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Retirement, Pension and Other Postretirement Plans
 12 Months Ended
Oct. 31, 2025
Retirement Benefits [Abstract]  
Retirement, Pension and Other Postretirement Plans
Note 7 — Retirement, pension and other postretirement plans
Retirement plans — We have funded contributory retirement plans covering certain employees. Our contributions are primarily determined by the terms of the plans, subject to the limitation that they shall not exceed the amounts deductible for income tax purposes. We also sponsor unfunded contributory supplemental retirement plans for certain employees. Generally, benefits under these plans vest gradually over a period of approximately three years from date of employment and are based on the employee’s contribution. The expense applicable to retirement plans for 2025, 2024 and 2023 was approximately $32,351, $30,564 and $29,511, respectively.
Pension plans — We have various pension plans covering a portion of our United States and international employees. Pension plan benefits are generally based on years of employment and, for salaried employees, the level of compensation. Actuarially determined amounts are contributed to United States plans to provide sufficient assets to meet future benefit payment requirements. We also sponsor an unfunded supplemental pension plan for certain employees. International subsidiaries fund their pension plans according to local requirements.
A reconciliation of the benefit obligations, plan assets, accrued benefit cost and the amount recognized in financial statements for pension plans is as follows:
United StatesInternational
2025202420252024
Change in benefit obligation:    
Benefit obligation at beginning of year$368,348 $319,186 $69,363 $62,813 
Service cost10,123 10,043 604 942 
Interest cost18,766 18,975 2,526 2,766 
Participant contributions— — 70 82 
Settlements— (1,659)— (805)
Foreign currency exchange rate change— — 2,820 2,320 
Actuarial (gain) loss(10,835)30,709 (13,798)4,086 
Benefits paid(10,836)(8,906)(2,641)(2,841)
Benefit obligation at end of year$375,566 $368,348 $58,944 $69,363 
Change in plan assets:
Beginning fair value of plan assets$366,042 $321,676 $44,829 $39,863 
Actual return on plan assets25,118 52,744 (5,977)4,460 
Company contributions10,509 2,187 1,606 2,104 
Participant contributions— — 70 82 
Settlements— (1,659)— (805)
Foreign currency exchange rate change— — 1,043 1,966 
Benefits paid(10,836)(8,906)(2,641)(2,841)
Ending fair value of plan assets$390,833 $366,042 $38,930 $44,829 
Funded status at end of year$15,267 $(2,306)$(20,014)$(24,534)
Amounts recognized in financial statements:
Noncurrent asset$25,446 $7,320 $14,318 $13,716 
Accrued benefit liability(1,306)(977)— (6)
Long-term pension obligations(8,873)(8,649)(34,332)(38,244)
Total amount recognized in financial statements$15,267 $(2,306)$(20,014)$(24,534)
 
The net actuarial gain included in the projected benefit obligation for the U.S. and international pension plans for 2025 was primarily due to higher discount rates and gains due to changes in demographic assumptions and demographic experience. The net actuarial loss included in the projected benefit obligation for the United States and international pension plans for 2024 was primarily due to lower discount rates partially offset by gains due to demographic experience.
Amounts recognized in accumulated other comprehensive loss (income):
 United StatesInternational
 2025202420252024
Net actuarial loss (gain)$95,616 $107,027 $(8,225)$(2,312)
Prior service cost (credit)— — (82)(88)
Accumulated other comprehensive loss (income)$95,616 $107,027 $(8,307)$(2,400)
The following table summarizes the changes in accumulated other comprehensive loss (income): 
United StatesInternational
2025202420252024
Balance at beginning of year$107,027 $102,506 $(2,400)$(3,213)
Net loss (gain) arising during the year(9,516)4,577 (6,109)1,197 
Net gain (loss) recognized during the year(1,895)— 325 (29)
Prior service adjustment recognized during the year— — 8 8 
Settlement gain (loss) recognized during the year— (56)— (95)
Exchange rate effect during the year— — (131)(268)
Balance at end of year$95,616 $107,027 $(8,307)$(2,400)
Information regarding the funded status of the Company's plans is as follows:
United StatesInternational
2025202420252024
For plans with accumulated benefit obligation in excess of plan assets:
Accumulated benefit obligation$9,462 $10,121 $37,518 $41,647 
Fair value of plan assets— — 4,580 5,323 
For plans with projected benefit obligation in excess of plan assets:
Projected benefit obligation10,179 9,626 38,911 43,574 
Fair value of plan assets— — 4,580 5,323 
Net periodic pension costs include the following components:
United StatesInternational
202520242023202520242023
Service cost$10,123 $10,043 $10,973 $604 $942 $1,096 
Interest cost18,766 18,975 16,699 2,526 2,766 2,513 
Expected return on plan assets(26,437)(26,611)(26,116)(2,499)(1,626)(1,532)
Amortization of prior service credit— — — (8)(8)(50)
Amortization of net actuarial (gain) loss1,895 — — (325)29 79 
Settlement loss (gain)— 56 90 — 95 (425)
Curtailment gain— — — — — (2)
Total benefit cost$4,347 $2,463 $1,646 $298 $2,198 $1,679 
Net periodic pension cost for 2024 included a settlement loss of $151 due to lump sum retirement payments. Net periodic pension cost for 2023 included a settlement gain of $335 due to lump sum retirement payments.
The components of net periodic pension cost other than service cost are included in Other – net in our Consolidated Statements of Income.
The weighted average assumptions used in the valuation of pension benefits were as follows:
United StatesInternational
202520242023202520242023
Weighted average assumptions used to determine benefit obligations at October 31:
Discount rate5.35 %5.27 %6.08 %4.50 %3.80 %4.35 %
Rate of compensation increase3.28 3.96 3.92 3.13 3.08 2.96 
Weighted average assumptions used to determine net benefit costs for the years ended October 31:
Discount rate - benefit obligation5.27 6.08 5.70 3.80 4.35 3.78 
Discount rate - service cost5.38 6.18 5.89 4.02 3.48 2.88 
Discount rate - interest cost5.03 5.84 5.37 3.96 4.28 3.85 
Expected return on plan assets6.50 6.50 6.40 4.50 4.04 3.75 
Rate of compensation increase3.96 3.92 3.87 3.08 2.96 3.44 
The amortization of prior service cost is determined using a straight-line amortization of the cost over the average remaining service period of employees expected to receive benefits under the plans.
The discount rate reflects the current rate at which pension liabilities could be effectively settled at the end of the year. The discount rate used considers a yield derived from matching projected pension payments with maturities of a portfolio of available bonds that receive the highest rating given from a recognized investments ratings agency. The changes in the discount rates in 2025, 2024 and 2023 are due to changes in yields for these types of investments as a result of the economic environment.
In determining the expected return on plan assets using the calculated value of plan assets, we consider both historical performance and an estimate of future long-term rates of return on assets similar to those in our plans. We consult with and consider the opinions of financial and other professionals in developing appropriate return assumptions. The rate of compensation increase is based on management’s estimates using historical experience and expected increases in rates.
In 2024 and 2023, the international plans include a cash balance plan with promised interest crediting rates. The weighted average crediting rates were 1.10 percent and 0.70 percent for 2024 and 2023, respectively.
Net actuarial gains or losses are amortized to expense on a plan-by-plan basis when exceeding the accounting corridor, which is set at 10 percent of the greater of the plan assets or benefit obligations. Gains or losses within the corridor remain in other comprehensive income and are retested in subsequent measurements. Gains or losses outside of the corridor are subject to amortization over an average employee future service period that differs by plan. If substantially all of the plan’s participants are no longer actively accruing benefits, the average life expectancy is used.  
The allocation of pension plan assets as of October 31, 2025 and 2024 is as follows:
 United StatesInternational
 2025202420252024
Asset Category
Equity securities6 %3 %— %— %
Debt securities44 45 — — 
Insurance contracts— — 17 17 
Pooled investment funds50 51 81 82 
Other— 1 2 1 
Total100 %100 %100 %100 %
Our investment objective for defined benefit plan assets is to meet the plans’ benefit obligations, while minimizing the potential for future required plan contributions.
Our U.S. plans comprise 91 percent of the Company's worldwide pension assets. In general, the investment strategies focus on asset class diversification, liquidity to meet benefit payments, and an appropriate balance of long-term investment return and risk. Target ranges for asset allocations are determined by dynamically matching the actuarial projections of the plans’ future liabilities and benefit payments with expected long-term rates of return on the assets, taking into account investment return volatility and correlations across asset classes. For 2025, the target in “return-seeking assets” is 30 percent and 70 percent in longer duration fixed income assets. Plan assets are diversified across multiple investment managers and are invested in liquid funds that are selected to track broad market indices. Investment risk is carefully controlled with plan assets rebalanced to target allocations on a periodic basis and continual monitoring of investment managers’ performance relative to the guidelines established with each investment manager.
Our international plans comprise 9 percent of the Company's worldwide pension assets. Asset allocations are developed on a country-specific basis. Our investment strategy is to cover pension obligations with insurance contracts or to employ independent managers to invest the assets.
The fair values of our pension plan assets at October 31, 2025 by asset category are in the table below:
United StatesInternational
TotalLevel 1Level 2Level 3TotalLevel 1Level 2Level 3
Cash$31 $31 $— $— $746 $746 $— $— 
Money market funds11,782 11,782 — — — — — — 
Equity securities:
Basic materials590 590 — — — — — — 
Consumer goods1,544 1,544 — — — — — — 
Financial2,580 2,580 — — — — — — 
Healthcare1,737 1,737 — — — — — — 
Industrial goods2,912 2,912 — — — — — — 
Technology2,038 2,038 — — — — — — 
Fixed income securities:
U.S. Government65,184 — 65,184 — — — — — 
Corporate101,449 — 101,449 — — — — — 
Other7,413 — 7,413 — — — — — 
Other types of investments:
Insurance contracts— — — — 6,448 — — 6,448 
Other(1,144)(1,144)— — — — — — 
Total investments in the fair value hierarchy$196,116 $22,070 $174,046 $— $7,194 $746 $— $6,448 
Investments measured at Net Asset Value:
Real estate collective funds$27,887 $— 
Pooled investment funds166,830 31,736 
Total Investments at Fair Value$390,833 $38,930 
The fair values of our pension plan assets at October 31, 2024 by asset category are in the table below:
United StatesInternational
TotalLevel 1Level 2Level 3TotalLevel 1Level 2Level 3
Cash$— $— $— $— $442 $442 $— $— 
Equity securities:
Basic materials683 683 — — — — — — 
Consumer goods1,788 1,788 — — — — — — 
Financial2,461 2,461 — — — — — — 
Healthcare1,811 1,811 — — — — — — 
Industrial goods2,021 2,021 — — — — — — 
Technology2,104 2,104 — — — — — — 
Fixed income securities:
U.S.  Government58,000 — 58,000 — — — — — 
Corporate100,909 — 100,909 — — — — — 
Other5,879 — 5,879 — — — — — 
Other types of investments:
Insurance contracts— — — — 7,390 — — 7,390 
Other1,524 1,524 — — — — — — 
Total investments in the fair value hierarchy$177,180 $12,392 $164,788 $— $7,832 $442 $— $7,390 
Investments measured at Net Asset Value:
Real estate collective funds$33,270 $—  
Pooled investment funds155,592 36,997 
Total Investments at Fair Value$366,042 $44,829 
These investment funds did not own a significant number of Nordson Corporation common shares for any year presented.
The inputs and methodology used to measure fair value of plan assets are consistent with those described in Note 11. Following are the valuation methodologies used to measure these assets:
•Money market funds - Money market funds are public investment vehicles that are valued with a net asset value of one dollar. This value is a quoted price in an active market and is classified as Level 1.
•Equity securities - Common stocks and mutual funds are valued at the closing price reported on the active market on which the individual securities are traded and are classified as Level 1.
•Fixed income securities - U.S. government securities are valued using bid evaluations and are classified as Level 2. Corporate fixed income securities are valued using evaluated prices, such as dealer quotes, bids and offers and are therefore classified as Level 2.
•Insurance contracts - Insurance contracts are investments with various insurance companies. The contract value represents the best estimate of fair value. These contracts do not hold any specific assets. These investments are classified as Level 3.
•Real estate collective funds – These funds are valued using the net asset value of the underlying properties. Net asset value is calculated using a combination of key inputs, such as revenue and expense growth rates, terminal capitalization rates and discount rates.
•Pooled investment funds - These are public investment vehicles valued using the net asset value. The net asset value is based on the value of the assets owned by the plan, less liabilities. These investments are not quoted on an active exchange.
The following tables present an analysis of changes during the years ended October 31, 2025 and 2024 in Level 3 plan assets, by plan asset class, for U.S. and international pension plans using significant unobservable inputs to measure fair value:
Fair Value Measurements
Using Significant Unobservable
Inputs (Level 3)
Insurance
contracts
Beginning balance at October 31, 2024$7,390 
Actual return on plan assets:
Purchases1,339 
Sales(2,720)
Unrealized gains124 
Foreign currency translation315 
Ending balance at October 31, 2025$6,448 
Fair Value Measurements
Using Significant Unobservable
Inputs (Level 3)
Insurance
contracts
Beginning balance at October 31, 2023$12,224 
Actual return on plan assets:
Purchases1,428 
Sales(7,010)
Settlements(214)
Unrealized gains440 
Foreign currency translation522 
Ending balance at October 31, 2024$7,390 
Contributions to pension plans in 2026 are estimated to be approximately $3,171.
Retiree pension benefit payments, which include expected future service, are anticipated to be paid as follows:
YearUnited StatesInternational
2026$13,677 $3,139 
2027$15,833 $3,349 
2028$17,849 $3,050 
2029$19,901 $3,299 
2030$21,535 $3,418 
2031-2035$127,749 $18,125 
Other postretirement plans - We sponsor an unfunded postretirement health care benefit plan covering certain of our United States employees. Employees hired after January 1, 2002, are not eligible to participate in this plan. For eligible retirees under the age of 65 who enroll in the plan, the plan is contributory in nature, with retiree contributions in the form of premiums that are adjusted annually. For eligible retirees age 65 and older who enroll in the plan, the plan delivers a benefit in the form of a Health Reimbursement Account ("HRA"), which retirees use for eligible reimbursable expenses, including premiums paid for purchase of a Medicare supplement plan or other out-of-pocket medical expenses such as deductibles or co-pays.
A reconciliation of the benefit obligations, accrued benefit cost and the amount recognized in financial statements for other postretirement plans in the United States is as follows:
 20252024
Change in benefit obligation:  
Benefit obligation at beginning of year$54,252 $53,433 
Service cost234 281 
Interest cost2,602 3,018 
Participant contributions533 580 
Actuarial (gain) loss(7,198)623 
Benefits paid(4,027)(3,683)
Benefit obligation at end of year$46,396 $54,252 
Change in plan assets:
Beginning fair value of plan assets$— $— 
Company contributions3,494 3,103 
Participant contributions533 580 
Benefits paid(4,027)(3,683)
Ending fair value of plan assets$— $— 
Funded status at end of year$(46,396)$(54,252)
Amounts recognized in financial statements:
Accrued benefit liability$(2,842)$(2,890)
Long-term postretirement obligations(43,554)(51,362)
Total amount recognized in financial statements$(46,396)$(54,252)
The following table summarizes the changes in accumulated other comprehensive (gain) loss:
 20252024
Balance at beginning of year$(11,122)$(12,336)
Net (gain) loss arising during the year(7,197)623 
Net gain recognized during the year502 591 
Balance at end of year$(17,817)$(11,122)
Net postretirement benefit costs include the following components:
 202520242023
Service cost$234 $281 $399 
Interest cost2,602 3,018 3,063 
Amortization of net actuarial gain(502)(591)— 
Total benefit cost$2,334 $2,708 $3,462 
The components of net postretirement benefit cost other than service cost are included in Other – net in our Consolidated Statements of Income.
The weighted average assumptions used in the valuation of postretirement benefits were as follows:
 202520242023
Assumptions used to determine benefit obligations at October 31:
Discount rate5.15 %5.18 %6.02 %
Health care cost trend rate2.32 2.25 3.40 
Rate to which health care cost trend rate is assumed to incline/decline (ultimate trend rate)1.85 1.80 3.16 
Year the rate reaches the ultimate trend rate203420332032
Assumption used to determine net benefit costs for the years ended October 31:
Discount rate benefit obligation5.18 %6.02 %5.59 %
Discount rate service cost5.44 6.26 6.00 
Discount rate interest cost4.90 5.76 5.22 
The weighted average health care trend rates reflect expected increases in the Company’s portion of the obligation. The decrease in the health care cost trend rates in 2024 for the U.S. postretirement plan was due to a reduction in the long-term increase assumption for the HRA benefit.
Net actuarial gains or losses are amortized to expense on a plan-by-plan basis when exceeding the accounting corridor, which is set at 10 percent of the greater of the plan assets or benefit obligations. Gains or losses outside of the corridor are subject to amortization over an average employee future service period that differs by plan. If substantially all of the plan’s participants are no longer actively accruing benefits, the average life expectancy is used.
Contributions to postretirement plans in 2026 are estimated to be approximately $2,842.
Retiree postretirement benefit payments are anticipated to be paid as follows:
Year
2026$2,842 
2027$3,034 
2028$3,170 
2029$3,268 
2030$3,370 
2031-2035$17,658