Blend Reports $32.9 Million in Revenue and Adjusted Break-Even EPS in Third Quarter
Key Facts
Blend Labs reported results on November 5 for the third quarter ended September 30, 2026, with revenue of $32.9 million and adjusted, non-GAAP earnings of $0.00 per share. The company recorded the same adjusted earnings in the third quarter of 2025, but diluted GAAP earnings from continuing operations turned to a loss of $0.03 per share, after a profit of $0.02 a year earlier. According to Investing.com data, the actual loss per share of $0.03 fell short of analysts’ estimate of earnings of $0.01, a negative difference of $0.04. Revenue, by contrast, topped the consensus estimate of $32.72 million, with the source reporting $32.91 million. The gap between the two earnings measures shows that break-even applies only to adjusted earnings, while GAAP results showed a loss per share.
Software platform revenue was $30.6 million, up 1% year over year, while professional services revenue held steady at $2.3 million, the same level as in the third quarter of 2025. Total quarterly revenue rose 1% from the year-earlier period, according to the company’s statement. Blend said total revenue came in at the upper half of its quarterly guidance range, and non-GAAP operating income exceeded the top end of that range. These figures show modest revenue growth alongside adjusted operating results that exceeded the company’s guidance. At the same time, quarterly figures showed lower gross margins than a year earlier.
GAAP gross margin was 72% in the third quarter of 2026, down from 74% in the same period of 2025. On a non-GAAP basis, gross margin fell to 77% from 78% a year earlier. GAAP operating loss narrowed to $2.6 million, compared with a loss of $5.3 million in the third quarter of 2025. Non-GAAP operating income rose to $4.9 million from $4.3 million in the year-earlier period. Operating results therefore improved on both stated measures, while gross margin declined on both a GAAP and non-GAAP basis.
On sales, Blend said it closed 26 new or expansion deals during the quarter, including a new customer among the top 10 banks. The company described it as its best sales quarter in more than three years. It also signed its tenth customer for the Autopilot service, compared with six customers in early August 2026. Co-founder and chief executive Nima Ghamsari said: "We delivered our best sales quarter in more than three years. Autopilot customers increased from six to 10." He added that the company was focused on converting its sales pipeline into business. The figures provide an indication of deal activity and expansion of the service’s customer base during the quarter, alongside revenue and margin results.
Market data published with the earnings report showed the company’s stock, listed under the ticker BLND, closed at $1.14 on November 5. The stock was down 30.06% over the previous three months and 61.87% over 12 months through that date, according to Investing.com. This share-price performance places the quarterly results in the context of a sustained decline in the stock, alongside a continuing GAAP loss per share and an improvement in adjusted operating income. The cited market data did not include reliable figures for the session’s daily trading range, while the source confirms the closing price and changes over the two specified periods.
Blend forecast fourth-quarter 2026 revenue of between $27.7 million and $29.7 million, and non-GAAP operating income of between $2.3 million and $3.3 million. The upper end of the revenue range was below the analysts’ consensus estimate of $31.01 million, according to Investing.com. This comparison puts the company’s revenue forecast for the next quarter below consensus, despite third-quarter revenue exceeding that estimate. Blend was scheduled to host a live discussion of its third-quarter results on Thursday, November 5, at 4:30 p.m. Eastern Time, with a recording to be made available later on its investor relations website. The discussion covers the financial results the company announced for the period ended September 30 and its guidance for the following quarter.