ATLANTA–Third-quarter net income for The Home Depot rose 21 percent to $834 million.
The home-improvement retailer managed this largely through its wary eye on expenses. Net sales for the quarter, which ended on Oct. 31, rose by only 1.4 percent to $16.6 billion, with same-store sales rising by the same 1.4 percent. But Home Depot was able to cut its total operating expenses by 1.4 percent, while increasing its gross margin by 27 basis points to 34.3 percent.
“We are exercising good control over our expenses, but we’re also investing in the business to drive improvements across customer service, merchandising and our supply chain,” said Frank Blake, chairman and chief executive officer. Blake added that the third quarter marked the fourth consecutive quarter of improved same-store sales for Home Depot.
Based on the quarter’s numbers, Home Depot said it now expects its net sales to rise 2.2 percent for the whole fiscal year.