The top U.S. home improvement retailer's shares, up 18% this year, rose 2% in premarket trading as it posted a smaller-than-expected drop in third-quarter comparable sales.

Strom damage across the Southeast accounted for higher sales to contractors, and the chain also forecast stronger results as mortgage rates drop.

Shares of Home Depot (HD) tick higher in Tuesday's pre-market trading after the company posted an earnings beat in the third quarter and raised its guidance for the full year. Home Depot saw $40.2 billion in sales in the quarter,

Home Depot forecast a smaller drop in annual same-store sales on Tuesday, benefiting from resilient demand from professional contractors, as well as a lift from hurricane-related spending. Shares of the top U.

Home Depot said comparable sales declined 1.3% for the quarter through October, better than analysts’ expectations, after adverse weather propped up demand for home-improvement materials. Drew Reading of Bloomberg Intelligence has more on Bloomberg Television.

The home-improvement retailer raised its guidance following strong third-quarter sales as demand rose for grills and paint. Hurricane preparations in the Southeast also provided a bump.