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Mar 31, 2022
Blend Q1 2022 Earnings Report
Blend Platform grew in a declining U.S. mortgage market.
Key Takeaways
Blend Labs, Inc. announced its first quarter 2022 financial results with consolidated revenue of $71.5 million. The company is maintaining its full year revenue outlook, expecting Blend Mortgage Banking to continue to grow market share and outperform the decline in industry origination volumes, while Consumer Banking & Marketplace revenue is expected to double year-over-year.
Consolidated revenue of $71.5 million.
Blend Platform segment revenue of $32.8 million, up 3% year-over-year.
Consumer Banking and Marketplace revenue of $7.2 million, up 55% year-over-year.
Mortgage Banking revenue of $24.5 million, down 7% year-over-year.
Blend
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Blend Revenue by Segment
Revenue by Segment
Professional Services Revenue
CapyFin.com Forward Guidance
Blend reaffirmed its 2022 revenue guidance. Full Year 2022 Revenue Guidance: Blend Platform $140-150 million, Title365 $90-100 million, Blend Labs, Inc. (Consolidated) $230-250 million
Positive Outlook
- U.S. mortgage market origination volumes will decline by approximately 41% from their 2021 level
- 2022 Blend Platform segment revenue growth includes high-single to low-double digit decline in full year Mortgage Banking revenue from full year 2021 levels, as market share growth mitigates industry volume declines.
- Over 100% growth in Consumer Banking and Marketplace revenue, including the expected transition of revenue from the Title365 segment to the Blend Platform segment, as customers transition to the Blend Title solution (a component of Consumer Banking and Marketplace revenue).
- This transition is anticipated to commence in mid-2022.
- Maintaining full year revenue outlook.
Challenges Ahead
- U.S. mortgage market origination volumes will decline by approximately 41% from their 2021 level