Sales were up but net earnings were down for Stanley Black & Decker, the maker of construction and DIY tools, security and industrial products.
New Britain, Conn.-based Stanley Black & Decker first quarter sales increased to $2.65 billion, up 12% from $2.36 billion in the same quarter last year.
The company said the sales growth was attributable to volume (+2%), price (+1%), currency (-1%) and acquisitions (+10%). Last year, Stanley announced it would acquire Niscayah Group AB, a Swedish commercial security company.
Stanley Black & Decker posted net earnings of $121.8 million for the first quarter, down from $158.7 million in the same quarter last year.
March 12 marked the two year anniversary of the Stanley Black & Decker combination and we remain pleased with how the integration has progressed,” said CEO John Lundgren. “Our plans to achieve $300 million to $400 million in revenue synergies by 2013 remain on track and we feel confident these projects will drive profitable organic growth as they did in 2011.”
For the entire construction and DIY segment, net sales increased 1% compared to the same quarter last year. In the CDIY segment, a 3% increase in unit volumes was partially offset by a 2% decline in currency. Excluding M&A charges, overall segment profit was flat versus the same quarter last year as cost synergies, productivity projects and volume leverage were offset by inflation, the company said.
“Our CDIY segment continues to benefit from successful new products, such as the DeWalt 20 Volt MAX lithium ion line and the new launch of the corresponding brushless line,” said executive VP and COO James Lorree.