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Lowe's edges 2Q forecast
August 20, 2001: 7:15 a.m. ET

No. 2 home improvement retailer posts higher results on soaring sales
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NEW YORK (CNNfn) - Lowe's Cos., the nation's No. 2 home improvement retailer reported slightly better-than-expected fiscal second-quarter earnings Monday as the company logged higher sales of appliances, paint, millwork and flooring.

The company also reiterated guidance for the third quarter and fiscal year.

For the quarter ended Aug. 3, Wilkesboro, N.C.-based Lowe's earned $329.1 million, or 42 cents a share, up from $280 million, or 36 cents a share, a year earlier. Analysts surveyed by earnings tracker First Call anticipated a profit of 41 cents a share.

Second-quarter sales increased 4 percent to $6.1 billion from $5.3 billion.

The company also said it anticipates third quarter earnings between 30-32 cents a share and full-year earnings between $1.23 and $1.25 a share, both in line with Wall Street estimates, according to First Call.

Third quarter sales are expected to increase 20 percent from the year-earlier period, and fiscal-year sales to increase 17 to 18 percent, the company said.

Home improvement retailers such as Lowe's and rival Home Depot (HD: Research, Estimates) , the No. 1 chain in the sector, have fared better than most retailers in the slowing economy, thanks chiefly to a real estate market that has remained robust and consumers who are willing to spend on fixing up their homes, analysts have said.

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Both companies are also recovering from a sharp drop in lumber prices, which has hurt profit over the last several quarters.

Lowe's (LOW: Research, Estimates) shares ended down $1.06 at $35.04 Friday. graphic


Home Depot 2Q beats estimates - Aug. 14, 2001

Lowe's boosts current year forecasts, meets 4Q estimate - Feb. 26, 2001



Home Depot

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