Stock in the News: NL Industries, Inc. (NYSE:NL)

On Monday 20 May 2019, NL Industries, Inc. (NYSE:NL) has shown upward/downward move of -8.00% and ended the last trade at $3.2200. The trading volume was recorded to 16,313 shares as compared to average traded volume of 19,579 shares.

NL Industries, Inc. (NL) recently stated net income attributable to NL stockholders of $2.8M, or $.06 per share, in the fourth quarter of 2018 contrast to net income attributable to NL stockholders of $49.1M, or $1.00 per share, in the fourth quarter of 2017.  For the full year of 2018, NL stated a net loss attributable to NL stockholders of $41.0M, or $.84 per share, contrast to net income attributable to NL stockholders of $116.1M, or $2.38 per share, in 2017.  NL stated a net loss in the full year of 2018Because of the recognition of a $60.9M pre-tax loss on marketable equity securities in as well as the second quarter recognition of a $62.0M pre-tax litigation settlement expense ($1.01 per share, net of income tax benefit) as discussed below.  Net income in the 2017 periods includes the impact of a fourth quarter $37.5M non-cash deferred income tax benefit ($.77 per diluted share) related to the revaluation of the Company`s net deferred income tax liability resulting from the reduction in the U.S. federal corporate income tax rate enacted into law on December 22, 2017.

Kronos` income from operations in the fourth quarter of 2018 was $44.6M as contrast to $121.0M in the fourth quarter of 2017.  For the full year of 2018, Kronos` income from operations was $330.1M as contrast to $347.8M in 2017.  Kronos` income from operations reduced in the fourth quarter of 2018 contrast to the 2017 period primarily Because of the unfavorable effects of lower average TiO2 selling prices, lower sales and production volumes and higher raw materials and other production costs.  Kronos` income from operations reduced in the full year of 2018 contrast to the full year of 2017 primarily Because of the net impact of higher average TiO2 selling prices, lower sales and production volumes and higher raw materials and other production costs.  Kronos` TiO2 production volumes were 8% lower in the fourth quarter and 7% lower in the full year of 2018 as contrast to the same periods in 2017.  Kronos` production facilities operated at 95% of average practical capacity utilization rates in 2018 (95%, 97%, 92% and 95% in the first, second, third and fourth quarters of 2018, respectively) contrast to full practical capacity utilization rates for the comparable periods in 2017.  The decrease in Kronos` TiO2 production volumes in the 2018 periods contrast to the production volumes in the comparable 2017 periods was primarily Because of raised maintenance activities at certain facilities in 2018, and the implementation of a productivity-enhancing improvement project at Kronos` Belgian facility in the first quarter of 2018.  Fluctuations in currency exchange rates also affected income from operations comparisons, which raised income from operations by about $7M in the fourth quarter of 2018 and by about $33M in the full year of 2018 as contrast to the same periods in 2017.

In September 2017, Kronos voluntarily prepaid and terminated its term loan indebtedness using a portion of the proceeds from its September 2017 issuance of €400M principal amount of 3.75% Senior Secured Notes due September 2025.  Kronos` results in the third quarter of 2017 include a non-operating pre-tax charge of $7.1M (NL`s equity interest was $.9M, or $.02 per share, net of income tax benefit) related to such prepayment.

Interest and dividend income raised $.4M in the fourth quarter and $1.5M in the full year of 2018 primarily Because of interest income earned on CompX`s revolving promissory note receivable from Valhi.  As noted above, marketable equity securities in the 2018 periods represent unrealized losses on our marketable equity securities during such periods which are now recognized as a component of other income (expense) starting in 2018 as a result of the January 2018 adoption of a new accounting standard.

Return on assets ratio of the Company was -7.10% and return on equity ratio was -13.60% while its return on investment ratio was -15.60%.The stock as of last trading session moved 9.34% up from its 52 week low and was -67.80% behind its 52 week high.

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