Company: BLNE
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001641172-25-024044
Chunk: 50

Company: Beeline Holdings, Inc.
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 8
Chunk 50
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, though services—particularly housing and medical care—remained sticky. By
March, CPI slowed to roughly 2.7%, driven by declines in core goods, but higher transportation services costs offset some gains. April
brought further moderation to around 2.6% as shelter inflation eased faster than expected and gasoline prices fell on higher refinery
output, prompting markets to price in possible rate cuts later in the year. In May, CPI reached about 2.5%, with food prices steady and
some goods categories, like apparel and home products, seeing discounts, though insurance costs kept services inflation above 3%. June’s
reading of roughly 2.4% marked the lowest since early 2021, led by falling energy prices and continued shelter relief, even as core services
ex-housing stayed elevated. Preliminary July figures suggest inflation held near 2.4–2.5%, with headline prices little changed
month-over-month and core inflation hovering around 2.7%, reflecting lingering service-sector pressures. Overall, inflation progress
in the first half of 2025 was steady, supported by improved supply chains, softer housing costs, and easing commodity prices. However,
the Federal Reserve maintained a cautious stance, signaling that while headline inflation was back near its comfort zone, persistent
services inflation meant rate cuts would likely wait until late 2025, assuming the disinflationary trend continues.

34

Beeline
Labs

In
July 2025, the Company’s subsidiary, Beeline Labs, launched BlinkQC, a SaaS platform designed to automate pre-close quality
control (“QC”) reviews for mortgage loan files. Beeline Loans has been beta testing BlinkQC in its own operation and
will use BlinkQC for its pre-close QC. Later this year, Beeline Labs plans to license BlinkQC as SaaS to other mortgage companies.
BlinkQC uses artificial intelligence to ingest loan document packages, extract and validate data, apply customizable rule sets, and
generate compliance reports.

The
initial release supports conventional loan packages and is offered on a flat rate per package. Based on current cost estimates, the product
is expected to achieve gross margins of approximately 50%. Future enhancements, including FHA/VA loan support and integrations with loan
origination systems, are in development.

Management
believes BlinkQC will improve QC efficiency for mortgage lenders and represents a potential source of incremental revenue for the Company.

BeelineEQUITY

On
June 25, 2025, Beeline