Home Depot
The Home Depot is the largest home improvement retailer in the Unites states with 2252 stores across the globe and the fourth largest retailer. Home Depot is a Fortune 500 company currently ranked number 35.The home depot was founded in 1978 by Bernie Marcus, Arthur Blank and Pat Farrah.Today, Home Depot‘s stores stock up to 35000 different kinds of building materials and lawn and garden products. The chief executive officer (CEO) and chairman of Home Depot is Frank Blake .Headquarter of Home Depot is located in Atlanta, Georgia, as of by January 2011, the company employed 321,000 employees .Based on information reported in Home Depot’s Annual balance sheet and Annual Income statement for fiscal year ending 2012, my financial analysis will explain where the company currently stands in comparison to a major competitor, Lowe’s.
I will provide a description of Home Depot’s financial standings over the last three years and give my thoughts for the company’s future growth as well.
Some important financial highlights given for Home Depot Inc. as of Jan 28, 2012
Total Revenue: 70,395,000,000
Net Income: 3,883,000,000
Current Assets: 14,520,000,000
Current Liabilities: 9,376,000,000
Long Term Debt: 10,758,000,000
For the fiscal year ended January 29, 2012, Home Depot reported Net Earnings of $3.9 billion and Diluted Earnings per Share of $2.47 compared to Net Earnings of $3.3 billion and Diluted Earnings per Share of $2.01 for the fiscal year ended January 30, 2011.
Net Sales increased by 3.5% to $70.4 billion for fiscal 2011 from $68.0 billion for fiscal 2010. Home Depot’s comparable store sales increased by 3.4% in fiscal 2011, driven primarily by a 2.6% increase in their comparable store average ticket. Comparable store sales for their U.S. stores were increased by 3.0% in fiscal 2011.
Their inventory turnover ratio was 4.3 times at the end of fiscal 2011 compared to 4.1 times at the end of fiscal 2010.
On the logistics
I will provide a description of Home Depot’s financial standings over the last three years and give my thoughts for the company’s future growth as well.
Some important financial highlights given for Home Depot Inc. as of Jan 28, 2012
Total Revenue: 70,395,000,000
Net Income: 3,883,000,000
Current Assets: 14,520,000,000
Current Liabilities: 9,376,000,000
Long Term Debt: 10,758,000,000
For the fiscal year ended January 29, 2012, Home Depot reported Net Earnings of $3.9 billion and Diluted Earnings per Share of $2.47 compared to Net Earnings of $3.3 billion and Diluted Earnings per Share of $2.01 for the fiscal year ended January 30, 2011.
Net Sales increased by 3.5% to $70.4 billion for fiscal 2011 from $68.0 billion for fiscal 2010. Home Depot’s comparable store sales increased by 3.4% in fiscal 2011, driven primarily by a 2.6% increase in their comparable store average ticket. Comparable store sales for their U.S. stores were increased by 3.0% in fiscal 2011.
Their inventory turnover ratio was 4.3 times at the end of fiscal 2011 compared to 4.1 times at the end of fiscal 2010.
On the logistics