Stanley Black & Decker (NYSE:SWK) was up 5% in early trading Wednesday despite a spate of bad news in its second-quarter earnings report.

Earnings dropped from $197.3 million ($1.14 per share) to $154.8 million (92 cents per share) in the second quarter. Adjusted earnings came to $1.32 per share, but that was still well short of estimates for $1.52 per share. Revenues were up 8% to $2.81 billion, but that also was shy of expectations for $2.9 billion.

The company also lowered its earnings forecast for the full year, expecting EPS of $5.40-$5.65 per share, down from previous expectations of $5.75-$6.

The company explained that the lower-than-expected numbers were a result of disappointing foreign exchange and an imbalance between various segments of their business. While citing growth in their CDIY and Industrial segments, they acknowledged declines in both Convergent Security Solutions and Mechanical Access Solutions, which they attributed to “market-driven headwinds.” The company also saw a 2% across-the-board decline in European revenues.

The one bright spot from SWK’s report: The company said it expected to create $50 million in cost-savings, primarily through layoffs, from the Black & Decker merger.

Also Wednesday, Stanley Black & Decker’s board of directors approved a 40% increase in the company’s quarterly dividend to 49 cents per share. The increase marks the 45th consecutive year the Dependable Dividend Stock has boosted its payout.

Stanley Black & Decker also announced a share repurchase program of up to 20 million shares of common stock, valued at 1.2 million using the current stock price.

— Ryan Hauck, InvestorPlace