Quarterly report pursuant to Section 13 or 15(d)


3 Months Ended
Mar. 31, 2023
Equity Method Investments and Joint Ventures [Abstract]  
Summary of Condensed Financial Information Related to Unconsolidated Equity Method Joint Ventures
Summarized condensed combined financial information related to unconsolidated joint ventures that are accounted for using the equity method was as follows (in thousands):
As of
March 31, 2023 December 31, 2022
$ 2,729  $ 3,389 
Real estate
18,031  17,965 
Other assets
6,273  11,653 
Total assets $ 27,033  $ 33,007 
Liabilities and equity:
Accounts payable and other liabilities $ 5,391  $ 11,397 
Equity of:
Meritage (1)
10,386  10,356 
Other 11,256  11,254 
Total liabilities and equity $ 27,033  $ 33,007 
  Three Months Ended March 31,
  2023 2022
Revenue $ 9,516  $ 9,238 
Costs and expenses (8,351) (8,272)
Net earnings of unconsolidated entities $ 1,165  $ 966 
Meritage’s share of pre-tax earnings (1) (2)
$ 1,346  $ 984 

(1)Balance represents Meritage’s interest, as reflected in the financial records of the respective joint ventures. This balance may differ from the balance reported in the accompanying unaudited consolidated financial statements due to the following reconciling items: (i) timing differences for revenue and distributions recognition, (ii) step-up basis and corresponding amortization, (iii) capitalization of interest on qualified assets, (iv) income deferrals as discussed in Note (2) below and (v) the cessation of allocation of losses from joint ventures in which we have previously written down our investment balance to zero and where we have no commitment to fund additional losses.
(2)Our share of pre-tax earnings/(loss) from our mortgage joint venture is recorded in Earnings from financial services unconsolidated entities and other, net on the accompanying unaudited consolidated income statements. Our share of pre-tax earnings/(loss) from all other joint ventures is recorded in Other income/(expense), net on the accompanying unaudited consolidated income statements and excludes joint venture profit related to lots we purchased from the joint ventures, if any. Such profit is deferred until homes are delivered by us and title passes to a homebuyer.