Avery Dennison Announces First Quarter 2011 Results

April 27, 2011 by timbercommunity

Avery Dennison delivered solid sales growth in the first quarter, with strong performances by Pressure-sensitive Materials and Retail Branding and Information Solutions," said Dean A. Scarborough, Avery Dennison chairman, president and CEO. Total net sales USD 1,659.3 (compared with 1,554,7 last year). 

"Pricing actions and productivity initiatives mitigated the impact on margins of increased raw material costs," Scarborough said. "We will continue to aggressively manage the impact of inflation. "As we expected, Office and Consumer Products had an extremely soft first quarter. We are confident that our investments in new products and demand creation will change the trajectory of this business," Scarborough said.

"For the full year, we expect Avery Dennison to deliver solid growth, margin expansion and strong free cash flow that will support share repurchases later in the year," Scarborough said. "We are well positioned for long-term profitable growth and increased returns."

The Company believes that the most significant risk factors that could affect its financial performance in the near-term include (1) the degree to which higher costs can be offset with productivity measures and/or passed on to customers through selling price increases, without a significant loss of volume; (2) the impact of competitors' actions, including pricing, expansion in key markets, and product offerings; (3) the impact of economic conditions on underlying demand for the Company's products; and (4) the impact of changes in tax laws and regulations throughout the world.