Lowe's 2015 Annual Report Download - page 5

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2015 ANNUAL REPORT
3
With a keen focus on productivity and profitability, we
leveraged this continued top-line growth to deliver an
increase in Adjusted Net Earnings1 of 14% and Adjusted
Diluted Earnings Per Share1 of 21%.
While our purpose empowers us to focus on the thing
that matters most—the customer—it also fuels substan-
tial returns for our shareholders. Our capital allocation
priorities align with the commitments we’ve made to both
customers and shareholders. From the solid cash flow
we generate, we first invest to maintain and grow our
businesses. Next, we target a dividend payout ratio of
35%, and our dividend has grown every year since going
public in 1961. Then, we use remaining funds to repur-
chase shares.
Our fundamental purpose ensures that all the effort
we’ve put into transformational change will last well into
the future, because we’re driven to build deep, lasting
relationships with customers. I’d like to thank our
employees, a group of more than 270,000 people, who
embrace our purpose to help people love where they live,
who dedicate themselves to serving customers and who
have committed to evolving with changing customer needs.
Robert A. Niblock
Chairman of the Board, President and Chief Executive Officer
1
Adjusted Net Earnings and Adjusted Diluted Earnings Per Share are non-GAAP financial measures. Refer to the Management’s Discussion and
Analysis section of our Annual Report on Form 10-K for additional information as well as reconciliations between the Company’s GAAP and non-GAAP
financial results.
CUSTOMER CENTRIC APPROACH
ONLINE
• 24/7 shopping experience through
websites and mobile applications
• Offers product information and
customer ratings and reviews, as
well as buying guides and how-to
videos and information
IN-STORE
• More than 1,855 convenient retail store
locations
• Provides access to knowledgeable
associates and immediate fulfillment
of purchases
CONTACT CENTER
• Three contact centers, in
Wilkesboro, NC, Albuquerque,
NM, and Indianapolis, IN
• Direct phone sales and customer
support, including coordinating
project deliveries and facilitating
repair services
ON-SITE
• Specialists meet with Pro cus-
tomers in their workplace or at
job sites
• Specialists meet customers in their
home to sell interior and exterior
projects, offering consultations
and project management services
through project completion
OMNI-CHANNEL RETAILING