Stanley Black & Decker, Inc. (NYSE:SWK) Wolfe Research 18th Annual Global Transportation & Industrials Conference Transcript May 20, 2025 12:55 PM ET Company Participants Dennis Lange - Head, Investor Relations Chris Nelson - Chief Operating Officer Conference Call Participants Nigel Coe - Wolfe Research Nigel Coe Great. Well, good afternoon. And for those of you on the webcast, welcome back to the Wolfe Research Industrials & Transports Conference. It’s actually the Transports & Industrials Conference, but ...

Financial Data and Key Metrics Changes - SWK Holdings reported a GAAP pretax net income of $5.8 million or $0.48 per diluted share for Q1 2025, with a net income of $4.5 million after tax expenses [12] - The non-GAAP tangible book value per share increased to $21.73, reflecting a 10.5% year-over-year growth [13] - Overall operating expenses decreased to $3.7 million in Q1 2025 from $10.3 million in Q1 2024, primarily due to a significant reduction in provision for credit losses [13][14] Business Line Data and Key Metrics Changes - The finance segment adjusted non-GAAP net income for Q1 2025 was $8.6 million, contributing to a trailing twelve-month total of $26 million [5] - The Mod three CDMO division reported segment revenue of $1 million with an EBITDA loss of $0.5 million [10] - The finance receivables portfolio had an effective yield of 14.5%, expected to generate approximately $32 million in annual interest income if repayments occur as modeled [6][9] Market Data and Key Metrics Changes - The gross finance receivables portfolio consisted of approximately $220 million in performing first lien loans and $13 million in non-accruals, with a CECL reserve of $9 million [6] - The company continues to monitor healthcare and economic regulatory changes, currently assessing that these do not pose significant risks to the portfolio [9] Company Strategy and Development Direction - The company aims to simplify its business and focus on generating appropriate returns on equity capital, with plans for a new share repurchase program due to excess capital [5][16] - Management is pursuing additional financing opportunities while maintaining a high-quality portfolio that can yield mid-teens returns [7][9] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's positioning for a successful 2025, emphasizing the importance of proactive partnerships and customer service in a competitive market [16] - The current pipeline for loans is considered neutral, with modest opportunities available, particularly for smaller companies struggling to secure capital [46][48] Other Important Information - The company repurchased approximately 52,000 shares at a total cost of $900,000 during the quarter, with additional repurchases post-quarter [15] - The company holds $5 million in public equities and warrants, as well as private warrants and contingent economic interests carried at zero on the books [6][31] Q&A Session Summary Question: Inquiry about credit scoring and loan types - Management clarified that the two loans mentioned are first lien term loans, while the three non-accruals are defined as post-reorganization royalties [19][20] Question: Discussion on competition in the private credit space - Management acknowledged increased competition but emphasized the need for creativity and excellent customer service to secure loans in a crowded market [23][25] Question: Best use of capital at this point - Management indicated that buying back stock is a strong option, alongside paying dividends and selectively pursuing additional loans [42][44] Question: Current pipeline of possible loans compared to previous quarters - Management noted that the current loan pipeline is neutral, with modestly worse opportunities sequentially compared to the previous year [46][48]

SWK Holdings Corporation Announces Financial Results for First Quarter 2025 Conference Call Scheduled for Friday, May 16, 2025, at 09:00 a.m. CST Corporate Highlights Dallas, TX, May 15, 2025 – SWK Holdings Corporation (Nasdaq: SWKH) ("SWK" or the "Company"), a life science- focused specialty finance company catering to small- and mid-sized commercial-stage companies, today provided a business update and announced its financial and operating results for the first quarter ended March 31, 2025. "We had a stro ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Quarterly Period Ended March 31, 2025 OR o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission File Number: 001-39184 SWK Holdings Corporation (Exact Name of Registrant as Specified in its Charter) Delaware 77-0435679 (State or Other Jurisdiction of Incorporation or Organization) (I. ...

For the quarter ended March 2025, Stanley Black & Decker (SWK) reported revenue of $3.74 billion, down 3.2% over the same period last year. EPS came in at $0.75, compared to $0.56 in the year-ago quarter.The reported revenue represents a surprise of +0.37% over the Zacks Consensus Estimate of $3.73 billion. With the consensus EPS estimate being $0.68, the EPS surprise was +10.29%.While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall ...

Stanley Black & Decker (SWK) came out with quarterly earnings of $0.75 per share, beating the Zacks Consensus Estimate of $0.68 per share. This compares to earnings of $0.56 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 10.29%. A quarter ago, it was expected that this tool company would post earnings of $1.28 per share when it actually produced earnings of $1.49, delivering a surprise of 16.41%.Over the last four quarters, t ...

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SWK Holdings (SWKH) Q4 2024 Earnings Call March 20, 2025 07:04 PM ET Company Participants Susan Xu - Investor RelationsJody Staggs - CEO & PresidentAdam Rice - CFO Conference Call Participants None - Analyst Operator Greetings. Welcome to the SWK Holdings Fourth Quarter twenty twenty four Conference Call. At this time, all participants are in a listen only mode. A question and answer session will follow the formal presentation. Please note this conference is being recorded. I will now turn the conference ov ...

SWK Holdings Corporation (NASDAQ:SWKH) Q4 2024 Earnings Conference Call March 20, 2025 10:00 AM ET Company Participants Susan Xu - IR Jody Staggs - President & CEO Adam Rice - CFO Conference Call Participants Operator Greetings. Welcome to the SWK Holdings Fourth Quarter 2024 Conference Call. At this time, all participants are in a listen-only mode. A question-and-answer session will follow the formal presentation. [Operator Instructions] Please note, this conference is being recorded. I will now turn the c ...

Financial Performance - For Q4 2024, SWK reported total revenue of $12.4 million, a 25.0% increase from $9.9 million in Q4 2023[6] - GAAP net income for Q4 2024 was $5.9 million, up from $2.8 million in Q4 2023, representing a 110.7% increase[8] - SWK's adjusted non-GAAP net income for Q4 2024 was $6.6 million, compared to $2.8 million for Q4 2023, reflecting a significant growth[9] - Total revenues for the year ended December 31, 2024, increased to $44,987,000, up 19% from $37,760,000 in 2023[34] - Net income for the year ended December 31, 2024, was $13,488,000, a decrease of 15% from $15,887,000 in 2023[34] - Net income for 2024 was $13,488,000, a decrease of 15.1% from $15,887,000 in 2023[35] Assets and Liabilities - As of December 31, 2024, net finance receivables were $277.8 million, a 1.2% increase from the previous year[8] - Total investment assets as of December 31, 2024, were $282.7 million, a 2.3% increase from $276.3 million in the previous year[10] - Total current assets increased significantly to $20,254,000 in 2024, compared to $11,869,000 in 2023, representing a growth of 70%[32] - Total liabilities decreased to $43,545,000 as of December 31, 2024, down from $53,939,000 in 2023, a reduction of approximately 19%[32] - The company’s total stockholders' equity increased to $288,690,000 in 2024 from $280,315,000 in 2023, reflecting a growth of 3%[32] Cash Flow and Financing - Net cash provided by operating activities rose to $23,049,000, up 54.5% from $14,888,000 in the previous year[35] - Net cash used in investing activities improved to $(10,134,000) from $(48,948,000), reflecting better investment management[35] - Net cash used in financing activities was $(12,224,000), a significant decrease from $33,140,000 in 2023, indicating reduced financing costs[35] - The company’s cash and cash equivalents increased to $5,927,000 in 2024 from $4,503,000 in 2023, marking a growth of 32%[32] - Cash, cash equivalents, and restricted cash at the end of the period increased to $5,927,000 from $5,236,000[35] Credit and Provisions - The company reported a provision for credit losses of $12,756,000 for the year ended December 31, 2024, compared to $1,912,000 in 2023, indicating a substantial increase in credit loss provisions[34] - Provision for credit losses increased significantly to $12,756,000 from $1,912,000, indicating a rise in expected credit losses[35] Financing Activities - SWK closed a term loan with Triple Ring totaling $8.0 million and expanded its credit facility with Eton to $30.0 million during Q4 2024[12] - The effective yield for Q4 2024 was 15.5%, a 150 basis points increase from 14.0% in Q4 2023[15] - Non-GAAP tangible financing book value per share increased by 8.3% to $21.15 from $19.53 as of December 31, 2023[11] - Interest paid increased to $3,082,000 from $1,351,000, reflecting higher borrowing costs[35] - The amortization of debt issuance costs rose to $1,054,000 from $493,000, indicating increased financing activities[35] Other Notable Events - The company anticipates declaring a dividend following the closing of a larger royalty monetization transaction expected in March 2025[5] - The company experienced a foreign currency transaction gain of $1,414,000, compared to a loss of $1,876,000 in the previous year[35] - The company reported a loss on impairment of intangible assets amounting to $5,771,000, with no such loss reported in 2023[35] - SWK Holdings plans to continue providing non-dilutive financing solutions to healthcare companies, focusing on long-term value creation[28]