Nordson realigning into three business segments

Westlake, Ohio-based Nordson Corp., a maker of dispensing equipment for consumer and industrial adhesives, sealants and coatings, said it will reorganize into three financial reporting segments effective Aug. 1.

The segments are: Industrial Precision Solutions (IPS), led by Jeffrey A. Pembroke; Medical and Fluid Solutions (MFS), led by Stephen Lovass; and Advanced Technology Solutions (ATS), led by Srinivas Subramanian. All three segment leaders carry the title of executive vice president.

Nordson President and CEO, Sundaram Nagarajan, said in a statement that the realignment "gives us better visibility into our medical and electronics platforms, which have grown significantly through both organic and acquisitive opportunities. This new structure reflects the Nordson of today and enhances the company's ability to deliver the Ascend strategy goal of top-tier growth with leading margins and returns."

The Ascend strategy, launched in 2020, is made up of what Nagarajan calls three "interconnected" parts: a growth strategy, a talent strategy and an organizational structure.

Here's a look at the structure of the three segments.

Product lines for IPS commonly reduce material consumption, increase line efficiency through precision dispense and measurement and control, and enhance product brand and appearance. Components are used for dispensing adhesives, coatings, paint, finishes, sealants and other materials. This business primarily serves the industrial, consumer durables and non-durables markets.

In fiscal 2021, IPS had revenues of about $1.2 billion.

It will include Nordson's fluid management products 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.

The segment in fiscal 2021 had revenues of about $600 million.

The ATS segment will focus on products serving electronics end markets. ATS products integrate proprietary technologies found in progressive stages of an electronics customer's production processes, such as surface treatment, precisely controlled dispensing of material and test and inspection to ensure quality and reliability.

In fiscal 2021, the segment had revenues of about $500 million.

Nordson said it will provide historic financials reflecting the realignment following the third-quarter fiscal 2022 10-Q filing with the U.S. Securities and Exchange Commission.