Home Depot shows sales and earnings growth

Sales increased 4.2% at The Home Depot, the company reported Tuesday morning.

The Atlanta-based company posted $20.2 billion in sales for the period. The company's net earnings for the quarter were $1.4 billion, compared with net earnings of $1.2 billion in the same period of fiscal 2010. 

Encouraged by the growth, the world's largest home improvement retailer raised its fiscal 2011 diluted earnings-per-share guidance to an expectation of $2.34 for the year, up 16%.

“Our second-quarter results were driven by a rebound in our seasonal business, storm-related repairs and strength in our core categories,” said Frank Blake, chairman and CEO. “We continue to deliver a strong operating performance, while also investing in customer service and our merchandising initiatives. I would like to thank our associates for their hard work and dedication. It is their efforts that enabled us to deliver these results.”

In the United States, comp-store sales were positive 3.5%, while total comps increased 4.3%.

At the end of the quarter, Home Depot operated a total of 2,245 stores -- mostly in the United States, but also in Canada, Mexico and a few in China.