Lowe’s sees net earnings boost in Q3

Mooresville, N.C. – Strong customer service was credited with boosting Lowe’s Companies Inc.’s third quarter performance.

The 1,836-unit home improvement chain posted a 17.3% increase in net earnings to $585 million for the quarter ended October 31 from $499 million a year ago, and a 25.5% jump in diluted earnings per share to $0.59 from $0.47.

Sales for the third quarter increased 5.6% to $13.7 billion from $13.0 billion last year, and comps were up 5.1%.

Year-to-date net earnings increased 13.5% to $2.25 billion, and diluted earnings per share rose 21.7% to $2.24. Sales were up 4.6% to $43.7 billion, and comps increased 3.5 %.

“Our employees’ unwavering commitment to serving customers helped us achieve this quarter’s strong results,” said Robert A. Niblock, Lowe’s chairman, president and CEO. “We are pleased with our performance, and continue to be cautiously optimistic about the home improvement landscape.”

Lowe’s shared its updated Fiscal 2014 outlook, which calls for:

• Total sales to increase 4.5% to 5%;
• Comparable sales to increase 3.5% to 4%;
• Diluted earnings per share of $2.68; and
• the opening of six home improvement and four hardware stores.