WESTLAKE, OH - Nordson Corp. has reported results for the fourth quarter and fiscal year ended October 31, 2010. Sales for the quarter were $290 million, an increase of 22 percent over the fourth quarter of the prior year. This sales improvement included a 23 percent increase in volume offset by a one percent decrease related to unfavorable currency translation effects. Fourth-quarter operating profit was $73 million, and net income was $54 million. Diluted earnings per share were $1.56, including one-time tax benefits of $0.07 and a $0.01 charge related to cost reduction activities.
“Nordson’s global team delivered another quarter of truly excellent results by continuing to meet customer needs more efficiently than the competition,” said President and Chief Executive Officer Michael F. Hilton. “We continued to grow our business around the world while controlling costs, resulting in the highest level of quarterly operating profit in our history.”
“Quarterly sales grew year-over-year in all segments and geographies,” said Hilton. “Adhesive Dispensing Systems continued to perform at a very high level and delivered operating margin of 33 percent. Results were also very strong in Advanced Technology Systems, where operating margin was 25 percent. Industrial Coating Systems sales and operating profit improved for the third consecutive quarter, as the benefits of last year’s restructuring efforts and increasing volume combined to drive operating margin to 17 percent.”
Sales exceeded $1 billion in fiscal year 2010, an increase of 27 percent over the previous year. Volume increased by 25 percent, and the favorable effects of currency translation added two percent. Operating profit for the year was $235 million, net income was $168 million, and diluted earnings per share were $4.91, all of which were full-year records for Nordson. Diluted earnings per share include $0.33 in one-time tax benefits and $0.04 in charges related to severance and restructuring activities.
For the first quarter of fiscal 2011, sales are expected to be in the range of $260 million to $268 million, an increase in volume of 20 to 24 percent, which will be partially offset by a negative two percent currency translation effect as compared to the first quarter a year ago. Diluted earnings per share are expected to be in the range of $1.03 to $1.13.