Lowe's Q1 Profit Falls to $1.62 Billion as Revenues Surge 10.3% to $23.07 Billion
LOW•Lowe's net profit fell to $1.62 billion in Q1 from $1.64 billion a year earlier despite revenues rising 10.3% to $23.07 billion. Diluted EPS dipped to $2.90 while adjusted EPS climbed 3.8% to $3.03 after $96 million in acquisition charges narrowed the operating margin to 11.07%.
1. Profit and Revenue Performance
Lowe’s net profit in the first quarter ended May 1 was $1.62 billion, down from $1.64 billion a year earlier, while net sales increased 10.3% to $23.07 billion from $20.93 billion, driven by a strong spring selling season.
2. Margin Dynamics and Acquisition Costs
Operating income rose to $2.55 billion from $2.49 billion, but the operating margin narrowed to 11.07% from 11.92% as the cost of sales increased; $96 million in pre-tax charges related to Foundation Building Materials and Artisan Design Group acquisitions weighed on results.
3. Comparable Sales and Segment Trends
Comparable sales grew 0.6% year-over-year, supported by a 15.5% jump in online sales and continued growth in appliances, home services and professional channels across 1,759 stores.
4. Full-Year Guidance and Strategy
Lowe’s maintained its fiscal 2026 outlook, forecasting total revenues of $92–94 billion, diluted EPS of $11.75–12.25, adjusted EPS of $12.25–12.75, and capital spending up to $2.5 billion as it pursues its Total Home strategy despite a challenging housing environment.
