Lowe’s (NYSE:LOW) reported Q2 results that included steady sales and margin performance, supported by growth in online sales and improved customer satisfaction scores. Net sales totaled $25 billion, and operating margin remained solid despite pressure from macro headwinds. The company also reaffirmed its full-year guidance and emphasized its disciplined capital allocation strategy, including a pause in share repurchases through 2027.

The centerpiece of the call was Lowe’s announcement of its $8.8 billion acquisition of Foundation Building Materials (FBM), which the company described as a transformative move to expand its reach with Pro customers.

The acquisition adds over 270 distribution centers and significantly boosts Lowe’s technology stack. Central to the integration is FBM’s centralized ERP platform, which unifies procurement, logistics, and finance functions for real-time visibility and operational efficiency. FBM also brings the MyFBM mobile app, enabling Pro customers to manage orders, deliveries, and accounts on the go. Critically, Lowe’s gains AI-driven Blueprint Takeoff technology, which automates material estimation from digital plans, streamlining complex bids.

This tech stack not only enhances operational efficiency but positions Lowe’s to deliver a more seamless, tech-enabled experience to its highest-value customers in the construction and contractor segments.

Why It Matters: Lowe’s strategy illustrates how a large-scale retailer can accelerate growth through focused investment in AI, ERP unification, mobile platforms, and supply chain APIs. The integration of FBM brings not only physical scale, but also mature digital infrastructure, including an AI-powered blueprint estimation engine and a fully integrated mobile order management system. As Lowe’s converges its retail and Pro channels into a unified, tech-enabled ecosystem, the company is creating a model for digitally scaling B2B commerce in a traditionally analog industry.

• AI-Powered Assistant Tools Deployed in Stores: Lowe’s is actively rolling out MyLo Companion, an AI-powered mobile app for store associates. The tool supports SKU lookup, project estimation, and product recommendations across departments. “MyLo is enabling a better customer experience and giving our associates the tools to feel confident selling across multiple departments,” said CEO Marvin Ellison. Early results show improved customer satisfaction and operational efficiency.

• FBM Acquisition Brings AI-Driven Blueprint Takeoff Tech: The FBM acquisition adds AI Blueprint Takeoff capabilities, which automatically extract material quantities from construction plans. This feature will integrate into Lowe’s ProDesks, giving in-store associates a tech-enabled way to serve large commercial customers. “It’s a capability we didn’t previously have and one that will drive tremendous productivity for large Pro customers,” Ellison noted.

• Unified ERP System Enables Scalable Integration: One of the key synergies cited in the FBM acquisition is its centralized ERP system, which will streamline Lowe’s integration efforts and unlock back-office efficiencies. Combined with Lowe’s recent acquisition of ADG, the unified ERP environment will help synchronize procurement, fulfillment, and finance operations across its growing Pro platform. This integration supports deeper data visibility, improved forecasting, and more agile pricing and delivery models for complex commercial projects.

• Mobile App Supports Real-Time Ordering and Jobsite Fulfillment: The MyFBM mobile app will enhance Lowe’s ability to serve Pro customers by offering real-time pricing, ordering, and delivery tracking. The company plans to integrate this system with its existing Pro Extended Aisle (ProDAS) tool, enabling jobsite delivery of materials directly from FBM’s network. “We’ll be able to send an order from a Lowe’s store to FBM for same- or next-day jobsite delivery,” Ellison said. This digital infrastructure creates a unified last-mile fulfillment experience for Pro customers across channels.

• Digital Platform Expansion to Enable Embedded Fintech and Broader Reach: Lowe’s intends to expand trade credit capabilities and embedded financing tools as part of its evolving Pro offering. These digital credit services will be layered onto the combined Lowe’s–FBM platform to support larger project workflows. In parallel, Lowe’s continues to grow its third-party marketplace using Mirakl technology, which has already launched thousands of additional SKUs across relevant Pro categories. These efforts point to a broader ecosystem strategy, with embedded fintech, digital procurement, and scalable APIs underpinning the next phase of Lowe’s growth.

Go Deeper -> Lowe’s 2025 Earnings – MarketBeat

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