OP

Opendoor Technologies Inc. stock research

Jun 30, 2024

FY2024 Q2

Opendoor Technologies (OPEN) Gross Margin — Quarter Ended Jun 30, 2024

Revenue and gross profit both rose from the prior quarter but fell compared to the same quarter last year. The gross margin weakened from the prior quarter yet improved relative to the year-ago period.

Gross margin takeaway

Quarter ended Jun 30, 2024 · FY2024 Q2

Revenue and gross profit both rose from the prior quarter but fell compared to the same quarter last year. The gross margin weakened from the prior quarter yet improved relative to the year-ago period.

  • The increase in cost of revenue was proportionally larger than the increase in revenue compared to the prior quarter, while compared to the year-ago quarter the opposite pattern held.
  • Compared to the prior quarter, revenue and gross profit were higher but gross margin was lower. Compared to the same quarter last year, revenue and gross profit were lower but gross margin was higher.

Gross margin snapshot

The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.

Gross margin

8.5%

Gross profit

$129.0M

Revenue

$1.5B

Cost of revenue

$1.4B

Quarter-over-quarter change

-1.1 pts

Year-over-year change

+1.0 pts

Quarterly gross margin trend

A four-quarter view of the revenue and direct-cost bridge behind gross margin.

PeriodRevenueGross profitCost of revenueGross margin
Sep 30, 2023$980.0M$96.0M$884.0M9.8%
Dec 31, 2023$870.0M$72.0M$798.0M8.3%
Mar 31, 2024$1.2B$114.0M$1.1B9.7%
Jun 30, 2024$1.5B$129.0M$1.4B8.5%

Quarterly comparisons

Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.

Previous-quarter change

Mar 31, 2024

-1.1 pts

Year-over-year change

Jun 30, 2023

+1.0 pts

What the margin says

Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.

The increase in cost of revenue was proportionally larger than the increase in revenue compared to the prior quarter, while compared to the year-ago quarter the opposite pattern held.

Compared to the prior quarter, revenue and gross profit were higher but gross margin was lower. Compared to the same quarter last year, revenue and gross profit were lower but gross margin was higher.

Monitor the relationship between cost of revenue and revenue, as the margin improved year over year but weakened sequentially.

OPEN Gross Margin — Quarter Ended Jun 30, 2024