Updated at 11:46 am EST
Home Depot (HD HD) – Home Depot, Inc. Get the report Tuesday posted stronger-than-expected first-quarter earnings, and boosted its full-year profit guidance, as the world’s largest home retailer still holds record sales in the emerging domestic housing market.
Shares of the group were pulled lower, but concerns that rising inflation, which CEO Ted Decker said was double-expected, would affect spending and narrow near-term profit margins following Walmart’s similar caution. (WMT) – Walmart Inc. Get the report.
The Home Depot said earnings for the three months ended April, the company’s first financial quarter, pegged at $ 4.09 per share, up 6% from the same period last year and strongly ahead of the Street Census forecast of $ 3.68 per share. The group’s revenue, Home Depot, rose 3.8% to $ 38.9 billion, but again topped analysts’ estimates of 37 37.5 billion.
Sales of the same store rose 2.2% year-on-year, the Home Depot said, beating the refinancing forecast of 1.4%, while comparative sales in the U.S. rose 1.7%, a figure that also topped the street forecast. The average ticket price per trip increased by 11.4% to .7 91.72, compared to a growth rate of 12.4% in the last three months of last year. Total margins have shrunk by 30 basis points to 33.8%, but have fallen sharply with the road forecast.
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Looking ahead to FY 2022, which ends next January, the Home Depot says it has seen an increase in ‘mid-single digit’ earnings, from a ‘lower single number’ profit forecast, and a comparable sales growth of about 3%.
“Fiscal 2022 is off to a strong start as we deliver the highest first-quarter sales in the company’s history,” Decker said. “The strong quarterly performance is even more impressive because we were comparing it to last year’s historic growth and this year saw a slow start in the spring.”
“These results are a direct reflection of our partners’ continued ability to effectively navigate a challenging and dynamic environment.”
He added. “I would like to thank them and many of our partners for their hard work and dedication to our customers.”
Dow Component Home Depot shares are down 0.4% after revealing earnings for a হাত 294.87 hand-to-hand exchange in late-morning trading, a move that would reduce the stock nursing one-year debt by about 28%.
“Although the guidelines include some of the advantages of the first quarter’s uptrend, which is particularly impressive is a) the directive was issued just two days before Russia’s invasion of Ukraine, 22 February, and energy prices rose and were ahead of sharp increases. Interest and mortgage rates, Credit Suisse analyst Dan Oppenheim said the stock bears an “outperform” rating with a price target of $ 450.
“This is the first earnings release for Ted Decker as CEO that will probably lead to some conservatism to build credibility, especially in the face of the slowdown in existing home sales and less than a certain environment,” he added.
