Stanley Black & Decker (SWK) Morgan Stanley's 14th Annual Laguna Conference summary

Strategic priorities and progress

• Focused on activating core brands, improving operational excellence, and accelerating innovation, with notable progress in all areas over the past year.

• Achieved growth in three core brands and are on track toward a 35% gross margin target.

• Improved innovation cycle time by 30%, resulting in a robust pipeline of new products for DEWALT, STANLEY, and CRAFTSMAN.

• Built organizational resiliency and flexibility to adapt to volatile market conditions.

• Maintained alignment with a three-year plan despite higher-than-expected market volatility.

Brand strategies and market dynamics

• DEWALT continues to outperform the market, expanding into commercial, industrial, and new trade segments, and consistently gaining share.

• STANLEY has undergone a product refresh and channel restructuring, especially in Europe, leading to renewed growth.

• CRAFTSMAN is launching its largest product cycle since acquisition, targeting DIY, mechanics, and lawn/garden segments for sustained growth.

• Commercial and industrial professional markets remain strong, while consumer and DIY segments are stable but not driving significant growth.

Operational and supply chain initiatives

• Optimized manufacturing footprint to minimize tariff exposure, with less than 5% of U.S. consumption sourced from China by year-end.

• Increased USMCA-qualified production and consolidated facilities to enhance flexibility and reduce costs.

• Built capabilities to quickly adapt to future changes in trade policy or tariffs.