Primo Brands Sees 44% Water Segment Growth Despite Challenges

In the second quarter of 2025, Primo Brands Corporation, a major beverage company in North America, reported a 2.5% decline in net sales compared to the previous year. This was attributed to several factors, including integration challenges in the direct delivery business, a tornado that caused significant lost sales, and tariff-related uncertainties impacting the dispenser business.

Despite these challenges, Primo Brands saw strong growth in its premium water segment, with net sales increasing by 44.2% year-over-year. This was driven by expanded distribution in key markets and partnerships with retailers like Walmart for brands such as Saratoga and Mountain Valley.

The company also continued its post-merger integration efforts, closing 40 facilities in the second quarter, bringing the total to 48 closures, with 11 more planned. This streamlining of operations is part of Primo Brands' strategy to optimize its business and drive long-term growth.

While the company faced some setbacks in the quarter, Primo Brands remains a promising investment opportunity. The strong performance of its premium water segment and the ongoing integration efforts suggest the company is well-positioned to navigate the current market conditions and capitalize on future growth opportunities.