Depot points to highest-ever quarterly sales
A pair of home improvement records were broken in Home Depot's second quarter. The Atlanta-based retail giant set new highs for quarterly sales and net earnings.
In the three months ended July 30, Home Depot reported net sales of $28.1 billion, up 6.2% from $26.5 billion in the same quarter last year. U.S. store comps were positive 6.6%. Net earnings increased to $2.67 billion, up from $2.44 billion in the second quarter 2016. That's a 9.5% increase, over the previous record.
Home Depot CEO Craig Menear said the performance reflected the hard work of associates and the "outstanding values brought frorth by our supplier partners."
Based on the year-to-date numbers, the company raised its financial expectations — expectations now call for a 5.5% annual growth in comp-store sales.
The company added 1 new store in the quarter, pushing its footprint to 2,282 stores.
Magnets: New Rules of Attraction
When it comes to selling magnets, the rules of attraction are changing. Companies are experimenting with colors, shapes and packages as household uses for the ancient technology are multiplying.
One company pushing boundaries is Master Magnetics. The company’s Key Chain Magnet (below), which was introduced at the National Hardware Show earlier this year. The slim, lightweight plastic key chain contains a powerful neodymium magnet, strong enough to hold up to four pounds.
For practical and functional uses, the Castle Rock, Colorado-based company points to storing, hiding and organizing keys. But it can also detect ferrous metal items at the recycling center.
A counter display tub holds 24 pieces, and a single clamshell contains two magnets per package.
Another player in the magnatice field, MagnetPal, is attracting customers with individual packaging plus countertop displays that showcase the power of rare earth magnets. The company’s magnets are housed in colorful holders (they look like a mine kettle bell) and attract loads of up to 14 pounds. A countertop display shows a magnet holding a plumber wrench — an effective POP demo says Craig McManis of the Hawthorne, California-based company.
The company promotes its magnets as the engine for more than 100 household uses. The MagnetPal sells for about $10.