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Rust-Oleum spray paint cans in a Lowe's store.Shares of RPM International (RPM) sank Tuesday as the specialty coatings and sealants company reported fiscal third-quarter results that came in weaker than analysts projected.
The maker of DayGlo and Rust-Oleum posted adjusted earnings per share (EPS) of $0.35 on revenue that fell 3% year-over-year to $1.48 billion. Analysts polled by Visible Alpha expected $0.48 and $1.5 billion, respectively.
"The unfavorable weather conditions we discussed in early January continued and became more widespread as the third quarter progressed," CEO Frank Sullivan said. "Unseasonably cold weather in the southern U.S. and wildfires in the west reduced demand in geographies that typically have more construction and outdoor project activity in winter months."
For the fourth quarter, RPM sees flat sales and adjusted EBIT growth in a low-single-digit percentage range, both below expectations.
Shares fell more than 4% in recent trading, and have lost close to a fifth of their value since the start of the year.
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