VALHI REPORTS FIRST QUARTER 2025 RESULTS
Valhi Inc. (NYSE: VHI) reported strong Q1 2025 financial results, with net income more than doubling to $16.9 million ($0.59 per share) compared to $7.8 million ($0.27 per share) in Q1 2024. The improvement was primarily driven by the Chemicals Segment, which saw net sales increase by 2% to $489.8 million. The segment benefited from higher sales volumes in North American and European markets, and a 2% increase in TiO2 selling prices compared to Q1 2024.
The Component Products Segment's net sales grew to $40.3 million from $38.0 million, while the Real Estate Management segment's revenue decreased to $8.5 million from $13.8 million. Operating income across all segments reached $50.1 million, up significantly from $31.5 million in Q1 2024. The company's TiO2 production facilities operated at 93% capacity in Q1 2025, up from 87% in the previous year.
Valhi Inc. (NYSE: VHI) ha riportato solidi risultati finanziari nel primo trimestre 2025, con un utile netto che è più che raddoppiato raggiungendo 16,9 milioni di dollari (0,59 dollari per azione) rispetto a 7,8 milioni di dollari (0,27 dollari per azione) nel primo trimestre 2024. Il miglioramento è stato principalmente guidato dal Settore Chimico, che ha registrato un aumento delle vendite nette del 2%, raggiungendo 489,8 milioni di dollari. Il settore ha beneficiato di maggiori volumi di vendita nei mercati nordamericani ed europei e di un aumento del 2% nei prezzi di vendita del TiO2 rispetto al primo trimestre 2024.
Le vendite nette del Settore Prodotti Componenti sono cresciute a 40,3 milioni di dollari rispetto a 38,0 milioni, mentre i ricavi del settore Gestione Immobiliare sono diminuiti a 8,5 milioni da 13,8 milioni. Il reddito operativo complessivo di tutti i settori ha raggiunto 50,1 milioni di dollari, in forte aumento rispetto ai 31,5 milioni del primo trimestre 2024. Gli impianti di produzione di TiO2 dell’azienda hanno funzionato al 93% della capacità nel primo trimestre 2025, rispetto all’87% dell’anno precedente.
Valhi Inc. (NYSE: VHI) reportó sólidos resultados financieros en el primer trimestre de 2025, con un ingreso neto que se más que duplicó hasta 16,9 millones de dólares (0,59 dólares por acción) en comparación con 7,8 millones de dólares (0,27 dólares por acción) en el primer trimestre de 2024. La mejora se debió principalmente al Segmento de Químicos, que experimentó un aumento del 2% en las ventas netas, alcanzando 489,8 millones de dólares. El segmento se benefició de mayores volúmenes de ventas en los mercados de Norteamérica y Europa, así como de un incremento del 2% en los precios de venta de TiO2 respecto al primer trimestre de 2024.
Las ventas netas del Segmento de Productos Componentes crecieron a 40,3 millones de dólares desde 38,0 millones, mientras que los ingresos del segmento de Gestión Inmobiliaria disminuyeron a 8,5 millones desde 13,8 millones. El ingreso operativo de todos los segmentos alcanzó 50,1 millones de dólares, un aumento significativo respecto a los 31,5 millones del primer trimestre de 2024. Las instalaciones de producción de TiO2 de la compañía operaron al 93% de su capacidad en el primer trimestre de 2025, frente al 87% del año anterior.
Valhi Inc. (NYSE: VHI)는 2025년 1분기 강력한 재무 실적을 보고했으며, 순이익이 2024년 1분기 780만 달러(주당 0.27달러)에서 1,690만 달러(주당 0.59달러)로 두 배 이상 증가했습니다. 이 개선은 주로 화학 부문에 의해 주도되었으며, 해당 부문의 순매출은 2% 증가한 4억8,980만 달러를 기록했습니다. 이 부문은 북미 및 유럽 시장에서의 판매량 증가와 2024년 1분기 대비 TiO2 판매 가격 2% 상승의 혜택을 받았습니다.
부품 제품 부문의 순매출은 3,800만 달러에서 4,030만 달러로 증가했으며, 부동산 관리 부문의 수익은 1,380만 달러에서 850만 달러로 감소했습니다. 전 부문을 합한 영업이익은 2024년 1분기 3,150만 달러에서 크게 증가한 5,010만 달러를 기록했습니다. 회사의 TiO2 생산 시설은 2025년 1분기에 93%의 가동률을 기록했으며, 이는 전년도의 87%에서 상승한 수치입니다.
Valhi Inc. (NYSE: VHI) a annoncé de solides résultats financiers pour le premier trimestre 2025, avec un bénéfice net plus que doublé atteignant 16,9 millions de dollars (0,59 dollar par action) contre 7,8 millions de dollars (0,27 dollar par action) au premier trimestre 2024. Cette amélioration a été principalement portée par le segment Chimie, dont les ventes nettes ont augmenté de 2 % pour atteindre 489,8 millions de dollars. Le segment a bénéficié de volumes de ventes plus élevés sur les marchés nord-américain et européen, ainsi que d'une hausse de 2 % des prix de vente du TiO2 par rapport au premier trimestre 2024.
Les ventes nettes du segment Produits Composants sont passées à 40,3 millions de dollars contre 38,0 millions, tandis que les revenus du segment Gestion Immobilière ont diminué à 8,5 millions contre 13,8 millions. Le résultat d'exploitation de tous les segments a atteint 50,1 millions de dollars, en nette hausse par rapport à 31,5 millions au premier trimestre 2024. Les installations de production de TiO2 de la société ont fonctionné à 93 % de leur capacité au premier trimestre 2025, contre 87 % l’année précédente.
Valhi Inc. (NYSE: VHI) meldete starke Finanzergebnisse für das erste Quartal 2025, wobei der Nettogewinn sich auf 16,9 Millionen US-Dollar (0,59 US-Dollar je Aktie) mehr als verdoppelte im Vergleich zu 7,8 Millionen US-Dollar (0,27 US-Dollar je Aktie) im ersten Quartal 2024. Die Verbesserung wurde hauptsächlich durch den Chemiesegment getrieben, dessen Nettoumsatz um 2 % auf 489,8 Millionen US-Dollar stieg. Das Segment profitierte von höheren Verkaufsvolumina auf den nordamerikanischen und europäischen Märkten sowie einem 2%igen Anstieg der TiO2-Verkaufspreise gegenüber dem ersten Quartal 2024.
Die Nettoumsätze des Segmentes Komponentenprodukte stiegen auf 40,3 Millionen US-Dollar von 38,0 Millionen, während die Erlöse des Segments Immobilienmanagement auf 8,5 Millionen von 13,8 Millionen zurückgingen. Das Betriebsergebnis aller Segmente erreichte 50,1 Millionen US-Dollar, was eine deutliche Steigerung gegenüber 31,5 Millionen im ersten Quartal 2024 darstellt. Die TiO2-Produktionsanlagen des Unternehmens liefen im ersten Quartal 2025 mit 93 % Kapazität, verglichen mit 87 % im Vorjahr.
- Net income more than doubled year-over-year to $16.9 million
- Chemicals Segment operating income increased 81% to $41.2 million
- TiO2 production volumes increased 18% with improved facility utilization at 93%
- Component Products Segment operating income grew 59% to $5.9 million
- Higher sales volumes in North American and European markets
- TiO2 selling prices declined 3% during Q1 2025 due to market pressure
- Currency exchange rates negatively impacted Chemicals Segment by $11 million in sales
- Real Estate Management revenue declined 38% to $8.5 million
- Interest expense increased by $1.9 million due to higher debt levels
- Interest income decreased $1.4 million due to lower rates and cash balances
Insights
Valhi's Q1 profit doubled on operational improvements, with Chemicals segment driving 81% higher operating income despite modest revenue growth.
Valhi has delivered substantial profit growth in Q1 2025, with net income attributable to stockholders more than doubling to
The Chemicals Segment, representing
TiO2 selling prices present a mixed picture - while
The Component Products Segment also delivered strong results with sales up
Valhi's operating margin expanded significantly from
Dallas, Texas, May 08, 2025 (GLOBE NEWSWIRE) -- Valhi, Inc. (NYSE: VHI) reported net income attributable to Valhi stockholders of
The Chemicals Segment’s net sales of
The Chemicals Segment’s operating income in the first quarter of 2025 was
The Component Products Segment’s net sales were
The Real Estate Management and Development Segment had net sales of
Corporate expenses in the first quarter of 2025 were comparable to the same period in 2024. Interest income and other decreased
The statements in this press 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 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 predicted. While it is not possible to identify all factors, we continue to face many risks and uncertainties. Among the factors that could cause our 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, including LPC, into Kronos’ operations and realize expected synergies and innovations;
- The extent of the dependence of certain of our businesses on certain market sectors;
- The cyclicality of certain 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 ore, zinc, brass, aluminum, steel and energy costs), including as a result of additional or changed tariffs on imported raw materials;
- 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, reduce demand or perceived demand for TiO2, component products and land held for development 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 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 difficulties in upgrading or implementing accounting and manufacturing software systems;
- Potential consolidation of our competitors;
- Potential consolidation of our customers;
- The impact of pricing and production decisions;
- Competitive technology positions;
- Our ability to protect or defend intellectual property rights;
- The introduction of new, or changes in existing, tariffs, trade barriers or trade disputes (including tariffs imposed by the U.S. federal government on imports from Canada, where Kronos has a manufacturing facility);
- The ability of our subsidiaries to pay us dividends;
- Uncertainties associated with new product development and the development of new product features;
- 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;
- The timing and amounts of insurance recoveries;
- Our ability to renew or refinance credit facilities or other debt instruments in the future;
- Changes in interest rates;
- 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, 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 NL, 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 NL’s lead pigment and environmental matters);
- Our ability to comply with covenants contained in our revolving bank credit facilities;
- Our ability to complete and comply with the conditions of our licenses and permits;
- Changes in real estate values and construction costs in Henderson, Nevada; and
- Pending or possible future litigation (such as litigation related to CompX’s use of certain permitted chemicals in its productions process) or other actions.
Should one or more of these risks materialize (or the consequences of such 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.
Valhi, Inc. is engaged in the chemicals (TiO2), component products (security products and recreational marine components) and real estate management and development industries.
*****
Investor Relations Contact
Bryan A. Hanley
Senior Vice President and Treasurer
Tel. 972-233-1700
VALHI, INC. AND SUBSIDIARIES
CONDENSED SUMMARY OF INCOME
(In millions, except earnings per share)
| Three months ended | ||||||
| March 31, | ||||||
| 2024 | 2025 | |||||
| (unaudited) | ||||||
| Net sales | ||||||
| Chemicals | $ | 478.8 | $ | 489.8 | ||
| Component products | 38.0 | 40.3 | ||||
| Real estate management and development | 13.8 | 8.5 | ||||
| Total net sales | $ | 530.6 | $ | 538.6 | ||
| Operating income | ||||||
| Chemicals | $ | 22.8 | $ | 41.2 | ||
| Component products | 3.7 | 5.9 | ||||
| Real estate management and development | 5.0 | 3.0 | ||||
| Total operating income | 31.5 | 50.1 | ||||
| General corporate items: | ||||||
| Interest income and other | 5.7 | 4.3 | ||||
| Other components of net periodic pension and OPEB expense | (.6) | (.8) | ||||
| Changes in market value of Valhi common stock held by subsidiaries | .5 | (1.7) | ||||
| General expenses, net | (7.8) | (7.9) | ||||
| Interest expense | (11.3) | (13.2) | ||||
| Income before income taxes | 18.0 | 30.8 | ||||
| Income tax expense | 4.4 | 8.0 | ||||
| Net income | 13.6 | 22.8 | ||||
| Noncontrolling interest in net income of subsidiaries | 5.8 | 5.9 | ||||
| Net income attributable to Valhi stockholders | $ | 7.8 | $ | 16.9 | ||
| Amounts attributable to Valhi stockholders: | ||||||
| Basic and diluted net income per share | $ | .27 | $ | .59 | ||
| Basic and diluted weighted average shares outstanding | 28.5 | 28.5 | ||||
VALHI, INC. AND SUBSIDIARIES
IMPACT OF PERCENTAGE CHANGE IN CHEMICAL SEGMENT'S NET SALES
(unaudited)
| Three months ended | |||
| March 31, | |||
| 2025 vs 2024 | |||
| Percentage change in TiO2 net sales: | |||
| TiO2 sales volumes | 5 | % | |
| TiO2 product pricing | 2 | ||
| TiO2 product mix/other | (2) | ||
| Changes in currency exchange rates | (3) | ||
| Total | 2 | % |
FAQ
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What happened to Valhi's (VHI) Component Products Segment in Q1 2025?
