Home Depot profit beats as housing market improves

ATLANTA, Tue Nov 13, 2012 – Home Depot Inc. reported a higher-than-expected quarterly profit on Tuesday and raised its full-year outlook as the world’s largest home improvement chain benefited from a recent uptick in the U.S. housing market.

The nascent recovery in housing has encouraged professional contractors to buy more in recent months. Home Depot has also gained from its own efforts to improve distribution, cut costs and localize marketing and merchandising.

Shares of Home Depot were up 2 percent at $62.40 in trading before the market opened.

“Our third-quarter results were better than we expected and reflected, in part, what we believe is the start of the path toward the healing of the housing market,” said Home Depot CEO Frank Blake.

Net earnings rose to $947 million, or 63 cents per share, in the third quarter ended on Oct. 28 from $934 million, or 60 cents per share, a year earlier.