Nordson Corporation (NASDAQ: NDSN) Q2 2025 Earnings Call | 5/29/2025

23 days ago

1:02:03

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Earnings Calls

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Nordson’s Q2 FY2025 earnings call reported sales of $683 million, up 5% year-over-year, driven by an 8% boost from the Atrion acquisition, offset by a 2% organic decline and 1% currency impact. Adjusted EBITDA was $217 million (32% margin), up 7%, fueled by strong Atrion performance and operational execution. Adjusted EPS rose 3% to $2.42, slightly above guidance. Industrial Precision Solutions sales fell 8% to $319 million due to weaker industrial coatings and polymer processing, though nonwovens and precision agriculture grew; EBITDA was $114 million (36% margin). Medical and Fluid Solutions sales grew 20% to $218 million, led by Atrion’s $51 million contribution, despite medical interventional declines; EBITDA was $77 million (38% margin). Advanced Technology Solutions sales rose 22% to $146 million, driven by semiconductor and electronics demand; EBITDA was $42 million (29% margin). Cash flow was $103 million, with $85 million in share repurchases and $44 million in dividends. Net debt was $3.2 billion, with a 2.4x EBITDA leverage ratio. The company divested select medical contract manufacturing product lines (2% of total sales) to focus on higher-growth medical components, expecting margin accretion. Q3 guidance projects sales of $710–$770 million and adjusted EPS of $2.60–$2.80. Tariffs had minimal impact, with Nordson’s in-region manufacturing and agile supply chain mitigating risks. The outlook reflects steady order growth in electronics, precision agriculture, and medical, but uncertainty persists due to potential trade policy shifts.

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Nordson Corporation (NASDAQ: NDSN) reported strong Q2 2025 results on May 29, 2025, with revenue rising 5% year-over-year to $683 million—exceeding guidance and analyst expectations. Adjusted earnings per share climbed 3% to $2.42, beating forecasts, while EBITDA reached $217 million with a robust 32% margin. The quarter’s growth was driven by the successful integration of the Atrion acquisition, which contributed 8% to sales and outperformed expectations, offsetting a 2% decline in organic sales and minor currency headwinds. Segment performance was mixed: Industrial Precision Solutions sales fell 8% due to weaker demand in industrial coatings and polymer processing, but saw sequential improvement as the South Carolina plant transition neared completion. Medical and Fluid Solutions sales jumped 20% (30% acquisition impact), with Atrion’s proprietary medical components leading the way, even as organic sales declined 10% amid destocking. Advanced Technology Solutions surged 18% organically, powered by strong semiconductor and electronics demand. Nordson maintained a solid financial position, ending the quarter with a leverage ratio of 2.4x, $130 million in cash, and $2.1 billion in net debt. Free cash flow was $103 million (92% conversion), and the company returned $85 million to shareholders via buybacks and paid $44 million in dividends. Following the results, Nordson’s stock surged nearly 10% as investors responded positively to operational execution, margin strength, and upbeat Q3 guidance: sales of $710–$750 million and adjusted EPS of $2.55–$2.75. Management emphasized ongoing order strength, a healthy backlog, and continued focus on high-value, differentiated products. While tariff and macroeconomic risks persist, Nordson’s operational excellence and strategic capital deployment position it well for continued growth. About Inside Ticker: For more expert analysis and real-time updates on Nordson Corporation (NASDAQ: NDSN) and other market movers, follow Inside Ticker and visit InsideTicker.com for in-depth reports, financial insights, and the latest news on leading companies. #Nordson #NDSN #EarningsCall #Q22025 #Atrion #Semiconductors #MedicalDevices #StockMarket #Investing #InsideTicker

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