Avery Dennison Corporation held its Q2 2024 Results Conference Call on July 23, 2024, at 12:00 PM ET. The Company Participants included John Eble as the Vice President of Finance and Investor Relations, Deon Stander as the President and Chief Executive Officer, and Gregory Lovins as the Senior Vice President and Chief Financial Officer. Among the Conference Call Participants were analysts from BMO Capital Markets, Baird, Bank of America, Truist Securities, UBS, Raymond James, JPMorgan, and Citi.

During the call, John Eble, Avery Dennison’s Vice President of Finance and Investor Relations, highlighted the use of non-GAAP financial measures and made forward-looking statements about the company’s performance. Deon Stander, President and CEO, discussed the strong quarter and raised full-year guidance, emphasizing the growth and resilience of the Materials and Solutions groups. The company reported adjusted earnings per share of $2.42 in Q2, up 6% sequentially and 26% compared to the prior year.

In the Materials group, sales were up 6% ex-currency and on an organic basis compared to the prior year, with strong volume growth, particularly in Europe and Asia. The group also delivered a robust adjusted EBITDA margin of 17.9% in the second quarter. In the Solutions group, sales grew 11% on an organic basis and 14% ex-currency, driven by high-value and base solutions, with apparel volume normalizing ahead of expectations.

Looking ahead, the company raised its guidance for adjusted earnings per share to be between $9.30 and $9.50, reflecting 19% growth versus the prior year. The outlook includes key drivers such as the normalization of label and apparel volume, significant growth in intelligent labels, and ongoing productivity actions. The company remains focused on driving growth in high-value categories, leading in the intersection of physical and digital, and maintaining a strong competitive position in the market.

In summary, despite the uncertain environment, Avery Dennison remains confident in its strategies for long-term growth and profitability. The company’s focus on innovation, cost management, and strategic initiatives positions it well for continued success in the years to come.