Home Depot Canada Exceeds Expectations Amid Challenging Housing Market
Home Depot's Canadian operations have shown significant improvement in the second quarter, bucking the trend of a subdued housing market. The company reported positive comparable sales in Canada and attributed the growth to strong performance from both Pro and DIY customers.
The acceleration in Home Depot's Canadian business marks an improvement from earlier in the year when the company reported negative comparable sales in the first quarter. By Q2, Canada had moved back into positive territory and was among the stronger-performing parts of the company's international business.
Ann-Marie Campbell, Senior Executive Vice President at Home Depot, noted that both Canada and Mexico outperformed the company overall during the second quarter. She highlighted the acceleration in Canada, citing positive comparable transactions and units during the first half of the year.
The transaction performance is notable because Home Depot's company-wide growth was partly driven by customers spending more per purchase. Across the company, comparable average ticket increased 2.8% during the quarter while comparable transactions declined 1%. Transactions valued at more than US$1,000 increased 2.4%.
Home Depot did not disclose a specific comparable-sales figure for Canada but pointed to strong performance in various merchandising departments, including electrical, hardware, plumbing, and paint. The company's Pro customers posted positive comparable sales during the second quarter and outperformed DIY customers.