Frontdoor Inc (FTDR)
Operating profit margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 241,000 | 122,000 | 235,000 | 205,000 | 261,000 |
| Revenue | US$ in thousands | 1,780,000 | 1,662,000 | 1,602,000 | 1,474,000 | 1,365,000 |
| Operating profit margin | 13.54% | 7.34% | 14.67% | 13.91% | 19.12% |
December 31, 2023 calculation
Operating profit margin = Operating income ÷ Revenue
= $241,000K ÷ $1,780,000K
= 13.54%
Frontdoor Inc.'s operating profit margin has shown fluctuations over the past five years. In 2019, the operating profit margin was relatively high at 19.19%, indicating that the company was able to generate significant operating profits relative to its revenue. However, in 2020, there was a slight drop to 14.59%, suggesting some challenges or increased costs impacting the company's ability to maintain higher profitability.
Subsequently, in 2021, there was a notable increase in operating profit margin to 14.86%, indicating improved efficiency or cost management within the company. However, in 2022, the operating profit margin decreased to 9.33%, which could point towards operational difficulties or increased expenses affecting profitability.
The most recent data for 2023 shows an operating profit margin of 15.00%, which is an improvement from the previous year. This could suggest that Frontdoor Inc. has taken steps to enhance profitability or streamline its operations.
In conclusion, while Frontdoor Inc.'s operating profit margin has fluctuated over the years, the recent improvement in 2023 may indicate a positive trend towards better operational efficiency and profitability for the company. It is essential to further analyze the factors influencing these fluctuations to assess the company's financial health accurately.
Peer comparison
Dec 31, 2023