ATLANTA (AP) — The cost of the spreading coronavirus pandemic dragged on profits early in the year at Home Depot.
The world’s biggest home improvement chain upped compensation for employees, extended dependent care benefits and waived related co-pays. That set Home Depot back by $850 million in pre-tax expenses, or about 60 cents per share.
The cost of sales rose 7.3% in the quarter, which surged 7.1% as homeowners rushed to pick up essential supplies.
But on Tuesday, Home Depot pulled its financial guidance for the year with so much still unknown about the spread and duration of the virus, or its impact on spending.