Stanley Black & Decker (SWK) increased its 2017 GAAP EPS guidance range To $7.95 to $8.15 from prior range of $7.63 To $7.83; and increased adjusted EPS guidance range to $7.08 To $7.28 from prior range of $6.98 To $7.18. The company raised its earnings guidance due primarily to an improved outlook for the company's Industrial Businesses. The company reiterated its free cash flow conversion estimate of approximately 100%.
Donald Allan Jr., CFO, said, "Maintaining our focus on operational excellence, including integrating the Newell Tools business and building the Craftsman brand, while continuing to make balanced investments to support organic growth, position us to deliver on our updated 2017 financial outlook. We also remain committed to a strong investment-grade credit rating and expect that our capital allocation plans during 2017, combined with the incremental EBITDA from Newell and Craftsman, will bring our credit metrics back in line by early 2018."
For the first-quarter, excluding M&A related charges and gain on divestitures, EPS Was $1.29. Revenues totaled $2.8 billion, up 5% from last year fueled by 5% organic growth.
Stanley Black & Decker's CEO, James Loree, stated, "We reported robust organic growth of 5% and a record 14.2% operating margin rate, a 110 basis point expansion. Our organic growth was led by 6% growth in Tools & Storage, with a 4% contribution from Industrial, while Security was modestly positive. We were particularly pleased to see Engineered Fastening exceed its growth projections based on better than expected automotive performance."
by RTT Staff Writer
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