Stanley Black & Decker Posts Flat 4Q Sales, Net Loss - Modern Distribution Management

Stanley Black & Decker Posts Flat 4Q Sales, Net Loss

The toolmaker reported full-year 2022 revenues of $16.9 Billion, an 11% increase over the prior-year total.
Stanley Black and Decker

New Britain, Connecticut-based toolmaker Stanley Black & Decker on Feb. 2 reported it’s 2022 fourth-quarter earnings, including $4 billion in revenue, which was “in line” with the same period a year ago. The flat quarter-to-quarter earnings followed a 9% annual increase the company reported in 3Q 2022, as many industrial distributors and manufacturers saw slowed growth to end the year.

Lower volume (down 10%), currency ( down 3%) and the previously announced Oil & Gas divestiture (down 1%) contributed to a flat 4Q, the company said.

For all of 2022, outdoor power equipment acquisitions, industrial segment growth and price realization helped send total-year revenues to $16.9 billion, an 11% jump over 2021, the company said. Stanley Black & Decker said it spent the latter half of 2022 attempting to streamline and simplify its organization, and that will remain a goal in 2023.

“In the fourth quarter we took another meaningful step forward on our journey to streamline and optimize Stanley Black & Decker,” said. Donald Allan, Jr.Stanley Black & Decker President & CEO. “We continued to focus on advancing our simplification and transformation strategy and in the second half of 2022 we improved customer fill rates, reduced inventories by approximately $800 million, and realized $200 million in efficiency benefits from our leaner organizational structure as well as enhanced cost controls.”

MDM’s M&A Virtual Summit, to be held Feb. 21-22, has something to offer for any distributor on the dealmaking spectrum. We’ll cover the current state of M&A; how to maximize valuation; integration do’s and don’ts; ESOPs; the culture side of the M&A process; and more. Get details and register here.

The company said its results represent continuing operations and exclude the divestment of its Security assets in July 2022.

Inventory at the end of 4Q was $5.9 billion, down approximately $500 million from the prior quarter and down $775 million in the second half of 2022, a “reflection of improving supply chain conditions and benefits from our planned production curtailments,” Stanley Black & Decker said.

Gross margin for 4Q was 18.9%. Adjusted gross margin was 19.5%, down 950 basis points from prior year because price realization was offset by commodity inflation, lower volumes and higher supply chain costs, the company said.

Related Posts

Share this article

About the Author
Recommended Reading
Leave a Reply

Leave a Comment

Sign Up for the MDM Update Newsletter

The MDM update newsletter is your best source for news and trends in the wholesale distribution industry.

Get the MDM Update Newsletter

Wholesale distribution news and trends delivered right to your inbox.

Sign-up for our free newsletter and get:

  • Up-to-date news in a quick-to-read format
  • Free access to webcasts, podcasts and live events
  • Exclusive whitepapers, research and reports
  • And more!

2

articles left

Want more Premium content from MDM?

Subscribe today and get:

  • New issues twice each month
  • Unlimited access to mdm.com, including 10+ years of archived data
  • Current trends analysis, market data and economic updates
  • Discounts on select store products and events

Subscribe to continue reading

MDM Premium Subscribers get:

  • Unlimited access to MDM.com
  • 1 year digital subscription, with new issues twice a month
  • Trends analysis, market data and quarterly economic updates
  • Deals on select store products and events

1

article
left

You have one free article remaining

Subscribe to MDM Premium to get unlimited access. Your subscription includes:

  • Two new issues a month
  • Access to 10+ years of archived data on mdm.com
  • Quarterly economic updates, trends analysis and market data
  • Store and event discounts

To continue reading, you must be an MDM Premium subscriber.

Join other distribution executives who use MDM Premium to optimize their business. Our insights and analysis help you enter the right new markets, turbocharge your sales and marketing efforts, identify business partners that help you scale, and stay ahead of your competitors.

Register for full access

By providing your email, you agree to receive announcements from us and our partners for our newsletter, events, surveys, and partner resources per MDM Terms & Conditions. You can withdraw consent at any time.

Learn More about Custom Reports

Request a Market Prospector Demo

  • This field is for validation purposes and should be left unchanged.