Stanley Black & Decker, Inc. (SWK) reported fourth-quarter 2024 adjusted earnings of $1.49 per share, which beat the Zacks Consensus Estimate of $1.28. The bottom line increased 62% year over year.Stanley Black’s net sales of $3.72 billion beat the consensus estimate of $3.57 billion. The top line declined 0.4% year over year due to weakness in the Industrial segment.For 2024, SWK reported net revenues of $15.37 billion, which decreased 2.6% year over year. For the year, the company’s adjusted earnings were ...

Financial Data and Key Metrics Changes - The company reported full-year revenues of $15.4 billion, flat on an organic basis, with a notable adjusted gross margin of over 31% in Q4 and 30% for the full year, reflecting a 400 basis point expansion compared to 2023 [11][13][15] - Adjusted EBITDA for the full year was $1.6 billion, with a margin of 10.1%, representing a 290 basis point increase from 2023 [14][15] - Adjusted earnings per share for the full year reached $4.36, showing significant growth over 2023 [15] Business Line Data and Key Metrics Changes - Tools and Outdoor segment revenue for Q4 was approximately $3.2 billion, driven by 3% organic growth, with DEWALT achieving its seventh consecutive quarter of organic growth [35][36] - The Industrial segment saw a 15% decline in reported revenue, primarily due to the divestiture of the infrastructure business, while organic revenue remained flat [44] - Aerospace fastening experienced standout organic growth of 22%, contributing positively to overall revenue results [12] Market Data and Key Metrics Changes - North America organic growth was up 2%, while Europe saw a 4% increase, and the Rest of the World grew 8% organically, driven by strong performance in Latin America and India [40][41] - The overall market demand is expected to remain stable and relatively flat year-over-year, with some end markets not improving until 2026 [25][72] Company Strategy and Development Direction - The company is focused on achieving long-term adjusted gross margin targets of over 35% and aims for mid-single-digit organic growth in a low single-digit market [16][17] - Investments are being made in core brands like DEWALT, Stanley, and Craftsman to drive market share growth and enhance product offerings [30][31] - The company is actively engaging with policymakers to navigate potential tariff impacts and is repositioning its supply chain to mitigate risks [23][124] Management's Comments on Operating Environment and Future Outlook - Management noted a mixed macroeconomic backdrop but expressed confidence in the company's ability to navigate challenges and achieve long-term financial goals [9][89] - The first half of 2025 is expected to remain choppy, with modest organic growth anticipated, while a potential positive inflection may occur later in the year [24][72] - The company is committed to maintaining a solid investment-grade credit rating and reducing debt to achieve a leverage target of approximately 2.5 times net debt to adjusted EBITDA [64] Other Important Information - The company achieved approximately $500 million in pretax run rate cost savings for 2024, contributing to a total of $1.5 billion since the inception of its transformation program [57][58] - Free cash flow generation for 2024 was approximately $750 million, supporting ongoing capital allocation priorities [61][62] Q&A Session Summary Question: Margin outlook and operating margin increase - Management indicated a target of approximately 250 basis points of full-year margin expansion for 2025, with expectations of over 100 basis points in the first half and over 300 basis points in the second half [94][96] Question: SG&A investments for growth - The company plans to maintain SG&A as a percentage of net sales around 22%, with investments focused on core brands and local market activation [105][106] Question: Share gains and DEWALT growth - Management confirmed ongoing investment in DEWALT to build on its growth momentum while also expecting stabilization and modest share gains in Stanley and Craftsman [111][112] Question: Tariff impacts and mitigation strategies - The company expects a net impact of $10 to $20 million from tariffs, with mitigation strategies involving pricing and supply chain adjustments [115][116] Question: Clarification on tariff headwinds - Management clarified that the potential $200 million headwind from increased tariffs would be managed through pricing and supply chain reconfiguration, with ongoing efforts to reduce reliance on China [132][133]

Fourth Quarter And Full Year 2024 Overview February 5, 2025 Participants Don Allan President & CEO Chris Nelson COO, EVP And President, Tools & Outdoor Pat Hallinan Executive Vice President, CFO Dennis Lange Vice President, Investor Relations 2 4Q And FY 2024 Earnings Call Cautionary Statement This Presentation and related discussions contain "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as am ...

Exhibit 99.2 STANLEY BLACK & DECKER, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited, Millions of Dollars Except Per Share Amounts) | | | | FOURTH QUARTER | | | | YEAR-TO-DATE | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | | | | 2024 | | 2023 | | 2024 | | 2023 | | NET SALES | $ | 3,720.5 | $ | 3,736.5 | $ | 15,365.7 | $ | 15,781.1 | | COSTS AND EXPENSES | | | | | | | | | | Cost of sales | | 2,576.4 | | 2,632.1 | | 10,851.3 | | 11,848.5 | | Gross profit | | 1,144 ...

Core Insights - Stanley Black & Decker reported its seventh consecutive quarter of organic growth, with a fourth quarter gross margin increase driven by a global cost reduction program [1][2][8] - The company generated strong cash flow in the fourth quarter, supporting its capital allocation priorities focused on shareholder dividends and debt reduction [1][2][10] Financial Performance - Fourth quarter revenues were $3.7 billion, flat compared to the prior year, with a 3% organic growth offset by divestitures and currency impacts [4][10] - Fourth quarter gross margin was 30.8%, up 120 basis points from the previous year, while adjusted gross margin was 31.2%, up 140 basis points [4][10] - Full year revenues totaled $15.4 billion, down 3% from the prior year, with full year adjusted gross margin at 30% [4][10] Cash Flow and Debt Management - Fourth quarter cash from operating activities was $679 million, with free cash flow of $565 million, contributing to a total debt reduction of $1.1 billion in 2024 [4][10][12] - The company aims to return adjusted gross margins to historical levels of over 35% while prioritizing cash flow generation and inventory optimization [5][9] Strategic Initiatives - The Global Cost Reduction Program is expected to generate $2 billion in pre-tax run-rate cost savings by the end of 2025, with $1.5 billion coming from supply chain transformation [8][12] - The company is focused on mid-single digit organic revenue growth, streamlining operations, and investing in customer-centric initiatives [5][9] Segment Performance - Tools & Outdoor segment sales were $3.2 billion, with a 2% increase driven by volume, while the Industrial segment saw a 15% decline in sales [11][10] - The Tools & Outdoor segment margin was 9.2%, slightly down from the prior year, while the Industrial segment margin was 10.7% [11][10] Future Outlook - The company anticipates muted but stable market demand in the first half of 2025, with potential for positive growth later in the year, particularly in professional construction and aerospace [3][12] - Management plans to provide 2025 planning assumptions, including EPS expectations and strategies to mitigate tariff impacts [12][13]

Stanley Black & Decker, Inc. (SWK) is scheduled to release fourth-quarter 2024 results on Feb. 5, before market open.Stay up-to-date with all quarterly releases: See Zacks Earnings Calendar.The Zacks Consensus Estimate for this New Britain, CT-based tool maker’s fourth-quarter revenues is pegged at $3.6 billion, indicating a decline of 4.4% from the year-ago quarter. The consensus estimate for adjusted earnings is pinned at $1.28 per share. The figure indicates an increase of 39.1% from the year-ago quarter ...

Company Performance - Shares of Stanley Black & Decker (NYSE: SWK) have declined by over 20% in the last few months [1] Market Factors - The decline in shares is attributed to a combination of tariff fears and the impact of rising interest rates [1] Analyst Background - The analyst has twenty years of experience in researching, writing, and investing in public markets [1] - The analyst focuses on companies with durable competitive advantages and small-cap special situations [1] - The analyst was a licensed broker and attorney [1]

Event Overview - DEWALT, a Stanley Black & Decker brand, showcased an electrifying activation on the exterior of Sphere in Las Vegas during the World of Concrete event [1][2] - The activation featured drones and was visible from various points across the city, highlighting the brand's new "Built for the Unbreakable" campaign [2][3][6] Campaign Details - The "Built for the Unbreakable" campaign celebrates the strength and dedication of construction workers, with a focus on the 12 million workers in the US construction industry [2][4] - The campaign utilized a drone-powered display to showcase the impact of construction workers on job sites [2][6] Product Spotlight - DEWALT highlighted its award-winning POWERSHIFT™ system, which optimizes workflow on concrete job sites and has been recognized as one of the most anticipated innovations in the industry [4][5][8] - The POWERSHIFT™ system reduces CO2e emissions by up to 60% compared to gas-powered equipment, aligning with government mandates for gas equipment compliance [8] Industry Impact - The DEWALT POWERSHIFT™ system was named one of TIME's Best Inventions and Popular Science's greatest innovations of 2024, setting a new standard for electrification in the concrete industry [8] - The system includes a range of cordless equipment such as vibrators, power screeds, and core drills, now available in North America [8] Brand Engagement - DEWALT's activation on Sphere's Exosphere is part of a broader strategy to engage consumers and showcase the brand's commitment to innovation in the construction industry [5][7] - Last year's activation, which focused on the launch of the POWERSHIFT™ system, set records for stakeholder engagement through in-person views and social media interactions [7]

2025 DEWALT Power Pulse Survey finds increasing readiness for electrification with 66% of construction managers and 59% of skilled workers surveyed saying complete electrification on jobsites may be just two years away Join DEWALT and industry influencers Kiefer Limeback (toolaholic) and Brent Langstaff (concrete.by.design) at World of Concrete on Jan. 22 for a panel discussion exploring future trends and innovations in construction Experience the industry-acclaimed DEWALT POWERSHIFT™ system, showcased alo ...

Cost Reduction and Margin Improvement - The company's cost-reduction program, initiated in mid-2022, has generated approximately $1.4 billion in pre-tax run-rate savings and reduced inventory by over $2 billion [1][2] - The program aims to achieve $2 billion in pre-tax run-rate savings by the end of the year, with a long-term adjusted gross margin target of over 35% [2] Divestment and Debt Reduction - The company divested its STANLEY Infrastructure business for $760 million in April 2024 to focus on core operations and reduce debt [3] - This divestment supports the company's capital-allocation priorities and debt reduction efforts [3] Shareholder Rewards - The company allocated $367.2 million for dividend payouts in the first nine months of 2024, reflecting a 1.8% year-over-year increase [4] - The quarterly dividend was increased by 1 cent to 82 cents per share in July 2024 [4] Market Challenges - The company faces lower demand in the consumer outdoor and do-it-yourself markets, particularly in the power tools business due to industrial sector slowdowns [5] - The automotive end market is weakening, driven by challenges in global automotive OEM light vehicle production [5] Financial Performance and Debt Concerns - The company's shares declined by 5% in the past month, compared to the industry's 7.8% decline [7] - Long-term debt stood at $5.6 billion at the end of Q3 2024, with current maturities of $500.2 million and cash equivalents of $298.7 million, lower than short-term borrowings of $387.4 million [7] Industry Stock Picks - Generac Holdings (GNRC) has a Zacks Rank of 1 (Strong Buy) with a trailing four-quarter average earnings surprise of 10.8% and a 0.6% increase in 2024 earnings consensus estimates over the past 60 days [8] - Alarm.com Holdings (ALRM) holds a Zacks Rank of 2 (Buy) with a trailing four-quarter average earnings surprise of 19.6% and a 7.2% increase in 2024 earnings consensus estimates over the past 60 days [10] - Applied Industrial Technologies (AIT) carries a Zacks Rank of 2 with a trailing four-quarter average earnings surprise of 5% and a 0.2% increase in 2024 earnings consensus estimates over the past 60 days [10]