(Reuters) – Home Depot reported on Tuesday sales and profits for the second quarter below expectations, citing the drop in expenses for major renovation projects.

The largest American DIY store chain recorded net sales of $ 45.28 billion for the closed quarter on August 3, while analysts expected $ 45.36 billion according to a consensus compiled by LSEG.

According to the group, customer expenses, concerned about their budget, have reported to more modest repair and maintenance projects.

“The dynamics that started in the second half of last year continued throughout the first half, customers having engaged more in less scale housing renovation projects,” said CEO Ted Decker.

On the New York Stock Exchange, the Home Depot action fell 2% in foreign transactions.

The group’s adjusted benefit amounted to $ 4.68 per share, which is lower than the expectations of analysts who tabled on $ 4.71.

The attendance of the DIY store chain dropped by 2.2% in the second quarter, after a decline of 3.9% in the first quarter, according to the company attendance at Place.ai.

Home Depot, like his rival Lowe’s, faces a low demand while the increase in mortgage rates discourages real estate purchases.

For 2025, the Atlanta -based group maintained its turnover and profits forecasts for the year 2025 on Tuesday. It provides for overall growth of its sales of approximately 2.8% and a 2% drop of its profit per share adjusted compared to last year.

The publication of Home Depot’s results marks the start of a decisive week for major distribution brands, including Walmart and Target, and offers a first overview of consumer expenditure in the United States against turbulence linked to Donald Trump’s trade policy.

(Written by Savyata Mishra in Bangalore; Coralie Lamarque, edited by Blandine Hénault)

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