Lowe's Posts Flat Bottom Line in Second Quarter
August 15, 2011,
MOORESVILLE, N.C.-Second-quarter net income for Lowe's totaled $830 million, essentially flat compared to the second quarter of last year, in what Robert Niblock, chairman, president and CEO, characterized as a disappointing result.
Net sales for the home-improvement chain rose 1.3 percent to $14.5 billion, which included a same-store sales decrease of 0.3 percent. "Despite some recovery in our seasonal business, our performance for the quarter [which ended on July 29] fell short of our expectations," Niblock said.
The company also projected somewhat lagging results for the balance of the fiscal year. It said net sales would rise about 2 percent for both the third quarter and the fiscal year as a whole. Same-store sales are expected to be flat in the third quarter and are projected to fall about 1 percent for the entire fiscal year.
"We are working diligently to improve sales and profitability in the near term in a way that we believe will generate sustained customer preference and shareholder value," Niblock said.