Construction News: Lowe's Warns of Earning Slide
Monday, November 20, 2006
NEW YORK (CNNMoney.com) -- "Lowe's Cos., the No. 2 home improvement retailer behind Home Depot, on Monday said third-quarter profit rose but warned it would miss forecasts for the current period.
But Lowe's said it expects to earn 36 to 38 cents a share in the fiscal fourth quarter, which runs through Feb. 2. First Call had been forecasting earnings of 41 cents a share, although the better than expected third quarter may let it still meet the full-year forecast of $1.97 a share. It said it expects EPS of $1.95 to $1.97 for the full fiscal year.
Sales at stores open at least a year, an important retail gauge known as same-store sales, fell 4 percent in the quarter. The company blamed the weak sales comparison on the combined effects of a slowing housing market, significant deflation in certain commodity categories, and a difficult comparison to last year, when there was significant spending on hurricane recovery and rebuilding efforts.
"We believe many external headwinds will exist through the balance of the year and the first half of fiscal 2007," said a statement from Lowe's Chairman and CEO Robert Niblock.
Last week, Home Depot reported weaker than expected earnings, as its executives citing a slowing U.S. economy, declining home sales and prices, and fewer refinancings for the weaker than expected performance of its retail division.Housing starts and building permits both fell sharply in October, the government reported Friday, as builders responded to weaker prices and a large inventory of homes for sale by stopping building.
But Lowe's said it expects to earn 36 to 38 cents a share in the fiscal fourth quarter, which runs through Feb. 2. First Call had been forecasting earnings of 41 cents a share, although the better than expected third quarter may let it still meet the full-year forecast of $1.97 a share. It said it expects EPS of $1.95 to $1.97 for the full fiscal year.
Sales at stores open at least a year, an important retail gauge known as same-store sales, fell 4 percent in the quarter. The company blamed the weak sales comparison on the combined effects of a slowing housing market, significant deflation in certain commodity categories, and a difficult comparison to last year, when there was significant spending on hurricane recovery and rebuilding efforts.
"We believe many external headwinds will exist through the balance of the year and the first half of fiscal 2007," said a statement from Lowe's Chairman and CEO Robert Niblock.
Last week, Home Depot reported weaker than expected earnings, as its executives citing a slowing U.S. economy, declining home sales and prices, and fewer refinancings for the weaker than expected performance of its retail division.Housing starts and building permits both fell sharply in October, the government reported Friday, as builders responded to weaker prices and a large inventory of homes for sale by stopping building.
Building Your Company Brand
Sunday, November 19, 2006
What is branding? Your small business needs an identity - your identity is based on your company strengths. Your strengths are the values your service provides better than any other company (your skills, your prices, or your customer service.) When you know your service's strength, you want to promote this strength to current and potential clients.How do you promote your Company Brand? You must let people know about your company strengths everywhere you have a presence and it must be consistent. Your company logo, name, and even your colors and fonts should be present and look identical on all of these sources:
- Business Name
- Business Logo
- Business Slogan
- Showroom
- Signage/Company Vehicles
- Uniforms
- Website
- Yard Signs/Door Hangers
- Business Cards/Letterhead
- Tradeshows
- Advertisements
If your company strength is your excellent customer service, for example, you need to preach this to every customer in all of these places. Your slogan should have your customer service promise: "Ed's Plumbing: We're Always Ready to Help - Night & Day!" It would even be great if everyone answered your phone by saying, "Ed's Plumbing -- I'm here to help! Night and day!" Because it reinforces your service's brand and people will return to you, refer you, and sing your praises. That's what keeps your business going strong.
