On February 11th, ACCO Brands Corporation reported its fourth quarter and full year results for the period ended December 31, 2019.Here are the highlights.

Full Year

  • Record net sales $1.96 billion, up 1% 
  • Comparable sales up 1% 
  • North America net sales up 3% 
  • EPS $1.06 versus $1.00 in prior year
  • Record adjusted EPS $1.20 versus $1.14 in 2018
  • Cash from operations $204 million; free cash flow $172 million
  • Returned $89 million to shareholders through share repurchases and dividends
  • Repaid $71 million of debt

Fourth Quarter

  • 4Q net sales $537.4 million, up 1.5% 
  • 4Q EPS $0.44 versus $0.34 in prior year
  • Adjusted 4Q EPS $0.46 versus $0.41 in 2018
  • Cash from operations $129 million; free cash flow $118 million

2019 North American Business Segment

  • Sales of $966.8 million increased 2.8% from $940.7 million in 2018
  • Comparable sales increased 3.1%  
  • Sales growth was driven by higher pricing that offset the impact of inflation and 
  • tariffs, and a strong back-to-school season 
  • Operating income of $131.0 million increased 12.3% from $116.6 million in 2018
  • Adjusted operating income of $136.6 million increased 11.2% from $122.8 million in 2018 
  • Income increases were the result of higher sales and cost savings, partially offset by higher incentive accruals

2020 Outlook

  • Net sales (1)% to 1% 
  • Adjusted EPS $1.20 to $1.30
  • Free cash flow $165 million to $175 million

“I am very pleased with our results for the fourth quarter and full year and want to congratulate ACCO Brands employees for delivering record annual sales and adjusted EPS, and the second highest free cash flow ever,” said Boris Elisman, Chairman, President and CEO of ACCO Brands.

“Our company enters a new decade as a growing, well-diversified, branded consumer, school, and office products business with a track record of product innovation, strong in-market execution, and efficient operations. In 2020, we are expecting another year of strong progress against our strategic imperatives,” Elisman added.

Source: ACCO Brands