RPM International Inc. Files Q1 FY25 10-Q

TL;DR

RPM Intl Q1 FY25 10-Q filed. Financials out.

AI Summary

RPM International Inc. filed its 10-Q for the period ending August 31, 2024. The company reported its financial results for the first quarter of fiscal year 2025, detailing performance across its various operating segments. Key financial data and operational highlights are presented in this filing.

Why It Matters

This filing provides investors and analysts with the latest financial performance data for RPM International Inc., crucial for understanding the company's current health and future prospects.

Risk Assessment

Risk Level: low — This is a routine quarterly filing providing financial updates, not indicating any immediate or significant new risks.

Key Players & Entities

• RPM INTERNATIONAL INC/DE/ (company) — Filer
• 20240831 (date) — Period of Report
• 20241002 (date) — Filing Date
• MEDINA (location) — Company Headquarters City
• OH (location) — Company Headquarters State

FAQ

Key Financial Figures

• $0.01 — ch registered Common Stock, par value $0.01 RPM New York Stock Exchange Indic

Filing Documents

• rpm-20240831.htm (10-Q) — 2103KB
• rpm-ex31_1.htm (EX-31.1) — 10KB
• rpm-ex31_2.htm (EX-31.2) — 10KB
• rpm-ex32_1.htm (EX-32.1) — 5KB
• rpm-ex32_2.htm (EX-32.2) — 5KB
• 0000950170-24-111319.txt ( ) — 10237KB
• rpm-20240831.xsd (EX-101.SCH) — 1299KB
• rpm-20240831_htm.xml (XML) — 2234KB

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION Item 1.

Financial Statements

Financial Statements: 3 Consolidated Balance Sheets 3 Consolidated Statements of Income 4 Consolidated Statements of Comprehensive Income 5 Consolidated Statements of Cash Flows 6 Consolidated Statements of Stockholders' Equity 7

Notes to Consolidated Financial Statements

Notes to Consolidated Financial Statements 8 Item 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 22 Item 3.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 29 Item 4.

Controls and Procedures

Controls and Procedures 29

OTHER INFORMATION

PART II. OTHER INFORMATION Item 1.

Legal Proceedings

Legal Proceedings 30 Item 1A.

Risk Factors

Risk Factors 30 Item 2. Unregistered Sale of Equity Securities and Use of Proceeds 30 Item 5. Other Information 30 Item 6. Exhibits 31

Signatures

Signatures 32 * As used herein, the terms "RPM" and the "Company" refer to RPM International Inc. and its subsidiaries, unless the context indicates otherwise. 2

– FINANC IAL INFORMATION

PART I. – FINANC IAL INFORMATION

FINANCI AL STATEMENTS

ITEM 1. FINANCI AL STATEMENTS RPM INTERNATIONAL INC. AND SUBSIDIARIES CONSOLIDATED B ALANCE SHEETS (Unaudited) (In thousands, except per share amounts) August 31, 2024 May 31, 2024 Assets Current Assets Cash and cash equivalents $ 231,555 $ 237,379 Trade accounts receivable (less allowances of $ 49,106 and $ 48,763 , respectively) 1,344,177 1,419,445 Inventories 1,003,459 956,465 Prepaid expenses and other current assets 319,107 282,059 Total current assets 2,898,298 2,895,348 Property, Plant and Equipment, at Cost 2,568,792 2,515,847 Allowance for depreciation ( 1,219,084 ) ( 1,184,784 ) Property, plant and equipment, net 1,349,708 1,331,063 Other Assets Goodwill 1,315,790 1,308,911 Other intangible assets, net of amortization 504,562 512,972 Operating lease right-of-use assets 365,972 331,555 Deferred income taxes 36,563 33,522 Other 178,982 173,172 Total other assets 2,401,869 2,360,132 Total Assets $ 6,649,875 $ 6,586,543 Liabilities and Stockholders' Equity Current Liabilities Accounts payable $ 693,519 $ 649,650 Current portion of long-term debt 6,779 136,213 Accrued compensation and benefits 180,785 297,249 Accrued losses 32,440 32,518 Other accrued liabilities 369,060 350,434 Total current liabilities 1,282,583 1,466,064 Long-Term Liabilities Long-term debt, less current maturities 2,045,387 1,990,935 Operating lease liabilities 316,064 281,281 Other long-term liabilities 234,368 214,816 Deferred income taxes 119,946 121,222 Total long-term liabilities 2,715,765 2,608,254 Contingencies and Accrued Losses (Note 13) Stockholders' Equity Preferred stock, par value $ 0.01 ; authorized 50,000 shares; no ne issued — — Common stock, par value $ 0.01 ; authorized 300,000 shares; issued 146,197 and outstanding 128,702 as of August 31, 2024; issued 145,779 and o

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS NOTE 1 — CONSOLIDATION, NONCONTROLLING INTERESTS AND BASIS OF PRESENTATION The accompanying unaudited Consolidated Financial Statements have been prepared in accordance with Generally Accepted Accounting Principles in the U.S. ("GAAP") for interim financial information and the instructions to Form 10-Q. In our opinion, all adjustments (consisting of normal, recurring accruals) considered necessary for a fair presentation have been included for the three-month periods ended August 31, 2024 and 2023. For further information, refer to the Consolidated Financial Statements and Notes included in our Annual Report on Form 10-K for the year ended May 31, 2024. Our financial statements include all of our majority-owned subsidiaries. We account for our investments in less-than-majority-owned joint ventures, for which we have the ability to exercise significant influence, under the equity method. Effects of transactions between related companies are eliminated in consolidation. Noncontrolling interests are presented in our Consolidated Financial Statements as if parent company investors (controlling interests) and other minority investors (noncontrolling interests) in partially-owned subsidiaries have similar economic interests in a single entity. As a result, investments in noncontrolling interests are reported as equity in our Consolidated Financial Statements. Additionally, our Consolidated Financial Statements include 100 % of a controlled subsidiary's earnings, rather than only our share. Transactions between the parent company and noncontrolling interests are reported in equity as transactions between stockholders, provided that these transactions do not create a change in control. Our business is dependent on external weather factors. Historically, we have experienced strong sales and net income in our first, second and fourth fiscal quarters comprising the three-month periods ending August 31, November 30, and May 3

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View this 10-Q filing on SEC EDGAR