Stanley Black & Decker (NYSE:SWK) today reported financial results for the fourth quarter and full year 2025, reflecting continued progress on margin expansion and portfolio optimization despite softer top-line trends.
Full-year net sales totaled $15.1 billion, down 2% year-over-year.
Gross margin expanded to 30.3% for the year.
Adjusted earnings per share were $4.67, while GAAP EPS was $2.65.
Cash from operations was $971 million, and free cash flow totaled $688 million.
Fourth-quarter net sales were $3.7 billion, declining 1% year-over-year, with gross margin improving to 33.2%.
Meanwhile, the company announced a definitive agreement to divest its CAM (Commercial & Aerospace Materials) business for $1.8 billion, with the transaction expected to close in the first half of 2026.
The divestiture is part of Stanley Black & Decker’s ongoing strategy to streamline its portfolio, focus on core power tools and industrial segments, and enhance financial flexibility.