MOORESVILLE, N.C. — Lowe’s Companies, Inc. (NYSE: LOW) today reported net earnings of $2.4 billion and diluted earnings per share (EPS) of $4.27 for the quarter ended July 31, 2026, compared to diluted EPS of $4.27 in the second quarter of 2025. During the second quarter ended July 31, 2026, the company recognized $96 million in pre-tax expenses associated with the acquisitions of Foundation Building Materials (FBM) and Artisan Design Group (ADG). Excluding these expenses, second quarter 2026 adjusted diluted EPS1 increased 1.6% to $4.40 compared to the prior-year adjusted diluted EPS. Both diluted EPS and adjusted diluted EPS1 include an $0.11 benefit from IEEPA tariff refunds.
Total sales for the quarter were $26.0 billion, compared to $24.0 billion in the prior-year quarter. Comparable sales for the quarter increased 0.2%, driven by strong performance in Pro and home services sales, as well as a 15.7% increase in online sales, partially offset by persistent DIY macro pressures.
“Sustained growth in Pro, Online and Home Services led to our fifth consecutive quarter of positive comp sales, despite pressure in discretionary DIY spending,” said Marvin R. Ellison, Lowe’s chairman, president and CEO. “While the near-term remains dynamic, our teams are executing at a high level, advancing our Total Home strategy and investing to drive growth and profitability. I would like to thank all of our frontline associates for their hard work and dedication to our customers.”
As of July 31, 2026, Lowe’s operated 1,761 stores, representing 196.0 million square feet of retail selling space.
Capital Allocation
The company remains committed to generating sustainable shareholder value through a disciplined focus on its capital allocation program. During the quarter, the company paid $673 million in dividends.
1 Adjusted diluted earnings per share is a non-GAAP financial measure. Refer to the “Non-GAAP Financial Measures Reconciliation” section of this release for additional information, as well as reconciliations between the company’s GAAP and non-GAAP financial results.
Lowe’s Business Outlook
The company is updating its outlook for fiscal year 2026 to reflect operational results for the first half of the year as well as current demand trends.
Fiscal year 2026 outlook also includes tariff refunds recognized during the second quarter and excludes any potential additional tariff refunds in the second half of the year.
Fiscal Year 2026 Outlook
- Total sales of $92.0 billion (previously $92.0 to 94.0 billion)
- Comparable sales expected to be flat as compared to prior year (previously flat to up 2%)
- Operating income as a percentage of sales (operating margin) of 11.2% (previously 11.2% to 11.4%)
- Adjusted1 operating income as a percentage of sales (adjusted operating margin) of 11.6%
(previously 11.6% to 11.8%) - Net interest expense of approximately $1.6 billion
- Effective income tax rate of approximately 24.5%
- Diluted earnings per share of approximately $11.75 (previously $11.75 to $12.25)
- Adjusted1 diluted earnings per share of approximately $12.25 (previously $12.25 to $12.75)
- Capital expenditures of up to $2.5 billion
A conference call to discuss second quarter 2026 operating results is scheduled for today, Wednesday, August 19, at 9 a.m. ET. The conference call will be available by webcast and can be accessed by visiting Lowe’s website at ir.lowes.com and clicking on Lowe’s Second Quarter 2026 Earnings Conference Call Webcast. Supplemental slides will be available prior to the start of the conference call. A replay of the call will be archived at ir.lowes.com.
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