RPM International Q3 Profit Misses Estimates; Sales Up 4.5%; Maintains Guidance

(RTTNews) - RPM International Inc. (RPM) reported net income of $18.6 million in the fiscal 2016 third quarter compared to a reported loss of $57.3 million, a year ago. Third-quarter profit per share were $0.14, compared to a year-ago reported loss of $0.44. The company noted that the year-ago loss was due to a one-time, non-cash net charge for a tax accrual related to possible repatriation of overseas earnings to fund future obligations for the company's Specialty Products Holding Corp. bankruptcy settlement. On average, eight analysts polled by Thomson Reuters expected the company to report profit per share of $0.15 for the quarter. Analysts' estimates typically exclude special items.

Net sales grew 4.5% to $988.6 million in the fiscal 2016 third quarter from $946.4 million in the fiscal 2015 third quarter. Analysts expected revenue of $994.64 million for the quarter.

Industrial segment sales declined 3.1% to $484.0 million from $499.6 million, prior year. Organic sales improved 2.6%, while acquisitions added 0.7%. Foreign currency translation negatively impacted sales by 6.4%.

The company maintained its guidance for fiscal 2016 earnings of $2.50 per share. Analysts expect the company to report fiscal 2016 earnings per share of $2.49.