albert Chan
Lowe’s Companies, Inc.
Sector: Home and home improvement Countries of operation: Canada and the US Key categories: Appliances, bathrooms, building materials, décor, flooring, hardware, kitchenware, lawn and garden lumber, lighting and electrical, millwork, paint, rough plumbing, seasonal and outdoor living, and tools Annual Metrics [caption id="attachment_152225" align="aligncenter" width="700"]
Fiscal year ends January 28*Trailing 12 months ended April 29, 2022[/caption] Summary Lowe’s is a Fortune 50 home-improvement company, incorporated in 1952 and headquartered in Mooresville, North Carolina. It is the second-largest home-improvement retail company in the world, operating 1,971 home-improvement and hardware stores across Canada and the US, as of January 28, 2022. Lowe’s distributes building materials and supplies and operates in stores, online, on-site and through contact centers. It offers a wide range of products and services for home decoration, property maintenance, remodeling and repair. Its US market remains its most important, accounting for 93.9% of the company’s consolidated sales for the fiscal year ended January 28, 2022. Company Analysis Coresight Research insight: Lowe’s is a household name in the US, known for providing quality products at affordable prices. Lowe’s has performed strongly, backed by its proper execution of ‘Total Home Strategy,’ allowing it to expand its market share of both Pro and DIY customers. The company expects to double its sales to its Pro customers over the next several years, and plans to grow its DIY sales and continue to grow its market share over the same period. With the launch of homeware brand Origin 21 in February 2022, Lowe’s is enhancing its product assortment in home decoration this year. Lowe’s has also been working to become a best-in-class omnichannel retailer in order to modernize and transform its supply chain. For instance, its new market delivery model aims to integrate customer delivery into its supply chain by delivering bulk orders directly from distribution centers rather than via the stores. The company also aims to drive sales and improve its inventory position through a technology-enabled, simplified, customer-focused process. In fiscal 2021, approximately 65% of the company’s total spending on merchandise was processed through its distribution network and the company is working to strengthen this capacity in fiscal 2022.
| Tailwinds | Headwinds |
|
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- Enhance product designs to cater for customers’ lifestyle needs
- Better serve customers across product categories to become a one-stop shopping experience
- Improve the online shopping experience with better search and navigation functionality
- Upgrade online visualization and configuration tools
- Use the Pro CRM platform to better anticipate project needs
- Use newly developed supply chain network capacity to position in-stock inventory for selling seasons
- Strengthen distribution networks to increase and balance the flow of goods through
Source: 2021 Annual Report[/caption]
Company Developments
| Date | Development |
| May 12, 2022 | Lowe’s commits more than $15 million to support national non-profit organizations in 2022. |
| April 8, 2022 | Lowe’s appoints Brandon Sink as Chief Financial Officer. |
| March 7, 2022 | Lowe’s announces a five-year, $100 million commitment to community impact projects across the US. |
| February 28, 2022 | Lowe’s launches DIY-U by Lowe’s to reimagine DIY learning and experiences. |
| February 3, 2022 | Lowe’s launches an exclusive home décor brand, Origin21, to deliver approachable, modern design for everyday living. |
| December 13, 2021 | Lowe’s announces a donation of $1 million to support immediate relief and recovery efforts after tornadoes cut through several states, including Kentucky, causing catastrophic damage. |
| November 17, 2021 | Lowe's announces a multi-year commitment to become the leading retail destination for aging-in-place and life-change solutions through its launch of Lowe's Livable Home. |
| October 13, 2021 | Lowe’s announces the launch of Lowe's One Roof Media Network, a retail media service providing an extensive portfolio of omnichannel advertising services designed to put brands at the forefront of the home lifestyle movement. |
| September 13, 2021 | Lowe’s announces that it has agreed to sell $1 billion of 1.700% notes due 2028 and $1 billion of 2.800% notes due 2041. |
| August 30, 2021 | Lowe’s announces that it will donate $2 million to support relief efforts after Hurricane Ida devastated the Gulf Coast, causing flooding and damage. |
| July 20, 2021 | Lowe’s reveals the 100 impact projects it has selected from more than 2,200 submissions, which will be the cornerstone of 100 Hometowns, an initiative to celebrate Lowe’s centennial that aims to help local communities across the US. |
| June 1, 2021 | Lowe’s announces that Marvin R. Ellison, President, Chief executive officer and current Director of Lowe’s, has been elected Chairman of the Board, effective immediately. |
| April 22, 2021 | Lowe’s acquires carpet brand STAINMASTER and its associated assets from INVISTA S.à.r.l. |
| April 13, 2021 | Lowe’s announces its next major step as the “New Home for Pros” by launching a tailored store shopping experience created specifically for Pros. |
| March 29, 2021 | Lowe’s announces that it will sell $1.5 billion of 2.625% Notes due 2031 and $500 million of 3.500% Notes due 2051. |
| March 18, 2021 | Lowe’s and Chervon announce the exclusive launch of FLEX, a line of cutting-edge, cordless power tools. The first FLEX accessories, batteries, chargers and tools made will be available on Lowes.com from April 12 and at stores nationwide in spring, followed by a multiyear rollout of more than 100 FLEX platform-compatible tools. |
| March 9, 2021 | Lowe’s announces the launch of 100 Hometowns, an initiative to complete 100 impact projects in 2021 as part of a $10 million commitment to give back to the communities Lowe’s serves, in celebration of the company’s 100th birthday. |
| December 9, 2020 | Lowe’s announces its new “Total Home” strategy in its 2020 Investor Update, which is focused on driving market-share acceleration. |
| October 30, 2020 | Lowe’s announces plans to hire 20,000 associates for the holiday season and reveals an additional bonus for front-line workers. |
| September 22, 2020 | Lowe’s announces plans to install contactless pickup lockers at all US stores by the end of March 2021. |
| August 19, 2020 | Lowe’s launches a tool rental program across the US. |
| July 22, 2020 | Lowe’s announces plans to launch an exclusive partnership with outdoor power equipment brand EGO, becoming the latter’s exclusive dealer. Through the new partnership, Lowe’s expands its industry-leading portfolio of outdoor power brands. |
| January 28, 2020 | Lowe’s announces the appointment of Anthony T. Hurst as President of Lowe’s Canada. |
| January 8, 2020 | Lowe’s announces the appointment of Marisa Thalberg as Chief Brand and Marketing Officer, effective February 10, 2020. |
| December 19, 2019 | Lowe’s partners with property and asset management software provider Yardi, to offer a streamlined way to shop from LowesForPros.com to Pro customers on the Yardi platform. |
Source: S&P Capital IQ, Company press releases
Management Team- Marvin R. Ellison— President, CEO and Chairman
- Brandon Sink- Executive VP and CFO
- Dan Clayton Griggs Jr.—Senior VP of Tax and Chief Accounting Officer
- Seemantini Godbole—Executive VP and CIO
Source: Company reports/S&P Capital IQ