Financial Data and Key Metrics Changes - Sales for Q4 2025 were $752 million, up 1% from $744 million in Q4 2024, with organic sales decreasing by 1% [10] - Full year sales reached a record $2.8 billion, an increase of 4% year-over-year, with adjusted earnings per share growing 9% to $3.03 in Q4 [5][18] - EBITDA for Q4 was $256 million, representing a 34% margin, and full year EBITDA was $900 million, or 32% of sales [5][19] Business Line Data and Key Metrics Changes - Industrial Precision Solutions (IPS) sales decreased 2% to $362 million, with organic sales down nearly 4% [14] - Medical and Fluid Solutions sales increased 10% to $220 million, with organic sales up 7% [15] - Advanced Technology Solutions (ATS) sales decreased 4% to $171 million, with organic sales down approximately 5% [17] Market Data and Key Metrics Changes - The company reported a 5% increase in backlog year-over-year, with approximately $600 million in backlog entering fiscal 2026 [27] - Currency translation positively impacted sales by 2% in Q4 2025 [10] Company Strategy and Development Direction - The Ascend strategy has been pivotal in achieving record sales and EBITDA, with a focus on operational excellence and strategic M&A [7][19] - The company aims for average annual revenue growth of 6%-8% and adjusted EPS growth of 10%-12% from 2025 to 2029 [24] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in navigating macroeconomic challenges and highlighted strong demand in core markets, particularly in medical and semiconductor applications [25][26] - The company anticipates returning to normal growth rates in IPS and mid-single digit organic growth in medical [25][26] Other Important Information - The company generated record cash flow of $194 million in Q4, with a cash conversion rate of 128% [5] - Share repurchases totaled approximately $300 million, and dividends were increased for the 62nd consecutive year [9][22] Q&A Session Summary Question: Insights on ATS segment and semiconductor applications - Management noted that strength remains in semiconductor applications, particularly for AI and cloud computing, while automotive demand is stabilizing [33] Question: Margin trajectory for 2026 - Management indicated that margins in IPS and ATS are expected to be sustainable, while medical margins may stabilize in the upper 30% range [34] Question: Polymer processing outlook - Management expects improvement in polymer processing order entry and backlog, indicating that the segment has troughed [40] Question: X-ray inspection business performance - Management highlighted that X-ray inspection has solid exposure to both semiconductor and automotive markets, with new product launches expected to drive growth [50] Question: M&A strategy and stock buyback - Management confirmed a robust M&A pipeline while balancing share repurchases, emphasizing the importance of strategic and financial discipline [54][56] Question: Guidance rationale and market sensitivity - Management explained that guidance reflects a range of potential outcomes, planning for both upside and downside scenarios [62]

Financial Data and Key Metrics Changes - Sales for Q4 2025 were $752 million, up 1% from $744 million in Q4 2024, with organic sales decreasing by 1% [10] - Adjusted earnings per share grew 9% year-over-year to $3.03, exceeding the midpoint of quarterly guidance [12] - Full year sales reached a record $2.8 billion, up 4% from the previous year, with adjusted diluted earnings per share of $10.24, also up 5% [18][19] Business Line Data and Key Metrics Changes - Industrial Precision Solutions (IPS) sales decreased 2% to $362 million, with organic sales down nearly 4% [13] - Medical and Fluid Solutions sales increased 10% to $220 million, with organic sales volume up 7% [14] - Advanced Technology Solutions (ATS) sales decreased 4% to $171 million, with organic sales down approximately 5% [17] Market Data and Key Metrics Changes - The company reported a 5% year-over-year increase in backlog, reaching approximately $600 million [26] - Currency translation positively impacted sales by 2% during the quarter [10] - The company noted stabilization in demand for automotive and polymer processing end markets [24] Company Strategy and Development Direction - The Ascend strategy has been pivotal in achieving record sales and EBITDA, with a focus on operational excellence and strategic M&A [6][8] - The company aims for average annual revenue growth of 6%-8% and adjusted EPS growth of 10%-12% from 2025 to 2029 [23] - The company is positioned to capitalize on profitable growth opportunities as key market headwinds have subsided [22] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the ability to convert market opportunities into bottom-line results, anticipating a strong start to fiscal 2026 [22][26] - The company highlighted that customer destocking in the medical segment is behind them, with expectations for mid-single-digit organic growth [24] - Management acknowledged the importance of planning for both upside and downside scenarios in guidance, reflecting a cautious yet optimistic outlook [44][45] Other Important Information - The company generated record cash flow of $194 million in Q4, with a conversion rate of 128% to net income [5] - Free cash flow for the full year was a record $661 million, enabling share repurchases and dividend increases [21] - The company ended the year with a leverage ratio of 2.1 times, near the low end of its targeted range [20] Q&A Session Summary Question: Insights on ATS segment and semiconductor applications - Management noted that strength remains concentrated in semiconductor applications for AI and cloud computing, with automotive stabilizing [29][30] Question: Margin trajectory for 2026 - Management indicated that margins in IPS and ATS are expected to be sustainable, with upper 30s% margins in the medical segment being achievable [31][32] Question: Polymer processing outlook - Management stated that polymer processing has troughed, with expectations for improvement in order entry and backlog [33][52] Question: Guidance rationale - Management explained that guidance reflects a range of potential outcomes, planning for both upside and downside scenarios [44][45] Question: Backlog trends - Management confirmed that backlog is down sequentially, which is typical for Q1, but up 5% year-over-year [55]

Group 1 - The article does not provide any specific content related to a company or industry [1]

Financial Performance Highlights - Fourth quarter sales reached $752 million, a 1% increase year-over-year, inclusive of divestiture[7] - Adjusted EPS for the fourth quarter was $3.03, a 9% increase year-over-year, hitting the high-end of guidance[7] - Fiscal year 2025 saw record sales of $2.8 billion, a 4% increase year-over-year[9] - Adjusted EPS for fiscal year 2025 increased by 5% year-over-year, exceeding the midpoint of earnings targets[9] - Record EBITDA of $900 million was achieved in fiscal year 2025[9, 35] Cash Flow and Capital Allocation - Record fourth quarter Free Cash Flow (FCF) of $194 million, resulting in a strong FCF conversion of 128%[7] - Fiscal year 2025 free cash flow reached $661 million, with a conversion rate of 136%[9, 42] - Approximately $300 million was allocated to share repurchases in fiscal year 2025[9] Segment Performance - Medical and Fluid Solutions (MFS) sales increased by 10% in the fourth quarter, reaching $220 million[22] - Industrial Precision Solutions (IPS) sales were $362 million, a decrease of 2%[17] - Advanced Technology Solutions (ATS) sales were $171 million, a decrease of 4%[28] Future Outlook - Fiscal year 2026 sales are projected to grow by 1% to 6%[53] - Adjusted earnings are expected to grow by 6% to 12% in fiscal year 2026[53]

Core Insights - Nordson reported revenue of $751.82 million for the quarter ended October 2025, reflecting a year-over-year increase of 1% and an EPS of $3.03 compared to $2.78 a year ago [1] - The revenue fell short of the Zacks Consensus Estimate of $769 million, resulting in a surprise of -2.23%, while the EPS exceeded the consensus estimate of $2.93 by 3.41% [1] Financial Performance - Net Sales for Industrial Precision Solutions were $361.71 million, slightly above the average estimate of $360.05 million, but represented a year-over-year decline of 7.8% [4] - Net Sales for Advanced Technology Solutions reached $170.61 million, below the average estimate of $180.73 million, showing a year-over-year increase of 12.2% [4] - Net Sales for Medical and Fluid Solutions amounted to $219.5 million, also below the average estimate of $228.03 million, with a year-over-year increase of 9.6% [4] Stock Performance - Over the past month, Nordson's shares have returned -1.3%, contrasting with the Zacks S&P 500 composite's increase of 1.8% [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating expected performance in line with the broader market in the near term [3]

Group 1: Earnings Performance - Nordson reported quarterly earnings of $3.03 per share, exceeding the Zacks Consensus Estimate of $2.93 per share, and up from $2.78 per share a year ago, representing an earnings surprise of +3.41% [1] - The company posted revenues of $751.82 million for the quarter ended October 2025, which missed the Zacks Consensus Estimate by 2.23%, compared to year-ago revenues of $744.48 million [2] Group 2: Stock Performance and Outlook - Nordson shares have increased by approximately 11.6% since the beginning of the year, while the S&P 500 has gained 16.3% [3] - The current consensus EPS estimate for the upcoming quarter is $2.25 on revenues of $649.5 million, and for the current fiscal year, it is $11.05 on revenues of $2.94 billion [7] Group 3: Industry Context - The Manufacturing - General Industrial industry, to which Nordson belongs, is currently ranked in the bottom 30% of over 250 Zacks industries, indicating potential challenges for stock performance [8]

Financial Performance - Fourth quarter sales were $752 million, a 1% increase from $744 million in the prior year[1] - Net income for the fourth quarter was $152 million, or $2.69 per diluted share, compared to $122 million, or $2.12 per diluted share in the prior year[2] - Adjusted earnings per diluted share increased by 9% to $3.03 from $2.78 in the prior year[2] - Full year sales reached a record $2.8 billion, a 4% increase compared to the previous year[9] - Full year adjusted earnings per diluted share were $10.24, a 5% increase from $9.73 in the prior year[10] - EBITDA for the fourth quarter was $256 million, representing 34% of sales, up from $241 million or 32% of sales in the prior year[3] - Net income for the twelve months ended October 31, 2025, was $484,474, an increase of 3.5% compared to $467,284 for the same period in 2024[26] - Total sales for the twelve months ended October 31, 2025, reached $2,791,687, representing a 3.8% increase from $2,689,921 in 2024[28] - The company reported a diluted earnings per share of $8.51 for the twelve months ended October 31, 2025, compared to $8.11 in 2024, marking a 4.9% increase[32] Segment Performance - The Industrial Precision Solutions segment saw a 2% decrease in sales to $362 million, while Medical and Fluid Solutions increased by 10% to $220 million[5][6] - The Medical and fluid solutions segment saw a sales increase of 20.1% for the twelve months ended October 31, 2025, reaching $835,385 compared to $695,452 in 2024[28] - The company experienced a total sales decline of 1.1% in the three months ended October 31, 2025, compared to the same period in 2024[28] Cash Flow and Investments - The company achieved a free cash flow conversion rate of 136% of net income, totaling $661 million for the full year[11] - Cash flows from operating activities for the twelve months ended October 31, 2025, were $719,175, up from $556,193 in 2024, indicating a 29.2% increase[26] - Year-to-date net cash provided by operating activities increased to $719,175,000 compared to $516,264,000 in the previous year[34] - Year-to-date free cash flow reached $661,115,000, up from $467,262,000 year-over-year[34] - Quarter-to-date free cash flow was reported at $193,853,000[34] - Net cash used in investing activities for the twelve months ended October 31, 2025, was $(26,690), significantly improved from $(844,398) in 2024[26] - Additions to property, plant, and equipment year-to-date totaled $58,060,000, compared to $49,002,000 in the previous year[34] Future Outlook - The company expects fiscal 2026 sales to range between $2,830 million and $2,950 million, with adjusted earnings forecasted between $10.80 and $11.50 per diluted share[14] - The backlog for fiscal 2026 is approximately $600 million, a 5% increase from the prior year[13] Balance Sheet Highlights - Total current assets decreased to $1,242,851 as of October 31, 2025, down from $1,275,032 in 2024, reflecting a decline of 2.5%[24] - Long-term debt decreased to $1,681,254 as of October 31, 2025, down from $2,101,197 in 2024, a reduction of 20%[24] - Total shareholders' equity increased to $3,043,571 as of October 31, 2025, compared to $2,932,192 in 2024, reflecting a growth of 3.8%[24] Non-GAAP Measures - The company emphasizes the importance of non-GAAP measures for evaluating ongoing operations and future forecasts[34] - Management believes non-GAAP measures are useful for investors to assess changes in the company's core business over time[34]

Core Insights - Nordson Corporation reported a 1% increase in fourth quarter sales for fiscal year 2025, reaching $752 million compared to $744 million in the previous year, influenced by favorable currency translation and acquisition impacts, but offset by a divestiture and organic sales decrease [1][2][4] - The company achieved a record net income of $152 million for the fourth quarter, translating to earnings per diluted share of $2.69, up from $122 million and $2.12 in the prior year [2][9] - Adjusted net income for the fourth quarter was $171 million, a 6.9% increase from $160 million in the previous year, with adjusted earnings per diluted share rising 9% to $3.03 [2][26] Financial Performance - EBITDA for the fourth quarter was $256 million, representing 34% of sales, an increase of 6% from $241 million or 32% of sales in the prior year [3][10] - For the full fiscal year 2025, total sales reached a record $2.8 billion, a 4% increase from the previous year, driven by a favorable acquisition impact of 6% despite a 3% decrease in organic volume [8][9] - Full-year EBITDA was $900 million, maintaining a margin of 32%, consistent with the previous year [10] Segment Performance - Industrial Precision Solutions sales decreased by 2% to $362 million, impacted by a 4% organic sales decline, while EBITDA remained stable at $137 million [5][17] - Medical and Fluid Solutions saw a 10% increase in sales to $220 million, with organic sales growth of 7% and EBITDA rising to $88 million, a margin increase of 380 basis points [6][18] - Advanced Technology Solutions experienced a 4% sales decline to $171 million, with EBITDA decreasing to $43 million, reflecting a margin drop [7][19] Outlook - The company enters fiscal 2026 with a backlog of approximately $600 million, a 5% increase from the prior year [12] - Sales for fiscal 2026 are projected to be between $2.83 billion and $2.95 billion, with adjusted earnings forecasted in the range of $10.80 to $11.50 per diluted share [13][14] - Management expressed optimism for solid growth in 2026, supported by the implementation of the Ascend Strategy and a focus on shareholder value through strategic capital deployment [14]

Group 1 - Nordson Corporation is set to release its fourth-quarter earnings results on December 10, with analysts expecting earnings of $2.93 per share, an increase from $2.78 per share in the same period last year [1] - The consensus estimate for Nordson's quarterly revenue is $760.98 million, compared to $744.48 million a year earlier [1] Group 2 - On August 20, Nordson reported strong third-quarter results and authorized a $500 million share repurchase [2] - Following the announcement, Nordson shares experienced a slight decline of 0.4%, closing at $233.44 [2] Group 3 - Oppenheimer analyst Christopher Glynn maintained an Outperform rating and raised the price target from $260 to $275 [5] - Baird analyst Michael Halloran maintained a Neutral rating and increased the price target from $245 to $252 [5] - Keybanc analyst Jeffrey Hammond maintained an Overweight rating and raised the price target from $230 to $250 [5] - Loop Capital analyst Chris Dankert upgraded the stock from Hold to Buy and increased the price target from $255 to $280 [5] - Seaport Global analyst Walt Liptak upgraded the stock from Neutral to Buy with a price target of $250 [5]

Group 1 - The article does not provide any relevant content regarding company or industry insights [1]