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  "documentTitle": "GCP Applied Technologies (GCP)",
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  "authorName": "Starboard Value",
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  "presentationDate": "2020-04-30 00:00:00",
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  "notes": "Uses CEO quotes to highlight the gap between management's historical guidance and actual performance.",
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      "kind": "callout",
      "text": "Operating performance for both SCC and SBM have fallen well below management targets.",
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      "text": "SBM - Adjusted EBIT Margin vs. Management Target",
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      "text": "Adjusted EBIT Margin: 500 bps",
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      "text": "GCP is operating at ~500 bps of underperformance in both its SCC and SBM segments.",
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      "kind": "quote",
      "text": "We targeted... overall annualized basis we ought to be able to get [SCC] up over 15%. ...But all in, businesses ought to be north of 15% EBIT margin business.",
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      "text": "These are all high-margin specialty applications... You can see the margins for construction are best in class here running from 23%, to just under 26%.",
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      "text": "We targeted, although we don't have a specific date in mind but overall annualized basis we ought to be able to get [SCC] up over 15%. As you capture the new products Verifi will be a piece of that. We get good margins out of Verifi...But all in, businesses ought to be north of 15% EBIT margin business. — Greg Poling, President & CEO, August 2016; These are all high-margin specialty applications...You can see the margins for construction are best in class here running from 23%, to just under 26%. We maintain these margins because of the specialty nature of the product, the distribution network, and the fact that they specified for high-end applications. — Greg Poling, President & CEO, May 2016",
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      "text": "Source: GCP's public filings and transcripts.",
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      "text": "Both Business Segments Have Also Significantly Missed Expectations",
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