Friedman Industries, Incorporated Announces First Quarter Results
Friedman Industries (NASDAQ/GS: FRD) reported strong financial results for Q1 fiscal 2025. The company achieved net earnings of $5.0 million ($0.71 per diluted share) on net sales of $134.8 million, compared to $2.6 million ($0.37 per diluted share) on sales of $114.6 million in the prior year quarter.
Key highlights include a 12% year-over-year increase in tons sold, with total sales volume reaching 141,500 tons plus 19,000 tons of toll processing. The company generated operating cash flow of $15.5 million and reduced debt by $14.7 million. The flat-roll segment contributed $124.1 million in sales with operating earnings of $8.8 million, while the tubular segment recorded $10.7 million in sales with $1.3 million in operating earnings.
Management expects slightly higher sales volume in Q2 FY2026 but anticipates lower margins due to softening HRC prices.
Friedman Industries (NASDAQ/GS: FRD) ha riportato risultati finanziari solidi per il primo trimestre dell'anno fiscale 2025. La societ脿 ha registrato un utile netto di 5,0 milioni di dollari (0,71 dollari per azione diluita) su ricavi netti di 134,8 milioni di dollari, rispetto a 2,6 milioni di dollari (0,37 dollari per azione diluita) su ricavi di 114,6 milioni di dollari nello stesso trimestre dell'anno precedente.
I principali risultati includono un aumento del 12% delle tonnellate vendute rispetto all'anno precedente, con un volume totale di vendita pari a 141.500 tonnellate pi霉 19.000 tonnellate di lavorazione conto terzi. L'azienda ha generato un flusso di cassa operativo di 15,5 milioni di dollari e ha ridotto il debito di 14,7 milioni di dollari. Il segmento flat-roll ha contribuito con 124,1 milioni di dollari di vendite e un utile operativo di 8,8 milioni di dollari, mentre il segmento tubolare ha registrato vendite per 10,7 milioni di dollari con un utile operativo di 1,3 milioni di dollari.
La direzione prevede un leggero aumento del volume delle vendite nel secondo trimestre dell'anno fiscale 2026, ma si aspetta margini inferiori a causa del calo dei prezzi dell'HRC.
Friedman Industries (NASDAQ/GS: FRD) report贸 s贸lidos resultados financieros para el primer trimestre del a帽o fiscal 2025. La empresa alcanz贸 ganancias netas de 5,0 millones de d贸lares (0,71 d贸lares por acci贸n diluida) sobre ventas netas de 134,8 millones de d贸lares, en comparaci贸n con 2,6 millones de d贸lares (0,37 d贸lares por acci贸n diluida) en ventas de 114,6 millones de d贸lares en el mismo trimestre del a帽o anterior.
Los aspectos destacados incluyen un aumento interanual del 12% en toneladas vendidas, con un volumen total de ventas de 141.500 toneladas m谩s 19.000 toneladas de procesamiento por contrato. La empresa gener贸 flujo de caja operativo de 15,5 millones de d贸lares y redujo la deuda en 14,7 millones de d贸lares. El segmento de flat-roll contribuy贸 con 124,1 millones de d贸lares en ventas y ganancias operativas de 8,8 millones de d贸lares, mientras que el segmento tubular registr贸 10,7 millones de d贸lares en ventas con 1,3 millones de d贸lares en ganancias operativas.
La direcci贸n espera un volumen de ventas ligeramente superior en el segundo trimestre del a帽o fiscal 2026, pero anticipa m谩rgenes m谩s bajos debido a la disminuci贸n de los precios del HRC.
頂勲Μ霌滊 鞚鸽崝鞀ろ姼毽 (NASDAQ/GS: FRD)電� 2025 須岅硠鞐半弰 1攵勱赴 臧曤牓頃� 鞛 鞁れ爜鞚� 氤搓碃頄堨姷雼堧嫟. 須岇偓電� 靾滌澊鞚� 500毵� 雼煬 (頋劃 欤茧嫻 0.71雼煬)鞚� 靾滊Г於� 1鞏� 3,480毵� 雼煬搿� 雼劚頄堨溂氅�, 鞚措姅 鞝勲厔 霃欔赴 2.6氚彪 雼煬 (頋劃 欤茧嫻 0.37雼煬), 毵れ稖 1鞏� 1,460毵� 雼煬 雽�牍� 歃濌皜頃� 靾橃箻鞛呺媹雼�.
欤检殧 雮挫毄鞙茧電� 鞝勲厔 雽�牍� 韺愲Г 韱れ垬 12% 歃濌皜臧� 鞛堨溂氅�, 齑� 韺愲Г霟夓潃 141,500韱り臣 19,000韱れ潣 鞕胳＜ 臧�瓿奠潉 韽暔頃╇媹雼�. 須岇偓電� 鞓侅梾 順勱笀 頋愲 1,550毵� 雼煬毳� 彀届稖頃橁碃 攵�毂勲ゼ 1,470毵� 雼煬 臧愳稌頄堨姷雼堧嫟. 韽夗寪 搿�(flat-roll) 攵�氍胳潃 1鞏� 2,410毵� 雼煬鞚� 毵れ稖瓿� 880毵� 雼煬鞚� 鞓侅梾鞚挫澋鞚� 旮半頄堨溂氅�, 甏�順�(tubular) 攵�氍胳潃 1,070毵� 雼煬 毵れ稖瓿� 130毵� 雼煬 鞓侅梾鞚挫澋鞚� 旮半頄堨姷雼堧嫟.
瓴届榿歆勳潃 2026 須岅硠鞐半弰 2攵勱赴鞐� 韺愲Г霟夓澊 雼れ唽 歃濌皜頃� 瓴冹溂搿� 鞓堨儊頃橃毵�, HRC 臧�瓴� 頃橂澖鞙茧 鞚疙暣 毵堨鞚� 臧愳唽頃� 瓴冹溂搿� 鞝勲頃╇媹雼�.
Friedman Industries (NASDAQ/GS : FRD) a annonc茅 de solides r茅sultats financiers pour le premier trimestre de l'exercice 2025. La soci茅t茅 a r茅alis茅 un b茅n茅fice net de 5,0 millions de dollars (0,71 dollar par action dilu茅e) pour un chiffre d'affaires net de 134,8 millions de dollars, contre 2,6 millions de dollars (0,37 dollar par action dilu茅e) sur un chiffre d'affaires de 114,6 millions de dollars au trimestre pr茅c茅dent.
Les points cl茅s incluent une augmentation de 12 % des tonnes vendues en glissement annuel, avec un volume total des ventes atteignant 141 500 tonnes, plus 19 000 tonnes de traitement sous contrat. La soci茅t茅 a g茅n茅r茅 un flux de tr茅sorerie op茅rationnel de 15,5 millions de dollars et r茅duit sa dette de 14,7 millions de dollars. Le segment des produits plats a contribu茅 pour 124,1 millions de dollars de ventes avec un b茅n茅fice op茅rationnel de 8,8 millions de dollars, tandis que le segment tubulaire a enregistr茅 10,7 millions de dollars de ventes avec un b茅n茅fice op茅rationnel de 1,3 million de dollars.
La direction pr茅voit un volume de ventes l茅g猫rement sup茅rieur au deuxi猫me trimestre de l'exercice 2026, mais anticipe des marges plus faibles en raison de la baisse des prix du HRC.
Friedman Industries (NASDAQ/GS: FRD) meldete starke Finanzergebnisse f眉r das erste Quartal des Gesch盲ftsjahres 2025. Das Unternehmen erzielte Nettoeinnahmen von 5,0 Millionen US-Dollar (0,71 US-Dollar pro verw盲sserter Aktie) bei Nettoverk盲ufen von 134,8 Millionen US-Dollar, verglichen mit 2,6 Millionen US-Dollar (0,37 US-Dollar pro verw盲sserter Aktie) bei Verk盲ufen von 114,6 Millionen US-Dollar im Vorjahresquartal.
Zu den wichtigsten Highlights z盲hlt ein 12%iger Anstieg der verkauften Tonnen im Jahresvergleich, mit einem Gesamtverkaufsvolumen von 141.500 Tonnen zuz眉glich 19.000 Tonnen Lohnverarbeitung. Das Unternehmen generierte operative Cashflows von 15,5 Millionen US-Dollar und reduzierte die Schulden um 14,7 Millionen US-Dollar. Das Flachwalzsegment trug mit 124,1 Millionen US-Dollar Umsatz und einem operativen Gewinn von 8,8 Millionen US-Dollar bei, w盲hrend das Rohrsegment 10,7 Millionen US-Dollar Umsatz und 1,3 Millionen US-Dollar operativen Gewinn verzeichnete.
Das Management erwartet f眉r das zweite Quartal des Gesch盲ftsjahres 2026 ein leicht h枚heres Verkaufsvolumen, rechnet jedoch aufgrund sinkender HRC-Preise mit geringeren Margen.
- Net earnings doubled to $5.0 million from $2.6 million year-over-year
- Strong operating cash flow of $15.5 million with significant debt reduction of $14.7 million
- 12% increase in total tons sold year-over-year
- Flat-roll segment earnings from operations increased to $8.8 million from $2.7 million
- Tubular segment turned profitable with $1.3 million earnings vs. $1.2 million loss year-over-year
- Expected margin compression in Q2 FY2026 due to softening HRC prices
- Tubular segment sales volume declined by 10% year-over-year
- Operating expenses increased across all categories
Insights
Friedman Industries posted strong Q1 results with doubled profits, 18% revenue growth, and significant debt reduction despite softening steel prices.
Friedman Industries delivered impressive Q1 FY2026 results, with
The company's operational execution was particularly strong. The flat-roll segment, which represents
Financial health indicators showed notable improvement. Operating cash flow of
Looking at efficiency metrics, gross margin expanded significantly, with cost of materials sold representing
For investors, the company's outlook includes expectations of slightly higher sales volume in Q2 FY2026, though margins are anticipated to contract due to softening hot-rolled coil prices. Despite this near-term headwind, management remains confident in the company's financial position and long-term industry demand, positioning Friedman to potentially capitalize on both short and long-term growth opportunities.
LONGVIEW, Texas, Aug. 07, 2025 (GLOBE NEWSWIRE) -- Friedman Industries, Incorporated (NASDAQ/GS: FRD) announced today its results of operations for the quarter ended June 30, 2025.
June 30, 2025 Quarter Highlights:
- Sales of
$134.8 million with a12% increase in tons sold year-over-year - Net earnings of
$5.0 million - Operating cashflow of
$15.5 million and debt reduction of$14.7 million - Working capital balance of
$117.5 million
鈥淲e are pleased to start our new fiscal year with a strong first quarter performance,鈥� said Michael J. Taylor, President and Chief Executive Officer. 鈥淚mproved margins and solid sales volume drove net earnings of
For the quarter ended June 30, 2025 (the 鈥�2025 quarter鈥�), the Company recorded net earnings of approximately
The table below provides our unaudited statements of operations for the quarters ended June 30, 2025 and 2024:
| SUMMARY OF OPERATIONS (unaudited) | 听 | 听 | 听 | ||||
| (In thousands, except for per share data) | 听 | 听 | 听 | ||||
| 听 | 听 | 听 | 听 | ||||
| 听 | Three Months Ended June 30, | ||||||
| 听 | 2025 | 听 | 2024 | ||||
| 听 | 听 | 听 | 听 | ||||
| Net Sales | $ | 134,777 | 听 | 听 | $ | 114,551 | 听 |
| 听 | 听 | 听 | 听 | ||||
| Costs and expenses: | 听 | 听 | 听 | ||||
| Costs of materials sold (excludes items shown separately below) | 听 | 105,704 | 听 | 听 | 听 | 96,414 | 听 |
| Processing and warehousing expense | 听 | 9,328 | 听 | 听 | 听 | 8,178 | 听 |
| Delivery expense | 听 | 6,400 | 听 | 听 | 听 | 6,051 | 听 |
| Selling, general and administrative expense | 听 | 5,455 | 听 | 听 | 听 | 4,511 | 听 |
| Depreciation and amortization | 听 | 847 | 听 | 听 | 听 | 795 | 听 |
| 听 | 听 | 听 | 听 | ||||
| Earnings (loss) from operations | 听 | 7,043 | 听 | 听 | 听 | (1,398 | ) |
| 听 | 听 | 听 | 听 | ||||
| Gain on economic hedges of risk | 听 | 276 | 听 | 听 | 听 | 5,375 | 听 |
| Interest expense | 听 | (678 | ) | 听 | 听 | (681 | ) |
| Other income | 听 | 4 | 听 | 听 | 听 | 3 | 听 |
| 听 | 听 | 听 | 听 | ||||
| Earnings before income taxes | 听 | 6,645 | 听 | 听 | 听 | 3,299 | 听 |
| 听 | 听 | 听 | 听 | ||||
| Income tax expense | 听 | 1,617 | 听 | 听 | 听 | 732 | 听 |
| 听 | 听 | 听 | 听 | ||||
| Net earnings | $ | 5,028 | 听 | 听 | $ | 2,567 | 听 |
| 听 | 听 | 听 | 听 | ||||
| Net earnings per share: | 听 | 听 | 听 | ||||
| Basic | $ | 0.71 | 听 | 听 | $ | 0.37 | 听 |
| Diluted | $ | 0.71 | 听 | 听 | $ | 0.37 | 听 |
| 听 | 听 | 听 | 听 | 听 | 听 | 听 | 听 |
The table below provides summarized unaudited balance sheets as of June 30, 2025 and March 31, 2025:
| SUMMARIZED BALANCE SHEETS (unaudited) | 听 | 听 | |
| (In thousands) | 听 | 听 | 听 |
| 听 | 听 | 听 | 听 |
| 听 | June 30, 2025 | 听 | March 31, 2025 |
| ASSETS: | 听 | 听 | 听 |
| Current Assets | 157,929 | 听 | 166,467 |
| Noncurrent Assets | 61,149 | 听 | 60,355 |
| Total Assets | 219,078 | 听 | 226,822 |
| 听 | 听 | 听 | 听 |
| LIABILITIES AND STOCKHOLDERS' EQUITY: | 听 | 听 | 听 |
| Current Liabilities | 40,476 | 听 | 38,324 |
| Noncurrent Liabilities | 41,322 | 听 | 56,073 |
| Total Liabilities | 81,798 | 听 | 94,397 |
| 听 | 听 | 听 | 听 |
| Total Stockholders' Equity | 137,280 | 听 | 132,425 |
| 听 | 听 | 听 | 听 |
| Total Liabilities and Stockholders' Equity | 219,078 | 听 | 226,822 |
| 听 | 听 | 听 | 听 |
FLAT-ROLL SEGMENT OPERATIONS
Flat-roll product segment sales for the 2025 quarter totaled approximately
TUBULAR SEGMENT OPERATIONS
Tubular product segment sales for the 2025 quarter totaled approximately
HEDGING ACTIVITIES
We utilize hot-rolled coil (鈥淗RC鈥�) futures to manage price risk on unsold inventory and longer-term fixed price sales agreements. We typically account for our hedging activities under mark-to-market (鈥淢TM鈥�) accounting treatment and all hedging decisions are intended to protect the value of our inventory and produce more consistent financial results over price cycles. With MTM accounting treatment it is possible that hedging related gains or losses might be recognized in a different fiscal year or fiscal quarter than the corresponding improvement or contraction in our physical margins. For the 2025 quarter, we recognized a gain on hedging activities of approximately
OUTLOOK
For the second quarter of fiscal 2026, the Company expects sales volume to be slightly higher than the sales volume for the first fiscal quarter as the Company progresses on its efforts to increase the capacity utilization of its facilities. HRC prices softened at the end of the first quarter and the start of the second quarter. As a result, the Company expects lower margins for the second quarter of fiscal 2026 compared to the first quarter.
鈥淔riedman remains in a strong financial position and ready to capitalize on both short-term and long-term opportunities鈥� Taylor said. 鈥淚 see favorable long-term demand for the industry and believe we have a team uniquely qualified to recognize Friedman鈥檚 full growth potential.鈥�
ABOUT FRIEDMAN INDUSTRIES
Friedman Industries, Incorporated (鈥淐ompany鈥�), headquartered in Longview, Texas, is a manufacturer and processor of steel products with operating plants in Hickman, Arkansas; Decatur, Alabama; East Chicago, Indiana; Granite City, Illinois; Sinton, Texas and Lone Star, Texas. The Company has two reportable segments: flat-roll products and tubular products. The flat-roll product segment consists of the operations in Hickman, Decatur, East Chicago, Granite City and Sinton where the Company processes hot-rolled steel coils. The Hickman, East Chicago and Granite City facilities operate temper mills and corrective leveling cut-to-length lines. The Sinton and Decatur facilities operate stretcher leveler cut-to-length lines. The tubular product segment consists of the operations in Lone Star where the Company manufactures electric resistance welded pipe and distributes pipe through its Texas Tubular Products division.
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CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS
This news release contains forward-looking statements within the meaning of Section 27A of the Securities Act and Section 21E of the Exchange Act, and such statements involve risk and uncertainty. Forward-looking statements include those preceded by, followed by or including the words 鈥渨ill,鈥� 鈥渆xpect,鈥� 鈥渋ntended,鈥� 鈥渁nticipated,鈥� 鈥渂elieve,鈥� 鈥減roject,鈥� 鈥渇orecast,鈥� 鈥減ropose,鈥� 鈥減lan,鈥� 鈥渆stimate,鈥� 鈥渆nable,鈥� and similar expressions, including, for example, statements about our business strategy, our industry, our future profitability, growth in the industry sectors we serve, our expectations, beliefs, plans, strategies, objectives, prospects and assumptions, future production capacity and product quality.听 These forward-looking statements may include, but are not limited to, everything under the header 鈥淥utlook鈥� above, including sales volumes, margins, hedging results, and potential price increases, expectations as to financial results during the Company鈥檚 upcoming fiscal quarters, future changes in the Company鈥檚 financial condition or results of operations, future production capacity, product quality and proposed expansion plans. Forward-looking statements may be made by management orally or in writing including, but not limited to, this news release.听听
Forward-looking statements are not guarantees of future performance. These statements are based on management鈥檚 expectations that involve a number of business risks and uncertainties, any of which could cause actual results to differ materially from those expressed in or implied by the forward-looking statements. Although forward-looking statements reflect our current beliefs, reliance should not be placed on forward-looking statements because they involve known and unknown risks, uncertainties and other factors, which may cause our actual results, performance or achievements to differ materially from anticipated future results, performance or achievements expressed or implied by such forward-looking statements.
Actual results and trends in the future may differ materially depending on a variety of factors including, but not limited to, changes in the demand for and prices of the Company鈥檚 products, changes in government policy regarding steel, changes in the demand for steel and steel products in general and the Company鈥檚 success in executing its internal operating plans, changes in and availability of raw materials, our ability to satisfy our take or pay obligations under certain supply agreements, unplanned shutdowns of our production facilities due to equipment failures or other issues, increased competition from alternative materials and risks concerning innovation, new technologies, products and increasing customer requirements. Accordingly, undue reliance should not be placed on our forward-looking statements. Such risks and uncertainty are also addressed in our Management鈥檚 Discussion and Analysis of Financial Condition and Results of Operations and other sections of the Company鈥檚 filings with the U.S. Securities and Exchange Commission (the 鈥淪EC鈥�) under the Securities Act of 1933, as amended, and the Securities Exchange Act of 1934, as amended (the 鈥淓xchange Act鈥�), including the Company鈥檚 Annual Report on Form 10-K and its other Quarterly Reports on Form 10-Q.听We undertake no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events, changed circumstances or otherwise, except to the extent law requires.
For further information, please refer to the Company's Form 10-Q as filed with the SEC on August 7, 2025 or contact Alex LaRue, Chief Financial Officer 鈥� Secretary and Treasurer, at (903)758-3431.
FAQ
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