RPM Q3: Weather, Foreign Currency, and Lower Demand Weigh on Performance, Guidance Sees Modest Growth Ahead

RPM International Inc. (NYSE:RPM) shares are trading lower after the company reported fiscal third-quarter results.

Sales declined 3% year over year to $1.48 billion, missing the consensus of $1.51 billion.

Sales decreased due to weak demand from specialty OEM manufacturing end markets and unfavorable weather conditions.

Geographically, sales decreased in North America, while Latin America and Asia / Pacific declined.

Adjusted EPS was $0.35, missing the consensus of $0.49.

Adjusted EBIT fell 29% to $78.2 million due to reduced production volumes, adverse foreign currency impacts, and temporary costs related to MAP 2025 plant consolidations and start-up activities.

For the nine months ended Feb. 28, operating cash flow was $619.0 million, supported by MAP 2025-driven efficiency.

Total debt decreased to $2.10 billion from $2.19 billion, driven by the reduction of $0.09 billion on improved cash flow to repay higher-cost debt.

Capital expenditures rose to $158.9 million from $138.1 million a year ago, driven by investments in shared RPM centers, a new production facility in India, and ...

https://www.benzinga.com/news/earnings/25/04/44694248/rpm-q3-weather-foreign-currency-and-lower-demand-weigh-on-performance-guidance-sees-modest-growth-a