ATLANTA–The Home Depot finished its second quarter with a healthy 14.3 percent gain in net income, which totaled $1.4 billion.
A watchful eye on expenses helped boost the home-improvement retailer’s bottom line. Selling, general and administrative expenses rose by just 1.4 percent in dollars, and dropped 57 basis points as a percentage of sales to 20.7 percent. Gross margin rose eight basis points to 34 percent.
Net sales increased 4.2 percent to $20.2 billion. According to Frank Blake, Home Depot’s chairman and CEO, sales were driven by the company’s seasonal business, storm-related repairs and strength in its core categories. Same-store sales rose 4.3 percent.
Based on the second quarter, Home Depot said it now expects sales for all of the fiscal year to rise 2.5 percent.