Company Overview - Kronos Worldwide (KRO) is expected to report a year-over-year decline in earnings despite higher revenues for the quarter ended June 2025, with earnings projected at $0.13 per share, reflecting a -23.5% change from the previous year [3][12] - Revenues are anticipated to be $500.99 million, which is a slight increase of 0.1% compared to the same quarter last year [3] Earnings Estimates and Revisions - The consensus EPS estimate has been revised down by 51.86% over the last 30 days, indicating a significant reassessment by analysts [4] - The Most Accurate Estimate for Kronos Worldwide matches the Zacks Consensus Estimate, resulting in an Earnings ESP of 0% [12] Earnings Surprise Prediction - The Zacks Earnings ESP model suggests that a positive or negative reading indicates the likely deviation of actual earnings from the consensus estimate, but its predictive power is significant primarily for positive readings [9][10] - Kronos Worldwide currently holds a Zacks Rank of 4, which complicates the prediction of an earnings beat [12] Historical Performance - In the last reported quarter, Kronos Worldwide was expected to post earnings of $0.17 per share but delivered only $0.16, resulting in a surprise of -5.88% [13] - Over the past four quarters, the company has only beaten consensus EPS estimates once [14] Industry Context - In comparison, DuPont de Nemours (DD), another player in the Zacks Chemical - Diversified industry, is expected to post earnings of $1.06 per share for the same quarter, indicating a year-over-year increase of +9.3% [18] - DuPont's revenues are projected to be $3.22 billion, up 1.4% from the previous year, with a lower Most Accurate Estimate leading to an Earnings ESP of -0.62% [19]

Company Overview - Kronos Worldwide, Inc. (NYSE: KRO) is an unintegrated western producer of titanium oxide (TiO₂), indicating that it does not own its own titanium ore mines [1] - The company is currently considered fairly valued but has limited upside optionality due to its lack of vertical integration [1] Investment Philosophy - The investment approach focuses on buying businesses for less than their intrinsic worth, emphasizing a decent margin of safety [1] - The strategy often involves contrarian investing, identifying opportunities in unpopular companies or industries [1] Research and Analysis - The company publishes detailed write-ups on equities of interest to provide insights and analysis, particularly for those that lack adequate coverage [1]

Core Viewpoint - Kronos Worldwide, Inc. is set to announce its second quarter 2025 earnings on August 6, 2025, after market close, pending the completion of quarter-end closing procedures [1] Company Overview - Kronos Worldwide, Inc. is a significant international producer of titanium dioxide products [1]

Core Viewpoint - Kronos Worldwide, Inc. is set to announce its second quarter 2025 earnings on August 6, 2025, after market close, pending the completion of quarter-end closing procedures [1]. Company Overview - Kronos Worldwide, Inc. is a significant international producer of titanium dioxide products [1]. Investor Relations - The contact for investor relations is Bryan A. Hanley, Senior Vice President and Treasurer, reachable at 972-233-1700 [1].

Industry Overview - The Zacks Chemicals Diversified industry includes manufacturers of basic chemicals, plastics, specialty chemicals, and agricultural chemicals, serving various end markets such as automotive, construction, transportation, electronics, aerospace, and agriculture [3] - Basic chemicals produced include petrochemicals, polymers, and inorganic chemicals, while specialty chemicals are used in specific applications based on performance [3] Current Challenges - The industry is facing persistent demand weakness in key markets, particularly in consumer durables and building & construction, due to lower consumer spending driven by inflationary pressures in Europe and a slow recovery in China [1][4] - The U.S. housing market uncertainties and elevated borrowing costs are negatively impacting the building & construction sector, while the consumer electronics market is experiencing a slowdown post-pandemic [4][5] - In China, a sluggish real estate market and slower economic recovery are contributing to reduced chemical demand, compounded by the ongoing economic challenges in Europe due to high inflation and interest rates [5] Strategic Responses - Industry players such as DuPont, Albemarle, and Kronos are implementing strategic measures including cost reductions, productivity improvements, and aggressive price hikes to navigate the challenging environment [2][6] - Companies are focusing on operational efficiency and strengthening their balance sheets to enhance cash flows and sustain margins amid rising costs [6] Market Performance - The Zacks Chemicals Diversified industry has underperformed both the S&P 500 and the broader Zacks Basic Materials sector, with a decline of 25.2% over the past year compared to the S&P 500's increase of 9.1% [9] - The industry currently holds a Zacks Industry Rank of 208, placing it in the bottom 15% of over 250 Zacks industries, indicating bleak near-term prospects [7][8] Valuation Metrics - The industry is trading at a trailing 12-month enterprise value-to-EBITDA (EV/EBITDA) ratio of 17.47X, which is below the S&P 500's 21.85X but above the sector's 15.61X [12] - Historical trading ranges for the industry have been between 8.76X and 19.29X over the past five years, with a median of 14.53X [12] Company Highlights - **DuPont**: Focused on technology-based materials and solutions, with a projected earnings growth rate of 4.9% for 2025. The company is benefiting from cost synergy savings and productivity improvements [15][16] - **Albemarle**: A premier specialty chemicals company with expected earnings growth of 28.6% for 2025, well-positioned to capitalize on the growing battery-grade lithium market [19][21] - **Kronos Worldwide**: Expected earnings growth of 20% for 2025, benefiting from higher demand for titanium dioxide (TiO2) products and easing pricing pressure [22][24]

Group 1 - The article discusses Kronos Worldwide, Inc. (NYSE: KRO) and previously recommended cutting the dividend due to a lack of a positive payout ratio [1] - The focus is on individual investors seeking income through undervalued profitable stocks with strong balance sheets and minimal debt [1] Group 2 - The article does not provide any specific financial data or performance metrics related to Kronos Worldwide, Inc. [1]

Group 1 - Kronos Worldwide, Inc. declared a regular quarterly dividend of five cents ($0.05) per share on its common stock, payable on June 18, 2025, to stockholders of record at the close of business on June 9, 2025 [1] - At the 2025 annual stockholder meeting, stockholders elected several directors for a one-year term [2] - A nonbinding advisory resolution was adopted to approve the compensation of named executive officers as disclosed in the proxy statement for the 2025 annual stockholder meeting [2] Group 2 - Kronos Worldwide, Inc. is identified as a major international producer of titanium dioxide products [1]

Core Viewpoint - Kronos Worldwide, Inc. reported earnings of 16 cents per share for Q1 2025, an increase from 7 cents in the same quarter last year, but below the Zacks Consensus Estimate of 17 cents [1] - Net sales increased by approximately 2.3% year over year to $489.8 million, surpassing the Zacks Consensus Estimate of $466.6 million, driven by higher sales volumes and titanium dioxide pricing [1] Sales and Production - TiO2 production volumes rose 18.2% year over year to 143 thousand metric tons in Q1 [2] - TiO2 sales volumes increased by 4.6% to 136 thousand metric tons during the same period [2] - Average TiO2 selling prices saw a year-over-year increase of 2% [2] Financial Position - The company ended the quarter with cash and cash equivalents of $20.5 million, a decrease of approximately 80.8% from the previous quarter [3] - Long-term debt rose to $476 million, reflecting a sequential increase of around 10.9% [3] Market Outlook - Demand in North America is expected to remain challenging until there is more clarity on tariff situations, while European demand has improved due to duties on Chinese TiO2 imports [4] - Customer inventory levels are low, and customers are hesitant to rebuild stock, leading to shorter lead times on orders [5] - TiO2 selling prices have remained stable in North America and export markets, with slight increases in Europe due to high utility and raw material costs [5] Stock Performance - Kronos shares have declined by 39.6% over the past year, compared to a 28.3% decline in the industry [6] Zacks Rank and Comparisons - Kronos currently holds a Zacks Rank of 3 (Hold) [7] - Other stocks in the basic materials sector with better rankings include Hawkins, Inc. (HWKN) and Contango Ore, Inc. (CTGO), both rated 1 (Strong Buy), and CSW Industrials, Inc. (CSWI), rated 2 (Buy) [7]

Core Viewpoint - Kronos Worldwide reported quarterly earnings of $0.16 per share, missing the Zacks Consensus Estimate of $0.17 per share, but showing an improvement from $0.07 per share a year ago, indicating a mixed performance in earnings despite a revenue increase [1][2]. Financial Performance - The company posted revenues of $489.8 million for the quarter ended March 2025, surpassing the Zacks Consensus Estimate by 4.98% and showing an increase from $478.8 million year-over-year [2]. - Over the last four quarters, Kronos Worldwide has only surpassed consensus EPS estimates once [2]. Stock Performance - Shares of Kronos Worldwide have declined approximately 23.6% since the beginning of the year, contrasting with the S&P 500's decline of 4.7% [3]. - The current consensus EPS estimate for the upcoming quarter is $0.23 on revenues of $528.43 million, and for the current fiscal year, it is $0.90 on revenues of $2 billion [7]. Industry Outlook - The Zacks Industry Rank for Chemical - Diversified is currently in the bottom 24% of over 250 Zacks industries, suggesting that the industry outlook may negatively impact stock performance [8]. - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which could influence investor sentiment [5].

The statements in this release relating to matters that are not historical facts are forward-looking statements that represent management's beliefs and assumptions based on currently available information. Although we believe that the expectations reflected in such forward-looking statements are reasonable, we cannot give any assurances that these expectations will prove to be correct. Such statements by their nature involve substantial risks and uncertainties that could significantly impact expected result ...