Exhibit 99.1
NORDSON CORPORATION'S SECOND QUARTER SALES, NET INCOME AND EARNINGS ACHIEVE
NEW RECORD LEVELS
WESTLAKE, Ohio, May 24 /PRNewswire-FirstCall/ -- Nordson Corporation
(Nasdaq: NDSN) today announced record sales and earnings for the second quarter,
which ended May 1, 2005. On a diluted basis, earnings per share for the quarter
were $.47 compared with $.46 for the second quarter of 2004.
Worldwide sales for the second quarter of 2005 reached a record $207.6
million, a 6 percent increase over sales of $196.6 million for the same period
of 2004. Volume gains were 3 percent, with the remainder of the increase
resulting from currency effects associated with a weaker U.S. dollar.
Sales volume for the company's Finishing Systems segment increased by 17
percent and volume for its Advanced Technology segment was up 2 percent. Sales
volume for the company's Adhesive Dispensing segment was flat relative to a year
ago.
On a geographic basis, second quarter sales volume was up 11 percent in the
United States and 3 percent in the Americas. Sales volume decreased 1 percent
and 8 percent in Europe and Japan respectively, while volume was up 5 percent in
the Asia Pacific Region.
Backlog at the end of the second quarter was approximately $95 million, up
$16 million from the beginning of the fiscal year calculated at constant
exchange rates.
For the first half of 2005, sales were a record $397.8 million, an 8
percent increase over the same period of the prior year. Sales volume increased
5 percent with favorable currency effects accounting for the balance.
Year-to-date earnings per share on a diluted basis were $.86, also a record,
compared with $.73 for the same period last year.
"Strong performance in the United States helped mitigate the effect of a
softening business environment in both Europe and Japan. Although the
performance of our Adhesive System businesses was adversely impacted by the
business climate in these regions, we are encouraged with the continued strong
pace of order activity in the United States, especially within our Advanced
Technology segment," said Edward P. Campbell, Nordson Chairman and Chief
Executive Officer.
"We continue to expect sales volume growth for the fiscal year, exclusive
of acquisitions, to be in the four percent to five percent range," Campbell
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
25, 2005, at 8:30 a.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 is one of the world's leading producers of precision
dispensing equipment that applies adhesives, sealants and coatings to a broad
range of consumer and industrial products during manufacturing operations. The
company also manufactures technology-based systems for curing and surface
treatment processes. Headquartered in Westlake, Ohio, Nordson has 3,500
employees worldwide, and direct operations and sales support offices in 30
countries.
A summary of sales, income and earnings is presented in the attached
tables.
Contact: Derrick Johnson, Director, Corporate Communications
Phone: (440) 414-5639
E-mail: djohnson@nordson.com
SECOND QUARTER PERIOD NORDSON CORPORATION
Period Ending May 1, 2005 FINANCIAL HIGHLIGHTS
(Unaudited) (Dollars in thousands except for
per-share amounts)
CONSOLIDATED STATEMENT OF INCOME
Second Quarter Year-to-Date
------------------------ -------------------------
2005 2004 2005 2004
---------- ---------- ---------- -----------
Net sales $ 207,623 $ 196,602 $ 397,789 $ 367,242
Cost of sales 92,068 83,976 175,693 161,743
Selling & administrative expenses 87,377 84,499 170,168 159,232
Operating profit 28,178 28,127 51,928 46,267
Interest expense - net (3,032) (3,408) (5,982) (7,223)
Other income - net 747 166 1,230 265
Income before income taxes 25,893 24,885 47,176 39,309
Income taxes 8,415 8,212 15,332 12,972
Net income $ 17,478 $ 16,673 $ 31,844 $ 26,337
Return on sales 8% 8% 8% 7%
Return on average shareholders'
equity 16% 19% 15% 16%
Average common shares outstanding
(000's) 36,320 35,372 36,273 34,970
Average common shares and
common share equivalents (000's) 37,146 36,475 37,173 36,053
Per share:
Basic earnings $ .48 $ .47 $ .88 $ .75
Diluted earnings $ .47 $ .46 $ .86 $ .73
Dividends paid $ .16 $ .16 $ .32 $ .31
CONSOLIDATED BALANCE SHEET
May 1, October 31
2005 2004
---------- ----------
Cash and marketable securities $ 95,172 $ 60,579
Receivables 163,698 175,013
Inventories 87,289 85,330
Other current assets 45,136 43,350
Total current assets 391,295 364,272
Property, plant & equipment - net 113,123 111,607
Other assets 364,504 364,669
$ 868,922 $ 840,548
Notes payable and debt due within one year $ 27,834 $ 27,591
Accounts payable and accrued liabilities 158,689 169,319
Total current liabilities 186,523 196,910
Long-term debt 147,468 148,033
Other liabilities 102,831 92,272
Total shareholders' equity 432,100 403,333
$ 868,922 $ 840,548
Other information:
Employees 3,555 3,544
Common shares outstanding (000's) 36,475 36,279
SECOND QUARTER PERIOD NORDSON CORPORATION
Period Ending May 1, 2005 FINANCIAL HIGHLIGHTS
(Unaudited) (Dollars in thousands)
Second Quarter % Growth over 2004
----------------------- ------------------------------------
SALES BY BUSINESS SEGMENT 2005 2004 Volume Currency Total
- ----------------------------------- ---------- ---------- ---------- ---------- ----------
Adhesive dispensing &
nonwoven fiber systems $ 125,933 $ 121,797 0.2% 3.2% 3.4%
Finishing & coating systems 34,856 29,140 16.7% 2.9% 19.6%
Advanced technology systems 46,834 45,665 1.8% 0.8% 2.6%
Total sales by business segment $ 207,623 $ 196,602 3.0% 2.6% 5.6%
Year-to-Date % Growth over 2004
----------------------- ------------------------------------
SALES BY BUSINESS SEGMENT 2005 2004 Volume Currency Total
- ----------------------------------- ---------- ---------- ---------- ---------- ----------
Adhesive dispensing &
nonwoven fiber systems $ 240,895 $ 227,898 1.9% 3.8% 5.7%
Finishing & coating systems 68,544 58,340 14.4% 3.1% 17.5%
Advanced technology systems 88,350 81,004 8.0% 1.1% 9.1%
Total sales by business segment $ 397,789 $ 367,242 5.2% 3.1% 8.3%
Second Quarter Year-to-Date
----------------------- -----------------------
OPERATING PROFIT BY BUSINESS SEGMENT 2005 2004 2005 2004
- ------------------------------------ ---------- ---------- ---------- ----------
Adhesive dispensing & nonwoven fiber
systems $ 24,174 $ 24,867 $ 42,517 $ 39,669
Finishing & coating systems 267 (866) 962 (297)
Advanced technology systems 9,482 10,893 16,344 15,892
Corporate (5,745) (6,767) (7,895) (8,997)
Total operating profit by business
segment $ 28,178 $ 28,127 $ 51,928 $ 46,267
Second Quarter % Growth over 2004
----------------------- ------------------------------------
SALES BY GEOGRAPHIC REGION 2005 2004 Volume Currency Total
- ----------------------------------- ---------- ---------- ---------- ---------- ----------
United States $ 71,651 $ 64,433 11.2% - 11.2%
Americas 13,630 12,856 3.1% 2.9% 6.0%
Europe 76,574 73,925 -1.5% 5.1% 3.6%
Japan 20,295 21,564 -8.1% 2.2% -5.9%
Asia Pacific 25,473 23,824 4.9% 2.0% 6.9%
Total Sales by Geographic Region $ 207,623 $ 196,602 3.0% 2.6% 5.6%
Year-to-Date % Growth over 2004
----------------------- ------------------------------------
SALES BY GEOGRAPHIC REGION 2005 2004 Volume Currency Total
- ----------------------------------- ---------- ---------- ---------- ---------- ----------
United States $ 131,936 $ 122,346 7.8% - 7.8%
Americas 28,184 22,332 22.9% 3.3% 26.2%
Europe 147,402 139,800 -1.0% 6.4% 5.4%
Japan 41,764 39,636 2.9% 2.5% 5.4%
Asia Pacific 48,503 43,128 10.9% 1.6% 12.5%
Total Sales by Geographic Region $ 397,789 $ 367,242 5.2% 3.1% 8.3%
Second Quarter Year-to-Date
----------------------- -----------------------
SELECTED SUPPLEMENTAL INFORMATION 2005 2004 2005 2004
- ----------------------------------- ---------- ---------- ---------- ----------
Depreciation and amortization $ 6,395 $ 6,734 $ 12,782 $ 13,794
Capital expenditures $ 5,195 $ 2,369 $ 8,331 $ 4,873
Dividends paid $ 5,814 $ 5,451 $ 11,614 $ 10,802
SOURCE Nordson Corporation
-0- 05/24/2005
/CONTACT: Derrick Johnson, Director, Corporate Communications of Nordson
Corporation, +1-440-414-5639, or djohnson@nordson.com /
/Web site: http://www.nordson.com /