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Better Home & Finance Holding Co (Better Home & Finance Holding Co) Gross Margin % : -67.88% (As of Mar. 2024)


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What is Better Home & Finance Holding Co Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Better Home & Finance Holding Co's Gross Profit for the three months ended in Mar. 2024 was $-18.40 Mil. Better Home & Finance Holding Co's Revenue for the three months ended in Mar. 2024 was $27.11 Mil. Therefore, Better Home & Finance Holding Co's Gross Margin % for the quarter that ended in Mar. 2024 was -67.88%.


The historical rank and industry rank for Better Home & Finance Holding Co's Gross Margin % or its related term are showing as below:

BETR' s Gross Margin % Range Over the Past 10 Years
Min: -75.55   Med: -69.28   Max: 26.1
Current: -41.67

During the past 3 years, the highest Gross Margin % of Better Home & Finance Holding Co was 26.10%. The lowest was -75.55%. And the median was -69.28%.

BETR's Gross Margin % is ranked worse than
97.44% of 39 companies
in the Banks industry
Industry Median: 37.61 vs BETR: -41.67

Better Home & Finance Holding Co had a gross margin of -67.88% for the quarter that ended in Mar. 2024 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Better Home & Finance Holding Co was 0.00% per year.

Better Home & Finance Holding Co Gross Margin % Historical Data

The historical data trend for Better Home & Finance Holding Co's Gross Margin % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Better Home & Finance Holding Co Gross Margin % Chart

Better Home & Finance Holding Co Annual Data
Trend Dec21 Dec22 Dec23
Gross Margin %
26.10 -75.55 -69.28

Better Home & Finance Holding Co Quarterly Data
Dec21 Mar22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
Gross Margin % Get a 7-Day Free Trial Premium Member Only -102.46 56.05 -166.30 -62.28 -67.88

Competitive Comparison of Better Home & Finance Holding Co's Gross Margin %

For the Mortgage Finance subindustry, Better Home & Finance Holding Co's Gross Margin %, along with its competitors' market caps and Gross Margin % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

Better Home & Finance Holding Co's Gross Margin % Distribution in the Banks Industry

For the Banks industry and Financial Services sector, Better Home & Finance Holding Co's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Better Home & Finance Holding Co's Gross Margin % falls into.


Better Home & Finance Holding Co Gross Margin % Calculation

Gross Margin is the percentage of Gross Profit out of sales or Revenue.

Better Home & Finance Holding Co's Gross Margin for the fiscal year that ended in Dec. 2023 is calculated as

Gross Margin % (A: Dec. 2023 )=Gross Profit (A: Dec. 2023 ) / Revenue (A: Dec. 2023 )
=-61.3 / 88.5
=(Revenue - Cost of Goods Sold) / Revenue
=(88.5 - 149.811) / 88.5
=-69.28 %

Better Home & Finance Holding Co's Gross Margin for the quarter that ended in Mar. 2024 is calculated as


Gross Margin % (Q: Mar. 2024 )=Gross Profit (Q: Mar. 2024 ) / Revenue (Q: Mar. 2024 )
=-18.4 / 27.105
=(Revenue - Cost of Goods Sold) / Revenue
=(27.105 - 45.504) / 27.105
=-67.88 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

A positive Gross Profit is only the first step for a company to make a net profit. The gross profit needs to be big enough to also cover related labor, equipment, rental, marketing/advertising, research and development and a lot of other costs in selling the products.

Better Home & Finance Holding Co  (NAS:BETR) Gross Margin % Explanation

Warren Buffett believes that firms with excellent long term economics tend to have consistently higher margins.

Durable competitive advantage creates a high Gross Margin % because of the freedom to price in excess of cost. Companies can be categorized by their Gross Margin %

1. Greater than 40% = Durable competitive advantage
2. Less than 40% = Competition eroding margins
3. Less than 20% = no sustainable competitive advantage
Consistency of Gross Margin is key

Better Home & Finance Holding Co had a gross margin of -67.88% for the quarter that ended in Mar. 2024 => No sustainable competitive advantage

Be Aware

If a company loses its competitive advantages, usually its gross margin declines well before its sales declines. Watching Gross Margin % and Operating Margin % closely helps avoid value trap situations.

Better Home & Finance Holding Co Gross Margin % Related Terms

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Better Home & Finance Holding Co (Better Home & Finance Holding Co) Business Description

Industry
GURUFOCUS.COM » STOCK LIST » Financial Services » Banks » Better Home & Finance Holding Co (NAS:BETR) » Definitions » Gross Margin %
Comparable Companies
VEL GHI FMCC UWMC LDI OCN CNF SNFCA GHLD IOR COOP PFSI NSE:LICHSGFIN NSE:PNBHOUSING WD BOM:543335 TSX:FN LSE:OSB BOM:541988 BOM:511196
Traded in Other Exchanges
N/A
Address
175 Greenwich street, 3 World trade center, 57th floor, New York, NY, USA, 10007
Website
https://www.better.com
Better Home & Finance Holding Co is a digital-first homeownership company whose services included mortgage, real estate, title, and homeowners insurance. The company has combined technology innovation and fresh thinking with a deep customer focus with the goal to revolutionize the homeownership industry.
Executives
Activant Ventures Iii Opportunities Fund 6, Lp director, 10 percent owner 323 RAILROAD AVENUE, 2ND FLOOR, GREENWICH CT 06830
Sb Management Ltd 10 percent owner 9TH FLOOR, AL SILA TOWER, ADGM SQUARE, AL MARYAH ISLAND, ABU DHABI C0 NA
Riaz Valani director, 10 percent owner C/O OUSTER, INC., 350 TREAT AVENUE, SAN FRANCISCO CA 94110
Kevin J Ryan officer: Chief Financial Officer C/O WESLEY JESSEN VISIONCARE INC, 333 EAST HOWARD AVE, DES PLAINES IL 60018-5903
Vishal Garg director, 10 percent owner, officer: Chief Executive Officer C/O MRU HOLDINGS, INC., 1114 AVENUE OF THE AMERICAS, NEW YORK NY 10036
J. Calamari Nicholas officer: CAO and Senior Counsel 450 PARK AVE, STE. 2702, NEW YORK NY 10022
Activant Ventures Iii, Lp director, 10 percent owner 323 RAILROAD AVENUE, 2ND FLOOR, GREENWICH CT 06830
Activant Ventures Iii Opportunities Fund 1, Lp director, 10 percent owner 323 RAILROAD AVENUE, 2ND FLOOR, GREENWICH CT 06830
Activant Ventures Iii Opportunities Fund 2, Lp director, 10 percent owner 323 RAILROAD AVENUE, 2ND FLOOR, GREENWICH CT 06830
Activant Ventures Iii Opportunities Fund 3, Lp director, 10 percent owner 323 RAILROAD AVE., 2ND FLOOR, GREENWICH CT 06830
Activant Ventures Iii Opportunities Fund 4, Lp director, 10 percent owner 323 RAILROAD AVENUE, 2ND FLOOR, GREENWICH CT 06830
Softbank Group Corp 10 percent owner 1-7-1 KAIGAN, MINATO-KU, TOKYO M0 105-7537
Paula Tuffin officer: General Counsel and CCO 3 WORLD TRADE CENTER, 175 GREENWICH ST 57TH FLOOR, NEW YORK NY 10007
Svf Ii Beaver (de) Llc 10 percent owner 300 EL CAMINO REAL, MENLO PARK CA 94025
1/0 Mortgage Investment, Llc other: Shareholder 60 EAST 42ND STREET, SUITE 3014, NEW YORK NY 10165