Frontdoor, Inc.

htm EX-99.1 EX-99.1 Exhibit 99.1 Frontdoor Announces Second-Quarter 2025 Financial Results Revenue Increased 14% to $617 Million; Gross Profit Margin Increased 130 Basis Points to 58%; Net Income Increased 21% to $111 Million; Adjusted EBITDA (1) Increased 26% to $199 Million; Repurchased $150 Million of Shares YTD Through July 2025; Increasing Full Year Revenue, Gross Profit Margin and Adjusted EBITDA Guidance MEMPHIS, TENN.

SEC original ↗Frontdoor, Inc. — Earnings release (8-K exhibit)EX-99Aug 5, 2025

“With strong first half results combined with increasing confidence in the second half, we are raising our full-year outlook and returning record amounts of cash to shareholders through share repurchases.

SEC original ↗Frontdoor, Inc. — Earnings release (8-K exhibit)EX-99Aug 5, 2025

Net cash provided from investing activities was $42 million for the six months ended June 30, 2025 and was primarily comprised of the sales and maturities of available-for-sale securities, partially offset by capital expenditures related to technology projects.

SEC original ↗Frontdoor, Inc. — Earnings release (8-K exhibit)EX-99Aug 5, 2025

Net cash used for financing activities was $153 million for the six months ended June 30, 2025 and was primarily comprised of $134 million of share repurchases (excluding taxes and fees) and $14 million of scheduled debt payments.

SEC original ↗Frontdoor, Inc. — Earnings release (8-K exhibit)EX-99Aug 5, 2025

Capital Allocation Update • Increasing target for 2025 share repurchases to approximately $250 million.

SEC original ↗Frontdoor, Inc. — Earnings release (8-K exhibit)EX-99Aug 5, 2025

• Capital expenditures lowered to approximately $35 million.

SEC original ↗Frontdoor, Inc. — Earnings release (8-K exhibit)EX-99Aug 5, 2025

In short, we are delivering on our strategic objectives and continue to position the business for future success.

SEC original ↗Frontdoor, Inc. — Earnings release (8-K exhibit)EX-99Aug 5, 2025

• Renewal revenue increased 9% due to the impact of the 2-10 acquisition and higher price realization, partially offset by lower volume; • Real estate revenue increased 21% due to the impact of the 2-10 acquisition; • Direct-to-consumer revenue increased 12% due to the impact of the 2-10 acquisition and higher volume, partially offset by lower price from our discounting strategy to drive new home warranty member growth; and • Other revenue increased 63% due to the growth of the New HVAC and Moen Programs and the addition of New Home Structural Warranty revenue.

SEC original ↗Frontdoor, Inc. — Earnings release (8-K exhibit)EX-99Aug 5, 2025

Forward-Looking Statements This news release 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, including, in particular, projected future performance and any statements about Frontdoor’s plans, strategies and prospects.

SEC original ↗Frontdoor, Inc. — Earnings release (8-K exhibit)EX-99Aug 5, 2025

We believe Adjusted EBITDA is useful for investors, analysts and other interested parties as it facilitates company-to-company operating performance comparisons by excluding potential differences caused by variations in capital structures, taxation, the age and book depreciation of facilities and equipment, restructuring and acquisition initiatives and equity-based, long-term incentive plans.

SEC original ↗Frontdoor, Inc. — Earnings release (8-K exhibit)EX-99Aug 5, 2025

In designating derivative financial instruments as hedging instruments under accounting standards for derivative instruments, we formally document the relationship between the hedging instrument and the hedged item, as well as the risk management objective and strategy for the use of the hedging instrument.

SEC original ↗Frontdoor, Inc. — 10-Q Quarterly report10-QAug 6, 2026

These forward-looking statements are subject to known and unknown risks and uncertainties, many of which may be beyond our control.

SEC original ↗Frontdoor, Inc. — Earnings release (8-K exhibit)EX-99Aug 5, 2025

For a discussion of other important factors that could cause Frontdoor’s results to differ materially from those expressed in, or implied by, the forward-looking statements included in this document, refer to the risks and uncertainties detailed from time to time in Frontdoor’s periodic reports filed with the SEC, including the disclosure contained in Item 1A.

SEC original ↗Frontdoor, Inc. — Earnings release (8-K exhibit)EX-99Aug 5, 2025

Legal Proceedings 33 Item 1A.

SEC original ↗Frontdoor, Inc. — 10-Q Quarterly report10-QAug 6, 2026

We determined that disaggregating revenue into these categories depicts how the nature, amount, timing and uncertainty of revenue and cash flows are affected by economic factors.

SEC original ↗Frontdoor, Inc. — 10-Q Quarterly report10-QAug 6, 2026

We have certain liabilities with respect to existing or potential claims, lawsuits and other proceedings.

SEC original ↗Frontdoor, Inc. — 10-Q Quarterly report10-QAug 6, 2026

The matters discussed in these forward-looking statements are subject to risks, uncertainties and other factors that could cause actual results to differ materially from those projected, anticipated or implied in the forward-looking statements.

SEC original ↗Frontdoor, Inc. — 10-Q Quarterly report10-QAug 6, 2026