reported a sharp drop in profit in the fourth quarter as demand for its tools and hardware fell.
Shares were trading at $32.63, up $1.67, or 5.4% in recent activity.
Net income for the fourth quarter was $5.4 million, or 7 cents a share, down from $88.9 million, or $1.07 a year ago.
Minus one-time items, the New Britain, Conn.-based company made 66 cents a share, above average analyst estimates of 59 cents a share. Revenue dropped 5% to $1.09 billion. Wall Street was looking for $1.1 billion.
"While the fourth quarter was characterized by steep revenue and margin declines in CDIY (construction and do-it-yourself) and Industrial, the Security segment continued on its growth trajectory, providing welcome stability to overall company operations, said John F. Lundgren, chairman and chief executive officer. "We feel that we are taking appropriate actions to protect our cash flow and earnings base while positioning the company for future growth. We are operating from a position of strength in the most difficult environment in memory."
This article was written by a staff member of TheStreet.com.