Home Depot reported higher second-quarter sales and earnings as customers continued to take on smaller home-improvement projects, while the retailer reaffirmed its fiscal 2026 outlook. The company reported fiscal second-quarter sales of $47.9 billion, an increase of 5.7% from the same period a year earlier.
Comparable sales increased 1.7% companywide, including a 1.3% increase in the United States. Home Depot reported GAAP net earnings of $4.8 billion, or $4.79 per diluted share, compared with $4.6 billion, or $4.58 per diluted share, in the prior-year quarter.
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Small projects drove demand, company says
Home Depot Executive Vice President and Chief Financial Officer Richard McPhail said the quarter exceeded the company’s expectations and described demand as broad-based. He said customers continued to engage in smaller projects, an important distinction in a home-improvement market that can be influenced by housing turnover, financing conditions and consumer confidence.
On an adjusted basis, Home Depot reported diluted earnings per share of $4.92, compared with $4.68 in the prior-year quarter. The adjusted measure is a non-GAAP figure, so it should be considered separately from the company’s reported GAAP EPS of $4.79.
Guidance remains unchanged
For fiscal 2026, Home Depot reaffirmed its outlook rather than raising or lowering it. The company continues to expect total sales growth of approximately 2.5% to 4.5% and comparable-sales growth ranging from flat to 2.0%. It also continues to expect to open approximately 15 new stores.
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The company’s outlook includes International Emergency Economic Powers Act tariff refunds that it expects to partially offset unplanned fuel, energy and other product-input costs during the fiscal year. Those expectations are forward-looking, and Home Depot cautioned that its results can be affected by conditions in housing, trade policy, inflation, labor, supply chains and consumer demand.
The operating backdrop
At the end of the quarter, Home Depot said it operated 2,364 retail stores and more than 1,340 SRS locations across the United States, Canada and Mexico. The company employs more than 470,000 associates. Its updated results provide a current view of sales and earnings, but they do not establish how the broader housing or renovation market will develop in the second half of the year.
For shoppers and suppliers, the key takeaway is that the retailer is reporting modest comparable-sales growth alongside continued investment in stores and its interconnected retail operations. For investors, the company’s unchanged guidance leaves its original full-year range in place rather than signaling a revised expectation.
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Benzinga’s earnings-call coverage is included for market context. Reported financial figures in this article are from Home Depot’s release.
