Homebuilding Industry Outlook

kb Healthy Capital Structure HOME Highlights Debt-to-Capital Ratio Leverage 42.3% • From 2019 through 2021, we have repaid approximately $340 million in senior notes 39.6% 38.2% 38.8% 36.8% 35.8% Liquidity • Total liquidity, including cash and revolver availability, was $928.8 million at Aug. 31, 2022 2019 2020 2021 Q1 2022 Q2 2022 Q3 2022 Credit Rating • In June 2022, Moody's Investor Service amended our outlook to Positive from Stable . In January 2022, S&P Global amended our outlook to Positive from Stable Recent Transactions • On June 22, 2022, we issued $350 million of 7.25% senior notes due 2030. The proceeds from this issuance, together with cash on hand, were used to retire $350 million of 7.50% senior notes prior to their maturity. The Company recognized a $3.6 million loss on this early extinguishment of debt. On August 25, 2022, the Company entered into a senior unsecured term loan ("Term Loan") to lend the Company up to $310 million, which may be increased to up to $400 million. As of August 31, 2022, the Company had not drawn under the Term Loan. 21 | Liquidity and Debt Maturity Summary at 8/31/22 ($ in millions) $195 ■Revolver Availability $733 $350 Unrestricted Cash ■Senior Notes $300 $300 $350 $390 Liquidity 2022 Coupon: 2023 2024 2025 2026 2027 2028 2029 2030 2031 7.625% 6.875% 4.8% 7.25% 4.0% O2022 KB Home

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