MOORESVILLE, N.C.–Net income for Lowe’s reached $832 million in the second quarter, up 9.6 percent from the second quarter of last year.
The home-improvement retailer logged net sales of $14.4 billion in the quarter, an increase of 3.7 percent, which included a 1.6 percent rise in same-store sales. Lowe’s held the line on expenses. Selling, general and administrative rose 2.1 percent on a dollar basis in the quarter, but declined 34 basis points as a percentage of net sales. Total expenses edged up 1.8 percent on a dollar basis but dropped 48 basis points as a percentage of sales.
Commenting on Lowe’s “solid results,” Robert Niblock, chairman and chief executive officer, said, “With limited visibility in near-term demand, we continue to focus on operational efficiency to create value for our shareholders. Longer term, we believe improvements in labor in housing markets will be necessary to support more consistent improvement in demand for home-improvement products.”
For the third quarter, Lowe’s forecasted a 3 to 5 percent net sales increase, along with a same-store sales pickup of 1 to 3 percent.