Primo Brands (PRMB) investor relations material

Executive summary

• Second quarter net sales reached $1,796.2 million, up 4.2% year-over-year, led by premium and regional spring water brands, with retail and direct delivery channels showing broad-based growth.

• Adjusted EBITDA increased 5.0% to $385.0 million, with margin expanding 10–20 basis points to 21.4% year-over-year.

• Net income from continuing operations more than doubled to $69.2 million, with diluted EPS at $0.19, up from $0.08 in the prior year quarter.

• Leadership structure was simplified, eliminating the COO role and elevating key positions to enhance agility and decision-making.

• Operational improvements included reduced customer quits, lower call volumes, and enhanced on-time and full delivery metrics.

Financial highlights

• Comparable net sales increased 4.2% year-over-year, with a 4.3% contribution from price/mix and a -0.1% contribution from volume.

• Adjusted EBITDA for Q2 2026 was $385.0 million, up from $366.7 million in Q2 2025.

• Adjusted free cash flow was $200.1 million, a $30.4 million improvement versus prior year.

• Net leverage improved to 3.42x from 3.52x sequentially, with $953 million in liquidity.

• Cash flow from operations was $227.9 million; adjusted for significant items, it would have been $266.4 million.

Outlook and guidance

• Full-year net sales growth outlook raised to 2–4% (from 1–3%), reflecting continued momentum.

• Adjusted EBITDA guidance reaffirmed at $1,465–$1,515 million, with a midpoint margin of 21.8% (flat year-over-year).

• Adjusted free cash flow guidance remains $790–$810 million; base CAPEX expected at 4% of net sales.

• Annual capital expenditures expected at approximately 4% of net sales, plus $100 million in integration capex.

• Sufficient liquidity is projected for the next 12 months, supported by cash flow and a $750 million revolving credit facility.