Exhibit 99.1
NORDSON CORPORATION THIRD-QUARTER SALES, NET INCOME AND EARNINGS
PER SHARE ANNOUNCED
WESTLAKE, Ohio, Aug. 23 /PRNewswire-FirstCall/ -- Nordson Corporation
(Nasdaq: NDSN) today announced record sales, net income and earnings per share
for its third quarter, which ended July 31, 2005. Net income grew to $18.6
million, which increased $1.3 million from the $17.3 million earned in the prior
year. Diluted earnings per share were $.50 compared with $.47 for the third
quarter of 2004. Current period results include a favorable earnings per share
effect of $.03 related to the recognition of foreign tax credits net of higher
state income tax expense.
Worldwide sales for the third quarter reached $201.6 million, a 2 percent
increase over sales of $197.9 million for the same period of 2004. The increase
was attributable to favorable currency associated with a weaker U.S. dollar
relative to the third quarter of 2004.
Third-quarter sales volume for the company's advanced technology segment was
up 19 percent while volume in the finishing and adhesive dispensing segments was
down 1 percent and 6 percent, respectively.
On a geographic basis, third-quarter volume was 22 percent higher in the
Asia-Pacific region, up 8 percent in Japan, flat in the United States, and down
10 percent and 7 percent in the Americas and Europe, respectively.
Backlog at the end of the third quarter was approximately $107 million, up
$30 million from the beginning of the fiscal year calculated at constant
exchange rates.
For the first three quarters of 2005, sales were $599 million, a 6 percent
increase over the same period of the prior year. Sales volume increased 3
percent with favorable currency effects accounting for the balance. Earnings per
share on a diluted basis were $1.36 compared with $1.20 for the same period last
year.
"We are pleased with the exceptional performance of our Advanced Technology
segment, which experienced both strong sales growth and operating improvement,"
said Edward P. Campbell, Chairman and Chief Executive Officer. "The performance
of this segment served to offset a decline in engineered system shipments within
our Adhesive Dispensing segment," Campbell added.
Nordson will broadcast its third quarter conference call on the investor
relations page of the company's Web site, www.nordson.com, on Wednesday, August
24, 2005, at 8:30 a.m. EDT. For persons 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 more than
3,600 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
THIRD QUARTER PERIOD NORDSON CORPORATION
Period Ending July 31, 2005 FINANCIAL HIGHLIGHTS
(Dollars in thousands except for per-
(Unaudited) share amounts)
CONSOLIDATED STATEMENT OF INCOME
Third Quarter Year-to-Date
----------------------- -----------------------
2005 2004 2005 2004
---------- ---------- ---------- ----------
Net Sales $ 201,570 $ 197,949 $ 599,359 $ 565,191
Cost of sales 87,748 85,835 263,441 247,578
Selling & administrative expenses 85,794 83,261 255,962 242,493
Operating profit 28,028 28,853 79,956 75,120
Interest expense - net (2,787) (3,434) (8,769) (10,657)
Other income (expense) - net (130) 363 1,100 628
Income before income taxes 25,111 25,782 72,287 65,091
Income taxes 6,520 8,508 21,852 21,480
Net income $ 18,591 $ 17,274 $ 50,435 $ 43,611
Return on sales 9% 9% 8% 8%
Return on average shareholders'
equity 17% 19% 16% 17%
Average common shares outstanding
(000's) 36,208 35,861 36,251 35,267
Average common shares and
common share equivalents (000's) 36,843 37,049 37,063 36,385
Per share:
Basic earnings $ .51 $ .48 $ 1.39 $ 1.24
Diluted earnings $ .50 $ .47 $ 1.36 $ 1.20
Dividends paid $ .16 $ .155 $ .48 $ .465
CONSOLIDATED BALANCE SHEET
July 31, October 31,
2005 2004
----------- -----------
Cash and marketable securities $ 99,672 $ 60,579
Receivables 156,509 175,013
Inventories 90,530 85,330
Other current assets 45,919 43,350
Total current assets 392,630 364,272
Property, plant & equipment - net 109,429 111,607
Other assets 367,164 364,669
$ 869,223 $ 840,548
Notes payable and debt due within one year $ 68,233 $ 27,591
Accounts payable and accrued liabilities 164,197 169,319
Total current liabilities 232,430 196,910
Long-term debt 101,420 148,033
Other liabilities 103,148 92,272
Total shareholders' equity 432,225 403,333
$ 869,223 $ 840,548
Other information:
Employees 3,641 3,544
Common shares outstanding (000's) 36,312 36,279
THIRD QUARTER PERIOD NORDSON CORPORATION
Period Ending July 31, 2005 FINANCIAL HIGHLIGHTS
(Unaudited) (Dollars in thousands)
Third Quarter % Growth over 2004
----------------------- ------------------------------------
SALES BY BUSINESS SEGMENT 2005 2004 Volume Currency Total
- ----------------------------------- ---------- ---------- ---------- ---------- ----------
Adhesive dispensing &
nonwoven fiber systems $ 119,093 $ 123,665 -6.3% 2.6% -3.7%
Finishing & coating systems 32,514 32,227 -1.2% 2.1% 0.9%
Advanced technology systems 49,963 42,057 18.5% 0.3% 18.8%
Total sales by business segment $ 201,570 $ 197,949 -0.2% 2.0% 1.8%
Year-to-Date % Growth over 2004
----------------------- ------------------------------------
SALES BY BUSINESS SEGMENT 2005 2004 Volume Currency Total
- ----------------------------------- ---------- ---------- ---------- ---------- ----------
Adhesive dispensing &
nonwoven fiber systems $ 359,988 $ 351,563 -1.0% 3.4% 2.4%
Finishing & coating systems 101,058 90,567 8.9% 2.7% 11.6%
Advanced technology systems 138,313 123,061 11.6% 0.8% 12.4%
Total sales by business segment $ 599,359 $ 565,191 3.3% 2.7% 6.0%
Third Quarter Year-to-Date
----------------------- -----------------------
OPERATING PROFIT BY BUSINESS SEGMENT 2005 2004 2005 2004
- ------------------------------------ ---------- ---------- ---------- ----------
Adhesive dispensing & nonwoven
fiber systems $ 22,439 $ 24,924 $ 64,956 $ 64,593
Finishing & coating systems (530) (143) 432 (440)
Advanced technology systems 11,067 8,556 27,411 24,448
Corporate (4,948) (4,484) (12,843) (13,481)
Total operating profit by business
segment $ 28,028 $ 28,853 $ 79,956 $ 75,120
Third Quarter % Growth over 2004
----------------------- ------------------------------------
SALES BY GEOGRAPHIC REGION 2005 2004 Volume Currency Total
- ----------------------------------- ---------- ---------- ---------- ---------- ----------
United States $ 66,236 $ 66,205 - - -
Americas 14,156 15,107 -9.7% 3.4% -6.3%
Europe 72,086 74,953 -7.2% 3.4% -3.8%
Japan 20,369 18,601 7.9% 1.6% 9.5%
Asia Pacific 28,723 23,083 21.5% 2.9% 24.4%
Total Sales by Geographic Region $ 201,570 $ 197,949 -0.2% 2.0% 1.8%
Year-to-Date % Growth over 2004
----------------------- ------------------------------------
SALES BY GEOGRAPHIC REGION 2005 2004 Volume Currency Total
- ----------------------------------- ---------- ---------- ---------- ---------- ----------
United States $ 198,172 $ 188,551 5.1% - 5.1%
Americas 42,340 37,439 9.8% 3.3% 13.1%
Europe 219,488 214,753 -3.2% 5.4% 2.2%
Japan 62,133 58,237 4.5% 2.2% 6.7%
Asia Pacific 77,226 66,211 14.6% 2.0% 16.6%
Total Sales by Geographic Region $ 599,359 $ 565,191 3.3% 2.7% 6.0%
Third Quarter Year-to-Date
----------------------- -----------------------
SELECTED SUPPLEMENTAL INFORMATION 2005 2004 2005 2004
- ----------------------------------- ---------- ---------- ---------- ----------
Depreciation and amortization $ 6,335 $ 6,358 $ 19,117 $ 20,152
Capital expenditures $ 2,387 $ 2,186 $ 10,718 $ 7,059
Dividends paid $ 5,795 $ 5,539 $ 17,409 $ 16,341
SOURCE Nordson Corporation
-0- 08/23/2005
/CONTACT: Derrick Johnson, Director, Corporate Communications of Nordson
Corporation, +1-440-414-5639, or E-mail, djohnson@nordson.com /
/Web site: http://www.nordson.com/
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