A weak housing market hammered Home Depot’s third quarter, sending revenues down 4% and cutting net income 27%, reports the Wall Street Journal. The Atlanta-based retailer today said net income fell to $1.09 billion compared to $1.49 billion a year ago. “We are facing a tough environment as housing indicators continue to deteriorate,” said CEO Frank Black.
The home-improvement retailer, plagued by poor sales and tough competition, projected an 11% decline in its fiscal-year earnings, worse than the 7-9% decline it originally estimated. It also said it would reconsider completing a stock buy-back plan until conditions improved. Home Depot shares traded at $28.46 Monday and fell to $27.59 in pre-market trading this morning.