Company: PRMB
Filing Date: 2025-01-24
Form Type: S-1
Source: 0001193125-25-012325
Chunk: 315

Company: Primo Brands Corp
Filing Date: 2025-01-24
Form: S-1
Chunk 315
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 an effective tax rate of 25.4%. The majority of the Company’s taxable income is generated in the United States and taxed at a federal and state statutory rate of 24.9%. Relative to the federal and state statutory rate, the 2024 effective tax rate for the nine months ended September 30, 2024 was primarily impacted by the negative effects of permanent book to tax differences and state non-incometaxes, offset by research and development tax credits. F-61

For the nine months ended September 30, 2023, the Company recorded an income tax expense of $24.0 million. The effective tax rate for the nine months ended September 30, 2023 of 22.9%. Relative to the federal and state statutory rate, the 2023 effective tax rate for the nine months ended September 30, 2023 was primarily impacted by the effects of discrete items. NOTE 10—REVENUE RECOGNITION Disaggregation of net sales to external customers by geographic area based on customer location is as follows (unaudited, in millions):

|               |     | 2024 | Three Months Ended September 30, |     | 2023 |         |     | 2024 | Nine Months Ended September 30, |     | 2023 |         |
|:--------------|:----|:-----|---------------------------------:|:----|:-----|--------:|:----|:-----|--------------------------------:|:----|:-----|--------:|
| United States |     | $    |                          1,270.3 |     | $    | 1,215.7 |     | $    |                         3,655.1 |     | $    | 3,512.1 |
| Canada        |     |      |                             34.8 |     |      |    36.9 |     |      |                           100.2 |     |      |   100.6 |
| Total Revenue |     | $    |                          1,305.1 |     | $    | 1,252.6 |     | $    |                         3,755.3 |     | $    | 3,612.7 |

Contract Liabilities Contract liabilities primarily consists of payments received from customers before the Company has fulfilled its performance obligation in order to recognize revenue. These amounts are recorded as deferred revenue within accruals and other current liabilities. The deferred revenue is expected