RPM International Announces Sales Growth for Fiscal 2022 Second Quarter
MEDINA, OH — RPM International Inc. recently announced its financial results for its fiscal 2022 second quarter ended November 30, 2021. The company recorded net sales for the quarter $1.64 billion, up 10.3% over the $1.49 billion reported a year ago. Net income was $124.9 million, a decrease of 2.2% compared to $127.7 million reported in the same period a year ago, when net income increased 65.7%. During the quarter, RPM realized high-single-digit price increases on average across the company to partially offset the impact of inflation.
“Robust demand for our paints, coatings, sealants and other building materials led to strong double-digit sales growth at three of our four operating segments and drove consolidated top-line performance that was ahead of our projections. In fact, top-line growth could have been even better if not for supply chain challenges that limited access to certain raw materials and cost us roughly $200 million in sales during the quarter,” said Frank C. Sullivan, RPM Chairman and CEO. “The decline in adjusted EBIT was in line with our outlook and was a result of continued material, wage and freight inflation, as well as supply chain disruptions that were exacerbated by Hurricane Ida and increased our conversion costs. These challenges were partially offset by price increases and operational improvements from our MAP to Growth program that led to $19 million of incremental year-over-year savings. It’s also worth noting that we faced a difficult comparison to the prior year when consolidated adjusted EBIT increased 29.7%,” said Sullivan.