KRO · Kronos Worldwide, Inc.

Kronos Worldwide swung to a Q1 2026 net loss of $4.8 million from Q1 2025 net income of $18.1 million, primarily due to lower income from operations from reduced average TiO2 selling prices and lower production volumes (128k metric tons vs 143k), partially offset by higher sales volumes (142k vs 136k) and lower production costs from Q4 2025 cost reduction initiatives including workforce reductions. Net sales rose 4% to $509.8 million, driven by higher volumes in North American, Latin American, and export markets plus a $30 million euro-related currency benefit, despite lower European volumes and prices. Average TiO2 prices started 2026 lower but increased 2% in the quarter amid recovery efforts; net sales breakdown shows +4% volume, -6% pricing, +6% currency. TiO2 segment profit fell to $15.1 million from $41.6 million, with currency headwinds of $6 million, while EBITDA declined to $27.7 million from $51.2 million. CEO Brian W. Christian highlighted a $74.5 million sequential segment profit improvement from Q4 2025's $59.4 million loss, crediting structural cost realignments for enabling efficient lower-volume operations. The net loss includes $2.0 million tax expense for a German audit uncertain position. No forward guidance provided, but focus remains on pricing and cost initiatives.