NYSE$SWK

Stanley Black & Decker Inc · Q1 2024 earnings

Q1 2024 earnings · · Investor relations

Briefing

Stanley Black & Decker's first quarter performance reflected consistent execution and progress on operational objectives, with gross margin expansion driven by lower inventory destocking costs and supply chain transformation benefits.

Stanley Black & Decker reported first-quarter revenues of $3.9 billion, a 2% decrease year-over-year. The company's gross margin increased to 28.6%, up 740 basis points from the prior year. GAAP EPS was $0.13, and adjusted EPS was $0.56. The sale of STANLEY Infrastructure was completed on April 1, with proceeds used to reduce short-term debt.

  • Revenues were $3.9 billion, down 2% versus prior year.
  • Gross margin was 28.6%, up 740 basis points versus prior year.
  • GAAP EPS was $0.13, and adjusted EPS was $0.56.
  • The company reiterates 2024 full-year guidance with GAAP EPS expected to be $1.60 to $2.85, adjusted EPS of $3.50 to $4.50 and free cash flow of $0.6 billion to $0.8 billion.

Headline financials

Total Revenue

$3.87B

Previous: $3.93B-1.6%
EPS

$0.13

Previous: -$0.41+131.7%
Capital Expenditures

-$65.7M

Previous: -$68.2M+3.7%
Free Cash Flow

-$46.2M

Previous: -$256M+82.0%
Net Income

$19.5M

Previous: -$188M+110.4%
Operating Income

$321M

Previous: $86.1M+272.7%
Gross Profit

$1.11B

Previous: $836M+32.7%
Cash & Equivalents

$477M

Previous: $388M+23.0%
Total Assets

$23.9B

Previous: $25.1B-4.9%
Stock-Based Comp

$41.3M

Previous: $34.7M+19.0%

Revenue & EPS history

Stanley Black & Decker · Revenue · Quarterly

$3.87B

Q1 2024-1.6%vs Q1 2023
Beat estimate in 9 of 14 quarters(64%)
ActualEstimate

Revenue by segment

Stanley Black & Decker · $3.36B total across 1 segment · Q3 2023

  • Tools & Outdoor
    $3.36B-4.0%

Forward guidance

Management is reiterating 2024 guidance and expects EPS to be in the range of $1.60 to $2.85 on a GAAP basis, adjusted EPS between $3.50 to $4.50 and free cash flow to approximate $0.6 billion to $0.8 billion.

Tailwinds

  • Strategic transformation progressing successfully.
  • Profitability remains on an upward trajectory.
  • Disciplined approach to cost management.
  • Targeting 35%+ adjusted gross margins.
  • Focused on margin expansion, cash generation and balance sheet strength.

Headwinds

  • Tepid market backdrop.
  • Difference between 2024 GAAP and adjusted EPS guidance is approximately $1.65 to $1.90.
  • Charges related to the supply chain transformation under the Global Cost Reduction Program.
  • Mixed demand trends expected to persist across businesses in 2024.
  • Increased investment in innovation and growth initiatives.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q1 2024

Historical avgQ1 2024

-1.1%

Avg return

Earnings day

-1.8%

Avg return

5 days after

-0.9%

Avg return

30 days after

42%

27 / 65 earnings

Positive

+10.7%

Q2 2012

Best reaction

-17.1%

Q2 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-0.6%-4.4%+1.5%
Q4 2025+4.5%+11.0%-6.0%
Q3 2025+0.4%+2.9%+8.8%
Q1 2025-2.0%-1.9%+6.8%
Q4 2024-1.2%-1.0%+2.7%
Q3 2024-8.8%-9.3%-12.8%
Q2 2024+9.5%+2.3%+5.7%
Q1 2024-6.6%-5.0%-5.1%
Q4 2023-2.9%-4.2%-4.0%
Q3 2023+9.1%+10.0%+18.4%
Q2 2023+2.0%-0.8%-4.9%
Q1 2023-1.2%-5.6%-6.7%
Q4 2022+2.9%-0.8%-4.3%
Q3 2022-1.0%-3.4%+4.8%
Q2 2022-17.1%-19.9%-23.3%
Q1 2022-13.6%-9.3%-14.0%
Q4 2021-0.2%-1.2%-8.5%
Q3 2021-3.5%-1.9%-1.9%
Q2 2021-5.1%-4.3%-6.2%
Q1 2021+0.8%+1.3%+4.3%
Q4 2020+0.1%+2.2%+0.9%
Q3 2020-6.0%-3.9%+7.8%
Q2 2020-1.8%-0.9%+6.0%
Q1 2020-12.8%-12.3%+2.8%
Q4 2019-0.7%-3.3%-13.6%
Q3 2019-1.5%+0.3%+2.4%
Q2 2019+7.8%+7.7%-2.0%
Q1 2019-2.7%-0.1%-9.9%
Q4 2018-13.4%-11.9%+0.5%
Q3 2018-2.5%+0.1%+11.4%
Q2 2018-0.7%+0.5%+1.2%
Q1 2018-7.8%-7.3%-6.3%
Q4 2017-2.7%-3.1%-7.4%
Q3 2017+3.4%+4.1%+4.9%
Q2 2017-3.1%-4.7%-6.6%
Q1 2017+3.5%+2.7%+2.9%
Q4 2016+0.6%-0.2%+2.8%
Q3 2016-2.0%-2.7%+4.1%
Q2 2016+5.7%+6.4%+6.2%
Q1 2016+3.2%
Q4 2015-1.9%
Q3 2015+8.0%
Q2 2015-2.5%
Q1 2015+1.7%
Q4 2014+3.5%
Q3 2014+3.4%
Q2 2014+6.6%
Q1 2014+3.4%
Q4 2013-3.8%
Q3 2013-16.9%
Q2 2013+1.9%
Q1 2013-4.7%
Q4 2012-1.4%
Q3 2012-2.9%
Q2 2012+10.7%
Q1 2012-7.7%
Q4 2011+0.8%
Q3 2011+1.3%
Q2 2011-4.3%
Q4 2009-1.1%
Q1 2011+1.8%
Q3 2010-0.6%
Q2 2010+3.2%
Q4 2010+3.2%
Q1 2010-3.6%

Discussion

Share your read of this quarter. Sign-in carries your eToro identity.

Join the conversation

Sign in with eToro to post your read of this quarter and vote on others'.

Sign in with eToro