Lowe’s Cos., for the third quarter ended October 30, posted net earnings of $736 million, or 80 cents per diluted share, versus $585 million, or 59 cents per diluted share, in the period a year earlier. Comparable store sales advanced 4.6%.
Lowe’s earnings per diluted share beat a Thomson Reuters analyst average estimate of 80 cents.
The comp increase derived from a 2% gain in average ticket, the company reported in a conference call, and a 2.5% increase in number of transactions.
Net sales were $14.36 billion versus $13.68 billion in the prior-year quarter, the company reported.
In the conference call, the company asserted that appliances and seasonal were among the better performing sales categories in the third quarter.
“This is an exciting time for Lowe’s as we continue to execute our strategic priorities alongside a favorable macroeconomic backdrop,” said Robert Niblock, Lowe’s chairman, president and CEO. “I am pleased that we delivered another solid quarter. Comparable sales growth was driven by gains in both transactions and average ticket, while our focus on productivity and profitability also allowed us to deliver strong earnings per share growth.”
In the conference call, Niblock said that willingness of consumers to invest in new and existing homes had created an environment that provides Lowe’s with abundant opportunity that should allow the company’s strategic initiatives to gain traction, including those online.
Lowe’s operates 1,849 home improvement and hardware stores in the United States, Canada and Mexico.