AVERY DENNISON Reports 10.9% Decrease in Q2 Earnings for FY2023 with USD 2090.5 Million Revenue
August 26, 2023
🌥️Earnings Overview
AVERY DENNISON ($NYSE:AVY) announced their Q2 earnings results for FY2023 on June 30 2023, with total revenue of USD 2090.5 million, a decline of 10.9% year-on-year. Net income was reported to be USD 100.4 million, representing a decrease of 53.2% compared to the same quarter the previous year.
Analysis
GoodWhale has conducted a comprehensive analysis of AVERY DENNISON‘s fundamentals, and the Star Chart results show that AVERY DENNISON is classified as a ‘cow’, a type of company that can be expected to pay out consistent and sustainable dividends. This means that investors who are looking for income stability while also enjoying some capital appreciation may want to consider investing in the company. AVERY DENNISON performs well in terms of dividends and profitability, and moderately in terms of asset strength, but grows slowly. However, the company scores a healthy 8/10 on health, indicating that it is capable of paying off its debts and funding future operations. Therefore, investors who prioritize dividend income and reliability over high growth rates may find AVERY DENNISON an attractive choice. More…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Avery Dennison. More…
| Total Revenues | Net Income | Net Margin |
| 8.5k | 566 | 7.3% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Avery Dennison. More…
| Operations | Investing | Financing |
| 758.1 | -505 | -194.4 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Avery Dennison. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 8.27k | 6.25k | 25.01 |
Key Ratios Snapshot
Some of the financial key ratios for Avery Dennison are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 7.8% | 5.3% | 10.0% |
| FCF Margin | ROE | ROA |
| 5.3% | 26.2% | 6.4% |
Peers
Its main competitors are Seco/Warwick SA, Omni-Lite Industries Canada Inc, and Curtiss-Wright Corp.
– Seco/Warwick SA ($LTS:0LYW)
Seco/Warwick SA is a thermal-processing equipment manufacturer based in Poland. The company has a market cap of 146.14M as of 2022 and a Return on Equity of 9.69%. Seco/Warwick SA designs, manufactures, and sells furnaces and ovens for a variety of industries including aerospace, automotive, and medical device. The company’s products are used in a variety of applications including heat treating, brazing, soldering, and annealing.
– Omni-Lite Industries Canada Inc ($TSXV:OML)
Omni-Lite Industries Canada Inc is engaged in the development and production of metal alloys and composite products. The company operates through two segments: Metal Injection Molding and Castings, and Composite Products. The Metal Injection Molding and Castings segment offers metal injection molded and cast products for aerospace, military, automotive, and commercial applications. The Composite Products segment provides composite materials, products, and services for the aerospace, military, and commercial markets.
– Curtiss-Wright Corp ($NYSE:CW)
Curtiss-Wright Corporation is a diversified company that provides engineered products and services to the aerospace, defense, and energy markets. The company has a market capitalization of $6.17 billion and a return on equity of 12.64%. The company’s products and services include aircraft brakes, control systems, and engines; defense electronics and software; and power generation and distribution equipment. Curtiss-Wright has a long history of innovation and has been involved in some of the most important technological advances of the 20th century. The company was founded in 1929 by Wright Aeronautical Corporation and Curtiss Aeroplane and Motor Company.
Summary
Investors may be cautious when considering AVERY DENNISON‘s Q2 FY2023 earnings results. Total revenue was USD 2090.5 million, a 10.9% decrease from the same quarter in the previous year. Net income also decreased 53.2% year over year, standing at USD 100.4 million. Although the company’s financial performance is concerning, investors should consider other factors such as potential returns and the company’s long-term prospects when making decisions about investing in AVERY DENNISON.
