Lowe’s faces challenges due to inflation, tariffs, and a shaky housing market. Despite a slight increase in sales, customer behavior remains concerning. Comparable sales rose by 1.1%, average spend per purchase increased by 2.9%, but comparable transactions declined by 1.8%. Customer visits to Lowe’s locations dropped by 3.9%.

Chief Financial Officer Brandon Sink cites challenges in the housing market and higher labor costs affecting Pro customers. Existing-home sales dropped by 0.2% in August, with a median price increase to $422,600. Mortgage rates above 6% continue to impact the market.

Lowe’s completes a billion-dollar acquisition of Foundation Building Materials to boost Pro customer offerings. The acquisition of FBM aims to accelerate sales and profits by expanding interior building product distribution. CEO Marvin Ellison highlights the importance of the acquisition in serving large Pro customers and addressing market needs.

Home Depot and Lowe’s both focus on expanding Pro offerings to counter declining foot traffic. Home Depot recently closed a $5.5 billion acquisition of GMS and a previous $18.25 billion acquisition of SRS Distribution. Both companies aim to strengthen their position in the building materials market and better serve Pro customers.

Read more at Yahoo Finance: Lowe’s finalizes billion-dollar acquisition to win back customers