Investing.com — Home Depot reported better-than-expected third-quarter results on Tuesday, sending shares up 1.85% in early trading.
The world’s largest home improvement retailer posted adjusted earnings per share of $3.78, surpassing analyst estimates of $3.64. Revenue for the quarter came in at $40.22 billion, beating the consensus estimate of $39.27 billion and representing a 6.6% increase YoY.
Despite the revenue growth, comparable sales for the third quarter decreased 1.3%, with U.S. comparable sales down 1.2%. The company attributed the sales beat to normalized weather conditions and hurricane-related demand.
“While macroeconomic uncertainty remains, our third quarter performance exceeded our expectations,” said Ted Decker, chair, president and CEO of Home Depot (NYSE:).
Home Depot raised its full-year outlook, now expecting total sales to increase approximately 4%, up from its previous guidance of 2.5% to 3.5%. The company projects adjusted earnings per share of $15.25 for fiscal 2024.
The retailer’s operating margin for the quarter was 13.5%, compared to 14.3% in the same period last year. Adjusted operating margin stood at 13.8%, down from 14.5% in the prior-year quarter.
