NVR · 10-Q · 2026Q2 · Full report

Income Tax Rate Changes

NVR INC · 2026-08-05 · Importance 14 · Surprise 14

The effective tax rate was 25.8% for the second quarter of 2026 versus 25.4% in the second quarter of 2025. The six-month effective tax rate was 23.8% versus 25.4% in the comparable 2025 period. Excess tax benefits from stock-option exercises were $900 thousand in the second quarter and $13,500 thousand in the first six months of 2026, compared with $3,500 thousand and $6,200 thousand in 2025. The company expects future tax-rate volatility from equity-award activity and distributions from deferred-compensation plans.

Key facts

• Income tax benefit recognized for excess tax benefits from stock option exercises totaled approximately $900 and $13,500 for the three and six months ended June 30, 2026, respectively, compared to $3,500 and $6,200 for the three and six months ended June 30, 2025, respectively. source
• Effective tax rate for the three and six month periods ended June 30, 2026 was 25.8% and 23.8%, respectively, compared to 25.4% in each respective period of 2025. source