What changed in this filing

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Item 1. Business

2026-03-23 compared with 2025-03-24 · 84 added, 94 removed, 133 unchanged (57% of the section changed)

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and subsidiaries (the Company or Lowe’s) is a Fortune ® 100 company and the world’s second largest home improvement retailer.

As of January 31, 2025, Lowe’s opera ted 1,748 home improvement stores and outlets in the United States, representing approximately 195 million sq uare feet of retail selling space.

As of January 30, 2026, Lowe’s operated 1,759 home improvement stores and outlets in the United States, representing approximately 196 million square feet of retail selling space.

In addition, Lowe’s operated over 540 branch locations in the United States and Canada, which include our current year acquisitions of Foundation Building Materials (FBM) and Artisan Design Group (ADG).

Lowe’s was founded in 1921 with the opening of its first hardware store in North Wilkesboro, North Carolina.

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space productivity

• We continue to transform our Pro offerings to drive Pro penetration by continuing to enhance our Pro product assortment, investing in inventory of high-volume Pro products, launching our redesigned loyalty program, improving job site delivery capabilities, and rolling out our new Pro extended aisle.

• We are investing in our omnichannel retail capabilities to accelerate our online business through project design tools and our online product marketplace.

• We continue to transform our Pro offerings to drive Pro penetration by continuing to enhance our Pro product assortment, including expanding our offerings to the larger Pro customer through our acquisitions of FBM and ADG, investing in inventory of high-volume Pro products, leveraging our redesigned loyalty program, improving job site delivery capabilities, expanding our Pro extended aisle, and building a comprehensive interior solutions platform.

• We are investing in our omnichannel retail capabilities to accelerate our online business through expansion of our product offerings, enhanced fulfillment capabilities, and a simplified user experience.

• We are expanding our installation services to create a high value simplified installation solution, which are provided by our network of independent installers or outsourced to our third-party model that sells, furnishes, and installs both smaller refresh projects and more complex projects.

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Our Customers and Market

The home improvement market in which we operate is highly fragmented, serving Pro customers, individual homeowners, and renters completing a wide array of projects that vary along the spectrum of DIY and do-it-for-me (DIFM).

The Pro customer at Lowe’s is primarily the small to medium sized Pro, which includes three broad categories:

The home improvement market in which we operate is highly fragmented.

Our retail stores and online focus on serving individual homeowners and renters completing a wide array of projects, that vary along the spectrum of DIY and do-it-for-me (DIFM).

In addition, we focus on Pro customers that are primarily the small to medium sized Pro, which includes three broad categories:

tradespeople, repair and remodelers, and property managers.

With the acquisitions of FBM and ADG in 2025, we are taking an important step in our Total Home strategy to serve larger Pro customers in the residential and commercial markets.

There are many variables that affect consumer demand for the home improvement products and services we offer.

Key indicators we monitor include home price appreciation, age of the housing stock, real disposable personal income, and housing turnover.

We also monitor demographic and societal trends that shape home improvement industry growth over time as the US population moves through major life stages and events.

These include strong millennial household formation, an increased preference among older generations to age in place, and the persistence of remote work.

Key indicators we monitor include home price appreciation, age of the housing stock, real disposable personal income, housing turnover, and residential and commercial construction.

We also monitor demographic and societal trends that shape home improvement industry growth over time as the U.S.

population moves through major life stages and events.

Our Competition

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We compete with national and regional home improvement warehouse chains and lumber yards in most of the markets we serve.

We also compete with traditional hardware, plumbing, electrical, and home supply retailers, as well as paint stores, lumber yards, garden centers, and maintenance and repair organizations.

We also compete with traditional hardware, plumbing, electrical, drywall and home supply retailers and distributors, as well as paint stores, lumber yards, garden centers, and maintenance and repair organizations.

In addition, we compete with general merchandise retailers, home goods specialty stores, warehouse clubs, online retailers, other specialty retailers, providers of equipment and tool rental, service providers that install home improvement products, and wholesalers that provide home-related products and services to homeowners, renters, businesses, and the government.

Location of stores, product assortment, product pricing, and customer service continue to be key competitive factors in our industry, while the evolution of technology, including artificial intelligence (AI) and machine learning technologies, expansion of fulfillment capabilities, and customer expectations also underscore the importance of omnichannel capabilities as a competitive factor.

Location of stores and branches, product assortment, product pricing, fulfillment capabilities, and customer service continue to be key competitive factors in our industry, while the evolution of technology, including artificial intelligence (AI) and machine learning technologies and customer expectations also underscore the importance of omnichannel capabilities as a competitive factor.

See further discussion of competition in Item 1A , “Risk Factors”, of this Annual Report.

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We are committed to meeting customer demand to shop however, whenever, and wherever they choose.

Our omnichannel network provides a single view of the customer, no matter where they place their order, whether in-store, online, on-site or through the contact center.

Our omnichannel retail network provides a single view of the customer, no matter where they place their order, whether in-store, online, on-site, or through the contact center.

This allows our customers to move from channel to channel with simple and seamless transitions even within the same transaction.

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Regardless of the channels through which customers choose to engage with us, we strive to provide them with a seamless experience across channels and an extended aisle of products, enabled by our flexible fulfillment capabilities.

Our ability to sell products in-store, online, on-site, or through our contact centers speaks to our leverage of our existing infrastructure with the omnichannel capabilities we continue to introduce.

Our 1,748 Lowe’s-branded home improvement stores and outlet stores are generally open seven days per week and average approximately 112,000 square feet of retail selling space, plus approximately 32,000 square feet of outdoor garden center selling space.

Our home improvement stores offer similar products and services, with certain variations based on localization, along with a dedicated team of knowledgeable and friendly frontline associates available to assist our customers.

We continue to develop and implement productivity tools, including our front-end transformation and freight flow optimization initiatives, to enhance the efficiency of our sales associates and improve the customer experience.

Our ability to sell products in-store, online, on-site, through one of our branch locations, or through our contact centers speaks to our leverage of our existing infrastructure with the omnichannel capabilities we continue to introduce.

Our 1,759 Lowe’s-branded retail home improvement stores and outlet stores are generally open seven days per week and average approximately 112,000 square feet of retail selling space, plus approximately 32,000 square feet of outdoor garden center selling space.

Our retail home improvement stores offer similar products and services, with certain variations based on localization, along with a dedicated team of knowledgeable and friendly frontline associates available to assist our customers.

We continue to develop and implement productivity tools, including freight flow optimization and advanced AI customer service tools, to enhance the efficiency of our sales associates and improve the customer experience.

Our 16 Lowe’s Outlet stores have a smaller format and offer value to our customers through incremental savings on discontinued, overstocked, or scratch and dent items.

Through our websites and mobile applications, we seek to empower consumers by providing a 24/7 shopping experience, product information, customer ratings and reviews, buying guides, how-to videos, and other information.

Through our websites and mobile applications, we seek to empower consumers by providing a 24/7 shopping experience, expanded product assortment, product information, customer ratings and reviews, buying guides, how-to videos, and other information.

These tools help consumers make more informed purchasing decisions and give them increased confidence to undertake home improvement projects.

We enable customers to choose from a variety of fulfillment options, including buying online and picking up in-store, curbside pick-up, same-day delivery through our gig network, and shipment to their homes or businesses.

Further, we also offer digital inspiration, design, and project management tools across our destination home improvement categories.

We have on-site specialists available for retail and Pro customers to assist them in selecting products and services for their projects.

Further, we also offer digital inspiration, design, and project management tools across multiple home improvement categories.

We have on-site specialists available for our customers to assist them in selecting products and services for their projects.

Our Pro sales managers meet with Pro customers at their place of business or on a job site and leverage nearby stores and our distribution network to ensure we meet customer needs for products and resources.

In addition, our In-Home Sales program is available in the majority of our stores to discuss various exterior projects such as windows, doors, and fencing, whose characteristics lend themselves to an in-home consultative sales approach.

Lowe’s has over 540 branch locations that serve larger Pro customers.

Our nationwide branch locations specialize in the delivery and installation of building materials for residential and commercial projects, while providing reliable local service and trusted expertise.

Services delivered by these locations include distribution of product to large residential and commercial professionals in both new construction and repair and remodel applications, as well as providing design, distribution and installation services to home builders and property managers.

Contact Centers

Lowe’s operates contact centers utilizing a combination of internal staffing and third-party providers.

These contact centers help Lowe’s enable an omnichannel customer experience by providing the ability to tender sales, assist with order management, coordinate deliveries, manage after-sale installations, and answer general customer questions via phone, mail, e-mail, live chat, and social media.

These contact centers enable an omnichannel customer experience by tendering sales, assisting with order management, coordinating deliveries, managing after-sale installations, and answering general customer questions via phone, mail, e-mail, live chat, and social media.

Product Selection

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We offer home improvement products in the following categories:

Appliances, Seasonal & Outdoor Living, Lumber, Lawn & Garden, Kitchens & Bath, Hardware, Building Materials, Millwork, Paint, Rough Plumbing, Tools, Electrical, Flooring, and Décor.

Appliances, Seasonal & Outdoor Living, Lumber, Lawn & Garden, Hardware, Kitchens & Bath, Building Materials, Rough Plumbing, Paint, Millwork, Tools, Electrical, Flooring, and Décor.

A typical Lowe’s-branded home improvement store stocks approximately 37,000 items, with additional items available through our online selling channel.

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To efficiently replenish our stores and meet our customers’ expectations for fast fulfillment and delivery, we own and operate more than 120 supply chain facilities in our network.

These facilities include regional distribution centers (RDCs), flatbed distribution centers (FDCs), import distribution centers (IDCs), bulk distribution centers (BDCs), cross-dock terminals (XDTs), and Fulfillment Centers (FCs).

Fulfillment centers, along with many of our stores, ship product directly to our customers.

In addition, we leverage our existing supply chain to deliver directly to our Pro customers.

These facilities include regional distribution centers, flatbed distribution centers, import distribution centers, bulk distribution centers, cross-dock terminals, and Fulfillment Centers.

Each one of these distribution nodes plays a critical role in our Total Home strategy and collectively enable our products to get to their destination as efficiently as possible.

The FDCs distribute merchandise that requires special handling due to size or type of packaging such as lumber, boards, panel products, pipe, siding, ladders, and building materials.

On average, each RDC and FDC serves approximately 115 stores.

Our Pro fulfillment network stocks deeper quantities of our top Pro assortments and has expanded capabilities to handle large orders on multiple flat bed trucks.

Our IDCs were expanded to create more capacity to hold import product at the coast, which improves our network’s agility to move inventory where and when it is needed.

Our BDCs handle appliances and other big and bulky products, and our XDTs fulfill final mile box truck deliveries of these products.

Our supply chain supports every pillar of our Total Home strategy, and as such, we continue to invest and transform our network to unlock our omnichannel capabilities while keeping our organization’s sustainability goals top of mind.

As part of the completion of the rollout of our market-based delivery model, we expanded to additional geographic areas and enhanced our distribution capacity for big and bulky products.

As of fiscal year 2024, we have finalized the roll-out of our market-based delivery model.

We have also been focused on improving the speed of our delivery capabilities for our customers.

As of fiscal year 2024, most parcel-eligible items fulfilled by Lowe’s can be ordered by a customer and delivered within two business days or less at standard shipping rates.

Also, the nationwide expansion of our gig provider network enables same-day delivery of certain products from our stores, and as of fiscal 2024, we have the ability to deliver major appliances next-day in almost every zip code in the United States.

We continue to modernize our network to unlock our omnichannel capabilities while keeping our organization’s sustainability goals top of mind.

Through our market-based delivery model, we have been focused on improving the speed of our delivery capabilities for our customers.

Most parcel-eligible items fulfilled by Lowe’s can be ordered by a customer and delivered within two business days.

Also, the nationwide expansion of our gig provider network enables same-day delivery of certain products from our stores, and as of fiscal 2025, we have the ability to deliver major appliances next-day to the majority of zip codes in the United States.

Customer needs and buying patterns are constantly changing, and our supply chain will continue to evolve to meet their needs.

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Installed Sales

We offer installation services through independent contractors in many of our product categories, with Kitchen & Bath, Flooring, Appliances, Millwork, and Rough Plumbing accounting for the majority of installed sales.

We offer installation services through independent contractors in many of our product categories, with Kitchens & Bath, Flooring, Appliances, Millwork, and Rough Plumbing accounting for the majority of installed sales.

Our installed sales model, which separates selling and project administration tasks, allows our sales associates to focus on project selling, while project managers ensure that the details related to installing the products are efficiently executed.

We are simplifying the process through a team of remote associates that we call our central selling team.

For certain installations, we simplified the process through our central selling team.

This team handles building quotes, answering questions over video or phone call, and providing personalized support to our customers.

We are also implementing technology that allows our customers to finalize their installation contract and checkout on lowes.com or mobile application, so they do not need to return to the store.

Installed sales, which includes both product and labor, accounted for approximately 5% of total sales in fiscal 2024.

Lowe’s Protection Plans and Repair Services

In addition, Lowe’s offers installation services for new home construction and remodeling projects.

Lowe’s Protection Plans

We offer extended protection plans for certain products within the Appliances, Kitchens & Bath, Décor, Millwork, Rough Plumbing, Electrical, Seasonal & Outdoor Living, Tools, and Hardware categories.

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When it comes to attracting and retaining top talent, Lowe’s strives to be the employer of choice in retail.

At Lowe’s we are committed to creating valuable career opportunities for our associates, supporting them and the communities where they live, and cultivating a culture that invites and encourages diverse opinions and ideas.

We are committed to creating valuable career opportunities for our associates, supporting them and the communities where they live, and cultivating a culture that invites and encourages diverse opinions and ideas.

We would like our associates to see Lowe’s as a “Home to Possibility” with good jobs, a sense of belonging, and a promising future.

As a testament to our commitments, in fiscal 2024 we received several notable employer of choice awards, including being named on the Disability:IN National Best Places to Work for Disability Inclusion, Fortune’s World’s Most Admired Companies Specialty Retailer, 2024 Great Place to Work Certified - U.S.

and India, Fair360 Top 50 Noteworthy Company for Workplace Fairness, 2024 American Opportunity Index Top 100 Company, and a Best Corporation for Veteran’s Business Enterprises of the Year.

Reflecting our commitments, in fiscal 2025 we received several notable employer of choice awards, including being named on the 2025 Disability:IN National Best Places to Work for Disability Inclusion, 2025 Fortune’s World’s Most Admired Companies Specialty Retailer, 2025 Great Place to Work Certified - U.S.

and India, 2025 Fair360 Top Companies for Verified Meritocracy and Top Company for High Potentials, a 2025 Military Friendly Employer - Rank Gold, a 2025 VETS Indexes - 5 Star Employer, and a 2025 Best Corporation for Veteran’s Business Enterprises of the Year.

As of January 30, 2026, Lowe’s employed approximately 167,000 full-time associates and 109,000 part-time associates, primarily in the United States and India.

During the spring season, we temporarily expand our workforce by hiring associates in part-time and full-time positions to meet the elevated levels of demand.

At Lowe’s, we have a proactive associate listening strategy, most notably through our annual engagement survey.

We have a proactive associate listening strategy, most notably through our annual engagement survey.

In fiscal 2025, more than 90% of our associates participated in our survey, and our people leaders use the feedback to improve our associate experience.

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We have implemented workforce management tools that enable us to offer various scheduling options to our full-time associates to foster an improved experience in balancing their work and life responsibilities.

This includes such options for a shortened workweek, consistent shifts, or consecutive days off.

This includes such options as a shortened workweek, consistent shifts, or consecutive days off.

Our focus on the associate experience begins at initial application.

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Sense of Belonging

We believe that by building diverse and inclusive teams with a range of perspectives, backgrounds, and experiences, and equal opportunity for all, we drive better ideas, positive business results, and improve service through a deeper connection with the diverse communities we serve.

Earlier this year, we evolved our diversity and inclusion initiatives, combining our eight Business Resource Groups into one umbrella associate engagement organization.

By shifting to one, unified program, Lowe’s is able to foster networking and development for all associates across all areas of the business.

Additionally, we eliminated our sponsorship of outside festivals, parades, and fairs to focus on our four community pillars:

safe and affordable housing, community improvements, skilled trades education, and disaster response.

Finally, we are evaluating our participation in external surveys, factoring in the goals of each survey and whether we will gain any actionable insights as a result of our participation.

These changes were made with the goal of creating a more respectful and inclusive workplace for all of our associates.

We believe that diverse and inclusive teams with a range of perspectives, backgrounds, and experiences, drive stronger ideas, better business results, and deeper connections with the communities we serve.

This year, we have focused on strengthening our culture of winning through the launch of the Inclusion Network, offering new ways for associates to engage and grow.

As part of this launch, we introduced two mentor programs:

the Power Your Growth pilot program for store associates and the Inspire Mentor program designed for corporate associates.

Additionally, we achieved a major milestone in our community impact, through completion of more than 2,000 community projects across our four core pillars:

safe and affordable housing, skilled trades education, community improvements, and disaster response.

These efforts reflect our commitment to building a workplace and community environment where every associate can contribute, grow, and thrive.

Promising Future

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Corporate Responsibility

We take our role as a Fortune ® 50 retailer seriously by managing our business responsibly and focusing on serving our associates and improving the communities where we live and work.

We take our role as a Fortune ® 100 retailer seriously by managing our business responsibly, focusing on serving our associates and improving the communities where we live and work.

Sustainability objectives are integrated into our business operations, particularly by focusing on the three pillars of our sustainability strategy:

our people and communities, product sustainability, and operational excellence, which includes reducing the environmental footprint of our operations, which we believe will help drive long-term shareholder value.

In fiscal 2024, for the sixth consecutive year, Lowe’s was included in the Dow Jones Sustainability North America Index based on our environmental, social, and operational practices.

Investing in our Communities

We understand the important role Lowe’s plays in supporting our communities through our philanthropic efforts.

With our community engagement initiatives and continued partnerships with nonprofits across the nation, we are revitalizing neighborhoods, improving community spaces, responding when natural disasters strike, and preparing the next generation of skilled tradespeople.

We carry out these initiatives with a special focus on veterans, the active military community, and first responders.

Additionally, since awarding its first Gable Grants in 2023, the Lowe’s Foundation has invested over $25 million to help expand skilled trades career pathways through a growing network of community colleges and nonprofits in rural and urban communities.

From funding new skilled trade facilities and instructors to accreditation programs, these grants support carpentry and construction, HVAC, electrical, plumbing, and appliance repair training.

Lowe’s is committed to supporting the communities we serve, which is reflected through our philanthropic efforts.

Through our community impact programs, nonprofit partnerships and associate volunteer efforts, Lowe’s has continued to revitalize neighborhoods, improve essential community spaces and support natural disaster relief and recovery efforts.

Our efforts maintain a special focus on veterans, active-duty military, and first responders.

Additionally, since awarding its first Gable Grants in 2023, the Lowe’s Foundation has invested over $50 million to help solve the critical skilled trades workforce shortage through a growing network of community colleges and nonprofits in rural and urban communities.

Product Sustainability

We are committed to promoting sustainable practices throughout our supply chain and providing customers with eco-friendly, high quality, and safe products.

Our products undergo a thorough selection process, beginning with our sourcing decisions.

We are committed to promoting sustainable practices throughout our supply chain and providing customers with high quality, safe and more efficient products.

Our product selection process begins with our responsible sourcing decisions and ongoing supplier engagement.

Through collaboration and established management systems, we monitor our suppliers’ practices to secure high-quality products from suppliers who support worker rights and protect the environment.

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and undergoing and securing Free, Prior and Informed Consent, as defined by the United Nations, wherever applicable.

We have enhanced our wood sourcing policy to include a more robust risk-based approach, including new wood sourcing risk levels by country, improved monitoring practices, and a new forestry grievance process.

The policy applies risk-based approach that categorizes sourcing risk levels by country, identifies appropriate monitoring practices and includes a new forestry grievance process to share concerns.

We are dedicated to empowering our customers to lead more sustainable lives while minimizing the environmental footprint of our products.

We continue to expand our offering of independently certified products that have validated environmental claims, preserve and protect natural resources, and help customers decrease energy and water consumption.

We continue to expand our offering of independently certified products that have validated environmental claims, preserve and protect natural resources, and help customers reduce energy and water consumption.

These products help customers save money and lower operating costs over time while supporting more efficient use of resources.

We work with local and regional utilities to offer customers assorted rebates for a variety of efficient products including ENERGY STAR ® and WaterSense ® .

Reducing Our Environmental Footprint

We are committed to mitigating climate change by reducing the environmental impact of our operations and supply chain through reducing carbon emissions with investments in energy efficiency, use of renewable energy, environmentally friendly transportation practices, and innovative water and waste management systems.

We are committed to mitigating climate change by reducing the environmental impact of our operations and supply chain through targeted investments in energy efficiency, renewable energy, environmentally friendly transportation practices, and innovative water and waste management systems.

Greenhouse Gas (GHG) Emissions

In December 2022, Lowe’s established a goal to reach net-zero emissions across the Company’s scope 1, 2, and 3 GHG emissions by 2050.

Lowe’s has since increased its interim emissions targets for 2030 and committed to decreasing its scope 1 and 2 emissions by 42% and reducing scope 3 emissions by 25% below 2021 levels.

In 2025, Lowe’s continued to make progress toward achieving net-zero emissions across the Company’s scope 1, 2, and 3 GHG emissions by 2050.

That plan includes interim emissions targets for 2030:

decreasing our scope 1 and 2 emissions by 42% and reducing scope 3 emissions by 25% below 2021 levels.

We report our progress annually in Lowe’s Corporate Responsibility Report, to the Carbon Disclosure Project (CDP), and via lowes.com/net-zero .

The contents of these reports are not incorporated by reference into this Annual Report on Form 10-K or in any other report or document we file with the Securities and Exchange Commission (SEC).

To reach these targets, Lowe’s will focus on increasing operational efficiency and working to reduce emissions across Lowe's entire value chain.

We are making further investments in energy efficiency and renewable energy within our operations, while exploring emerging technologies to reduce emissions associated with our vehicle fleet and facilities.

Over the past three years, we have spent more than $300 million across multiple projects including replacing stores’ aging HVAC units with high efficiency models, installing and updating building management systems, installing pallet grinders, and completing indoor LED lighting upgrades.

Lowe’s continues to partner with our suppliers to decrease our scope 3 GHG emissions.

We encourage suppliers to report their emissions to CDP, giving suppliers more insight into how they generate emissions, which is the first step toward helping them reduce upstream emissions.

This collaboration can help suppliers increase their operational efficiency and reduce their emissions through the use of renewable energy and low-carbon innovations.

When our suppliers mitigate their impacts on the climate, Lowe’s own scope 3 emissions can be reduced.

Procuring renewable energy is another lever to reduce our emissions footprint.

Our first renewable power purchase agreement, the Mesquite Star wind farm in Texas, went live in fiscal 2020 and is now in its fifth year of operation.

As we strive to establish a pipeline of other offsite renewable projects, several projects are planned to become active over the next few years.

Lowe’s is a member of the Clean Energy Buyers Association to evaluate and explore new opportunities and technologies across renewable energy markets (e.g., community solar, power purchase agreements), as well as implementing on-site solar generation in multiple states.

In fiscal 2023, we announced plans to install rooftop solar panels at 174 store and distribution center locations nationwide, including more than 50 sites already in operation.

More than 100 sites were operational by the end of fiscal 2024.

Once each site is completed, the solar panels will provide approximately 90% of the energy usage at each location.

We are dedicated to promoting sustainable practices in the transportation industry, and we collaborate with the Environmental Protection Agency’s (EPA’s) SmartWay program to reduce transportation emissions by managing and reducing fuel usage through incentives for freight contractors to improve efficiency.

We are an EPA SmartWay program partner and aim for 100% SmartWay certification for our transportation providers.

This program provides access to comprehensive data and oversight of scope 3 emissions associated with our U.S.

To reach these targets, Lowe’s continues to focus on increasing operational efficiency and reducing emissions across Lowe's value chain.

We are making further investments in energy efficiency and renewable energy within our operations, while

exploring emerging technologies to reduce emissions associated with our vehicle fleet and facilities.

Over the past three years, we have invested more than $400 million across multiple projects, including replacing stores’ aging HVAC units with high efficiency models, installing and updating building management systems, deploying material handling automation such as pallet grinders, and completing indoor LED lighting upgrades.

As a global home improvement retailer, Lowe’s engages suppliers on the importance of measuring and reporting emissions through the CDP.

Lowe’s was recently recognized as a Supplier Engagement Leader for our outstanding work in 2025.

This engagement supports supplier efforts to identify efficiency opportunities, adopt renewable energy and implement lower-carbon solutions.

Procuring renewable energy is another lever to reduce our emissions footprint, and in 2025, we continued to advance a pipeline of both onsite and offsite renewable energy projects.

Lowe’s is a member of the Clean Energy Buyers Association to evaluate emerging renewable energy opportunities and technologies, including community solar and power purchase agreements, and continues to implement on-site solar generation across our stores and supply chain network.

We collaborate with the Environmental Protection Agency’s (EPA) SmartWay program to reduce transportation emissions by managing and reducing fuel usage through incentives for freight contractors to improve efficiency.

Lowe’s leverages SmartWay data to enhance visibility into scope 3 emissions associated with our U.S.

transportation footprint.

We partner with suppliers to improve recycling and waste diversion, develop regional management processes, measure waste streams, and conduct waste audits.

At a local level, store waste, including cardboard, broken appliances, and wood pallets, is recycled through national and regional partners, and we provide in-store recycling and reuse centers for our customers to bring in plastic planter pots, compact fluorescent lamp bulbs, plastic bags, and rechargeable batteries.

In our fourth year collaborating with How2Recycle, we continue to educate customers and encourage proper recycling of our product packaging.

As technology and innovative practices improve, we will continue to explore opportunities to participate in the circular economy.

We partner with suppliers to improve recycling and waste diversion, develop regional waste management processes, measure waste streams, and conduct waste audits.

At a local level, store waste, including cardboard, broken appliances, and wood pallets, is recycled through national and regional partners.

We continue to educate customers and encourage proper recycling of product packaging through our collaboration with How2Recycle®.

As recycling infrastructure and technology continues to evolve, we evaluate opportunities to improve waste diversion and support circular economy solutions where feasible.

While our water consumption is modest compared with other industries, we continue to focus on reducing water consumption within our operations.

We use smart irrigation controllers for efficient watering at most stores and have been exploring other water-efficient measures to increase water savings in our stores and garden centers.

Additionally, we use leak detection technology to catch leaks as they occur to prevent unnecessary water use.

We also have protocols in place to manage the disposal of chemicals to prevent release into waterways of the communities we serve.

We use smart irrigation controllers at most stores and deploy leak detection technology to identify and address leaks promptly.

We also maintain protocols for the handling and disposal of chemicals to help prevent release into local waterways.

Corporate Responsibility Reporting

Lowe’s participates in the CDP’s climate change, forests, and water security questionnaires to benchmark and quantify our environmental practices and provide transparency on our progress.

Lowe’s continues to externally verify our scope 1 and 2 GHG emissions, as well as scope 3 Use of Sold Product GHG emissions and water usage data to increase confidence in our reporting.

Additionally, our annual Corporate Responsibility Report is guided by the Sustainable Accounting Standards Board, the Global Reporting Initiative, and the U.N.

Sustainable Development Goals, and we publish our Task Force on Climate-related Financial Disclosures Report to assess our climate-related risks and opportunities and better understand the potential impacts on our value chain.

Additional information regarding our activities related to our human capital strategy, as well as our workforce diversity data, latest community improvement projects, and sustainability efforts can be found in our Corporate Responsibility Report and Culture, Diversity & Inclusion Report, which are published annually and can be found on our website at responsibility.lowes.com .

Lowe’s participates in the CDP’s climate change, forests and water security questionnaires to benchmark environmental practices and provide transparency on progress.

Lowe’s continues to externally verify its scope 1 and 2 GHG emissions, as well as scope 3 Use of Sold Product emissions and water usage data to increase confidence in reporting.

Our annual Corporate Responsibility Report is guided by the Sustainable Accounting Standards Board, the Global Reporting Initiative, and the U.N.

Sustainable Development Goals, and we publish a Task Force on Climate-related Financial Disclosures report to assess climate-related risks and opportunities.

Additional information regarding our activities related to our human capital strategy, as well as our workforce diversity data, latest community improvement projects, and sustainability efforts can be found in our Corporate Responsibility Report and Impact and Culture Report, which are published annually and can be found on our website at responsibility.lowes.com .

The contents of these reports are not incorporated by reference into this Annual Report on Form 10-K or in any other report or document we file with the SEC.

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Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-K

Item 1. Business