Document And Entity Information
Document And Entity Information - shares | 9 Months Ended | |
Dec. 31, 2022 | Feb. 23, 2023 | |
Document Information [Line Items] | ||
Entity Central Index Key | 0000039092 | |
Entity Registrant Name | FRIEDMAN INDUSTRIES INC | |
Amendment Flag | false | |
Current Fiscal Year End Date | --03-31 | |
Document Fiscal Period Focus | Q3 | |
Document Fiscal Year Focus | 2023 | |
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Dec. 31, 2022 | |
Document Transition Report | false | |
Entity File Number | 1-7521 | |
Entity Incorporation, State or Country Code | TX | |
Entity Tax Identification Number | 74-1504405 | |
Entity Address, Address Line One | 121 Judson Road, Suite 124 | |
Entity Address, City or Town | Longview | |
Entity Address, State or Province | TX | |
Entity Address, Postal Zip Code | 75601 | |
City Area Code | 903 | |
Local Phone Number | 758-3431 | |
Title of 12(b) Security | Common Stock, $1 Par Value | |
Trading Symbol | FRD | |
Security Exchange Name | NYSE | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 7,375,588 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets (Current Period Unaudited) - USD ($) | Dec. 31, 2022 | Mar. 31, 2022 |
CURRENT ASSETS: | ||
Cash | $ 3,544,508 | $ 2,598,102 |
Accounts receivable, net of allowances for bad debts and cash discounts of $99,819 at December 31, and March 31, 2022 | 43,072,920 | 35,670,657 |
Inventories | 97,834,103 | 67,946,122 |
Current portion of derivative assets | 808,820 | 4,240,740 |
Other current assets | 3,096,007 | 14,906,194 |
TOTAL CURRENT ASSETS | 148,356,358 | 125,361,815 |
PROPERTY, PLANT AND EQUIPMENT: | ||
Land | 1,669,831 | 1,179,831 |
Buildings and yard improvements | 30,664,230 | 8,581,676 |
Machinery and equipment | 48,495,480 | 30,422,066 |
Construction in process | 832,761 | 15,925,306 |
Less accumulated depreciation | (27,882,265) | (26,002,820) |
Property, plant, and equipment, net | 53,780,037 | 30,106,059 |
OTHER ASSETS: | ||
Cash value of officers’ life insurance and other assets | 464,892 | 157,248 |
Operating lease right-of-use asset | 1,281,996 | 113,168 |
Deferred income tax asset | 0 | 2,133,295 |
Income taxes recoverable | 0 | 1,403,485 |
TOTAL ASSETS | 203,883,283 | 159,275,070 |
CURRENT LIABILITIES: | ||
Accounts payable and accrued expenses | 42,378,677 | 44,803,602 |
Dividends payable | 147,512 | 137,120 |
Contribution to retirement plan | 350,000 | 250,000 |
Employee compensation and related expenses | 2,258,823 | 1,085,676 |
Income taxes payable | 2,631,006 | 0 |
Current portion of financing lease | 106,214 | 104,689 |
Current portion of derivative liability | 649,700 | 14,429,520 |
TOTAL CURRENT LIABILITIES | 48,521,932 | 60,810,607 |
POSTRETIREMENT BENEFITS OTHER THAN PENSIONS | 96,535 | 119,591 |
DEFERRED INCOME TAX LIABILITY | 820,960 | 0 |
OTHER NON-CURRENT LIABILITIES | 1,274,431 | 221,767 |
ASSET BASED LENDING FACILITY | 44,510,967 | 18,436,457 |
TOTAL LIABILITIES | 95,224,825 | 79,588,422 |
COMMITMENTS AND CONTINGENCIES | ||
STOCKHOLDERS’ EQUITY: | ||
Common stock, par value $1: Authorized shares — 10,000,000; Issued shares — 8,868,716 shares and 8,344,975 shares at December 31, and March 31, 2022, respectively | 8,868,716 | 8,344,975 |
Additional paid-in capital | 34,926,801 | 30,442,361 |
Accumulated other comprehensive loss | (846,905) | (10,268,509) |
Treasury stock at cost (1,493,128 shares and 1,488,966 shares at December 31, and March 31, 2022, respectively) | (7,777,769) | (7,741,197) |
Retained earnings | 73,487,615 | 58,909,018 |
TOTAL STOCKHOLDERS’ EQUITY | 108,658,458 | 79,686,648 |
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY | $ 203,883,283 | $ 159,275,070 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Current Period Unaudited) (Parentheticals) - USD ($) | Dec. 31, 2022 | Mar. 31, 2022 |
Allowances for bad debts and cash discounts | $ 99,819 | $ 99,819 |
Common stock, par value (in dollars per share) | $ 1 | $ 1 |
Common stock, shares authorized (in shares) | 10,000,000 | 10,000,000 |
Common stock, shares issued (in shares) | 8,868,716 | 8,334,975 |
Treasury stock, shares (in shares) | 1,493,128 | 1,488,966 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations (Unaudited) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | |
Net Sales | $ 111,860,093 | $ 51,655,943 | $ 423,355,592 | $ 210,143,277 |
Costs and expenses: | ||||
Costs of products sold | 105,730,259 | 55,259,964 | 393,875,438 | 166,722,381 |
Selling, general and administrative | 4,700,850 | 1,994,242 | 15,661,476 | 10,634,407 |
Costs and Expenses, Total | 110,431,109 | 57,254,206 | 409,536,914 | 177,356,788 |
EARNINGS (LOSS) FROM OPERATIONS | 1,428,984 | (5,598,263) | 13,818,678 | 32,786,489 |
Interest expense | (447,551) | (58,385) | (1,498,147) | (153,891) |
Other income (loss), net | 826,039 | 1,727,134 | 7,349,916 | (4,801,121) |
EARNINGS (LOSS) BEFORE INCOME TAXES | 1,807,472 | (3,929,514) | 19,670,447 | 27,831,477 |
Provision for (benefit from) income taxes: | ||||
Current | 447,995 | (855,309) | 4,686,413 | 6,639,198 |
Deferred | (16,416) | (112,372) | (47,141) | (335,299) |
Income Tax Expense (Benefit), Total | 431,579 | (967,681) | 4,639,272 | 6,303,899 |
NET EARNINGS (LOSS) | $ 1,375,893 | $ (2,961,833) | $ 15,031,175 | $ 21,527,578 |
Net earnings (loss) per share: | ||||
Basic (in dollars per share) | $ 0.19 | $ (0.45) | $ 2.06 | $ 3.12 |
Diluted (in dollars per share) | 0.19 | (0.45) | 2.06 | 3.12 |
Cash dividends, per share (in dollars per share) | $ 0.02 | $ 0.02 | $ 0.06 | $ 0.06 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | |
Net earnings | $ 1,375,893 | $ (2,961,833) | $ 15,031,175 | $ 21,527,578 |
Other comprehensive income: | ||||
Cash flow hedges, net of tax | 669,454 | 13,795,418 | 9,421,604 | 4,329,266 |
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent, Total | 669,454 | 13,795,418 | 9,421,604 | 4,329,266 |
Comprehensive income | $ 2,045,347 | $ 10,833,585 | $ 24,452,779 | $ 25,856,844 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) | 3 Months Ended | 9 Months Ended | 21 Months Ended | ||||||
Dec. 31, 2022 | Jun. 30, 2022 | Dec. 31, 2021 | Jun. 30, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2022 | |||
OPERATING ACTIVITIES | |||||||||
Net earnings | $ 1,375,893 | $ 11,184,374 | $ (2,961,833) | $ 11,311,797 | $ 15,031,175 | $ 21,527,578 | |||
Adjustments to reconcile net earnings to cash provided by (used in) operating activities: | |||||||||
Depreciation | 1,879,445 | 994,209 | |||||||
Deferred taxes | (16,416) | (112,372) | (47,141) | (335,299) | |||||
Compensation expense for restricted stock | 224,481 | 375,935 | |||||||
Change in postretirement benefits | 8,237 | 6,559 | |||||||
Gain recognized on open derivatives not designated for hedge accounting | (1,353,520) | (1,238,320) | |||||||
Deferred realized gain (loss) on derivatives | 3,155,821 | (3,393,260) | |||||||
Forgiveness of Paycheck Protection Program Loan | 0 | (1,706,614) | |||||||
Decrease (increase) in operating assets, net of amounts acquired in business combination: | |||||||||
Accounts receivable | (7,402,263) | (5,865,531) | |||||||
Inventories | 47,658,608 | (48,538,400) | |||||||
Federal income taxes recoverable | 1,403,485 | 0 | |||||||
Other current assets | 426,712 | (667,196) | |||||||
Increase (decrease) in operating liabilities, net of amounts acquired in business combination: | |||||||||
Accounts payable and accrued expenses | (20,790,614) | 17,415,657 | |||||||
Income taxes payable | 2,631,006 | (206,842) | |||||||
Contribution to retirement plan | 100,000 | 150,000 | |||||||
Employee compensation and related expenses | 1,173,147 | (1,455,785) | |||||||
NET CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES | 44,098,579 | (22,937,309) | |||||||
INVESTING ACTIVITIES | |||||||||
Purchase of property, plant and equipment | (8,278,891) | (7,350,081) | |||||||
Proceeds on sale from assets | 0 | 160,542 | |||||||
Increase in cash surrender value of officers’ life insurance | (10,389) | (8,686) | |||||||
NET CASH USED IN INVESTING ACTIVITIES | (80,009,488) | (7,198,225) | |||||||
FINANCING ACTIVITIES | |||||||||
Debt issuance cost | (328,548) | 0 | |||||||
Cash dividends paid | (442,186) | (414,092) | |||||||
Cash paid for principal portion of finance lease | (78,327) | (76,831) | |||||||
Cash paid for share repurchases | (36,572) | (102,075) | |||||||
Asset based lending facility proceeds | 26,074,510 | 15,187,824 | |||||||
NET CASH PROVIDED BY FINANCING ACTIVITIES | 25,188,877 | 14,594,826 | |||||||
DECREASE IN CASH AND RESTRICED CASH | (10,722,032) | (15,540,708) | |||||||
CASH AND RESTRICTED CASH AT BEGINNING OF PERIOD | $ 16,121,518 | $ 20,192,486 | 16,121,518 | 20,192,486 | $ 20,192,486 | ||||
CASH AND RESTRICTED CASH AT END OF PERIOD | $ 5,399,486 | $ 4,651,778 | [1] | 5,399,486 | 4,651,778 | [1] | $ 5,399,486 | ||
Plateplus Inc. [Member] | |||||||||
INVESTING ACTIVITIES | |||||||||
Plateplus business combination | $ (71,720,208) | $ 0 | |||||||
[1]Cash and restricted cash at June 30, 2022 and March 31, 2022 included $1,320,670 and $13,523,416, respectively, of cash required to collateralize open derivative positions. These amounts are reported in "Other current assets" on the Company's consolidated balance sheets at June 30, 2022 and March 31, 2022. The Company had $29,360,060 in restricted cash at June 30, 2021. |
Condensed Consolidated Statem_4
Condensed Consolidated Statements of Cash Flows (Unaudited) (Parentheticals) | Dec. 31, 2021 USD ($) |
Cash Margin | $ 13,523,416 |
Restricted Cash | $ 1,585,350 |
Note A - Basis of Presentation
Note A - Basis of Presentation | 9 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block] | NOTE A — BASIS OF PRESENTATION The accompanying unaudited, condensed consolidated financial statements have been prepared in accordance with the instructions to Form 10 not 10 March 31, 2022 Business Combinations The results of a business acquired in a business combination are included in the Company’s financial statements from the date of acquisition. The Company allocates the purchase price to the identifiable assets and liabilities of the acquired business at their acquisition date fair values. The excess of the purchase price over the amount allocated to the identifiable assets and liabilities, if any, is recorded as goodwill. Determining the fair value of assets acquired and liabilities assumed requires management to make significant judgments and estimates, including the selection of valuation methodologies, estimates of future revenue and cash flows, discount rates and selection of comparable companies. Acquisition-related transaction costs are expensed in the period in which the costs are incurred. Please refer to Note B for additional discussion of the acquisition completed by the Company during the quarter ended June 30, 2022. Reclassifications The unaudited condensed consolidated financial statements for the previous year may Interest expense Earnings (Loss) From Operations no |
Note B - Business Combinations
Note B - Business Combinations | 9 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Business Combination Disclosure [Text Block] | NOTE B — BUSINESS COMBINATIONS On April 30, 2022, ( The Transaction resulted in the Company acquiring the assets noted above, for a total consideration of $76.5 million, of which $71.7 million was cash consideration and $4.8 million related to 516,041 shares of the Company's common stock issued to the Seller. The fair value of the 516,041 shares issued was determined based on the closing market price of the Company’s common stock on April 29, 2022, September 30, 2022 The Transaction was accounted for using the acquisition method of accounting, in accordance with Topic 805, Business Combinations no Fair value of assets acquired and liabilities assumed Inventory $ 77,546,000 Property, plant and equipment 18,022,000 Operating lease right-of-use asset 1,237,097 Accounts payable (19,065,000 ) Operating lease liability (1,237,097 ) Total $ 76,503,000 The following unaudited pro forma consolidated operating results give effect to the Transaction as if it had been completed as of April 1, 2021. not Three Months Ended December 31, Nine Months Ended December 31, 2022 2021 2022 2021 Net sales $ 111,860,093 $ 122,495,733 $ 442,756,025 $ 391,652,365 Earnings (loss) from operations $ 981,433 $ (20,068,874 ) $ 12,291,240 $ 14,918,837 Our consolidated statements of operations for the three nine December 31, 2022, August 31, 2022 no three December 31, 2022. nine December 31, 2022, not not three December 31, 2022. nine December 31, 2022, |
Note C - Inventories
Note C - Inventories | 9 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Inventory Disclosure [Text Block] | NOTE C — INVENTORIES Inventories consist of prime coil, non-standard coil and tubular materials. Prime coil inventory consists primarily of raw materials, non-standard coil inventory consists primarily of raw materials and tubular inventory consists of both raw materials and finished goods. Cost for prime coil inventory is determined using the average cost method. Cost for non-standard coil inventory is determined using the specific identification method. Cost for tubular inventory is determined using the average cost method. All inventories are valued at the lower of cost or net realizable value. A summary of inventory values by product group follows: December 31, 2022 March 31, 2022 Prime Coil Inventory $ 89,007,944 $ 50,482,022 Non-Standard Coil Inventory 295,925 1,063,374 Tubular Raw Material 4,542,470 9,049,598 Tubular Finished Goods 3,987,764 7,351,128 $ 97,834,103 $ 67,946,122 Tubular raw material inventory consists of hot-rolled steel coils that the Company will manufacture into pipe. Tubular finished goods inventory consists of pipe the Company has manufactured. |
Note D - Debt
Note D - Debt | 9 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Debt Disclosure [Text Block] | NOTE D – DEBT On June 22, 2021, nine December 31, 2021. On March 8, 2021, July 15, 2021 April 12, 2021, first $10 May 19, 2021, March 11, 2022, first April 29, 2022, July 6, 2022, one third May 19, 2026 1.00 twelve may December 31, 2022 December 31, 2022 The Company incurred debt issuance costs of $239,887 in connection with the Second Amendment to the ABL Facility and $154,000 in connection with the Third Amendment to the ABL Facility. The Company recorded these debt issuance costs as non-current other assets and will amortize these costs on an equal monthly basis over the remaining term of the ABL facility. |
Note E - Leases
Note E - Leases | 9 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Lessee, Operating Leases [Text Block] | NOTE E — LEASES The Company was assigned an operating lease associated with the real property and leasehold improvements for the Granite City, IL facility acquired from Plateplus pursuant to the Transaction disclosed in Note B. The current lease expires August 31, 2023 June 30, 2022 April 30, 2024. In October 2019, The components of expense related to leases for the three nine December 31, 2022 2021 Three Months Ended Nine Months Ended December 31, December 31, 2022 2021 2022 2021 Finance lease – amortization of ROU asset $ 26,235 $ 25,734 $ 78,327 $ 76,831 Finance lease – interest on lease liability 988 1,489 3,342 4,838 Operating lease expense 33,466 14,634 94,120 43,902 $ 60,689 $ 41,857 $ 175,789 $ 125,571 The following table illustrates the balance sheet classification for ROU assets and lease liabilities as of December 31, 2022 March 31, 2022 December 31, 2022 March 31, 2022 Balance Sheet Classification Assets Operating lease right-of-use asset $ 1,281,996 $ 113,168 Operating lease right-of-use asset Finance lease right-of-use asset 436,499 455,948 Property, plant & equipment Total right-of-use assets $ 1,718,495 $ 569,116 Liabilities Operating lease liability, current $ 100,744 $ 52,270 Accrued expenses Finance lease liability, current 106,214 104,689 Current portion of finance lease Operating lease liability, non-current 1,193,415 60,898 Other non-current liabilities Finance lease liability, non-current 81,016 160,869 Other non-current liabilities Total lease liabilities $ 1,481,389 $ 378,726 As of December 31, 2022 19.6 years for operating leases and 1.7 years for finance leases. The weighted average discount rate was 2.7% for operating leases and 1.9% for finance leases. Maturities of lease liabilities as of December 31, 2022 Operating Leases Finance Leases Fiscal 2023 (remainder of fiscal year) 33,466 27,223 Fiscal 2024 133,863 108,892 Fiscal 2025 80,205 54,446 Fiscal 2026 75,327 — Fiscal 2027 and beyond 1,311,941 — Total undiscounted lease payments $ 1,634,802 $ 190,561 Less: imputed interest (340,643 ) (3,331 ) Present value of lease liability $ 1,294,159 $ 187,230 |
Note F - Property, Plant and Eq
Note F - Property, Plant and Equipment | 9 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Property, Plant and Equipment Disclosure [Text Block] | NOTE F — PROPERTY, PLANT AND EQUIPMENT On May 25, 2021, $1. 1” 96” 100,000 October 2022 ely $22.3 million. At December 31, 2022 , the Company had paid approximately $14,826,000 related to the project and accrued approximately $7,448,000 three March 31, 2023. |
Note G - Stock Based Compensati
Note G - Stock Based Compensation | 9 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Share-Based Payment Arrangement [Text Block] | NOTE G — STOCK BASED COMPENSATION The Company maintains the Friedman Industries, Incorporated 2016 may, The following table summarizes the activity related to restricted stock units ("RSUs") for the nine December 31, 2022 Weighted Average Number of Shares Grant Date Fair Value Per Share Unvested at March 31, 2022 139,523 $ 5.96 Cancelled or forfeited — — Granted 7,700 9.10 Vested (46,857 ) 7.65 Unvested at December 31, 2022 100,366 $ 5.41 The Company measures compensation expense for RSUs at the market price of the common stock as of the grant date. Compensation expense is recognized over the requisite service period applicable to each award. The Company recorded compensation expen se of $224,481 and $375,935 nine December 31, 2022 2021 December 31, 2022 oximately $391,000, which is expected to be recognized over a weighted average period of approximately 1.5 ye December 31, 2022 |
Note H - Derivative Financial I
Note H - Derivative Financial Instruments | 9 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Derivative Instruments and Hedging Activities Disclosure [Text Block] | NOTE H — DERIVATIVE FINANCIAL INSTRUMENTS From time to time, we expect to use derivative financial instruments to minimize our exposure to commodity price risk that is inherent in our business. At the time derivative contracts are entered into, we assess whether the nature of the instrument qualifies for hedge accounting treatment according to the requirements of ASC 815 815” From time to time, derivatives designated for hedge accounting may If it is determined that hedged transactions associated with cash flow hedges are no From time to time, we may not The Company has forward physical purchase supply agreements in place with some of its suppliers for a portion of its monthly physical steel needs. These supply agreements are not 815. At December 31, 2022 and March 31, 2022 , the Company held hot-rolled coil futures contracts which were designated as hedging instruments and classified as cash flow hedges, either as hedges of variable purchase prices or as hedges of variable sales prices. Accordingly, realized and unrealized gains and losses associated with the instruments are reported as a component of other comprehensive income and reclassified into earnings during the period in which the hedged transaction affects earnings. During the three nine December 31, 2022 , the Company also entered into hot-rolled coil futures contracts that were not The following table summarizes the fair value of the Company’s derivative financial instruments and the respective line in which they were recorded in the Consolidated Balance Sheet as of December 31, 2022 : Asset Derivatives Liability Derivatives Balance Sheet Balance Sheet Derivatives designated as cash flow hedges: Location Fair Value Location Fair Value Hot-rolled coil steel contracts hedging sales Current portion of derivative assets $ 22,100 Derivatives not designated as hedging instruments: Hot-rolled coil steel contracts Current portion of derivative assets $ 786,720 Current portion of derivative liability $ 649,700 The following table summarizes the fair value of the Company’s derivative financial instruments and the respective line in which they were recorded in the Consolidated Balance Sheet as of March 31, 2022 : Asset Derivatives Liability Derivatives Balance Sheet Balance Sheet Derivatives designated as cash flow hedges: Location Fair Value Location Fair Value Hot-rolled coil steel contracts hedging sales Current portion of derivative liability $ 8,905,500 Derivatives not designated as hedging instruments: Hot-rolled coil steel contracts Current portion of derivative assets $ 4,240,740 Current portion of derivative liability $ 5,524,020 All derivatives are presented on a gross basis on the Consolidated Balance Sheets. At March 31, 2022 December 31, 2022 not The notional amount (quantity) of our cash flow hedges outstanding at December 31, 2022 February 2023 March 2023. The following table summarizes the pre-tax gain (loss) recognized in other comprehensive income and the gain (loss) reclassified from accumulated other comprehensive loss into earnings for derivative financial instruments designated as cash flow hedges for the periods presented: Pre-Tax Gain (Loss) Location of Gain (Loss) Reclassified Pre- Tax Gain (Loss) Reclassified from Recognized in OCI from AOCI into Net Earnings AOCI into Net Earnings For the three months ended December 31, 2022: Hot-rolled coil steel contracts $ 22,100 Sales $ (860,620 ) Total $ 22,100 $ (860,620 ) For the three months ended December 31, 2021: Hot-rolled coil steel contracts $ 3,473,300 Sales $ (14,766,060 ) Hot-rolled coil steel contracts Costs of goods sold 49,200 Total $ 3,473,300 $ (14,716,860 ) For the nine months ended December 31, 2022: Hot-rolled coil steel contracts $ 9,445,840 Sales $ (2,977,160 ) Total $ 9,445,840 $ (2,977,160 ) For the nine months ended December 31, 2021: Hot-rolled coil steel contracts $ (6,609,540 ) Sales $ (22,950,860 ) Hot-rolled coil steel contracts Costs of goods sold 10,632,900 Total $ (6,609,540 ) $ (12,317,960 ) The estimated amount of net recognized in AOCI December 31, 2022 expected to be reclassified into net earnings (loss) within the succeeding twelve December 31, 2022 . The following table summarizes the recognized in earnings for derivative instruments not three nine December 31, 2022 : Gain Recognized in Earnings Location of Gain for the Three Months Ended Recognized in Earnings December 31, 2022 Hot-rolled coil steel contracts Other income (loss), net $ 822,200 Gain Recognized in Earnings Location of Gain for the Nine Months Ended Recognized in Earnings December 31, 2022 Hot-rolled coil steel contracts Other income (loss), net $ 7,325,860 The following table summarizes the losses recognized in earnings for derivative instruments not three nine December 31, 2021: Gain Recognized in Earnings Location of Gain for the Three Months Ended Recognized in Earnings December 31, 2021 Hot-rolled coil steel contracts Other income (loss), net $ 1,721,700 Loss Recognized in Earnings Location of Loss for the Nine Months Ended Recognized in Earnings December 31, 2021 Hot-rolled coil steel contracts Other income (loss), net $ (6,498,040 ) The notional amount (quantity) of our derivative instruments not December 31, 2022 January 2023 December 2023. The following table reflects the change in accumulated other comprehensive income (loss), net of tax, for the periods presented Gain (Loss) on Derivatives Balance at March 31, 2022 $ (10,268,509 ) Other comprehensive income, net of loss, before reclassification 7,163,726 Total loss reclassified from AOCI (1) 2,257,878 Net current period other comprehensive income 9,421,604 Balance at December 31, 2022 $ (846,905 ) ( 1 AOCI is presented net of tax s of $719,282 the nine December 31, 2022. Gain (Loss) on Derivatives Balance at March 31, 2021 $ (11,187,841 ) Other comprehensive loss, net of income, before reclassification (5,012,675 ) Total loss reclassified from AOCI (1) 9,341,941 Net current period other comprehensive income 4,329,266 Balance at December 31, 2021 $ (6,858,575 ) ( 1 nine December 31, 2021. At December 31, 2022 and March 31, 2022 , cash of $1,854,978 and $13,523,416, respectively, was held by our clearing agent to collateralize our open derivative positions. These cash December 31, 2022 and March 31, 2022 |
Note I - Fair Value Measurement
Note I - Fair Value Measurements | 9 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Fair Value Disclosures [Text Block] | NOTE I — FAIR VALUE MEASUREMENTS Accounting standards provide a comprehensive framework for measuring fair value and sets forth a definition of fair value and establishes a hierarchy prioritizing the inputs to valuation techniques, giving the highest priority to quoted prices in active markets for identical assets and liabilities and the lowest priority to unobservable value inputs. Levels within the hierarchy are defined as follows: ● Level 1 ● Level 2 1 ● Level 3 no Recurring Fair Value Measurements At December 31, 2022 Quoted Prices in Active Significant Markets for Other Significant Identical Observable Unobservable Assets Inputs Inputs (Level 1) (Level 2) (Level 3) Total Commodity futures – financial assets, net $ 159,120 $ — $ — $ 159,120 Total $ 159,120 $ — $ — $ 159,120 At March 31, 2022 Quoted Prices in Active Significant Markets for Other Significant Identical Observable Unobservable Assets Inputs Inputs (Level 1) (Level 2) (Level 3) Total Commodity futures – financial liabilities, net $ (10,188,780 ) $ — $ — $ (10,188,780 ) Total $ (10,188,780 ) $ — $ — $ (10,188,780 ) At December 31, 2022 and March 31, 2022 , the Company did not |
Note J - Segment Information
Note J - Segment Information | 9 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Segment Reporting Disclosure [Text Block] | NOTE J — SEGMENT INFORMATION (in thousands) Three Months Ended Nine Months Ended December 31, December 31, 2022 2021 2022 2021 Net sales Coil $ 100,231 $ 41,795 $ 372,830 $ 172,814 Tubular 11,629 9,861 50,526 37,329 Total net sales $ 111,860 $ 51,656 $ 423,356 $ 210,143 Operating profit (loss) Coil $ 3,259 $ (4,032 ) $ 15,684 $ 33,497 Tubular 692 (647 ) 6,136 3,951 Total operating profit (loss) 3,951 (4,679 ) 21,820 37,448 General corporate expenses 2,522 920 8,002 4,662 Interest expense 448 58 1,498 154 Other income (loss), net 826 1,727 7,350 (4,801 ) Total earnings (loss) before income taxes $ 1,807 $ (3,930 ) $ 19,670 $ 27,831 December 31, 2022 March 31, 2022 Segment assets Coil $ 185,210 $ 115,232 Tubular 12,651 24,017 197,861 139,249 Corporate assets 6,022 20,026 $ 203,883 $ 159,275 Operating profit is total net sales less operating expenses, excluding general corporate expenses, interest expense and other income (loss). General corporate expenses reflect general and administrative expenses not three nine December 31, 2022 not three December 31, 2021 not nine December 31, 2021 not no |
Note K - Revenue
Note K - Revenue | 9 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Revenue from Contract with Customer [Text Block] | NOTE K — REVENUE Revenue is generated primarily from contracts to manufacture or process steel products. Most of the Company’s revenue is generated by sales of material out of the Company’s inventory, but a portion of the Company’s revenue is derived from processing or storage of customer owned material. Generally, the Company’s performance obligations are satisfied, control of our products is transferred, and revenue is recognized at a single point in time, when title transfers to our customer for product shipped or when services are provided. Revenues are recorded net of any sales incentives. Shipping and other transportation costs charged to customers are treated as fulfillment activities and are recorded in both revenue and cost of sales at the time control is transferred to the customer. Costs related to obtaining sales contracts are incidental and expensed when incurred. Because customers are invoiced at the time title transfers and the Company’s rights to consideration are unconditional at that time, the Company does not not The Company has two reportable segments: Coil and Tubular. Coil primarily generates revenue from cutting to length hot-rolled steel coils. Coil segment revenue consists of three two In March 2020, August 2020. June 30, 2022 , the Company was sold out of mill reject pipe so manufactured pipe was the sole revenue stream for the tubular segment for the three December 31, 2022. three nine December 31, 2022 2021 Three Months Ended Nine Months Ended December 31, December 31, 2022 2021 2022 2021 Coil Segment: Prime Coil $ 99,100,019 $ 39,588,438 $ 368,583,106 $ 164,096,180 Non-standard Coil 796,112 1,852,272 3,219,043 7,704,262 Customer Owned Coil 334,870 354,876 1,028,037 1,013,801 $ 100,231,001 $ 41,795,586 $ 372,830,186 $ 172,814,243 Tubular Segment: Manufactured Pipe $ 11,629,092 $ 6,906,450 $ 50,071,386 $ 27,889,886 Mill Reject Pipe — 2,953,907 454,020 9,439,148 $ 11,629,092 $ 9,860,357 $ 50,525,406 $ 37,329,034 |
Note L - Stockholders' Equity
Note L - Stockholders' Equity | 9 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Stockholders' Equity Note Disclosure [Text Block] | NOTE L — STOCKHOLDERS’ EQUITY The following tables reflect the changes in stockholders’ equity for each of the nine December 31, 2022 December 31, 2021 Accumulated Other Comprehensive Additional Common Income, Paid-In Treasury Retained Stock Net of Tax Capital Stock Earnings Total BALANCE AT MARCH 31, 2022 $ 8,344,975 $ (10,268,509 ) $ 30,442,361 $ (7,741,197 ) $ 58,909,018 $ 79,686,648 Net earnings — — — — 11,184,374 11,184,374 Other comprehensive income — 7,174,117 — — — 7,174,117 Paid in capital – restricted stock awards — — 73,153 — — 73,153 Shares issued – Plateplus business combination 516,041 — 4,267,659 — — 4,783,700 Repurchase of shares — — — (29,268 ) — (29,268 ) Cash dividends ($ 0.02 — — — — (157,694 ) (157,694 ) BALANCE AT JUNE 30, 2022 $ 8,861,016 $ (3,094,392 ) $ 34,783,173 $ (7,770,465 ) $ 69,935,698 $ 102,715,030 Net earnings — — — — 2,470,908 2,470,908 Other comprehensive income — 1,578,033 — — — 1,578,033 Paid in capital – restricted stock awards — — 73,153 — — 73,153 Cash dividends ($ 0.02 — — — — (147,372 ) (147,372 ) BALANCE AT SEPTEMBER 30, 2022 $ 8,861,016 $ (1,516,359 ) $ 34,856,326 $ (7,770,465 ) $ 72,259,234 $ 106,689,752 Net earnings — — — — 1,375,893 1,375,893 Other comprehensive income — 669,454 — — — 669,454 Issuance of restricted stock 7,700 — (7,700 ) — — — Paid in capital – restricted stock awards — — 78,175 — — 78,175 Repurchase of shares — — — (7,304 ) — (7,304 ) Cash dividends ($ 0.02 — — — — (147,512 ) (147,512 ) BALANCE AT DECEMBER 31, 2022 $ 8,868,716 $ (846,905 ) $ 34,926,801 $ (7,777,769 ) $ 73,487,615 $ 108,658,458 Accumulated Other Comprehensive Additional Common Income, Paid-In Treasury Retained Stock Net of Tax Capital Stock Earnings Total BALANCE AT MARCH 31, 2021 $ 8,334,785 $ (11,187,841 ) $ 30,003,462 $ (7,203,342 ) $ 45,392,912 $ 65,339,976 Net earnings — — — — 11,311,797 11,311,797 Other comprehensive loss — (13,693,337 ) — — — (13,693,337 ) Paid in capital – restricted stock awards — — 121,704 — — 121,704 Cash dividends ($ 0.02 — — — — (137,865 ) (137,865 ) BALANCE AT JUNE 30, 2021 $ 8,334,785 $ (24,881,178 ) $ 30,125,166 $ (7,203,342 ) $ 56,566,844 $ 62,942,275 Net earnings — — — — 13,177,614 13,177,614 Other comprehensive income — 4,227,185 — — — 4,227,185 Issuance of restricted stock 6,000 — (6,000 ) — — — Paid in capital – restricted stock awards — — 126,037 — — 126,037 Cash dividends ($ 0.02 — — — — (138,110 ) (138,110 ) BALANCE AT SEPTEMBER 30, 2021 $ 8,340,785 $ (20,653,993 ) $ 30,245,203 $ (7,203,342 ) $ 69,606,348 $ 80,335,001 Net loss — — — — (2,961,833 ) (2,961,833 ) Other comprehensive income — 13,795,418 — — — 13,795,418 Issuance of restricted stock 4,190 — (4,190 ) — — — Paid in capital – restricted stock awards — — 128,194 — — 128,194 Repurchase of shares — — — (102,075 ) — (102,075 ) Cash dividends ($ 0.02 — — — — (138,024 ) (138,024 ) BALANCE AT DECEMBER 31, 2021 $ 8,344,975 $ (6,858,575 ) $ 30,369,207 $ (7,305,417 ) $ 66,506,491 $ 91,056,681 |
Note M - Other Comprehensive In
Note M - Other Comprehensive Income | 9 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Comprehensive Income (Loss) Note [Text Block] | NOTE M — OTHER COMPREHENSIVE INCOME The following table summarizes the tax effects on each component of Other Comprehensive Income (Loss) for the periods presented: Three Months Ended December 31, 2022 Before-Tax Tax Net-of-Tax Cash flow hedges $ 882,720 $ (213,266 ) $ 669,454 Other comprehensive income (loss) $ 882,720 $ (213,266 ) $ 669,454 Three Months Ended December 31, 2021 Before-Tax Tax Net-of-Tax Cash flow hedges $ 18,190,160 $ (4,394,742 ) $ 13,795,418 Other comprehensive income (loss) $ 18,190,160 $ (4,394,742 ) $ 13,795,418 Nine Months Ended December 31, 2022 Before-Tax Tax Net-of-Tax Cash flow hedges $ 12,423,000 $ (3,001,396 ) $ 9,421,604 Other comprehensive income (loss) $ 12,423,000 $ (3,001,396 ) $ 9,421,604 Nine Months Ended December 31, 2021 Before-Tax Tax Net-of-Tax Cash flow hedges $ 5,708,420 $ (1,379,154 ) $ 4,329,266 Other comprehensive income (loss) $ 5,708,420 $ (1,379,154 ) $ 4,329,266 |
Note N - Earnings Per Share
Note N - Earnings Per Share | 9 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Earnings Per Share [Text Block] | NOTE N — EARNINGS PER SHARE Basic and dilutive net earnings per share is computed based on the following information: Three Months Ended Nine Months Ended December 31, December 31, 2022 2021 2022 2021 Numerator (basic and diluted) Net earnings (loss) $ 1,375,893 $ (2,961,833 ) $ 15,031,175 $ 21,527,578 Less: Allocation to unvested restricted stock units 18,656 5,992 240,482 966,761 Net earnings (loss) attributable to common shareholders $ 1,357,237 $ (2,967,825 ) $ 14,790,693 $ 20,560,817 Denominator (basic and diluted) Weighted average common shares outstanding 7,275,212 6,610,204 7,196,452 6,593,343 For the three nine December 31, 2022 2021, As the restricted stock qualifies as participating securities, the following restricted stock units were not two Three Months Ended Nine Months Ended December 31, December 31, 2022 2021 2022 2021 Restricted Stock Units 56,621 239,485 48,510 232,601 |
Note O - Supplemental Cash Flow
Note O - Supplemental Cash Flow Information | 9 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Cash Flow, Supplemental Disclosures [Text Block] | NOTE O — SUPPLEMENTAL CASH FLOW INFORMATION The Company paid interest o f approximately $1,316,000 during the nine December 31, 2022 and $154,000 during the nine December 31, 2021 . The Company paid income taxes of approximately $428,000 during the nine December 31, 2022 and paid income taxes of approximately $7,487,000, net of a tax refund of approximately $423,000, during the nine December 31, 2021 . At December 31, 2022 nine December 31, 2022 three December 31, 2022, |
Note P - Income Taxes
Note P - Income Taxes | 9 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Income Tax Disclosure [Text Block] | NOTE P — INCOME TAXES For the nine December 31, 2022 , the Company recorded an income tax provision of $4,639,272, or 23.6% of earnings before income taxes, compared to an income tax provision of $6,303,899, or 22.7% of earnings before income taxes for the nine December 31, 2021 . For the nine December 31, 2022 , the effective tax rate differed from the federal statutory rate due primarily to the inclusion of state tax expenses in the provision. For the nine December 31, 2021 , the Company’s effective tax rate differed from the federal statutory rate due to a combination of the inclusion of state tax expenses in the provision and the exclusion of the non-taxable gain associated with forgiveness of the Company’s PPP Loan from the provision. |
Note B - Business Combinations
Note B - Business Combinations (Tables) | 9 Months Ended |
Dec. 31, 2022 | |
Notes Tables | |
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed [Table Text Block] | Fair value of assets acquired and liabilities assumed Inventory $ 77,546,000 Property, plant and equipment 18,022,000 Operating lease right-of-use asset 1,237,097 Accounts payable (19,065,000 ) Operating lease liability (1,237,097 ) Total $ 76,503,000 |
Business Acquisition, Pro Forma Information [Table Text Block] | Three Months Ended December 31, Nine Months Ended December 31, 2022 2021 2022 2021 Net sales $ 111,860,093 $ 122,495,733 $ 442,756,025 $ 391,652,365 Earnings (loss) from operations $ 981,433 $ (20,068,874 ) $ 12,291,240 $ 14,918,837 |
Note C - Inventories (Tables)
Note C - Inventories (Tables) | 9 Months Ended |
Dec. 31, 2022 | |
Notes Tables | |
Schedule of Inventory, Current [Table Text Block] | December 31, 2022 March 31, 2022 Prime Coil Inventory $ 89,007,944 $ 50,482,022 Non-Standard Coil Inventory 295,925 1,063,374 Tubular Raw Material 4,542,470 9,049,598 Tubular Finished Goods 3,987,764 7,351,128 $ 97,834,103 $ 67,946,122 |
Note E - Leases (Tables)
Note E - Leases (Tables) | 9 Months Ended |
Dec. 31, 2022 | |
Notes Tables | |
Lease, Cost [Table Text Block] | Three Months Ended Nine Months Ended December 31, December 31, 2022 2021 2022 2021 Finance lease – amortization of ROU asset $ 26,235 $ 25,734 $ 78,327 $ 76,831 Finance lease – interest on lease liability 988 1,489 3,342 4,838 Operating lease expense 33,466 14,634 94,120 43,902 $ 60,689 $ 41,857 $ 175,789 $ 125,571 |
Schedule of Balance Sheet Information Related to Operating Leases [Table Text Block] | December 31, 2022 March 31, 2022 Balance Sheet Classification Assets Operating lease right-of-use asset $ 1,281,996 $ 113,168 Operating lease right-of-use asset Finance lease right-of-use asset 436,499 455,948 Property, plant & equipment Total right-of-use assets $ 1,718,495 $ 569,116 Liabilities Operating lease liability, current $ 100,744 $ 52,270 Accrued expenses Finance lease liability, current 106,214 104,689 Current portion of finance lease Operating lease liability, non-current 1,193,415 60,898 Other non-current liabilities Finance lease liability, non-current 81,016 160,869 Other non-current liabilities Total lease liabilities $ 1,481,389 $ 378,726 |
Operating and Finance Lease, Liability, Maturity [Table Text Block] | Operating Leases Finance Leases Fiscal 2023 (remainder of fiscal year) 33,466 27,223 Fiscal 2024 133,863 108,892 Fiscal 2025 80,205 54,446 Fiscal 2026 75,327 — Fiscal 2027 and beyond 1,311,941 — Total undiscounted lease payments $ 1,634,802 $ 190,561 Less: imputed interest (340,643 ) (3,331 ) Present value of lease liability $ 1,294,159 $ 187,230 |
Note G - Stock Based Compensa_2
Note G - Stock Based Compensation (Tables) | 9 Months Ended |
Dec. 31, 2022 | |
Notes Tables | |
Nonvested Restricted Stock Shares Activity [Table Text Block] | Weighted Average Number of Shares Grant Date Fair Value Per Share Unvested at March 31, 2022 139,523 $ 5.96 Cancelled or forfeited — — Granted 7,700 9.10 Vested (46,857 ) 7.65 Unvested at December 31, 2022 100,366 $ 5.41 |
Note H - Derivative Financial_2
Note H - Derivative Financial Instruments (Tables) | 9 Months Ended |
Dec. 31, 2022 | |
Notes Tables | |
Schedule of Derivative Instruments [Table Text Block] | Asset Derivatives Liability Derivatives Balance Sheet Balance Sheet Derivatives designated as cash flow hedges: Location Fair Value Location Fair Value Hot-rolled coil steel contracts hedging sales Current portion of derivative assets $ 22,100 Derivatives not designated as hedging instruments: Hot-rolled coil steel contracts Current portion of derivative assets $ 786,720 Current portion of derivative liability $ 649,700 Asset Derivatives Liability Derivatives Balance Sheet Balance Sheet Derivatives designated as cash flow hedges: Location Fair Value Location Fair Value Hot-rolled coil steel contracts hedging sales Current portion of derivative liability $ 8,905,500 Derivatives not designated as hedging instruments: Hot-rolled coil steel contracts Current portion of derivative assets $ 4,240,740 Current portion of derivative liability $ 5,524,020 |
Schedule of Cash Flow Hedges Included in Accumulated Other Comprehensive Income (Loss) [Table Text Block] | Pre-Tax Gain (Loss) Location of Gain (Loss) Reclassified Pre- Tax Gain (Loss) Reclassified from Recognized in OCI from AOCI into Net Earnings AOCI into Net Earnings For the three months ended December 31, 2022: Hot-rolled coil steel contracts $ 22,100 Sales $ (860,620 ) Total $ 22,100 $ (860,620 ) For the three months ended December 31, 2021: Hot-rolled coil steel contracts $ 3,473,300 Sales $ (14,766,060 ) Hot-rolled coil steel contracts Costs of goods sold 49,200 Total $ 3,473,300 $ (14,716,860 ) For the nine months ended December 31, 2022: Hot-rolled coil steel contracts $ 9,445,840 Sales $ (2,977,160 ) Total $ 9,445,840 $ (2,977,160 ) For the nine months ended December 31, 2021: Hot-rolled coil steel contracts $ (6,609,540 ) Sales $ (22,950,860 ) Hot-rolled coil steel contracts Costs of goods sold 10,632,900 Total $ (6,609,540 ) $ (12,317,960 ) |
Derivative Instruments, Gain (Loss) [Table Text Block] | Gain Recognized in Earnings Location of Gain for the Three Months Ended Recognized in Earnings December 31, 2022 Hot-rolled coil steel contracts Other income (loss), net $ 822,200 Gain Recognized in Earnings Location of Gain for the Nine Months Ended Recognized in Earnings December 31, 2022 Hot-rolled coil steel contracts Other income (loss), net $ 7,325,860 Gain Recognized in Earnings Location of Gain for the Three Months Ended Recognized in Earnings December 31, 2021 Hot-rolled coil steel contracts Other income (loss), net $ 1,721,700 Loss Recognized in Earnings Location of Loss for the Nine Months Ended Recognized in Earnings December 31, 2021 Hot-rolled coil steel contracts Other income (loss), net $ (6,498,040 ) |
Accumulated Gain (Loss), Net, Cash Flow Hedge, Parent [Member] | |
Notes Tables | |
Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block] | Gain (Loss) on Derivatives Balance at March 31, 2022 $ (10,268,509 ) Other comprehensive income, net of loss, before reclassification 7,163,726 Total loss reclassified from AOCI (1) 2,257,878 Net current period other comprehensive income 9,421,604 Balance at December 31, 2022 $ (846,905 ) Gain (Loss) on Derivatives Balance at March 31, 2021 $ (11,187,841 ) Other comprehensive loss, net of income, before reclassification (5,012,675 ) Total loss reclassified from AOCI (1) 9,341,941 Net current period other comprehensive income 4,329,266 Balance at December 31, 2021 $ (6,858,575 ) |
Note I - Fair Value Measureme_2
Note I - Fair Value Measurements (Tables) | 9 Months Ended |
Dec. 31, 2022 | |
Notes Tables | |
Fair Value, Liabilities Measured on Recurring Basis [Table Text Block] | Quoted Prices in Active Significant Markets for Other Significant Identical Observable Unobservable Assets Inputs Inputs (Level 1) (Level 2) (Level 3) Total Commodity futures – financial assets, net $ 159,120 $ — $ — $ 159,120 Total $ 159,120 $ — $ — $ 159,120 Quoted Prices in Active Significant Markets for Other Significant Identical Observable Unobservable Assets Inputs Inputs (Level 1) (Level 2) (Level 3) Total Commodity futures – financial liabilities, net $ (10,188,780 ) $ — $ — $ (10,188,780 ) Total $ (10,188,780 ) $ — $ — $ (10,188,780 ) |
Note J - Segment Information (T
Note J - Segment Information (Tables) | 9 Months Ended |
Dec. 31, 2022 | |
Notes Tables | |
Schedule of Segment Reporting Information, by Segment [Table Text Block] | Three Months Ended Nine Months Ended December 31, December 31, 2022 2021 2022 2021 Net sales Coil $ 100,231 $ 41,795 $ 372,830 $ 172,814 Tubular 11,629 9,861 50,526 37,329 Total net sales $ 111,860 $ 51,656 $ 423,356 $ 210,143 Operating profit (loss) Coil $ 3,259 $ (4,032 ) $ 15,684 $ 33,497 Tubular 692 (647 ) 6,136 3,951 Total operating profit (loss) 3,951 (4,679 ) 21,820 37,448 General corporate expenses 2,522 920 8,002 4,662 Interest expense 448 58 1,498 154 Other income (loss), net 826 1,727 7,350 (4,801 ) Total earnings (loss) before income taxes $ 1,807 $ (3,930 ) $ 19,670 $ 27,831 December 31, 2022 March 31, 2022 Segment assets Coil $ 185,210 $ 115,232 Tubular 12,651 24,017 197,861 139,249 Corporate assets 6,022 20,026 $ 203,883 $ 159,275 |
Note K - Revenue (Tables)
Note K - Revenue (Tables) | 9 Months Ended |
Dec. 31, 2022 | |
Notes Tables | |
Disaggregation of Revenue [Table Text Block] | Three Months Ended Nine Months Ended December 31, December 31, 2022 2021 2022 2021 Coil Segment: Prime Coil $ 99,100,019 $ 39,588,438 $ 368,583,106 $ 164,096,180 Non-standard Coil 796,112 1,852,272 3,219,043 7,704,262 Customer Owned Coil 334,870 354,876 1,028,037 1,013,801 $ 100,231,001 $ 41,795,586 $ 372,830,186 $ 172,814,243 Tubular Segment: Manufactured Pipe $ 11,629,092 $ 6,906,450 $ 50,071,386 $ 27,889,886 Mill Reject Pipe — 2,953,907 454,020 9,439,148 $ 11,629,092 $ 9,860,357 $ 50,525,406 $ 37,329,034 |
Note L - Stockholders' Equity (
Note L - Stockholders' Equity (Tables) | 9 Months Ended |
Dec. 31, 2022 | |
Notes Tables | |
Schedule of Stockholders Equity [Table Text Block] | Accumulated Other Comprehensive Additional Common Income, Paid-In Treasury Retained Stock Net of Tax Capital Stock Earnings Total BALANCE AT MARCH 31, 2022 $ 8,344,975 $ (10,268,509 ) $ 30,442,361 $ (7,741,197 ) $ 58,909,018 $ 79,686,648 Net earnings — — — — 11,184,374 11,184,374 Other comprehensive income — 7,174,117 — — — 7,174,117 Paid in capital – restricted stock awards — — 73,153 — — 73,153 Shares issued – Plateplus business combination 516,041 — 4,267,659 — — 4,783,700 Repurchase of shares — — — (29,268 ) — (29,268 ) Cash dividends ($ 0.02 — — — — (157,694 ) (157,694 ) BALANCE AT JUNE 30, 2022 $ 8,861,016 $ (3,094,392 ) $ 34,783,173 $ (7,770,465 ) $ 69,935,698 $ 102,715,030 Net earnings — — — — 2,470,908 2,470,908 Other comprehensive income — 1,578,033 — — — 1,578,033 Paid in capital – restricted stock awards — — 73,153 — — 73,153 Cash dividends ($ 0.02 — — — — (147,372 ) (147,372 ) BALANCE AT SEPTEMBER 30, 2022 $ 8,861,016 $ (1,516,359 ) $ 34,856,326 $ (7,770,465 ) $ 72,259,234 $ 106,689,752 Net earnings — — — — 1,375,893 1,375,893 Other comprehensive income — 669,454 — — — 669,454 Issuance of restricted stock 7,700 — (7,700 ) — — — Paid in capital – restricted stock awards — — 78,175 — — 78,175 Repurchase of shares — — — (7,304 ) — (7,304 ) Cash dividends ($ 0.02 — — — — (147,512 ) (147,512 ) BALANCE AT DECEMBER 31, 2022 $ 8,868,716 $ (846,905 ) $ 34,926,801 $ (7,777,769 ) $ 73,487,615 $ 108,658,458 Accumulated Other Comprehensive Additional Common Income, Paid-In Treasury Retained Stock Net of Tax Capital Stock Earnings Total BALANCE AT MARCH 31, 2021 $ 8,334,785 $ (11,187,841 ) $ 30,003,462 $ (7,203,342 ) $ 45,392,912 $ 65,339,976 Net earnings — — — — 11,311,797 11,311,797 Other comprehensive loss — (13,693,337 ) — — — (13,693,337 ) Paid in capital – restricted stock awards — — 121,704 — — 121,704 Cash dividends ($ 0.02 — — — — (137,865 ) (137,865 ) BALANCE AT JUNE 30, 2021 $ 8,334,785 $ (24,881,178 ) $ 30,125,166 $ (7,203,342 ) $ 56,566,844 $ 62,942,275 Net earnings — — — — 13,177,614 13,177,614 Other comprehensive income — 4,227,185 — — — 4,227,185 Issuance of restricted stock 6,000 — (6,000 ) — — — Paid in capital – restricted stock awards — — 126,037 — — 126,037 Cash dividends ($ 0.02 — — — — (138,110 ) (138,110 ) BALANCE AT SEPTEMBER 30, 2021 $ 8,340,785 $ (20,653,993 ) $ 30,245,203 $ (7,203,342 ) $ 69,606,348 $ 80,335,001 Net loss — — — — (2,961,833 ) (2,961,833 ) Other comprehensive income — 13,795,418 — — — 13,795,418 Issuance of restricted stock 4,190 — (4,190 ) — — — Paid in capital – restricted stock awards — — 128,194 — — 128,194 Repurchase of shares — — — (102,075 ) — (102,075 ) Cash dividends ($ 0.02 — — — — (138,024 ) (138,024 ) BALANCE AT DECEMBER 31, 2021 $ 8,344,975 $ (6,858,575 ) $ 30,369,207 $ (7,305,417 ) $ 66,506,491 $ 91,056,681 |
Note M - Other Comprehensive _2
Note M - Other Comprehensive Income (Tables) | 9 Months Ended |
Dec. 31, 2022 | |
Notes Tables | |
Comprehensive Income (Loss) [Table Text Block] | Three Months Ended December 31, 2022 Before-Tax Tax Net-of-Tax Cash flow hedges $ 882,720 $ (213,266 ) $ 669,454 Other comprehensive income (loss) $ 882,720 $ (213,266 ) $ 669,454 Three Months Ended December 31, 2021 Before-Tax Tax Net-of-Tax Cash flow hedges $ 18,190,160 $ (4,394,742 ) $ 13,795,418 Other comprehensive income (loss) $ 18,190,160 $ (4,394,742 ) $ 13,795,418 Nine Months Ended December 31, 2022 Before-Tax Tax Net-of-Tax Cash flow hedges $ 12,423,000 $ (3,001,396 ) $ 9,421,604 Other comprehensive income (loss) $ 12,423,000 $ (3,001,396 ) $ 9,421,604 Nine Months Ended December 31, 2021 Before-Tax Tax Net-of-Tax Cash flow hedges $ 5,708,420 $ (1,379,154 ) $ 4,329,266 Other comprehensive income (loss) $ 5,708,420 $ (1,379,154 ) $ 4,329,266 |
Note N - Earnings Per Share (Ta
Note N - Earnings Per Share (Tables) | 9 Months Ended |
Dec. 31, 2022 | |
Notes Tables | |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | Three Months Ended Nine Months Ended December 31, December 31, 2022 2021 2022 2021 Numerator (basic and diluted) Net earnings (loss) $ 1,375,893 $ (2,961,833 ) $ 15,031,175 $ 21,527,578 Less: Allocation to unvested restricted stock units 18,656 5,992 240,482 966,761 Net earnings (loss) attributable to common shareholders $ 1,357,237 $ (2,967,825 ) $ 14,790,693 $ 20,560,817 Denominator (basic and diluted) Weighted average common shares outstanding 7,275,212 6,610,204 7,196,452 6,593,343 |
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share [Table Text Block] | Three Months Ended Nine Months Ended December 31, December 31, 2022 2021 2022 2021 Restricted Stock Units 56,621 239,485 48,510 232,601 |
Note B - Business Combination_2
Note B - Business Combinations (Details Textual) - Plateplus Inc. [Member] - USD ($) | 3 Months Ended | 6 Months Ended | 9 Months Ended | |||
Apr. 30, 2022 | Dec. 31, 2022 | Sep. 30, 2022 | Jun. 30, 2022 | Sep. 30, 2022 | Dec. 31, 2022 | |
Business Combination, Consideration Transferred, Total | $ 76,500,000 | |||||
Payments to Acquire Businesses, Gross | $ 71,700,000 | |||||
Business Combination, Consideration Transferred, Equity Interests Issued and Issuable | $ 4,783,700 | $ 4,783,700 | $ 4,800,000 | |||
Business Acquisition, Equity Interest Issued or Issuable, Number of Shares (in shares) | 516,041 | 516,041 | ||||
Goodwill, Ending Balance | $ 0 | |||||
Business Combination, Pro Forma Information, Revenue of Acquiree since Acquisition Date, Actual | $ 1,000,000 | |||||
Selling, General and Administrative Expenses [Member] | ||||||
Business Combination, Acquisition Related Costs | 1,200,000 | |||||
East Chicago and Granite City [Member] | ||||||
Business Combination, Pro Forma Information, Revenue of Acquiree since Acquisition Date, Actual | $ 52,000,000 | 175,000,000 | ||||
Business Combination, Pro Forma Information, Earnings or Loss of Acquiree since Acquisition Date, Actual | $ 4,600,000 | 10,300,000 | ||||
Houston and Loudon [Member] | ||||||
Business Combination, Pro Forma Information, Revenue of Acquiree since Acquisition Date, Actual | 43,400,000 | |||||
Business Combination, Pro Forma Information, Earnings or Loss of Acquiree since Acquisition Date, Actual | $ 300,000 | |||||
ABL Facility [Member] | JPMorgan Chase Bank N.A. [Member] | ||||||
Business Combination, Consideration Transferred, Liabilities Incurred | $ 64,000,000 | $ 7,900,000 |
Note B - Business Combination_3
Note B - Business Combinations - Schedule of Recognized Identified Assets Acquired and Liabilities Assumed (Details) - Plateplus Inc. [Member] | Apr. 30, 2022 USD ($) |
Inventory | $ 77,546,000 |
Property, plant and equipment | 18,022,000 |
Business combination, operating lease right-of-use asset | 1,237,097 |
Accounts payable | (19,065,000) |
Operating lease liability | (1,237,097) |
Total | $ 76,503,000 |
Note B - Business Combination_4
Note B - Business Combinations - Pro Forma Information (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | |
Net sales | $ 111,860,093 | $ 122,495,733 | $ 442,756,025 | $ 391,652,365 |
Earnings (loss) from operations | $ 981,433 | $ (20,068,874) | $ 12,291,240 | $ 14,918,837 |
Note C - Inventories - Schedule
Note C - Inventories - Schedule of Inventory (Details) - USD ($) | Dec. 31, 2022 | Mar. 31, 2022 |
Inventory, Net, Total | $ 97,834,103 | $ 67,946,122 |
Prime Coil Inventory [Member] | ||
Prime Coil Inventory | 89,007,944 | 50,482,022 |
Non-standard Coil Inventory [Member] | ||
Prime Coil Inventory | 295,925 | 1,063,374 |
Tubular Inventory [Member] | ||
Prime Coil Inventory | 4,542,470 | 9,049,598 |
Tubular Finished Goods | $ 3,987,764 | $ 7,351,128 |
Note D - Debt (Details Textual)
Note D - Debt (Details Textual) | 9 Months Ended | 11 Months Ended | 21 Months Ended | |||||||
Apr. 29, 2022 USD ($) | Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | Apr. 29, 2022 USD ($) | Dec. 31, 2022 USD ($) | Jul. 06, 2022 USD ($) | Mar. 11, 2022 USD ($) | May 19, 2021 USD ($) | Apr. 12, 2021 USD ($) | Mar. 08, 2021 USD ($) | |
Gain (Loss) on Extinguishment of Debt, Total | $ 0 | $ 1,706,614 | ||||||||
Line of Credit Facility, Maximum Borrowing Capacity, Maximum Conditional Increase | $ 25,000,000 | $ 25,000,000 | ||||||||
BMO Harris Bank, N.A. [Member] | ||||||||||
Notes Payable, Total | $ 50,000,000 | |||||||||
Revolving Credit Facility [Member] | JPMorgan Chase Bank N.A. [Member] | ||||||||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 20,000,000 | $ 10,000,000 | ||||||||
ABL Facility [Member] | ||||||||||
Line of Credit Facility, Maximum Borrowing Capacity | 99,000,000 | $ 99,000,000 | ||||||||
Debt Issuance Costs, Gross | 239,887 | 239,887 | $ 154,000 | |||||||
ABL Facility [Member] | JPMorgan Chase Bank N.A. [Member] | ||||||||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 150,000,000 | $ 150,000,000 | $ 75,000,000 | $ 40,000,000 | ||||||
Debt Instrument, Covenant, Borrowing Limit as Percent of Accounts Receivable | 90% | 90% | ||||||||
Debt Instrument, Covenant, Borrowing Limit, Factor Multiplied by the Net Orderly Liquidating Value of Inventory, Percentage | 85% | 85% | ||||||||
Debt Instrument, Covenant, Availability Remaining Before Testing, Percentage | 15% | 15% | ||||||||
Debt Instrument, Covenant, Availability Remaining Before Testing, Value | $ 22,500,000 | $ 22,500,000 | ||||||||
Debt Instrument, Covenant, Fixed Charge Coverage Ratio | 1.10 | |||||||||
Line of Credit Facility, Maximum Borrowing Capacity, Conditional Increase, Minimum Increments | $ 5,000,000 | $ 5,000,000 | ||||||||
Long-Term Line of Credit, Total | $ 44,510,967 | $ 44,510,967 | ||||||||
Line of Credit Facility, Interest Rate at Period End | 6.50% | 6.50% | ||||||||
ABL Facility [Member] | JPMorgan Chase Bank N.A. [Member] | Prime Rate [Member] | ||||||||||
Debt Instrument, Basis Spread on Variable Rate | 1% | |||||||||
ABL Facility [Member] | JPMorgan Chase Bank N.A. [Member] | Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate [Member] | ||||||||||
Debt Instrument, Basis Spread on Variable Rate | 1.80% | |||||||||
Paycheck Protection Program CARES Act [Member] | ||||||||||
Gain (Loss) on Extinguishment of Debt, Total | $ 1,706,614 | |||||||||
Paycheck Protection Program CARES Act [Member] | Nonoperating Income (Expense) [Member] | ||||||||||
Gain (Loss) on Extinguishment of Debt, Total | $ 1,706,614 |
Note E - Leases (Details Textua
Note E - Leases (Details Textual) - USD ($) | 1 Months Ended | 3 Months Ended | 9 Months Ended |
Oct. 31, 2019 | Jun. 30, 2022 | Dec. 31, 2022 | |
Finance Lease, Liability, Payment, Due, Total | $ 190,561 | ||
Operating Lease, Weighted Average Remaining Lease Term (Year) | 19 years 7 months 6 days | ||
Finance Lease, Weighted Average Remaining Lease Term (Year) | 1 year 8 months 12 days | ||
Operating Lease, Weighted Average Discount Rate, Percent | 2.70% | ||
Finance Lease, Weighted Average Discount Rate, Percent | 1.90% | ||
Heavy-duty Forklift [Member] | |||
Lessee, Finance Lease, Term of Contract (Year) | 5 years | ||
Finance Lease, Liability, Payment, Due, Total | $ 518,616 | ||
Finance Lease, Monthly Payment | $ 9,074 | ||
Granite City, IL Facility [Member] | |||
Lessee, Operating Lease, Renewal Term (Year) | 20 years | ||
Operating Lease, Quarterly Payments | $ 18,832 | ||
Granite City, IL Facility [Member] | Plateplus Inc. [Member] | |||
Right-of-Use Asset Obtained in Exchange for Operating Lease Liability | $ 1,237,097 | ||
Office Space in Longview, Texas [Member] | |||
Operating Lease, Monthly Payments | $ 4,878 |
Note E - Leases - Lease Cost (D
Note E - Leases - Lease Cost (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | |
Finance lease – amortization of ROU asset | $ 26,235 | $ 25,734 | $ 78,327 | $ 76,831 |
Finance lease – interest on lease liability | 988 | 1,489 | 3,342 | 4,838 |
Operating lease expense | 33,466 | 14,634 | 94,120 | 43,902 |
Lease, Cost, Total | $ 60,689 | $ 41,857 | $ 175,789 | $ 125,571 |
Note E - Leases - Balance Sheet
Note E - Leases - Balance Sheet Information (Details) - USD ($) | Dec. 31, 2022 | Mar. 31, 2022 |
Operating lease right-of-use asset | $ 1,281,996 | $ 113,168 |
Total right-of-use assets | 1,718,495 | 569,116 |
Finance lease liability, current | 106,214 | 104,689 |
Total lease liabilities | 1,481,389 | 378,726 |
Other Noncurrent Assets [Member] | ||
Operating lease right-of-use asset | 1,281,996 | 113,168 |
Property, Plant and Equipment, Net [Member] | ||
Finance lease right-of-use asset | 436,499 | 455,948 |
Accounts Payable and Accrued Liabilities [Member] | ||
Operating lease liability, current | 100,744 | 52,270 |
Current Portion of Financing Lease [Member] | ||
Finance lease liability, current | 106,214 | 104,689 |
Other Noncurrent Liabilities [Member] | ||
Operating lease liability, non-current | 1,193,415 | 60,898 |
Finance lease liability, non-current | $ 81,016 | $ 160,869 |
Note E - Leases - Maturities of
Note E - Leases - Maturities of Operating and Finance Lease (Details) | Dec. 31, 2022 USD ($) |
Operating lease, Fiscal 2023 (remainder of fiscal year) | $ 33,466 |
Finance lease, Fiscal 2023 (remainder of fiscal year) | 27,223 |
Operating lease, Fiscal 2024 | 133,863 |
Finance lease, Fiscal 2024 | 108,892 |
Operating lease, Fiscal 2025 | 80,205 |
Finance lease, Fiscal 2025 | 54,446 |
Operating lease, Fiscal 2026 | 75,327 |
Finance lease, Fiscal 2026 | 0 |
Operating lease, Fiscal 2027 and beyond | 1,311,941 |
Finance lease, Fiscal 2027 and beyond | 0 |
Operating lease, Total undiscounted lease payments | 1,634,802 |
Finance lease, Total undiscounted lease payments | 190,561 |
Operating lease, Less: imputed interest | (340,643) |
Finance lease, Less: imputed interest | (3,331) |
Present value of lease liability, finance lease | 187,230 |
Accrued Expense and Other Noncurrent Liabilities [Member] | |
Present value of lease liability, operating lease | $ 1,294,159 |
Note F - Property, Plant and _2
Note F - Property, Plant and Equipment (Details Textual) | 9 Months Ended | ||
Dec. 31, 2022 USD ($) | Mar. 31, 2022 USD ($) | May 25, 2021 ft² a | |
Construction in Progress, Gross | $ 832,761 | $ 15,925,306 | |
Facility in Sinton, Texas [Member] | |||
Area of Land (Acre) | a | 26.5 | ||
Lessee, Operating Lease, Term of Contract (Year) | 99 years | ||
Capital Expenditures, Expected Cost | 22,300,000 | ||
Construction in Progress, Gross | 14,826,000 | ||
Construction in Progress Expenditures Incurred but Not yet Paid | $ 7,448,000 | ||
Facility in Sinton, Texas [Member] | |||
Area of Real Estate Property (Square Foot) | ft² | 70,000 |
Note G - Stock Based Compensa_3
Note G - Stock Based Compensation (Details Textual) - 2016 Restricted Stock Plan [Member] - USD ($) | 9 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Sep. 01, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized (in shares) | 500,000 | ||
Restricted Stock [Member] | |||
Share-Based Payment Arrangement, Expense | $ 224,481 | $ 375,935 | |
Share-Based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Amount, Total | $ 391,000 | ||
Share-Based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Period for Recognition (Year) | 1 year 6 months | ||
Share-Based Compensation Arrangement by Share-Based Payment Award, Number of Shares Available for Grant (in shares) | 122,485 |
Note G - Stock Based Compensa_4
Note G - Stock Based Compensation - Restricted Stock Activity (Details) - Restricted Stock [Member] | 9 Months Ended | |
Dec. 31, 2022 $ / shares shares | ||
Unvested (in shares) | shares | 139,523 | |
Unvested (in dollars per share) | $ / shares | $ 5.96 | |
Cancelled or forfeited (in shares) | shares | 0 | |
Cancelled or forfeited (in dollars per share) | $ / shares | $ 0 | |
Granted (in shares) | shares | 7,700 | [1] |
Granted (in dollars per share) | $ / shares | $ 9.10 | |
Vested (in shares) | shares | (46,857) | |
Vested (in dollars per share) | $ / shares | $ 7.65 | |
Unvested (in shares) | shares | 100,366 | |
Unvested (in dollars per share) | $ / shares | $ 5.41 | |
[1]50,000 shares were issued out of treasury stock |
Note H - Derivative Financial_3
Note H - Derivative Financial Instruments (Details Textual) | 9 Months Ended | |||
Dec. 31, 2022 USD ($) T | Dec. 31, 2021 USD ($) | Mar. 31, 2022 USD ($) | Dec. 31, 202 USD ($) | |
Derivative Asset, Total | $ 933,200 | |||
Derivative Instruments, Gain (Loss) Reclassification from Accumulated OCI to Income, Estimated Net Amount to be Transferred | $ 1,116,700 | |||
Derivative Liability, Subject to Master Netting Arrangement, Collateral, Right to Reclaim Cash Not Offset | 1,854,978 | $ 13,523,416 | ||
Other Current Assets [Member] | ||||
Derivative Liability, Subject to Master Netting Arrangement, Collateral, Right to Reclaim Cash Not Offset | $ 13,523,416 | $ 1,854,978 | ||
Accumulated Gain (Loss), Net, Cash Flow Hedge, Parent [Member] | ||||
Reclassification from AOCI, Current Period, Tax, Total | 719,282 | $ 2,976,019 | ||
Closed Hedges with Hedged Transaction Still Expected to Occur [Member] | ||||
Derivative Instruments, Gain (Loss) Reclassification from Accumulated OCI to Income, Estimated Net Amount to be Transferred | 1,138,800 | |||
Open Hedges Subject To Fair Value Changes [Member] | ||||
Derivative Instruments, Gain (Loss) Reclassification from Accumulated OCI to Income, Estimated Net Amount to be Transferred | $ 22,100 | |||
Designated as Hedging Instrument [Member] | ||||
Derivative, Nonmonetary Notional Amount, Mass (US Ton) | T | 0 | |||
Not Designated as Hedging Instrument [Member] | ||||
Derivative, Nonmonetary Notional Amount, Mass (US Ton) | T | 2,080 | |||
Not Designated as Hedging Instrument [Member] | Short [Member] | ||||
Derivative, Nonmonetary Notional Amount, Mass (US Ton) | T | 35,040 |
Note H - Derivative Financial_4
Note H - Derivative Financial Instruments - Net Fair Value of Derivative Financial Instruments (Details) - USD ($) | Dec. 31, 2022 | Mar. 31, 2022 |
Derivative assets | $ 933,200 | |
Designated as Hedging Instrument [Member] | Hot-rolled Coil Future Contracts [Member] | Current Portion of Derivative Liability [Member] | ||
Derivative assets | 4,240,740 | |
Designated as Hedging Instrument [Member] | Hot-rolled Coil Future Contracts [Member] | Short [Member] | ||
Derivative assets | $ 22,100 | |
Designated as Hedging Instrument [Member] | Hot-rolled Coil Future Contracts [Member] | Short [Member] | Current Portion of Derivative Liability [Member] | ||
Derivative liabilities | 8,905,500 | |
Not Designated as Hedging Instrument [Member] | Hot-rolled Coil Future Contracts [Member] | Short [Member] | Current Portion of Derivative Liability [Member] | ||
Derivative liabilities | 649,700 | $ 5,524,020 |
Not Designated as Hedging Instrument [Member] | Hot-rolled Coil Future Contracts [Member] | Short [Member] | Current Portion of Derivative Assets [Member] | ||
Derivative assets | $ 786,720 |
Note H - Derivative Financial_5
Note H - Derivative Financial Instruments - Gain (Loss) Recognized in Other Comprehensive Income (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||||||
Dec. 31, 2022 | Sep. 30, 2022 | Jun. 30, 2022 | Dec. 31, 2021 | Sep. 30, 2021 | Jun. 30, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | |
Pre-tax gain (loss) recognized in OCI | $ 22,100 | $ 3,473,300 | $ 9,445,840 | $ (6,609,540) | ||||
Sales | 111,860,093 | 51,655,943 | 423,355,592 | 210,143,277 | ||||
Cost of goods sold | 105,730,259 | 55,259,964 | 393,875,438 | 166,722,381 | ||||
Total | 1,375,893 | $ 2,470,908 | $ 11,184,374 | (2,961,833) | $ 13,177,614 | $ 11,311,797 | 15,031,175 | 21,527,578 |
Reclassification out of Accumulated Other Comprehensive Income [Member] | Accumulated Gain (Loss), Net, Cash Flow Hedge, Parent [Member] | ||||||||
Sales | (860,620) | |||||||
Total | (14,716,860) | (2,977,160) | (12,317,960) | |||||
Hot-rolled Coil Future Contracts [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | Accumulated Gain (Loss), Net, Cash Flow Hedge, Parent [Member] | ||||||||
Sales | (860,620) | (14,766,060) | (2,977,160) | (22,950,860) | ||||
Cost of goods sold | 49,200 | 10,632,900 | ||||||
Hot-rolled Coil Future Contracts [Member] | Designated as Hedging Instrument [Member] | ||||||||
Pre-tax gain (loss) recognized in OCI | $ 22,100 | $ 3,473,300 | $ 9,445,840 | $ (6,609,540) |
Note H - Derivative Financial_6
Note H - Derivative Financial Instruments - Gain (Loss) Recognized in Earnings for Derivative Instruments (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | |
Hot-rolled coil steel contracts | $ 1,353,520 | $ 1,238,320 | ||
Nonoperating Income (Expense) [Member] | Hot-rolled Coil Steel Contracts [Member] | ||||
Hot-rolled coil steel contracts | $ 822,200 | $ 1,721,700 | $ 7,325,860 | $ (6,498,040) |
Note H - Derivative Financial_7
Note H - Derivative Financial Instruments - Change in Accumulated Other Comprehensive Income (Loss), Net of Tax (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | |||
Balance | $ 106,689,752 | $ 80,335,001 | $ 79,686,648 | $ 65,339,976 | ||
Net current period other comprehensive income | 669,454 | 13,795,418 | 9,421,604 | 4,329,266 | ||
Balance | 108,658,458 | 91,056,681 | 108,658,458 | 91,056,681 | ||
Accumulated Gain (Loss), Net, Cash Flow Hedge, Parent [Member] | ||||||
Balance | (10,268,509) | (11,187,841) | ||||
Other comprehensive income, net of loss, before reclassification | 7,163,726 | (5,012,675) | ||||
Total loss reclassified from AOCI (1) | 2,257,878 | [1] | 9,341,941 | [2] | ||
Net current period other comprehensive income | 9,421,604 | 4,329,266 | ||||
Balance | $ (846,905) | $ (6,858,575) | $ (846,905) | $ (6,858,575) | ||
[1]The loss reclassified from AOCI is presented net of tax benefits of $719,282 which are included in the provision for (benefit from) income taxes on the Company's Consolidated Statement of Operations for the nine months ended December 31, 2022.[2]The loss reclassified from AOCI is presented net of tax benefits of $2,976,019 which are included in the provision for (benefit from) income taxes on the Company's Consolidated Statement of Operations for the nine months ended December 31, 2021. |
Note I - Fair Value Measureme_3
Note I - Fair Value Measurements - Recurring Fair Value Measurements (Details) - Fair Value, Recurring [Member] - USD ($) | Dec. 31, 2022 | Mar. 31, 2022 | Mar. 31, 2021 |
Derivative liabilities | $ 159,120 | $ 10,188,780 | |
Total | 159,120 | (10,188,780) | |
Commodity futures – financial liabilities, net | (159,120) | (10,188,780) | |
Fair Value, Inputs, Level 1 [Member] | |||
Derivative liabilities | 10,188,780 | ||
Total | $ 159,120 | (10,188,780) | |
Commodity futures – financial liabilities, net | $ (10,188,780) | ||
Fair Value, Inputs, Level 2 [Member] | |||
Derivative liabilities | $ 0 | ||
Total | 0 | ||
Commodity futures – financial liabilities, net | 0 | ||
Fair Value, Inputs, Level 3 [Member] | |||
Derivative liabilities | 0 | ||
Total | 0 | ||
Commodity futures – financial liabilities, net | $ 0 |
Note J - Segment Information (D
Note J - Segment Information (Details Textual) - USD ($) | 3 Months Ended | 9 Months Ended | 21 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2022 | |
Derivative Instruments Not Designated as Hedging Instruments, Gain (Loss), Net, Total | $ 1,353,520 | $ 1,238,320 | |||
Gain (Loss) on Extinguishment of Debt, Total | 0 | 1,706,614 | |||
Paycheck Protection Program CARES Act [Member] | |||||
Gain (Loss) on Extinguishment of Debt, Total | $ 1,706,614 | ||||
Nonoperating Income (Expense) [Member] | Paycheck Protection Program CARES Act [Member] | |||||
Gain (Loss) on Extinguishment of Debt, Total | 1,706,614 | ||||
Nonoperating Income (Expense) [Member] | Hot-rolled Coil Steel Contracts [Member] | |||||
Derivative Instruments Not Designated as Hedging Instruments, Gain (Loss), Net, Total | $ 822,200 | $ 1,721,700 | $ 7,325,860 | (6,498,040) | |
Derivative Instruments Not Designated as Hedging Instruments, Loss | $ 1,721,700 | $ 6,498,040 |
Note J - Segment Information -
Note J - Segment Information - Segment Information (Details) - USD ($) | 3 Months Ended | 9 Months Ended | |||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | Mar. 31, 2022 | |
Net Sales | $ 111,860,093 | $ 51,655,943 | $ 423,355,592 | $ 210,143,277 | |
Operating profit (loss) | 1,428,984 | (5,598,263) | 13,818,678 | 32,786,489 | |
Interest expense | 447,551 | 58,385 | 1,498,147 | 153,891 | |
Other income (loss), net | 826,039 | 1,727,134 | 7,349,916 | (4,801,121) | |
EARNINGS (LOSS) BEFORE INCOME TAXES | 1,807,472 | (3,929,514) | 19,670,447 | 27,831,477 | |
Assets | 203,883,283 | 203,883,283 | $ 159,275,070 | ||
Operating Segments [Member] | |||||
Operating profit (loss) | 3,951,000 | (4,679,000) | 21,820,000 | 37,448,000 | |
Assets | 197,861,000 | 197,861,000 | 139,249,000 | ||
Corporate, Non-Segment [Member] | |||||
General corporate expenses | 2,522,000 | 920,000 | 8,002,000 | 4,662,000 | |
Assets | 6,022,000 | 6,022,000 | 20,026,000 | ||
Coil [Member] | |||||
Net Sales | 100,231,001 | 41,795,586 | 372,830,186 | 172,814,243 | |
Coil [Member] | Operating Segments [Member] | |||||
Net Sales | 100,231,000 | 41,795,000 | 372,830,000 | 172,814,000 | |
Operating profit (loss) | 3,259,000 | (4,032,000) | 15,684,000 | 33,497,000 | |
Assets | 185,210,000 | 185,210,000 | 115,232,000 | ||
Tubular [Member] | |||||
Net Sales | 11,629,092 | 9,860,357 | 50,525,406 | 37,329,034 | |
Tubular [Member] | Operating Segments [Member] | |||||
Net Sales | 11,629,000 | 9,861,000 | 50,526,000 | 37,329,000 | |
Operating profit (loss) | 692,000 | $ (647,000) | 6,136,000 | $ 3,951,000 | |
Assets | $ 12,651,000 | $ 12,651,000 | $ 24,017,000 |
Note K - Revenue (Details Textu
Note K - Revenue (Details Textual) | 9 Months Ended |
Dec. 31, 2022 | |
Number of Reportable Segments | 2 |
Note K - Revenue - Disaggregati
Note K - Revenue - Disaggregation of Revenue (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | |
Net Sales | $ 111,860,093 | $ 51,655,943 | $ 423,355,592 | $ 210,143,277 |
Coil [Member] | ||||
Net Sales | 100,231,001 | 41,795,586 | 372,830,186 | 172,814,243 |
Coil [Member] | Prime Coil [Member] | ||||
Net Sales | 99,100,019 | 39,588,438 | 368,583,106 | 164,096,180 |
Coil [Member] | Secondary Coil [Member] | ||||
Net Sales | 796,112 | 1,852,272 | 3,219,043 | 7,704,262 |
Coil [Member] | Customer Owned [Member] | ||||
Net Sales | 334,870 | 354,876 | 1,028,037 | 1,013,801 |
Tubular [Member] | ||||
Net Sales | 11,629,092 | 9,860,357 | 50,525,406 | 37,329,034 |
Tubular [Member] | Manufactured Pipe [Member] | ||||
Net Sales | 11,629,092 | 6,906,450 | 50,071,386 | 27,889,886 |
Tubular [Member] | Mill Reject Pipe [Member] | ||||
Net Sales | $ 0 | $ 2,953,907 | $ 454,020 | $ 9,439,148 |
Note L - Stockholders' Equity -
Note L - Stockholders' Equity - Schedule of Stockholders' Equity (Details) - USD ($) | 3 Months Ended | 6 Months Ended | 9 Months Ended | ||||||
Dec. 31, 2022 | Sep. 30, 2022 | Jun. 30, 2022 | Dec. 31, 2021 | Sep. 30, 2021 | Jun. 30, 2021 | Sep. 30, 2022 | Dec. 31, 2022 | Dec. 31, 2021 | |
Balance | $ 106,689,752 | $ 102,715,030 | $ 79,686,648 | $ 80,335,001 | $ 62,942,275 | $ 65,339,976 | $ 79,686,648 | $ 79,686,648 | $ 65,339,976 |
Net earnings | 1,375,893 | 2,470,908 | 11,184,374 | (2,961,833) | 13,177,614 | 11,311,797 | 15,031,175 | 21,527,578 | |
Other comprehensive income (loss) | 669,454 | 1,578,033 | 7,174,117 | 13,795,418 | 4,227,185 | (13,693,337) | |||
Paid in capital – restricted stock awards | 78,175 | 73,153 | 73,153 | 128,194 | 126,037 | 121,704 | |||
Repurchase of shares | (7,304) | (29,268) | (102,075) | ||||||
Cash dividends | (147,512) | (147,372) | (157,694) | (138,024) | (138,110) | (137,865) | |||
Net earnings | 1,375,893 | 2,470,908 | 11,184,374 | (2,961,833) | 13,177,614 | 11,311,797 | 15,031,175 | 21,527,578 | |
Issuance of restricted stock | 0 | 0 | 0 | ||||||
Balance | 108,658,458 | 106,689,752 | 102,715,030 | 91,056,681 | 80,335,001 | 62,942,275 | 106,689,752 | 108,658,458 | 91,056,681 |
Plateplus Inc. [Member] | |||||||||
Shares issued – Plateplus business combination | 4,783,700 | 4,783,700 | 4,800,000 | ||||||
Common Stock [Member] | |||||||||
Balance | 8,861,016 | 8,861,016 | 8,344,975 | 8,340,785 | 8,334,785 | 8,334,785 | 8,344,975 | 8,344,975 | 8,334,785 |
Net earnings | 0 | 0 | 0 | 0 | 0 | 0 | |||
Other comprehensive income (loss) | 0 | 0 | 0 | 0 | 0 | 0 | |||
Paid in capital – restricted stock awards | 0 | 0 | 0 | 0 | 0 | 0 | |||
Repurchase of shares | 0 | 0 | 0 | ||||||
Cash dividends | 0 | 0 | 0 | 0 | 0 | 0 | |||
Net earnings | 0 | 0 | 0 | 0 | 0 | 0 | |||
Issuance of restricted stock | 7,700 | 4,190 | 6,000 | ||||||
Balance | 8,868,716 | 8,861,016 | 8,861,016 | 8,344,975 | 8,340,785 | 8,334,785 | 8,861,016 | 8,868,716 | 8,344,975 |
Common Stock [Member] | Plateplus Inc. [Member] | |||||||||
Shares issued – Plateplus business combination | 516,041 | ||||||||
AOCI Attributable to Parent [Member] | |||||||||
Balance | (1,516,359) | (3,094,392) | (10,268,509) | (20,653,993) | (24,881,178) | (11,187,841) | (10,268,509) | (10,268,509) | (11,187,841) |
Net earnings | 0 | 0 | 0 | 0 | 0 | 0 | |||
Other comprehensive income (loss) | 669,454 | 1,578,033 | 7,174,117 | 13,795,418 | 4,227,185 | (13,693,337) | |||
Paid in capital – restricted stock awards | 0 | 0 | 0 | 0 | 0 | 0 | |||
Repurchase of shares | 0 | 0 | 0 | ||||||
Cash dividends | 0 | 0 | 0 | 0 | 0 | 0 | |||
Net earnings | 0 | 0 | 0 | 0 | 0 | 0 | |||
Issuance of restricted stock | 0 | 0 | 0 | ||||||
Balance | (846,905) | (1,516,359) | (3,094,392) | (6,858,575) | (20,653,993) | (24,881,178) | (1,516,359) | (846,905) | (6,858,575) |
AOCI Attributable to Parent [Member] | Plateplus Inc. [Member] | |||||||||
Shares issued – Plateplus business combination | 0 | ||||||||
Additional Paid-in Capital [Member] | |||||||||
Balance | 34,856,326 | 34,783,173 | 30,442,361 | 30,245,203 | 30,125,166 | 30,003,462 | 30,442,361 | 30,442,361 | 30,003,462 |
Net earnings | 0 | 0 | 0 | 0 | 0 | 0 | |||
Other comprehensive income (loss) | 0 | 0 | 0 | 0 | 0 | 0 | |||
Paid in capital – restricted stock awards | 78,175 | 73,153 | 73,153 | 128,194 | 126,037 | 121,704 | |||
Repurchase of shares | 0 | 0 | 0 | ||||||
Cash dividends | 0 | 0 | 0 | 0 | 0 | 0 | |||
Net earnings | 0 | 0 | 0 | 0 | 0 | 0 | |||
Issuance of restricted stock | (7,700) | (4,190) | (6,000) | ||||||
Balance | 34,926,801 | 34,856,326 | 34,783,173 | 30,369,207 | 30,245,203 | 30,125,166 | 34,856,326 | 34,926,801 | 30,369,207 |
Additional Paid-in Capital [Member] | Plateplus Inc. [Member] | |||||||||
Shares issued – Plateplus business combination | 4,267,659 | ||||||||
Treasury Stock [Member] | |||||||||
Balance | (7,770,465) | (7,770,465) | (7,741,197) | (7,203,342) | (7,203,342) | (7,203,342) | (7,741,197) | (7,741,197) | (7,203,342) |
Net earnings | 0 | 0 | 0 | 0 | 0 | 0 | |||
Other comprehensive income (loss) | 0 | 0 | 0 | 0 | 0 | 0 | |||
Paid in capital – restricted stock awards | 0 | 0 | 0 | 0 | 0 | 0 | |||
Repurchase of shares | (7,304) | (29,268) | (102,075) | ||||||
Cash dividends | 0 | 0 | 0 | 0 | 0 | 0 | |||
Net earnings | 0 | 0 | 0 | 0 | 0 | 0 | |||
Issuance of restricted stock | 0 | 0 | 0 | ||||||
Balance | (7,777,769) | (7,770,465) | (7,770,465) | (7,305,417) | (7,203,342) | (7,203,342) | (7,770,465) | (7,777,769) | (7,305,417) |
Treasury Stock [Member] | Plateplus Inc. [Member] | |||||||||
Shares issued – Plateplus business combination | 0 | ||||||||
Retained Earnings [Member] | |||||||||
Balance | 72,259,234 | 69,935,698 | 58,909,018 | 69,606,348 | 56,566,844 | 45,392,912 | 58,909,018 | 58,909,018 | 45,392,912 |
Net earnings | 1,375,893 | 2,470,908 | 11,184,374 | (2,961,833) | 13,177,614 | 11,311,797 | |||
Other comprehensive income (loss) | 0 | 0 | 0 | 0 | 0 | 0 | |||
Paid in capital – restricted stock awards | 0 | 0 | 0 | 0 | 0 | 0 | |||
Repurchase of shares | 0 | 0 | 0 | ||||||
Cash dividends | (147,512) | (147,372) | (157,694) | (138,024) | (138,110) | (137,865) | |||
Net earnings | 1,375,893 | 2,470,908 | 11,184,374 | (2,961,833) | 13,177,614 | 11,311,797 | |||
Issuance of restricted stock | 0 | 0 | 0 | ||||||
Balance | $ 73,487,615 | $ 72,259,234 | 69,935,698 | $ 66,506,491 | $ 69,606,348 | $ 56,566,844 | $ 72,259,234 | $ 73,487,615 | $ 66,506,491 |
Retained Earnings [Member] | Plateplus Inc. [Member] | |||||||||
Shares issued – Plateplus business combination | $ 0 |
Note L - Stockholders' Equity_2
Note L - Stockholders' Equity - Schedule of Stockholders' Equity (Details) (Parentheticals) - $ / shares | 3 Months Ended | 9 Months Ended | ||||||
Dec. 31, 2022 | Sep. 30, 2022 | Jun. 30, 2022 | Dec. 31, 2021 | Sep. 30, 2021 | Jun. 30, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | |
Cash dividends, per share (in dollars per share) | $ 0.02 | $ 0.02 | $ 0.02 | $ 0.02 | $ 0.02 | $ 0.02 | $ 0.06 | $ 0.06 |
Note M - Other Comprehensive _3
Note M - Other Comprehensive Income (Loss) - Summary of Other Comprehensive Loss (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | |
Cash flow hedges, before tax | $ 882,720 | $ 18,190,160 | $ 12,423,000 | $ 5,708,420 |
Cash flow hedges, tax | (213,266) | (4,394,742) | (3,001,396) | (1,379,154) |
Cash flow hedges | 669,454 | 13,795,418 | 9,421,604 | 4,329,266 |
Other comprehensive income (loss), before tax | 882,720 | 18,190,160 | 12,423,000 | 5,708,420 |
Other comprehensive income (loss), tax | (213,266) | (4,394,742) | (3,001,396) | (1,379,154) |
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent, Total | $ 669,454 | $ 13,795,418 | $ 9,421,604 | $ 4,329,266 |
Note N - Earnings Per Share - C
Note N - Earnings Per Share - Computation of Basic and Diluted Earnings Per Share (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||||||
Dec. 31, 2022 | Sep. 30, 2022 | Jun. 30, 2022 | Dec. 31, 2021 | Sep. 30, 2021 | Jun. 30, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | |
Net earnings | $ 1,375,893 | $ 2,470,908 | $ 11,184,374 | $ (2,961,833) | $ 13,177,614 | $ 11,311,797 | $ 15,031,175 | $ 21,527,578 |
Less: Allocation to unvested restricted stock units | 18,656 | 5,992 | 240,482 | 966,761 | ||||
Net earnings (loss) attributable to common shareholders | $ 1,357,237 | $ (2,967,825) | $ 14,790,693 | $ 20,560,817 | ||||
Weighted average common shares outstanding (in shares) | 7,275,212 | 6,610,204 | 7,196,452 | 6,593,343 |
Note N - Earnings Per Share - R
Note N - Earnings Per Share - Restricted Stock Units (Details) - shares | 3 Months Ended | 9 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | |
Restricted Stock Units (RSUs) [Member] | ||||
Restricted Stock Units (in shares) | 56,621 | 239,485 | 48,510 | 232,601 |
Note O - Supplemental Cash Fl_2
Note O - Supplemental Cash Flow Information (Details Textual) - USD ($) | 3 Months Ended | 6 Months Ended | 9 Months Ended | |||
Apr. 30, 2022 | Dec. 31, 2022 | Jun. 30, 2022 | Sep. 30, 2022 | Dec. 31, 2022 | Dec. 31, 2021 | |
Interest Paid, Excluding Capitalized Interest, Operating Activities | $ 1,316,000 | $ 154,000 | ||||
Income Taxes Paid, Net, Total | 428,000 | 7,487,000 | ||||
Proceeds from Income Tax Refunds | $ 423,000 | |||||
Capital Expenditures Incurred but Not yet Paid | 7,448,000 | |||||
Transfer of Ownership of Life Insurance Policy | $ 31,000 | |||||
Plateplus Inc. [Member] | ||||||
Business Acquisition, Equity Interest Issued or Issuable, Number of Shares (in shares) | 516,041 | 516,041 | ||||
Business Combination, Consideration Transferred, Equity Interests Issued and Issuable | $ 4,783,700 | $ 4,783,700 | $ 4,800,000 |
Note P - Income Taxes (Details
Note P - Income Taxes (Details Textual) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | |
Income Tax Expense (Benefit), Total | $ 431,579 | $ (967,681) | $ 4,639,272 | $ 6,303,899 |
Effective Income Tax Rate Reconciliation, Percent, Total | 23.60% | 22.70% |