Company: PRMB
Filing Date: 2025-11-06
Form Type: 10-Q
Source: 0001628280-25-049952
Chunk: 95

Company: Primo Brands Corp
Filing Date: 2025-11-06
Form: 10-Q
Item: Part I, Item 1
Chunk 95
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 and IT optimization costs, incurred during the nine months ended September 30, 2025.

Other Operating (Income) Expense, Net

During the nine months ended September 30, 2025, other operating income, net was $5.4 million, compared to other operating expense, net during the nine months ended September 30, 2024 of $6.5 million. This change is primarily due to unrealized losses on commodity forwards of $5.8 million in the prior year period, as well as unrealized foreign exchange losses of $0.7 million in the prior year period.

Other Income, Net

During the nine months ended September 30, 2025, other income, net was $19.4 million, compared to nil during the nine months ended September 30, 2024. This change is primarily related to insurance proceeds of $20.0 million received in the current year period to repair infrastructure on a warehouse in Texas damaged by a tornado.

Loss on Modification and Extinguishment of Debt

During the nine months ended September 30, 2025, we consummated the Refinancing Transactions to simplify our capital structure, streamline our reporting and compliance requirements and reduce the overall cost of our borrowings. As a result of these transactions, we recorded charges totaling $18.6 million during the nine months ended September 30, 2025.

Interest and Financing Expense, Net

During the nine months ended September 30, 2025, interest and financing expense, net, was $247.1 million, a decrease of $4.7 million, or 1.9%, as compared to the nine months ended September 30, 2024, primarily due to a lower effective interest rate on the Term Loans (as defined below), no outstanding revolving debt during the nine months ended September 30, 2025, substantially offset by an increase of $47.5 million of interest and financing expense related to the addition of the 3.875% Senior Notes and the 4.375% Senior Notes as part of the Refinancing Transactions. 

Provision for Income Taxes

Income tax expense was $60.4 million for the nine months ended September 30, 2025 compared to $48.2 million for the nine months ended September 30, 2024. The effective tax rate was 36.4% for the nine months ended September 30, 2025 compared to 25.4% for the nine months ended