MENTOR, Ohio - Avery Dennison Corporation (NYSE:AVY) reported third-quarter results that exceeded revenue expectations and raised its full-year earnings guidance, sending shares up 0.29% in early trading.
The materials science and digital identification solutions company posted adjusted earnings per share of $2.33 for the quarter ended September 28, in line with analyst estimates. Revenue came in at $2.25 billion, surpassing the consensus forecast of $2.2 billion.
"We delivered a strong third quarter with strong earnings growth, above expectations, driven by higher volume and productivity gains," said Deon Stander, President and CEO of Avery Dennison. "Both our Materials and Solutions Groups delivered strong bottom-line growth."
Net sales increased 4.1% YoY, with organic sales growth of 4.3%. The Materials Group saw organic sales rise 3.6%, while the Solutions Group reported 6% organic growth.
The company raised its full-year adjusted EPS guidance to a range of $9.35 to $9.50, up from its previous outlook of $9.30 to $9.50. This compares to the analyst consensus of $9.45.
Avery Dennison continued to return cash to shareholders, repurchasing 0.5 million shares for $108 million in the first nine months of 2024. The company's net debt to adjusted EBITDA ratio stood at 2.1x at the end of Q3.
"We continue to remain confident that the consistent execution of our strategies will enable us to meet our long-term goals for superior value creation for all our stakeholders," Stander added.
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