Lowe's Reports Better-Than-Expected 1Q Profit as Revenue Grows

   By Matt Grossman

Lowe's Companies Inc. surpassed analysts' estimates with a higher profit in the first fiscal quarter as home-improvement sales grew online during the Covid-19 pandemic.

The Mooresville, N.C.-based home-improvement retailer recorded net earnings of $1.34 billion, or $1.76 a share, compared with $1.05 billion, or $1.31 a share, for the same period a year earlier.

On an adjusted basis, earnings were $1.77 a share, according to Lowe's. Analysts were expecting adjusted earnings of $1.32 a share, according to FactSet.

Lowe's revenue rose more than 10% to $19.68 billion, compared with $17.74 billion for the same period last year. Analysts expected revenue of $18.34 billion.

Comparable sales increased 12.3% for the company's U.S. home-improvement business.

The Covid-19 pandemic shifted demand to online orders, Lowe's said, leading to an 80% increase in sales on Lowes.com, according to Chief Executive Marvin Ellison.

Write to Matt Grossman at matt.grossman@wsj.com

(END) Dow Jones Newswires

May 20, 2020 06:29 ET (10:29 GMT)

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