Stanley Black & Decker Announces Agreement to Sell Excel Industries to Bad Boy Mowers

Stanley Black & Decker will sell Excel Industries to Bad Boy Mowers while refocusing its outdoor portfolio and maintaining adjusted EPS expectations.

Rhea-AI Summary

Stanley Black & Decker (SWK) has entered a definitive agreement to sell its Excel Industries business to Bad Boy Mowers.

Excel, which includes Hustler-branded professional-grade gas-powered ride-on and zero-turn mowers, is expected to generate approximately $300 million in FY 2026 revenue. The company said the divestiture refines its portfolio and concentrates resources on higher-opportunity areas, including outdoor brands such as Cub Cadet, Dewalt, Craftsman, Troy-Bilt and Black+Decker, with a focus on electric outdoor products. The sale is subject to regulatory approval and customary closing conditions and is not expected to be dilutive to adjusted EPS. Until closing, Excel’s results will remain in continuing operations.

Positive

• Excel Industries divestiture of a business expected to generate about $300 million in FY 2026 revenue refocuses the portfolio on core outdoor brands.
• The company does not expect the transaction to be dilutive to adjusted EPS, limiting impact on near-term earnings per share.

Negative

• None.

Market Context

On July 29, SWK's earnings report produced a -1.21% 24-hour reaction. The platform record frames thi...

Analysis

On July 29, SWK's earnings report produced a -1.21% 24-hour reaction. The platform record frames this sale against mixed news responses; regulatory approval and closing conditions remained key items to monitor.

Key Figures

FY 2026 revenue: approximately $300 million Adjusted EPS dilution: not dilutive

2 metrics

FY 2026 revenue approximately $300 million Excel Industries

Adjusted EPS dilution not dilutive Proposed Excel Industries transaction

Historical Context

5 past events · Latest: Aug 12 (Positive)

Pattern 5 events

Date	Event	Sentiment	24h Move	Catalyst
Aug 12	U.S. investment plan	Positive	-1.1%	Planned $1 billion U.S. investment and expanded manufacturing and workforce initiatives
Aug 11	Cordless tool expansion	Positive	+1.3%	DEWALT expanded its professional cordless carpentry tool lineup
Aug 03	Brand campaign launch	Positive	+3.7%	STANLEY launched a global marketing platform targeting construction professionals
Jul 29	2Q26 earnings report	Positive	-1.2%	Reported stronger margins, cash flow, debt reduction, and raised 2026 guidance
Jul 23	Third-quarter dividend	Positive	+4.4%	Board approved a quarterly dividend increase to $0.84 per common share

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Pattern Detected

SWK's recent news reactions were mixed: product and dividend announcements aligned with gains, while investment and earnings announcements diverged.

Key Terms

adjusted eps, continuing operations, discontinued operations, zero-turn

4 terms

adjusted eps financial

"The Company does not expect the transaction to be dilutive to adjusted EPS."

Adjusted earnings per share (adjusted eps) is a measure of a company's profit per share that has been modified to exclude certain one-time or unusual items, such as costs from restructuring or asset sales. It provides a clearer picture of the company’s core performance by removing events that may distort the usual earnings. Investors use adjusted eps to better understand a company's ongoing profitability and compare it more accurately over time.

continuing operations financial

"the results of Excel will remain in continuing operations"

Continuing operations are the parts of a company's business that it expects to keep running into the future, excluding divisions or activities it has sold, closed, or classified as discontinued. Investors watch continuing operations because they show the company’s core ability to generate revenue and profit over time — like evaluating the healthy, ongoing crops on a farm rather than one-off harvests from fields you've already sold.

discontinued operations financial

"will not be reclassified as discontinued operations."

Discontinued operations are parts of a company that it has decided to sell or shut down, and no longer plans to run in the future. This matters to investors because it helps them understand which parts of the business are ongoing and which are being phased out, providing a clearer picture of the company’s current performance and future prospects. Think of it like a store closing a department—it no longer contributes to sales or profits.

zero-turn technical

"professional-grade, gas-powered, ride-on and zero-turn mowers"

A zero-turn is a type of riding mower or similar small vehicle designed so its drive wheels can rotate independently, allowing the machine to pivot around its own center and turn with almost no turning radius. For investors, the term signals a product category known for faster mowing, tighter maneuvering around obstacles and higher productivity per hour, which can affect sales, pricing power and competitive positioning for manufacturers and dealers.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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Transaction Further Refines the Company's Portfolio to Focus on Growing Its Biggest Brands and Businesses  

NEW BRITAIN, Conn., Sept. 4, 2026 /PRNewswire/ -- Stanley Black & Decker (NYSE: SWK) today announced that it has entered into a definitive agreement to sell its Excel Industries ("Excel") business to Bad Boy Mowers. Excel, which is primarily made up of the professional-grade, gas-powered, ride-on and zero-turn mowers under the Hustler^® brand, is expected to generate FY 2026 revenue of approximately $300 million.  

Chris Nelson, Stanley Black & Decker's President & CEO, commented, "The sale of Excel further refines our portfolio and unlocks greater shareholder value by concentrating resources on the areas where we see the most compelling opportunities to grow and win.

We remain committed to growing our Outdoor business through innovation and our strong family of brands, including Cub Cadet, Dewalt, Craftsman, Troy-Bilt, and Black+Decker. We are excited about the high-growth opportunities presented in electric outdoor products, and we will continue to thoughtfully invest in high-performance, residential ride-on and zero-turn mowers. We are confident in our plans to drive organic growth and margin expansion across this portion of our business."

Bill Beck, President, Tools & Outdoor, Stanley Black & Decker, stated, "Our Outdoor business and brands remain a strong asset, with meaningful value and opportunity ahead. As we take this next step, I want to recognize and thank our Excel team members for their exceptional dedication, hard work, and valuable contributions. Because of their efforts, the business has strong momentum and is well positioned for the future."

"We are excited to welcome Hustler and its talented team to the Bad Boy family," said Peter Ballantyne, CEO of Bad Boy Mowers. "We have tremendous respect for the business and the team that has built it over many decades. We look forward to supporting Hustler's continued success as a leader in professional grade mowers."

The transaction is subject to regulatory approval and other customary closing conditions. The Company does not expect the transaction to be dilutive to adjusted EPS. Until the transaction closes, the results of Excel will remain in continuing operations and will not be reclassified as discontinued operations.

BofA Securities, Inc. is acting as financial advisor and Cravath, Swaine & Moore LLP is acting as external legal counsel to Stanley Black & Decker.

About Excel Industries
Excel is a leading designer and manufacturer of premium commercial and residential turf-care equipment under the distinct brand of Hustler Turf Equipment (Hustler). Excel serves an extensive network of independent equipment dealer outlets that stock, sell, and service Hustler products in the United States and Canada. Excel has a strong legacy of innovation and launched the first hydrostatic zero-turn mower in 1964. Excel is located in Hesston, Kansas.

About Stanley Black & Decker
Founded in 1843 and headquartered in the USA, Stanley Black & Decker (NYSE: SWK) is a worldwide leader in Tools and Outdoor, operating manufacturing facilities globally. The Company's approximately 41,000 employees produce innovative end-user inspired power tools, hand tools, storage, digital jobsite solutions, outdoor and lifestyle products, and engineered fasteners to support the world's builders, tradespeople and DIYers. The Company's world class portfolio of trusted brands includes DEWALT®, CRAFTSMAN®, STANLEY®, BLACK+DECKER®, and Cub Cadet®. To learn more visit: www.stanleyblackanddecker.com or follow Stanley Black & Decker on Facebook, Instagram, LinkedIn and X.

Investor Contacts
Michael Wherley
Vice President, Investor Relations
michael.wherley@sbdinc.com
(860) 827-3833

Christina Francis
Senior Director, Investor Relations
christina.francis@sbdinc.com
(860) 438-3470

Media Contact
Debora Raymond
Vice President, Public Relations
debora.raymond@sbdinc.com 
(203) 640-8054

Cautionary Note Regarding Forward-Looking Statements

Stanley Black & Decker makes forward-looking statements in this press release which represent its expectations or beliefs about future events and financial performance. Forward-looking statements are identifiable by words such as "believe," "anticipate," "expect," "intend," "plan," "will," "may" and other similar expressions. In addition, any statements that refer to expectations, projections, proceeds or other characterizations of future events or circumstances are forward-looking statements. Forward-looking statements made in this press release include, but are not limited to, statements concerning: consummation of the transaction described herein; the Company's ability to maximize value to shareholders through active portfolio management and capital allocation; the Company's capital allocation strategy; and the expected impact of the transaction on adjusted EPS.

You are cautioned not to place undue reliance on these forward-looking statements. These forward-looking statements are not guarantees of future events and involve risks, uncertainties and other known and unknown factors that may cause actual results and performance to be materially different from any future results or performance expressed or implied by such forward-looking statements, including, but not limited to, the failure to realize the expected benefits of the Company's value creation and capital allocation strategies or the expected impact of the transaction on adjusted EPS.

Forward-looking statements made herein are also subject to risks and uncertainties described in Stanley Black & Decker's 2025 Annual Report on Form 10-K, its subsequently filed Quarterly Reports on Form 10-Q, and other filings Stanley Black & Decker makes with the Securities and Exchange Commission. In addition, actual results could differ materially from those suggested by the forward-looking statements, and therefore you should not place undue reliance on the forward-looking statements. Stanley Black & Decker makes no commitment to revise or update any forward-looking statements to reflect events or circumstances occurring or existing after the date of any forward-looking statement.

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SOURCE Stanley Black & Decker, Inc.

FAQ

What transaction did Stanley Black & Decker (SWK) announce involving Excel Industries?

Stanley Black & Decker announced a definitive agreement to sell its Excel Industries business, which includes Hustler-branded professional-grade mowers, to Bad Boy Mowers. The company views the sale as a step to further refine and focus its overall portfolio.

How much revenue does Excel Industries contribute to Stanley Black & Decker (SWK)?

Excel Industries is expected to generate approximately $300 million in FY 2026 revenue. This figure reflects the scale of the business being sold as Stanley Black & Decker reshapes its portfolio and focuses on its largest brands and growth areas.

Who is buying Excel Industries from Stanley Black & Decker (SWK)?

Excel Industries is being acquired by Bad Boy Mowers. Bad Boy’s CEO said the company looks forward to welcoming the Hustler brand and its team and supporting Hustler’s continued position as a leader in professional-grade mowers.

Will the sale of Excel Industries dilute Stanley Black & Decker (SWK) adjusted EPS?

The company does not expect the transaction to be dilutive to adjusted earnings per share (EPS). This indicates that management does not anticipate the sale of Excel Industries will reduce adjusted EPS once the deal is completed.

How does the Excel Industries sale affect Stanley Black & Decker’s outdoor business strategy?

The company said the sale helps concentrate resources on areas with the most compelling growth opportunities, including its outdoor brands Cub Cadet, Dewalt, Craftsman, Troy-Bilt and Black+Decker. It highlighted high-growth potential in electric outdoor products and plans continued investment in residential ride-on and zero-turn mowers.

What are the closing conditions for the Excel Industries sale by Stanley Black & Decker (SWK)?

The transaction is subject to regulatory approval and other customary closing conditions. Until the deal closes, Excel Industries’ results will remain in Stanley Black & Decker’s continuing operations and will not be reclassified as discontinued operations.

Will Excel Industries be treated as discontinued operations for Stanley Black & Decker (SWK) before closing?

No. The company stated that until the transaction closes, the results of Excel Industries will remain in continuing operations and will not be reclassified as discontinued operations in its financial reporting.