Perimeter Solutions (NYSE:PRM) Releases Quarterly Earnings Results, Beats Expectations By $0.04 EPS

Perimeter Solutions (NYSE:PRM) posted its earnings results on Wednesday. The company reported $0.06 EPS for the quarter, beating the consensus estimate of $0.02 by $0.04, Zacks reports. The firm had revenue of $125.07 million during the quarter, compared to the consensus estimate of $121.80 million. Perimeter Solutions had a positive return on equity of 18.55% and a negative net margin of 26.93%.

Here are the key takeaways from Perimeter Solutions’ conference call:

• Perimeter reported a strong Q1 with adjusted EBITDA of $41.2M (vs. $18.1M a year ago) and net sales of $125.1M (up 74%), which management says reflects a more durable, predictable earnings base driven by its operational value‑driver model.
• The company signed a 5‑year foam contract with the DLA with a maximum value of $500M (management expects ~two‑thirds, roughly $300M, incremental uplift), ramping from late 2026 and targeting steady‑state contribution in 2028.
• Perimeter renewed a 5‑year CAL FIRE retardant contract that includes a year‑1 price step‑up to align CAL FIRE pricing with other large customers, supporting improved pricing and margin durability.
• The Sauget, IL (Flexis‑operated) facility experienced the worst operational downtime in its history, materially disrupting production; Perimeter is pursuing legal remedies against One Rock and may assume control, creating near‑term operational and execution risk.
• Integration of the ~$682M MMT acquisition is progressing (product launches rising from 2 to 9 in 2026) and management expects better‑than‑initial results, while leverage is ~3.2x net debt/LTM EBITDA with $92M cash and a fully undrawn $200M revolver — providing growth capital but increasing scale and complexity.

Perimeter Solutions Trading Up 7.1%

Shares of PRM traded up $2.10 during mid-day trading on Friday, reaching $31.46. 882,166 shares of the company were exchanged, compared to its average volume of 1,074,533. The business has a 50 day simple moving average of $25.37 and a two-hundred day simple moving average of $26.20. The company has a debt-to-equity ratio of 0.60, a quick ratio of 2.42 and a current ratio of 3.22. The stock has a market capitalization of $5.13 billion, a PE ratio of -23.42 and a beta of 1.93. Perimeter Solutions has a 52 week low of $11.49 and a 52 week high of $32.02.

Insider Buying and Selling

In related news, Director William N. Thorndike, Jr. sold 100,000 shares of the company’s stock in a transaction that occurred on Tuesday, March 10th. The stock was sold at an average price of $23.63, for a total value of $2,363,000.00. Following the sale, the director directly owned 8,635,656 shares in the company, valued at $204,060,551.28. This represents a 1.14% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. Insiders sold 450,000 shares of company stock valued at $10,722,750 in the last quarter. Corporate insiders own 13.10% of the company’s stock.

Institutional Trading of Perimeter Solutions

Institutional investors have recently added to or reduced their stakes in the stock. Arax Advisory Partners boosted its holdings in Perimeter Solutions by 122.8% in the fourth quarter. Arax Advisory Partners now owns 1,047 shares of the company’s stock valued at $29,000 after acquiring an additional 577 shares during the last quarter. Northwestern Mutual Wealth Management Co. boosted its holdings in Perimeter Solutions by 51.6% in the fourth quarter. Northwestern Mutual Wealth Management Co. now owns 1,143 shares of the company’s stock valued at $31,000 after acquiring an additional 389 shares during the last quarter. EverSource Wealth Advisors LLC bought a new stake in Perimeter Solutions in the second quarter valued at approximately $42,000. Ancora Advisors LLC boosted its holdings in Perimeter Solutions by 219.0% in the third quarter. Ancora Advisors LLC now owns 3,190 shares of the company’s stock valued at $71,000 after acquiring an additional 2,190 shares during the last quarter. Finally, Kemnay Advisory Services Inc. bought a new stake in Perimeter Solutions in the fourth quarter worth approximately $99,000. 89.93% of the stock is currently owned by institutional investors.

Wall Street Analyst Weigh In

PRM has been the subject of several research reports. Weiss Ratings downgraded Perimeter Solutions from a “hold (c-)” rating to a “sell (d-)” rating in a research report on Monday, March 2nd. UBS Group increased their target price on Perimeter Solutions from $30.00 to $34.00 and gave the company a “buy” rating in a research report on Thursday. Finally, Zacks Research upgraded Perimeter Solutions from a “hold” rating to a “strong-buy” rating in a research report on Tuesday, April 14th. One investment analyst has rated the stock with a Strong Buy rating, two have assigned a Buy rating and one has assigned a Sell rating to the company. Based on data from MarketBeat.com, the company currently has an average rating of “Moderate Buy” and a consensus target price of $34.50.

Perimeter Solutions Company Profile

Perimeter Solutions Ltd. (NYSE: PRM) is a global specialty chemicals company focused on delivering performance-driven solutions for the oil and gas, coatings, plastics, water treatment and packaging markets. Established as an independent publicly traded company in December 2019 following its spin-off from NewMarket Corporation, Perimeter Solutions has positioned itself as a leading provider of highly engineered chemical products designed to optimize upstream oil recovery, protect infrastructure and enhance the performance of industrial processes.

The company’s core product portfolio spans several key segments.