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Forensic Analysis · Chemicals · as of Nov 8, 2026

Kronos Worldwide Inc (KRO)

A forensic read on Kronos Worldwide Inc built from its complete SEC filings — financial-health screens, earnings quality, red flags and a price-aware rating. Reproducible math, not opinion.

D · Weak — demands caution
Forensic grade
Grey Zone
Financial health
2.3
Distress distance
Clean
Earnings quality
3
Forensic signals
-14.1%
ROE
-1.5%
Revenue growth

This free snapshot doesn't read filing or proxy text, so the auditor-quality and governance checks that can lower a grade were not evaluated (auditor quality, say on pay, board independence, going concern). Those checks only ever lower a grade, so the full analysis can land below the grade above but never above it — treat it as the most favourable reading, not the settled one.

Kronos Worldwide Inc earns a D (Weak — demands caution) forensic quality grade, and its balance-sheet distress test reads 2.2, placing it in the Grey zone. 3 forensic signals were flagged in its latest SEC filings, led by return on invested capital.

What the filings flag

-2.0%
FY2025
Return on invested capital. Return on invested capital is -2.0% in the latest fiscal year, against -3.5% in FY2023, having run between -3.5% and 6.0% across FY2023–FY2025 with no direction held. After-tax operating profit was ($44M) in FY2023 and ($29M) in FY2025, with operating income at -3.4% of revenue in FY2023, 6.5% in FY2024 and -2.0% in FY2025. The capital base behind it grew +11% across FY2023–FY2025, from $1.3B to $1.4B, and the return did not fall doing it, so the dollars added over that window earned at least the -3.5% the older base was already earning.
FCF ($40M)
FY2025
Shareholder returns. Returned $23M to shareholders (buybacks + dividends) in FY2025, but free cash flow was ($40M) after capex — there was no free cash flow to fund the payout from at all, though operating cash flow alone was $2M — 920% of that. The entire return is coming from debt or cash reserves, not cash the business itself generated — a harder case than returns merely running ahead of free cash flow, since here there was none to run ahead of.
-58%
FY2024→FY2025
Dividend — cut. The payout was CUT ~58% in FY2025 (from FY2024). It still returns some cash, but it is NOT the dependable, rising dividend an unbroken streak implies.

Key fundamentals

Latest Revenue$1.86B
Revenue Growth YoY-1.5%
Revenue CAGR (2yr)+5.6%
Net Margin-6.0%
Free Cash Flow-$40.4M
Return on Equity-14.1%
Debt / Equity0.74x

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Data from SEC EDGAR public filings · metrics as of Nov 8, 2026. Forensic signals flag probability, not certainty.

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