Stanley Black & Decker Unleashes $500 Million Supply Chain Overhaul to Battle Tariff Headwinds; Will It Work?

Stanley Black & Decker’s first quarter earnings for 2025 reflected continued progress in line with its transformation strategy, demonstrating both positive outcomes and ongoing challenges. The company reported organic revenue growth of 1%, driven by strong performance in its outdoor products segment and key contributions from the DEWALT brand, which showed mid-single-digit revenue growth. The execution of strategic initiatives seems to have resulted in improved supply chain efficiencies, helping to drive a year-over-year gross margin expansion of 140 basis points to 30.4%. However, this positive was partly offset by headwinds from freight inflation and the initial effects of new tariffs on imports from China and Mexico, highlighting the complexity of the current trade environment.