Home Depot Sees Slow Growth Amid Customer Hesitation on Big Projects

Home Depot released its fiscal second-quarter earnings report on Tuesday, showing that U.S. same-store sales rose 1.3 percent year-over-year amid a 'frozen housing market.'

CFO Richard McPhail attributed the stagnant growth to customer hesitation on big-ticket projects due to inflation, fuel costs, and general uncertainty.

McPhail stated that customers have the means to spend but are simply hesitant, with transactions over $1,000 growing 2.4 percent year-over-year, albeit at a slower pace than smaller purchases.

The company's executive vice president of merchandising, Billy Bastek, noted that larger discretionary projects remain under pressure and outperformed DIY during the quarter.