Stanley Black & Decker(US:SWK) ZACKS·2025-11-04 19:01Core Insights - Stanley Black & Decker, Inc. (SWK) reported third-quarter 2025 adjusted earnings of $1.43 per share, exceeding the Zacks Consensus Estimate of $1.19, representing a year-over-year increase of 17.2% [1][9] - The company's net sales were $3.76 billion, slightly missing the consensus estimate of $3.77 billion, and remained flat compared to the same quarter last year [1][9] Segmental Performance - The Tools & Outdoor segment generated revenues of $3.26 billion, consistent with the year-ago quarter, while the Engineered Fastening segment reported revenues of $501 million, up 3% year over year [2][3] Margin Analysis - Cost of sales decreased by 2% year over year to $2.58 billion, leading to a gross profit increase of 5.2% to $1.18 billion, with a gross margin improvement of 150 basis points to 31.4% [4] - Adjusted EBITDA rose by 13.4% year over year to $461.0 million, with the margin increasing by 150 basis points to 12.3% [4] Balance Sheet and Cash Flow - At the end of the third quarter, cash and cash equivalents stood at $268.3 million, down from $290.5 million at the end of fourth-quarter 2024, while long-term debt decreased to $4.70 billion from $5.6 billion [5] - In the first nine months of 2025, net cash generated by operating activities was $15.5 million, significantly lower than $427.8 million in the previous year, with free cash flow before dividends reported as negative $195.0 million [6] 2025 Guidance - The company anticipates total revenues to be in the range of a decline of 1% to flat year-over-year, with earnings projected between $2.55 and $2.70 per share, down from the previous expectation of $3.45 [7]