PRM's Q2 Earnings and Revenues Miss Estimates, Sales Up Y/Y

Barring one-time items, adjusted earnings for the reported quarter were 35 cents per share compared with 39 cents a year ago. It missed the Zacks Consensus Estimate of 43 cents. 

The company posted revenues of $213.8 million, up around 31% year over year. It missed the Zacks Consensus Estimate of $220.3 million. 

Adjusted EBITDA was $105.6 million, up 16% year over year, with a margin of 49% compared with 56% a year ago. 

Continued Value Driver execution and recent acquisitions supported second-quarter growth. Fire Safety delivered modest sales and adjusted EBITDA growth, while Specialty Products nearly doubled adjusted EBITDA and doubled revenues year over year. 

Perimeter Solutions, SA Price, Consensus and EPS Surprise

PRM’s Segment Highlights

Fire Safety's $129.1 million revenues rose 7% year over year while adjusted EBITDA increased 1% to $78.8 million. Segment adjusted EBITDA margin was about 61% compared with 65% a year ago. 

Specialty Products' $84.7 million in revenues increased 100%. Adjusted EBITDA of $26.8 million rose 96%, with segment margin of about 32%, flat year over year. 

PRM’s Financials

The company ended the second quarter with $82.8 million in cash. Long-term debt, net, was $1.21 billion as of June 30, 2026. 

Operating cash flow was an outflow of $89.6 million for the first six months of 2026 compared with an inflow of $20.9 million a year ago. The company invested $12.7 million in capital expenditures during the second quarter.

PRM’s Outlook

Perimeter did not provide formal quarterly or full-year financial guidance with the second-quarter earnings release. The company highlighted continued Value Driver execution and portfolio expansion through acquisitions. 

On July 30, 2026, Perimeter acquired Monaco Enterprises for $120 million in cash, funded with cash on hand and existing credit facilities. Monaco is expected to contribute more than $11 million of annualized adjusted EBITDA and is included in the Fire Safety segment. 

The Monaco acquisition adds proprietary, mission-critical life safety and emergency management systems for U.S. government facilities. 

PRM’s Stock Price Performance

Shares of Perimeter have gained 107.5% in the past year compared with the Zacks Chemical – Specialty industry’s 4.7% rise.

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PRM’s Zacks Rank & Key Picks

PRM currently carries a ZacksbRank #3 (Hold).

Some better-ranked stocks in the Basic Materials space are Almonty Industries Inc. ALM, Neo Performance Materials Inc. NOPMF and Skeena Resources Limited SKE. 

Almonty is expected to report second-quarter results on Aug. 13. The Zacks Consensus Estimate for ALM’s second-quarter earnings is pegged at 10 cents per share. It carries a Zacks Rank #2 (Buy) at present.

NOPMF is slated to report second-quarter results on Aug. 11. The Zacks Consensus Estimate for earnings is pegged at 50 cents per share. NOPMF has a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.

Skeena Resources is expected to report second-quarter results on Aug. 13. The Zacks Consensus Estimate for SKE’s second-quarter loss is pegged at 11 cents per share. It currently carries a Zacks Rank #2.

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