Home Depot Beats On Q2 Aided By Home Improvement Project Demand; Reaffirms FY22 Guidance

  • Home improvement retailer Home Depot Inc HD reported second-quarter FY22 sales growth of 6.5% year-on-year to $43.79 billion, beating the consensus of $43.40 billion.
  • Customer transactions for the quarter fell 3%. Comparable sales increased 5.8%, and comparable sales in the U.S. rose 5.4%.
  • Gross profit rose 6% Y/Y to $14.4 billion. The operating margin was 16.5%, and operating income for the quarter rose 8.6% to $7.2 billion.
  • The operating expenses increased 3.5% Y/Y to $7.3 billion.
  • EPS of $5.05 beat the analyst consensus of $4.95.
  • The average ticket in Q2 was $90.02, an 9.1% growth, and sales per square foot climbed 5.7% to $700.62.
  • The company held $1.3 billion in cash and equivalents as of July 31, 2022. Net cash provided by operating activities for the six months totaled $7.2 billion.
  • CEO Ted Decker said, "Our performance reflects continued strength in demand for home improvement projects."
  • Outlook: Home Depot reaffirmed FY22 sales growth and comparable sales growth guidance of approximately 3.0%.
  • HD forecasts EPS-percent-growth to be mid-single digits.
  • The company expects an FY22 operating margin of 15.4%.
  • Price Action: HD shares traded lower by 2.53% at $306.65 in premarket on the last check Tuesday.
  • Photo Via Company
Market News and Data brought to you by Benzinga APIs
Comments
Loading...
Date
ticker
name
Actual EPS
EPS Surprise
Actual Rev
Rev Surprise
Posted In: EarningsNewsGuidanceMoversTrading IdeasGeneralBriefs
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!