2023 Habitat For Humanity Intl FS

Consolidated Financial Statements and
Report of Independent Certified Public

Accountants
Habitat for Humanity International, Inc.
June 30, 2023 and 2022

Contents Page
Report of Independent Certified Public Accountants 1
Consolidated Financial Statements
Consolidated statements of financial position 3
Consolidated statements of activities 4
Consolidated statements of functional expenses 5
Consolidated statements of cash flows 6
Notes to consolidated financial statements 7

GRANT THORNTON LLP REPORT OF INDEPENDENT CERTIFIED PUBLIC ACCOUNTANTS
757 Third Ave., 9th Floor
New York, NY 10017-2013
D +1 212 599 0100

F +1 212 370 4520
To the Governing Board

Habitat for Humanity International, Inc.:
Report on the financial statements

Opinion
We have audited the consolidated financial statements of Habitat for Humanity
International, Inc. (a nonprofit organization) and its subsidiaries (collectively,
“Habitat”), which comprise the consolidated statements of financial position as of
June 30, 2023 and 2022, and the related consolidated statements of activities,
functional expenses, and cash flows for the years then ended, and the related notes
to the financial statements.
In our opinion, the accompanying consolidated financial statements present fairly, in

all material respects, the financial position of Habitat as of June 30, 2023 and 2022,
and the changes in its net assets and its cash flows for the years then ended in
accordance with accounting principles generally accepted in the United States of
America.
Basis for opinion

We conducted our audits of the consolidated financial statements in accordance with
auditing standards generally accepted in the United States of America (US GAAS).
Our responsibilities under those standards are further described in the Auditor’s
Responsibilities for the Audit of the Financial Statements section of our report. We are
required to be independent of Habitat and to meet our other ethical responsibilities in
accordance with the relevant ethical requirements relating to our audits. We believe
that the audit evidence we have obtained is sufficient and appropriate to provide a
basis for our audit opinion.
Emphasis of matter
As discussed in Note 15 to the consolidated financial statements, Habitat has adopted
new accounting guidance on July 1, 2022 related to FASB Accounting Standard
Codification Topic 842, Leases. Our opinion is not modified with respect to this matter.
Responsibilities of management for the financial statements

Management is responsible for the preparation and fair presentation of the
consolidated financial statements in accordance with accounting principles generally
accepted in the United States of America, and for the design, implementation, and
maintenance of internal control relevant to the preparation and fair presentation of
consolidated financial statements that are free from material misstatement, whether
due to fraud or error.
GT.COM Grant Thornton LLP is the U.S. member firm of Grant Thornton International Ltd (GTIL). GTIL and each of its member firms
are separate legal entities and are not a worldwide partnership.
In preparing the consolidated financial statements, management is required to
evaluate whether there are conditions or events, considered in the aggregate, that
raise substantial doubt about Habitat’s ability to continue as a going concern for one
year after the date the financial statements are available to be issued.
Auditor’s responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the consolidated
financial statements as a whole are free from material misstatement, whether due to
fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable
assurance is a high level of assurance but is not absolute assurance and therefore is
not a guarantee that an audit conducted in accordance with US GAAS will always
detect a material misstatement when it exists. The risk of not detecting a material
misstatement resulting from fraud is higher than for one resulting from error, as fraud
may involve collusion, forgery, intentional omissions, misrepresentations, or the
override of internal control. Misstatements are considered material if there is a
substantial likelihood that, individually or in the aggregate, they would influence the
judgment made by a reasonable user based on the consolidated financial statements.
In performing an audit in accordance with US GAAS, we:
 Exercise professional judgment and maintain professional skepticism throughout

the audit.
 Identify and assess the risks of material misstatement of the consolidated
financial statements, whether due to fraud or error, and design and perform audit
procedures responsive to those risks. Such procedures include examining, on a
test basis, evidence regarding the amounts and disclosures in the financial
statements.
 Obtain an understanding of internal control relevant to the audit in order to design
audit procedures that are appropriate in the circumstances, but not for the
purpose of expressing an opinion on the effectiveness of Habitat’s internal
control. Accordingly, no such opinion is expressed.
 Evaluate the appropriateness of accounting policies used and the
reasonableness of significant accounting estimates made by management, as
well as evaluate the overall presentation of the consolidated financial statements.
 Conclude whether, in our judgment, there are conditions or events, considered in
the aggregate, that raise substantial doubt about Habitat’s ability to continue as a
going concern for a reasonable period of time.
We are required to communicate with those charged with governance regarding,

among other matters, the planned scope and timing of the audit, significant audit
findings, and certain internal control-related matters that we identified during the audit.
New York, New York

November 20, 2023
CONSOLIDATED STATEMENTS OF FINANCIAL POSITION
June 30,
(In thousands)
2023 2022
Assets
Cash and cash equivalents $ 110,666 $ 152,005
Investments at fair value 275,081 233,318
Receivables:
Contributions and grants, net 79,023 89,828
Affiliate notes, net 26,605 20,724
Due from affiliates, net 6,041 5,780
Loans to microfinance institutions, net 47,478 46,813
Institutional loans and mortgages receivable, net 4,762 4,117
Other, net 9,806 9,731
Total receivables 173,715 176,993
Inventories, net 6,043 9,052
Prepaids and other assets 4,778 5,107
Operating lease right of use assets 10,655 -
Land, buildings, and equipment - net of accumulated depreciation and amortization 7,897 10,236
Total assets $ 588,835 $ 586,711
Liabilities and net assets

Accounts payable and accrued expenses $ 29,275 $ 32,051
Program advances 17,805 25,099
Finance lease liabilities 829 1,367
Operating lease liabilities 10,655 -
Due to affiliates 1,862 2,090
Notes payable, net of unamortized debt issuance costs 45,314 54,495
Charitable gift annuities 5,654 6,704
Investor notes payable 33,600 21,135
Total liabilities 144,994 142,941
Net assets:
Without donor restrictions:
Controlling interests 218,974 210,867
Noncontrolling interests 9,199 9,147
228,173 220,014
With donor restrictions 215,668 223,756
Total net assets 443,841 443,770
Total liabilities and net assets $ 588,835 $ 586,711
The accompanying notes are an integral part of these consolidated financial statements.
3
CONSOLIDATED STATEMENTS OF ACTIVITIES
(In thousands)
Year ended June 30, 2023 Year ended June 30, 2022
Without Donor With Donor Without Donor With Donor
Restrictions Restrictions Total Restrictions Restrictions Total
Revenues, support, and gains

Contributions $ 127,239 $ 113,879 $ 241,118 $ 169,243 $ 205,703 $ 374,946
Donated product, services and advertising 48,942 11,172 60,114 32,173 8,475 40,648
Government grants 16,972 - 16,972 17,459 - 17,459
Other income, net 33,508 - 33,508 16,292 - 16,292
Total revenues, support, and gains 226,661 125,051 351,712 235,167 214,178 449,345
Net assets released from restrictions 130,609 (130,609) - 120,667 (120,667) -
Total revenues, support, and gains 357,270 (5,558) 351,712 355,834 93,511 449,345
Expenses
Program services:
U.S. affiliates 159,722 - 159,722 139,912 - 139,912
International affiliates 82,249 - 82,249 69,041 - 69,041
Public awareness and education 20,891 - 20,891 17,472 - 17,472
Total program services 262,862 - 262,862 226,425 - 226,425
Supporting services:
Fundraising 62,491 - 62,491 58,663 - 58,663
Management and general 23,758 - 23,758 20,922 - 20,922
Total supporting services 86,249 - 86,249 79,585 - 79,585
Total expenses 349,111 - 349,111 306,010 - 306,010
Losses on contributions receivable - 2,530 2,530 - 4,589 4,589
Total expenses and losses on
contributions receivable 349,111 2,530 351,641 306,010 4,589 310,599
Change in net assets 8,159 (8,088) 71 49,824 88,922 138,746
Net assets at beginning of year 220,014 223,756 443,770 170,190 134,834 305,024
Nets assets at end of year $ 228,173 $ 215,668 $ 443,841 $ 220,014 $ 223,756 $ 443,770
4
CONSOLIDATED STATEMENTS OF FUNCTIONAL EXPENSES
(In thousands)
Public Total
International Awareness and Total Program Management Supporting
For the year ended June 30, 2023: U.S. Affiliates Affiliates Education Services Fundraising and General Services Total
Program and house building transfers $ 60,926 $ 40,264 $ 2,707 $ 103,897 $ - $ - $ - $ 103,897
Donated products and advertising distributed 46,786 240 1,173 48,199 - - - 48,199
Salaries and benefits 37,389 26,434 10,873 74,696 19,522 16,506 36,028 110,724
Professional services 5,601 5,373 2,480 13,454 36,840 2,801 39,641 53,095
Travel 1,440 2,426 562 4,428 649 557 1,206 5,634
Interest, service charges, and taxes 767 789 759 2,315 864 268 1,132 3,447
Office expenses 4,790 3,247 1,894 9,931 3,845 2,788 6,633 16,564
Depreciation and amortization 703 679 165 1,547 377 335 712 2,259
Other 1,320 2,797 278 4,395 394 503 897 5,292
Total $ 159,722 $ 82,249 $ 20,891 $ 262,862 $ 62,491 $ 23,758 $ 86,249 $ 349,111
Public Total
International Awareness and Total Program Management Supporting
For the year ended June 30, 2022: U.S. Affiliates Affiliates Education Services Fundraising and General Services Total
Program and house building transfers $ 59,207 $ 30,585 $ 1,440 $ 91,232 $ - $ - $ - $ 91,232
Donated products and advertising distributed 31,125 29 677 31,831 - - - 31,831
Salaries and benefits 33,692 25,089 9,814 68,595 17,386 14,891 32,277 100,872
Professional services 4,664 5,160 2,315 12,139 36,168 1,555 37,723 49,862
Travel 421 1,053 162 1,636 133 310 443 2,079
Interest, service charges, and taxes 908 889 847 2,644 907 235 1,142 3,786
Office expenses 4,524 3,435 1,592 9,551 3,310 3,145 6,455 16,006
Depreciation and amortization 843 800 199 1,842 451 409 860 2,702
Other 4,528 2,001 426 6,955 308 377 685 7,640
Total $ 139,912 $ 69,041 $ 17,472 $ 226,425 $ 58,663 $ 20,922 $ 79,585 $ 306,010
5
CONSOLIDATED STATEMENTS OF CASH FLOWS
Years ended June 30,

(In thousands)
For the year ended June 30: 2023 2022

Operating activities
Change in net assets $ 71 $ 138,746
Adjustments to reconcile change in net assets to net cash provided by
operating activities:
Depreciation and amortization 2,259 2,702
Loss (gain) on disposal of land, buildings, and equipment 877 (161)
Loss on contribution receivable 2,530 4,589
Losses on loans to microfinance institutions 2,374 808
Provision for loan losses (157) 633
Losses on other receivables - 53
Net realized and unrealized (gains) losses on investments (3,705) 4,371
Support from the public restricted for long-term investments (1,028) (29,507)
Net realized and unrealized losses (gain) on derivative instrument 762 (933)
Unrealized (gain) loss from foreign exchange fluctuations (3,177) 1,408
Contribution of securities - (5,822)
Changes in operating assets and liabilities:
Decrease (increase) in receivables 8,081 (66,609)
Decrease in inventories 3,009 2,311
Decrease (increase) in prepaids and other assets 329 (885)
(Decrease) increase in accounts payable and accrued expenses (2,777) 196
Decrease in program advances (7,294) (9,143)
Net cash provided by operating activities 2,154 42,757
Investing activities
Purchases of investments (223,263) (183,541)
Proceeds from sales and maturities of investments 185,205 172,082
Loans to microfinance institutions (22,991) (21,474)
Repayments from microfinance institutions 22,367 37,663
Loans to affiliates (38,393) (25,180)
Repayments from affiliates 31,882 26,503
Purchases of equipment (921) (1,190)
Proceeds from sale of land, buildings, and equipment 125 167
Net cash (used in) provided by investing activities (45,989) 5,030
Financing activities
Principal repayments on finance lease obligations (538) (570)
Increase in due to affiliates 885 823
Payments on due to affiliates (1,113) (298)
Support from the public restricted for long-term investments 1,028 29,507
(Decrease) increase in annuity obligation (742) 271
Payments of annuity obligations (308) (399)
Proceeds from issuance of notes payable 13,500 -
Payments on notes payable (10,216) (20,149)
Net cash provided by financing activities 2,496 9,185
(Decrease) increase in cash and cash equivalents (41,339) 56,972

Cash and cash equivalents, beginning of year 152,005 95,033
Cash and cash equivalents, end of year $ 110,666 $ 152,005
Supplemental disclosures
Interest paid $ 2,022 $ 2,298
Non-cash purchases of equipment through finance lease obligations $ - $ 835
Non-cash contribution of securities $ - $ 5,822
Non-cash refinancing MFI loans $ 2,000 $ 1,800
Non-cash operating lease right of use assets obtained in exchange for lease liabilities $ 11,651 $ -
6
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
June 30, 2023 and 2022
NOTE 1 - ORGANIZATION AND PURPOSE
Driven by the vision that everyone needs a decent place to live, Habitat for Humanity found its earliest
inspirations as a grassroots movement on an interracial community farm in South Georgia. Since its
founding in 1976, the Christian housing organization has grown to become a leading global nonprofit
organization working in local communities across all 50 states in the U.S. and in more than 70 countries.
Families and individuals in need of a hand partner with Habitat for Humanity to build or improve a place
they can call home. Habitat homeowners help build their own homes alongside volunteers and pay an
affordable mortgage. Through financial support, volunteering or adding a voice to support affordable
housing, everyone can help families achieve the strength, stability, and self-reliance they need to build
better lives for themselves. Through shelter, we empower. To learn more, visit habitat.org.
Habitat is comprised of the organization’s headquarters based in Georgia, U.S.A.; its area and regional
offices worldwide; and the national organizations that are registered as branches of Habitat.
NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Principles of Consolidation
The accompanying consolidated financial statements as of and for the years ended June 30, 2023 and
2022, include the activities of:
1. Habitat’s area and regional offices.
2. Eleven national organizations that are registered as part of Habitat for Humanity International, Inc.
3. Habitat for Humanity, Inc., Habitat Mortgage Solutions, Habitat for Humanity of Puerto Rico, LLC.,
and Habitat for Humanity-Middle East, which are wholly-owned subsidiaries.
4. MicroBuild I, LLC (MicroBuild) and Habitat MicroBuild India Housing Finance Company Private
Limited (MicroBuild India), in which Habitat effectively has control and an economic interest.
All material intercompany accounts and transactions have been eliminated in preparing the accompanying
consolidated financial statements.
Cash and Cash Equivalents
Habitat considers all highly liquid investments with an original maturity of three months or less, when
purchased, to be cash equivalents, with the exception of cash held for reinvestment which is included in
investments. Habitat maintains its cash and cash equivalents in bank deposit accounts which, at times,
may exceed federally insured limits. Habitat has not experienced any losses in such accounts. Included in
cash and cash equivalents is restricted cash of $69,259,000 and $68,427,000 as of June 30, 2023 and
2022, respectively. As of June 30, 2023 and 2022, $21,012,000 and $33,346,000, respectively, was held
in banks outside of the United States, and these amounts are not covered by insurance.
7
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED
June 30, 2023 and 2022
Investments
Realized and unrealized gains and losses on marketable securities are determined by using specific
identification. Investment income and net increase (decrease) on investments of donor-restricted
endowments are reported as follows:
1. As increases in net assets with donor restrictions if the terms of the gift or relevant state law require
that they be added back to the principal of the contributions with donor restrictions held in
perpetuity.
2. As decreases in net assets with donor restrictions when there are losses that reduce the fair value
of the assets of endowment funds below the required level and as increases in net assets with
donor restrictions when there are gains that restore the fair value of the assets of endowment funds
to the required level.
3. As increases (decreases) in net assets with donor restrictions, in all other cases.
Contributions Receivable
Contributions receivable that are expected to be collected within one year after June 30, 2023 are recorded
at net realizable value. Contributions receivable that are expected to be collected in future years are
recorded at their fair value based on the present value of their estimated future cash flows and are
discounted at the rate applicable to the year in which the contribution was made. The discount rates used
reflect the assumptions about market risks that are not otherwise considered in the cash flows.
Habitat does not recognize conditional promises to give as receivables. Habitat recognizes a receivable
only to the extent a condition (barrier) has been satisfied. As of June 30, 2023 and 2022, conditional
promises to give amounted to $2,755,000 and $5,317,000, respectively, and are not recorded in the
accompanying consolidated financial statements.
Investor Notes Payable
Investor notes payable are special obligations of Habitat secured solely by affiliate general obligation
promissory notes (affiliate notes receivable), which are, in turn, secured by mortgages held by the affiliates.
The notes are payable over five to 10 years. The proceeds received from investor notes payable were
disbursed to those affiliates that signed affiliate notes receivable with Habitat. Affiliate notes receivable are
collectible over five to 10 years and are secured by mortgages held by those affiliates. The investor notes
payable and affiliate notes receivable have interest rates ranging as follows:
2023 2022
Investor notes payable 2.0% to 5.0% 2.0% to 5.0%

Affiliate notes receivable 1.0% to 5.0% 0% to 5.5%
For issuances prior to June 30, 2015, Habitat required that each of its affiliates post a cash reserve equal
to one quarter of the annual debt service to safeguard against potential nonpayment by the affiliate. The
reserve funds are invested in money market funds or certificates of deposit and are recorded as cash and
cash equivalents and investments in the consolidated statement of financial position.
The real estate securing these mortgages is concentrated in the states of Florida (21%), North Carolina
(14%), Washington (11%), and Oregon (9%). The remaining balance is secured by real estate in cities
located throughout the United States, with no city comprising more than 7% of the balance.
8
June 30, 2023 and 2022
Due From/To Affiliates
Due from affiliates consists primarily of non-interest-bearing, unsecured, demand notes from Habitat
affiliates in the U.S. An allowance for estimated doubtful accounts is provided, as considered appropriate,
based on identification of specific uncollectible receivables and a general reserve that is based on the
method of payment by the affiliate and past payment experience. A majority of these loans originated with
affiliates that are participating in the Self-help Homeownership Opportunity Program (SHOP) grant. Habitat
treats 25% of the grant disbursements as a loan to affiliates that must be paid back to Habitat without
interest. The Department of Housing and Urban Development (HUD) has determined that the proceeds
from the loans to affiliates must be disbursed as an additional SHOP grant. Amounts loaned and collected
under SHOP loans are reflected as a liability (due to affiliates) until these proceeds are appropriately
redistributed or until the appropriate financial closeout report is submitted to HUD. During the year ended
June 30, 2023, financial closeout reports were submitted and accepted by HUD for the SHOP program year
2017, allowing $978,000 of this balance to be recognized as Other income, net in the 2023 consolidated
statement of activities. During the year ended June 30, 2022, there were no additional funds redistributed
or SHOP grants closed.
Other amounts due from affiliates consist of advances made to participating beneficiaries for European
Union (EU) grants. The advances for EU grants are held as a receivable until the beneficiary provides
satisfactory reporting of the program expenditures incurred, at which point the program transfer and related
revenue is recognized.
Loans to Microfinance Institutions
Loans to microfinance institutions are recorded in the consolidated statement of financial position at their
unpaid principal amounts. Interest income is accrued based on the outstanding principal amount and
contractual terms of each individual loan. Interest is collected quarterly. Once a loan becomes six months
delinquent in paying its obligations, interest is no longer accrued on that obligation until such time as the
delinquency is cleared.
Allowance for Loan Losses
The allowance for loan losses is based on assessments of certain factors, including historical credit loss
experience of similar type loans, MicroBuild’s credit loss experience, the amount of past due and
nonperforming loans, specific known risks, and current and anticipated economic, country, regulatory and
interest rate conditions.
Evaluation of these factors involves subjective estimates and judgments that may change. Additions to the
allowance for loan losses are provided through the consolidated statement of activities. Subsequent
recoveries, if any, are credited to the allowance for loan losses.
Derivative Instruments
MicroBuild, when deemed appropriate, uses derivatives as a risk management tool to mitigate the potential
impact of certain market risks. The market risks managed by MicroBuild through the derivative instruments
are foreign currency exchange rate risk and interest rate risk related to loans that are made in currencies
other than the U.S. Dollar. The derivative instrument is carried at fair value in the consolidated statement
of financial position and the related change in fair value is reflected in the consolidated statement of
activities.
9
June 30, 2023 and 2022
Inventories
Inventories represent building materials and materials to be used in construction of Habitat houses or sold
in Habitat affiliate ReStores. Donated product inventory is recorded at the fair value on the date of receipt,
and such items are expensed as program services expense when used or shipped to U.S. affiliates, based
upon the specific identification method. Purchased inventory is recorded at the lower of cost or market
determined by the specific identification method. Inventory is recorded net of any allowance for
obsolescence on the consolidated statement of financial position. For the years ended June 30, 2023 and
2022, a loss for obsolescence of $914,000 and $182,000, respectively, is included in the donated products
and advertising distributed in the accompanying consolidated statements of functional expenses.
Land, Buildings, Finance Leases, and Equipment
Land, buildings, finance leases, and equipment over $5,000 are recorded at acquisition cost for purchased
items and fair value for contributed items, including costs necessary to get the asset ready for its intended
use. Additionally, certain application development costs incurred to develop internal-use software are
capitalized and amortized over the expected useful life of the software application. These costs are included
in prepaids and other assets until they are placed in service. Depreciation and amortization of assets are
provided on a straight-line basis over the estimated useful lives of the respective assets, as follows:
Years
Buildings and leasehold improvements 20-30 years
Furniture and equipment 5-10 years
Computer hardw are and softw are 3 years
Vehicles 3-5 years
Charitable Gift Annuities
Habitat has a gift annuity program whereby it enters into irrevocable contracts with certain donors. Habitat
agrees to make payments to donors at prescribed intervals over the life of the donor. The assets received
are recorded at fair value, and the related liability is recorded as an annuity obligation. For the years ended
June 30, 2023 and 2022, annuity obligations are recorded at the present value of expected future payments
based on the 2012 Individual Annuity Reserving Table and the prevailing interest rate. Habitat maintains
charitable gift annuities in a separate portfolio, and the assets are invested in accordance with applicable
state laws. Total cash and investments held in the gift annuity portfolio totaled $8,246,000 and $9,699,000
as of June 30, 2023 and 2022, respectively.
Habitat is required to hold reserves related to its gift annuity program based on the laws in certain states in
which the gifts are solicited. Such reserves totaled $7,152,000 and $8,481,000 as of June 30, 2023 and
2022, respectively, and are included in investments at fair value on the accompanying consolidated
statements of financial position.
Program Advances
Program advances relate to cash received directly from government and nongovernmental agencies, not
yet expended on the program to which such funds relate. These amounts will be recognized as revenue as
appropriate expenses are incurred. Habitat has recorded a program advance from a single
nongovernmental agency of $4,957,000 and $18,014,000 as of June 30, 2023 and 2022, respectively.
Additionally, Habitat has recorded program advances from a single government agency of $9,409,000 and
$3,836,000 as of June 30, 2023 and 2022, respectively.
10
June 30, 2023 and 2022
Net Assets
Habitat’s revenues and gains are classified as net assets with donor restrictions and net assets without
donor restrictions based on the existence or absence of donor-imposed restrictions. These classifications
are defined as follows:
Net assets with donor restrictions are subject to donor-imposed restrictions. The restrictions can contain
donor-imposed restrictions that permit Habitat to use or expend the donated assets as specified and
are satisfied either by the passage of time or by actions of Habitat. Net assets with donor restrictions
also contain the principal amount of gifts that are required by donors to be held permanently.
Net assets without donor restrictions do not contain donor restrictions or the donor-imposed restrictions
have expired.
Contributions
Unconditional promises to give are recognized as revenue when the underlying promises are received by
Habitat. Gifts of cash and other assets are reported as contributions with donor restrictions if they are
received with donor stipulations that limit the use of the donated assets or are restricted as to time.
Certain grants and contracts from foundations and governmental entities are included in deferred revenue
due to stipulations within the agreements that contain the right of return of funds and barriers (as defined
by ASU 2018-08) that make these contributions conditional. These funds are recognized as eligible costs
are incurred, that is, as the barriers to which entitlement depends are satisfied.
When a donor restriction expires, that is, when a stipulated time restriction ends or purpose restriction is
accomplished, net assets with donor restrictions are reclassified to net assets without donor restrictions
and reported in the consolidated statement of activities as net assets released from restrictions.
Contributions with donor restrictions that are both received and satisfied within the same year are recorded
as an increase in net assets with donor restrictions and as a satisfaction of program restrictions.
Government Grants
Habitat receives funding from several federal financial assistance programs that supplement its traditional
funding sources. Grant revenue on cost-reimbursement grants is recognized after the program
expenditures have been incurred. As such, Habitat recognizes revenue and records a receivable for the
reimbursement amount from the respective granting agency. Such grant programs are subject to
independent audit under the Office of Management and Budget’s (OMB’s) Uniform Guidance (2 CFR 200),
as well as review by grantor agencies. Such review could result in disallowance of expenditures under the
terms of the grant or reductions in future grant funds. Based on prior experience, Habitat’s management
believes costs ultimately disallowed, if any, would not materially affect the consolidated financial
statements.
11
June 30, 2023 and 2022
Donated Product and Contributed Services
Contributed nonfinancial assets recognized within the consolidated statement of activities included the
following for the years ended June 30, 2023 and 2022 (in thousands):
2023 2022
Donated product for use in construction $ 19,169 $ 11,753

Cars for Home Contributions 15,329 11,017
Donated product for sale in ReStores 23,236 16,128
Media communication and production services 1,173 677
Contributed services requiring specialized skills 720 407
Other donated contributions 487 666
Total contributed services, merchandise, and other in-kind contributions at fair value $ 60,114 $ 40,648
Habitat recognized contributed nonfinancial assets within Revenues, support, and gains in the consolidated
statement of activities, consisting of contributed construction materials, vehicles, donated product to sell in
ReStores, and services, including public service advertisements. Unless otherwise noted, contributed
nonfinancial assets did not have donor-imposed restrictions, other than time restrictions for pledges, and
vehicles donated under the Cars for Homes program that were restricted to the affiliate in the geographic
area of the donor of the vehicle. It is Habitat’s policy to sell all contributed vehicles immediately upon receipt
at auction.
Habitat values the donated product for use in construction at the estimated fair value, which is based upon
the manufacturer’s suggested retail price for the product. Cars for Homes contributions are valued at the
sales price received for the cars when they are sold at auction. Donated product for sale in ReStores is
valued at 30% of the manufacturer’s suggested retail price for the product.
Habitat produces and distributes public service television and radio announcements that focus attention on
the programs Habitat provides. These Public Service Announcements (PSAs) are distributed to television
stations and radio stations nationwide that then deliver the announcements to assist Habitat in its mission,
free of charge. Habitat has contracted with independent outside agencies to track the date and time that
each PSA displays and to estimate the fair value of the announcement based on the date, time, and market.
Donated product revenue related to contributed PSAs and associated expense in the amount of $1,173,000
and $677,000 has been recognized in the consolidated statements of activities for the years ended June 30,
2023 and 2022, respectively.
Additionally, a substantial number of volunteers have made significant contributions of their time in
furtherance of Habitat’s program and supporting services. The value of this contributed time is not reflected
in the consolidated financial statements since it does not require a specialized skill. However, certain other
contributed services that require specialized skills, when provided by individuals possessing those skills
and otherwise would have needed to be purchased if not provided by donation, are recognized as revenue
and expense. Such amounts, which are included in the accompanying consolidated statements of activities,
totaled $720,000 and $407,000 for the years ended June 30, 2023 and 2022, respectively.
Program Services
Program services expenses include direct transfers to affiliates and partners of cash and donated product,
as well as payments to other vendors made on behalf of affiliates. For cash contributions, program services
expenses are recorded when a promise to give is made by Habitat and received by the recipient
organization. For donated product contributions, program services expenses are recorded upon delivery of
the donated product to the affiliate by Habitat or the donor.
12
June 30, 2023 and 2022
Methods Used for Allocation of Expenses
The consolidated statements of functional expenses present expenses by both function and natural
classification. Expenses directly attributable to a specific functional area of Habitat are reported as
expenses of those functional areas. A portion of management and general costs that benefit multiple
functional areas have been allocated across program and other supporting services based on estimates of
time and effort spent by staff. Depreciation and amortization are allocated using an allocation developed
based on a review of the assets in service compared to the functions they support.
Estimates in the Financial Statements
The preparation of consolidated financial statements, in conformity with accounting principles generally
accepted in the United States of America, requires management to make estimates and assumptions that
affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the
date of the consolidated financial statements and the reported amounts of revenues and expenses during
the reporting period. Actual results may differ from those estimates.
Income Taxes
Habitat is organized as a nonprofit corporation under the laws of the State of Georgia and is a tax-exempt
organization under Section 501(c)(3) of the Internal Revenue Code and corresponding Georgia provisions.
Donors of cash and/or property are entitled to the maximum charitable contribution deduction allowed by
law.
Habitat follows the guidance of Accounting Standards Codification (ASC) 740, Accounting for Income
Taxes, related to uncertainties in income taxes, which prescribes a threshold of more likely than not for
recognition and derecognition of tax positions taken or expected to be taken in a tax return. There are no
material uncertain tax positions for Habitat for the years ended June 30, 2023 and 2022.
Fair Value Measurements
Habitat reports financial instruments at fair value in accordance with Financial Accounting Standards Board
(FASB) ASC 820, which clarifies that fair value is an exit price, representing the amount that would be
received to sell an asset or paid to transfer a liability in an orderly transaction between market participants.
As such, fair value is a market-based measurement that should be determined based on assumptions that
market participants would use in pricing an asset or liability. As a basis for considering such assumptions,
ASC 820 establishes a three-tier fair value hierarchy, which prioritizes the inputs used in the valuation
methodologies in measuring fair value:
Level 1 - Observable inputs that reflect quoted prices (unadjusted) for identical assets or liabilities in
active markets.
Level 2 - Other inputs that are directly or indirectly observable in the marketplace.
Level 3 - Unobservable inputs that are supported by little or no market activity.
The fair value hierarchy also requires an entity to maximize the use of observable inputs and minimize the
use of unobservable inputs when measuring fair value. Observable inputs reflect the assumptions market
participants would use in pricing the asset or liability developed from sources independent of the reporting
entity, and unobservable inputs reflect the reporting entity’s own assumptions about the assumptions
market participants would use in pricing the asset or liability developed based on the best information
available in the circumstances.
13
June 30, 2023 and 2022
The following is a description of the valuation methodologies used for assets measured at fair value. There
have been no changes in the valuation methods used by Habitat as compared to the prior year.
Certificates of deposit are recorded based on their carrying value, which approximates fair value.
Common stock and mutual funds are principally valued at the regular trading session closing price on the
exchange or market in which such funds are principally traded, using the market approach.
Equity (stock) funds listed or traded on any national market or exchange are valued at the last sales price
as of the close of the principal securities exchange on which such securities are traded.
Fixed income (bond) funds, other than money market instruments, are generally valued at the most recent
bid price of the equivalent quoted yield for such securities (or those of comparable maturity, quality, and
type).
Auction rate securities are valued using a market comparable and/or discounted cash flow valuation
approach.
Forward foreign exchange contracts consist of contracts that are valued primarily based on the spot
currency exchange rate and the interest rate differential.
Cross-currency interest rate swaps consist of contracts that are valued primarily based on the spot currency
exchange rate and discount curves based on local government treasury bill and bond auctions. Cross-
currency interest rate swaps consist of both Level 2 and Level 3 inputs, based on the availability of the
market data for the underlying currencies.
Annuity obligations are recorded at fair value based on Level 3 inputs and other relevant market data based
on the present value of the estimated future cash outflows. For the years ended June 30, 2023 and 2022,
the assumptions used in the valuation of the annuity liability include mortality in accordance with the 2012
Individual Annuity Reserving Table and a discount rate of 6% for all annuities, compounded annually, net
of expenses. These rates are commensurate with the risks associated with the ultimate payment of the
obligation. For the years ended June 30, 2023 and 2022, Habitat recorded losses from the remeasurement
of the gift annuity obligation to fair value of $80,000 and $25,000, respectively, included as part of other
income in the accompanying consolidated statements of activities.
Fair Value of Financial Instruments
Habitat’s financial instruments consist of cash and cash equivalents, investments, receivables, accounts
payable and accrued expenses, finance lease obligations, notes payable, annuity obligations, and investor
notes payable. Cash and cash equivalents, receivables, accounts payable and accrued expenses, finance
lease liabilities, notes payable, and investor notes payable are stated at cost, which approximates fair value.
Investments and the annuity obligations are recorded at their fair values.
New Accounting Pronouncements
Effective July 1, 2022, Habitat adopted ASU 2016-02, Leases (Topic 842), which requires organizations to
recognize assets and liabilities on the balance sheet for the rights and obligations created by the leases. A
lessee is required to recognize assets and liabilities for leases with terms that exceed twelve months. The
standard requires disclosures to help financial statement users better understand the amount, timing and
uncertainty of cash flows arising from leases. The disclosures include qualitative and quantitative
requirements, providing additional information about the amounts recorded in the consolidated financial
statements. See Note 15.
14
June 30, 2023 and 2022
Investments
Certain investments are held in debt securities with contractual maturities. Such investments mature as
follows (in thousands):
2023 2022
Due in less than one year $ 179,878 $ 192,094

Due in more than five years 20,554 20,603
$ 200,432 $ 212,697
Investment income and net realized and unrealized (losses) gains are included in other income, net, and
consist of the following as of June 30, 2023 and 2022 (in thousands):
2023 2022
Net decrease/ increase in fair value of investments, including

realized and unrealized gains and (losses) $ 3,705 $ (4,371)
Interest and dividends 3,023 478
Total investment gains (losses) $ 6,728 $ (3,893)
NOTE 3 - FAIR VALUE MEASUREMENTS
In accordance with ASC 820, Habitat records cash and cash equivalents and marketable securities at fair
value. As of June 30, 2023 and 2022, investments in marketable securities include auction rate securities,
which are classified within Level 3 due to a lack of a liquid market for such securities. Management
determined the value of these securities based on information regarding the quality of the security and the
quality of the collateral, among other factors.
In accordance with the fair value hierarchy described above, the following tables present the fair value of
Habitat’s financial assets and liabilities that are required to be measured at fair value, on a recurring basis,
as of June 30, 2023 and 2022 (in thousands):
Prices in Significant
Active Markets Other Significant
for Identical Observable Unobservable
Fair Value at Assets Inputs Inputs
June 30, 2023 (Level 1) (Level 2) (Level 3)
Investm ents:
Certificates of deposit and
other short-term investments $ 179,878 $ 179,878 $ - $ -
Common stock and mutual funds 74,649 65,354 2 9,293
Auction rate securities 20,554 - - 20,554
$ 275,081 $ 245,232 $ 2 $ 29,847
Derivative instrum ents:
Forw ard foreign exchange contracts $ (162) $ - $ (162) $ -
Cross-currency interest rate sw aps (191) - (131) (60)
Total derivative instruments $ (353) $ - $ (293) $ (60)
Liabilities:
Charitable gift annuities $ (5,654) $ - $ - $ (5,654)
15
June 30, 2023 and 2022
Quoted Market
Prices in Active Significant Other Significant
Markets for Observable Unobservable
Fair Value at Identical Assets Inputs Inputs
June 30, 2022 (Level 1) (Level 2) (Level 3)
Investments:
Certificates of deposit and
other short-term investments $ 192,094 $ 192,044 $ 50 $ -
Common stock and mutual funds 20,621 13,361 1 7,259
Auction rate securities 20,603 - - 20,603
$ 233,318 $ 205,405 $ 51 $ 27,862
Derivative instruments:
Forward foreign exchange contracts $ 490 $ - $ 490 $ -
Cross-currency interest rate swaps 172 - 46 126
Total derivative instruments $ 662 $ - $ 536 $ 126
Liabilities:
Charitable gift annuities $ (6,704) $ - $ - $ (6,704)
Derivative instruments are included in loans to microfinance institutions, net, on the accompanying
consolidated statements of financial position.
The following table provides a reconciliation of the beginning and ending balances for assets measured at
fair value using significant unobservable inputs (Level 3) as defined in ASC 820 for the years ended
June 30, 2023 and 2022 (in thousands):
2023 2022
Balance at July 1 $ 27,862 $ 33,206

Purchases 2,781 5,203
Sales or redemptions (350) (11,100)
Net unrealized (losses) gains (446) 553
Balance at June 30 $ 29,847 $ 27,862
The following table provides a reconciliation of the beginning and ending balances for derivative instruments
measured at fair value using significant unobservable inputs (Level 3) as defined in ASC 820 for the years
ended June 30, 2023 and 2022 (in thousands):
2023 2022
Balance at July 1 $ 126 $ 1,374

Net (unrealized) and realized (losses) gains (492) 344
Settlements 306 (1,592)
Balance at June 30 $ (60) $ 126
16
June 30, 2023 and 2022
The following table provides a reconciliation of the beginning and ending balances for liabilities measured
at fair value using significant unobservable inputs (Level 3) as defined in ASC 820 for the years ended
June 30, 2023 and 2022 (in thousands):
2023 2022
Balance at July 1 $ (6,704) $ (6,832)

Additions to liabilities (196) (360)
Payments to annuitants 308 399
Terminations of liabilities 1,018 114
Net unrealized losses (80) (25)
Balance at June 30 $ (5,654) $ (6,704)
Marketable securities measured at fair value using Level 3 inputs consist of auction rate securities and
equity investments in various enterprises related to the mission of Habitat.
Auction rate securities require the use of Level 3 inputs to determine their value due to the lack of market
activity and liquidity. Additionally, should Habitat have to sell the underlying securities prior to their maturity
date or in a secondary market, the price received upon sale will be subject to prevailing market conditions.
The underlying assets of the auction rate securities are collateralized primarily by the underlying assets of
certain AAA, AA, and A-rated securities. Management assessed the value of the auction rate securities as
of June 30, 2023 and 2022, using market comparables and/or discounted cash flow valuation approach.
Under the market comparables approach, indications of fair value from the secondary market are used to
estimate the discount from par value based on trading activity for similar securities. The discounted cash
flow approach utilizes a discounted cash flow model in which the expected future cash flows of the Student
Loan Auction Rate Securities are discounted back to the measurement date using a yield that compensates
for illiquidity. Both valuation methods described above take into consideration the risk and uncertainty
associated with the pricing, given limited market activity and information. Management assessed the value
of these securities as of June 30, 2023 and 2022, using a range of supportable market rates based upon
an agreement with a reputable broker or purchaser to buy back these securities at the values stated.
NOTE 4 - CONTRIBUTIONS AND GRANTS RECEIVABLE, NET
Contributions and grants receivable, net, as of June 30 consist of the following (in thousands):
2023 2022
Contributions $ 100,921 $ 111,505

Government grants 623 1,360
101,544 112,865
Less unamortized discount (14,922) (17,598)
86,622 95,267
Less allow ance for uncollectibles (7,599) (5,439)
$ 79,023 $ 89,828
Discount rates ranged from 2.89 percent to 6.97 percent for the year ended June 30, 2023.
17
June 30, 2023 and 2022
These receivables are due as follows as of June 30 (in thousands):

2023 2022
Due in less than one year $ 24,160 $ 24,015

Due in one to five years 54,863 65,813
$ 79,023 $ 89,828
Contributions receivable include donated product amounts of $14,863,000 and $16,173,000 as of June 30,
2023 and 2022, respectively.
Net contributions receivable includes one donor in 2023 and one donor in 2022 whose individual net
outstanding contributions receivable are greater than 10% of the total net outstanding contributions
receivable. As of June 30, 2023 and 2022, the net contributions receivable associated with these gifts
totaled $56,641,000 and $60,831,000, respectively.
NOTE 5 - LOANS TO MICROFINANCE INSTITUTIONS
Loans to microfinance institutions as of June 30, 2023, consist of interest-bearing loans, with interest rates
ranging from 3.30% to 13.00% per annum over terms of five years.
Future principal payments are as follows as of June 30 (in thousands):

2023
2024 $ 16,369
2025 21,333
2026 14,392
52,094
Add value of derivative instruments (355)
Less unrealized loss for currency exchange fluctuations (118)
Less allowance for uncollectibles (4,143)
$ 47,478
As of June 30, 2022 total future principal payments were $52,164, the value of derivative instruments were
$662,000, unrealized losses for currency exchange fluctuations were $1,398,000, and the allowance for
uncollectibles was $4,615,000.
MicroBuild makes loans to microfinance institutions that are working in developing foreign markets and may
be subject to increased risks due to political and regulatory environments, and overall market and economic
factors in those countries. These risks are magnified in countries with emerging markets, since these
countries may have relatively unstable governments and less established markets and economies. At
June 30, 2023 and 2022, all of MicroBuild’s loans to microfinance institutions are with twenty four and
twenty five microfinance institutions in sixteen and seventeen countries, respectively. As of June 30, 2023
and 2022, loans to microfinance institutions in India comprised 8% and 12%, respectively, of the total
outstanding portfolio.
In the event that a microfinance institution is unable to repay its loan according to its original schedule,
MicroBuild pursues collection and workout plans including interest only payments, reduced payments
and/or moratorium on payments, depending on the individual microfinance institution’s circumstances. It is
MicroBuild’s preference not to provide any concession which reduces the loan’s yield; however, there are
some situations that warrant discontinuing interest payments for a certain period of time. Generally,
MicroBuild discontinues interest accrual for all loans on which collection of interest is not reasonably
18
June 30, 2023 and 2022
expected (i.e., once the obligor becomes six months delinquent in paying its interest payments). Interest
income on nonaccrual loans is recognized on a cash basis. Loans are returned to accrual status when all
principal and interest amounts contractually due are brought current and future payments are reasonably
assured. As of June 30, 2023 and 2022, MicroBuild had three loans of approximately $3,000,000 and
$2,500,000, respectively, which are greater than 180 days outstanding. Each of the loans greater than
180 days outstanding were fully reserved at June 30, 2023 and 2022.
Activity in the allowance for loan losses on loans to microfinance institutions is as follows for the years
ended June 30 (in thousands):
2023 2022
Balance at beginning of year $ 4,615 $ 3,805

Allow ance for loan losses 109 1,065
Recovery of previous loan provision (581) (255)
Balance at end of year $ 4,143 $ 4,615
Under ASC Topic 310-10, Accounting by Creditors for Impairment of a Loan, a loan is considered impaired
when, based on current information, it is probable that an entity will not receive all amounts due in
accordance with the contractual terms of the underlying loan agreement. The fair value of the loan is then
compared with the recorded investment in the loan to determine whether or not a specific reserve is
necessary.
The percentage of portfolio analysis for the impaired loans as of June 30, 2023 and 2022 is as follows (in
thousands):
Percent of Percent of
June 30, 2023 Portfolio June 30, 2022 Portfolio
Investment in impaired loans $ 4,406 9% $ 4,347 9%

Allow ance for loan losses on impaired loans 3,862 8% 3,754 8%
Remaining potential exposure, as of June 30 544 1% 593 1%
MicroBuild makes loans in foreign currencies, subject to various limitations, to accommodate clients who
do not have access to U.S. currency. The portfolio includes loans made in several foreign currencies as
listed below with the U.S. Dollar ($) equivalent as of June 30, 2023 and 2022 as follows (in thousands):
Currency 2023 2022
U.S. Dollar $ 31,974 $ 30,473

Euro 11,187 7,841
Indian Rupee 4,358 6,174
Guatemalan Quetzal - 2,000
Peruvian New Sol 2,000 1,000
Moldovan Leu 1,122 1,122
Tunisian Dinar 703 1,054
Dominican Peso - 1,000
Indonesian Rupiah 750 1,500
$ 52,094 $ 52,164
19
June 30, 2023 and 2022
NOTE 6 - DUE FROM AFFILIATES, NET

2023 2022
SHOP grant $ 3,321 $ 3,523

Advances for EU grants 950 1,521
Note receivable from national organization 845 167
Other 1,733 1,279
6,849 6,490
Less allow ance for uncollectibles (808) (710)
$ 6,041 $ 5,780
Certain amounts included in the allowance for uncollectible accounts may be forgiven in the future and
treated as program transfers to affiliates.
NOTE 7 - AVAILABILITY OF FINANCIAL ASSETS
Habitat’s financial assets available within one year of the statement of financial position date for general
expenditure are as follows (in thousands):
2023 2022
Cash and cash equivalents $ 110,666 $ 152,005

Investments 275,081 233,318
Receivables 24,160 24,015
Total financial assets available within one year 409,907 409,338
Less:
Board-designated for operating reserve unavailable to management
without Board approval (68,356) (67,523)
Management designation of unrestricted donation (22,157) (24,973)
Net assets with donor purpose restrictions (103,807) (102,854)
Program advances (17,805) (25,099)
Investments with maturities greater than one year (20,554) (20,603)
Restricted cash (904) (904)
$ 176,324 $ 167,382
Habitat structures its financial assets to be available as its general expenditures, liabilities, and other
obligations come due. To help manage unanticipated liquidity needs, Habitat maintained lines of credit in
the aggregate amount of $10,000,000 during the year ended June 30, 2023, which was available to be
drawn upon, but was not drawn upon during the year. Further, Habitat maintains an operating reserve
included as part of cash and cash equivalents on the accompanying consolidated statements of financial
position.
20
June 30, 2023 and 2022
NOTE 8 - LAND, BUILDINGS, AND EQUIPMENT, NET
Land, buildings, and equipment, net, as of June 30 consist of the following (in thousands):
2023 2022
Land $ 221 $ 613

Buildings and leasehold improvements 12,793 13,915
Computer hardware and software 11,121 11,441
Computer hardware and software under finance leases 2,165 2,779
Furniture and equipment, other 4,846 5,076
Vehicles 2,259 2,168
33,405 35,992
Less accumulated depreciation and amortization (25,508) (25,756)
$ 7,897 $ 10,236
Other supplemental disclosures related to land, buildings, and equipment are as follows for the years ended
June 30 (in thousands):
2023 2022
Depreciation $ 1,727 $ 2,134

Amortization on assets under finance leases 532 568
Accumulated amortization on finance leases 1,329 1,410
NOTE 9 - NOTES PAYABLE, NET
Notes payable, net, as of June 30 consist of the following (in thousands):

2023 2022
Notes payable to U.S. International Development Finance Corporation (DFC) (formerly OPIC)
secured by letters of credit, payable in quarterly installments of interest only at rates
ranging from 2.17% to 3.84% per annum, with the principal sum due in
full no later than January 15, 2025 $ 40,500 $ 49,600
Non-interest-bearing performance based note payable 4,900 4,900
Note payable to State Bank of India, secured by the receivables
of MicroBuild India, payable in quarterly installments of principal and interest of
10.45% beginning August 31, 2021 with the final payment due July 31, 2024 26 140
45,426 54,640
Less unamortized debt issuance costs (112) (145)
Notes payable, net of unamortized debt issuance costs $ 45,314 $ 54,495
Future principal payments are as follows (in thousands):

Am ount
2024 $ 16,026
2025 24,500
2026 3,900
2027 1,000
$ 45,426
21
June 30, 2023 and 2022
The notes payable to Nabsamruddhi Finance Limited and State Bank of India are payable in the Indian
Rupee (INR) and have been converted to United States Dollar (USD) for disclosure.
On June 22, 2012, MicroBuild, a limited liability company in which Habitat has a controlling interest, entered
into a $45,000,000 limited liability loan agreement with the U.S. International Development Finance
Corporation (DFC - formerly OPIC), an agency of the United States. MicroBuild’s three equity investors are
required to match the remaining $5,000,000 for this $50,000,000 project. Additionally, Habitat is required
to provide $5,000,000 in guarantor letters of credit. These funds are then lent to microfinance institutions in
various countries around the world. As of June 30, 2019, all of these commitments had been met by the
three equity members, and the full amount had been drawn down from DFC.
Additionally, on May 18, 2016, MicroBuild entered into a second $45,000,000 loan agreement with DFC.
One new investor was added during the year ended June 30, 2016. MicroBuild’s equity members have
committed to contribute the remaining $5,000,000 for this $50,000,000 project. Additionally, Habitat must
provide $5,000,000 in guarantor letters of credit for the full loan agreement. As of June 30, 2021, all of
these commitments had been met by the equity members, and the full amount had been drawn down from
DFC.
MicroBuild is subject to certain covenants defined in the loan agreements with DFC, which include
maintaining a specified ratio of the total of historical write-offs and the outstanding principal and interest
accrued for nonperforming loans to the total assets of the fund. MicroBuild has received a waiver from DFC
for this covenant through October 2023.
NOTE 10 - INVESTOR NOTES PAYABLE
Future principal payments on investor notes payable for the years ending June 30 are as follows (in
thousands):
Am ount
2024 $ 1,041
2025 865
2026 17,531
2027 13,476
2028 556
Thereafter 131
$ 33,600
Interest expense during the years ended June 30, 2023 and 2022, totaled $603,000 and $702,000,
respectively.
Investor notes payable require Habitat to monitor the compliance by each affiliate participating in this
program with the terms and conditions of the agreement.
NOTE 11 - ENDOWMENT NET ASSET CLASSIFICATION
Habitat’s endowment increased by $26,013,000 during fiscal 2023, for a total of $58,978,000. Habitat’s
endowment consists of 30 individual funds established by donors to provide annual funding for a variety of
purposes.
22
June 30, 2023 and 2022
Interpretation of Relevant Law - The HFHI Board of Directors has interpreted the Georgia Uniform Prudent
Management of Institutional Funds Act (“UPMIFA”) of 2008 as requiring the assets of an endowment fund
be donor-restricted until appropriated for spending, unless otherwise specifically stated in the gift
instrument.
The Board believes its interpretation is consistent with its established board-approved investment and
spending policy. In accordance with the investment policy and UPMIFA, all restricted endowment assets
are invested on a pooled basis until appropriated for spending.
As a result of this interpretation, for accounting and financial reporting purposes, Habitat classifies the
historic dollar value of assets received as its donor-restricted endowment, including any subsequent gifts
and any accumulations to donor-restricted endowments made in accordance with the direction of the
applicable donor gift instruments as net assets with donor restrictions.
In fiscal year 2023, the International Board of Directors approved and designated $20,000,000 as a quasi-
endowment. The earnings on these funds are to function as unrestricted support of the general mission of
Habitat.
Funds with Deficiencies - From time to time, certain donor-restricted endowment funds may have fair values
less than the amount the donor or UPMIFA requires Habitat to retain as a fund of perpetual duration.
Return Objectives and Risk Parameters - Habitat has adopted investment and spending policies for
endowment assets that attempt to provide a predictable stream of funding to programs supported by its
endowment while seeking to maintain the historic dollar value of the endowment assets. Endowment assets
include those assets of donor-restricted funds the organization must hold in perpetuity. Under this policy,
as approved by the Board of Directors, the endowment assets are invested in a manner that is intended to
produce results that exceed the price and yield results of benchmark indexes of similar asset classes while
assuming a moderate level of investment risk. The targeted long-term rate of the return on net assets, net
of fees, which is approximately 5.5 percentage points greater than the anticipated rate of inflation as
measured by the Consumer Price Index. This return objective incorporates expectations of 3 - 5% spending
and 1% growth. Actual returns in any given year may vary from this amount.
Strategies Employed for Achieving Objectives - To satisfy its long-term rate-of-return objectives, Habitat
relies on a total return strategy in which investment returns are achieved through both capital appreciation
(realized and unrealized) and current yield (interest and dividends). Habitat targets a diversified asset
allocation to achieve its long-term return objectives within prudent risk constraints.
Spending Policy and How the Investment Objectives Related to Spending Policy - In accordance with
UPMIFA, Habitat considers the following factors in making a determination to appropriate and allocate
assets for spending or accumulate assets of an endowment fund:
1. The duration and preservation of the endowment fund

2. The purposes of Habitat and its endowment fund
3. General economic conditions
4. The possible effect of inflation and deflation
5. The expected total return from income and the appreciation of endowment investments
6. Other resources of Habitat
7. The investment policies of Habitat
23
June 30, 2023 and 2022
Endowment net asset changes for the years ended June 30, 2023 and 2022 (in thousands):
2023 2022
Endowment net assets, beginning $ 32,965 $ 4,420
Investment gain (loss), net 5,070 (786)
Endowment cash additions 21,167 29,507
Appropriation of endowment assets for expenditure (224) (176)
$ 58,978 $ 32,965
Endowment net asset composition by type of fund as of June 30, 2023 and 2022 (in thousands):
2023
Without Donor With Donor

Total Restrictions Restrictions
Donor-restricted endowments $ 38,978 $ - $ 38,978
Funds functioning as endowments (board-designated) 20,000 20,000 -
$ 58,978 $ 20,000 $ 38,978
2022
Without Donor With Donor

Total Restrictions Restrictions
Donor-restricted endowments $ 32,965 $ - $ 32,965
Funds functioning as endowments (board-designated) - - -
$ 32,965 $ - $ 32,965
NOTE 12 - NET ASSETS
Net assets with donor restrictions consist of the following as of June 30 (in thousands):
2023 2022
Geographically restricted $ 21,131 $ 19,916

Programmatic restrictions for mission related projects 82,675 82,938
Time restricted (collections of pledges) 78,400 88,468
Endow ment investment in perpetuity, the earnings thereon restricted
to mission related projects 33,462 32,434
$ 215,668 $ 223,756
24
June 30, 2023 and 2022
Net assets released from donor restrictions by incurring expenses satisfying the restricted purposes or by
the passage of time for the years ended June 30, are as follows (in thousands):
2023 2022
Release of net assets:

Geographically restricted $ 25,889 $ 17,561
Programmatic restrictions for mission-related projects 86,084 87,909
Time restrictions (collections of pledges) 18,636 15,197
$ 130,609 $ 120,667
On May 12, 2016, the IKEA Foundation committed contributions to fund a project to improve the health and
well-being of families with children by stimulating an affordable, accessible and environmentally responsible
housing demand and supply chain in India and Kenya. The project is being completed in two phases, and
for the years ended June 30, 2023 and 2022, the activity of the project was as follows (in thousands):
For the year ended June 30 2023 2022
Phase 1
Released from restrictions $ - $ 25
Phase 2
Released from restrictions $ 10 $ 398
Net assets without donor restrictions consist of the following as of June 30 (in thousands):
2023 2022
Undesignated controlling interests $ 108,493 $ 118,371

Noncontrolling interests 9,167 9,147
Board-designated for operating reserve unavailable to management
without Board approval 68,356 67,523
Quasi-endowment authorized by the board of directors 20,000 -
Management designation of unrestricted donation 22,157 24,973
$ 228,173 $ 220,014
25
June 30, 2023 and 2022
NOTE 13 - REVENUE FROM GOVERNMENT GRANTS AND SUBCONTRACTS
Federal awards received and expended for the years ended June 30 consist of the following (in thousands):
2023 2022
SHOP $ 3,994 $ 3,290

Capacity Build 5,237 6,336
Veterans Housing Rehabilitation and Modification Program 769 437
AmeriCorps/Vista 3,434 3,833
USAID 620 1,352
CDFI Institutions 2,577 2,140
Other 341 71
Governm ent grants per the consolidated statem ents of activities 16,972 17,459
Increase (decrease) in USAID Fellow s 3 due to credits to expense multi-year crossover - 1
Increase in HUD due to closed grant 48 18
Increase in HUD due to pending approval of environmental review 52 (52)
Total expenditures of federal aw ards $ 17,072 $ 17,426
NOTE 14 - EMPLOYEE BENEFITS
Full-time Habitat employees who elect to participate are provided health and death benefits through the
Habitat for Humanity International Welfare Benefit Plan (the Plan). The Plan requires contributions by
participants. Expenses incurred by Habitat in connection with the Plan, which is partially self-insured, totaled
$9,242,000 and $10,441,000 for the years ended June 30, 2023 and 2022, respectively.
Habitat provides through the Habitat for Humanity Retirement Plan (the Retirement Plan), a defined
contribution retirement plan to eligible plan participants. There are three components to the plan:
(1) participant contributions, (2) a Habitat match equal to 100% of the first 6% of wages contributed by
participants, and (3) a discretionary annual contribution by Habitat to each eligible participant’s account.
Participants are fully vested in Habitat’s contributions after three years of service. Habitat’s contributions to
the Retirement Plan totaled $3,444,000 and $3,010,000 for the years ended June 30, 2023 and 2022,
respectively.
NOTE 15 - LEASES
Upon adoption, ASC 842 Leases had an impact on Habitat’s consolidated statement of financial position
and on its consolidated statement of cash flows. As part of the transition, Habitat elected the following
practical expedients:
 Package of practical expedients which eliminates the need to reassess (1) whether any expired or
existing contracts are or contain leases; (2) the lease classification for any expired or existing
leases; and (3) the initial direct costs for any existing leases.
 The practical expedient whereby the lease and non-lease components will not be separated for all
classes of assets.
 Not to recognize right-of-use (“ROU”) assets and corresponding lease liabilities with a lease term
of 12 months or less from the lease commencement date.
26
June 30, 2023 and 2022
 Use the rate implicit in the lease whenever that rate is readily determinable. Otherwise, the risk-
free rate (such as government treasury bills) will be used.
Habitat assesses whether an arrangement qualifies as a lease (i.e., conveys the right to control the use of
an identified asset for a period of time in exchange for consideration) at inception and only reassesses its
determination if the terms and conditions of the arrangement are changed.
For existing leases, Habitat did not elect the use of hindsight and did not reassess lease term upon adoption.
Habitat adjusted the opening ROU asset balance based on its remaining deferred rent liabilities. On July 1,
2022, Habitat recorded $11,651,000 in operating lease ROU assets and related operating lease liabilities.
The adoption of ASC 842 had no significant impact on Habitat’s profit and loss.
The following summarizes the line items in the statements of financial position which include amounts for
operating and finance leases as of June 30 (in thousands):
2023 2022
Finance leases
Property and equipment $ 2,165 $ 2,779
Accumulated depreciation (1,329) (1,410)
Property and equipment, net $ 836 $ 1,369
The following summarizes the line items in the statements of activities which include the components of
lease expense for the year ended June 30 (in thousands):
2023
Operating lease expense $ 2,287
Finance lease costs

Amortization of lease assets 532
Interest on lease liabilities 40
Total finance lease costs $ 572
The following summarizes cash flow information related to leases for the year ended June 30 (in
thousands):
2023
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flow from operating leases $ 2,287
Operating cash flow from finance leases 40
Financing cash flow from finance leases 538
27
June 30, 2023 and 2022
Future minimum lease payments for lease ROU assets as of June 30, 2023 are as follows (in thousands):
Operating Finance
2024 $ 2,299 $ 513

2025 2,340 300
2026 2,257 133
2027 2,202 -
2028 2,263 -
Thereafter 3,294 -
Total lease payments 14,655 946
Less: interest (4,000) (117)
Present value of lease liabilities $ 10,655 $ 829
The following table represents the weighted-average remaining lease term and discount rate as of June 30,
2023:
2023
Operating leases:
Weighted average remaining lease terms (years) 5.7
Weighted average discount rate 1.53%
The components of lease cost for operating leases as follows (in thousands) as of June 30, 2023:
2023
Operating lease cost $ 2,281

Short term lease cost 210
Variable lease costs -
Total $ 2,491
The lease costs are reflected in the Consolidated Statement of Functional Expenses in Office Expenses
and have been functionally allocated based on the use of the office space.
Disclosures Related to Periods Prior to Adoption of ASC 842
Rent expense under operating leases amounted to $2,296,000 for the year ended June 30, 2022. Rent
expense related to lease agreements was recognized on a straight-line basis over the lease term.
28
June 30, 2023 and 2022
Future minimum lease payments under non-cancelable operating leases as of June 30, 2022 are as follows
(in thousands):
2022
2024 $ 2,300
2025 2,332
2026 2,239
2027 2,171
2028 2,233
Thereafter 3,240
Total minimum payments $ 14,515
NOTE 16 - CONTINGENCIES
Habitat is a defendant with respect to various claims that have occurred in the normal course of its business.
Management and legal counsel believe the ultimate resolution of these claims will not have a material
impact on Habitat’s consolidated financial statements.
NOTE 17 - AFFILIATE PROGRAMS
International and U.S. national organizations and affiliates are independent, not-for-profit groups that are
approved by regional, area, or national offices of Habitat and operate under an affiliation agreement with
Habitat. All affiliates are encouraged to be self-supporting in their fundraising efforts; however, Habitat also
solicits contributions, both cash and donated product, on behalf of its affiliates. Habitat retains variance
power with respect to these contributions. Habitat has transferred cash and donated assets totaling
$148,216,000 and $120,946,000 in 2023 and 2022, respectively, to international and U.S. national
organizations and affiliates.
Some affiliates in developing countries, where severely limited resources constrain local fundraising,
receive the majority of their funding from Habitat. All U.S. affiliates are expected to contribute a portion of
their unrestricted cash contributions to support Habitat’s work outside their own country. These
contributions totaled $18,563,000 and $24,404,000 in 2023 and 2022, respectively.
Habitat agreed to guarantee a $590,000 mortgage note made on February 1, 1999, for Uptown Habitat for
Humanity, Inc. (Uptown). The obligation is payable to the Illinois Housing Development Authority (IHDA), a
body created by and existing pursuant to the Illinois Development Act and is due and payable on August 1,
2028. The note is secured by mortgages that were assigned by Uptown to IHDA, pursuant to a prior loan
agreement between Uptown and IHDA.
Habitat offers a program to U.S. affiliates to guarantee certain bond issuances in the event of default by an
affiliate. The total amount guaranteed by Habitat under the program at June 30, 2023 and 2022 was
$4,257,000 and $5,316,000, respectively.
NOTE 18 - RELATED-PARTY TRANSACTIONS
For the years ended June 30, 2023 and 2022, Habitat recorded $22,317,000 and $13,920,000 in
contributions, respectively, and $8,176,000 and $5,028,000 in pledge payments, respectively, from
members of Habitat’s International Board of Directors (IBOD) and Habitat’s Officers or from companies that
29
June 30, 2023 and 2022
they or their families represent. As of June 30, 2023 and 2022, Habitat had $81,060,000 and $80,900,000
of pledges receivable, respectively, from members of Habitat’s IBOD or from companies that they or their
families represent.
An officer of Habitat sits on the board of a digital marketing company that Habitat does business with. He
has no engagement in any decisions to purchase their services. The total paid to this company in the years
ending June 30, 2023 and 2022 was $1,592,000 and $389,000, respectively.
Several members of the IBOD are also on the Board of their respective national organizations. They all
serve as volunteers and have no financial interest in the national organization.
NOTE 19 - SUBSIDIARY AND RELATED ENTITIES’ STATEMENTS OF FINANCIAL POSITION AND

STATEMENTS OF ACTIVITIES
On July 15, 2011, MicroBuild was formed. Habitat is a 51% owner of MicroBuild. The purpose of MicroBuild
is to make loans to qualified microfinance institutions for the purpose of lending to housing projects in
impoverished communities.
On March 25, 2011, MicroBuild India was formed. Habitat is a 74.79% owner of MicroBuild India. The
purpose of MicroBuild India is to make loans to qualified microfinance institutions for the purpose of lending
to housing projects in impoverished communities.
The statements of financial position of Habitat’s subsidiary and related entities before elimination and
consolidation entries as of June 30, 2023 are as follows (in thousands):
MicroBuild MicroBuild India Total
Assets
Cash and cash equivalents $ 7,865 $ 2,115 $ 9,980
Restricted cash reserves 904 - 904
Loans to microfinance institutions, net 46,514 1,269 47,783
Other receivables and prepaids, net 815 4,711 5,526
Property and equipment, net - 24 24
Total assets $ 56,098 $ 8,119 $ 64,217

Liabilities:
Accounts payable and accrued expenses $ 490 $ 68 $ 558
Derivative instruments, at fair value 354 - 354
Loans payable 40,388 26 40,414
Total liabilities 41,232 94 41,326
Net assets:
Retained earnings and members' equity:
Retained earnings and members' equity 7,638 6,085 13,723
Minority interest 7,228 1,940 9,168
Total retained earnings and members' equity 14,866 8,025 22,891
Total liabilities and net assets $ 56,098 $ 8,119 $ 64,217
30
June 30, 2023 and 2022
The statements of financial position of Habitat’s subsidiary and related entities before elimination and
consolidation entries as of June 30, 2022 are as follows (in thousands):
MicroBuild MicroBuild India Total
Assets
Cash and cash equivalents $ 18,797 $ 1,508 $ 20,305
Restricted cash reserves 904 - 904
Loans to microfinance institutions, net 43,162 2,870 46,032
Derivative instruments, at fair value 661 - 661
Other receivables and prepaids, net 1,094 4,163 5,257
Property and equipment, net - 31 31
Total assets $ 64,618 $ 8,572 $ 73,190

Liabilities:
Accounts payable and accrued expenses $ 403 $ 61 $ 464
Loans payable 49,455 362 49,817
Total liabilities 49,858 423 50,281
Net assets:
Retained earnings and members' equity:
Retained earnings and members' equity 7,584 6,178 13,762
Minority interest 7,176 1,971 9,147
Total retained earnings and members' equity 14,760 8,149 22,909
Total liabilities and net assets $ 64,618 $ 8,572 $ 73,190
31
June 30, 2023 and 2022
The statements of activities (income statements) for Habitat’s subsidiary and related entities before
elimination and consolidation entries for the year ended June 30, 2023 are as follows (in thousands):
MicroBuild
MicroBuild India Total
Operating revenue:
Interest and other income, net $ 3,093 $ 944 $ 4,037
Provision for loan loss (109) (370) (479)
Total operating revenue, net 2,984 574 3,558
Operating expenses:
Program services:
Professional fees 23 34 57
Interest expense 1,348 7 1,355
Other expenses 1,076 519 1,595
Total program services 2,447 560 3,007
Fundraising - - -
Management and general - - -
Total supporting services - - -
Total operating expenses 2,447 560 3,007
Net loss from operations 537 14 551
Non-operating gains and losses:

Unrealized gain on derivative instrument 1,136 96 1,232
Unrealized loss on foreign exchange fluctuations (1,567) (234) (1,801)
Non-operating (loss), net (431) (138) (569)
Net gain/(loss) $ 106 $ (124) $ (18)
32
June 30, 2023 and 2022
The statements of activities (income statements) for Habitat’s subsidiary and related entities before
elimination and consolidation entries for the year ended June 30, 2022 are as follows (in thousands):
MicroBuild
MicroBuild India Total
Operating revenue:
Interest and other income, net $ 3,450 $ 1,299 $ 4,749
Provision for loan loss (102) (366) (468)
Total operating revenue, net 3,348 933 4,281
Operating expenses:
Program services:
Professional fees 8 41 49
Interest expense 1,663 32 1,695
Other expenses 783 904 1,687
Total program services 2,454 977 3,431
Fundraising - - -
Management and general - - -
Total supporting services - - -
Total operating expenses 2,454 977 3,431
Net loss from operations 894 (44) 850
Non-operating gains and losses:

Unrealized gain on derivative instrument 933 94 1,027
Unrealized loss on foreign exchange fluctuations (1,408) (497) (1,905)
Non-operating (loss), net (475) (403) (878)
Net gain/(loss) $ 419 $ (447) $ (28)
Interest and other income, net, is included in other income, net, in the accompanying consolidated
statements of activities. Professional services are included in professional services - other in the
accompanying consolidated statements of functional expenses. Interest expense is included in interest,
service charges, and taxes in the accompanying consolidated statements of functional expenses. Program
expenses are included in the appropriate natural classification in the accompanying consolidated
statements of functional expenses.
33
June 30, 2023 and 2022
NOTE 20 - CONSOLIDATING SCHEDULE OF FINANCIAL POSITION
As of June 30, 2023, the consolidating statement of financial position of Habitat is as follows (in thousands):
Habitat for
Hum anity
International,
June 30, 2023 Inc. Affiliates Elim inations Consolidated
Assets
Cash and cash equivalents $ 101,406 $ 9,260 $ - $ 110,666
Investments at fair value 273,776 1,305 - 275,081
Receivables:
Contributions and grants, net 79,023 - - 79,023
Affiliate notes, net 26,605 - - 26,605
Due from affiliates, net 6,041 - - 6,041
Loans to microfinance institutions, net 46,209 1,269 - 47,478
Institutional loans and mortgages
receivable, net - 4,762 4,762
Other, net 6,860 3,073 (127) 9,806
Total receivables 164,738 9,104 (127) 173,715
Inventories, net 5,954 89 - 6,043
Prepaids and other assets 10,433 67 (5,722) 4,778
ROU assets 10,655 - - 10,655
Land, buildings, and equipment - net 7,474 423 - 7,897
Total assets $ 574,436 $ 20,248 $ (5,849) $ 588,835

Accounts payable and accrued expenses $ 27,772 $ 1,503 $ - $ 29,275
Program advances 16,666 1,139 - 17,805
Capitalized lease obligations 829 - - 829
Lease liability, ROU assets 10,655 - - 10,655
Due to affiliates 2,083 - (221) 1,862
Notes payable, net 45,400 (86) - 45,314
Charitable gift annuities 5,654 - - 5,654
Investor notes payable 33,600 - - 33,600
Total liabilities 142,659 2,556 (221) 144,994
Net assets:
Without donor restrictions:
Controlling interests 208,881 15,721 (5,628) 218,974
Noncontrolling interests 7,228 1,971 - 9,199
216,109 17,692 (5,628) 228,173
With donor restrictions 215,668 - - 215,668
Total net assets 431,777 17,692 (5,628) 443,841
Total liabilities and net assets $ 574,436 $ 20,248 $ (5,849) $ 588,835
“Affiliates” as used in the footnote presented above includes the following entities: eleven national
organizations that are registered as part of Habitat, Habitat for Humanity - Middle East, and MicroBuild
India.
34
June 30, 2023 and 2022
NOTE 21 - SUBSEQUENT EVENTS
Habitat has evaluated the need for adjustments and/or disclosure resulting from subsequent events in these
consolidated financial statements through November 20, 2023, the date that the consolidated financial
statements were available to be issued. During this period, there were no subsequent events that required
recognition in the consolidated financial statements.
35

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Consolidated Financial Statements and

Report of Independent Certified Public

Habitat for Humanity International, Inc.

June 30, 2023 and 2022

Report of Independent Certified Public Accountants 1

Consolidated Financial Statements

Consolidated statements of financial position 3

Consolidated statements of activities 4

Consolidated statements of functional expenses 5

Consolidated statements of cash flows 6

Notes to consolidated financial statements 7

D +1 212 599 0100

To the Governing Board

Report on the financial statements

In our opinion, the accompanying consolidated financial statements present fairly, in

Basis for opinion

Responsibilities of management for the financial statements

Auditor’s responsibilities for the audit of the financial statements

In performing an audit in accordance with US GAAS, we:

 Exercise professional judgment and maintain professional skepticism throughout

We are required to communicate with those charged with governance regarding,

New York, New York

CONSOLIDATED STATEMENTS OF FINANCIAL POSITION

Liabilities and net assets

CONSOLIDATED STATEMENTS OF ACTIVITIES

Revenues, support, and gains

CONSOLIDATED STATEMENTS OF FUNCTIONAL EXPENSES

CONSOLIDATED STATEMENTS OF CASH FLOWS

Years ended June 30,

For the year ended June 30: 2023 2022

(Decrease) increase in cash and cash equivalents (41,339) 56,972

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

June 30, 2023 and 2022

NOTE 1 - ORGANIZATION AND PURPOSE

NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

1. Habitat’s area and regional offices.

Cash and Cash Equivalents

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED

June 30, 2023 and 2022

Investor Notes Payable

Investor notes payable 2.0% to 5.0% 2.0% to 5.0%

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED

June 30, 2023 and 2022

Due From/To Affiliates

Loans to Microfinance Institutions

Allowance for Loan Losses

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED

June 30, 2023 and 2022

Land, Buildings, Finance Leases, and Equipment

Charitable Gift Annuities

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED

June 30, 2023 and 2022

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED

June 30, 2023 and 2022

Donated Product and Contributed Services

Donated product for use in construction $ 19,169 $ 11,753

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED

June 30, 2023 and 2022