CCL Industries Announces 3Q 2024 Results

CCL Industries Inc. reported 2024 third quarter results. Sales for the third quarter of 2024 increased 9.4% to $1,849.7 million compared to $1,690.5 million for the third quarter of 2023, with an organic growth rate of 6.9%, acquisition-related growth of 1.8% and a 0.7% positive impact from foreign currency translation.

Operating income for the third quarter of 2024 improved 12.8% to $288.9 million compared to $256.1 million for the comparable quarter of 2023. Net earnings increased 13.4% to $191.7 million for the 2024 third quarter compared to $169.1 million for the 2023 third quarter.

For the nine-month period ended Sept. 30, 2024, sales, operating income and net earnings improved 8.9%, 15.7% and 35% to $5.4 billion, $874.4 million and $663.3 million, respectively, compared to the same nine-month period in 2023. The 2024 nine-month period included results from nine acquisitions completed since Jan. 1, 2023, delivering acquisition-related sales growth of 2.6%. Organic sales growth was 5.8% and foreign currency translation had a positive 0.5% impact.

“The company posted another strong quarter with organic sales growth in all segments driving a robust 14.7% gain in adjusted basic earnings to $1.09 per Class B share.” Geoffrey T. Martin, president and CEO, said. “Sales increased 4.9% organically in the CCL Segment with gains in all end markets except CCL Secure. Avery posted good profitability improvement, driven by solid demand in the Direct-to-Consumer badging, RFID wristband and card businesses globally. Checkpoint posted solid results in all MAS markets except Latin America, negatively impacted by foreign currency exchange. ALS continued to deliver exceptional results on significant organic sales growth, both in RFID and traditional product categories, as retailer inventories normalize.

“So far, fourth quarter outlooks for Checkpoint and Innovia remain encouraging and Avery stable but parts of the CCL Segment face significantly tougher comparisons in an increasingly uncertain geopolitical environment with the consumer somewhat stressed,” Martin added.

Checkpoint’s sales increased 14.5% to $240.5 million, entirely on organic growth with the impact from foreign currency translation benign • Operating income was $36.7 million, up 27.4%, with 15.3% operating margin up 160 bps.