NL REPORTS FIRST QUARTER 2024 RESULTS
Dallas, Texas, May 08, 2024 (GLOBE NEWSWIRE) -- NL Industries, Inc. (NYSE: NL) today reported net income attributable to NL stockholders of $6.8 million, or $.14 per share, in the first quarter of 2024 compared to a net loss attributable to NL stockholders of $6.7 million, or $.14 per share, in the first quarter of 2023. NL results include an unrealized gain of $2.4 million in the first quarter of 2024 related to the change in value of marketable equity securities compared to an unrealized loss of $5.5 million in the first quarter of 2023.
CompX net sales were $38.0 million in the first quarter of 2024 compared to $41.2 million in the first quarter of 2023. CompX net sales decreased due to lower Marine Components sales primarily to the towboat market, partially offset by higher Security Products to the government security market. Income from operations attributable to CompX decreased to $3.7 million in the first quarter of 2024 compared to $7.0 million in the first quarter of 2023 predominantly due to lower Marine Components sales and gross margin.
NL recognized equity in earnings of Kronos of $2.5 million in the first quarter of 2024 compared to equity in losses of Kronos of $4.6 million in the first quarter of 2023. Kronos’ net sales of $478.8 million in the first quarter of 2024 were $52.5 million, or 12%, higher than in the first quarter of 2023. Kronos’ net sales increased in the first quarter of 2024 compared to the first quarter of 2023 due to the net effects of higher sales volumes due to strengthening demand for TiO2 in all its major markets and lower average TiO2 selling prices. TiO2 sales volumes were 28% higher in the first quarter of 2024 as compared to the first quarter of 2023. Kronos started 2024 with average TiO2 selling prices 13% lower than at the beginning of 2023 and its average TiO2 selling prices declined 2% during the first quarter of 2024. Average TiO2 selling prices were 11% lower in the first quarter of 2024 as compared to the first quarter of 2023. Fluctuations in currency exchange rates (primarily the euro) also affected net sales comparisons, increasing Kronos’ net sales by approximately $4 million in first quarter of 2024 as compared to the first quarter of 2023. The table at the end of this press release shows how each of these items impacted Kronos’ net sales.
Kronos’ income from operations in the first quarter of 2024 was $19.5 million as compared to a loss from operations of $18.3 million in the first quarter of 2023. Kronos’ income from operations increased in the first quarter of 2024 compared to the first quarter of 2023 primarily due to the net effects of higher sales and production volumes, lower production costs (primarily energy and raw material costs) and lower average TiO2 selling prices. TiO2 production volumes were 15% higher in the first quarter of 2024 compared to the first quarter of 2023. Kronos operated its production facilities at 76% of practical capacity utilization in the first three