Earnings soared at Stanley Black & Decker in the third quarter, with higher sales and wider profit margins, the company reported Wednesday
The New Britain tool maker’s profits jumped 43 percent to $236.7 million, or $1.47 per share, from $166 million or $1.04 per share for the same quarter last year. Excluding one-time charges from mergers and acquisitions, diluted earnings per share were $1.55.
Stanley Black & Decker reduced costs in the quarter and benefited from strong demand in the U.S. housing market and progress in Europe. Sales lost in the second quarter to cold spring weather and slow emerging markets reappeared in this quarter, the company said.
“Our strong third quarter results demonstrate the benefits of our focus on driving organic growth, margin expansion and operating leverage through new product vitality accompanied by diligent price and cost management,” said John F. Lundgren, the company’s chief executive.
Stanley Black & Decker tightened its earnings projections for 2014 to $5.52 to $5.58, from the $5.50 to $5.60 it had planned earlier.
The company’s profit marks in the quarter exceeded the $1.44 per share analysts expected to see. Revenues came in above estimates, though only slightly.
Sales were up 5 percent, to $2.9 billion.
Consumer tools had the strongest quarter of the company’s three divisions, up 9 percent, seeing improvements in business from North America and Europe. Industrial sales, which includes automotive repair tools, jumped 5 percent. Security sales declined 3 percent.
Shares of Stanley Black & Decker stock closed at $87.41 Wednesday, up $1.32, or 1.53 percent.