--> Stock indicated higher - very low volumes
Lowes Cos Inc Reports Q1 $0.61* v $0.61e, R$13.4B v $13.9Be- Raises FY14 $2.63 v $2.61e, Rev +5% y/y, implies $56.1B v $56.1Be, operating margin +65bps (prior $2.60, Rev +5% y/y, implies $56.1B; operating margin +65bps on Feb 26th)
- Reaffirms FY14 SSS +4% (prior +4%)
- Lowers FY14 to open approximately 10 home improvement (prior 15) and 5 hardware stores (prior 5).
- Q1 SSS +0.9%
- Gross margin 35.5% v 34.8% y/y
- CEO: Performance has improved in May which, together with our strengthening execution, gives us the confidence to reaffirm our sales and operating profit outlook for the year,
- While poor weather dampened traffic and negatively impacted performance of exterior categories, results for indoor categories were solid. We effectively aligned inventory, staffing and marketing resources by climatic zone to best serve customers' needs. I would like to thank our employees for their dedication to serving customers.
*Included in the above reported results are charges related to long-lived asset impairments, which reduced pre-tax earnings for the first quarter by $23 million and diluted earnings per share by $0.01. Also included in the above reported results is the impact of a lower tax rate in the first quarter. The lower tax rate, primarily the result of a settlement of prior year tax matters, contributed $0.04 to diluted earnings per share.