NL Industries Q1 Net Income $4.3M; CompX Profit $7.1M, Kronos Income Falls to $12.6M
NL Industries posted Q1 net income of $4.3M ($0.09/share) versus $0.7M ($0.01/share), boosted by a $2.7M unrealized gain replacing last year’s $8.5M loss. CompX posted $40.6M sales and $7.1M profit, while Kronos operating income fell to $12.6M on 4% $509.8M revenue, hit by lower TiO2 prices and $6M FX drag.
1. Q1 2026 Consolidated Results
NL Industries recorded net income attributable to stockholders of $4.3 million ($0.09 per share) in the first quarter of 2026, up from $0.7 million ($0.01 per share) in Q1 2025. The quarter’s results included a $2.7 million unrealized gain on marketable equity securities compared to an $8.5 million loss a year earlier.
2. CompX Segment Performance
CompX reported net sales of $40.6 million in Q1 2026, slightly up from $40.3 million in Q1 2025. Segment profit rose to $7.1 million from $5.9 million, driven by higher security products margins from a favorable customer mix and increased marine components sales.
3. Kronos Segment Challenges
Equity losses from Kronos totaled $1.5 million in Q1 2026 versus earnings of $5.5 million in Q1 2025. Kronos net sales grew 4% to $509.8 million but operating income fell to $12.6 million from $38.4 million due to lower average TiO2 prices, reduced volumes and a negative $6 million currency exchange impact.
4. Corporate Expenses and Investment Income
Corporate expenses increased modestly in Q1 2026 due to higher general and administrative costs. Interest and dividend income declined by $0.7 million on lower investment balances and interest rates, while cost-reduction measures at Kronos supported lower production costs.