NLI REPORTS SECOND QUARTER 2026 RESULTS
Rhea-AI Summary
NLI Holdings (NYSE: NL) reported second quarter 2026 net income attributable to stockholders of $9.0 million, or $0.18 per share, up from $0.3 million, or $0.01 per share, in Q2 2025. For the first six months of 2026, net income attributable to stockholders was $13.3 million, or $0.27 per share, versus $1.0 million, or $0.02 per share, in the prior-year period. Results include unrealized gains on marketable equity securities of $0.5 million in Q2 and $3.1 million year-to-date, compared to unrealized losses of $0.1 million and $8.6 million, respectively, in 2025.
CompX net sales rose to $43.6 million in Q2 2026 and $84.2 million year-to-date, with segment profit increasing to $8.9 million and $16.0 million. NLI recognized equity in earnings of Kronos of $4.6 million in Q2 2026 versus equity in losses of $2.8 million a year earlier, as Kronos’ net sales grew 13% in Q2 and 9% year-to-date, and income from operations rose to $37.6 million in Q2. Corporate expenses declined due to lower environmental remediation and related costs, while lower interest income reflected reduced average interest rates and cash balances.
Positive
- Net income growth to $9.0M in Q2 2026 from $0.3M
- YTD net income $13.3M vs. $1.0M in first six months 2025
- CompX net sales up to $43.6M in Q2 and $84.2M YTD
- CompX segment profit increased to $8.9M in Q2 and $16.0M YTD
- Kronos equity earnings $4.6M in Q2 vs. $(2.8)M loss prior year
- Kronos Q2 operating income $37.6M vs. $7.4M in 2025, aided by lower costs
- Corporate expenses reduced by $0.7M in Q2 2026 vs. Q2 2025
Negative
- Interest and dividend income declined in Q2 and YTD 2026 vs. 2025
- Lower average TiO2 selling prices pressured Kronos’ net sales and operating income
- Currency fluctuations reduced Kronos’ operating income by about $12M in Q2 and $18M YTD 2026
Key Figures
Previous Earnings Reports
| Date | Event | Sentiment | 24h Move | Catalyst |
|---|---|---|---|---|
| May 06 | First-quarter earnings | Positive | +1.5% | Net income rose year over year despite weaker Kronos operating performance. |
| Mar 09 | Fourth-quarter earnings | Negative | -3.9% | Quarterly and full-year losses reflected securities losses and weaker Kronos results. |
| Nov 06 | Third-quarter earnings | Negative | +0.8% | Net loss and weaker Kronos operations contrasted with CompX sales growth. |
| Aug 06 | Second-quarter earnings | Negative | +7.0% | Net income declined as Kronos losses offset higher CompX sales. |
| May 07 | First-quarter earnings | Negative | -7.4% | Lower net income and securities losses outweighed improved CompX performance. |
24h Move is the share-price change in the day after each event; other market factors may also have contributed.
Tag-matched earnings reactions were mixed, with three aligned and two divergent outcomes and an average move of -0.38%.
Key Terms
unrealized gain financial
marketable equity securities financial
TiO2 technical
unabsorbed fixed costs financial
AI-generated analysis. How Rhea-AI works. Not financial advice.
Dallas, Texas, Aug. 05, 2026 (GLOBE NEWSWIRE) -- NLI Holdings, Inc. (NYSE: NL) reported net income attributable to NLI stockholders of
CompX’s net sales were
NLI recognized equity in earnings of Kronos of
Kronos’ income from operations in the second quarter of 2026 was
Corporate expenses decreased $.7 million in the second quarter of 2026 compared to the second quarter of 2025 primarily due to lower environmental remediation and related costs. Corporate expenses decreased $.4 million in the first six months of 2026 compared to the same period of 2025 primarily due to lower environmental remediation and related costs, partially offset by higher general and administrative costs. Interest and dividend income decreased in the second quarter and for the first six months of 2026 compared to the same periods of 2025 primarily due to lower average interest rates and decreased cash balances. Marketable equity securities represent the change in unrealized gains (losses) on our portfolio of marketable equity securities during the periods.
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 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. Factors that could cause actual future results to differ materially include, but are not limited to:
- Future supply and demand for our products;
- Kronos’ ability to realize expected cost savings from strategic and operational initiatives;
- Kronos’ ability to integrate acquisitions into its 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 businesses (such as Kronos’ TiO2 operations);
- Customer and producer inventory levels;
- Unexpected or earlier-than-expected industry capacity expansion (such as the TiO2 industry);
- Changes in raw material and other operating costs (such as energy, ore, zinc, aluminum, steel and brass costs) or the implementation of tariffs on imported raw materials and our ability to pass those costs on to our customers or offset them with reductions in other operating 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 TiO2 and our 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;
- Our ability to retain key customers;
- Potential consolidation of Kronos’ competitors;
- Potential consolidation of Kronos’ customers;
- The impact of pricing and production decisions;
- Competitive technology positions;
- Our ability to protect or defend intellectual property rights;
- Potential difficulties in integrating future acquisitions;
- 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;
- Decisions to sell operating assets other than in the ordinary course of business;
- Kronos’ ability to renew or refinance credit facilities or other debt instruments in the future;
- Changes in interest rates;
- Kronos’ ability to comply with covenants contained in its revolving bank credit facility;
- Our ability to maintain sufficient liquidity;
- The timing and amounts of insurance recoveries;
- The ability of our subsidiaries or affiliates to pay us dividends;
- Uncertainties associated with CompX’s development of new products and product features;
- 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 or changes in income tax rates related to such 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 or new developments regarding environmental remediation or decommissioning obligations at sites related to our former operations);
- Government laws and regulations and possible changes therein (such as changes in government regulations which might impose various obligations on former manufacturers of lead pigment and lead-based paint, including us, with respect to asserted health concerns associated with the use of such products), including new environmental, sustainability, health and safety or other regulations (such as those seeking to limit or classify TiO2 or its use);
- The ultimate resolution of pending litigation (such as our lead pigment and environmental matters); and
- Pending or possible future litigation (such as litigation related to CompX’s use of certain permitted chemicals in its production process) or other actions.
Should one or more of these risks materialize (or if the consequences of such a development worsen), or should the underlying assumptions prove incorrect, actual results could differ materially from those currently forecasted or expected. We disclaim any intention or obligation to update or revise any forward-looking statement whether as a result of changes in information, future events or otherwise.
NLI Holdings, Inc. is engaged in component products (security products and recreational marine components) and chemicals (TiO2) businesses.
Investor Relations Contact
Bryan A. Hanley
Senior Vice President and Treasurer
(972) 233-1700
NLI HOLDINGS, INC.
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(Unaudited)
(In millions, except earnings per share)
| Three months ended | Six months ended | |||||||||||
| June 30, | June 30, | |||||||||||
| 2025 | 2026 | 2025 | 2026 | |||||||||
| Net sales | $ | 40.3 | $ | 43.6 | $ | 80.6 | $ | 84.2 | ||||
| Cost of sales | 27.4 | 28.1 | 55.5 | 55.4 | ||||||||
| Gross margin | 12.9 | 15.5 | 25.1 | 28.8 | ||||||||
| Selling, general and administrative expense | 6.6 | 6.6 | 12.9 | 12.8 | ||||||||
| Corporate expense | 3.5 | 2.8 | 6.2 | 5.8 | ||||||||
| Income from operations | 2.8 | 6.1 | 6.0 | 10.2 | ||||||||
| Equity in earnings (losses) of Kronos Worldwide, Inc. | (2.8) | 4.6 | 2.7 | 3.2 | ||||||||
| Other income (expense): | ||||||||||||
| Interest and dividend income | 1.5 | 1.2 | 3.5 | 2.4 | ||||||||
| Marketable equity securities | (.1) | .5 | (8.6) | 3.1 | ||||||||
| Other components of net periodic pension and OPEB cost | (.3) | — | (.6) | — | ||||||||
| Interest expense | (.1) | — | (.7) | — | ||||||||
| Income before income taxes | 1.0 | 12.4 | 2.3 | 18.9 | ||||||||
| Income tax expense | — | 2.5 | — | 3.9 | ||||||||
| Net income | 1.0 | 9.9 | 2.3 | 15.0 | ||||||||
| Noncontrolling interest in net income of subsidiary | .7 | .9 | 1.3 | 1.7 | ||||||||
| Net income attributable to NLI stockholders | $ | .3 | $ | 9.0 | $ | 1.0 | $ | 13.3 | ||||
| Net income per share attributable to NLI stockholders | $ | .01 | $ | .18 | $ | .02 | $ | .27 | ||||
| Weighted average shares used in the calculation of net income per share | 48.9 | 48.9 | 48.9 | 48.9 | ||||||||
NLI HOLDINGS, INC.
COMPONENTS OF INCOME FROM OPERATIONS
(Unaudited)
(In millions)
| Three months ended | Six months ended | |||||||||||
| June 30, | June 30, | |||||||||||
| 2025 | 2026 | 2025 | 2026 | |||||||||
| CompX segment profit | $ | 6.3 | $ | 8.9 | $ | 12.2 | $ | 16.0 | ||||
| Corporate expense | (3.5) | (2.8) | (6.2) | (5.8) | ||||||||
| Income from operations | $ | 2.8 | $ | 6.1 | $ | 6.0 | $ | 10.2 | ||||
IMPACT OF PERCENTAGE CHANGE IN KRONOS’ 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 | % |
