Home improvement retailer Lowe’s Companies (LOW) has reported financial results for this year’s third quarter that beat Wall Street’s expectations on the top and bottom lines.
The North Carolina-based company reported earnings per share (EPS) of $2.89 U.S., which was ahead of the $2.82 U.S. forecast among analysts.
Revenue in the period totaled $20.17 billion U.S. compared to $19.95 billion U.S. that was estimated on Wall Street.
Management attributed the strong results to a boost in outdoor do-it-yourself projects over the summer months and strong online sales.
However, even with the better-than-expected Q3 results, Lowe’s issued forward guidance that calls for a year-over-year sales decline.
The company updated its full-year guidance, saying it now expects total sales of $83 billion U.S. to $83.5 billion U.S., higher than its previous forecast of $82.7 billion U.S. to $83.2 billion U.S.
It said it expects comparable full-year sales to decline 3% to 3.5%, slightly better than the 3.5% to 4% drop that it had previously forecast.
Lowe’s continues to expect weak home improvement demand in the back half of the year because of still elevated interest rates and colder winter weather.
The stock of Lowe’s has risen 24% so far in 2024 to trade at $271.77 U.S. a share.
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