Brief: Blend Labs Q2 Revenue USD 31.523 Million Vs. IBES Estimate USD 31.9 Million

Blend Labs

07/08/2025 21:22

Overview

Blend Labs Q2 revenue grows 10% yr/yr but misses analyst expectations, per LSEG data

Company reports fourth consecutive quarter of non-GAAP profitability

Record RPO balance of $190.4 mln, driven by $50 mln renewal

Outlook

Blend expects Q3 revenue between $31.5 mln and $33.5 mln

Company anticipates Q3 non-GAAP operating income of $3.0 mln to $4.5 mln

Blend sees slight increase in mortgage originations in Q3

Company expects Q4 mortgage volume decrease due to seasonal patterns

Result Drivers

SALES MOMENTUM - Blend's sales momentum accelerated with 23 new or expanded deals, doubling the first quarter's count

CONSUMER BANKING GROWTH - Consumer Banking Suite revenue increased by 43% to $11.4 mln, driving overall revenue growth

RECORD RPO - Achieved a record RPO balance of $190.4 mln, fueled by a $50 mln renewal and expansion

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Revenue
Miss
$31.52 mln
$31.90 mln (7 Analysts)
Q2 Net Income
-$6.64 mln
Q2 Gross Profit
$23.30 mln
Q2 Income from operations
-$4.62 mln
Q2 Pretax Profit
-$3.61 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 5 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the software peer group is "buy"

Wall Street's median 12-month price target for Blend Labs Inc is $4.90, about 26.9% above its August 6 closing price of $3.58

The stock recently traded at 41 times the next 12-month earnings vs. a P/E of 50 three months ago

Press Release: ID:nBw4C30XNa

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)