RPM International reported record fiscal 2027 first-quarter net sales of $2.22 billion, up 4.8% from $2.11 billion in the prior-year period.
Net income attributable to RPM shareholders increased 12.6% to $256.4 million.
Diluted earnings per share increased 13.6% to $2.01 from $1.77.
Adjusted diluted EPS increased 5.3% to a record $1.98.
Adjusted EBITDA increased 4.5% to a record $405.5 million.
Sales growth included 3.1% organic growth, 1.6% growth from acquisitions net of divestitures, and a 0.1% benefit from foreign currency translation.
RPM said every emerging market region generated revenue growth exceeding 20%, supported by demand for engineered solutions used in high-performance buildings and infrastructure projects.
Performance Coatings Group sales increased 10.2% to $629.7 million.
The segment’s adjusted EBITDA increased 18.2% to $121.1 million.
Performance Coatings growth was supported by engineered solutions for high-performance buildings, energy and infrastructure projects, food coatings and ingredients, and pricing actions.
Consumer Group sales increased 5.3% to $726.7 million.
Consumer adjusted EBITDA increased 5.5% to $146.6 million, benefiting from sales growth, improved utilization, new products, shelf-space wins, and operational improvements.
Construction Products Group sales increased 0.8% to $859.2 million.
Adjusted EBITDA for the segment declined 9.7% to $166.2 million as softer healthcare and education demand, supply constraints, raw material inflation, a customer bankruptcy, and warranty costs pressured results.
RPM generated $263.9 million of operating cash flow during the first quarter, up from $237.5 million a year earlier.
The company returned $90.5 million to shareholders through dividends and share repurchases.
Total debt declined to $2.41 billion from $2.67 billion a year earlier.
Total liquidity increased to $1.21 billion from $933.4 million.
RPM also completed its acquisition of Volteco, an Italy-based supplier of below-grade waterproofing products that generated €28 million in 2025 sales.
For the fiscal second quarter, RPM expects consolidated sales and adjusted EBITDA to increase in the low- to mid-single-digit range.
For full-year fiscal 2027, the company expects both consolidated sales and adjusted EBITDA to increase at a mid-single-digit rate.
KEY QUOTES:
“The resilience of our associates and business model was on full display in the first quarter as we generated another quarter of record sales and adjusted EBITDA.”
“Solid organic growth in our Performance Coatings Group and Consumer Group, and a focus on manufacturing, procurement and SG&A efficiencies overcame multiple challenges, including raw material inflation and a temporary slowdown in our Construction Products Group.”
“This record profitability, combined with improved working capital efficiency, also allowed us to generate another quarter of strong operating cash flow, which we are using to invest in growth opportunities and reward shareholders with dividends and share repurchases.”
Frank C. Sullivan, Chairman and CEO of RPM
