Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q Delaware 87-0110150 (State or other jurisdiction of incorporation or organization) (IRS Employer Identification No.) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2024 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number 1-5467 V ...

VALHI REPORTS FOURTH QUARTER 2023 RESULTS DALLAS, TEXAS . . March 7, 2024. Valhi, Inc. (NYSE: VHI) reported net income attributable to Valhi stockholders of $3.9 million, or $.14 per share, in the fourth quarter of 2023 compared to a net loss of $9.4 million, or $.33 per share, in the fourth quarter of 2022. For the full year of 2023, Valhi reported a net loss attributable to Valhi stockholders of $12.1 million, or $.42 per share, compared to net income of $90.2 million, or $3.16 per share, for the full yea ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number 1-5467 VALHI, INC. (Exact name of Registrant as specified in its charter) Delaware 87-0110150 (State or other jurisdiction of Incorporation or organ ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number 1-5467 VALHI, INC. (Exact name of Registrant as specified in its charter) Delaware 87-0110150 (State or other jurisdictio ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number 1-5467 5430 LBJ Freeway, Suite 1700 Dallas, Texas 75240-2620 (Address of principal executive office) Registrant's telephone nu ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number 1-5467 VALHI, INC. (Exact name of Registrant as specified in its charter) Delaware 87-0110150 (State or other jurisdiction of incorporation or ...

Production and Capacity - Kronos produced 492,000 metric tons of TiO2 in 2022, with production volumes impacted by reduced customer demand in European and export markets [39]. - Kronos' average production capacity utilization rates were approximately 89% in 2022, down from full practical capacity in 2021 [39]. - Kronos expects to operate its TiO2 plants at 80% to 90% capacity in the first half of 2023, with near full practical capacity levels anticipated by the second half of 2023 [41]. - Kronos' expected 2023 manufacturing capacity is divided as follows: 79% chloride process and 21% sulfate process [42]. - The Leverkusen facility accounts for approximately one-third of Kronos' current TiO2 production capacity [47]. - In 2022, Kronos purchased 488,000 metric tons of chloride process feedstock and mined 220,000 metric tons of ilmenite for sulfate process [53]. Market Position and Sales - Sales of Kronos' core TiO2 pigments represented approximately 92% of the Chemicals Segment's net sales in 2022 [27]. - Kronos is the largest TiO2 producer in Europe, with 45% of its 2022 sales volumes attributable to European markets [25]. - The company has an estimated 7% share of worldwide TiO2 sales volume in 2022, ranking among the top five producers globally [26]. - Kronos sells TiO2 to approximately 4,000 customers in 100 countries, with the majority of sales in Europe, North America, and the Asia Pacific region [20]. - Kronos' largest ten customers accounted for approximately 33% of its Chemicals Segment's net sales in 2022 [57]. - The TiO2 industry is characterized by high barriers to entry, with significant capital costs and proprietary technology [65]. Research and Development - The company expects to spend approximately $17 million on research and development in 2023, consistent with previous years [66]. - Kronos has added nine new grades for pigments and applications since 2017 to enhance product offerings [67]. Environmental Compliance and Sustainability - Kronos has implemented various policies to comply with environmental laws and improve sustainability, which may require future capital expenditures due to stricter regulations [71]. - Kronos' capital expenditures for environmental compliance and improvement programs were $17.6 million in 2022 and are expected to be approximately $20 million in 2023 [80]. - Kronos' production facilities are strategically located near water sources to manage water-related risks and minimize usage [74]. - Kronos' operations are subject to various environmental laws, and while no material liabilities are anticipated, future expenditures for environmental remediation may be required [75]. Financial Overview - As of December 31, 2022, the company has $74.5 million invested in marketable debt securities with an average interest rate of approximately 3% [391]. - The company's aggregate indebtedness consists of 78% fixed-rate instruments and 22% variable-rate borrowings as of December 31, 2022, compared to 74% and 26% respectively in 2021 [392]. - Total fixed-rate indebtedness amounts to $437.0 million with a weighted average interest rate of 3.78% [393]. - The company has $121.4 million in variable-rate indebtedness under the Valhi Contran credit facility with an interest rate of 8.50% [393]. - At December 31, 2022, the company had $426.5 million outstanding under Kronos' euro-denominated Senior Notes, with a potential increase of approximately $43 million from a hypothetical 10% adverse change in exchange rates [396]. Risk Management - The Chemicals Segment is exposed to market risk from changes in commodity prices, with many raw material contracts negotiated quarterly or semi-annually [398]. - The Component Products Segment occasionally enters into short-term commodity-related raw material supply arrangements to mitigate future cost increases [399]. - The company does not engage in commodity raw material hedging programs due to perceived low risk of unavailability and high price volatility [399]. - The company has not entered into currency forward contracts as of December 31, 2022, but may consider them in the future to manage currency exchange rate risk [395]. - The company acknowledges that actual future market conditions may differ materially from the assumptions used in sensitivity analyses regarding market risks [401]. Employee and Safety Metrics - As of December 31, 2022, the Chemicals Segment employed 2,266 people, with 88% of the workforce organized under collective bargaining agreements [118][119]. - Kronos' global total frequency rate for safety incidents was 1.01 in 2022, down from 1.08 in 2021 and 1.61 in 2020 [123]. Strategic Initiatives - Kronos operates a joint venture with Venator Investments, sharing production from the Louisiana Pigment Company equally [45]. - The company routinely evaluates acquisitions of interests in companies perceived to be undervalued in the marketplace [131]. - The company has a history of successfully developing and selling various types of projects in the Henderson, Nevada area since its formation [103]. Real Estate Management - LandWell has approximately 2,100 acres zoned for residential/planned community purposes and 400 acres zoned for commercial and light industrial use [102]. - As of December 31, 2022, approximately 90 saleable acres remain in the residential/planned community, and 20 saleable acres remain for commercial and light industrial use [105]. - In 2022, two customers accounted for 49% of the Real Estate Management and Development Segment's net sales, with CCR 270 at 30% and Richmond American Homes at 19% [108]. Component Products Segment - CompX's primary raw materials accounted for approximately 17% of the Component Products Segment's total cost of sales in 2022, with total material costs representing about 47% of the segment's cost of sales [90]. - The largest ten customers of CompX's Component Products Segment accounted for approximately 52% of its sales in 2022, with the United States Postal Service and Malibu Boats, LLC representing 14% and 12% of sales, respectively [96]. - CompX operates three low-emission manufacturing facilities and has received a ReWa Gold Award for exemplary performance in water management [98]. - CompX focuses on the middle and high-end segments of the market, competing on product design, quality, and service [97]. - Prices for primary commodity-related raw materials used by CompX, such as zinc and brass, began to stabilize in the latter half of 2022, although at elevated levels [91].

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2022 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number 1-5467 VALHI, INC. (Exact name of Registrant as specified in its charter) Delaware 87-0110150 (State or other jurisdictio ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2022 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number 1-5467 VALHI, INC. (Exact name of Registrant as specified in its charter) Delaware 87-0110150 (State or other jurisdiction of ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2022 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number 1-5467 VALHI, INC. (Exact name of Registrant as specified in its charter) Delaware 87-0110150 (State or other jurisdiction of ...