Lowe’s Q3 sales, profits beat Street on strong home improvement spending

Mooresville, N.C. — Lowe’s Companies raised its full-year profit and sales forecast as strong home improvement spending boosted its profits and sales in the third quarter. An improving job market has led to increased homeowner spending on renovation projects, spurring Lowe’s strong performance. In addition, higher pretax earnings helped improve total net earnings.



The retailer beat the Street as net income for the quarter ended Oct. 31 rose 17.3% to $585 million over the year-ago period. Sales rose 5.6%, to $13.7 billion. Same-store sales were up 5.1%.Lowe’s also kept a tight control on expenses. Selling, general and administrative costs rose only 2% percent during the quarter.Sales grew 6% to $13.7 billion from $13 billion, while same-store sales rose 5.1%.



"We are pleased with our performance, and continue to be cautiously optimistic about the home improvement landscape," said Robert A. Niblock, Lowe's chairman, president and CEO.



For the full fiscal year, Lowe’s expects higher total sales and same-store sales compared to the prior fiscal year.