RPM Shares Rise Following Third Quarter Results
2022.04.06 19:56
By Sam Boughedda
Investing.com — RPM International Inc (NYSE:RPM) shares gained 5% on Wednesday after the company reported record earnings for the third quarter.
The manufacturing company saw third-quarter revenue reach a record $1.43 billion. The 13% increase compared to the prior-year quarter also beat analysts’ estimates of $1.41 billion.
In addition, adjusted earnings per share were also able to beat forecasts of $0.30, coming in at $0.38.
The company reported a record EBIT of $66.9 million and a 2.3% growth over the prior year.
“We have been fast to respond to supply chain challenges by quickly scaling up in-house resin production at the manufacturing plant we acquired in Texas last September,” said Frank C. Sullivan, RPM chairman and CEO.
He added that ongoing investments are causing “accelerated growth” in its building construction and coating systems.
Furthermore, the company expects to be impacted by ongoing supply chain challenges and material shortages. As a result, RPM anticipates Q4 sales growth to be in the “low teens” versus last year’s quarter.
