Home Depot (NYSE: HD) reported an unexpected increase in fourth-quarter same-store sales, signaling resilience in U.S. demand despite limited storm activity and ongoing housing market pressures.
Comparable sales rose 0.4% for the quarter, compared with consensus forecasts calling for a 0.36% decline. In the U.S., same-store sales edged up 0.3%, versus expectations of a 0.54% decrease.
Adjusted earnings per share for the three months ended February 1 were $2.72, ahead of analyst estimates of $2.55.
Chief Executive Officer Ted Decker described the results as largely in line with internal expectations, noting that limited inclement weather during the third quarter reduced demand for storm-related repair and recovery materials, which typically benefit Home Depot and competitors such as Lowe’s.
Management also highlighted ongoing consumer uncertainty and continued pressure in the housing market. Elevated home prices and subdued hiring trends have contributed to uneven housing demand, even as interest and mortgage rates have moderated.
Chief Financial Officer Richard McPhail previously indicated that consumer caution related to cost-of-living pressures is expected to persist, and noted the absence of a clear catalyst or inflection point in housing activity.
Home Depot reiterated its fiscal 2026 outlook, projecting flat to 2% comparable sales growth and adjusted earnings per share ranging from flat to up 4%.
