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Nordson Corporation Q3 operating profit $103 million

Staff writer |
Nordson Corporation reported results for the third quarter of fiscal year 2015. Sales were $463 million, a 1 percent increase over the prior year’s third quarter.

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This change in sales included a 6 percent increase in organic volume, a 2 percent increase related to the first year effect of acquisitions, and a negative 7 percent impact related to the unfavorable effects of currency translation.

Operating profit was $103 million, net income was $69 million, and GAAP diluted earnings per share were $1.14.

Prior year third quarter sales, operating profit, net income and diluted earnings per share were $459 million, $114 million, $78 million and $1.21, respectively.

Diluted earnings per share in the current quarter include a $0.01 per share benefit related to a discrete tax item and a $0.03 per share charge related to restructuring and efficiency initiatives.

“Nordson delivered excellent organic growth of 6 percent in the third quarter compared to the prior year in a macroeconomic environment that remained challenging,” said Nordson president and chief executive officer Michael F. Hilton.

“Unfavorable currency translation continued to be a significant headwind given the strength of the U.S. dollar, negatively impacting revenue by 7 percent as compared to the prior year.

"From an operating perspective, we leveraged sequential revenue growth to generate operating margin of 22 percent in the third quarter, an increase of three percentage points compared to the second quarter. Earnings per share were impacted by one-time items related to operational and customer service continuous improvement initiatives within certain Advanced Technology segment product lines.

"Our approach to capital deployment in the quarter remained balanced, as we distributed approximately $13 million in dividends, invested $49 million for the repurchase of shares, and closed on the acquisition of Liquidyn, a German manufacturer of micro-dispensing valves that will add to our fluid management offering within the Advanced Technology segment.”


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