Kronos Worldwide (NYSE: KRO) shares plummeted 7.20% in the 24-hour period ending Thursday evening, following the release of disappointing third-quarter 2025 financial results. The titanium dioxide producer reported a net loss of $37.0 million, or $0.32 per share, compared to net income of $71.8 million, or $0.62 per share, in the same quarter last year.

The company's poor performance was primarily attributed to lower production volumes, resulting in reduced absorption of fixed production costs, and lower average TiO2 selling prices. Net sales for the quarter fell 6% year-over-year to $456.9 million, missing analyst expectations. Kronos Worldwide also reported an operating loss of $19.2 million, compared to operating income of $38.9 million in Q3 2024.

Adding to the negative sentiment, Kronos Worldwide faced challenges from global economic uncertainty, U.S. trade policies, and geopolitical tensions, which prolonged the market downturn and impacted sales volumes and pricing momentum. The company's TiO2 segment reported a loss of $15.3 million in Q3 2025, compared to a profit of $43.4 million in the same period last year. These factors, combined with a non-cash deferred income tax expense of $19.3 million due to new German tax legislation, contributed to the significant stock price decline.