RPM Reports Record Fiscal 2026 Third-Quarter Results

RPM Reports Record Fiscal 2026 Third-Quarter Results MEDINA, Ohio--( BUSINESS WIRE)--RPM International Inc. (NYSE: RPM), a world leader in specialty coatings, sealants and building materials, today reported financial results for its fiscal 2026 third quarter ended February 28, 2026.

Frank C. Sullivan, RPM chairman and CEO commented, “I am proud of our record third-quarter results. In a period of volatile market conditions, we generated volume growth and record sales by utilizing our competitive strengths and nimbly focusing on growing end markets. Aided by MAP operational improvement initiatives, we demonstrated our ability to combine growth with efficiency, leveraging higher volumes to expand margins across all segments and generating strong operating cash flow. I want to thank all RPM associates for their focused execution and commitment to the organization.”

Third-Quarter 2026 Consolidated Results

Consolidated

2026

2025

1,607,949

1,476,562

131,387

8.9

51,364

52,034

(670

)

(1.3

0.40

0.0

69,307

40,951

28,356

69.2

84,075

62,678

21,397

34.1

116,400

78,236

38,164

48.8

0.57

0.35

0.22

62.9

Record third-quarter sales were driven by engineered solutions for high-performance buildings, acquisitions and favorable foreign currency translation, which were partially offset by soft DIY demand. A rebound from the government shutdown and favorable comparisons to the prior-year, which was also hampered by harsh weather, contributed to the growth as well.

Geographically, Europe grew by 20.1% and was aided by M&A and favorable foreign exchange. North American sales grew 6.3%, driven by high-performance building solutions and acquisitions. All emerging markets grew and were led by Africa / Middle East, with growth driven by high-performance building and infrastructure projects, along with favorable foreign currency translation.

Sales included 3.0% organic growth, 3.5% growth from acquisitions, and a 2.4% benefit from foreign currency translation.

Adjusted EBIT was a record and was driven by higher sales and improved fixed-cost leverage from higher volumes, aided by MAP operational improvement initiatives. This more than offset increased healthcare expenses.

Record adjusted diluted EPS was primarily driven by improved adjusted EBIT.

Adjusted EBIT and adjusted EPS exclude costs related to MAP initiatives, including $22.1 million in pre-tax charges associated with SG&A-focused optimization actions that were implemented during the fiscal third quarter.

Third-Quarter 2026 Segment Sales and Earnings

2026

2025

546,665

494,845

51,820

10.5

22,884

8,065

14,819

183.7

23,612

8,607

15,005

174.3

30,312

10,873

19,439

178.8

Record CPG sales were driven by broad-based strength across its North American businesses, which include roofing solutions, wall systems and concrete admixtures. Foreign currency translation and a rebound from the government shutdown also contributed to the record sales.

Sales included 6.9% organic growth, 0.2% growth from acquisitions net of divestitures, and a 3.4% benefit from foreign currency translation.

Adjusted EBIT was driven by improved sales, mix, SG&A-focused optimization actions and fixed-cost leverage, which more than offset temporary inefficiencies from plant consolidations.

2026

2025

496,829

458,420

38,409

8.4

61,025

53,792

7,233

13.4

60,051

52,963

7,088

13.4

66,786

55,663

11,123

20.0

Record PCG sales were driven by broad-based growth across its businesses, and in particular, protective coatings and passive fire protection. Demand in emerging markets for infrastructure and high-performance building solutions was also strong and positive foreign currency translation contributed to sales.

Sales included 5.1% organic growth, a 0.9% increase from acquisitions, and a 2.4% benefit from foreign currency translation.

Record adjusted EBIT was driven by improved sales, SG&A-focused optimization actions and fixed-cost leverage.

2026

2025

564,455

523,297

41,158

7.9

45,750

44,139

1,611

3.6

45,730

44,405

1,325

3.0

58,518

50,883

7,635

15.0

The Consumer Group’s record sales were driven by acquisitions and pricing to recover inflation. This growth was partially offset by continued softness in DIY markets as well as product rationalization.

Sales included a 2.4% organic decline, 9.0% growth from acquisitions, and a 1.3% benefit from foreign currency translation.

The adjusted EBIT increase was driven by MAP operational improvements, including SG&A-focused optimization actions, which more than offset reduced fixed-cost leverage from lower volumes and temporary inefficiencies from facility closures and transitions. The integration of acquired businesses and product rationalization also contributed to adjusted EBIT growth.

Cash Flow and Financial Position

During the first nine months of fiscal 2026:

As of February 28, 2026:

Business Outlook

Sullivan said, “We expect to grow sales and adjusted EBIT again in the fourth quarter and deliver record results, even as we face more challenging comparisons and geopolitical uncertainty in the Middle East adds cost and complexity to the operating environment.”

He concluded, “As we have demonstrated in prior cycles, we remain focused on what we can control—outgrowing our underlying markets and driving efficiency improvements. Our center‑led procurement team is applying lessons learned from past supply chain disruptions to mitigate inflation and ensure supply, while we implement pricing actions to offset remaining cost pressures. I want to thank our associates globally—especially those in the Middle East—for their commitment to safety and their continued focus on serving customers during these uncertain times.”

The company’s outlook for the fiscal 2026 fourth quarter is:

Closing of Kalzip Acquisition

The company completed the previously announced acquisition of Kalzip GmbH (“Kalzip”), a global leader in the design and production of metal-based roofs and facades on March 31, 2026. Kalzip generated revenue of approximately €75.0 million in calendar year 2024 and is now part of the Construction Products Group.

Earnings Webcast and Conference Call Information

Management will host a conference call to discuss these results beginning at 10:00 a.m. ET today. The call can be accessed via webcast at www.RPMinc.com/Investors/Presentations-Webcasts or by dialing 1-844-481-2915 or 1-412-317-0708 for international callers and asking to join the RPM International call. Participants are asked to call the assigned number approximately 10 minutes before the conference call begins. The call, which will last approximately one hour, will be open to the public, but only financial analysts will be permitted to ask questions. The media and all other participants will be in a listen-only mode.

For those unable to listen to the live call, a replay will be available from April 8, 2026, until April 15, 2026. The replay can be accessed by dialing 1-855-669-9658 or 1-412-317-0088 for international callers. The access code is 9537849. The call also will be available for replay and as a written transcript via the RPM website at www.RPMinc.com.

About RPM

RPM International Inc. owns subsidiaries that are world leaders in specialty coatings, sealants, building materials and related services. The company operates across three reportable segments: consumer, construction products and performance coatings. RPM has a diverse portfolio of market-leading brands, including Rust-Oleum, DAP, Zinsser, Varathane, The Pink Stuff, Stonhard, Carboline, Tremco, Euclid Chemical, Dryvit and Nudura. From homes and workplaces to infrastructure and precious landmarks, RPM’s brands are trusted by consumers and professionals alike to help build a better world. The company employs approximately 17,800 individuals worldwide. Visit www.RPMinc.com to learn more.

For more information, contact Matt Schlarb, Vice President – Investor Relations & Sustainability, at 330-220-6064 or mschlarb@rpminc.com.

Use of Non-GAAP Financial Information

To supplement the financial information presented in accordance with Generally Accepted Accounting Principles in the United States (“GAAP”) in this earnings release, we use EBIT, adjusted EBIT and adjusted earnings per share, which are all non-GAAP financial measures. EBIT is defined as earnings (loss) before interest and taxes, with adjusted EBIT and adjusted earnings per share provided for the purpose of adjusting for one-off items impacting revenues and/or expenses that are not considered by management to be indicative of ongoing operations. We evaluate the profit performance of our segments based on income before income taxes, but also look to EBIT as a performance evaluation measure because interest income (expense), net is essentially related to corporate functions, as opposed to segment operations. For that reason, we believe EBIT is also useful to investors as a metric in their investment decisions. EBIT should not be considered an alternative to, or more meaningful than, income before income taxes as determined in accordance with GAAP, since EBIT omits the impact of interest and investment income or expense in determining operating performance, which represent items necessary to our continued operations, given our level of indebtedness. Nonetheless, EBIT is a key measure expected by and useful to our fixed income investors, rating agencies and the banking community all of whom believe, and we concur, that this measure is critical to the capital markets’ analysis of our segments’ core operating performance. We also evaluate EBIT because it is clear that movements in EBIT impact our ability to attract financing. Our underwriters and bankers consistently require inclusion of this measure in offering memoranda in conjunction with any debt underwriting or bank financing. EBIT may not be indicative of our historical operating results, nor is it meant to be predictive of potential future results. See the financial statement section of this earnings release for a reconciliation of EBIT and adjusted EBIT to income before income taxes, and adjusted earnings per share to earnings per share. We have not provided a reconciliation of our fourth-quarter fiscal 2026 adjusted EBIT guidance because material terms that impact such measure are not in our control and/or cannot be reasonably predicted, and therefore a reconciliation of such measure is not available without unreasonable effort.

Forward-Looking Statements

This press release includes forward-looking statements relating to our business. These forward-looking statements, or other statements made by us, are made based on our expectations and beliefs concerning future events impacting us and are subject to uncertainties and factors (including those specified below), which are difficult to predict and, in many instances, are beyond our control. As a result, our actual results could differ materially from those expressed in or implied by any such forward-looking statements. These uncertainties and factors include (a) global and regional markets and general economic conditions, including uncertainties surrounding the volatility in financial markets, the availability of capital and the viability of banks and other financial institutions; (b) the prices, supply and availability of raw materials, including assorted pigments, resins, solvents, and other natural gas- and oil-based materials; packaging, including plastic and metal containers; and transportation services, including fuel surcharges; (c) continued growth in demand for our products; (d) legal, environmental and litigation risks inherent in our businesses and risks related to the adequacy of our insurance coverage for such matters; (e) the effect of changes in interest rates; (f) the effect of fluctuations in currency exchange rates upon our foreign operations; (g) changes in global trade policies, including the adoption or expansion of tariffs and trade barriers; (h) the effect of non-currency risks of investing in and conducting operations in foreign countries, including those relating to domestic and international political, social, economic and regulatory factors; (i) risks and uncertainties associated with our ongoing acquisition and divestiture activities; (j) the timing of and the realization of anticipated cost savings from restructuring initiatives, the ability to identify additional cost savings opportunities, and the risks of failing to meet any other objectives of our improvement plans; (k) risks related to the adequacy of our contingent liability reserves; (l) risks relating to a public health crisis similar to the Covid pandemic; (m) risks related to acts of war similar to the recent conflict with Iran and the Russian invasion of Ukraine; (n) risks related to the transition or physical impacts of climate change and other natural disasters or meeting sustainability-related voluntary goals or regulatory requirements; (o) risks related to our or our third parties' use of technology including artificial intelligence, data breaches and data privacy violations; (p) the shift to remote work and online purchasing and the impact that has on residential and commercial real estate construction; and (q) other risks detailed in our filings with the Securities and Exchange Commission, including the risk factors set forth in our Form 10-K for the year ended May 31, 2025, as the same may be updated from time to time. We do not undertake any obligation to publicly update or revise any forward-looking statements to reflect future events, information or circumstances that arise after the filing date of this press release.

2026

2025

2026

2025

1,607,949

1,476,562

5,631,587

5,290,669

973,133

909,072

3,323,388

3,121,962

634,816

567,490

2,308,199

2,168,707

533,872

501,710

1,656,871

1,557,692

19,855

3,456

33,200

18,215

26,947

22,993

84,278

70,604

(12,179

)

(1,266

)

(35,609

)

(20,818

)

(2,986

)

(354

)

(8,890

)

(1,370

)

69,307

40,951

578,349

544,384

17,693

(11,363

)

137,421

80,066

51,614

52,314

440,928

464,318

250

280

752

1,388

51,364

52,034

440,176

462,930

0.40

0.41

3.45

3.61

0.40

3.43

3.59

127,045

127,536

127,156

127,628

127,507

128,154

127,707

128,315

2026

2025

2026

2025

546,665

494,845

2,165,550

2,043,318

496,829

458,420

1,569,113

1,459,611

564,455

523,297

1,896,924

1,787,740

1,607,949

1,476,562

5,631,587

5,290,669

22,884

8,065

280,825

277,008

(728

)

(542

)

(2,259

)

(1,910

)

23,612

8,607

283,084

278,918

6,700

2,007

15,380

6,457

259

(400

)

30,312

10,873

298,064

285,634

61,025

53,792

225,403

211,237

974

829

2,522

2,070

60,051

52,963

222,881

209,167

6,634

1,921

13,587

7,380

101

497

142

497

(237

)

282

66,786

55,663

236,610

217,089

45,750

44,139

255,180

236,824

(266

)

(236

)

(1,080

)

45,730

44,405

255,416

237,904

12,788

6,478

17,752

25,397

7,903

(12,707

)

58,518

50,883

268,364

263,301

(60,352

)

(65,045

)

(183,059

)

(180,685

)

(15,034

)

(21,748

)

(48,696

)

(48,866

)

(45,318

)

(43,297

)

(134,363

)

(131,819

)

6,102

4,114

12,149

27,449

(39,216

)

(39,183

)

(122,214

)

(104,370

)

69,307

40,951

578,349

544,384

(26,947

)

(22,993

)

(84,278

)

(70,604

)

12,179

1,266

35,609

20,818

84,075

62,678

627,018

594,170

32,224

14,520

58,868

66,683

101

756

8,045

756

(400

)

(237

)

(12,707

)

282

116,400

78,236

680,824

661,654

(a)

(b)

(c)

(d)

2026

2025

2026

2025

MAP 2025 Restructuring and other related expense, net

3,132

7,473

20,368

29,526

2026 Restructuring and other related expense, net

22,110

ERP consolidation plan

3,643

2,570

11,049

11,519

Professional fees

3,229

4,477

9,571

25,638

Loss (Gain) on sale of closed facilities

110

(4,230

)

MAP initiatives

32,224

14,520

58,868

66,683

(e)

(f)

(g)

(h)

2026

2025

2026

2025

0.40

3.43

3.59

0.19

0.10

0.35

0.39

0.05

(0.10

)

(0.02

)

0.02

(0.08

)

(0.02

)

(0.17

)

(0.38

)

0.57

0.35

3.65

3.58

(d)

(e)

(f)

(g)

(h)

(i)

294,206

241,895

302,137

1,261,112

1,153,993

1,551,953

(37,717

)

(48,908

)

(42,844

)

1,223,395

1,105,085

1,509,109

1,120,273

1,044,776

1,036,475

415,566

367,197

322,577

3,053,440

2,758,953

3,170,298

2,885,364

2,629,810

2,738,373

(1,365,007

)

(1,236,755

)

(1,264,974

)

1,520,357

1,393,055

1,473,399

1,680,867

1,358,632

1,617,626

821,466

510,385

780,826

398,726

346,221

370,399

161,144

34,368

147,436

248,654

217,961

215,965

3,310,857

2,467,567

3,132,252

7,884,654

6,619,575

7,775,949

675,445

640,446

755,889

8,383

7,057

7,691

230,559

215,643

287,398

32,995

33,568

36,701

391,052

346,747

379,768

1,338,434

1,243,461

1,467,447

2,547,104

2,090,182

2,638,922

342,845

296,861

317,334

245,022

224,270

241,117

263,129

89,019

224,347

3,398,100

2,700,332

3,421,720

Total liabilities

4,736,534

3,943,793

4,889,167

1,279

1,284

1,283

1,202,259

1,172,247

1,177,796

(1,009,239

)

(934,470

)

(953,856

)

(478,803

)

(598,290

)

(533,631

)

3,431,151

3,033,505

3,193,764

3,146,647

2,674,276

2,885,356

1,473

1,506

1,426

3,148,120

2,675,782

2,886,782

7,884,654

6,619,575

7,775,949

2026

2025

440,928

464,318

155,798

140,092

(12,707

)

22,656

(47,012

)

24,459

21,494

(17,816

)

(5,125

)

(4,675

)

(466

)

(635

)

306,900

302,429

(53,983

)

(96,539

)

(1,460

)

(35,973

)

(Decrease) increase in accounts payable

(85,142

)

5,174

(60,180

)

(82,118

)

(4,327

)

1,383

(53,313

)

(48,476

)

656,672

619,012

(159,639

)

(158,924

)

(161,553

)

(127,325

)

(27,570

)

(77,640

)

16,918

59,460

18,199

(10

)

(1,236

)

(313,655

)

(305,665

)

49,000

104,047

(153,489

)

(136,379

)

(202,789

)

(190,064

)

(52,500

)

(52,499

)

(3,336

)

(17,140

)

(1,122

)

(2,891

)

(1,014

)

(366,005

)

(294,171

)

15,057

(14,660

)

(7,931

)

4,516

302,137

237,379

294,206

241,895