Friedman Industries(FRD)2025-02-07 21:37Financial Performance - The company reported a net loss of approximately $1.2 million ($0.17 diluted loss per share) on sales of approximately $94.1 million for the quarter ended December 31, 2024, compared to net earnings of approximately $1.2 million ($0.16 diluted earnings per share) on sales of approximately $116.0 million for the same quarter in 2023[3]. - Flat-roll segment sales totaled approximately $86.1 million, down from approximately $106.4 million in the prior year, with operating profits decreasing from $8.7 million to $1.3 million[8]. - Tubular segment sales were approximately $7.9 million, down from approximately $9.5 million, with operating losses of approximately $0.2 million compared to a loss of $0.1 million in the previous year[9]. Sales and Order Activity - Sales backlog volume at quarter-end was 11% higher year over year, indicating continued strength in new order activity[2]. - The company expects fourth quarter sales volume for fiscal 2025 to be higher than the third quarter due to stronger order activity and improving market conditions[11]. Cash Flow and Debt Management - Operating cash flow during the quarter was approximately $2.7 million, and the company reduced its debt by 9%[5]. - The working capital balance at quarter-end was approximately $107 million, reflecting a solid financial position[5]. Asset and Liability Management - Total assets decreased from $230.0 million as of March 31, 2024, to $210.3 million as of December 31, 2024[7]. - Total liabilities decreased from $102.5 million to $82.9 million during the same period, indicating improved financial health[7]. Market Conditions - HRC prices were stable at the start of the fourth quarter but began to increase, with expectations for further price increases during the second half of the quarter[11].