Company: BLND
Filing Date: 2025-08-07
Form Type: 10-Q
Source: 0001855747-25-000069
Chunk: 396

Company: Blend Labs, Inc.
Filing Date: 2025-08-07
Form: 10-Q
Item: Part I, Item 1
Chunk 396
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In thousands)Loss from continuing operations$(3,647)$(19,199)$(10,256)$(39,908)

16. Assets Held for Sale and Discontinued Operations

In the first quarter of 2025 the Company has initiated a process to exit the title business, and on June 9, 2025, the Company entered into a definitive agreement to sell its title insurance business to a third party. The transaction is subject to certain required third-party consents and regulatory approvals and is expected to close later in the fiscal year. The divestiture is part of the Company’s strategic shift to transform into a platform-first company along with the further expansion of partner ecosystem.The Company determined that all the criteria required for held-for-sale presentation were met as of March 31, 2025. As a result, the Company reported the assets and the liabilities of the disposal group as held for sale on the unaudited condensed consolidated balance sheets and the operations of the disposal group as discontinued operations starting in the first quarter of 2025. Disposal group net assets are recorded at the lower of their carrying amount or estimated fair value less the costs to sell. Prior period amounts have been reclassified to conform to current period presentation.Upon the execution of the definitive agreement, in the three months ended June 30, 2025, the Company recorded an impairment charge in the amount of $2.0 million related to the full write off of indefinite-lived intangible assets held within discontinued operations as the value was deemed to be not recoverable. With the exception of this impairment charge, there was no loss recognized related to the disposal group for the three and six months ended June 30, 2025.

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Blend Labs, Inc.Notes to Condensed Consolidated Financial Statements(Unaudited)

The following table is a summary of the assets and liabilities held for sale from discontinued operations:June 30, 2025December 31, 2024(In thousands)Cash and cash equivalents$3,335 $4,232 Trade and other receivables, net of allowance for credit losses2,475 2,782 Prepaid expenses and other current assets630 2,604 Current assets held for sale from discontinued operations$6,440 $9,618 Property and equipment, net$578 $649 Operating lease right-of-use assets1,019 1,130 Intangible assets, net— 2,000 Other non-current assets(1)2,276