|To: Dr_of_Microcaps who wrote (1148)||11/15/2005 6:30:19 AM|
|From: Neil H|
|The Home Depot Announces Record Third Quarter 2005 Results|
Tuesday November 15, 6:00 am ET
Lifts fiscal 2005 sales and earnings per share growth guidance
Fiscal 2005 sales growth guidance 10-12 percent, earnings per share growth guidance 17-18 percent
- Record Third Quarter Sales of $20.7 billion
- Record Third Quarter Operating Margin of 11.9 percent
- Record Third Quarter Net Earnings of $1.5 billion
- Record Average Ticket of $58.92
ATLANTA, Nov. 15 /PRNewswire-FirstCall/ -- The Home Depot®, the world's largest home improvement retailer, today reported third quarter fiscal 2005 net earnings of $1.5 billion, $0.72 per diluted share, up 20 percent, compared with $1.3 billion, $0.60 per diluted share, for the third quarter of fiscal 2004.
(Logo: newscom.com )
Sales for the period increased $2.0 billion, or 10.5 percent, to $20.7 billion. Growth in comparable store sales was 3.6 percent.
"The execution of our strategy and the focus on our fundamentals has enabled us to consistently and predictably deliver strong results," said Bob Nardelli, chairman, president & CEO. "We have stayed on strategy, effectively managed our business and produced solid earnings growth through the hard work and dedication of our 325,000 associates."
"We continued to drive productivity throughout our business, and are well on our way to becoming the low cost provider in our industry. During the quarter we continued to use our strong financial condition to invest in the business and return cash to our shareholders," said Carol Tome, executive vice president and CFO. At the end of the third quarter, the company reported total assets of $44.7 billion, total stockholders' equity of $25.8 billion and return on invested capital of 21.8 percent. In the third quarter, the company repurchased $868 million or 21.8 million shares under its share repurchase program. Since the inception of its share repurchase program, the company has repurchased $9.5 billion or 272 million shares under its $11 billion authorization. The company has repurchased about 12 percent of its outstanding shares since 2002.
The company lifted its fiscal 2005 sales growth guidance from 9-12 percent to 10-12 percent and increased its earnings per share growth guidance from 14- 17 percent to 17-18 percent.
Enhancing the Core
By broadening its assortment and adding new, innovative and distinctive merchandise that provides tremendous customer value, The Home Depot achieved a record average ticket of $58.92, representing an increase of 6.1 percent compared to the third quarter of last year.
Merchandising highlights during the third quarter included:
- Introduction of new and exclusive Makita and Milwaukee lithium-ion
power tools, which offer more power, less weight, and longer run times
for pros and serious do-it-yourselfers
- Introduction of Ryobi MultiTASKit Laser level, offering a magnetic
plate, light and laser tool
- Launch of Colores Origenes, a vibrant color palette featuring over 70
colors designed in response to customer trends
- Continued growth in core appliance market share, increasing share by
130 basis points to 9.2 percent on a rolling 12-month basis, according
to an independent third party research company, the highest yearly
market share gain in the industry
"During the quarter our merchants did a great job of adding innovative and distinctive products to our stores. Our strategy of enhancing the core through distinction and innovation is working as evidenced by the highest average ticket in our company's history. We saw average ticket growth across the store with real strength in kitchen and bath," said Tom Taylor, executive vice president, Merchandising and Marketing.
"The active hurricane season during the quarter showcased our merchandising and operational flexibility. We took extraordinary steps to take care of our communities, customers and associates and we were the first retailer to deliver emergency-type merchandise to the affected areas. By the end of the quarter, we directed over 4,000 truckloads of merchandise to the Gulf Coast and Florida regions," added Taylor.
The company continued to invest in its stores through technology initiatives focused on increasing operational efficiency and improving the customer shopping experience. During the third quarter, the company achieved the following accomplishments:
- Completed the rollout of back-end scanned receiving to all US and
- Commenced vendor authorization for certified receiving
- Grew centralized auto replenishment to 11 percent of store sales
- Implemented a special order flooring services pilot in 146 stores
- Continued installation of self-checkout registers, now in 1,205 stores
- Implemented new core financial systems in Mexico
"We are already seeing the benefits from these initiatives as they are driving improvement in our operational efficiency. Further, technology enables us to improve our customers' shopping experience as we redeploy tasking hours to the sales floor, drive better in-stock positions, improve the accuracy for special orders and provide speed in the checkout process," said Carl Liebert, executive vice president, Home Depot Stores.
Extending the Business
During the quarter, the company opened 37 new stores across Canada, Mexico and the United States, bringing the total store count to 1,972 as of the end of the quarter. In the fourth quarter, the company will open its 2,000th store, including its 50th store in Mexico, which opened last week. The Home Depot is the number one home improvement retailer in the United States, Canada and Mexico.
The company's services business grew 21 percent to $1.2 billion during the third quarter. The Home Depot saw strong growth in installation categories such as HVAC, kitchens, countertops, windows and roofing/gutters.
Expanding the Market
During the third quarter, The Home Depot Supply reported strong double- digit sales growth through organic and inorganic expansion. The Home Depot Supply operates on three platforms: Maintenance, Repair and Operations (MRO), Builder and Professional Supply. In August, White Cap, a leading professional distribution business, expanded its presence in California and Hawaii through the acquisition of West Tool, Inc. and Wire Products of Hawaii, Inc., respectively. At the end of the third quarter, White Cap had 94 branches in 23 states, compared to 70 branches in 17 states when it was acquired by the company. Additionally, in August the company closed on its acquisition of National Waterworks, adding to its MRO platform.
National Waterworks is the market leader in water and wastewater transmission products. In October, National Waterworks expanded its presence in Central Florida through the acquisition of Magnum Pipe, LLC.
An updated schedule containing more detailed information about The Home Depot Supply can be found on www.homedepot.com under the Investor Relations section.
Other Notable Items
The Home Depot is committed to giving back to the communities it serves. The company demonstrated that commitment by leading a Corporate Month of Service in 2005. Along with The Home Depot, 28 companies and organizations have committed to increase the number of volunteers across America by 6.4 million or 10 percent by the end of 2006.
In addition to volunteerism, the company, The Home Depot Foundation, The Homer Fund, vendor partners and customers committed over $9.3 million in cash and materials to relief and rebuilding efforts as a result of the devastating hurricanes.
- $7.2 million to various organizations to support rebuilding and relief
efforts including the American Red Cross, Salvation Army, Volunteer
Florida Foundation, United Way and Hands on Network
- $2.1 million to associates through The Homer Fund, an organization that
provides emergency assistance to The Home Depot associates
These third quarter contributions were in addition to the $6.6 million committed earlier to the American Red Cross, through a three-year partnership, to support their hurricane relief and disaster education efforts.
During the quarter, the company received the Award for Excellence for Workplace Volunteer Programs from the Points of Light Foundation.
The Home Depot will conduct a conference call today at 9:00 a.m. EST to discuss information included in this news release and related matters. The conference call will be available in its entirety through a webcast and replay at www.homedepot.com under the Investor Relations section.
During the third quarter of 2005, The Home Depot opened 37 new stores and closed 20 EXPO stores. At the end of the third quarter, the company operated a total of 1,972 stores, which included 1,913 The Home Depot stores with 1,738 stores in the United States, 126 stores in Canada, and 49 stores in Mexico. The company also operates 34 EXPO Design Centers, 11 The Home Depot Landscape Supply stores, two The Home Depot Floor Stores, five The Home Depot Supply stores and seven Contractors' Warehouse stores. The company employs over 325,000 associates.
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|From: Neil H||2/24/2010 2:24:35 AM|
|I stopped in several home depot stores over the last month and noted a huge difference in the customer services. They met everyone at the door and offered their help and were readily available to help in any section of the store. On the negative the places did not seem to be packed. |
Home Depot moves to 4th-quarter profit as economy, housing market begin to stabilize
Anderson and Michelle Chapman, AP Retail Writers, On Tuesday February 23, 2010, 1:13 pm EST
NEW YORK (AP) -- Improving sales of paint, flooring and plumbing show home owners are making a cautious return to basic do-it-yourself and home decor projects, Home Depot Inc. said Tuesday.
Cost-cutting and stronger sales drove its fiscal fourth-quarter profit higher, the largest U.S. home-improvement retailer said Tuesday.
Home Depot also boosted its quarterly dividend for the first time since 2006 and gave a 2010 profit forecast above analyst expectations. Shares briefly touched a 52-week high.
Consumers cut back on home-improvement projects during the recession and housing slump, and Home Depot has responded to weak sales by scaling back store openings and cutting jobs.
CFO Carol Tome said now more customers are coming into the store and spending money on "core DIY," products like paint. They're still holding back on higher-priced items, she said.
Though conditions are beginning to improve, "the economy is not out of the woods yet," said CEO Frank Blake. He expects 2010 to be a "transitional" year, with "relatively flat" growth in the first half of the year and more momentum in the second half.
"Calling the year 'transitional' doesn't sound very exciting, but we have been waiting for this transition for a long time," Blake said.
The company, based in Atlanta, earned $342 million, or 20 cents per share, for the quarter. Adjusted earnings were 24 cents per share, which excludes a $163 million writedown related to its HD Supply investment.
A year ago, Home Depot lost $54 million, or 3 cents per share.
Analysts surveyed by Thomson Reuters predicted a smaller profit of 17 cents per share. Those estimates typically exclude one-time items.
Sales for the three months ended Jan. 31 dipped 0.3 percent to $14.57 billion. That beat Wall Street's $14.07 billion.
Revenue from people spending $50 or less -- which makes up about 20 percent of Home Depot's U.S. sales -- rose 3.2 percent. Revenue from people spending $900 or more -- also 20 percent of U.S. sales -- fell less than 1 percent, significantly better than double-digit declines in previous 2009 quarters.
Kitchen & bath, paint, flooring and plumbing sales were positive, while higher-priced items including lumber, hardware and electrical products were weaker.
Quarterly sales at stores open at least a year rose 1.2 percent, including a 2.3 percent rise internationally and 1.1 percent drop in the U.S. It was the company's first positive showing since 2006.
That figure is a key indicator of retailer performance because it measures growth at existing stores rather than newly opened ones.
Both Home Depot and smaller rival Lowe's boosted profit during the most recent quarter by cost cutting. On Monday Lowe's said its fourth-quarter profit rose 27 percent. Home Depot has scaled back store openings and cut jobs.
The retailer's full-year profit climbed 18 percent to $2.66 billion, or $1.57 per share. Adjusted earnings were $1.66 per share for fiscal 2009. Annual sales fell 7 percent to $66.18 billion from $71.29 billion.
For fiscal 2010, the retailer predicts earnings from continuing operations of $1.79 per share, with sales up about 2.5 percent. Based on 2009's revenue of $66.18 billion, that implies sales of $67.85 billion for the year.
Analysts expect a 2010 profit of $1.73 per share on revenue of $66.43 billion.
Shares rose 33 cents to $30.65, after earlier reaching a 52-week high of $30.84.
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|From: Neil H||8/17/2010 6:40:35 AM|
|Home Depot 2Q profit rises; cuts review outlook|
Home Depot net income rises in 2nd quarter; company trims revenue view
Tuesday August 17, 2010, 6:33 am
ATLANTA (AP) -- Modest sales increases helped boost Home Depot Inc.'s second-quarter net income 7 percent.
The No. 1 home-improvement retailer also trimmed its revenue forecast Tuesday but raised its earnings forecast to account for share repurchases.
Rival Lowe's Cos. cut revenue guidance a day earlier as shoppers remain cautious in the uncertain economy.
Quarterly net income rose to $1.19 billion, or 72 cents per share, from $1.12 billion, or 66 cents per share last year. Analysts polled by Thomson Reuters, on average, expected 71 cents per share.
Revenue rose 2 percent to $19.41 billion from $19.07 billion last year. Analysts predicted $19.59 billion.
Revenue at stores open at least one year rose 1.7 percent worldwide and 1 percent in the U.S., the third consecutive quarter of gains for the key measure.
Revenue at stores open at least a year is a key indicator of a retailer's performance because it excludes growth at stores that open or close during the year.
Home Depot trimmed its revenue outlook to a 2.6 percent increase, from a 3.5 percent rise. That implies revenue of $67.9 billion. Analysts expect revenue of $68.21 billion.
It now expects net income of $1.90, up from prior guidance of $1.88 per share. Analysts expect $1.89 per share.
Home Depot operates 2,244 retail stores in the U.S., Canada, Mexico and China.
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|From: Neil H||12/8/2010 7:23:43 AM|
|The Home Depot Outlines Strategic Progress and Future Initiatives; Updates Fiscal Year 2010 Guidance and Provides Fiscal Year 2011 Outlook|
HD Price at time of this $33.55
Wednesday December 8, 2010, 7:00 am
ATLANTA, Dec. 8, 2010 /PRNewswire-FirstCall/ -- The Home Depot®, the world's largest home improvement retailer, will today outline progress on its key strategic priorities and discuss its long-term financial targets at its 2010 Investor and Analyst Conference. In addition, the Company lifted its fiscal year 2010 sales and earnings per share from continuing operations guidance and provided fiscal year 2011 financial targets.
The Company will discuss its four areas of strategic focus and its progress and plans for each: (1) customer service, (2) product authority, (3) productivity and efficiency driven by disciplined capital allocation, and (4) interconnected retail.
The Company's focus on customer service is anchored on the principles of taking care of associates, putting customers first and simplifying the business.
The Company's focus on product authority is facilitated by its merchandising transformation and portfolio strategy, including innovation, assortment and value.
The Company's approach to driving productivity and efficiency starts with disciplined capital allocation focused on building best-in-class competitive advantages in information technology and supply chain, as well as building shareholder value through higher returns on invested capital and total value returned to shareholders in the form of dividends and share repurchases.
The Company's focus on interconnected retail is based on the view that providing a seamless shopping experience across multiple channels will be a critical enabler for future success.
"The Home Depot has a strong foundation of customer service, product authority and value creation. As we look to 2011 and beyond, we will continue to build on that foundation and deliver superior returns," said Frank Blake, chairman & CEO.
Updated Fiscal Year 2010 Sales and Earnings Per Share from Continuing Operations Guidance
Based on its year-to-date performance and expectations for the remainder of the fiscal year, the Company updated its fiscal year 2010 guidance and now expects sales to be up approximately 2.3 percent for the year. The Company expects diluted earnings per share from continuing operations as reported to increase by approximately 27 percent to $1.97 for the year. This earnings per share guidance includes the benefit of the Company's year-to-date repurchases through the third quarter of fiscal 2010, but excludes the impact of future share repurchases.
Fiscal Year 2011 Financial Outlook (based on GAAP)
The Company set forth the following financial targets for fiscal year 2011:
Sales growth: approximately 2.0 to 2.5 percent
Comparable store sales growth: low single digit
New store openings: 10
Gross margin expansion: moderate
Expense leverage: modest
Operating margin expansion: approximately 30 to 40 bps
Tax rate: approximately 36.9 percent
Earnings per share from continuing operations growth, before share repurchases: approximately 7 to 9 percent
Earnings per share from continuing operations growth, after share repurchases: approximately 11 to 13 percent
Capital expenditures: approximately $1.3 billion
Depreciation and amortization expense: approximately $1.7 billion
Cash flow from the business: approximately $5.4 billion
Share repurchases: intend to use excess cash to repurchase shares; targeting $2.5 billion
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|From: Neil H||2/22/2011 6:42:24 AM|
|Home Depot 4th-quarter net surges; raises outlook|
Home Depot 4th-quarter net income rises 72 percent on improving sales, raises 2011 guidance
ShareretweetEmailPrintOn Tuesday February 22, 2011, 6:24 am
ATLANTA (AP) -- Home Depot says its fourth-quarter net income rose 72 percent more people started on home-improvement projects. The retailer is also reporting its first yearly revenue increase since 2006 and raising its 2011 net income guidance.
Fourth-quarter net income rose to $587 million, or 36 cents per share. Analysts expected 31 cents per share, according to FactSet.
Revenue rose 4 percent to $15.13 billion. Analysts expected $14.81 billion.
Revenue in stores open at least a year rose 3.9 percent.
For the year, net income rose 25 percent and revenue increased 2.8 percent to $68 billion.
For 2011, the company expects net income to rise 9.5 percent to $2.20 per share. That's up from a prior forecast of a 7 percent to 9 percent increase.
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|From: Neil H||5/17/2011 7:26:36 AM|
|Home Depot's 1Q net income rises, boosts outlook|
Home Depot's 1st-quarter profit up, revenue falls on slow start to spring selling season
Home Depot Inc.'s fiscal first-quarter net income rose 12 percent even as a slow start to the spring selling season pushed revenue lower. (AP Photo/Gene J. Puskar)
ATLANTA (AP) -- Home Depot Inc.'s first-quarter net income rose 12 percent even as a slow start to the spring selling season pushed revenue lower.
The country's biggest home improvement retailer also increased its full-year earnings forecast on Tuesday.
Home Depot earned $812 million, or 50 cents per share, for the period ended May 1, up from $725 million, or 43 cents per share, a year ago.
This beat the 49 cents per share analysts surveyed by FactSet expected.
The retailer's performance was helped in part by a decline in total operating expenses, which dropped to $4.41 billion from $4.49 billion.
Revenue slipped 0.2 percent to $16.82 billion, missing Wall Street's $17.06 billion estimate.
The Atlanta chain said revenue at stores open at least a year fell 0.6 percent, with U.S. stores down 0.7 percent. This figure is a key indicator of a retailer's health because it excludes results from stores opened or closed during the year.
Average ticket climbed 1.5 percent to $53.35, but the number of customer transactions dropped 1.9 percent.
Chairman and CEO Frank Blake said in a statement that sales were down due to the sluggish start to the spring selling season, which is the biggest season for the home improvement sector.
On Monday rival Lowe's Cos. said bad weather during its first quarter kept customers away from their gardens and outdoor projects. The No. 2 home improvement retailer reported its first-quarter profit and revenue fell, hindered by bad weather.
Both Home Depot and Lowe's depend on the spring selling season to give them a boost, as shoppers typically head out in droves to buy seasonal items such as flowers, patio furniture and barbecue grills. But so far this year the season has been hampered by cold and rainy weather across the northern half of the country and tornadoes in the Southeast.
Home Depot now expects fiscal 2011 earnings per share of $2.24, up from $2.20. The company maintained its guidance for a revenue increase of about 2.5 percent from 2010's $68 billion, implying revenue of approximately $69.7 billion.
Wall Street predicts earnings of $2.30 per share on revenue of $69.72 billion.
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