Opendoor Technologies Inc. (NASDAQ: OPEN) shares took a hit on Wednesday, sliding after the company reported its second-quarter results on Tuesday and issued third-quarter sales guidance that missed the mark.
The home-flipping platform posted a quarterly loss of three cents per share, which was better than the seven-cent loss analysts had predicted. Revenue came in at $883 million, beating the Street estimate of $666.54 million by a solid 32.48%. But here's the catch: revenue was down significantly from the $1.57 billion the company brought in during the same period last year.
CEO Kaz Nejatian was quick to address the company's financial outlook following the release. "For three quarters, I've been saying Opendoor will be ANI positive on a 12-month go-forward basis at the end of this year," Nejatian said. "You no longer have to take my word for it. Run Q2 forward. At current contract volumes and unit economics, and with our existing cost base, we will generate positive Adjusted Net Income as those acquisition cohorts flow through to resale."
That's a bold promise, but investors seemed more focused on the near-term guidance. Opendoor said it expects third-quarter sales of $1.098 billion, which falls short of the $1.132 billion analysts were looking for.
