Company: PRMB
Filing Date: 2025-11-06
Form Type: 10-Q
Source: 0001628280-25-049952
Chunk: 88

Company: Primo Brands Corp
Filing Date: 2025-11-06
Form: 10-Q
Item: Part I, Item 1
Chunk 88
---
 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.

41

Table of Contents

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

 Three Months Ended September 30,Nine Months Ended September 30,($ in millions)2025202420252024Net income from continuing operations$40.5$53.3$105.7$141.3Interest and financing expense, net83.185.7247.1251.8Provision for income taxes26.418.560.448.2Depreciation and amortization163.177.8437.0227.3EBITDA$313.1$235.3$850.2$668.6Acquisition, integration and restructuring expenses188.210.0200.829.0Stock-based compensation costs11.90.336.80.9Unrealized loss on foreign exchange and commodity forwards, net1.78.81.76.1Loss on disposal of property, plant and equipment, net5.02.18.43.8Loss on modification and extinguishment of debt——18.6—Management fees—4.5—18.6Purchase accounting adjustments——1.2—Other adjustments, net(15.4)3.1(5.0)12.8Adjusted EBITDA$404.5$264.1$1,112.7$739.8

______________________

1 Amounts include labor related costs.

42

Table of Contents