Home Depot raises sales projections as strong results beat forecast

By Bill Esler

May 18, 2016 | 10:03 am CDT

Photo By Home Depot

ATLANTA - The Home Depot reported sales of $22.8 billion for the first quarter of fiscal 2016, a 9 percent increase from a year ago, with net earnings clocking in at $1.8 billion - up 19 percent, higher than expected. Sales to professionals saw double-digit gains, while millwork and lumber were among categories selling fast.

“We were pleased with our stronger than expected start to the year, driven by solid execution and broad-based growth across the store,” said Craig Menear, chairman, CEO and president. “This was made possible by our hard working associates and their continued dedication to our customers in a quarter marked by week-to-week demand spikes caused by weather variability.”

ARTICLE

How far does a Home Depot worker travel each day?

A Staten Island flooring supervisor clocked in his daily mileage. He walks about double the average American.

As a result of the good news - driven by housing construction and remodeling - The Home Depot raised its projects for 2016 sales, which it expects to rise 6.3 percent.

At the end of the first quarter, the Company operated a total of 2,275 retail stores in all 50 states, the District of Columbia, Puerto Rico, U.S. Virgin Islands, Guam, 10 Canadian provinces and Mexico; it employs more than 385,000, trades on the New York Stock Exchange (NYSE: HD) and is included in the Dow Jones industrial average and Standard & Poor's 500 index.

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About the author

Bill wrote for WoodworkingNetwork.com, FDMC and Closets & Organized Storage magazines.

Bill's background includes more than 10 years in print manufacturing management, followed by more than 30 years in business reporting on industrial manufacturing in the forest products industries, including printing and packaging at American Printer (Features Editor) and Graphic Arts Monthly (Editor in Chief) magazines; and in secondary wood manufacturing for WoodworkingNetwork.com.

Bill was deeply involved with the launches of the Woodworking Network Leadership Forum, and the 40 Under 40 Awards programs. He currently reports on technology and business trends and develops conference programs.

In addition to his work as a journalist, Bill supports efforts to expand and improve educational opportunities in the manufacturing sectors, including 10 years on the Print & Graphics Scholarship Foundation; six years with the U.S. WoodLinks; and currently on the Woodwork Career Alliance Education Committee. He is also supports the Greater West Town Training Partnership Woodworking Program, which has trained more than 950 adults for industrial wood manufacturing careers.

Bill volunteers for Foinse Research Station, a biological field station staddling the border of Ireland and Northern Ireland, one of more than 200 members of the Organization of Biological Field Stations.