Thx
EPS was $1.00, missing estimates of $1.09; revenue of $1.87B matched estimates. EBITDA of $383M was marginally better. The dividend was raised 12.5%. The stock received a couple of broker upgrades post-earnings. Despite modest organic growth, the company achieved record annual adjusted earnings and free cash flow. Sales grew 3.5% to $1.88 billion, driven by 0.6% organic growth, 0.2% from acquisitions, and 2.7% favorable currency translation. Operating income rose 4.8% to $280.7 million (15.0% margin, up 20 bps), while net earnings dipped to $171.1 million due to a higher effective tax rate of 28.5%. Adjusted EPS was up 1.0% year-over-year. Management expects low- to mid-single-digit CCL segment growth in 2026, with stable orders, modest FX tailwind, and improving Checkpoint RFID/apparel. Capex is budgeted at $470 million; leverage fell to 0.78x EBITDA with $1B cash. Avery was the standout segment with 7.6% growth in the quarter.