Home Depot (HD) has reported third-quarter financial results that beat Wall Street expectations on the top and bottom lines despite a 3% year-over-year sales decline.
The home improvement retail chain announced earnings per share (EPS) of $3.81 U.S. versus $3.76 U.S. that was forecast among analysts.
Revenue in the period totaled $37.71 billion U.S., topping estimates of $37.60 billion U.S.
However, despite the earnings beat, Home Depot’s comparable sales fell 3.1% in Q3 from a year ago, a decline that wasn’t as steep as the 3.6% analysts had expected.
The retailer provided cautious forward guidance and trimmed its full-year outlook, saying it now expects that its sales will fall by 3% to 4% and earnings per share will come in 9% to 11% lower than in 2022.
Home Depot has faced challenges such as high mortgage rates and high inflation that have led homeowners to put off big-ticket purchases and major renovation projects.
Over the last year, the retail chain missed its quarterly sales targets twice, causing its stock to slide lower.
Prior to today (Nov. 14), Home Depot’s stock had declined 9% this year to trade at $288.07 U.S. per share.
