Home Depot Reports Q2 2025 Sales Growth of 4.9%, Expects 2.8% Growth for Fiscal Year

Home Depot reported Q2 2025 sales of $45.3bn, a 4.9% increase YoY. Net earnings remained stable at $4.6bn, while adjusted diluted earnings per share increased marginally to $4.68. The company expects 2.8% total sales growth and 1% comparable sales growth for fiscal 2025. Home Depot plans to open 13 new stores and invest in capital expenditures.

Home Depot Inc. (HD) reported its second quarter (Q2) 2025 financial results, showing a robust performance with sales of $45.3 billion, a 4.9% increase year-over-year (YoY) [1]. The company's net earnings remained stable at $4.6 billion, while adjusted diluted earnings per share (EPS) increased marginally to $4.68 [1]. Comparable sales for Q2 2025 increased 1.0%, with U.S. comparable sales growing 1.4% [1].

The company's chair, president, and CEO, Ted Decker, noted that the momentum from the back half of 2024 continued into the first half of 2025 as customers engaged more broadly in smaller home improvement projects. Decker expressed gratitude to the company's associates for their hard work and dedication, highlighting the execution of high-level strategies that have led to market share growth [1].

Key highlights from the Q2 2025 results include:

- Sales Growth: Total sales increased by $2.1 billion, or 4.9%, compared to the same period last year [1].
- Comparable Sales: Comparable sales grew 1.0%, with U.S. comparable sales up 1.4% [1].
- Net Earnings: Net earnings remained stable at $4.6 billion [1].
- Adjusted EPS: Adjusted diluted EPS increased to $4.68 from $4.67 in the same period last year [1].
- Online Sales: Online sales increased by 12% year-over-year, driven by faster delivery options [1].
- Store Expansion: The company plans to open 13 new stores in fiscal 2025 [1].

Decker emphasized the company's focus on the professional ecosystem, maturing new capabilities for professionals working on complex projects. He noted that the acquisition of GMS Inc., a leading North American specialty building products distributor, will add 1,200 locations and a sales operation of over 3,500 associates, along with a fleet of nearly 8,000 trucks [1]. The acquisition aims to provide flexibility in the supply chain and offer a deeper and broader assortment of interior building products and services.

The company reaffirmed its guidance for fiscal 2025, expecting total sales growth of approximately 2.8% and comparable sales growth of approximately 1.0% for the comparable 52-week period. Gross margin is expected to be approximately 33.4%, with operating margin of approximately 13.0% and adjusted operating margin of approximately 13.4% [1].

At the end of the second quarter, Home Depot operated a total of 2,353 retail stores and over 800 branches across all 50 states, the District of Columbia, Puerto Rico, the U.S. Virgin Islands, Guam, 10 Canadian provinces, and Mexico. The company employs over 470,000 associates [1].

References:
[1] https://hardwareretailing.com/home-depot-reports-q2-2025-financials/
[2] https://corporate.homedepot.com/news/earnings/home-depot-announces-second-quarter-2025-earnings