Perimeter Solutions (NYSE:PRM) Posts Earnings Results, Misses Expectations By $0.08 EPS

Perimeter Solutions (NYSE:PRM) announced its quarterly earnings results on Friday. The company reported $0.35 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.43 by ($0.08), FiscalAI reports. The firm had revenue of $213.81 million for the quarter, compared to analyst estimates of $216.89 million. Perimeter Solutions had a negative net margin of 26.93% and a positive return on equity of 18.29%.

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

• Strong second-quarter results: Revenue increased 31% year over year to $313.8 million, while adjusted EBITDA rose 16% to $105.6 million; year-to-date adjusted EBITDA was up 34% to $146.7 million.
• Fire Safety earnings are expected to improve in the second half: Management said the 5% federal contract pricing step-down and temporary pause in Defense Logistics Agency foam deliveries weighed on Q2, but deliveries are resuming and CAL FIRE pricing should offset much of the impact, with the new DLA contract ramping into 2027 and 2028.
• Monaco acquisition expands the portfolio: Perimeter paid approximately $120 million for a provider of proprietary fire alarm and mass-notification systems installed at more than 200 U.S. military sites. More than 95% of Monaco’s sales come from its installed base, creating an annuity-like aftermarket stream, while management sees additional growth across military branches and regulated government markets.
• Long-term retardant demand is supported by fleet expansion: Canada is adding four new 4,000-gallon retardant-capable air tankers, while Texas, other U.S. states, and European markets are also expanding aerial firefighting infrastructure, potentially creating meaningful multi-year volume growth.
• PDI remains pressured by the Sauget facility disruption: Production problems at Flexsys’ Illinois plant continued to reduce Specialty Products earnings, although Perimeter expects conditions to improve as capacity is restored and is taking steps to reduce PDI’s reliance on the facility.

Perimeter Solutions Stock Performance

Perimeter Solutions stock traded down $6.60 on Friday, reaching $30.63. 6,417,994 shares of the stock were exchanged, compared to its average volume of 1,271,621. The stock has a market cap of $5.00 billion, a PE ratio of -22.86 and a beta of 1.90. The company has a current ratio of 3.09, a quick ratio of 1.61 and a debt-to-equity ratio of 1.01. Perimeter Solutions has a twelve month low of $15.43 and a twelve month high of $38.17. The firm has a fifty day moving average price of $33.94 and a two-hundred day moving average price of $29.34.

Perimeter Solutions News Roundup

Here are the key news stories impacting Perimeter Solutions this week:

• Positive Sentiment: Perimeter Solutions reported second-quarter adjusted EBITDA of $105.6 million and adjusted net income of $59.6 million. Management said continued execution of its value drivers and recent acquisitions supported the results. Perimeter Solutions Reports Second Quarter 2026 Financial Results
• Positive Sentiment: The company acquired Monaco Enterprises, a provider of proprietary life-safety and emergency-management systems for U.S. government facilities. The deal expands Perimeter’s portfolio of mission-critical products and services and could provide another source of future growth. Perimeter Solutions Reports Second Quarter 2026 Financial Results
• Neutral Sentiment: During the earnings call, management discussed the quarter’s operating performance, value-driver initiatives and the impact of recent acquisitions. Investors will likely focus on whether these initiatives can sustain adjusted EBITDA growth and improve overall earnings. Perimeter Solutions Q2 2026 Earnings Call Transcript
• Negative Sentiment: Adjusted earnings were $0.35 per diluted share, below the $0.43 analyst consensus and down from $0.39 a year earlier. Revenue of $213.81 million also missed the $216.89 million estimate, reinforcing concerns about near-term operating performance. Perimeter Solutions Lags Q2 Earnings and Revenue Estimates
• Negative Sentiment: The company recorded a $181.6 million net loss and a $1.11 loss per diluted share, contrasting with its positive adjusted results. The sizable GAAP loss may have amplified investor concerns about earnings quality and the company’s path to consistent profitability. Perimeter Solutions Reports Second Quarter 2026 Financial Results

Insider Activity

In related news, major shareholder Windacre Partnership Llc sold 1,875,000 shares of the stock in a transaction that occurred on Tuesday, June 30th. The stock was sold at an average price of $33.90, for a total transaction of $63,562,500.00. Following the completion of the sale, the insider owned 16,148,621 shares in the company, valued at $547,438,251.90. This represents a 10.40% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, CEO Haitham Khouri sold 117,511 shares of the stock in a transaction that occurred on Friday, May 22nd. The shares were sold at an average price of $31.19, for a total value of $3,665,168.09. Following the sale, the chief executive officer owned 1,874,615 shares of the company’s stock, valued at approximately $58,469,241.85. The trade was a 5.90% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold 6,385,514 shares of company stock valued at $217,464,393 over the last three months. 13.10% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

A number of large investors have recently modified their holdings of the business. Northwestern Mutual Wealth Management Co. grew its stake in shares of Perimeter Solutions by 51.6% in the fourth quarter. Northwestern Mutual Wealth Management Co. now owns 1,143 shares of the company’s stock worth $31,000 after acquiring an additional 389 shares during the last quarter. Comerica Bank raised its stake in Perimeter Solutions by 12.2% during the 3rd quarter. Comerica Bank now owns 5,019 shares of the company’s stock valued at $112,000 after purchasing an additional 547 shares during the last quarter. Arax Advisory Partners boosted its holdings in Perimeter Solutions by 122.8% in the 4th quarter. Arax Advisory Partners now owns 1,047 shares of the company’s stock valued at $29,000 after purchasing an additional 577 shares during the period. Russell Investments Group Ltd. boosted its holdings in Perimeter Solutions by 5.5% in the 4th quarter. Russell Investments Group Ltd. now owns 12,691 shares of the company’s stock valued at $349,000 after purchasing an additional 660 shares during the period. Finally, Smartleaf Asset Management LLC grew its position in Perimeter Solutions by 29.0% in the 4th quarter. Smartleaf Asset Management LLC now owns 4,666 shares of the company’s stock worth $130,000 after purchasing an additional 1,048 shares during the last quarter. 89.93% of the stock is currently owned by institutional investors and hedge funds.

Wall Street Analyst Weigh In

Several equities analysts have commented on the stock. Zacks Research downgraded shares of Perimeter Solutions from a “strong-buy” rating to a “hold” rating in a research report on Friday, July 10th. UBS Group boosted their price target on Perimeter Solutions from $30.00 to $34.00 and gave the stock a “buy” rating in a research report on Thursday, May 7th. JPMorgan Chase & Co. began coverage on Perimeter Solutions in a research note on Thursday, July 9th. They set an “overweight” rating and a $50.00 price target for the company. Wall Street Zen lowered Perimeter Solutions from a “buy” rating to a “hold” rating in a report on Sunday, July 12th. Finally, CJS Securities initiated coverage on Perimeter Solutions in a research note on Tuesday, June 9th. They issued a “market outperform” rating and a $48.00 price objective on the stock. Four research analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company’s stock. Based on data from MarketBeat.com, Perimeter Solutions presently has a consensus rating of “Moderate Buy” and a consensus price target of $43.00.

About Perimeter Solutions

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.