Shares in Avery Dennison Corp. rose nearly 4 percent after the company announced fourth quarter earnings that were better than expected.

Avery reported net income of $101.5 million ($1.01 per share), compared to a $6.9 million loss from the same period a year earlier. The earnings came in slightly ahead of analysts’ predictions of $1 per share, according to Thompson Financial.

Sales for the Pasadena-based office materials manufacturer were up 3.5 percent to $1.41 billion, also slightly ahead of Wall Street’s forecasts. The company credited the solid numbers to expanding international sales and a cost-cutting initiative that saved the company $50 million in 2006.

Shares in Avery were up $2.51 to $70.98 in midday trading Tuesday.