Review and analyze Lowes Companies, Inc "Lowes" using the concepts you learned in Modules 15 & 16. See grading rubric for assignment requirements.

Prepare a posting to discuss:

What does the FINANCIAL STATEMENT Download financial statement and analysis completed in this module tell you about Lowes? Include four elements from company analysis.

What did you find interesting as you review ratios computed for Lowes. Include two of more ratios.

Locate other Information to provide additional observations about Lowes performance in our current business economy and their industry? Look at Lowes anuual report Download annualreport and do online search for information about the company, industry and its prospects?

the financial statement

Consolidated Statements of Earnings - USD ($) $ in Millions 12 Months Ended Jan. 28, 2022 Jan. 29, 2021 Jan. 31, 2020 Current Earnings Net sales $ 96,250 $ 89,597 $ 72,148 Cost of sales 64,194 60,025 49,205 Gross margin 32,056 29,572 22,943 Expenses: Selling, general and administrative 18,301 18,526 15,367 Depreciation and amortization 1,662 1,399 1,262 Operating income 12,093 9,647 6,314 Interest net 885 848 691 Loss on extinguishment of debt 0 1,060 0 Pre-tax earnings 11,208 7,739 5,623 Income tax provision 2,766 1,904 1,342 Net earnings $ 8,442 $ 5,835 $ 4,281 Basic earnings per common share (in dollars per share) $ 12.07 $ 7.77 $ 5.49 Diluted earnings per common share (in dollars per share) $ 12.04 $ 7.75 $ 5.49 Current Earnings (Percentages) Net sales 100.00% 100.00% 100.00% Cost of sales 66.70% 66.99% 68.20% Gross margin 33.30% 33.01% 31.80% Expenses (Percentages) Selling, general and administrative 19.01% 20.68% 21.30% Depreciation and amortization 1.73% 1.56% 1.75% Operating income 12.56% 10.77% 8.75% Interest net 0.92% 0.95% 0.96% Loss on extinguishment of debt 0.00% 1.18% 0.00% Pre-tax earnings 11.64% 8.64% 7.79% Income tax provision 2.87% 2.13% 1.86% Net earnings 8.77% 6.51% 5.93%

Lowes Companies Inc Consolidated Balance Sheets - USD ($) $ in Millions Jan. 28, 2022 Jan. 29, 2021 Current assets: Cash and cash equivalents $ 1,133 $ 4,690 Short-term investments 271 506 Merchandise inventory net 17,605 16,193 Other current assets 1,051 937 Total current assets 20,060 22,326 Property, less accumulated depreciation 19,071 19,155 Operating lease right-of-use assets 4,108 3,832 Long-term investments 199 200 Deferred income taxes net 164 340 Other assets 1,038 882 Total assets 44,640 46,735 Current liabilities: Current maturities of long-term debt 868 1,112 Current operating lease liabilities 636 541 Accounts payable 11,354 10,884 Accrued compensation and employee benefits 1,561 1,350 Deferred revenue 1,914 1,608 Other current liabilities 3,335 3,235 Total current liabilities 19,668 18,730 Long-term debt, excluding current maturities 23,859 20,668 Noncurrent operating lease liabilities 4,021 3,890 Deferred revenue Lowes protection plans 1,127 1,019 Other liabilities 781 991 Total liabilities 49,456 45,298 Commitments and contingencies Shareholders (deficit)/equity: Preferred stock $5 par value: Authorized 5.0 million shares; Issued and outstanding none 0 0 Common stock $0.50 par value: Authorized 5.6 billion shares; Issued and outstanding 670 million and 731 million, respectively 335 366 Capital in excess of par value 0 90 (Accumulated deficit)/retained earnings (5,115) 1,117 Accumulated other comprehensive loss (36) (136) Total shareholders (deficit)/equity (4,816) 1,437 Total liabilities and shareholders (deficit)/equity $ 44,640 $ 46,735

Lowes Companies Inc Consolidated Statements of Cash Flows - USD ($) $ in Millions 12 Months Ended Jan. 28, 2022 Jan. 29, 2021 Jan. 31, 2020 Cash flows from operating activities: Net earnings $ 8,442 $ 5,835 $ 4,281 Adjustments to reconcile net earnings to net cash provided by operating activities:Depreciation and amortization 1,882 1,594 1,410 Noncash lease expense 517 479 468 Deferred income taxes 135 (108) 177 Loss on property and other assets net 34 139 117 Loss on extinguishment of debt 0 1,060 0 Share-based payment expense 230 155 98 Changes in operating assets and liabilities: Merchandise inventory net (1,413) (2,967) (600) Other operating assets (23) 326 (364) Accounts payable 466 3,211 (637) Deferred revenue 413 512 (15) Other operating liabilities (570) 813 (639) Net cash provided by operating activities 10,113 11,049 4,296 Cash flows from investing activities: Purchases of investments (3,065) (3,094) (743) Proceeds from sale/maturity of investments 3,293 2,926 695 Capital expenditures (1,853) (1,791) (1,484) Proceeds from sale of property and other long-term assets 113 90 163 Other net (134) (25) 0 Net cash used in investing activities (1,646) (1,894) (1,369) Cash flows from financing activities: Net change in commercial paper 0 (941) 220 Net proceeds from issuance of debt 4,972 7,929 3,972 Repayment of debt (2,118) (5,618) (1,113) Proceeds from issuance of common stock under share- based payment plans 132 152 118 Cash dividend payments (1,984) (1,704) (1,618) Repurchases of common stock (13,012) (4,971) (4,313) Other net (6) (38) (1) Net cash used in financing activities (12,016) (5,191) (2,735) Effect of exchange rate changes on cash (8) 10 1 Net (decrease)/increase in cash and cash equivalents, including cash classified within current assets held for sale (3,557) 3,974 193 Less: Net decrease in cash classified within current assets held for sale 0 0 12 Net (decrease)/increase in cash and cash equivalents (3,557) 3,974 205 Cash and cash equivalents, beginning of year 4,690 716 511 Cash and cash equivalents, end of year $ 1,133 $ 4,690 $ 716