Folks put on protecting face masks outdoors Residence Depot within the Flatiron district as the town continues Section four of re-opening following
Folks put on protecting face masks outdoors Residence Depot within the Flatiron district as the town continues Section four of re-opening following restrictions imposed to sluggish the unfold of coronavirus on August 8, 2020 in New York Metropolis.
Noam Galai | Getty Photos
Residence Depot’s fourth-quarter earnings surged previous buyers’ expectations on Tuesday, as customers continued to put money into their properties because of the pandemic and energy of the actual property market.
Shares are down greater than 1% in premarket buying and selling, after the corporate didn’t present an outlook for the yr.
Residence Depot Chief Monetary Officer Richard McPhail mentioned the retailer just isn’t certain how lengthy the pandemic will final and the way which will affect shopper spending. He mentioned if demand from the second half of final yr continues, it will result in barely optimistic same-store gross sales progress and an working margin of no less than 14% this yr.
Here is what the corporate reported for the quarter ended Jan. 31 in contrast with what Wall Road was anticipating, based mostly on a survey of analysts by Refinitiv:
- Earnings per share: $2.65 vs. $2.62 anticipated
- Income: $32.26 billion vs. $30.73 billion anticipated
Residence Depot’s internet revenue rose to $2.86 billion, or $2.65 per share, up from $2.48 billion, or $2.28 per share, a yr earlier. Analysts surveyed by Refinitiv anticipated earnings per share of $2.62.
Internet gross sales rose 25% to $32.26 billion from $25.78 billion a yr in the past, and outpacing estimates of $30.73 billion.
Its U.S. same-store gross sales jumped by 25%. Its general same-store gross sales grew by 24.5%, larger than the 19.2% progress that analysts anticipated, in accordance with a StreetAccount survey. The expansion is in step with what Residence Depot reported through the second and third quarter, when it benefited from holding doorways open as an important retailer.
Residence Depot additionally introduced Tuesday that its board authorized a 10% enhance in its quarterly dividend to $1.65 per share.
This story is growing and shall be up to date.
Learn the entire press launch right here.