NASDAQ$FTDR

Frontdoor Inc. · Q2 2021 earnings

Q2 2021 earnings · · Investor relations

Briefing

Frontdoor reported an 11 percent revenue increase to $462 million.

Frontdoor, Inc. announced strong second-quarter 2021 results with an 11% increase in revenue to $462 million. The company's performance was driven by growth in renewals and direct-to-consumer channels, though impacted by a tight real estate market. Frontdoor is increasing its focus on home buyers and investing in the direct-to-consumer channel.

  • Revenue increased 11 percent to $462 million.
  • Gross profit margin of 52 percent.
  • Net income of $40 million; includes debt extinguishment costs of $30 million.
  • Adjusted EBITDA of $114 million; reflects lower than anticipated service request volume and cost management initiatives.

Headline financials

Total Revenue

$462M

Previous: $417M+10.8%
EPS (adj)

$0.76

Previous: $0.66+15.2%
Home Warranties

2.2M

Previous: 2.2M+1.8%
Capital Expenditures

-$15M

Previous: -$18M+16.7%
Free Cash Flow

$25M

Previous: $31M-19.4%
Net Income

$40M

Previous: $49M-18.4%
Operating Income

$98M

Previous: $84M+16.7%
Gross Profit

$242M

Previous: $218M+11.0%
Cash & Equivalents

$323M

Previous: $545M-40.7%
Total Assets

$1.14B

Previous: $1.36B-16.6%
Stock-Based Comp

$7M

Previous: $5M+40.0%

Revenue & EPS history

Frontdoor · Revenue · Quarterly

$462M

Q2 2021+10.8%vs Q2 2020
Beat estimate in 11 of 15 quarters(73%)
ActualEstimate

Revenue by segment

Frontdoor · $329M total across 2 segments · Q2 2021

  • Renewals
    $316M+9.3%
  • Non-warranty and other
    $13M+333.3%

Forward guidance

Frontdoor updated its full-year 2021 outlook, projecting revenue between $1.60 billion and $1.62 billion and a gross profit margin between 48 and 49 percent.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q2 2021

Historical avgQ2 2021

+1.5%

Avg return

Earnings day

+1.6%

Avg return

5 days after

-0.1%

Avg return

30 days after

59%

20 / 34 earnings

Positive

+25.0%

Q1 2025

Best reaction

-34.2%

Q4 2017

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+13.3%+8.8%+2.3%
Q4 2025+16.9%+22.8%-4.7%
Q3 2025-15.8%-24.1%-19.3%
Q2 2025-4.0%-6.2%+8.2%
Q1 2025+25.0%+30.0%+33.8%
Q4 2024-19.2%-26.4%-33.5%
Q3 2024+10.7%+17.9%+19.9%
Q1 2024+12.6%+16.8%+15.0%
Q4 2023-5.1%-6.8%-1.4%
Q3 2023+13.4%+21.2%+19.5%
Q2 2023+5.6%+4.6%-4.8%
Q1 2023+11.7%+15.1%+19.5%
Q4 2022+4.3%+1.6%-1.3%
Q3 2022+12.9%+12.2%+12.8%
Q2 2022-0.9%-5.4%-12.5%
Q1 2022-12.9%-14.3%-21.4%
Q4 2021-6.6%-8.1%-11.9%
Q3 2021-11.8%-6.7%-16.5%
Q2 2021-13.8%-14.7%-14.2%
Q1 2021+2.0%+1.6%+1.0%
Q4 2020-1.3%-3.9%-0.2%
Q3 2020+4.0%+9.0%+9.1%
Q2 2020+7.0%+3.8%+0.1%
Q1 2020+5.5%+6.2%+12.5%
Q4 2019-2.1%+0.9%-20.1%
Q3 2019-5.3%-4.7%-3.9%
Q2 2019+16.5%+14.9%+17.5%
Q1 2018+0.2%-0.7%+4.0%
Q1 2019+11.9%+12.0%+17.6%
Q4 2016+12.7%+13.0%+8.9%
Q2 2018+12.7%+13.0%+8.9%
Q4 2018+13.6%+25.2%+22.2%
Q4 2017-34.2%-36.6%-35.4%
Q3 2018-29.0%-36.4%-36.0%

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