Analyst Note
| Dawit Woldemariam |Snap-on reported solid third-quarter results that were slightly above our expectations. Net sales increased 10% year over year to $1.03 billion, thanks to sustained growth across the company’s segments following the pandemic. The commercial and industrial segment was hit hard by the pandemic, while auto repair demand was relatively resilient in the back half of 2020. In the quarter, C&I posted nearly 14% sales growth, showing that the impact from the COVID-19 pandemic continues to ease. The tools segment grew nearly 5%, given the year-ago period was a tough comparison (up nearly 17% in the third quarter of 2020). The repair systems and information segment also showed strong growth, up almost 15% year over year. The segment was up in the quarter largely due to strong double-digit sales in diagnostic and repair equipment, in addition to undercar equipment.