Frontdoor, Inc. · NASDAQ:FTDR
Frontdoor — Q1 2020 Earnings Presentation
14 slides from Frontdoor's earnings presentation, May 6, 2020
Slide 1: First-Quarter 2020 Earnings Webcast
First-Quarter 2020 Earnings Webcast MAY 6, 2020
Slide 2: Today's Speakers
Today’s Speakers Rex Tibbens Brian Turcotte Matt Davis President & Senior Vice President & Vice President Chief Executive Officer Chief Financial Officer Investor Relations & Treasurer 2
Slide 3: Forward Looking Statements
Forward Looking Statements 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, including, in particular, projected future performance and any statements
Slide 4: First-Quarter 2020 Summary
First-Quarter 2020 Summary • Strong Operational and Financial Execution • Early and Decisive COVID-19 Response • Hired Chief Marketing Officer • Deployed Streem to our Contractor and Real Estate Partners 4
Slide 5: Response to COVID-19 Crisis
Response to COVID-19 Crisis • Deemed “Essential” Service • Maintaining Normal Operations • Actions Taken • Employees • Contractors • Customers • Responding in Real Time 5
Slide 6: Current Business Focus
Current Business Focus Mitigating Continuing Revenue Process Impact Improvements Navigating Through Uncertainty of COVID-19 Leveraging Accelerating Our Strategic Strengths Initiatives 6
Slide 7: Q1 2020 Financial Summary
Q1 2020 Financial Summary $ millions Revenue Net Income Adjusted EBITDA(1) +8% +1% +9% $47 $294 $43 $271 $13 $13 Q1 2019 Q1 2020 Q1 2019 Q1 2020 Q1 2019 Q1 2020 (1) See the Appendix accompanying this presentation for a reconciliation of Adjusted EBITDA, a non-GAAP measure, to the nearest GAAP measur
Slide 8: Q1 2020 Adjusted EBITDA Bridge
Q1 2020 Adjusted EBITDA(1) Bridge $ millions Three Months Ended March 31, 2019 $43 Impact of change in revenue(2) 18 Contract claims costs -- Sales and marketing costs (7) Customer service costs (4) General and administrative costs (5) Three Months Ended March 31, 2020 $47 Note: Revenue and expense
Slide 9: Q1 2020 Cash Flow
Q1 2020 Cash Flow $ millions Three Months Ended March 31, $ millions Net cash provided from 2020 2019 (used for): Free Cash Available Operating Activities $60 $52 Flow(1) Liquidity Investing Activities (3) (5) $52 $565 Financing Activities (3) (2) Cash increase during $54 $45 the period (1} See the
Slide 10: Q&A
Q&A For more information please visit our website: frontdoorhome.com 10
Slide 11: Appendix
=p Frontdoor. APPENDIX
Slide 12: Q1 2020 Consolidated Results
Q1 2020 $ millions, except per share amounts Three Months Ended March 31, Consolidated 2020 2019 Better / (Worse) Revenue $ 294 $ 271 $ 23 Results YoY Growth 8% Gross Profit 147 128 19 Note: See elsewhere in this Appendix for a reconciliation of Adjusted % of revenue 49.9% 47.2% 2.7 pts EBITDA, a no
Slide 13: Net Income to Adjusted EBITDA Reconciliations
Net Income to Adjusted EBITDA Reconciliations $ millions Three Months Ended March 31, 2020 2019 Net Income $ 13 $ 13 Depreciation and amortization expense 8 6 Restructuring charges 3 — Spin-off charges — 1 Provision for income taxes 4 5 Non-cash stock-based compensation expense 3 2 Interest expense
Slide 14: Net Cash Provided from Operating Activities to Free Cash Flow Reconciliations
Net Cash Provided from Operating Activities to Free Cash Flow Reconciliations $ millions Three Months Ended March 31, 2020 2019 Net Cash Provided from Operating Activities $ 60 $ 52 Property Additions (8) (4) Free Cash Flow $ 52 $ 47 Amounts presented in the above tables may not sum due to rounding.