Avery Dennison Corporation · NYSE:AVY

Avery Dennison — Q3 2026 Earnings Presentation

17 slides from Avery Dennison's earnings presentation, Oct 29, 2026

  1. Slide 1: Third Quarter 2026 Financial Review and Analysis

    Third Quarter 2026 Financial Review and Analysis (preliminary, unaudited) October 29, 2026 Supplemental Presentation Materials Unless otherwise indicated, comparisons are to the same period in the prior year. High-Value Category Investor Showcase 2026 1

  2. Slide 2: Safe Harbor Statement

    Safe Harbor Statement 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, a

  3. 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. We report our financial results in conformity with accounting principles generally accepted in the United States of America, or GAAP, and also communicate with investors using cert

  4. Slide 4: Continued to deliver strong sales, earnings and cash flow

    Continued to deliver strong sales, earnings and cash flow Third Quarter Results Strength & Durability of Franchise Net sales of $2.3 bil. ● High-value categories (HVC) up mid-single digits on an organic basis ● Organic sales growth (non-GAAP) of 3.7% ○ Includes ~2 pt impact of destocking, roughly hal

  5. Slide 5: Underlying performance of the business has improved

    Underlying performance of the business has improved 1H25 2H25 1Q26 2Q26 3Q26 Organic Sales Growth 1% 0% 1% 8% 4% Key factors of organic sales growth: Estimated customer inventory mgmt ~1% ~4% ~(2)% Underlying performance 1% 0% ~0% ~4% ~6% 1H25 2H25 1Q26 2Q26 3Q26 Adjusted EPS Growth 0% 2% 7% 19% 2%

  6. Slide 6: Materials Group

    Third Quarter 2026 Results Materials Group 2025 Sales by Product Reported sales increased 8.5% to $1.6 bil. ■ Label Materials High-value Sales up 4.9% organically Categories ■ Graphics & Reflective ● High-value categories up mid-single digits 38% ■ Performance Materials ● Base categories up mid-singl

  7. Slide 7: Solutions Group

    Third Quarter 2026 Results Solutions Group 2025 Sales by Product Reported sales decreased 1.8% to $687 mil. ■ Base Solutions High-value Sales up 0.8% organically Categories ■ Intelligent Labels ● High-value categories comparable to prior year, including 60% ■ Vestcom a headwind from logistics IL ■ E

  8. Slide 8: High-value category portfolio continues to demonstrate strong growth

    High-value category portfolio continues to demonstrate strong growth Overall Results 2025 Sales by High-Value Category Q3 sales up mid-single digits on organic basis; continuing to outpace global GDP Materials Group: ● Specialty & Durables up high single digits Performance materials up mid-single di

  9. Slide 9: Enterprise-wide Intelligent Labels

    Enterprise-wide Intelligent Labels Overall Results 2025 Sales by Category Q3 sales up low single digits on organic basis ● Apparel and general retail up ~10% on apparel program expansions and All recovery in general retail Other Apparel ● Food and logistics down mid-teens; accelerating growth in foo

  10. Slide 10: FY 2026 EPS Guidance

    FY 2026 EPS Guidance Low High Reported EPS $9.45 $9.59 Est. restructuring costs & other items ~$0.65 ~$0.65 Adjusted EPS $10.10 $10.24 For FY 2026, anticipate adj. EPS of $10.10-$10.24 ● Reported sales growth of ~5.5% and organic sales growth of ~3.5% ○ ~1.5% benefit from currency translation, ~1% be

  11. Slide 11: Appendix

    Appendix Summary Information & Reconciliation of Non-GAAP Financial Measures from GAAP September 18, 2024 Avery Dennison 2024 Investor Day 11

  12. Slide 12: Economic Conditions Dashboard

    Economic Conditions Dashboard Oct‘26 Outlook and Change vs. Jan‘26 Outlook U.S. Consumer Sentiment Real GDP Retail volume CPI Fcst. Chg. Fcst. Chg. Fcst. Chg. U.S. 2.4% 0.1% 1.3% 0.2% 3.4% 0.9% Europe 1.4% 0.0% 0.7% 0.0% 4.4% 1.2% APAC 4.3% 0.3% 1.4% (2.0)% 2.8% 1.2% Latin Am. 2.0% (0.2)% 1.3% (0.1)

  13. Slide 13: Third quarter 2026 sales change

    Third quarter 2026 sales change Total Materials Solutions Company Group Group Net sales change 5.2% 8.5% (1.8)% Reclass. of sales between segments - (1.4)% 2.8% Foreign currency translation (0.3)% (0.3)% (0.2)% Sales change ex. currency(1) 4.9% 6.7% 0.8% Acquisitions (1.3)% (1.8)% - Organic sales ch

  14. Slide 14: Quarterly sales trend analysis

    Quarterly sales trend analysis 3Q25 4Q25 1Q26 2Q26 3Q26 Net sales change 1.5% 3.9% 7.0% 10.9% 5.2% Foreign currency translation (1.7)% (1.7)% (4.7)% (2.0)% (0.3)% Impact of extra days - (1.5)% - - - Sales change ex. currency (1) (0.2)% 0.6% 2.3% 8.9% 4.9% Acquisitions - (0.8)% (1.2)% (1.3)% (1.3)% O

  15. Slide 15: Third quarter 2026 margin comparisons

    Third quarter 2026 margin comparisons Reported Adjusted Adjusted Operating Margin Operating Margin EBITDA Margin 3Q26 3Q25 3Q26 3Q25 3Q26 3Q25 Materials Group 13.7% 14.3% 14.1% 15.2% 16.4% 17.5% Solutions Group 10.5% 9.7% 10.8% 10.0% 17.8% 17.0% Total Company 11.7% 11.9% 12.1% 12.7% 15.8% 16.5% Octo

  16. Slide 16: Broad exposure to diverse markets across portfolio

    Broad exposure to diverse markets across portfolio Est. 2025 Sales by End Market 2025 Sales by Manufacturing Location Latin Industrial/ Am. Durable Other U.S. & Asia-Pac Canada Non- durable Goods 60%+ $8.9B Staples Apparel China NA ME Logistics Western Europe EE October 29, 2026 Preliminary & unaudi

  17. Slide 17: averydennison.com #MakingPossible

    averydennison.com #MakingPossible © 2026 Avery Dennison Corporation. All rights reserved. The “Making Possible” tagline, Avery Dennison and all other Avery Dennison brands, product names and codes are trademarks of Avery Dennison Corporation. All other brands or product names are trademarks of their

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