NASDAQ$NDSN

Nordson Corporation · Q3 2022 earnings

Q3 2022 earnings · · Investor relations

Briefing

Reported record sales performance, driven by strong demand and strategic growth initiatives, despite facing currency headwinds and inflationary pressures.

Nordson Corporation reported record third-quarter results with sales of $662 million, a 2% increase over the prior year. Earnings per share were $2.45, and adjusted earnings per share were $2.49, a 3% increase year-over-year. The company is confirming its full-year fiscal 2022 guidance with revenue growth of 8% to 9% and adjusted earnings per diluted share growth of 18% to 21%.

  • Sales were $662 million, a 2% increase over prior year’s record sales.
  • Constant currency sales increased 7% over prior year’s record sales.
  • Earnings per share were $2.45 compared to $2.42 in the prior year.
  • Adjusted earnings were $2.49 per share, a 3% increase over the prior year.

Headline financials

Total Revenue

$662M

Previous: $647M+2.4%
EPS (adj)

$2.49

Previous: $2.42+2.9%
EBITDA

$213M

Previous: $215M-0.9%
Capital Expenditures

-$39.4M

Previous: -$28.1M-40.3%
Free Cash Flow

$102M

Previous: $114M-10.2%
Net Income

$142M

Previous: $142M-0.3%
Operating Income

$185M

Previous: $188M-1.8%
Gross Profit

$366M

Previous: $365M+0.1%
Cash & Equivalents

$129M

Previous: $174M-26.1%
Total Assets

$3.82B

Previous: $3.67B+4.2%
Stock-Based Comp

$7.62M

Previous: $4.08M+86.7%

Revenue & EPS history

Nordson · Revenue · Quarterly

$662M

Q3 2022+2.4%vs Q3 2021
Beat estimate in 11 of 16 quarters(69%)
ActualEstimate

Revenue by segment

Nordson · $662M total across 2 segments · Q3 2022

  • Industrial Precision Solutions
    $341M-1.3%
  • Advanced Technology Solutions
    $321M+6.5%

Forward guidance

The Company continues to be encouraged as order entry remained strong throughout the third quarter with a favorable book-to-bill ratio. For the full year, despite significant currency headwinds, the Company is confirming its previously issued revenue growth guidance of 8% to 9% over fiscal 2021 and adjusted earnings guidance growth in the range of 18% to 21%.

Tailwinds

  • Order entry remained strong throughout the third quarter.
  • Favorable book-to-bill ratio.
  • Backlog entering the fourth quarter of fiscal 2022 exceeds $1 billion.
  • Revenue growth guidance of 8% to 9% over fiscal 2021 is confirmed.
  • Adjusted earnings guidance growth in the range of 18% to 21% is confirmed.

Headwinds

  • Significant currency headwinds.
  • Extended shipment request dates in conjunction with large orders from its customers in electronics, industrial and medical end markets.
  • Inflation
  • Labor shortages
  • Increasing currency pressures

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 Q3 2022

Historical avgQ3 2022

+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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