Home Depot earnings dip but beat estimates

ATLANTA (AP) — Shares of Home Depot jumped more than 2% in pre-market trading early Tuesday to $79.50 even after the nation's largest home improvement retailer reported a fiscal fourth quarter income dip of 1%.

Despite the rebounding economy, the Atlanta-based chain's quarterly results were hampered by weeks of frigid winter weather and one less week in the period.

Still, its earnings topped Wall Street's view, and the company raised its quarterly dividend by 21 percent. It provided a fiscal 2014 earnings forecast below analysts' expectations.

Home Depot earnings dip earned $1.01 billion, or 73 cents per share, for the three months ended Feb. 2. That compares with $1.02 billion, or 68 cents per share, a year earlier.

There were fewer shares outstanding in the current quarter.

Analysts expected earnings of 71 cents per share.

Revenue for the Atlanta company fell 3 percent to $17.7 million from $18.25 billion, hurt by one less week in the latest quarter.

Wall Street predicted revenue of $17.92 billion.

Comparable store sales for the fourth quarter of fiscal 2013 increased 4.4%, and comp sales for U.S. stores were up 4.9 %.

"In 2013, we posted our strongest comp sales growth in 14 years as solid execution and the recovering housing market aided our performance," said Frank Blake, chairman & CEO, in a statement.

Home Depot's smaller rival Lowe's Cos. reports its quarterly results on Wednesday.

Contributing: Associated Press