Frontdoor Inc (FTDR)
Current ratio
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 488,000 | 484,000 | 463,000 | 412,000 | 363,000 | 429,000 | 391,000 | 381,000 | 330,000 | 343,000 | 310,000 | 282,000 | 295,000 | 385,000 | 356,000 | 573,000 | 626,000 | 624,000 | 577,000 | 510,000 |
| Total current liabilities | US$ in thousands | 369,000 | 341,000 | 365,000 | 360,000 | 331,000 | 364,000 | 365,000 | 396,000 | 364,000 | 391,000 | 404,000 | 402,000 | 378,000 | 394,000 | 424,000 | 439,000 | 403,000 | 412,000 | 416,000 | 398,000 |
| Current ratio | 1.32 | 1.42 | 1.27 | 1.14 | 1.10 | 1.18 | 1.07 | 0.96 | 0.91 | 0.88 | 0.77 | 0.70 | 0.78 | 0.98 | 0.84 | 1.31 | 1.55 | 1.51 | 1.39 | 1.28 |
December 31, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $488,000K ÷ $369,000K
= 1.32
Frontdoor Inc's current ratio has fluctuated over the past few years but has generally remained above 1, indicating that the company has had sufficient current assets to cover its current liabilities. The current ratio increased steadily from March 2020 to December 2021, reaching a peak of 1.55. However, there was a significant decline in the current ratio in the June 2021 quarter, dropping to 0.84, which may have raised concerns about the company's ability to meet its short-term obligations.
Subsequently, the current ratio continued to fluctuate, showing some improvement in the recent quarters but remaining below the ideal threshold of 2 for most of the period. The current ratio stood at 1.32 as of December 31, 2024, suggesting a modest improvement in the company's short-term liquidity position compared to the previous quarter.
It is important for investors and stakeholders to monitor Frontdoor Inc's current ratio closely, as significant fluctuations in this ratio can indicate changes in the company's liquidity and ability to manage its short-term financial obligations effectively.
Peer comparison
Dec 31, 2024