Home Depot beats Q2 expectations with strong revenue and earnings

Home Depot reported second-quarter fiscal results that exceeded Wall Street expectations for both revenue and earnings. The company achieved revenue of $47.86 billion, a 5.7% increase compared to the previous year, surpassing analyst estimates of approximately $47.27 billion. Net income rose to $4.77 billion, while adjusted earnings per share reached $4.92, beating the expected $4.73.

Chief Financial Officer Richard McPhail noted that while the company is operating in a ‘frozen housing market’ due to high mortgage rates and economic uncertainty, there has been broad engagement across business categories. Customers are currently focusing on smaller projects rather than large-scale renovations. Comparable sales grew by 1.7%.

The company reaffirmed its full-year guidance, targeting revenue growth between 2.5% and 4.5%. Growth has been supported in part by the acquisition of drywall distributor GMS, which contributed significantly to recent revenue increases.