Home Depot Creates New Pro Division as Part of Reorganization — Update

By Nicholas G. Miller

Home Depot created a new office focused on its professional customers and led by its finance chief as part of a realignment to help it grow market share and accelerate innovation.

The company is turning its office of integration into the office of pro acceleration, focused on winning more business among professional customers, a part of the market Home Depot has sought to take through acquisitions.

The office will be led by CFO Richard McPhail and will coordinate between the company's professional businesses to "further develop shared enterprise capabilities including enhanced customer relationship management, a shared product catalog and optimized fulfillment across its businesses," the company said.

As part of the realignment, the company is also unifying its core and private brand merchandising into a division led by current executive vice president of merchandising Billy Bastek. "Combining product merchandising allows the company to deliver greater innovation to market even faster," Home Depot said.

Additionally, the company is combining its customer experience, online, financial services and loyalty teams, which it said would allow it to provide more personalized financial offers and shopping experiences.

Home Depot and Lowe's have been competing for the more consistent spending of professional building and repair companies, particularly as consumers delay large remodels and do-it-yourself projects.

In recent years, Home Depot has acquired building-supply distributor GMS for $4.3 billion and distribution company SRS for $18.25 billion including debt. It also has been speeding up delivery to job sites, expanding support services for professionals, and offering trade credit to win the business of professionals.

Home Depot's business has been hurt by the stagnant housing market, which has reduced remodeling activity since homeowners often undertake projects before selling and after buying a home. High interest rates have also made homeowners hesitant to tackle large projects.

But professional building and repair companies tend to offer retailers like Home Depot more consistent spending that is not as cyclical as do-it-yourself activity, analysts have said.

Write to Nicholas G. Miller at nicholas.miller@wsj.com.

(END) Dow Jones Newswires

July 30, 2026 17:53 ET (21:53 GMT)