Stanley Black & Decker saw 12 percent increase in revenues last year

Published on Wednesday, 24 January 2018 20:26
Written by Angie DeRosa

@ADeRosaNBH

NEW BRITAIN-Stanley Black and Decker’s full year revenues for 2017 increased 12 percent over the previous year, according to data the company released Wednesday.

The New Britain-based tool maker announced its full year and fourth quarter results. Full year revenues totaled $12.7 billion; up 12 percent as 7 percent organic growth and 7 percent growth from acquisitions were partially offset by the sale of the Mechanical Security Business.

Net sales for the fourth quarter totaled $3.4 billion, an increase of 17 percent compared to the year prior.

President and CEO Jim Loree credits the manufacturer’s recently acquired brands as the reason for increased sales.

“We achieved these excellent results while successfully integrating multiple acquisitions on or ahead of plan. We are particularly excited about the growth pipeline for 2018 and beyond which includes core innovation, the Craftsman brand rollout, Lenox and Irwin revenue synergies, FlexVolt, emerging markets and additional acquisitions such as Nelson Fastener Systems,” he said.

In December, Stanley reached an agreement to purchase Nelson Fastener System, excluding Nelson’s automotive stud welding business, for approximately $440 million in cash. The transaction is expected to close in the first half of 2018.

“We are expecting 2018 to be another strong year,” Loree said. “The team is energized by our company’s purpose – ‘For Those Who Make the World.”‘

In each of the three sectors of business – Tools & Storage, Industrial and Security – profit rates increased or stayed consistent to prior quarters.

Compared to fourth quarter results in 2016, Tools & Storage net sales increased 26 percent and Industrial net sales increased 4 percent while Security net sales decreased 4 percent. Despite the decrease in net sales for Security, the profit rate of 11.1 percent was consistent in relation to previous quarters.

Stanley expects its 2018 earnings per share to be between $8.30 and $8.50 on an adjusted basis.

“2017 was a year of excellent operation execution as we delivered very strong financial results,” Donald Allan Jr., Executive Vice President and CFO, said. “In 2018 we expect to generation another year of above-market organic growth.”



Posted in The Bristol Press, General Business, General News on Wednesday, 24 January 2018 20:26. Updated: Wednesday, 24 January 2018 20:29.