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global eyes
Return to “normality”
for US Q3 home improvement?
THE THREE MAJOR US DIY retailers all showed relatively modest third quarter growth last month but this must be viewed in the light of the massive growth seen at the same time last year...
“Elevated” demand persists for Home Depot – The Home Depot’s Q3 FY2021 numbers beat expectations for the fourth straight quarter with Q3 sales +9.8%
and US comps +5.5% but negative gross margin.
“As evidenced by our strong performance in the quarter, our team continues to do an outstanding job of operating with flexibility and agility,” said Craig Menear, Chairman and CEO.
“Ultimately, this is what has allowed
us to respond to the elevated home improvement demand that has persisted. I would like to extend my sincere appreciation to our team, as well as our supplier, supply chain, and transportation
partners, as we continue to navigate this dynamic environment together.”
www.homedepot.com
Lowe’s Q3 also beats analysts’ forecasts – Lowe’s raised its forecast for FY2021 with Q3 sales +2.7%, US comparables +2.6%, and its gross margin slightly up.
“Our momentum continued this quarter, with US sales comps up nearly 34% on a two-year basis, as our Total Home strategy is resonating with the Pro and DIY customer alike.
“In the quarter, we drove over 16% growth in Pro and 25% on Lowes.com.
We also delivered operating margin expansion by driving productivity through disciplined operational execution and cost management,”saidMarvinREllison, Lowe’s Chairman, President and CEO.
In terms of an outlook for FY2021, Lowe’s is now looking at 33% comparable
sales growth on a two-year basis.
www.lowes.com
Modest growth in Ace Q3 top and bottom lines – Ace Hardware’s US comps for Q3 FY2021 were just +0.3% along with a slight increase in gross margin.
Nevertheless, revenues set more record levels and were up again after last year’s almost 31% gain and it was a similar story with regard to net income.
“In light of last year’s extraordinary growth, and despite significant headwinds from global supply chain disruption, I’m pleased to see increases in both the top and bottom line for the quarter,” said John Venhuizen, President & CEO.
“We added to 2020’s unprecedented surge in business, and our two-year stacked growth for the third quarter is up 32% in revenue and 64% in net income from 2019.”
www.acehardware.com
24 NZHJ | DECEMBER 2021/JANUARY 2022
MORE AT www.hardwarejournal.co.nz