Stanley Black & Decker, Inc. (NYSE:SWK) Q4 2017 Earnings Conference Call - Preliminary Transcript
Jan 24, 2018 • 08:00 am ET
Welcome to the Fourth Quarter and Full Year 2017 Stanley Black & Decker Earnings Conference Call. My name is Shannon, and I will be your operator for today's call. At this time all participants are in a listen-only mode. Later we'll conduct a question-and-answer session. Please note that this conference is being recorded.
I will now turn the call over to the Vice President of Investor Relations, Dennis Lange. Mr. Lange, you may begin.
Thank you, Shannon. Good morning, everyone, and thanks for joining us for Stanley Black & Decker's Fourth Quarter and Full Year 2017 Conference Call. On the call, in addition to myself, is Jim Loree, President and CEO; Don Allan, Executive Vice President and CFO; and Jeff Ansell, Executive Vice President and President, Global Tools & Storage.
Our earnings release, which was issued earlier this morning, and a supplemental presentation, which we'll refer to during the call, are available on the IR section of our website. A replay of this morning's call will also be available beginning at 2:00 p.m. today. The replay number and the access code are in our press release. This morning, Jim, Don and Jeff will review our fourth quarter and full year 2017 results and various other matters followed by a Q&A session. Consistent with prior call we're going to be sticking with just one question for a caller. And as we normally do, we will be making some forward-looking statements during the call.
Such statements are based on assumptions of future events that may not prove to be accurate, and as such, they involve risk and uncertainty. It is, therefore possible that actual results may materially differ from any forward-looking statements that we may make today. We direct you to the cautionary statements in the 8-K that we filed with our press release and in our most recent '34 Act filing.
I'll now turn the call over to our President and CEO, Jim Loree.
James M. Loree
Thanks, Dennis, and good morning, everyone. Thank you for joining us. As you saw in this morning's press release, we delivered a solid fourth quarter performance, bringing closure to an impressive 2017. The Company continued its above-market organic growth trajectory and delivered operating margin rate expansion, strong EPS growth and very good free cash flow conversion. This solid performance highlights the power of coupling our well-developed organic growth machine with a return to acquisitions. We're encouraged and we believe that this trend will continue into 2018.
Moving to the fourth quarter numbers. Revenues were $3.4 billion, up 17%, with organic growth of 8%. Acquisitions added 9 points of growth and currency contributed 3 points. These factors were partially offset by the Mechanical Security divestiture. Tools & Storage continued its strong contribution, accelerating to 11% organic growth and 26% total growth with strength in all major geographies and business units. This performance reflects a vibrant series of growth initiatives around the globe and a stream of innovations that we have brought to the marketplace, including FLEXVOLT.
As expected, Industrial