Primo Brands Shares Plunge 18.87% as Earnings Warnings Operational Turmoil Spark Sell-Off

The share price dropped to a record low today, with an intraday decline of 18.87%. The selloff marks the second consecutive day of losses for Primo Brands, which has fallen 36.19% over the past two trading sessions, eroding investor confidence amid ongoing operational and strategic challenges.

Recent developments have highlighted a confluence of issues driving the stock’s decline. Primo Brands slashed its full-year 2025 sales guidance, citing a low-single-digit revenue contraction driven by persistent underperformance in its home and office delivery business. Operational disruptions, including a tornado damaging a key Texas production facility in early 2025, compounded supply chain challenges. The integration of BlueTriton, completed earlier this year, also introduced unanticipated complexities, with CEO Eric Foss acknowledging “self-inflicted” disruptions to product availability and customer service. Meanwhile, leadership uncertainty followed the abrupt resignation of former CEO Robbert Rietbroek in September, raising questions about strategic continuity.

Financial results underscore the volatility. While Q3 revenue rose 35% year-over-year to $1.77 billion, driven by the BlueTriton merger, adjusted EPS of 41 cents missed estimates, and profit from continuing operations fell 24%. The company’s adjusted EBITDA, however, climbed 53.2% to $404.5 million, reflecting cost synergies. Despite these metrics, the stock has traded near its 52-week low, with investors skeptical about the pace of recovery in the direct delivery segment. Primo Brands’ revised 2025 EBITDA guidance now stands at $1.44–1.46 billion, down from prior estimates, as the CFO noted “a slower-than-anticipated” path to stabilizing customer volumes. The market’s reaction underscores a broader caution, with near-term focus on operational execution and customer retention efforts to restore investor trust.