What changed in this filing

/stocks — the workspaceLOADING

Item 1. Financial Statements

2025-02-07 compared with 2024-11-12 · 130 added, 124 removed, 454 unchanged (36% of the section changed)

3 unchanged sentences

(In thousands, except for share data)

SEPTEMBER 30, 2024

DECEMBER 31, 2024

MARCH 31, 2024

1 unchanged sentence

$ 1,075 $ 2,891

Accounts receivable, net of allowances for credit losses and cash discounts of $ 147 and $ 97 at September 30, and March 31, 2024, respectively

Accounts receivable, net of allowances for credit losses and cash discounts of $ 145 and $ 97 at December 31, and March 31, 2024, respectively

31,727 47,329

14 unchanged sentences

OTHER ASSETS:

Cash value of officers’ life insurance and other assets

Operating lease right-of-use asset 2,894 2,841

22 unchanged sentences

Authorized shares — 10,000,000 ;

Issued shares — 8,873,203 shares at September 30, and March 31, 2024

Issued shares — 8,873,203 shares at December 31, and March 31, 2024

Additional paid-in capital

35,368 35,247

Treasury stock at cost ( 1,904,258 shares and 1,896,892 shares at September 30, and March 31, 2024, respectively)

Treasury stock at cost ( 1,906,693 shares and 1,896,892 shares at December 31, and March 31, 2024, respectively)

( 13,100 ) ( 12,929 )

10 unchanged sentences

THREE MONTHS ENDED

SIX MONTHS ENDED

SEPTEMBER 30,

NINE MONTHS ENDED

$ 94,074 $ 115,973 $ 315,384 $ 384,019

Costs and expenses:

Cost of materials sold (excludes items shown separately below)

Costs of materials sold (excludes items shown separately below)

78,509 91,972 263,165 309,157

7 unchanged sentences

827 754 2,445 2,262

Loss on disposal of property, plant and equipment 222 — 222 —

95,636 109,800 318,346 366,434

Gain on disposal of property, plant and equipment

EARNINGS (LOSS) FROM OPERATIONS

( 1,187 ) 6,173 ( 2,809 ) 17,585

Gain on economic hedges of risk

Gain (loss) on economic hedges of risk

264 ( 4,126 ) 5,833 706

1 unchanged sentence

( 632 ) ( 790 ) ( 2,182 ) ( 2,135 )

Other income (expense)

( 3 ) 10 — 16

EARNINGS (LOSS) BEFORE INCOME TAXES

14 unchanged sentences

THREE MONTHS ENDED

SIX MONTHS ENDED

SEPTEMBER 30,

NINE MONTHS ENDED

Net earnings (loss)

Other comprehensive income (loss):

$ ( 1,152 ) $ 1,184 $ 740 $ 12,387

Other comprehensive income:

Cash flow hedges, net of tax

Comprehensive income (loss)

$ ( 1,152 ) $ 1,184 $ 740 $ 12,704

The accompanying notes are an integral part of these financial statements.

2 unchanged sentences

(In thousands)

SIX MONTHS ENDED SEPTEMBER 30,

NINE MONTHS ENDED DECEMBER 31,

OPERATING ACTIVITIES

$ 740 $ 12,387

Adjustments to reconcile net earnings to cash provided by (used in) operating activities:

Adjustments to reconcile net earnings to cash provided by operating activities:

Depreciation and amortization

5 unchanged sentences

( 1,640 ) ( 894 )

Deferred realized gain on derivatives

Loss on disposal of property, plant and equipment 222 —

Deferred realized loss on derivatives

Gain on disposal of property, plant and equipment

Right-of-use asset

2 unchanged sentences

410 ( 27,656 )

10,753 ( 18,256 )

Other current assets

141 ( 2,369 )

Increase (decrease) in operating liabilities:

6 unchanged sentences

( 5,083 ) ( 1,121 )

NET CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES

4,724 ( 20,236 )

NET CASH PROVIDED BY OPERATING ACTIVITIES

INVESTING ACTIVITIES

1 unchanged sentence

( 3,045 ) ( 4,774 )

Proceeds from sale of assets

Deposit on steel processing equipment

13 unchanged sentences

( 478,188 ) ( 597,144 )

NET CASH (USED IN) PROVIDED BY FINANCING ACTIVITIES

NET CASH PROVIDED BY (USED IN) FINANCING ACTIVITIES

( 8,845 ) 7,173

DECREASE IN CASH AND RESTRICTED CASH

INCREASE (DECREASE) IN CASH AND RESTRICTED CASH

( 4,672 ) 3,406

2 unchanged sentences

$ 1,225 $ 8,792

Cash and restricted cash at September 30, 2024 and March 31, 2024 included approximately $0.1 million and $3.0 million, 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 September 30, 2024 and March 31, 2024.

The Company did not have any restricted cash as of September 30, 2023.

Cash and restricted cash at December 31, 2024 and March 31, 2024 included approximately $0.1 million and $3.0 million, 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 December 31, 2024 and March 31, 2024.

The Company had approximately $4.8 million in restricted cash as of December 31, 2023.

The accompanying notes are an integral part of these financial statements.

7 unchanged sentences

Reclassifications

The consolidated financial statements for the previous year may include certain reclassifications to conform to the current presentation.

To conform with the current year presentation, “Cost of products sold” on the consolidated statements of operations was broken down into four separate line items:

The consolidated financial statements for the previous year include certain reclassifications to conform to the current presentation.

To conform with the current year presentation, “Cost of products sold” on the consolidated statements of operations was disaggregated into four separate line items:

"Cost of materials sold", "Processing and warehousing expense", "Delivery expense" and "Depreciation and amortization".

The Company believes this increased level of detail provides financial statement users with a better understanding of the Company's expenses.

"Cost of materials sold" represent the costs associated with direct materials.

"Cost of materials sold" provides the costs associated with purchased steel, inbound freight, transfer freight and certain external processing costs.

"Processing and warehousing expense" represents the operating costs at our processing facilities.

8 unchanged sentences

The new guidance is effective for annual reporting periods beginning after December 15, 2026, and interim reporting periods beginning after December 15, 2027 with early adoption permitted.

The Company is evaluating the impact that adoption of the provisions of ASU 2024 - 03 will have on its consolidated financial statements but does not expect a material impact.

The Company is evaluating the impact that adoption of the provisions of ASU 2024 - 03 will have on its consolidated financial statements.

In December 2023, the FASB issued Accounting Standards Update No.

2023 - 09, Improvements to Income Tax Disclosures ("ASU 2023 - 09" ).

ASU 2023 - 09 requires that an entity disclose specific categories in the rate reconciliation, provide additional information for reconciling items that are greater than 5 percent of the amount computed by multiplying pretax income (or loss) by the applicable statutory income tax rate, and provide income taxes paid by jurisdiction that are greater than 5 percent of total income taxes paid.

The standard also requires that entities disclose income (or loss) from continuing operations before income tax expense (or benefit) and income tax expense (or benefit) each disaggregated between domestic and foreign operations.

ASU 2023 - 09 is effective for annual periods beginning after December 15, 2024.

Early adoption is permitted for annual financial statements that have not yet been issued or made available for issuance.

ASU 2023 - 09 is to be applied on a prospective basis, but retrospective application is permitted.

The Company is evaluating the impact that adoption of the provisions of ASU 2023 - 09 will have on its consolidated financial statements.

In November 2023, the FASB issued Accounting Standards Update No.

2023 - 07, Improvements to Reportable Segment Disclosures ("ASU 2023 - 07" ).

ASU 2023 - 07 includes requirements that an entity disclose the title of the chief operating decision maker (CODM) and on an interim and annual basis, significant segment expenses and the composition of other segment items for each segment's reported profit.

The standard also permits disclosure of additional measures of segment profit.

ASU 2023 - 07 is effective for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024.

Early adoption is permitted.

The guidance is to be applied retrospectively to all prior periods presented in the financial statements.

The Company is evaluating the impact that adoption of the provisions of ASU 2023 - 07 will have on its consolidated financial statements.

NOTE C — INVENTORIES

9 unchanged sentences

Inventory costs include the costs of the purchased metals, inbound freight, transfer freight, certain external processing, internal processing, direct labor and applicable overhead costs.

On the Consolidated Statements of Operations, "Cost of materials sold (excludes items shown separately below)" consists of the cost of purchased metals, inbound freight, transfer freight and certain external processing costs.

A summary of inventory values by product group follows (in thousands):

September 30, 2024

December 31, 2024

March 31, 2024

20 unchanged sentences

If certain conditions precedent are satisfied, the ABL facility may be increased by up to an aggregate of $ 25 million, in minimum increments of $ 5 million.

At September 30, 2024 , the Company had a balance of approximately $ 35.9 million under the ABL Facility with an applicable interest rate of 7.0 %.

At September 30, 2024 , the Company's applicable borrowing base calculation supported access to approximately $ 104.7 million of the ABL Facility.

At December 31, 2024 , the Company had a balance of approximately $ 32.5 million under the ABL Facility with an applicable interest rate of 6.5 %.

At December 31, 2024 , the Company's applicable borrowing base calculation supported access to approximately $ 99.2 million of the ABL Facility.

The Company incurred debt issuance costs of approximately $ 0.4 million in connection with the ABL Facility.

3 unchanged sentences

The lease calls for monthly rental payments that adjust on an annual basis.

The monthly rental payment in place at September 30, 2024 and remaining in place until adjustment in September 2025 is approximately $ 13,000 per month.

The monthly rental payment in place at December 31, 2024 and remaining in place until adjustment in September 2025 is approximately $ 13,000 per month.

The anticipated execution of renewal options for this lease is included in the ROU asset and lease liability calculation.

1 unchanged sentence

The lease calls for monthly rental payments that adjust on an annual basis.

The monthly rental payment in place at September 30, 2024 and remaining in place until adjustment in March 2025 is approximately $ 11,000 per month.

The monthly rental payment in place at December 31, 2024 and remaining in place until adjustment in March 2025 is approximately $ 11,000 per month.

The Company’s lease of its office space in Longview, Texas is the only other operating lease included in the Company's ROU assets and lease liabilities.

3 unchanged sentences

The last payment under this lease was made in October 2024.

The components of expense related to leases for the three and six months ended September 30, 2024 and 2023 are as follows (in thousands):

The components of expense related to leases for the three and nine months ended December 31, 2024 and 2023 are as follows (in thousands):

Three Months Ended

Six Months Ended

September 30,

Nine Months Ended

Finance lease – amortization of ROU asset

4 unchanged sentences

$ 108 $ 61 $ 330 $ 183

The following table illustrates the balance sheet classification for ROU assets and lease liabilities as of September 30, 2024 and March 31, 2024 (in thousands):

September 30, 2024

The following table illustrates the balance sheet classification for ROU assets and lease liabilities as of December 31, 2024 and March 31, 2024 (in thousands):

December 31, 2024

March 31, 2024

14 unchanged sentences

$ 2,947 $ 2,937

As of September 30, 2024 , the weighted-average remaining lease term was 19.4 years for operating leases.

As of December 31, 2024 , the weighted-average remaining lease term was 19.3 years for operating leases.

The weighted average discount rate was 7.5 % for operating leases .

Maturities of lease liabilities as of September 30, 2024 were as follows (in thousands):

Maturities of lease liabilities as of December 31, 2024 were as follows (in thousands):

Operating Leases

Finance Leases

Fiscal 2025 (remainder of fiscal year)

4 unchanged sentences

NOTE F — PROPERTY, PLANT AND EQUIPMENT

At September 30, 2024 , the Company's construction in process balance of approximately $ 0.8 million consisted of several smaller projects among our facilities.

In August 2024, a processing line upgrade at the Decatur, AL facility was placed into service at a cost of approximately $ 1.9 million and a loss of approximately $ 0.2 million was recognized for disposal of the replaced equipment.

At December 31, 2024 , the Company's construction in process balance of approximately $ 0.7 million consisted of several smaller projects among our facilities.

During December 2024, the Company's tubular segment sold equipment for $ 0.8 million resulting in a gain of approximately $ 0.4 million.

NOTE G — STOCK BASED COMPENSATION

7 unchanged sentences

Because the Company accounts for forfeitures as they occur, the non-forfeitable dividends are reclassified from retained earnings to additional stock compensation for the actual forfeitures that occurred.

The following table summarizes the activity related to restricted stock units (“RSUs”) for the six months ended September 30, 2024 :

The following table summarizes the activity related to restricted stock units (“RSUs”) for the nine months ended December 31, 2024 :

Weighted Average

5 unchanged sentences

( 46,000 ) 6.45

Unvested at September 30, 2024

Unvested at December 31, 2024

18,487 $ 7.04

1 unchanged sentence

Compensation expense is recognized over the requisite service period applicable to each award.

The Company recorded compensation expen se of approximately $ 0.1 million and $ 0.2 million in the six months ended September 30, 2024 and 2023 , respectively, relating to the RSUs issued under the Plan.

As of September 30, 2024 , unrecognized compensation expense related to unvested RSUs was appr oximat ely $ 48,000 which is expected to be recognized over a weighted average period of approximately 0.4 years.

As of September 30, 2024 , a total of 117,998 shares were still available to be issued under the Plan.

The Company recorded compensation expen se of approximately $ 0.1 million and $ 0.2 million in the nine months ended December 31, 2024 and 2023 , respectively, relating to the RSUs issued under the Plan.

As of December 31, 2024 , unrecognized compensation expense related to unvested RSUs was appr oximat ely $ 15,000 which is expected to be recognized over a weighted average period of approximately 0.3 years.

As of December 31, 2024 , a total of 117,998 shares were still available to be issued under the Plan.

NOTE H — DERIVATIVE FINANCIAL INSTRUMENTS

From time to time, we expect to utilize hot-rolled coil futures or options to reduce our exposure to commodity price risk that is inherent in our business.

For the six months ended September 30, 2024 , all of the Company's hedging activities were classified as economic hedges of risk with mark-to-market ("MTM") accounting treatment.

For the six months ended September 30, 2023 , the Company had hedging activities classified as cash flow hedges with hedge accounting treatment according to the requirements of ASC 815– Derivatives and Hedging and hedging activities classified as economic hedges of risk with MTM accounting treatment.

For the nine months ended December 31, 2024 , all of the Company's hedging activities were classified as economic hedges of risk with mark-to-market ("MTM") accounting treatment.

For the nine months ended December 31, 2023 , the Company had hedging activities classified as cash flow hedges with hedge accounting treatment according to the requirements of ASC 815– Derivatives and Hedging and hedging activities classified as economic hedges of risk with MTM accounting treatment.

By using derivatives, the Company is exposed to credit and market risk.

7 unchanged sentences

These supply agreements are not subject to mark-to-market accounting due to the Company electing the normal purchase normal sale exclusion provided in ASC 815.

At September 30, 2024 and March 31, 2024 , the Company did not have any hot-rolled coil futures contracts designated as hedging instruments and classified as cash flow or fair value hedges.

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 September 30, 2024 (in thousands):

At December 31, 2024 and March 31, 2024 , the Company did not have any hot-rolled coil futures contracts designated as hedging instruments and classified as cash flow or fair value hedges.

Asset Derivatives

16 unchanged sentences

All derivatives are presented on a gross basis on the Consolidated Balance Sheets.

During the six months ended September 30, 2024 and 2023 , the Company entered into hot-rolled coil futures contracts that were not designated as hedging instruments for accounting purposes.

During the nine months ended December 31, 2024 and 2023 , the Company entered into hot-rolled coil futures contracts that were not designated as hedging instruments for accounting purposes.

Accordingly, the change in fair value related to these instruments was immediately recognized in earnings for these periods.

During the six months ended September 30, 2024 and 2023 , the Company did not designate any transactions as hedging instruments for accounting purposes.

During the six months ended September 30, 2023 , the Company reclassified the loss associated with previously designated cash flow hedges into earnings during the period.

The following table summarizes the pre-tax gain (loss) recognized in other comprehensive income and the loss reclassified from accumulated other comprehensive income into earnings for derivative financial instruments designated as cash flow hedges for the six months ended September 30, 2023 (in thousands):

Loss Reclassified from

Pre-Tax Gain (Loss) Location of Loss Reclassified AOCI into Net

Recognized in OCI from AOCI into Net Earnings Earnings

For the six months ended September 30, 2023:

During the nine months ended December 31, 2024 and 2023 , the Company did not designate any transactions as hedging instruments for accounting purposes.

During the nine months ended December 31, 2023 , the Company reclassified the loss associated with previously designated cash flow hedges into earnings during the period.

The following table summarizes the pre-tax gain (loss) recognized in other comprehensive income and the loss reclassified from accumulated other comprehensive income into earnings for derivative financial instruments designated as cash flow hedges for the nine months ended December 31, 2023 (in thousands):

Pre-Tax Gain (Loss) Recognized in OCI Location of Loss Reclassified from AOCI into Net Earnings

Pre- Tax Loss Reclassified from AOCI into Net Earnings

For the nine months ended December 31, 2023:

Hot-rolled coil steel contracts

$ — $ ( 418 )

The following table summarizes the gain recognized in earnings for derivative instruments not designated as hedging instruments during the three and six months ended September 30, 2024 (in thousands):

The following table summarizes the gain recognized in earnings for derivative instruments not designated as hedging instruments during the three and nine months ended December 31, 2024 (in thousands):

Gain Recognized in Earnings

2 unchanged sentences

Recognized in Earnings

September 30, 2024

December 31, 2024

Hot-rolled coil steel contracts

Gain on economic hedges of risk

Gain (loss) on economic hedges of risk

Gain Recognized in Earnings

Location of Gain

for the Six Months Ended

for the Nine Months Ended

Recognized in Earnings

September 30, 2024

December 31, 2024

Hot-rolled coil steel contracts

Gain on economic hedges of risk

Gain Recognized in Earnings

Location of Gain

Gain (loss) on economic hedges of risk

The following table summarizes the gain (loss) recognized in earnings for derivative instruments not designated as hedging instruments during the three and nine months ended December 31, 2023 (in thousands):

Loss Recognized in Earnings

Location of Loss

for the Three Months Ended

Recognized in Earnings

September 30, 2023

December 31, 2023

Hot-rolled coil steel contracts

Gain on economic hedges of risk

Gain (loss) on economic hedges of risk

Gain Recognized in Earnings

Location of Gain

for the Six Months Ended

for the Nine Months Ended

Recognized in Earnings

September 30, 2023

December 31, 2023

Hot-rolled coil steel contracts

Gain on economic hedges of risk

The notional amount (quantity) of our derivative instruments not designated as hedging instruments at September 30, 2024 consisted of 1,820 tons of short positions with maturity dates ranging from October 2024 to June 2025 and 100 tons of long positions with maturity dates of November 2024 and January 2025.

The following tables reflect the change in accumulated other comprehensive income (loss), net of tax, for the six months ended September 30, 2023 (in thousands):

Gain (loss) on economic hedges of risk

The notional amount (quantity) of our derivative instruments not designated as hedging instruments at December 31, 2024 consisted of 4,020 tons of long positions with maturity dates of January 2025 to February 2025 and 180 tons of short positions with maturity dates ranging from March 2025 to September 2025.

The following tables reflect the change in accumulated other comprehensive income (loss), net of tax, for the nine months ended December 31, 2023 (in thousands):

Gain (Loss) on

3 unchanged sentences

Net current period other comprehensive income

Balance at September 30, 2023

( 1 ) The loss reclassified from AOCI is presented net of tax benefits of approximately $ 0.1 million which are included in the provision for (benefit from) income taxes on the Company's Consolidated Statement of Operations for the six months ended September 30, 2023 .

At September 30, 2024 and March 31, 2024 , cash of approximately $ 0.1 million and $ 3.0 million, respectively, was held by our clearing agent to collateralize our open derivative positions.

These cash requirements are included in "Other current assets" on the Company's Consolidated Balance Sheets at September 30, 2024 and March 31, 2024 .

Balance at December 31, 2023

At December 31, 2024 and March 31, 2024 , cash of approximately $ 0.1 million and $ 3.0 million, respectively, was held by our clearing agent to collateralize our open derivative positions.

These cash requirements are included in "Other current assets" on the Company's Consolidated Balance Sheets at December 31, 2024 and March 31, 2024 .

NOTE I — FAIR VALUE MEASUREMENTS

5 unchanged sentences

Recurring Fair Value Measurements

At September 30, 2024 , our financial assets, net, measured at fair value on a recurring basis were as follows (in thousands):

At December 31, 2024 , our financial assets, net, measured at fair value on a recurring basis were as follows (in thousands):

Quoted Prices

7 unchanged sentences

$ ( 1,612 ) $ — $ — $ ( 1,612 )

At September 30, 2024 and March 31, 2024 , the Company did not have any fair value measurements on a non-recurring basis.

At December 31, 2024 and March 31, 2024 , the Company did not have any fair value measurements on a non-recurring basis.

NOTE J — SEGMENT INFORMATION (in thousands)

2 unchanged sentences

flat-roll and tubular.

The Company’s flat-roll operations consists primarily of converting steel coils into flat sheet and plate steel cut to customer specifications.

The Company’s flat-roll operations consist primarily of converting steel coils into flat sheet and plate steel cut to customer specifications.

Through its tubular operations, the Company purchases, processes, manufactures and markets tubular products.

1 unchanged sentence

Three Months Ended

Six Months Ended

September 30,

Nine Months Ended

$ 86,144 $ 106,424 $ 286,910 $ 352,148

9 unchanged sentences

( 2,248 ) ( 2,405 ) ( 7,438 ) ( 8,229 )

Gain on economic hedges of risk

Gain (loss) on economic hedges of risk

264 ( 4,126 ) 5,833 706

1 unchanged sentence

( 632 ) ( 790 ) ( 2,182 ) ( 2,135 )

Other income (loss)

( 3 ) 10 — 16

TOTAL EARNINGS (LOSS) BEFORE INCOME TAXES

$ ( 1,552 ) $ 1,258 $ 845 $ 16,173

September 30, 2024

December 31, 2024

March 31, 2024

7 unchanged sentences

General corporate expenses reflect general and administrative expenses not directly associated with segment operations and consist primarily of corporate and accounting salaries, professional fees and services, bad debts, retirement plan contribution expense, corporate insurance expenses, restricted stock plan compensation expense and office supplies.

At September 30, 2024 and March 31, 2024 , corporate assets consist primarily of cash, restricted cash, leased administrative office right-of-use assets, unamortized debt issuance costs and the cash value of officers’ life insurance.

At December 31, 2024 and March 31, 2024 , corporate assets consist primarily of cash, restricted cash, leased administrative office right-of-use assets, unamortized debt issuance costs and the cash value of officers’ life insurance.

Although inventory is transferred at cost between product groups, there are no sales between product groups.

16 unchanged sentences

Manufactured Pipe.

The following table disaggregates our revenue by product for each of our reportable business segments for the three and six months ended September 30, 2024 and 2023 , respectively (in thousands):

The following table disaggregates our revenue by product for each of our reportable business segments for the three and nine months ended December 31, 2024 and 2023 , respectively (in thousands):

Three Months Ended

Six Months Ended

September 30,

Nine Months Ended

Flat-Roll Segment:

9 unchanged sentences

NOTE L — STOCKHOLDERS’ EQUITY

The following tables reflect the changes in stockholders’ equity for each of the six months ended September 30, 2024 and September 30, 2023 (in thousands):

The following tables reflect the changes in stockholders’ equity for each of the nine months ended December 31, 2024 and December 31, 2023 (in thousands):

Comprehensive

19 unchanged sentences

$ 8,873 $ — $ 35,336 $ ( 13,063 ) $ 97,618 $ 128,764

— — — — ( 1,152 ) ( 1,152 )

Paid in capital – restricted stock units

— — 32 — — 32

Repurchase of shares

— — — ( 37 ) — ( 37 )

Cash dividends ($ 0.04 per share)

— — — — ( 278 ) ( 278 )

BALANCE AT DECEMBER 31, 2024

$ 8,873 $ — $ 35,368 $ ( 13,100 ) $ 96,188 $ 127,329

Comprehensive

19 unchanged sentences

$ 8,869 $ — $ 35,161 $ ( 7,781 ) $ 90,560 $ 126,809

— — — — 1,184 1,184

Paid in capital – restricted stock units

— — 37 — — 37

Repurchase of shares

— — — ( 5,148 ) — ( 5,148 )

Cash dividends ($ 0.02 per share)

— — — — ( 139 ) ( 139 )

BALANCE AT DECEMBER 31, 2023

$ 8,869 $ — $ 35,198 $ ( 12,929 ) $ 91,605 $ 122,743

NOTE M — OTHER COMPREHENSIVE INCOME

The following table summarizes the tax effects on each component of Other Comprehensive Income for the six months ended September 30, 2023 (in thousands):

Six Months Ended September 30, 2023

The following table summarizes the tax effects on each component of Other Comprehensive Income for the nine months ended December 31, 2023 (in thousands):

Nine Months Ended December 31, 2023

Cash flow hedges

$ 418 $ ( 101 ) $ 317

Other comprehensive income

$ 418 $ ( 101 ) $ 317

NOTE N — EARNINGS PER SHARE

1 unchanged sentence

Three Months Ended

Six Months Ended

September 30,

Nine Months Ended

Numerator (basic and diluted)

Net earnings (loss)

$ ( 675 ) $ 3,513 $ 1,892 $ 11,203

Allocation to unvested restricted stock units

Net earnings (loss) attributable to common shareholders

$ ( 676 ) $ 3,472 $ 1,884 $ 11,072

Denominator (basic and diluted)

Weighted average common shares outstanding

6,939,416 7,288,906 6,939,312 7,288,906

For the six months ended September 30, 2024 and 2023 , the Company allocated dividends and undistributed earnings to the unvested restricted stock units.

For the nine months ended December 31, 2024 and 2023 , the Company allocated dividends and undistributed earnings to the unvested restricted stock units.

As the restricted stock qualifies as participating securities, the following restricted stock units were not accounted in the computation of weighted average diluted common shares outstanding under the two -class method:

Three Months Ended

Six Months Ended

September 30,

Nine Months Ended

Restricted Stock Units

24,049 72,910 22,997 67,712

NOTE O — SUPPLEMENTAL CASH FLOW INFORMATION

The Company paid interest o f approximately $ 1.6 million and $ 1.2 million during the six months ended September 30, 2024 and 2023 , respectively.

Additionally, the Company paid income taxes of approximately $ 2.9 million and $ 2.7 million during the six months ended September 30, 2024 and 2023 , respectively.

The Company paid interest o f approximately $ 2.2 million and $ 2.1 million during the nine months ended December 31, 2024 and 2023 , respectively.

Additionally, the Company paid income taxes of approximately $ 2.9 million and $ 2.8 million during the nine months ended December 31, 2024 and 2023 , respectively.

NOTE P — INCOME TAXES

For the six months ended September 30, 2024 and six months ended September 30, 2023 , the Company recorded income tax provisions of approximately $ 0.5 million and $ 3.7 million, respectively.

For the six months ended September 30, 2024 , the effective tax rate differed from the federal statutory rate due primarily to the inclusion of state tax expenses in the provision with this impact partially reduced by the tax effect of restricted stock vesting during the period.

For the six months ended September 30, 2023 , 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 month periods ended December 31, 2024 and 2023 , the Company recorded income tax provisio ns of approximately $ 0.1 million and $ 3.8 million, respectively.

For the nine months ended December 31, 2024 , the effective tax rate differed from the federal statutory rate due primarily to the tax effect of restricted stock vesting during the period with this impact partially reduced by the inclusion of state tax expenses in the provision.

For the nine months ended December 31, 2023 , the effective tax rate differed from the federal statutory rate due primarily to the inclusion of state tax expenses in the provision.

Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-Q

Item 1. Financial Statements