Fiscal 2024 Second-Quarter Financial Results slide image

Fiscal 2024 Second-Quarter Financial Results

Fiscal 2024 Second-Quarter Financial Results Challenging market conditions in specialty OEM end markets SPECIALTY PRODUCTS GROUP Sales Q2 Q2 ($ in millions, except margins) 2024 2023 % Change Sales Components $177.0 $212.1 -16.6% Organic -14.6% $10.0 $27.4 -63.4% Acquisitions/ Divestitures -2.7% $16.9 $30.0 -43.5% LEGEND BRANDS DayGlo Mantrose-Haeuser Co., Inc. RPM Coatings Group Industrial EBIT¹ RPM profile food • КОРСОАТ. TCI FINISHWORKS WHERE YOUR INGREDIENTS WOOD FINISHES Group Adjusted EBIT¹ PETTIT morrells PROCHEM. Radiant MOHAWK Adjusted EBIT Margin¹ DRIEAZ kírker RPM NatureSeal WELD PRO MODERN RECREATIONAL MR VALVTECT TECHNOLOGIES 9.6% 14.1% -450 bps F/X +0.7% NatureSeal For Guacamole & Avocado Habite browning and maintains freshness Blend of vitamins, minerals and organic acid Suffte free, gluten-free, GMO-free GRAS Ingredients New1.25 lbs.d . Weak demand in specialty OEM end markets, particularly those with residential exposure Non-core furniture warranty business divestiture in Q3-23 reduced sales and adjusted EBIT Challenging comparisons for disaster restoration business due to elevated hurricane response activity in Q2-23, which did not repeat Adjusted EBIT decline driven by the sales decline and unfavorable deleveraging, partially offset by expense reduction actions taken in Q4-23 Investments in long-term growth initiatives weighed on EBIT margins Adjusted EBIT excluded a $4.0 million expense related to an adverse legal ruling for a divested business (1) EBIT, Adjusted EBIT, and Adjusted EBIT Margin are non-GAAP financial measures. Refer to Appendix for reconciliations between GAAP and non-GAAP measures. Investor Presentation | Jan. 11, 2024 36
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