Stanley Black & Decker, Inc. (NYSE:SWK) Q1 2020 Earnings Conference Call - Final Transcript

Apr 30, 2020 • 08:00 am ET


Stanley Black & Decker, Inc. (NYSE:SWK) Q1 2020 Earnings Conference Call - Final Transcript


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Welcome to the First Quarter 2020 Stanley Black & Decker Earnings Conference Call. My name is Shannon, and I will be your operator for today's call. [Operator Instructions]

I will now turn the call over to the Vice President of Investor Relations, Dennis Lange. Mr. Lange, you may begin.

Dennis Lange

Thank you, Shannon. Good morning, everyone, and thanks for joining us for Stanley Black & Decker's 2020 First Quarter Conference Call. On the call, in addition to myself, is Jim Loree, President and CEO, and Don Allan, Executive Vice President and CFO. Our earnings release, which was issued earlier this morning and a supplemental presentation, which we will 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 11:00 a.m. today. The replay number and the access code are in our press release.

This morning, Jim and Don will review our 2020 first quarter results and various other matters followed by a Q&A session. Consistent with prior calls, we're going to be sticking with just one question per caller. And as we normally do, we will be making some forward-looking statements during the call based on our current views. 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's therefore possible that the actual results may materially differ from any forward-looking statements that we might make today. We direct you to the cautionary statements in our 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. I'd like to begin with a short passage from our most recent shareholder letter, and I quote, "The new decade is upon us and with it comes a host of new challenges, with the most significant one of them all being something called VUCA, a term which emanated from a military college in the U.S. in response to the onset of the post-Cold War era. VUCA stands for volatility, uncertainty, complexity and ambiguity. And while back in that period, VUCA described the backdrop for the formation of a new world order, this time, I believe it describes what leaders of all institutions will have to consider as we devise strategies and tactics to thrive in what can now be called the new world disorder of the 2020s.

It's an exciting world full of disruptive risks and opportunities, with the accelerating pace of technological change, always pushing the limits of what individuals and institutions can absorb. In 2019, we put much thought into what it will take to win in this environment, and we were perhaps blessed by having to deal with the unusually volatile conditions we faced in 2018 and 2019. For structural reasons, our recent external challenges may have been more pronounced than encountered by most diversified global industrials.