Truman Patterson: Okay. Perfect. And then it seems like you all are getting the cost savings that you spoke about previously. But I wanted to follow up on the comment, further improvement in gross margin beyond the third quarter, depending on market conditions. But if we assume that conditions are just stable from here, would fourth quarter gross margins continue to increase just outside of normal field expense leverage on deliveries? Said another way, should you see incremental cost savings sequentially into the fourth quarter, while maybe some modest pricing benefit on an apples-to-apples basis flows through?
Stuart Miller: Yes. So we decidedly didn’t give any broader thoughts on margin for our fourth quarter, recognizing that, number one, we’re feeling some leveling. So we’re giving you some guidance for our third quarter and some thoughts on production for year-end. I think that the market still has enough proving to do, and it’s moving around enough to where we really don’t want to go beyond what we’ve said, and that is depending on market conditions, and we’re going to let them evolve. Certainly, yesterday, with the Fed chair pausing, but maybe it’s not even a pause, it’s — I think there’s a lot of wait and see in terms of where interest rates go and where the market goes and talks of recession and jobs. We’re going to wait and see a little bit on that. But as we sit right now, what we’ve said is that we see our margins continuing to improve as we go through the year. We’re not going to give a boundary as to what that actually means. Let’s give it some time.
Truman Patterson: If I could just follow up quickly.
Stuart Miller: Sure. Sure.
Truman Patterson: The cost savings, should they just build into the fourth quarter, the cost savings that you’ve spoken about previously?
Stuart Miller: I think, again, this is something that we’re going to wait and see a little bit, see how demand patterns continue forward. But our constructive relationship with our trade partners really enables us to maximize. What we have found in this past year is that commitment to the consistency and the predictability of volume is really working to everybody’s benefit. And I would say that — again, not to get too far over our skis, as we look ahead, we continue to see consistency in the trajectory, but we will have to wait and see how they actually flow through.
Truman Patterson: Perfect. I think we’re seeing it in the results, and good luck in the coming quarters.
Stuart Miller: Thank you.
Operator: Our next question comes from Alan Ratner from Zelman & Associates. Please go ahead.
Alan Ratner: Nice quarter. I do have a question on some of the more near-term demand drivers. But Stuart, you did kind of bring up AI in your prepared remarks. And I know you guys have always been at the forefront of innovation in housing. And frankly, you don’t hear AI mentioned a lot when it comes to housing. So I’m just curious if you’re able to share any specifics in terms of where you see AI impacting your business going forward? And any steps the company has taken to be at the forefront of that?
Stuart Miller: Yes. So Alan, I wanted to be very careful with the use of that catch phrase that seems to be incendiary relative to stock prices when people are using them. I don’t want to get out over our skis, but I did want a daylight that. The machine that we described that we are engaging is really a data-driven approach to so many components of our business. And I think that we have — we’ve done a tremendous amount of work. If you look at our digital marketing program, you look at our dynamic pricing model, both of them, we’ve talked about for many, many quarters for years. And these are data-driven approaches to the way that we’re engaging the customer acquisition componentry of our business. It’s a very integrated set of systems that is dependent on feedback loops.
