The perennial home improvement chain has announced changes for the current year.
This article is based on corporate postings and accredited media reports. All linked information within this article is fully-attributed to the following outlets: Wikipedia.org, CNBC.com, and ir.HomeDepot.com.
Wikipedia.org features a substantive page on Home Depot, an excerpt from which is offered here for perspective: The Home Depot, Inc., commonly known as Home Depot, is the largest home improvement retailer in the United States, supplying tools, construction products, appliances, and services… It operates many big-box format stores across the United States (including the District of Columbia, Guam, Puerto Rico and the U.S. Virgin Islands); all 10 provinces of Canada; and all 32 Mexican states and Mexico City. MRO company Interline Brands (now The Home Depot Pro) is also owned by The Home Depot, with 70 distribution centers across the United States.
I have addressed issues regarding the health of the Home Depot chain previously on NewsBreak. In my February, 2022 article, entitled “Are Costco, Home Depot, and Target Permanently Closing Their Doors in Your Neighborhood?” I addressed online rumors as to the company’s financial health.
As excerpted from the article: An August 2021 report from CNBC.com, entitled “Home Depot Shares Tumble Despite Earnings Beat, Retailer Rang Up Fewer Customers as DIY Trends Weaken,” describes how earnings were higher than expected in the second quarter, though the company stock did not follow suit.
A link to the CNBC article can be found here, which additionally disclosed: The home improvement chain reported a 5.8% drop in customer transactions from a year earlier, but the average ticket was 11.3% larger… “Home improvement was a big Covid winner, and Home Depot performed masterfully through the crisis,” Oppenheimer Senior Analyst Brian Nagel told CNBC. “But I’ve got to believe that as the economy opens up, as people start to move around again, there’s going to be less of a focus on spending on the home. And that’s what we’re seeing in these numbers now.”
Nearly 10 months have passed since the CNBC report. How is the company performing today, in 2022?
Let us explore further.
The Home Depot Status, 2022
To answer the above question regarding current company performance, I went straight to the source. On Home Depot’s webpage is featured a May 17, 2022 press release titled “The Home Depot Announces First Quarter Results; Raises Fiscal 2022 Guidance.”
From the release, which shares both highly-optimistic news and projections: The Home Depot, the world's largest home improvement retailer, today reported sales of $38.9 billion for the first quarter of fiscal 2022, an increase of $1.4 billion, or 3.8 percent from the first quarter of fiscal 2021. Comparable sales for the first quarter of fiscal 2022 increased 2.2 percent, and comparable sales in the U.S. increased 1.7 percent.
The press release goes on to state projections of upward momentum for the rest of the year, and also the following current company-wide statistics: At the end of the first quarter, the Company operated a total of 2,316 retail stores in all 50 states, the District of Columbia, Puerto Rico, the U.S. Virgin Islands, Guam, 10 Canadian provinces and Mexico. The Company employs approximately 500,000 associates. The Home Depot's stock is traded on the New York Stock Exchange (NYSE: HD) and is included in the Dow Jones industrial average and Standard & Poor's 500 index.
It appears the company is in solid financial shape.
Home Depot has proven to be a perennial company that, unlike others, performed well during the height of the pandemic but dropped off once the country became less-restrictive.
They appear to have bounced back, however, and currently their numbers are stronger than ever. Home Depot, founded in 1979, is primed to continue with substantial financials.
For a list of Home Depot press releases announcing upcoming store and company-wide changes, including news of new funding to encourage innovation, and workshops for professionals, see this page on their website for a regularly-updated list of announcements.
Thank you for reading.