Kronos Worldwide, Inc. Reports Third Quarter 2025 Results

Core Insights - Kronos Worldwide, Inc. reported a net loss of $37.0 million in Q3 2025, a significant decline from a net income of $71.8 million in Q3 2024, primarily due to changes in German corporate tax legislation and lower production volumes [1][2][3] Financial Performance - Net sales for Q3 2025 were $456.9 million, down $27.8 million or 6% from Q3 2024, and for the first nine months of 2025, net sales totaled $1.4 billion, a decrease of $22.9 million or 2% compared to the same period in 2024 [2][12] - The decline in net sales was attributed to lower average TiO2 selling prices and reduced sales volumes in European and export markets, partially offset by increased sales volumes in North America [2][3] - Average TiO2 selling prices decreased by 7% in Q3 2025 compared to Q3 2024 and by 2% in the first nine months of 2025 compared to the same period in 2024 [2][19] Operational Metrics - The TiO2 segment reported a loss of $15.3 million in Q3 2025, compared to a profit of $43.4 million in Q3 2024, with a segment profit of $37.2 million for the first nine months of 2025, down from $107.9 million in the same period in 2024 [3][4][11] - Unabsorbed fixed production costs due to reduced operating rates were approximately $27 million in Q3 2025, contributing to the segment loss [3][4] EBITDA Analysis - EBITDA for Q3 2025 was $0.6 million, a sharp decline from $123.3 million in Q3 2024, and for the first nine months of 2025, EBITDA was $74.0 million compared to $211.2 million in the same period in 2024 [5][17] Acquisition Impact - The acquisition of the 50% joint venture interest in Louisiana Pigment Company, L.P. was completed on July 16, 2024, and its results have been included in the company's operations since the acquisition date [1][2]