Home Depot Tops Earnings Estimates
Nov 16, 2021 By MarketDepth
Home Depot (NYSE: HD) reported better-than-expected third-quarter earnings on Tuesday as customers began to spend more on home improvement endeavours. Furthermore the increase in demand has seeped through to the next quarter amid the upcoming holiday season.
According to company executives, same-store sales growth for the first two weeks of the fourth quarter have risen, compared to third quarter numbers. Home Depot sales climbed over 4% during morning trading.
The big name home improvement retailer reported earnings of USD3.92 per share, in comparison to the expected USD3.40 a share. Revenue amounted to USD36.82 Billion, higher than analysts anticipated USD35.01 Billion. Net sales increased 9.8%, meanwhile digital sales rose 8% within the quarter.
“As evidenced by our strong performance in the quarter, our team continues to do an outstanding job of operating with flexibility and agility. Ultimately, this is what has allowed us to respond to the elevated home improvement demand that has persisted. I would like to extend my sincere appreciation to our team, as well as our supplier, supply chain, and transportation partners, as we continue to navigate this dynamic environment together.”Craig Menear, chairman and CEO
The healthy housing market has positively impacted Home Depot and its competitors such as Lowe’s. Demand for materials has been on the rise from home professionals, ultimately balancing out lower demand from DIY projects.