Primo Brands Corporation · NYSE:PRMB
Primo Brands — Q1 2025 Earnings Presentation
28 slides from Primo Brands's earnings presentation, May 8, 2025
Slide 1: Primo Brands 1st Quarter 2025 Results
Primo Brands Hydrating a Healthy AmericaTM 1st Quarter 2025 Results May 8, 2025
Slide 2: Cautionary Statements
Cautionary Statements Disclaimer Safe Harbor Statement This presentation contains forward-looking statements and forward-looking information within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 conveying management’s expectations as t
Slide 3: Today's Presenters
Today's Presenters Robbert Rietbroek David Hass Chief Executive Officer Chief Financial Officer • Must Win Battles AGENDA • Q1 2025 Financials • Closing Remarks • Q&A
Slide 4: Primo Brands Q1 2025 Financial Summary
Primo Brands Q1 2025 Financial Summary Comparable Results (in millions) Comparable Results1 Q1 2025 Q1 2024 Change Net Sales $1,610.1 $1,562.8 3.0% Adj. EBITDA $341.5 $304.7 12.1% Adj. EBITDA Margin % 21.2% 19.5% 170 bps Q1 2025 Comparable Highlights1 • 3.0% Comparable Net Sales growth composed of 2
Slide 5: Our Must-Win Battles to Fuel Growth
Our Must-Win Battles to Fuel Growth 5
Slide 6: Q1 2025 Results
Q1 2025 Results Financial Performance - Reported and Comparable Results (in millions) Reported Results Q1 2025 Q1 2024 Change Net Sales $1,613.7 $1,135.8 42.1% Adj. EBITDA $341.5 $217.7 56.9% Adj. EBITDA Margin % 21.2% 19.2% 200 bps Comparable Results1 Q1 2025 Q1 2024 Change Net Sales $1,610.1 $1,56
Slide 7: Q1 2025 Channel Net Sales Results
Q1 2025 Channel Net Sales Results Financial Performance - Comparable Results Net Sales by Water Type Net Sales Channels by Trade (in millions) (in millions) Channel Q1 2025 Q1 2024 % Change Channel Q1 2025 Q1 2024 % Change Regional Spring Water $794.1 $793.0 0.1% Direct Delivery $650.7 $636.0 2.3% G
Slide 8: Estimated Cost Synergy Opportunity: Larger and Faster
Estimated Cost Synergy Opportunity: Larger and Faster Functional Areas Identified Opportunities • Optimization of manufacturing locations, routes, branches and 1. Operations inventory management • Brand portfolio alignment opportunity • Improvement of manufacturing efficiencies and leveraging 2. Pro
Slide 9: Capital Allocation and Treasury Management
Capital Allocation and Treasury Management Liquidity and Debt Capital Structure ($ in Millions, unless otherwise noted) Debt Capital Maturities4 Net Leverage Ratio 1 3.39x 3.875% Focused on deleveraging Available Liquidity 2 $1,061M SOFR +225 bps Flexibility in executing 4.375% strategic initiatives
Slide 10: Primo Water 2025 Financial Outlook
Primo Water 2025 Financial Outlook Comparable Results1 2025 Range ($ in millions) Low High Net Sales Growth 3% 5% Adj. EBITDA $1,600 $1,628 Base CAPEX 4% of Net Sales Adj. Free Cash Flow $790 $810 1. Comparison period includes 2024 Combined Financials, less results of exited Eastern Canadian operati
Slide 11: Additional Detail on Cost Synergy Target and Estimated Integration Costs
Additional Detail on Cost Synergy Target and Estimated Integration Costs One-Time One TimeCosts Costs 2025 Total 2026 ~$100M Total One-Time Costs ~$200M ~$100M • Production and branch closures including property buyout costs and fees • Decommissioning and equipment storage Synergies Achieved Synergi
Slide 12: Hydrating a Healthy America
Hydrating a Healthy AmericaTM
Slide 13: Q&A
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Slide 14: Appendix
Appendix 26 attic DEER hss. PARK ONT, WNT Sez VALLEY OZARKA, sian «eS © PRIMO WATER™ — S. pARATOGA Sparkletts. zephvthills|
Slide 15: Definitions and Meanings
Definitions and Meanings Reported Results - Reflect BlueTriton's financial results plus the addition of legacy Primo Water, following the closing date of the merger, November 8, 2024. Combined Results - Include the combination of legacy Primo Water with BlueTriton for the full calendar year in addit
Slide 16: Comparable Base Clarification
Comparable Base Clarification Clarifying Results Attributable to the Exited Eastern Canadian Operations Comparable Base Clarification ($ in millions) Q1 24 Q2 24 Q3 24 Q4 24 2024 Q1 25 Net Sales $19.9 $25.6 $23.2 $15.7 $84.4 $3.6 Adjusted EBITDA $(0.6) $2.9 $3.4 $0.3 $6.0 $— 16 Source: Primo Brands
Slide 17: Q1 Combined and Comparable Net Sales, EBITDA and Adj. EBITDA
Q1 Combined and Comparable Net Sales, EBITDA and Adj. EBITDA Non-GAAP Reconciliation - Unaudited (in millions of U.S. dollars) For the Three Months Ended March 31, 20251 March 31, 20242 Primo Brands Corporation Primo Brands Corporation Primo Water Corporation Combined Net sales $ 1,613.7 $ 1,135.8 $
Slide 18: Q2 through Q4 2024 Combined and Comparable Net Sales, EBITDA and Adj. EBITDA
Q2 through Q4 2024 QTD Combined and Comparable Net Sales, EBITDA and Adj. EBITDA Non-GAAP Reconciliation - Unaudited (in millions of U.S. dollars) For the Three Months Ended For the Period Ended December 31, November 8, December 31, June 30, 20241 September 30, 20242 20243 20244 2024 Primo Water Tri
Slide 19: Q4 2024 YTD Combined Net Sales, EBITDA and Adj. EBITDA
Q4 2024 YTD Combined Net Sales, EBITDA and Adj. EBITDA Non-GAAP Reconciliation - Unaudited (in millions of U.S. dollars) For the Period Ended December 31, September 28, November 8, December 31, 20241 20242 20243 2024 Primo Water Primo Water Primo Brands Corporation Corporation Combined Net sales $ 5
Slide 20: Q1 Normalized Comparable Net Sales
Q1 Normalized Comparable Net Sales Non-GAAP Reconciliation - Unaudited (in millions of U.S. dollars) For the Three Months Ended March 31, 20251 March 31, 20241 Primo Brands Corporation Primo Brands Corporation Comparable Net sales $ 1,610.1 $ 1,562.8 Leap year adjustment2 — (17.6) Normalized compara
Slide 21: Q1 Combined and Comparable Net Sales by Water Type
Q1 Combined and Comparable Net Sales by Water Type Non-GAAP Reconciliation - Unaudited For the Three Months Ended March 31, 2025 Net Sales Primo Brands Corporation1 Adjustments2 Combined Net Sales Adjustments3 Comparable Net Sales ($ in millions of U.S. dollars) Regional spring water $ 794.1 $ — $ 7
Slide 22: Q1 Combined and Comparable Net Sales by Channel of Trade
Q1 Combined and Comparable Net Sales by Channel of Trade Non-GAAP Reconciliation - Unaudited For the Three Months Ended March 31, 2025 Net Sales Primo Brands Corporation1 Adjustments2 Combined Net Sales Adjustments3 Comparable Net Sales ($ in millions of U.S. dollars) Direct delivery 650.7 — 650.7 —
Slide 23: Q1 2025 TTM Combined Free Cash Flow and Adjusted Free Cash Flow
Q1 2025 TTM Combined Free Cash Flow and Adjusted Free Cash Flow Non-GAAP Reconciliation - Unaudited Quarter-to-Date (in millions of U.S. dollars) Year-to-Date December 31, 2024 Quarter-to-Date March 31, 2024 March 31, 2025 TTM7 Primo Brands Primo Water Primo Water Primo Brands Primo Water Primo Bran
Slide 24: Q1 2025 Adjusted Cash from Operations and Capex - Cont Ops
Q1 2025 Adjusted Cash from Operations and Capex - Cont Ops Non-GAAP Reconciliation - Unaudited Primo Brands (in millions of U.S. dollars) Corporation March 31, 2025 Net cash provided by operating activities from continuing operations $ 38.8 Acquisition, integration and restructuring cash costs 65.2
Slide 25: Interest Coverage Ratio and Net Leverage Ratio - Combined
Interest Coverage Ratio and Net Leverage Ratio - Combined Non-GAAP Reconciliation - Unaudited (in millions of U.S. dollars, except financial ratios) FY 2024 (-) Q1 2024 YTD (+) Q1 2025 YTD Q1 2025 LTM Adjusted EBITDA 1 $ 1,352.5 $ 304.1 $ 341.5 $ 1,389.9 Interest Expense, net $ 367.6 $ 89.9 $ 82.1 $
Slide 26: Price/Volume Growth - Historical Comparable Results
Price/Volume Growth - Historical Comparable Results Non-GAAP Reconciliation - Unaudited Q1 (in millions of U.S. dollars) Comparable Net Sales 20241 $ 1,562.8 Volume 43.1 Price/Mix 4.2 Comparable Net Sales 20251 $ 1,610.1 2.8% Total Volume 0.2% Total Price/Mix 3.0% Total Comparable Net Sales Growth 1
Slide 27: Organic/Inorganic Growth - Historical Comparable Results
Organic/Inorganic Growth - Historical Comparable Results Non-GAAP Reconciliation - Unaudited (in millions of U.S. dollars) Q1 Comparable Net Sales 20241 $ 1,562.8 Inorganic growth (from acquisitions) 6.8 Organic growth 40.5 Comparable Net Sales 20251 $ 1,610.1 Inorganic growth (from acquisitions) 0.
Slide 28: Comparable Net Sales Growth
Comparable Net Sales Growth Non-GAAP Reconciliation - Unaudited Low High 2024 Combined Net sales1 $ 6,810.1 $ 6,810.1 2024 Eastern Canadian operations2 (84.4) (84.4) 2024 Comparable Net sales 6,725.7 6,725.7 Comparable Net sales increase from 2024 202.0 336.0 2025 Estimated Comparable Net sales $ 6,