American adhesive-dispensing equipment manufacturing company Nordson Corporation (NASDAQ:NDSN) recently posted its quarterly earnings report for the three months that ended on October 31, 2017.
The company is known for engineering, manufacturing, and markets differentiated products and systems which are used to apply, dispense, and control adhesive products including coatings, polymers, sealants, biomaterials and other fluids.
The company posted a fourth-quarter earnings of $1.37 per share compared to most earnings estimates of $1.33 per share. Nordson Corporation’s revenue for the quarter was at $574 million beating consensus analyst forecasts of $545.15 million.
The stronger than expected fiscal fourth-quarter earnings for 2017 send the shares up by almost 10% up by almost 15 points to trade at $140.26 per share during the closing session on Wednesday. Aside from a bright earnings report, the unexpected growth in organic sales compared to their numbers in organic sales from the same quarter last year also helped the stock prop higher.
Over the past three months, Nordson experienced a growth of 6% over its adhesive-dispensing systems as well as an organic growth of 4% which was due to the product line strength in nearly all regions.
Nordson advanced technology systems also rose by 29% which included an organic volume growth of 4% which were better than most analysts expectations. Activity related to acquisitions also rose by 25%.
Nordson chief executive officer Michael Hilton stated that the growth the company experienced for the quarter was due to the robust demand for electronics and markets within the Advanced Technology segment.
In the United States, the growth of the company’s revenue jumped by 24.2% to $183.1 million while there was a 15.4% and 15.2% growth in the rest of America and in Europe to $39.1 million to $149.3 million respectively. While there was a growth of 31.7% in Japan to $50.7 million, revenue of the company was down by 5.1% in the Asia Pacific to $151.8 million.
For the upcoming fiscal fourth quarter, Nordson provided an earnings guidance. It expects earnings of around $1.29 to $1.39 per share during the period compared to most earnings estimates of $0.95 per share.
A revenue guidance of around $530 million to $546 million was also provided by the company which is higher than most analyst expectations of $449.42 million.
Nordson announced a quarterly dividend of $0.30 per share to be paid on January 2 which represents an annualized dividend of $1.20 and a dividend yield of 0.95%.