In its quarterly report, Lowe’s emphasised the financial cost involved in reacting to the pandemic. In the second quarter, the company invested USD 460 mio (EUR 386 mio) in the support of front-line hourly associates, communities and store safety. Through the first half of 2020, Lowe’s has invested USD 560 mio (EUR 470 mio) in Covid-related financial support for its associates and USD 100 mio (EUR 84 mio) in community pandemic relief, with a focus on minority and rural small businesses and health care workers. Additionally, the retailer’s second quarter performance resulted in a record quarterly “Winning Together” profit-sharing bonus for its hourly associates at 100 per cent of its stores, which totalled USD 107 mio (EUR 90 mio).
According to the company, Ace stores in the U.S. benefited from increased do-it-yourself activities by consumers sheltering in place, a shift in discretionary spending from travel and entertainment to home improvement, and consumers moving their purchases online and consolidating their store visits in order to limit potential Covid-19 exposure.
Overall sales rose by 35.1 per cent to USD 2.2791 bn (EUR 1.9238 bn). USD 1.0299 bn (EUR 870 mio) of this was accounted for by central wholesale sales, which increased by 32.8 per cent. The stores operated by the central office achieved retail revenues of USD 249.2 bn (EUR 210.4 mio), equivalent to an increase of 57.0 per cent.
Ace’s e-commerce sales have increased almost six-fold (plus 493 per cent).
“There is certainly both a blessing and a burden in being essential,” said John Venhuizen, president and CEO. “My earnest thanks to our drivers, warehouse specialists, red-vested heroes and the entire Ace team. Our efforts to support our stores and serve our neighbours have been imperfect during this pandemic, but the sincerity, efficacy and compassion with which it was delivered was exceptional and appreciated.”
However, the International branch of Ace has not seen the same growth as the US. While hardware and home improvement stores were considered “essential” and were allowed to remain open throughout the U.S., that was not the case across much of the world. Up to fifty per cent of the stores operating outside the USA by Ace Hardware were closed at some point during the quarter. As a result, the wholesale sales of the central business with its foreign partners declined by 0.8 per cent.
Net Earnings at The Home Depot are $4.3 Billion compared to $3.5 Billion and earnings per share have increased by 26.8 per cent.
The Home Depot has also announced that it will open three new distribution centres in Georgia over the next 18 months to support the growing demand for flexible delivery and pick-up options for professional and DIY customers.
In 2017, the company announced a USD 1.2 bn (EUR 1.02 bn) investment to expand its distribution network with approximately 150 new supply chain facilities nationwide, with the goal of expanding the company’s existing same-day and next-day delivery options to 90 per cent of the US population.
The company is also working to make online shopping easier. How successful The Home Depot has been in this regard is shown by the increase of more than a billion dollars in revenue from online sales in the last six months.
In the first quarter of 2020, online sales increased by as much as 80 per cent, due in part to the effects of the Covid-19 pandemic. Interestingly, 60 per cent of customers collect their online purchases from the store.
The National Hardware Show team is excited to announce that they’re launching the 2020 National Hardware Virtual Show to take place from October 12-15, 2020.
Capitalizing on the technological opportunities of NHS Connects, they are now going to enable visitors to connect virtually for 4 full days. The 2020 National Hardware Virtual Show will be offer industry education, direct appointment setting and connections and a virtual product showcase to feature products.
Contact us at firstname.lastname@example.org to not miss out on your chance to enjoy this virtual exhibit experience.
As part of its existing pledge to reduce carbon dioxide emissions by 50 percent by 2035, The Home Depot reduced its greenhouse gas emissions by 10 percent in 2019, driven primarily by energy reductions and supply chain efficiencies.
New goals include a commitment to produce and procure energy from 335 megawatts of renewable and alternative energy projects by 2025.
Originally slated to open its doors in May, the Show was postponed to September. However, as the team continue to make the safety of everyone at NHS their top concern, and looking at the continued impact of COVID-19, NHS has made the difficult decision to cancel the 2020 event. Instead of an in-person experience, NHS plans to host a virtual trade show dedicated to providing education and support that recognises and addresses the direct and essential needs of the hardware industry, later in the year.
Home Depot’s sales rose in the first quarter, but costs related to the pandemic, such as employee bonuses and reduced hours, ate into the retail giant’s earnings. Sales rose 7.1% to USD 28.26 bn, besting estimates of USD 27.54 bn, with same-store sales up 6.4%. Net earnings dropped by 10.7% to USD 2.25 bn, or USD 2.08 per share. Analysts had forecast earnings of USD 2.27 per share.
Lowe’s Cos. reported its Q1 net earnings rose 27.8% to USD 1.34 bn. Same-store sales soared by 11.2%, where analysts expected an increase of just 3.4%. Overall net sales were up nearly 11% to USD 19.68 bn, while online sales jumped by 80% as customers flocked to e-retail with restrictions in effect on in-person shopping.
Home Depot has reported its Q2 net income was $3.48 bn, or $3.17 per share, compared with $3.51 bn ($3.05 a share) for the comparable period last year. Those numbers missed analyst expectations of $3.08 a share. Sales rose by 1.2% to $30.84 billion, compared to $30.46 bn a year ago but fell short of the expected $30.99 bn. Same-store sales increased by 3% overall and by 3.1% in the U.S., missing forecasts of 3.5% growth.
Read more at: www.hardlines.ca
Lowe’s Cos. has reported net earnings of $1 bn and diluted earnings per share of $1.31 for the first quarter of 2019, up from earnings of $988m and diluted EPS of $1.19 for the same period last year. Sales for the quarter rose 2.2% to $17.7 bn from $17.4 bn a year ago, with comparable sales up 3.5%. Comparable sales for the U.S. home improvement business increased 4.2%. The company previously announced its intention to exit its Mexico retail operations and had planned to sell the operating business. Following a market evaluation, however, the decision was made in the first quarter to instead sell the assets of the business, resulting in an $82m tax benefit.
Read more at: www.hardlines.ca