Lowe's (LOW) Q1 FY2026: Revenue Jumps 10% but Acquisitions Lose $32M
Lowe's revenue rose 10.3% to $23.08 billion, but that number says almost nothing about the home improvement cycle — $1.75 billion of the $2.15 billion increase, or 82%, came from two businesses the company bought in 2025 rather than from its stores. Strip them out and the retail chain grew 1.9%, on comparable sales of just 0.6%. The more revealing disclosure sits in the new segment table: the acquired units generated a $32 million operating loss on $1.75 billion of sales, while the core retail segment quietly expanded its operating margin 21 basis points to 12.13%. On a full-year basis, fiscal 2025 revenue of $86.29 billion — a figure from the company's annual filings, not this quarterly report — remains 11.1% below the fiscal 2022 peak of $97.06 billion. Roughly three years on, the housing cycle has still not recovered, and the company has now spent $10.1 billion buying its way into the professional channel while it waits for that turn.
(This report covers the quarter ended May 1, 2026 — the first quarter of fiscal 2026 — as filed on Form 10-Q dated May 28, 2026. All figures are from that filing unless otherwise noted.)
