02.04.16
Avery Dennison announced preliminary, unaudited results for its fourth quarter and year ended Jan. 2, 2016. Fiscal year 2015 net sales declined approximately 6% to $5.97 billion, with net sales up approximately 5% on organic basis.
Fourth quarter 2015 net sales declined approximately 9% to $1.45 billion, reflecting currency translation and extra week in the prior period. Net sales increased approximately 7% on organic basis.
Avery Dennison said its FY15 reported EPS was $2.95, and adjusted EPS (non-GAAP) was $3.44.
“I’m very pleased to report another year of excellent progress toward our long-term goals, and I want to thank our employees for their contributions to our ongoing success,” said Dean Scarborough, Avery Dennison chairman and CEO. “In 2015, we delivered strong organic sales growth and double-digit growth in adjusted earnings per share, in spite of challenging economic conditions in many parts of the world and significant headwinds from currency translation.
“Pressure-Sensitive Materials delivered its fourth consecutive year of strong volume growth, while significantly improving its profitability and return on capital,” Scarborough added. “Retail Branding and Information Solutions began executing a new strategy in 2015 to accelerate growth in the core business through a more competitive, faster, and simpler business model, and made solid progress against its long-term financial goals during the back half of the year.
“In 2016, we expect to deliver solid organic sales growth and further expand our margins and return on capital, notwithstanding continued headwinds from currency translation and an uncertain economic climate, with continued return of cash to shareholders,” said Scarborough. “We remain confident that the consistent execution of our strategies will enable us to meet our long-term goals for superior value creation through a balance of profitable growth and capital discipline.”
Pressure-Sensitive Materials (PSM) sales increased approximately 7%. Within the segment, sales in both Label and Packaging Materials and combined Graphics and Performance Tapes increased mid-single digits. Operating margin improved 60 basis points to 10.7% as the impact of productivity initiatives more than offset higher employee-related costs. Adjusted operating margin improved 40 basis points.
Retail Branding and Information Solutions (RBIS) sales increased approximately 8%. Operating margin declined 140 basis points to 4.1% driven by higher restructuring charges. Adjusted operating margin increased 160 basis points as the impact of productivity initiatives more than offset higher employee-related costs.
Fourth quarter 2015 net sales declined approximately 9% to $1.45 billion, reflecting currency translation and extra week in the prior period. Net sales increased approximately 7% on organic basis.
Avery Dennison said its FY15 reported EPS was $2.95, and adjusted EPS (non-GAAP) was $3.44.
“I’m very pleased to report another year of excellent progress toward our long-term goals, and I want to thank our employees for their contributions to our ongoing success,” said Dean Scarborough, Avery Dennison chairman and CEO. “In 2015, we delivered strong organic sales growth and double-digit growth in adjusted earnings per share, in spite of challenging economic conditions in many parts of the world and significant headwinds from currency translation.
“Pressure-Sensitive Materials delivered its fourth consecutive year of strong volume growth, while significantly improving its profitability and return on capital,” Scarborough added. “Retail Branding and Information Solutions began executing a new strategy in 2015 to accelerate growth in the core business through a more competitive, faster, and simpler business model, and made solid progress against its long-term financial goals during the back half of the year.
“In 2016, we expect to deliver solid organic sales growth and further expand our margins and return on capital, notwithstanding continued headwinds from currency translation and an uncertain economic climate, with continued return of cash to shareholders,” said Scarborough. “We remain confident that the consistent execution of our strategies will enable us to meet our long-term goals for superior value creation through a balance of profitable growth and capital discipline.”
Pressure-Sensitive Materials (PSM) sales increased approximately 7%. Within the segment, sales in both Label and Packaging Materials and combined Graphics and Performance Tapes increased mid-single digits. Operating margin improved 60 basis points to 10.7% as the impact of productivity initiatives more than offset higher employee-related costs. Adjusted operating margin improved 40 basis points.
Retail Branding and Information Solutions (RBIS) sales increased approximately 8%. Operating margin declined 140 basis points to 4.1% driven by higher restructuring charges. Adjusted operating margin increased 160 basis points as the impact of productivity initiatives more than offset higher employee-related costs.