Company: PRMB
Filing Date: 2025-08-07
Form Type: 424B3
Source: 0002042694-25-000017
Chunk: 38

Company: Primo Brands Corp
Filing Date: 2025-08-07
Form: 424B3
Chunk 38
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 income tax expense of $29.7 million on pre-tax income of $117.7 million in the comparable prior year period. The effective income tax rate for the six months ended June 30, 2025 was 34.3% compared to 25.2% in the comparable prior year period.

The effective tax rate for the three and six months ended June 30, 2025 varied from the effective tax rate in the comparable prior year period due primarily to permanent differences for which the Company has not recognized a tax benefit. The effective tax rate for the three and six months ended June 30, 2025 varied from the U.S. statutory rate due primarily to permanent differences for which the Company has not recognized a tax benefit and losses in tax jurisdictions with existing valuation allowances.

On July 4, 2025, the One Big Beautiful Bill Act was signed into U.S. tax law and contains a broad range of tax reform provisions affecting businesses. We are evaluating the effects that this legislation will have on our effective tax rate and cash tax position.

#### NOTE 10—STOCK-BASED COMPENSATION
During the six months ended June 30, 2025 the Company granted 244,370 time-based restricted stock units ("RSUs") with a weighted average grant date fair value of $34.02. The fair value of the RSUs is based on the quoted market price of PRMB shares on the NYSE as of the grant date, which awards vest over three years in equal annual installments on the first, second and third anniversaries of the date of grant and include a service condition.

Additionally, the Company granted 467,155 Performance-based RSUs with a weighted average grant date fair value of $52.97, which vest at the end of a three-year performance period beginning on the first day of the Company's 2025 fiscal year and ending on the last day of our 2027 fiscal year ("2025 Performance Awards"). The number of shares ultimately awarded will be based upon the performance payout rate, which can range from —% to 200% of the awards granted and is based on the Company’s achievement total shareholder return (”TSR”) relative to the TSR attained by companies within the Company's defined peer group for the applicable performance period (the “Performance Objective”). The number of Performance-based RSUs that may vest, and the related unrecognized compensation cost is subject to change based on the Performance Objectives achieved during the vesting period.

The grant date fair value of