Home Depot 1Q tops expectations
ATLANTA – Robust consumer spending and the arrival of the spring gardening season pushed Home Depot’s first-quarter profits and revenue beyond most expectations and the company raised its earnings forecast for the year.
Shares rose before the market opened Tuesday and appeared headed for an all-time high.
Economic data released by the United States last week showed Americans are spending a lot of money at places like hardware stores, and that is playing out at the cash registers of Home Depot.
For the three months ended April 30, revenue climbed to $23.89 billion from $22.76 billion. Analysts surveyed by Zacks Investment Research predicted revenue of $23.74 billion.
Sales at stores open at least a year jumped 5.5 percent worldwide, and 6 percent in the United States.
Industry analysts closely monitor those sales as a key gauge of a retailer’s health because it excludes the volatility of stores recently opened or closed.
Home Depot Inc. earned $2.01 billion, or $1.67 per share, beating per-share projections on Wall Street by 6 cents. A year earlier, it earned $1.8 billion, or $1.44 per share.
The Atlanta company now anticipates full-year earnings of $7.15 per share, up 2 cents from prior guidance. Analysts polled by FactSet expect earnings of $7.20 per share.