by 4th-quarter sales rose 1.3% from prior year and full-year sales rose 3.1%
MOORESVILLE, N.C. – Home improvement retailer Lowe’s reported increases in Q4 and full-year sales for its fiscal year ended Jan. 31.
Total sales for the fourth quarter were $20.6 billion, up 1.3% from $18.6 billion the same period a year earlier. The company said that the increase was driven by continued growth in Pro, online and home services sales, along with strong holiday performance.
It also reported net earnings of $1 billion, or $1.78 per share, compared with $1.12 billion, or $1.99 per share, the same period a year earlier.
Gross margin was $6.7 billion, or 32.4% of sales, compared with $6.1 billion, or 32.9% of sales, the same period a year earlier.
SG&A expenses totaled $4.4 billion, or 21.4% of sales, compared with $3.8 billion, or 20.6% of sales, the same period a year earlier. Operating income totaled $1.7 billion, or 8.3% of sales, compared with $1.8 billion, or 9.9% of sales, a year earlier.
“We delivered strong results this quarter, as our Total Home strategy is resonating with both our Pro and DIY customers, which was evident during a great holiday season,” said Marvin R. Ellison, chairman, president and chief executive officer. “Given our out-performance this quarter, we awarded $125 million in discretionary bonuses to our frontline associates in recognition of their hard work and outstanding customer service. While the housing macro remains pressured, we are focused on directing what is within our control, which includes our ongoing productivity initiatives. We remain confident that we are well-positioned to take share regardless of the macro environment.”
For the full year, the company reported $86.3 billion in net sales, up 3.1% from $83.7 billion in sales a year earlier.
Net earnings totaled $6.7 billion, or $7.71 per share, compared with $7 billion, or $8.31 per share, a year earlier. Gross margin totaled $28.9 billion, or 33.48% of sales, compared with $27.9 billion, or 33.2% of sales, a year earlier.
SG&A expenses totaled $16.8 billion, or 19.5% of sales, compared with $15.7 billion, or 33.3% of sales, a year earlier. Operating income totaled $10.2 billion, or 11.9% of sales, compared with $10.5 billion, or 12.5% of sales, a year earlier.
The home improvement retailer ranked at No. 26 in Home News Now’s 125 Furniture & Bedding Retailers this past year, with $675 million in estimated furniture and bedding sales in 2024. It sells a wide range of wood furniture, upholstery, outdoor furniture and bedding on its website. Customers can pick up their purchases in store or have them delivered to their home.
For the full year 2026, the company provided the following guidance:
+ It anticipates total sales of $92 billion to $94 billion, up about 7% to 9% compared to the prior year.
+ Comparable sales are expected to be flat to up 2% as compared to prior year.
+ Operating income as a percentage of sales (operating margin) is projected between 11.2% and 11.4%.
+ Adjusted operating income as a percentage of sales (adjusted operating margin) is estimated between 11.6% and 11.8%.
+ Net interest expenses are estimated at about $1.6 billion.
+ It estimates an effective income tax rate of approximately 24.5%.
+ It projects earnings per share of approximately $11.75 to $12.25 and adjusted earnings per share of approximately $12.25 to $12.75.
+ It anticipates capital expenditures of approximately $2.5 billion.
