Opendoor Reports $1.153 Billion Revenue in Q1 2025, Net Loss Improves to $85 Million

Opendoor Technologies Inc. reported a revenue of $1.153 billion for the first quarter of 2025, a decrease of 2% from $1.181 billion in the same period last year. The company's gross profit also fell to $99 million, down from $114 million, resulting in a gross margin of 8.6%, compared to 9.7% in the prior year. Despite the decline in revenue, Opendoor's net loss improved to $85 million from $109 million year-over-year, reflecting a reduction in operating expenses and interest costs. The company reported a loss per share of $0.12, an improvement from $0.16 in the previous year.

In terms of operational metrics, Opendoor sold 2,946 homes during the quarter, a decrease of 4% from 3,078 homes sold in the first quarter of 2024. However, the number of homes purchased increased to 3,609, up from 3,458 in the prior year. The company ended the quarter with 7,080 homes in inventory, a significant increase from 5,706 homes at the end of the previous year. This increase in inventory was accompanied by a valuation adjustment of $13 million, compared to $7 million in the same period last year.

Strategically, Opendoor has maintained its presence in 50 markets, with no changes in market count compared to the previous year. The company continues to focus on enhancing its digital platform and expanding its service offerings, including title insurance and escrow services. In April 2025, Opendoor announced a partnership with Mainstay to create Mainstay National Title LLC, which will provide title and escrow services to institutional customers, further diversifying its service portfolio.

The company’s financial position as of March 31, 2025, showed total assets of $3.277 billion, up from $3.126 billion at the end of 2024. Total liabilities increased to $2.632 billion, primarily due to a rise in non-recourse asset-backed debt, which stood at $2.1 billion. Opendoor's cash and cash equivalents decreased to $559 million, down from $671 million at the end of the previous year, reflecting ongoing operational losses and increased inventory levels. Looking ahead, Opendoor remains cautious about the housing market's stability, particularly in light of macroeconomic pressures and rising interest rates, and plans to adjust its pricing strategies accordingly to navigate these challenges.