Filing Flows › Frontdoor (FTDR) › How it makes money
How Frontdoor (FTDR) makes money
Frontdoor (FTDR) made $655M of revenue in the third quarter 2026 (Q3 2026), +6% from a year earlier. Renewals brought in $479M (73%); Non-Warranty and Other brought in $78.0M (12%); Direct to Consumer Home Service Plan Contracts brought in $54.0M (8%). Of every dollar of revenue, 55¢ was left as gross profit, 24¢ was left as operating profit, 18¢ was left as net earnings.
Drawing the Sankey…
Revenue by segment, Q3 2026
| Segment | Revenue | Share | Q/Q | Y/Y |
|---|---|---|---|---|
| Renewals | $479M | 73.1% | 0% | +4% |
| Non-Warranty and Other | $78.0M | 11.9% | +16% | +32% |
| Direct to Consumer Home Service Plan Contracts | $54.0M | 8.2% | -2% | 0% |
| Real Estate Home Service Plan Contracts | $44.0M | 6.7% | -2% | +2% |
Where each dollar of revenue goes
| Line | Q3 2026 | % of revenue |
|---|---|---|
| Revenue | $655M | 100.0% |
| Cost of revenue | $293M | 44.7% |
| Gross profit | $362M | 55.3% |
| Operating expenses | $208M | 31.8% |
| Operating profit | $154M | 23.5% |
| Income tax | $38.0M | 5.8% |
| Net earnings | $116M | 17.7% |
| Operating cash flow | $73.0M | 11.1% |
| Free cash flow | $65.0M | 9.9% |
Revenue, quarter by quarter
| Quarter | Revenue | Y/Y |
|---|---|---|
| Q3 2026 | $655M | +6% |
| Q2 2026 | $645M | +4% |
| Q1 2026 | $451M | +6% |
| Q4 2025 | $433M | +13% |
| Q3 2025 | $618M | +14% |
| Q2 2025 | $617M | +14% |
| Q1 2025 | $426M | +13% |
From Frontdoor's 10-Q filed Nov 5, 2026 (on EDGAR).
Questions
How does Frontdoor make money?
Frontdoor (FTDR) made $655M of revenue in the third quarter 2026 (Q3 2026), +6% from a year earlier. Renewals brought in $479M (73%); Non-Warranty and Other brought in $78.0M (12%); Direct to Consumer Home Service Plan Contracts brought in $54.0M (8%). Of every dollar of revenue, 55¢ was left as gross profit, 24¢ was left as operating profit, 18¢ was left as net earnings.
What is Frontdoor's biggest business?
Renewals: $479M in the third quarter 2026, 73% of revenue, +4% from a year earlier.
What is Frontdoor's profit margin?
Net earnings were $116M, 17.7% of revenue, in the third quarter 2026; the operating margin was 23.5%.
Updated Nov 8, 2026. Read automatically from SEC filings and public data; errors are possible. Not investment advice.