#1blend Blend Labs, Inc. Q4 2022 Earnings Supplemental Slides March 16, 2023 1#2Forward-Looking Statements and Non-GAAP Financial Measures This presentation contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, which statements involve substantial risks and uncertainties. Forward-looking statements generally relate to future events or Blend's future financial or operating performance. In some cases, you can identify forward looking statements because they contain words such as "may," "might," "will," "should," "expect," "plan," "anticipate," "could," "would," "intend," "target," "project," "contemplate," "believe," "estimate," "predict," "potential" or "continue" or the negative of these words or other similar terms or expressions that concern Blend's expectations, strategy, priorities, plans or intentions. Forward-looking statements in this presentation include, but are not limited to, statements regarding Blend's financial condition and operating performance, including its outlook, market size and growth opportunities, macroeconomic and industry conditions, capital expenditures, plans for future operations, competitive positions, technological capabilities, strategic relationships, Blend's opportunity to increase market share and penetration in its existing customers, projections for a sharp decrease in mortgage loan origination volumes, Blend's ability to create long-term value for our customers, and Blend's expectations for revenue growth. If any of the risks or uncertainties related to the forward-looking statements develop or if any of the assumptions related to the forward-looking statements prove incorrect, actual results could differ materially from those projected, expressed, or implied by our forward-looking statements. The forward-looking statements contained in this presentation are also subject to other risks and uncertainties, including those more fully described in Blend's filings with the Securities and Exchange Commission, including its Quarterly Report on Form 10-Q for the quarter ended December 31, 2022 and its Annual Report on Form 10-K for the year ended December 31, 2022 that will be filed following this presentation. All forward-looking statements in this presentation are based on information available to Blend and assumptions and beliefs as of the date hereof, and Blend disclaims any obligation to update any forward-looking statements, except as required by law. In addition to financial information presented in accordance with U.S. generally accepted accounting principles ("GAAP"), this presentation includes certain non-GAAP financial measures, including non-GAAP gross profit, non-GAAP operating expenses, non-GAAP loss from operations, and non-GAAP net loss. These non-GAAP financial measures adjust the related GAAP financial measures to exclude non-cash stock-based compensation and warrant amortization expense, amortization of acquired intangible assets, non-recurring acquisition-related costs, and non-recurring income tax expenses or benefits related to acquisitions. These non-GAAP measures are presented for supplemental informational purposes only and should not be considered a substitute for financial information presented in accordance with GAAP. Blend's management uses these non-GAAP financial measures internally in analyzing its financial results and believes they are useful to investors, as a supplement to the corresponding GAAP financial measures, in evaluating Blend's ongoing operational performance and trends, in allowing for greater transparency with respect to measures used by Blend's management in their financial and operational decision making, and in comparing Blend's results of operations with other companies in the same industry, many of which present similar non-GAAP financial measures to help investors understand the operational performance of their businesses. However, it is important to note that the particular items excluded from, or included in, these non-GAAP financial measures may differ from the items excluded from, or included in, similar non-GAAP financial measures used by other companies in the same industry. In addition, other companies may utilize metrics that are not similar to Blend's. The non-GAAP financial information is presented for supplemental informational purposes only and is not intended to be considered in isolation or as a substitute for, or superior to, financial information prepared and presented in accordance with GAAP. There are material limitations associated with the use of non-GAAP financial measures since they exclude significant expenses and income that are required by GAAP to be recorded in Blend's financial statements. Please see the reconciliation tables at the end of this presentation for the reconciliation of GAAP and non-GAAP results. Management encourages invest and others to review Blend's financial information in its entirety and not rely on a single financial measure. This presentation contains statistical data, estimates and forecasts that are based on independent industry publications or other publicly available information, as well as other information based on Blend's internal sources. This information involves many assumptions and limitations, and you are cautioned not to give undue weight to such information. Blend has not independently verified the accuracy or completeness of the information contained in the industry publications and other publicly available information. Accordingly, Blend makes no representations as to the accuracy or completeness of that information nor does Blend undertake to update such information after the date of this presentation. blend 2#3blend Fourth Quarter 2022 Highlights 19% year-over-year decline in Platform revenue, amidst an estimated 68% mortgage market volume decline 109% year-over-year growth in Consumer Banking and Marketplace revenue 85% year-over-year growth in Consumer Banking transactions. 3#4We Retain Our Customers Gross Revenue Retention* * See Note 2 included in Appendix 100% 100% 99% Q1'21 Q2'21 Q3'21 99% 98% Q4'21 Q1'22 99% Q2'22 98% Q3'22 97% Q4'22 blend 4#5Growing our Consumer Banking platform We continue to add new and existing customers to Consumer Banking, expanding our presence in non-mortgage linked bank activities such as home equity, personal lending, credit cards, deposit accounts and auto finance. * See Note 3 included in Appendix. Q4 2022 includes estimated transactions not yet reported by our customers. Q3 2022 reflect actual transactions for funded loans reported by our customers and other transaction data available to us as of the date hereof. This number differs from the estimate previously published due to additional information being available to us. * The number of Consumer Banking transactions is not impacted by the migration of software-enabled title revenue from Title365 to Blend Platform, although this is included as Consumer Banking & Marketplace revenue per Note 4. Consumer Banking Transactions* 250k 200k 150k 100k 50k Ok 118k 33k 85k Q4 2021 160k 44k 116k Q1 2022 -85%- 215k 65k 150k Q2 2022 Consumer Banking 228k 70k 158k Q3 2022 ■Home Equity 218k 57k 161k Q4 2022 blend 5#6Blend's Continued Progress in a Challenging Market Consumer Banking & Marketplace Consumer Banking and Marketplace revenue driven by increases in revenue from software-enabled title migration ($4.2M), followed by home equity, personal loans, and income verification. $15M $10M $5M 0 $6.3M 109% YoY increase $7.2M $8.5M Q4 2021 Q1 2022 Q2 2022 See Note 4 included in Appendix $15.3M Q3 2022 $13.2M Q4 2022 Blend Mortgage $30M $25M $20M $15M $10M $5M 0 $29.1M Q4 2021 Mortgage Banking revenue down 48% year-over-year, amidst a 68% decline in mortgage loan origination volumes, compared to the same period last year. 48% YoY decrease $24.5M $23.9M Q1 2022 Q2 2022 $19.9M $15.1M Q3 2022 Q4 2022 blend 6#7Q1 2023 Guidance Blend guidance reflects the following: Uncertainty around the pace of future rate increases and the higher interest rate environment. U.S. mortgage market origination volumes declining approximately 58% from their Q1 2022 level, as projected by the Mortgage Bankers Association. Net Operating Loss includes a $72 million decrease in annualized run rate operating expenses from Q1 2022. Blend Platform Revenue Title365 Revenue Blend Labs Consolidated Revenue Blend Labs Consolidated Non-GAAP Net Operating Loss Between $24.5M and $25.5M Between $8.5M and $9.5M Between $33M and $35M Between ($37M) and ($39M) 7#8Appendix B VJ blend 8#9Revenue Growth (in thousands) Blend Platform revenue: Mortgage Banking Consumer Banking and Marketplace Professional Services Total Blend Platform revenue Title365 revenue Total revenue Blend Platform revenue: Mortgage Banking Consumer Banking and Marketplace Professional Services Total Blend Platform revenue Title365 revenue Total revenue $ $ $ $ Three Months Ended December 31, 2022 2021 15,094 13,224 1,175 29,493 13,292 42,785 2022 51 % $ 45 % 4% 100 % 83,391 44,227 4,396 132,014 103,187 235,201 $ Year Ended December 31, 63 % $ 34% 3% 100 % 29,133 6,321 1,090 $ 36,544 44,446 80,990 2021 108,264 23,120 4,178 135,562 98,933 234,495 80 % 17% 3% 100 % 80 % 17% 3% 100 % YoY change (48)% 109 % 8% (19) % (70)% (47)% YoY change (23)% 91 % 5 % (3)% 4% % blend 9#10Q4 2022 GAAP Financial Results (in thousands) Revenue Cost of revenue Gross profit Operating expenses: Research and development Sales and marketing General and administrative Amortization of acquired intangible assets Impairment of intangible assets and goodwill Restructuring Total operating expenses Loss from operations Interest expense Other income (expense), net Loss before income taxes Income tax benefit (expense) Net loss Net loss (income) attributable to noncontrolling interest Net loss attributable to Blend Labs, Inc. Less: Accretion of redeemable noncontrolling interest to redemption value Net loss attributable to Blend Labs, Inc. common stockholders Net loss per share attributable to Blend Labs, Inc. common stockholders: Basic and diluted Weighted average shares used in calculating net loss per share: Basic and diluted S S S Three Months Ended December 31, 2022 42,785 $ 28,378 14,407 33,248 19,951 33,406 2,959 89,564 (75,157) (7,348) 1,538 (80,967) (476) (81,443) 874 (80,569) (2,141) (82,710) $ (0.35) $ 238,442 2021 80,990 46,045 34,945 28,740 27,984 34,314 3,772 $ 94,810 (59,865) (5,664) 110 (65,419) (6,092) (71,511) (176) (71,687) (1,430) (73,117) $ (0.32) $ 227,947 Year Ended December 31, 2022 2021 235,201 S 145,550 89,651 138,094 85,248 139,120 8,411 449,680 15,275 835,828 (746,177) (24,790) 4,916 (766,051) 2,241 (763,810) 43,638 (720,172) (48,438) (768,610) S (3.28) S 234,161 234,495 118,506 115,989 92,216 84,077 128,802 8,136 313,231 (197,242) (11,279) 493 (208,028) 38,886 (169,142) (771) (169,913) (1,430) (171,343) (1.30) 131,985 blend 10#11Reconciliation of GAAP to Non-GAAP Measures (in thousands) Gross Profit Reconciliation Blend Platform Title365 Total Gross Profit Reconciliation Blend Platform Title365 Total $ $ $ $ Three Months Ended December 31, 2022 GAAP Gross Profit 13,114 1,293 14,407 $ GAAP Gross Profit $ 70,090 19,561 89,651 Year Ended December 31, 2022 $ Non-GAAP adjustments (¹) $ Non-GAAP gross profit 463 $ 111 574 $ Non-GAAP adjustments (¹) Non-GAAP gross profit 1,463 $ 606 2,069 13,577 $ 1,404 14,981 $ $ $ 71,553 20,167 91,720 $ Three Months Ended December 31, 2021 GAAP Gross Profit 22,439 12,506 34,945 $ $ GAAP Gross Profit 85,645 30,344 115,989 $ $ Non-GAAP adjustments (¹) Year Ended December 31, 2021 Non-GAAP gross profit 45 45 $ Non-GAAP adjustments (¹) 22,439 12,551 34,990 Non-GAAP gross profit 670 $ 83 753 $ 86,315 30,427 116,742 blend 11#12Reconciliation of GAAP to Non-GAAP Measures (cont.) (in thousands) GAAP operating expenses Non-GAAP adjustments: Stock-based compensation and amortization of warrant Amortization of acquired intangible assets(²) Impairment of intangible assets and goodwill (3) Restructuring (4) Litigation contingencies(5) Acquisition-related expenses(6) Non-GAAP operating expenses GAAP loss from operations Non-GAAP adjustments: Stock-based compensation and amortization of warrant Amortization of acquired intangible assets (²) Impairment of intangible assets and goodwill (3) Restructuring (4) Litigation contingencies(5) Acquisition-related expenses(6) Non-GAAP loss from operations GAAP net loss Non-GAAP adjustments: Stock-based compensation and amortization of warrant Amortization of acquired intangible assets (2) Impairment of intangible assets and goodwill (3) Restructuring (4) Litigation contingencies(5) Acquisition-related expenses(6) Gain on investment in equity securities(7) Foreign currency gains and losses (8) Income tax benefit (⁹) Non-GAAP net loss $ $ $ S $ $ Three Months Ended December 31, 2021 2022 89,564 S 27,617 2,959 700 183 58,105 (75,157) S 28,191 2,959 700 183 (43,124) S (81,443) S 28,191 2,959 700 183 109 (49,301) 94,810 $ 16,541 3,772 569 73,928 (59,865) $ 16,833 3,772 $ 569 (38,691) S (71,511) $ 16,833 3,772 569 5,991 (44,346) $ Year Ended December 31, 2022 2021 835,828 $ 107,657 8,411 449,680 15,275 700 3,139 250,966 $ (746,177) $ 109,726 8,411 449,680 15,275 700 3,139 (159,246) S (763,810) $ 109,726 8,411 449,680 15,275 700 3,139 (2,884) 458 (2,864) (182,169) $ 313,231 70,383 8,136 12,984 221,728 (197,242) 71,136 8,136 12,984 (104,986) (169,142) 71,136 8,136 12,984 (39,311) (116.197) blend 12#13Reconciliation of GAAP to Non-GAAP Measures (cont.) (in thousands) GAAP net loss per share Non-GAAP adjustments: Net (loss) income attributable to noncontrolling interest (10) Accretion of redeemable noncontrolling interest to redemption value (10) Stock-based compensation and amortization of warrant Amortization of acquired intangible assets(2) Impairment of intangible assets and goodwill (3) Restructuring (4) Litigation contingencies (5) Acquisition-related expenses(6) Gain on investment in equity securities' (7) Foreign currency gains and losses(8) Income tax benefit (⁹) Non-GAAP net loss per share (1) Stock-based compensation by function: Cost of revenue Research and development Sales and marketing General and administrative Total $ Three Months Ended December 31, 2021 2022 (0.35) $ 0.01 0.12 0.01 (0.21) 574 $ 12,624 3,274 11,719 28,191 $ (0.32) S 0.01 0.07 0.02 0.03 (0.19) S 292 S 5,281 2,034 9,188 16,795 $ Year Ended December 31, 2022 2021 (3.28) $ (0.19) 0.21 0.47 0.04 1.92 0.06 0.01 (0.01) (0.01) (0.78) $ 2,069 S 47,280 11,725 48,628 109,702 (1.30) 0.01 0.01 0.54 0.06 0.10 (0.30) (0.88) 753 13,184 7,167 49,740 70,844 (2) Amortization of acquired intangible assets represents non-cash amortization of customer relationships acquired in connection with the Title365 acquisition. (3) Impairment of intangible assets and goodwill relates to charges recorded based on the results of the interim quantitative impairment analysis performed in the quarter ended June 30, 2022 and in the quarter ended September 30, 2022, in response to certain triggering events, such as a continued decline in economic and market conditions, decline in our market capitalization, and current and projected declines in the operating results of the Title 365 reporting unit. (4) The restructuring charges relate to the April Plan, the August Plan and the November Plan, under which we eliminated approximately 440 positions, respectively, as part of our broader efforts to improve cost efficiency and better align our operating structure with our business activities. (5) Litigation contingencies represent reserves for legal settlements that are unusual or infrequent costs associated with our operating activities. (6) Acquisition-related expenses include non-recurring due diligence, transaction and integration costs recorded within general and administrative expense. (7) Gain on investment in equity securities represents an adjustment to the carrying value of the non-marketable security without a readily determinable fair value to reflect observable price changes. (8) Foreign currency gains and losses include transaction gains and losses incurred in connections with our operations in India. (9) Income tax benefit represents the non-recurring release of historical valuation allowance resulting from changes in U.S. tax law requiring capitalization and amortization of research and development costs for tax purposes. (10) Net (loss) income attributable to noncontrolling interest and accretion of redeemable noncontrolling interest to redemption value relate to the 9.9% non-controlling interest in our Title365 subsidiary. blend 13#14Share count outlook (in thousands) Quarter ended December 31, 2022 Estimated weighted average shares used in calculating net loss per share (basic and diluted) Estimated outstanding common shares as of period-end Weighted average shares used in calculating net loss per share (basic and diluted) Dilutive securities (1) 5,784 3,106 (1) Dilutive securities represent the number of potential common shares that would have been included in the computation of earnings per share if the Company had reported net income for the quarter and year ended December 31, 2022. Since the Company reported net loss for the quarter and year ended December 31, 2022, all outstanding potential common shares are antidilutive. Year ended December 31, 2022 238,442 234,161 Quarter ended March 31, 2023 241,761 243,964 blend 14#15Key Business Metrics - Volume Disaggregation (in thousands) Blend Platform banking transactions Mortgage banking transactions Consumer banking transactions** 537 Total Blend Platform banking *Includes estimated transactions from funded loan reports not yet received in Q4 2022 **Consumer banking transaction counts exclude banking transactions from certain Enterprise License Agreements where those transaction counts are not available Q1 2021 447 48 495 Q2 2021 461 76 Q1 2021 N/A Q3 2021 450 84 534 Q2 2021 N/A Q4 2021 454 118 572 Q3 2021 45 FY 2021 1,812 326 2,138 Q4 2021 35 Q1 2022 380 160 540 FY 2021 80 Q2 2022 Q1 2022 27 348 215 563 Q3 2022 Q2 2022 Q3 2022*** Q4 2022*** FY 2022 14 4 1 46 Title365 closed orders *** Excludes approximately 7,000 and 4,000 software-enabled title orders for the quarters ended September 30, 2022 and December 31, 2022, respectively, for which revenue and cost of revenue is reported within the Blend Platform segment 292 228 520 Q4 2022* 214 218 432 FY 2022 1,234 821 2,055 blend 15#16Blend Customer Logo Count Customer Count 400 300 200 100 0 303 Q1'21 316 Q2'21 333 Q3'21 343 Q4'21 Quarter 351 Q1'22 354 Q2'22 350 Q3'22 346 Q4'22 blend 16#17Footnotes Note 1: Market Share is management's estimate of Blend's mortgage market share for the specified period based on signed customers, split between funded volume and untapped volume. Mortgage market volumes are updated periodically by management based on updates from the Home Mortgage Disclosure Act data. Blend will communicate Market Share progress once these updates are published. Note 2: Gross Revenue Retention measures revenue lost from our customer base, not including any benefits from expansion revenue or price increases. Gross retention for a quarter is calculated from total revenue from the same quarter in the prior year (excluding expansion and price increases) less revenue from customers that have churned in the last 12 months divided by the revenue from the same quarter in the prior year. Note 3: Consumer Banking Transactions is calculated based on the transactions for funded loans reported by our customers and other transaction data available to us as of a particular date. The number of Consumer Banking Transactions for the latest quarter shown in this presentation includes estimated transactions not yet reported by our customers for such quarter. The prior quarter estimate has been updated to reflect actual transactions for funded loans reported by our customers and other transaction data available to us as of the date hereof, and may differ from the previously published estimate. Any updates (or "true-ups") to previously published estimates of Consumer Banking Transactions have no impact on previously reported revenue for the prior quarters. Note 4: Consumer Banking and Marketplace Revenues consist of Consumer Banking revenue (Home Equity and Personal Loans and all other consumer banking products), Ancillary Product revenue (Blend Income Verification and Blend Close), and Marketplace revenue (software-enabled title, Blend Insurance, and Blend Realty). blend 17