Company: BLND
Filing Date: 2025-05-08
Form Type: 10-Q
Source: 0001855747-25-000041
Chunk: 306

Company: Blend Labs, Inc.
Filing Date: 2025-05-08
Form: 10-Q
Item: Part I, Item 2
Chunk 306
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 ended March 31, 2024.

Gross profit increased $2.9 million, or 18% for the three months ended March 31, 2025 compared to the three months ended March 31, 2024 due to increased revenue.

Gross margin was 71% for the three months ended March 31, 2025 compared to 67% for the three months ended March 31, 2024. The increase in gross profit was primarily due to expanding Consumer Banking Suite revenue while keeping consistent cost of revenue as the Company continues to focus on operational efficiency. 

Operating Expenses

Three Months Ended March 31,20252024$ Change % Change(In thousands)Operating expenses:Research and development$7,520 $14,183 $(6,663)(47 %)Sales and marketing7,188 9,755 (2,567)(26 %)General and administrative11,224 12,353 (1,129)(9 %)Restructuring719 972 (253)(26 %)Total operating expenses$26,651 $37,263 $(10,612)(28 %)

Research and Development 

Research and development expenses decreased $6.7 million, or 47%, for the three months ended March 31, 2025 compared to the three months ended March 31, 2024. The decrease was primarily due to a $3.1 million decrease due to the capitalization of internal-use software development costs, as well as a $2.3 million decrease in personnel related expenses and a $1.1 million decrease in stock-based compensation expense attributable to a decrease in headcount, in each case, related to our restructuring actions.

Sales and Marketing

Sales and marketing expenses decreased $2.6 million, or 26%, for the three months ended March 31, 2025 compared to the three months ended March 31, 2024. The decrease was primarily due to a $1.8 million decrease in personnel related expenses attributable to a decrease in headcount related to our restructuring actions and a $0.7 million decrease in commissions.

General and Administrative

General and administrative expenses decreased $1.1 million, or 9%, for the three months ended March 31, 2025 compared to the three months ended March 31, 2024. The decrease was primarily due to a $1.7 million decrease in personnel related expenses, a $0.4 million decrease in facilities costs and