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May 03, 2020

Home Depot Q1 2020 Earnings Report

Home Depot's first quarter 2020 results saw a sales increase, driven by strong comparable sales, despite actions taken to limit customer traffic in stores due to the COVID-19 pandemic.

Key Takeaways

Home Depot reported a 7.1% increase in sales for the first quarter of fiscal 2020, with comparable sales up 6.4%. The company incurred approximately $850 million of pre-tax expense due to actions taken to support associates during the COVID-19 pandemic, resulting in a decrease in net earnings compared to the same period last year. The company also suspended its fiscal 2020 guidance due to uncertainty related to the duration of COVID-19.

Sales increased by 7.1% compared to the first quarter of fiscal 2019.

Comparable sales were up 6.4%, and comparable sales in the U.S. were up 7.5%.

Net earnings decreased to $2.2 billion, or $2.08 per diluted share.

Approximately $850 million of pre-tax expense was incurred to support associates during the COVID-19 pandemic.

Total Revenue
$28.3B
Previous year: $26.4B
+7.1%
EPS
$2.08
Previous year: $2.27
-8.4%
Comparable Sales Growth
6.4%
Customer Transactions
374.8M
Average Ticket
$74.7
Gross Profit
$9.63B
Previous year: $9.02B
+6.7%
Cash and Equivalents
$8.7B

Home Depot

Home Depot

Home Depot Revenue by Geographic Location

Forward Guidance

Due to the uncertainty related to the duration of COVID-19 and its impact on the broader economy, the Company is suspending its previously communicated fiscal 2020 guidance.