The Home Depot reports third-quarter fiscal 2024 results; Update of the guidelines for the 2024 financial year

ATLANTA, November 12, 2024 — The Home Depot^®The world’s largest home improvement retailer today reported third quarter fiscal 2024 sales of $40.2 billion, up 6.6% from the third quarter of fiscal 2023. Comparable sales for the third quarter of fiscal 2024 fell 1.3%, and US comparable sales fell 1.2%.

Operating income for the third quarter of fiscal 2024 was $5.4 billion and operating margin of 13.5%, compared to operating income of $5.4 billion and operating margin of 14.3% for the third quarter of fiscal 2023.

Amended⁽¹⁾ operating income for the third quarter of fiscal 2024 was $5.6 billion and was restated⁽¹⁾ operating margin was 13.8%, compared to adjusted operating income of $5.5 billion and adjusted operating margin of 14.5% for the third quarter of fiscal 2023.

Net income for the third quarter of fiscal 2024 was $3.6 billion, or $3.67 per diluted share, compared to net income of $3.8 billion, or $3.81 per diluted share, in the same period of fiscal 2023.

Amended⁽¹⁾ diluted earnings per share for the third quarter of fiscal 2024 were $3.78, compared to adjusted diluted earnings per share of $3.85 in the same period of fiscal 2023.

“While macroeconomic uncertainty remains, our third quarter performance exceeded our expectations,” said Ted Decker, chairman, president and CEO. “As the weather normalized, we saw better engagement with seasonal products and certain outdoor projects, as well as an increase in sales related to hurricane demand. I would like to thank all our employees for their dedication to serving our customers and communities.”

Budget guidelines for 2024

The company updated its fiscal 2024 guidance, which includes 53-week operating results:

• Total sales will increase by approximately 4%, including SRS and the 53^rd week
  • 53^rd This week is expected to add about $2.3 billion to total sales
  • SRS expected to contribute approximately $6.4 billion in additional sales
• Comparable sales are down approximately 2.5% over the 52-week period compared to fiscal 2023
• About 12 new stores
• Gross margin of approximately 33.5%
• Operating margin of approximately 13.5%
• Amended⁽¹⁾ operating margin of approximately 13.8%
• Tax rate of approximately 24%
• Net interest expense of approximately $2.1 billion
• 53-week diluted earnings per share will decline approximately 2% from $15.11 in fiscal 2023
  • 53^rd expected to contribute approximately $0.30 to diluted earnings per share compared to fiscal 2023
• 53 weeks adjusted⁽¹⁾ diluted earnings per share will decline approximately 1% from $15.25 in fiscal 2023
  • 53^rd expected to contribute approximately $0.30 to adjusted diluted earnings per share compared to fiscal 2023

The Home Depot will hold a conference call today at 9:00 a.m. ET to discuss the information in this press release and related matters. The conference call will be available in its entirety via webcast and replay on ir.homedepot.com/events-and-presentations.

At the end of the third quarter, the company operated a total of 2,345 stores and more than 780 locations in all 50 states, the District of Columbia, Puerto Rico, the U.S. Virgin Islands, Guam, 10 Canadian provinces and Mexico. The company employs more than 465,000 employees. Home Depot’s stock trades on the New York Stock Exchange (NYSE: HD) and is included in the Dow Jones Industrial Average and the Standard & Poor’s 500 index.

Cautionary Statement Regarding Forward-Looking Statements
Certain statements in this document constitute “forward-looking statements” as defined in the Private Securities Litigation Reform Act of 1995. Forward-looking statements may relate to, among other things, demand for our products and services, including as a result of macroeconomic conditions. ; net sales growth; comparable turnover; the effects of competition; our brand and reputation; implementation of interconnected retail, store, supply chain and technology initiatives; stock and inventory positions; the state of the economy; the state of the housing and home improvement markets; the condition of the credit markets, including mortgages, home loans and consumer loans; the impact of tariffs; issues regarding the payment methods we accept; demand for credit offers; managing relationships with our employees, potential employees, suppliers and service providers; costs and availability of labor; costs of fuel and other energy sources; events that could disrupt our business, supply chain, technology infrastructure or demand for our products and services, such as international trade disputes, natural disasters, climate change, public health issues, cybersecurity events, labor disputes, geopolitical conflicts, military conflicts or acts of war; our ability to maintain a safe shopping environment; our ability to meet expectations regarding environmental, social and governance issues and meet related objectives; continuation or suspension of share buybacks; net profit performance; earnings per share; future dividends; capital allocation and expenditures; liquidity; return on invested capital; cost leverage; changes in interest rates; changes in foreign currency exchange rates; commodity or other price inflation and deflation; our ability to issue debt on terms and at rates acceptable to us; the impact and expected outcome of investigations, investigations, claims and litigation, including compliance with related settlements; the challenges of operating in international markets; the adequacy of insurance coverage; the effect of accounting costs; the effect of the adoption of certain accounting standards; the impact of changes in laws and regulations, including changes in tax laws and regulations; store openings and closings; guidelines for fiscal year 2024 and beyond; financial perspectives; and the impact of acquired companies, including SRS, on our organization and ability to recognize the expected benefits of any acquisitions.

Forward-looking statements are based on currently available information and our current assumptions, expectations and projections about future events. You should not rely on our forward-looking statements. These statements are not guarantees of future performance and are subject to future events, risks and uncertainties – many of which are beyond our control, depend on the actions of third parties or are currently unknown to us – as well as potentially inaccurate assumptions that could lead to the actual results will differ materially from our historical experience and our expectations and projections. These risks and uncertainties include, but are not limited to, the risks and uncertainties described in Part I, Item 1A. “Risk Factors,” and elsewhere in our Annual Report on Form 10-K for our fiscal year ended January 28, 2024, and also as described from time to time in reports subsequently filed with the Securities and Exchange Commission. There may also be other factors that we cannot anticipate or that are not described herein, generally because we do not currently consider them to be material. Such factors could cause results to differ materially from our expectations. Forward-looking statements speak only as of the date on which they are made, and we undertake no obligation to update these statements except as required by law. However, you are advised to review any further disclosures we make on related topics in our filings with the Securities and Exchange Commission and in our other public statements.

Non-GAAP Financial Measures
These statements are also supplemented by certain non-GAAP financial measures. When used in conjunction with our GAAP financial measures, we believe that these additional non-GAAP financial measures will help management and investors better understand and analyze our performance. However, this additional information should not be considered in isolation or as a substitute for the related GAAP measures. Please see the end of this press release for an explanation and definitions of these non-GAAP financial measures and reconciliations to the most directly comparable GAAP measures.