RPM International (RPM) Q4 2026 earnings summary

Executive summary

• Achieved record fourth quarter and full-year results, with all segments and regions growing sales and adjusted EBIT year-over-year, driven by operational improvements, M&A, and pricing actions to offset inflationary pressures.

• Construction Products Group (CPG) and Performance Coatings Group (PCG) led growth, focusing on maintenance, restoration, and system selling, with strong demand for engineered solutions.

• Consumer segment delivered record sales and earnings, aided by acquisitions, despite challenging DIY markets.

• Operational improvements and SG&A optimization actions expanded adjusted EBIT margins to record levels.

• Strong performance in emerging markets, especially Asia/Pacific and the Middle East, despite supply chain disruptions.

Financial highlights

• Q4 revenue reached $2.23 billion, up 7.2% year-over-year; full-year revenue was $7.86 billion, up 6.7%.

• Q4 adjusted EBIT was $338.6 million (+7.7% YoY), with a record adjusted EBIT margin of 15.2%; full-year adjusted EBIT was $1.02 billion (+4.4%).

• Q4 adjusted EPS was $1.89 (+9.9% YoY); full-year adjusted EPS was $5.53 (+4.3%).

• Operating cash flow for FY26 was $898.7 million, the second highest in company history.

• Dividends and share repurchases totaled $349.2 million, up over 7% from the prior year; share repurchase authorization increased by $700 million.

Outlook and guidance

• Expect mid-single-digit sales and adjusted EBITDA growth in Q1 FY27, with all segments contributing.

• Full-year FY27 sales expected to rise 3%-7%, adjusted EBITDA up 5%-10%.

• Raw material inflation anticipated at 5%-6% in Q1 and 6%-8% in Q2, with price increases to offset.

• SG&A optimization actions to generate $75 million in annual benefits.

• Volatility expected due to geopolitical and economic factors, especially tariffs and Middle East conflict.