Compass Diversified Holdings

Forward-looking statements include, among other things, (i) statements as to our future performance or liquidity, such as expectations for our results of operations, net income, leverage, Adjusted EBITDA, and Adjusted Earnings, our deleveraging efforts and ability to make quarterly distributions, and (ii) our plans, strategies and objectives for future operations, including our business outlook and planned capital expenditures.

SEC original ↗Compass Diversified Holdings — 10-Q Quarterly report10-QAug 10, 2026

15 The purchase consideration for Sterno s food service business was based on an enterprise value of $ 292.5 million and was subject to customary adjustments, including for transaction expenses, change-of-control payments, option termination payments and the net working capital, cash and debt balances of Sterno and its subsidiaries, excluding Rimports and its subsidiaries, at closing.

SEC original ↗Compass Diversified Holdings — 10-Q Quarterly report10-QAug 10, 2026

The Company used the proceeds received from the sale to repay outstanding borrowings under its senior credit facility.

SEC original ↗Compass Diversified Holdings — 10-Q Quarterly report10-QAug 10, 2026

While this work is ongoing, our priorities remain unchanged delivering strong operating performance across our eight subsidiaries and maintaining a disciplined approach to capital allocation as we focus on generating long-term value for our shareholders.

SEC original ↗Compass Diversified Holdings — Earnings release (8-K exhibit)EX-99Dec 29, 2025

Such forward-looking statements may be identified by, among other things, the use of forward-looking terminology such as believe, expect, may, could, would, plan, intend, estimate, predict, future, potential, continue, should or anticipate or the negative thereof or other variations thereon or comparable terminology, or by discussions of strategy that involve risks and uncertainties.

SEC original ↗Compass Diversified Holdings — Earnings release (8-K exhibit)EX-99Dec 29, 2025

Forward-looking statements include, among other things, (i) statements as to our future performance or liquidity, such as expectations for our results of operations, net income, leverage, Adjusted EBITDA, and Adjusted Earnings, our deleveraging efforts and ability to make quarterly distributions, and (ii) our plans, strategies and objectives for future operations, including our business outlook and planned capital expenditures.

SEC original ↗Compass Diversified Holdings — 10-Q Quarterly report10-QAug 10, 2026

The sale did not represent a strategic shift that had, or will have, a major effect on the Company s operations or financial results and therefore did not qualify for discontinued operations presentation.

SEC original ↗Compass Diversified Holdings — 10-Q Quarterly report10-QAug 10, 2026

Disaggregated Revenue - The Company disaggregates revenue by operating segment and by geography for each strategic business unit which are categories that depict how the nature, amount and uncertainty of revenue and cash flows are affected by economic factors.

SEC original ↗Compass Diversified Holdings — 10-Q Quarterly report10-QAug 10, 2026

In reliance on the unreasonable efforts exception provided under Item 10(e)(1)(i)(B) of Regulation S-K, we have not reconciled 2025 Subsidiary Adjusted EBITDA to its comparable GAAP measure because we do not provide guidance on Net Income (Loss) from Continuing Operations or the applicable reconciling items as a result of the uncertainty regarding, and the potential variability of, these items.

SEC original ↗Compass Diversified Holdings — Earnings release (8-K exhibit)EX-99Dec 29, 2025

Such forward-looking statements may be identified by, among other things, the use of forward-looking terminology such as believe, expect, may, could, would, plan, intend, estimate, predict, future, potential, continue, should or anticipate or the negative thereof or other variations thereon or comparable terminology, or by discussions of strategy that involve risks and uncertainties.

SEC original ↗Compass Diversified Holdings — Earnings release (8-K exhibit)EX-99Dec 29, 2025

These statements involve risk and uncertainties that could cause actual results and outcomes to differ, perhaps materially, including but not limited to changes in the economy, financial markets and political environment, including changes in inflation, interest rates and U.

SEC original ↗Compass Diversified Holdings — Earnings release (8-K exhibit)EX-99Dec 29, 2025

( Lugano ) investigation, including CODI s representations regarding its financial statements, and current and future litigation, enforcement actions or investigations relating to CODI s internal controls, restatement reviews, the Lugano investigation or related matters.

SEC original ↗Compass Diversified Holdings — Earnings release (8-K exhibit)EX-99Dec 29, 2025

LEGAL PROCEEDINGS 81 ITEM 1A.

SEC original ↗Compass Diversified Holdings — 10-Q Quarterly report10-QAug 10, 2026

The Company also incurred significant professional fees and other expenses related to the Lugano Investigation, the preparation of restated and delayed periodic financial statements, related litigation and investigations, financing arrangements and internal control remediation.

SEC original ↗Compass Diversified Holdings — 10-Q Quarterly report10-QAug 10, 2026