Avery Dennison Corporation announced preliminary, unaudited results for its second quarter ended June 28, 2014. All non-GAAP financial measures referenced in this document are reconciled to GAAP in the attached tables. Unless otherwise indicated, the discussion of the company’s results is focused on its continuing operations, and comparisons are to the same period in the prior year.
Highlights:
-2Q14 Reported EPS (including discontinued operations) of $0.44
-Adjusted EPS (non-GAAP, continuing operations) of $0.80
-2Q14 Net sales grew approximately 4 percent on reported and organic basis to $1.62 billion
-Returned $214 million of cash to shareholders in the first half, including the repurchase of 3.1 million shares for $153 million
-Expecting 2014 growth in adjusted EPS (non-GAAP, continuing operations) of 12 percent to 16 percent
“Second quarter results were in line with our overall expectations for both sales and earnings,” said Dean Scarborough, Avery Dennison chairman, president and CEO.
“Pressure-sensitive Materials delivered better-than-expected sales growth, driven by strong volume growth in Europe and the emerging markets. Adjusted operating margin was back above 10 percent, within our long-term target range, and we are on track with our consolidation of operations in Europe,” Scarborough added.
“While sales were down modestly for Retail Branding and Information Solutions, reflecting soft market conditions in the U.S., the RBIS team continued to make solid progress against its long-term margin improvement goal, and reported another quarter of strong earnings growth.
“I want to thank all our employees for their outstanding contributions to innovation, service excellence, and productivity improvement,” said Scarborough. “With two solid quarters under our belt, we have narrowed our range of guidance for full-year adjusted earnings per share growth to 12 to 16 percent. We look forward to continuing to deliver exceptional value for our customers, employees, and shareholders.”
Second Quarter 2014 Results by Segment
All references to sales reflect comparisons on an organic basis, which exclude the estimated impact of currency translation, product line exits, acquisitions and divestitures, and, where applicable, the extra week in the fiscal year. Adjusted operating margin refers to income before interest expense and taxes, excluding restructuring costs and other items, as a percentage of sales.
Source:
http://www.fibre2fashion.com/news/textile-news/newsdetails.aspx?news_id=166291
