Company: BLND
Filing Date: 2025-08-07
Form Type: 10-Q
Source: 0001855747-25-000069
Chunk: 427

Company: Blend Labs, Inc.
Filing Date: 2025-08-07
Form: 10-Q
Item: Part I, Item 8
Chunk 427
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 million was recorded within prepaid expenses and other current assets and $3.4 million and $2.9 million was recorded within deferred contract costs, non-current, on the unaudited condensed consolidated balance sheets as of June 30, 2025 and December 31, 2024, respectively. The amortization of deferred contract costs was $0.4 million and $0.3 million for the three months ended June 30, 2025 and 2024, respectively, and $0.7 million and $0.5 million for the six months ended June 30, 2025 and 2024, respectively, and is included in sales and marketing expense in the accompanying unaudited condensed consolidated statements of operations and comprehensive income (loss).Strategic Partnership and Sale of Insurance BusinessOn September 30, 2024, the Company entered into a multi-element transaction with Covered Insurance Solutions which included a strategic partnership agreement as well as the sale of the Company’s insurance business. As part of the strategic partnership agreement, the Company granted a five-year term license allowing Covered Insurance Solutions to integrate its insurance solutions into the Company’s platform for an annual fixed fee plus variable charges. The Company has determined the term license is a performance obligation under ASC 606, Revenue from Contracts with Customers. The deferred revenue liability related to the performance obligations recognized under the strategic partnership agreement was $1.0 million as of June 30, 2025.

4. Investments and Fair Value Measurements

The carrying amount, unrealized gain and loss, and fair value of investments by major security type were as follows:June 30, 2025AmortizedCostGrossUnrealized GainGrossUnrealized LossFair ValueFair Value Hierarchy(In thousands)Cash equivalents:  Money market funds$10,028 $— $— $10,028 Level 1Commercial paper17,450 — — 17,450 Level 2Total cash equivalents27,478 — — 27,478 Marketable securities:U.S. treasury and agency securities26,065 72 — 26,137 Level 2Commercial paper12,103 — — 12,103 Level 2Debt securities13,487 75 (1)13,561 Level 2Total marketable securities51,655 147 (1)51,801 Restricted cash, current:Money market funds5,023 — — 5