Stanley Black & Decker (SBD) will surpass its goal of posting $1 billion in Craftsman brand sales within 10 years, CEO James Loree told analysts.

“The potential for this (Craftsman) program to exceed $1 billion is very real given the retail placements we have achieved,” Loree said.

SBD purchased the Craftsman brand from Sears Holdings in 2017 and launched sales of internally-developed metal storage and other products earlier this year through Lowe’s and Ace Hardware. Ace had already carried Craftsman product under Sears’ ownership. Both chains will transition to a broader assortment of Craftsman goods that will include licensed merchandise in the second half, SBD’s Jeff Ansell said.

SBD also plans to expand the Craftsman brand in lawn and garden, “exploring opportunities” for partnerships or buying assets that would have manufacturing capacity, Loree said. “We are actually all over this and have studied it thoroughly,” Loree said. “We had numerous conversations with participants in the industry so stay tuned, it won’t be long.”

Among the assets available is Husqvarna’s consumer business. The company last week said it would exit the business starting with lawn mowers and tractors, some of which are sold under Poulan brand, and complete the process by 2020.

Meanwhile, SBD’s tools and storage business, which includes Craftsman, posted a 7.4% increase in profit to $398.6 million in Q2 ended June 30 as revenue rose 11% to $2.56 billion. The increased sales included a 10% gain in North America partly driven by the rollout of Craftsman product in a Father’s Day promotion in June at Lowe’s and Ace. Overall, SBD’s Q2 net income rose 5.7% to $293.6 million as total revenue increased 11% to $3.64 billion.

Contact:

Stanley Black & Decker, Todd Snellenburg, VP Sales, 443-927-5483, todd.snellenburg@sbdinc.com