Lowe's Q4 Adjusted EPS Rises 2.6% to $1.98 on $20.6B Sales, Guides $92–94B
Home improvement retailer Lowe's reported fiscal Q4 net earnings of $1.0 billion and diluted EPS of $1.78, or adjusted EPS of $1.98 (+2.6%), on $20.6 billion in sales (+10.8%) and 1.3% comparable-store growth, after $149 million acquisition-related charges. It forecast FY26 sales of $92–94 billion (+7–9%), flat to 2% comps.
1. Fiscal Q4 Performance
Lowe's delivered net earnings of $1.0 billion and diluted EPS of $1.78 for the quarter ended Jan. 30, 2026, down from $1.99 last year. Excluding $149 million in acquisition expenses, adjusted EPS rose 2.6% to $1.98 on total sales of $20.6 billion, up 10.8%, with comparable-store sales up 1.3%.
2. Acquisition-Related Charges
The quarter included $149 million in pre-tax costs tied to the acquisitions of Foundation Building Materials and Artisan Design Group, which reduced GAAP EPS but left adjusted earnings growing year over year. Management emphasized the strategic importance of these integrations for long-term growth.
3. Capital Returns and Bonuses
Recognizing strong holiday performance, Lowe's awarded $125 million in discretionary bonuses to frontline associates. The company paid $673 million in dividends during the quarter and returned $2.6 billion to shareholders through dividends in fiscal 2025.
4. FY26 Outlook
For fiscal 2026, Lowe's expects sales of $92.0–94.0 billion (up 7–9%), flat to 2% comparable-store sales, operating margin of 11.2–11.4% (adjusted 11.6–11.8%), net interest expense of $1.6 billion, effective tax rate of 24.5%, diluted EPS of $11.75–12.25 (adjusted $12.25–12.75), and capital expenditures of $2.5 billion.