Lowe’s Companies reports net earnings of $3 billion in Q2 2021

Lowe’s Companies Inc. (NYSE: LOW) has announced net earnings of $3 billion and $4.25 diluted per share for June 30, 2021. A year ago, the company's net earnings were $2.8 billion, with diluted earnings per share of $3.74. Lowe's Q2 2021 earnings per share were up 13% YoY, excluding charges associated with a strategic review of some operations in Q2 2020.

Lowe’s Q2 2021 total sales were $27.6 billion

Total sales during the quarter were $27.6 billion versus sales of $27.3 billion in Q2 2020. Notably, comp sales dropped 1.6%, and US home improvement segment comp sales were down 2.2% in Q2 2021. 

All Lowe's stores earned a Winning Together profit-sharing bonus for the sixth quarter running, leading to an anticipated total payout of around $91M to front-line hourly associates. Most importantly, the payment was $20 million more than the target level. Lowe’s CEO and President Marvin R. Ellison said:

The company is leveraging its disciplined capital allocation program seeking to offer sustainable and long-term shareholder value. In Q2 2020, Lowe's repurchased around 16.4 million shares for an estimated $3.1 billion and declared dividends of $430 million.

At the end of July, the company operated 1,973 hardware and home improvement stores in Canada and the US, estimated to occupy 208 million sq. ft. of retail selling space and Lowe’s services around 230 dealer-owned outlets.

Lowe's expects full-year 2021 revenue of $92 billion

The company posted solid financial results in 1H 2021, with robust sales trends coming into August.  Despite the business environment looking uncertain, Lowe's has raised its full-year fiscal 2021 operating results outlook.  The company expects revenue of around $92 billion for the full year, with an operating margin of 12.2%. In addition, Lowe's expects to repurchase at least $9 billion worth of shares. Ellison commented: