Offerpad Solutions Inc. ( (OPAD) ) has released its Q1 earnings. Here is a breakdown of the information Offerpad Solutions Inc. presented to its investors.
Offerpad Solutions Inc., a tech-enabled platform in the residential real estate sector, focuses on simplifying the home buying and selling process through innovative solutions and strategic partnerships. In its first quarter of 2025, Offerpad reported a sequential revenue increase driven by its Renovate program, which achieved a record $5.3 million in revenue, marking a 29% growth. The company also improved its net loss and adjusted EBITDA by 13% and 32%, respectively, compared to the previous quarter.
Key financial highlights for the quarter include a gross profit per home sold of $22,800, an 8% improvement from the prior quarter, and a significant reduction in total operating expenses, which decreased by 39% year-over-year. Offerpad’s Agent Partnership Program also saw growth, with acquisitions accounting for 42% of total purchases, up from 28% the previous year. Despite a 9% decrease in homes sold quarter-over-quarter, the company maintained a disciplined approach to operations, focusing on efficiency and growth.
Offerpad’s inventory at the end of Q1 consisted of 671 homes, with a notable decrease in the percentage of homes owned for over 180 days and not under contract for resale, dropping from 22% to 13%. The company’s cash and cash equivalents stood at $30.8 million, reflecting a strategic focus on cost management and operational efficiency.
Looking ahead, Offerpad anticipates selling between 500 to 550 homes in the second quarter of 2025, with projected revenue ranging from $160 million to $190 million. The company remains committed to enhancing its customer experience and scaling its programs to adapt to market conditions, positioning itself for accelerated growth as transaction volumes normalize.