Friedman Industries Results Lifted by Rise in Steel Prices

Friedman Industries Inc has posted its most profitable quarter in its history boosted by rising steel prices. First-quarter profits were USD 11.3 million on sales of USD 65.9 million. Friedman shares have more than doubled so far this year. Results for the 2021 quarter were positively impacted by strong margins primarily associated with a historic rise in steel prices. The increase in sales was driven by an increase in the average selling price associated with higher hot-rolled steel prices and an increase in sales volume. "Operating results for the 2021 quarter benefitted from a significant increase in steel prices and associated improvement in our margins." Friedman Industries Chief Executive Mr Michael Taylor said "Hot-rolled steel prices for the 2021 quarter were approximately 200% higher than prices for the 2020 quarter and securing steel to support our customers remained a critical focus. "Prior efforts to expand our supply chain options, combined with our team's excellent work in the quarter to source steel in a supply tight market, have allowed us to be the consistent supplier our customers expect and to capture new customer opportunities." Hot-rolled steel prices have risen approximately 10% since June 30, 2021 and the company expects prices will continue to rise through September 30, 2021.

Friedman Industries Results Lifted by Rise in Steel Prices

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