Home Improvement Retail

Home Depot reported fiscal second-quarter sales rose 5.7% year over year to $47.9 billion, with comparable sales up 1.7% and 13 of 16 merchandising departments posting positive comps. Big-ticket transactions above $1,000 increased 2.4%, online comparable sales rose 11% for a fifth consecutive quarter of double-digit growth, and the Pro business outpaced DIY, though management said larger discretionary projects remain under pressure and housing turnover has stayed depressed for roughly four years with no clear inflection point. The company reaffirmed its fiscal 2026 guidance of flat to 2% comparable-sales growth. Among peers, Lowe's posted a 0.2% comparable-sales rise in the second quarter of fiscal 2026, its fifth straight positive quarter, while Floor & Decor's second-quarter 2026 sales rose 3% with Pro sales up about 4% and roughly 55% of total sales, even as comparable sales declined 2.1%. Home Depot shares have lost 27.3% in the past year versus the industry's 31.2% decline, and the stock trades at a forward price-to-earnings ratio of 18.01X against the industry's 16.67X average. The Zacks Consensus Estimate implies Home Depot fiscal 2026 and 2027 EPS growth of 2.3% and 6.8%, respectively, with the fiscal 2026 estimate up 0.1% in the past seven days and the fiscal 2027 estimate unchanged in the past 30 days.

Siam Global House Public Company Limited, or GLOBAL, reported net profit for the second quarter of 2026 of 947 million baht, up 82.5% year on year, setting a new record high, even as sales were flat at 8.17 billion baht and same-store sales growth, or SSSG, remained negative at 3.98% amid weak purchasing power. The profit surge came from a record gross profit margin, or GPM, of 31.59%, up from 25.42% in the second quarter of 2025, supported by a rising share of Private Brand products, which reached 27.5% of sales and carry a GPM of roughly 40 to 45%. EBITDA rose 50.4% year on year to 1.55 billion baht. Its financial position strengthened, with Net Debt to EBITDA falling to 1.18 times and D/E at 0.48 times, along with free cash flow of approximately 3.75 billion baht. For its 2026 business plan, GLOBAL plans to open five new stores in Thailand, namely Phon Phisai, Wang Thong, Trakan Phuet Phon, Ban Phue and Chiang Kham, bringing its domestic store count to 101, and to renovate another eight stores. Its overseas network totals 41 stores through partners in Laos, Myanmar, Indonesia and Cambodia, with plans to open one to two more stores in northern Laos, expand by two more stores in Indonesia this year, and open new stores in Myanmar. ASL Securities sees the easing of the flood situation as an opportunity to spur demand for repairs and home restoration, with GLOBAL deriving about 30 to 35% of sales from construction materials, which should help SSSG recover in late 2026 and continue into 2027. The stock currently trades at a P/E of 13.7 times, below peers DOHOME at 16.7 times and HMPRO at 13.9 times, with an average target price from the IAA Consensus of 8.63 baht per share.

GLOBAL reported its second-quarter 2026 results, with sales of 8.17 billion baht, roughly flat versus a year earlier. Although same-store sales growth remained negative at 3.98% amid weak purchasing power, net profit hit a record high of 947 million baht, up 82.5% year on year, while EBITDA rose 50.4% to 1.55 billion baht. The main driver was gross profit margin, which reached a record 31.59%, up from 25.42% in the second quarter of 2025, helped by a higher share of Private Brand products, which rose to 27.5% of sales and carry gross margins of roughly 40 to 45%, as well as effective product mix management and cost control. Although the benefit from lower-cost old inventory will gradually fade in the third quarter of 2026, the company expects gross margin in the second half of 2026 to remain at no less than 27 to 28% and above the prior-year level. Full-year sales may be close to last year, with same-store sales growth still slightly negative but showing signs of recovery, giving second-half profit a chance to grow year on year. This comes alongside a stronger financial position, with Net Debt to EBITDA down to 1.18 times, a debt-to-equity ratio of 0.48 times, and free cash flow of 3.75 billion baht to support store expansion and future growth. Under its 2026 plan, the company will open five new stores in Thailand, in Phon Phisai, Wang Thong, Trakan Phuet Phon, Ban Phue, and Chiang Kham, bringing the domestic total to 101 stores as planned, and will renovate another eight stores to adjust product assortment and the customer experience. Overseas, it has a network of 41 stores through partners in Laos, Myanmar, Indonesia, and Cambodia, and plans to keep expanding, with one to two more stores in northern Laos, two more in Indonesia this year, and further new store openings planned in Myanmar. In Thailand, it still has land to support about 18 more locations. On valuation, the current price trades at a price-to-earnings ratio of 13.7 times, below peers DOHOME at 16.7 times and HMPRO at 13.9 times. The average target price from the IAA Consensus is 8.63 baht. On sentiment, the easing of the flood situation could bring back demand for home repair and restoration. GLOBAL derives revenue directly from construction materials, which account for roughly 30 to 35% of sales, including tiles, sanitary ware, paint, tools, and home improvement products, so it stands to benefit from replacement and repair demand after water levels recede, especially at its upcountry branches, which could help same-store sales growth recover late in the year and continue into 2027.

Lowe's Companies has begun drone delivery from its Matthews, North Carolina store, offering selected home improvement and household items in as little as 20 minutes through partners Wing and DoorDash. The pilot launch comes as Lowe's shares have been under pressure, with a 30-day share price return down 8.83%, a year-to-date share price return down 26.13%, and a 1-year total shareholder return down 24.75%. The company is also accelerating its shift toward professional contractors while strengthening its Total Home strategy for DIY and Do It For Me customers, supported by major acquisitions including Foundation Building Materials and Artisan Design Group plus digital investments. The most followed narrative values Lowe's at $255.00 against a last close of $182.38, a 28.5% undervalued estimate based on discounted future cash flows. That story could break if Pro demand softens for longer than expected or if the FBM and ADG integrations drag on profitability.

Krungsri Securities Public Company Limited said its research team expects HMPRO's normalized profit in the third quarter of 2026 to come in at 1.39 billion baht, up 6% from the same period a year earlier but down 13% from the previous quarter. The result is supported by an improved gross margin, driven by a higher share of Private Brand products and adjustments to selling prices, even as same-store sales continue to contract amid weak purchasing power and higher rainfall. Sales and service revenue in the third quarter of 2026 is expected at 16.4 billion baht, up 2% from the same period a year earlier but down 6% from the previous quarter, with growth coming from branch network expansion, most of it a conversion to the Hybrid Store format combining HomePro and MegaHome outlets. Six Hybrid Stores were added and four new branches opened, bringing the total to 134 branches at the end of the third quarter of 2026. Same-store sales at HomePro, which accounts for roughly 80% of sales, are expected to contract further to -2.5% from -0.9% in the second quarter of 2026. The gross margin is expected at 28.5%, flat from the second quarter of 2026 but up from 27.7% in the third quarter of 2025, helped by HomePro's Private Brand share, which is expected to rise to 22.0% from 21.2%. The SG&A expense ratio to revenue is expected to rise to 21.1% from 20.5% in the third quarter of 2025 and 20.0% in the second quarter of 2026. Interest expense is expected to fall 9% from the same period a year earlier. For the fourth-quarter 2026 outlook, normalized profit is expected to recover gradually both from the same period a year earlier and from the previous quarter, on demand for home repair and decoration products after flood conditions ease. If profit meets expectations, first-nine-month normalized profit for 2026 would represent about 74% of the full-year 2026 profit forecast. The broker maintained its 2026 normalized profit forecast at 5.95 billion baht, down 1% from the same period a year earlier, before returning to 7% growth in 2027. It also maintained a Neutral recommendation and a 2027 target price of 7.00 baht.

CGSI, or CGS International (Thailand), has raised its investment weighting for Thailand's construction retail sector from Neutral to Overweight and upgraded its recommendations on DOHOME, GLOBAL and HMPRO from Sell to Buy, after seeing the clearest signs of demand recovery in three years. Data on residential low-rise construction permits has returned to growth, with permitted construction area rising 10.6% year on year in the first quarter of 2026 after 11 consecutive quarters of decline, and up another 7.7% year on year in the second quarter of 2026, suggesting home improvement product sales should recover in the fourth quarter of 2026 and in 2027. The research team said DOHOME saw same-store sales rise in July and August and expects this channel to keep posting high single-digit same-store sales growth in September. DOHOME is the most attractive first pick because construction materials account for nearly 50% of its first-half 2026 sales, with about 35% coming from the northeastern region, where applications for residential low-rise construction permits rose roughly 20% year on year in both the first and second quarters of 2026. GLOBAL is the second pick, while HMPRO will recover gradually along with consumption, supported by a dividend yield of 5.5% in 2027. CGSI has raised its combined net profit forecasts for the three companies by 1.0% to 3.6% for 2026 to 2028.

CGS International (Thailand), or CGSI, has upgraded DOHOME, Siam Global House, or GLOBAL, and Home Product Center, or HMPRO, from Sell to Buy, and raised its investment weighting for the Thai retail sector from Neutral to Overweight, after seeing clearer signs of a demand recovery. The latest residential low-rise building permit data has returned to growth, with permitted construction area rising 10.6% year on year in the first quarter of 2026 after 11 consecutive quarters of contraction, and up another 7.7% in the second quarter of 2026. This suggests sales of home improvement products are likely to recover in the fourth quarter of 2026 and in 2027. CGSI said same-store sales growth at DOHOME in July and August, mostly sales of construction materials to contractors, project customers and wholesalers, has strengthened its confidence that the rise in construction plans is translating into real demand, and it expects same-store sales growth through that channel to remain in the high single digits in September even without the low-base boost from last year's steel shortage. CGSI views this as the clearest signal of a recovery in demand for home improvement products in three years. The stock CGSI finds most attractive is DOHOME, which it expects to be among the first to benefit from the demand recovery, as construction materials account for nearly 50% of sales in the first half of 2026, while about 35% of sales come from the northeastern region, where applications for low-rise residential building permits rose about 20% year on year in both the first and second quarters of 2026, according to the Real Estate Information Center, or REIC. GLOBAL has construction materials at about 35% of sales and a similar share of sales in the northeast to DOHOME, but its northern sales, about 25% to 30% of the total, still face declining building permit applications. HMPRO is expected to recover gradually along with consumption, supported by a dividend yield forecast at 5.5% in 2027. On earnings, CGSI raised its combined net profit forecasts for the three companies by 1.0% to 3.6% for 2026 to 2028 after lifting sales and margin assumptions for some companies and cutting financial cost forecasts, saying earnings and share price estimates could be revised up further if residential building permit applications keep growing, contractor sales continue to expand even without the low-base boost, and demand for construction materials and home decoration products recovers broadly. Risks that could weigh on this view include delays in construction after permits are granted, slower sales growth once the low-base effect fades, continued declines in household spending, and margins coming under more pressure than expected.

The research team at CGSI, the Thai arm of CGS International, has shifted its view on Thailand's retail sector from Neutral to Overweight and upgraded its recommendations on DOHOME, GLOBAL and HMPRO from Sell to Buy, after data on residential low-rise construction permits returned to growth. Permitted construction area rose 10.6% year on year in the first quarter of 2026, following 11 consecutive quarters of contraction, and increased a further 7.7% in the second quarter of 2026. CGSI sees the growing construction pipeline likely translating into demand for construction materials and home decoration products in the fourth quarter of 2026 and on into 2027, which it calls the clearest sign of a recovery in home improvement demand in three years. DOHOME is the top pick, as construction materials account for nearly 50% of its sales in the first half of 2026, with roughly 35% coming from the northeastern region, where permitted low-rise residential construction area rose about 20% from a year earlier. GLOBAL derives about 35% of sales from construction materials, while HMPRO is expected to recover gradually in line with consumption, with a projected dividend yield of 5.5% in 2027. CGSI has raised its combined net profit forecasts for the three companies by 1.0% to 3.6% for 2026 to 2028, after lifting sales and margin assumptions for some of them and lowering financial costs.

CGSI, or CGS International Securities (Thailand), has raised its investment weighting for the Thai retail sector from Neutral to Overweight, while flipping its recommendations on home improvement stocks DOHOME, GLOBAL and HMPRO from Sell to Buy, after finding the clearest signs of demand recovery in three years. Construction area permitted rose 10.6% year on year in the first quarter of 2026, following 11 consecutive quarters of decline, and increased another 7.7% year on year in the second quarter of 2026, suggesting home improvement product sales should recover in the fourth quarter of 2026 and in 2027. The research team said DOHOME is the most attractive first pick because it should benefit first, as construction materials account for nearly 50% of its first-half 2026 sales, with about 35% coming from the northeastern region, where applications for permits to build low-rise housing rose roughly 20% year on year in both the first and second quarters of 2026. GLOBAL is the second pick because its share of construction material sales is lower at about 35%, while HMPRO will recover gradually in line with consumption and is supported by a dividend yield of 5.5% in 2027. CGSI raised its combined net profit forecasts for the three companies by 1.0% to 3.6% for 2026 to 2028, after lifting sales and margin assumptions for some companies and lowering financial costs.

CGS International (Thailand), or CGSI, has raised its investment weighting for Thailand's retail sector from Neutral to Overweight, and changed its recommendations on home improvement stocks from Sell to Buy, namely DOHOME, GLOBAL and HMPRO, after finding the clearest signs of demand recovery in three years. Data on residential low-rise construction permits has returned to growth, with permitted construction area rising 10.6% year on year in the first quarter of 2026 after declining for 11 consecutive quarters, and rising another 7.7% year on year in the second quarter of 2026, suggesting home improvement product sales should recover in the fourth quarter of 2026 and in 2027. The research team said DOHOME is the most attractive first choice, because construction materials account for nearly 50% of its first-half 2026 sales, and about 35% comes from the northeastern region, where applications for residential low-rise construction permits rose roughly 20% year on year in both the first and second quarters of 2026, according to data from the Real Estate Information Center, or REIC. GLOBAL is the second choice, while HMPRO will gradually recover along with consumption, supported by a dividend yield of 5.5% in 2027. CGSI raised its combined net profit forecasts for the three companies by 1.0% to 3.6% for 2026 to 2028, after lifting sales and margin assumptions for some companies and lowering financial costs.

Among the individual announcements made on the 29th, Taiyo Yuden revealed that it will sign a business alliance agreement with TDK covering joint development of electronic components and other areas. Sekichu raised its standalone operating profit forecast for the fiscal year ending February 2027, while Ito En will abolish its shareholder benefit program. Honey's Holdings posted a sharp profit decline in its consolidated results for the first quarter of the fiscal year ending May 2027, covering June to August 2026. BB Tower won a large order from a global IP company for storage products and maintenance services, with the order value at approximately 3.8 billion yen. Bank Innovate announced a consolidated operating profit forecast of 2.02 billion yen for the fiscal year ending September 2026, down 6.2 percent from the previous year, figures it had previously left undisclosed, and Nifco announced it will cancel treasury shares equivalent to 9.78 percent of its total issued shares, effective October 7.

Siam Global House Public Company Limited, or GLOBAL, is set to benefit from demand for home repair materials once the flood situation eases. Chief Executive Officer Witoon Suriyawanakul told the Stock Vision news team that the company has a total of 101 branches in Thailand and that all branches remain open and operating normally, even though some areas were affected by flooding. On third-quarter 2026 results, Witoon said overall performance was close to target, since the floods occurred in roughly the final 10 days of the quarter, and he expects a clearer recovery in the fourth quarter of 2026. The company is pressing ahead with expanding House Brand products, which carry margins about 10 percentage points higher than the branded goods it distributes. GLOBAL currently has a gross margin of approximately 25-29%, or an average of around 28%. On its overseas business, GLOBAL has two branches in Cambodia, where sales had previously fallen by about 25-30% amid the conflict, and it expects them to recover by more than 20% in the fourth quarter. In Laos, Myanmar and Indonesia, the company operates through joint ventures and is seeing good growth. For its 2026 growth target, the company has set a level equal to or slightly above Thailand's economic growth rate, based on the government's GDP forecast of around 2%.

In results announced after the close on September 29, Sekichu reported cumulative ordinary profit of 624 million yen for the first half of the fiscal year ending February 2027, up 17.7% from a year earlier, swinging to a profit gain from an earlier forecast of a 5.7% decline. Accordingly, the company raised its full-year ordinary profit forecast to 600 million yen from 550 million yen, a 9.1% upward revision, narrowing the projected profit decline to 5.8% from 13.7%. The prior-year result was 637 million yen. Based on the first-half results and the full-year plan, ordinary profit for the second half is calculated to fall into a loss of 24 million yen, compared with a profit of 107 million yen a year earlier. Ordinary profit for the most recent three-month period from June to August rose 11.5% year on year to 261 million yen, while the operating profit margin on sales improved to 3.4% from 2.7%.

Sekichu reported ordinary profit of 624 million yen for the interim period of the fiscal year ending February 2027, announced on September 29, beating the company's prior forecast of 500 million yen by 24.8%. According to earnings guidance released the same day, the full-year ordinary profit forecast was revised upward from the previous estimate of 550 million yen to 600 million yen, which would represent a 5.8% decline in profit.

Lowe's is launching a drone delivery service in partnership with DoorDash and Alphabet's Wing, making it the first home improvement retailer to use unmanned aerial vehicles for e-commerce fulfillment. The service is available for select products as a pilot program at Lowe's store in Matthews, North Carolina, the company announced on Thursday. Lowe's said customers can receive a curated list of small products, including hand tools, paint supplies, tape, batteries and soap, in as fast as 20 minutes, with the service suited for items weighing up to 2.5 pounds. Customers access drone delivery through the DoorDash app, where Lowe's products are displayed, and select the drone delivery option during checkout. The move follows Home Depot's recent introduction of nationwide express same-day delivery from stores using DoorDash and its pool of on-demand drivers, as retailers push to meet growing customer expectations and compete with marketplaces like Amazon.

Yuanta Securities (Thailand) assessed the impact of the flood situation on listed companies, seeing this round's effects as varying by industry rather than a negative factor for all stocks. The group with the clearest potential benefit after the waters recede is businesses tied to home repair and renovation products, namely HMPRO, GLOBAL, DOHOME, TOA and PIMO. Among these, HMPRO stands to gain the most from products related to electrical systems and home solutions. Meanwhile, consumer goods retailers such as CPALL, BJC and CPAXT are supported by demand for drinking water, dry food and everyday items. The communications group is buoyed by increased internet and data usage, with ADVANC chosen as the sector's top pick. By contrast, the insurance group is hit more directly than many industries, as floods may lead to claims for damage to homes and vehicles, driving up policy benefit expenses, with the impact on earnings likely to become clearer in the fourth quarter of 2026 through the first quarter of 2027. For the remaining industries, the overall picture is seen as not significantly affected, or affected only in the short term. However, the bigger issue to watch is foreign investor confidence should the flood situation drag on, since industrial estate businesses depend heavily on a customer base of foreign direct investment.

Globlex Securities, or GBS, expects the Thai stock index to remain volatile this week, projecting a trading range of 1,600 to 1,630 points amid pressure from tensions in the Middle East that pushed WTI crude oil up 2.45 dollars, or 2.7%, to close at 94.61 dollars per barrel after Iran-backed Houthi forces fired missiles at Saudi Arabia. Meanwhile, the CME Group's FedWatch Tool indicates investors now assign a 69% probability that the US central bank will raise interest rates by 0.25% to a range of 4.00% to 4.25% at this month's meeting, up from 55.4% a week earlier. Domestic negative factors stem from flooding in Bangkok and surrounding provinces, which has damaged supply chains in both manufacturing and transportation. Wilasinee Boonmasungsong, assistant managing director at Globex Securities, said market participants should monitor the Constitutional Court's ruling on September 28 regarding the use of barcodes and QR codes on ballot papers. Watcharern Jongyanyong, research director at Globex Securities, recommended that investors speculate on stocks that benefit from post-flood repairs, namely GLOBAL, DOHOME, HMPRO, TASCO, DCC and DRT.

UOB Kay Hian (Thailand) said the rainfall situation in Bangkok is starting to ease, with the Bangkok Metropolitan Administration stating that flooding will improve within one to two days and assessing that this year will not be as severe as 2025, making it only a short-term supporting factor. Based on feedback gathered from various companies, it found consumer panic buying and stockpiling from retail stores across Bangkok over the past one to two days. CPALL, CPAXT and BJC benefit to a similar degree, because CPAXT and BJC have sufficient inventory to meet demand better than smaller stores, while CPALL has the highest proportion of branches in Bangkok in the group, with 7-Eleven at 41% of stores in Bangkok and its vicinity, Makro at 32%, BigC Hyper and Supermarket at 23%, and Mini at 15%. Lotus's is still gathering data. DOHOME and HMPRO benefit more than GLOBAL from home repair demand, given their higher share of branches in Bangkok and its vicinity, with HMPRO at 29%, DOHOME at 22% and GLOBAL at 4%. CRC benefits less than the group, since the combined revenue share of Tops, Go Wholesale and Thai Watsadu accounts for only 47% of total revenue. MRDIY is seen as neutral from higher demand for household goods, with a 10% share of branches in Bangkok, but it is not top of mind for customers choosing a store in a crisis. MOSHI is seen as slightly affected, given its 32% share of branches in Bangkok and its vicinity, which may slow briefly, and CPN is slightly affected by lower traffic during the floods, expected to last only two to three days. The brokerage recommends only trading plays in stocks that benefit from stockpiling and repair demand and whose share prices have been sold off to cheap levels, such as DOHOME, HMPRO, CPALL, CPAXT and BJC.

Lowe's Companies has begun a drone delivery pilot for home improvement products with Wing and DoorDash in Matthews, North Carolina. The trial offers select DIY and Pro items delivered to customers from the Matthews store in as little as 20 minutes. Wing manages the drone operations, while DoorDash integrates the new option into its app for same day fulfillment of eligible orders. The pilot is part of broader changes in Lowe's digital logistics strategy and targets quick trips for forgotten essentials, a frequent pain point for both DIY customers and Pros. The clearest early signal for investors will be whether Lowe's expands drone coverage beyond the Matthews store into additional markets over the next year, or widens eligible SKUs or lifts the current 2.5 pound payload limit.

Floor & Decor Holdings announced a new store opening in Fredericksburg, VA, alongside the relocation of its Clearwater, FL store. The Fredericksburg launch features a grand opening celebration with discounts and a 30 day promotional push, while the Clearwater relocation shifts the store a short distance with no service gap for customers. Both sites pair a warehouse store with a design center, supporting larger project tickets from homeowners and Pro customers. The company said the moves align with its existing strategy of aggressive store expansion and deeper Pro relationships, with the Clearwater relocation aimed at protecting store economics and sales productivity rather than simply adding units. The clearest sign of success will be how quickly Fredericksburg volumes ramp and whether Clearwater maintains or improves sales per store in the quarters following the September 28 opening.

Finansia Syrus Securities Public Company Limited, or FSS, has upgraded its investment recommendation on shares of Mr. D.I.Y. Holding (Thailand) Public Company Limited, or MRDIYT, to "Buy" with a target price of 10.40 baht, citing a more attractive upside gap between the share price and the target price. FSS estimates that MRDIYT's third-quarter 2026 profit is likely to grow around 13-15% year on year, slowing from the first half of 2026 when profit grew 21.2% year on year, weighed down by promotional activities and inventory clearance during the low season. However, FSS expects profit to accelerate again in the fourth quarter of 2026, projecting growth of about 20% year on year, supported by the positive effect of product price increases. For the full year 2026, FSS maintains its forecast that MRDIYT's profit will grow approximately 16% compared with the previous year.

Home Depot is leaning harder on professional customers as housing affordability and low turnover continue to suppress larger remodeling projects, with second-quarter fiscal 2026 results showing meaningful support from SRS, specialty distribution and cross-selling. The Pro business posted positive comparable sales in the second quarter and outperformed DIY, with gains across all Pro cohorts, while big-ticket transactions above $1,000 increased 2.4% year over year, improving from 0.8% growth in the first quarter. SRS posted comparable sales above the company average and positive comps across all verticals, and management expects mid-single-digit organic sales growth in fiscal 2026; the Mingledorff's acquisition added HVAC as a fifth SRS operating line, and the GMS platform broadened the product catalog available to professional customers. Over the 12 months through the second quarter, 90% of stores closed at least one SRS sale through QuoteCenter, and Home Depot plans to add 40-50 SRS branches in fiscal 2026 alongside about 15 new retail stores, while online sales rose 11% in the second quarter, a fifth consecutive quarter of double-digit growth. Housing remains the central constraint: comparable customer transactions declined 1% year over year in the second quarter while comparable average ticket increased 2.8%, and management said housing turnover has remained at historically low levels for four years with no sign of an inflection point. Home Depot still delivered 5.7% sales growth and a 1.7% comparable-sales increase in the second quarter, then reaffirmed fiscal 2026 guidance for total sales growth of 2.5-4.5% and comparable sales ranging from flat to 2%.

Home Depot reported fiscal second-quarter 2026 sales of $47.86 billion, up 5.7% year over year, with comparable sales up 1.7% and adjusted earnings of $4.92 per share, up 5.1%. The company's Pro business posted positive comparable sales and outperformed DIY, with big-ticket transactions above $1,000 rising 2.4%, while online sales grew 11% for a fifth straight quarter of double-digit growth. SRS posted positive comparable sales across all verticals, and management expects mid-single-digit organic sales growth for fiscal 2026, with the Mingledorff's acquisition adding HVAC as a fifth SRS operating line. Traffic remains weak, however, as comparable customer transactions fell 1% while comparable average ticket rose 2.8%, and Home Depot reaffirmed fiscal 2026 comparable-sales guidance of flat to 2% growth and total sales growth of 2.5-4.5%, with adjusted operating margin guidance of 12.8-13%. The company carries a Zacks Rank #3 (Hold) and trades at 18.9X forward 12-month earnings, above the Zacks sub-industry's 17.5X but below the S&P 500's 19.8X.

Lowe's has become the first home improvement retailer to offer drone delivery, launching a pilot at its store in Matthews, North Carolina, that delivers select items to DIY and Pro customers in as fast as 20 minutes. The pilot, announced in the company's home market of Charlotte, adds to Lowe's same-day fulfillment options including buy online, pick up in store, curbside pickup and same-day delivery, and builds on existing drone delivery operations in the Charlotte area run by Wing and DoorDash. Customers order through a dedicated Lowe's by Drone storefront in the DoorDash app, and Wing drones currently transport orders weighing approximately 2.5 pounds per flight. The initial product list is curated and includes hand tools, paint products and everyday household items such as soap, tape, all-purpose cleaner and batteries. Seemantini Godbole, Lowe's chief information and AI officer, said the pilot addresses a real project pain point with an innovative solution integrated into the retail journey. The launch follows other Lowe's technology efforts including the Mylow AI assistant for customers and Mylow Companion for store associates, which the company said have together answered more than 25 million questions since launching in 2025.

Krungsri Securities Public Company Limited notes that GLOBAL's key strength lies in its continued increase in the share of Private brand products, which helps lift gross margins and offset still-weak sales. Although same-store sales, or SSS, in 3QTD contracted 6-8% year-on-year, weaker than the 4% year-on-year contraction in 2Q26, due to still-weak consumer purchasing power and heavier rainfall than last year in many areas, GPM for 3Q26F is expected to come in at 27-28%, above 26.5% in 3Q25, supported by the Private brand share rising to 27.5-28% from 27% in 3Q25, even though it is down from the high of 31.6% in 2Q26 as benefits from low-cost inventory gradually fade. The company is also opening two new branches in 3Q26F, bringing the expected total to 101 branches in Thailand at quarter-end, up 8 year-on-year. Meanwhile, its overseas business, which accounts for about 8% of normal profit in 1H26, is still trending upward, driven mainly by Myanmar and Laos. As for the Cambodia business with two branches, whose losses account for roughly 1% of GLOBAL's normal profit, it is expected to be passing its trough. Krungsri also maintains its 26F normal profit forecast at 2.8 billion baht, up 39% year-on-year, the highest in the home repair and decoration group, and expects 27F normal profit to rebase 12% year-on-year, with 3Q26F normal profit momentum of 475-525 million baht expected to grow as much as 27% year-on-year but fall 48% quarter-on-quarter. It reiterates a BUY rating with a target price of 8.80 baht. The share price has fallen 19% since August 4, the day 2Q26 results were announced, reflecting concerns that profit has already peaked in 2Q26, while valuation has dropped to nearly 1.25 standard deviations below its three-year historical average, so the brokerage still views this as an opportunity to accumulate the stock.

Kingfisher has lifted its full-year 2026/2027 guidance after statutory post-tax profit rose 22.6% to £290m for the six months to 31 July 2026. The London-listed home improvement retailer, which owns B&Q, Screwfix, Castorama and Brico Dépôt, reported statutory sales up 0.8% to £6.86bn, statutory pre-tax profit of £400m, up 18.4%, and adjusted pre-tax profit up 9.9% to £404m, while operating profit rose 17.6% to £449m and gross margin expanded 70 basis points to 38.4%. The results included a one-off £14m UK business rates refund, and excluding that item adjusted pre-tax profit growth was 6.1%. By region, UK and Ireland retail profit rose 5% to £361m, France retail profit increased 2.9% to £74m and Poland posted retail profit growth of 17.4% to £60m, while the company opened nine new stores in the period, taking its total estate to 1,700 stores, and plans 30 new stores over the full year. For FY26/27, Kingfisher now expects adjusted pre-tax profit of £595m-£635m, up from earlier guidance of £565m-£625m, and raised free cash flow guidance to £480m-£520m from £450m-£510m. CEO Thierry Garnier said the consumer environment remains mixed but that consistent delivery and strategic progress gave the company confidence to upgrade its guidance.

Home Depot is seeing encouraging traction from investments aimed at helping professional customers handle larger and more complex purchases, with Pro sales posting positive comps and outperforming DIY in the second quarter of fiscal 2026. Strength came across Pro-heavy categories including portable power, decking, dimensional lumber, pipe and fittings, fasteners, hand tools, and concrete, while the company said it achieved its highest levels of on-time and complete performance for flatbed and box-truck deliveries. Home Depot is also using its SRS and GMS acquisitions to broaden the Pro catalog, and in the past 12 months 90% of Home Depot stores have completed a sale through SRS via QuoteCenter. Lowe's Companies and Floor & Decor are pursuing similar Pro strategies, with Floor & Decor reporting Pro sales growth of about 4% in the second quarter of 2026, representing roughly 55% of total sales. Home Depot shares have lost 27.7% in the past year versus the industry's decline of 31.9%, and the company carries a Zacks Rank #3 (Hold).

Kingfisher has raised its full-year underlying pre-tax profit guidance to between £595 million and £635 million, up from the £565 million to £625 million previously pencilled in, sending shares up 10% in morning trade on Tuesday. The B&Q owner reported a 9.9% rise in underlying pre-tax profits to £404 million for the six months to July 31, though this was boosted by a one-off £14 million UK business rates refund, while statutory pre-tax profits jumped 18.4% to £400 million. B&Q like-for-like sales in the UK and Ireland fell 1.8% in the second quarter, with big ticket items down 8.1%, but the decline was an improvement on the 4.1% fall in the first quarter, and a 7.1% jump at Screwfix helped overall UK and Ireland same store sales rise 1.6% in the second quarter and 0.4% over the first half. Outgoing chief executive Thierry Garnier, who announced plans in May to step down after nearly seven years to head Netherlands-headquartered supermarket group Ahold Delhaize, said the consumer environment remains mixed but that consistent delivery and strategic progress gave the group confidence to upgrade its guidance. The group said record summer heatwaves boosted demand for air conditioning, cooling products and outdoor living ranges while hurting sales of plants, paint and fencing, and drove B&Q app and internet sales up 19.3% in the first half.

Kingfisher raised its full-year outlook after adjusted first-half pre-tax profit rose 9.9% to £404 million, supported by gross-margin gains and £44 million in structural cost savings. The company lifted its full-year adjusted pre-tax profit guidance to £595 million to £635 million, an increase of £20 million at the midpoint, and raised expected free cash flow by £20 million to a range of £480 million to £520 million. Adjusted earnings per share increased 16%, and free cash flow totaled £339 million after investment in strategic priorities, Chief Financial Officer Bhavesh Mistry said. Trade sales reached £2.1 billion and rose 16% excluding Screwfix, e-commerce sales reached £1.6 billion and rose 16% excluding Screwfix, and marketplace gross merchandise value jumped 42%, contributing more than £13 million in retail profit. Screwfix led U.K. performance with 5.6% like-for-like sales growth, while U.K. and Ireland retail profit increased 4.9% to £361 million, France retail profit rose to £74 million, Poland retail profit rose 15.7% to £60 million and Iberia retail profit grew 17% to £13 million. Kingfisher returned £333 million to shareholders through dividends and buybacks, declared an interim dividend of 3.8 pence per share, and said it expects to complete £175 million of its £300 million share-buyback program by the end of December.

Home Product Center Public Company Limited, or HMPRO, has invested over 310 million baht in a major renovation of its MegaHome construction materials and trades center at the Min Buri branch, adding a HomePro at the same location to create a hybrid store. Managing Director Weeraphan Angsumalee said the upgrade covers products ranging from decorative items to structural work, systems work, and tools, in order to meet rising demand from the trades and contractor market driven by new construction, extensions, and renovations in eastern Bangkok, especially the Khlong Sam Wa, Min Buri, and Nong Chok zones along Hathai Rat and Nimit Mai roads. Currently, within a 10-kilometer radius of the branch, there are nearly 130,000 households, and the area is growing at a rate of 2.99% per year. The branch will officially open on 18 September 2026, targeting revenue of over 80 million baht per month, with an opening celebration campaign running from 18 to 27 September 2026.

Home Products Center, or HMPRO, is investing more than 310 million baht to renovate its MegaHome Min Buri branch into a comprehensive hub for construction materials and contractor services. The project was disclosed by Weeraphan Angsumalee, Managing Director, and the branch will open for service on 18 September 2026, targeting revenue of more than 80 million baht per month. The company has added the HomePro business into the same location to expand its customer base to homeowners looking to renovate and decorate their residences, covering electrical appliances, sanitary ware, furniture, home decorations, as well as installation and after-sales services. The investment reflects the potential of eastern Bangkok, especially the Khlong Sam Wa, Min Buri and Nong Chok areas along Hathai Rat Road and Nimit Mai Road. Currently, within a 10-kilometre radius of the branch there are nearly 130,000 households, with a growth rate of about 2.99% per year. Weeraphan said the Hybrid Store model will help connect customer needs ranging from construction, structural work, contracting, extensions and renovations through MegaHome, while HomePro will fill in products and services for home decoration and improvement. The company aims to make MegaHome Min Buri the centre for home and contractor needs in eastern Bangkok over the long term.

Krungsri Securities said that Dohome Public Company Limited, or DOHOME, still saw same-store sales, or SSS, grow 4-6% year on year in the third quarter. In the first 10 days of September, even without the boost from a low steel sales base as in July and August, SSS still grew at a mid-level pace on strong orders from the contractor group, especially ongoing project work for government agencies. As a result, SSS for the Back Office group grew 6-9%, while in-store sales rose 1-3%. For the remainder of the quarter, it expects accelerated budget disbursement late in the year to support SSS in the third quarter of 2026, still growing 4-6% year on year, compared with 1.8% growth in the second quarter of 2026. On gross profit margin, or GPM, it is expected to return to 17-18%, close to the third quarter of 2025 but down from 19.8% in the second quarter of 2026, after the boost from low-cost inventory and the timing of rising steel selling prices faded. Steel GPM fell to 7-9% from 12-14% in the second quarter of 2026 and is slightly below the normal level of 10-12%, but the House Brand proportion rose to 18-19% from 17-18% in the third quarter of 2025, helping offset weaker steel margins. The company still has no plans to open additional large-format branches in the second half of 2026, from 27 branches at present, and is instead focusing on expanding Dohome ToGo, which are small-format branches and account for only 2-3% of revenue, from 29 branches at the end of the second quarter of 2026, an increase of 6 branches from the first half, with a target of expanding to 50 branches by 2027. Krungsri also maintained its net profit forecast for 2026 at 831 million baht, up 38% year on year, and expects normal profit in the third quarter of 2026 at 130-140 million baht, up 32% year on year. It maintained its Buy recommendation with a 2027 target price of 4.40 baht, seeing DOHOME entering a clearer recovery cycle after SSS returned to positive territory and the Private brand proportion increased, while the one-year forward PER is near the lower end of its historical trading range, making the risk-reward still attractive.

Home Depot executives said the retailer's second-quarter performance exceeded its original forecast, supported by broad-based strength in core home-improvement categories, delivery investments and continued gains with professional customers despite pressure on consumer sentiment. Executive vice president and chief financial officer Richard McPhail and executive vice president of merchandising Billy Bastek discussed demand trends, pricing, professional-customer initiatives, artificial-intelligence investments and capital allocation during a fireside chat. Bastek said 13 of the company's 16 merchandising categories posted positive comparable sales in the second quarter, with strength extending across core categories including plumbing, electrical, hardware and tools rather than being concentrated in seasonal products. Home Depot has posted eight consecutive quarters of positive comparable sales with professional customers, and McPhail outlined a strategy to expand share of the estimated $700 billion professional market within a $1.2 trillion total addressable market, with the company expecting $400 million in cross-selling during 2026, primarily through joint sales efforts targeting home builders and large remodelers. On delivery, Bastek said 65% of parcel shipments arrive the same or next day and 55% of big-and-bulky products arrive within two days, while McPhail said Home Depot has committed to several billion dollars of productivity improvements in its expense base over the next few years and expects to return to a debt-to-EBITDA ratio of approximately 2 times by the middle of fiscal 2027, resuming share repurchases by the end of the second quarter of 2027.

Lowe's Companies expects the second half of the year to resemble the first half, as elevated interest rates and economic uncertainty keep homeowners cautious about big-ticket spending, Chairman, President and Chief Executive Officer Marvin Ellison said at the Goldman Sachs Global Consumer and Retail Conference. Ellison said the company does not expect a material change in the housing backdrop for the rest of the year, but believes it can grow and gain market share regardless of macroeconomic conditions, pointing to five consecutive quarters of positive comparable sales growth and digital sales growth exceeding 15% in each of the past two quarters. More than 60% of Lowe's sales come from do-it-yourself customers, and while its core homeowner customer has an average household income above $100,000 and roughly $400,000 in equity, those consumers are favoring smaller, more deliberate projects such as countertops or cabinets over full kitchen or bathroom renovations. Lowe's estimates the home-improvement market at roughly $1 trillion, with Lowe's and its largest competitor together accounting for about $250 billion of that total, leaving smaller regional players as another opportunity for share gains. The company's acquisitions of ADG and FBM have expanded it into construction-related markets, and about 55% of FBM revenue comes from commercial construction, including data centers, sports venues, hotels and university projects. Looking ahead, Lowe's plans to prioritize debt reduction toward a 2.75-times leverage ratio, which it expects to reach around the midpoint of next year, while continuing dividend payments and potentially revisiting share repurchases after hitting that target.