Proactive Investors - Lowe’s Companies Inc climbed in Tuesday’s pre-market trading after the retailer beat first-quarter expectations in results.
Diluted earnings per share came in at US$3.06 for the three months to May, Lowe’s reported on Tuesday, against market expectations for US$2.94.
Net sales revenue of $21.36 billion, which was down 4% on a year earlier, also beat market forecasts for US$21.12 billion.
This was despite a 4.1% fall in comparable sales as declining spending on big-ticket DIY items was offset by home professional and online demand.
Chairman Marvin R. Ellison said Lowes continued to take market share in “key categories” over the quarter, as a new DIY loyalty programme was rolled out and same-day delivery options were increased.
He added: “We continue to gain momentum with our Total Home strategy,” which is geared towards the likes of contractors and painters, “reflected in our growth in pro and online”.
Lowe’s added it operated 1,746 stores as of early May, while US$743 million worth of shares were bought back over the quarter.
Guidance for full-year sales of US$84 to US$85 billion was firmed up.
Shares climbed 2.3% to US$234.50 in pre-market trading.