CCL Industries Inc.
TSX : CCL.A
TSX : CCL.B

CCL Industries Inc.

November 06, 2014 08:25 ET

CCL Industries Reports Record Quarterly Earnings Per Share and Declares Dividend

TORONTO, ONTARIO--(Marketwired - Nov. 6, 2014) - CCL Industries Inc. (TSX:CCL.A)(TSX:CCL.B) -

Results Summary
For periods ended September 30 Three months unaudited Nine months unaudited
(in millions of Cdn dollars,
except per share data)

2014

2013
%
Change
% Change Excl. FX*
2014

2013
%
Change
% Change
Excl. FX*
Sales $ 689.7 $ 606.6 13.7% 7.8% $ 1,949.8 $ 1,331.7 46.4% 37.5%
EBITDA(1) $ 133.1 $ 107.8 23.5% 16.1% $ 369.9 $ 259.5 42.5% 33.0%
Operating income(2) $ 107.2 $ 67.8 58.1% 47.5% $ 284.9 $ 179.9 58.4% 47.4%
Earnings in equity accounted investments $ 0.5 $ 0.5 $ 1.6 $ 1.1
Restructuring and other items - loss $ - $ 18.3 $ 2.0 $ 21.0
Net earnings $ 63.1 $ 23.6 167.4% 142.4% $ 171.0 $ 84.1 103.3% 85.3%
Per Class B share
Basic earnings per share $ 1.83 $ 0.68 169.1% $ 4.98 $ 2.46 102.4%
Diluted earnings per share $ 1.79 $ 0.67 167.2% $ 4.88 $ 2.42 101.7%
Adjusted basic earnings per
Class B share(3)

$

1.83

$

1.38

32.6%

$

5.02

$

3.24

54.9%
Number of outstanding shares (in 000's)
Weighted average for the period - basic 34,332 34,141
Actual at period end 34,635 34,375
* - Change over prior year's comparative period excludes estimated impact of foreign currency translation.

CCL Industries Inc. ("CCL" or "the Company") is a world leader in specialty label and packaging solutions for global corporations, small businesses and consumers.

Third Quarter 2014 Results

Sales for the third quarter of 2014 increased 13.7% to $689.7 million, compared to $606.6 million for the third quarter of 2013, with 2.5% organic growth, 5.9% positive currency translation and the balance primarily from the Sancoa, Dekopak and Bandfix acquisitions. For the nine months ended September 30, 2014, sales increased 37.5%, excluding foreign currency translation, driven by above noted acquisitions as well as the Avery and DES acquisitions on July 1, 2013 compared to the prior year nine-month period.

Operating income (a non-IFRS measure; see note 2 below) for the third quarter of 2014 was $107.2 million, an increase of 58.1% compared to $67.8 million for the comparable quarter of 2013. The Label, Avery and Container Segments posted 22.0%, 176.5% and 3.4% increases in their respective operating income for the comparable third quarters. Again, all three segments contributed to the strong results for the nine-month period ending September 30, 2014, resulting in a 58.4% improvement in operating income for the comparable nine-month period. Included in the 2013 third quarter and nine-month results was a $16.7 million non-cash acquisition accounting adjustment to the acquired finished goods inventory from the Avery and DES businesses that was expensed in the Company's cost of goods sold for the periods ended September 30, 2013. Excluding this non-cash adjustment, operating income improved 26.9% and 44.9% for the three and nine-month periods ended September 30, 2014, respectively.

EBITDA (a non-IFRS measure; see note 1 below) was $133.1 million for the third quarter of 2014, an increase of 23.5% compared to $107.8 million for the third quarter of 2013, driven by the notable improvements at the Label and Avery Segments. EBITDA improved 16.1%, excluding the impact of currency translation. For the nine-month period ended September 30, 2014, EBITDA was $369.9 million, an increase of 42.5% compared to $259.5 million in the comparable 2013 nine-month period.

The Company's joint ventures contributed equity earnings of $0.5 million and $1.6 million for the three-month and nine-month periods ended September 30, 2014, respectively, compared to $0.5 million and $1.1 million for the same two periods in 2013. These results reflect continued strong performance in the Middle East, improved results in Russia and Chile, offset by start-up costs at the Thailand tube joint venture.

Tax expense in the third quarter of 2014 was $26.9 million compared to $9.4 million in the prior year period. The effective tax rates for these two periods are 30.0% and 28.9%, respectively. The increase in the effective tax rate for 2014 third quarter reflects a higher portion of the Company's income being earned in a higher tax jurisdiction. The overall effective income tax rate was 29.0% for the nine-month period of 2014 compared to 28.7% in the nine-month period of 2013.

Net earnings for the 2014 third quarter were $63.1 million, an increase of 167.4% compared to $23.6 million for the third quarter of 2013. Basic earnings per Class B share were $1.83 in the third quarter of 2014 compared to $0.68 per Class B share in the prior year quarter.

Net earnings for the nine-month period of 2014 were $171.0 million, an increase of 103.3% compared to $84.1 million for the same period a year ago. This resulted in basic and diluted earnings of $4.98 and $4.88 per Class B share, respectively, for the 2014 nine-month period compared to basic and diluted earnings of $2.46 and $2.42 per Class B share, respectively, for the prior year nine-month period. The increase in net earnings is primarily attributable to the acquisitions in the prior twelve months as well as improvements in operating income at the Label and Avery Segments partially offset by increases in the effective tax rate and net finance cost.

During the third quarter of 2014, the Company did not record any restructuring and other expenses. However, in the third quarter of 2013, $18.3 million was recorded for restructuring and other charges connected to the Avery and DES acquisitions. For the nine-month period ended September 30, 2014, restructuring and other items expense was $2.0 million compared to $21.0 million for the same period in 2013.

The Company therefore posted adjusted basic earnings (a non-IFRS measure; see note 3 below) of $1.83 and $5.02 per Class B share for the three-month and nine-month periods ended September 30, 2014, compared to adjusted basic earnings of $1.38 and $3.24 per Class B share for the corresponding periods in 2013. In addition to the after tax costs of the aforementioned restructuring and other expenses in 2013, adjusted basic earnings per share for the three-month and nine-month periods exclude the after tax costs of the non-cash acquisition accounting adjustment to the acquired finished goods inventory associated with the Avery and DES acquisitions.

Geoffrey T. Martin, President and Chief Executive Officer, stated, "Third quarter earnings per share reached an all-time record for CCL, with our core Label business contributing strong improvement and Avery delivering solid sales and outstanding profitability performance far ahead of our expectations. The Canadian dollar weakened against most currencies sequentially and year-over-year resulting in seven cents earnings per share positive impact supplementing our sixteenth consecutive quarter of year-over-year improvement in adjusted earnings per share."

Mr. Martin continued, "CCL Label sales increased 21%, fueled by strong 7% organic growth plus the impact of acquisitions and positive currency translation. In North America consumer staples markets remained subdued but a strong performance at Sancoa boosted modest organic sales growth from Home & Personal Care customers. A substantial recovery in our Healthcare & Specialty business, robust automotive demand at CCL Design and new initiatives in Food & Beverage combined to drive mid-single digit organic growth overall. Profits improved on the back of the sales performance plus a meaningful contribution from Sancoa.

European sales were up mid-single digits in local currencies with all business lines and geographies posting solid and in some cases, significantly improved results in a challenging economic environment. Profit margins increased compared to the prior year period on better mix. Sales in Emerging Markets continued to grow double digits despite many Home & Personal Care customers commenting on marked deceleration in growth rates almost everywhere in the developing world. Profitability was down modestly on softer mix and start-up costs in the Philippines. Globally, operating results improvement for the Food & Beverage sector outpaced all other business lines. Our joint ventures also posted solid results despite the turmoil in the Middle East and the impact in Russia of events in Ukraine. The Label Segment's absolute profitability continued to improve with margins slightly ahead of the prior year third quarter with some room to expand as recent acquisitions improve their performance."

Mr. Martin then added, "Results at Avery exceeded all expectations. As we previously indicated, early retailer orders in June for the binder product line shifted sales from the third to second quarter comparatively resulting in a 5% local currency decline for Avery in the period, reversing the gains we saw in the second quarter as a result of this shift. Underlying sales performance was roughly flat with growth initiatives making up for secular declines in some product lines. Printable media sales advanced so this mix effect combined with the cost savings initiatives executed over the last year drove a significant rise in profitability on a like for like adjusted basis. With the back-to-school season completed, the next two quarters are seasonal lows for Avery."

Mr. Martin then added, "CCL Container posted 4% organic sales growth driven by higher volumes in North America and Mexico. Profitability was only in line with the 2013 third quarter as aluminum cost increased double digits compared to the prior year. Work continues on the eventual closure of the Canadian plant and year to date we have expensed $0.5 million of our planned $4 million cost to redistribute capacity to our U.S. and Mexican operations. We remain committed to delivering $10 million in annualized cost savings after the transition is completed towards the end of 2015."

Mr. Martin continued, "Recent geopolitical and macroeconomic news brings the return of uncertainty to our outlook. We therefore decided to prepare for the future by closing unprofitable operations and combining some sub scale locations into larger facilities. A small number of CCL Label operations will be impacted involving approximately 100 people in the coming two quarters. Together with the final actions around Avery, largely in Europe, we plan to incur a restructuring charge of approximately $6 million in the fourth quarter. We expect a pre-tax pay back of approximately one year on these changes."

Mr. Martin concluded, "Debt declined during the third quarter as the Company made net repayments of $101 million; cash on hand was $216 million and the available capacity on our revolving credit facility increased to $239 million. Furthermore, with significantly improved results the consolidated net debt to EBITDA leverage ratio improved to 1.1 times. We expect strong cash flow for the remainder of the year and with confidence in our 2015 outlook, your Board of Directors has declared a dividend of $0.30 per Class B non-voting share and $0.2875 per Class A voting share, payable to shareholders of record at the close of business on December 12, 2014, to be paid on December 22, 2014."

With headquarters in Toronto, Canada, CCL Industries now employs approximately 10,200 people and operates 97 production facilities in 28 countries on five continents with corporate offices in Toronto, Canada, and Framingham, Massachusetts. CCL Label is the world's largest converter of pressure sensitive and extruded film materials for a wide range of decorative, instructional and functional applications for large global customers in the consumer packaging, healthcare, automotive and consumer durables markets. Extruded and laminated plastic tubes, folded instructional leaflets, precision printed and die cut metal components with LED displays and other complementary products and services are sold in parallel to specific end-use markets. Avery is the world's largest supplier of labels, specialty converted media and software solutions to enable short run digital printing in businesses and homes alongside complementary office products sold through distributors and mass market retailers. CCL Container is a leading producer of impact extruded aluminum aerosol cans and bottles for consumer packaged goods customers in the United States, Canada and Mexico.

(1) EBITDA is a critical non-IFRS financial measure used extensively in the packaging industry and other industries to assist in understanding and measuring operating results. It is also considered as a proxy for cash flow and a facilitator for business valuations. This non-IFRS financial measure is defined as earnings before net finance cost, taxes, depreciation and amortization, goodwill impairment loss, earnings in equity accounted investments, non-cash acquisition accounting adjustment to finished goods inventory and restructuring and other items. See section entitled "Supplementary Information" below for a reconciliation of operating income to EBITDA. The Company believes that it is an important measure as it allows management to assess CCL's ongoing business without the impact of net finance cost, depreciation and amortization and income tax expenses, as well as non-operating factors and one-time items. As a proxy for cash flow, it is intended to indicate CCL's ability to incur or service debt and to invest in property, plant and equipment, and it allows management to compare CCL's business to those of CCL's peers and competitors who may have different capital or organizational structures. EBITDA is a measure tracked by financial analysts and investors to evaluate financial performance and is a key metric in business valuations. EBITDA is considered an important measure by lenders to the Company and is included in the financial covenants of CCL's senior notes and bank lines of credit.
(2) Operating Income is a key non-IFRS financial measure used to assist in understanding the profitability of the Company's business units. This non-IFRS financial measure is defined as income before corporate expenses, net finance cost, goodwill impairment loss, earnings in equity accounted investments, restructuring and other items, and taxes.
(3) Adjusted Basic Earnings per Class B Share is an important non-IFRS financial measure used to assist in understanding the ongoing earnings performance of the Company excluding items of a one-time or non-recurring nature. It is not considered a substitute for basic net earnings per Class B share but it does provide additional insight into the ongoing financial results of the Company. This non-IFRS financial measure is defined as basic net earnings per Class B share excluding gains on dispositions, goodwill impairment loss, restructuring and other items, Avery and DES finance costs, non-cash acquisition accounting adjustment to finished goods inventory and tax adjustments.
Supplementary Information
For periods ended September 30th
Reconciliation of Operating Income to EBITDA
Unaudited
(In millions of Canadian dollars)
Three months ended Nine months ended
September 30th September 30th
Operating Income 2014 2013 2014 2013
Label $ 59.4 $ 48.7 $ 184.8 $ 150.3
Avery 44.8 16.2 86.3 16.2
Container 3.0 2.9 13.8 13.4
Total operating income 107.2 67.8 284.9 179.9
Less: Corporate expenses (11.3 ) (9.3 ) (24.8 ) (23.7 )
Add: Depreciation & amortization 37.2 32.6 109.8 86.6
Add: Non-cash acquisition accounting adjustment to finished goods inventory - 16.7 - 16.7
EBITDA $ 133.1 $ 107.8 $ 369.9 $ 259.5
Reconciliation of Basic Earnings per Class B Share to
Adjusted Basic Earnings per Class B Share
Unaudited
Three months ended Nine months ended
September 30th September 30th
2014 2013 2014 2013
Basic earnings per Class B Share $ 1.83 $ 0.68 $ 4.98 $ 2.46
Net loss from restructuring and other items - 0.36 0.04 0.42
OCP & DES finance costs - - - 0.02
Non-cash finished goods inventory adjustment for OCP and DES - 0.34 - 0.34
Adjusted Basic Earnings per Class B Share $ 1.83 $ 1.38 $ 5.02 $ 3.24

The financial information presented herein has been prepared on the basis of IFRS for financial statements and is expressed in Canadian dollars unless otherwise stated.

This press release contains forward-looking information and forward-looking statements (hereinafter collectively referred to as "forward-looking statements"), as defined under applicable securities laws, that involve a number of risks and uncertainties. Forward-looking statements include all statements that are predictive in nature or depend on future events or conditions. Forward-looking statements are typically identified by the words "believes," " expects," "anticipates," "estimates," "intends," "plans" or similar expressions. Statements regarding the operations, business, financial condition, priorities, ongoing objectives, strategies and outlook of the Company, other than statements of historical fact, are forward-looking statements. Specifically, this press release contains forward-looking statements regarding the anticipated growth in sales, income and profitability of the Company's segments; and the Company's expectations regarding general business and economic conditions.

Forward-looking statements are not guarantees of future performance. They involve known and unknown risks and uncertainties relating to future events and conditions including, but not limited to, the after-effects of the global financial crisis and its impact on the world economy and capital markets; the impact of competition; consumer confidence and spending preferences; general economic and geopolitical conditions; currency exchange rates; interest rates and credit availability; technological change; changes in government regulations; risks associated with operating and product hazards; and CCL's ability to attract and retain qualified employees. Do not unduly rely on forward-looking statements as the Company's actual results could differ materially from those anticipated in these forward-looking statements. Forward-looking statements are also based on a number of assumptions, which may prove to be incorrect, including, but not limited to, assumptions about the following: global economic recovery and higher consumer spending; improved customer demand for the Company's products; continued historical growth trends, market growth in specific sectors and entering into new sectors; the Company's ability to provide a wide range of products to multinational customers on a global basis; the benefits of the Company's focused strategies and operational approach; the achievement of the Company's plans for improved efficiency and lower costs, including stable aluminum costs; the availability of cash and credit; fluctuations of currency exchange rates; the Company's continued relations with its customers; general business and economic conditions, the Company's estimated costs associated with planned restructuring activities and the Company's ability to realize targeted operational synergies and cost savings from the restructuring of Avery, DES, CCL Label and the Canadian Container operation. Should one or more risks materialize or should any assumptions prove incorrect, then actual results could vary materially from those expressed or implied in the forward-looking statements. Further details on key risks can be found in the 2013 Management's Discussion and Analysis, particularly under Section 4: "Risks and Uncertainties." CCL's annual and quarterly reports can be found online at www.cclind.com and www.sedar.com or are available upon request.

Except as otherwise indicated, forward-looking statements do not take into account the effect that transactions or non-recurring or other special items announced or occurring after the statements are made may have on CCL's business. Such statements do not, unless otherwise specified by the Company, reflect the impact of dispositions, sales of assets, monetizations, mergers, acquisitions, other business combinations or transactions, asset write-downs or other charges announced or occurring after forward-looking statements are made. The financial impact of these transactions and non-recurring and other special items can be complex and depends on the facts particular to each of them and therefore cannot be described in a meaningful way in advance of knowing specific facts. The forward-looking statements are provided as of the date of this press release and the Company does not assume any obligation to update or revise the forward-looking statements to reflect new events or circumstances, except as required by law.

Note: CCL will hold a conference call at 2:00 p.m. EST on November 6, 2014, to discuss these results. The analyst presentation will be posted on the Company's website.
To access this call, please dial:
416-340-8530 - Local
1-800-769-8320 - Toll Free
Audio replay service will be available from November 6, 2014, at 6:00 p.m. EST until November 20, 2014, at 11:59 p.m. EST.
To access Conference Replay, please dial:
905-694-9451 - Local
1-800-408-3053 - Toll Free
Access Code: 1601593
For more details on CCL, visit our website – www.cclind.com
CCL Industries Inc.
Consolidated condensed interim statements of financial position
Unaudited
In thousands of Canadian dollars
As at September 30 As at December 31
2014 2013
Assets
Current assets
Cash and cash equivalents $ 216,026 $ 209,095
Trade and other receivables 419,738 363,493
Inventories 197,434 181,644
Prepaid expenses 18,284 13,458
Income tax recoverable 641 2,503
Total current assets 852,123 770,193
Property, plant and equipment 907,458 856,001
Goodwill 553,181 494,231
Intangible assets 219,661 207,569
Deferred tax assets 3,805 4,115
Equity accounted investments 50,203 47,363
Other assets 22,419 22,176
Total non-current assets 1,756,727 1,631,455
Total assets $ 2,608,850 $ 2,401,648
Liabilities
Current liabilities
Trade and other payables $ 506,390 $ 475,777
Current portion of long-term debt 55,903 47,070
Income taxes payable 27,023 21,060
Derivative instruments 100 642
Total current liabilities 589,416 544,549
Long-term debt 650,936 664,976
Deferred tax liabilities 42,249 42,661
Employee benefits 118,680 109,068
Provisions and other long-term liabilities 15,774 21,511
Derivative instruments 440 748
Total non-current liabilities 828,079 838,964
Total liabilities 1,417,495 1,383,513
Equity
Share capital 246,220 237,189
Contributed surplus 20,160 11,919
Retained earnings 912,300 768,738
Accumulated other comprehensive income 12,675 289
Total equity attributable to shareholders of the Company 1,191,355 1,018,135
Total liabilities and equity $ 2,608,850 $ 2,401,648
CCL Industries Inc.
Consolidated condensed interim income statements
Unaudited
In thousands of Canadian dollars, except per share data
Three Months Ended September 30 Nine Months Ended September 30
% %
2014 2013 Change 2014 2013 Change
Sales $ 689,691 $ 606,646 13.7 $ 1,949,793 $ 1,331,703 46.4
Cost of sales 502,159 461,371 1,427,166 1,001,462
Gross profit 187,532 145,275 522,627 330,241
Selling, general and administrative 91,603 86,781 262,526 174,018
Restructuring and other items - 18,290 2,041 21,044
Earnings in equity accounted investments (516 ) (470 ) (1,560 ) (1,092 )
96,445 40,674 259,620 136,271
Finance cost 6,864 7,866 20,215 19,299
Finance income (373 ) (121 ) (703 ) (447 )
Net finance cost 6,491 7,745 19,512 18,852
Earnings before income taxes 89,954 32,929 173.2 240,108 117,419 104.5
Income tax expense 26,872 9,384 69,136 33,354
Net earnings $ 63,082 $ 23,545 167.9 $ 170,972 $ 84,065 103.4
Attributable to:
Shareholders of the Company $ 63,082 $ 23,545 $ 170,972 $ 84,065
Net earnings for the period $ 63,082 $ 23,545 $ 170,972 $ 84,065
Basic earnings per Class B share $ 1.83 $ 0.68 169.1 $ 4.98 $ 2.46 102.4
Diluted earnings per Class B share $ 1.79 $ 0.67 167.2 $ 4.88 $ 2.42 101.7
CCL Industries Inc.
Consolidated condensed interim statements of cash flows
Unaudited
In thousands of Canadian dollars
Three Months Ended Nine Months Ended
September 30 September 30
2014 2013 2014 2013
Cash provided by (used for)
Operating activities
Net earnings $ 63,082 $ 23,545 $ 170,972 $ 84,065
Adjustments for:
Depreciation and amortization 37,229 32,563 109,785 86,568
Earnings in equity accounted investments, net of dividends received

1,672



(470

)


628



1,460

Net finance cost 6,491 7,745 19,512 18,852
Current income tax expense 25,709 23,215 67,670 48,699
Deferred taxes 1,163 (13,831 ) 1,466 (15,345 )
Equity-settled share-based payment transactions 4,402 3,177 10,212 4,221
Gain on sale of property, plant and equipment (369 ) (25 ) (439 ) (343 )
139,379 75,919 379,806 228,177
Change in inventories 24,915 51,109 (3,807 ) 33,781
Change in trade and other receivables 20,495 8,590 (33,468 ) (32,030 )
Change in prepaid expenses 1,127 2,717 (4,548 ) (1,512 )
Change in trade and other payables (17,253 ) 25,697 3,208 52,302
Change in income taxes receivable and payable (101 ) 4,590 (72 ) 5,107
Change in employee benefits 2,072 9,569 9,612 16,096
Change in other assets and liabilities 5,421 2,370 (6,949 ) (15,939 )
176,055 180,561 343,782 285,982
Net interest paid (10,119 ) (12,778 ) (23,205 ) (22,856 )
Income taxes paid (17,327 ) (12,853 ) (59,926 ) (34,318 )
Cash provided by operating activities 148,609 154,930 260,651 228,808
Financing activities
Proceeds on issuance of debt 17,969 88,506 129,561 565,426
Repayment of debt (118,508 ) (93,972 ) (166,357 ) (98,573 )
Proceeds from issuance of shares 2,432 - 7,216 16,537
Purchase of shares held in trust - (13,680 ) - (13,680 )
Repurchase of shares - - - (3,018 )
Dividends paid (10,361 ) (7,363 ) (27,567 ) (22,046 )
Cash provided by (used for) financing activities (108,468 ) (26,509 ) (57,147 ) 444,646
Investing activities
Additions to property, plant and equipment (26,442 ) (22,667 ) (110,589 ) (85,849 )
Proceeds on disposal of property, plant and equipment 7,716 49 13,368 1,907
Business acquisitions and other long-term investments (15,199 ) (514,308 ) (102,123 ) (525,970 )
Cash used for investing activities (33,925 ) (536,926 ) (199,344 ) (609,912 )
Net increase (decrease) in cash and cash equivalents 6,216 (408,505 ) 4,160 63,542
Cash and cash equivalents at beginning of period 208,303 683,905 209,095 188,972
Translation adjustment on cash and cash equivalents 1,507 (15,349 ) 2,771 7,537
Cash and cash equivalents at end of period $ 216,026 $ 260,051 $ 216,026 $ 260,051
CCL Industries Inc.
Segment information
Unaudited
In thousands of Canadian dollars
Three Months Ended September 30 Nine Months Ended September 30
Sales Operating income Sales Operating income
2014 2013 2014 2013 2014 2013 2014 2013
Label $ 437,431 $ 360,369 $ 59,392 $ 48,708 $ 1,284,929 $ 982,524 $ 184,762 $ 150,285
Avery 204,671 201,790 44,782 16,222 511,794 201,790 86,330 16,222
Container 47,589 44,487 2,979 2,898 153,070 147,389 13,807 13,448
Total operations $ 689,691 $ 606,646 107,153 67,828 $ 1,949,793 $ 1,331,703 284,899 179,955
Corporate expense (11,224 ) (9,334 ) (24,798 ) (23,732 )
Restructuring and other items - (18,290 ) (2,041 ) (21,044 )
Earnings in equity accounted investments 516 470 1,560 1,092
Finance cost (6,864 ) (7,866 ) (20,215 ) (19,299 )
Finance income 373 121 703 447
Income tax expense (26,872 ) (9,384 ) (69,136 ) (33,354 )
Net earnings $ 63,082 $ 23,545 $ 170,972 $ 84,065

Total Assets

Total Liabilities
Depreciation and
Amortization

Capital Expenditures
September 30 December 31 September 30 December 31 Nine Months Ended September 30 Nine Months Ended September 30
2014 2013 2014 2013 2014 2013 2014 2013
Label $ 1,772,426 $ 1,558,832 $ 455,145 $ 357,386 $ 88,799 $ 72,202 $ 85,369 $ 77,034
Avery 386,918 391,658 175,054 205,154 9,929 3,161 7,978 3,770
Container 159,725 140,678 56,513 49,607 10,458 10,602 17,242 4,998
Equity accounted investments 50,203 47,363 - - - - - -
Corporate 239,578 263,117 730,783 771,366 599 603 - 47
Total $ 2,608,850 $ 2,401,648 $ 1,417,495 $ 1,383,513 $ 109,785 $ 86,568 $ 110,589 $ 85,849

Due to the seasonality of CCL's business, the Company's operating results for the three months or nine months ended September 30, 2014, are not necessarily indicative of the results that may be expected for the full year ending December 31, 2014. The first and second quarters are traditionally higher sales periods for the Label and Container Segments as a result of the greater number of work days and various customer activities undertaken during this period versus the third and fourth quarters of the year. For Avery, the third quarter has historically been its strongest, as it benefits from the increased demand related to back-to-school activities in North America.

Contact Information

  • CCL Industries Inc.
    Sean Washchuk
    Senior Vice President and Chief Financial Officer
    416-756-8526
    www.cclind.com