Nordson Corporation NDSN is scheduled to release first-quarter fiscal 2025 (ended Dec. 31), after market close.

The company has an impressive earnings surprise history, with the average beat being 5.4%. In the last reported quarter, its earnings of $2.78 per share surpassed the Zacks Consensus Estimate of $2.59 by 7.3%.

Let’s see how things have shaped up for Nordson this earnings season.

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Factors to Note Ahead of NDSN’s Results

The Industrial Precision Solutions segment’s results are likely to benefit from growing demand for nonwoven and industrial coating product lines in the industrial and consumer non-durable end markets. The growing need for packaged goods in the food and beverage, pharmaceutical and other consumer goods markets is expected to have boosted revenues.

The Medical and Fluid Solutions segment is expected to have benefited on the back of stable demand for fluid solutions products, particularly in the biopharma end market. The consensus mark for the segment’s revenues is pegged at $195 million, indicating a 21.9% increase from the year-ago figure.

The acquisition of Atrion Corporation, which expanded Nordson’s medical offerings in the infusion and cardiovascular therapies market, is expected to support its results. In August 2023, NDSN acquired ARAG Group and its subsidiaries, which boosted its core capabilities in precision dispensing technology and helped it expand into the rapidly growing, precision agriculture end market. This acquisition is expected to aid results. 

The Zacks Consensus Estimate for the company’s first-quarter revenues is pegged at $636.3 million, indicating an increase of 0.5% from the year-ago quarter’s figure.

Nordson is expected to put up a weak show in the upcoming earnings result due to softness across its Advanced Technology Solutions segment. Weakness in electronics dispense and test & inspection product lines is expected to have hurt the segment.

The escalating cost of sales poses a threat to NDSN’s bottom line. High input costs are expected to have pushed up the cost of sales, which is likely to have reflected in its margins.

The company’s international presence exposes it to the risk of adverse currency fluctuations, which are likely to have hurt its performance.

The consensus estimate for adjusted earnings is pinned at $2.1 per share, indicating a 5.9% decrease from the year-ago quarter’s number.

Earnings Whispers

Our proven model does not conclusively predict an earnings beat for NDSN this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is not the case here, as elaborated below.

Earnings ESP: NDSN has an Earnings ESP of 0.00% as both the Most Accurate Estimate and the Zacks Consensus Estimate are pegged at $2.08. You can uncover the best stocks before they’re reported with our Earnings ESP Filter.

Zacks Rank: NDSN presently carries a Zacks Rank #4 (Sell). 

You can see the complete list of today’s Zacks #1 Rank stocks here.

Performance of Other Companies

Tetra Tech, Inc. TTEK reported earnings of $0.35 per share in the first quarter of fiscal 2025 (ended December 2024), which beat the Zacks Consensus Estimate of $0.34. This compares with earnings of $0.28 per share a year ago.

Tetra posted revenues of $1.2 billion for the quarter ended December 2024, surpassing the consensus estimate by 8.85%. This compares with year-ago revenues of $1.02 billion. The company topped the consensus estimate for revenues in each of the last four quarters.

Waste Management, Inc. WM reported earnings of $1.70 per share in the fourth quarter of 2024, which missed the Zacks Consensus Estimate of $1.79. This compares with earnings of $1.74 per share a year ago.

WM reported revenues of $5.89 billion for the quarter ended December 2024, surpassing the consensus estimate by 0.18%. This compares with year-ago revenues of $5.22 billion. The company topped the consensus estimate for revenues two times in the last four quarters.

Packaging Corporation of America PKG reported adjusted earnings per share of $2.47 in the fourth quarter of 2024, which missed the Zacks Consensus Estimate of $2.51 by a margin of 2%. The bottom line matched PKG’s guidance and grew 16% year over year.

Sales in the fourth quarter rose 10.7% year over year to $2.15 billion due to higher volumes and price/mix in both segments. The top line beat the consensus estimate of $2.13 billion.

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