Rpm International Inc. · NYSE:RPM
Rpm International — FY2020 Earnings Presentation
19 slides from Rpm International's earnings presentation, Jul 27, 2020
Slide 1: Fourth Quarter Results Fiscal Year 2020
Fourth Quarter Results Fiscal Year 2020 RPM International Inc.
Slide 2: Consolidated Statements of Income (Fiscal Year)
Consolidated Statements of Income Fiscal Year Ended May 31, 2020 % 2019 % % Change Net Sales $ 5,506,994 $ 5,564,551 (1.0) Cost of Sales 3,414,139 62.0 3,476,231 62.5 Gross Profit 2,092,855 38.0 2,088,320 37.5 SG&A 1,548,653 28.1 1,596,043 28.7 Restructuring Expense 33,108 0.6 42,310 0.8 Other Intan
Slide 3: Consolidated Statements of Income (Three Months)
Consolidated Statements of Income Three Months Ended May 31, 2020 % 2019 % % Change Net Sales $ 1,458,962 $ 1,601,401 (8.9) Cost of Sales 905,006 62.0 965,587 60.3 Gross Profit 553,956 38.0 635,814 39.7 SG&A 362,861 24.9 422,984 26.4 Restructuring Expense 14,344 1.0 5,831 0.4 Other Intangible Asset
Slide 4: Reconciliations of Non-GAAP Measures To GAAP Measures
Reconciliations of Non-GAAP Measures To GAAP Measures RPM International Inc.
Slide 5: Free Cash Flow Generation (Non-GAAP Measure)
Free Cash Flow Generation (Non-GAAP Measure) ($ in thousands) Fiscal Year Ended May 31, 2020 2019 2018 2017 2016 Cash Flows from Operating Activities: Net income $ 305,082 $ 267,687 $ 339,257 $ 184,671 $ 357,458 Depreciation and amortization 156,842 141,742 128,499 116,773 111,039 Working capital an
Slide 6: Adjustments Detail
Adjustments Detail 07/27/2020 6
Slide 7: EBIT (Non-GAAP Measure): RPM Consolidated, Three Months
EBIT* (Non-GAAP Measure): RPM Consolidated (As Reported) ($ in thousands, except per share and percent data) Three Months Ended May 31, (Unaudited) 2020 2019 Net Income $ 109,175 $ 133,832 Provision for Income Taxes 37,680 43,018 Income Before Income Taxes 146,855 176,850 Interest Expense 22,372 28,
Slide 8: EBIT (Non-GAAP Measure): RPM Consolidated, Fiscal Year
EBIT* (Non-GAAP Measure): RPM Consolidated (As Reported) Fiscal Year Ended May 31, ($ in thousands, except per share and percent data) (Unaudited) 2020 2019 Net Income $ 305,082 $ 267,687 Provision for Income Taxes 102,682 72,158 Income Before Income Taxes 407,764 339,845 Interest Expense 101,003 10
Slide 9: Reconciliation of Reported to Adjusted EPS
Reconciliation of "Reported" to "Adjusted" EPS (Unaudited) Three Months Ended May 31, 2020 2019 Reconciliation of Reported Earnings per Diluted Share to Adjusted Earnings per Diluted Share (All amounts presented after-tax): Reported Earnings per Diluted Share $ 0.84 $ 1.02 Inventory-related charges
Slide 10: Reconciliation of Reported to Adjusted EPS
Reconciliation of "Reported" to "Adjusted" EPS (Unaudited) Fiscal Year Ended May 31, 2020 2019 Reconciliation of Reported Earnings per Diluted Share to Adjusted Earnings per Diluted Share (All amounts presented after-tax): Reported Earnings per Diluted Share $ 2.34 $ 2.01 Inventory-related charges (
Slide 11: EBIT: Construction Products Segment, Three Months
EBIT** (Non-GAAP Measure): Construction Products Segment (As Reported) ($ in thousands and percent data) Three Months Ended May 31, (Unaudited) 2020 2019 Income Before Income Taxes $ 70,339 $ 82,448 Add: Interest Expense, Net* 2,033 1,366 EBIT** (non-GAAP measure) 72,372 83,814 Inventory-related cha
Slide 12: EBIT: Construction Products Segment, Fiscal Year
EBIT** (Non-GAAP Measure): Construction Products Segment (As Reported) ($ in thousands and percent data) Fiscal Year Ended May 31, (Unaudited) 2020 2019 Income Before Income Taxes $ 209,663 $ 178,823 Add: Interest Expense, Net* 8,265 8,334 EBIT** (non-GAAP measure) 217,928 187,157 Inventory-related
Slide 13: EBIT: Performance Coatings Segment, Three Months
EBIT** (Non-GAAP Measure): Performance Coatings Segment (As Reported) ($ in thousands and percent data) Three Months Ended May 31, (Unaudited) 2020 2019 Income Before Income Taxes $ 18,728 $ 32,398 Add: Interest Expense, Net* 2 79 EBIT** (non-GAAP measure) 18,730 32,477 Inventory-related charges (a)
Slide 14: EBIT: Performance Coatings Segment, Fiscal Year
EBIT** (Non-GAAP Measure): Performance Coatings Segment (As Reported) ($ in thousands and percent data) Fiscal Year Ended May 31, (Unaudited) 2020 2019 Income Before Income Taxes $ 102,345 $ 77,388 Add: Interest Expense (Income), Net* (18) 481 EBIT** (non-GAAP measure) 102,327 77,869 Inventory-relat
Slide 15: EBIT: Consumer Segment
EBIT** (Non-GAAP Measure): Consumer Segment (As Reported) ($ in thousands and percent data) (Unaudited) Three Months Ended May 31, 2020 2019 Income Before Income Taxes $ 74,612 $ 99,371 Add: Interest Expense, Net* 54 122 EBIT** (non-GAAP measure) 74,666 99,493 Inventory-related charges (a) 8,852 8,4
Slide 16: EBIT: Consumer Segment, Fiscal Year
EBIT** (Non-GAAP Measure): Consumer Segment (As Reported) ($ in thousands and percent data) Fiscal Year Ended May 31, (Unaudited) 2020 2019 Income Before Income Taxes $ 198,024 $ 217,448 Add: Interest Expense, Net* 272 538 EBIT** (non-GAAP measure) 198,296 217,986 Inventory-related charges (a) 14,52
Slide 17: EBIT: Specialty Segment, Three Months
EBIT** (Non-GAAP Measure): Specialty Segment (As Reported) ($ in thousands and percent data) Three Months Ended May 31, (Unaudited) 2020 2019 Income Before Income Taxes $ 2,901 $ 19,968 Add: Interest Expense (Income), Net* 57 (93) EBIT** (non-GAAP measure) 2,958 19,875 Restructuring Expense (b) 926
Slide 18: EBIT: Specialty Segment, Fiscal Year
EBIT** (Non-GAAP Measure): Specialty Segment (As Reported) ($ in thousands and percent data) Fiscal Year Ended May 31, (Unaudited) 2020 2019 Income Before Income Taxes $ 57,933 $ 86,018 Add: Interest Expense (Income), Net* 62 (425) EBIT** (non-GAAP measure) 57,995 85,593 Inventory-related charges (a
Slide 19: EBIT & EBITDA (Non-GAAP Measures)
EBIT* & EBITDA (Non-GAAP Measures) *EBIT is defined as earnings before interest and taxes, while EBITDA is defined as earnings before interest, taxes, depreciation and amortization. We evaluate the profit performance of our segments (in thousands) based on income before income taxes, but also look t