NEW BRITAIN, Conn. — Stanley Black & Decker today announced its third quarter 2010 financial results.
Net sales for the period were $2.4 billion, up 153 percent versus prior year due to the inclusion of Black & Decker’s results (+139 percent), unit volume (+7 percent), other acquisitions (+9 percent) and currency (-2 percent). On a pro forma basis, legacy Black & Decker also achieved strong unit volume growth of 10 percent, the company noted.
Working capital turns for the quarter were 4.6. Third quarter 2010 free cash flow was $234 million, excluding $81 million of merger-related one-time payments.
SG&A expenses, excluding one-time charges, were 24.3 percent of sales, down from a combined company pro forma level of 25.3 percent in the third quarter of 2009, as a result of volume leverage and cost synergy realization.
Stanley Black & Decker President and CEO John Lundgren commented, “We are very pleased with the organic revenue growth achieved across many of our businesses in the third quarter, which was driven by the launch of a number of successful new products and the impact of our commitment to outstanding customer service.
"The integration of Stanley Black & Decker is proceeding ahead of plan and based on our execution and experience to date, we now expect to realize $125 million in cost synergies in 2010, $35 million more than originally forecast. In addition, as we continue to analyze the revenue synergy potential for the combined company we have reason to believe that execution of these initiatives will drive significant additional top-line growth in the coming years,” Lundgren said.
