Business
Opendoor Announces First Quarter of 2023 Financial Results
SAN FRANCISCO, May 04, 2023 (GLOBE NEWSWIRE) -- Opendoor Technologies Inc. (Nasdaq: OPEN), a leading e-commerce platform for residential real estate
About this update from Opendoor Technologies Inc
[{"type":"text","content":"SAN FRANCISCO, May 04, 2023 (GLOBE NEWSWIRE) -- Opendoor Technologies Inc. (Nasdaq: OPEN), a leading e-commerce platform for residential real estate transactions, today reported financial results for its quarter ended March 31, 2023. Opendoor’s first quarter of 2023 financial results and management commentary can be accessed through the Company’s shareholder letter on the “Quarterly Reports” page of Opendoor’s investor relations website at https://investor.opendoor.com. “At Opendoor, our vision is to build the most trusted e-commerce platform for residential real estate. We have dedicated the last nine years to delivering on this vision and we stand alone in giving customers the ability to move with simplicity and certainty,” said Carrie Wheeler, CEO of Opendoor. Wheeler continued, “Our Q1 results demonstrate our progress in navigating the housing market transition against an uncertain macro backdrop. We exceeded our sell-through expectations for our longest-held homes and continued to build a new book of inventory with strong margin performance. We also took further actions to right-size our cost structure. As we look ahead, we are focused on attracting more sellers, including via the expansion of our partnership channels and product diversification, and driving operational excellence to improve our long-term profitability.” First Quarter 2023 Key Highlights Revenue of $3.1 billion, down (39)% versus 1Q22; with 8,274 total homes sold, down (35)% versus 1Q22Gross profit of $170 million, which reflects an inventory valuation adjustment on homes remaining in inventory at quarter end of $23 million; Gross Margin of 5.4%, versus 10.4% in 1Q22Net (loss) income of $(101) million, versus $28 million in 1Q22Adjusted Net (Loss) income of $(409) million, versus $99 million in 1Q22Contribution (Loss) Profit of $(241) million, versus $332 million in 1Q22; Contribution Margin of (7.7)%, versus 6.4% in 1Q22Adjusted EBITDA of $(341) million, versus $176 million in 1Q22; Adjusted EBITDA Margin of (10.9)%, versus 3.4% in 1Q22Inventory balance of $2.1 billion, representing 6,261 homes, down (55)% versus 1Q22Purchased 1,747 homes, down (81)% versus 1Q22Ended the quarter with 1,137 homes under contract for purchase, down (86)% versus 1Q22 2023 Financial Outlook 2Q23 revenue guidance of $1.75 billion to $1.85 billion2Q23 Adjusted EBITDA1 guidance of...