Primo Water Corp. (NYSE: PRMW), a leading provider of direct-to-consumer drinking water, said its second-quarter revenue increased 15% to $526 million, compared with $457 million for the prior year's same period.
Primo attributed the increase to pricing initiatives, increased demand from residential and commercial customers, and a favorable impact of foreign exchange, partially offset by lower revenue from water refill and water dispenser sales.
Separately, the Tampa, FL-based company announced that its board of directors declared a quarterly dividend of $0.06 per common share. The dividend is payable in cash on Sept. 2 to share-owners of record at the close of business on Aug. 19.
"We are very pleased with our second quarter and first half results which have exceeded our forecasts," said Primo chief executive Tom Harrington.
"We continue to see elevated demand from our residential customers even as our Water Direct commercial customer base slowly recovers, confirming our view that there is not a one-for-one tradeoff in demand between these customers as they return to work and mobility increases," he continued. "As such, we feel confident raising our full year Adjusted EBITDA outlook by $10 million to between $390 million and $400 million."
KEY POINTS
- Revenue increased 15% to $526 million, compared with $457 million.
- Reported net loss and net loss per diluted share were $8 million and $0.05, respectively, compared with reported net loss and net loss per diluted share of $132 million and $0.82, respectively. Adjusted net income and adjusted net income per diluted share were $28 million and $0.17, respectively, compared with adjusted net income and adjusted net income per diluted share of $13 million and $0.08, respectively.
- Adjusted EBITDA increased 21% to $100 million compared to $83 million and adjusted EBITDA margin increased by 80 basis points to 18.9%.
- Repurchased approximately 800,000 outstanding common shares for $13 million.
- the company expects about 6% organic revenue growth in 2021, plus growth from tuck-in M&A. Full-year outlook for Adjusted EBITDA raised $10 million to between $390 million and $400 million.
