Primo Brands Stock Earnings Reports

Primo Brands delivered a solid start to 2026 with comparable net sales of $1.63 billion, up 1.7% year-over-year driven by both price/mix and volume. Management achieved sequential operational improvements in direct delivery (on-time-in-full >90% in March) and reduced customer churn trends, though direct delivery revenue remained down for the quarter. Premium brands (Saratoga and Mountain Valley) were standout drivers, growing 43% in Q1. Comparable adjusted EBITDA was $306 million, down 10.4% (margin pressure from investments to improve direct delivery service, winter-storm-related incremental freight, and a tighter freight market). As a result management raised full-year comparable organic net sales guidance to +1% to +3% (from flat to +1%) but widened the adjusted EBITDA range to $1.465B–$1.515B (midpoint EBITDA margin ~22%). The company emphasized multiple mitigation levers for commodity/headwind risks (pricing, productivity, hedging), highlighted a proactive refinancing of its $3.1B term loan (maturity extended to 2031), maintained strong liquidity (~$874M available), repurchased $29M of stock in Q1, and announced a $0.12 quarterly dividend. Capex was $118M (including integration/growth investments); adjusted free cash flow range was reaffirmed at $790M–$810M. Management expects direct delivery to approach breakeven in Q2 and move to modest growth in H2 2026 as productivity normalizes and investments finish.