Nordson Q2 2021 Earnings Report
Key Takeaways
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.
Nordson
Nordson
Nordson Revenue by Geographic Location
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.
Positive Outlook
- 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.
Challenges Ahead
- 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.
Revenue & Expenses
Visualization of income flow from segment revenue to net income