Lowe's Companies (NYSE:LOW) traded higher on Wednesday after the home improvement retailer reported comparable sales increased 5.0% in Q4. Comparable sales were up 5.1% for the U.S. business. Pro customer sales were 23% higher during the quarter.
Gross margin improved to 32.9% of sales from 31.8% a year ago as sales leverage helped to offset some input cost and labor inflation.
Operating income came in at 8.67% of sales vs. 7.50% a year ago.
Lowe's repurchased approximately 16M shares for $4.0B in the quarter and repurchased 63M shares for $13.1B for the year.
Looking ahead, Lowe's (LOW) said it expects revenue of $97B to $99B in FY22 vs. $97B consensus. EPS is expected to range from $13.10 to $13.60 vs. $12.94 consensus. "We remain confident in the long-term strength of the home improvement market, and our ability to expand operating margin," noted CEO Marvin Ellison.