Lowe's Companies, Inc. reported on Wednesday (Aug. 19) that Lowes.com sales have skyrocketed 135 percent and U.S. comparable sales increased 35.1 percent for the second quarter. The company also invested $460 million in the quarter to help its workers and communities due to the pandemic, according to an announcement.
"We delivered very strong second-quarter results, with all merchandising divisions posting comparable sales growth exceeding 20 percent and all U.S. geographic regions delivering comparable sales growth of at least 30 percent,” Lowe's President and CEO Marvin R. Ellison said in the announcement. “Sales were driven by a consumer focus on the home, core repair and maintenance activities, and wallet share shift[ed] away from other discretionary spending.”
Lowe’s said its Q2 results brought about a “Winning Together” profit-sharing bonus for hourly associates at all of its stores that came out to an overall $107 million. The retailer operated 1,968 home improvement and hardware stores domestically and in Canada, which comprised 208 million square feet of selling space, as of the end of July.
In overall results, Lowe’s reported net earnings of $2.8 billion (adjusted diluted EPS of $3.75) on sales of $27.3 billion. The results exceeded analyst estimates of $2.95 per share of earnings on $24.27 billion in revenue.
The news comes as Lowe’s plans to open four eCommerce fulfillment hubs, 50 cross-dock delivery terminals and seven bulk distribution centers over the next year and a half. Lowe’s said it will open the West Coast eCommerce fulfillment hub in the fall in Mira Loma, California. The center will provide faster options for direct-to-consumer purchases and will strengthen two-day delivery offerings to reach all Lowe's customers across the nation.
Separately, The Home Depot reported sales of $38.1 billion for Q2, up 23.4 percent from the same timeframe a year ago. Net earnings for the retailer swelled to $4.3 billion, or $4.02 per diluted share, in comparison with net earnings of $3.5 billion, or $3.17 for each diluted share, for Q2 of 2019.