Stanley Black & Decker reported Engineered Fastening organic revenues dropped 1% in the opening quarter of 2022 as general industrial fastener growth was offset by a market-driven decline in automotive demand. 

Engineered Fastening is part of the company’s Industrial segment, which saw Q1 sales decline 2% to $647 million as price (+5%) was more than offset by volume (-5%) and currency (-2%). Segment profit drop 58% to $41.3 million during the quarter.

Consolidated Stanley Black & Decker sales rose 20% to $4.4 billion.

“Stanley Black & Decker capitalized on the strong demand environment, our recent strategic acquisitions in the fast-growing outdoor power equipment market and a 5% contribution from pricing to drive 20% quarterly revenue growth as well as higher sequential margins,” stated CEO Jim Loree.

Gross margin fell 610 basis points to 29.3% as price realization was more than offset by commodity inflation, higher supply chain costs and lower volumes. Q1 operating profit declined 48% to $345.1 million, while net income dropped 66% to $155.6 million. 

During the first quarter, Stanley Black & Decker closed its business in Russia after that country invaded Ukraine. Web: StanleyBlackandDecker.com