Welcome to our dedicated page for Kronos Worldwide news (Ticker: KRO), a resource for investors and traders seeking the latest updates and insights on Kronos Worldwide stock.
Overview of Kronos Worldwide Inc.
Kronos Worldwide Inc. (NYSE: KRO) is a globally recognized producer and marketer of titanium dioxide (TiO2), a versatile white pigment renowned for its ability to impart whiteness, brightness, opacity, and durability. Operating across Europe, North America, the Asia-Pacific, and other international markets, the company plays a pivotal role in supplying TiO2 for a wide array of applications, making it an essential component in industries such as paints, coatings, plastics, paper, fibers, and ceramics.
Core Business Model and Revenue Streams
Kronos Worldwide generates revenue primarily through the production and sale of TiO2, which is manufactured in two crystalline forms: rutile and anatase. These forms enable the company to cater to diverse market needs, from industrial coatings to specialty products like inks, cosmetics, and food-grade materials. The company's TiO2 pigments are integral to enhancing the performance and aesthetic qualities of products such as automotive finishes, residential and commercial paints, packaging materials, and electronic devices.
In addition to its core TiO2 business, Kronos Worldwide also produces and markets several complementary products, including:
- Ilmenite: A raw material feedstock for sulfate-process TiO2 plants.
- Iron-based chemicals: Used in industrial effluent treatment, municipal wastewater conditioning, and the production of iron pigments, cement, and agricultural products.
- Titanium oxychloride: A precursor for pearlescent pigments and electroceramic capacitors in electronics.
- Titanyl sulfate: Utilized in pearlescent pigments, natural gas pipelines, and other industrial applications.
Industry Context and Market Position
The titanium dioxide industry is highly competitive and cyclical, with demand driven by economic conditions and end-market trends. Kronos Worldwide operates in a market shared with other major TiO2 producers, where differentiation is achieved through product quality, innovation, and cost efficiency. By offering TiO2 in multiple crystalline forms and maintaining a global production and distribution network, Kronos Worldwide has established itself as a significant player in the industry. Its ability to meet diverse customer requirements across industries highlights its operational flexibility and market responsiveness.
Applications and End Markets
Kronos Worldwide's TiO2 pigments are used in a broad spectrum of applications, including:
- Paints and Coatings: Providing durability, brightness, and opacity for automotive, aerospace, and architectural coatings.
- Plastics: Enhancing the visual appeal and performance of packaging materials, consumer goods, and industrial products.
- Specialty Products: Supporting applications in inks, cosmetics, food, and electronics, where high-purity pigments are essential.
- Ceramics and Fibers: Improving the quality and functionality of ceramic materials and synthetic fibers.
Competitive Advantages
Kronos Worldwide's competitive advantages stem from its extensive expertise in TiO2 production, its ability to produce both rutile and anatase forms, and its diversified product portfolio. The company's global footprint ensures proximity to key markets, while its focus on quality and innovation allows it to maintain strong customer relationships. Additionally, by leveraging by-products like ilmenite and iron-based chemicals, Kronos Worldwide maximizes resource efficiency and expands its revenue streams.
Challenges and Considerations
As with any player in the chemicals industry, Kronos Worldwide faces challenges such as fluctuating raw material costs, regulatory compliance, and market cyclicality. However, its strategic focus on operational efficiency, product quality, and market diversification positions it well to navigate these challenges effectively.
Conclusion
Kronos Worldwide Inc. stands out as a key contributor to the global TiO2 market, delivering high-performance pigments that enhance the quality and functionality of countless products. With its robust product portfolio, global operational scale, and commitment to innovation, the company continues to play a vital role in industries ranging from construction to consumer goods and electronics.
Kronos Worldwide (NYSE:KRO) reported Q4 2024 results with a net loss of $13.2 million (-$0.12 per share), compared to a $5.3 million loss (-$0.05 per share) in Q4 2023. For full-year 2024, net income was $86.2 million ($0.75 per share) versus a loss of $49.1 million in 2023.
Q4 2024 net sales increased 6% to $423.1 million, driven by 4% higher TiO2 sales volumes and 2% higher selling prices. Full-year 2024 sales rose 13% to $1.9 billion despite 5% lower average TiO2 prices, offset by 20% higher sales volumes.
Key highlights include:
- Acquisition of remaining 50% stake in Louisiana Pigment Company, resulting in a $64.5 million non-cash gain
- Production capacity utilization increased to 96% in 2024 vs 72% in 2023
- Q4 TiO2 segment profit of $33.1 million compared to $1.3 million loss in Q4 2023
- Improved demand across all major markets with lower production costs in energy and raw materials
Kronos Worldwide (NYSE: KRO), a major international producer of titanium dioxide products, has announced its board of directors has declared a regular quarterly dividend of $0.05 per share on its common stock. The dividend will be payable on March 20, 2025 to stockholders of record at the close of business on March 11, 2025.
Kronos Worldwide reported significant financial improvements in Q3 2024, with net income of $71.8 million ($0.62 per share) compared to a net loss of $20.4 million in Q3 2023. Net sales increased 22% to $484.7 million, driven by 21% higher TiO2 sales volumes and improved demand across major markets. The company acquired the remaining 50% stake in Louisiana Pigment Company, recognizing a non-cash gain of $64.5 million. Production volumes increased 37% year-over-year, with capacity utilization reaching 93% in the first nine months of 2024. Despite these improvements, average TiO2 selling prices were 1% lower compared to Q3 2023.
Kronos Worldwide (NYSE: KRO) has announced a quarterly dividend of $0.05 per share on its common stock. The dividend will be paid on December 12, 2024 to stockholders of record as of the close of business on November 29, 2024. Kronos Worldwide is a major international producer of titanium dioxide products.
Kronos Worldwide (NYSE:KRO) reported net income of $19.5 million ($0.17 per share) in Q2 2024, compared to a net loss of $8.2 million in Q2 2023. Net sales increased 13% to $500.5 million in Q2 2024. The improvement was driven by higher sales volumes (+29%) and production volumes (+54%), partially offset by lower average TiO2 selling prices (-8%). The company's TiO2 segment profit was $41.1 million in Q2 2024, up from a loss of $2.3 million in Q2 2023. Kronos also acquired the remaining 50% stake in Louisiana Pigment Company for $185 million upfront and a potential $15 million earn-out. The acquisition was financed through a $132 million borrowing and cash on hand. The company expects this move to strengthen its competitive position and generate significant synergies.
Kronos Worldwide, Inc. (NYSE: KRO) announced that its subsidiary, Kronos International, Inc. (KII), will issue an additional €75 million of 9.50% Senior Secured Notes due 2029 through a private placement. These notes will be added to the existing €276,174,000 of notes issued in February 2024. Priced at a premium of 107.50%, the offering is expected to yield approximately €80,625,000 (about $87,500,000) before fees.
The proceeds will be used to repay a portion of the company's global revolving credit facility with Wells Fargo, which was used for the recent acquisition of the remaining equity interest in Louisiana Pigment Company, L.P. The notes will be guaranteed by Kronos Worldwide and its domestic subsidiaries, secured by first-priority interests in certain assets. The offering, oversubscribed and to qualified institutional buyers, is expected to close around July 30, 2024.
Kronos Worldwide (NYSE: KRO) announced a private offering of €75 million in additional 9.50% Senior Secured Notes due 2029 through its subsidiary, Kronos International. These notes will supplement the existing €276,174,000 in notes issued on February 12, 2024. The new notes will have identical terms to the existing ones, except for the issue date and price. Kronos Worldwide and its domestic subsidiaries will fully guarantee the notes, which will be secured by first-priority interests in certain company assets.
The offering's completion depends on market conditions. Proceeds will be used to repay part of Kronos' global revolving credit facility with Wells Fargo, which was used for the recent acquisition of the remaining equity in Louisiana Pigment Company, a TiO2 production facility. This private placement is only available to qualified institutional buyers and non-U.S. persons in offshore transactions, in compliance with Securities Act regulations.
Kronos Worldwide, Inc. (NYSE: KRO) has announced three significant developments:
1. Acquisition: Kronos has acquired the remaining 50% joint venture interest in Louisiana Pigment Company, L.P. (LPC) for $185 million upfront, with a potential $15 million earn-out. This makes LPC a wholly-owned subsidiary of Kronos.
2. Credit Facility Amendment: Kronos has amended its global revolving credit facility with Wells Fargo, increasing the maximum borrowing amount from $225 million to $300 million and extending the maturity date to 2029.
3. Dividend Reduction: The company has declared a quarterly dividend of $0.05 per share, a decrease of $0.14 compared to the previous quarter, to focus on maintaining a strong balance sheet and evaluating strategic investment opportunities.
Kronos Worldwide (NYSE: KRO) announced on May 15, 2024, that its board of directors has declared a regular quarterly dividend of $0.19 per share on its common stock. The dividend is payable on June 20, 2024, to stockholders of record at the close of business on June 10, 2024.
At the 2024 annual stockholder meeting, the stockholders elected directors including James M. Buch, Loretta J. Feehan, John E. Harper, Kevin B. Kramer, Meredith W. Mendes, Cecil H. Moore, Jr., Michael S. Simmons, and R. Gerald Turner for a one-year term. Additionally, a resolution approving the compensation of named executive officers on a nonbinding advisory basis was adopted.
Kronos Worldwide is a significant producer of titanium dioxide products.
Kronos Worldwide, Inc. reported a net income of $8.1 million, or $.07 per share, in the first quarter of 2024, a significant improvement from a net loss of $15.2 million, or $.13 per share, in the first quarter of 2023. This positive result was driven by higher sales and production volumes, lower TiO2 selling prices, and decreased production costs. Net sales of $478.8 million in Q1 2024 were 12% higher than in Q1 2023, primarily due to stronger demand for TiO2 in major markets and increased sales volumes. TiO2 segment profit also saw a notable increase to $23.4 million in Q1 2024 from a loss of $14.8 million in Q1 2023. Overall, the company showed significant financial improvement in the first quarter of 2024 compared to the same period in 2023.
FAQ
What is the current stock price of Kronos Worldwide (KRO)?
What is the market cap of Kronos Worldwide (KRO)?
What does Kronos Worldwide Inc. produce?
What industries use Kronos Worldwide's products?
How does Kronos Worldwide generate revenue?
What are the main applications of titanium dioxide?
What sets Kronos Worldwide apart from competitors?
Where does Kronos Worldwide operate?
What are the by-products of Kronos Worldwide's production process?
What challenges does Kronos Worldwide face in the market?
