KRONOS WORLDWIDE, INC. REPORTS SECOND QUARTER 2026 RESULTS
Rhea-AI Summary
Kronos Worldwide (NYSE:KRO) reported second quarter 2026 net income of $15.2 million, or $0.13 per share, compared with a net loss of $9.2 million, or $0.08 per share, in Q2 2025. Net sales rose 13% to $558.1 million, driven mainly by higher TiO2 sales volumes and favorable currency, partially offset by lower average TiO2 selling prices.
For the first six months of 2026, net income was $10.4 million ($0.09 per share) versus $8.9 million ($0.08 per share) a year earlier, on net sales of $1.07 billion, up 9%. TiO2 segment profit increased to $41.0 million in Q2 and $56.1 million year-to-date, while EBITDA rose to $52.9 million in Q2 and $80.6 million for the first half, reflecting cost reduction initiatives, lower feedstock and production costs, and higher volumes, partially offset by currency headwinds and weaker pricing.
Positive
- Net income swing: Q2 2026 $15.2M vs. Q2 2025 $(9.2)M
- Net sales growth: Q2 2026 $558.1M, up 13% year-over-year
- TiO2 sales volumes: Q2 153k tons, up 16%; H1 295k, up 10%
- Segment profit: Q2 2026 $41.0M vs. $10.9M; H1 $56.1M vs. $52.5M
- EBITDA: Q2 2026 $52.9M vs. $22.2M; H1 $80.6M vs. $73.4M
- Cost structure improvements from 2025 cost reduction initiatives and lower feedstock costs
Negative
- Average TiO2 selling prices lower than prior-year periods, offsetting some volume gains
- Currency headwinds reduced segment profit by about $12M in Q2 2026 and $18M in H1 2026
- Interest expense increased to $14.2M in Q2 2026 and $28.5M in H1 2026
- Energy and related costs remain elevated, pressuring margins despite cost actions
- $2.0M income tax expense in H1 2026 for an uncertain tax position related to a German tax audit
News Explained
The Aug. 5 results state that six-month 2026 net income includes a
Market Reaction – KRO
Following this news, KRO has gained 7.14%, reflecting a notable positive market reaction. Our momentum scanner has triggered 10 alerts so far, indicating notable trading interest and price volatility. The stock is currently trading at $6.65.
Data tracked by StockTitan Argus (15 min delayed). Upgrade to Gold for real-time data.
Key Figures
Previous Earnings Reports
| Date | Event | Sentiment | 24h Move | Catalyst |
|---|---|---|---|---|
| May 06 | First-quarter earnings | Negative | -6.9% | Quarterly net loss reflected lower prices, reduced volumes, and currency headwinds |
| Mar 09 | Fourth-quarter earnings | Negative | -3.3% | Quarterly and full-year losses followed lower prices and production curtailments |
| Nov 06 | Third-quarter earnings | Negative | -6.8% | Net loss and sharply lower EBITDA followed pricing and production pressures |
| Aug 06 | Second-quarter earnings | Negative | -7.9% | Net loss reflected lower production volumes and unabsorbed fixed costs |
| May 07 | First-quarter earnings | Positive | -1.6% | Higher volumes, pricing, and lower production costs supported stronger quarterly results |
24h Move is the share-price change in the day after each event; other market factors may also have contributed.
All five tag-specific earnings events had negative 24-hour price reactions; the sole positive earnings event also produced a negative reaction.
Key Terms
tio2 technical
ebitda financial
non-gaap financial
unabsorbed fixed costs financial
AI-generated analysis. How Rhea-AI works. Not financial advice.
DALLAS, TEXAS, Aug. 05, 2026 (GLOBE NEWSWIRE) -- Kronos Worldwide, Inc. (NYSE:KRO) today reported net income of
Net sales of
Our TiO2 segment profit (see description of non-GAAP information below) was
Our net income (loss) before interest expense, income taxes and depreciation and amortization expense (EBITDA) (see description of non-GAAP information below) in the second quarter of 2026 was
"Our second quarter results reflect solid progress against the priorities we established at the beginning of the year," said Brian Christian, President and Chief Executive Officer. "Higher sales volumes, improving operating performance and the benefits of our cost reduction initiatives contributed to stronger results during the quarter. We believe we have positive momentum entering the second half of 2026, driven by continued execution of our operational, commercial and cost reduction initiatives. While energy and related costs remain elevated, we expect ongoing pricing actions and disciplined cost management to help offset these pressures. Despite a challenging macroeconomic environment, we remain focused on controlling what we can control through disciplined execution, delivering sustainable earnings improvement and generating stronger cash flow."
Our net income for the six months ended June 30, 2026 includes an income tax expense of
The statements in this release relating to matters that are not historical facts are forward-looking statements that represent management's beliefs and assumptions based on currently available information. Although we believe that the expectations reflected in such forward-looking statements are reasonable, we cannot give any assurances that these expectations will prove to be correct. Such statements by their nature involve substantial risks and uncertainties that could significantly impact expected results, and actual future results could differ materially from those described in such forward-looking statements. While it is not possible to identify all factors, we continue to face many risks and uncertainties. The factors that could cause actual future results to differ materially include, but are not limited to, the following:
- Future supply and demand for our products;
- Our ability to realize expected cost savings from strategic and operational initiatives;
- Our ability to integrate acquisitions into our operations and realize expected synergies and innovations;
- The extent of the dependence of certain of our businesses on certain market sectors;
- The cyclicality of our business;
- Customer and producer inventory levels;
- Unexpected or earlier-than-expected industry capacity expansion;
- Changes in raw material and other operating costs (such as energy and ore costs);
- Changes in the availability of raw materials (such as ore);
- General global economic and political conditions that harm the worldwide economy, disrupt our supply chain, increase material and energy costs or reduce demand or perceived demand for our titanium dioxide pigments (“TiO2”) products or impair our ability to operate our facilities (including changes in the level of gross domestic product in various regions of the world, tariffs, natural disasters, terrorist acts, global conflicts and public health crises);
- Operating interruptions (including, but not limited to, labor disputes, leaks, natural disasters, fires, explosions, unscheduled or unplanned downtime, transportation interruptions, certain regional and world events or economic conditions and public health crises);
- Technology related disruptions (including, but not limited to, cyber-attacks; software implementation, upgrades or improvements; technology processing failures; or other events) related to our technology infrastructure (including manufacturing and accounting systems) that could impact our ability to continue operations, or at key vendors which could impact our supply chain, or at key customers which could impact their operations and cause them to curtail or pause orders;
- Competitive products and substitute products;
- Competition from Chinese suppliers with less stringent regulatory and environmental compliance requirements;
- Customer and competitor strategies;
- Potential consolidation of our competitors;
- Potential consolidation of our customers;
- The impact of pricing and production decisions;
- Competitive technology positions;
- The introduction of new, or changes in existing, tariffs, trade barriers or trade disputes;
- Fluctuations in currency exchange rates (such as changes in the exchange rate between the U.S. dollar and each of the euro, the Norwegian krone and the Canadian dollar and between the euro and the Norwegian krone), or possible disruptions to our business resulting from uncertainties associated with the euro or other currencies;
- Our ability to renew or refinance credit facilities or other debt instruments in the future;
- Changes in interest rates;
- Our ability to comply with covenants contained in our revolving bank credit facility;
- Our ability to maintain sufficient liquidity;
- The ultimate outcome of income tax audits, tax settlement initiatives or other tax matters, including future tax reform;
- Our ability to utilize income tax attributes, the benefits of which may or may not have been recognized under the more-likely-than-not recognition criteria;
- Environmental matters (such as those requiring compliance with emission and discharge standards for existing and new facilities);
- Government laws and regulations and possible changes therein including new environmental, sustainability, health and safety, or other regulations (such as those seeking to limit or classify TiO2 or its use); and
- Pending or possible future litigation or other actions.
Should one or more of these risks materialize (or the consequences of such a development worsen), or should the underlying assumptions prove incorrect, actual results could differ materially from those forecasted or expected. The Company disclaims any intention or obligation to update or revise any forward-looking statement whether as a result of changes in information, future events or otherwise.
In an effort to provide investors with additional information regarding the Company's results of operations as determined by accounting principles generally accepted in the United States of America (GAAP), the Company has disclosed certain non-GAAP information which the Company believes provides useful information to investors:
- The Company discloses segment profit, which is used by the Company’s management to assess the performance of the Company’s TiO2 operations. The Company believes disclosure of segment profit provides useful information to investors because it allows investors to analyze the performance of the Company’s TiO2 operations in the same way that the Company’s management assesses performance. The Company defines segment profit as net income (loss) before income tax expense and certain general corporate items. These general corporate items include corporate expense and the components of other income (expense) except for trade interest income; and
- The Company discloses EBITDA, which is also used by the Company’s management to assess the performance of the Company’s TiO2 operations. The Company believes disclosure of EBITDA provides useful information to investors because it allows investors to analyze the performance of the Company’s TiO2 operations in the same way that the Company’s management assesses performance. The Company defines EBITDA as net income (loss) before interest expense, income taxes and depreciation and amortization expense.
Kronos Worldwide, Inc. is a major international producer of titanium dioxide products.
Investor Relations Contact:
Bryan A. Hanley
Senior Vice President & Treasurer
Tel: (972) 233-1700
KRONOS WORLDWIDE, INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
(In millions, except per share and metric ton data)
| Three months ended | Six months ended | |||||||||||
| June 30, | June 30, | |||||||||||
| 2025 | 2026 | 2025 | 2026 | |||||||||
| Net sales | $ | 494.4 | $ | 558.1 | $ | 984.2 | $ | 1,067.9 | ||||
| Cost of sales | 431.6 | 455.3 | 814.5 | 881.8 | ||||||||
| Gross margin | 62.8 | 102.8 | 169.7 | 186.1 | ||||||||
| Selling, general and administrative expense | 62.1 | 64.5 | 123.7 | 128.1 | ||||||||
| Other operating income (expense): | ||||||||||||
| Currency transactions, net | 9.4 | (.5) | 5.0 | (5.9) | ||||||||
| Other income, net | .6 | 3.0 | 1.1 | 3.7 | ||||||||
| Corporate expense | (3.3) | (3.2) | (6.3) | (5.6) | ||||||||
| Income from operations | 7.4 | 37.6 | 45.8 | 50.2 | ||||||||
| Other income (expense): | ||||||||||||
| Trade interest income | .2 | .2 | .4 | .3 | ||||||||
| Other interest and dividend income | .1 | .1 | .3 | .2 | ||||||||
| Marketable equity securities | - | - | (1.0) | .3 | ||||||||
| Other components of net periodic pension and OPEB cost | (.6) | (.8) | (1.1) | (1.6) | ||||||||
| Interest expense | (12.8) | (14.2) | (24.4) | (28.5) | ||||||||
| Income (loss) before income taxes | (5.7) | 22.9 | 20.0 | 20.9 | ||||||||
| Income tax expense | 3.5 | 7.7 | 11.1 | 10.5 | ||||||||
| Net income (loss) | $ | (9.2) | $ | 15.2 | $ | 8.9 | $ | 10.4 | ||||
| Net income (loss) per basic and diluted share | $ | (.08) | $ | .13 | $ | .08 | $ | .09 | ||||
| Weighted average shares used in the calculation of net income (loss) per share | 115.0 | 115.1 | 115.0 | 115.1 | ||||||||
| TiO2 data - metric tons in thousands: | ||||||||||||
| Sales volumes | 132 | 153 | 268 | 295 | ||||||||
| Production volumes | 125 | 135 | 268 | 263 | ||||||||
KRONOS WORLDWIDE, INC.
RECONCILIATION OF INCOME FROM
OPERATIONS TO SEGMENT PROFIT
(Unaudited)
(In millions)
| Three months ended | Six months ended | ||||||||||||||
| June 30, | June 30, | ||||||||||||||
| 2025 | 2026 | 2025 | 2026 | ||||||||||||
| Income from operations | $ | 7.4 | $ | 37.6 | $ | 45.8 | $ | 50.2 | |||||||
| Adjustments: | |||||||||||||||
| Trade interest income | .2 | .2 | .4 | .3 | |||||||||||
| Corporate expense | 3.3 | 3.2 | 6.3 | 5.6 | |||||||||||
| Segment profit | $ | 10.9 | $ | 41.0 | $ | 52.5 | $ | 56.1 | |||||||
RECONCILIATION OF NET INCOME (LOSS) TO EBITDA
(Unaudited)
(In millions)
| Three months ended | Six months ended | ||||||||||||
| June 30, | June 30, | ||||||||||||
| 2025 | 2026 | 2025 | 2026 | ||||||||||
| Net income (loss) | $ | (9.2) | $ | 15.2 | $ | 8.9 | $ | 10.4 | |||||
| Adjustments: | |||||||||||||
| Depreciation expense | 15.1 | 15.8 | 29.0 | 31.2 | |||||||||
| Interest expense | 12.8 | 14.2 | 24.4 | 28.5 | |||||||||
| Income tax expense | 3.5 | 7.7 | 11.1 | 10.5 | |||||||||
| EBITDA | $ | 22.2 | $ | 52.9 | $ | 73.4 | $ | 80.6 | |||||
IMPACT OF PERCENTAGE CHANGE IN NET SALES
(Unaudited)
| Three months ended | Six months ended | ||||
| June 30, | June 30, | ||||
| 2026 vs. 2025 | 2026 vs. 2025 | ||||
| Percentage change in net sales: | |||||
| TiO2 sales volume | 16 | % | 10 | % | |
| TiO2 product pricing | (3) | (4) | |||
| TiO2 product mix/other | (2) | (1) | |||
| Changes in currency exchange rates | 2 | 4 | |||
| Total | 13 | % | 9 | % |
