Home Depot Raises Guidance on Strong Q1

The home improvement retailer’s same-store US sales were up 7.4% from a year ago.

ATLANTA—One retail category’s loss may be another one’s gain. A week after Macy’s Inc., Gap Inc. and Kohl’s all reported year-over-year revenue declines, Home Depot said that its same-store sales across North America were up 6.5% from the year-ago period, and up 7.4% at US stores. The upbeat first-quarter earnings report Tuesday from the home improvement retailer coincided with US Census Bureau news that April housing starts were up, reversing the declines reported for the previous month.

‘After last week’s dismal set of retail trading updates, Home Depot provides some much needed relief and also an indication of where consumers are spending their money,” Reuters quoted Håkon Helgesen, an analyst with consulting firm Conlumino. Helgesen noted that with both new and existing-home sales on the rise, “this helpful tailwind is boosting demand for home improvement.”