Lowe’s Reported Positive Quarterly Earnings As Home Renovations Continue
Feb 23, 2022 By MarketDepth
Lowe’s (NYSE: LOW) reported positive quarterly earnings Wednesday as Americans continue to buy and renovate homes within the tight real estate market. Upon the news, the company opted to raise its forecast for the year. Shares rose almost 4% during premarket trading as momentum continued on into February.
Higher Than Expected
The home improvement retailer reported earnings of USD1.78 per share, compared to the expected USD1.71 a share. Revenue amounted to USD21.34 Billion, higher than analysts anticipated USD20.90 Billion. Furthermore, net income rose to USD1.21 Billion, from the previous year’s USD978 Million.
“We delivered another year of outstanding performance in 2021, as we gained market share across DIY and Pro through our Total Home strategy. I would like to thank our front-line associates for their tremendous efforts this year. In 2021, we increased comparable sales by 6.9% while generating over 170 basis points of operating margin improvement, with our relentless focus on productivity and enhanced pricing strategies. We remain confident in the long-term strength of the home improvement market, and our ability to expand operating margin.”Marvin R. Ellison, Lowe’s chairman, president and CEO
The retailer now expects revenue to range from USD97 Billion to USD99 Billion in fiscal 2022, though it had previously estimated revenue of USD97 Billion for the year.
Lowe’s shares have risen 27% throughout the past year and have a current market value of USD144.58 Billion.