Nordson Shares Climb After Strong Q3 Earnings, New Buyback Plan
Industrial parts maker beats profit and sales forecasts, signaling robust demand and prompting a new $500 million share repurchase program.
Nordson Corporation (NDSN) shares rose in after-hours trading after the company posted third-quarter earnings that surpassed analyst expectations and announced a significant new share buyback authorization.
The Westlake, Ohio-based manufacturer of precision dispensing equipment reported adjusted earnings of $2.73 per share on revenue of $742 million for the quarter ending July 31, 2025. The results comfortably beat the consensus Wall Street estimate of $2.64 per share and revenue of $723.57 million. The stock gained 1.83% in after-market activity on volume 1.5 times its daily average.
The performance represented a 12% increase in sales and a 13% rise in adjusted earnings per share compared to the same period last year. The company highlighted strong performance in its Advanced Technology Solutions segment as a key driver of the growth.
“The Nordson team responded effectively to dynamic demand conditions in key end markets and delivered on its promises, realizing solid year-over-year organic growth in the quarter,” said Sundaram Nagarajan, Nordson’s President and Chief Executive Officer, in a statement.
In a move signaling confidence in its financial position, Nordson’s Board of Directors approved a new $500 million share repurchase authorization. The decision follows a quarter where the company achieved a free cash flow conversion of 180% of net income, underscoring its strong cash-generating capabilities.
Despite the strong quarter, Nordson’s stock has faced headwinds over the past year, trading down approximately 9%. However, analysts maintain a “Moderate Buy” consensus rating on the stock.
Looking ahead, Nagarajan affirmed the company’s full-year sales and earnings guidance, citing the success of its NBS Next initiative and a resilient business model. “Through our close-to-customer business model, diverse product portfolio and in-region, for-region manufacturing strategy, we have continuously demonstrated resilience and the ability to deliver solid growth,” he added.
Nordson management is scheduled to provide further details on the results and outlook during a webcast on Thursday, August 21, 2025.