Stanley Black & Decker Inc. (NYSE: SWK) reported first-quarter 2026 results on Wednesday, with adjusted EPS of 80 cents, beating the 63 cents estimate.
Revenue came in at $3.846 billion, above the $3.746 billion estimate, though shares traded lower after the release.
Margins, Costs And Profitability
Net sales rose 3%, with price and currency each contributing 3%. Volume declined 3%, primarily due to retail softness in North America. Investors are reacting to the volume decline.
Gross margin was 30.1%, while adjusted gross margin was 30.2%, impacted by tariffs, inflation and volume deleverage.
Net earnings were $59.6 million. EBITDA margin was 7.1%, and adjusted EBITDA margin was 9.2%.
Pre-tax non-GAAP adjustments totaled $81.0 million, mainly tied to restructuring, asset impairment, and footprint actions.
Segment Performance
Tools & Outdoor sales increased 2% to $3.34 billion, with organic revenue down 1% due to North America retail softness.
Segment margin was 8.3%, with adjusted margin at 8.7%, impacted by mix and tariffs.
Engineered Fastening sales …