What caused TX's significant earnings miss in Q4?

Tronox Holdings PLC (TX) missed earnings expectations in Q4 due to softer-than-anticipated market conditions and slower demand recovery late in the quarter, despite continued demand recovery compared to the prior year:

1. **Market Conditions and Demand Recovery**: Tronox's third quarter results showed continued demand recovery compared to the prior year; however, the pace of recovery slowed late in the quarter, resulting in lower-than-expected market conditions. This indicates that while there was a recovery in demand, it did not meet the company's internal expectations.
2. **Orders and Production**: Orders in North America, which are a significant contributor to Tronox's revenue, were affected by the slower recovery. Although the company produced revenue of $804 million, a 21% increase year-over-year, it was a 2% decrease compared to the prior quarter. This suggests that while there was growth, it was not as robust as expected.
3. **Outlook for Q4**: Tronox's outlook for Q4 indicated a decline of approximately 10-15% in TiO2 volumes compared to Q3 2024, which was relatively flat to mid single-digit increase compared to Q4 2023. This implies that the company anticipated a slowdown in volume sales, which could have impacted earnings.

In summary, Tronox's earnings miss in Q4 was primarily due to softer market conditions and a slower demand recovery, coupled with a decline in orders and production volumes, which were not fully anticipated by the company.