Nordson's Earnings Surpass Estimates in Q1, Revenues Up Y/Y

Nordson Corporation’s NDSN first-quarter fiscal 2026 (ended Jan. 31, 2026) adjusted earnings of $2.37 per share surpassed the Zacks Consensus Estimate of $2.36. The bottom line increased 15% year over year.

Quarterly Results of NDSN

Nordson’s revenues were $669 million, up 8.8% from the year-ago fiscal quarter’s number, driven by strength in the Industrial Precision Solutions segment and contributions from acquired assets. However, revenues missed the consensus estimate of $651 million.

While organic sales increased 6.5% year over year, acquisitions/divestitures had a negative impact of 1.4% on sales. Foreign currency translation had a favorable impact of 3.7%.

On a regional basis, revenues from the Asia Pacific region were $225.1 million, up 25.2% year over year. Revenues generated from Europe increased 8.8% to $182.5 million, while the metric in the Americas decreased 2.2% to $261.9 million.

Nordson reports revenues under three segments. The segments are Industrial Precision Solutions, Medical and Fluid Solutions and Advanced Technology Solutions. A brief snapshot of the segmental sales is provided below:

Revenues from Industrial Precision Solutions amounted to $326.9 million, up 8.8% from the year-ago fiscal quarter’s level. The segment contributed 48.8% to NDSN’s top line in the quarter.

Organic sales decreased 3.2% from the year-ago fiscal quarter’s level, while foreign currency translation had a positive impact of 5.6%.

Revenues from Medical and Fluid Solutions amounted to $193.2 million, down 0.2% from the year-ago fiscal quarter’s level. The segment contributed 28.9% to NDSN’s top line.

Organic sales increased 2.7% from the year-ago fiscal quarter’s level. Acquisitions/divestitures decreased sales by 4.3% while foreign currency translation had a positive impact of 1.4%.

Advanced Technology Solutions’ sales were $149.4 million, up 23.1% from the year-ago fiscal quarter’s figure. The metric represented 22.3% of Nordson’s revenues in the period.

Organic sales increased 20.7% from the year-ago fiscal quarter’s level. Foreign currency translation had a positive impact of 2.4%.

Nordson’s Margin Profile

Nordson’s cost of sales increased 8.5% from the year-ago fiscal quarter’s level to $303.3 million. Gross profit was $366.1 million, up 9% from the year-ago fiscal quarter’s level. The gross margin increased 10 basis points (bps) to 54.7%.

Selling and administrative expenses increased 2.4% year over year to $199.7 million. Adjusted EBITDA was $203 million (up 7.9% year over year), the margin being 30%. Operating income was $166.4 million, up 18.1% year over year. Operating margin of 24.9% was up 200 basis points from the year-ago quarter.

Net interest expenses totaled $22.7 million, reflecting a 11.1% decrease from the year-ago fiscal quarter’s level.

Nordson’s Balance Sheet & Cash Flow

At the time of exiting the first quarter of fiscal 2026, Nordson’s cash and cash equivalents were $120.4 million compared with $108.4 million recorded at the end of fiscal 2025. Long-term debt was $1.94 billion compared with $1.68 billion recorded at the end of fiscal 2025.

In the first three months of fiscal 2026, NDSN generated net cash of $140.4 million from operating activities, down 11.7% from the last fiscal year period’s tally. Capital invested in purchasing property, plant and equipment totaled $17.5 million, down 18.2% from the year-ago fiscal period.

NDSN’s Dividends/Share Buyback

In the first three months of fiscal 2026, Nordson paid out dividends of $45.8 million, up 2.7% from $44.6 million in the previous fiscal year period.

Treasury purchase shares amounted to $86 million, up from $43.1 million in the year-ago period.

NDSN’s Outlook

For fiscal 2026 (ending October 2026), NDSN has increased its guidance. The company now projects sales to be in the range of $2.86-$2.96 billion compared with of $2.83-$2.95 billion expected earlier. Nordson expects adjusted earnings of $11-$11.60 per share compared with $10.80-$11.50 anticipated before.

For second-quarter fiscal 2026 (ending April 2026), it expects to generate sales in the band of $710-$740 million, with adjusted earnings of $2.70-$2.90 per share.

NDSN Zacks Rank

The company currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Performance of Other Companies

Graco Inc. GGG posted quarterly earnings of 77 cents per share in the fourth quarter of 2025, in line with the Zacks Consensus Estimate. This compares with earnings of $0.64 per share a year ago.

Graco posted revenues of $593.2 million for the quarter, surpassing the Zacks Consensus Estimate by 1.39%. This compares with year-ago revenues of $548.67 million.

Baker Hughes Company BKR reported fourth-quarter 2025 adjusted earnings of 78 cents per share, which beat the Zacks Consensus Estimate of 67 cents. The bottom line also increased from the year-ago level of 70 cents.

Total quarterly revenues of $7,386 million beat the Zacks Consensus Estimate of $7,056 million. The top line also increased from the year-ago quarter’s $7,364 million.

3M Company MMM delivered adjusted earnings of $1.83 per share in the fourth quarter of 2025, which surpassed the Zacks Consensus Estimate of $1.82. The company reported earnings of $1.68 per share in the year-ago quarter.

MMM’s adjusted revenues of $6.00 billion missed the consensus estimate of $6.08 billion. On an adjusted basis, organic revenues increased 2.2% year over year.

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