Label specialist pins on more badge business.

 

Avery posted a good set of Q1 2022 results, with its revenue and earnings both growing in the strong double digits.

 

Sales for the three-month period grew by a currency-adjusted 30.5 per cent year on year to US$138.5 million. 

 

The Toronto-based company’s parent CCL Industries made several acquisitions in the past 12 months that contributed the majority of this growth – excluding these, organic sales still rose by almost 14 per cent.

 

In its Q1 earnings presentation, CCL said Avery’s strong trajectory is continuing, especially in North America which has seen a big recovery in the name badges category. The Mastertag and RFID businesses, acquired at the start of this year, “outperformed”, according to CCL, while there were “solid improvements” in other product segments. 

 

Regional organic sales growth was as follows: high-single digit in North America, mid-single digit in Europe, low single digit in Asia-Pacific and strong double digit in Latin America

 

Raw materials availability and inflation, plus elevated freight and component costs from China remain “challenging”, although Avery has been able to successfully implement price pass-throughs. CCL said more price rises were set to come.

 

For more on this story and other global news go to https://www.opi.net/news/region/001-north-america/strong-quarter-for-avery/