In the fourth quarter of 2019, Avery Dennison Reported EPS of $1.92 and adjusted EPS (non-GAAP) of $1.73. The company’s 4Q19 net sales increased by 0.2% to $1.77 billion, with organic sales growth (non-GAAP) of 2.1%. The Retail Branding and Information Solutions division reported sales increased by 3.6%; on an organic basis, sales grew 5.2%, driven by continued strength in RFID and external embellishments.
For the fiscal year 2019, Avery Dennison reported EPS of $3.57, including pension settlement charges, and adjusted EPS of $6.60. Net sales decreased by 1.2% to $7.07 billion but did have organic sales growth of 2%.
“We delivered another year of strong adjusted earnings growth in 2019, despite challenging market conditions and significant currency headwinds,” said Mitch Butier, chairman, president and CEO. “Our focus in this environment is on protecting our margins in the base business while driving faster-than-average growth and continuing to invest disproportionately in high-value categories like RFID. We are executing well on both fronts.
“Label and Graphic Materials delivered solid volume improvement in the second half while expanding margins, recapturing share that we ceded at the tail end of the last inflationary cycle, as planned. Retail Branding and Information Solutions delivered mid-teens profit growth, reflecting both strong top-line performance and continued margin expansion. And, in a difficult year for industrial end markets, Industrial and Healthcare Materials posted modest sales growth while expanding margins significantly.
“For 2020, we are targeting continued progress toward our 2021 goals,” added Butier. “We anticipate solid earnings growth, benefiting from our improved volume trend. We continue our relentless pursuit of productivity, triggering the next wave of restructuring savings while investing to drive future growth and strengthen our competitive advantage, including our recently announced acquisition of Smartrac."