Nordson's Q3 Earnings & Revenues Surpass Estimates, Increase Y/Y

Core Insights - Nordson Corporation's adjusted earnings for Q3 fiscal 2025 were $2.73 per share, exceeding the Zacks Consensus Estimate of $2.63, marking a 13% year-over-year increase [1][9] Quarterly Results of Nordson - Revenues reached $742 million, a 12% increase from the previous year, driven by the Advanced Technology Solutions segment and contributions from acquisitions, surpassing the consensus estimate of $717 million [2][9] - Organic sales grew by 2% year-over-year, with strong demand in the Asia-Pacific region, while acquisitions contributed an 8% increase and foreign currency translation added 2% [2] Regional Performance - Asia Pacific revenues were $240.3 million, up 23.1% year-over-year; Europe revenues increased 4% to $186.6 million; and Americas revenues rose 9.6% to $314.6 million [3] Segment Performance - Industrial Precision Solutions revenues were $350.8 million, up 0.5%, contributing 47.3% to total revenues [3] - Medical and Fluid Solutions revenues reached $219.5 million, a 31.6% increase, contributing 29.6% to total revenues [4] - Advanced Technology Solutions sales were $171.3 million, up 17.4%, representing 23.1% of total revenues [5] Margin Profile - Cost of sales increased by 14.5% to $335 million, while gross profit rose 10.2% to $406.5 million, resulting in a gross margin decrease of 100 basis points to 54.8% [6] - Selling and administrative expenses increased 2.3% to $206.5 million; adjusted EBITDA was $238.5 million, up 14.6%, with a margin of 32.2% [7] Balance Sheet & Cash Flow - Cash and cash equivalents at the end of Q3 were $147.8 million, up from $116 million at the end of fiscal 2024; long-term debt decreased to $1.79 billion from $2.10 billion [10] - In the first nine months of fiscal 2025, net cash generated from operating activities was $516.3 million, a 12.3% increase year-over-year [11] Dividends and Share Buyback - Nordson paid out $133 million in dividends, a 13.9% increase from the previous year; treasury share purchases amounted to $218.2 million, significantly up from $34.1 million [12] Outlook - For fiscal 2025, Nordson projects sales between $2.75 billion and $2.87 billion, with adjusted earnings expected to be between $9.70 and $10.50 per share [13]