Valhi(US:VHI)2024-05-09 20:19Financial Performance - Valhi reported net income attributable to stockholders of $7.8 million, or $0.27 per share, in Q1 2024, compared to a net loss of $4.9 million, or $0.17 per share, in Q1 2023[1] - Valhi's total net sales increased by $37.9 million (7.7%) to $530.6 million in Q1 2024, with total operating income rising to $31.5 million from $2.5 million in Q1 2023[15] - Valhi's income before taxes improved to $18.0 million in Q1 2024 from a loss of $9.8 million in Q1 2023, with net income attributable to stockholders increasing by $12.7 million[15] Chemicals Segment Performance - The Chemicals Segment's net sales increased by $52.5 million (12%) to $478.8 million in Q1 2024, driven by a 28% increase in TiO2 sales volumes and a $4 million positive impact from currency exchange rates[4][13] - The Chemicals Segment's operating income improved to $22.8 million in Q1 2024 from an operating loss of $15.1 million in Q1 2023, with TiO2 production volumes up 15% and capacity utilization increasing from 76% to 87%[10] - The Chemicals Segment's unabsorbed fixed costs decreased by $10 million to $12 million in Q1 2024 compared to $22 million in Q1 2023, reflecting improved production rates[10] - Average TiO2 selling prices were 11% lower in Q1 2024 compared to Q1 2023, with a 2% decline during the quarter[4] Component Products Segment Performance - The Component Products Segment's net sales decreased by $3.2 million (7.8%) to $38.0 million in Q1 2024, with operating income declining to $3.7 million from $7.0 million in Q1 2023[3] Real Estate Management and Development Segment Performance - The Real Estate Management and Development Segment's sales decreased by $11.4 million (45.2%) to $13.8 million in Q1 2024 due to reduced development activity[14] Interest Expense - Interest expense increased by $4.3 million in Q1 2024, primarily due to higher interest rates on the Chemicals Segment's refinanced debt and a $1.5 million charge for deferred financing costs write-off[11]