CCL Industries Inc.
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About the company
CCL Industries Inc. specializes in manufacturing and selling labels, while also delivering media and software services. Its business operations are structured into four distinct divisions: CCL, Avery, Checkpoint, and Innovia.
- CEO
- Geoffrey T. Martin
- IPO
- 2017
- Employees
- 26,000
- HQ
- Toronto, ON, CA
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- Market Cap
- $12.07B
- P/E
- 20.41
- Fwd P/E
- 13.37
- PEG
- 4.35
- P/S
- 2.08
- P/B
- 2.89
- EV/EBITDA
- 10.84
- Div Yield
- 1.42%
- Gross Margin
- 29.81%
- Op Margin
- 15.00%
- Net Margin
- 10.27%
- ROE
- 14.41%
- ROIC
- 9.63%
Latest fiscal year · YoY change
- Revenue
- $7.66B+5.7%
- Gross Profit
- $2.29B+7.3%
- Op Income
- $1.16B
- Net Income
- $801.75M-4.9%
- EPS
- $4.58-3.6%
- OCF Growth
- +22.5%
- FCF Growth
- +43.3%
- 52W High
- $69.40
- 52W Low
- $56.52
- 50D MA
- $62.28
- 200D MA
- $62.21
- Beta
- 0.65
- RSI (14)
- 100
- Avg Volume
- 1
Earnings call summaries
Pick a quarter — each call distilled into takeaways, results, and a bull vs bear read.
CCL Industries delivered steady Q2 growth with higher adjusted EPS and strong cash flow, while tariffs and apparel-supply-chain disruption weighed on Avery and RFID momentum.· August 14, 2025
- Q2 sales rose 4.8% to $1.9 billion, with 2% organic growth and 1.8% foreign currency tailwind.
- Adjusted basic EPS was $1.22, up 8% year over year, helped by higher operating income, FX and lower finance costs.
- Free cash flow from operations jumped to $226 million in Q2, up from $118.8 million last year.
- Tariff impacts were manageable overall but meaningful in Avery and some Checkpoint products, with more offsetting pricing expected in Q3.
- Management kept capital spending plans intact and reiterated ongoing share buybacks and dividend support.
For Q2 2025, sales were $1.9 billion, up 4.8% year over year, including 2% organic growth, 1% acquisition-related growth and a 1.8% foreign currency tailwind. Operating income was $322.1 million versus $303.5 million last year, and consolidated EBITDA increased 6% excluding foreign currency translation. Net earnings were $213.1 million versus $279.5 million in Q2 2024, with the prior-year period including a noncash $78.1 million revaluation gain; adjusted basic EPS was $1.22 versus $1.13, up 8%. Free cash flow from operations was $226 million versus $118.8 million a year ago, and trailing 12-month free cash flow was $759.8 million versus $567.8 million. For the balance of 2025, the company expects to spend around $485 million on capital expenditures, with Q3 helped by FX possibly being neutral and additional pricing offsets to tariff costs, especially at Avery.
Geoff Martin described the quarter as solid, with strong profitability in Home and Personal Care and better performance in CCL Design electronics. He said the company is seeing share gains in some areas, but emphasized that many end markets are still affected by tariff-related supply-chain disruption, especially in apparel-related RFID and Avery. His tone was constructive but cautious, repeatedly pointing to the need to wait and see how demand and replenishment unfold in the second half.
Sean Washchuk highlighted 4.8% sales growth, a 5% increase in operating income excluding FX, and adjusted basic EPS of $1.22, with the EPS lift mainly from improved operating income, FX and lower net finance costs. He noted free cash flow from operations of $226 million in the quarter and $759.8 million over the trailing 12 months, alongside net debt of $1.63 billion and leverage of approximately 1.04x, down from 1.08x at year-end. Liquidity remained strong at $963 million of cash plus USD 0.8 billion of undrawn revolver capacity, and the average finance rate was about 2.7%.
Analysts pressed on the sustainability of CCL segment margins, with management saying the main drivers were improved CCL Design electronics profitability and a strong year in HPC rather than one-off pricing. Questions on RFID focused on the slowdown: management said apparel supply-chain disruption from tariffs is affecting ordering, and that the business should return to double-digit growth once conditions normalize. On capital allocation, management suggested buybacks could continue if leverage stays near current levels, and said the higher free cash flow is largely due to lower capital spending pressure after the large German films project rolled off.
The quarter showed broad revenue growth, higher adjusted EPS, and a meaningful jump in free cash flow, while leverage stayed low at roughly 1.04x. Management also pointed to strong HPC performance, better electronics margins, and the prospect of later recovery in RFID and Checkpoint as supply chains stabilize.
Tariffs are still creating real costs and supply-chain disruption, especially in Avery and apparel-linked RFID, and management would not quantify near-term growth recovery. Avery’s back-to-school season started late and management said they probably will not fully recover June’s weakness, while the new Germany film plant will keep pressuring Innovia until it ramps over several quarters.
AI summary of the company's earnings call · Paraphrased · Not investment advice
- Free Float
- 4.1%
- Shares Outstanding
- 173.85M
- Float Shares
- 7.14M
Our CCLLF coverage
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Generate CCLLF report →CCL Industries Q2 Earnings Call Highlights
marketbeat.com · Aug 14
2 Stocks On My Buy List: Northrop Grumman And CCL Industries
seekingalpha.com · Jul 16
CCL Industries Closing of Sleever International Acquisition
accessnewswire.com · Jun 1
CCL Industries Inc. Announces Renewal of Normal Course Issuer Bid and Approval of Automatic Securities Purchase Plan
accessnewswire.com · May 22
CCL Industries Q1 Earnings Call Highlights
marketbeat.com · May 16
CCL Industries Announces 2026 Annual and Special Shareholders' Meeting Results
accessnewswire.com · May 15
CCL Industries Inc. (CCL.B:CA) Q1 2026 Earnings Call Transcript
seekingalpha.com · May 14
CCL Industries Announces Results for 2026 First Quarter
accessnewswire.com · May 13
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