Lowe’s Companies, Inc. (NYSE:LOW) stock was down on Wednesday following the release of its earnings report for the third quarter of 2016.
Lowe’s Companies, Inc. reported earning per share of 88 cents for the third quarter of 2016. This is a 10% increase over its earnings per share of 80 cents that it reported during them same period last year. However, it doesn’t meet the earnings per share of 96 cents that Wall Street was looking for in the quarter.
Revenue reported by Lowe’s Companies, Inc. in third quarter of 2016 was $15.74 billion. The home improvement retailer reported revenue of $14.36 billion during the third quarter of 2016. Analysts were expecting LOW to report revenue of $15.86 billion for the third quarter of the year.
Net earnings reported by Lowe’s Companies, Inc. in the third quarter of 2016 was $379 million. The company reported net earnings of $736 million during the same quarter from the year prior.
“Our third quarter operating results were below our expectations due to slower sales in the first two months of the quarter,” Robert A. Niblock, Chairman, President and CEO of Lowe’s Companies, Inc., said in a statement. “While we expected moderation in the second half of the year, traffic slowed more than we anticipated in August and September before improving in October, which put pressure on our profitability in the quarter.”
Lowe’s Companies, Inc. also updated its outlook for 2016. The retailer said that it now expects earnings per share for the year to be $3.52. Wall Street is expecting the company to report earnings per share of $4.00 in 2016.
LOW stock was down 2% as of Wednesday morning.
