Lowe's Reports 0.2% Comp Sales Growth in Q2 as Pro Strength Offsets DIY Weakness
The home improvement retailer navigated tariff-driven pricing pressure and cautious consumer spending to deliver its fifth consecutive quarter of positive comparable sales.
Modest Growth Amid Competitive Headwinds
Lowe's Companies delivered $26 billion in second-quarter sales with comparable sales increasing 0.2%, the company's fifth consecutive quarter of positive comps, CEO Marvin Ellison said on the Aug. 19 earnings call. The results came despite what Ellison described as a "heightened competitive landscape as competitors use tariff refunds to lower prices later in the quarter" (earnings call, 2026-08-19).
The quarter reflected continued momentum in the company's Total Home strategy, with strong performance in Pro, online channels, and home services helping offset "persistent macro pressures, softer DIY discretionary spend and the challenging weather during Memorial Day weekend" (earnings call, 2026-08-19).
Digital and Pro Channels Deliver
Online sales grew 15.7% in the quarter, driven by investments in the digital experience including Lowes.com, mobile apps, and expanded visualization capabilities. The company's AI assistant Mylow has now supported over 25 million customer and associate inquiries since launch. Notably, "the conversion rate for online customers who use Mylow is triple that of customers who do not use the tool," Ellison said (earnings call, 2026-08-19).
The Pro segment delivered another quarter of growth, responding to what Ellison described as "differentiated assortment, strong inventory position, dedicated service levels, fulfillment capabilities and tailored digital experience" (earnings call, 2026-08-19). The company continues integrating its Foundation Building Materials and Artisan Design Group acquisitions to capture more planned Pro spending.
Category Performance Shows Mixed Picture
Executive Vice President of Merchandising Bill Boltz reported positive comparable sales in 9 of 13 merchandise divisions. Building Products showed broad-based growth across rough plumbing, millwork, electrical, and lumber. Appliances delivered their seventh consecutive quarter of positive comp sales growth.
However, discretionary DIY demand remained under pressure as "elevated fuel prices, combined with broader economic uncertainty have influenced household budgets," according to Ellison (earnings call, 2026-08-19). Customers indicated they are "being cautious about their spending and prioritizing where and when they invest in their homes" (earnings call, 2026-08-19).
Strategic Initiatives Progress
The company's MyLowe's Rewards loyalty program has grown to more than 30 million members who "shop more frequently and spend more per visit than nonmembers," Boltz said (earnings call, 2026-08-19).
Lowe's perpetual productivity improvement (PPI) initiatives continue advancing, including the rollout of self-watering plant tables in over 700 stores and new digital tools for merchandising service teams. The company is on track to expand pet and workwear categories to all stores by year-end.
For the second half of 2026, Lowe's plans to expand its premium appliance assortment online and add premium outdoor furniture to capture demand across broader price points. The company is also adding Traeger grills to its outdoor product lineup and expanding power tool selections with over 150 new DeWalt items.
According to MarginX data, the company has upcoming presentations at Shoptalk Fall 2026 in September. Recent insider activity shows stock awards to executives including CEO Laurence Simkins and Brian C. Rogers.
This article was generated by MarginX from the earnings call on 2026-08-19. It is not investment advice.