Home Depot Announces Record Fiscal Year Results

By Gregory V. Harris

ATLANTA - The Home Depot today reported record net earnings of $5 billion for fiscal 2004, compared to net earnings of $4.3 billion in fiscal 2003. Sales for fiscal 2004 increased 12.8 percent over fiscal 2003 to $73.1 billion and comparable store sales grew by 5.4 percent.

During Tuesday's conference call to investors, the company also reported net earnings of $1.041 billion, up 11.9 percent for the fourth quarter of fiscal 2004, compared with net earnings of $951 million in the fourth quarter of fiscal 2003. Sales for the fourth quarter of fiscal 2004 totaled $16.8 billion, an 11.2 percent increase from the fourth quarter of fiscal 2003. Comparable store sales for the fourth quarter of fiscal 2004 increased 4.6 percent.

?EUR??,,????'??In 2004, operational excellence drove our record results, enabling us to deliver the best comparable store sales performance since 1999,?EUR??,,????'?? Bob Nardelli, Home Depot chairman, president & CEO, said.

Over the past year, the company made several moves to expand its market and global presence. The company opened a total of 15 new stores in Canada, bringing the total to 117, and increased its footprint significantly in Mexico to 44 stores through both organic growth and the acquisition of 20 Home Mart stores. In 2004, the company announced its intention to enter the retail market in China and plans are underway.

?EUR??,,????'??As we move into 2005 with significant momentum, we have unwavering commitment to our strategy of enhancing the core, extending the business and expanding our markets,?EUR??,,????'?? Nardelli said. ?EUR??,,????'??We will focus on customer satisfaction and continued improvement in the execution of our strategy to deliver sustainable, profitable growth and shareholder returns well into the future.?EUR??,,????'??