Beverage company Primo Brands Q2 sales miss estimates

Primo Brands

07/08/2025 11:41

Overview

Primo Brands Q2 net sales rise 31.6% but miss analyst expectations

Adjusted EPS for Q2 misses consensus, coming in at $0.36

Company revises full-year 2025 guidance due to integration disruptions

Primo Brands announces $250 mln share repurchase program

Outlook

Primo Brands revises 2025 Net Sales, Adjusted EBITDA, Free Cash Flow guidance

Company expects cost synergies of $200 mln in 2025, $300 mln in 2026

Primo Brands anticipates service normalization by end of September

Company announces $250 mln share repurchase program

Result Drivers

MERGER IMPACT - Sales growth driven by merger with Primo Water, partially offset by facility sale in Ontario

TORNADO DAMAGE - Hawkins facility tornado damage and integration service issues impacted Q2 results

RETAIL EXPANSION - Continued expansion in retail distribution and strong demand for premium water products

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Sales
Miss
$1.73 bln
$1.81 bln (10 Analysts)
Q2 Adjusted EPS
Miss
$0.36
$0.42 (11 Analysts)
Q2 EPS
$0.07
Q2 Adjusted Net Income
Miss
$137.10 mln
$158.90 mln (8 Analysts)
Q2 Adjusted EBITDA
Miss
$366.70 mln
$421.50 mln (10 Analysts)
Q2 EPS from Cont Ops
$0.08
Q2 Net Income from Cont Ops
$30.50 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 12 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

The average consensus recommendation for the non-alcoholic beverages peer group is "buy"

Wall Street's median 12-month price target for Primo Brands Corp is $41.00, about 35.6% above its August 6 closing price of $26.41

The stock recently traded at 15 times the next 12-month earnings vs. a P/E of 20 three months ago

Press Release: ID:nCNWCmV9Wa

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)