While private companies can operate under shrouds of secrecy, public companies cannot. Public companies, such as Black & Decker, are required to make public certain information for investors.
Conference call transcripts, annual reports, financial reports, and investor overviews can shed light on public companies’ strategies and successes.
Following are 5 things you might find interesting about Stanley Black & Decker. We actually discuss 6 points, but #0 is a fun one that doesn’t really count.
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0. In addition to advertising at Major League Baseball events and sponsoring NASCAR drivers, Stanley Black & Decker sponsors Professional Bull Riders. They also sponsor European football events, Moto GP motorcycle racing, and are the official tool provider of Walt Disney World.
Source: Stanley Black & Decker Investor Overview (as of 2/4/14) PDF (page 12).
[Am I the only one surprised and amused by this?!]
Click for larger:
1. Stanley Black & Decker brands dominate the global construction & DIYer hand tool market. Craftsman holds second highest market share, and private label companies combined come in third. Klein, Channellock, Estwing, Lufkin, and Irwin are “marginal” brands*.
Source: Stanley Black & Decker Investor Overview (page 19), 2013 Investor Day (PDF) (Page 11).
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*Q1 2012 earnings conference call transcript PDF page 12, in the context of how private label brand growth doesn’t affect SBD, but that the marginal brands get squeezed.
2. Stanley Black & Decker brands also dominate the global construction and DIYer power tool market. Worldwide, Bosch is in second place, Makita in third, and then there’s Hitachi, TTI, Hilti, Husqvarna, Craftsman, and Toro.
Source: 2012 3rd party research, Stanley Black & Decker Investor Overview (page 19), 2013 Investor Day (page 11).
3. Stanley Black & Decker describes itself as the: largest, most global, most innovative, fastest growing, most efficient, and most profitable tool manufacturer.
Source: 2012 3rd party research, Stanley Black & Decker 2013 Investor Day (page 21).
4. Stanley Black & Decker earned a LOT of money last year. Their construction and DIY segment drives in the most sales and profit, followed by their industrial segment, and then security products and services.
In regard to construction and DIY tools and products, 41% of their revenue is tied to existing residential construction, repair, and DIY efforts, 29% of their revenue is tied to new residential construction projects, and 24% of revenue is tied to the non-residential commercial construction market.
Source: Stanley Black & Decker Investor Overview (page 49).
If you want to see SBD’s most recent financials, here’s a look at their 4Q 2013 and 2013 full-year financial report: PDF.
5. Dewalt has brought more than 250 new jobs to their Charlotte, NC facility as part of their Built in the USA with Global Materials campaign that involves domestic assembly of select Dewalt power tools.
Source: Stanley Black & Decker 4Q and 2013 Overview presentation PDF.
Tyler
Does anyone know what Dewalt power tools are assembled here?
Stuart
It will be their two most popular 20V Max cordless Li-ion power tools, such as the DCD780C2 drill/driver which we reviewed here, and their DCF885C2 impact driver.
They have a full list here, and I’ll see if I can get a post up with a full list of 20V Max tools.
Remember, they are only building/assembling the tools here. The parts and components are still being globally sourced. Still, built in the USA is a good start.
Aaron Harmon
I didn’t know that Dewalt was assembling tools in the US. That’s good to know. More often than not, “Made in the USA” is a deciding factor when I am deciding between two similar tools from different manufacturers.
Toolfreak
Unfortunately, all that financial data obscures a larger point, that Stanley (Stanley Black & Decker only being the corporate monkier that suits who need to have company names combined decided on) became the tools behemoth it is today largely by sacrificing quality and outsourcing jobs to overseas manufacturers, mostly China.
That’s really too bad, because in its heyday, the Stanley Works and its smaller divisions, from Mac Tools, to Proto, were great USA-made top quality tools. These days, even their top of the line most expensive products are just about all outsourced and a shadow of their former offerings. Even Black & Decker has gone from a reliable consumer-level brand to cheap gimmicky junk that is more about a quick profit than making a quality product that lasts.
It’s nice that they’re touting the “assembled in USA – with global materials” for a few DeWalt tools, but Milwaukee and a few others do the same. I’m more interested in their core products, wrenches, ratchets, sockets, etc., being made in the USA with US Steel and alloys.
Another thing about Stanley Black & Decker, at least the DeWalt division, they are unreasonably aggressive in attacking even their own customers when it comes to their products and logo. Someone at DeWalt actually goes on ebay and demands that listings with its tools be removed when the DeWalt logo is visible due to ‘copyright violation’ – so you have to take pictures of your tools with the logo covered up or just not showing if you want it to stay online. I will never buy or own another DeWalt tool until they stop doing this and publicly apologize to everyone for doing so.
Jim
What Ebay site are you referencing? Ebay.lalaland?
“Someone at DeWalt actually goes on ebay and demands that listings with its tools be removed when the DeWalt logo is visible due to ‘copyright violation’ – so you have to take pictures of your tools with the logo covered up or just not showing if you want it to stay online”
Do you have single shred of evidence to back this up? A link to a major seller on Ebay with photos showing a fuzzed out logo for a Dewalt listing will suffice. I have listed 25+ Dewalt items on Ebay in past 12 months without any issues. Look at the listings. The Dewalt logo is everywhere in the photo and in the listing descriptions. Copyright violation for taking pictures of your tools? US law? Copyright violation to take a picture at a football game which shows NFL team logos? Copyright violation to take a pictutre of your car with the automakers logo?
Stuart
Actually, the NFL and other sports organizations are VERY aggressive when it comes to photos and videos of games. I have heard of people being told to leave their dSLR cameras with zoom lenses in the car.
If you were to take photos of your car with its make and model branding very prominent, you would not be able to sell a calendar or individual prints without first seeking copyright release and permission from the company. Well, you could, but not without risk.
Technically, using recognizable brands and logos for commercial purposes – to sell tools – requires permission. Without a copyright release, commercial use of logos and other copyrighted material could in some cases be construed as infringement.
I wouldn’t expect for a company such as Dewalt to go after ebay sellers who list used tools here and there, and haven’t seen or heard of this before.
Toolfreak
What evidence am I supposed to have to back this up?
I sold a bunch of my tools on ebay – and I kept getting emails that my listings were ended due to a copyright complaint from the copyright owner of the tool manufacturer – DeWalt. It was fustrating to say the least and I had to re-take the pictures of the tools without the logo showing in such a way that it didn’t look like I was trying to sell a fake tool as a DeWalt.
I don’t have anything else to back this up, and no, I’m not going to give you my email or password so I can “prove” it to you. But it still happened and it’s still true.
I’ve never had it happen by any other company, and everything I’ve sold has the brand and logo displayed all over it. Maybe there was a period of time when DeWalt did this and they no longer do. Maybe the marketing person they had at the time was insane. I don’t know.
ChrisK1970
Actually I am with ToolFreak here. No need for proof on this. A couple of years ago I posted a new 20v Dewalt hammer drill on eBay. About two days into it my posting got deleted and a case was opened against me! I’m a law abiding citizen and naturally FREAKED out. I called eBay after the hassle of trying to get a time sensitive home number and after several tense hours, I learned that Dewalt had opened the case. I corresponded with the complainant, Dewalt and the case was closed. I get it, they’re just protecting their assets but I learned a valuable lesson and will be really careful from now on.
dave
I am doubtful this is Dewalt corp policy and think it more likely that a competitive eBay seller either was an entity of Dewalt acting rogue, or a 3rd party falsely represented themselves as Dewalt.
Right now I see page after page of eBay listings with the Dewalt logo showing, not a single one blurred or otherwise obscured.
Gerald
I’ve sold thousands of items, by hundreds of companies on eBay, and never had it happen before DeWalt either.
My listing was removed for copyright image after about a week.
I sold a dozen items, where other sellers that started a couple days after have sold a hundred over the course of a month, never being removed.
I do know a couple others that were removed, but it seems roll of the dice who is.
When it happened, some of my recent buyers freaked out, thinking I was scamming them. I simply was buying from Lowe’s for flip sakes.
One guy had bought 22 hours earlier and opened a not received case.
A woman cussing saying she was going to get her item or money back.
They flipped out because the listing they bought off was removed suddenly out of nowhere.
I like my Dewalt tools, but they can forget about me as a customer or seller of their items going forward.
If they would’ve left me alone, everyone would have continued to make money and receive their item. Or they could’ve contacted me and said they simply wanted me to use my own pictures.
The customers should know what the item they’re buying is though & what is in the box/package. Which is exactly the photos I presented.
Toolfreak
In 2019? Yikes.
Stuart
Are you certain the complaint came from Dewalt and not another seller?
I can see this potentially happening as a way to stifle competition.
dave
Your memory is not very good. I remember Black and Decker cordless tools 30+years ago. They were underpowered junk with built in, tab welded sub-C NiCd cells and dumb/trickle chargers that would cook them if you forgot to unplug the charger when you GUESSED that they were done charging.
They had brittle plastic casings prone to crack if dropped, no grip, poor balance, we basically just the cheapest thing you could find at the time.
Their hand tools were a little better metal, but crudely finished, more likely to round out a fastener than break the tool for example, which is the opposite of what I want. I’d rather a $5 tool sacrifices itself instead of the fun task of deciding whether to get out a welder, blow torch, EZ-Out, or whatever else is needed to get a damaged fastener off.
Generally, I don’t find the quality of these budget priced tools to have declined much. They never were what you are imagining them to be. Plus, I hate the outsourcing but have a lot of decent tools that were made in Taiwan like impact sockets. The price of decent US made impact sockets is absurd for my uses which are nothing more difficult than using 1/2″ drive to get CV axle nuts off, so mostly under 200 lb ft.
John
Will be very interesting to see what the 250 new tools introduced over the next 3 years will be. Looking at the graphic, I see a few things that I haven’t seen previously in the states. Could they be currently available in Europe or Asia or glimpses into what is headed our way in the near future?
Stuart
Remember, those 250 new products span all of SBD’s CDIY tool brands – Black & Decker, Bostitch, Dewalt, and Porter Cable, and include hand tools, power tools, and accessories.
I spied a few new products in their montage, but nothing earth-shattering.
MT_Noob
Stuart,
Have you ever done a post that explains what companies own which brands? Keeping up with who bought whom is a bit confusing to me and it sounds as though you have all this stuff memorized. Would you consider doing a sort of org chart or venn diagram?
BTW love the website, keep up the great posts.
Stuart
That’s actually a pretty good idea, thanks! I have to look these things up every now and then as well.
I only recently found out that Danaher owns Fluke, Tektronix, and Keithley. I only recently first heard of Keithley, but didn’t know Tektronix and Fluke were under the Danaher umbrella.
Corporate affiliations can be a bit tricky to keep track of. For instance, Apex Tool Group, which used to be a partnership between Danaher and Cooper Tools, is now owned by Bain Capital, an investment firm, and still owns more than 30 tool brands.
MT_Noob
Wow, just saw the post( Tool Brands…) https://toolguyd.com/tool-brands-corporate-affiliations/ I had no idea it was that complex. Thanks again!
Tomas
I’d love to see a nice simple chart of who owns who as well. Makes me feel a bit more informed when I know where the money is going when I buy that Luftkin tape measure
Stuart
While not a simple chart, I put together a who owns which brand guide to tool brands and their corporate affiliations.
Monte
Where are companies like Snap-On and Stihl ?
Stuart
I presume that Stanley Black & Decker only compared themselves to other construction and DIY brands.
Snap-on is a pretty big player, with $2.94B in sales in 2012. Their 2013 reports have not yet been published.
Greg Post
I’ve used B&D electric lawn equipment for the last 7 years and keep seeing the battery technology and trimmers improving and prices coming down, it’s awesome. I also don’t have to mess with gasoline, oil, stupid starts, and off-season maintenance.
Mick
Just a quick comment about the line of “20 volt max” tools: Every tool that displays that claim (w/an asterisk) also states in “micro type” that the nominal voltage is 18. Here’s a way to look at this…when you charge your car battery, the voltage level is typically between 13.8 and 14.2 “max” volts. However, what is the operational voltage of the car? Of course it’s 12 volts. Caveat emptor…”Let the buyer beware.”
Jim Felt
That reminds of my first Bosch 10.8Vtools. 10.8 VDC was correct but even Bosch had to relabel that 12V line eventually when all the other brands started “rounding up” their 10.8V to the far superior (sounding) 12V.
Ain’t marketing a thrill?!
Stuart
If I recall correctly, Bosch changed their branding from 10.8V to 12V Max in the USA in response to Milwaukee’s M12 branding. Makita followed suit and Dewalt launched their tools with 12V Max branding from the start. They also started the 20V Max marketing nonsense that they insisted was to avoid market confusion between the new line and their 18V series. Meanwhile, the tools are all 18V XR everywhere else in the world outside of North America.
John
Do dewalt and black and decker cordless drills have the same internal parts or motor
Benjamen
A brushless motor Dewalt no. An entry model Dewalt possibly, but probably not likely.
I think it’s way more likely that PC and B&D share parts than Dewalt. I just got the brand new PC Brushless drill and the B&D Smartech drill and they definitely share some design features.