Exhibit 99
FOR IMMEDIATE RELEASE
NORDSON CORPORATION REPORTS FOURTH-QUARTER FINANCIAL RESULTS;
ACHIEVES RECORD SALES AND EARNINGS PER SHARE IN 2005 FISCAL YEAR
WESTLAKE, Ohio - December 13, 2005 - Nordson Corporation (Nasdaq:NDSN) today
reported record sales and earnings for the fourth quarter, which ended October
30, 2005. Sales for the fourth quarter reached $239.8 million, a 5 percent
increase over sales of $228.4 million for the same period of 2004. Virtually all
of this increase was attributed to volume growth.
On a diluted basis, fourth-quarter earnings per share were $.80, a 51 percent
increase over the prior year's $.53, which included a $3.3 million pretax
charge, or $.06 per share on an after-tax basis, related to a disposition of a
minority equity investment.
Fourth-quarter sales volume for the Advanced Technology segment was up 41
percent. Volume was down 4 percent in each of the Adhesive Dispensing and
Finishing and Coating segments. On a geographic basis, fourth-quarter volume was
up 6 percent in the United States, 18 percent in the Americas and 24 percent in
the Asia Pacific region. Volume was down in Europe and Japan by 2 percent and 5
percent, respectively.
Annual sales for the fiscal year, which ended October 30, 2005, were a record
$839.2 million, a 6 percent increase from fiscal 2004 sales of $793.5 million.
Sales volume was up 4 percent, while favorable currency effects contributed an
additional 2 percent to sales growth. On a diluted basis, earnings per share for
the year were a record $2.14, compared with $1.73 in 2004. Current year earnings
per share include an $.08 favorable effect from a lower effective tax rate
related primarily to recognition of foreign tax credits.
Backlog at year-end was approximately $78 million, compared with $77 million for
the same period of the prior year at 2005 actual exchange rates.
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"I am pleased with Nordson's strong performance for both the fourth quarter and
the entire year, as we have again achieved record numbers in sales volume and
earnings per share," said Edward P. Campbell, chairman and chief executive
officer.
"Our Advanced Technology segment continues to produce exceptional results,"
Campbell said. "I am also encouraged by the performance of our core Adhesive
Dispensing businesses. Sales volume for the segment was up 6 percent, when
excluding the large engineering systems businesses."
"We continue to see positive results from our ongoing focus to improve operating
efficiencies, including achieving wider operating margins in 2005," Campbell
noted. "In addition, our recent actions in the Finishing and Coating segment
will further improve efficiencies."
As previously announced, Nordson will pay a first-quarter 2006 cash divided of
$0.165 per common share on January 4, 2006 to shareholders of record on December
19, 2005. Nordson has increased its dividend per common share for 42 consecutive
years.
Nordson will broadcast its fourth-quarter conference call on the investor
relations page of its Web site, www.nordson.com, on Wednesday, December 14, 2005
at 8:30 a.m. EST. 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 of 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 filing with the Securities and Exchange Commission that could cause
actual results to differ.
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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.
###
Contact: Derrick Johnson, Director, Corporate Communications
Phone: (440) 414-5639
E-mail: djohnson@nordson.com
A summary of sales, income and earnings is presented in the attached tables.
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FOURTH QUARTER PERIOD
Period Ending October 30, 2005
(Unaudited)
NORDSON CORPORATION
-------------------
FINANCIAL HIGHLIGHTS
(Dollars in thousands except for per-share amounts)
CONSOLIDATED STATEMENT OF INCOME Fourth Quarter Year-to-Date
- ----------------------------------------- --------------------------- ---------------------------
2005 2004 2005 2004
------------ ------------ ------------ ------------
Net sales $ 239,803 $ 228,353 $ 839,162 $ 793,544
Cost of sales 107,857 106,735 371,298 354,313
Selling & administrative expenses 89,985 86,140 345,947 328,633
------------ ------------ ------------ ------------
Operating profit 41,961 35,478 121,917 110,598
Interest expense - net (3,192) (3,425) (11,961) (14,082)
Other income (expense) - net 220 (3,316) 1,320 (2,688)
------------ ------------ ------------ ------------
Income before income taxes 38,989 28,737 111,276 93,828
Income taxes 11,086 9,014 32,938 30,494
------------ ------------ ------------ ------------
Net income $ 27,903 $ 19,723 $ 78,338 $ 63,334
============ ============ ============ ============
Return on sales 12% 9% 9% 8%
Return on average shareholders' equity 29% 20% 19% 18%
Average common shares outstanding (000's) 34,119 36,157 35,718 35,489
Average common shares and
common share equivalents (000's) 34,919 37,031 36,527 36,546
Per share:
Basic earnings $ .82 $ .55 $ 2.19 $ 1.78
Diluted earnings $ .80 $ .53 $ 2.14 $ 1.73
Dividends paid $ .165 $ .16 $ .645 $ .625
FOURTH QUARTER PERIOD
Period Ending October 30, 2005
(Unaudited)
NORDSON CORPORATION
-------------------
FINANCIAL HIGHLIGHTS
(Dollars in thousands except for per-share amounts)
October 30, October 31,
CONSOLIDATED BALANCE SHEET 2005 2004
- ---------------------------------------- ------------ ------------
Cash and marketable securities $ 11,484 $ 60,579
Receivables 181,660 175,013
Inventories 81,868 85,330
Other current assets 36,704 43,350
------------ ------------
Total current assets 311,716 364,272
Property, plant & equipment - net 110,531 111,607
Other assets 366,279 364,669
------------ ------------
$ 788,526 $ 840,548
============ ============
Notes payable and debt due
within one year $ 72,079 $ 27,591
Accounts payable and accrued liabilities 177,995 169,319
------------ ------------
Total current liabilities 250,074 196,910
Long-term debt 101,420 148,033
Other liabilities 106,120 92,272
Total shareholders' equity 330,912 403,333
------------ ------------
$ 788,526 $ 840,548
============ ============
Other information:
Employees 3,653 3,544
Common shares outstanding (000's) 32,911 36,279
FOURTH QUARTER PERIOD
Period Ending October 30, 2005
(Unaudited)
NORDSON CORPORATION
--------------------
FINANCIAL HIGHLIGHTS
(Dollars in thousands)
Fourth Quarter % Growth over 2004
--------------------------- ------------------------------------------
SALES BY BUSINESS SEGMENT 2005 2004 Volume Currency Total
- ---------------------------------------- ------------ ------------ ------------ ------------ ------------
Adhesive dispensing &
nonwoven fiber systems $ 141,677 $ 146,136 -3.7% 0.6% -3.1%
Finishing & coating systems 39,069 40,377 -3.9% 0.7% -3.2%
Advanced technology systems 59,057 41,840 41.1% 0.0% 41.1%
------------ ------------
Total sales by business segment $ 239,803 $ 228,353 4.5% 0.5% 5.0%
============ ============ ============ ============ ============
Year-to-Date % Growth over 2004
--------------------------- ------------------------------------------
SALES BY BUSINESS SEGMENT 2005 2004 Volume Currency Total
- ---------------------------------------- ------------ ------------ ------------ ------------ ------------
Adhesive dispensing &
nonwoven fiber systems $ 501,665 $ 497,699 -1.8% 2.6% 0.8%
Finishing & coating systems 140,127 130,944 4.9% 2.1% 7.0%
Advanced technology systems 197,370 164,901 19.1% 0.6% 19.7%
------------ ------------
Total sales by business segment $ 839,162 $ 793,544 3.6% 2.1% 5.7%
============ ============ ============ ============ ============
Fourth Quarter Year-to-Date
--------------------------- ---------------------------
OPERATING PROFIT BY BUSINESS SEGMENT 2005 2004 2005 2004
- ---------------------------------------- ------------ ------------ ------------ ------------
Adhesive dispensing &
nonwoven fiber systems $ 32,597 $ 33,311 $ 97,553 $ 97,904
Finishing & coating systems 802 2,906 1,234 2,466
Advanced technology systems 14,285 5,781 41,696 30,229
Corporate (5,723) (6,520) (18,566) (20,001)
------------ ------------ ------------ ------------
Total operating profit by
business segment $ 41,961 $ 35,478 $ 121,917 $ 110,598
============ ============ ============ ============
Fourth Quarter % Growth over 2004
--------------------------- ------------------------------------------
SALES BY GEOGRAPHIC REGION 2005 2004 Volume Currency Total
- ---------------------------------------- ------------ ------------ ------------ ------------ ------------
United States $ 82,370 $ 77,499 6.3% - 6.3%
Americas 17,051 13,951 17.7% 4.5% 22.2%
Europe 79,340 81,314 -2.3% -0.1% -2.4%
Japan 27,649 29,240 -4.5% -0.9% -5.4%
Asia Pacific 33,393 26,349 23.7% 3.0% 26.7%
------------ ------------
Total Sales by Geographic Region $ 239,803 $ 228,353 4.5% 0.5% 5.0%
============ ============ ============ ============ ============
Year-to-Date % Growth over 2004
--------------------------- ------------------------------------------
SALES BY GEOGRAPHIC REGION 2005 2004 Volume Currency Total
- ---------------------------------------- ------------ ------------ ------------ ------------ ------------
United States $ 280,542 $ 266,050 5.4% - 5.4%
Americas 59,391 51,390 11.9% 3.7% 15.6%
Europe 298,828 296,067 -3.0% 3.9% 0.9%
Japan 89,782 87,477 1.4% 1.2% 2.6%
Asia Pacific 110,619 92,560 17.2% 2.3% 19.5%
------------ ------------
Total Sales by Geographic Region $ 839,162 $ 793,544 3.6% 2.1% 5.7%
============ ============ ============ ============ ============
Fourth Quarter Year-to-Date
--------------------------- ---------------------------
SELECTED SUPPLEMENTAL INFORMATION 2005 2004 2005 2004
- ---------------------------------------- ------------ ------------ ------------ ------------
Depreciation and amortization $ 6,566 $ 6,724 $ 25,683 $ 26,876
Capital expenditures $ 4,671 $ 4,250 $ 15,389 $ 11,309
Dividends paid $ 5,969 $ 5,787 $ 23,378 $ 22,128