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The Markets
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The Markets
by Proactive
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Retail

Home Depot cruises past forecasts as homeowners turn to DIY and gardening

Craig Menear, chief executive, said growth had been broad–based and in all geographies.

DIY superstore Home Depot Inc (NYSE:HD) beat forecasts for both earnings and revenues in its latest quarter as spending on the home and garden bucked weak retail trends elsewhere.

Craig Menear, chief executive, said growth had been broad–based and in all geographies.

Net income in the three months to April rose to US$2bn (US$1.8bn) or US$1.67 per share, a 16% improvement on a diluted basis.

Sales were up 4.9% at US$23.9bn, with like-for-like sales 5.5% ahead and a 6% rise in the US.

For the full year, Home Depot now expects like-for-like sales to rise by 4.6% while diluted earnings will rise by 11% compared at US $7.15 per share to 2017, a small nudge up from its previous estimate.

Shares rose US$1.85 to US$160.21 or a new high for the year.

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