Posted July 19, 2011
Stanley Black & Decker sales up 11%
Stanley Black & Decker said its second quarter net sales were $2.6 billion, up 11% versus prior year.
"While it would be fair to say that many across the globe would have expected a more substantial economic rebound in developed markets by this point in the year, particularly in residential housing, we were not banking on one and have worked with our businesses to continue to grow revenues and profits, expand their global footprint and gain market share nonetheless," said Stanley Black & Decker's president and CEO, John F. Lundgren. "We remain encouraged by the revenue and profit growth we are seeing in the emerging markets, particularly Latin America and Asia, and the progress we've seen with revenue synergy plans that are on track to meet or exceed our expectations around the globe."
In the CDIY segment, double-digit unit volume growth in Latin America and Asia and mid-teens sales growth of Professional Power Tools & Accessories more than offset weather-related outdoor products sales declines in the U.S. and weaker market conditions in Europe. Organic sales for the combined hand and power tool and accessories businesses grew approximately 7%. Despite impressive growth in Latin America, organic sales for Hand Tools, Fasteners & Storage were modestly weaker as softness in the retail channel in North America persisted.
The DeWalt hand tools began shipping to distributors in June and should drive incremental revenue in coming quarters. Within the Professional Power Tools & Accessories business, the continued success of the 12V lithium-ion cordless line as well as the new 18V lithium-ion products that were launched in Europe in May drove revenue growth. Weather-related weakness in outdoor products more than offset high-single digit organic growth within the Consumer Power Tool business during the quarter. Sales for the Pfister business fell 21% due to the ongoing impact of the 1Q'11 loss of SKUs at a major customer.
Organic sales in the Industrial segment rose 9%. Unit volumes grew 7%, price increased 2%, while currency was +7%. Acquisitions added 13%, bringing total sales growth up 29% for the quarter.
