分组1 - Offerpad Solutions Inc. reported a quarterly loss of $0.49 per share, which was worse than the Zacks Consensus Estimate of a loss of $0.44, but an improvement from a loss of $0.73 per share a year ago, indicating an earnings surprise of -11.36% [1] - The company generated revenues of $208.07 million for the quarter ended September 2024, surpassing the Zacks Consensus Estimate by 1.41%, although this represents a decline from year-ago revenues of $234.23 million [2] - Offerpad Solutions shares have declined approximately 69.6% year-to-date, contrasting with the S&P 500's gain of 20.1% [3] 分组2 - The earnings outlook for Offerpad Solutions is mixed, with the current consensus EPS estimate for the upcoming quarter at -$0.43 on revenues of $207.78 million, and -$2.01 on revenues of $949.44 million for the current fiscal year [7] - The Real Estate - Operations industry, to which Offerpad belongs, is currently ranked in the top 38% of over 250 Zacks industries, suggesting a favorable industry outlook [8] - Another company in the same industry, Redfin, is expected to report a quarterly loss of $0.20 per share, with revenues projected to be $280.21 million, reflecting a year-over-year increase of 4.2% [9]

Offerpad. SOLD INVESTOR PRESENTATION 1 Q3 2024 UPDATE NYSE : OPAD Disclaimer 2 Forward-Looking Statements Certain statements in this Presentation may be considered forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements generally relate to future events or Offerpad Solutions Inc.'s (the "Company") plans, strategies, business prospects, market opportunity and future financial or operating performance. Statements using words such as "ma ...

Financial Performance - Revenue for Q3 2024 was $208.1 million, a decrease of 11.2% from $234.2 million in Q3 2023[7] - Gross profit for Q3 2024 was $17.1 million, down 28.5% from $24.0 million in Q3 2023[7] - Net loss for Q3 2024 was $13.5 million, compared to a net loss of $20.0 million in Q3 2023, representing a 32.8% improvement[7] - Operating expenses for Q3 2024 were $26.1 million, down 40.1% from $43.5 million in Q3 2023[7] - Net loss for the third quarter of 2024 was $44.834 million, a decrease from a net loss of $101.777 million in the same period of 2023[11] - Revenue decreased by $26.2 million, or 11.2%, to $208.1 million for the three months ended September 30, 2024, compared to $234.2 million for the same period in 2023[94] - Net loss for the three months ended September 30, 2024, was $13.5 million, a decrease of 32.3% from a net loss of $20.0 million in the same period in 2023[94] - Revenue for the nine months ended September 30, 2024, was $744.5 million, a decrease of 30.7% from $1,073.9 million in the same period in 2023[102] - The company recorded a net loss of $44.8 million for the nine months ended September 30, 2024, a decrease of 55.9% from a net loss of $101.8 million in the same period in 2023[102] Assets and Liabilities - Total current assets decreased to $323.0 million as of September 30, 2024, from $371.6 million at the end of 2023, a decline of 13.1%[5] - Total liabilities decreased to $273.8 million as of September 30, 2024, from $277.9 million at the end of 2023, a reduction of 1.5%[6] - The accumulated deficit increased to $442.7 million as of September 30, 2024, compared to $397.9 million at the end of 2023[6] - Cash and cash equivalents decreased to $48.5 million as of September 30, 2024, from $76.0 million at the end of 2023, a decline of 36.0%[5] - Total stockholders' equity as of September 30, 2024, was $64.713 million, a decrease from $115.217 million at the end of September 2023[11] - As of September 30, 2024, total assets related to variable interest entities (VIEs) were $268.7 million, down from $288.7 million as of December 31, 2023[56] - The company reported total liabilities of $253.6 million related to VIEs as of September 30, 2024, compared to $261.0 million at the end of 2023[56] Inventory and Sales - Real estate inventory was valued at $256.5 million as of September 30, 2024, down from $276.5 million at the end of 2023, a decrease of 7.2%[5] - Homes sold in Q3 2024 totaled 615, down from 703 in Q3 2023, with a Gross Profit per home sold of $27,900 compared to $34,100 in the prior year[91] - The total number of homes sold in the nine months ended September 30, 2024, was 2,204, compared to 2,962 in the same period of 2023[91] - The average resale home price decreased from $360,000 in the nine months ended September 30, 2023, to $334,000 in the same period in 2024[103] - The average real estate inventory holding period of homes sold has remained consistent at around 110 days during 2024[85] - Homes listed for sale increased to 169,433 as of September 30, 2024, compared to 148,648 on December 31, 2023[20] Expenses and Costs - Cash payments for interest for the nine months ended September 30, 2024, were $19.204 million, down from $23.406 million in the same period of 2023[11] - Sales, marketing, and operating expenses decreased by $39.1 million, or 39.6%, to $59.5 million for the nine months ended September 30, 2024, primarily due to a decrease in advertising expenses[106] - General and administrative expenses decreased by $10.6 million, or 25.6%, to $30.7 million for the nine months ended September 30, 2024, due to reduced fees and lower employee headcount[107] - Interest expense increased by $0.7 million, or 16.1%, to $5.1 million for the three months ended September 30, 2024, compared to $4.4 million in 2023[99] - Interest expense increased by $0.9 million, or 6.5%, to $14.6 million for the nine months ended September 30, 2024, primarily due to a rise in weighted average variable interest rates[109] Financing and Credit Facilities - The company had a total borrowing capacity of $1,007.0 million under its senior secured and mezzanine secured credit facilities, with $482.2 million committed as of September 30, 2024[28] - The Company had four mezzanine secured credit facilities with a total outstanding amount of $41.328 million as of September 30, 2024, with a weighted average interest rate of 13.82%[30] - The Company’s borrowings under senior secured credit facilities are collateralized by real estate inventory, with lenders having legal recourse only to the assets securing the debt[29] - The company expects to enter into new financing arrangements or amend existing arrangements to meet its obligations as they come due, which is considered probable based on its history of prior credit facility renewals[32] - The company was in compliance with all covenants as of September 30, 2024, with no events of default reported[119] Stock and Equity - The Company is authorized to issue 2.1 billion shares of capital stock, consisting of 2 billion shares of Class A common stock and 100 million shares of preferred stock[42] - As of September 30, 2024, Offerpad Solutions Inc. had 27,361,414 shares of Class A common stock issued and outstanding[43] - The company raised approximately $90.0 million from the sale of pre-funded warrants in January 2023, resulting in the issuance of 10.7 million shares upon exercise[43] - No cash dividends have been paid on common stock to date, and there are no current plans to pay cash dividends for the foreseeable future[45] - The company granted 916,000 Restricted Stock Units (RSUs) during the nine months ended September 30, 2024, with 901,000 RSUs outstanding as of that date[49] Legal and Compliance - A class action lawsuit was filed against the company on August 26, 2024, alleging breach of fiduciary duties related to a merger, with proceedings temporarily stayed as of September 19, 2024[69] - The company has a senior secured credit facility with a related party, with an outstanding amount of $13,330 thousand as of September 30, 2024, compared to $6,289 thousand as of December 31, 2023[61] Market and Operational Insights - The company operates in over 1,800 cities and towns across 26 metropolitan markets in 17 states as of September 30, 2024[12] - The company captured roughly 0.5% market share of real estate transactions across its 25 active markets as of December 31, 2023[75] - The average thirty-year fixed mortgage rate peaked in the mid-7% range in April 2024 before decreasing to close to 6% at the end of September 2024[72] - The company has recently reduced its home acquisition pace to optimize real estate inventory levels[72]

Financial Performance - Net loss improved by 32% year-over-year to $13.5 million, while adjusted EBITDA improved by 53% to a loss of $6.2 million[2] - Revenue for Q3 2024 was $208.1 million, a decrease of 11% compared to $234.2 million in Q3 2023[4] - Net loss for the nine months ended September 30, 2024, was $44,834 thousand, compared to a net loss of $101,777 thousand for the same period in 2023[12] - Adjusted EBITDA for Q3 2024 was $(6,181,000), worsening from $(4,429,000) in Q2 2024 and $(13,278,000) in Q3 2023[31] - Net loss for Q3 2024 was $(13,537,000), an improvement from $(13,782,000) in Q2 2024 but worse than $(19,986,000) in Q3 2023[31] - Adjusted net loss for Q3 2024 was $(13,551,000), slightly better than $(13,773,000) in Q2 2024 and $(20,117,000) in Q3 2023[31] Sales and Operations - Homes acquired decreased by 55% year-over-year to 422, while homes sold decreased by 13% to 615[4] - The company expects to sell between 480 to 540 homes in Q4 2024, with projected revenue of $160 million to $185 million[5] - Homes sold decreased to 615 in Q3 2024 from 742 in Q2 2024 and 703 in Q3 2023, representing a decline of 17.1% quarter-over-quarter and 12.5% year-over-year[25] Profitability Metrics - Gross profit per home sold was $27,900, down 18% from $34,100 in Q3 2023[4] - Contribution profit after interest per home sold was $12,400, a decrease of 54% from $27,200 in Q3 2023[4] - Contribution profit for Q3 2024 was $12,531,000, down from $16,384,000 in Q2 2024 and $22,527,000 in Q3 2023, reflecting a decline of 23.5% quarter-over-quarter and 44.3% year-over-year[25] - Contribution margin for Q3 2024 was 6.0%, compared to 6.5% in Q2 2024 and 9.6% in Q3 2023, indicating a decrease in profitability[25] - Contribution profit per home sold for Q3 2024 was $20.4, down from $22.1 in Q2 2024 and $32.0 in Q3 2023, indicating reduced profitability per unit sold[25] Cash Flow and Expenses - Total operating expenses decreased by 40% to $26.1 million from $43.5 million in the prior year[2] - Cash and cash equivalents decreased by 54% year-over-year to $48.5 million[4] - Net cash used in operating activities was $12,404 thousand, a significant decrease from $276,955 thousand provided in the same period last year[12] - Cash and cash equivalents at the end of the period totaled $48,504 thousand, down from $105,999 thousand at the beginning of the period[12] - Total cash, cash equivalents, and restricted cash at the end of the period was $58,426 thousand, compared to $113,408 thousand at the end of the previous period[12] Inventory and Acquisitions - Renovate closed projects increased by 43% year-over-year to 227, generating $4.0 million in revenue[2] - Acquisitions from Offerpad's Agent Partnership Program grew to 33% of total acquisitions[2] - The company reported a real estate inventory valuation adjustment of $2,016 thousand for the nine months ended September 30, 2024[12] Financial Metrics and Comparisons - Adjusted gross profit for Q3 2024 was $18,820,000, compared to $23,295,000 in Q2 2024 and $24,808,000 in Q3 2023, indicating a decrease of 19.2% quarter-over-quarter and 24.2% year-over-year[25] - Gross profit for the three months ended September 30, 2024, was $17,140,000, down from $21,871,000 in the previous quarter, and $23,973,000 in the same quarter last year[25] - Gross margin for Q3 2024 was 8.2%, down from 8.7% in Q2 2024 and 10.2% in Q3 2023, showing a decline in operational efficiency[25] Non-GAAP Measures - Adjusted Gross Profit and Contribution Profit metrics are used to evaluate unit-level economics and operating performance across markets[15] - Contribution Profit After Interest is calculated by deducting interest expenses associated with homes sold during the period from Contribution Profit[22] - Offerpad's non-GAAP financial measures may not be comparable with those of other companies in the industry[14] - Offerpad emphasizes the importance of Adjusted Gross Profit as a measure of business performance, capturing gross margin performance isolated to homes sold in a given period[19]

Financial Data and Key Metrics Changes - Revenue for Q2 2024 was $251 million, up 9% year-over-year but down 12% sequentially [15] - Net loss improved to $13.8 million, a 21% improvement from Q1 and a 38% improvement year-over-year [15] - Gross margin expanded by 80 basis points to 8.7% compared to the first quarter [15][16] - Adjusted EBITDA loss was $4.4 million, an improvement of 74% year-over-year and 38% quarter-over-quarter [17] Business Line Data and Key Metrics Changes - Homes sold in Q2 totaled 742, up 14% year-over-year but down 12% quarter-over-quarter [15] - Renovate services saw closed renovation projects grow over 300% year-over-year, generating approximately $5 million in revenue [9] - The Agent Partner Program contributed to over 25% of total requests and nearly a third of acquisitions, up from 19% a year ago [10] Market Data and Key Metrics Changes - The housing market experienced increased volatility with mortgage rates surpassing 7%, leading to softened buyer demand and increased active inventory [6][8] - Florida markets, particularly Tampa and Orlando, are experiencing more supply and slower buyer demand due to affordability issues [26] Company Strategy and Development Direction - The company is focused on building a long-term profitable business that can adapt to any economic environment, emphasizing a disciplined approach to inventory management [6][8] - The strategic imperatives include growth in asset-light services and enhancing technology to improve operational efficiency [12][13] - The company aims to transition from a seller's market to a buyer's market, adjusting buying criteria to focus on wider margins per home [7][8] Management's Comments on Operating Environment and Future Outlook - Management acknowledges the challenges posed by the current macroeconomic environment but remains optimistic about the long-term strategy and potential opportunities in a buyer's market [6][8] - The company expects to achieve EBITDA profitability by the end of the year and anticipates a decline in acquisition volume in the second half of the year [14][19] Other Important Information - The company ended Q2 with $57 million in unrestricted cash and total liquidity exceeding $110 million [18] - The company has renewed its major credit facility into 2026 and maintains zero parent-level debt [18] Q&A Session Summary Question: How is the business evolving in the current uncertain environment? - Management emphasizes the importance of providing solutions for both agents and customers, integrating technology to enhance real-time information sharing [21][22] Question: What is the balance between cutting costs and driving EBITDA profitability? - The focus is on bottom-line improvements while preparing for future top-line growth as market conditions normalize [24] Question: Are there notable trends in market performance across different regions? - Florida markets are experiencing increased supply and slower demand, while Houston and Indianapolis remain stable [26] Question: What is the outlook for margins on ancillary services? - Margins for Renovate and other asset-light services are expected to be high, with fees ranging from 20% to 30% for Renovate services [34] Question: How is the company addressing moderating home price appreciation? - The company has not been underwriting any home price appreciation recently and is focused on maintaining discipline in acquisitions [39][40]

Offerpad. SOLD INVESTOR PRESENTATION 1 Q2 2024 UPDATE NYSE : OPAD Disclaimer 2 Forward-Looking Statements Certain statements in this Presentation may be considered forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements generally relate to future events or Offerpad Solutions Inc.'s (the "Company") plans, strategies, business prospects, market opportunity and future financial or operating performance. Statements using words such as "ma ...

Financial Performance - Total revenue for Q2 2024 was $251.1 million, an increase of 9.4% compared to $230.1 million in Q2 2023[5] - Gross profit for Q2 2024 was $21.9 million, a decrease of 1.6% from $22.2 million in Q2 2023[5] - Net loss for Q2 2024 was $13.8 million, compared to a net loss of $22.3 million in Q2 2023, representing a 38.5% improvement[5] - For Q2 2024, Offerpad reported a net loss of $31.3 million, a significant improvement compared to a net loss of $81.8 million in Q2 2023, reflecting a 61.7% reduction in losses year-over-year[10] - The company achieved year-over-year improvements in revenue and net loss during Q2 2024, with a gross profit margin improvement for the second consecutive quarter[67] - Adjusted Gross Profit for Q2 2024 was $23,295,000, compared to $10,079,000 in Q2 2023, reflecting a significant increase[83] - Contribution Profit for Q2 2024 was $16,384,000, up from $4,465,000 in Q2 2023, indicating improved profitability[83] - Adjusted Net Loss for Q2 2024 was $(13,773,000), an improvement from $(22,779,000) in Q2 2023[85] - Adjusted EBITDA for Q2 2024 was $(4,429,000), compared to $(17,278,000) in Q2 2023, indicating a reduction in losses[85] Assets and Liabilities - Total current assets rose to $391.0 million as of June 30, 2024, compared to $371.6 million at the end of 2023, marking a 5.2% increase[4] - Total liabilities increased to $329.1 million as of June 30, 2024, up from $277.9 million at the end of 2023, indicating an 18.5% rise[4] - Offerpad's total stockholders' equity decreased to $77.6 million as of June 30, 2024, down from $133.2 million a year earlier, indicating a decline of approximately 42%[8] - The total assets of the Company as of June 30, 2024, were $327,452 thousand, an increase from $288,737 thousand as of December 31, 2023[53] - The total liabilities of the Company as of June 30, 2024, were $307,446 thousand, compared to $261,049 thousand as of December 31, 2023[53] Cash Flow - The company experienced a cash outflow from operating activities of $52.0 million in Q2 2024, compared to a cash inflow of $371.5 million in Q2 2023, indicating a substantial change in cash flow dynamics[10] - Cash and cash equivalents decreased to $56.9 million as of June 30, 2024, down from $76.0 million at the end of 2023, a decline of 25.0%[4] - The company had cash, cash equivalents, and restricted cash of $73.0 million at the end of Q2 2024, down from $122.3 million at the end of Q2 2023, representing a decrease of about 40%[10] - Net cash used in operating activities was ($52.0) million for the six months ended June 30, 2024, compared to $371.5 million provided in the same period of 2023, primarily due to a $32.4 million increase in real estate inventory[112] - Net cash provided by financing activities was $45.4 million for the six months ended June 30, 2024, primarily from $495.9 million of borrowings, offset by $450.5 million of repayments[113] Market Presence and Strategy - Offerpad operates in over 1,800 cities and towns across 27 metropolitan markets in 17 states as of June 30, 2024, highlighting its extensive market presence[11] - Offerpad aims to enhance its technology platform and expand market share in existing and new markets, focusing on strategic growth initiatives[3] - The company expanded into two additional markets during the first half of 2024, bringing its total to 27 markets served[70] - Offerpad captured approximately 0.5% market share of real estate transactions across its 25 active markets as of December 31, 2023[69] Inventory and Sales - Real estate inventory increased to $307.8 million as of June 30, 2024, up from $276.5 million at the end of 2023, reflecting a 11.3% growth[4] - Homes sold in Q2 2024 totaled 742, an increase from 650 homes sold in Q2 2023[83] - The average holding period of homes sold decreased to 106 days in Q2 2024, reflecting an increase in home acquisition pace[77] - Renovation services represented approximately 2% of Offerpad's total consolidated revenue during the three and six months ended June 30, 2024[71] - Ancillary products and services accounted for less than 1% of total consolidated revenue during the same period[73] Expenses and Costs - Operating expenses for Q2 2024 were $31.7 million, down from $44.1 million in Q2 2023, a reduction of 28.0%[5] - The company incurred advertising expenses of $3.5 million during the three months ended June 30, 2024, compared to $10.9 million in the same period of 2023, indicating a decrease of 67.9%[26] - Interest expense increased by $2.7 million, or 145.4%, to $4.6 million for the three months ended June 30, 2024, due to a higher average outstanding balance of credit facilities[91] - Cost of revenue increased by $21.3 million, or 10.3%, to $229.3 million for the three months ended June 30, 2024, primarily due to higher sales volumes[88] Stock and Equity - The Company is authorized to issue 2.1 billion shares of capital stock, including 2 billion shares of Class A common stock[40] - As of June 30, 2024, there were 27,329,264 shares of Class A common stock issued and outstanding[41] - The Company had 286,802 shares reserved for issuance under the Employee Stock Purchase Plan (ESPP) as of June 30, 2024, after an increase of 111,248 shares on January 1, 2024[45] - The fair value of RSUs that vested and settled during the six months ended June 30, 2024, was $1.8 million, compared to $2.5 million for the same period in 2023[46] Compliance and Governance - The Company was in compliance with all covenants as of June 30, 2024, with no events of default occurring[33] - The company has not paid any cash dividends on common stock to date and has no current plans to do so for the foreseeable future[43] - The company is not currently involved in any legal proceedings that would have a material adverse effect on its business or financial condition[119] - There were no changes in the internal control over financial reporting during the three months ended June 30, 2024, that materially affected the internal control[119]

Exhibit 99.1 Offerpad Reports Second Quarter 2024 Results Gross Margin Improves for Third Consecutive Quarter CHANDLER, Ariz.—(BUSINESS WIRE)— Offerpad Solutions Inc. ("Offerpad") (NYSE: OPAD), a leading tech-enabled platform for residential real estate, today released financial results for the three months ended June 30, 2024. "During the second quarter, we delivered revenue within our guidance and sequential improvement in Adjusted EBITDA. Our focus on expense management, and the continued growth in our a ...

But while that kind of price action will scare away most potential investors - and make existing investors want to sell their shares - it's an opportunity for the few investors who are truly willing to bet on contrarian plays. In fact, a study titled "Falling Knives Around The World" made by The Brandes Institute found that certain stocks - they refer to them as "falling knives" - were likely to outperform the broader index (S&P 500) by wide margins over 1, 2, and 3 year timeframes. In fact, it was found th ...

Shares of Offerpad Solutions Inc. (OPAD) have gained 1.1% over the past four weeks to close the last trading session at $7.26, but there could still be a solid upside left in the stock if short-term price targets of Wall Street analysts are any indication. Going by the price targets, the mean estimate of $9.13 indicates a potential upside of 25.8%.The average comprises four short-term price targets ranging from a low of $7 to a high of $12, with a standard deviation of $2.10. While the lowest estimate indic ...