TAMPA, FL, May 7, 2020 /PRNewswire/ - Primo Water Corporation (NYSE:PRMW; TSX:PRMW) (the "Company" or "Primo"), a leading provider of water direct to consumers and water filtration services in North America and Europe as well as a leading provider of water dispensers, purified bottled water, and self-service refill drinking water in the U.S. and Canada, today announced its results for the first quarter ended March 28, 2020.
FIRST QUARTER 2020 HIGHLIGHTS – CONTINUING OPERATIONS
- Revenue increased 11% (increased by 13% excluding the impact of foreign exchange and the divested Cott Beverages LLC business) to $474 million compared to $428 million.
- Reported net loss and net loss per diluted share were $27 million and $0.19, respectively. Adjusted EBITDA increased 31% to $70 million.
- On February 28, 2020, the Company completed the sale of the S&D Coffee and Tea business for $405 million. The S&D Coffee and Tea business has been classified in the Company's consolidated financial statements as discontinued operations for all periods presented.
- On March 2, 2020, utilizing a combination of cash on hand, the proceeds of the S&D Coffee and Tea sale and Company common shares, the Company acquired legacy Primo Water Corporation ("Legacy Primo"), a leading provider of water dispensers, purified bottled water, and self-service refill drinking water in the United States and Canada. The transaction valued Legacy Primo at approximately $775 million. As a part of the transaction, the Company changed its name to Primo Water Corporation and its common shares began trading under the ticker "PRMW" on the NYSE and the TSX.
- The Company returned approximately $42 million to shareowners through $10 million in quarterly dividends and $32 million of share repurchases.
"Our first quarter results are a testament to our pure-play water model and the strong underlying fundamentals of our business. I am pleased with the revenue growth we realized as a result of the increased demand for water products and services across our U.S. and Israeli footprints, which were able to more than offset the pressures experienced throughout our European operations as a result of COVID-19," commented Tom Harrington, Primo's Chief Executive Officer. "We responded to those pressures by adjusting routes where necessary, and we have reduced discretionary and non-essential spending where appropriate. We are fortunate to operate a highly variable cost structure that allows us to quickly react to changing conditions."
Editor's Note: Later in the press release, the company stated its results for the "other" category, which includes "non-core channels of products and services such as office coffee services as well as co-packed products, including micro ground coffee, hot chocolate, and other conglomerates.": "Revenue decreased 4% (decreased by 3% excluding the impact of foreign exchange) driven primarily by the pressure within our office coffee services business as a result of COVID-19."