Home Depot Sales Boosted by Smaller Projects Amid Housing Slump

Home Depot's sales saw an uptick in its second quarter as customers focused on smaller projects during the summer months, despite the US housing sector being in a slump. Revenue rose to $47.86 billion from $45.28 billion, surpassing Wall Street's forecast of $47.24 billion.

The global comparable store sales increased 1.7%, while in the US they rose 1.3%. Chief Financial Officer Richard McPhail attributed this growth to customers engaging in smaller projects across various aspects of the business.

Neil Saunders, managing director of GlobalData, noted that the number of smaller projects undertaken during the quarter increased by 1.5% over the prior year, representing a step change from previous periods.

However, Saunders also highlighted that the number of bigger-ticket projects undertaken remains down, falling by 2.1% over last year due to concerns around financing and a lack of moving activity.