NYSE$RPM
RPM International Inc · Q3 2021 earnings
Q3 2021 earnings · · Investor relations
Briefing
Record sales, earnings, and cash from operations were achieved, with net income increasing significantly due to the MAP to Growth program.
RPM International Inc. reported record third-quarter sales of $1.27 billion, an 8.1% increase year-over-year. Net income increased by 222.6% to $38.2 million, and diluted EPS increased by 222.2% to $0.29. Adjusted diluted EPS increased by 65.2% to $0.38. The company's MAP to Growth operating improvement program generated leverage to the bottom line.
- Record third-quarter sales, earnings and cash from operations achieved.
- Sales increased 8.1% to $1.27 billion.
- Net income increased 222.6% to $38.2 million due to the MAP to Growth operating improvement program.
- Diluted EPS increased 222.2% to $0.29; adjusted diluted EPS increased 65.2% to $0.38.
Headline financials
Revenue & EPS history
RPM · Revenue · Quarterly
$1.27B
Revenue by segment
RPM · $1.18B total across 3 segments · Q2 2019
- Construction Products$467M—39.5%
- Consumer$425M—35.9%
- Performance Coatings$292M—24.6%
Forward guidance
The company expects fiscal 2021 fourth-quarter sales to increase by double digits compared to the fiscal 2020 fourth quarter. Adjusted EBIT is expected to increase double digits, but below the rate of sales growth. Excluding our non-operating segment, adjusted EBIT for our four operating segments in total is expected to increase by more than 20%.
Tailwinds
- Fiscal 2021 fourth-quarter sales are expected to increase by double digits compared to the fiscal 2020 fourth quarter.
- Last year’s fourth quarter should prove to be an easier revenue comparison because it was heavily impacted by the onset of the pandemic.
- Adjusted EBIT for our four operating segments in total is expected to increase by more than 20%.
- At the conclusion of our fourth quarter, we expect to exceed the targeted MAP to Growth program’s planned run rate of $290 million in annualized savings.
- Our goal is to return to the exceptional revenue growth rates that have been a hallmark of RPM since its founding in 1947.
Headwinds
- Our earnings comparison versus last year will be more challenging because of raw material inflation.
- There is currently a great deal of volatility around input costs and uncertainty regarding material availability.
- Inflation is expected to be significant in our fourth quarter and into the first quarter of fiscal 2022.
- There is also much uncertainty related to the breadth and speed at which global economies reopen as people become vaccinated.
- Fourth quarter adjusted EBIT is expected to increase double digits, but below the rate of sales growth.
Historical earnings impact
How earnings announcements have historically affected this stock's price.
Avg. return before/after earnings
Based on 20 quarterly earnings reports · overlaid with Q3 2021
-0.1%
Avg return
Earnings day
+0.7%
Avg return
5 days after
+1.7%
Avg return
30 days after
51%
35 / 68 earnings
Positive
+12.5%
Q4 2023
Best reaction
-11.7%
Q2 2023
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q3 2026 | -0.7% | +13.2% | +4.2% | |
| Q2 2026 | +1.7% | +6.5% | +11.6% | |
| Q1 2026 | -0.8% | -3.1% | -7.3% | |
| Q4 2025 | -2.4% | -1.2% | +10.1% | |
| Q3 2025 | -9.1% | -2.2% | +3.9% | |
| Q2 2025 | +1.8% | +0.0% | +2.6% | |
| Q1 2025 | +6.0% | +7.6% | +5.3% | |
| Q4 2024 | +6.0% | +7.9% | +4.9% | |
| Q3 2024 | -4.7% | -4.6% | -7.8% | |
| Q2 2024 | -2.2% | -1.3% | -0.6% | |
| Q1 2024 | +6.3% | +5.4% | +3.8% | |
| Q4 2023 | +12.5% | +10.4% | +6.6% | |
| Q3 2023 | -2.6% | -2.6% | -3.7% | |
| Q2 2023 | -11.7% | -11.4% | -6.8% | |
| Q1 2023 | +5.6% | +1.3% | +3.3% | |
| Q4 2022 | +0.4% | +5.0% | +7.6% | |
| Q3 2022 | +4.0% | +3.8% | +1.5% | |
| Q2 2022 | -2.8% | -5.3% | -11.0% | |
| Q1 2022 | +0.4% | +0.4% | +12.9% | |
| Q4 2021 | -3.7% | -1.8% | -5.4% | |
| Q3 2021 | -2.7% | -2.4% | +3.3% | |
| Q2 2021 | -1.2% | -1.0% | -2.9% | |
| Q1 2021 | +2.8% | +4.5% | +9.7% | |
| Q4 2020 | +2.1% | +2.4% | +7.8% | |
| Q3 2020 | +5.4% | +3.7% | +10.2% | |
| Q2 2020 | -1.8% | -1.0% | +0.4% | |
| Q1 2020 | +0.3% | +1.3% | +8.8% | |
| Q4 2019 | +5.6% | +7.9% | +9.5% | |
| Q3 2019 | +1.0% | +1.0% | +3.0% | |
| Q2 2019 | -3.8% | +0.7% | +4.4% | |
| Q1 2019 | -6.3% | -5.3% | -2.3% | |
| Q4 2018 | +1.4% | +2.4% | +5.1% | |
| Q3 2018 | -1.2% | +2.2% | +2.3% | |
| Q2 2018 | +1.9% | +0.1% | -4.6% | |
| Q1 2018 | -2.4% | -3.0% | -0.0% | |
| Q4 2017 | -3.9% | -4.6% | -11.0% | |
| Q3 2017 | -2.6% | -3.4% | -2.0% | |
| Q2 2017 | -3.5% | -4.9% | -5.6% | |
| Q1 2017 | -4.8% | -6.9% | -10.6% | |
| Q4 2016 | +6.2% | +4.5% | +6.5% | |
| Q3 2016 | +1.3% | — | — | |
| Q2 2016 | -3.0% | — | — | |
| Q1 2016 | +0.8% | — | — | |
| Q4 2015 | +0.6% | — | — | |
| Q3 2015 | -1.9% | — | — | |
| Q2 2015 | -4.5% | — | — | |
| Q1 2015 | -3.6% | — | — | |
| Q4 2014 | +2.5% | — | — | |
| Q3 2014 | +2.1% | — | — | |
| Q2 2014 | +2.0% | — | — | |
| Q1 2014 | +3.8% | — | — | |
| Q4 2013 | +3.7% | — | — | |
| Q3 2013 | -2.2% | — | — | |
| Q2 2013 | +1.1% | — | — | |
| Q1 2013 | +2.3% | — | — | |
| Q4 2012 | -2.4% | — | — | |
| Q3 2012 | -0.9% | — | — | |
| Q2 2012 | -6.4% | — | — | |
| Q1 2012 | +1.6% | — | — | |
| Q4 2009 | -2.8% | — | — | |
| Q4 2011 | -2.8% | — | — | |
| Q3 2010 | -1.2% | — | — | |
| Q3 2011 | -1.2% | — | — | |
| Q2 2010 | +2.1% | — | — | |
| Q2 2011 | +2.1% | — | — | |
| Q1 2011 | +1.4% | — | — | |
| Q4 2010 | +1.4% | — | — | |
| Q1 2010 | +1.4% | — | — |
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