MOORESVILLE, N.C. (AP) — Lowe's second-quarter net income increased 10 percent, bolstered by improving weather.
The home improvement company's performance beat analysts' expectations, but the Mooresville, North Carolina, company lowered its full-year revenue outlook slightly, citing its year-to-date sales and prior assumptions for the second half.
Shares fell in premarket trading on Wednesday.
Spring is the most important season for home-improvement retailers, as homeowners and others work on their yards and gardens. While the season started off a bit cold and rainy, weather improved and shoppers headed out to stores to pick up supplies.
For the three months ended Aug. 1, Lowe's Cos. earned $1.04 billion, or $1.04 per share. A year earlier it earned $941 million, or 88 cents per share.
Analysts, on average, expected earnings of $1.02 per share, according to a FactSet survey.
Revenue rose 6 percent to $16.6 billion from $15.71 billion, topping Wall Street's $16.57 billion forecast.
Sales at stores open at least a year, a key indicator of a retailer's health, climbed 4.4 percent. This figure excludes results from stores recently opened or closed.
Chairman, President and CEO Robert Niblock said in a statement that the improving weather helped Lowe's recover most of the outdoor product sales it missed in the first quarter, when weather was less favorable.