in them. Upward America could raise equity commitments totaling $1.0 billion. The commitments are primarily from institutional investors, including $78.1 million committed by the Company. As of February 28, 2026 and November 30, 2025, the carrying amount of the Company's investment in Upward America was $12.4 million and $13.8 million, respectively.

Multifamily Unconsolidated Entities

The unconsolidated joint ventures in which the Multifamily segment has investments usually finance their activities with a combination of partner equity and debt financing. In connection with many of the bank loans to the Multifamily unconsolidated joint ventures, the Company (or entities related to them) has been required to give guarantees of completion and cost over-runs to the lenders and partners. Those completion guarantees may require that the guarantors complete the construction of the improvements for which the financing was obtained. Additionally, the Company guarantees the construction costs of the project as construction cost over-runs would be paid by the Company. Generally, these payments would increase the Company's investment in the entities and would increase its share of funds the entities distribute to the Company after the achievement of certain thresholds. The details related to these are unchanged from the disclosure in the Company's Notes to the Financial Statements section in its 2025 Form 10-K. As of both February 28, 2026 and November 30, 2025, the fair value of the completion guarantees was immaterial. As of February 28, 2026 and November 30, 2025, the Multifamily segment's unconsolidated entities had non-recourse debt with completion guarantees of $727.6 million and $798.1 million, respectively. The decrease in the non-recourse debt with completion guarantees was due to completion of projects and sale of joint ventures' rental operation projects and investments in various rental projects.

In many instances, the Multifamily segment is appointed as the construction, development and property manager for its Multifamily unconsolidated entities and receives fees for performing this function. Each Multifamily real estate investment trust, JV and fund has unilateral decision-making rights related to development and other sales activity through its executive committee or asset management committee. The Multifamily segment also provides general contractor services for construction

Lennar Corporation and Subsidiaries

Notes to Condensed Consolidated Financial Statements (Unaudited) (Continued)

of some of the rental properties owned by unconsolidated entities in which the Company has investments. In some situations, the Multifamily segment sells land to various joint ventures and funds. The details of the activity were as follows:

			Three Months Ended February 28,
(In thousands)			2026						2025
General contractor services, net of deferrals			$	53,243					30,450
General contractor costs			51,880						28,314
Land sales to joint ventures			—						17,330
Management fee income, net of deferrals			2,843						6,941

The Multifamily segment includes managing and investing in Multifamily Venture Fund I LP (“LMV I”), Multifamily Venture Fund II LP (“LMV II”), Canada Pension Plan Investments Fund (the “CPPIB Fund”) and a joint venture with an institutional investor (the “Institutional JV”), which are long-term multifamily development investment vehicles involved in the development and construction of class-A multifamily assets. As of February 28, 2026, the Company has a $28.2 million investment in the CPPIB Fund. The Company's stated ownership percentage in the Institutional JV is 10%. As of February 28, 2026, the Company holds a $41.1 million investment in the Institutional JV. Additional dollars will be committed as opportunities are identified by the CPPIB Fund and the Institutional JV.

In December 2025, the Company sold a majority interest in Quarterra Group, Inc. ("Quarterra"), a subsidiary of the Multifamily segment, to TPG Real Estate (“TPG”), thus retaining a non-controlling interest. The sale of Quarterra to TPG did not have a material impact on the Company's condensed consolidated financial statements.

Details of LMV I and LMV II are included below:

			At February 28, 2026
(In thousands)			LMV I						LMV II
Lennar's carrying value of investments			$	71,667					194,320
Equity commitments			2,204,016						1,257,700
Equity commitments called			2,154,328						1,229,585
Lennar's equity commitments			504,016						381,000
Lennar's equity commitments called			500,381						371,492
Lennar's remaining commitments (1)			3,635						9,508
Distributions to Lennar during the three months ended February 28, 2026			37,083						24,425

(1)While there are remaining commitments with LMV I, there are no plans for additional capital calls.

During the second half of fiscal 2024, the LMV I partners decided to liquidate and sell all of its 38 rental operation projects as the fund has come to the end of its contractual life. During the year ended November 30, 2025, 35 LMV I rental operation projects were sold to various third-party buyers. During the three months ended February 28, 2026, one additional LMV I rental operation project was sold to third-party buyers.

Lennar Other Unconsolidated Entities

Lennar Other's unconsolidated entities include fund investments the Company retained when it sold the Rialto assets and investment management platform in 2018, as well as strategic investments in technology companies and investment funds. The Company's investment in the Rialto funds totaled $128.6 million and $133.0 million as of February 28, 2026 and November 30, 2025, respectively. In addition, the Company is entitled to a portion of the carried interest distributions by those funds. The Company also had strategic technology investments in unconsolidated entities and investment funds accounted for under the equity method of accounting with a carrying value of $232.5 million and $235.0 million, as of February 28, 2026 and November 30, 2025, respectively.

Lennar Corporation and Subsidiaries

Notes to Condensed Consolidated Financial Statements (Unaudited) (Continued)

**(4)**Stockholders' Equity

The following tables reflect the changes in equity attributable to both Lennar Corporation and the noncontrolling interests of its consolidated subsidiaries in which it has less than a 100% ownership interest for the three months ended February 28, 2026 and 2025:

			Three Months Ended February 28, 2026
(In thousands)			Total Equity						Class A Common Stock						Class B Common Stock						Additional Paid - in Capital						Treasury Stock						Accumulated Other Comprehensive Income (Loss)						Retained Earnings						Noncontrolling Interests
Balance at November 30, 2025			$	22,140,609					26,158						3,660						5,909,726						(6,457,609)						6,011						22,471,471						181,192
Net earnings (including net earnings attributable to noncontrolling interests)			233,361						—						—						—						—						—						229,383						3,978
Employee stock and directors plans			(8,419)						161						—						21,630						(30,210)						—						—						—
Purchases of treasury stock			(239,497)						—						—						—						(239,497)						—						—						—
Amortization of restricted stock			62,377						—						—						62,377						—						—						—						—
Cash dividends			(123,480)						—						—						—						—						—						(123,480)						—
Receipts related to noncontrolling interests			1,083						—						—						—						—						—						—						1,083
Payments related to noncontrolling interests			(10,709)						—						—						—						—						—						—						(10,709)
Non-cash purchase or activity of noncontrolling interests, net			(22,657)						—						—						—						—						—						—						(22,657)
Total other comprehensive loss, net of tax			(405)						—						—						—						—						(405)						—						—
Balance at February 28, 2026			$	22,032,263					26,319						3,660						5,993,733						(6,727,316)						5,606						22,577,374						152,887

			Three Months Ended February 28, 2025
(In thousands)			Total Equity						Class A Common Stock						Class B Common Stock						Additional Paid - in Capital						Treasury Stock						Accumulated Other Comprehensive Income (Loss)						Retained Earnings						Noncontrolling Interests
Balance at November 30, 2024			$	28,021,225					25,998						3,660						5,729,434						(3,649,564)						7,529						25,753,078						151,090
Net earnings (including net earnings attributable to noncontrolling interests)			528,713						—						—						—						—						—						519,526						9,187
Employee stock and directors plans			(64,393)						135						—						232						(64,760)						—						—						—
Purchases of treasury stock			(709,715)						—						—						—						(709,715)						—						—						—
Amortization of restricted stock			84,085						—						—						84,085						—						—						—						—
Cash dividends			(131,646)						—						—						—						—						—						(131,646)						—
Receipts related to noncontrolling interests			11,328						—						—						—						—						—						—						11,328
Payments related to noncontrolling interests			(5,389)						—						—						—						—						—						—						(5,389)
Millrose Properties, Inc. spin-off			(4,838,827)						—						—						—						—						—						(4,838,827)						—
Non-cash purchase or activity of noncontrolling interests, net			(27,859)						—						—						(949)						—						—						—						(26,910)
Total other comprehensive loss, net of tax			(178)						—						—						—						—						(178)						—						—
Balance at February 28, 2025			$	22,867,344					26,133						3,660						5,812,802						(4,424,039)						7,351						21,302,131						139,306

On April 8, 2026, the Company's Board of Directors declared a quarterly cash dividend of $0.50 per share on both its Class A and Class B common stock, payable on May 6, 2026 to holders of record at the close of business on April 22, 2026. On February 19, 2026, the Company paid a quarterly cash dividend of $0.50 per share for both of its Class A and Class B common stock to holders of record at the close of business on February 4, 2026. The Company approved and paid cash dividends of $0.50 per share for each of the four quarters of 2025 for both its Class A and Class B common stock.

Lennar Corporation and Subsidiaries

Notes to Condensed Consolidated Financial Statements (Unaudited) (Continued)

In January 2024, the Company's Board of Directors authorized an increase to its stock repurchase program to enable it to repurchase up to an additional $5 billion in value of its outstanding Class A or Class B common stock. Repurchases are authorized to be made in open-market or private transactions. This authorization was in addition to what was remaining of the Company's March 2022 stock repurchase program. The repurchase authorization has no expiration date. At February 28, 2026, the Company has a remaining authorization to repurchase $1.5 billion in value of the Company's Class A or Class B common stock. The following table sets forth the repurchases of the Company's Class A and Class B common stock under the authorized repurchase programs:

			Three Months Ended February 28,
			2026												2025
(Dollars in thousands, except price per share amounts)			Class A						Class B						Class A						Class B
Shares repurchased			1,836,885						163,115						4,770,000						458,805
Total purchase price			$	219,271					$	17,816					$	644,618					$	58,121
Average price per share			$	119.37					$	109.22					$	135.14					$	126.68

**(5)**Income Taxes

The provision for income taxes and effective tax rate were as follows:

			Three Months Ended
			February 28,
(Dollars in thousands)			2026						2025
Provision for income taxes			$69,092						169,525
Effective tax rate (1)			23.1%						24.6%

(1)For the three months ended February 28, 2026 and 2025, the effective tax rate included state income tax expense and non-deductible executive compensation, partially offset by tax credits. The decrease in the effective tax rate for the three months ended February 28, 2026 compared to the prior period was primarily due to a charitable contribution of appreciated stock.

**(6)**Earnings Per Share

Basic earnings per share is computed by dividing net earnings attributable to common stockholders by the weighted average number of common shares outstanding for the period. Diluted earnings per share reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock or resulted in the issuance of common stock that then shared in the earnings of the Company.

All outstanding nonvested shares that contain non-forfeitable rights to dividends or dividend equivalents that participate in undistributed earnings with common stock are considered participating securities and are included in computing earnings per share pursuant to the two-class method. The two-class method is an earnings allocation formula that determines earnings per share for each class of common stock and participating securities according to dividends or dividend equivalents and participation rights in undistributed earnings. The Company’s restricted common stock (“nonvested shares”) is considered participating securities.

Basic and diluted earnings per share were calculated as follows:

			Three Months Ended
			February 28,
(In thousands, except per share amounts)			2026						2025
Numerator:
Net earnings attributable to Lennar			$	229,383					519,526
Less: distributed earnings allocated to nonvested shares			1,170						955
Less: undistributed earnings allocated to nonvested shares			1,164						3,862
Numerator for basic and diluted earnings per share			227,049						514,709
Denominator:
Denominator for basic and diluted earnings per share - weighted average common shares outstanding			244,438						262,733
Basic and diluted earnings per share			$	0.93					1.96

Lennar Corporation and Subsidiaries

Notes to Condensed Consolidated Financial Statements (Unaudited) (Continued)

**(7)**Homebuilding Senior Notes and Other Debts Payable

(Dollars in thousands)			At February 28, 2026						At November 30, 2025
Unsecured delayed draw term loan facility due 2028			$	1,710,000					1,710,000
5.25% senior notes due 2026			400,304						400,608
5.00% senior notes due 2027			350,494						350,590
4.75% senior notes due 2027			698,990						698,845
5.20% senior notes due 2030			694,478						694,165
Mortgage notes on land and other debt			211,193						230,478
			$	4,065,459					4,084,686

The carrying amounts of the senior notes in the table above are net of debt issuance costs of $6.5 million and $7.0 million as of February 28, 2026 and November 30, 2025, respectively.

In May 2025, the Company also entered into a new unsecured delayed draw term loan facility with an initial committed borrowing availability of approximately $1.6 billion (the “Delayed Draw Term Loan Facility”), which can be increased by an additional $500 million via an accordion feature. In July 2025, the total commitment under the Delayed Draw Term Loan Facility was increased by $100 million, thereby increasing the borrowing available capacity to $1.7 billion. Once drawn, the Company may at any time prepay the loan, in whole or in part, without premium or penalty. The term loan’s maturity date is three years from the initial effectiveness date of the credit agreement or May 2028, and at the Company’s discretion, it can be extended for an additional year until May 2029, subject to the satisfaction of certain conditions. Under the Delayed Draw Term Loan Facility, interest rates equal the adjusted term SOFR determined for the interest period plus the applicable margin. As of February 28, 2026, the Company had outstanding borrowings of $1.7 billion under the credit agreement governing its new unsecured Delayed Draw Term Loan Facility.

The maximum available borrowings on the Company's unsecured revolving credit facility (the "Credit Facility") were as follows:

(In thousands)						At February 28, 2026
Commitments - maturing in May 2027						$	225,000
Commitments - maturing in November 2029						2,900,000
Total commitments						$	3,125,000
Accordion feature						375,000
Total maximum borrowings capacity						$	3,500,000

The proceeds available under the Credit Facility, which are subject to specified conditions for borrowing, may be used for working capital and general corporate purposes. The credit agreement also provides that up to $477.5 million in commitments may be used for letters of credit. The maturity, debt covenants and details of the Credit Facility are unchanged from the disclosure in the Company's Financial Condition and Capital Resources section in its 2025 Form 10-K. In addition to the Credit Facility, the Company has other letter of credit facilities with different financial institutions.

The Company's processes for posting performance and financial letters of credit and surety bonds are unchanged from the disclosure in the Company's Financial Condition and Capital Resources section in its 2025 Form 10-K. The Company's outstanding letters of credit and surety bonds are disclosed below:

(In thousands)						At February 28, 2026						At November 30, 2025
Performance letters of credit						$	2,039,975					1,963,643
Financial letters of credit						853,997						926,304
Surety bonds						5,646,906						5,614,807
Anticipated future costs primarily for site improvements related to performance surety bonds						3,114,409						3,056,582

The Company's outstanding senior notes are guaranteed by certain of its wholly-owned subsidiaries, which are primarily homebuilding subsidiaries. These guarantees are full and unconditional. The guarantors of the Company's senior notes are currently those subsidiaries that also guarantee the Company's letter of credit facilities, its Credit Facility and Delayed Draw Term Loan Facility. Under the indentures governing the Company's senior notes, guarantees may be suspended or released under certain circumstances. Other than as set forth in the Supplemental Financial Information, the terms of guarantees are unchanged from the disclosure in the Company's Financial Condition and Capital Resources section in its 2025 Form 10-K.

Lennar Corporation and Subsidiaries

Notes to Condensed Consolidated Financial Statements (Unaudited) (Continued)

**(8)**Financial Instruments and Fair Value Disclosures

The following table presents the carrying amounts and estimated fair values of financial instruments held or issued by the Company at February 28, 2026 and November 30, 2025, using available market information and what the Company believes to be appropriate valuation methodologies. Considerable judgment is required in interpreting market data to develop the estimates of fair value. The use of different market assumptions and/or estimation methodologies might have a material effect on the estimated fair value amounts. The table excludes cash and cash equivalents, restricted cash, receivables, net and accounts payable, all of which had fair values approximating their carrying amounts due to the short maturities and liquidity of these instruments.

									At February 28, 2026												At November 30, 2025
(In thousands)			Fair Value Hierarchy						Carrying Amount						Fair Value						Carrying Amount						Fair Value
ASSETS
Financial Services:
Loans held-for-sale			Level 3						$	15,278					15,278						15,547						15,547
Investments held-to-maturity			Level 3						130,997						130,156						132,868						132,032
LIABILITIES
Homebuilding senior notes and other debts payable, net			Level 2						$	4,065,459					4,106,171						4,084,686						4,122,169
Financial Services notes and other debts payable, net			Level 2						1,191,006						1,191,448						1,790,309						1,790,789

The following methods and assumptions are used by the Company in estimating fair values:

Financial Services - The fair values above are based on quoted market prices, if available. The fair values for instruments that do not have quoted market prices are estimated by the Company on the basis of discounted cash flows or other financial information. The fair value of residential loans held-for-sale for which there is no active market for similar mortgage loans is determined using an independent third-party valuation that uses a discounted cash flow model to estimate fair value and is categorized as Level 3. The key assumptions used in the model, which are generally unobservable inputs, are mortgage prepayment rates, default rates, loss severity rates, and discount rates. Loans held-for-sale are carried at the lower of cost or fair value. For notes and other debts payable, the fair values approximate their carrying value due to variable interest pricing terms and the short-term nature of the majority of the borrowings.

Homebuilding - For senior notes and other debts payable, the fair value of fixed-rate borrowings is primarily based on quoted market prices and the fair value of variable-rate borrowings is based on expected future cash flows calculated using current market forward rates.

Fair Value Measurements:

GAAP provides a framework for measuring fair value, expands disclosures about fair value measurements and establishes a fair value hierarchy which prioritizes the inputs used in measuring fair value summarized as follows:

Level 1: Fair value determined based on quoted prices in active markets for identical assets.

Level 2: Fair value determined using significant other observable inputs.

Level 3: Fair value determined using significant unobservable inputs.

The Company’s financial instruments measured at fair value on a recurring basis are summarized below:

			Fair Value Hierarchy						Fair Value at
(In thousands)						February 28, 2026						November 30, 2025
Financial Services Assets:
Residential loans held-for-sale			Level 2						$	1,756,684					2,170,677
LMF Commercial loans held-for-sale			Level 3						74,793						26,401
Mortgage servicing rights			Level 3						2,783						3,266
Forward options			Level 1						2,076						986
Lennar Other Assets:
Investments in equity securities			Level 1						$	108,012					232,372
Investments available-for-sale			Level 3						38,655						39,060

Lennar Corporation and Subsidiaries

Notes to Condensed Consolidated Financial Statements (Unaudited) (Continued)

Residential and LMF Commercial loans held-for-sale in the table above include:

			At February 28, 2026												At November 30, 2025
(In thousands)			Aggregate Principal Balance												Change in Fair Value						Aggregate Principal Balance												Change in Fair Value
Residential loans held-for-sale			$	1,760,512											(3,828)						2,206,966												(36,289)
LMF Commercial loans held-for-sale			76,250												(1,457)						26,525												(124)

The estimated fair values of the Company's financial instruments have been determined by using available market information and what the Company believes to be appropriate valuation methodologies. Considerable judgment is required in interpreting market data to develop the estimates of fair value. The use of different market assumptions and/or estimation methodologies might have a material effect on the estimated fair value amounts. The following methods and assumptions are used by the Company in estimating fair values.

Financial Services residential loans held-for-sale - The fair value of residential loans held-for-sale that trade in active secondary markets is determined based upon quoted market prices for similar mortgage loans, adjusted for credit risk and other loan characteristics, and is categorized as Level 2. The Company recognizes the fair value of its rights to service a mortgage loan as revenue upon entering into an interest rate lock loan commitment with a borrower. The fair value of these are included in Financial Services’ loans held-for-sale as of February 28, 2026 and November 30, 2025. Fair value of servicing rights is determined based on actual sales of servicing rights on loans with similar characteristics.

LMF Commercial loans held-for-sale - The fair value of commercial loans held-for-sale is calculated from model-based techniques that use discounted cash flow assumptions and the Company’s own estimates of CMBS spreads, market interest rate movements and the underlying loan credit quality. The details and methods of the calculation are unchanged from the fair value disclosure in the Company's Notes to the Financial Statements section in its 2025 Form 10-K. These methods use unobservable inputs in estimating a discount rate that is used to assign a value to each loan. While the cash payments on the loans are contractual, the discount rate used and assumptions regarding the relative size of each class in the CMBS capital structure can significantly impact the valuation. Therefore, the estimates used could differ materially from the fair value determined when the loans are sold to a securitization trust.

Mortgage servicing rights - Financial Services records mortgage servicing rights when it sells loans on a servicing-retained basis or through the acquisition or assumption of the right to service a financial asset. 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 delinquency rates and are noted below:

			February 28, 2026						November 30, 2025
Unobservable inputs:
Mortgage prepayment rate			9%						9%
Discount rate			13%						13%
Delinquency rate			14%						11%

Forward contracts, forward options and interest rate swaps - Fair value of forward contracts, forward options and interest rate swaps is based on independent quoted market prices for similar financial instruments. The fair value of these are included in Financial Services' other assets and other liabilities and the Company recognizes the changes in the fair value of the premium paid as Financial Services' revenues.

Lennar Other investments in equity securities - The fair value of investments in equity securities was calculated based on independent quoted market prices. The Company’s investments in equity securities were recorded at fair value with all changes in fair value recorded to Lennar Other gains (losses) from technology investments on the Company’s condensed consolidated statements of operations and comprehensive income (loss).

Lennar Other investments available-for-sale - The fair value of investments available-for-sale is calculated from model-based techniques that use discounted cash flow assumptions and the Company’s own estimates of CMBS spreads, market interest rate movements and the underlying loan credit quality. Loan values are calculated by allocating the change in value of an assumed CMBS capital structure to each loan. The value of an assumed CMBS capital structure is calculated, generally, by discounting the cash flows associated with each CMBS class at market interest rates and at the Company’s own estimate of CMBS spreads.

Lennar Corporation and Subsidiaries

Notes to Condensed Consolidated Financial Statements (Unaudited) (Continued)

The changes in fair values for Level 1 and Level 2 financial instruments measured on a recurring basis are shown below by financial instrument and financial statement line item:

			Three Months Ended
			February 28,
(In thousands)			2026						2025
Changes in fair value included in Financial Services revenues:
Loans held-for-sale			$	32,402					30,403
Mortgage loan commitments			7,210						33,504
Forward contracts			(12,983)						(48,463)
Interest rate swaps			(9,272)						(3,296)
Changes in fair value included in Lennar Other gains (losses) from technology investments:
Investments in equity securities			$	14,838					(62,503)
Changes in fair value included in other comprehensive loss, net of tax:
Lennar Other investments available-for-sale			$	(405)					(178)

Interest on Financial Services loans held-for-sale and LMF Commercial loans held-for-sale measured at fair value is calculated based on the interest rate of the loans and recorded as revenues in the Financial Services’ statement of operations.

The following table sets forth the reconciliation of the beginning and ending balance for the Level 3 recurring fair value measurements in the Company's Financial Services segment:

			Three Months Ended February 28,
			2026															2025
(In thousands)			Mortgage servicing rights						LMF Commercial loans held-for-sale												Mortgage servicing rights						LMF Commercial loans held-for-sale
Beginning balance			$	3,266					26,401												3,463						50,316
Purchases/loan originations			72						83,050												26						127,965
Sales/loan originations sold, including those not settled			—						(33,325)												—						(94,887)
Disposals/settlements			(51)						—												(97)						—
Changes in fair value (1)			(504)						(1,457)												(95)						(281)
Interest and principal paydowns			—						124												—						(319)
Ending balance			$	2,783					74,793												3,297						82,794

(1)Changes in fair value for LMF Commercial loans held-for-sale and Financial Services mortgage servicing rights are included in Financial Services' revenues.

The Company’s assets measured at fair value on a nonrecurring basis are those assets for which the Company has recorded valuation adjustments and write-offs. The fair values included in the table below represent only those assets whose carrying values were adjusted to fair value during the respective periods disclosed. The assets measured at fair value on a nonrecurring basis are summarized below:

									Three Months Ended February 28,
									2026																		2025
(In thousands)			Fair Value Hierarchy						Carrying Value						Fair Value						Total Losses, Net (1)						Carrying Value						Fair Value						Total Losses, Net (1)
Homebuilding - non-financial assets:
Finished homes and construction in progress (2)			Level 3						$	404,294					371,507						(32,787)						259,540						239,197						(20,343)
Land and land under development (2)			Level 3						—						—						—						190						134						(56)
Deposits and pre-acquisition costs on real estate (3)			Level 3						5,341						—						(5,341)						268						—						(268)
Financial Services - financial assets:
Loans held-for-sale (4)			Level 3						$	15,317					15,169						(148)						—						—						—
Multifamily - non-financial assets:
Investments in unconsolidated entities (5)			Level 3						$	—					—						—						7,594						—						(7,594)

(1)Represents losses due to valuation adjustments and deposit and pre-acquisition write-offs recorded during the respective periods.

(2)Valuation adjustments for finished homes and construction in progress, and land and land under development were included in Homebuilding costs and expenses in the Company's condensed consolidated statements of operations and comprehensive income (loss).

(3)Forfeited deposits and write-off of pre-acquisition costs on real estate were included in Homebuilding costs and expenses in the Company's condensed consolidated statements of operations and comprehensive income (loss).

Lennar Corporation and Subsidiaries

Notes to Condensed Consolidated Financial Statements (Unaudited) (Continued)

(4)Changes in fair value below amortized cost basis are recognized through a valuation allowance, with the adjustment included in Financial Services earnings in the Company's condensed consolidated statements of operations and comprehensive income (loss).

(5)Valuation adjustments related to investments in unconsolidated entities were primarily included in Multifamily other income (expense), net in the Company's condensed consolidated statements of operations and comprehensive income (loss).

Finished homes and construction in progress are included within inventories. Inventories are stated at cost unless the inventory within a community is determined to be impaired, in which case the impaired inventory is written down to fair value. The Company disclosed its accounting policy related to inventories and its review for indicators of impairment in the Summary of Significant Accounting Policies in its 2025 Form 10-K.

The Company estimates the fair value of inventory evaluated for impairment based on market conditions and assumptions made by management at the time the inventory is evaluated, which may differ materially from actual results if market conditions or assumptions change. For example, changes in market conditions and other specific developments or changes in assumptions may cause the Company to re-evaluate its strategy regarding previously impaired inventory, as well as inventory not currently impaired but for which indicators of impairment may arise if market deterioration occurs, and certain other assets that could result in further valuation adjustments and/or additional write-offs of option deposits and pre-acquisition costs due to abandonment of those options contracts.

On a quarterly basis, the Company reviews its active communities for indicators of potential impairments. The table below summarizes communities reviewed for indicators of impairment and communities with valuation adjustments recorded:

																											Communities with valuation adjustments
At or for the Three Months Ended			# of active communities						# of communities with potential indicator of impairment																		# of communities																		Fair Value (in thousands)						Valuation Adjustments (in thousands)
February 28, 2026			1,678						170																		4																		$	27,183					$	5,659
February 28, 2025			1,584						46																		2																		14,934						3,834

The table below summarizes the most significant unobservable inputs used in the Company's discounted cash flow model to determine the fair value of its communities for which the Company recorded valuation adjustments:

			Three Months Ended February 28,
			2026												2025
Unobservable inputs			Range												Range
Average selling price (1)			$166,000			—			310,000						215,000			—			571,000
Absorption rate per quarter (homes)			7			—			19						5			—			7
Discount rate			20%												20%

(1)Represents the projected average selling price on future deliveries for communities in which the Company recorded valuation adjustments during both the three months ended February 28, 2026 and 2025.

The Company disclosed its accounting policy related to investments in unconsolidated entities and its review for indicators of impairment for the long-lived assets of an unconsolidated entity and the decline in the fair value of an investment below the carrying value in the Summary of Significant Accounting Policies in its 2025 Form 10-K.

The Company evaluates if a decrease in the fair value of an investment below the carrying value is other-than-temporary. This evaluation includes certain critical assumptions made by management: (1) projected future distributions from the unconsolidated entities, (2) discount rates applied to the future distributions, (3) the length of the time and the extent to which the market value has been less than cost and (4) various other factors, which include age of the venture, relationships with the other partners and banks, general economic market conditions, land status, and liquidity needs of the unconsolidated entity. The Company generally estimates the fair value of an investment in an unconsolidated entity by using a cash flow analysis for estimated future net distributions from the unconsolidated entity, subject to the perceived risks associated with the unconsolidated entity’s cash flow streams. During the three months ended February 28, 2026, the Company evaluated the fair value of its investments in unconsolidated entities using a cash flow analysis and concluded that the investments had no other-than-temporary impairment. During the three months ended February 28, 2025, the Company evaluated the fair value of its investments in unconsolidated entities using a cash flow analysis and concluded that the investments had an other-than-temporary impairment of $7.6 million included in Multifamily other income (expense), net in the Company's condensed consolidated statements of operations and comprehensive income (loss).

The Company estimates the fair value of investments in unconsolidated entities evaluated for impairment based on market conditions and assumptions made by management at the time the investment is evaluated, which may differ materially from actual results if market conditions or assumptions change.

Lennar Corporation and Subsidiaries

Notes to Condensed Consolidated Financial Statements (Unaudited) (Continued)

**(9)**Variable Interest Entities

During the three months ended February 28, 2026, the Company evaluated the joint venture (“JV”) agreements of its JVs that were formed or that had reconsideration events, such as changes in the governing documents or to debt arrangements. Based on the Company's evaluation, there were no variable interest entities ("VIEs") that were consolidated or deconsolidated during the three months ended February 28, 2026.

The carrying amount of the Company's consolidated VIEs' assets and non-recourse liabilities are disclosed in the footnote to the condensed consolidated balance sheets.

A VIE’s assets can only be used to settle obligations of that VIE. The VIEs are not guarantors of the Company’s senior notes or other debts payable. The assets held by a VIE are usually collateral for that VIE’s debt. The Company and other partners do not generally have an obligation to make capital contributions to a VIE unless the Company and/or the other partner(s) have entered into debt guarantees with VIE’s lenders. Other than debt guarantee agreements with VIE’s lenders, there are no liquidity arrangements or agreements to fund capital or purchase assets that could require the Company to provide financial support to a VIE. While the Company has option contracts to purchase land from certain of its VIEs, the Company is not required to purchase the assets and could walk away from the contracts, but that would require forfeiture of deposits and pre-acquisition costs.

Unconsolidated VIEs

The Company’s recorded investments in VIEs that are unconsolidated and related estimated maximum exposure to loss were as follows:

			At February 28, 2026												At November 30, 2025
(In thousands)			Investments in Unconsolidated VIEs						Lennar’s Maximum Exposure to Loss						Investments in Unconsolidated VIEs						Lennar’s Maximum Exposure to Loss
Homebuilding (1)			$	794,825					809,433						824,241						861,679
Multifamily (2)			379,061						380,515						167,873						169,364
Financial Services (3)			133,428						133,428						135,396						135,396
Lennar Other (4)			103,901						103,901						105,151						105,151
			$	1,411,215					1,427,277						1,232,661						1,271,590

(1)As of February 28, 2026 and November 30, 2025, the Company's maximum exposure to loss of Homebuilding's investments in unconsolidated VIEs was limited to its investments in unconsolidated VIEs. In addition, as of February 28, 2026 and November 30, 2025, there was recourse debt of VIEs of $8.2 million and $30.1 million, respectively.

(2)As of both February 28, 2026 and November 30, 2025, the Company's maximum exposure to loss of Multifamily's investments in unconsolidated VIEs was primarily limited to its investments in the unconsolidated VIEs. The increase was primarily due to LMV II becoming a VIE in anticipation of future capital contributions.

(3)As of both February 28, 2026 and November 30, 2025, the Company's maximum exposure to loss of the Financial Services segment was limited to its investment in the unconsolidated VIEs and primarily related to the Financial Services' CMBS held-to-maturity investments.

(4)As of both February 28, 2026 and November 30, 2025, the Company's maximum recourse exposure to loss of the Lennar Other segment was limited to its investments in the unconsolidated VIEs.

The Company and its JV partners generally fund JVs as needed and in accordance with business plans to allow the entities to finance their activities. Because such JVs are expected to make future capital calls in order to continue to finance their activities, the entities are determined to be VIEs as of February 28, 2026 in accordance with ASC 810 due to insufficient equity at risk. While these entities are VIEs, the Company has determined that the power to direct the activities of the VIEs that most significantly impact the VIEs’ economic performance is generally shared and the Company and its partners are not de-facto agents. While the Company generally manages the day-to-day operations of the VIEs, each of these VIEs has an executive committee made up of representatives from each partner. The members of the executive committee have equal votes and major decisions require unanimous consent and approval from all members. The Company does not have the unilateral ability to exercise participating voting rights without partner consent.

There are no liquidity arrangements or agreements to fund capital or purchase assets that could require the Company to provide financial support to the VIEs. Except for the unconsolidated VIEs discussed above, the Company and the other partners did not guarantee any debt of the other unconsolidated VIEs.

Option Contracts

The Company has access to land through option contracts, which generally enable it to control portions of properties owned by third parties (including land banks) until the Company has determined whether to exercise the options. All deposits and pre-acquisition costs on real estate, including option maintenance fees paid to land banks, are capitalized on the condensed consolidated balance sheet and are allocated to the land basis when the land is acquired.

Lennar Corporation and Subsidiaries

Notes to Condensed Consolidated Financial Statements (Unaudited) (Continued)

The Company evaluates option contracts with third-party land holding companies for land to determine whether they are VIEs and, if so, whether the Company is the primary beneficiary of certain of these option contracts. Although the Company does not have legal title to the optioned land, if the Company is deemed to be the primary beneficiary and makes a significant deposit or pre-acquisition cost investment for optioned land, or is otherwise economically compelled to takedown the optioned land, it may need to consolidate the land under option at the purchase price of the optioned land. As of February 28, 2026, land under option with third parties that the Company was compelled to takedown was $1.0 billion, of which $267.8 million were land purchase contract obligations due to land banks upon maturity of the contracts. The Company's intention is to have other land banks close on the land purchase commitments and the Company will option the land from the land banks. Land under option with third parties is included in consolidated inventory not owned. Consolidated inventory not owned related to land financing transactions, which are land sale transactions that did not meet the criteria for revenue recognition and derecognition of land by the Company as a result of the Company maintaining an option to repurchase the land in the future, was $631.0 million as of February 28, 2026.

During the three months ended February 28, 2026, consolidated inventory not owned decreased by $50.1 million with a $28.7 million decrease to liabilities related to consolidated inventory not owned in the accompanying condensed consolidated balance sheet as of February 28, 2026. The decrease was primarily due to takedowns. To reflect the purchase price of the homesite takedowns, the Company had a net reclass related to option deposits from consolidated inventory not owned to finished homes and construction in progress in the accompanying condensed consolidated balance sheet as of February 28, 2026. The liabilities related to consolidated inventory not owned primarily represent the difference between the option exercise prices for the optioned land and the Company’s cash deposits.

The Company's exposure to losses on its option contracts with third parties and unconsolidated entities were as follows:

(In thousands)			At February 28, 2026						At November 30, 2025
Non-refundable option deposits and pre-acquisition costs on real estate			$	6,735,971					6,301,909
Non-refundable option deposits included in consolidated inventory not owned			198,587						220,025
Letters of credit in lieu of cash deposits under certain land and option contracts			423,767						443,277

For the three months ended February 28, 2026, the Company purchased a significant portion of land from three land banks (the “Land Banks”). There were no amounts due to the Land Banks as of February 28, 2026, resulting from land purchases as the full purchase price of the land is typically paid to the Land Banks at closing when land is purchased by the Company. As of February 28, 2026, the total deposits and pre-acquisition costs on real estate relating to contracts with the Land Banks were $2.8 billion, which are included in the corresponding line item presented in the table above. As of February 28, 2026, total consolidated inventory not owned and liabilities related to consolidated inventory not owned for the option contracts with the Land Banks were $449.6 million and $349.8 million. As of February 28, 2026, total deposits and pre-acquisition costs on real estate relating to option contracts with Millrose were $1.1 billion.

The Company believes there are other land banks that could be substituted should the Land Banks become unavailable or non-competitive with respect to land banking of future land. Thus, the Company does not believe that the loss of the Company’s relationship with these Land Banks would have a material adverse effect on the Company’s business, financial condition or cash flows.

Lennar Corporation and Subsidiaries

Notes to Condensed Consolidated Financial Statements (Unaudited) (Continued)

**(10)**Commitments and Contingent Liabilities

The Company is involved in various claims, legal proceedings, and regulatory matters that arise in the ordinary course of business, including, but not limited to, matters related to construction defects, product liability, warranty claims, land use, zoning and permitting issues, environmental matters, contract disputes, employment matters, and other legal matters incidental to its business operations.

The Company follows established accounting standards to identify, evaluate, record, and disclose legal contingencies. A liability is recorded when it is probable that a loss has been incurred and the amount of the loss can be reasonably estimated. The Company does not record liabilities for contingencies when the likelihood of loss is remote or if reasonably possible, or when a probable loss cannot be reasonably estimated. If a loss is probable or reasonably possible, the Company discloses the nature of the contingency and, if estimable, the possible range of loss.

In assessing contingencies, management considers, among other factors, the nature of the claim, the status of the matter, the advice of legal counsel, the Company's historical experience with similar matters, insurance coverage, and recoveries, if any, and other relevant facts and circumstances. Estimates of loss contingencies are inherently subjective and involve significant judgment. As a result, actual outcomes may differ materially from amounts recorded or disclosed.

Certain of the Company's legal matters are covered, in whole or in part, by insurance policies subject to applicable retentions, deductibles, and policy limits, as well as through contractual indemnities. Recoveries, if any, are recognized only when realization is considered probable.

As of February 28, 2026, the Company has recorded accruals for loss contingencies that management believes are probable and reasonably estimable. These accruals are included in Other liabilities in the condensed consolidated balance sheets. For these matters as well as for matters for which a loss is reasonably possible but not probable, management believes that any reasonably possible losses, either individually or in the aggregate, would not have a material adverse effect on the Company’s consolidated financial position. However, the ultimate resolution of these matters could have a material effect on the Company’s results of operations or cash flows in a particular period.

The Company cannot predict with certainty the outcome or timing of resolution of its pending matters, and no assurance can be given that the results will not differ from management’s expectations.

Product Warranty

Warranty and similar reserves for homes are established at an amount estimated to be adequate to cover potential costs for materials and labor with regard to warranty-type claims expected to be incurred subsequent to the delivery of a home. Reserves are determined based on historical data and trends with respect to similar product types and geographical areas. The activity in the Company’s warranty reserve, which is included in Homebuilding other liabilities, was as follows:

			Three Months Ended
			February 28,
(In thousands)			2026						2025
Warranty reserve, beginning of the period			$	400,591					446,240
Warranties issued			42,520						60,468
Adjustments to pre-existing warranties from changes in estimates (1)			13,006						2,562
Payments			(74,451)						(80,344)
Warranty reserve, end of period			$	381,666					428,926

(1)The adjustments to pre-existing warranties from changes in estimates during the three months ended February 28, 2026 and 2025 primarily related to specific claims in certain of the Company's homebuilding communities and other adjustments.

Leases

The Company has entered into agreements to lease certain office facilities and equipment under operating leases. The Company recognizes lease expense for these leases on a straight-line basis over the lease term. Right-of-use (“ROU”) assets and lease liabilities are recorded on the balance sheet for all leases, except leases with an initial term of 12 months or less. Many of the Company's leases include options to renew. The exercise of lease renewal options is at the Company's option and therefore renewal option payments have not been included in the ROU assets or lease liabilities. The following table includes additional

Lennar Corporation and Subsidiaries

Notes to Condensed Consolidated Financial Statements (Unaudited) (Continued)

information about the Company's leases:

(Dollars in thousands)			At February 28, 2026						At November 30, 2025
Right-of-use assets			$	252,317					269,011
Lease liabilities			249,851						264,157
Weighted-average remaining lease term (in years)			5.3						5.4
Weighted-average discount rate			4.4%						4.7%

Future minimum payments under the noncancellable leases in effect at February 28, 2026 were as follows:

(In thousands)			Lease Payments
2026			$	65,382
2027			58,181
2028			40,592
2029			28,680
2030			25,193
Thereafter			66,331
Total future minimum lease payments (1)			$	284,359
Less: Interest (2)			34,508
Present value of lease liabilities (2)			$	249,851

(1)Total future minimum lease payments exclude variable lease costs of $33.9 million and short-term lease costs of $3.7 million.

(2)The Company's leases do not include a readily determinable implicit rate. As such, the Company estimated the discount rate for these leases to determine the present value of lease payments at the lease commencement date. As of February 28, 2026, the Company recognized the lease liabilities on its condensed consolidated balance sheets within accounts payable and other liabilities of the respective segments.

The Company's rental expense on lease liabilities was as follows:

			Three Months Ended February 28,
(In thousands)			2026						2025
Rental expense			$	42,565					51,504

In December 2023, the Company purchased its corporate headquarters building in which the Company had previously leased office space. This building contains approximately 213,200 square feet of office space, of which the Company leases approximately 53,000 square feet of unused office space to other tenants. On occasion, the Company may sublease other rented space which is no longer used for the Company's operations. For both the three months ended February 28, 2026 and 2025, the Company had an immaterial amount of sublease income.

Letters of Credits and Surety Bonds

The Company is committed, under various letters of credit, to perform certain development and construction activities and provide certain guarantees in the normal course of business. The Company also had outstanding surety bonds, including performance bonds related to site improvements at various projects (including certain joint ventures) and financial surety bonds. Although significant development and construction activities have been completed, these bonds are generally not released until all development and construction activities are completed (see Note 7 of the Notes to Condensed Consolidated Financial Statements for additional information).

The Company does not presently anticipate any draws upon these letters of credit or surety bonds that would have a material effect on its consolidated financial statements.

Option Agreements

The Company is subject to the usual obligations associated with contractual agreements entered into in routine conduct of its business (including option contracts) for the purchase, development and sale of real estate. The use of option contracts allows the Company to reduce the financial risks associated with long-term land holdings (see Note 9 of the Notes to Condensed Consolidated Financial Statements for additional information).

Loan Servicing

Substantially all of the loans the Financial Services segment originates are sold within a short period on the secondary mortgage market on a servicing-released, non-recourse basis. After the loans are sold, the Company retains potential liability for possible claims by purchasers that breached certain limited industry-standard representations and warranties in the loan sale agreements. Purchasers sometimes try to defray any losses incurred by purporting to have found inaccuracies related to sellers’

Lennar Corporation and Subsidiaries

Notes to Condensed Consolidated Financial Statements (Unaudited) (Continued)

representations and warranties in particular loan sale agreements and seeking to have the Company buy back mortgage loans or compensate them for losses incurred on mortgage loans that the Company has sold. The Company’s mortgage operations have established accruals for possible losses associated with mortgage loans previously originated and sold to investors, which are included in Financial Services’ liabilities in the Company's consolidated balance sheets. These accruals are based upon, among other things, an analysis of repurchase requests received, an estimate of potential repurchase claims not yet received and actual past repurchases and losses through the disposition of affected loans as well as previous settlements. While the Company believes it has adequately reserved for known losses and projected repurchase requests, given the volatility in the mortgage market and the uncertainty regarding the ultimate resolution of these claims, if either actual repurchases or the losses incurred resolving purchase claims exceed the Company’s expectations, additional recourse expense may be incurred.

Forward-Looking Statements

This Quarterly Report on Form 10-Q contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements concern expectations, beliefs, projections, plans and strategies, anticipated events or trends and similar expressions concerning matters that are not historical facts. These forward-looking statements typically include the words “anticipate,” “believe,” “consider,” “estimate,” “expect,” “forecast,” “intend,” “objective,” “plan,” “predict,” “projection,” “seek,” “strategy,” “target,” “will,” “may” or other words of similar meaning. Some of them are opinions formed based upon general observations, anecdotal evidence and industry experience, but that are not supported by specific investigation or analysis.

These forward-looking statements reflect our current views about future events and are subject to risks, uncertainties and assumptions. We wish to caution readers that certain important factors may have affected and could in the future affect our actual results and could cause actual results to differ significantly from what is anticipated by our forward-looking statements. The most important factors that could cause actual results to differ materially from those anticipated by our forward-looking statements include, but are not limited to: slowdowns in real estate markets in regions where we have significant Homebuilding or Multifamily development activities or own a substantial number of single-family homes for rent; decreased demand for our homes, either for sale or for rent, or Multifamily rental apartments; the potential impact of inflation; the impact of increased cost of mortgage financing for homebuyers, increased or continued high interest rates or increased competition in the mortgage industry; supply shortages and increased costs related to construction materials and labor; changes in trade policy affecting our business, including new or increased tariffs, as well as the potential impact of retaliatory tariffs and other penalties that may impact the cost of raw materials and other goods related to our homebuilding business; changes in U.S. and foreign governmental laws, regulations and policies, including retaliatory policies against the United States, that may impact our business operations; cost increases related to real estate taxes and insurance; the effect of increased interest rates with regard to our funds' borrowings or the willingness of the funds to invest in new projects; reductions in the market value of our investments in public companies; natural disasters or catastrophic events for which our insurance may not provide adequate coverage; our inability to successfully execute our strategies, including our land-light strategy; problems exercising options to purchase homesites; a decline in the value of the land and home inventories we maintain and resulting possible future write downs of the carrying value of our real estate assets; the forfeiture of deposits and pre-acquisition costs on real estate related to land purchase options we decide not to exercise; the potential negative impact to our business from public health issues; labor shortages and/or a decrease in the number of potential homebuyers due to increased enforcement of restrictions on immigration; possible unfavorable outcomes in legal proceedings; conditions in the capital, credit and financial markets; and changes in laws, regulations or the regulatory environment affecting our business.

Please see our Annual Report on Form 10-K for the fiscal year ended November 30, 2025 ("2025 Form 10-K"), filed with the Securities and Exchange Commission (the “SEC”) on January 28, 2026 and our other filings with the SEC for a further discussion of these and other risks and uncertainties which could affect our future results. We undertake no obligation, other than those imposed by securities laws, to publicly revise any forward-looking statements to reflect events or circumstances after the date of those statements or to reflect the occurrence of anticipated or unanticipated events.