Lowe's (LOW) Q2 2026 Earnings
Excludes $96 million in pre-tax intangible asset amortization expenses related to acquisitions of Artisan Design Group and Foundation Building Materials. Both GAAP and adjusted EPS include a $0.11 per share benefit from IEEPA tariff refunds.
How Did LOW Stock React to Q2 2026 Earnings?
S&P 500 over the same 30 days: +0.58%.
Did LOW Beat Earnings? Q2 2026 Results
Yes. Lowe's reported Q2 2026 earnings of $4.40 a share on Aug 19, 2026, beating the $4.22 consensus estimate by 4.2%. Revenue was $26.0B against a $26.1B estimate.
Lowe's posted a mixed second quarter for fiscal 2026, clearing the earnings bar while falling just short on sales, as strong profitability execution offset softer top-line demand. Adjusted diluted EPS of $4.40 beat the $4.22 consensus by 4.16%, aided in part by an $0.11 per-share benefit from IEEPA tariff refunds, while revenue of $25.96 billion grew 8.3% year over year but came in 0.59% below expectations. The profit outperformance reflected disciplined cost management even as gross margin contracted 77 basis points to 33.04%, pressured by $96 million in acquisition-related intangible amortization tied to the Artisan Design Group and Foundation Building Materials deals. Comparable sales rose just 0.2%, the company's fifth consecutive positive quarter, with Pro customer penetration and a 15.7% surge in online sales providing momentum against persistent weakness in discretionary DIY spending. Looking ahead, Lowe's narrowed its fiscal 2026 guidance to the low end of prior ranges, projecting flat comparable sales, total revenue of $92.00 billion, and adjusted diluted EPS of approximately $12.25, with analysts broadly maintaining a moderate buy stance on the stock.
- Strong Pro customer sales performance driving comp growth
- 15.7% increase in online sales
- Growth in home services
- Positive comp sales in 9 of 13 product categories
- Comp average ticket increased 2.3% to $107.85
- $0.11 per share benefit from IEEPA tariff refunds
“Sustained growth in Pro, Online and Home Services led to our fifth consecutive quarter of positive comp sales, despite pressure in discretionary DIY spending. 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.”
Lowe's CEO, on the earnings call
What Is Lowe's's Outlook?
Lowe's narrowed its fiscal year 2026 outlook to the low end of prior guidance ranges: total sales of $92.0 billion (previously $92.0–$94.0 billion); comparable sales expected flat vs. prior year (previously flat to up 2%); operating margin of 11.2% (previously 11.2%–11.4%); adjusted operating margin of 11.6% (previously 11.6%–11.8%); diluted EPS of approximately $11.75 (previously $11.75–$12.25); adjusted diluted EPS of approximately $12.25 (previously $12.25–$12.75); net interest expense of approximately $1.6 billion; effective tax rate of approximately 24.5%; and capital expenditures of up to $2.5 billion. The updated outlook includes tariff refunds recognized in Q2 but excludes any potential additional tariff refunds in the second half of the year.
LOW YoY Financials
| Metric | Q2 2026 | Q2 2025 | Year over year |
|---|---|---|---|
| Revenue | $26.0B | $24.0B | +8.3% |
| Gross Profit | $8.6B | $7.6B | +12.2% |
| Operating Income | $3.5B | $3.5B | +2.3% |
| Net Income | $2.4B | $2.4B | +0.0% |
When Does Lowe's Report Next?
Figures from SEC filings and company reports. Not investment advice.