Earnings Preview For Avery Dennison Corporation (AVY)

Avery Dennison Corporation AVY is expected to announce its Q1 earnings report on Wednesday, April 27, before the markets open. Analysts are predicting earnings per share to be $0.47, which represents a 23% fall from the last year's level of $0.61 per share. Avery Dennison Corporation is a California-based company developing identification and decorative solutions for businesses and consumers globally. It is engaged in the production of pressure-sensitive materials, office and consumer products and a range of tickets, tags, labels and other converted products. The company operates in three segments: Pressure-sensitive Materials, Retail Information Services, and Office and Consumer Products. Pressure-sensitive Materials manufactures and sells pressure-sensitive labeling technology and materials, films for graphic and reflective applications, performance polymers (largely adhesives used to manufacture pressure-sensitive materials), and extruded films. Retail Information Services designs, manufactures and sells a range of branding and information products and services, including brand and price tickets, tags and labels, and related services, supplies and equipment. Office and Consumer Products manufactures and sells a range of office and consumer products. Avery Dennison is one of the Fortune 500 companies. On April 12, Avery Dennison, along with some of its partners, announced the completion of a license agreement for Quick-Med's NIMBUS technology. The announcement follows Avery Dennison's successful development of a new antimicrobial adhesive featuring NIMBUS technology that can be incorporated into a variety of medical device applications. Investors will be watching to see if this new technology can make an impact on Avery Dennison's profits. Avery Dennison's earnings per share is expected to fall by over 20% on a yearly basis this quarter. Analysts are more optimistic about the rest of the year, however, with earnings per share projected to be $0.98, double the Q1 value and 4.3% up on last year. Revenues are also expected to increase in the next quarter from a projected Q1 value of $1.66 billion to $1.84 billion. Avery Dennison's results are still expected to lag behind its competitors. Earnings per share for the whole industry is predicted to grow 33.3%, compared with a 2.9% decline for Avery Dennison.