Stanley Black & Decker Inc. (SWK) - Get Report posted adjusted profit in the fourth quarter of $2.11 a share, beating analysts' estimates by 1 cent. But the stock tumbled 13.7% on Tuesday to $118.07 after the company said fiscal 2019 earnings would come in below analysts' forecasts.
Revenue in the quarter of $3.63 billion topped forecasts of $3.62 billion.
On a GAAP basis, Stanley Black & Decker posted a loss of 45 cents a share vs. profit a year earlier of $1.84. The shares closed down 15.5% to $115.69.
Gross margin rate for the quarter was 33.3%, the company said. Excluding charges, the rate was down 280 basis points from the prior year as "volume leverage, productivity and price were more than offset by external headwinds, including commodity inflation, foreign exchange and tariffs."
For 2019, the company said it expects earnings of $7.45 to $7.65 a share; on an adjusted basis earnings of $8.45 to $8.65 are expected. Analysts surveyed by FactSet expect earnings in 2019 of $8.79.
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