	Three Months Ended				Nine Months Ended
	July 31,				July 31,
(In thousands)	2026		2025		2026		2025
Interest capitalized at beginning of period	$	46,736	$	53,633	$	43,263	$	57,671
Plus interest incurred(1)		30,222		28,523		91,584		88,210
Less cost of sales interest expensed		(19,098)		(26,868)		(51,655)		(66,162)
Less other interest expensed(2)		(11,377)		(7,149)		(36,025)		(25,811)
Less interest contributed to unconsolidated joint ventures(3)		-		-		(1,109)		(5,769)
Plus interest acquired from unconsolidated joint ventures(4)		-		-		425		-
Interest capitalized at end of period(5)	$	46,483	$	48,139	$	46,483	$	48,139

(1)

Amounts do not include interest incurred by our mortgage and finance subsidiaries.

(2)

During the three and nine months ended July 31, 2026 and 2025, respectively, our inventory under development exceeded our debt, therefore, all of the related interest incurred qualified for interest capitalization. Other interest includes interest on completed homes, land in planning and fully developed lots without homes under construction, which does not qualify for capitalization, and therefore, is expensed as incurred.

(3)	Represents capitalized interest which was included as part of the assets contributed to joint ventures, as discussed in Note 18. There was no impact to the Condensed Consolidated Statement of Operations as a result of these capitalized interest transactions.
(4)	Represents capitalized interest which was included as part of the assets acquired from joint ventures, as discussed in Note 18. There was no impact to the Condensed Consolidated Statement of Operations as a result of these capitalized interest transactions.
(5)	Capitalized interest amounts are shown gross before allocating a portion of impairments, if any, to capitalized interest.