Opendoor(US:OPEN) Globenewswire·2025-11-06 21:07Core Insights - New CEO Kaz Nejatian aims to return Opendoor Technologies Inc. to profitability by accelerating transactions, optimizing the cost structure, and launching AI-driven products to enhance homeownership experiences [1][2][3] Financial Performance - For Q3 2025, Opendoor reported revenue of $915 million, a decrease from $1,377 million in Q3 2024, with a gross profit of $66 million and a gross margin of 7.2% [5][14] - The company experienced a net loss of $90 million in Q3 2025, compared to a net loss of $78 million in Q3 2024 [5][14] - Homes sold decreased to 2,568 in Q3 2025 from 3,615 in Q3 2024, while homes purchased dropped to 1,169 from 3,504 [5][14] Management Objectives - The company has set three key management objectives to achieve profitability: 1. Scale acquisitions to increase revenue from transactions and ancillary services [4] 2. Improve unit economics and resale velocity to enhance profitability per transaction [4] 3. Build operating leverage by scaling transactions faster than fixed costs [4] Financial Outlook - Opendoor anticipates a 35% increase in acquisitions in Q4 2025, driven by product launches and pricing engine changes [8] - Revenue is expected to decrease approximately 35% quarter-over-quarter due to low inventory levels from Q3 2025 [8] - The company aims to reach breakeven Adjusted Net Income by the end of 2026 [8] Non-GAAP Financial Highlights - Contribution profit for Q3 2025 was $20 million, with a contribution margin of 2.2% [5][14] - Adjusted EBITDA for Q3 2025 was a loss of $33 million, with an adjusted EBITDA margin of -3.6% [5][14] Inventory Metrics - As of September 30, 2025, homes in inventory totaled 3,139, down from 6,288 a year earlier [5][14] - The percentage of homes on the market for more than 120 days was 51% at the end of Q3 2025 [5][14]