Company: PRMB
Filing Date: 2025-02-27
Form Type: 10-K
Source: 0002042694-25-000003
Chunk: 200

Company: Primo Brands Corp
Filing Date: 2025-02-27
Form: 10-K
Item: Item 7
Chunk 200
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 EBITDA has limitations as analytical tools, and you should not consider these measures in isolation or as a substitute for analysis of our operating results as reported under U.S. GAAP. Some of these limitations include that:

•Adjusted EBITDA does not reflect our cash expenditures, or future requirements, for capital expenditures or contractual commitments;

•Adjusted EBITDA does not reflect changes in, or cash requirements for, our working capital needs;

•Adjusted EBITDA does not reflect the significant interest expense, or the cash requirements necessary, to service interest on our indebtedness;

•although depreciation and amortization are non-cash charges, the assets being depreciated and amortized will often have to be replaced in the future, and not all of these measures reflect cash requirements for such replacements;

•non-cash compensation is a key element of our long-term executive incentive compensation package, although we exclude it as an expense when evaluating our ongoing operating performance for a particular period;

•the fact that other companies in our industry may calculate these measures differently than we do, which limits their usefulness as comparative measures; and

•these measures do not reflect the impact of certain cash charges resulting from matters we consider not to be indicative of our ongoing operations.

Furthermore, we compensate for the limitations described above by relying primarily on our U.S. GAAP results and using Adjusted EBITDA only for supplemental purposes.

The following table reconciles net income (loss), the most directly comparable U.S. GAAP measure, to Adjusted EBITDA for the periods presented:

 For The Year Ended December 31,($ in millions)202420232022Net (loss) income from continuing operations$(12.6)$92.8$(126.7)Interest and financing expense, net339.6288.1211.8Provision for (benefit from) income taxes33.325.1(53.1)Depreciation and amortization333.3305.7326.2EBITDA693.6711.7358.2Acquisition, integration and restructuring expenses204.116.983.8Share-based compensation costs8.31.31.8Unrealized loss on foreign exchange and commodity forwards, net6.45.1—Write off of long lived assets5.411.4—Gain on extinguishment of debt——(8.7)Management fees53.417.813.0Purchase accounting adjustments4.8——Other adjustments, net18.619.428.5Adjusted EBITDA$