posted third-quarter earnings that met analysts' expectations, but cautioned that profits in the fourth quarter and 2001 would be lowered if the weakness in the euro continues.
The adhesive and label products maker earned $73 million, or 73 cents a share, up from $66 million, or 65 cents a share, in last year's quarter. Seven analysts expected the company to earn 73 cents a share, according to
First Call/Thomson Financial
Sales for the quarter rose 4.2% to $1 billion from $961 million.
Avery Dennison said if the euro remains weak, currency translation would lower fourth-quarter EPS by about 3 cents and 2001 EPS by about 12 cents to 15 cents. Analysts expect the company to earn 75 cents a share in the fourth quarter and $3.27 a share in 2001, according to First Call.
As a result of the currency effects, coupled with short-term softening in North America due to inventory tightening in the retail supply chain, the company now expects low-to-mid single-digit earnings-per-share growth in the fourth quarter.