Black & Decker (BDK) posted a net profit of $148 million or $1.79 per share in the first quarter, on the back of strong demand for its DeWalt and Price Pfister brands.
Excluding a favorable $55 million pretax insurance settlement, the toolmaker earned $1.36 per share, above analyst estimates of $1.34. That also surpassed the year-ago quarter of $74.3 million, or 93 cents per share.
Sales in the power tools and accessories segment increased 50% for the quarter, and by 17% in existing businesses, said Nolan D. Archibald, chairman and chief executive officer, in a statement.
For the current quarter, the Maryland-based company expects EPS in the range of $1.73 to $1.78, and between $6.55 to $6.70 for the full year, excluding the impact of the insurance settlement. The company hopes to convert at least 90% of full-year net earnings to free cash flow. The company also increased its sales-growth forecast to 20% or above.
Black & Decker declared a quarterly cash dividend of 28 cents per share, payable June 24. Shares were higher by 9 cents to $82.98 in recent trading.