Lowe's Q1 fiscal 2026 earnings beat Wall Street estimates

Lowe’s beat Wall Street’s fiscal first-quarter expectations on May 20 and left its full-year guidance unchanged, even as executives described a housing backdrop still constrained by high mortgage rates and low turnover. The home-improvement retailer reported adjusted earnings per share of $3.03 on revenue of $23.08 billion for the quarter ended May 1, topping analyst estimates compiled by LSEG. Comparable sales rose 0.6%, marking a fourth straight quarter of positive comparable sales, according to the company and CNBC. The quarter offered a clearer look at where spending is still holding up. Lowe’s said growth was supported by spring execution, online sales, appliances, home services and professional customers. At the same time, management said larger discretionary projects remained under pressure as consumers delayed moves and remodels in a high-rate environment. ### What did Lowe’s actually report? (corporate.lowes.com) Lowe’s said net earnings were $1.63 billion, or $2.90 per diluted share, compared with $1.64 billion, or $2.92 per share, a year earlier. The company said first-quarter results included $96 million in pre-tax expenses tied to its acquisitions of Foundation Building Materials and Artisan Design Group, which helped explain the gap between diluted EPS and adjusted diluted EPS. (cnbc.com) CNBC reported analysts had expected earnings of $2.97 a share and revenue of $22.97 billion. Lowe’s revenue increased about 10% from the year-earlier period, while shares rose more than 1% on May 20, CNBC said. ### Why are executives still sounding cautious? Marvin Ellison said on the earnings call that this was “the most difficult housing market” he had faced in the business since the financial crisis. (corporate.lowes.com) In comments reported by Yahoo Finance, Ellison said the “lock-in” effect from homeowners’ lower existing mortgage rates was keeping housing turnover depressed, limiting demand for bigger-ticket home projects. (cnbc.com) Yahoo Finance said Ellison and other executives pointed instead to resilience in smaller and more urgent jobs. Appliance demand benefited from replacement needs, and the company said customers continued to spend on projects that were necessary or lower cost even as they pulled back on larger remodels. ### Which parts of the business held up best? (finance.yahoo.com) Lowe’s said professional sales were among the stronger areas in the quarter, alongside appliances, online sales and home services. That mix matters because pro customers and repair-driven categories tend to be less exposed to delayed home sales than discretionary do-it-yourself renovation spending. That characterization came from company remarks and outside coverage of the earnings call. (finance.yahoo.com) The company has also been expanding through acquisitions aimed at the professional market. Lowe’s said first-quarter expenses included costs related to Foundation Building Materials and Artisan Design Group, two deals it has pointed to as part of its push deeper into pro and adjacent categories. ### What did Lowe’s say about the rest of 2026? (cnbc.com) Lowe’s affirmed its full-year 2026 outlook on May 20. The company’s investor materials and earnings release said it still expects full-year sales of $84 billion to $85 billion, comparable sales to range from flat to up 1%, and adjusted diluted earnings per share of about $12.15 to $12.40. (corporate.lowes.com) The next formal update is likely to come with Lowe’s fiscal second-quarter earnings report, after the company posted its first-quarter release, conference-call webcast details and supplemental slides to its investor relations site on May 20. (corporate.lowes.com)