A customer pushes a shopping cart toward the entrance to a Lowe’s store in Concord, California, on Tuesday, February 23, 2021.
David Paul Morris | Bloomberg | Getty Images
Lowe’s beat analysts’ expectations for fiscal third-quarter earnings on Wednesday, as the company bumped into the business of home professionals and online sales.
The home improvement retailer also raised its expectations. It had previously forecast revenue of $92 billion in the current fiscal year. Now, you’re expecting about $95 billion.
Shares were up about 2% in pre-market trading.
Here’s what the company had for the third quarter ended October 29 compared to what Wall Street had been expecting, based on an analyst survey by Refinitiv:
- Earnings per share: $2.73 vs. $2.36 expected
- Revenue: $22.92 billion vs. $22.06 billion forecast
Lowe’s earnings soared to $1.90 billion, or $2.73 a share, from $692 million, or 91 cents a share, a year ago. The results beat the $2.36 per share forecast by analysts in a Refinitiv poll.
Net sales rose to $22.92 billion from $22.31 billion last year and were above analysts’ expectations of $22.06 billion.
Lowe’s same-store sales grew 2.2% in the three-month period. That was a sharp difference from analysts’ expectations for a 1.5% drop, according to StreetAccount.
The retailer has stepped up its efforts to attract more home professionals, such as contractors and electricians, as they are more consistent and spend more. CEO Marvin Ellison said in a press release that the company’s sales to professionals rose 16% in the third quarter. He said sales on his website jumped 25%.
Read the company’s press release here.
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