Exhibit 99
Nordson's Second-Quarter Revenue Climbs 18 Percent; Net Income Doubles
as Sales, Net Income and Earnings per Share Achieve Record Levels
WESTLAKE, Ohio, May 26 /PRNewswire-FirstCall/ -- Nordson Corporation
(Nasdaq: NDSN) today announced record sales, net income and earnings per share
for the second quarter, which ended May 2, 2004. Net income grew to $16.7
million, more than double the $8.1 million earned in the prior year. Diluted
earnings per share were $.46, compared with $.24 for the second quarter of
2003, an increase of 92 percent.
Worldwide sales for the second quarter reached a record $196.6 million, an
18 percent increase over sales of $166.7 million for the same period of 2003.
Sales volume grew 11 percent, traced primarily to continued strength in the
industrial and technology sectors of the economy with the remainder owing to
the translation of revenue denominated in various foreign currencies.
Second-quarter sales volume for the company's Advanced Technology segment
grew 46 percent, while the Finishing and Adhesive Dispensing segments were up
4 percent and 2 percent, respectively.
On a geographic basis, second-quarter volume was up 1 percent in the
United States, 16 percent in the Americas, 6 percent in Europe, 12 percent in
Japan and 67 percent in the Asia-Pacific region.
Backlog at the end of the second quarter was $103 million, up $36 million
from the beginning of the fiscal year calculated at constant exchange rates.
For the first half of 2004, sales were $367.2 million, an 18 percent
increase over the same period of the prior year. Sales volume increased 10
percent with favorable currency effects accounting for the balance. Earnings
per share on a diluted basis were $.73, also a record, compared with $.39 for
the same period last year.
"The volume growth Nordson saw in the first quarter continued unabated in
the second quarter. The continued high pace of business activity in our
advanced technology segment, a favorable currency environment, expanded
margins, excellent cost controls and new market applications combined to
produce exceptional results for the second quarter and the first half," stated
Edward P. Campbell, chairman and chief executive officer. "In addition,
Nordson's strong market positions in Asia contributed substantially to the
increase in sales and earnings. We believe these factors will continue to
drive excellent revenue growth for the remainder of the fiscal year," he
added.
Nordson will broadcast its second-quarter conference call on the investor
relations page of the company's Web site, www.nordson.com , on Wednesday, May
26, 2004, at 2:00 p.m. EDT. For those unable to listen to the live broadcast,
a replay will be available for 14 days after the event. Information about
Nordson's investor relations and shareholder services is available from
Barbara Price, manager, shareholder relations, at (440) 414-5344.
Except for historical information and comparisons contained herein,
statements included in this release may constitute "forward-looking
statements," as defined by The Private Securities Litigation Reform Act of
1995. These statements involve a number of risks, uncertainties and other
factors, as discussed in the company's filings with the Securities and
Exchange Commission that could cause actual results to differ.
Nordson Corporation, now in its 50th year of operation, is the world's
leading producer of precision dispensing equipment used to apply adhesives,
sealants and coatings to a broad range of consumer and industrial products
during manufacturing operations, helping customers meet quality, productivity
and environmental targets. The company also manufactures technology-based
systems for curing and surface treatment processes. Headquartered in
Westlake, Ohio, Nordson has direct operations in 30 countries and 3,500
employees worldwide.
Contact: Bruce Waffen
Phone: (440) 414-5610
E-mail: bwaffen@nordson.com
A summary of sales, income and earnings is presented in the attached
tables.
NORDSON CORPORATION
FINANCIAL HIGHLIGHTS
(Dollars in thousands except for per-share amounts)
SECOND QUARTER PERIOD
Period Ending May 2, 2004
(Unaudited)
CONSOLIDATED STATEMENT OF INCOME
Second Quarter Year-to-Date
2004 2003 2004 2003
Net Sales $196,602 $166,679 $367,242 $312,002
Cost of sales 83,976 73,582 161,743 139,648
Selling & administrative expenses 84,499 76,053 159,232 144,172
Severance and restructuring costs - 1,446 - 1,468
Operating profit 28,127 15,598 46,267 26,714
Interest expense - net (3,408) (4,352) (7,223) (8,751)
Other income - net 166 827 265 1,557
Income before income taxes 24,885 12,073 39,309 19,520
Income taxes 8,212 3,983 12,972 6,441
Net income $16,673 $8,090 $26,337 $13,079
Return on sales 8% 5% 7% 4%
Return on average shareholders'
equity 19% 12% 16% 10%
Average common shares outstanding
(000's) 35,372 33,647 34,970 33,625
Average common shares and
common share equivalents (000's) 36,475 33,798 36,053 33,779
Per share:
Basic earnings $.47 $.24 $.75 $.39
Diluted earnings $.46 $.24 $.73 $.39
Dividends paid $.155 $.15 $.31 $.30
CONSOLIDATED BALANCE SHEET
May 2, 2004 November 2, 2003
Cash and marketable securities $33,325 $6,972
Receivables 155,341 151,740
Inventories 85,833 78,557
Prepaid expenses 41,386 40,101
Total current assets 315,885 277,370
Property, plant & equipment - net 112,273 115,255
Other assets 369,778 374,181
$797,936 $766,806
Notes payable and debt due within one year $23,865 $67,324
Accounts payable and accrued liabilities 157,506 144,338
Total current liabilities 181,371 211,662
Long-term debt 172,735 172,619
Other liabilities 82,826 82,416
Total shareholders' equity 361,004 300,109
$797,936 $766,806
Other information:
Employees 3,492 3,483
Common shares outstanding (000's) 35,657 34,035
NORDSON CORPORATION
FINANCIAL HIGHLIGHTS
(Dollars in thousands except for per-share amounts)
SECOND QUARTER PERIOD
Period Ending May 2, 2004
(Unaudited)
Second Quarter % Growth over 2003
SALES BY BUSINESS SEGMENT 2004 2003 Volume Currency Total
Adhesive dispensing &
nonwoven fiber systems $121,797 $109,612 2.3% 8.8% 11.1%
Coating & finishing systems 29,140 26,358 4.4% 6.2% 10.6%
Advanced technology systems 45,665 30,709 45.7% 3.0% 48.7%
Total sales by business
segment $196,602 $166,679 10.7% 7.3% 18.0%
OPERATING PROFIT BY Second Quarter
BUSINESS SEGMENT 2004 2003
Adhesive dispensing &
nonwoven fiber systems $24,867 $20,398
Coating & finishing systems (866) (1,230)
Advanced technology systems 10,893 3,474
Corporate (6,767) (7,044)
Total operating profit by
business segment $28,127 $15,598
Second Quarter % Growth over 2003
SALES BY GEOGRAPHIC REGION 2004 2003 Volume Currency Total
United States $64,433 $63,655 1.2% 0.0% 1.2%
Americas 12,856 10,611 15.6% 5.6% 21.2%
Europe 73,925 60,918 6.4% 15.0% 21.4%
Japan 21,564 17,708 12.1% 9.7% 21.8%
Asia Pacific 23,824 13,787 67.0% 5.8% 72.8%
Total Sales by Geographic
Region $196,602 $166,679 10.7% 7.3% 18.0%
SELECTED SUPPLEMENTAL Second Quarter
INFORMATION 2004 2003
Depreciation and
amortization $6,734 $7,155
Capital expenditures $2,369 $1,265
Dividends paid $5,451 $5,047
Year-to-Date % Growth over 2003
SALES BY BUSINESS SEGMENT 2004 2003 Volume Currency Total
Adhesive dispensing &
nonwoven fiber systems $227,898 $197,490 6.1% 9.3% 15.4%
Coating & finishing systems 58,340 55,332 -0.7% 6.1% 5.4%
Advanced technology systems 81,004 59,180 33.7% 3.2% 36.9%
Total sales by business
segment $367,242 $312,002 10.2% 7.5% 17.7%
OPERATING PROFIT BY BUSINESS Year-to-Date
SEGMENT 2004 2003
Adhesive dispensing &
nonwoven fiber systems $39,669 $30,775
Coating & finishing systems (297) (1,118)
Advanced technology systems 15,892 5,497
Corporate (8,997) (8,440)
Total operating profit by
business segment $46,267 $26,714
Year-to-Date % Growth over 2003
SALES BY GEOGRAPHIC REGION 2004 2003 Volume Currency Total
United States $122,346 $117,165 4.4% 0.0% 4.4%
Americas 22,332 20,138 5.6% 5.3% 10.9%
Europe 139,800 113,446 7.9% 15.3% 23.2%
Japan 39,636 35,626 1.3% 10.0% 11.3%
Asia Pacific 43,128 25,627 62.5% 5.8% 68.3%
Total Sales by Geographic
Region $367,242 $312,002 10.2% 7.5% 17.7%
SELECTED SUPPLEMENTAL Year-to-Date
INFORMATION 2004 2003
Depreciation and
amortization $13,794 $14,203
Capital expenditures $4,873 $2,257
Dividends paid $10,802 $10,085
SOURCE Nordson Corporation
-0- 05/26/2004
/CONTACT: Bruce Waffen of Nordson Corporation, +1-440-414-5610, or
bwaffen@nordson.com /
/Web site: http://www.nordson.com /
(NDSN)
CO: Nordson Corporation
ST: Ohio
IN: CST MAC
SU: ERN CCA MAV