CHICAGO — Lowe’s Cos. Inc. said shoppers buying paints, plants and replacement parts in the first quarter helped the home-improvement chain beat Wall Street forecasts and prompted it to boost its full-year outlook.
The results sent the company’s shares higher Monday as the company said business was “less bad” in all regions of the country and that economic conditions may — slowly — be improving.
“In recent weeks we have seen consumer confidence improve, housing turnover show signs of a bottom in certain markets, and home prices slow their decline,” chairman and chief executive Robert Niblock said in a statement.
Lowe’s, like much of the rest of the housing and home-improvement industry, has been battered by falling home prices, rising foreclosures and unemployment rates, and worsening consumer confidence.
Lowe’s results helped buoy the market and raised expectations for rival The Home Depot Inc., set to report first-quarter results today.
Niblock said sales in the hardest-hit states — among them California, Nevada and Florida — were still faring poorly but were beginning to show signs of improvement as more foreclosed properties are purchased. Areas of the Ohio Valley and Texas continued to show sales growth.
For the three months that ended May 1, Lowe’s said it earned $476 million, or 32 cents per share.
