RPM International Inc.

How RPM makes money

RPM International makes specialty coatings, sealants, building materials and related products and services. Its businesses serve applications including roofing, flooring, concrete, protective coatings, small-project paints, cleaners and adhesives. RPM estimates that repair and maintenance account for about 65% of its business mix.

The financial record

Adjusted EBIT excludes interest, taxes and specified items including restructuring and acquisition-related costs. Adjusted EBITDA also adds back depreciation and amortization.

The latest quarter and nearer-term outlook

For the fiscal 2027 first quarter ended August 31, 2026, RPM reported sales of $2.22 billion, up 4.8%, and net income attributable to shareholders of $256.4 million. Adjusted EBITDA rose 4.5% to $405.5 million. Operating cash flow was $263.9 million.

Its October 6 forecast called for mid-single-digit growth in both sales and adjusted EBITDA for fiscal 2027.

Earlier promises and new targets

The original MAP 2025 program, presented in October 2022, targeted $8.5 billion in annual sales, $1.36 billion in adjusted EBIT and a 16% adjusted EBIT margin. The targets were annualized goals for May 2025, expected to be fully realized in fiscal 2026. Actual fiscal 2026 sales were $7.86 billion and the adjusted EBIT margin was about 13%.

At its November 9, 2026 investor day, RPM introduced MAP 2030. It targets fiscal 2030 sales of $10 billion and adjusted EBITDA of $2 billion, a 20% margin. The plan identifies $400 million in earnings benefits and assumes revenue growth from volume, pricing and acquisitions. It also targets working capital equal to 20% of sales, compared with 23.7% in fiscal 2026.

The 2030 margin target uses EBITDA, while the earlier 16% goal used EBIT. The analysis of RPM's new plan and earlier targets explains the comparison.