Home improvement retailer Lowe’s Cos. credits cleanup efforts after Superstorm Sandy and its new pricing strategy for fourth-quarter earnings that surpassed Wall Street expectations.
The results are a sign that people are beginning to feel better about spending money on their homes as the housing market slowly recovers. Lowe’s CEO Robert Niblock said the company is seeing a pick-up in spending even in areas of the country hit hardest by the housing slump, like Florida, Arizona and California.
Lowe’s net income fell 11 percent from last year’s quarter, which included an extra week of revenue. Its earnings forecast for the year was below expectations but its revenue projection beat the consensus.