Pultegroup (PHM) risk factors, FY2024 10-K

Pultegroup's FY2024 10-K, filed Feb 06, 2025, lists 25 risk factors. There is no earlier 10-K to compare against, so the most company-specific risks are listed below.

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Risk factors listed
251 groups
Section length
7k wordsItem 1A

Pultegroup's biggest risks in the FY2024 10-K

  • PulteGroup faces severe exposure to interest rate fluctuations, macroeconomic cycles, and inflationary cost pressures on labor and materials.
  • Operational risks center on land acquisition, skilled labor availability, and secondary mortgage market access.
  • Cybersecurity, climate events, and regulatory compliance represent significant secondary concerns.

The risks most specific to Pultegroup

  • Increases in interest rates, reductions in mortgage availability, or other increases in the effective costs of owning a home have prevented potential customers from buying our homes and adversely affected our business and financial results

    Increases in interest rates and mortgage costs reduce buyer affordability and demand for homes financed largely through Pulte Mortgage.

  • Inflation has resulted in increased costs that we may not be able to recoup and has impacted home affordability and consumer sentiment

    Inflation increases the costs of land, labor, and materials while driving up interest rates and dampening buyer sentiment.

  • Supply shortages and other risks related to the demand for skilled labor and building materials increased costs and delayed deliveries and could continue to do so

    Shortages of skilled labor and materials like lumber, steel, and concrete increase construction costs and delay home deliveries.

  • Our success depends on our ability to acquire land suitable for residential homebuilding in accordance with our land investment criteria

    Competition with other homebuilders makes acquiring suitable finished lots and undeveloped land meeting internal criteria increasingly difficult and costly.

  • Risks Related to Our Business Model and Capital Structure

    We may not realize our deferred tax assets

    Realization of our $77.4 million in deferred tax assets depends on generating sufficient future taxable income against a $22.4 million valuation allowance.

  • Risks Related to Our Business Model and Capital Structure

    Our inability to sell mortgages into the secondary market could significantly reduce our ability to sell homes unless we are willing to become a long-term investor in loans we originate

    Inability to sell originated mortgage loans into the secondary market or to Fannie Mae and Freddie Mac would curtail our financing operations and home sales.

  • Risks Related to Our Business Model and Capital Structure

    We are implementing a new enterprise resource planning system, and challenges with the implementation of the system may impact our business and operations

    A multi-year implementation of a new enterprise resource planning system risks operational disruption and challenges in maintaining accurate books and records.

All 25 risk factors

Headings as the filing states them, in filing order.

Other

  1. 01Risks Associated With Our Industry
  2. 02Increases in interest rates, reductions in mortgage availability, or other increases in the effective costs of owning a home have prevented potential customers from buying our homes and adversely affected our business and financial results
  3. 03The homebuilding industry is cyclical and deteriorations in industry conditions or downward changes in general economic or other business conditions have historically affected our business and financial results and could do so in the future
  4. 04Inflation has resulted in increased costs that we may not be able to recoup and has impacted home affordability and consumer sentiment
  5. 05Supply shortages and other risks related to the demand for skilled labor and building materials increased costs and delayed deliveries and could continue to do so
  6. 06Our success depends on our ability to acquire land suitable for residential homebuilding in accordance with our land investment criteria
  7. 07If the market value of our land drops significantly, our profits could decrease and result in write-downs of the carrying values of land we own
  8. 08Competition for homebuyers could reduce our deliveries or decrease our profitability
  9. 09An inability to accurately predict customer preferences or demand, or to respond effectively to technological developments, including artificial intelligence, could materially impact the business
  10. 10Government regulations could increase the cost and limit the availability of our development and homebuilding projects or affect our related Financial Services operations and adversely affect our business or financial results
  11. 11Homebuilding is subject to warranty and other claims in the ordinary course of business that can be significant
  12. 12We can be injured by improper acts of persons over whom we do not have control or by the attempt to impose liabilities or obligations of third parties on us
  13. 13Natural disasters, severe weather conditions and changing climate patterns could delay deliveries, increase costs, and decrease demand for new homes in affected areas
  14. 14The impact of climate change and climate change or other governmental regulation may adversely impact our business

Risks Related to Our Business Model and Capital Structure

  1. 15Adverse capital and credit market conditions may significantly affect our access to capital and cost of capital
  2. 16Our income tax provision and tax reserves may be insufficient if a taxing authority is successful in asserting positions that are contrary to our interpretations and related reserves, if any
  3. 17We may not realize our deferred tax assets
  4. 18Our inability to sell mortgages into the secondary market could significantly reduce our ability to sell homes unless we are willing to become a long-term investor in loans we originate
  5. 19We are subject to claims related to mortgage loans we sold in the secondary mortgage market that may be significant
  6. 20representations and warranties
  7. 21We are implementing a new enterprise resource planning system, and challenges with the implementation of the system may impact our business and operations
  8. 22Information technology failures or data security breaches could harm our business and result in substantial costs
  9. 23Negative publicity could negatively impact sales, which could cause our revenues or results of operations to decline
  10. 24The loss of the services of members of our senior management or a significant number of our operating employees could negatively affect our business
  11. 25We have significant intangible assets. If these assets become impaired, then our profits and shareholders’ equity may be reduced

Other Pultegroup 10-Ks

  • FY2025 10-K risk factors
    27 risks2 new8 reworded

    PulteGroup updated its risk profile by adding new pandemic and compliance disclosures while shifting financial figures like deferred tax assets and liquidity.

    Filed Feb 04, 2026

About this page

The headings are the filing's own. The one-line readings and the overview are automated and can be wrong: read Item 1A of the 10-K for the exact wording.