Exhibit 99.1
NEWS RELEASE
NORDSON CORPORATION
28601 Clemens Road
Westlake, Ohio 44145-1119
FOR IMMEDIATE RELEASE
NORDSON CORPORATION ANNOUNCES RECORD FIRST QUARTER SALES
o Worldwide First-Quarter Sales Reach Record $203.9 Million
o Acquisition of Dage Fuels 14 Percent Volume Growth in Advanced
Technology Systems Sales
WESTLAKE, Ohio - February 27, 2007 - Nordson Corporation (Nasdaq:NDSN) today
announced record sales for the first quarter, which ended January 31, 2007.
Worldwide sales for the quarter were $203.9 million, a 3 percent increase
compared with sales from continuing operations of $197.4 million for the same
period of 2006. Sales growth in the first quarter consisted of 3 percent from
the acquisition of Dage Holdings, which was completed on December 14, 2006, and
3 percent from favorable currency effects; organic volume was down 3 percent.
On a diluted basis, earnings per share for the quarter were $.46, as compared
with $.52 from continuing operations for the same period of 2006. Current year
earnings per share include a charge of approximately $.05 per share for the
impact of purchase accounting and financing costs related to the acquisition of
Dage.
First-quarter sales volume for the Advanced Technology Systems segment grew by
14 percent over the prior year period; Dage revenue was responsible for most of
the increase. Volume was down 3 percent in the Adhesive Dispensing Systems
segment and 10 percent in the Finishing and Coating Systems segment.
On a geographic basis, sales volume for the first quarter was up 14 percent in
the Asia Pacific region and 1 percent in Europe. Volume was down 3 percent in
the United States, 6 percent in the Americas and 9 percent in Japan.
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Nordson Corporation Announces First Quarter Earnings
February 27, 2007
Page 2 of 6
Backlog at the end of the first quarter was approximately $101 million, up more
than $32 million since the beginning of the fiscal year, calculated at constant
exchange rates.
"After a slow start to the fiscal year, I am encouraged by the rebound in orders
we've seen in the past eight weeks in all three business segments," said Edward
P. Campbell, chairman and chief executive officer. "In the eight-week period
ending February 16, 2007, order volume is up 13 percent over the prior year,
including the impact of the Dage acquisition. By segment, order volume is up 26
percent in Advanced Technology Systems, 23 percent in Finishing and Coating
Systems and 5 percent in Adhesive Dispensing Systems."
"I also am pleased with the market opportunities and volume growth Dage brought
to our Advanced Technology Systems segment," Campbell said. "Since the time of
acquisition through February 16, 2007, Dage order volume is up 14 percent from
the same period of last year. Additionally, our end-market product
diversification within this segment has helped moderate the impact of the
deceleration of sales taking place across certain segments of the global
technology industry."
Nordson will broadcast its first quarter conference call on the investor
relations page of its Web site, www.nordson.com, on Wednesday, February 28, 2007
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, by calling (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.
A summary of sales, income and earnings is presented in the attached tables.
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Nordson Corporation Announces First Quarter Earnings
February 27, 2007
Page 3 of 6
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 equipment used in the testing and inspection of
electronic components as well as technology-based systems used for curing and
surface treatment processes. Headquartered in Westlake, Ohio, Nordson has more
than 3,800 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
Nordson Corporation Announces First Quarter Earnings
February 27, 2007
Page 4 of 6
FIRST QUARTER PERIOD
Period Ending January 31, 2007
(Unaudited)
NORDSON CORPORATION
-------------------
FINANCIAL HIGHLIGHTS
(Dollars in thousands except for per-share amounts)
CONSOLIDATED STATEMENT OF INCOME
- --------------------------------
First Quarter
---------------------------
2007 2006
------------ ------------
Net sales $ 203,875 $ 197,351
Cost of sales 86,214 83,336
Selling & administrative expenses 89,395 83,623
------------ ------------
Operating profit 28,266 30,392
Interest expense - net (3,814) (3,307)
Other income (expense) - net (1,069) (705)
------------ ------------
Income before income taxes 23,383 26,380
Income taxes 7,826 8,827
------------ ------------
Income from continuing operations 15,557 17,553
Loss from discontinued operations, net of tax - (1,486)
------------ ------------
Net income $ 15,557 $ 16,067
============ ============
Continuing operations return on sales 8% 9%
Continuing operations return on average
shareholders' equity 14% 21%
Average common shares outstanding (000's) 33,383 33,002
Average common shares and
common share equivalents (000's) 34,117 33,847
Per share:
Basic earnings from continuing operations $ .47 $ .53
Basic earnings from discontinued operations - (.04)
------------ ------------
Total $ .47 $ .49
============ ============
Diluted earnings from continuing operations $ .46 $ .52
Diluted earnings from discontinued operations - (.05)
------------ ------------
Total $ .46 $ .47
============ ============
Dividends paid $ .175 $ .165
Nordson Corporation Announces First Quarter Earnings
February 27, 2007
Page 5 of 6
FIRST QUARTER PERIOD
Period Ending January 31, 2007
(Unaudited)
CONSOLIDATED BALANCE SHEET
- --------------------------
January 31 October 31,
2007 2006
------------ ------------
Cash and marketable securities $ 29,787 $ 48,868
Receivables 181,129 190,459
Inventories 114,096 83,688
Other current assets 27,782 24,289
------------ ------------
Total current assets 352,794 347,304
Property, plant & equipment - net 113,774 105,415
Other assets 573,006 370,171
------------ ------------
$ 1,039,574 $ 822,890
============ ============
Notes payable and debt due within one year $ 269,499 $ 70,188
Accounts payable and accrued liabilities 147,593 171,137
------------ ------------
Total current liabilities 417,092 241,325
Long-term debt 47,130 47,130
Other liabilities 124,639 103,907
Total shareholders' equity 450,713 430,528
------------ ------------
$ 1,039,574 $ 822,890
============ ============
Other information:
Employees 3,866 3,645
Common shares outstanding (000's) 33,684 33,411
Nordson Corporation Announces First Quarter Earnings
February 27, 2007
Page 6 of 6
FIRST QUARTER PERIOD
Period Ending January 31, 2007
(Unaudited)
NORDSON CORPORATION
-------------------
FINANCIAL HIGHLIGHTS
(Dollars in thousands)
First Quarter % Growth over 2006
--------------------------- --------------------------------------------
SALES BY BUSINESS SEGMENT 2007 2006 Volume Currency Total
- ----------------------------------- ------------ ------------ ------------ ------------ ------------
Adhesive dispensing systems $ 114,379 $ 113,447 -3.4% 4.2% 0.8%
Finishing & coating systems 29,816 32,150 -9.9% 2.6% -7.3%
Advanced technology systems 59,680 51,754 13.6% 1.7% 15.3%
------------ ------------
Total sales by business segment $ 203,875 $ 197,351 0.0% 3.3% 3.3%
============ ============ ============ ============ ============
First Quarter
---------------------------
OPERATING PROFIT BY BUSINESS SEGMENT 2007 2006
- ------------------------------------ ------------ ------------
Adhesive dispensing systems $ 22,428 $ 23,425
Finishing & coating systems 148 (978)
Advanced technology systems 8,235 10,996
Corporate (2,545) (3,051)
------------ ------------
Total operating profit by business
segment $ 28,266 $ 30,392
============ ============
First Quarter % Growth over 2006
--------------------------- --------------------------------------------
SALES BY GEOGRAPHIC REGION 2007 2006 Volume Currency Total
- ----------------------------------- ------------ ------------ ------------ ------------ ------------
United States $ 64,291 $ 66,152 -2.8% 0.0% -2.8%
Americas 14,796 15,712 -5.6% -0.2% -5.8%
Europe 76,842 70,205 0.9% 8.6% 9.5%
Japan 17,103 18,819 -8.5% -0.6% -9.1%
Asia Pacific 30,843 26,463 14.3% 2.3% 16.6%
------------ ------------
Total Sales by Geographic Region $ 203,875 $ 197,351 0.0% 3.3% 3.3%
============ ============ ============ ============ ============
First Quarter
---------------------------
SELECTED SUPPLEMENTAL INFORMATION 2007 2006
- --------------------------------- ------------ ------------
Depreciation and amortization $ 6,093 $ 5,518
Capital expenditures $ 8,656 $ 4,540
Dividends paid $ 5,839 $ 5,455