Opendoor Reports $1.57 Billion Revenue in Q2 2025, Net Loss Improves to $29 Million

Opendoor Technologies Inc. reported a revenue of $1.57 billion for the second quarter of 2025, marking a 4% increase from $1.51 billion in the same period last year. The company sold 4,299 homes during the quarter, a 5% increase from 4,078 homes sold in Q2 2024. However, the gross profit slightly decreased to $128 million from $129 million year-over-year, resulting in a gross margin of 8.2%, down from 8.5%. The net loss for the quarter was $29 million, a significant improvement compared to a net loss of $92 million in Q2 2024.

For the first half of 2025, Opendoor's revenue reached $2.72 billion, a modest increase of 1% from $2.69 billion in the same period of 2024. The company reported a net loss of $114 million for the six months ended June 30, 2025, compared to a loss of $201 million in the prior year. The decrease in losses was attributed to a reduction in operating expenses, which fell by 26% to $296 million for the first half of 2025, driven by cost-cutting measures including workforce reductions and decreased marketing expenses.

In terms of operational metrics, Opendoor's inventory decreased significantly, with 4,538 homes in inventory at the end of Q2 2025, down from 6,399 homes a year earlier. The company recorded inventory valuation adjustments of $21 million and $34 million for the three and six months ended June 30, 2025, respectively. The percentage of homes on the market for over 120 days increased to 36%, compared to 14% in the previous year, indicating challenges in selling older inventory amid a soft real estate market.

Strategically, Opendoor has focused on enhancing its agent-led distribution channel and expanding partnerships with major online real estate platforms like Zillow and Redfin. The company aims to improve customer engagement and drive sales through these partnerships. Additionally, Opendoor has been actively managing its capital structure, recently issuing $325 million in convertible senior notes due in 2030, which included a debt exchange for existing notes. The company ended the quarter with $789 million in cash and cash equivalents, alongside $396 million in restricted cash, reflecting a strong liquidity position to navigate ongoing market challenges.

Looking ahead, Opendoor remains cautious about the housing market, which continues to face pressures from macroeconomic factors such as rising interest rates and affordability challenges. The company plans to maintain a flexible approach to pricing and inventory management while exploring opportunities for market expansion and product innovation.