Slide 1: First Quarter 2013 Financial Review and Analysis
First Quarter 2013 Financial Review and Analysis (preliminary, unaudited) Supplemental Presentation Materials Unless otherwise indicated, the discussion of the company’s results is focused on its continuing operations, and comparisons are to the same period in the prior year. Results reflect classif
Slide 2: Forward-looking statements
Certain statements contained in this document are "forward-looking statements" intended to qualify for the safe harbor from liability established by the Private Securities Litigation Reform Act of 1995. These forward-looking statements, and financial or other business targets, are subject to certain
Slide 3: Use of Non-GAAP Financial Measures
Use of Non-GAAP Financial Measures This presentation contains certain non-GAAP financial measures as defined by SEC rules. These non-GAAP financial measures are not in accordance with, nor are they a substitute for or superior to, the comparable GAAP financial measures. Reconciliations of non-GAAP f
Slide 4: First Quarter Overview
First Quarter Overview Results in line with company’s expectations Sales up approx. 4% on organic basis driven by higher volume Operating margin, as reported, improved 60 basis points as the benefit of productivity initiatives and higher volume more than offset higher employee-related expenses and u
Slide 5: Sales Trend Analysis
1Q12 2Q12 3Q12 4Q12 1Q13 Organic Sales Change (0.8%) 3.7% 6.1% 6.7% 3.7% Product Line Exit – – – (0.1%) (0.1%) Currency Translation (1.6%) (4.4%) (6.7%) (1.5%) 0.3% Reported Sales Change* (2.4%) (0.6%) (0.5%) 5.0% 3.9% Sales Trend Analysis *Totals may not sum due to rounding.
Slide 6: Segment Sales and Margin Analysis
Segment Sales and Margin Analysis 1Q13 Reported Organic Sales Growth: Pressure-sensitive Materials 3% 3% Retail Branding and Information Solutions 6% 6% Other specialty converting businesses 2% 13% Continuing Operations 4% 4% Adjusted As Reported (Non-GAAP) 1Q13 1Q12 1Q13 1Q12 Operating Margin: Pres
Slide 7: First Quarter Segment Overview
First Quarter Segment Overview PRESSURE-SENSITIVE MATERIALS (PSM) Reported sales of $1.10 bil., up approx. 3% compared to prior year Sales up approx. 3% on organic basis Label and Packaging Materials sales up low-single digits on organic basis Combined sales for Graphics, Reflective, and Performance
Slide 8: Contributing Factors to 2013 Guidance
Contributing Factors to 2013 Guidance* Organic sales growth of 1% to 4% At recent rates, currency translation has modest positive benefit to reported sales growth and EBIT Incremental pre-tax benefit from restructuring actions ~ $70 mil. Tax rate comparable to 2012 Restructuring costs and other item
Slide 9: 2013 EPS and Free Cash Flow Guidance
2013 EPS and Free Cash Flow Guidance (continuing operations) Add Back: Estimated restructuring costs and other items, net of gain on sale of assets ~ $0.17 Adjusted EPS (non-GAAP) Reported EPS $2.23 - $2.58 Free Cash Flow $275 mil. - $315 mil. $2.40 - $2.75
Slide 10: Appendix: Results reflecting continuing operations
Appendix: Results reflecting continuing operations Dollars in millions FY11 1Q12 2Q12 3Q12 4Q12 FY12 1Q13 Avery Dennison Net sales $5,844.9 $1,443.0 $1,490.4 $1,447.0 $1,483.1 $5,863.5 $1,498.9 Organic sales change 2% -1% 4% 6% 7% 4% 4% Adjusted operating income (non-GAAP) $335.9 $88.2 $103.4 $94.4
Slide 11: Appendix: Reconciliation of GAAP to Non-GAAP Measures
Appendix: Results reflecting continuing operations (Reconciliation of GAAP to Non-GAAP Measures) Dollars in millions Avery Dennison Reconciliation of Operating Margins: FY11 1Q12 2Q12 3Q12 4Q12 FY12 1Q13 Net sales $5,844.9 $1,443.0 $1,490.4 $1,447.0 $1,483.1 $5,863.5 $1,498.9 Operating income, as re
Slide 12: Appendix: Reconciliation of GAAP to Non-GAAP Measures
Appendix: Results reflecting continuing operations (Reconciliation of GAAP to Non-GAAP Measures) Dollars in millions Other specialty converting businesses Reconciliation of Operating Margins: FY11 1Q12 2Q12 3Q12 4Q12 FY12 1Q13 Net sales $73.8 $17.9 $19.0 $18.9 $15.1 $70.9 $18.2 Operating loss, as re
Slide 13: Appendix: Reconciliation of sales change
(1) Totals may not sum due to rounding. Appendix: Results reflecting continuing operations (Reconciliation of GAAP to Non-GAAP Measures) Avery Dennison Reconciliation of sales change: FY11 1Q12 2Q12 3Q12 4Q12 FY12 1Q13 As reported sales change 4% -2% -1% -1% 5% 0% 4% Less: Foreign currency translati
Slide 14: [LOGO] oration. All rights reserved. Avery Dennison and all other Avery brands, product names
[LOGO] © 2011 Avery Dennison Corporation. All rights reserved. Avery Dennison and all other Avery brands, product names and codes are trademarks of Avery Dennison Corporation. All other brands and product names are trademarks of their respective owners. Fortune 500 is a trademark of Time, Inc. Perso