TOL
Toll Brothers Inc.
Is TOL Halal?
Luxury homebuilder — upscale residential construction.
What You Should Know
Toll Brothers builds luxury homes. Core construction and real estate services are permissible. Its April 2026 Form 10-Q reports $14,533.176 million of assets, $2,783.692 million of interest-bearing debt, $1,230.837 million of cash including escrow, $685.287 million of conservative receivables and $2,531.230 million of quarterly revenue. Debt/assets is 19.15%, receivables-plus-cash/assets is 13.18%, and disclosed interest income is 0.27%; mortgage and ancillary real-estate activities remain qualitative concerns.
⚠️ Concerns
- •Moderate debt
- •Housing cyclicality
- •Mortgage-company funding and loans held for sale
- •Joint ventures, escrow deposits and ancillary businesses require review
Current quantitative Sharia screen
Based on 10-Q figures for the period ended 2026-04-30; calculated 2026-07-14.
2,783.692 / 14,533.176
1,230.837 / 14,533.176
1,916.124 / 14,533.176
6.925 / 2,531.23
- Financial
- Pass
- Overall
- Incomplete
Debt/assets is 19.15%, liquidity/assets is 8.47%, receivables-plus-cash/assets is 13.18% and disclosed interest income/revenue is 0.27%; activity classification remains incomplete.
- Financial
- Pass
- Overall
- Incomplete
Debt, liquidity and receivables-plus-cash ratios are below the examined MSCI total-assets limits; mortgage activity remains incomplete.
- Financial
- Pass
- Overall
- Incomplete
Debt/assets and identifiable conventional liquidity/assets are below the examined Malaysia limits; this is not an official SAC classification and activity remains incomplete.
- Financial
- Not calculated
- Overall
- Incomplete
A properly licensed and reproducible historical market-cap series is not stored.
Business-activity disclosure
Toll Brothers builds luxury homes and develops residential real estate. The core construction activity is generally permissible, while its mortgage-company facility, land programs and ancillary real-estate operations require continuing qualitative review.
Limitation: The filing disaggregates homebuilding and land revenue but does not isolate a universal prohibited-revenue numerator for mortgage, investment or ancillary activities.
Purification
Toll Brothers discloses $6.925 million of interest income, below the examined income thresholds, but ZakatInvest does not prescribe a fixed scholar-approved purification percentage.
Inputs, assumptions and primary sources
- Amounts are USD millions from Toll Brothers' April 30, 2026 Form 10-Q.
- Interest-bearing debt includes $903.336 million of loans payable, $1,742.154 million of senior notes and $138.202 million of the mortgage-company loan facility.
- Cash includes $1,105.511 million of cash and equivalents plus $125.326 million of customer deposits held in escrow.
- Accounts receivable conservatively includes $543.805 million of receivables, prepaid expenses and other assets plus $141.482 million of mortgage loans held for sale.
- Quarterly revenue is $2,531.230 million and separately disclosed interest income is $6.925 million.
This is a reproducible financial screen, not a fatwa. A failed total-assets screen can coexist with a pass under a market-cap methodology. ZakatInvest keeps the qualitative assessment separate so numerical thresholds do not erase material context.
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