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Avery Dennison (AVY) investor relations material
Avery Dennison Q4 2025 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.Executive summary
FY25 adjusted EPS was $9.53, up 1% year-over-year, with adjusted free cash flow of $707M, reflecting resilience amid trade policy changes and softer consumer sentiment.
High-value categories now represent 45% of sales, growing at a mid-single-digit CAGR since 2019, with significant innovation in Intelligent Labels and software platforms.
Q4 adjusted EPS was $2.45, up 3% year-over-year, driven by higher volume and productivity, partially offset by higher employee-related costs and growth investments.
Balanced capital allocation, returning $861M to shareholders and expanding high-value category exposure through the $390M Taylor Adhesives acquisition.
Achieved 2025 sustainability objectives and made progress toward 2030 goals.
Financial highlights
Full-year net sales reached $8.9B, up 0.2% organically; Q4 net sales were $2.3B, up 4% reported, down 0.2% organically.
Adjusted EBITDA margin for FY25 was 16.4%; Q4 margin was 16.2%.
Adjusted free cash flow for the year was $707M, with conversion above 100%.
Returned $861M to shareholders in 2025 via buybacks and dividends.
Net debt to adjusted EBITDA ratio at 2.4x at year-end.
Outlook and guidance
Q1 2026 adjusted EPS guidance is $2.40–$2.46, with organic sales growth of 0%-2% and reported sales growth of 5%-7%.
Full-year 2026 guidance includes 5%-7% reported sales growth, with ~4% currency tailwind and ~1% from Taylor Adhesives.
Sequential earnings increase expected throughout 2026, with Walmart food rollout ramping in H2.
Targeting ~100% adjusted free cash flow conversion and CapEx of ~$260M.
No macroeconomic tailwinds assumed; growth to be driven by internal levers and high-value categories.
- TimeTickerHeadlineOpen
- 7 FebGICRE
Net profit for the nine months surged to ₹6,62,217 lakhs, with a robust solvency ratio of 3.87. - 7 Feb517271
Strong revenue and profit growth, interim dividend, and major investments approved. - 7 Feb514167
Quarterly and nine-month results reflect solid revenue, profit, and compliance with new labour codes. - 7 FebMGL
Strong revenue growth offset by lower margins and profit; interim dividend declared. - 7 FebPGIL
Strong revenue and margin growth, with India set for further expansion and upgraded ratings. - 7 Feb504614
Strong revenue and profit growth in Q3 FY26, led by power and steel segments. - 7 FebCHEMPLASTS
Net losses widened and revenue fell year-over-year amid regulatory and market headwinds. - 7 FebSBIN
Q3 FY26 net profit reached ₹21,028.15 crore, driven by robust income and strategic divestments. - 6 FebHTOO
Resale registration for 71,429 shares via warrant, with proceeds only on exercise; financial risks persist. - 6 FebVSAT
Q3 revenue up 3% to $1.16B, net income $25M, strong cash flow, Ligado boost, satellite focus.
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Frequently asked questions
Adhesives, Adhesives, Adhesives
Avery Dennison is an American company headquartered in Mentor, Ohio, and operating globally. The company produces a wide range of products with adhesive materials such as labels, brandings, RFID inlays, tags, and similar items. Its products are used in everything from retail sales to medical products, and Avery Dennison is one of the leaders in the materials science field. The company had its IPO in 1961, and today its shares trade on the NYSE.
R. Stanton Avery
Avery Dennison Corporation traces its roots back to 1935 when R. Stanton Avery invented the first self-adhesive label. The company quickly expanded from this point onward, creating a wide array of products utilizing Stanton Avery’s invention. An important milestone came in 1990 when the company merged with Dennison Manufacturing, a firm established in the 19th century that specialized in ticketing, tagging, and labeling systems. The combined entity, Avery Dennison, expanded its product range to include diverse offerings such as RFID-based solutions and packaging materials.
The Products
Over the years, the company's product portfolio has been used in various diverse sectors, from fashion and food to electronics and automotive. Avery Dennison Corporation produces a wide range of products primarily centered on adhesive materials, labels, and branding solutions. One of its core product lines is pressure-sensitive materials, which include self-adhesive labels used for product branding, barcoding, and tracking across various industries. The company also produces functional and decorative graphics solutions, suitable for vehicles, architectural design, and digital signages. Additionally, they provide tapes, fasteners, and adhesives designed for industrial, medical, and consumer applications. In the pursuit of greener business practices and sustainability, Avery Dennison has introduced environmentally friendly products, which focus on reducing waste and promoting recyclability.
Avery Dennison is one of the leaders in its field, but it’s not alone in producing these types of products. When looking at the company’s peers, one finds names like 3M and CCL among the competition.
RFID
Avery Dennison's RFID (Radio Frequency Identification) solutions represent a significant facet of its product portfolio, primarily designed to enhance supply chain visibility, inventory management, and loss prevention for retailers and other industries. These RFID tags and labels are embedded with tiny electronic devices that store and transmit information when activated by a radio frequency scanner.
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