Lowe's Q2 Sales Rise FBM Deal Announced
Lowe's(NYSE:LOW) reported results for the second quarter of fiscal 2025 (ending Jan. 31, 2026) on August 20, 2025, delivering $24 billion in sales (up 1.1% in comparable sales) and adjusted diluted EPS of $4.33, a 5.6% increase over the prior year quarter. The company announced a major $8.8 billion acquisition of Foundation Building Materials (FBM), with the transaction expected to close in 2025, complementing its prior ADG purchase and pivoting the long-term strategy toward large pro customers and pro distribution, aiming to expand its addressable market and diversify revenue streams.
The $8.8 billion FBM deal follows the recent closing of Artisan Design Group (ADG) in June, securing a robust foothold in the large pro segment and introducing new categories such as drywall and ceiling systems for commercial and residential customers. FBM’s 370 branches extend Lowe's reach in California, the Northeast, and Midwest, areas where current brick-and-mortar density is low, but project demand remains high.
This transformational acquisition positions Lowe's to mitigate cyclicality risk, accelerate cross-selling, and capture incremental share in the structurally attractive and largely underpenetrated large pro segment, supporting both revenue growth and long-term earnings resilience.
Source Fool.com
