Earnings release
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August 7, 2025 Perimeter Solutions Reports Second Quarter 2025 Financial Results Second quarter Net Loss of $32.2M and Adjusted Net Income of $57.1M Continued value driver execution and normalized fire activity drove second quarter Adjusted EBITDA of $91.3M Second quarter Loss Per Diluted Share of $0.22 and Adjusted Earnings Per Diluted Share of $0.39 CLAYTON, Mo., Aug. 07, 2025 (GLOBE NEWSWIRE) -- Perimeter Solutions, Inc. (NYSE: PRM) (“Perimeter,” “Perimeter Solutions,” or the “Company”), a leading global solutions provider for the Fire Safety and Specialty Products industries, today reported financial results for its second quarter ended June 30, 2025. Second Quarter 2025 Results Net sales increased 28% to $162.6 million in the second quarter, as compared to $127.3 million in the prior-year quarter. Fire Safety net sales increased 22% to $120.3 million, as compared to $98.5 million in the prior year quarter. Specialty Products net sales increased 47% to $42.4 million, as compared to $28.7 million in the prior year quarter. Net loss during the second quarter was $32.2 million, or $0.22 loss per diluted share, as compared to net income of $21.7 million, or $0.14 earnings per diluted share in the prior year quarter. Second quarter non-GAAP adjusted earnings per share was $0.39, as compared to adjusted earnings per share of $0.25 in the prior year quarter. Adjusted EBITDA increased 41% to $91.3 million in the second quarter, as compared to $64.9 million in the prior year quarter. Fire Safety Segment Adjusted EBITDA increased 40% to $77.7 million, as compared to $55.6 million in the prior year quarter. Specialty Products Segment Adjusted EBITDA increased 48% to $13.7 million, as compared to $9.3 million in the prior year quarter. Reconciliation tables for non-GAAP measures are available in the attached schedules. Year-to Date 2025 Results Net sales increased 26% to $234.7 million during the year-to-date period, as compared
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to $186.3 million in the prior-year period. Fire Safety sales increased 27% to $157.4 million , as compared to $123.7 million in the prior year period. Specialty Products sales increased 23% to $77.2 million, as compared to $62.6 million in the prior year period. Net income during the year-to-date period was $24.5 million, or $0.16 earnings per diluted share, as compared to a net loss of $60.9 million, or $0.42 loss per diluted share in the prior year period. Non-GAAP adjusted earnings per share during the year-to-date period was $0.41, as compared to adjusted earnings per share of $0.23 in the prior year period. Adjusted EBITDA increased 42% to $109.4 million in the year-to-date period, as compared to $77.0 million in the prior year period. Fire Safety Segment Adjusted EBITDA increased 58% to $87.7 million, as compared to $55.4 million in the prior year period. Specialty Products Segment Adjusted EBITDA of $21.7 million was relatively flat, as compared to $21.6 million in the prior year period. Capital Allocation The Company repurchased 2.9 million shares of Common Stock at an average price of $11.13 per share during the quarter ended June 30, 2025. In May 2025, the Company settled its trade secret litigation with a subsidiary of Compass Minerals International, Inc., and simultaneously acquired related assets for $20 million in cash. Conference Call and Webcast As previously announced, Perimeter Solutions management will hold a conference call at 8:30 a.m. ET on Thursday, August 7, 2025 to discuss financial results for the second quarter 2025. The conference call can be accessed by dialing (877) 407-9764 (toll-free) or (201) 689-8551 (toll). The conference call will also be webcast simultaneously on Perimeter’s website (https://ir.perimeter-solutions.com), accessed under the Investor Relations page. The webcast link will be made available on the Company's website prior to the start of the call; go to the investor relations page of our website to the News & Events menu and click on “Events & Presentations.” A slide presentation will also be available for reference during the conference call; go to the investor relations page of our website to the News & Events menu and click on “Events & Presentations.” Following the live webcast, a replay will be available on the Company’s website. A telephonic replay will also be available approximately three hours after the call and can be
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accessed by dialing (877) 660-6853 (toll-free) or (201) 612-7415 (toll) and using Access ID “13754057”. The telephonic replay will be available until September 6, 2025 (11:59 p.m. ET). About Perimeter Solutions Perimeter Solutions is a leading global solutions provider for the Fire Safety and Specialty Products industries. The Company’s business is organized and managed in two reporting segments: Fire Safety and Specialty Products. The Fire Safety segment is a formulator and manufacturer of fire management products that help our customers combat various types of fires, including wildland, structural, flammable liquids and other types of fires. Our Fire Safety segment also offers specialized equipment and services, typically in conjunction with our fire management products to support our customers’ firefighting operations. Our specialized equipment includes airbase retardant storage, mixing, and delivery equipment; mobile retardant bases; retardant ground application units; mobile foam equipment; and equipment that we custom design and manufacture to meet specific customer needs. Our service network can meet the emergency resupply needs of approximately 150 air tanker bases in North America, as well as many other customer locations globally. The segment is built on the premise of superior technology, exceptional responsiveness to our customers’ needs, and a “never-fail” service network. The segment sells products to government agencies and commercial customers around the world. The Specialty Products segment includes operations that develop, produce and market products for non-fire safety markets. The Company’s largest end market application for our Specialty Products segment is Phosphorus Pentasulfide (“P 2 S 5 ”) based lubricant additives. P 2 S 5 is also used in pesticide and mining chemicals applications and emerging electric battery technologies. The Specialty Products segment also includes Intelligent Manufacturing Solutions (“IMS”), which is a manufacturer of electronic or electro-mechanical components of larger solutions. IMS has a flexible, vertically integrated production facility centered on its printed circuit board (“PCB”) line that allows it to acquire and produce a variety of product lines across a range of end markets, including large medical systems, communications infrastructure, energy infrastructure, defense systems, and industrial systems, with a substantial focus on aftermarket repair and replacement. Forward-looking Information This press release may contain “forward-looking statements” within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward- looking statements involve risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements. Forward-looking statements can be identified by words such as: “anticipate,” “intend,” “plan,” “goal,” “seek,” “believe,” “project,” “estimate,” “expect,” “strategy,” “future,” “likely,” “may,” “should,” “will,” and similar references to future periods. Any such forward-looking statements are not guarantees of performance or results, and involve risks, uncertainties (some of which are beyond the Company’s control) and assumptions. Although Perimeter believes any forward-looking statements are based on reasonable assumptions, you should be aware that many factors could affect the Company’s actual financial results and cause them to differ materially from those anticipated in any
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forward-looking statements, including the risk factors described from time to time by us in our filings with the Securities and Exchange Commission (“SEC”), including, but not limited to, the Company’s Annual Report on Form 10-K for the year ended December 31, 2024. Stockholders, potential investors and other readers should consider these factors carefully in evaluating the forward-looking statements. Any forward-looking statement made by Perimeter in this press release speaks only as of the date on which it is made. Perimeter undertakes no obligation to update any forward- looking statement, whether as a result of new information, future developments or otherwise, except as may be required by law. CONTACT: ir@perimeter-solutions.com PERIMETER SOLUTIONS, INC. AND SUBSIDIARIES Condensed Consolidated Statements of Operations and Comprehensive (Loss) Income (in thousands, except share and per share data) (Unaudited) Three Months Ended June 30, Six Months Ended June 30, 2025 2024 2025 2024 Net sales $ 162,639 $ 127,276 $ 234,669 $ 186,320 Cost of goods sold 61,143 54,009 105,020 92,351 Gross profit 101,496 73,267 129,649 93,969 Operating expenses: Selling, general and administrative expense 15,967 13,906 32,266 27,368 Amortization expense 14,604 13,755 28,703 27,526 Founders advisory fees - related party 96,883 588 16,270 68,921 Other operating expense 268 — 829 — Total operating expenses 127,722 28,249 78,068 123,815 Operating (loss) income (26,226 ) 45,018 51,581 (29,846 ) Other expense (income): Interest expense, net 9,930 10,590 19,574 21,238 Foreign currency (gain) loss (2,096 ) 224 (3,255 ) 1,517 Other (income) expense, net (212 ) 74 (69 ) 101 Total other expense, net 7,622 10,888 16,250 22,856 (Loss) income before income taxes (33,848 ) 34,130 35,331 (52,702 ) Income tax benefit (expense) 1,687 (12,480 ) (10,806 ) (8,206 ) Net (loss) income (32,161 ) 21,650 24,525 (60,908 ) Other comprehensive income (loss), net of tax: Foreign currency translation adjustments 24,120 (989 ) 32,005 (6,532 ) Total comprehensive (loss) income $ (8,041 ) $ 20,661 $ 56,530 $ (67,440 ) (Loss) earnings per share: Basic $ (0.22 ) $ 0.15 $ 0.17 $ (0.42 ) Diluted $ (0.22 ) $ 0.14 $ 0.16 $ (0.42 ) Weighted average number of shares outstanding: Basic 147,055,804 145,236,526 147,779,470 145,279,938 Diluted 147,055,804 154,664,770 156,039,133 145,279,938 PERIMETER SOLUTIONS, INC. AND SUBSIDIARIES Condensed Consolidated Balance Sheets (in thousands, except share data) June 30, 2025 December 31, 2024 (Unaudited)
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ASSETS Current assets: Cash and cash equivalents $ 140,658 $ 198,456 Accounts receivable, net 121,416 56,048 Inventories 150,049 116,347 Prepaid expenses and other current assets 7,956 23,173 Total current assets 420,079 394,024 Property, plant and equipment, net 78,831 64,777 Operating lease right-of-use assets 30,755 17,298 Finance lease right-of-use assets 6,084 6,173 Goodwill 1,053,108 1,034,543 Customer lists, net 624,787 637,745 Technology and patents, net 186,494 173,307 Tradenames, net 85,482 87,365 Other assets, net 642 1,162 Total assets $ 2,486,262 $ 2,416,394 LIABILITIES AND STOCKHOLDERS’ EQUITY Current liabilities: Accounts payable $ 35,902 $ 23,519 Accrued expenses and other current liabilities 31,834 30,450 Founders advisory fees payable - related party 16,046 6,677 Deferred revenue 20,182 1,842 Total current liabilities 103,964 62,488 Long-term debt, net 668,439 667,774 Operating lease liabilities, net of current portion 28,619 15,540 Finance lease liabilities, net of current portion 5,938 6,013 Deferred income taxes 142,860 152,203 Founders advisory fees payable - related party 240,307 240,083 Preferred stock 112,286 109,966 Preferred stock - related party 2,711 2,831 Other non-current liabilities 2,507 2,226 Total liabilities 1,307,631 1,259,124 Commitments and contingencies Stockholders’ equity: Common stock, $0.0001 par value per share, 4,000,000,000 shares authorized; 171,292,585 and 169,426,114 shares issued; 145,914,429 and 147,822,633 shares outstanding at June 30, 2025 and December 31, 2024, respectively 17 17 Treasury stock, at cost; 25,378,156 and 21,603,481 shares at June 30, 2025 and December 31, 2024, respectively (168,197 ) (127,827 ) Additional paid-in capital 1,916,236 1,911,035 Accumulated other comprehensive loss (7,227 ) (39,232 ) Accumulated deficit (562,198 ) (586,723 ) Total stockholders’ equity 1,178,631 1,157,270 Total liabilities and stockholders’ equity $ 2,486,262 $ 2,416,394 PERIMETER SOLUTIONS, INC. AND SUBSIDIARIES Condensed Consolidated Statements of Cash Flows (in thousands) (Unaudited) Six Months Ended June 30, 2025 2024 Cash flows from operating activities: Net income (loss) $ 24,525 $ (60,908 ) Adjustments to reconcile net income (loss) to net cash provided by operating activities: Founders advisory fees - related party (change in fair value) 16,270 68,921 Depreciation and amortization expense 34,817 32,771 Interest and payment-in-kind on preferred shares 3,666 3,528 Stock-based compensation 4,909 4,736 Non-cash lease expense 2,913 2,622
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Deferred income taxes (11,293 ) (4,756 ) Amortization of deferred financing costs 890 856 Foreign currency (gain) loss (3,255 ) 1,517 Loss on disposal of assets 6 9 Changes in operating assets and liabilities, net of acquisitions: Accounts receivable (63,460 ) (57,319 ) Inventories (21,834 ) 2,681 Prepaid expenses and current other assets 4,687 (126 ) Accounts payable 12,003 277 Deferred revenue 18,340 7,927 Income taxes payable, net 7,962 8,635 Accrued expenses and other current liabilities (763 ) 5,237 Founders advisory fees - related party (cash settled) (6,677 ) (2,702 ) Operating lease liabilities (1,998 ) (1,629 ) Finance lease liabilities (251 ) (262 ) Other, net (563 ) (597 ) Net cash provided by operating activities 20,894 11,418 Cash flows from investing activities: Purchase of property and equipment (17,577 ) (5,196 ) Purchase of intangible assets (15,226 ) — Proceeds from short-term investments — 5,383 Purchase of businesses, net of cash acquired (10,000 ) — Net cash (used in) provided by investing activities (42,803 ) 187 Cash flows from financing activities: Common stock repurchased (40,370 ) — Ordinary shares repurchased — (14,417 ) Proceeds from exercise of options 292 — Principal payments on finance lease obligations (482 ) (367 ) Net cash used in financing activities (40,560 ) (14,784 ) Effect of foreign currency on cash and cash equivalents 4,671 (935 ) Net change in cash and cash equivalents (57,798 ) (4,114 ) Cash and cash equivalents, beginning of period 198,456 47,276 Cash and cash equivalents, end of period $ 140,658 $ 43,162 Supplemental disclosures of cash flow information: Cash paid for interest $ 19,698 $ 17,153 Cash paid for income taxes $ 12,844 $ 4,448 Non-GAAP Financial Metrics The Company provides non-GAAP financial measures for Segment Adjusted EBITDA, Adjusted Net Income, and Adjusted Earnings Per Share data as supplemental information regarding the Company’s business performance. The Company believes that these non- GAAP financial measures are useful to investors because they provide investors with a better understanding of the Company’s past financial performance and future results. The Company’s management uses these non-GAAP financial measures when it internally evaluates the performance of its business and makes operating decisions, including internal operating budgeting, performance measurement, and discretionary compensation. Adjusted EBITDA Adjusted EBITDA is defined as (loss) income before income taxes plus net interest and other financing expenses, and depreciation and amortization, adjusted on a consistent basis for certain non-recurring, unusual or non-operational items. These items include (i) restructuring and transaction related costs (ii) founder advisory fee expenses, (iii) stock- based compensation expenses and (iv) foreign currency (gain) loss. To supplement the
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Company’s condensed consolidated financial statements presented in accordance with U.S. GAAP, Perimeter is providing a summary to show the computations of Adjusted EBITDA, which is a non-GAAP measure used by the Company's management and by external users of Perimeter’s financial statements, such as debt and equity investors, commercial banks and others, to assess the Company’s operating performance as compared to that of other companies, without regard to financing methods, capital structure or historical cost basis. Adjusted EBITDA should not be considered an alternative to net (loss) income, operating (loss) income, cash flows provided by operating activities or any other measure of financial performance or liquidity presented in accordance with U.S. GAAP (in thousands). (Unaudited) Three Months Ended June 30, 2025 Three Months Ended June 30, 2024 Fire Safety Specialty Products Total Fire Safety Specialty Products Total (Loss) income before income taxes $ (27,068 ) $ (6,780 ) $ (33,848 ) $ 30,377 $ 3,753 $ 34,130 Depreciation and amortization 13,620 4,304 17,924 12,798 3,561 16,359 Interest and financing expense 6,180 3,750 9,930 9,897 693 10,590 Founders advisory fees - related party 83,319 13,564 96,883 507 81 588 Non-recurring expenses (1) 123 184 307 14 9 23 Stock-based compensation expense 2,007 231 2,238 2,067 927 2,994 Foreign currency (gain) loss (522 ) (1,574 ) (2,096 ) (21 ) 245 224 Segment Adjusted EBITDA $ 77,659 $ 13,679 $ 91,338 $ 55,639 $ 9,269 $ 64,908 (1) For the three months ended June 30, 2025, $0.2 million was related to acquisition costs and $0.1 million was related to other non-recurring costs. (Unaudited) Six Months Ended June 30, 2025 Six Months Ended June 30, 2024 Fire Safety Specialty Products Total Fire Safety Specialty Products Total Income (loss) before income taxes $ 31,810 $ 3,521 $ 35,331 $ (54,034 ) $ 1,332 $ (52,702 ) Depreciation and amortization 26,385 8,432 34,817 25,688 7,083 32,771 Interest and financing expense 12,134 7,440 19,574 20,011 1,227 21,238 Founders advisory fees - related party 13,992 2,278 16,270 59,273 9,648 68,921 Non-recurring expenses (1) 357 1,418 1,775 389 174 563 Stock-based compensation expense 3,583 1,326 4,909 3,516 1,220 4,736 Foreign currency (gain) loss (517 ) (2,738 ) (3,255 ) 555 962 1,517 Segment Adjusted EBITDA $ 87,744 $ 21,677 $ 109,421 $ 55,398 $ 21,646 $ 77,044 (1) For the six months ended June 30, 2025, $0.8 million was related to acquisition costs, $0.4 million was related to the Redomiciliation Transaction and $0.6 million was related to restructuring and other non- recurring costs. For the six months ended June 30, 2024, $0.5 million was related to the Redomiciliation Transaction and other non-recurring Luxembourg related costs, and $0.1 million was related to other non- recurring costs. Adjusted Net Income and Adjusted Earnings Per Share The computation of Adjusted Earnings Per Share (“Adjusted EPS”) is defined as Adjusted Net Income divided by adjusted diluted shares. Adjusted Net Income is defined as net (loss) income plus amortization, certain non-recurring, unusual or non-operational items, and the tax impact of these non-GAAP adjustments. These adjustments include (i) restructuring and transaction related costs (ii) founder advisory fee expenses, (iii) stock-based compensation
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expenses and (iv) foreign currency (gain) loss. Adjusted diluted shares is the weighted average diluted shares outstanding, adjusted by adding dilution for options and warrants excluded under U.S. GAAP due to a net loss, less dilution related to founders advisory fees. To supplement the Company’s condensed consolidated financial statements presented in accordance with U.S. GAAP, Perimeter is providing a summary to show the computations of Adjusted Net Income and Adjusted EPS, which are non-GAAP measures used by the Company's management and by external users of Perimeter’s financial statements, such as debt and equity investors, commercial banks and others, to assess the Company's operating performance as compared to that of other companies, without regard to financing methods, capital structure or historical cost basis. Adjusted EPS and Adjusted Net Income should not be considered alternatives to GAAP (loss) earnings per share (“GAAP EPS”), net (loss) income, operating (loss) income, cash flows provided by operating activities or any other measure of financial performance or liquidity presented in accordance with U.S. GAAP (in thousands, except share and per share data). (Unaudited) Three Months Ended June 30, 2025 2024 GAAP net (loss) income $ (32,161 ) $ 21,650 Adjustments: Amortization 14,604 13,755 Founders advisory fees - related party 96,883 588 Non-recurring expenses (1) 307 23 Stock-based compensation expense 2,238 2,994 Foreign currency (gain) loss (2,096 ) 224 Tax impact of non-GAAP adjustments (2) (22,631 ) (3,441 ) Adjusted Net Income $ 57,144 $ 35,793 Shares used in computing GAAP Earnings Per Share (diluted) 147,055,804 154,664,770 Options (3) 1,276,730 — Warrants (3) — — Shares underlying Founders fixed advisory fees (4) — (9,428,244 ) Shares underlying Founders variable advisory fees (5) — — Shares used in computing Adjusted Earnings Per Share (diluted) 148,332,534 145,236,526 GAAP (Loss) Earnings Per Share (diluted) $ (0.22 ) $ 0.14 Adjusted Earnings Per Share (diluted) $ 0.39 $ 0.25 ____________________ (1 ) For the three months ended June 30, 2025, $0.2 million was related to acquisition costs and $0.1 million was related to other non-recurring costs. (2 ) The tax impact of non-GAAP adjustments reflects the total income tax expense commensurate with the non-GAAP measure of profitability. (3 ) The Company adds back the dilutive impact of options and warrants if amounts were excluded for purposes of GAAP EPS due to a GAAP net loss during the period. (4 ) As of June 30, 2025 and 2024, a maximum of 2.4 million shares were expected to be issued within 12 months under the Founders fixed advisory fee. (5 ) Based on period end market prices, no shares were issuable under the Founders variable advisory fee. (Unaudited) Six Months Ended June 30, 2025 2024 GAAP net income (loss) $ 24,525 $ (60,908 ) Adjustments: Amortization 28,703 27,526 Founders advisory fees - related party 16,270 68,921 Non-recurring expenses (1) 1,775 563 Stock-based compensation expense 4,909 4,736 Foreign currency (gain) loss (3,255 ) 1,517
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Tax impact of non-GAAP adjustments (2) (11,694 ) (8,632 ) Adjusted net income $ 61,233 $ 33,723 Shares used in computing GAAP Earnings Per Share (diluted) 156,039,133 145,279,938 Options (3) — — Warrants (3) — — Shares underlying Founders fixed advisory fees (4) (7,071,183 ) — Shares underlying Founders variable advisory fees (5) — — Shares used in computing Adjusted Earnings Per Share (diluted) 148,967,950 145,279,938 GAAP Earnings (Loss) Per Share (diluted) $ 0.16 $ (0.42 ) Adjusted Earnings Per Share (diluted) $ 0.41 $ 0.23 ____________________ (1 ) For the six months ended June 30, 2025, $0.8 million was related to acquisition costs, $0.4 million was related to the Redomiciliation Transaction and $0.6 million was related to restructuring and other non-recurring costs. For the six months ended June 30, 2024, $0.5 million was related to the Redomiciliation Transaction and other non-recurring Luxembourg related costs, and $0.1 million was related to other non-recurring costs. (2 ) The tax impact of non-GAAP adjustments reflects the total income tax expense commensurate with the non-GAAP measure of profitability. (3 ) The Company adds back the dilutive impact of options and warrants if amounts were excluded for purposes of GAAP EPS due to GAAP net loss during the period. (4 ) As of June 30, 2025 and 2024 a maximum of 2.4 million shares were expected to be issued within 12 months under the Founders fixed advisory fee. (5 ) Based on period end market prices, no shares were issuable under the Founders variable advisory fee. Source: Perimeter Solutions