Lowe’s reported better-than-expected quarterly earnings and revenue, signaling a potential turnaround in its sales performance. The company forecasts modest growth in the coming year, with total sales expected between $83.5 billion and $84.5 billion, which could surpass last year’s $83.67 billion. Comparable sales are projected to be flat or up 1%, with earnings per share estimated between $12.15 and $12.40. For the fiscal fourth quarter, Lowe’s earned $1.93 per share on revenue of $18.55 billion, beating estimates of $1.84 per share and $18.29 billion. Net income was $1.13 billion, or $1.99 per share, compared to $1.02 billion, or $1.77 per share, the previous year. The adjusted earnings excluded an $80 million pre-tax gain from selling its Canadian retail business. Comparable sales rose 0.2%, ending eight quarters of declines, driven by online sales, growth among home professionals, and hurricane rebuilding efforts. However, discretionary DIY projects faced pressure. Home Depot also reported a slight sales increase, though its CFO expects no changes in housing market conditions or mortgage rates. Lowe’s shares rose over 2% in early trading, closing at $242.39 on Tuesday, down nearly 2% year-to-date. — news from CNBC
