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Lowe’s Companies, Inc. (NYSE: LOW) recently released its financial results for the first quarter of 2025, showcasing a mixed performance amid challenging market conditions. This article delves into the company’s quarterly performance, comparing it with market expectations, and provides insights into its future guidance.
 

Lowe’s Companies, Inc. Reports First-Quarter EPS of $2.92, $20.9B in Revenue

In the first quarter of 2025, Lowe’s Companies, Inc. reported net earnings of $1.6 billion, with diluted earnings per share (EPS) of $2.92. This result marked a decrease from the previous year’s first-quarter EPS of $3.06. The company’s total sales for the quarter were $20.93 billion, down from $21.4 billion in the same quarter of 2024.

These figures fell most in line with market expectations, which anticipated an EPS of $2.88 and revenue of $20.92 billion. Despite the decline, Lowe’s managed to surpass the EPS expectation, achieving $2.92 per share.

Comparable sales for the quarter decreased by 1.7%. The decline was attributed to unfavorable weather conditions earlier in the quarter, which was partially offset by growth in Pro and online sales. Despite these challenges, Lowe’s maintained its position as a leader in customer satisfaction. The company’s strategic investments in technology and store environments, along with its dedicated workforce, played a crucial role in maintaining customer satisfaction levels, as recognized by J.D. Power’s ranking of Lowe’s as the top home improvement retailer.

Marvin R. Ellison, Lowe’s chairman, president, and CEO, expressed his appreciation for the dedication of the company’s front-line associates during the busy spring season. He emphasized the importance of exceptional customer service and strategic investments in technology and store environments in navigating the current market headwinds. As of May 2, 2025, Lowe’s operated 1,750 stores, encompassing 195.3 million square feet of retail selling space.
 

Lowe’s Reaffirms Full-Year 2025 Outlook, Projected Sales Between $83.5-$84.5 Billion

Looking ahead, Lowe’s remains committed to generating sustainable shareholder value through disciplined capital allocation. The company affirmed its full-year 2025 outlook, projecting total sales between $83.5 billion and $84.5 billion. Comparable sales are expected to remain flat or increase by up to 1% compared to the previous year. Lowe’s anticipates operating income as a percentage of sales to range between 12.3% and 12.4%.

The company has outlined several key financial metrics for 2025, including a net interest expense of approximately $1.3 billion and depreciation and amortization expenses of about $1.8 billion. The effective income tax rate is projected to be around 24.5%, with diluted EPS expected to fall between $12.15 and $12.40. Capital expenditures for the year are estimated to be approximately $2.5 billion.

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