Strong Q2 Performance: The Home Depot reported sales of $45.3 billion for Q2 2025, representing a 4.9% increase compared to the same period last year. U.S. comparable sales grew by 1.4%, reflecting strong customer engagement in smaller home improvement projects and the best performance across departments in over two years.

Adjusted Earnings: Adjusted diluted earnings per share for Q2 were $4.68, slightly up from $4.67 in Q2 2024. The company¡¯s operating margin decreased to 14.5% from 15.1% in the previous year, reflecting increased operating expenses as a percentage of sales.

Outlook for FY 2025: Home Depot reaffirms its guidance for the fiscal year, expecting total sales growth of approximately 2.8% and comparable sales growth of around 1%. Gross margins are anticipated to remain flat at approximately 33.4%. The company expects a further decline in diluted EPS of about 3% compared to fiscal 2024.