NYSE$BLND

Blend Labs Inc. · Q1 2024 earnings

Q1 2024 earnings · · Investor relations

Briefing

Blend's Q1 2024 financial performance was reported, with revenue meeting guidance and operating loss outperforming targets.

Blend Labs, Inc. announced its Q1 2024 financial results, highlighting revenue of $34.9 million, composed of Blend Platform segment revenue of $23.8 million and Title segment revenue of $11.1 million. The company improved its cash burn, resulting in unlevered free cash flow for the quarter of $(1.3) million.

  • Received a $150 million investment from Haveli Investments, marking the beginning of a new chapter for Blend and the establishment of a long-term partnership.
  • Paid down the full balance of the term loan, eliminating interest and servicing costs.
  • GAAP net operating loss significantly decreased compared to the same period last year.
  • Made significant progress on important customer deployments, including going live with Michigan Schools and Government Credit Union.

Headline financials

Total Revenue

$34.9M

Previous: $37.3M-6.4%
EPS

-$0.09

Previous: -$0.15+40.0%
GAAP Gross Margin

67.0%

No prior period
Non-GAAP Gross Margin

68.0%

No prior period
Non-GAAP Operating Margin

-47.0%

No prior period
Free Cash Flow Margin

-21.0%

No prior period
Non-GAAP Software Margin

76.0%

No prior period
Capital Expenditures

-$1.96M

No prior period
Free Cash Flow

-$20.7M

Previous: -$65.4M+68.4%
Net Income

-$20.7M

Previous: -$65.4M+68.4%
Operating Income

-$21.2M

Previous: -$61.4M+65.5%
Gross Profit

$18.1M

Previous: $15.9M+14.4%
Cash & Equivalents

$84.5M

Previous: $46.2M+83.0%
Total Assets

$202M

Previous: $385M-47.7%
R&D Expense

$14.2M

No prior period
Stock-Based Comp

$8.07M

Previous: $16.4M-50.8%

Revenue & EPS history

Blend · Revenue · Quarterly

$34.9M

Q1 2024-6.4%vs Q1 2023
Beat estimate in 12 of 15 quarters(80%)
ActualEstimate

Revenue by segment

Blend · $28.6M total across 3 segments · Q3 2023

  • Mortgage Suite
    $20.3M
  • Consumer Banking Suite
    $6.2M
  • Professional Services
    $2.14M+147.1%

Forward guidance

Blend is providing guidance for the second quarter of 2024 as follows: Blend Platform Segment Revenue $27.0 – $30.0, Title Revenue $10.5 – $11.5, Blend Labs, Inc. Consolidated Revenue $37.5 – $41.5, Non-GAAP Net Operating Loss ($10.5) – ($7.5)

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q1 2024

Historical avgQ1 2024

+1.6%

Avg return

Earnings day

+0.4%

Avg return

5 days after

-7.0%

Avg return

30 days after

50%

12 / 24 earnings

Positive

+40.1%

Q1 2023

Best reaction

-37.9%

Q4 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+1.9%-11.9%+0.6%
Q4 2025+11.8%-9.8%-12.9%
Q3 2025-7.5%-6.8%-3.4%
Q1 2025+7.3%+9.7%+13.7%
Q4 2024-10.8%-11.4%+1.4%
Q3 2024+16.8%+25.0%+40.8%
Q2 2024+23.6%+40.8%+25.8%
Q1 2024+15.4%+16.2%+10.4%
Q4 2023+7.7%+24.5%-3.1%
Q3 2023-3.5%-14.8%+12.7%
Q2 2023+13.5%+7.1%-11.9%
Q1 2023+40.1%+36.8%+46.3%
Q4 2022-37.9%-32.7%-48.2%
Q3 2022+11.8%+16.6%-33.7%
Q2 2022+16.8%+2.0%+1.6%
Q1 2022+27.3%+18.0%+2.8%
Q4 2019-20.3%-17.3%-28.4%
Q4 2021-20.3%-17.3%-28.4%
Q3 2020-5.6%-8.6%-40.8%
Q3 2021-16.7%-16.5%-47.2%
Q4 2020-8.7%-8.7%-16.0%
Q2 2020-8.7%-8.7%-16.0%
Q1 2021-8.7%-8.7%-16.0%
Q2 2021-7.4%-13.1%-17.4%
Q1 2020

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