Lowe's Q3 Results Down, Yet Beat Market; Lifts FY24 Earnings, Sales View, Cuts Margin Forecast

Lowe's Companies

232.25 CHF 23.67%

• Charts
• News
• Analysen

Kaufen / Verkaufen

(RTTNews) - Home improvement major Lowe's Companies, Inc. (LOW), while reporting lower third-quarter earnings and sales, on Tuesday lifted its forecast for fiscal 2024 adjusted earnings and sales forecast. Meanwhile, the firm trimmed adjusted operating margin view for the full year.

Outlook

The company said it updated annual outlook is based on third-quarter results and anticipated modest storm-related demand in the fourth quarter.

For fiscal 2024, the company now projects adjusted earnings per share of around $11.80 to $11.90, compared to previously expected $11.70 to $11.90.

Analysts on average expect the company to report earnings of $11.82 per share, according to figures compiled by Thomson Reuters. Analysts' estimates typically exclude special items.

Adjusted operating margin is now expected to be 12.3 percent to 12.4 percent, down from earlier estimate of 12.4 percent to 12.5 percent.

Total sales would be $83.0 billion to $83.5 billion, compared to previous estimate of $82.7 billion to $83.2 billion. The Street is looking for sales of $82.99 billion for the year.

Comparable sales are expected to be down 3.0 to 3.5 percent, as compared to prior year, while previously it was expected to be down 3.5 to 4.0 percent.

Q3 Results

In its third quarter, net earnings dropped to $1.70 billion or $2.99 per share from last year's $1.77 billion or $3.06 per share.

Adjusted earnings per share were $2.89 for the quarter.

Total sales for the quarter were $20.17 billion, compared to $20.47 billion in the prior-year quarter.

Analysts expected earnings of $2.81 per share on sales of $19.92 billion for the quarter.

Comparable sales for the quarter decreased 1.1 percent, driven by continued softness in DIY bigger-ticket discretionary demand, which was partly offset by storm-related sales and positive comparable sales in Pro and online.

As of November 1, Lowe's operated 1,747 stores.

For more earnings news, earnings calendar, and earnings for stocks, visit rttnews.com.