KB Home (KBH) Earnings Call Transcript & Summary

Hello, and welcome to the Annual Meeting of Stockholders of KB Home. Please note that today's meeting is being recorded. [Operator Instructions] It is now my pleasure to turn today's meeting over to Jeff Mezger. Mr. Mezger, the floor is yours.

Good morning, and welcome to KB Home's 2024 Annual Meeting of Stockholders. I'm Jeff Mezger, Chairman and Chief Executive Officer of KB Home, and it's my pleasure to call the meeting to order. The meeting will be conducted under the posted rules of conduct so that we can have an orderly proceeding. I will start by identifying the other members of the Board of Directors who are participating in the meeting. Jose Barra, Senior Vice President, Merchandising, Decor, the Home Depot, Inc,; Art Collins, Founder and Managing Partner of the group; Dorene Dominguez, Chairwoman and Chief Executive Officer of the Vanir Group of Companies; Kevin Eltife, Founder and owner of Eltife Properties; Dr. Stuart Gabriel, Director of the Ziman Center for Real Estate at UCLA and distinguished Professor of Finance and Arden Realty Chair at the UCLA Anderson School of Management; Dr. Tom Gilligan, Emeritus Director and Senior Fellow at the Hoover Institution at Stanford University; Jodeen Kozlak, Founder and CEO of Kozlak Capital Partners; and James Weaver, CEO and Chairman of CW Interest. I will also recognize and thank 2 directors who are stepping down today for their significant service to KB Home. Melissa Lora, former President of Taco Bell International, who served for 20 years; and Brian R. Niccol, Chairman and Chief Executive Officer of Chipotle Mexican Grill. We will now proceed with the official business of the meeting. And for that, I will turn the meeting over to Brian Woram, General Counsel.

Thank you, Mr. Chairman, and good morning, everyone. This part of the meeting is being conducted according to the notice of meeting and proxy statement made available beginning on March 8, 2024, to all stockholders of record on February 26, 2024. As noted by our Chairman, the meeting is being conducted under the rules of conduct that are posted to the meeting site. Among other matters, the rules cover how stockholders may ask an addressable question at the meeting. The minutes of the KB Home Annual Meeting of Stockholders held on April 20, 2023, are available through Mr. Tony Richelieu, our Corporate Secretary. Mr. Richelieu and Mr. Mark Cano of Computershare will act as inspectors of election. The inspectors have reported that the holders of significantly more than a majority of the outstanding capital stock of the company entitled to vote at this meeting are present in person or by proxy. On behalf of our Chairman, I therefore declare that a quorum is present, that this meeting is duly constituted and that the polls are open. Stockholders who have not voted or who wish to change a vote, may do so now by clicking on the Vote tab on the website. Any stockholder who has already voted and does not wish to change his or her vote need not take any further action. We will now proceed to the presentation of the items of business for this meeting that were included in the proxy statement and that are subject to stockholder vote. The first item of business is the election of 9 directors to serve on the KB Home Board. As set forth in the proxy statement, your Board has nominated and recommends the election of the following 9 persons to serve for a 1-year term. Mr. Jose M. Barra; Mr. Arthur Collins; Ms. Dorene Dominguez; Mr. Kevin Eltife; Dr. Stuart Gabriel; Dr. Thomas Gilligan; Ms. Jodeen Kozlak; Mr. Jeffrey Mezger; and Mr. James Weaver. To be elected, each director nominee must receive more votes for the nominated votes against the nominee. The second item of business is a nonbinding advisory resolution to approve named executive officer compensation as set forth in the proxy statement. This advisory resolution will be considered approved if a majority of eligible shares present or represented at the meeting are voted for approval. The third item of business is to ratify the appointment of Ernst & Young LLP as KB Home's independent registered public accounting firm for the current fiscal year ending November 30, 2024. This appointment of Ernst & Young LLP, a representative of which is participating in the meeting, will be considered ratified if a majority of eligible shares present or represented at the meeting are voted for ratification. I declare the polling for the matters presented at this meeting and online voting are now closed. The final results of the matters voted on at this meeting will be reported in an appropriate public filing within the applicable filing deadline. This completes the official business of the meeting. With further rules of conduct, a stockholder may ask up to 2 questions on topics pertinent to the meeting. The company may address questions during the meeting orally or through the chat function on the meeting website. Additionally, if a stockholder has a follow-up question on a pertinent topic, the company will attempt to respond after the meeting concludes. We have received no pertinent questions. Therefore, may I have a motion to conclude the meeting?

Motion seconded.

Thank you. I declare the meeting concluded, and thank all our stockholders for attending.

Thank you. This concludes the meeting. You may now disconnect.