In an attempt to improve inventory accuracy and visibility for
retailers and brands, Avery Dennison Retail Branding and
Information Solutions (RBIS), a unit of
Avery Dennison Corporation
), has widened its Radio-frequency identification (RFID)
Avery Dennison RBIS is an integrated solutions provider of
ultra-high frequency (UHF) RFID inlays. Avery Dennison RFID
inlays are widely used by global apparel brands and retailers
), Marks & Spencer, Lord &Taylor, Gerry Weber and
The world retail industry is continuously growing and requires
appropriate technology to leverage data and analytics in brand
and product management. Avery's RFID-based unique identifier is
beneficial in this respect as it can collect and organize data
exponentially more speedily and accurately without the line of
sight required by traditional barcode systems.
The new RFID portfolio, which contains UHF Gen2-compliant inlays,
will help in inventory management including jewelry, cosmetics,
healthcare, houseware and footwear. It will also improve labor
efficiency and loss prevention. Retail transactions will become
simpler and more convenient with this advanced system.
The latest UHF solutions comprise various inlays like AD-320u7,
AD-172u7, AD-160u7, AD-180u7, AD-383u7 and AD-381m5. These new
solutions will be exhibited at RFID Journal Live 2014 in Orlando
from April 8 to April 10.
AD-320u7, which is a tested and qualified solution, is the
smallest label size to provide excellent read range performance
on a broad range of item-level apparel categories, reducing label
complexity across the supply chain. In addition, AD-383u7 and
AD-381m5 have been developed for item-level apparel applications
and major global retailers.
On the other hand, AD-172u7 has been optimized, tested and
qualified for excellent hand-held performance for use in retail
environments for fashion and fine jewelry. AD-160u7 caters to the
cosmetic category in high-density read environments. This inlay
is for packaging with limited space, as necessary in the case of
lipstick tubes, eyeliner pencils as well as bottled liquids and
lotions. AD-180u7 is designed for eye shadow and cylindrical type
Avery Dennison RBIS has also introduced RFID inlay solutions that
provide significant benefits for a wide variety of non-retail
verticals, including pharmaceutical and healthcare, aviation
baggage, food and automotive, library/media and logistics.
For full-year 2013, Avery reported adjusted earnings per share
(EPS) of $2.68, a 37% improvement from $1.96 in 2012. Revenues
for the year 2013 increased 5% year over year to $6.14 billion.
Both revenues and earnings surpassed the Zacks Consensus
Avery expects its full-year 2014 adjusted earnings in the range
of $2.90 to $3.20 per share. The company will benefit from the
recent divestiture of its weaker Office Products business, which
will facilitate focus on market-leading, pressure-sensitive
materials business, along with the Retail Branding and
Information Solutions segments.
Furthermore, Avery will gain from restructuring program
implemented in 2012 to cut costs across all its business
segments. Additionally, active capital deployment through share
repurchases and dividend payouts are expected to aid the
company's growth. However, the uncertain macroeconomic
environment remains a challenge.
Pasadena, CA-based Avery Dennison manufactures pressure-sensitive
materials and tickets, tags, labels and other converted products.
The company has over 200 manufacturing and distribution
facilities in more than 60 countries.
Currently, Avery has a Zacks Rank #4 (Sell). Some better-ranked
players in the industrial product sector include
Alamo Group, Inc.
Altra Industrial Motion Corp.
), both of which have a Zacks Rank #2 (Buy).
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