Stanley Black & Decker reported its 2024 third quarter financial results on Oct. 29, which showed a positive performance in the company’s DEWALT products.

SBD posted total sales of $3.8 billion, down 5% year-over-year as growth in its DEWALT products was offset by the company’s infrastructure divestiture earlier this year and lower end market demand for consumer and do-it-yourself products.

The company’s 3Q gross margin of 29.9% jumped 310 basis points year-over-year, with adjusted gross margin of 30.5% up 290 bps.

“In the third quarter we continued to deliver gross margin improvements as well as robust cash generation, all as a result of solid execution against our operational priorities,” SBD President & CEO Donald Allan Jr. said in the company’s financial release. “While a weak consumer and automotive production backdrop impacted organic revenue, we capitalized on relative bright spots and delivered our sixth consecutive quarter of DEWALT growth as well as higher sales in aerospace fasteners.”

SBD had a 3Q net profit of $1.1 billion, while adjusted EBITDA margin of 10.8% was up 140 bps year-over-year.

By SBD business unit in 3Q:

• Tools & Outdoor sales of $3.2 billion were down 3% year-over-year. Organic revenue was down by 4% in North America; up by 1% in Europe; and improved 6% in the rest of the world. Adjusted segment margin of 11.1% was up 180 bps year-over-year.
• Industrial sales of $488 million were down 18% year-over-year, with organic revenue down as 1% aerospace expansion and return to growth was more than offset by softness in automotive. Adjusted segment margin of 13.9% was up 170 bps year-over-year.

Looking forward, SBD updates its 2024 full-year guidance, calling for a 30% adjusted gross margin for the year. The company emphasized its commitment to executing its supply chain transformation and meeting its adjusted gross margin goal.