LONDON, UK / ACCESSWIRE / October 12, 2017 / Pro-Trader Daily has just published a free post-earnings coverage on RPM International Inc. (NYSE: RPM), which can be viewed by registering at http://protraderdaily.com/optin/?symbol=RPM, following the Company's announcement of its first quarter fiscal 2018 financial results on October 04, 2017. The specialty chemicals Company reported record sales, net income, and EPS despite continued strong headwinds from rising raw material costs. Our daily stock reports are accessible for free, and with those to look forward today you also will be signing up for a complimentary member's account at:

http://protraderdaily.com/register/

At Pro-TD, we make it our mission to bring you news that matter about the stock you follow. Today, our research desk covers a blog story on RPM. With the links below you can directly download the report of your stock of interest free of charge at:

http://protraderdaily.com/optin/?symbol=RPM

Earnings Reviewed

For its fiscal 2018 first quarter ended August 31, 2017, RPM recorded net sales of $1.35 billion, up 7.5% over net sales of $1.25 billion in Q1 FY17. The Company's revenue numbers beat analysts' estimates of $1.32 billion.

RPM's income before income taxes (IBT) increased 4.6% to $155.3 million in Q1 FY18 from $148.5 million in Q1 FY17. The Company's consolidated earnings before interest and taxes (EBIT) increased 6.1% to $177.6 million in the reported quarter versus $167.4 million reported in the prior year's same quarter.

For Q1 FY18, RPM's net income grew 3.2% to $116.4 million from $112.8 million in Q1 FY17, and diluted earnings per share totaled $0.86, up 3.6% from $0.83 in the year-earlier corresponding quarter. The Company's earnings numbers exceeded Wall Street's estimates of $0.84 per share.

RPM's Segment Results

The industrial segment net sales increased 8.0% to $729.8 million from $675.8 million reported in Q1 FY17, with 3.2% in organic growth, while acquisitions added 4.3%. The Company noted that foreign currency translation increased sales by 0.5%. Industrial segment's EBIT increased 0.4% to $91.5 million in the reported quarter from $91.1 million in the year-ago same period.

RPM stated that its industrial segment results reflected a combination of higher raw material costs, unfavorable product mix, higher distribution expense, and disappointing results from a struggling Latin America. The Company's European and Canadian businesses performed positively in the reported quarter. RPM reported that its businesses serving the oil and gas industries were down in the mid-single digits compared to double-digit declines over the past three years. The Company expects sales at those businesses to turn positive in H2 FY18.

The consumer segment reported a 6.8% increase in sales to $427.1 million in Q1 FY18 versus $399.9 million in Q1 FY17. The Company's organic sales declined 1.2% while acquisition growth contributed 8.1% and foreign currency translation reduced sales by 0.1%. Consumer segment's EBIT improved 3.5% to $72.6 million in the reported quarter versus $70.1 million in the prior year's comparable quarter.

The Company noted the growth in the consumer segment was being driven by Touch n' Foam and SPS, both of which were acquired in Q3 FY17.

During Q1 FY18, specialty segment generated sales growth of 6.9% to $188.5 million from $176.3 million in Q1 FY17. The segment's organic growth contributed 3.0%, while acquisition growth was 4.1% and foreign currency translation was a negative 0.2%. Specialty segment's EBIT advanced 8.9% on y-o-y basis to $33.0 million from $30.4 million in the year-ago period. The Company stated that many of its specialty business units had a solid performance in the reported quarter, led by a surge at its restoration equipment unit, which was partially due to immediate response efforts to Hurricane Harvey. RPM also noted that the segment was able to offset higher raw material costs through selling, general, and administrative (SG&A) savings resulting from actions taken in FY17.

Cash Flow and Financial Position

During Q1 FY18, RPM's cash used from operations was $26.1 million compared to cash provided by operations of $6.5 million in Q1 FY17. The Company's capital expenditures stood at $17.5 million in the reported quarter compared to $17.0 million in the year-ago corresponding period.

RPM's total debt was $2.12 billion at August 31, 2017, compared to $2.09 billion at May 31, 2017, and $1.66 billion at the end of Q1 FY17. The Company's net (of cash) debt-to-total capital was 54.7% in the reported quarter versus 50.5% at the end of the year earlier same quarter. RPM's liquidity, including cash, was $1.0 billion compared to $1.15 billion at May 31, 2017.

On October 06, 2017, RPM announced at its annual meeting of stockholders that its Board of Directors declared a regular quarterly cash dividend of $0.32 per share, payable on October 31, 2017, to stockholders of record as of October 16, 2017. This payment represents a 6.7% increase over the $0.30 quarterly cash dividend paid in the year-ago same period. This action marks RPM's 44th consecutive year of increased cash dividends paid to its stockholders.

Business Outlook

RPM stated that it expects the severe hurricane season to initially hinder sales in Q2 FY18, but to provide higher than originally expected sales as communities in the devastated Texas, Florida, and Caribbean regions begin the rebuilding process. For the remainder of fiscal 2018, the Company is forecasting industrial and consumer segments' growth in the mid-single-digit range and specialty in the low- to mid-single-digit range. RPM also re-affirmed its FY18 EPS guidance of $2.85 to $2.95 per diluted share.

Stock Performance

On Wednesday, October 11, 2017, the stock closed the trading session at $51.51, slightly climbing 0.06% from its previous closing price of $51.48. A total volume of 889.71 thousand shares have exchanged hands. RPM Intl.'s stock price advanced 2.45% in the last one month, 0.14% in the past six months and 6.58% in the previous twelve months. The stock is trading at a PE ratio of 40.02 and has a dividend yield of 2.33%. The stock currently has a market cap of $6.87 billion.

Pro-Trader Daily:

Pro-Trader Daily (Pro-TD) produces regular sponsored and non-sponsored reports, articles, stock market blogs, and popular investment newsletters covering equities listed on NYSE and NASDAQ and Canadian stocks. PRO-TD has two distinct and independent departments. One department produces non-sponsored analyst certified content generally in the form of press releases, articles and reports covering equities listed on NYSE and NASDAQ and the other produces sponsored content (in most cases not reviewed by a registered analyst), which typically consists of compensated investment newsletters, articles, and reports covering listed stocks and micro-caps. Such sponsored content is outside the scope of procedures detailed below.

PRO-TD has not been compensated; directly or indirectly; for producing or publishing this document.

PRESS RELEASE PROCEDURES:

The non-sponsored content contained herein has been prepared by a writer (the "Author") and is fact checked and reviewed by a third party research service company (the "Reviewer") represented by a credentialed financial analyst [for further information on analyst credentials, please email contact@protraderdaily.com. Rohit Tuli, a CFA® charter holder (the "Sponsor"), provides necessary guidance in preparing the document templates. The Reviewer has reviewed and revised the content, as necessary, based on publicly available information which is believed to be reliable. Content is researched, written and reviewed on a reasonable effort basis. The Reviewer has not performed any independent investigations or forensic audits to validate the information herein. The Reviewer has only independently reviewed the information provided by the Author according to the procedures outlined by PRO-TD. PRO-TD is not entitled to veto or interfere in the application of such procedures by the third-party research service company to the articles, documents or reports, as the case may be. Unless otherwise noted, any content outside of this document has no association with the Author or the Reviewer in any way.

NO WARRANTY

PRO-TD, the Author, and the Reviewer are not responsible for any error which may be occasioned at the time of printing of this document or any error, mistake or shortcoming. No liability is accepted whatsoever for any direct, indirect or consequential loss arising from the use of this document. PRO-TD, the Author, and the Reviewer expressly disclaim any fiduciary responsibility or liability for any consequences, financial or otherwise arising from any reliance placed on the information in this document. Additionally, PRO-TD, the Author, and the Reviewer do not (1) guarantee the accuracy, timeliness, completeness or correct sequencing of the information, or (2) warrant any results from use of the information. The included information is subject to change without notice.

NOT AN OFFERING

This document is not intended as an offering, recommendation, or a solicitation of an offer to buy or sell the securities mentioned or discussed, and is to be used for informational purposes only. Please read all associated disclosures and disclaimers in full before investing. Neither PRO-TD nor any party affiliated with us is a registered investment adviser or broker-dealer with any agency or in any jurisdiction whatsoever. To download our report(s), read our disclosures, or for more information, visit http://protraderdaily.com/disclaimer/.

CONTACT

For any questions, inquiries, or comments reach out to us directly. If you're a company we are covering and wish to no longer feature on our coverage list contact us via email and/or phone between 09:30 EDT to 16:00 EDT from Monday to Friday at:

Email: contact@protraderdaily.com

Phone number: (917) 341.4653

Office Address: Mainzer Landstrasse 50 Frankfurt am Main, Germany 60325

CFA® and Chartered Financial Analyst® are registered trademarks owned by CFA Institute.

SOURCE: Pro-Trader Daily