Opendoor Beats Q4 Revenue Estimates With $736M Sales, EBITDA Loss Narrows
Opendoor reported Q4 revenue of $736M, beating the $595M estimate despite a 32% year-over-year decline, and narrowed its adjusted EBITDA loss to $43M while home purchases rose 46% sequentially to 1,706 units. It posted a GAAP net loss of $1.1B ($1.26/share), driven by a $933M debt extinguishment charge.
1. Q4 Financial Results
Opendoor posted fourth-quarter revenue of $736 million, down 32% year-over-year but above the $595 million estimate, and narrowed its adjusted EBITDA loss to $43 million.
2. Home Purchase and Inventory Trends
The company bought 1,706 homes in Q4, a 46% sequential increase despite a 73% year-over-year decline; inventory stood at $925 million for 2,867 homes, with days in inventory down 23%.
3. Debt Extinguishment Impact
A $933 million debt extinguishment charge drove the GAAP net loss to $1.1 billion, or $1.26 per share, widening the reported quarterly loss.
4. Q1 Guidance and Profitability Goal
For Q1, revenue is expected to decline roughly 10% to about $662 million, with an adjusted EBITDA loss in the low-to-mid $30 million range; management reiterated its goal of reaching breakeven adjusted net income by the end of 2026.