Slide 1: Blend Labs, Inc. Q4 2022 Earnings Supplemental Slides
Blend Labs, Inc. Q4 2022 Earnings Supplemental Slides March 16, 2023 1
Slide 2: Forward-Looking Statements and Non-GAAP Financial Measures
Forward-Looking Statements and Non-GAAP Financial Measures This presentation contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, which statements involve substantial risks
Slide 3: Fourth Quarter 2022 Highlights
Fourth Quarter 2022 Highlights 19% year-over-year decline in Platform revenue, amidst an estimated 68% mortgage market volume decline 109% year-over-year growth in Consumer Banking and Marketplace revenue 85% year-over-year growth in Consumer Banking transactions 3
Slide 4: We Retain Our Customers
We Retain Our Customers Gross Revenue Retention* 100% 100% 99% 99% 98% 99% 98% 97% Q1’21 Q2’21 Q3’21 Q4’21 Q1’22 Q2’22 Q3’22 Q4’22 * See Note 2 included in Appendix 4
Slide 5: Growing our Consumer Banking platform
Growing our Consumer Banking platform Consumer Banking Transactions* We continue to add new and existing customers to Consumer Banking, expanding our presence in non-mortgage linked bank activities such as home equity, personal lending, credit cards, deposit accounts and auto finance. * See Note 3 in
Slide 6: Blend’s Continued Progress in a Challenging Market
Blend’s Continued Progress in a Challenging Market Consumer Banking Consumer Banking and Marketplace revenue Blend Mortgage Mortgage Banking revenue down 48% year-over-year, driven by increases in revenue from amidst a 68% decline in mortgage loan origination & Marketplace software-enabled title mig
Slide 7: Q1 2023 Guidance
Q1 2023 Guidance Blend Platform Revenue Between $24.5M and $25.5M Blend guidance reflects the following: Title365 Revenue Between $8.5M and $9.5M ● Uncertainty around the pace of future rate increases and the higher interest rate Blend Labs Between $33M and $35M environment. ● U.S. mortgage market or
Slide 8: Appendix
Appendix 8
Slide 9: Revenue Growth
Revenue Growth (in thousands) 9
Slide 10: Q4 2022 GAAP Financial Results
Q4 2022 GAAP Financial Results (in thousands) 10
Slide 11: Reconciliation of GAAP to Non-GAAP Measures
Reconciliation of GAAP to Non-GAAP Measures (in thousands) 11
Slide 12: Reconciliation of GAAP to Non-GAAP Measures (cont.)
Reconciliation of GAAP to Non-GAAP Measures (cont.) (in thousands) 12
Slide 13: Reconciliation of GAAP to Non-GAAP Measures (cont.)
Reconciliation of GAAP to Non-GAAP Measures (cont.) (in thousands) 13
Slide 14: Share count outlook
Share count outlook (in thousands) 14
Slide 15: Key Business Metrics - Volume Disaggregation
Key Business Metrics - Volume Disaggregation (in thousands) 15
Slide 16: Customer Count
Blend Customer Logo Count 400 351 354 350 343 346 333 316 303 300 Customer Count 200 100 0 Q1’21 Q2’21 Q3’21 Q4’21 Q1’22 Q2’22 Q3’22 Q4’22 Quarter 16
Slide 17: Footnotes
Footnotes Note 1: Market Share is management’s estimate of Blend’s mortgage market share for the specified period based on signed customers, split between funded volume and untapped volume. Mortgage market volumes are updated periodically by management based on updates from the Home Mortgage Disclosu