Stanley Black & Decker (SWK) Investor presentation summary

Portfolio and markets

• 2025 revenue was ~$15.1B; Tools & Outdoor contributed ~$13.2B (87%) and Engineered Fastening ~$2B (13%), including $414M from CAM, divested Apr. 6, 2026.

• 2025 revenue mix by region: North America 66%, Europe 16%, and ROW 18%.

• Tools & Outdoor product mix: Power Tools ~49%, Hand Tools, Accessories & Storage ~28%, and Outdoor Power Equipment ~23%; its addressable market exceeds $100B.

Financial outlook and goals

• 4Q26 adjusted gross margin forecast remains ~34–35%, versus 33.3% in 4Q25; long-term target is 35–37%.

• FY26 adjusted EPS guidance is $5.95–$6.25 and free cash flow guidance is $1.0B–$1.2B; adjusted EPS guidance includes $0.60 from net tariff refunds received YTD.

• FY26 guidance includes CAM through Apr. 6 and excludes potential 4Q26 tariff refunds; 4Q26 outlook is ~$3.6B net sales and ~$1.45 adjusted EPS.

• 2028 goals include organic revenue growth at MSD in an LSD market, adjusted gross margin of 35–37%, adjusted EBITDA at mid- to high-teens % of sales, and ~100% ±10 pts FCF conversion to GAAP NI.

• CFROI target is low- to mid-teens by 2028 and above mid-teens beyond 2028; FY25 CFROI was 8.2%, versus 13.7% in FY19.

Capital allocation and balance sheet

• YTD free cash flow was $836M; 3Q26 buybacks were ~$250M for ~2.5M shares, completing the prior $500M authorization; a new authorization permits up to $1B in repurchases.

• Net debt to adjusted EBITDA is on track to reach ~2.5x by year-end 2026, including buybacks, versus 3.4x at year-end 2025; CAM proceeds and strong FCF support deleveraging.

• Capital priorities are organic growth, efficient shareholder returns through opportunistic repurchases and a persistent dividend, then bolt-on M&A when appropriate.