This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Stanley Black & Decker Reports 3Q 2012 Results

Donald Allan Jr., Senior Vice President and CFO commented, “As the year has progressed market-related volume reductions in some of our more profitable businesses have created ongoing pressure to our earnings expectations and required the cost actions we announced earlier in the year. However, we feel very strongly that the plan to invest in growth as opposed to taking out incremental costs at this particular time is the right one for our businesses under the circumstances as we can no longer rely on the macro environment to provide any tailwind beyond perhaps the U.S. housing market. We remain focused on our mid-decade goal to become a diversified enterprise with greater than 20% of revenues from emerging markets and a long term organic growth target range of 4-6%. It is decisions like these that enable us to achieve our goals and objectives amidst a slow growth macroeconomic path ahead. Our free cash flow guidance of $1.2 billion for the full year remains fully intact as the tenets of the Stanley Fulfillment System continue to drive a culture of continuous improvement throughout the company.”

Including all acquisition, Black & Decker transaction-related one-time charges, the charges associated with the 2012 cost actions and the charges associated with the extinguishment of debt, the company expects EPS to approximate $3.65 in 2012. For the full year of 2012 the company estimates the one-time charges to be approximately $350 million consisting of restructuring and related costs associated with severance of employees and facility closures and certain compensation charges, advisory and consulting fees, as well as the charges associated with the extinguishment of debt.

Merger And Acquisition and Other Charges

Total one-time charges in 3Q’12 related to Merger and Acquisition charges, the charges associated with the $200 million in cost actions implemented thus far in 2012, as well as the charges related to the extinguishment of debt during the quarter were $161.3 million. Gross margin includes $11.6 million of these one-time charges, primarily facility closure-related charges, and SG&A includes $38.9 million in one-time charges, primarily for integration-related administration costs and consulting fees, as well as employee-related matters. $28.0 million of these costs that impact the Company’s operating margin are included in segment results, with the remainder in corporate overhead. One-time charges of $57.4 million included in Other, net primarily relate to the extinguishment of debt. Lastly, one-time charges of $53.4 million are included in restructuring charges, the majority of which represent Niscayah-related restructuring charges and cost containment actions associated with the severance of employees.

5 of 10

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
AAPL $94.14 0.13%
FB $99.71 -4.20%
GOOG $671.14 -1.80%
TSLA $149.16 -8.30%
YHOO $26.67 -4.60%


Chart of I:DJI
DOW 15,878.17 -326.80 -2.02%
S&P 500 1,844.58 -35.47 -1.89%
NASDAQ 4,264.5230 -98.6210 -2.26%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs