Like a B2B version of 3M, specializing in locks for a wide range of applications and components for performance boats.

• Locking Mechanisms: Manufactures and sells a variety of mechanical and electronic cabinet locks and other locking mechanisms for diverse industrial and commercial applications.
• Performance Boat Components: Produces original equipment and aftermarket components for performance and ski/wakeboard boats, including exhaust systems, gauges, controls, throttles, and various billet aluminum accessories.
• Insurance & Risk Management Services: Provides insurance brokerage and risk management services.

NL Industries, Inc. (symbol: NL) sells its component products primarily to other companies.

The provided background information does not disclose the specific names of its major customer companies. However, based on the description, its major customers fall into the following categories:

• Original Equipment Manufacturers (OEMs): These are companies that integrate NL Industries' mechanical and electronic locks (for applications such as ignition systems, mailboxes, file cabinets, desk drawers, tool storage cabinets, integrated inventory and access control secured narcotics boxes, vending and cash containment machines, medical cabinetry, electronic circuit panels, storage compartments, and gas station security) and marine components (such as exhaust headers, gauges, controls, wake enhancement devices, and other accessories primarily for performance and ski/wakeboard boats) into their own finished products.
• Distributors: These companies purchase NL Industries' component products for resale to other businesses, including the aftermarket.

Courtney J. Riley, President, Chief Executive Officer, and Director

Ms. Riley has served as President of NL Industries, Inc. since May 18, 2017. Her leadership is focused on the overall strategic direction, operational leadership, and financial performance of the company, and she is known for her ability to navigate complex market dynamics and drive growth initiatives.

Amy Allbach Samford, Executive Vice President, Chief Financial Officer, and Principal Financial Officer

Ms. Samford is responsible for NL Industries, Inc.'s overall financial strategy, management, and reporting. Her role includes overseeing all financial operations such as accounting, treasury, financial planning and analysis, investor relations, and capital management, which are crucial for the company's financial health and stability.

Andrew B. Nace, Executive Vice President

Mr. Nace holds the position of Executive Vice President at NL Industries, Inc.

Bryan A. Hanley, Senior Vice President and Treasurer

Mr. Hanley is responsible for managing the company's treasury operations, including cash management, liquidity, debt financing, and investment activities, ensuring NL Industries, Inc. has sufficient financial resources for its operations and strategic goals.

Kristin B. McCoy, Executive Vice President, Tax

Ms. McCoy oversees all aspects of NL Industries, Inc.'s tax strategy, planning, compliance, and reporting, navigating complex tax regulations to ensure tax-efficient operations and full compliance.

Here are the key risks to NL Industries, Inc.'s business:

1. Economic Sensitivity of Discretionary Products: A substantial portion of NL Industries' component products, particularly those manufactured by its subsidiary CompX International Inc., are geared towards performance and ski/wakeboard boats. As these are discretionary consumer goods, demand for such components is highly susceptible to economic downturns, changes in consumer spending habits, and overall trends in recreational boating, which can significantly impact the company's revenue and profitability.

2. Competition and Technological Obsolescence in Component Products: The markets for both mechanical/electronic locks and marine/automotive components are competitive. NL Industries faces the risk of intense competition from other manufacturers, which could put pressure on pricing and market share. Furthermore, a failure to continuously innovate and adapt to technological advancements in security systems or marine technology could lead to its products becoming obsolete, diminishing demand.

3. Fluctuations in Raw Material Costs: As a manufacturer of products made from materials like stainless steel and billet aluminum (e.g., exhaust systems, locks, and accessories), NL Industries is exposed to volatility in the prices of key raw materials. Significant increases in raw material costs could impact production expenses and subsequently squeeze profit margins if these costs cannot be fully passed on to customers.

1. Electrification of the Marine Industry: A substantial portion of NL Industries' component products business supplies exhaust systems, gauges, and controls primarily for performance and ski/wakeboard boats, which are traditionally powered by internal combustion engines. The emerging trend of electric propulsion in the marine industry, similar to the automotive sector, poses a clear threat by potentially rendering many of these internal combustion engine-dependent components obsolete or significantly reducing their demand.

2. Digitalization and Insurtech in Insurance Brokerage: NL Industries also operates in insurance brokerage and risk management services. The insurance industry is experiencing significant disruption from insurtech companies utilizing digital platforms, artificial intelligence, and automation to offer more efficient, direct, and data-driven solutions. This trend threatens traditional insurance brokerage models by potentially reducing the need for or competitiveness of conventional brokers.

NL Industries, Inc. (NLI) operates in diverse markets, manufacturing locks and marine products, and offering insurance brokerage services. The addressable markets for its main products and services are sized as follows:

Locks and Locking Mechanisms

• The global locks market was estimated at USD 38.8 billion in 2025 and is expected to grow to USD 65.1 billion by 2035.
• The U.S. locks industry was valued at USD 9.8 billion in 2025.
• More specifically, the global cabinet locks market size reached USD 2.84 billion in 2024 and is projected to reach USD 4.63 billion by 2033. North America's cabinet locks market was approximately USD 0.82 billion in 2024.
• The United States Cabinet Lock Market reached approximately USD 1.52 billion in 2025 and is estimated to attain USD 3.25 billion by 2034.
• The global electronic lock market was valued at US$ 2.3 billion in 2024 and is predicted to reach US$ 8.09 billion by the end of 2034. Demand for electronic locks in the United States is projected to reach US$ 1.49 billion by the end of 2034.
• The global smart lock market size was estimated at USD 2.77 billion in 2024 and is projected to reach USD 8.14 billion by 2030. North America was the largest revenue-generating market in 2024, accounting for 39.5% of this market.
• The global mechanical locks market size was valued at USD 12.68 billion in 2025, with North America dominating this market with a share of 37.85% in 2025. The U.S. mechanical locks market size reached USD 3.62 billion in 2025.

Marine Products (Exhaust Systems, Gauges, Controls, and Accessories for Boats)

• The global Marine Exhaust Systems Market is estimated at USD 2.23 billion in 2026 and is projected to grow to USD 3.19 billion by 2035.
• The global boat accessory market reached USD 6.89 billion in 2024 and is projected to reach USD 10.92 billion by 2033. North America is the largest regional market for boat accessories, accounting for USD 2.45 billion of the global market in 2024.
• The global watercraft accessories market was valued at USD 16.8 billion in 2025 and is projected to reach USD 28.6 billion by 2034. North America dominated this market in 2025, accounting for 38.2% of total revenues, equivalent to approximately USD 6.4 billion.
• The U.S. recreational boating market's spending on aftermarket accessories and boating outings reached $24.5 billion in 2024.

Insurance Brokerage and Risk Management Services

• The global insurance brokerage market size was estimated at USD 342.92 billion in 2025 and is predicted to increase to approximately USD 818.12 billion by 2035. North America led the global insurance brokerage market with the largest market share of 34% in 2025.
• The U.S. insurance brokerage market size was evaluated at USD 87.44 billion in 2025 and is anticipated to reach around USD 214.15 billion by 2035.
• A more specific market, the Risk Management, Insurance Advisory & Consulting in the U.S. market, was valued at $10.2 billion in 2024 and $10.3 billion in 2025.

NL Industries, Inc. (NYSE: NL) is expected to drive future revenue growth over the next two to three years primarily through the performance of its majority-owned subsidiary, CompX International Inc. The key drivers are anticipated to be:

1. Continued Growth in the Marine Components Segment: CompX International's Marine Components segment has demonstrated a significant turnaround and impressive growth, particularly in the towboat, government, and industrial markets. This segment is expected to continue contributing positively to revenue.
2. Increased Demand from Government and Industrial Markets for Security Products: The Security Products segment of CompX International has experienced rising revenue, driven primarily by higher sales to the government security market and the gas station security market. This trend is anticipated to persist and contribute to future revenue.
3. Favorable Product and Customer Mix within Security Products: Despite some fluctuations in sales volume, the Security Products segment has seen improved operating income and gross margins due to a more favorable customer and product mix. This indicates a strategic focus on higher-value offerings or more profitable customer relationships, which is expected to enhance revenue quality and growth.
4. Sustained Sales to Key Customer Verticals within Security Products: Stronger sales to specific customer groups, such as tool storage and institutional furniture customers, have been noted to offset declines in other areas within Security Products. Continued or expanded engagement with these key verticals is expected to support revenue generation.

Share Issuance

• On May 14, 2026, John E. Harper, a director, was granted 6,000 shares of NL Industries common stock at a value of $6.67 per share. These shares were issued for no cash consideration under the NL Industries, Inc. 2023 Non-Employee Director Stock Plan.

Outbound Investments

• Effective July 16, 2024, Kronos Worldwide, Inc., in which NL Industries holds a significant non-controlling interest, acquired the remaining 50% joint venture interest in Louisiana Pigment Company, L.P. (LPC) from Venator Investments, Ltd. for $185 million, subject to a working capital adjustment.
• Following this acquisition, LPC became a wholly-owned subsidiary of Kronos, and in 2025, LPC merged into Kronos Louisiana, Inc.