October 5, 2023
Dear Fellow RPM Shareholder,
Recently, RPM announced its 50th consecutive year of cash dividend increases, an accomplishment that few other companies have achieved, and one in which we take great pride. The support of shareholders has been an integral part of our success, and I wish to express my gratitude for your trust in RPM.
Our ability to continually increase dividends exemplifies our focus on creating long-term, sustainable value through our strategically balanced business model. Since our founding in 1947, RPM has navigated challenges such as recessions, supply chain disruptions, inflation and asbestos litigation. Our associates, who embody our core values of transparency, trust and respect, have innovated, adapted to changing conditions, and leveraged an entrepreneurial spirit to deliver continued growth for RPM. Their efforts put us in a position to begin our streak of increasing dividends in 1973, which continues today. As a result, over the last half-century, total shareholder return when reinvesting dividends and excluding taxes has been nearly 115,000% or a CAGR over 15%1.
To put this into perspective, if you invested $1,000 in RPM stock on August 31, 1973, and reinvested dividends for the past 50 years, the total value of that investment (excluding taxes) as of August 31, 2023, would be over $1.1 million. This compares to a total value of $0.2 million for a $1,000 initial investment in the S&P 500® over the same period with dividends reinvested and taxes excluded2.
Looking forward, our core values and focus remain the same. Our Margin Achievement Plan (MAP 2025) is creating a more efficient, agile and collaborative organization. This, along with our talented 17,300 associates around the world gives me great confidence that we will continue delivering long-term sustainable value for our shareholders. RPM greatly values the faith you have put in us, and we work each day to reward that confidence.
Very truly yours,
Frank C. Sullivan
Chairman and CEO
RPM International Inc.
1 - Calculated by FactSet
2 - Source: Bloomberg Finance L.P.
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