Company: PRMB
Filing Date: 2025-01-24
Form Type: S-1
Source: 0001193125-25-012325
Chunk: 144

Company: Primo Brands Corp
Filing Date: 2025-01-24
Form: S-1
Chunk 144
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 revenue was 0.5% in 2023 compared to 0.7% in 2022.

North America acquisition and integration expenses
decreased to $6.4 million in 2023 compared to $10.8 million in 2022, due primarily to costs in the prior year associated with the exit from the single-use retail bottled water business in North
America.

Other acquisition and integration expenses increased to $3.1 million in 2023 compared to $1.3 million in 2022, due
primarily to increased professional fees in 2023.

Impairment Charges

Impairment charges decreased to nil in 2023 compared to $11.2 million in 2022. Impairment charges as a percentage of revenue was nil in
2023 compared to 0.7% in 2022.

The decrease is due to the non-cash asset impairment charge in
Other resulting from the exit of Primo Water’s business in Russia in 2022.

Gain on Sale of Property

Gain on sale of property decreased to $21.0 million in 2023 from $38.8 million in 2022.

The decrease was due to smaller aggregate value of sale transactions for Primo Water’s North America owned real properties than in 2022.

Operating Income (Loss)

Operating
income was $163.4 million in 2023 compared to $143.5 million in 2022.

99

North America operating income increased to $222.2 million in 2023 compared to
$203.7 million in 2022, due to the items discussed above.

Other operating loss decreased to $58.8 million in 2023 compared to
$60.2 million in 2022, due to the items discussed above.

Other Expense (Income), Net

Other expense, net was $1.2 million in 2023 compared to Other income, net of $2.5 million in 2022, due primarily to higher unrealized
foreign exchange losses in 2023 compared to 2022.

Income Taxes

Income tax expense was $27.0 million in 2023 compared to $19.5 million in 2022. The effective tax rate was 29.7% in 2023 compared to
24.9% in 2022.

The effective tax rate for 2023 varied from the effective tax rate from 2022 due primarily to increased income in a tax-paying jurisdiction and increased losses