Home Depot posts $41.8 billion Q1 sales

Home Depot reported first-quarter fiscal 2026 sales of $41.8 billion on May 19, up 4.8% from a year earlier, and said it was maintaining its full-year outlook. Adjusted diluted earnings per share were $3.43, above analyst expectations cited by CNBC, while diluted earnings per share were $3.30. Comparable sales rose 0.6%, and U.S. comparable sales increased 0.4%, according to the company’s earnings release. ### How much of the quarter came from actual sales growth? The $41.8 billion figure represented an increase of about $1.9 billion from the first quarter of fiscal 2025, Home Depot said in its release. The company said the gain came as it posted positive comparable sales overall, a closely watched retail measure that strips out some effects from store openings and calendar shifts. (ir.homedepot.com) U.S. comparable sales rose 0.4% in the quarter, according to the same release. CNBC reported that Wall Street had been looking for revenue of about $41.05 billion and adjusted earnings per share of $3.39, making the reported figures a beat on both measures. ### Why are there two earnings-per-share numbers? Home Depot reported diluted earnings per share of $3.30 and adjusted diluted earnings per share of $3.43. (ir.homedepot.com) CNBC said the adjusted figure excluded one-time items, including costs tied to the value of certain intangible assets. The company’s release showed net earnings of $3.4 billion for the quarter. The gap between reported and adjusted profit figures is standard in earnings reporting, with companies presenting both GAAP and adjusted results so investors can compare headline profit with management’s preferred operating view. (cnbc.com) That explanation is an inference based on the company’s presentation of both measures and CNBC’s description of the excluded items. ### What did Home Depot say about the business underneath the headline numbers? Merchandise inventories stood at $27.3 billion at the end of the quarter, according to Home Depot’s earnings materials. The company also said it opened two new stores during the quarter, bringing its total to 2,361. CNBC reported that Home Depot continues to expect fiscal 2026 sales growth of 2.5% to 4.5%. (cnbc.com) The company also said it expects adjusted earnings per share to grow by as much as 4% for the full year. ### What does the guidance tell investors now? May 19 was also the date Home Depot reaffirmed its fiscal 2026 guidance rather than changing it after the quarter. In the release, the company kept its sales growth range at 2.5% to 4.5%, projected comparable sales growth of about 1%, and said it still expected about 13 new stores this year. (ir.homedepot.com) Those guidance figures matter because they show management left its full-year assumptions in place after the first quarter. (cnbc.com) The company’s quarterly earnings page and investor relations site carry the release and related materials for the next steps investors typically watch, including the conference call replay and future quarterly filings. (ir.homedepot.com 1) (ir.homedepot.com 2)