The realignment of Nordson Corporation will reflect its focus on diversification and profitable growth strategies.
Nordson Corporation has recently announced a strategic business segment realignment that will reinforces the company’s long-term profitable growth strategy. From 1st August 2022, Nordson will reorganise into three financial reporting segments: Medical and Fluid Solutions (MFS), Advanced Technology Solutions (ATS) and Industrial Precision Solutions (IPS).
“Nordson’s success has been driven by its customer-centric business model, commitment to innovation and end market diversification. Over the past two years, we’ve added to these strengths through the deployment of the NBS Next growth framework, which gives us a clear view of our greatest growth opportunities,” has stated Sundaram Nagarajan, president and CEO of Nordson. “Today’s 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 new MFS segment will be led by Stephen Lovass, the executive vice-president of Nordson, and will include the fluid management solutions for the medical and high-tech industrial markets. Its plastic tubing, balloons, catheters, syringes, cartridges, tips and fluid connection components are used to dispense or control fluids within medical devices or products, as well as production processes. In fiscal 2021, MFS had revenues of approximately $0.6 billion.
The other executive vice-president Srinivas Subramanian will be in charge of the ATS segment, which will now focus on products and technologies for electronics production processes, such as surface treatment, precisely controlled dispensing of material and test and inspection to ensure quality and reliability. The application fields include semiconductors, printed circuit boards, electronic components and automotive electronics. In fiscal 2021, ATS had revenues of approximately $0.5 billion.
The IPS segment, that delivers both standard and customised equipment as well as dispensing and processing technology, will still be led by Jeffrey Pembroke. The product range of the division reduces material consumption, increases line efficiency and enhances product appearance. Its components are used for dispensing adhesives, coatings, paint, finishes, sealants and other materials for the industrial and consumer durables and non-durables markets. In fiscal 2021, IPS had revenues of approximately $1.2 billion.
Nordson will provide historic financials reflecting its realignment following the third quarter fiscal 2022 10-Q filing.