Avery Dennison earnings
MyStockButler's October 2026 analysis: Avery Dennison's next results are expected on October 29, 2026. The key watch is whether strong second-quarter demand borrowed too much from the third quarter.
What has Avery Dennison guided for 2026?
For 2026, management guides to adjusted EPS of $10.00–$10.30 and organic sales growth of 3%–4%. It plans more than $60 million of incremental restructuring savings and 100% adjusted free-cash-flow conversion. Fixed-asset and IT capital spending is guided at $260 million.
| Period guided | Low | High | Date given | |
|---|---|---|---|---|
| Reported EPS | Year to Dec 2026 | 9.40 | 9.70 | Jul 30, 2026 |
| Adjusted EPS | Year to Dec 2026 | 10.00 | 10.30 | Jul 30, 2026 |
| Reported sales growth | Year to Dec 2026 | 5.0% | 6.0% | Jul 30, 2026 |
| Organic sales growth | Year to Dec 2026 | 3.0% | 4.0% | Jul 30, 2026 |
| Incremental savings from restructuring actions | Year to Dec 2026 | 60.0 | Jul 30, 2026 | |
| Fixed and IT capital spend | Year to Dec 2026 | 260.0 | 260.0 | Jul 30, 2026 |
What this means. Adjusted earnings per share is higher than reported earnings per share because it leaves out certain restructuring and other costs.
Has Avery Dennison kept its promises?
Avery is partly on shareholders’ side: executives own shares, missed EVA goals reduced awards and buybacks outweighed issuance. But the missed five-year ambitions did not produce a comparable collapse in reported chief-executive compensation. The company’s governance is credible enough to scrutinize; its incentives are not yet demanding enough to settle the question.
| What management forecast | Checked | Above | Within | Below |
|---|---|---|---|---|
| Reported EPS | 5 quarters | 1 | 2 | 2 |
| Adjusted EPS | 5 quarters | 2 | 3 | 0 |
What has Avery Dennison's revenue and profit trend been?
For the quarter ended June 30, 2026, revenue reached $2,462.9 million against $2,220.5 million a year earlier. Currency-adjusted growth was 8.9%, while organic growth was 7.6%. Materials grew 9.7% organically, compared with 2.6% for Solutions. The bridge matters because reported Solutions sales declined even though its underlying result improved.
| Jun 2026 | Mar 2026 | Dec 2025 | Sep 2025 | Jun 2025 | Mar 2025 | Dec 2024 | Sep 2024 | |
|---|---|---|---|---|---|---|---|---|
| Revenue | 2,462.9 | 2,298.5 | 2,271.2 | 2,215.5 | 2,220.5 | 2,148.3 | 2,185.7 | 2,183.4 |
| Operating income | 313.5 | 271.9 | 241.1 | 264.4 | 286.2 | 254.6 | 263.2 | 264.4 |
| Net income | 204.1 | 168.1 | 166.4 | 166.3 | 189.0 | 166.3 | 174.0 | 181.7 |
| EPS, diluted | 2.67 | 2.18 | 2.15 | 2.13 | 2.41 | 2.09 | 2.16 | 2.25 |
| = Free cash flow | 369.0 | 108.2 | 309.7 | 276.2 | 178.8 | -52.3 | 281.7 | 227.1 |
What this means. Some cash flow numbers are calculated by subtracting one year-to-date total from another, so they may look unusual even though they represent one quarter.
What should I watch in Avery Dennison's next results?
The October 29 release will show whether Avery’s strong second quarter borrowed too much demand from the third quarter. Customers that stock material buy more than they currently consume; destocking means they use that supply and temporarily order less.
The longer test is the promised second-half food RFID expansion. A commercial rollout and repeat shipments matter more than another pilot announcement, because only recurring business can pay for the factories and systems Avery has built.