NASDAQ$NDSN

Nordson Corporation · Q2 2021 earnings

Q2 2021 earnings · · Investor relations

Briefing

Reported record results driven by robust growth in electronics and consumer non-durable end markets, as well as strengthening medical and industrial end markets.

Nordson Corporation reported record second-quarter results with sales reaching $590 million, an 11% increase over the prior year. Operating profit increased by 33% to $166 million, and earnings per share rose by 34% to $2.12. The company raised its fiscal year 2021 earnings guidance range by approximately 13% to $7.20 to $7.50 per diluted share.

  • Quarterly sales, operating profit, and earnings per share were all company records.
  • Sales were $590 million, an 11% increase over the prior year.
  • Operating profit was $166 million, a 33% increase over the prior year.
  • Earnings were $2.12 per diluted share, a 34% increase over the prior year.

Headline financials

Total Revenue

$590M

Previous: $529M+11.3%
EPS (adj)

$2.12

Previous: $1.58+34.2%
EBITDA

$192M

Previous: $152M+26.6%
Gross Margin

57.3%

No prior period
Capital Expenditures

-$18.7M

Previous: -$25.8M+27.5%
Free Cash Flow

$105M

Previous: $66.2M+59.1%
Net Income

$124M

Previous: $92.1M+34.8%
Operating Income

$166M

Previous: $125M+33.1%
Gross Profit

$338M

Previous: $290M+16.6%
Cash & Equivalents

$133M

Previous: $306M-56.5%
Total Assets

$3.59B

Previous: $3.74B-4.0%
Stock-Based Comp

$3.88M

Previous: -$72K+5484.7%

Revenue & EPS history

Nordson · Revenue · Quarterly

$590M

Q2 2021+11.3%vs Q2 2020
Beat estimate in 10 of 16 quarters(63%)
ActualEstimate

Revenue by segment

Nordson · $590M total across 2 segments · Q2 2021

  • Industrial Precision Solutions
    $299M+5.8%
  • Advanced Technology Solutions
    $291M+17.6%

Forward guidance

The company expects fiscal 2021 full year sales growth to be approximately 8% to 10% over fiscal year 2020, inclusive of a 3% headwind from the second quarter divestiture. Full year 2021 earnings per diluted share are forecasted to be in the range of $7.20 to $7.50, representing 31% to 37% growth over the prior year adjusted earnings.

Tailwinds

  • Order entry trends consistently improved throughout the second quarter of fiscal year 2021.
  • Order entry trends remain strong entering the third quarter.
  • Based on the current backlog, fiscal 2021 full year sales growth is expected to be approximately 8% to 10% over fiscal year 2020.
  • Full year 2021 earnings per diluted share are forecasted in the range of $7.20 to $7.50.
  • Forecasted earnings represent 31% to 37% growth over the prior year adjusted earnings.

Headwinds

  • Fiscal 2021 full year sales growth includes a 3% headwind from the second quarter divestiture of the screws and barrels product line.
  • U.S. and international economic conditions may impact results.
  • Financial and market conditions may impact results.
  • Currency exchange rates and devaluations may impact results.
  • Events beyond the company's control, such as political unrest, acts of terror, natural disasters and pandemics, including the current coronavirus (COVID-19) pandemic, may impact results.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q2 2021

Historical avgQ2 2021

+0.3%

Avg return

Earnings day

+0.4%

Avg return

5 days after

-0.3%

Avg return

30 days after

54%

37 / 69 earnings

Positive

+15.8%

Q4 2017

Best reaction

-14.8%

Q3 2015

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q2 2026+1.8%+8.9%+6.4%
Q1 2026-1.7%-1.5%-12.2%
Q4 2025-0.3%+0.0%+10.5%
Q3 2025+2.9%+6.0%+5.4%
Q2 2025+6.8%+8.5%+9.9%
Q1 2025+0.3%-1.3%-6.4%
Q4 2024-9.4%-11.4%-20.9%
Q3 2024+6.9%+7.4%+6.7%
Q2 2024-10.5%-12.4%-14.5%
Q1 2024+3.5%+2.6%+1.7%
Q4 2023+5.1%+7.1%+5.8%
Q3 2023+1.5%+2.7%-2.0%
Q2 2023+1.1%+1.7%+8.8%
Q1 2023-13.9%-10.5%-15.6%
Q4 2022+1.5%-2.1%+2.3%
Q3 2022-2.1%-4.7%-10.4%
Q2 2022+2.7%+7.1%-3.8%
Q1 2022-3.5%-0.9%-1.1%
Q4 2021-5.9%-7.2%-9.9%
Q3 2021+2.2%+3.4%+4.0%
Q2 2021+7.4%+9.8%+8.0%
Q1 2021-0.0%+2.4%+6.3%
Q4 2020-2.9%-0.5%+1.2%
Q3 2020-7.1%-8.5%-6.6%
Q2 2020+1.7%+1.0%+12.4%
Q1 2020-0.3%-4.6%-37.9%
Q4 2019-1.6%-0.5%-1.2%
Q3 2019-3.0%-4.6%+5.9%
Q2 2019-1.0%-5.4%-1.6%
Q1 2019-3.0%-0.5%-8.1%
Q4 2018+7.7%+3.7%+10.9%
Q3 2018-0.9%+0.7%+7.1%
Q2 2018-4.2%-5.5%-3.3%
Q1 2018-2.0%-1.3%-3.9%
Q4 2017+15.8%+14.5%+19.5%
Q3 2017-10.2%-12.3%-5.3%
Q2 2017-5.9%-7.6%-8.2%
Q1 2017+0.1%+0.5%+2.0%
Q4 2016+5.2%+7.2%+7.0%
Q3 2016+10.6%+8.0%+7.1%
Q2 2016+15.7%+16.8%+12.2%
Q1 2016+9.1%
Q4 2015-8.1%
Q3 2015-14.8%
Q2 2015-1.4%
Q1 2015+0.0%
Q4 2014+2.3%
Q3 2014+0.8%
Q2 2014+9.2%
Q1 2014+2.0%
Q4 2013-2.3%
Q3 2013+0.1%
Q2 2013-7.4%
Q1 2013-9.8%
Q4 2012-1.4%
Q3 2012+10.6%
Q2 2012+10.5%
Q1 2012+5.0%
Q4 2011-1.9%
Q3 2011-3.0%
Q2 2011-1.1%
Q1 2010+1.5%
Q1 2011+3.3%
Q4 2008+2.1%
Q2 2010+2.1%
Q4 2010+2.1%
Q3 2009+0.2%
Q3 2010+0.2%
Q4 2009+0.2%

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