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Analysts had expected a stronger performance due to the strength
in the housing market and higher spending on home renovations.
Larger rival Home Depot Inc boosted its full-year earnings
forecast on Tuesday.
Lowe's, whose shares were down 6.7 percent in premarket trading,
earned $1.37 per share, excluding items, below the average
analysts' estimate of $1.42, according to Thomson Reuters
I/B/E/S.
Net sales rose 5.3 percent to $18.26 billion, below the $18.45
billion analysts had expected. Home Depot's sales rose 6.6
percent.
Lowe's said the cut in its earnings forecast reflected its
acquisition of Canada's Rona Inc.
Sales at Lowe's stores open more than 13 months rose 2 percent,
compared with the 4.1 percent growth expected by analysts polled
by research firm Consensus Metrix. Home Depot's same-store sales
rose 4.7 percent.
Net income rose to $1.17 billion, or $1.31 per share, in the
second quarter ended July 29 from $1.13 billion, or $1.20 per
share, a year earlier.
(Reporting by Sruthi Ramakrishnan in Bengaluru; Editing by Anil
D'Silva)
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