v3.25.1
Note 12 - Industry Segment Data
 12 Months Ended
Mar. 31, 2025
Notes to Financial Statements  
Segment Reporting Disclosure [Text Block]

12.   INDUSTRY SEGMENT DATA

 

The Company is engaged in the steel processing, pipe manufacturing and processing and steel and pipe distribution business. Within the Company, there are two product groups: flat-roll and tubular. The Company’s flat-roll operations consist primarily of converting steel coils into flat sheet and plate steel cut to customer specifications. Through its tubular operations, the Company purchases, processes, manufactures and markets tubular products.

 

Segment results are reviewed regularly by the Company’s Chief Operating Decision Makers (“CODMs”). The Company’s CODMs are comprised of the Chief Executive Officer and the Chief Financial Officer. The CODMs assess segment performance and allocate resources based on a number of factors with the most emphasis placed on earnings from operations.

 

The following is a summary of significant financial information relating to the product groups (in thousands):

 

  

Year Ended March 31, 2025

 
  

Flat-roll

  

Tubular

   Other  

Total

 

Net Sales

 $404,644  $39,956   —  $444,600 
Cost and expenses:                

Cost of materials sold

  334,426   31,222   —   365,648 

Processing and warehousing expense

  24,544   8,933   —   33,477 

Delivery expense

  22,563   665   —   23,228 

Commercial expense

  6,301   755   —   7,056 
Depreciation and amortization  2,869   304   118   3,291 
General corporate expenses  —   —   9,115   9,115 
   390,703   41,879   9,233   441,815 

Gain (loss) on disposal of property, plant and equipment

  (222)  480   —   258 

EARNINGS (LOSS) FROM OPERATIONS:

  13,719   (1,443)  (9,233)  3,043 

Gain on economic hedges of risk

              7,598 

Interest expense

              (2,953)

Other income

              5 

EARNINGS BEFORE INCOME TAXES

             $7,693 
                 
  

Year Ended March 31, 2024

 
  

Flat-roll

  

Tubular

   Other  

Total

 

Net Sales

 $472,774  $43,477   —  $516,251 
Cost and expenses:                

Cost of materials sold

  381,591   30,804   —   412,395 

Processing and warehousing expense

  23,300   8,138   —   31,438 

Delivery expense

  23,194   597   —   23,791 

Commercial expense

  8,857   644   —   9,501 

Depreciation and amortization

  2,637   317   116   3,070 
General corporate expenses  —   —   11,538   11,538 
   439,548   40,497   11,688   491,733 
EARNINGS (LOSS) FROM OPERATIONS:  33,226   2,980   (11,688)  24,518 

Gain on economic hedges of risk

              1,848 

Interest expense

              (3,072)

Other income

              20 

EARNINGS BEFORE INCOME TAXES

             $23,314 
                 
            
  

Year Ended March 31,

         
  

2025

  

2024

         

IDENTIFIABLE ASSETS:

                

Flat-roll

 $204,890  $205,797         

Tubular

  16,792   19,589         
   221,682   225,386         

General corporate assets

  5,140   4,633         

TOTAL ASSETS

 $226,822  $230,019         
                 

CAPITAL EXPENDITURES:

                

Flat-roll

 $3,823  $5,176         

Tubular

  179   510         

Corporate and other

  —   106         
TOTAL CAPITAL EXPENDITURES $4,002  $5,792         

 

General corporate expenses reflect general and administrative expenses not directly associated with segment operations and consist primarily of corporate and accounting salaries, professional fees and services, retirement plan contribution expense, corporate insurance expenses, restricted stock plan compensation expense and office supplies. At March 31, 2025 and 2024, corporate assets consisted primarily of cash, restricted cash, leased administrative office right-of-use assets, unamortized debt issuance costs and the cash value of officers’ life insurance. Although inventory is transferred at cost between product groups, there are no sales between product groups.