The Home Depot, Inc. (NYSE:HD), the home-improvement retailer, reported its Q1 2016 earnings on Tuesday. Earnings per share and revenues in the first quarter beat expectations.
The Home Depot reported earnings of $1.8 billion, or $1.44 per share, beating the estimates of $1.35 per share. Q1 revenue increased to $22.8 billion from $20.89 billion, surpassing the expectation of $22.4 billion.
Sales at stores open at least a year, a key indicator to measure the retailer's performance, increased 6.5%. The number was even higher in the U.S., rising 7.4%.
Home Depot also boosted its financial forecasts for 2016 due to the strong earnings. The company expected the earning to be $6.27 per share, and revenue is predicted to rise about 6.3%. The same-store sales are expected to increased about 4.9%, higher than the previous expectation of 3.7% to 4.5%. The previous forecasts for earnings per share is between $6.12 and $6.18, and the revenue was anticipated to increase about 5.1% to 6.0%.
“We were pleased with our stronger than expected start to the year, driven by solid execution and broad-based growth across the store,” said Chief Executive Craig Menear.
Home Depot shares rose to $137.65 in pre-trading market. However, after initially increase in early trading Tuesday, the stock decreased 1.46% to $133.36 in mid-day trading.