Steel Products Prices North America

Friedman Logs Strong Q4, Reports Record Full-Year Earnings

Written by Ethan Bernard

June 30, 2023

Friedman Industries has reported the most profitable fiscal year in its history as the steel processor and manufacturer posted strong fiscal fourth-quarter results.

Friedman 2 2023 06 30 at 11.56.59 AMThe Longview, Texas-based company swung to a profit of $6.3 million in its fiscal Q4 2023 ended March 31 vs. a net loss of $7.5 million a year earlier on net sales that increased 65% to $124.2 million.

“Strong fourth-quarter results put an exclamation mark on a monumental fiscal year for Friedman,” Michael J. Taylor, president and CEO, said in a statement. (See earnings box for full-year results.)

Friedman saw a large increase in Q4 sales “driven by volume growth from approximately 52,500 tons for the 2022 quarter to approximately 132,000 tons for the 2023 quarter.”

The company noted the increase was due to a combination of the East Chicago, Ill,, and Granite City, Ind., facilities bought from Plateplus Inc. in April 2022, and the newly constructed Sinton, Texas, facility, which started operations last October. Friedman said these facilities combined represented approximately 84,000 tons of the quarter’s sales volume.

“These strategic investments contributed to our most profitable year in company history, and we believe they will have a profound impact on the future of Friedman,” Taylor said.

Looking forward, the company expects sales volumes for fiscal Q1 2024 to be about the same as Q4 2023, adding that it expects margin improvement in the same comparison due to rising hot-rolled coil prices entering its Q1.

“Overall, the company expects the first quarter to be one of the more profitable quarters in company history,” Friedman said.

By Ethan Bernard, ethan@steelmarketupdate.com

Ethan Bernard

Ethan Bernard is managing editor for Steel Market Update. He previously worked for American Metal Market as a copy editor in the New York office for two years, starting in 2008. Later, he copy edited AMM’s monthly magazine on a freelance basis from 2015 until 2017. With experience in financial copywriting and textbook publishing, he holds a BA in Comparative Literature from UC Berkeley, and an MFA. in Creative Writing from New York University. He can be reached at ethan@steelmarketupdate.com or 724-759-7871.

Read more from Ethan Bernard

Latest in Steel Products Prices North America