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 ...

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, 2021 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) (State or other jurisdiction of Incorporation or organization) Delaware 87 ...

Financial Performance - Net income attributable to Valhi stockholders for Q3 2021 was $39.0 million or $1.36 per diluted share, compared to $15.4 million or $0.54 per diluted share in Q3 2020, reflecting a significant increase [88]. - For the first nine months of 2021, net income attributable to Valhi stockholders was $75.2 million or $2.64 per diluted share, up from $30.7 million or $1.08 per diluted share in the same period of 2020 [89]. - Consolidated net sales for Q3 2021 were $499.8 million, a 20% increase from $416.9 million in Q3 2020; for the first nine months of 2021, net sales were $1,443.4 million, an 18% increase from $1,223.9 million in the same period of 2020 [96]. - The company expects higher consolidated operating income for 2021 compared to 2020, driven by improved demand across all operating segments [90]. - The company anticipates continued elevated demand for its products through the remainder of 2021, following improvements since late 2020 [90]. Chemicals Segment Performance - The Chemicals Segment reported a gross margin of $122.7 million in Q3 2021, a 54% increase from $79.6 million in Q3 2020; operating income for the segment was $60.3 million, up 179% from $21.6 million in Q3 2020 [96]. - TiO2 average selling prices increased by 11% in Q3 2021 compared to Q3 2020 and were 4% higher in the first nine months of 2021 compared to the same period in 2020 [97]. - TiO2 sales volumes increased by 6% in Q3 2021 and by 8% in the first nine months of 2021 compared to the same periods in 2020 [96]. - The Chemicals Segment operated at an average capacity utilization rate of 99% in the first nine months of 2021, compared to 92% in the same period of 2020 [98]. - The Chemicals Segment's net sales increased by 20%, or $82.9 million, in Q3 2021 compared to Q3 2020, driven by an 11% increase in average TiO2 selling prices and a 6% increase in sales volumes [100]. - Sales volumes in the Chemicals Segment rose by 6% in Q3 2021 compared to Q3 2020, primarily due to higher demand in European and North American markets [101]. - For the first nine months of 2021, net sales increased by 18%, or $219.5 million, compared to the same period in 2020, attributed to an 8% increase in sales volumes and a 4% increase in average TiO2 selling prices [102]. - The Chemicals Segment's gross margin as a percentage of net sales improved to 25% in Q3 2021 from 19% in Q3 2020, due to higher production and sales volumes [105]. - Operating income for the Chemicals Segment surged by $38.7 million, or 179%, in Q3 2021 compared to Q3 2020, with operating income as a percentage of net sales increasing to 12% [108]. - The Chemicals Segment's cost of sales increased by 12% in Q3 2021 compared to Q3 2020, influenced by a 6% increase in sales volumes and higher production costs [104]. - The Chemicals Segment anticipates rising TiO2 selling prices through the remainder of 2021 to mitigate increases in production costs [117]. Currency Impact - Currency exchange rate fluctuations contributed an estimated $5 million increase in net sales and a $2 million increase in operating income in Q3 2021 compared to Q3 2020 [113][114]. - For the first nine months of 2021, currency exchange rate fluctuations resulted in a $47 million increase in net sales but a $15 million decrease in operating income compared to the same period in 2020 [116]. Component Products Segment Performance - Component Products Segment's operating income increased to $5.1 million in Q3 2021, up 146% from $2.1 million in Q3 2020 [120]. - Net sales for Component Products Segment rose by $6.1 million in Q3 2021, totaling $34.5 million, a 22% increase compared to Q3 2020 [121]. - Security products sales increased by 22% to $25.8 million in Q3 2021, while marine components sales rose by 21% to $8.7 million [121]. - Gross margin for Component Products Segment improved to 32% in Q3 2021, up from 26% in Q3 2020, driven by higher production volumes [122]. - Operating income for the first nine months of 2021 reached $16.7 million, a 76% increase from $9.5 million in the same period of 2020 [120]. - The Component Products Segment has faced challenges in maintaining staffing levels due to tight labor markets [125]. Real Estate Management and Development Segment Performance - Land sales in the Real Estate Management and Development Segment surged to $41.9 million in Q3 2021, compared to $10.6 million in Q3 2020 [128]. - Total net sales for the Real Estate Management and Development Segment increased to $44.6 million in Q3 2021, up from $13.3 million in Q3 2020 [128]. - The company expects strong demand to continue for the remainder of 2021, with increased sales and operating income anticipated compared to 2020 [126]. Financial Position and Liquidity - Cash provided by operating activities increased to $189.2 million in the first nine months of 2021, up from $45.2 million in the same period of 2020, a $144.0 million increase [149]. - Consolidated operating income was $188.1 million in the first nine months of 2021, an increase of $48.9 million compared to $139.2 million in the same period of 2020 [150]. - Kronos' average days sales outstanding (DSO) decreased from 68 days in Q3 2020 to 66 days in Q3 2021, indicating improved collection efficiency [150]. - Capital expenditures totaled $39.2 million during the first nine months of 2021, with net proceeds from the sale of land amounting to $23.4 million [153]. - At September 30, 2021, consolidated indebtedness included $35.9 million in the Chemicals Segment and $2.3 million in the Component Products Segment [155]. - Kronos entered into a new $225 million global revolving credit facility in April 2021, with no outstanding borrowings as of September 30, 2021 [157]. - As of September 30, 2021, the company had $621.3 million in total cash, cash equivalents, and marketable securities, with $111.2 million held by non-U.S. subsidiaries [163]. - The company expects capital expenditures for 2021 to be approximately $79 million, primarily funded through cash generated from operations and existing credit facilities [165]. - The company anticipates sufficient liquidity to meet both short-term and long-term obligations based on expected operating performance [161]. - The company does not have any off-balance sheet financing arrangements [178].

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, 2021 (Exact name of Registrant as specified in its charter) Delaware 87-0110150 (State or other jurisdiction of incorporation or organization) (IRS Employer Identification No.) 5430 LBJ Freeway, Suite 1700 Dallas, Texas 75240-2620 (Address of principal executive office) Registrant's telephone number ...

Washington, D.C. 20549 UNITED STATES SECURITIES AND EXCHANGE COMMISSION FORM 10-Q 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 organization) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2021 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANG ...

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, 2020 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) (State or other jurisdiction of Incorporation or organization) Delaware 87 ...

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, 2020 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 ...

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, 2020 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) (State or other jurisdiction of incorporation or organization) 5430 LB ...

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, 2020 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) (State or other jurisdiction of incorporation or organization) 5430 L ...

TiO2 Production and Consumption - Kronos produced 546,000 metric tons of TiO2 in 2019, an increase from 536,000 metric tons in 2018[38]. - TiO2 consumption has grown at a compound annual growth rate of approximately 3% since 1990, with Western Europe and North America each accounting for approximately 17% of global consumption[27]. - Sales of core TiO2 pigments represented approximately 94% of the Chemicals Segment's net sales in 2019[30]. - The Chemicals Segment's production capacity has increased by approximately 5% over the past ten years, with expectations to operate at near full practical capacity levels in 2020[42]. - The average production capacity utilization rates were at full practical capacity in 2017, 95% in 2018, and 98% in 2019[40]. - Kronos is the largest producer of TiO2 in Europe, with 46% of its 2019 sales volumes attributable to European markets[28]. - The primary end-use markets for TiO2 include coatings (57%), plastics (28%), and paper (5%)[31]. - The chloride process production facilities represented approximately 45% of industry capacity in 2019[37]. - Kronos operates the only sulfate process plant in North America and four TiO2 plants in Europe[41]. - In 2019, Kronos procured 523,000 metric tons of purchased slag or rutile ore for chloride process plants and mined 300,000 metric tons of ilmenite ore for sulfate process plants[52]. - Kronos held an estimated 9% share of worldwide TiO2 sales volume in 2019, competing primarily on price, product quality, and technical service[58]. - The top five TiO2 producers, including Kronos, account for approximately 52% of the world's production capacity[59]. Marketing and Customer Relations - The Chemicals Segment's marketing strategy focuses on building strong relationships with customers, with only one customer (Behr Process Corporation) representing 10% or more of net sales in 2019[56]. - Since 2015, Kronos has added ten new grades for pigments and other applications to meet customer needs[67]. Research and Development - Research and development expenditures for the Chemicals Segment were approximately $17 million in 2019, with a similar budget expected for 2020[66]. Environmental Compliance and Regulations - The Chemicals Segment's capital expenditures for environmental compliance and improvement programs were $20.0 million in 2019 and are expected to be approximately $25 million in 2020[81]. - The Chemicals Segment is in substantial compliance with environmental laws, and penalties related to regulatory enforcement have not materially affected financial position or operations[77]. - The classification of TiO2 as a suspected carcinogen by the European Union may impact marketability and demand, increasing regulatory and compliance costs[78]. - The Chemicals Segment has contracts for recycling spent sulfuric acid, which may be terminated with three to four years' notice[76]. Labor and Employment - As of December 31, 2019, Kronos employed 2,200 people, with approximately 86% organized under collective bargaining agreements[71][72]. - The Real Estate Management and Development Segment had 28 employees as of December 31, 2019, with good labor relations reported[105]. Financial Performance and Strategy - The company completed the sale of the Waste Management Segment on January 26, 2018, resulting in a pre-tax gain of approximately $58 million due to the assumption of liabilities exceeding the carrying value of assets sold[109]. - The estimated contribution required for defined benefit pension plans in 2020 is approximately $19 million[343]. - The company routinely evaluates acquisitions of undervalued companies and may consider issuing additional equity securities or increasing indebtedness in connection with such activities[111]. - The company expects to continue restructuring ownership interests among subsidiaries and related companies to enhance liquidity and reduce indebtedness[110]. - The company may seek to raise additional capital or refinance indebtedness based on future cash flow estimates from subsidiaries and affiliates[110]. Raw Material Costs - The Component Products Segment's total material costs, including purchased components, represented approximately 45% of its cost of sales in 2019[88]. - The Component Products Segment's primary raw materials accounted for approximately 13% of total cost of sales in 2019, with zinc and brass being key materials for locking mechanisms[90]. - The company has obligations related to raw material supply arrangements that stabilize purchase prices based on specified volume levels[341]. Real Estate Development - LandWell has closed or entered into escrow on approximately 645 acres of residential/planned community and 65 acres zoned for commercial and light industrial use as of December 31, 2019[101]. - The Real Estate Management and Development Segment's sales in 2019 included significant contributions from Richmond Homes of Nevada (38%), Grey Stone Nevada, LLC (22%), and Woodside Homes of Nevada, LLC (10%) related to land sales[102]. - LandWell's development work on the remaining land is expected to continue for 7 to 10 years, focusing on residential/planned community development[101].