RPM International Inc. recently reported financial results for its fiscal 2023 fourth quarter and year ended May 31, 2023. The company recorded fiscal 2023 net sales of $7.26 billion, an increase of 8.2% over the prior year. For the fiscal year, net income was $478.7 million, diluted earnings per share (EPS) was $3.72, and earnings before interest and taxes (EBIT) was a record $758.6 million. The company’s first-quarter outlook calls for sales growth of low-single digits and adjusted EBIT growth of high-single digits. For the year, the company expects sales growth of mid-single digits and adjusted EBIT growth of low-double-digits to mid-teens.
“RPM generated a sixth consecutive quarter of record sales and adjusted EBIT. While prioritizing cash flow over profitability, we were still able to achieve adjusted EBIT growth primarily through our MAP 2025 initiatives. Our progress on inventory normalization initiatives drove a fourth-quarter record $314 million of cash flow from operations and allowed us to reduce debt by nearly $140 million. These impressive results were due to the hard work, collaboration and agility of our associates, which allowed us to capture growth opportunities and leverage MAP 2025 initiatives to operate more efficiently,” said Frank C. Sullivan, RPM chairman and CEO.