How did RPM's Q3 forecast compare to past trends?

RPM's Q3 forecast shows a potential decline compared to past trends. Here's an analysis based on the available data:

1. Recent Performance: RPM International's net income has shown fluctuations over the past year. The net income for the most recent quarter ending on Q2 2025, is $180.84 million. This is a notable increase from the previous quarter's net income of $61.48 million, which suggests a strong recovery or improvement in the company's performance.

RPM Net Income YoY, Net Income

2. Analyst Expectations: Analysts have lowered their Q3 2025 earnings per share (EPS) estimates for RPM International. This indicates a potential decline in earnings compared to the previous quarter's estimates. Additionally, the expected EPS of $1.76 for the upcoming report represents a year-over-year increase of 7.3%, which suggests a modest growth but not a strong rebound.
3. Revenue Expectations: Despite the expected earnings growth, revenues are anticipated to remain stable or slightly increase, with a forecast of $2.02 billion, up 0.3% from the year-earlier quarter. This suggests that any growth in earnings may not be accompanied by a significant increase in sales.
4. Comparing Trends: RPM's net income trend over the past year shows a significant increase in Q3 2024 compared to the previous quarter, which was a low point at $61.48 million. The current forecast does not reflect the same level of growth as seen in Q3 2024, indicating a potential slowdown in the company's earnings trajectory.

In conclusion, while RPM has shown a strong recovery in net income from its previous low point, the Q3 2025 forecast indicates a potential decline in earnings compared to the recent past, and analysts' expectations suggest a more modest growth trajectory.