"Revenue: $915M, up vs. the $882.3M consensus, but down 33.5% YoY Adjusted EPS: -$0.12 vs. -$0.07 expected Gross margin: 7.2%, down from 11.5% a year ago Net loss: $90M, wider than last year's $78M Cash: $962M, up 16% YoY Q4 outlook: revenue expected down ~35% sequentially on low inventory 1) EPS miss and losses wideningAdjusted EPS of -$0.12 missed by five cents and the net loss expanded to $90M."
"5) "2026" profitability timelineNew CEO Kaz Nejatian is "refounding Opendoor as a software and AI company" and targeting adjusted net income breakeven by year-end 2026 on a forward 12-month basis. That pushes the payoff out multiple quarters, which compresses near-term multiples. 6) Dilution and capital movesTo fix a balance-sheet "ticking clock," Opendoor raised nearly $200M via its ATM in September and refinanced a large chunk of its 2030 converts with equity. The board also declared a warrant"
Opendoor reported $915M in revenue, beating consensus while falling 33.5% year over year. Adjusted EPS was -$0.12 and the net loss widened to $90M, signaling weaker near-term profitability. Gross margin compressed to 7.2% from 11.5% as older, lower-quality inventory cleared and contribution margin declined. Cash rose to $962M year over year. Q4 revenue is expected to drop about 35% sequentially because of thin inventory and lighter volumes. A plan targeting adjusted net income breakeven by year-end 2026 postpones the recovery timeline. Recent ATM equity raises and convert refinancings increase potential dilution risk.
Read at 24/7 Wall St.
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