Home Depot: raises dividend, launches new buybacks

(CercleFinance.com) - US home improvement retailer Home Depot posted a 32 percent rise in fourth-quarter quarter profit on Tuesday, but forecast lower comparable sales growth for the new financial year.


Net earnings for the three months ended 3 February rose to 2.3 billion dollars, or 2.09 dollars per share, compared with net earnings of 1.8 billion dollars, or 1.52 dollar per share, the group said.

Fourth-quarter sales rose to 26.5 billion dollars, up 10.9 percent, while sales at stores open at least a year - an important retail measure - rose by 3.2 percent.

The company said it will raise its quarterly dividend by 32%, to 1.36 dollar.

Home Depot also approved a new 15 billion dollar share repurchase program, replacing its previous authorization.

However, the retailer provided a rather disappointing guidance for fiscal year 2019, expecting comparable sales growth of approximately 5 percent this year, compared to 5.2% in the past financial year.

The shares were down 2.4% in pre-market trading on Tuesday.

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