Valhi, Inc. reported net income attributable to stockholders of $57.5 million, or $2.01 per diluted share, for the third quarter of 2024. This marks a significant improvement compared to a net loss of $5.8 million, or $0.21 per diluted share, in the third quarter of 2023. The increase was primarily due to higher operating results from the Chemicals Segment and a non-cash gain related to an acquisition.
The Chemicals Segment's net sales increased by 22% to $484.7 million in the third quarter of 2024, driven by 21% higher sales volumes, partially offset by 1% lower average TiO2 selling prices. Operating income for the Chemicals Segment reached $42.6 million, a substantial turnaround from an operating loss of $21.8 million in the prior-year period. This improvement was attributed to higher sales and production volumes, along with lower production costs.
A key factor in the quarter's results was the acquisition of the remaining 50% joint venture interest in Louisiana Pigment Company, L.P. (LPC) on July 16, 2024, making it a wholly-owned subsidiary. This acquisition resulted in a non-cash gain of $64.5 million, contributing $1.18 per share to net income. The Component Products Segment saw net sales decrease to $33.6 million, while the Real Estate Management and Development Segment's sales fell to $15.3 million due to slower development activity.
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