Home Depot Inc (NYSE:HD, XETRA:HDI) reported first quarter fiscal 2026 results that topped Wall Street expectations for both earnings and revenue, while posting modest comparable sales growth.
The home improvement retailer’s adjusted earnings per share (EPS) came in at $3.43, ahead of analyst estimates of $3.30.
Revenue totaled $41.8 billion, compared with expectations of $38.14 billion.
Comparable sales rose 0.6% overall, including a 0.4% increase in the US.
"Our first quarter results were in line with our expectations. The underlying demand in our business was relatively similar to what we saw throughout fiscal 2025, despite greater consumer uncertainty and housing affordability pressure," Home Depot CEO Ted Decker said in a statement.
"As always, our associates provided excellent customer service during the quarter, and I would like to thank them for their continued hard work and dedication to serving our customers."
The company reaffirmed its fiscal 2026 outlook, projecting total sales growth of 2.5% to 4.5% and comparable sales growth between flat and 2.0%. Home Depot also expects to open approximately 15 new stores during the year.
Additional guidance calls for a gross margin of about 33.1% and an operating margin range of 12.4% to 12.6%. Adjusted operating margin is expected between 12.8% and 13.0%, with an effective tax rate of approximately 24.3%.
Home Depot forecast net interest expense of about $2.3 billion and expects diluted earnings per share growth of flat to 4.0% from $14.23 in fiscal 2025. Adjusted EPS is also projected to grow in the same range from $14.69. Capital expenditures are expected to be about 2.5% of total sales.
Shares of Home Depot were little changed at $301 following the report.