Home Depot Exceeds Expectations in Q2 Fiscal 2026 Earnings Report

The Home Depot reported its Q2 fiscal 2026 earnings, exceeding Wall Street expectations across both revenue and adjusted EPS. The company's revenue hit $47.86 billion, a 5.7% increase from last year's $45.27 billion, while adjusted diluted EPS reached $4.92, up 5.1% from the prior-year quarter.

The strong results were driven by broad-based demand across the business, with customers engaging in smaller projects and spending more per visit. The company saw a comparable sales increase of 1.7%, outperforming management's cautious outlook, and a 0.8% decline in customer transactions was offset by an average ticket growth of 2.8%. Gross profit rose 6.5% to $16.11 billion, but operating expenses increased more quickly, pushing the operating margin down to 14.3%.

The company reaffirmed its full-year guidance, expecting total sales growth of approximately 2.5%-4.5%, comparable-sales growth of about 0%-2.0%, and roughly 15 new stores. Management attributed the strong results to investments across the business and associates' focus on customer service.