Lowe's shutters Orchard Supply stores
Nearly 100 stores and 4,000 employees will be impacted.
Lowe’s reported its second quarter earnings on Wednesday, beating expectations. But there is bad news for subsidiary Orchard Supply Hardware.
Lowe’s net income rose 7% to $1.52 billion in the second quarter, with the company earning $2.07 per share and net sales rising 7% to $20.89 billion. But the home improvement chain missed analyst estimates for same-store sales, rising 5.2%—just shy of the average 5.34% estimate.
With the news of struggling same-store sales, Lowe’s also announced that it would be shuttering all of the Orchard Supply Hardware stores by year’s end. Lowe’s had bought the chain in 2013, not long after it had filed for bankruptcy protection.
Lowe’s informed Orchard’s 4,000 employees on Tuesday that the stores would be closing permanently. Liquidations are reportedly scheduled to begin on Thursday. Lowe’s also said it would begin to “aggressively rationalize store inventory,” cutting back on slow-selling products.
Source: Fortune.com
CONTRACTOR SUPPLY MAGAZINE
The April/May 2024 issue of Contractor Supply magazine is here!
This digital edition is sponsored by BECK AMERICA Inc.
Our cover story, Masters of Fasteners, visits Interstate Screw Corp. of metro Miami, which serves the fastening needs of south Florida, the Caribbean and Central and South America.
Also in this issue,our Industry Updates cover Adhesives, Tapes and Sealants, Anchoring Systems and Safety and PPE.
This digital edition is fully searchable and contains live links to every advertiser and new product listing. Click away!
