The Home Depot reported its second-quarter earnings recently missing analysts’ expectations and lowering its full-year sales outlook due to “lumber price deflation.”The company pointed that weak lumber prices, which are down by 16% since February account for about 8% of Home Depot’s total sales hitting the first-quarter sales by about $200 million and annual sales by an additional $600 million approximately. However, the investors seemed positive on growth as Home Depot shares climbed nearly 5%.
Highlights from the earnings report vs expectation based on Refinitiv data:
• Adjusted earnings per share of $3.17 were reported versus. $3.08 expected.
• Revenue of $30.84 billion was generated vs an expectation of $30.99 billion.
• Same-store sales were up by 3% vs an expected growth of 3.5%.
• Net income for the quarter ending Aug. 4 was reported at $3.48 billion in comparison to $3.51 billion or $3.05 a share a year ago.
The Home Depot, Inc. (HD) is the world’s largest home improvement retailer with retail stores all across North America. The Home Depot sells building materials and home improvement products, as well as lawn and garden supplies, and provides installation, home maintenance, and professional service programs. To learn more about The Home Depot, Inc. (HD) and to continue to track its progress please vista Partners The Home Depot, Inc. Coverage Page.
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