CEO Marvin Ellison says the retailer's turnaround is progressing, citing "results we are seeing in early spring categories."
While Lowe's is streamlining its business, it "still has to address its status as a second-fiddle retailer."
The company crushed earnings forecasts and called the Trump administration's tariffs on lumber and appliances "manageable."
It was a "garden story" for the retailer in Q1 as severe winter weather weighed on sales of gardening supplies.
The retailer spent heavily in Q4 to convert store traffic into sales but gross margins fell 68 basis points to 33.73%.
The retailer's same-store sales rose 7.9% in Q3 as hurricanes sent consumers to its stores in the South for rebuilding supplies.
Same-store sales grew 1.9%, above the company's historical average but below rival Home Depot's 5.5% gain in its first quarter.
The $512 million acquisition of Maintenance Supply Headquarters will enhance Lowe's ability to serve customers such as contractors.
The retailer has benefited from the strength of the U.S. housing market but same-store sales grew at the slowest rate in nine quarters.
