NORDSON CORP 10-Q

ITEM 1. FINANCIAL STATEMENTS (UNAUDITED) Condensed Consolidated Statements of Income Three Months Ended (In thousands, except for per share data) January 31, 2026 January 31, 2025 Sales $ 669,461 $ 615,420 Cost of sales 303,339 279,524 Selling and administrative expenses 199,717 194,949 Operating profit 166,405 140,947 Interest expense ( 23,131 ) ( 26,559 ) Interest and investment income 390 941 Other income - net 20,837 1,526 Income before income taxes 164,501 116,855 Income tax expense 31,119 22,203 Net income $ 133,382 $ 94,652 Average common shares 55,789 57,129 Incremental common shares attributable to equity compensation 338 357 Average common shares and common share equivalents 56,127 57,486 Basic earnings per share $ 2.39 $ 1.66 Diluted earnings per share $ 2.38 $ 1.65 See accompanying notes. Consolidated Statements of Comprehensive Income Three Months Ended (In thousands) January 31, 2026 January 31, 2025 Net income $ 133,382 $ 94,652 Components of other comprehensive income (loss), net of tax: Foreign currency translation and related hedging adjustments 42,959 ( 51,679 ) Pension and postretirement benefit plans 295 512 Total other comprehensive income 43,254 ( 51,167 ) Total comprehensive income $ 176,636 $ 43,485 See accompanying notes. Page 3 Table of Contents Nordson Corporation Consolidated Balance Sheets (In thousands) Assets Current assets: January 31, 2026 October 31, 2025 Cash and cash equivalents $ 120,392 $ 108,442 Receivables - net 571,583 587,843 Inventories - net 451,138 444,814 Prepaid expenses and other current assets 108,558 101,752 Total current assets 1,251,671 1,242,851 Goodwill 3,332,244 3,304,685 Intangible assets - net 671,456 681,587 Property, plant and equipment - net 521,508 516,914 Operating right of use lease assets 69,758 77,478 Deferred income taxes 11,320 11,246 Other assets 102,965 82,920 $ 5,960,922 $ 5,917,681 Liabilities and shareholders' equity Current liabilities: Current maturities of long-term debt and notes payable $ 54,312 $ 315,000 Accrued liabilities 182,964 229,095 Accounts payable 117,708 121,006 Customer advanced payments 47,783 44,009 Income taxes payable 35,060 25,856 Operating lease liability - current 16,238 17,402 Finance lease liability - current 5,984 5,892 Total current liabilities 460,049 758,260 Long-term debt 1,943,182 1,681,254 Deferred income taxes 194,321 192,186 Operating lease liability - noncurrent 56,747 64,451 Postretirement obligations 43,548 43,786 Pension obligations 44,903 43,205 Finance lease liability - noncurrent 8,210 8,359 Other long-term liabilities 97,856 82,609 Shareholders' equity: Common shares 12,253 12,253 Capital in excess of stated value 762,137 740,789 Retained earnings 4,688,200 4,600,604 Accumulated other comprehensive loss ( 57,203 ) ( 100,457 ) Common shares in treasury, at cost ( 2,293,281 ) ( 2,209,618 ) Total shareholders' equity 3,112,106 3,043,571 $ 5,960,922 $ 5,917,681 See accompanying notes. Page 4 Table of Contents Nordson Corporation Consolidated Statements of Shareholders’ Equity Three Months Ended January 31, 2026 (In thousands, except for share and per share data) Common Shares Additional Paid-in Capital Retained Earnings Accumulated Other Comprehensive Income (Loss) Common Shares in Treasury, at cost TOTAL November 1, 2025 $ 12,253 $ 740,789 $ 4,600,604 $ ( 100,457 ) $ ( 2,209,618 ) $ 3,043,571 Shares issued under company stock and employee benefit plans — 16,457 — — 2,338 18,795 Stock-based compensation — 4,891 — — — 4,891 Purchase of treasury shares — — — — ( 86,001 ) ( 86,001 ) Dividends declared ($ 0.82 per share) — — ( 45,786 ) — — ( 45,786 ) Net income — — 133,382 — — 133,382 Other comprehensive income — — — 43,254 — 43,254 January 31, 2026 $ 12,253 $ 762,137 $ 4,688,200 $ ( 57,203 ) $ ( 2,293,281 ) $ 3,112,106 Three Months Ended January 31, 2025 (In thousands, except for share and per share data) Common Shares Additional Paid-in Capital Retained Earnings Accumulated Other Comprehensive Income (Loss) Common Shares in Treasury, at cost TOTAL November 1, 2024 $ 12,253 $ 714,091 $ 4,295,199 $ ( 184,840 ) $ ( 1,904,511 ) $ 2,932,192 Shares issued under company stock and employee benefit plans — 349 — — 652 1,001 Stock-based compensation — 4,633 — — — 4,633 Purchase of treasury shares — — — — ( 60,098 ) ( 60,098 ) Dividends declared ($ 0.78 per share) — — ( 44,602 ) — — ( 44,602 ) Net income — — 94,652 — — 94,652 Other comprehensive loss — — — ( 51,167 ) — ( 51,167 ) January 31, 2025 $ 12,253 $ 719,073 $ 4,345,249 $ ( 236,007 ) $ ( 1,963,957 ) $ 2,876,611 See accompanying notes. Page 5 Table of Contents Nordson Corporation Condensed Consolidated Statements of Cash Flows (In thousands) Three Months Ended Cash flows from operating activities: January 31, 2026 January 31, 2025 Net income $ 133,382 $ 94,652 Adjustments to reconcile net income to net cash provided by operating activities: Depreciation and amortization 36,585 37,031 Non-cash stock compensation 4,891 4,633 Deferred income taxes 5,620 ( 2,223 ) Other non-cash (income) expense ( 21,410 ) 584 (Gain) loss on sale of property, plant and equipment ( 776 ) 166 Changes in operating assets and liabilities and other ( 17,864 ) 24,279 Net cash provided by operating activities 140,428 159,122 Cash flows from investing activities: Additions to property, plant and equipment ( 17,513 ) ( 21,399 ) Proceeds from sale of property, plant and equipment 1,103 298 Other ( 1,261 ) 6,825 Net cash used in investing activities ( 17,671 ) ( 14,276 ) Cash flows from financing activities: Proceeds from issuance of debt 267,360 1,655 Repayment of debt ( 264,993 ) ( 24,218 ) Repayment of finance lease obligations ( 1,616 ) ( 1,320 ) Issuance of common shares 18,795 1,001 Purchase of treasury shares ( 86,001 ) ( 60,098 ) Dividends paid ( 45,786 ) ( 44,602 ) Net cash used in financing activities ( 112,241 ) ( 127,582 ) Effect of exchange rate changes on cash 1,434 ( 2,792 ) Increase in cash and cash equivalents 11,950 14,472 Cash and cash equivalents at beginning of period 108,442 115,952 Cash and cash equivalents at end of period $ 120,392 $ 130,424 See accompanying notes. Page 6 Table of Contents Nordson Corporation Notes to Condensed Consolidated Financial Statements January 31, 2026 NOTE REGARDING AMOUNTS AND FISCAL YEAR REFERENCES In this Quarterly Report on Form 10-Q, all amounts related to United States dollars and foreign currency and to the number of Nordson Corporation’s common shares, except for per share earnings and dividend amounts, are expressed in thousands. Unless the context otherwise indicates, all references to “we” or the “Company” mean Nordson Corporation. Unless otherwise noted, all references to years relate to our fiscal year ending October 31. Significant accounting policies Basis of presentation . The accompanying unaudited Condensed Consolidated Financial Statements have been prepared in accordance with generally accepted accounting principles for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and notes required by generally accepted accounting principles in the United States ("U.S. GAAP") for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. Operating results for the three months ended January 31, 2026 are not necessarily indicative of the results that may be expected for the full year. For further information, refer to the Consolidated Financial Statements and notes included in our Annual Report on Form 10-K for the year ended October 31, 2025. Consolidation . The Condensed Consolidated Financial Statements include the accounts of Nordson Corporation and its 100%-owned and controlled subsidiaries. Investments in affiliates and joint ventures in which our ownership is 50 % or less or in which we do not have control but have the ability to exercise significant influence are accounted for under the equity method. All significant intercompany accounts and transactions have been eliminated in consolidation. Use of estimates . The preparation of financial statements in conformity with generally accepted accounting principles in the United States requires management to make estimates and assumptions that affect the amounts reported in the Condensed Consolidated Financial Statements. Actual amounts could differ from these estimates. Revenue recognition . A contract exists when it has approval and commitment from both parties, the rights of the parties are identified, payment terms are identified, the contract has commercial substance and collectability of the consideration is probable. Revenue is recognized when performance obligations under the terms of the contract with a customer are satisfied. Generally, our revenue results from short-term, fixed-price contracts and primarily is recognized as of a point in time when the product is shipped or at a later point when the control of the product transfers to the customer. For products in which control transfers upon delivery, revenue is deferred for undelivered items and included within Accrued liabilities in our Consolidated Balance Sheets. Revenues deferred as of January 31, 2026 and October 31, 2025 were not material. For certain contracts related to the sale of customer-specific products, revenue is recognized over time as we satisfy performance obligations because of the continuous transfer of control to the customer. The continuous transfer of control to the customer occurs as we enhance assets that are customer controlled, and we are contractually entitled to payment for work performed to date plus a reasonable margin. As control transfers over time for these products or services, revenue is recognized based on progress toward completion of the performance obligations. The selection method to measure progress towards completion requires judgment and is based on the nature of the products or services to be provided. We have elected to use the input method – costs incurred for these contracts because it best depicts the transfer of products or services to the customer based on incurring costs on the contract. Under this method, revenues are recorded proportionally as costs are incurred. Contract assets recognized are recorded in Prepaid expenses and other current assets and contract liabilities are recorded in Accrued liabilities in our Consolidated Balance Sheets and were not material as of January 31, 2026 and October 31, 2025. Revenue recognized over time represented approximately less than ten percent of our overall consolidated revenues for the periods ended January 31, 2026 and October 31, 2025. Revenue is measured as the amount of consideration we expect to be entitled to in exchange for transferring products or services. Taxes, including sales and value add, that we collect concurrently with revenue-producing activities are excluded from revenue. As a practical expedient, we may exclude the assessment of whether goods or services are performance obligations, if they are immaterial in the context of the contract, and combine these with other performance obligations. While payment terms and conditions vary by contract type, we have determined that our contracts generally do not include a significant financing component. We have elected to apply the practical expedient to treat all shipping and handling costs as fulfillment costs, as a significant portion of these costs are incurred prior to transfer of control to the customer. We have also elected to apply the practical expedient to expense sales commissions as they are incurred, as the amortization period resulting from capitalizing the Page 7 Table of Contents Nordson Corporation costs is one year or less. These costs are recorded within Selling and administrative expenses in our Condensed Consolidated Statements of Income. We offer assurance-type warranties on our products as well as separately sold warranty contracts. Revenue related to warranty contracts that are sold separately is recognized over the life of the warranty term and is not material. Certain arrangements may include installation, installation supervision, training, and spare parts, which tend to be completed in a short period of time, at an insignificant cost, and utilizing skills not unique to us, and therefore, these items are typically regarded as inconsequential or not material. We disclose disaggregated revenues by operating segment and geography in accordance with the revenue standard and on the same basis used internally by the chief operating decision maker for evaluating performance of operating segments and for allocating resources. Refer to our Operating segments Note for details. Earnings per share . Basic earnings per share are computed based on the weighted-average number of common shares outstanding during each year, while diluted earnings per share are based on the weighted-average number of common shares and common share equivalents outstanding. Common share equivalents consist of shares issuable upon exercise of stock options computed using the treasury stock method, as well as restricted shares and deferred stock-based compensation. Options whose exercise price is higher than the average market price are excluded from the calculation of diluted earnings per share because the effect would be anti-dilutive. Options for 73 a nd 193 common shares were excluded from the calculation of diluted earnings per share for the three months ended January 31, 2026 and 2025, respectively, because their effect would have been anti-dilutive . Under the 2021 Stock Incentive and Award Plan, executive officers and selected other key employees receive common share awards based on corporate performance measures over three-year performance periods. Awards for which performance measures have not been met were excluded from the calculation of diluted earnings per share. Recently issued accounting standards In November 2023, the FASB issued ASU 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures . ASU 2023-07 requires enhanced disclosures about significant segment expenses and enhanced disclosures in interim periods. The guidance in ASU 2023-07 is to be applied retrospectively and is effective for annual reporting periods in fiscal years beginning after December 15, 2023 and interim reporting periods in fiscal years beginning after December 31, 2024, with early adoption permitted. The Company adopted the guidance of ASU 2023-07 during the fourth quarter of 2025. See Operating Segments Note. In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures . ASU 2023-09 is intended to improve income tax disclosure requirements by requiring specific disclosure in the rate reconciliation and additional infor mation for reconciling items that meet a quantitative threshold. The guidance in ASU 2023-09 will be effective for annual reporting periods in fiscal years beginning after December 15, 2024. The Company is currently evaluating the impact that the adoption of ASU 2023-09 will have on its consolidated financial statements and disclosures and anticipates adoption in fiscal 2026 in its Annual Report on Form 10-K for the year ending October 31, 2026. In November 2024, the FASB issued ASU 2024-03, Income Statement (Topic 220): Reporting Comprehensive Income. ASU 2024-03 does not change or remove current expense presentation requirements within the Consolidated Statements of Income. However, the amendments require disclosure, on an annual and interim basis, disaggregated information about certain income statement expense line items within the notes to the consolidated financial statements. The amendments in this update are effective for annual reporting periods beginning after December 15, 2026, and interim reporting periods beginning after December 15, 2027. The Company is currently evaluating the impact that the adoption of ASU 2024-03 will have on its consolidated financial statements and disclosures and anticipates adoption in fiscal 2028. Acquisitions Business acquisitions have been accounted for using the acquisition method, with the acquired assets and liabilities recorded at estimated fair value on the dates of acquisition. The cost in excess of the net assets of the business acquired is included in goodwill. Operating results since the respective dates of acquisitions are included in the Condensed Consolidated Statements of Income. Receivables Our primary allowance for credit losses is the allowance for doubtful accounts, which is principally determined based on aging of receivables. Receivables are exposed to credit risk based on the customers' ability to pay which is influenced by, among other factors, their financial liquidity. We perform ongoing customer credit evaluation to maintain sufficient allowances for potential credit losses. Our segments perform credit evaluation and monitoring to estimate and manage credit risk through the review of customer information, credit ratings, approval and monitoring of customer credit limits and assessment of market conditions. We may also require prepayments or bank guarantees from customers to mitigate credit risk. Our receivables are generally short-term Page 8 Table of Contents Nordson Corporation in nature with a majority of receivables outstanding less than 90 days. Accounts receivable balances are written-off against the allowance if deemed uncollectible. Accounts receivable are net of an allowance for credit losses of $ 6,504 a nd $ 7,408 o n January 31, 2026 and October 31, 2025, respectively. Provision income was $ 589 for the three months ended January 31, 2026 co mpared to provision income of $ 382 for the three months ended January 31, 2025. The remaining change in the allowance for credit losses is principally related to the write-off of uncollectible accounts. Inventories Components of inventories were as follows: January 31, 2026 October 31, 2025 Finished goods $ 243,587 $ 234,710 Raw materials and component parts 227,554 230,907 Work-in-process 61,504 57,306 532,645 522,923 Obsolescence and other reserves ( 81,507 ) ( 78,109 ) $ 451,138 $ 444,814 Property, Plant and Equipment Components of property, plant and equipment were as follows: January 31, 2026 October 31, 2025 Land $ 32,761 $ 32,579 Land improvements 4,939 4,914 Buildings 363,125 360,038 Machinery and equipment 690,721 682,093 Enterprise management system 53,694 53,694 Construction-in-progress 40,298 29,522 Leased property under finance leases 28,656 27,680 1,214,194 1,190,520 Accumulated depreciation ( 692,686 ) ( 673,606 ) $ 521,508 $ 516,914 Depreciation expense was $ 17,016 and $ 17,720 for the three months ended January 31, 2026 and 2025, respectively. Goodwill and other intangible assets Our reporting units are the same as our reportable operating segments, Industrial Precision Solutions ("IPS"), Medical and Fluid Solutions ("MFS"), and the Advanced Technology Solutions ("ATS") segments. Changes in the carrying amount of goodwill for th e three months ended January 31, 2026 by operating segment : IPS MFS ATS Total Balance at October 31, 2025 $ 1,210,366 $ 1,647,468 $ 446,851 $ 3,304,685 Currency effect 23,125 1,163 3,271 27,559 Balance at January 31, 2026 $ 1,233,491 $ 1,648,631 $ 450,122 $ 3,332,244 Page 9 Table of Contents Nordson Corporation Information regarding intangible assets subject to amortization: January 31, 2026 Carrying Amount Accumulated Amortization Net Book Value Customer relationships $ 910,541 $ 405,243 $ 505,298 Patent/technology costs 237,558 162,588 74,970 Trade name 170,403 79,215 91,188 Non-compete agreements 8,686 8,686 — Other 921 921 — Total $ 1,328,109 $ 656,653 $ 671,456 October 31, 2025 Carrying Amount Accumulated Amortization Net Book Value Customer relationships $ 899,402 $ 390,751 $ 508,651 Patent/technology costs 235,255 155,865 79,390 Trade name 169,127 75,581 93,546 Non-compete agreements 8,596 8,596 — Other 929 929 — Total $ 1,313,309 $ 631,722 $ 681,587 Amortization expense for the three months ended January 31, 2026 and 2025 was $ 19,569 and $ 19,311 , respectively. Pension and other postretirement plans The components of net periodic pension costs for the three months ended January 31, 2026 and 2025 were: U.S. International 2026 2025 2026 2025 Service cost $ 2,062 $ 2,531 $ 133 $ 232 Interest cost 4,580 4,691 604 623 Expected return on plan assets ( 6,645 ) ( 6,609 ) ( 547 ) ( 638 ) Amortization of prior service credit — — ( 2 ) ( 2 ) Amortization of net actuarial (gain) loss 1,051 474 ( 86 ) ( 67 ) Total benefit cost $ 1,048 $ 1,087 $ 102 $ 148 The components of other postretirement benefit costs, for plans in the United States, for the three months ended January 31, 2026 and 2025: 2026 2025 Service cost $ 35 $ 59 Interest cost 522 650 Amortization of net actuarial gain ( 413 ) ( 126 ) Total benefit cost $ 144 $ 583 The components of net periodic pension and other postretirement cost, other than service cost, are included in Other – net in our Condensed Consolidated Statements of Income. Page 10 Table of Contents Nordson Corporation Income taxes We record our interim provision for income taxes based on our estimated annual effective tax rate, as well as certain items discrete to the current period. The effective tax rate for the three months ended January 31, 2026 and 2025 was 18.9 % and 19.0 %, respectively. The effective tax rate for the three months ended January 31, 2026 was lower than the U.S. tax rate of 21 % primarily due to the foreign-derived intangible income deduction. One Big Beautiful Bill Act On July 4, 2025, the One Big Beautiful Bill Act (the "OBBBA") was signed into law in the United States. The OBBBA includes significant tax law changes, such as the permanent extension of certain expiring provisions of the Tax Cuts and Jobs Act, modifications to the international tax framework and the restoration of favorable tax treatment for certain business provisions. While several provisions under the OBBBA begin to take effect during the Company’s fiscal year ended October 31, 2026, the OBBBA did not have a material impact on the Company’s consolidated financial statements in the three months ended January 31, 2026. The Company will continue to assess the impact of the OBBBA for the year ending October 31, 2026. The OBBBA is not expected to have a material impact on the effective tax rate. Accumulated other comprehensive income (loss) Changes in accumulated other comprehensive income (AOCI) consisted of: Cumulative translation and related hedging instruments Pension and postretirement benefit plan adjustments Accumulated other comprehensive income (loss) Balance at October 31, 2025 (1) $ ( 50,518 ) $ ( 49,939 ) $ ( 100,457 ) Other comprehensive income before reclassification adjustments 36,775 ( 131 ) 36,644 Reclassifications from AOCI to Statement of Income (2) — 550 550 Tax impact 6,184 ( 124 ) 6,060 Balance at January 31, 2026 (1) $ ( 7,559 ) $ ( 49,644 ) $ ( 57,203 ) (1) Amounts net of tax. (2) Included in the computation of net periodic cost (benefit) which is included in Other - net in our Consolidated Statements of Income. See Pension and other postretirement plans Note. Warranties We offer warranties to our customers depending on the specific product and terms of the customer purchase agreement. A typical warranty program requires that we repair or replace defective products within a specified time period (generally one year ) measured from the date of delivery or first use. We record an estimate for future warranty-related costs based on actual historical return rates. Based on analysis of return rates and other factors, the adequacy of our warranty provisions is adjusted as necessary. The liability for warranty costs is included in Accrued liabilities in the Consolidated Balance Sheets. Following is a reconciliation of the product warranty liability for the three months ended January 31, 2026 and 2025: 2026 2025 Beginning balance at October 31 $ 13,900 $ 13,538 Accruals for warranties 3,022 1,596 Warranty payments ( 2,854 ) ( 2,856 ) Currency adjustments 233 ( 351 ) Ending balance $ 14,301 $ 11,927 Page 11 Table of Contents Nordson Corporation Operating segments We conduct business in three p rimary operating segments: Industrial Precision Solutions: This segment focuses on delivering proprietary dispensing and processing technology, both standard and highly customized equipment, to diverse end markets. Product lines commonly reduce material consumption, increase line efficiency through precision dispensing and enhance product brand and appearance. Components are used for dispensing adhesives, coatings, paint, finishes, sealants and other materials. This segment primarily serves the industrial, agricultural, consumer durables and non-durables markets. Medical and Fluid Solutions: This segment includes the Company’s fluid management solutions for medical, high-tech industrial and other diverse end markets. Related plastic tubing, balloons, catheters, syringes, cartridges, tips and fluid connection components are used to dispense or control fluids within customers’ medical devices or products, as well as production processes. Advanced Technology Solutions: This segment focuses on products serving electronics and consumer non-durable end markets. Advanced Technology Solutions products integrate our proprietary product technologies found in progressive stages of an electronics customer’s production and measurement and control processes, such as surface treatment, precisely controlled dispensing of material and test and inspection to ensure quality and reliability. Applications include, but are not limited to, semiconductors, printed circuit boards, electronic components and automotive electronics, in-line measurement sensors, gauges and analyzers. The composition of segments and measure of segment profitability is consistent with that used by our chief operating decision maker ("CODM"), our President and Chief Executive Officer. The primary measure used by our CODM for purposes of making decisions about allocating resources to the segments and assessing performance is segment EBITDA, which equals sales less adjusted cost of sales and adjusted selling and administrative expenses plus depreciation. Cost of sales and selling and administrative expenses are adjusted for certain special items such as non-recurring cost reduction activities and acquisition related costs, including intangible asset amortization. The CODM uses segment EBITDA in the annual budgeting and forecasting processes and regularly evaluates segment EBITDA results versus budget, forecast and prior year when making allocation of capital, financial and employee resource decisions. The accounting policies of the segments are the same as those described in our Significant accounting policies Note. There are no intersegment sales. Certain expenses are maintained at the corporate level and not allocated to the segments. These expenses include executive compensation, charitable donations, corporate facilities, and other items that are of a corporate or functional governance nature. Interest expense-net and other income/expense-net are excluded from the measure of segment profitability reviewed by our CODM and are not presented by operating segment. Page 12 Table of Contents Nordson Corporation The following table presents information about our reportable segments as further reconciled to consolidated GAAP financial results: Three Months Ended January 31, 2026 January 31, 2025 Sales Industrial Precision Solutions $ 326,861 $ 300,448 Medical and Fluid Solutions 193,183 193,609 Advanced Technology Solutions 149,417 121,363 Total segment sales 669,461 615,420 Adjusted cost of sales Industrial Precision Solutions ( 134,755 ) ( 113,147 ) Medical and Fluid Solutions ( 96,555 ) ( 103,369 ) Advanced Technology Solutions ( 72,029 ) ( 54,859 ) Total segment adjusted cost of sales ( 303,339 ) ( 271,375 ) Adjusted selling and administrative expenses Industrial Precision Solutions ( 87,750 ) ( 80,169 ) Medical and Fluid Solutions ( 34,261 ) ( 34,612 ) Advanced Technology Solutions ( 46,375 ) ( 45,317 ) Total segment adjusted selling and administrative expenses ( 168,386 ) ( 160,098 ) Depreciation Industrial Precision Solutions 5,955 5,644 Medical and Fluid Solutions 7,840 8,704 Advanced Technology Solutions 1,587 1,584 Total segment depreciation 15,382 15,932 EBITDA Industrial Precision Solutions 110,311 112,776 Medical and Fluid Solutions 70,206 64,332 Advanced Technology Solutions 32,600 22,771 Total segment EBITDA 213,117 199,879 Inventory step-up amortization — ( 3,135 ) Acquisition related costs — ( 1,030 ) Severance and other — ( 5,961 ) Depreciation and amortization ( 36,585 ) ( 37,030 ) Corporate expenses ( 10,127 ) ( 11,776 ) Interest expense ( 23,131 ) ( 26,559 ) Interest and investment income 390 941 Other - net 20,837 1,526 Income before taxes $ 164,501 $ 116,855 Page 13 Table of Contents Nordson Corporation The following table presents additional information about our reportable segments for the three months ended or period ended: Industrial Precision Solutions Medical and Fluid Solutions Advanced Technology Solutions Corporate Total January 31, 2026 Amortization of intangibles $ 7,520 $ 9,671 $ 2,378 $ — $ 19,569 Identifiable assets (1) 1,881,578 2,187,997 747,941 1,143,406 5,960,922 Property, plant and equipment expenditures 3,265 5,325 8,717 206 17,513 January 31, 2025 Amortization of intangibles $ 6,810 $ 9,437 $ 3,064 $ — $ 19,311 Identifiable assets (1) 1,737,555 2,240,225 734,046 1,159,700 5,871,526 Property, plant and equipment expenditures 5,070 9,330 2,124 4,875 21,399 (1) Operating segment identifiable assets include notes and accounts receivable net of allowance for doubtful accounts, inventories net of reserves, property, plant and equipment net of accumulated depreciation and goodwill. Corporate assets are principally cash and cash equivalents, deferred income taxes, leases, headquarter facilities and intangible assets. We had significant net sales, measured based on their geographic destination, and long-lived assets in the following geographic areas: January 31, 2026 January 31, 2025 Net external sales for three months ended Americas $ 261,930 $ 267,836 Europe 182,461 167,762 Asia Pacific 225,070 179,822 Total net external sales $ 669,461 $ 615,420 Long-lived assets Americas $ 421,462 $ 465,600 Europe 108,566 103,813 Asia Pacific 61,238 56,849 Total long-lived assets $ 591,266 $ 626,262 Net external sales in the United States were $ 198,523 for the three months ended January 31, 2026 and $ 208,820 for the three months ended January 31, 2025. Long-lived assets include property, plant and equipment - net and operating right of use lease assets. Long-lived assets in the U.S. were $ 412,713 and $ 450,029 as of January 31, 2026 and 2025, respectively. Investments The Company holds minority interests in certain companies that do not have readily determinable fair values. For each qualifying investment, the Company elects the measurement alternative under ASC 321, initially recognizing the investment at cost and subsequently adjusting the carrying amount for (i) impairment, and (ii) observable price changes in orderly transactions for an identical or similar investment of the same issuer. Investments subject to the measurement alternative are classified in Other assets on the Consolidated Balance Sheets and were $ 7,335 and $ 13,996 , at January 31, 2026 and October 31, 2025, respectively. Adjustments (upward or downward) and impairment losses, if any, are recognized in earnings within Other-net and were not material for fiscal 2026 and 2025. If a readily determinable fair value for the investments subsequently becomes available, we will be required to record the investment at fair value with any unrealized gains or losses being recognized in earnings each period. In December 2025, one of the Company's minority interest investments was publicly listed on a foreign stock exchange. The fair value of this investment is included in Other assets on the Consolidated Balance Sheets and was $ 29,238 as of January 31, 2026. The unrealized gain of $ 22,238 for the three months ended January 31, 2026 was included in Other-net in the Condensed Consolidated Statements of Income. Nordson is contractually restricted from selling any shares in this investment until December 2028 and there are no circumstances that could cause this restriction to lapse earlier. Page 14 Table of Contents Nordson Corporation Fair value measurements The inputs to the valuation techniques used to measure fair value are classified into the following categories: Level 1: Quoted market prices in active markets for identical assets or liabilities. Level 2: Observable market-based inputs or unobservable inputs that are corroborated by market data. Level 3: Unobservable inputs that are not corroborated by market data. The following tables present the classification of our assets and liabilities measured at fair value on a recurring basis: January 31, 2026 Total Level 1 Level 2 Level 3 Net derivative contracts (1) $ ( 59,465 ) $ — $ ( 59,465 ) $ — Deferred compensation plans (2) ( 13,356 ) — ( 13,356 ) — Minority interest investment (3) 29,238 29,238 — — October 31, 2025 Total Level 1 Level 2 Level 3 Net derivative contracts (1) $ ( 55,367 ) $ — $ ( 55,367 ) $ — Deferred compensation plans (2) ( 11,885 ) — ( 11,885 ) — (1) Derivative contracts are valued using an industry standard market approach, in which prices and other relevant information is generated by market transactions involving identical or comparable assets or liabilities. Refer to Derivative financial instruments note for balance sheet classification of derivatives. (2) Executive officers and other highly compensated employees may defer up to 100 % of their salary and annual cash incentive compensation and for executive officers, up to 90 % of their long-term incentive compensation, into various non-qualified deferred compensation plans. Deferrals can be allocated to various market performance measurement funds. Changes in the value of compensation deferred under these plans are recognized each period based on the fair value of the underlying measurement funds. (3) Refer to Investments note for additional details. The carrying amounts and fair values of financial instruments, other than cash and cash equivalents, receivables and accounts payable are shown in the table below. The carrying values of cash and cash equivalents, receivables and accounts payable approximate fair value due to the short-term nature of these instruments. January 31, 2026 October 31, 2025 Carrying Amount Fair Value Carrying Amount Fair Value Long-term debt (including current portion) $ 1,984,051 $ 2,041,426 $ 1,996,254 $ 2,038,869 Long-term debt is valued by discounting future cash flows at currently available rates for borrowing arrangements with similar terms and conditions, which are considered to be Level 2 inputs under the fair value hierarchy. The carrying amount of long-term debt is shown net of unamortized debt issuance costs and bond discounts as described in the Long-term debt Note. Derivative financial instruments The Company uses derivative instruments to manage foreign currency and interest rate risk as detailed below. The Company does not enter into derivative instruments for trading purposes. Foreign Currency Forward Contracts We operate internationally and enter into transactions denominated in foreign currencies. Consequently, we are subject to market risk arising from exchange rate movements between the dates foreign currency transactions occur and the dates they are settled. We regularly use foreign currency forward contracts to reduce our risks related to most of these transactions. These contracts usually have maturities of 90 days or less and generally require us to exchange foreign currencies for U.S. dollars at maturity, at rates stated in the contracts. These contracts are not designated as hedging instruments under U.S. GAAP. The settlement of these contracts is recorded in operating activities on the Consolidated Statement of Cash Flows. We are exposed to credit-related losses in the event of nonperformance by counterparties to financial instruments. These financial instruments include cash deposits and foreign currency forward contracts. We periodically monitor the credit ratings of these counterparties in order to minimize our exposure. Our customers represent a wide variety of industries and geographic regions. As of January 31, 2026 and 2025, there were no significant concentrations of credit risk. Page 15 Table of Contents Nordson Corporation Net Investment Hedges Net assets of our foreign subsidiaries are exposed to volatility in foreign currency exchange rates. We may utilize net investment hedges to offset the translation adjustment arising from re-measuring our investment in foreign subsidiaries. The Company is a party to various cross currency swaps between the U.S. dollar and Euro, Japanese Yen, Taiwan dollar, Singapore dollar and Chinese Yuan, which were designated as hedges of our net investments in certain foreign subsidiaries to mitigate the foreign exchange risk associated with certain investments in these subsidiaries. Any increases or decreases related to the remeasurement of the effective portion of the hedges are recorded in the currency translation component of Accumulated other comprehensive income (loss) within Shareholders' Equity in the Consolidated Balance Sheets until the sale or substantial liquidation of the underlying investments. The settlement of these hedges is recorded in investing activities on the Consolidated Statement of Cash Flows. The interest component is recorded in operating activities on the Consolidated Statement of Cash Flows. Fair Value Hedges of Interest Rate Risk The Company is exposed to changes in the fair value of certain of its fixed-rate liabilities due to changes in benchmark interest rates. The Company uses interest rate swaps to manage its exposure to changes in fair value on these instruments attributable to changes in the designated benchmark interest rate, the Secured Overnight Financing Rate ("SOFR"), with the objective of minimizing the cost of borrowed funds. The Company's interest rate swaps involve the receipt of fixed-rate amounts from a counterparty in exchange for the Company making variable-rate payments without the exchange of the underlying notional amount. The Company's interest rate swaps are designated and qualify as fair value hedges. As a result, the interest rate swaps are measured at fair value and the carrying value of the hedged debt is adjusted for the change in value related to the exposure being hedged, with both adjustments offset to earnings. Accordingly, the earnings effect of an increase in the fair value of the interest rate swaps will be substantially offset by the earnings effect of the increase in the carrying value of the hedged debt. The following table provides information regarding the Company's outstanding interest rate derivatives that were used to hedge changes in fair value attributable to interest rate risk: Interest rate swaps - notional amount Cumulative adjustment to long-term debt from application of hedge accounting Carrying value of hedged debt Interest rate swaps $ 300,000 $ 9,131 $ 309,131 The following table provides information regarding the balance sheet and income statement impacts of the Company's derivatives: January 31, 2026 Notional Amount $ Prepaid and other current assets Other assets Accrued liabilities Other long-term liabilities Type of hedge Derivatives designated as hedges: Cross-currency swap $ 928,098 $ 3,839 $ — $ 10,041 $ 75,583 Net investment Interest rate swap 300,000 1,396 7,735 — — Fair value Derivatives not designated as hedges: Foreign currency forward contracts 1,036,125 14,704 — 1,515 — Total $ 19,939 $ 7,735 $ 11,556 $ 75,583 Page 16 Table of Contents Nordson Corporation October 31, 2025 Notional Amount $ Prepaid and other current assets Other assets Accrued liabilities Other long-term liabilities Type of hedge Derivatives designated as hedges: Cross-currency swap $ 863,904 $ 5,937 $ 73 $ — $ 10,675 $ 676 $ 61,725 Net investment Interest rate swap 300,000 1,133 10,353 — — Fair value Derivatives not designated as hedges: Foreign currency forward contracts 1,137,956 4,961 — 15,350 — Total $ 12,031 $ 10,353 $ 16,026 $ 61,725 Gain (Loss) Recognized Location January 31, 2026 January 31, 2025 Derivatives designated as hedges: Interest rate swaps $ ( 2,355 ) $ 2,986 Interest expense Hedged item $ 2,355 $ ( 2,986 ) Interest expense Cross-currency swap - interest component $ 3,628 $ 3,737 Interest expense Cross-currency swap - effective portion $ ( 26,560 ) $ 37,038 Cumulative translation Derivatives not designated as hedges Foreign currency forward contracts $ 23,579 $ ( 4,363 ) Other-net Foreign currency balance sheet remeasurement $ ( 25,873 ) $ 4,694 Other-net Long-term debt A summary of long-term debt is as follows: January 31, 2026 October 31, 2025 Notes Payable $ 4,312 $ — Revolving credit agreement, due 2031 400,000 — Revolving credit agreement, due 2028 — 135,000 Term loan due 2026 — 265,000 Senior notes, due 2026-2027 20,000 20,000 Senior notes, due 2026-2030 130,000 130,000 5.600% Notes due 2028 350,000 350,000 5.800% Notes due 2033 500,000 500,000 4.500% Notes due 2029 600,000 600,000 2,004,312 2,000,000 Less current maturities 54,312 315,000 Less unamortized debt issuance costs 13,978 13,167 Less bond discounts 1,971 2,065 Plus impact of interest rate swaps 9,131 11,486 Long-term maturities $ 1,943,182 $ 1,681,254 Page 17 Table of Contents Nordson Corporation Revolving credit agreement — In January 2026, we entered into a $ 1,200,000 senior unsecured multicurrency revolving credit facility with a group of banks, maturing in January 2031 (the “Revolving Credit Agreement”), which amended and restated the Company’s previous unsecured senior credit agreement, dated June 6, 2023, that included a term loan facility in the aggregate principal amount of $ 300,000 , maturing in June 2026, and a multicurrency revolving credit facility in the aggregate principal amount of $ 922,500 , maturing in June 2028. The Company borrowed and had $ 400,000 outstanding on the Revolving Credit Agreement as of January 31, 2026. The Revolving Credit Agreement permits borrowing in U.S. Dollars, Euros, Sterling, Swiss Francs, Singapore Dollars, Japanese Yen, and each other currency approved by the Revolving Agent and the Revolving Credit Banks (each as defined in the Revolving Credit Agreement). Loans under the Revolving Credit Agreement bear interest at the sum of (i) either a base rate or, depending on the currency, a SOFR rate, EURIBOR rate, TIBOR rate, SORA rate, SONIA rate or SARON rate (each as defined in the Revolving Credit Agreement) plus (ii) an applicable margin. The applicable margin is based on either the Company’s Leverage Ratio (as defined in the Revolving Credit Agreement) or then current Debt Rating (as defined in the Revolving Credit Agreement). The weighted-average interest rate at January 31, 2026 was 4.69 %. Senior notes, due 2026-2027 — These unsecured fixed-rate notes entered into in 2015 with a group of insurance companies have a remaining weighted-average life of 0.99 years. The weighted-average interest rate at January 31, 2026 was 3.19 %. Senior notes, due 2026-2030 — These unsecured fixed-rate notes entered into in 2018 with a group of insurance companies have a remaining weighted-average life of 2.39 years. The weighted-average interest rate at January 31, 2026 was 4.08 %. 5.600% Notes due 2028 and 5.800% Notes due 2033 — In September 2023, we completed an underwritten public offering of $ 350,000 aggregate principal amount of 5.600 % Notes due 2028 and $ 500,000 aggregate principal amount of 5.800 % Notes due 2033. 4.500% Notes due 2029 — In September 2024, we completed an underwritten public offering of $ 600,000 aggregate principal amount of 4.500 % Notes due 2029. We were in compliance with all covenants at January 31, 2026, and the amount we could borrow would not have been limited by any debt covenants. Contingencies We are involved in pending or potential litigation regarding environmental, product liability, patent, contract, employee and other matters arising from the normal course of business. After consultation with legal counsel, we do not believe that losses in excess of the amounts we have accrued would have a material adverse effect on our financial condition, quarterly or annual operating results or cash flows. Page 18 Table of Contents Nordson Corporation