Home Depot Swings to $54 Million Loss

ATLANTA -- Home Depot(HD Quote), the nation's largest home-improvement retailer, reported a fiscal fourth-quarter loss of $54 million Tuesday mostly on its plan to shut its four smaller home-improvement brands, but adjusted results topped analysts' estimates.

The Atlanta-based company posted a loss of 3 cents a share. That compares with a profit of $671 million, or 40 cents a share, a year earlier.

Excluding the charge related to the closings and other items, the retailer's profit was 19 cents a share.

Last month, Home Depot said it planned to close Expo Design Centers, YardBIRDS, Design Centers and HD Bath, a bath remodeling business. The company has suffered under the weight of the collapsing housing market as fewer of its customers are buying new homes and spending money on repairs and remodels.

Revenue for the period ended Feb. 1 slid 17% to $14.61 billion from $17.66 billion, with same-store sales down 13% for the quarter.

Analysts forecast a fourth-quarter profit of 15 cents a share on revenue of $14.67 billion.

There was one less week in the quarter compared with the prior-year period.

For the year, earnings fell 49% to $2.26 billion, or $1.34 a share, compared with $4.4 billion, or $2.37 a share, a year earlier.

Income from continuing operations dropped to $2.31 billion, or $1.37 a share, compared with $4.21 billion, or $2.27 a share.

Adjusted earnings from continuing operations were $1.78 a share.

Full-year revenue declined 8% to $71.29 billion from $77.35 billion, while same-store sales slid 8.7%.