Financial Analysis

Acquisitions Artisan Design Group (ADG) On June 2, 2025, the Company completed the acquisition of ADG for an aggregate cash purchase price of $1.3 billion, which is included in the investing section of the consolidated statements of cash flows, net of cash acquired. Acquisition-related costs were expensed as incurred. ADG is a leading nationwide provider of design, distribution and installation services for interior surface finishers, including flooring, cabinets and countertops, to national, regional and local home builders and property managers. The acquisition is expected to expand the Companys Pro customer offering into a new distribution channel within a highly fragmented market. Intangible assets acquired totaled $714 million and include trademarks of $130 million with a useful life of 15 years, customer relationships of $550 million with a useful life of 20 years, backlog of $26 million, and non-compete agreements of $8 million with a useful life of 5 years, each of which are included in the intangible assets - net line item within the accompanying consolidated balance sheet. Goodwill of $366 million is primarily attributable to the synergies expected to arise after the acquisition. We expect $302 million of goodwill to be deductible for tax purposes. Foundation Building Materials (FBM) On October 9, 2025, the Company completed the acquisition of FBM for an aggregate cash purchase price of $8.8 billion, which is included in the investing section of the consolidated sta …

BusinessCombinationDisclosureTextBlock · excerpt; the full note is in the filing

Commitments and Contingencies The Company is, from time to time, party to various legal proceedings considered to be in the normal course of business, none of which, individually or in the aggregate, are expected to be material to the Companys financial statements. In evaluating liabilities associated with its various legal proceedings, the Company has accrued for probable liabilities associated with these matters. The amounts accrued were not material to the Companys consolidated financial statements in any of the years presented. Reasonably possible losses for any of the individual legal proceedings which have not been accrued were not material to the Companys consolidated financial statements. As of January 30, 2026, the Company had non-cancellable commitments of $2.3 billion related to certain marketing and information technology programs, and purchases of merchandise inventory. These commitments include agreements to purchase goods or services that are enforceable, are legally binding, and specify all significant terms, including fixed or minimum quantities to be purchased; fixed, minimum or variable price provisions; and the approximate timing of the transaction. Payments under these commitments are scheduled to be made as follows: (In millions) Commitments Fiscal 2026 $ 999 Fiscal 2027 728 Fiscal 2028 261 Fiscal 2029 120 Fiscal 2030 27 Thereafter 134 Total $ 2,269 As of January 30, 2026, the Company held standby and documentary letters of credit issued under banking ar …

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Debt Revolving Credit Facilities On September 16, 2025, the Company entered into a $2.0 billion five-year unsecured credit agreement (2025 Credit Agreement) with a syndicate of banks, which has a maturity date of September 2030, replacing the Companys $2.0 billion five-year unsecured revolving credit agreement entered into in December 2021, and as amended (Third Amended and Restated Credit Agreement). On September 16, 2025, the Company also amended the five-year unsecured revolving credit agreement dated September 1, 2023 (the 2023 Credit Agreement) with a syndicate of banks, which has a maturity date of September 2028 and an aggregate availability of $2.0 billion. Under the amendment, borrowings under the 2023 Credit Agreement will no longer be subject to a SOFR credit spread adjustment. The 2025 Credit Agreement and the 2023 Credit Agreement (collectively the Long-Term Credit Agreements) support the Companys commercial paper program. The amounts available to be drawn under the Long-Term Credit Agreements are reduced by the amount of borrowings under the commercial paper program. As of January 30, 2026, and January 31, 2025, there were no outstanding borrowings under the Companys commercial paper program or the Long-Term Credit Agreements. On September 16, 2025, the Company also entered into a $1.0 billion 364-day unsecured revolving credit agreement (collectively with the Long-Term Credit Agreements the Revolving Credit Facilities) which has a maturity date of September 202 …

DebtDisclosureTextBlock · excerpt; the full note is in the filing

The following table presents the Companys sources of revenue: (In millions) Years Ended January 30, 2026 January 31, 2025 February 2, 2024 Products $ 82,352 $ 80,538 $ 83,002 Services 2,542 1,934 2,097 Other 1,392 1,202 1,278 Net sales $ 86,286 $ 83,674 $ 86,377 …

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Share-Based Payments Overview of Share-Based Payment Plans The Company has an active equity incentive plan (the Incentive Plan) under which the Company has been authorized to grant share-based awards to key employees and non-employee directors. The Company also has an employee stock purchase plan (the ESPP) that allows employees to purchase Company shares at a discount through payroll deductions. Both of these plans contain a non-discretionary anti-dilution provision that is designed to equalize the value of an award as a result of any stock dividend, stock split, recapitalization, or any other similar equity restructuring. A total of 80.0 million shares were authorized for grants of share-based awards to key employees and non-employee directors under the Companys currently active Incentive Plan, of which there were 22.4 million shares remaining available for grants as of January 30, 2026. The ESPP permits a maximum of 20.0 million shares to be offered for purchase. As of January 30, 2026, there were 16.8 million shares remaining available for purchase. The Company recognized share-based payment expense within SG&A expense in the consolidated statements of earnings of $247 million, $221 million, and $210 million in 2025, 2024, and 2023, respectively. The total associated income tax benefit recognized, exclusive of excess tax benefits, was $45 million, $42 million, and $30 million in 2025, 2024, and 2023, respectively. Total unrecognized share-based payment expense for all …

DisclosureOfCompensationRelatedCostsShareBasedPaymentsTextBlock · excerpt; the full note is in the filing

Fair Value Measurements Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The authoritative guidance for fair value measurements establishes a three-level hierarchy, which encourages an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The three levels of the hierarchy are defined as follows: Level 1 - inputs to the valuation techniques that are quoted prices in active markets for identical assets or liabilities Level 2 - inputs to the valuation techniques that are other than quoted prices but are observable for the assets or liabilities, either directly or indirectly Level 3 - inputs to the valuation techniques that are unobservable for the assets or liabilities Assets and Liabilities that are Measured at Fair Value on a Recurring Basis The following table presents the Companys financial assets and financial liabilities measured at fair value on a recurring basis. Fair Value Measurements at (In millions) Classification Measurement Level January 30, 2026 January 31, 2025 Available-for-sale securities: U.S. Treasury securities Short-term investments Level 1 $ 195 $ 199 Money market funds Short-term investments Level 1 81 91 Corporate debt securities Short-term investments Level 2 32 16 Certificates of deposit Short-term investments Level 1 31 13 Foreign government debt securi …

FairValueDisclosuresTextBlock · excerpt; the full note is in the filing

Goodwill and Intangible Assets Goodwill The changes in the carrying amount of goodwill by reportable segment for 2025, 2024, and 2023 were as follows: (In millions) Retail Home Improvement Other Consolidated Goodwill, balance at February 2, 2024 $ 311 $ $ 311 Acquisitions Goodwill, balance at January 31, 2025 $ 311 $ $ 311 Acquisitions 3,634 3,634 Goodwill, balance at January 30, 2026 $ 311 $ 3,634 $ 3,945 As of January 30, 2026, and January 31, 2025, the Company does not have any goodwill impairment. Intangible Assets The gross carrying amount and accumulated amortization of intangible assets, consist of the following: January 30, 2026 January 31, 2025 (In millions) Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount Definite-lived intangible assets: Customer-related $ 4,722 $ (174) $ 4,548 $ 238 $ (96) $ 142 Trademarks and trade names 1,100 (40) 1,060 20 (19) 1 Other 208 (42) 166 1 (1) Total definite-lived intangible assets $ 6,030 $ (256) $ 5,774 $ 259 $ (116) $ 143 Indefinite-lived intangible assets: Trademark $ 134 $ $ 134 $ 134 $ $ 134 Total intangible assets $ 6,164 $ (256) $ 5,908 $ 393 $ (116) $ 277 Amortization expense for intangible assets is as follows: Years Ended (In millions) January 30, 2026 January 31, 2025 February 2, 2024 Amortization expense $ 140 $ 13 $ 13 Amortization expense expected to be recognized in future periods for intangible assets is as follows: (In millions) Amor …

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Income Taxes The following is a reconciliation of the federal statutory tax rate to the effective tax rate: Years Ended (In millions, except percentage data) January 30, 2026 January 31, 2025 February 2, 2024 Statutory federal income tax rate $ 1,837 21.0 % $ 1,922 21.0 % $ 2,137 21.0 % State income taxes, net of federal tax benefit 1 333 3.8 343 3.7 389 3.8 Other, net (77) (0.9) (69) (0.7) (77) (0.7) Effective tax rate $ 2,093 23.9 % $ 2,196 24.0 % $ 2,449 24.1 % 1 State taxes in CA, FL, PA, NY, VA, NC, TN, NJ, and SC contributed to the majority of the tax effect in this category. The components of the income tax provision are as follows: Years Ended (In millions) January 30, 2026 January 31, 2025 February 2, 2024 Current: Federal $ 1,443 $ 1,764 $ 1,955 State 386 424 489 Total current 1 1,829 2,188 2,444 Deferred: Federal 236 3 State 28 8 2 Total deferred 1 264 8 5 Total income tax provision $ 2,093 $ 2,196 $ 2,449 1 Amounts applicable to foreign income taxes were insignificant for all periods presented. The tax effects of cumulative temporary differences that gave rise to the deferred tax assets and liabilities were as follows: (In millions) January 30, 2026 January 31, 2025 Deferred tax assets: Self-insurance $ 240 $ 233 Share-based payment expense 49 46 Operating lease liabilities 1,266 1,143 Capital loss carryforwards 691 645 Net operating losses 283 261 Other, net 559 390 Total deferred tax assets 3,088 2,718 Valuation allowance (1,072) (1,003) Net deferred tax assets …

IncomeTaxDisclosureTextBlock · excerpt; the full note is in the filing

Leases The lease-related assets and liabilities recorded on the balance sheet are summarized in the following table: (In millions) Classification January 30, 2026 January 31, 2025 Assets Operating lease assets Operating lease right-of-use assets $ 4,303 $ 3,738 Finance lease assets Property, less accumulated depreciation 1 319 395 Total lease assets 4,622 4,133 Liabilities Current Operating Current operating lease liabilities 713 563 Finance Current maturities of long-term debt 81 87 Noncurrent Operating Noncurrent operating lease liabilities 4,043 3,628 Finance Long-term debt, excluding current maturities 310 388 Total lease liabilities $ 5,147 $ 4,666 1 Finance lease assets are recorded net of accumulated amortization of $394 million as of January 30, 2026, and $373 million as of January 31, 2025. The table below presents the lease costs for finance and operating leases: (In millions) Years Ended January 30, 2026 January 31, 2025 February 2, 2024 Finance lease cost Amortization of leased assets $ 82 $ 92 $ 88 Interest on lease liabilities 20 23 24 Operating lease cost 1 768 712 630 Variable lease cost 305 268 258 Total lease cost $ 1,175 $ 1,095 $ 1,000 1 Includes short-term leases and sublease income, which are immaterial. The future minimum rental payments required under operating and finance lease obligations as of January 30, 2026, having initial or remaining non-cancelable lease terms in excess of one year are summarized as follows: (In millions) Operating Leases 1 Fin …

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Accounting Pronouncements Recently Adopted - In December 2023, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures . The ASU expands income tax disclosures in the effective tax rate reconciliation table and income taxes paid. The ASU is effective for the Companys Annual Report on Form 10-K for the fiscal year ended January 30, 2026. See Note 13 for additional details of the Companys income taxes. Accounting Pronouncements Not Yet Adopted - In November 2024, the FASB issued ASU 2024-03, Income Statement - Reporting Comprehensive Income - Expense Disaggregation Disclosures . The ASU requires a public business entity to provide disaggregated disclosures of certain categories of expenses on an annual and interim basis including purchase of inventory, employee compensation, depreciation, and intangible asset amortization for each income statement line item that contains those expenses. The ASU is effective for the Companys Annual Report on Form 10-K for the fiscal year ended January 28, 2028, and subsequent interim periods, with early adoption permitted. The Company is currently evaluating the impact of adopting this ASU on its disclosures. In September 2025, the FASB issued ASU 2025-06, Intangibles - Goodwill and Other Internal-Use Software . The ASU amends certain aspects of the accounting for and disclosure of internal-use software and clarifies the threshold that enti …

NewAccountingPronouncementsPolicyPolicyTextBlock · excerpt; the full note is in the filing

Employee Retirement Plans The Company maintains a defined contribution retirement plan for eligible employees (the 401(k) Plan). Eligible employees may participate in the 401(k) Plan the first of the month after thirty days of employment. The Company makes contributions to the 401(k) Plan each payroll period, based upon a matching formula applied to employee deferrals (the Company Match). Participants are eligible to receive the Company Match pursuant to the terms of the 401(k) Plan. The Company Match varies based on how much the employee elects to defer up to a maximum of 4.25% of eligible compensation. The Company Match is invested identically to employee contributions and is immediately vested. As of January 1, 2025, the 401(k) Plan allows participants to borrow from his or her account balance and receive required minimum distributions over the maximum time periods allowable under the Internal Revenue Code. The Company maintains a Benefit Restoration Plan to supplement benefits provided under the 401(k) Plan to participants whose benefits are restricted as a result of certain provisions of the Internal Revenue Code of 1986. This plan provides for employee salary deferrals and employer contributions in the form of a Company Match. The Company maintains a non-qualified deferred compensation program called the Lowes Cash Deferral Plan. This plan is designed to permit certain employees to defer receipt of portions of their compensation, thereby delaying taxation on the deferra …

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Related PartiesThe Companys President and Chief Executive Officer also serves on the Board of Directors of a vendor that provides transportation and business services to the Company. The Company purchased services from this vendor in the amount of $237million in 2025, $240 million in 2024, and $217 million in 2023. Amounts payable to this vendor were insignificant to the Company as of January30, 2026, and January31, 2025. …

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Revenue Net sales consists primarily of revenue, net of sales tax, associated with contracts with customers for the sale of goods and services in amounts that reflect consideration the Company is entitled to in exchange for those goods and services. The following table presents the Companys sources of revenue: (In millions) Years Ended January 30, 2026 January 31, 2025 February 2, 2024 Products $ 82,352 $ 80,538 $ 83,002 Services 2,542 1,934 2,097 Other 1,392 1,202 1,278 Net sales $ 86,286 $ 83,674 $ 86,377 The balances and classification within the consolidated balance sheets for anticipated sales returns and the associated right of return assets are as follows: (In millions) Classification January 30, 2026 January 31, 2025 Anticipated sales returns Other current liabilities $ 178 $ 167 Right of return assets Other current assets 109 99 Deferred revenue - retail and stored-value cards Deferred revenue for retail and stored-value cards are as follows: (In millions) January 30, 2026 January 31, 2025 Retail deferred revenue $ 936 $ 770 Stored-value cards deferred revenue 541 588 Deferred revenue $ 1,477 $ 1,358 Deferred revenue - Lowes protection plans Deferred revenue associated with Lowes protection plans is as follows: (In millions) January 30, 2026 January 31, 2025 Deferred revenue - Lowes protection plans $ 1,262 $ 1,268 Lowes protection plan sales previously recorded as deferred revenue and claim expenses incurred are as follows: (In millions) Years Ended January 30, 2026 …

RevenueFromContractWithCustomerTextBlock · excerpt; the full note is in the filing

Segment Information The Companys operations include one reportable operating segment, Retail Home Improvement, and the chief operating decision maker (CODM) is the Chairman, President, and Chief Executive Officer. Our operating segments reflect the way in which internally reported financial information is regularly reviewed by the CODM who has the ultimate decision-making authority for resource allocation and assessing performance of our segments. Retail Home Improvement Reportable Segment - We are engaged in retail operations that sell a wide assortment of home decor , hardlines, and building products both in stores and online throughout the United States. In addition, we have specialists on-site to provide services, including home improvement installation services, and tool and equipment rental. Other - As discussed in Note 2 , in 2025, Lowes acquired FBM, a leading distributor of interior building products, and ADG, a nationwide provider of design, distribution and installation services for interior surface finishes. FBM operations are organized into two lines of business and represent two operating segments, Ceilings and Wall Systems and Commercial Doors and Hardware. ADG is deemed to be a separate operating segment, referred to as Interior Finishes. These three operating segments do not meet the thresholds prescribed under ASC Topic 280 to be deemed a reportable segment, therefore, results from these operating segments are presented in Other. The CODM regularly reviews o …

SegmentReportingDisclosureTextBlock · excerpt; the full note is in the filing

Summary of Significant Accounting Policies Lowes Companies, Inc. and subsidiaries (the Company) is the worlds second-largest home improvement retailer and operated 1,759 stores and outlets in the United States as of January 30, 2026. In addition, Lowes operates over 540 branch locations in the United States and Canada, which include our current year acquisitions of Foundation Building Materials (FBM) and Artisan Design Group (ADG). See Note 2 for information on these acquisitions. Below are those accounting policies considered by the Company to be significant. Fiscal Year - The Companys fiscal year ends on the Friday nearest the end of January. Each of the fiscal years presented contained 52 weeks. All references herein for the years 2025, 2024, and 2023 represent the fiscal years ended January 30, 2026, January 31, 2025, and February 2, 2024, respectively. Principles of Consolidation - The consolidated financial statements include the accounts of the Company and its wholly-owned or controlled subsidiaries. The Company consolidates the financial results of FBM and ADG on a one-month lag due to differences in reporting calendars. All intercompany accounts and transactions have been eliminated. Foreign Currency - Gains and losses from foreign currency transactions are included in SG&A expense. Foreign currency denominated assets and liabilities are translated into U.S. dollars using the exchange rates in effect at the balance sheet date. Results of operations and cash flows …

SignificantAccountingPoliciesTextBlock · excerpt; the full note is in the filing

Shareholders' Deficit Authorized shares of preferred stock were 5.0 million ($5 par value) as of January 30, 2026, and January 31, 2025, none of which have been issued. The Board of Directors may issue the preferred stock (without action by shareholders) in one or more series, having such voting rights, dividend and liquidation preferences, and such conversion and other rights as may be designated by the Board of Directors at the time of issuance. Authorized shares of common stock were 5.6 billion ($0.50 par value) as of January 30, 2026, and January 31, 2025. The Company has a share repurchase program that is executed through purchases made from time to time either in the open market, which may be made under pre-set trading plans meeting the requirements of Rule 10b5-1(c) of the Securities Exchange Act of 1934, or through private off-market transactions. Shares purchased under the repurchase program are returned to authorized and unissued status. Any excess of cost over par value is charged to additional paid-in capital to the extent that a balance is present. Once additional paid-in capital is fully depleted, remaining excess of cost over par value is charged to accumulated deficit. On December 7, 2022, the Company announced that its Board of Directors authorized $15.0 billion of share repurchases under the program. As of January 30, 2026, the Company had $10.8 billion remaining under the program. In fiscal 2025, the Company paused its share repurchase program. From time to …

StockholdersEquityNoteDisclosureTextBlock · excerpt; the full note is in the filing

Subsequent Events On February 20, 2026, the Supreme Court declared that tariffs imposed under the International Emergency Economic Powers Act (IEEPA) were invalid as they exceeded the Presidents authority. Further, on March 4, 2026, the Court of International Trade ordered U.S. Customs and Border Protection to liquidate all entries which are not final without regard to IEEPA duties. We are evaluating these court rulings and will continue to monitor ongoing developments. At this time, we are unable to reasonably estimate the extent to which the rulings will impact our consolidated financial position, consolidated results of operations, and consolidated cash flows for the fiscal year ending January 29, 2027. …

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Acquisitions Artisan Design Group (ADG) On June 2, 2025, the Company completed the acquisition of ADG, a leading nationwide provider of design, distribution and installation services for interior surface finishes, including flooring, cabinets and countertops, to national, regional and local home builders and property managers, for an aggregate cash purchase price of $1.3 billion. Acquisition-related costs were expensed as incurred. In fiscal 2025, we recorded a preliminary allocation of the purchase price to the assets acquired and liabilities assumed based on their estimated acquisition date fair values. Measurement period adjustments to the purchase price allocation recognized during fiscal 2026 were immaterial, and our purchase price allocation is now finalized. Foundation Building Materials (FBM) On October 9, 2025, the Company completed the acquisition of FBM for an aggregate cash purchase price of $8.8 billion. Acquisition-related costs were expensed as incurred. FBM strengthens the Companys Total Home strategy by expanding our offerings to Pro customers through enhanced capabilities, faster fulfillment, improved digital tools, a robust trade credit platform, and significant cross-selling opportunities between FBM and Lowe's. In fiscal 2025, we recorded a preliminary allocation of the purchase price to the assets acquired and liabilities assumed based on their estimated acquisition date fair values. Areas that remain preliminary as of July 31, 2026 primarily relate to i …

BusinessCombinationDisclosureTextBlock · excerpt; the full note is in the filing

Debt Revolving Credit Facilities On September 16, 2025, the Company entered into a $2.0 billion five-year unsecured credit agreement (2025 Credit Agreement) with a syndicate of banks, which has a maturity date of September 2030, replacing the Companys $2.0 billion five-year unsecured revolving credit agreement entered into in December 2021, and as amended (Third Amended and Restated Credit Agreement). On September 16, 2025, the Company also amended the five-year unsecured revolving credit agreement dated September 1, 2023 (the 2023 Credit Agreement) with a syndicate of banks, which has a maturity date of September 2028 and an aggregate availability of $2.0 billion. Under the amendment, borrowings under the 2023 Credit Agreement will no longer be subject to a SOFR credit spread adjustment. The 2025 Credit Agreement and the 2023 Credit Agreement (collectively the Long-Term Credit Agreements) support the Companys commercial paper program. The amounts available to be drawn under the Long-Term Credit Agreements are reduced by the amount of borrowings under the commercial paper program. As of July 31, 2026, August 1, 2025 and January 30, 2026, there were no outstanding borrowings under the Companys current and prior year commercial paper program or the Long-Term Credit Agreements. On September 16, 2025, the Company also entered into a $1.0 billion 364-day unsecured revolving credit agreement (collectively with the Long-Term Credit Agreements the Revolving Credit Facilities) which h …

DebtDisclosureTextBlock · excerpt; the full note is in the filing

The following table presents the Companys sources of revenue: (In millions) Three Months Ended Six Months Ended July 31, 2026 August 1, 2025 July 31, 2026 August 1, 2025 Products $ 24,734 $ 22,973 $ 46,789 $ 43,141 Services 783 655 1,489 1,200 Other 439 331 756 547 Net sales $ 25,956 $ 23,959 $ 49,034 $ 44,888 …

DisaggregationOfRevenueTableTextBlock · excerpt; the full note is in the filing

Fair Value Measurements Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The authoritative guidance for fair value measurements establishes a three-level hierarchy, which encourages an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The three levels of the hierarchy are defined as follows: Level 1 - inputs to the valuation techniques that are quoted prices in active markets for identical assets or liabilities Level 2 - inputs to the valuation techniques that are other than quoted prices but are observable for the assets or liabilities, either directly or indirectly Level 3 - inputs to the valuation techniques that are unobservable for the assets or liabilities Assets and Liabilities that are Measured at Fair Value on a Recurring Basis The following table presents the Companys financial assets and liabilities measured at fair value on a recurring basis as of July 31, 2026, August 1, 2025, and January 30, 2026: Fair Value Measurements at (In millions) Classification Measurement Level July 31, 2026 August 1, 2025 January 30, 2026 Available-for-sale debt securities: Money market funds Short-term investments Level 1 $ 76 $ 60 $ 81 U.S. Treasury securities Short-term investments Level 1 75 225 195 Corporate debt securities Short-term investments Level 2 46 5 32 Foreign governme …

FairValueDisclosuresTextBlock · excerpt; the full note is in the filing

Goodwill and Intangible Assets Goodwill The following table presents the changes in the carrying amount of our goodwill: (In millions) Retail Home Improvement Other 1 Consolidated Goodwill, balance at January 30, 2026 $ 311 $ 3,634 $ 3,945 Other 2 12 12 Goodwill, balance at July 31, 2026 $ 311 $ 3,646 $ 3,957 1 Goodwill activity within non-reportable operating segments. 2 Includes immaterial acquisitions and measurement period adjustments. Intangible Assets The gross carrying amount and accumulated amortization of intangible assets consist of the following: July 31, 2026 August 1, 2025 January 30, 2026 (In millions) Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount Definite-lived intangible assets: Customer-related $ 4,722 $ (292) $ 4,430 $ 788 $ (105) $ 683 $ 4,722 $ (174) $ 4,548 Trademarks and trade names 1,100 (76) 1,024 150 (20) 130 1,100 (40) 1,060 Other 207 (86) 121 35 (6) 29 208 (42) 166 Total definite-lived intangible assets $ 6,029 $ (454) $ 5,575 $ 973 $ (131) $ 842 $ 6,030 $ (256) $ 5,774 Indefinite-lived intangible assets: Trademark $ 134 $ $ 134 $ 134 $ $ 134 $ 134 $ $ 134 Total intangible assets $ 6,163 $ (454) $ 5,709 $ 1,107 $ (131) $ 976 $ 6,164 $ (256) $ 5,908 Our intangible asset amortization expense was $98 million and $12 million for the three months ended July 31, 2026 and August 1, 2025, respectively, an …

GoodwillAndIntangibleAssetsDisclosureTextBlock · excerpt; the full note is in the filing

Accounting Pronouncements Not Yet Adopted Accounting pronouncements not disclosed in this Form 10-Q or in the Annual Report are either not applicable to the Company or are not expected to have a material impact to the Company.

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Revenue Net sales consists primarily of revenue, net of sales tax, associated with contracts with customers for the sale of goods and services in amounts that reflect consideration the Company is entitled to in exchange for those goods and services. The following table presents the Companys sources of revenue: (In millions) Three Months Ended Six Months Ended July 31, 2026 August 1, 2025 July 31, 2026 August 1, 2025 Products $ 24,734 $ 22,973 $ 46,789 $ 43,141 Services 783 655 1,489 1,200 Other 439 331 756 547 Net sales $ 25,956 $ 23,959 $ 49,034 $ 44,888 A provision for anticipated merchandise returns is provided through a reduction of sales and cost of sales in the period that the related sales are recorded. The merchandise return reserve is presented on a gross basis, with a separate asset and liability included in the consolidated balance sheets. The balances and classification within the consolidated balance sheets for anticipated sales returns and the associated right of return assets are as follows: (In millions) Classification July 31, 2026 August 1, 2025 January 30, 2026 Anticipated sales returns Other current liabilities $ 212 $ 211 $ 178 Right of return assets Other current assets 129 123 109 Deferred revenue - retail and stored-value cards Retail deferred revenue consists of amounts received for which customers have not yet taken possession of the merchandise or for which installation has not yet been completed. The majority of revenue for goods and services is re …

RevenueFromContractWithCustomerTextBlock · excerpt; the full note is in the filing

Segment Information The Companys operations include one reportable operating segment, Retail Home Improvement, and the chief operating decision maker (CODM) is the Chairman, President, and Chief Executive Officer. Our operating segments reflect the way in which internally reported financial information is regularly reviewed by the CODM who has the ultimate decision-making authority for resource allocation and assessing performance of our segments. Retail Home Improvement Reportable Segment - We are engaged in retail operations that sell a wide assortment of home decor , hardlines, and building products both in stores and online throughout the United States. In addition, we have specialists on-site to provide services, including home improvement installation services, and tool and equipment rental. Other - As discussed in Note 2 , in 2025, Lowes acquired FBM, a leading distributor of interior building products, and ADG, a nationwide provider of design, distribution and installation services for interior surface finishes. FBM operations are organized into two lines of business and represent two operating segments, Ceilings and Wall Systems and Commercial Doors and Hardware. ADG is deemed to be a separate operating segment, referred to as Interior Finishes. These three operating segments do not meet the thresholds prescribed under ASC Topic 280 to be deemed a reportable segment, therefore, results from these operating segments are presented in Other. The CODM regularly reviews o …

SegmentReportingDisclosureTextBlock · excerpt; the full note is in the filing

Summary of Significant Accounting Policies Basis of Presentation The accompanying condensed consolidated financial statements (unaudited) and notes to the condensed consolidated financial statements (unaudited) are presented in accordance with the rules and regulations of the Securities and Exchange Commission and do not include all the disclosures normally required in annual consolidated financial statements prepared in accordance with accounting principles generally accepted in the United States of America (GAAP). The condensed consolidated financial statements (unaudited), in the opinion of management, contain all normal recurring adjustments necessary to present fairly the consolidated balance sheets as of July 31, 2026, and August 1, 2025, and the statements of earnings, comprehensive income, and shareholders deficit for the three and six months ended July 31, 2026, and August 1, 2025, and cash flows for the six months ended July 31, 2026, and August 1, 2025. The January 30, 2026, consolidated balance sheet was derived from the audited financial statements. The Company consolidates the financial results of Foundation Building Materials (FBM) and Artisan Design Group (ADG) on a one-month lag due to differences in reporting calendars. These interim condensed consolidated financial statements (unaudited) should be read in conjunction with the audited consolidated financial statements and notes thereto included in the Lowes Companies, Inc. (the Company) Annual Report on Form …

SignificantAccountingPoliciesTextBlock · excerpt; the full note is in the filing

Shareholders Deficit The Company has a share repurchase program that is executed through purchases made from time to time either in the open market, which may be made under pre-set trading plans meeting the requirements of Rule 10b5-1(c) of the Securities Exchange Act of 1934, or through private off-market transactions. Shares purchased under the repurchase program are returned to authorized and unissued status. Any excess of cost over par value is charged to additional paid-in capital to the extent that a balance is present. Once additional paid-in capital is fully depleted, remaining excess of cost over par value is charged to accumulated deficit. As of July 31, 2026, the Company had $10.5 billion remaining in its share repurchase program. The Company also withholds shares from employees to satisfy either the exercise price of stock options exercised or the statutory withholding tax liability resulting from the vesting of share-based awards. Total shares repurchased for the three and six months ended July 31, 2026, and August 1, 2025, were as follows: Three Months Ended July 31, 2026 August 1, 2025 (In millions) Shares Cost Shares Cost Share repurchase program 1 $ $ (3) Shares withheld from employees 2 2 Total share repurchases $ 2 $ (1) Six Months Ended July 31, 2026 August 1, 2025 (In millions) Shares Cost Shares Cost Share repurchase program 1 1.2 $ 302 $ (3) Shares withheld from employees 0.3 65 0.3 72 Total share repurchases 1.5 $ 367 0.3 $ 69 1 Includes excise tax on …

StockholdersEquityNoteDisclosureTextBlock · excerpt; the full note is in the filing