Perimeter Solutions Q2: $181.6M GAAP Loss Tied to Founder Fees, but Adjusted EBITDA Reaches $105.6M; Monaco Acquired for $120M
PRM has more than doubled off its 52-week low of $15.43.
Summary
Perimeter Solutions posted a GAAP loss of $1.11 per share due to a non-cash founder fee charge, but adjusted EBITDA grew 16% to $105.6M. The company also acquired Monaco Enterprises for $120M in cash, adding to its Fire Safety segment.
Key Events · Earnings and Guidance · PRM
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GAAP Loss Driven by Non-Cash Founder Fee
Q2 net loss of $181.6M ($1.11/share) includes a $266.3M non-cash charge for founder advisory fees — a mark-to-market adjustment, not an operational cash outflow.
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Adjusted EBITDA Up 16% to $105.6M
Excluding the founder fee and other items, adjusted EBITDA rose to $105.6M from $91.3M a year ago, with net sales up 31% to $213.8M.
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Monaco Enterprises Acquired for $120M Cash
Acquired on July 30, 2026, Monaco is expected to contribute >$11M in annualized adjusted EBITDA, implying a ~10.5x purchase multiple. It will be integrated into the Fire Safety segment.
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Cash Balance Drops to $82.8M
Cash fell from $325.9M at year-end 2025 to $82.8M, primarily due to $682.3M spent on business acquisitions, funded partly by $550M in new long-term debt.
Analysis · PRM · Industrial Applications And Services
A $266.3 million non-cash founder advisory fee—a mark-to-market charge with no impact on operational cash—pushed Perimeter Solutions to a GAAP net loss of $181.6 million, or $1.11 per share. Excluding that item, the picture brightens considerably: adjusted EBITDA climbed 16% to $105.6 million on a 31% jump in sales, and adjusted EPS landed at $0.35. The company also closed the $120 million cash purchase of Monaco Enterprises, a life-safety systems provider expected to contribute over $11 million in annualized adjusted EBITDA. Meanwhile, the cash balance shrank to $82.8 million from $325.9 million at year-end, largely because $682 million went toward acquisitions—raising liquidity questions despite the strong adjusted earnings. Adding another layer, insiders have sold nearly $22 million in stock over the past 90 days, a signal worth weighing against the operational momentum.
At the time of this filing, PRM was trading at $32.10 on NYSE in the Industrial Applications And Services sector, with a market capitalization of approximately $6.1B. The 52-week trading range was $15.43 to $38.17. This filing was assessed with neutral market sentiment and an importance score of 8 out of 10.