Home Depot's Q3 Revenue Beats Expectations Despite Sales Slide

Retailer Adjusts 2023 Earnings Forecast Amid Shift to Smaller Projects and Inflation Pressure

Home Depot's Q3 revenue slipped 3% to $37.71 billion, better than the $37.52 billion expected by Wall Street.
Sales at stores open for at least a year, a key measure of a retailer's health, dropped 3.1%. In the U.S., they declined 3.5%.
Home Depot now expects earnings per share to decline between 9% and 11% in 2023 and same-store sales to fall 3% to 4%.
Customers are focusing on smaller, less expensive projects, and there's pressure in certain big-ticket, discretionary categories.
The Federal Reserve's fight against inflation, which has led to 11 increases in its benchmark interest rate in the past year and a half, has raised the cost of credit, affecting purchases of big-ticket items.