*Excluding M&A related charges, and for 2017 excludes net gain on divestitures and one-time tax charge.
The Stanley Fulfillment System (SFS) has been our method for ensuring operational excellence for more than a decade. Adapted for this digital age, SFS 2.0 harnesses and applies the disruptive power of the digital revolution pervasively across the business — delivering continuous process improvements while sustaining a culture of outperformance and ceaseless innovation in the pursuit of above-market organic growth with margin expansion and strong free cash flow generation.
Stanley Black & Decker has a track record of top-quartile performance as compared to leading global industrial companies.
Free Cash Flow CAGR
Average Organic Growth
Capital allocation model —50% back to shareholders, 50% invested in M&A
Our value creation model begins with having world class brands — defensible, scalable franchises that are differentiable through innovation. We power these attractive growth platforms with our SFS 2.0 operating system, which helps us deliver outsized organic growth, margin rate expansion and strong free cash flow conversion as we pursue our long-term financial objectives. Our capital allocation approach is to return approximately half the cash we generate to our shareholders in the form of dividends and/or opportunistic share repurchases, and reinvest the other half in acquisitions to further strengthen our branded franchises and to fuel growth — with consistent discipline focused on capital-efficient growth.