v3.26.1
Revenue
 3 Months Ended
May 01, 2026
Revenue from Contract with Customer [Abstract]  
Revenue Revenue
Net sales consists primarily of revenue, net of sales tax, associated with contracts with customers for the sale of goods and services in amounts that reflect consideration the Company is entitled to in exchange for those goods and services.
The following table presents the Company’s sources of revenue:
(In millions)Three Months Ended
May 1, 2026May 2, 2025
Products $22,055 $20,169 
Services706 544 
Other317 217 
Net sales$23,078 $20,930 

A provision for anticipated merchandise returns is provided through a reduction of sales and cost of sales in the period that the related sales are recorded.  The merchandise return reserve is presented on a gross basis, with a separate asset and liability included in the consolidated balance sheets. The balances and classification within the consolidated balance sheets for anticipated sales returns and the associated right of return assets are as follows:
(In millions)ClassificationMay 1,
2026		May 2,
2025		January 30,
2026
Anticipated sales returnsOther current liabilities$251 $245 $178 
Right of return assetsOther current assets153 144 109 

Deferred revenue - retail and stored-value cards
Retail deferred revenue consists of amounts received for which customers have not yet taken possession of the merchandise or for which installation has not yet been completed. The majority of revenue for goods and services is recognized in the quarter following revenue deferral. Stored-value cards deferred revenue includes outstanding stored-value cards such as gift cards and returned merchandise credits that have not yet been redeemed. Deferred revenue for retail and stored-value cards are as follows:
(In millions)May 1,
2026		May 2,
2025		January 30,
2026
Retail deferred revenue$1,157 $1,001 $936 
Stored-value cards deferred revenue472 499 541 
Deferred revenue$1,629 $1,500 $1,477 

Deferred revenue - Lowe’s protection plans
The Company defers revenues for its separately-priced long-term extended protection plan contracts (Lowe’s protection plans) and recognizes revenue on a straight-line basis over the respective contract term. Expenses for claims are recognized in cost of sales when incurred.
(In millions)May 1,
2026		May 2,
2025		January 30,
2026
Deferred revenue - Lowe’s protection plans$1,248 $1,266 $1,262 

Three Months Ended
(In millions)May 1, 2026May 2, 2025
Lowe’s protection plans deferred revenue recognized into sales$144 $143 
Lowe’s protection plans claim expenses61 58 
Disaggregation of Revenues

The following table presents the Company’s net sales disaggregated by merchandise division:
Three Months Ended
May 1, 2026May 2, 2025
(In millions)Net Sales%Net Sales%
Home Décor1
$7,174 31.1 %$7,095 33.9 %
Building Products2
6,813 29.5 6,839 32.7 
Hardlines3
6,786 29.4 6,572 31.4 
Other551 2.4 424 2.0 
Retail Home Improvement21,324 92.4 20,930 100.0 
Other segment net sales1,754 7.6 — — 
Total$23,078 100.0 %$20,930 100.0 %
Note: Merchandise division net sales for the prior period have been reclassified to conform to the current period presentation.
1    Home Décor includes the following product categories: Appliances, Flooring, Kitchens & Bath, and Paint.
2    Building Products includes the following product categories: Building Materials, Electrical, Lumber, Millwork, and Rough Plumbing.
3    Hardlines includes the following product categories: Lawn & Garden, Power Equipment, Seasonal & Outdoor Living, and Tools & Hardware.

The following table presents the Company’s net sales disaggregated by geographical area:
(In millions)Three Months Ended
May 1, 2026May 2, 2025
United States$23,010 $20,930 
Canada68 — 
Net Sales$23,078 $20,930