Lowe's sales rise $26.5 billion in 2002; 123 new stores open

Lowe's Companies Inc., the world's second-largest home improvement retailer, reported net earnings of $319.4 million for the quarter ended Jan. 31, a 46.2 percent increase over the same period a year ago. The company, which has two locations in Springfield, is based in Wilkesboro, N.C.

Diluted earnings per share increased 42.9 percent to 40 cents from 28 cents in the fourth quarter of 2001. For fiscal 2002, net earnings grew 43.8 percent to $1.47 billion, and diluted earnings per share increased 42.3 percent to $1.85.

Lowe's stock is traded on the New York Stock Exchange under the symbol LOW.

Sales for the quarter increased 16.5 percent to $6.12 billion, up from $5.25 billion in the fourth quarter of 2002. Comparable store sales for the fourth quarter increased by 4.1 percent. Fiscal 2002 sales increased to $26.5 billion, a 19.8 percent increase over fiscal 2001. Comparable store sales increased 5.6 percent for the year.

"In 2002, amidst a backdrop of economic uncertainty, Americans continued to invest in their largest asset, their homes," said Robert L. Tillman, Lowe's chairman and CEO. "Throughout the year, we continued to experience consistent performance across all regions and all product categories. Focused on providing exceptional customer service, our employees delivered the best year in Lowe's history. Despite the uncertainties that remain in the broader economic and geopolitical environment, I'm optimistic that the home improvement consumer will remain resilient."

During the quarter, Lowe's opened 37 new stores including six relocations. For the year, Lowe's opened 123 new stores including 11 relocations. Two older, smaller stores were closed during the year. As of Jan. 31, Lowe's operated 854 stores in 44 states representing 94.7 million square feet, a 17.4 percent increase over last year.

Fortune magazine announced its 2003 list of America's Most Admired Companies in February, ranking Lowe's Companies Inc. No. 1 in the specialty retailer category.

During the first quarter of this year, which ends May 2, Lowe's expects to open 20 stores reflecting square footage growth of approximately 13 percent. The company also projects total sales to increase approximately 15 percent over the same time period in 2002, with diluted earnings per share of 51 cents to 53 cents.

For 2003, the company expects to open 130 stores reflecting total square footage growth of 15 percent to 16 percent; total sales are expected to increase approximately 16 percent to 17 percent for the year over 2002's numbers; and the company expects diluted earnings per share of $2.16 to $2.20 are expected for the fiscal year ending Jan. 30, 2004.