UPDATE: Stanley Black & Decker Posts Upbeat Q2 Profit, Lifts Full-Year Forecast

Stanley Black & Decker

reported a 16% rise in its second-quarter profit and raised its earnings outlook for the year. Stanley Black & Decker now projects full-year adjusted earnings of $5.50 to $5.60 per share, versus its earlier forecast of $5.35 to $5.50 per share. The New Britain, Connecticut-based company reported its quarterly earnings of $216.5 million, or $1.36 per share, versus $187.1 million, or $1.18 per share, in the year-ago period. Excluding certain items, it earned $1.43 per share. Its sales rose around 1% to $2.9 billion. However, analysts were estimating earnings of $1.36 per share on revenue of $2.94 billion. Stanley Black & Decker's gross margin rose to 36.5% from 35.2%, while input costs declined 1.1% to $1.83 billion. Stanley Black & Decker's construction and do-it-yourself unit reported flat sales at $1.39 billion. Its industrial sales climbed 3.2% to $889.2 million, while security revenue were relatively flat at $602 million. Stanley Black & Decker's Chairman and CEO, John F. Lundgren, said, “Our focus is on executing our 2014 operating priorities and our strong second quarter and first half results demonstrate the benefits of initiatives to drive margin expansion and operating leverage through pricing and cost management across the organization.” Stanley Black & Decker shares dropped 1.56% to close at $85.02 yesterday.