Home Depot Inc. and Best Buy Co. — two major retailers with stores in the Dayton, Springfield and Hamilton areas — reported widely different quarterly earnings on Tuesday.
Home Depot’s first-quarter net income rose 18 percent, thanks to the ongoing housing recovery, despite a chilly and wet spring.
Its quarterly results topped Wall Street expectations, and the world’s biggest home improvement chain boosted its full-year earnings and revenue forecasts Tuesday.
For the three months that ended May 5, Home Depot earned $1.23 billion, or 83 cents per share. That’s up from $1.04 billion, or 68 cents per share, a year earlier. Analysts predicted earnings of 76 cents per share, according to a FactSet survey.
Revenue for the Atlanta company rose 7 percent to $19.12 billion from $17.81 billion. Wall Street expected $18.62 billion.
Best Buy, based in Minneapolis, reported a loss for its fiscal first quarter as it sold its stake in Best Buy Europe and works on a turnaround plan that includes cutting costs and closing some stores.
Its adjusted earnings beat Wall Street expectations, as cost cuts helped offset tough pricing competition during the quarter.
The company has been working on a turnaround plan as it faces increased competition from online retailers and discount stores. The plan includes closing stores, cutting costs and investing in training for its employees.
The electronics retailer says net loss for the three months ended May 4 after paying preferred dividends totaled $81 million, or 24 cents per share. That compares with net income of $158 million, or 46 cents per share, last year.
Excluding restructuring costs and costs related to selling its stake in Best Buy Europe, it earned 36 cents per share. That beat the 24 cents per share that analysts expected, according to FactSet.
Revenue fell nearly 10 percent to $9.38 billion, excluding European revenue.