When you think about the general hand and power tool industry and related markets, it's natural to immediately presume that the housing boom has generated happy times for one and all. But while housing has been a key source of revenue for many, that's not the case for everyone.

Strong Tool of Cleveland had a good 2004, but little, if any, thanks for that is due to housing. Its president, Cedric Beckett, confirms that, "2004 was pretty strong for us. We grew by just under 9 percent overall. Coming out of '04, things started out a little slowly in January of '05, but picked up in March."

Beckett points to Strong Tool's improved account penetration with its existing accounts as a key reason for the '04 improvement.

"That paid off for us. So as our customers got better, so did we," he says. "We were positioned properly to take advantage when their business returned."

Strong Tool carries several lines of power tools, as well as cutting tools, abrasives and MRO supplies. The company's lines of hand and power tools represent slightly more than half its sales, Beckett explains.

Yet it's not been any housing construction boom that made Strong Tool's 2004 a good one.

"We're predominantly automotive and medical," he says, referring specifically to "medical parts, prosthetic equipment, OEMs... We're not too heavy in the construction side. That's where a lot of hand tools and power tools do sell, of course, but [construction] isn't our core business."

Medical has been a steadily growing market in recent years and one that, to date, has been immune to the up-and-down fluctuations of sales and profits.

"We've seen other markets go through a bit of that roller coaster ride," Beckett says. "But the medical market has been steadily increasing [due in part to] the aging population and the need to fill their requirements. And we've benefited from that."

Strong Tool may still be the exception to a general rule, though. Brian Katz, director of field sales for Stanley Tools in Dundas, Ontario, reports that his company is still enjoying the thriving housing market in Canada, and southwestern Ontario, in particular.

"It has been strong for a long time now," Katz explains. "It's been growing very consistently, whether it's a re-sale or a new house. And they're not lasting [on the market] for long, either, as people are getting ridiculous prices."

Ontario's automotive markets have been struggling lately, he explains, which makes his customers all the more appreciative that their housing market has such legs.

"It's helped some of the other industries that have had slowdowns," Katz says, "like the jobs that have been eliminated in the manufacturing sector over the last few years. The automotive segment, for instance, was hit the hardest."

However, Stanley and its subsidiaries will not be turning their backs on the medical market's potential, he adds.

"The medical industry might be an opportunity in our Vidmar storage business where [medical] might look for storage capabilities in a clean environment, for instance," Katz says.