Companies /Consumer Cyclical

Home Depot Inc

NYSE: HD Home Improvement Retail
$282.31
▼ $2.18 (−0.77%) today
Markets open · 1:57pm ET

Q2 2025 Earnings

Reported Aug 19, 2025, 6:06am ET · SEC source
$4.68
Miss −0.31%
EPS · est. $4.69 Adjusted

Adjusted EPS excludes $139 million ($0.14 per share pre-tax) of acquired intangible asset amortization related to the SRS Distribution acquisition, net of $0.04 per share tax benefit.

$45.3B
Miss −0.07%
Revenue · est. $45.3B
−1.7%
Trailing market
HD vs S&P since report
3 quarters
Consecutive EPS beats

Market Reaction

% change · around the report
0+3%+6%Aug 19Aug 20report 6:06am ETearnings−1.0%+4.7%
0+3%+6%Aug 19Aug 20earnings−1.0%+4.7%
HD +4.7%S&P 500 −1.0%
−3%0+3%+6%Aug 19Aug 20report 6:06am ETearnings−2.3%+4.7%
−3%0+3%+6%Aug 19Aug 20earnings−2.3%+4.7%
HD +4.7%NASDAQ −2.3%
0+2%+4%Aug 18Aug 26report 6:06am ETearnings+0.5%+3.8%
0+2%+4%Aug 18Aug 26earnings+0.5%+3.8%
HD +3.8%S&P 500 +0.5%
−3%0+3%Aug 18Aug 26report 6:06am ETearnings−0.5%+3.8%
−3%0+3%Aug 18Aug 26earnings−0.5%+3.8%
HD +3.8%NASDAQ −0.5%
+3.17%
Day of report
−1.34%
Next session
+0.08%
One week
+2.08%
30 days

S&P 500 over the same 30 days: +3.73%.

Did HD Beat Earnings? Q2 2025 Results

Home Depot posted a largely in-line second quarter for fiscal 2025, with results that narrowly missed expectations on both the top and bottom lines but still told a story of gradual recovery in consumer demand. Adjusted diluted EPS of $4.68 came in just 0.31% below the consensus estimate of $4.69, while net sales of $45.28 billion, up 4.9% year over year, fell 0.07% short of the $45.31 billion analysts had penciled in. The more meaningful headline was the return to positive comparable sales, with total comps rising 1.0% and U.S. comps up 1.4%, a sharp reversal from the -3.3% comp recorded a year ago, driven largely by a pickup in smaller home improvement projects. Some analysts noted that tariff-related pricing dynamics may have contributed to the firmer average ticket, which rose 1.4% to $90.01. Margin compression from SRS Distribution integration costs and elevated amortization weighed on operating results, though the company reaffirmed its full-year outlook, calling for adjusted diluted EPS to decline approximately 2% from $15.24 in fiscal 2024 and comparable sales growth of approximately 1.0%.

Key Takeaways
  • Comparable sales turned positive at 1.0%, with U.S. comps at 1.4%, improving from -3.3% in the prior-year quarter
  • Continued customer engagement in smaller home improvement projects
  • Comparable average ticket increased 1.4% to $90.01
  • Market share gains continued
  • Foreign exchange rates negatively impacted total company comparable sales by approximately 40 basis points

“Our second quarter results were in line with our expectations. The momentum that began in the back half of last year continued throughout the first half as customers engaged more broadly in smaller home improvement projects.”

Home Depot CEO, on the earnings call

Forward Guidance & Outlook

The Home Depot reaffirmed its fiscal 2025 guidance (52-week year vs. fiscal 2024's 53-week year): total sales growth of approximately 2.8%; comparable sales growth of approximately 1.0%; approximately 13 new stores; gross margin of approximately 33.4%; operating margin of approximately 13.0% (adjusted ~13.4%); tax rate of approximately 24.5%; net interest expense of approximately $2.2 billion; diluted EPS to decline approximately 3% from $14.91 in fiscal 2024; adjusted diluted EPS to decline approximately 2% from $15.24 in fiscal 2024; and capital expenditures of approximately 2.5% of total sales.

HD YoY Financials

Q2 2025 vs Q2 2024 · SEC filings Q2 2024 Q2 2025
$0$20.0B$40.0B$43.2B$45.3BRevenue$14.4B$15.1BGross Profit$6.5B$6.6BOperating Income$4.6B$4.6BNet Income
$0$20.0B$40.0BRevenueGross ProfitOperating IncomeNet Income

Figures from SEC filings and company reports. Not investment advice.