Lowe's (LWE) Q2 2026 Earnings Report
CH:LWE Q2 2026 EPS Results
- Actual EPS
- CHF 3.63
- Consensus EPS
- CHF 3.48
- Beat/Miss
- Beat by +CHF 0.15
- One Year Ago EPS
- CHF 3.57
CH:LWE Q2 2026 Revenue Results
- Actual Revenue
- CHF 21.41B
- Expected Revenue
- CHF 21.55B
- Beat/Miss
- Missed by -CHF 145.39M
- YoY Revenue Growth
- +8.34%
Earnings Announcement Details
- Quarter
- Q2 2026
- Date
- 08/19/2026
- Time
- Before Open
- Conference Call
- Wednesday, August 19, 2026
CH:LWE Upcoming Earnings
Lowe's's next earnings date is estimated for November 18, 2026, based on past reporting schedules.
Q2 2026 Earnings Call Audio
CH:LWE Q2 2026 Earnings Call
0:00 / 0:00
Q2 2026 Earnings Slide Deck
No slide deck is available for this earnings event.
Q2 2026 Earnings Call Summary
Earnings Call Sentiment|Positive
The call was predominantly positive about Lowe's execution, Pro, Online, Home Services, productivity initiatives, cash generation and long-term strategic investments. However, management acknowledged persistent DIY demand weakness, weather-related pressure, competitive promotions, margin headwinds, residential construction weakness at FBM and ADG, and a third-quarter EPS decline. The number and strength of the operational and strategic positives outweighed the stated challenges.
Company Guidance
Lowe’s updated its full year 2026 outlook in line with the bottom end of the previous guidance range, expecting sales of approximately $92 billion, roughly flat comparable sales, adjusted operating margin of approximately 11.6%, full year adjusted diluted earnings per share of approximately $12.25, and capital expenditures of up to $2.5 billion; the outlook includes the tariff benefits recognized in Q2 but excludes any potential additional benefits in the second half of the year. For the third quarter, the company expects comp sales to be in line with its full year outlook and adjusted diluted earnings per share to be approximately 7% below prior year adjusted diluted earnings per share, while Q4 includes about a 50 basis point drag from cycling last year’s winter storm. The company expects to achieve its 2.75x leverage ratio target in mid-2027.
- Quarterly Sales Growth and Positive Comparable SalesSecond-quarter sales were $26 billion, up 8.3% from the prior year, while comparable sales increased 0.2%. Lowe's achieved its 5 consecutive quarters of positive comparable sales.
- Operational Discipline and Better-Than-Expected Flow-ThroughThe company maintained a strong in-stock position, compelling value and customer service while using disciplined expense management to deliver better-than-expected flow-through and absorb elevated fuel, transportation, energy and other input costs, even excluding tariff refunds.
- Pro Customer MomentumPro delivered another quarter of growth, driven by small- and medium-sized Pro customers. Lowe's cited differentiated assortment, inventory availability, dedicated service levels, fulfillment capabilities, digital Pro tools and MyLowe's Pro Rewards as supporting the performance.
- FBM and ADG Integration ProgressLowe's reported continued integration progress with Foundation Building Materials and Artisan Design Group, including efforts to share best practices and build customer solutions. The company believes the acquisitions position it to grow share with larger Pro customers and capture more planned Pro spend.
- Online Sales Growth and Digital InvestmentsOnline sales increased 15.7% in the quarter, marking two consecutive quarters of online comparable sales growth above 15%. Growth reflected higher traffic, increased conversion, tailored experiences on Lowes.com and the mobile app, expanded visualization capabilities, new fulfillment options, loyalty programs and marketplace adoption.
- Mylow AI Adoption and Conversion ImpactMylow has supported over 25 million questions from customers and associates since inception. Online customers who use Mylow convert at 3x the rate of customers who do not use the tool, and the tool also powers the associate AI companion application.
- Home Services GrowthHome Services delivered another quarter of growth as Do-It-For-Me customers continued to use the simpler and more convenient experience, particularly for replacement projects. Enhancements improved conversion, cycle time and customer satisfaction.
- Broad Merchandise Division StrengthComparable sales were positive in 9 of 13 merchandise divisions. Building products generated broad-based growth in rough plumbing, millwork, electrical and lumber, while home decor benefited from positive comparable sales in appliances, paint, kitchen and bath.
- Appliances and Repair-and-Refresh DemandAppliances delivered the seventh consecutive quarter of positive comparable sales growth. Lowe's also reported demand for repair and refresh projects in kitchen and bath, including vanities, bathing and toilets, while paint grew in interior paint, sundries and buckets.
- Lawn, Garden, Tools and Hardware PerformanceComparable sales grew in lawn and garden as customers responded to value in live goods, hardscapes and landscape products. Tools and hardware also performed well, particularly metal storage and fastening, supported by national and private brands.
- Same-Day Fulfillment and Associate TechnologySame-day fulfillment continued to gain momentum as customers used delivery options to keep projects moving. Associate adoption of Mylow Companion also increased, helping associates answer questions more quickly and spend more time serving customers.
- Productivity Improvement ProgressPerpetual Productivity Improvement initiatives simplified processes, improved execution and supported labor productivity. Lowe's transitioned all store and field associates to a centralized communications portal, while self-watering plant tables were rolled out in more than 700 stores to reduce plant damage and free MST associates to focus on stocking and servicing bays.
- Planned Productivity and Inventory InitiativesLowe's plans to continue rolling out Freight Flow 3.0 and Full Shelf Replenishment to improve in-stocks and inventory accuracy by prioritizing stocking needs and simplifying product flow from truck to shelf.
- Capital Generation and Shareholder ReturnsThe company generated $3.1 billion in free cash flow and invested $542 million in capital expenditures during the quarter. Lowe's paid $673 million in dividends, or $1.20 per share, and ended the quarter with $3.2 billion in cash and cash equivalents.
- Strong Return on Invested Capital and Balance Sheet PositionReturn on invested capital was 25.5%. Adjusted debt-to-EBITDA ended the quarter at 3.0x, with Lowe's progressing toward its 2.75x leverage ratio target, which it expects to achieve in mid-2027.
- Adjusted Earnings Beat ExpectationsGAAP diluted earnings per share were $4.27, while adjusted diluted earnings per share were $4.40 after excluding $96 million in pre-tax acquisition-related intangible asset amortization. Adjusted diluted EPS exceeded expectations even excluding the $0.11 benefit from IEEPA tariff refunds.
- Tariff Refund BenefitLowe's recognized an $80 million, or $0.11 per share, tariff refund benefit in the second quarter. Management said it is pursuing additional eligible refunds and expects any further benefits to be reinvested in customer-facing actions.
- Second-Half Assortment and Customer InitiativesLowe's plans to expand premium appliance and patio assortments, add over 150 new DEWALT items, complete the rollout of pet and workwear to all stores by year-end, and introduce Traeger grills in select stores and online nationwide later in the year.
- Loyalty Program ScaleMyLowe's Rewards has more than 30 million members. Members shop more frequently and spend more per visit than nonmembers, and Lowe's plans to add exclusive offers, special events and enhanced same-day fulfillment options.
- Positive Longer-Term Housing OpportunityManagement cited estimated pent-up deferred home-improvement project demand of between $20 billion and $50 billion and said Lowe's is making investments for a gradual housing recovery. The company also noted the oldest housing stock on record and customers living in their homes for the longest duration on record.
CH:LWE Earnings History
| Report Date | Fiscal Quarter | Forecast / EPS | Last Year's EPS | EPS YoY Change | Press Release |
|---|---|---|---|---|---|
| Nov 18, 2026 | 2026 (Q3) | 2.37- | 2.52 | ― | ― |
| Aug 19, 2026 | 2026 (Q2) | 3.483.63 | 3.57 | 1.62% (+0.06) | |
| May 20, 2026 | 2026 (Q1) | 2.452.50 | 2.41 | 3.77% (+0.09) | |
| Feb 25, 2026 | 2025 (Q4) | 1.601.63 | 1.59 | 2.59% (+0.04) | |
| Nov 19, 2025 | 2025 (Q3) | 2.452.52 | 2.38 | 5.88% (+0.14) | |
| Aug 20, 2025 | 2025 (Q2) | 3.503.57 | 3.38 | 5.61% (+0.19) | |
| May 21, 2025 | 2025 (Q1) | 2.382.41 | 2.52 | -4.58% (-0.12) | |
| Feb 26, 2025 | 2024 (Q4) | 1.521.59 | 1.46 | 9.04% (+0.13) | |
| Nov 19, 2024 | 2024 (Q3) | 2.332.38 | 2.52 | -5.56% (-0.14) | |
| Aug 20, 2024 | 2024 (Q2) | 3.283.38 | 3.76 | -10.09% (-0.38) |
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat Missed
