RPM Introduces New Industrial Coatings Group

FRIDAY, AUGUST 5, 2022


Global coatings company RPM International Inc. recently announced the launch of its new RPM Industrial Coatings Group, comprised of five coatings and finishing brands. The group consists of Mohawk Finishing Products, FinishWorks, TCI Powder, Morrells Woodfinishes and Kop-Coat Protection Products.

According to the emailed release, the industrial coatings group will become a part of the $6.1 billion company with subsidiaries in specialty coating, sealants, building materials and related services.

“With the introduction of RPM Industrial Coatings Group, we will provide our customers with a consolidated approach to meet all of their industrial coating needs,” said Johnny Green, President of RPM Industrial Coatings Group. “The power of a one-stop shop improves the customer experience and enhances operational efficiency to the benefit of customers.”

The group of brands will offer a wide variety of products, including abrasives, adhesives, brushes, coatings, custom finishes, finishing repair materials, finishing supplies, finishing systems and equipment, paints and lacquers, sealers, stains, water-based finishes, wax finishing products and wood fillers.

RPM Industrial Coatings Group will officially be introduced at this year’s International Woodworking Fair Atlanta on Aug. 22. At the event’s Booth #C1404, the team will showcase various products including two new offerings, including Enduragreen, Mohawk’s new line of waterborne products, and AristoMax, FinishWorks’ line of conversion varnishes.

Recent RPM News

Last month, RPM, parent company of specialty coatings and sealants brands including Carboline and Tremco, released its fourth-quarter and year-end financial report, reporting record sales increases of 13.7% and 9.8%, respectively. Fourth-quarter sales landed at $1.98 billion and year-end came in at $6.71 billion.

Additionally, increases and record net sales were reported in the company’s Construction Products Group, Performance Coatings Group, the Consumer Group and Specialty Products Group.

Looking ahead, RPM expects the strengthening U.S. dollar to be a headwind impacting the translation of RPM’s international results. The company also expects significant cost increases to continue for certain raw materials, labor and packaging.

In addition, management anticipates continued higher costs from unreliable bulk transportation, which creates production inefficiencies, as well as fuel surcharges, which are being driven by high energy prices that have been exacerbated by the conflict in Ukraine. These cost pressures are expected to disproportionately affect the Consumer segment.

Despite these challenges, the company reports that its management’s proactive measures over the course of fiscal 2022 enabled RPM to accelerate momentum in the business and it is expected to carry over into fiscal 2023. The company expects to continue implementing price increases as needed and improving operational efficiencies in order to minimize cost pressures and restore margins closer to historical levels.

Based on these factors, RPM expects to generate fiscal 2023 first-quarter consolidated sales growth in the mid-teens over last year’s record first-quarter sales. The company anticipates sales growth in the teens in all four of its operating segments.

In October last year, the company hoped to strengthen its supply chain and increase resin production amid global shortages with its purchase of a 178,000-square-foot chemical manufacturing facility in Corsicana, Texas. Procured from ChampionX Corporation, RPM CEO Frank Sullivan told officials in an earnings call earlier this month that the new plant would help add capacity of alkyd resin, a key material used in the company's Rust-Oleum paint.

The purchase was announced in September by RPM. The company reported in its press release that the facility would be repurposed to act as a manufacturing campus for a number of RPM’s operating companies and would also provide opportunities for expansion to meet its customer demand and strengthen its supply chain.

The facility is owned and operated by the company’s Tremco Construction Products Group. In addition to acquiring the land, facility and equipment, the Tremco Group was expected to hire the plant's more than 80 existing employees and reports that it could potentially hire more employees in the future.

   

Tagged categories: Asia Pacific; Business management; Business matters; Business operations; Coating Materials; Coatings; EMEA (Europe, Middle East and Africa); Industrial coatings; Industry News; Latin America; North America; Program/Project Management; RPM; Z-Continents

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