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Apr 28, 2024

Home Depot Q1 2024 Earnings Report

Home Depot's Q1 2024 results saw a decrease in sales and earnings compared to the same period last year, but the company reaffirmed its fiscal year 2024 guidance.

Key Takeaways

Home Depot reported a decrease in sales by 2.3% to $36.4 billion for Q1 2024, with comparable sales declining by 2.8%. Net earnings also decreased to $3.6 billion, or $3.63 per diluted share, compared to $3.9 billion, or $3.82 per diluted share, in Q1 2023. The company reaffirmed its fiscal year 2024 guidance.

Total sales decreased by 2.3% compared to Q1 2023.

Comparable sales decreased by 2.8%.

Net earnings decreased to $3.6 billion, or $3.63 per diluted share.

The company reaffirms its fiscal 2024 guidance.

Total Revenue
$36.4B
Previous year: $36.4B
+0.0%
EPS
$3.63
Comparable Sales Growth
-2.8%
Customer Transactions
386.8M
Previous year: 390.9M
-1.0%
Average Ticket
$90.7
Previous year: $91.9
-1.3%
Gross Profit
$12.4B
Previous year: $11.7B
+5.8%
Cash and Equivalents
$4.26B
Previous year: $4.26B
+0.0%
Total Assets
$79.2B
Previous year: $79.2B
+0.0%

Home Depot

Home Depot

Forward Guidance

The company reaffirms its fiscal 2024 guidance, which includes 53 weeks of operating results. Total sales growth of approximately 1.0% including the 53rd week. Comparable sales to decline approximately 1.0% for the 52-week period.

Positive Outlook

  • Total sales growth of approximately 1.0% including the 53rd week
  • 53rd week projected to add approximately $2.3 billion to total sales
  • Comparable sales to decline approximately 1.0% for the 52-week period
  • Gross margin of approximately 33.9%
  • Operating margin of approximately 14.1%

Challenges Ahead

  • Tax rate of approximately 24.5%
  • Net interest expense of approximately $1.8 billion
  • 53-week diluted earnings-per-share-percent growth of approximately 1.0%
  • 53rd week expected to contribute approximately $0.30 of diluted earnings per share
  • The acquisition has not closed, the following guidance does not reflect any impacts from the SRS acquisition