Company: CODI-PB
Filing Date: 2025-12-08
Form Type: 10-K/A
Source: 0001345126-25-000078
Chunk: 194

Company: Compass Diversified Holdings
Filing Date: 2025-12-08
Form: 10-K/A
Chunk 194
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iii) incurring liens, (ix) entering into sale-leaseback transactions and (x) making certain investments, subject in each case to certain exceptions.

The following table reflects required financial ratios as of December 31, 2024 included as part of the affirmative covenants in our 2022 Credit Facility, along with our actual ratios based on both the financial results presented in our 2024 Form 10-K and as restated in this Form 10-K/A:

| Description of Required Covenant Ratio |     | Covenant Ratio Requirement         |     | Actual Ratio (Original Filing) |     |      |     | Actual Ratio (Restated) |     |      |
| Fixed Charge Coverage Ratio            |     | Greater than or equal to 1.50:1.00 |     |                                |     | 2.43 |     |                         |     | 0.83 |
| Total Secured Debt to EBITDA Ratio     |     | Less than or equal to 3.50:1.00    |     |                                |     | 0.92 |     |                         |     | 1.63 |
| Total Debt to EBITDA Ratio             |     | Less than or equal to 5.00:1.00    |     |                                |     | 3.58 |     |                         |     | 6.32 |

We intend to use the availability under our 2022 Credit Facility and cash on hand to pursue acquisitions of additional businesses, to fund distributions (if and to the extent approved by our Board) and to provide for other working capital needs.

Interest Expense (as restated)

We incurred interest expense totaling $122.8 million in the year ended December 31, 2024, as compared to $109.9 million in the year ended December 31, 2023 and $85.3 million for the year ended December 31, 2022.

The components of interest expense on our outstanding debt are as follows (in thousands):

|                                         |     | Years ended December 31, 
 2024                     
 As Restated              |         |     | 2023        
 As Restated |         |     | 2022        
 As Restated |        |
|:----------------------------------------|:----|:-------------------------|--------:|:----|:------------|--------:|:----|:------------|-------:|
| Interest on credit facilities           |     | $                        |  38,985 |