From CNBC: 2025-05-20 05:30:00

Home Depot is set to report quarterly earnings and revenue amid challenges like high interest rates, a sluggish housing market, and tariff-related costs. Analysts expect earnings per share of $3.59 and revenue of $39.32 billion for the fiscal first quarter. Despite the seasonal sales boost, the housing market remains tough with higher mortgage rates and borrowing costs.

To counter the challenging housing backdrop, Home Depot acquired SRS Distribution, a Texas-based company that caters to roofing, pool, and landscaping professionals, in an $18.25 billion deal. The retailer expects total sales to grow by 2.8% in fiscal 2025, with comparable sales rising about 1%. Adjusted earnings per share are projected to decline by 2% compared to the prior year.

Although Home Depot saw a slight improvement in trends, with comparable sales rising 0.8% in the last quarter, the company faces new challenges from higher tariffs on imports. While Walmart warned consumers of impending price increases due to tariffs, Home Depot has not disclosed plans for tariff-related price hikes. As of Monday, Home Depot’s shares are down about 2% year-to-date.



Read more at CNBC:: Home Depot (HD) Q1 2025 earnings