Consumables

Avery Dennison Announces Second Quarter 2013 Results

Wednesday 24. July 2013 - 2Q13 Reported EPS (including discontinued operations) of $0.68

Adjusted EPS (non-GAAP, continuing operations) of $0.71
2Q13 Net sales grew approx. 4 percent to $1.55 billion
Net sales up approx. 5 percent on organic basis
Returned $205 million of cash to shareholders in the first half, including the repurchase of 3.5 million shares for $149 million
Restructuring program achieved annualized savings of $105 million
OCP and DES sale completed July 1; expect net proceeds of approx. $400 million
Narrowed adjusted EPS guidance to $2.50 to $2.70, an increase of 28% to 38% compared to prior year
Avery Dennison Corporation (NYSE:AVY) today announced preliminary, unaudited results for its second quarter 2013 ended June 29, 2013. 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 continuingoperations, and comparisons are to the same period in the prior year. Results reflect classification of Office and Consumer Products (OCP) and Designed and Engineered Solutions (DES) as discontinued operations.
“I’m pleased to report another quarter of strong earnings growth, driven by restructuring and other productivity actions we initiated last year,” said Dean Scarborough, Avery Dennison chairman, president and CEO. “Pressure-sensitive Materials continued to benefit from its leadership position in emerging markets, growth through innovation, and significant productivity gains. Retail Branding and Information Solutions delivered its fourth consecutive quarter of strong sales growth with continued margin expansion in the first half.
“We passed two significant milestones, delivering $105 million of restructuring savings and completing the sale of Office and Consumer Products and Designed and Engineered Solutions,” Scarborough added. “We are committed to achieving our earnings and free cash flow targets, and to returning the vast majority of that cash to shareholders. In the first half, we distributed over $200 million to shareholders through dividends and the repurchase of 3.5 million shares.”