#USA #Atlanta #sales growth #Fiscal 2025 #Home Depot

Home Depot Reports Strong Growth in Q2 Fiscal 2025 Results

The Home Depot®, recognized as the largest home improvement retailer globally, has recently disclosed that its sales for the second quarter of fiscal year 2025 reached an impressive $45.3 billion. This figure marks a significant increase of $2.1 billion, accounting for a 4.9% rise compared to the same quarter in the previous fiscal year. Such growth in sales reflects the adaptability and responsiveness of the company to evolving market demands, amid a competitive retail landscape.

Financial Highlights

For the second quarter of fiscal 2025, net earnings were reported at $4.6 billion, translating to $4.58 per diluted share. This is slightly down from the previous year's $4.60 per diluted share, indicating a marginal decrease in earnings despite higher sales. The adjusted diluted earnings per share stood at $4.68 compared to $4.67 for the year prior, underscoring a stable performance overall.

Ted Decker, the chair, president, and CEO of Home Depot, expressed satisfaction with these results, stating that they align with company expectations. He highlighted that the positive momentum observed in the latter half of the previous year has persisted, as consumers are increasingly engaging in smaller home improvement projects. Decker lauded the company's teams for their high execution and dedication, contributing to continued market share growth.

Outlook for Fiscal 2025

As the company looks ahead, it has reaffirmed its guidance for fiscal 2025—a year comprising 52 weeks compared to the 53 weeks of fiscal 2024. The following projections have been established:

• - Total sales growth is expected to be around 2.8%.
• - Comparable sales growth is projected at approximately 1.0% for the comparable 52-week period.
• - Home Depot plans to open around 13 new stores by the end of the fiscal year.
• - The anticipated gross margin is about 33.4%, with an operating margin of approximately 13.0%.
• - The tax rate is estimated at around 24.5%, and net interest expenses are projected to be about $2.2 billion.

Moreover, diluted earnings per share are expected to see a decline of approximately 3% from $14.91 in fiscal 2024, and adjusted diluted earnings per share may decrease by about 2% from $15.24 during the same period.

Conference Call

On the day following this announcement, Home Depot will host a conference call at 9 a.m. ET to delve deeper into their quarterly results and discuss related subjects. This call will be accessible via a live webcast and will be available for replay on the company's investor relations website.

Company Presence

As of the end of the second quarter, Home Depot's extensive reach includes a total of 2,353 retail stores and over 800 branches throughout all 50 U.S. states, along with the District of Columbia, Puerto Rico, the U.S. Virgin Islands, Guam, ten Canadian provinces, and Mexico. The company boasts a workforce of more than 470,000 associates, showcasing its substantial role in the retail sector.

Furthermore, Home Depot’s stock is actively traded on the New York Stock Exchange (NYSE) under the ticker symbol HD and is part of significant indices such as the Dow Jones Industrial Average and the Standard & Poor's 500. These benchmarks reflect the company's solid position and stability in the market.

This report on quarterly earnings from Home Depot highlights the retailer's resilience amid challenging market conditions and sets a promising foundation for continued business growth in fiscal 2025.