According to labelling technology group Avery Dennison, preliminary fourth quarter 2000 data indicates that revenue will be lower than previously announced expectations. Revenue for the fourth quarter…
According to labelling technology group Avery Dennison, preliminary fourth quarter 2000 data indicates that revenue will be lower than previously announced expectations. Revenue for the fourth quarter is now expected to be in the range of US$ 930-940 million, 3-4% below earlier forecasts. For the full-year 2000, Avery Dennison expects to report record high results, however, with earnings per share forecast to grow approximately 11% over 1999, excluding a 1999 restructuring charge. Sales growth for 2000, excluding the impact of currency exchange rates, is expected to be around 7%. The company attributed its lower-than-expected sales in the fourth quarter to economic conditions exclusively in North America. Avery Dennison reported continued strong sales growth in other regions, including Europe, Asia Pacific and Latin America. “The economic slowdown in North America appears to be exacerbated by customer efforts to reduce inventory levels as they anticipate weak economic conditions in 2001,” added Philip M. Neal, company chairman and CEO. Neal described long-term growth prospects as excellent, though. “New product development and market expansion will continue to fuel our growth,” he said. Avery Dennison will announce official results for the fourth quarter and full year on 23 January 2001.