Atlanta, GA, Aug. 19--The Home Depot, the world's largest home improvement retailer, today reported record second quarter net earnings of $1.3 billion ($0.56 per diluted share) for fiscal 2003, compared with net earnings of $1.2 billion ($0.50 per diluted share) in the second quarter of fiscal 2002.
Sales for the period increased 10.5 percent to $18.0 billion and comparable store sales increased 2.2 percent.
"The Home Depot's transformation continues to gain traction. We are proud of our associates and the ownership they are taking at the store level as they delivered solid, sequential improvements in our business," said Bob Nardelli, chairman, president & CEO. "Our customers are responding to our store reinvestment strategy, which is delivering better, cleaner, brighter stores and more new and innovative products.
"In the second quarter we had 350 million customer transactions. The majority of our selling departments posted positive comparable sales, and we reported the highest second quarter average ticket in our company's history. Our financial results in the second quarter are proof positive that our transformation is working.
"Our financial strength remains unsurpassed in our industry, as we completed the quarter with $5.3 billion in cash and almost $22 billion in equity. This strength allows us to stay on strategy through continued investment in our stores, our associates, and our commitment to industry-leading customer service," Nardelli said.
The Home Depot reaffirmed its fiscal 2003 guidance for sales growth between 9 and 12 percent and earnings per diluted share growth between 9 and 14 percent.
During the second quarter, The Home Depot opened 39 new stores. At the end of the second quarter of fiscal 2003, the company operated a total of 1,607 stores, including 1,428 Home Depot stores in the United States, 96 Home Depot stores in Canada, and 15 Home Depot stores in Mexico. The company also operates 53 EXPO Design Centers, five HD Supply stores, nine HD Landscape Supply stores, and one Home Depot Floor Store.
