Home Depot has had a rough 2024 amid a significant change in consumer behavior.
As home prices in the U.S. remain high, the housing turnover rate remains the lowest in 30 years, and the average 30-year mortgage rate is above 6%, consumers have deprioritized spending on large discretionary home projects such as kitchen and bath remodels.
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The consumer trend contributed to Home Depot’s shrinking sales all year. In the company’s third-quarter earnings report for 2024, it revealed that its comparable sales in the U.S. decreased by 1.2% year over year during the quarter.
Related: Home Depot sounds alarm on customer behavior
In addition, the average amount of money customers spent on each purchase shrunk by almost 1%. This contributed to Home Depot’s net earnings to decline by roughly 4% year-over-year.
Given the current change in consumer behavior, Home Depot expects its comparable sales for the rest of the fiscal year to decline by about 2.5%.
Home Depot reveals its New Year’s Eve and Day hours
As Home Depot struggles with sales, leadership opted to keep store doors open during a holiday when most retailers are closed.
Home Depot store in Washington, D.C. on Aug. 12, 2024. Home Depot released earnings figures on Aug. 13.
On New Year’s Eve this year, Home Depot will be open regular hours. However, on New Year’s Day, it will operate between 9 a.m. and 8.pm, instead of its usual 6 a.m. to 10 p.m. hours.
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Home Depot’s New Year’s plans closely mimic Lowe’s, which will also be open regular hours on New Year’s Eve but only between 9 a.m. and 6 p.m. on New Year’s Day.
Other major retailers, such as Costco, Sam’s Club, and Aldi, will close their doors on New Year’s Day; however, on New Year’s Eve, they will be open during limited hours.
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