Plus   Neg

Lowe's Boosts FY19 Adj. EPS Outlook - Quick Facts

While reporting financial results for the third quarter on Wednesday, home improvement retailer Lowe's Cos., Inc. (LOW) raised its adjusted earnings guidance for the full-year 2019, while maintaining annual sales and comparable sales growth guidance.

"Due to improved execution, we delivered strong earnings per share growth, and as a result, we are raising our adjusted earnings per share and adjusted operating income guidance for 2019," commented Marvin R. Ellison, Lowe's president and CEO.

For fiscal 2019, the company raised its adjusted earnings guidance to a range of $5.63 to $5.70 per share from the prior forecast range of $5.45 to $5.65 per share.

However, the company continues to project total sales growth of about 2 percent, and comparable sales increase of about 3.0 percent.

On average, analysts polled by Thomson Reuters expected the company to report earnings of $5.67 per share on sales growth of 1.7 percent to $72.53 billion for the year. Analysts' estimates typically exclude special items.

For the third quarter, the company reported net earnings of $1.05 billion or $1.36 per share, higher than $629 million or $0.78 per share in the prior-year quarter. Excluding items, adjusted net earnings for the quarter was $1.41 per share, compared to last year's $1.04 per share.

Sales for the quarter edged down to $17.39 billion from $17.42 billion last year, and comparable sales increased 2.2 percent. Comparable sales for the U.S. home improvement business increased 3.0 percent.

The Street was looking for earnings of $1.35 per share on sales of $17.68 billion for the quarter.

As of November 1, 2019, Lowe's operated 2,004 home improvement and hardware stores in the United States and Canada representing 208.9 million square feet of retail selling space.

Additionally, the company also announced the restructuring of its Canadian operations after conducting a strategic review. It will close 34 underperforming stores in Canada. It has also undertaken a process to simplify multiple Canadian store banners to drive efficiency and reduce operational complexity.

Further, it will reorganize the corporate support structure across Canada to more efficiently serve stores; and rationalize the product assortment across the simplified Canadian store banners, to present a more coordinated assortment to the customer.

For comments and feedback contact: editorial@rttnews.com

Business News

Editors Pick
Arts and crafts chain Hobby Lobby has been ordered to shut its stores after the retailer reopened them by defying stay-at-home orders in various states amid the coronavirus pandemic. Ohio Attorney General Dave Yost said on Twitter that he sent a cease-and-desist letter following which the retailer agreed to close its stores on Wednesday night. Boston Scientific Corp. said Thursday that to lessen the impact of the coronavirus pandemic on its business, it will significantly reduce the salaries of its chief executive officer, directors and executive committee members. The company also intends to temporarily reduce work week schedules for employees, where appropriate. The medical device maker said these measures are to reduce costs. Marriott International announced a security data breach at its property system that hit up to approximately 5.2 million guests. The breached information is believed to exclude Marriott Bonvoy account passwords or PINs, payment card information, passport information, national IDs, or driver's license numbers. The latest incident, however, is less severe compared to the hotel chain's 2018 data breac
Follow RTT