Power Tool Industry February 2023
Robert Bosch Tool Corporation
Robert Bosch Tool Corporation named Robert Hesse as President and CEO of North America, effective November 1. In this position, Hesse will be responsible for the Robert Bosch Tool Corporation portfolio of businesses in North America which includes Bosch Power Tools and Accessories, Measuring Tools, Dremel Rotary Tools, and RotoZip Brands. Hesse steps into his new role after more than 25 years with Bosch, where he held positions leading Bosch Communications Systems and, most recently, as the Senior Vice President of Sales at Bosch Accessories Group, a division of the Robert Bosch Tool Corporation. Hesse looks forward to leading the Bosch Power Tools team as the company continues to push the broader tools industry towards a more innovative future. Strategically, Hesse plans to drive Bosch's growth by bringing products to market that are easy-to-use and engineered to tackle tough applications on the jobsite.
Bosch Power Tools created an innovative, interactive booth for the 2023 World of Concrete show in January, introducing new hands-on demonstrations and experiences to connect workers with the tools to get the job done. In addition to showcasing Bosch’s newest products, visitors to the booth got a chance to take part in daily head-to-head challenges to win prizes, take photos at a 3D branded photo booth and enter for a chance to win a hydro-dipped or custom hard hat live-painted by an in-booth artist. Bosch has supported the World of Concrete for more than 40 years.
Robert Bosch GmbH will buy a 5% stake in Husqvarna, a Swedish manufacturer of home, garden and construction equipment. Bosch Power Tools and Husqvarna subsidiary Gardena started the Power for All Battery Alliance in 2020 so that customers could use the same battery in equipment from both brands. Ten brands that account for about 100 devices now participate in the alliance. Christian Fischer, deputy chairman of Bosch, stated that the alliance with Husqvarna is part of their systematic growth strategy. Bosch has the option to buy an additional 7% of Husqvarna as well.
Stanley, Black & Decker
Patrick Hallinan will become CFO of SB&D effective April 6, 2023. He joins the company after a 17-year career at Fortune Brands, a manufacturer of home security products. Hallinan will succeed Corbin Walburger, who stepped in as interim finance chief last July when Donald Allan Jr., the previous CFO, became the chief executive officer. Walburger will resume his prior role as vice president of business development. Hallinan will receive a base salary of $800,000, a one-time signing bonus of $350,000 and be eligible for an annual bonus with a target this fiscal year of 100% of base pay as well as a one-time restricted stock grant with an aggregate grant date value of $2.65 million.
Hallinan's appointment follows SB&D’s announcement last July of ambitious cost-cutting plans, including $1 billion in reductions by the end of this year and $2 billion by 2025. One of his key tasks will be addressing the company's supply chain and inflation difficulties. Analysts say he will also likely focus on restoring investor confidence, noting that SB&D’s stock price has dropped to around $87 from roughly $175 a year earlier.
TTI won’t take a hard hit from any coming economic slowdown in the US, according to Citi analysts. Citi noted that The Home Depot, one of Techtronic’s major customers, believes that strong demand for home improvement products and tools will continue. They believe that consistent home price appreciation over the last three years and significantly higher home values coupled with rising mortgage rates gave homeowners an incentive to stay in place and remodel and repair their existing home. Falling mortgage rates have brought people back into the market, but both sellers and buyers of existing homes invest in maintenance, repairs and remodels. Techtronic is among Citi's top picks in the home-improvement sector.
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