Cleaning & Restoration Breaking News

RPM Reports Lower 3Q, Nine-Month Results

RPM says losses "were in line with expectations," and blame extremely cold temperatures, the generally soft retail environment and high costs involved with the restructuring of its Wood Finishes Group.

Medina, Ohio (PRNewswire) -- RPM, Inc. reports a net loss of $7.0 million, or $0.07 per diluted share, for its third fiscal quarter ended Feb. 28, 2001, compared to net income of $3.7 million, or $0.04 per diluted share, earned a year ago. Sales decreased to $404 million from $411 million in the year-ago period.

For the nine months, sales increased 3 percent, to $1.455 billion from $1.407 billion a year ago. Net income of $38.7 million, or $0.38 per diluted share, compared with $31.4 million, or $0.29 per diluted share reported for the first nine months of the 2000 fiscal year. The prior year results included a pre-tax restructuring charge of $45 million.

RPM indicated its third-quarter results were in line with expectations. The third quarter began with extremely cold temperatures, extending far south, which impacted overall sales. The generally soft retail environment and high costs involved with the restructuring of our Wood Finishes Group further contributed to the loss in a generally weak quarter (December-February). The third quarter and nine-month results also reflected the loss of sales and income from business units sold during the previous fiscal year, along with higher interest costs and unfavorable foreign exchange differences.

RPM indicated that despite economic slowdown, it expects to report strong improvement in its fourth quarter ending May 31, 2001 compared to last year's fourth quarter. The fiscal-year results will be in the range of the consensus of earnings estimates, although the weak economy has caused many project delays, and overall fiscal year earnings will likely fall below the $0.73 per diluted share reported last year pre-restructuring.

RPM announced that after the quarter end it divested the commercial unit of DAP. The proceeds were used to reduce long-term debt. It plans to divest additional non-core business, with the proceeds to be used to further reduce long-term debt.

Did you enjoy this article? Click here to subscribe to i Cleaning Specialist Magazine.

You must login or register in order to post a comment.

Multimedia

Videos

Image Galleries

The 2014 Experience Conference and Exhibition

A look in photos at the 2014 Experience Conference and Exhibition, which was held from April 24-26 at the Embassy Suites Convention Center and Spa in Frisco, Texas.

Podcasts

Beginning April 21, Google will start judging websites based on their mobile friendliness. What exactly does this mean to you cleaning website? Find out in the latest edition of The Hitman Advertising Show, which will also cover tips and suggestions on getting mobile compliant.
More Podcasts

ICS Cleaning Specialist Magazine

CoverImage

2015 April

The April ICS issue features content on concrete polishing, green cleaning, air duct cleaning, injection sprayers and new products.

Table Of Contents Subscribe

Janitorial Work

In addition to residential and commercial carpet cleaning, do you do any janitorial work on the side?
View Results Poll Archive

THE ICS STORE

FinalCover.gif
The Carpet Cleaner's Book of Unlimited Success! (ebook)

Don’t worry about the recession or about your competition.  Now you can be the owner of over 400 ways for carpet cleaning professionals to make more money and get more jobs!

More Products

ICS DIRECTORY AND BUYING GUIDE

Director_Buyer.jpgThe premier resource and reference guide for the cleaning and restoration industries.

Click here to view

STAY CONNECTED

facebook_40.png twitter_40px.png youtube_40px.png

TRUCKMOUNT EQUIPMENT AND ACCESSORIES GUIDE

Truckmount.jpgEquipment listings and specifications from the leading industry manufacturers.

Click here to view