News Briefs

Lowe’s Cos. reported better-than-expected first-quarter top- and bottom-line results even as consumers continued to hold off big ticket purchases.

Unlike rival Home Depot, which cited a slow start to spring in reporting its first-quarter results, Lowe’s CEO Marvin R. Ellison said the company was pleased “with our start to spring, driven by strong execution and enhanced customer service.”

Lowe's net earnings totaled $1.8 billion, or $3.06 a share, for the quarter ended May 3, down from $2.3 billion, or $3.77 a share, in the year-ago period. Adjusted were $3.67 per share.Analysts had expected earnings of $2.95 per share.

Sales fell to $21.364 billion from $22.347 billion, topping estimates of $21.137 billion.

Same-store sales fell 4.1%, less than analysts had expected. Lowe’s said the decline in do-it-yourself big ticket discretionary spending was partially offset by positive comparable sales in Pro and online.

In January, said it would its loyalty program from home improvement professionals to everyday customers, with a national rollout in March. The expansion follows the March 2022 introduction of the Lowe's MVPs Pro Rewards and Partnership Program for industry professionals.

"This quarter we rolled out our new DIY loyalty program nationally, expanded same-day delivery options and took market share in key categories,” stated Ellison. “We continue to gain momentum with our Total Home strategy, reflected in our growth in Pro and online.”

The retailer affirmed its full-year outlook which calls for sales to range from $84 billion to $85 billion and for earnings per share to range from $12.00 to $12.30. It expects same-store sales to fall 2% to 3%.

During the quarter, the company repurchased approximately 3.0 million shares for $743 million, and it paid $633 million in dividends.

As of May 3, 2024, Lowe's operated 1,746 stores.

America’s largest mall is adding a new attraction.

Live-action game show Great Big Game Show is the newest addition to the Mall of America, and will give guests the thrill of participating in a televised game show without the TV audience.

Great Big Game Show is a new concept from the creators of The Escape Game, an attraction already at Mall of America. At Great Big Game Show, friends, families, and coworkers will work together in rounds of gameplay. Players will get to select from two different theme packs, “The Original” and “Trivia Showdown.” 

During “The Original,” two teams will face off head-to-head in a fast-paced battle for points including trivia, chance, challenges, and more. While playing “Trivia Showdown,” teams will compete in an immersive battle of knowledge and speed as they race to hit the buzzer the quickest, while also having the correct answer. To provide a realistic experience, the game show studios will be complete with decked-out stages, podiums, buzzers, and even a real-life host.

“This is an exceptional addition to the unique attractions Mall of America has to offer,” said Carrie Charleston, VP of leasing at Mall of America. “Great Big Game Show is guaranteed to provide lots of fun allowing contestants to let loose and show off their competitive side, while creating special memories.”

At 5.6 million sq. ft., Mall of America, located in Bloomington, Minn., is the largest shopping and entertainment complex in North America with up to 520 world-class retail stores and restaurants, and several entertainment attractions.

As is true with so many other things, Democrats and Republicans differ when it comes to their retail favorites.

Democrats spend more at stores such as Costco, Whole Foods Market and Trader Joe’s, while Republicans spend more at Walmart, Dollar General and Lowe’s, according to data collected from Affinity Solutions’ Consumer Purchase Insights. The data is based on actual credit card, debit card and transaction data in the second quarter of 2024.

In other findings, Democrats spent more at airlines, wholesale clubs and department stores. Republicans spent more at discount stores, service stations and fast-food stores. The largest categorical spending difference between Democrats and Republicans was in the discount category, with Republicans spending on average $167.20 more than Democrats. 

In addition, some brands cross party lines. Five Below, Stitch Fix, Teleflora and HIMS were among the brands with the lowest level of spending discrepancy between Republicans and Democrats. 

 Additional insights on spending per card are below.

•Service stations and airlines had the next highest levels of spending discrepancies, with Republicans spending on average $45.94 more than Democrats at service stations and Democrats spending $31 more on airlines than Republicans.

•At the brand level, the largest spending difference between Republicans and Democrats occurred at Walmart, with Republicans spending $142.89 more than Democrats at Walmart. 

•Costco had the next highest difference, with Democrats spending $34.11 more than Republicans, followed by Dollar General, with Republicans outspending Democrats by $20.91, and Lowe’s, with Republicans outspending Democrats by $14.49.

GameStop Corp. has issued preliminary first-quarter results that are below Street expectations.

The struggling video game retailer said it expects a first-quarter net loss of $27 million to $37 million for the quarter ended May 4, compared to a loss of $50.5 million in the year-ago period. Analysts had expected a loss of $28 million.

Net sales are expected to be in the range of $872 million to $892 million, down from $1.237 billion a year ago. Analysts expected sales of $1.045 billion. 

Selling, general and administrative expenses are expected to be in the range of $290 million to $300 million, compared to $345.7 million in the prior year fiscal quarter. Earlier this year, GameStop said it has cut a number of unspecified jobs in a cost-cutting move.

Cash, cash equivalents and marketable securities are expected to be in the range of $1.073 billion to $1.093 billion, compared to $1.310 billion at the close of the prior year fiscal quarter.

GameStop also filed a shelf registration to offer up to 1 billion new shares of Class A common stock and 5 million preferred shares.  It also announced that it had agreed to sell 45,000,000 shares of common stock with Jefferies acting as its sales agent.

Odd Burger is continuing to grow its footprint in the United States.

The Canadian vegan quick-serve chain has signed its second U.S. Area Representative Agreement for the development of 40 locations in Florida over the next eight years. The deal, signed with StarMatt Corporation, follows Odd Burger’s first agreement, which was signed last year to bring 20 locations to Washington state.

Odd Burger’s menu includes a wide variety of vegan burgers, sandwiches, wraps, salads, breakfast items, desserts and more.

"We couldn't be more excited to start the process of expanding into the Florida market," says James McInnes, CEO and co-founder of Odd Burger.  "We are very fortunate to have such a strong partnership with StarMatt, and we are confident that they will be successful expanding into the Florida market.”

The company now has a total of 60 locations under Franchise Development Agreements in the U.S., and has continued to expand in its home country as well. This summer, Odd Burger is also set to open four additional locations in Ontario in the Greater Toronto Area and one additional location in Vancouver, BC, which will bring the total number of operational locations up to 21. 

Odd Burger opened its first location in Edmonton, AB on May 11 and had one of the largest turnouts to date on its opening weekend. The planned opening of Victoria, BC on May 18 will be delayed until June due to unanticipated challenges. Odd Burger’s Ottawa, ON location is anticipated to open on or around June 1.

X Team Retail Advisors, a national organization of more than 350 retail real estate brokerages located in nearly 50 markets across the U.S. and Canada, has added a New Jersey affiliate.

The Phoenix-based company has added Pierson Commercial Real Estate, a leading retail real estate brokerage and advisory firm, to its national platform. Headquartered in Marlboro, N.J. with an additional location in New York City, Pierson Commercial’s client base includes approximately two dozen regional and national retailers with growth strategies targeting New Jersey.

“Pierson Commercial brings to our organization a best-in-class affiliate with skills in marketing and property consulting, retail leasing and sales, as well as tenant representation,” said Dave Cheatham, president of X Team Retail Advisors. “The firm will not only boost our East Coast presence for our platform and our clients but will be a well-suited complement to our newly created Retailer Services platform. This addition gives X Team an important gateway to serve the New Jersey market.”

Founded in 2011, Pierson Commercial’s retail leasing and property marketing assignments span over 6 million sq. ft. of retail space across downtown redevelopments, ground-up new construction, and existing retail shopping centers.

“We have an outstanding brokerage team and I’m confident the X Team platform will extend our relationships, resources and open up business development opportunities with other brokerage firms with similar values and cultures across North America,” said Jason Pierson, president of the firm. “It’s an exciting opportunity for us and we are looking forward to being a partner to our X Team counterparts and are delighted and grateful for the opportunity to serve as the X Team’s partner in Central and Northern New Jersey.”

(Photo: Jason Pierson, president of Pierson Commercial)