Home Depot Inc reported its slowest growth in quarterly same-store sales in at least three years on Tuesday and missed Wall Street estimates, as the home improvement chain was hurt by poor weather in February and a steep fall in lumber prices.
Unusually cold and wet weather delayed the onset of spring season and kept many Americans indoors, which according to analysts hurt first-quarter sales of Home Depot’s gardening-related products.
Same-store sales at the home improvement chain rose 2.5 per cent in the quarter ended May 5 and missed expectations of a 4.2 per cent increase, according to IBES data from Refinitiv.
The company’s net income rose to $2.51-billion, or $2.27 per share, from $2.4-billion, or $2.08 per share, a year earlier.
Analysts were expecting earnings of $2.18 per share.
Net sales rose 5.7 per cent to $26.38-billion, beating analyst average estimate of $26.36-billion.