BETR
Better Home FinanceBDocument history
Earnings documents stored for BETR.
Investor releaseQuarter not tagged2026-08-06Better Home & Finance Q2 Earnings Call Highlights
MarketBeat
Better Home & Finance Q2 Earnings Call Highlights
Interested in Better Home & Finance Holding Company? Here are five stocks we like better. Second-quarter performance improved: Loan volume rose 38% year over year to $1.67 billion, while revenue increased 28% to $54.7 million and the adjusted EBITDA loss narrowed to $14 million. HELOCs grew to 18% of volume as elevated rates continued to weigh on refinancing. Near-term outlook is cautious: Better forecast third-quarter loan volume of $1.375 billion to $1.525 billion and revenue of $49 million to $52 million, while acknowledging it will miss its prior September adjusted EBITDA breakeven target. The company raised its annual cost-savings goal to more than $45 million. Strategy and leadership are shifting: Interim CEO Daniel Lewis replaced founder Vishal Garg, with a permanent CEO search underway. Better expects new HELOC partnerships to begin contributing in the fourth quarter and is prioritizing lower-cost API and white-label integrations. Better Home & Finance (NASDAQ:BETR) reported higher loan volume and revenue for the second quarter of 2026, while outlining a more cautious third-quarter outlook amid elevated mortgage rates, delayed partnership launches and a muted refinancing market. The company also disclosed a leadership transition, with Daniel Lewis serving as interim chief executive officer following the board’s decision to replace founder Vishal Garg in the role. Lewis said the board has retained a search firm to identify a permanent CEO, while giving him authority to execute the company’s strategic plan. He said there is “no formal strategic alternatives process at this time.” → 3 Drone Stocks That Should Soar After the Summer Slump Chief Financial Officer Loveen Advani said Better’s second-quarter loan volume rose 38% year over year to $1.67 billion. Total net revenue increased 28% from a year earlier and 15% sequentially to $54.7 million. Adjusted EBITDA loss narrowed to $14 million, improving 39% year over year and 26% from the first quarter. Advani noted that the result included a one-time $6.5 million trade reserve release associated with loans originated before June 2022. → Meta’s Earnings Drop Shows Wall Street Wants More Than Ad Growth The company’s product mix continued shifting toward home equity lines of credit, or HELOCs, as higher interest rates constrained refinancing activity. HELOCs represented 18% of second-quarter loan volume, comp…Read full documentShow less
Interested in Better Home & Finance Holding Company? Here are five stocks we like better. Second-quarter performance improved: Loan volume rose 38% year over year to $1.67 billion, while revenue increased 28% to $54.7 million and the adjusted EBITDA loss narrowed to $14 million. HELOCs grew to 18% of volume as elevated rates continued to weigh on refinancing. Near-term outlook is cautious: Better forecast third-quarter loan volume of $1.375 billion to $1.525 billion and revenue of $49 million to $52 million, while acknowledging it will miss its prior September adjusted EBITDA breakeven target. The company raised its annual cost-savings goal to more than $45 million. Strategy and leadership are shifting: Interim CEO Daniel Lewis replaced founder Vishal Garg, with a permanent CEO search underway. Better expects new HELOC partnerships to begin contributing in the fourth quarter and is prioritizing lower-cost API and white-label integrations. Better Home & Finance (NASDAQ:BETR) reported higher loan volume and revenue for the second quarter of 2026, while outlining a more cautious third-quarter outlook amid elevated mortgage rates, delayed partnership launches and a muted refinancing market. The company also disclosed a leadership transition, with Daniel Lewis serving as interim chief executive officer following the board’s decision to replace founder Vishal Garg in the role. Lewis said the board has retained a search firm to identify a permanent CEO, while giving him authority to execute the company’s strategic plan. He said there is “no formal strategic alternatives process at this time.” → 3 Drone Stocks That Should Soar After the Summer Slump Chief Financial Officer Loveen Advani said Better’s second-quarter loan volume rose 38% year over year to $1.67 billion. Total net revenue increased 28% from a year earlier and 15% sequentially to $54.7 million. Adjusted EBITDA loss narrowed to $14 million, improving 39% year over year and 26% from the first quarter. Advani noted that the result included a one-time $6.5 million trade reserve release associated with loans originated before June 2022. → Meta’s Earnings Drop Shows Wall Street Wants More Than Ad Growth The company’s product mix continued shifting toward home equity lines of credit, or HELOCs, as higher interest rates constrained refinancing activity. HELOCs represented 18% of second-quarter loan volume, compared with 12% in the prior quarter. Advani said HELOC loans generally have smaller average balances than first-lien mortgages but generate higher average revenue per loan. Refinance volume increased 239% year over year to $549 million. Home equity volume rose 23% to $294 million. Purchase loan volume increased 3% to $824 million. Purchase loans represented 49% of total quarterly volume, refinancings accounted for 33%, and home equity accounted for 18%. By channel, 55% of loan volume originated through the company’s Tinman AI platform and 45% came from direct-to-consumer operations. Better’s NEO business, which recruits loan officer teams, grew loan volume 60% year over year during the quarter, according to Advani. → Jersey Mike's Serves Fresh Gains After IPO Stumble For the third quarter, Better forecast loan volume of $1.375 billion to $1.525 billion, total net revenue of $49 million to $52 million, and an adjusted EBITDA loss of $18 million to $15 million. At the midpoint, the company said the guidance implies 20% year-over-year loan-volume growth, 22% revenue growth and a 28% improvement in adjusted EBITDA loss. Lewis said Better now expects to miss its previously stated target of reaching adjusted EBITDA breakeven by September. Rather than setting a new date, he said management plans to report progress quarterly because profitability will depend on transaction volumes, revenue mix, partnership timing and the pace of cost reductions. “Sustainable profitability is a clear priority,” Lewis said, adding that the company aims to strengthen its financial position without limiting growth opportunities. Advani said operating expenses, excluding the trade reserve item, were about $75 million in the second quarter. At the midpoint of third-quarter guidance, operating expenses are expected to be approximately $67 million, representing about $8 million in sequential savings. He said many cost-cutting actions were initiated late in the second quarter and therefore did not fully affect that period’s results. Better increased its expected annual cost savings to more than $45 million, up from its previous $25 million target. Lewis said the company is combining its NEO and Better Mortgage operations as part of an effort to simplify operations and focus engineering resources and capital allocation on fewer priorities. Management said third-quarter guidance does not include contributions from new HELOC partnership launches. Lewis said Better has signed HELOC partnerships, but their launch schedules are controlled partly by large enterprise customers and are not expected to affect the third quarter. “Multiple partnerships should start to kick in HELOC in the fourth quarter,” Lewis said in response to an analyst question. The company plans to prioritize enterprise partners that can connect to Tinman through its API-driven model, including consumer platforms, wholesale brokers and other businesses whose customers can move onto the platform. Lewis specifically cited Credit Karma, Coinbase and Better’s NEO operation as parts of its distribution strategy. Better also is preparing to launch Tinman for independent mortgage brokers in the wholesale channel, with Lewis indicating that activity could begin toward the end of September. He said the company is de-emphasizing enterprise integrations that require replacing existing systems and training outside loan officers, describing those arrangements as having long sales cycles and high support costs. Instead, the company intends to focus on white-label and API-based partnerships that can be implemented more efficiently. Lewis said Better’s pricing approach will emphasize contribution margin rather than loan volume alone. Advani said the company targets incremental contribution margins of 20% to 25% across products and channels. Better ended the quarter with approximately $102 million of cash and cash equivalents, plus $10 million of restricted cash. Warehouse capacity totaled about $850 million, a 48% increase from year-end 2025. The company continues to pursue the sale of its U.K. bank subsidiary, Birmingham Bank, through a process led by FD Partners. Advani said Better would provide an update if there is a material development. Lewis said he will receive the minimum salary allowed by law and no cash bonus during his interim tenure. His compensation is expected to consist of performance-based equity, with final terms to be determined by the board and disclosed in public filings. He also said Better’s directors have elected to receive their compensation in equity rather than cash. Better Home & Finance Holding Co engages in the provision of comprehensive homeownership services. It offers mortgage loans, real estate agent services, and title and homeowner's insurance services. The company was founded in 2014 and is headquartered in New York, NY. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Better Home & Finance Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.
Investor releaseQuarter not tagged2026-08-06Better Home & Finance Holding Company Announces Second Quarter 2026 Results
Business Wire
Better Home & Finance Holding Company Announces Second Quarter 2026 Results
Better Reports Second Quarter 2026 Results, Provides Guidance for Q3 and an Update on Strategic Direction In Q2 2026, Loan Volume grew 38% year over year to $1.67 billion, exceeding the mid-point of previously-issued guidance. Total Net Revenues grew 28% year over year to $54.7 million. Platform Loan Volume reached $912 million in Q2 2026, representing 55% of Loan Volume. Net loss of $30.6 million, compared to a loss of $36.3 million in Q2 2025. Adjusted EBITDA loss of $14.0 million, compared to a loss of $22.9 million in Q2 2025, includes $6.5 million benefit from a TRID reserve release related to loans originated prior to June 2022. Board member Daniel Lewis appointed to Interim Chief Executive Officer; Founder Vishal Garg will transition from his role as Chief Executive Officer and continue to serve on the Board. Provided Q3 guidance of Loan Volume of $1.375 to $1.525 billion, Total Net Revenues of $49.0 to $52.0 million, and Adjusted EBITDA of $(18.0) to $(15.0) million. NEW YORK, August 06, 2026--(BUSINESS WIRE)--Better Home & Finance Holding Company (NASDAQ: BETR; BETRW) ("Better," the "Company," "our" or "we"), the AI-native mortgage and home equity finance company, today reported financial results for the second quarter ended June 30, 2026. "Better’s road to excellence has never been clearer. The more I see of this business, the more convinced I am that Better has the products, technology, and distribution capabilities to define the next era of home finance. We’re focused on three priorities: expanding our reach through enterprise and wholesale partners, deepening automation to improve operating efficiency, and aggressively scaling our HELOC product, where demand has already exceeded our expectations," said Daniel Lewis, Interim Chief Executive Officer of Better. "Despite a muted near-term macro environment and the natural lead times associated with launching new partnerships, our extensive pipeline across enterprise platforms and independent mortgage brokers shows that we’re only scratching the surface of what’s possible. With our differentiated HELOC product set expanding beyond direct-to-consumer later this year, our growth will become less dependent on the macro environment and increasingly driven by our execution." Second Quarter 2026 Financial Highlights: Following the reclassification of our U.K.-based bank to discontinued operations, prior-pe…Read full documentShow less
Better Reports Second Quarter 2026 Results, Provides Guidance for Q3 and an Update on Strategic Direction In Q2 2026, Loan Volume grew 38% year over year to $1.67 billion, exceeding the mid-point of previously-issued guidance. Total Net Revenues grew 28% year over year to $54.7 million. Platform Loan Volume reached $912 million in Q2 2026, representing 55% of Loan Volume. Net loss of $30.6 million, compared to a loss of $36.3 million in Q2 2025. Adjusted EBITDA loss of $14.0 million, compared to a loss of $22.9 million in Q2 2025, includes $6.5 million benefit from a TRID reserve release related to loans originated prior to June 2022. Board member Daniel Lewis appointed to Interim Chief Executive Officer; Founder Vishal Garg will transition from his role as Chief Executive Officer and continue to serve on the Board. Provided Q3 guidance of Loan Volume of $1.375 to $1.525 billion, Total Net Revenues of $49.0 to $52.0 million, and Adjusted EBITDA of $(18.0) to $(15.0) million. NEW YORK, August 06, 2026--(BUSINESS WIRE)--Better Home & Finance Holding Company (NASDAQ: BETR; BETRW) ("Better," the "Company," "our" or "we"), the AI-native mortgage and home equity finance company, today reported financial results for the second quarter ended June 30, 2026. "Better’s road to excellence has never been clearer. The more I see of this business, the more convinced I am that Better has the products, technology, and distribution capabilities to define the next era of home finance. We’re focused on three priorities: expanding our reach through enterprise and wholesale partners, deepening automation to improve operating efficiency, and aggressively scaling our HELOC product, where demand has already exceeded our expectations," said Daniel Lewis, Interim Chief Executive Officer of Better. "Despite a muted near-term macro environment and the natural lead times associated with launching new partnerships, our extensive pipeline across enterprise platforms and independent mortgage brokers shows that we’re only scratching the surface of what’s possible. With our differentiated HELOC product set expanding beyond direct-to-consumer later this year, our growth will become less dependent on the macro environment and increasingly driven by our execution." Second Quarter 2026 Financial Highlights: Following the reclassification of our U.K.-based bank to discontinued operations, prior-period results have been recast on a comparable basis. GAAP Results: Total Net Revenues of $54.7 million, compared to $42.7 million in Q2 2025, reflecting 28% growth year over year. Net Loss of $(30.6) million, compared to a loss of $(36.3) million in Q2 2025, reflecting a (16)% improvement year over year. Key Operating Metrics and Non-GAAP Financial Measures: Adjusted EBITDA loss of $14.0 million, compared to a loss of $22.9 million in Q2 2025, reflecting a 39% improvement year over year. Q2 2026 Adjusted EBITDA includes a $6.5 million benefit from a TRID reserve release related to loans originated prior to June 2022. Loan Volume of $1.67 billion, compared to $1.21 billion in Q2 2025, reflecting 38% growth year over year. 5,724 Total Loans, compared to 4,032 in Q2 2025, reflecting 42% growth year over year. By Product: Refinance Loan Volume of $549 million comprised 33% of Loan Volume; Purchase Loan Volume of $824 million comprised 49% of Loan Volume; and HELOC Loan Volume of $294 million comprised 18% of Loan Volume. By Channel: Platform Loan Volume of $912 million comprised 55% of Loan Volume and D2C Loan Volume of $755 million comprised 45% of Loan Volume. Ended Q2 2026 with $102.3 million of cash and cash equivalents and $9.6 million of restricted cash "Our second quarter results reflect disciplined execution against our targets despite a highly challenging macro environment where rates remained elevated and mortgage application volume fell by over 15%," said Loveen Advani, CFO of Better. "We believe our diversified product mix will allow us to adapt to this sustained elevated-rate environment and to continue achieving our targets," Advani added. Guidance Q3 2026 Loan Volume: $1.375 to $1.525 billion. Q3 2026 Total Net Revenues: $49.0 to $52.0 million. Q3 2026 Adjusted EBITDA: $(18.0) to $(15.0) million. A reconciliation of Adjusted EBITDA to Net Loss on a forward-looking basis cannot be provided without unreasonable efforts, as the Company is unable to provide reconciling information with respect to benefit for income taxes, stock-based compensation, changes in fair value of warrant liabilities, and goodwill impairment, all of which are adjustments to Adjusted EBITDA. Second Quarter 2026 Operational Highlights: Increased production shift to Home Equity with Home Equity Loan Volume growing 45% quarter over quarter. Platform Loan Volume reached $912 million in Q2 2026, representing 55% of Loan Volume and a 11% quarter over quarter increase. Subsequent Events in Q3 2026: Appointed Board member Daniel Lewis Interim Chief Executive Officer, effective August 3, 2026; Founder Vishal Garg will transition from his role as Chief Executive Officer and continue to serve on the Board. Increased target annualized cost reductions to exceed $45 million by year-end 2026, above the previously announced $25 million target. Additional Information For more information, please see the detailed financial data and other information available in the Company’s Quarterly Report on Form 10-Q for the three and six months ended June 30, 2026, to be filed with the Securities and Exchange Commission (the "SEC"), and the investor presentation on the investor relations section of the Company’s website at https://investors.better.com. * Webcast Details * Event Title: Better Home & Finance Holding Company 2026 Second Quarter ResultsEvent Date: August 6, 2026, 4:30PM (GMT-05:00) Eastern Time (US and Canada)Attendee Registration Link: https://events.q4inc.com/attendee/309944226 About Better Better Home & Finance Holding Company (NASDAQ: BETR) is the first AI-native mortgage and home equity finance platform, and first fintech to fund more than $110 billion in loan volume. Since 2016, Better has leveraged its industry-leading AI platform, Tinman®, to achieve a singular mission of making homeownership cheaper, faster, and easier for all Americans. Tinman® allows customers to see their rate options in seconds, get pre-approved in minutes, lock in rates, and close their loan in as little as three weeks. In addition, Betsy®, leveraging Tinman® MCP, the first AI loan agent built exclusively for the mortgage industry, is revolutionizing the homebuying journey by delivering timely application status updates to consumers, answering questions, and moving their loan application along 24/7/365. Better’s mortgage offerings include GSE-conforming, FHA, VA loans, jumbo, and Non-QM mortgage loans as well as home equity loans. Better serves customers in all 50 US states. For more information, follow @tinmanAI on X and @betterdotcom on Instagram and TikTok. Forward-looking Statements This press release contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements in this press release that are not historical fact should be considered forward-looking statements, including, without limitation, statements and expectations regarding financial results for the third quarter of 2026, including Adjusted EBITDA, Loan Volume and Total Net Revenues, cost reduction initiatives, the planned sale of the Company’s UK bank subsidiary, Birmingham Bank, and the leadership transition and related management changes. In some cases, you can identify forward-looking statements by terminology such as "believe," "may," "will," "estimate," "potential," "continue," "anticipate," "intend," "expect," "could," "would," "project," "plan," "target," or the negatives of these terms or variations of them or similar terminology. Forward-looking statements are inherently subject to risks and uncertainties which could cause actual future events to differ materially from those expressed or implied by the forward-looking statements in this communication. These risks and uncertainties include those risks discussed in the section entitled "Risk Factors" in the Company’s Annual Report on Form 10-K for the year ended December 31, 2025, as any such factors may be updated from time to time in the Company’s other filings with the SEC, which is available, free of charge, at the SEC’s website at www.sec.gov. New risks and uncertainties arise from time to time, and it is impossible for Better to predict these events or how they may affect us. You are cautioned not to place undue reliance upon any forward-looking statements, which speak only as of the date made. Better undertakes no obligation, except as required by law, to update or revise the forward-looking statements, whether as a result of new information, changes in expectations, future events or otherwise. SELECTED FINANCIAL DATA, NON-GAAP MEASURES AND DEFINITIONS Following are tables that present selected financial data of the Company. Also included are reconciliations of non-GAAP measures to their most comparable GAAP measures and definitions of certain key metrics used herein. Condensed Consolidated Balance Sheets Condensed Consolidated Statements of Operations Condensed Consolidated Statements of Cash Flows Key Metrics This press release refers to the following key metrics: Funded Loan Volume represents the aggregate dollar amount of all loans funded in a given period based on the principal amount of the loan at funding. Loan Volume consists of Funded Loan Volume and Processed Volume. Processed Volume includes loans processed on the Tinman platform on behalf of our strategic partners but not funded by Better. Purchase Loan Volume represents the aggregate dollar amount of purchase loans funded in a given period based on the principal amount of the loan at purchase date. Refinance Loan Volume represents the aggregate dollar amount of refinance loans funded in a given period based on the principal amount of the loan at refinancing date. HELOC Loan Volume represents the aggregate dollar amount of HELOC and close-end second lien loans funded in a given period based on the principal amount of the loan at funding. D2C Loan Volume represents the aggregate dollar amount of loans funded in a given period based on the principal amount of the loan at funding that have been generated from direct interactions with customers using all marketing channels other than our partner relationships and our Tinman® AI Platform channel. Platform Loan Volume represents the aggregate dollar amount of loans funded in a given period based on the principal amount of the loan at funding that have been generated through one of our Tinman® AI Platform partner relationships. Total Loans represents the total number of purchase loans, refinance loans, HELOCs, and closed-end second-lien loans completed during a given period, including loans funded by Better and loans processed on the Tinman® AI Platform on behalf of our strategic partners but not funded by Better. Use of Non-GAAP Measures and Other Financial Metrics We include certain financial measures not presented in accordance with generally accepted accounting principles ("GAAP") including Adjusted EBITDA. We calculate Adjusted EBITDA as net income (loss) adjusted for the impact of stock-based compensation expense, change in the fair value of warrants and equity-related liabilities, and other non-recurring or non-core operational expenses, as well as interest and amortization on non-funding debt (which includes interest on the Convertible Note (as defined in our Form 10-K), depreciation and amortization expense, and income tax (benefit)/expense. This non-GAAP financial measure should not be considered in isolation and is not intended to be a substitute for any GAAP financial measure. This non-GAAP measure provides supplemental information that we believe helps investors better understand our business, our business model and how we analyze our performance. We also believe this non-GAAP financial measure improves investors’ and analysts’ ability to compare our results with those of our competitors and other similarly situated companies, which commonly disclose similar performance measures. However, our calculation of Adjusted EBITDA may not be comparable to similarly titled performance measures presented by other companies. Further, although we use this non-GAAP measure to assess the financial performance of our business, this measure excludes certain substantial costs related to our business, and investors are cautioned not to use such measures as a substitute for financial results prepared according to GAAP. Non-GAAP financial measures have limitations in their usefulness to investors because they have no standardized meaning prescribed by GAAP and are not prepared under any comprehensive set of accounting rules or principles. As a result, non-GAAP financial measures should be viewed as supplementing, and not as an alternative or substitute for, our financial results prepared and presented in accordance with GAAP. Reconciliation of Non-GAAP Metrics View source version on businesswire.com: https://www.businesswire.com/news/home/20260806406171/en/ Contacts For Investor Relations Inquiries please email: [email protected]
TranscriptFY2026 Q22026-08-06FY2026 Q2 earnings call transcript
Earnings source - 53 paragraphs
FY2026 Q2 earnings call transcript
Ladies and gentlemen, thank you for standing by. My name is Kelsey, and I'll be your conference operator today. At this time, I would like to welcome you to the Better Home & Finance Holding Company second quarter 2026 results. After today's prepared remarks, we will host a question and answer session. If you would like to ask a question, please press star one to raise your hand. To withdraw your question, press star one again. I would now like to turn the conference over to Tarek Afifi, Corporate Finance and Investor Relations Manager. Tarek, please go ahead.
Welcome to Better Home & Finance Holding Company second quarter 2026 earnings conference call. My name is Tarek Afifi. I'm Better's Corporate Finance team. Joining me on today's call are Daniel Lewis, Interim Chief Executive Officer of Better, and Loveen Advani, Chief Financial Officer of Better. In addition to this conference call, please direct your attention to our second quarter earnings release, which is available on our investor relations website. Also available on our website is an investor presentation. Certain statements we make today may constitute forward-looking statements within the meaning of federal securities laws that are based on current expectations and assumptions. These expectations and assumptions are subject to risks, uncertainties and other factors, as discussed further in our SEC filings, that could cause our actual results to differ materially from our historical results. We assume no responsibility to update forward-looking statements other than as required by law.
During today's discussion, management will discuss certain non-GAAP financial measures which we believe are relevant in assessing the company's financial performance. These non-GAAP financial measures should not be considered replacements for and should be read together with our GAAP results. These non-GAAP financial measures are reconciled to GAAP financial measures in today's earnings release and investor presentation, both of which are available on the investor relations section of Better's website, and when filed in our quarterly report on Form 10-Q with the SEC. More information as of and for the period ended June 30th, 2026, will be provided upon filing our quarterly report on Form 10-Q with the SEC. I will now turn the call over to Daniel.
Good afternoon, everyone, and thank you for joining us. This week, the board announced a leadership change and asked me to serve as interim chief executive officer. Better is not new to me. I've been working alongside management for the past three months after Vishal invited me to work directly with the business. I've attended virtually every management meeting in that time and contributed to many of the strategic initiatives we'll be discussing today. I've been a significant shareholder for some time, and I've worked closely with our Founder, Vishal Garg, over the past year. My initial mandate was straightforward: help strengthen execution and improve operational efficiency, delivering the company's strategic priorities. That work expanded into enterprise partnerships development and the day-to-day operations of the business. Along the way, I developed a deep understanding of the business, its leadership team, and the opportunities and challenges in front of us.
I spent the last 30 years as an Investor, Board Member, Founder, and Operator at highly regulated financial institutions. I want to address our forward outlook at the beginning of this call. Our third quarter guidance reflects the muted refinancing environment and the uncertain timing of several partnership launches. In Q3, we expect loan volume of $1.375 billion-$1.525 billion, total net revenues of $49 million-$52 million, and an adjusted EBITDA loss of $18 million-$15 million. Regarding our previously guided goal of reaching adjusted EBITDA breakeven by September, we now expect to fall short. I remain optimistic about Better's opportunity, but our objective is to establish credibility through execution. I do not want to anchor adjusted EBITDA breakeven expectations to a specific month, because achieving it depends on transaction volumes, revenue mix, and the timing of our cost reductions.
Our cost reductions are expected to continue to flow to the P&L over the remainder of the year. At the same time, the timing of partnership launches and other revenue initiatives will naturally influence quarterly results. Sustainable profitability is a clear priority, and we will strengthen our financial position without sacrificing the opportunity in front of us. We now expect our annual cost savings to exceed $45 million, well above our original target of $25 million. That represents meaningful progress, but is not where we intend to stop. Better has always been innovative, defined by our Founder's spirit and creativity. As is often the case, an organization moving into an enterprise strategy needs focus as complexity slows execution. Going forward, we will concentrate on fewer priorities and execute them exceptionally well. No group is more excited about that focus than our AI engineering team.
I'm pleased to say that July was our most productive month for engineering in some time, largely because of clear prioritization. Sustainable profitability and long-term growth are not competing priorities. When capital is allocated with discipline and execution is consistent, they reinforce one another. What gives me the greatest confidence is the team. Better has exceptional people who are energized by the opportunity ahead. Across the company, I see leaders who are eager to build, move fast, and execute at a higher standard. Just as importantly, we will not depend on a refinancing cycle or wait for interest rates to fall. We already have a compelling HELOC product. What we need is thoughtful distribution and continued improvement in customer acquisition costs, not additional demand or a different macro environment. We are building operating leverage in businesses where demand already exists.
Our growth will come from better execution, not from waiting for the market to improve. I know our enterprise results can improve significantly. Our partnership support infrastructure still requires work, which reflects our direct-to-consumer heritage. The expansion from direct-to-consumer to an enterprise model is not a simple evolution. Why are the board and I enthusiastic about Better's future? The demand for Tinman and Betsy is no longer in question. It is coming from enterprise customers, independent mortgage brokers, and our own loan officers. Independent mortgage brokers have expressed interest in our Tinman solution, built specifically for the wholesale channel, and we are now preparing for launch. We have demonstrated product-market fit in one of the largest financial markets in the world, spanning personal mortgages, home equity lending, and an enterprise mortgage infrastructure. That brings me to our operating priorities. Our first priority is distribution.
We will focus on enterprise partners whose businesses naturally align with Tinman and our API-driven operating model. We will win by manufacturing mortgages efficiently, not by outspending competitors on customer acquisition. That includes consumer platforms like Credit Karma and Coinbase, our NEO operation, as well as wholesale brokers and other enterprise partners whose customers can move seamlessly onto the Tinman platform. We are not simply interested in partnership announcements. Our objective is to build an organization that consistently implements, supports, and grows them. Since my appointment, we have spoken with each of our enterprise partners and those that are still in the pipeline. We talked about the exciting future ahead, and those conversations reinforced my conviction about this opportunity. We are excited about a few select verticals. Today I will highlight the wholesale channel. There's real interest from independent mortgage brokers who are already waiting for Tinman.
We intend to serve them, but only when we can deliver a best-in-class loan officer experience, faster funding, lower cost, and better customer outcomes. We are interested in winning for the long term. Our second priority is product. We will continue investing aggressively in HELOC. Our offering combines sophisticated underwriting with a differentiated experience for both borrowers and loan officers. The wholesale market's interest has exceeded our expectations, and we intend to pursue the opportunity aggressively but thoughtfully. Today, HELOC's still largely a direct-to-consumer product. Over time, we expect it to become an important enterprise product as well. Our third priority is Tinman. Tinman is an AI-native, modular, end-to-end solution supporting the mortgage process from lead to fund. It is not a wrapper on someone else's technology. It is the manufacturing system itself. Further automation reduces expense, but it also enables a faster closing experience for customers.
Our near-term objectives are simple: give loan officers the best experience and continue driving automation throughout the platform. Let me explain why we expect to win here. D2C and NEO are our innovation platform and our feedback loop on the loan officer experience. Every day, our loan officers tell us what works, what does not, and what needs to improve. That feedback loop is how Tinman becomes an AI platform built by loan officers rather than just for them, and ultimately a platform that enterprise customers and independent brokers can adopt with confidence. Because our AI strategy is fundamental to Better's long-term success, I've asked our board member, Prabhu Narasimhan, to continue serving as a strategic advisor on enterprise artificial intelligence. As the Founder and CEO of Brahma AI, Prabhu brings deep experience helping enterprises deploy AI at scale. Finally, we will continue simplifying operations.
Our NEO and Better Mortgage operations are being combined, creating efficiencies while improving execution. A more focused company needs clear priorities, aligning engineering resources, disciplined capital allocation, and an operating model built around execution. Let me turn to how we intend to communicate with you, our shareholders. Today, I am signaling confidence in Better's future. Our objective is to establish credibility through execution. We will report on our prospects, our progress against stated objectives, and our cost structure, including the impact of stock-based compensation. At my request, I will receive the minimum salary permitted by law and no cash bonus. My compensation will consist of performance-based equity with the final terms to be determined by the board and disclosed in our public filings. That is the structure I requested because I believe in Better's future, and I want my incentives aligned with those of our shareholders.
The board's incentives are also aligned with yours. They have elected to receive their compensation in equity rather than cash. The board and I are aligned on my interim designation. The interim designation provides complete flexibility for the board as it considers the company's long-term leadership while allowing us to devote our full attention to executing the plan in front of us. My confidence is not built on hope, but on the information and experience I have gained over the past several months. It comes from employees rallying around a clear plan and shared sense of purpose. It comes from the opportunities I see to grow this business. It comes from my belief that Better has the people, technology, and foundation to execute if we remain disciplined and focused. We will build partnerships we can support properly and put our engineers on the work that matters most.
Better exists to solve deeply human problems. Helping someone buy a first home, giving a growing family more space, enabling a retiree to lower monthly payments, or allowing a business owner to invest by unlocking home equity. The strongest impression I formed at Better was not about the technology. It was about the people who do that work. Finally, I want to thank Vishal Garg. Better would not exist without his vision, and the technology we are discussing today is the product of years of investment and innovation under his leadership. I appreciate his partnership through this transition. With that, I'll turn the call over to Loveen.
Thank you, Daniel, for clearly laying out the priorities ahead. We look forward to supporting you on their execution. On the macro environment, the rate backdrop got more difficult as the quarter progressed, mortgage application activity has softened industry-wide. We don't expect this to be a short-term blip. We're planning for an elevated rate environment to persist over the medium term, and we're adapting accordingly. Despite the macro environment in Q2, Better's loan volume grew 38% year-over-year to $1.67 billion, total net revenues increased 28% year-over-year and 15% quarter-over-quarter to $54.7 million. This quarter, HELOC represented 18% of our loan volume, up from 12% last quarter. That's a direct reflection of how we're responding to this rate backdrop. HELOCs enable homeowners to access liquidity without giving up a lower rate that they have already locked in.
Even though HELOCs carry smaller average loan sizes than first liens, they generate higher average revenue per loan, so they have an outsized impact on revenue. Turning to NEO. In Q2, our NEO business grew 60% in loan volume year-over-year and continues to recruit top loan officer teams across the country. In Q2, our adjusted EBITDA loss was $14 million. This $14 million loss is a 39% improvement year-over-year and a 26% improvement quarter-over-quarter. The adjusted EBITDA benefits from a one-time $6.5 million trade reserve release related to loans originated prior to June 2022. Looking at product trends in Q2. Refinance loan volume grew 239% year-over-year to $549 million. Home equity volume grew 23% year-over-year to $294 million, purchase loan volumes grew 3% year-over-year to $824 million.
By product mix, refinance made up 33% of Q2 loan volume, home equity made up 18% of Q2 loan volume, and purchase made up 49% of Q2 loan volume. By channel in Q2, 55% of loan volume came from the Tinman AI Platform and 45% from direct-to-consumer. Turning to third quarter guidance. We expect loan volumes of $1.375 billion-$1.525 billion, of which the midpoint represents 20% growth year-over-year. We expect total net revenues of $49 million-$52 million, of which the midpoint represents a 22% growth year-over-year. We also expect an adjusted EBITDA loss in the range of $18 million-$15 million, of which the midpoint represents a 28% improvement year-over-year. The range is wider than in prior quarters for two reasons.
Refinance volume is more rate sensitive at current levels. Our revenue mix is actively shifting towards HELOCs. As our HELOC partnerships ramp and season, we expect that product to become a more predictable contributor to give us better visibility into our forecast. Building on Daniel's earlier statement on the September breakeven target, the cost reductions we have executed will continue to flow through the P&L over the remainder of the year. The timing of the HELOC partnership ramps and launches, and the pace of the refinance market, will determine when we cross over. Rather than reanchor to a specific month, we will report our progress each quarter and let the results speak for themselves. On the balance sheet, we ended Q2 2026 with approximately $102 million in cash and cash equivalents and $10 million in restricted cash.
We believe the balance sheet today is appropriately positioned to support our path towards profitability. In addition, our total warehouse capacity stands at approximately $850 million, a 48% increase from year-end 2025. That capacity reflects both the belief in the platform and the infrastructure required to support future partnership growth. Our warehouse lenders have continued to expand their commitments alongside us, which we see as a strong vote of confidence in the direction we're headed. We continue to pursue the sale of our U.K. bank subsidiary, Birmingham Bank, through a process led by FD Partners. We will provide an update when there is a material development. We'll continue to give you clear visibility into these numbers each quarter and let the results speak for the progress we are making. I'll turn it back to the operator for Q&A.
We will now begin the question and answer session. Please limit yourself to one question and one follow-up. If you would like to ask a question, please press star one to raise your hand. To withdraw your question, press star one again. We ask that you pick up your handset when asking a question to allow for optimum sound quality. If you are muted locally, please remember to unmute your device. Please stand by while we compile the Q&A roster. Your first question comes from the line of Kartik Mehta with Northcoast Research. Your line is open, Kartik. Please go ahead.
To start off, just looking at third quarter guidance. When looking at the third quarter guidance, it kind of assumes lower loan volume and revenue sequentially. Yet the compliance with GAAP performance suggests that you're realizing meaningful benefits from the cost initiatives. So I was wondering if you could discuss how much of that improvement is already visible versus how much you can realize over the next 12 months.
Hey, Kartik, it's Loveen. Thanks for the question. Yeah. In our Q2, if you adjust for the TRID, our OpEx was around $75 million, and the midpoint of our Q3 guidance has OpEx about $67 million. Say about $8 million of savings from quarter-over-quarter. We started our cost cuts later in the quarter, we couldn't get the impact of majority of them in Q2. We see a meaningful impact in our cost cuts in Q3, which is why, despite lower volumes and lower revenue in Q3, we should get that EBITDA.
Daniel, you talked about, obviously, partnerships. Some of them are delayed. I'm wondering if you could talk about maybe your pipeline of new partnerships. Is it a delay just because it takes time to implement them? Is it a delay because maybe demand is different today than it was six months ago for those partnerships?
Thanks for the question. The answer is that when you deal with large enterprises, you are subject to their rollout schedule, both in terms of the percentages of leads you would get, the actual launch dates, et cetera. It's not a lack of demand at all for Tinman. In fact, we've made some announcements about our HELOC product coming to market. I think it's our first partnership from the D2C. The pipeline is very robust. We've spoken to all the partners this week, and we feel that we're in a great position. In terms of guiding you for Q3, it becomes difficult. We decided we weren't going to include the impact of any launches in those numbers. Certainly as we end into the second, I guess, Q4 this year, that's when I think you'll really start to see some activity.
The other thing I would say.
Thanks. Excuse me. Go ahead. I apologize. Go ahead.
No, just I think the other thing is, again, leaning into the HELOC side, because right now our enterprise partnerships are very skewed towards the refinancing. That obviously has a macro headwind. The ones in the second half of the year, we think are going to start to be more meaningful because they're the right kind of partner and it's the right kind of product, which is our HELOC.
Perfect. Thank you. Good to hear the pipeline is still pretty strong.
Your next question comes from the line of Kyle Peterson with Needham. Your line is open, Kyle. Please go ahead.
Great. Good afternoon. Thank you for taking the questions. Wanted to dig into the third quarter guide a little bit, but more on the top-line basis. Just wanted to see if you guys could help us maybe bridge in a little more detail, in terms of how we get from the 2Q level to 3Q. I assume there's a good amount of mix that'll probably be changing there with less refi, more home equity. Any more color that you guys could give in terms of what to expect on the mix and the puts and takes to get to the third quarter revenue would be really helpful.
Hey, Kyle. Thanks. Yeah, that's a great question. As we said on our first Q1 call, we expect the percentage of HELOC in our total volumes to increase, and we saw that in the second quarter. We went from 12% of volumes in the first quarter, HELOCs being 12% of volumes in the first quarter, to being 18% of volumes in the second quarter. We expect HELOCs to be meaningfully higher in the third quarter. We don't want to give exact pinpoint guidance for a couple reasons. One is, we've factored in no HELOC partnerships in our 3Q guide. It's purely D2C. The second piece is, the macro environment affects the refi business, so that mix is uncertain as well.
Okay. That is helpful. Then as a follow-up, I hear you on not including any of the HELOC contribution with partnerships. I did want to ask a little bit about what that could look like in the future, specifically with Credit Karma. I guess, how are you guys thinking about how long it would take a partnership like this to get up and running and when that could start to contribute to volumes? Is that in the fourth quarter of this year, or is that more of a next year event? Just any directional rough timing on the ramp time there would be great.
The answer is multiple partnerships should start to kick in HELOC in the fourth quarter. Far this quarter, we have done no partner launches, and no HELOC launches specifically. Hopefully that gives you a sense of why the bridge on revenue. We are basically still have the refi environment in our largest enterprise segment, and we don't have anything really additional in terms of channel development in the HELOC product.
Got it. Thank you.
Your next question comes from the line of Joseph Vafi with Canaccord Genuity. Your line is open, Joseph. Please go ahead.
Hey, guys. Good afternoon. Welcome on board, Daniel. Maybe could we talk a little bit about ramping HELOC volume? It sounds like it's gonna continue to ramp here on a mixed-shift basis into Q3, but it doesn't sound like we're necessarily signing any new partners right now. Maybe, guys, just double-click on where HELOC volume growth is coming from in a more detailed way across your existing channels. Is it direct B2C or is there a channel benefit here? Thanks.
I think just to correct that point, we have signed HELOC partnerships. They just haven't launched or ramped yet. That's why I'm pushing you towards the fourth quarter when you start to see some impact. The HELOC product itself, we have a very competitive offering vis-a-vis our competition. Tinman is a great solution for HELOC, as is our loan operation. Again, I think we're really excited about the HELOC partnership. We want to be thoughtful about Q3 guide just because we're not in control of those start dates. We know that they're coming, but they're not coming in this quarter.
Okay, that's helpful. Thank you. Are there any channels that you think maybe Better is gonna de-emphasize moving forward relative to previously? Thanks very much.
I think that echoes my comments on focus. There's the kind of partnership we want and the one that we really don't think makes a ton of sense for the business right now. When you're thinking about ripping out existing systems and training other people's loan officers on the use of Tinman, those are very long sales cycle. They're very expensive in terms of customer support. It's the partnerships where we are using our API-driven culture to plug in Tinman we can provide a white label solution that includes the wholesale channel, which I think is gonna be starting towards the end of September. It includes the enterprise platform, the platforms that we have. There's a wide market that covers most of the TAM of the industry, particularly in HELOC.
It's the really complicated enterprise integrations that we think so far have not yielded material results, the cost associated with them has been high.
Great, thanks. Maybe just if I could sneak one more in. Can you just give us an update on your pricing strategy in the market? I know when Tinman launched, it was a little disruptive. An update on the outlook there would be helpful. Thank you very much.
Yeah, absolutely. Our pricing methodology is more around contribution margin. We're going to keep our pricing methodology around the 20%-25% incremental contribution margin across all channels and products.
I think the way we want you all to start thinking about the company is less about loan volume because of the change in mix of HELOC versus first lien. We want you to think less about simply revenue growth, but look at contribution margin, which is less our marketing expense or the loan platform fees we have to pay. That's the proper metric rather than seeing if we're buying business in the marketing DTC channel.
Great. Thank you very much.
As a reminder, if you would like to ask a question, please press star one to raise your hand. The next question comes from the line of Ramsey El-Assal with Cantor Fitzgerald. Your line is open, Ramsey. Please go ahead.
Hi. Thank you very much for taking my question this evening. Daniel, congratulations on the new role. I guess my first question is why now on the CEO transition? Why did the board decide to act now? Then maybe as a two-parter here also, you were listed as interim CEO, but your prepared remarks sounded more permanent. I'm just wondering if the board's running a search for a permanent CEO or whether the interim title is, I don't know, itself interim if that makes sense.
The board is committed to running a search for a full-time CEO. Part of my service on the board of directors of stepping into this role is giving them the most flexibility that they need. They've also given me the total authority to act against a strategic plan, which is why I probably sound less interim today. We have a strategic plan we're acting, and we have a search firm. In terms of the decision of why now, I think the board concluded that we are really in a transitional phase between a founder mode-based company, which is creativity and many different projects, versus an enterprise stage of executing against very select ideas that have a demonstrated product market fit. That's the transition moment, and obviously Vishal has been an incredible founder for the company, and we are all very grateful.
Fantastic. Let me squeeze one more quick one in. Given your background, is the board exploring any kind of strategic alternatives for the business? Is that on the table, or is that not something that's being contemplated?
There's no formal strategic alternatives process at this time.
Fantastic. Thank you very much.
We have reached the end of the Q&A session. I will now turn the call back to Daniel Lewis for closing remarks.
Thank you all for joining us. I'm grateful to our team for all the hard work. We're focused on executing with discipline and delivering on the opportunity ahead. Look forward to speaking to you all again next quarter.
This concludes today's call. Thank you for attending. You may now disconnect.
Investor releaseQuarter not tagged2026-08-05Zillow Group (ZG) Beats Q2 Earnings and Revenue Estimates
Zacks
Zillow Group (ZG) Beats Q2 Earnings and Revenue Estimates
Zillow Group (ZG) came out with quarterly earnings of $0.52 per share, beating the Zacks Consensus Estimate of $0.44 per share. This compares to earnings of $0.4 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +18.18%. A quarter ago, it was expected that this online real estate marketplace would post earnings of $0.43 per share when it actually produced earnings of $0.53, delivering a surprise of +23.26%. Over the last four quarters, the company has surpassed consensus EPS estimates two times. Zillow, which belongs to the Zacks Financial - Mortgage & Related Services industry, posted revenues of $772 million for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 1.65%. This compares to year-ago revenues of $655 million. The company has topped consensus revenue estimates four times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Zillow shares have lost about 45.7% since the beginning of the year versus the S&P 500's gain of 13%. While Zillow has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Zillow was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank…Read full documentShow less
Zillow Group (ZG) came out with quarterly earnings of $0.52 per share, beating the Zacks Consensus Estimate of $0.44 per share. This compares to earnings of $0.4 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +18.18%. A quarter ago, it was expected that this online real estate marketplace would post earnings of $0.43 per share when it actually produced earnings of $0.53, delivering a surprise of +23.26%. Over the last four quarters, the company has surpassed consensus EPS estimates two times. Zillow, which belongs to the Zacks Financial - Mortgage & Related Services industry, posted revenues of $772 million for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 1.65%. This compares to year-ago revenues of $655 million. The company has topped consensus revenue estimates four times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Zillow shares have lost about 45.7% since the beginning of the year versus the S&P 500's gain of 13%. While Zillow has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Zillow was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.64 on $776.15 million in revenues for the coming quarter and $2.25 on $2.98 billion in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Financial - Mortgage & Related Services is currently in the bottom 26% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. Another stock from the same industry, Better Home & Finance Holding Company (BETR), has yet to report results for the quarter ended June 2026. The results are expected to be released on August 10. This company is expected to post quarterly loss of $1.41 per share in its upcoming report, which represents a year-over-year change of +29.2%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. Better Home & Finance Holding Company's revenues are expected to be $52.53 million, up 19% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Zillow Group, Inc. (ZG) : Free Stock Analysis Report Better Home & Finance Holding Company (BETR) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research
Investor releaseQuarter not tagged2026-07-27Better Home & Finance Holding Company to Announce Second Quarter 2026 Results on August 10, 2026
Business Wire
Better Home & Finance Holding Company to Announce Second Quarter 2026 Results on August 10, 2026
NEW YORK, July 27, 2026--(BUSINESS WIRE)--Better Home & Finance Holding Company (NASDAQ: BETR; BETRW) ("Better" or the "Company") today announced that the Company will issue its second quarter 2026 results before market open on Monday, August 10, 2026. Leadership will host a conference call and webcast to discuss results at 4:30 p.m. ET. A press release detailing the Company’s results will be issued prior to the call. Details to register for the live webcast and to listen to the call by phone will be available on the Company’s investor relations website located at investors.better.com and are included below. Please join the webcast at least 10 minutes prior to the start time. A replay will be available on the Company’s investor relations website shortly after the call ends. Webcast Details: Event Title: Better Home & Finance Holding Company Second Quarter 2026 Results Event Date: August 10, 2026 04:30 PM (GMT-04:00) Eastern Time (US and Canada) Attendee Registration Link: https://events.q4inc.com/attendee/309944226 About Better Home & Finance Holding Company Better Home & Finance Holding Company (NASDAQ: BETR) is the first AI-native mortgage and home equity finance platform, and first fintech to fund more than $110 billion in loan volume. Since 2016, Better has leveraged its industry-leading AI platform, Tinman®, to achieve a singular mission of making homeownership cheaper, faster, and easier for all Americans. Tinman® allows customers to see their rate options in seconds, get pre-approved in minutes, lock in rates, and close their loan in as little as three weeks. In addition, Betsy™, leveraging Tinman MCP, the first AI loan agent built exclusively for the mortgage industry, is revolutionizing the homebuying journey by delivering timely application status updates to consumers, answering questions, and moving their loan application along 24/7/365. Better’s mortgage offerings include GSE-conforming, FHA, VA loans, jumbo, and Non-QM mortgage loans as well as home equity loans. Better serves customers in all 50 US states. For more information, follow @betterdotcom on Instagram and TikTok and @betrmortgage on X. View source version on businesswire.com: https://www.businesswire.com/news/home/20260727554495/en/ Contacts For investor relations related inquiries, please reach out to [email protected] For press and media related inquiries, please reach out to comms@bett…Read full documentShow less
NEW YORK, July 27, 2026--(BUSINESS WIRE)--Better Home & Finance Holding Company (NASDAQ: BETR; BETRW) ("Better" or the "Company") today announced that the Company will issue its second quarter 2026 results before market open on Monday, August 10, 2026. Leadership will host a conference call and webcast to discuss results at 4:30 p.m. ET. A press release detailing the Company’s results will be issued prior to the call. Details to register for the live webcast and to listen to the call by phone will be available on the Company’s investor relations website located at investors.better.com and are included below. Please join the webcast at least 10 minutes prior to the start time. A replay will be available on the Company’s investor relations website shortly after the call ends. Webcast Details: Event Title: Better Home & Finance Holding Company Second Quarter 2026 Results Event Date: August 10, 2026 04:30 PM (GMT-04:00) Eastern Time (US and Canada) Attendee Registration Link: https://events.q4inc.com/attendee/309944226 About Better Home & Finance Holding Company Better Home & Finance Holding Company (NASDAQ: BETR) is the first AI-native mortgage and home equity finance platform, and first fintech to fund more than $110 billion in loan volume. Since 2016, Better has leveraged its industry-leading AI platform, Tinman®, to achieve a singular mission of making homeownership cheaper, faster, and easier for all Americans. Tinman® allows customers to see their rate options in seconds, get pre-approved in minutes, lock in rates, and close their loan in as little as three weeks. In addition, Betsy™, leveraging Tinman MCP, the first AI loan agent built exclusively for the mortgage industry, is revolutionizing the homebuying journey by delivering timely application status updates to consumers, answering questions, and moving their loan application along 24/7/365. Better’s mortgage offerings include GSE-conforming, FHA, VA loans, jumbo, and Non-QM mortgage loans as well as home equity loans. Better serves customers in all 50 US states. For more information, follow @betterdotcom on Instagram and TikTok and @betrmortgage on X. View source version on businesswire.com: https://www.businesswire.com/news/home/20260727554495/en/ Contacts For investor relations related inquiries, please reach out to [email protected] For press and media related inquiries, please reach out to [email protected].
Investor releaseQuarter not tagged2026-05-08Better Home & Finance Holding Company Q1 2026 Earnings Call Summary
Moby
Better Home & Finance Holding Company Q1 2026 Earnings Call Summary
Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Achieved 89% year-over-year growth in funded loan volume in Q1, driven by the scaling of the Tinman AI platform and expanded partnership ecosystems. Attributed recent conversion headwinds to the Middle East conflict, which caused consumer rates to spike from 5.75% to over 6.5%, leading to a 'waiting pattern' for refinance customers. Successfully pivoted product mix toward HELOCs to capture customers needing immediate liquidity, partially offsetting the slowdown in rate-term refinances. Leveraged a partnership-heavy distribution model to maintain low customer acquisition costs (CAC) during volatile periods, avoiding the risks of upfront paid acquisition. Reported that the Tinman AI platform now accounts for 50% of total funded volume, up from 0% in 2024, demonstrating rapid structural transformation. Implemented a series of liquidity and efficiency actions, including a $69 million equity raise and a $25 million annualized cost reduction program. Projected Q2 revenue growth of 15% despite flat sequential loan volumes, predicated on a continued mix shift toward higher-margin HELOC products. Maintained the target of adjusted EBITDA breakeven by the end of Q3 2026, supported by deep corporate overhead cuts and AI-driven operational leverage. Deferred the $1 billion monthly funded volume target due to macro uncertainty, though management views the current lead funnel as a 'coiled spring' for when rates stabilize. Assumed no macro or geopolitical resolution in the Q2 guidance, adopting a conservative stance on conversion rates while prioritizing long-term customer advice over short-term locks. Anticipated the commercial release of a token-backed mortgage product in partnership with Coinbase during Q2 to capture digital asset-holding homeowners. Classified the U.K.-based Birmingham Bank as a discontinued operation held for sale, with a divestiture expected to impact the balance sheet by Q4 2026. Expanded warehouse capacity by 48% to $850 million to support future partnership growth and signal lender confidence in the platform. Identified the 'frozen pipeline' as a primary risk, where customers are registered at specific price points but remain hesitant to transact until rates retreat. Launched the Better Home Equity…Read full documentShow less
Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Achieved 89% year-over-year growth in funded loan volume in Q1, driven by the scaling of the Tinman AI platform and expanded partnership ecosystems. Attributed recent conversion headwinds to the Middle East conflict, which caused consumer rates to spike from 5.75% to over 6.5%, leading to a 'waiting pattern' for refinance customers. Successfully pivoted product mix toward HELOCs to capture customers needing immediate liquidity, partially offsetting the slowdown in rate-term refinances. Leveraged a partnership-heavy distribution model to maintain low customer acquisition costs (CAC) during volatile periods, avoiding the risks of upfront paid acquisition. Reported that the Tinman AI platform now accounts for 50% of total funded volume, up from 0% in 2024, demonstrating rapid structural transformation. Implemented a series of liquidity and efficiency actions, including a $69 million equity raise and a $25 million annualized cost reduction program. Projected Q2 revenue growth of 15% despite flat sequential loan volumes, predicated on a continued mix shift toward higher-margin HELOC products. Maintained the target of adjusted EBITDA breakeven by the end of Q3 2026, supported by deep corporate overhead cuts and AI-driven operational leverage. Deferred the $1 billion monthly funded volume target due to macro uncertainty, though management views the current lead funnel as a 'coiled spring' for when rates stabilize. Assumed no macro or geopolitical resolution in the Q2 guidance, adopting a conservative stance on conversion rates while prioritizing long-term customer advice over short-term locks. Anticipated the commercial release of a token-backed mortgage product in partnership with Coinbase during Q2 to capture digital asset-holding homeowners. Classified the U.K.-based Birmingham Bank as a discontinued operation held for sale, with a divestiture expected to impact the balance sheet by Q4 2026. Expanded warehouse capacity by 48% to $850 million to support future partnership growth and signal lender confidence in the platform. Identified the 'frozen pipeline' as a primary risk, where customers are registered at specific price points but remain hesitant to transact until rates retreat. Launched the Better Home Equity card with Stripe to transition the business from a one-time transaction model to a 30-year recurring customer relationship. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. HELOCs average between 6 to 7 points in total gain on sale through a combination of origination fees and premiums. This compares favorably to traditional direct-to-consumer mortgage margins of 2.5 points and partner-led (NEO) margins of 3.5 points. Management targets a revenue run rate in the low-to-mid $70 million range to achieve breakeven against a current cash OpEx of approximately $68 million. If the macro environment worsens, the company is committed to cutting costs even deeper to protect the Q3 profitability timeline. Partners typically see a 2x improvement in productivity and customer service capacity compared to incumbent legacy systems. The platform allows partners to potentially double revenue while reducing their cost structures by 30% to 50%. Macro challenges have actually accelerated partnership interest from traditional lenders and fintechs looking to pivot from unsecured credit to secured HELOC offerings. The partnership model derisks the company by utilizing existing ecosystems rather than paying for leads that may not convert in high-rate environments.
Investor releaseQuarter not tagged2026-05-07Better Home & Finance Holding Company Announces First Quarter 2026 Results
Business Wire
Better Home & Finance Holding Company Announces First Quarter 2026 Results
Better Reports Strong First Quarter 2026 Results; Provides Guidance for Q2 In Q1 2026, Loan Volume grew 89% year over year to approximately $1.64 billion, exceeding the high end of previously-issued guidance. Total Net Revenues from Continuing Operations grew 52% year over year to approximately $48 million. Platform Loan Volume reached $821 million in Q1 2026, up 404% year over year, representing half of Loan Volume. Announced four strategic actions since the start of Q1 2026: $69 million underwritten public offering, $25 million of planned annualized cost reductions, increased warehouse capacity to $850 million, and an active sale process of U.K.-based bank. Provided guidance of Loan Volume of $1.575 to $1.725 billion, Total Net Revenues of $53.0 to $56.0 million, and Adjusted EBITDA of ($12.5) to ($14.0) million in Q2 2026. NEW YORK, May 07, 2026--(BUSINESS WIRE)--Better Home & Finance Holding Company (NASDAQ: BETR; BETRW) ("Better," the "Company," "our" or "we"), the AI-native mortgage and home equity finance company, today reported financial results for the first quarter ended March 31, 2026. "Q1 2026 was a strong quarter for Better. We grew loan volume 89% year over year and exceeded the high end of our previously-issued guidance with revenue up 52% year over year. Tinman AI platform volume made up 50% of our loan volume, a level we expect to build from," said Vishal Garg, CEO and Founder of Better. "Going into Q2, the higher-rate macro environment is shifting our mix toward HELOCs, and we are leaning into that shift. HELOCs come in at lower loan balance than refinance, but they carry higher gain on sale margins, which is driving meaningful revenue growth in Q2. And in the month of April alone, our top of funnel increased dramatically as our existing partnership pre-approval volume 2x’ed within the month, to grow from $100 million per day to a $200 million per day as one of our larger partners increased customer exposure to our product. This is a huge reservoir of pent-up customer demand, that while it may hesitate to lock and fund immediately now due to the uncertainty in the Middle East and elevated rates, it will unlock into massive volume and revenue growth once things settle down" Garg added. "Combined with the capital and cost actions we took earlier this year, we are well-positioned to continue advancing toward profitability," Garg added. First Q…Read full documentShow less
Better Reports Strong First Quarter 2026 Results; Provides Guidance for Q2 In Q1 2026, Loan Volume grew 89% year over year to approximately $1.64 billion, exceeding the high end of previously-issued guidance. Total Net Revenues from Continuing Operations grew 52% year over year to approximately $48 million. Platform Loan Volume reached $821 million in Q1 2026, up 404% year over year, representing half of Loan Volume. Announced four strategic actions since the start of Q1 2026: $69 million underwritten public offering, $25 million of planned annualized cost reductions, increased warehouse capacity to $850 million, and an active sale process of U.K.-based bank. Provided guidance of Loan Volume of $1.575 to $1.725 billion, Total Net Revenues of $53.0 to $56.0 million, and Adjusted EBITDA of ($12.5) to ($14.0) million in Q2 2026. NEW YORK, May 07, 2026--(BUSINESS WIRE)--Better Home & Finance Holding Company (NASDAQ: BETR; BETRW) ("Better," the "Company," "our" or "we"), the AI-native mortgage and home equity finance company, today reported financial results for the first quarter ended March 31, 2026. "Q1 2026 was a strong quarter for Better. We grew loan volume 89% year over year and exceeded the high end of our previously-issued guidance with revenue up 52% year over year. Tinman AI platform volume made up 50% of our loan volume, a level we expect to build from," said Vishal Garg, CEO and Founder of Better. "Going into Q2, the higher-rate macro environment is shifting our mix toward HELOCs, and we are leaning into that shift. HELOCs come in at lower loan balance than refinance, but they carry higher gain on sale margins, which is driving meaningful revenue growth in Q2. And in the month of April alone, our top of funnel increased dramatically as our existing partnership pre-approval volume 2x’ed within the month, to grow from $100 million per day to a $200 million per day as one of our larger partners increased customer exposure to our product. This is a huge reservoir of pent-up customer demand, that while it may hesitate to lock and fund immediately now due to the uncertainty in the Middle East and elevated rates, it will unlock into massive volume and revenue growth once things settle down" Garg added. "Combined with the capital and cost actions we took earlier this year, we are well-positioned to continue advancing toward profitability," Garg added. First Quarter 2026 Financial Highlights: Following the reclassification of our U.K.-based bank to discontinued operations, prior-period results have been recast on a comparable basis. GAAP Results: Total Net Revenues of $48 million, compared to $31 million in Q1 2025, reflecting 52% growth year over year. Net Loss of $70 million, compared to a loss of $51 million in Q1 2025 reflecting a 39% increase year over year. Key Operating Metrics and Non-GAAP Financial Measures: Adjusted EBITDA loss of $19 million, compared to a loss of $36 million in Q1 2025, reflecting a 48% improvement year over year. Loan Volume of $1.64 billion, compared to $868 million in Q1 2025, reflecting 89% growth year over year and exceeding the high end of previously-issued guidance of $1.40 to $1.55 billion. 5,018 Total Loans, compared to 2,975 in Q1 2025, reflecting 69% growth year over year. By Product: Refinance Loan Volume of $854 million comprised 52% of Loan Volume; Purchase Loan Volume of $588 million comprised 36% of Loan Volume; and HELOC Loan Volume of $203 million comprised 12% of Loan Volume. Year-over-year Loan Volume growth was driven primarily by increases in Refinance Loan Volume (542% growth). HELOC Loan Volume grew 30% and Purchase Loan Volume grew 2%. By Channel: Platform Loan Volume of $821 million comprised 50% of Loan Volume and D2C Loan Volume of $824 million comprised 50% of Loan Volume. Maintained a strong liquidity position, ending Q1 2026 with approximately $136 million of cash and cash equivalents, restricted cash, and net assets held for sale. "Q1 reflected meaningful progress. Revenue grew 52% year over year while expenses grew only 27%, demonstrating real operating leverage and narrowing our adjusted EBITDA loss by 48% year over year," said Loveen Advani, CFO of Better. "The $25 million in annualized cost reductions we announced last month, alongside the strengthened balance sheet from our capital raise, will further support this progress," Advani added. Guidance Q2 2026 Loan Volume: $1.575 to $1.725 billion. Q2 Total Net Revenues: $53.0 to $56.0 million. Q2 2026 Adjusted EBTIDA: ($12.5) to ($14.0) million. Reaffirmed Adjusted EBITDA breakeven by the end of Q3 2026. A reconciliation of Adjusted EBITDA to Net Loss on a forward-looking basis cannot be provided without unreasonable efforts, as the Company is unable to provide reconciling information with respect to benefit for income taxes, stock-based compensation, changes in fair value of warrant liabilities, and goodwill impairment, all of which are adjustments to Adjusted EBITDA. First Quarter 2026 Operational Highlights: Top-five non-bank mortgage originator partner went live in February 2026 on the Tinman AI Platform, beginning with HELOCs in its direct-to-consumer division. Announced Coinbase partnership on March 26, 2026 to launch the first crypto-backed mortgage product, enabling qualified borrowers to pledge BTC or USDC as collateral to fund their cash down payment. Celebrated one-year anniversary of NEO Home Loans partnership in January 2026, which grew from a $1.50 billion run rate at onboarding to a $2.97 billion run rate in March 2026. Subsequent Events in Q2 2026: Completed Underwritten Public Offering of $69 million, including full exercise of over-allotment option, and are terminating our ATM program. Announced sale process of U.K.-based bank and classified it as discontinued operations / held for sale assets and liabilities effective Q1 2026. Expanded warehouse capacity from $575 million at end of December 2025 to $850 million to support origination growth as the Tinman AI platform continues to scale. Announced $25 million in annualized cost reductions beginning in Q2 2026, with savings sourced from corporate overhead, reduced vendor spend, and the planned divestiture of the U.K.-based bank. Launched the Better Home Equity Card partnership with Stripe enabling borrowers to draw on home equity lines of credit via a card with official initial offering planned for Summer 2026. Additional Information For more information, please see the detailed financial data and other information available in the Company’s Quarterly Report on Form 10-Q for the three months ended March 31, 2026, to be filed with the Securities and Exchange Commission (the "SEC"), and the investor presentation on the investor relations section of the Company’s website at https://investors.better.com. Webcast As previously announced, Better will host a live webcast of its earnings video conference call beginning at 8:30am ET on May 7, 2026. To access the webcast and the related presentation, or to register to listen to the call by phone, go to the investor relations section of the Company’s website at investors.better.com or click the "Attendee Registration Link" below. Please join the webcast at least 10 minutes prior to start time. A replay will be available on Better’s investor relations website shortly after the call ends. * Webcast Details * Event Title: Better Home & Finance Holding Company 2026 First Quarter Results Event Date: May 7, 2026, 08:30 AM (GMT-05:00) Eastern Time (US and Canada) Attendee Registration Link: https://events.q4inc.com/attendee/146947625 About Better Better Home & Finance Holding Company (NASDAQ: BETR) is the first AI-native mortgage and home equity finance platform, and first fintech to fund more than $110 billion in loan volume. Better has leveraged its industry-leading AI platform, Tinman®, to achieve its singular mission of making homeownership cheaper, faster, and easier for all Americans. Tinman® allows customers to see their rate options in seconds, get pre-approved in minutes, lock in rates, and close their loan in as little as three weeks. In addition, Betsy™, the first AI loan agent built exclusively for the mortgage industry, revolutionizes the homebuying journey by answering questions, delivering approvals, comparing products, processing rate locks, and moving their loan application along to closing 24/7/365. Better’s mortgage offerings include GSE-conforming mortgage loans, FHA and VA loans, and jumbo mortgage and home equity loans. Better serves customers in all 50 US states and the United Kingdom. For more information, follow @tinmanAI on X and @betterdotcom on Instagram and TikTok. Forward-looking Statements This press release contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements in this press release that are not historical fact should be considered forward-looking statements, including, without limitation, statements and expectations regarding strategic partnerships, the planned divestiture of the U.K.-based bank, planned cost reductions, product offerings, further equity issuances, Adjusted EBITDA, Loan Volume and Total Net Revenues. In some cases, you can identify forward-looking statements by terminology such as "believe," "may," "will," "estimate," "potential," "continue," "anticipate," "intend," "expect," "could," "would," "project," "plan," "target," or the negatives of these terms or variations of them or similar terminology. Forward-looking statements are inherently subject to risks and uncertainties which could cause actual future events to differ materially from those expressed or implied by the forward-looking statements in this communication. These risks and uncertainties include those risks discussed in the section entitled "Risk Factors" in the Company’s Annual Report on Form 10-K for the year ended December 31, 2025, as any such factors may be updated from time to time in the Company’s other filings with the SEC, which is available, free of charge, at the SEC’s website at www.sec.gov. New risks and uncertainties arise from time to time, and it is impossible for Better to predict these events or how they may affect us. You are cautioned not to place undue reliance upon any forward-looking statements, which speak only as of the date made. Better undertakes no obligation, except as required by law, to update or revise the forward-looking statements, whether as a result of new information, changes in expectations, future events or otherwise. SELECTED FINANCIAL DATA, NON-GAAP MEASURES AND DEFINITIONS Following are tables that present selected financial data of the Company. Also included are reconciliations of non-GAAP measures to their most comparable GAAP measures and definitions of certain key metrics used herein. Results of Operations Key Metrics This press release refers to the following key metrics: Funded Loan Volume represents the aggregate dollar amount of all loans funded in a given period based on the principal amount of the loan at funding. Loan Volume consists of Funded Loan Volume and Processed Volume. Processed Volume includes loans processed on the Tinman platform on behalf of our strategic partners but not funded by Better. Purchase Loan Volume represents the aggregate dollar amount of purchase loans funded in a given period based on the principal amount of the loan at purchase date. Refinance Loan Volume represents the aggregate dollar amount of refinance loans funded in a given period based on the principal amount of the loan at refinancing date. HELOC Loan Volume represents the aggregate dollar amount of HELOC and close-end second lien loans funded in a given period based on the principal amount of the loan at funding. D2C Loan Volume represents the aggregate dollar amount of loans funded in a given period based on the principal amount of the loan at funding that have been generated from direct interactions with customers using all marketing channels other than our partner relationships and our Tinman® AI Platform channel. Platform Loan Volume represents the aggregate dollar amount of loans funded in a given period based on the principal amount of the loan at funding that have been generated through one of our partner relationships. Total Loans represents the total number of loans funded in a given period, including purchase loans, refinance loans, HELOC loans and closed-end second lien loans. Use of Non-GAAP Measures and Other Financial Metrics We include certain financial measures not presented in accordance with generally accepted accounting principles ("GAAP") including Adjusted EBITDA, Funded Loan Volume and other key metrics. We calculate Adjusted EBITDA as net income (loss) adjusted for the impact of stock-based compensation expense, change in the fair value of warrants and equity-related liabilities, and other non-recurring or non-core operational expenses, as well as interest and amortization on non-funding debt (which includes interest on the Convertible Note (as defined in our Form 10-K), depreciation and amortization expense, and income tax (benefit)/expense. This non-GAAP financial measure should not be considered in isolation and is not intended to be a substitute for any GAAP financial measure. This non-GAAP measure provides supplemental information that we believe helps investors better understand our business, our business model and how we analyze our performance. We also believe this non-GAAP financial measure improves investors’ and analysts’ ability to compare our results with those of our competitors and other similarly situated companies, which commonly disclose similar performance measures. However, our calculation of Adjusted EBITDA may not be comparable to similarly titled performance measures presented by other companies. Further, although we use this non-GAAP measure to assess the financial performance of our business, this measure excludes certain substantial costs related to our business, and investors are cautioned not to use such measures as a substitute for financial results prepared according to GAAP. Non-GAAP financial measures have limitations in their usefulness to investors because they have no standardized meaning prescribed by GAAP and are not prepared under any comprehensive set of accounting rules or principles. As a result, non-GAAP financial measures should be viewed as supplementing, and not as an alternative or substitute for, our financial results prepared and presented in accordance with GAAP. Reconciliation of Non-GAAP Metrics View source version on businesswire.com: https://www.businesswire.com/news/home/20260507437038/en/ Contacts For Investor Relations Inquiries please email: [email protected]
Investor releaseQuarter not tagged2026-05-07Better Home & Finance Q1 Earnings Call Highlights
MarketBeat
Better Home & Finance Q1 Earnings Call Highlights
Interested in Better Home & Finance Holding Company? Here are five stocks we like better. $1.64 billion in funded loan volume (about 89% YoY growth) drove Q1 revenue up ~52% to $47.5M and an improved adjusted EBITDA loss of roughly $19M, while the Tinman AI platform generated about $821M (≈50%) of volume and is rapidly scaling. Management warned that late-quarter geopolitical-driven rate increases (consumer rates moving from ~5.75% to well over 6.5%) have hurt funnel conversion; Q2 guidance assumes no resolution and calls for funded volume of $1.575–1.725B, revenues of $53–56M, and an adjusted EBITDA loss of $12.5–14M. Better is shifting mix toward higher-margin HELOCs (HELOC gain-on-sale ~6–7 points vs. mortgages ~2.5–3.5), cutting at least $25M of annualized costs, raised $69M in equity, expanded warehouse capacity to $850M, and targets adjusted EBITDA breakeven by the end of Q3 2026. Better Home & Finance (NASDAQ:BETR) reported first-quarter 2026 results that management said exceeded guidance, driven by sharply higher funded loan volume and continued expansion of its Tinman AI platform and partner ecosystem. Chief Executive Officer Vishal Garg said the company generated approximately $1.64 billion in funded loan volume, “exceeding the high end of our prior guidance” and representing about 89% year-over-year growth. Revenue from continuing operations rose about 52% year-over-year to $47.5 million, while adjusted EBITDA loss improved to roughly $19 million, a 48% improvement from a year earlier, according to Garg. → Berkshire Hathaway’s Record Cash Hoard: Why and What's Next? Chief Financial Officer Naveen Advani said total expenses increased about 27% year-over-year, which he characterized as evidence of operating leverage as Tinman AI scales. Advani also said adjusted EBITDA loss improved 16% sequentially from the fourth quarter. On product performance, Advani said refinance volume grew 542% year-over-year, home equity grew 30%, and purchase grew 2%. By mix, he said 52% of funded loan volume came from refinance, 36% from purchase, and 12% from home equity in the quarter. By channel, roughly half of funded loan volume came from the Tinman AI platform and half from direct-to-consumer originations. → A Prada Payday: Is AMC Back in Style? Management highlighted a late-quarter shift in the interest-rate environment tied to geopolitical events. Garg said the co…Read full documentShow less
Interested in Better Home & Finance Holding Company? Here are five stocks we like better. $1.64 billion in funded loan volume (about 89% YoY growth) drove Q1 revenue up ~52% to $47.5M and an improved adjusted EBITDA loss of roughly $19M, while the Tinman AI platform generated about $821M (≈50%) of volume and is rapidly scaling. Management warned that late-quarter geopolitical-driven rate increases (consumer rates moving from ~5.75% to well over 6.5%) have hurt funnel conversion; Q2 guidance assumes no resolution and calls for funded volume of $1.575–1.725B, revenues of $53–56M, and an adjusted EBITDA loss of $12.5–14M. Better is shifting mix toward higher-margin HELOCs (HELOC gain-on-sale ~6–7 points vs. mortgages ~2.5–3.5), cutting at least $25M of annualized costs, raised $69M in equity, expanded warehouse capacity to $850M, and targets adjusted EBITDA breakeven by the end of Q3 2026. Better Home & Finance (NASDAQ:BETR) reported first-quarter 2026 results that management said exceeded guidance, driven by sharply higher funded loan volume and continued expansion of its Tinman AI platform and partner ecosystem. Chief Executive Officer Vishal Garg said the company generated approximately $1.64 billion in funded loan volume, “exceeding the high end of our prior guidance” and representing about 89% year-over-year growth. Revenue from continuing operations rose about 52% year-over-year to $47.5 million, while adjusted EBITDA loss improved to roughly $19 million, a 48% improvement from a year earlier, according to Garg. → Berkshire Hathaway’s Record Cash Hoard: Why and What's Next? Chief Financial Officer Naveen Advani said total expenses increased about 27% year-over-year, which he characterized as evidence of operating leverage as Tinman AI scales. Advani also said adjusted EBITDA loss improved 16% sequentially from the fourth quarter. On product performance, Advani said refinance volume grew 542% year-over-year, home equity grew 30%, and purchase grew 2%. By mix, he said 52% of funded loan volume came from refinance, 36% from purchase, and 12% from home equity in the quarter. By channel, roughly half of funded loan volume came from the Tinman AI platform and half from direct-to-consumer originations. → A Prada Payday: Is AMC Back in Style? Management highlighted a late-quarter shift in the interest-rate environment tied to geopolitical events. Garg said the company entered 2026 with momentum, citing funded loan volume of $450 million in January, $521 million in February, and $673 million in March, with month-over-month growth of 16% and 29% in February and March. However, Garg said “the prolonged conflict in the Middle East has started to show a market impact on interest rates across the mortgage industry,” with consumer rates on Better’s platform moving from 5.75% to “well over 6.5% in the last few weeks.” He said this has caused customers to stall mid-funnel, hesitating to lock at higher rates, and that “conversion rates are down from where they were in Q1 due to macro factors.” → Insider Sales: Top AST SpaceMobile Insider Cuts Postion Over 30% On the call, Garg said the company’s second-quarter guidance assumes “no resolution” to the conflict and no improvement in the macro environment. Executives repeatedly pointed to home equity products as a key offset to refinance slowdowns. Garg said Better has been converting some customers who “need cash now to HELOCs,” while others seeking monthly savings may wait until rates fall. In response to an analyst question about gain-on-sale economics, Garg said HELOCs are “averaging between 6–7 points” in total gain on sale, combining origination fees and gain-on-sale premium. He contrasted that with traditional mortgage economics, saying direct-to-consumer mortgages have averaged about 2.5 points and the Neo partnership has averaged about 3.5 points. Discussing Tinman AI versus direct-to-consumer unit economics, Garg said Better prices platform partnerships to generate similar contribution margins to its direct channel, though revenue can vary by partner service requirements. Over time, he said Tinman’s margin profile should improve as the sale becomes “more and more software.” He added that Better targets contribution margin of “around $2,000 per loan” on mortgages and “slightly less than that on HELOCs” within its Tinman AI platform business as it scales. For the second quarter, Garg said the company expects funded loan volume of approximately $1.65 billion, or about 37% year-over-year growth, but slower than originally expected given higher rates. He said funded volumes are expected to be “approximately flat sequentially,” while revenue is expected to rise due to a shift toward higher-margin HELOCs, with management projecting about 15% sequential revenue growth. Advani provided a more detailed range: Funded loan volume: $1.575 billion to $1.725 billion Total net revenues: $53 million to $56 million Adjusted EBITDA loss: $12.5 million to $14 million Advani said HELOC mix shift is “one of the most important dynamics in our model today,” allowing revenue growth to outperform funded volume growth. Garg said Better is removing at least $25 million of annualized costs beginning in the second quarter, expanded total warehouse capacity by 48% to $850 million since the start of the first quarter, and raised $69 million in equity in early April to strengthen liquidity. Advani said the company ended the first quarter with approximately $136 million of liquidity, excluding the post-quarter equity raise. Advani said the cost reductions include lower corporate overhead, vendor rationalization, and the planned divestiture of the company’s U.K. bank, which he said is included in discontinued operations. Asked about timing, Advani said the company is in an active sale process and that even after signing, U.K. regulatory approval could take about two to four months, suggesting an impact “in Q4.” Management reiterated a target of adjusted EBITDA breakeven by the end of the third quarter of 2026. Garg said the timeline to reach the company’s $1 billion monthly funded volume target is now likely deferred due to rates, and he added that if rates move higher or the conflict persists, “we’re gonna have to cut costs deeper.” On partnerships, Garg said the Credit Karma, Finance of America, and a “top 5 non-bank originator” partnership are live and ramping. He described Credit Karma exposure as expanding within an ecosystem of 140 million members, and said Better’s partnership model provides structurally lower customer acquisition costs by leveraging partner distribution rather than paid acquisition. Garg also said Better’s partnership with Neo grew from a $1.5 billion run rate at onboarding to $2.9 billion in March 2026. Tinman AI generated approximately $821 million in funded loan volume in the first quarter, about 50% of total volume, up from 44% in the fourth quarter, according to Garg. He said Tinman represented 0% of funded loan volume in 2024, about 36% for full-year 2025, and management expects that share to continue rising. When asked about a target of 60% Tinman by year-end, Garg said the company is “well on our way to achieving that target.” Garg also highlighted technology initiatives tied to customer service and scalability, including “Betsy” tools enabling 24/7 customer interaction and increased deployment in partner funnels. He said Better is moving Betsy toward “autopilot” in more workflows after extended learning, which he believes can reduce operating costs and help handle demand spikes. On product launches, Garg said Better introduced the Better Home Equity Card in partnership with Stripe, a Mastercard linked to a Better HELOC that allows customers to spend funds drawn from their line and earn 1% cashback. He also discussed a token-backed mortgage product launched in March in partnership with Coinbase that is described as Fannie Mae-eligible; he said qualified Coinbase customers can pledge Bitcoin or USDC as down payment collateral without liquidating holdings. On the call, Garg said the “publicly stated launch timeline” for the Coinbase product is sometime in late Q2 and suggested the economics should resemble “Neo-like margins.” Better Home & Finance Holding Co engages in the provision of comprehensive homeownership services. It offers mortgage loans, real estate agent services, and title and homeowner's insurance services. The company was founded in 2014 and is headquartered in New York, NY. The article "Better Home & Finance Q1 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for May 2026.
Investor releaseQuarter not tagged2026-05-07Zillow Group (ZG) Q1 Earnings and Revenues Surpass Estimates
Zacks
Zillow Group (ZG) Q1 Earnings and Revenues Surpass Estimates
Zillow Group (ZG) came out with quarterly earnings of $0.53 per share, beating the Zacks Consensus Estimate of $0.43 per share. This compares to earnings of $0.41 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +23.26%. A quarter ago, it was expected that this online real estate marketplace would post earnings of $0.42 per share when it actually produced earnings of $0.39, delivering a surprise of -7.14%. Over the last four quarters, the company has surpassed consensus EPS estimates just once. Zillow, which belongs to the Zacks Financial - Mortgage & Related Services industry, posted revenues of $708 million for the quarter ended March 2026, surpassing the Zacks Consensus Estimate by 0.53%. This compares to year-ago revenues of $598 million. The company has topped consensus revenue estimates four times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Zillow shares have lost about 35.7% since the beginning of the year versus the S&P 500's gain of 6%. While Zillow has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Zillow was favorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #2 (Buy) for the stock. So, the shares are expected to outperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong…Read full documentShow less
Zillow Group (ZG) came out with quarterly earnings of $0.53 per share, beating the Zacks Consensus Estimate of $0.43 per share. This compares to earnings of $0.41 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +23.26%. A quarter ago, it was expected that this online real estate marketplace would post earnings of $0.42 per share when it actually produced earnings of $0.39, delivering a surprise of -7.14%. Over the last four quarters, the company has surpassed consensus EPS estimates just once. Zillow, which belongs to the Zacks Financial - Mortgage & Related Services industry, posted revenues of $708 million for the quarter ended March 2026, surpassing the Zacks Consensus Estimate by 0.53%. This compares to year-ago revenues of $598 million. The company has topped consensus revenue estimates four times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Zillow shares have lost about 35.7% since the beginning of the year versus the S&P 500's gain of 6%. While Zillow has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Zillow was favorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #2 (Buy) for the stock. So, the shares are expected to outperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.52 on $757.5 million in revenues for the coming quarter and $2.13 on $2.97 billion in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Financial - Mortgage & Related Services is currently in the bottom 28% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. Better Home & Finance Holding Company (BETR), another stock in the same industry, has yet to report results for the quarter ended March 2026. The results are expected to be released on May 7. This company is expected to post quarterly loss of $1.56 per share in its upcoming report, which represents a year-over-year change of +48.7%. The consensus EPS estimate for the quarter has been revised 10% higher over the last 30 days to the current level. Better Home & Finance Holding Company's revenues are expected to be $46.51 million, up 42.9% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Zillow Group, Inc. (ZG) : Free Stock Analysis Report Better Home & Finance Holding Company (BETR) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research
TranscriptFY2026 Q12026-05-07FY2026 Q1 earnings call transcript
Earnings source - 72 paragraphs
FY2026 Q1 earnings call transcript
Good morning. My name is Aaron, and I'll be your conference operator for today. At this time, I would like to welcome everyone to the Better Home & Finance Holding Company first quarter 2026 results conference call. All lines have been placed on mute to prevent any background noise. After the speaker's remarks, there will be a question and answer session. At that moment, if you would like to ask a question, simply press star followed by the number 1 on your telephone keypad. At any point, if you'd like to withdraw your question, simply hit star followed by the number 1 again. With that, I'm pleased to turn the call over to Tarek Afifi, Senior Corporate Finance and Investor Relations Manager. Tarek, with that, you may begin.
Welcome to Better Home & Finance Holding Company's 1st quarter 2026 earnings conference call. My name is Tarek Afifi on Better's corporate finance team. Joining me on today's call are Vishal Garg, Chief Executive Officer of Better, and Naveen Advani, Chief Financial Officer of Better. In addition to this conference call, please direct your attention to our 1st quarter earnings release, which is available on our investor relations website. Also available on our website is an investor presentation. Certain statements we make today may constitute forward-looking statements within the meaning of federal securities laws that are based on current expectations and assumptions. These expectations and assumptions are subject to risks, uncertainties and other factors, as discussed further in our SEC filings, that could cause our actual results to differ materially from our historical results.
We assume no responsibility to update forward-looking statements other than as required by law. During today's discussion, management will discuss certain non-GAAP financial measures which we believe are relevant in assessing the company's financial performance. These non-GAAP financial measures should not be considered replacements for and should be read together with our GAAP results. These non-GAAP financial measures are reconciled to GAAP financial measures in today's earnings release and investor presentation, both of which are available on the investor relations section of Better's website and when filed in our quarterly report on Form 10-Q with the SEC. More information as of and for the period ended March 31st, 2026 will be provided upon filing our quarterly report on Form 10-Q with the SEC. I will now turn the call over to Vishal.
Thank you, Tarek. Good morning, everyone. Q1 was a strong quarter for Better. We generated approximately $1.64 billion in funded loan volume, exceeding the high end of our prior guidance and growing funded loan volume approximately 89% year-over-year. Revenue from continuing operations grew approximately 52% year-over-year to $47.5 million. Our adjusted EBITDA loss was approximately $19 million, which was a 48% improvement year-over-year. Just as importantly, we continued scaling the Tinman AI platform and expanding our partnership ecosystem, which remain the core drivers of our long-term strategy. Before discussing product innovation and partnerships, I want to address the macro environment directly and explain how we are thinking about the business in the current rate debt backdrop.
The company entered 2026 with strong momentum, generating funded loan volume of $450 million, $521 million, and $673 million in January, February and March respectively. Month-over-month growth of 16% and 29% in February and March. What's more, in late April, pre-approval volume for our biggest Tinman AI platform partner went from approximately $100 million per day in pre-approved customer volume to over $200 million per day in pre-approved customer volume. That being said, the prolonged conflict in the Middle East has started to show a market impact on interest rates across the mortgage industry, with rates for consumers on our platform growing from 5.75% to well over 6.5% in the last few weeks.
This is causing consumers to get stuck in the middle of the funnel, hesitating to lock at a higher rate, particularly if they feel the rate increase is temporary due to the situation in the Middle East. With our partners' help, we are converting some of these customers who need cash now to HELOCs. For those looking just for savings per month, we are in a waiting pattern where we will go back to them with a lock as soon as rates come back down. The bad news is that conversion rates are down from where they were in Q1 due to macro factors. The good news is that partner volume continues to increase dramatically as the partner opens us up to a broader section of their customer base and products.
Despite the macro noise, we are structurally better positioned than most mortgage platforms for three reasons. Our partnership model creates structurally lower customer acquisition costs and scalable distribution and doesn't require us to spend money upfront, which then can get hung up when conversion cycles bloat during volatile market periods. Tinman AI continues to improve conversion efficiency and operating leverage. Our diversified product mix spans across purchase, refi, and HELOC. When refis become more difficult, we can convert a segment of those into HELOCs, which is a tool we didn't have in prior rate cycles. That positioning is reflected in our Q2 guidance. We expect funded loan volume of approximately $1.65 billion, representing approximately 37% year-over-year growth, slower than what we had originally anticipated going into Q2.
Importantly, while funded loan volumes are expected to remain approximately flat sequentially, revenue is still expected to grow meaningfully due to continued mix shift towards higher margin HELOC products. We currently expect approximately 15% sequential revenue growth in Q2, which we believe is an important signal that the strategy works and the platform works despite the macro backdrop. We also continue to believe the business is positioned for substantial operating leverage as volumes recover. At the same time, we want to be direct with investors. The timing on when we achieve our $1 billion monthly funded volume target will depend in part on the rate environment. It looked highly doable this time last month. Right now sitting for this month, it looks like it's going to be deferred.
The long-term trend remains intact, near-term visibility continues to be impacted by macro volatility and what that does to consumer benefit on a refi. That said, if rates improve meaningfully, we believe the lead funnel is already in place and positions us to accelerate towards that target relatively quickly. Regardless of the environment, we continue to execute aggressively. In April, we announced a series of deliberate steps to strengthen operations and continue our progress towards profitability. These actions are on track and are even more important against the backdrop I just described. First, we're removing at least $25 million of annualized costs from our operations beginning in Q2 2026. Second, we expanded our total warehouse capacity by 48% to $850 million since the start of Q1.
Third, in early April, we raised $69 million in equity that further strengthened liquidity and operational flexibility. All of these actions, along with greater focus on AI efficiencies, deep cuts in corporate overhead, and the adjusted revenue growth, and the change in the mix to HELOCs versus refis means we remain in sight of the target of adjusted EBITDA breakeven by the end of Q3 2026. Turning to partnerships. Our Credit Karma, Finance of America, and top 5 non-bank originator partnerships are all live and ramping. These partnerships are especially important because they leverage existing customer ecosystems rather than paid acquisition channels. For example, an increasing portion of Credit Karma's 140 million members are exposed to Credit Karma Home Loans powered by Better at zero upfront CAC to us. We believe that structural CAC advantage will become increasingly important as the industry consolidates.
In late January, we marked the one year of anniversary of our partnership with Neo. Neo grew from a one and a half billion dollar run rate at onboarding to $2.9 billion in March 2026. Our Tinman AI Platform generated approximately $821 million in funded loan volume during Q1, accounting for approximately 50% of total funded loan volume, up from 44% in Q4. That progression is important. Tinman represented 0% of funded loan volume in 2024, approximately 36% in full year 2025, and now approximately half of total funded loan volume. We expect that percentage to continue increasing in the coming quarters ahead. Now to product innovation. We had two recent launches I want to highlight, both of which serve buyers in this environment.
Last week, we announced the launch of the Better Home Equity Card in partnership with Stripe. The card is a Mastercard linked to a Better HELOC, letting customers spend funds drawn from their line with a single swipe. Even more customers get 1% cashback on all spend, which further lowers their total cost of financing and extends their stickiness in the Better ecosystem from a 1-time transaction to a 30-year relationship. We believe HELOC demand remains durable across rate environments, and this product materially simplifies homeowner access to instant long-term liquidity against the value of their home. In March, we also launched the first Fannie Mae-eligible token-backed mortgage in partnership with Coinbase. Qualified customers of Coinbase can pledge Bitcoin or USDC as collateral to fund their down payment without liquidating their holdings, triggering a taxable event.
We have a large pipeline of Coinbase customers who are signed up on waitlists for the official commercial release of the product in Q2. We see digital assets increasingly becoming part of mainstream consumer finance infrastructure, and we intend for Better to lead that transition inside mortgage origination to leverage DeFi technology to fundamentally lower the interest rates on home finance products for our consumers. We believe the foundation is now in place for Better across our tech platform. Our distribution partnerships, our product expansion, and our cost structure and the proof points are becoming visible in revenue growth and path to profitability insight despite a choppy macro environment. With that, I'll turn it over to Naveen.
Thank you, Vishal. The Q1 financials reflect continued progress and growing operating leverage from our platform and improving efficiency in our business model. Funded loan volume grew approximately 89% year-over-year to $1.64 billion, while revenue from continuing operations increased approximately 52% year-over-year to $47.5 million. Importantly, total expenses grew approximately 27% year-over-year. That spread between revenue growth and expense growth reflects the operating leverage embedded within the Tinman AI platform. As Tinman AI volumes scale, revenue growth outpaces headcount and infrastructure growth. In Q1 2026, our adjusted EBITDA loss was approximately $19 million. That's a 48% improvement year-over-year and a 16% improvement quarter-over-quarter.
Looking at product trends in Q1, refinance grew 542% year-over-year, home equity grew 30% year-over-year, and purchase grew 2% year-over-year. By product mix, 52% of funded loan volume in Q1 was refinanced, 36% was purchase, and 12% was home equity. By channel, approximately half of funded loan volume in Q1 came through the Tinman AI platform and the other half through direct to consumer. As Vishal discussed, we're starting to see the impact of the prolonged conflict in the Middle East on rates. One of the most important dynamics in our model today is mix shift. HELOC products carry materially higher gain on sale economics, which allows revenue growth to outperform funded volume growth, which is reflected in our Q2 guidance.
In Q2, we expect funded loan volume of $1.575 billion-$1.725 billion, of which the midpoint represents 37% growth year-over-year. We expect total net revenues of $53 million-$56 million, of which the midpoint represents 28% growth year-over-year.
We also expect an adjusted EBITDA loss in the range of $12.5 million-$14 million, of which the midpoint represents 42% improvement year-over-year. Importantly, we continue making progress on our path towards breakeven while simultaneously strengthening the balance sheet and improving liquidity. We previously announced at least $25 million of analyzed cost reductions beginning in Q2. These reductions are underway and include lower corporate overhead, vendor rationalization, and the planned divesture of our U.K. bank. On the balance sheet, we ended Q1 2026 with approximately $136 million of liquidity, which includes cash and cash equivalents, restricted cash, and net assets held for sale. This does not reflect our recent capital raise of $69 million, which closed after quarter end. We believe the balance sheet today is materially stronger and appropriately positioned to support our path towards profitability.
In addition, we expanded balance capacity from approximately $575 million at year-end to approximately $850 million today, representing a 48% increase. That expansion reflects both lender confidence in our platform and the infrastructure required to support future partnership growth. As Vishal discussed earlier, based on our current operating structure and ongoing cost initiatives, we remain focused on adjusted EBITDA breakeven by the end of Q3. The timing for reaching that level will depend in part on the macro environment and the pace of rate normalization. The operating model continues to move in the right direction. We believe Better today is materially more efficient, more diversified, and more scalable than it was even 12 months ago. With that, I'll turn back to the operator for Q&A.
Thank you. Ladies and gentlemen, once again, if you would like to ask a question today, remember it's star followed by the number 1 in your telephone keypad. Our first question for today comes from the line of Kyle Peterson with Needham. Your line is live.
Great. Good morning, guys. Thank you for taking the questions. You know, I guess just wanted to first start off and clarify a couple of the moving pieces in the guide. I guess one, have you guys assumed that the macro and kind of this frozen pipeline due to some of the Middle East tensions, have you assumed any improvement or resolution in, you know, the back half of the quarter or more of a status quo? Then I guess also, could you guys just give us a quick reminder on some of the relative gain on sale rates, specifically on the HELOC side? Obviously, it seems like that's really offsetting some of the volume difference, I think a reminder there would be helpful for everyone on the call.
Sure. I mean, we are assuming no resolution. I think we've been very conservative with respect to what we're guiding towards, because going into April, we knew that volume top of funnel was about to almost double. Going into April, we were very confident in the number that we were quoting, which was $1 billion of volume. You know, the rate spike, the escalation in the Middle East, basically all that new volume came top of funnel. I think we shared that it went from about $100 million a day top of funnel for pre-approval volume to $200 million a day in the back half of April. Those customers are not converting at nearly the same rate. We're converting a bunch of them to HELOCs.
A bunch of them that come in just to do a rate term refi or do a debt consolidation to bring down all the rates, they're gonna save more if they wait it out than they would getting into it right now. We have to give them the right advice for them, and that's what we've always done, prioritize the long term over the short term. That's what we're doing. We think that that's a coiled spring for when things die down in the Middle East, you're gonna see some bumper months as we convert all those customers who are effectively on a wait list to lock when rates come back down.
On the gain on sale, HELOCs are averaging between 6-7 points, total gain on sale, you know, in combination of origination fees and gain on sale premium. Traditionally, mortgage on D2C has averaged 2.5 points, and on Neo has averaged 3.5 points.
Okay. That's really helpful. I guess a follow-up on the HELOC card initiative that you guys have launched, that seems, you know, like a really interesting product, I guess. How are you guys thinking about when that goes live later this year, you know, ways whether that increases engagement, gives you a competitor edge or monetization opportunities? Just any more color there on how you think that fits in and could potentially help you guys kinda continue to accelerate growth in HELOCs would be great.
Yeah. I think there are many utility functions of the home card. The first utility function is it tracks all your home spend. It helps you effectively monitor that and, you know, it provides discounts on things that you use for your home. 2, you get 1% cashback. For a customer, you know, they're effectively getting their rate or fees bought down as a result of that 1% cashback. 3, it creates a 30-year relationship with the consumer for us. Versus having a one-time transaction, which means that recurring refis for that consumer, cash out refis, will be, you know, nearly instant and super, you know, creates a super engaged customer base for which then we can market other products like what we've done with homeowners insurance, which typically comes up for renewal every year, life insurance.
You know, any of these other products that we've traditionally had, we can then have an always on relationship with the consumer versus a once every three, five, seven-year relationship with the consumer. I think it moves into, basically Better being a home finance, home operating system for the consumer rather than just a one-time home transaction system. We think that our partners have already started asking for it. It's just another really good way for a partner to service their customer and maintain that. A number of our partners are already asking us to replicate what we're doing internally for our D2C business for that. It gives us another feather in our cap when we go and pitch HELOCs or home equity as a service to other companies, or mortgage as a service to other companies.
It's very helpful. Thank you for all the color.
Thank you for your questions. Our next question is from the line of Ramsey El-Assal with Cantor Fitzgerald. Your line is live.
Hi, good morning, and thanks for taking my questions. Has the more challenging macro backdrop caused any slowdown in your partnership discussions or partnership pipeline conversion?
I think it's accelerated it, especially within the traditional mortgage broker and retail mortgage lender channel. A lot of people were hoping 2026 was the year that they were gonna thrive in, it's looking like with the Middle East conflict, things are tougher. More and more banks are still looking to get into the business. Of course, the Middle East conflict and higher elevated rates and oil prices has an impact on the number of customers eligible for a refi, it has an even bigger impact on unsecured consumer credit. We're starting to see a lot of inbound from other fintechs, other large consumer credit companies to pivot from their traditional unsecured offerings into a secured offering like a HELOC.
Okay. Could you also comment on the loan mix between, you know, Tinman and direct and kind of how the changing environment might, you know, play out in terms of your target there? I think it was 60% Tinman by the end of the year. I'm just curious if the changing backdrop here has any impact on that target.
I think we're well on our way to achieving that target.
Yeah. I think Ramsey, you're hitting on a great point. Had we been a traditional D2C play, we would have spent money on these leads up front and not have them convert. We're now relying on our partnership volumes, right? We're somehow de-risking ourselves from that eventuality.
Interesting. Thank you very much.
Thanks for your questions. Our next question is from the line of Rohit Kulkarni with Roth Capital Partners. Your line is live.
Hey. Thanks, guys. One kind of just comparison of unit economics to the extent you can is in, can you just flag what's the difference between a Tinman platform-generated volume versus D2C specifically, relative kind of CAC profile gain on sale? Longer term, do you see a scenario where the contribution margin for the platform volume would actually be structurally higher than your traditional D2C business?
That's a great question. Right now, we try to price our platform partnerships, so we make the same amount of contribution margin. Revenue can change, right? 'Cause different partners are asking us to do different services for them. We try to make the same, you know, contribution margin that we do on D2C in our platform business. You know, as we scale, we're hoping to make, sort of, you know, around $2,000 per loan of contribution margin on mortgage, and slightly less than that on HELOCs in our Tinman AI platform business. Over time, the sale becomes more and more software, the like, margin profile is much better on Tinman AI platform.
Right now, the gains from AI are captured first in D2C, which is why you saw our continued improvement or our unit economics on the D2C business. We port those things that work in D2C into the Tinman AI Platform business.
Okay. Got you. Regarding the current macro environment and rate, kind of changes in the last 45 days, historically, what is the typical lag in consumer behavior and how that impacts your business, assuming there's a pathway towards more stable macro in the next 60, 90 days. How do you anticipate that to impact your business and over what duration? Sorry for the multi-parter here. Are you assuming any improvement in macro in your 2Q guide?
We're assuming no improvement in the macro in our 2Q guide. We're being conservative there. The typical cycle is you can start to see on refis particular. On rate term refi in particular, you can see, you know, immediately within a week if a consumer comes in as a pre-approval, if they're going to lock or not, or if they're hesitant. Usually when they are hesitant, we register in our data the price point at which they would transact, and then we hold them till they come back. You know, kind of like a limit order in stock trading. We see that behavior manifest itself out in refis. Purchase, as you know, is like a 6-month cycle.
HELOC, depending on the use case, if it's for debt consolid, can take, you know, the consumer a month to decide on what debt to pay off or not and which, you know, what things that they care about or not. If it's, you know, more for home improvement or tuition or other things like that, they typically have a need that needs to be satisfied within a week, two weeks, three weeks.
Yeah. Rohit, I think where you're trying to go with this is, as we think about beyond the second quarter, if the environment stays where it is, we'll have increased indexation towards HELOCs and less so towards refi. If the macro changes, then that equation will flip.
I see. I got you. I know you reaffirmed breakeven EBITDA by end of Q3. Q2 is still close to negative $13 million in EBITDA. Can you help us kind of what specifically bridges that Q2 to Q3? What are the factors under your control? Maybe just layer in the $25 million cost reduction program. How much of that is in Q2, and what other levers do you have in Q3?
Clearly. Yeah, that's a great question. Today, our current financials excludes the U.K. business, which is we're considering that as discontinued ops, right? As we think about getting to our breakeven target, our current cash OpEx is about $68 million. That's the guidance that we're giving, right? For us to get to profitability by the end of Q3, we'll have to get to a revenue mix or a revenue component of around low to mid 70s for us to breakeven at the end of Q3.
Okay. Got you. Okay. I'll go back in the queue. Thank you, guys.
Thank you for your questions. Our next question is from the line of Owen Rickert with Northland Capital Markets. Your line is live.
Hi, guys. Thanks for taking my questions here. Could you talk a bit more about how some of those newer partnerships are ramping today? Are you seeing encouraging trends in engagement or conversion rates so far? How have those partnerships trended on a monthly basis throughout the quarter?
The newest partnership are ramping up extremely well. I mean, we literally in the month of April went from $100 million a day top of funnel to $200 million a day top of funnel. $200 million a day top of funnel just multiplied by 250 business days is $50 billion of pre-approval volume. We're still just scratching the surface. Our biggest partner, Credit Karma, we are exposed in many of the products to less than 1% of their customer base. For the top 5 retail lender, we're just ramping up their salespeople on the HELOC product.
They have $hundreds of billions of MSR on their books that we're gonna be targeting, which has a very, very high conversion rate. Our top 3 fintech, they're scaling. They're becoming, you know, a reasonably decent size of our HELOC volume. You've seen like monthly HELOC volumes start to continue to trend up. A little bit of that has been them. Then we've got a couple of banks in the queue off of our ChatGPT announcement that we did, I think about 2 months ago. We're hoping to get them closed and operational and live shortly.
Got it. Thank you. On the technology side, where are you seeing the biggest operational or customer-facing benefits from tools like Betsy, Tinman AI, and the broader machine learning initiatives?
The biggest benefit is in customer contact capability, where consumers are now able to transact with Betsy 24/7, 365. And we're increasing the exposure of Betsy, branded for our partners in their funnels. I think the biggest uplift is going to actually be, when we are able to fully deploy Betsy in our partner funnels, not just in our D2C funnel.
Great. Thank you.
Thanks for your questions. Ladies and gentlemen, once again, if you would like to ask a question today, remember it is star followed by 1 on your telephone keypad. Our next question comes from the line of Kartik Mehta with Northcoast Research. Your line is live.
Hey, good morning, Vishal. You know, one thing you've talked about are partnerships, and your partnerships are growing. If in the interim the mortgage markets stay soft, but all of a sudden we get a big bump up, you know, if the war is over and all of a sudden you get a lot of activity, how do you manage the infrastructure if a demand spikes?
We are already getting geared up for something like that. The best thing that we can do is in the old days, we had to rely on humans to staff up and pick up the phone, work late shifts, work weekends, and now we are able to simply leverage Betsy. Betsy loan officer, Betsy loan processor, Betsy loan underwriter. In preparation for some of that, we're actually taking off some of the gloves where Betsy was recommending a particular task or a particular path to both the consumer or an internal person, and then the internal person was sending it out. We're now just having Betsy be, you know, on autopilot, after, you know, close to over a year and a half of learning data.
I think that's just gonna crush the operating cost framework and allow us to capture all the volume as it comes in.
Hey, Vishal. You know, in a couple partnerships, you're not the only mortgage provider, but it seems as though you have a competitive advantage because of your technology. Have you seen your partners or talked to your partners about comparing your ability to serve their customers versus others that might be on the platform? If so, you know, what type of advantage is that giving you?
Our partners typically see an improvement of 2x relative to the incumbent, in terms of both productivity and customer served. That's really the promise that we make to them, is, we're gonna, you know, help you double revenue, and we're gonna help you cut your cost structure by 30%-50%. You'll make 4, 5, 6 times more money, and that's how it's playing out for our existing partners. That's why, you know, there's a wait list of people to get on the Tinman AI platform, the ChatGPT Enterprise edition. We're continuing to work through that and the value prop to the partners is high. As you know, like, the mortgage industry is, you know, an industry that the internet basically forgot.
We have lots and lots and lots of mortgage people who are still operating on really old antiquated systems. What we're also finding is that their staff are used to just those systems. Frequently we go in, and they tell us that, "Hey, you know, we'll keep this staff, and then the rest of them, you know, why don't you, like, adapt them to the new system?" What they find eventually is that we have to do it all for them. I think that is also, you know, upside in the margin profile that we land with a particular product or a particular implementation, and then we expand from there.
Perfect. Thank you very much. Appreciate it.
Thanks for your questions. Our next question is from the line of Brendan McCarthy with Sidoti. Your line is live.
Great. Good morning, everyone. Appreciate you taking my questions here. Just wanted to ask a quick question on the Birmingham Bank, the U.K.-based bank. I know you classified it as discontinued operations, held for sale. Can you give us any detail on when we might expect a sale regarding timing? Can you give us any color on potential capital release from that sale or perhaps sale proceeds?
Brendan, this is Naveen Advani. We're in an active sale process. We've had an investment bank to lead that. We're in active discussions with potential buyers, right? That's all I wanna disclose at this time, given that we're in active discussions. Even if we do sign, there's a regulatory approval process in the U.K., which is gonna take about 2-4 months. Think of the impact in Q4.
Understood. Thanks for that, Naveen. Looking at the Coinbase partnership with the crypto-backed mortgage product, can you kinda walk us through the economics of that, you know, the revenue profile there and perhaps the launch timeline when we might see an impact in the P&L?
The currently publicly stated launch timeline is sometime in late Q2. The revenue profile from that product is starting to manifest itself. Obviously, we have more pricing power in that product than we do in your traditional, you know, direct-to-consumer product. You should start to see like Neo-like margins on that product.
Got it. That's helpful. Thanks, Vishal. Last question, just back to the Q3 break-even guide for adjusted EBITDA. Just to clarify, I know you mentioned you're assuming a pretty stable environment as it relates to the macro. Is there any risk to achieving that break even if, you know, rates move meaningfully higher or maybe the Middle East conflict is more prolonged than expected?
we're gonna have to cut costs deeper. I think we're pretty committed to that number.
Understood. Thanks, everybody. That's all for me.
Thank you for your questions. Ladies and gentlemen, that will conclude our Q&A session for today. Vishal, I'd like to turn it back over to you for any closing comments. Thank you.
Thanks, everyone. Q1 was a really good quarter for us. We signed a bunch of really big deals, we executed on our plan, and we beat guidance. I know it's disappointing for the Q2 guidance for us to not get to the billion-dollar mark of loan originations that we had planned to in May. We're gonna make up for that in the context of cost-cutting, change to a HELOC product, which doesn't have a $350,000 balance, has a $100,000 balance, but makes basically the same amount of revenue. Using that to continue to drive revenue growth and a path towards profitability, which is what we're expecting in our Q2 guidance. We're confirming again that we will achieve by the end of Q3 2026.
Thank you all, for continuing to have an interest in believing in Better. We appreciate you all.
Thank you, everybody. Have a great day.
Investor releaseQuarter not tagged2026-05-01Tree.com (TREE) Tops Q1 Earnings and Revenue Estimates
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Tree.com (TREE) Tops Q1 Earnings and Revenue Estimates
Tree.com (TREE) came out with quarterly earnings of $1.66 per share, beating the Zacks Consensus Estimate of $1.49 per share. This compares to earnings of $0.99 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +11.66%. A quarter ago, it was expected that this mortgage lending service provider would post earnings of $0.9 per share when it actually produced a loss of $0.39, delivering a surprise of -143.33%. Over the last four quarters, the company has surpassed consensus EPS estimates three times. Tree.com, which belongs to the Zacks Financial - Mortgage & Related Services industry, posted revenues of $327.27 million for the quarter ended March 2026, surpassing the Zacks Consensus Estimate by 1.93%. This compares to year-ago revenues of $239.7 million. The company has topped consensus revenue estimates three times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Tree.com shares have lost about 8.9% since the beginning of the year versus the S&P 500's gain of 4.2%. While Tree.com has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Tree.com was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today…Read full documentShow less
Tree.com (TREE) came out with quarterly earnings of $1.66 per share, beating the Zacks Consensus Estimate of $1.49 per share. This compares to earnings of $0.99 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +11.66%. A quarter ago, it was expected that this mortgage lending service provider would post earnings of $0.9 per share when it actually produced a loss of $0.39, delivering a surprise of -143.33%. Over the last four quarters, the company has surpassed consensus EPS estimates three times. Tree.com, which belongs to the Zacks Financial - Mortgage & Related Services industry, posted revenues of $327.27 million for the quarter ended March 2026, surpassing the Zacks Consensus Estimate by 1.93%. This compares to year-ago revenues of $239.7 million. The company has topped consensus revenue estimates three times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Tree.com shares have lost about 8.9% since the beginning of the year versus the S&P 500's gain of 4.2%. While Tree.com has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Tree.com was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $1.14 on $303.28 million in revenues for the coming quarter and $5.71 on $1.3 billion in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Financial - Mortgage & Related Services is currently in the top 39% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. Another stock from the same industry, Better Home & Finance Holding Company (BETR), has yet to report results for the quarter ended March 2026. The results are expected to be released on May 7. This company is expected to post quarterly loss of $1.56 per share in its upcoming report, which represents a year-over-year change of +48.7%. The consensus EPS estimate for the quarter has been revised 10% higher over the last 30 days to the current level. Better Home & Finance Holding Company's revenues are expected to be $46.51 million, up 42.9% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report LendingTree, Inc. (TREE) : Free Stock Analysis Report Better Home & Finance Holding Company (BETR) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research
Investor releaseQuarter not tagged2026-04-23Better Home & Finance Holding Company to Announce First Quarter 2026 Results on May 7, 2026
Business Wire
Better Home & Finance Holding Company to Announce First Quarter 2026 Results on May 7, 2026
NEW YORK, April 23, 2026--(BUSINESS WIRE)--Better Home & Finance Holding Company (NASDAQ: BETR; BETRW) ("Better" or the "Company") today announced that the Company will issue its first quarter 2026 results before market open on Thursday, May 7, 2026. Leadership will host a conference call and webcast to discuss results at 8:30 a.m. ET. A press release detailing the Company’s results will be issued prior to the call. Details to register for the live webcast and to listen to the call by phone will be available on the Company’s investor relations website located at investors.better.com and are included below. Please join the webcast at least 10 minutes prior to the start time. A replay will be available on the Company’s investor relations website shortly after the call ends. Webcast Details: Event Title: Better Home & Finance Holding Company First Quarter 2026 Results Event Date: May 7, 2026 08:30 AM (GMT-04:00) Eastern Time (US and Canada) Attendee Registration Link: https://events.q4inc.com/attendee/584288014 About Better Home & Finance Holding Company Better Home & Finance Holding Company (NASDAQ: BETR) is the first AI-native mortgage and home equity finance platform, and first fintech to fund more than $110 billion in loan volume. Since 2016, Better has leveraged its industry-leading AI platform, Tinman®, to achieve a singular mission of making homeownership cheaper, faster, and easier for all Americans. Tinman® allows customers to see their rate options in seconds, get pre-approved in minutes, lock in rates, and close their loan in as little as three weeks. In addition, Betsy™, leveraging Tinman MCP, the first AI loan agent built exclusively for the mortgage industry, is revolutionizing the homebuying journey by delivering timely application status updates to consumers, answering questions, and moving their loan application along 24/7/365. Better’s mortgage offerings include GSE-conforming mortgage loans, FHA and VA loans, and jumbo and Non-QM mortgage and home equity loans. Better serves customers in all 50 US states and the United Kingdom. For more information, follow @betterdotcom on Instagram and TikTok and @betrmortgage on X. View source version on businesswire.com: https://www.businesswire.com/news/home/20260423018033/en/ Contacts [email protected]

