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Oct 31, 2020

Nordson Q4 2020 Earnings Report

Nordson's Q4 2020 results reflected a decrease in sales and earnings compared to the prior year, impacted by weakness in industrial and automotive end markets, but showed continued strength in test and inspection product lines.

Key Takeaways

Nordson Corporation reported a 5% year-over-year decrease in sales to $559 million for the fourth quarter of fiscal year 2020. Earnings per share (EPS) were $0.31, while adjusted EPS was $1.59, an 11% decrease from the prior year. The company's performance was affected by weakness in industrial and automotive end markets, offset by strength in test and inspection product lines.

Sales decreased by 5% year-over-year to $559 million.

Operating profit was $37 million, or 7% of sales.

Adjusted earnings per share were $1.59, an 11% decrease from the prior year.

The company announced the divestiture of its screws and barrels product line.

Total Revenue
$559M
Previous year: $585M
-4.6%
EPS
$1.59
Previous year: $1.79
-11.2%
EBITDA
$159M
Previous year: $168M
-5.4%
Gross Profit
$297M
Previous year: $319M
-6.9%
Cash and Equivalents
$208M
Previous year: $151M
+37.8%
Free Cash Flow
$178M
Previous year: $128M
+38.8%
Total Assets
$3.67B
Previous year: $3.52B
+4.5%

Nordson

Nordson

Nordson Revenue by Geographic Location

Forward Guidance

The company expects fiscal 2021 first quarter sales growth of 2 to 3% over the prior year first quarter, with adjusted earnings growth in the range of 15 to 20%.

Positive Outlook

  • Expected fiscal 2021 first quarter sales growth of 2 to 3% over the prior year first quarter.
  • Anticipated adjusted earnings growth in the range of 15 to 20% for the first quarter of fiscal 2021.
  • Strong backlog entering the fiscal first quarter.
  • Trailing twelve-week order entry is 5% above prior year levels.
  • The company continues to make progress by deploying the NBS Next growth framework.

Challenges Ahead

  • No specific negatives were mentioned in the provided context.

Revenue & Expenses

Visualization of income flow from segment revenue to net income