RPM International Q4 Results Top View, Guides 2015 Profit In Line

(RTTNews) - Specialty chemical products company RPM International, Inc. (RPM) reported Monday a profit for the fourth quarter that surged 66 percent from last year, which was weighed down by charges. Both earnings per share and quarterly revenues topped analysts' expectations. The company also provided earnings guidance for full-year 2015, in line with Street view.

"Our overall operating results for both the quarter and year were strong, led by continued vigor in both our consumer segment and most of our European businesses. In addition, our Legend Brands subsidiary had an extraordinary year, driven in part by the severe winter in North America, which stimulated demand for its restoration services equipment," Chairman and CEO Frank Sullivan said.

The Medina, Ohio-based company reported a record net income of $108.78 million or $0.80 per share for the fourth quarter, higher than $65.38 million or $0.49 per share in the prior-year quarter. The year ago adjusted net income was $95.37 million or $0.72 per share in the year-ago quarter.

On average, eleven analysts polled by Thomson Reuters expected the company to report earnings of $0.78 per share for the quarter. Analysts' estimates typically exclude one-time items.

Net sales for the quarter increased 9.1 percent to a record $1.28 billion from $1.17 billion in the same quarter last year, and topped eight Wall Street analysts' consensus estimate of $1.24 billion.

Net sales for the industrial segment grew 8.5 percent to $769.18 million, and consumer segment net sales increased 10.0 percent to $507.60 million from the year-ago quarter.

Looking ahead to fiscal 2015, the company expects earnings in a range of $2.38 to $2.42 per share, on projected net sales growth of 6 to 8 percent. Street is currently looking for full-year 2015 earnings of $2.40 per share on annual sales growth of 5.6 percent to $4.58 billion.

"We will continue to leverage a great management team at Viapol in Brazil to fuel growth for RPM in South America by building their own business and adding manufacturing for other RPM companies in fiscal 2015," Sullivan added.

RPM closed Friday's regular trading session at $44.39, up $0.15 on a volume of 0.69 million shares.