Nordson Q3 Sales Jump 12 Percent

(NASDAQ:NDSN) reported fiscal third quarter 2025 results on August 20, 2025, delivering sales of $742 million, up 12% year-over-year, adjusted earnings per share (EPS) of $2.73, up 13% year-over-year, and record quarterly free cash flow of $226 million, with a conversion rate of 180% of net income. For clarity, fiscal Q3 2025 ended July 31, 2025. Key strategic developments included strong double-digit organic growth in the Advanced Technology Solutions (ATS) segment, early accretion from the Atrion acquisition, and initiation of an $800 million repurchase authorization. The following analysis dissects operational execution, balance sheet optimization, and competitive positioning that shape Nordson’s long-term thesis.

Nordson generated $226 million in free cash flow, topping 180% of quarterly net income and lifting the year-to-date cash flow conversion rate to 140%. Net debt fell over $100 million sequentially to about $2 billion, while leverage improved from 2.5x to 2.2x EBITDA from the start to the end of fiscal Q3 2025.

Consistently high cash generation enables simultaneous investment, shareholder returns, and deleveraging, enhancing Nordson’s flexibility for both organic and acquisition-led growth.

Continue reading

Source Fool.com