Lowes is giving back to some of its employees in a big way.
The Mooresville-based home improvement retailer is distributing $80 million in discretionary bonuses, CEO Marvin Ellison told The Charlotte Observer last week during the company’s fourth-quarter earnings call.
According to Ellison, some employees could receive up to $10,000 in surprise bonuses.
“Lowes reported better-than-expected earnings results despite a difficult home improvement macro environment,” he said.
Ellison also told The Charlotte Observer and other local media that he was pleased the company ended the year in a strong financial position, allowing it to reward store managers and assistant managers with unexpected bonuses.
According to him, store managers will receive around $10,000, while assistant managers will get about $5,000.
“We were just really happy to be able to provide that to them in recognition of their hard work and great customer service,” Ellison said.
Lowes revenue remained flat at $18.6 billion compared to the same period last year but exceeded forecasts of $18.3 billion.
According to The Observer, comparable data showed that sales increased by 0.2%, which Ellison attributed to rising pro and online sales, strong seasonal performance, and rebuilding efforts following recent hurricanes.
However, heading into spring, Lowes aims to do even better and is making major plans, including:
- Leaning into its loyalty programs for both professionals and DIYers with more offers.
Pro sales have shown high single-digit growth for the second consecutive quarter, driven by improved inventory, job site delivery, and a better digital experience, Ellison said.
Since launching last year, the DIY loyalty program has grown to 30 million members, who are now outspending nonmembers by nearly 50%, according to Bill Boltz, Lowes executive vice president of merchandising.
- Opening five to 10 new stores this year.
- Introducing an AI-powered home improvement virtual advisor, set to launch next month
- Expanding its selection of essential brand products priced at $10 and below, including household staples like clothes hangers, gardening tools, and watering cans
As of January 31, Lowes operates 1,748 stores and employs approximately 300,000 workers, the majority of whom work hourly.
