Stanley Black & Decker Q2 2026 Results Overview
Stanley Black & Decker Inc. (NYSE:SWK) announced second‑quarter 2026 results that beat analyst expectations, prompting a 3.01% rise in pre‑market trading. The company reported adjusted earnings per share of $1.57, surpassing the consensus estimate of $1.21 by $0.36, a beat that incorporated an approximate $0.17 per‑share benefit from net tariff refunds.
Revenue for the quarter was $4.0 billion, marginally above the $3.96 billion forecast and essentially flat versus the prior year. Organic sales grew 3% year‑over‑year, driven primarily by strength in U.S. retail and commercial‑industrial channels.
Adjusted gross margin expanded 620 basis points year‑over‑year to 33.7%, reflecting a roughly 250‑basis‑point contribution from the net tariff refunds. The Tools & Outdoor segment generated $3.56 billion in sales, up 3% YoY, with an adjusted segment margin of 11.8%, an improvement of 380 basis points. The Engineered Fastening segment saw sales decline 18% to $396 million, largely due to the completed sale of the Consolidated Aerospace Manufacturing business in April, although organic revenue within the segment rose 3%.
Management raised the full‑year adjusted EPS guidance to a range of $5.20‑$5.80, up from the prior $4.90‑$5.70, with the midpoint of $5.50 exceeding the analyst consensus of $5.37. The free‑cash‑flow outlook was also increased to $600 million‑$800 million, up from $500 million‑$700 million.
Chris Nelson, President and CEO, stated that the team remains committed to executing its strategy and delivering profitable, organic growth, noting that the quarter’s sales, margin, and cash performance keep the company firmly on track to meet its full‑year targets.
Financially, the company reduced net debt by $1.7 billion during the quarter and repurchased approximately 3.2 million shares for $250 million.