# FRIEDMAN INDUSTRIES INC (FRD)

Informational only - not investment advice.

CIK: 0000039092
SIC: 3310 Steel Works, Blast Furnaces & Rolling & Finishing Mills
SIC breadcrumb: [Manufacturing](/division/D/) > [SIC Major Group 33](/major-group/33/) > [SIC 3310 Steel Works, Blast Furnaces & Rolling & Finishing Mills](/industry/3310/)
Latest 10-K filed: 2026-06-11
SEC page: https://www.sec.gov/edgar/browse/?CIK=39092
Filing source: https://www.sec.gov/Archives/edgar/data/39092/000143774926020323/frd20260331_10k.htm

## Selected Fundamentals
| Metric | Value | Unit | FY | Filed |
| --- | ---: | --- | ---: | --- |
| Revenue | 444600000 | USD | 2025 | 2025-06-12 |
| Net income | 6085000 | USD | 2025 | 2025-06-12 |
| Assets | 226822000 | USD | 2025 | 2025-06-12 |

## Financials

Annual standardized facts from SEC companyfacts as of latest extracted filing date 2025-06-12. Source: https://data.sec.gov/api/xbrl/companyfacts/CIK0000039092.json. Derived margins, ratios, and free cash flow are computed from the extracted annual SEC facts.

| Metric | 2013 | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
| --- | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: |
| Revenue |  |  |  | 121,157,278 | 187,154,493 | 142,102,324 | 126,102,533 | 285,235,000 | 547,542,000 | 516,251,000 | 444,600,000 |
| Net income |  | 294,000 | -2,678,684 | 3,934,101 | 5,099,924 | -5,249,210 | 11,424,475 | 14,066,000 | 21,344,000 | 17,345,000 | 6,085,000 |
| Operating income |  | 23,371 | -4,209,821 | 5,739,688 | 6,383,442 | -6,857,462 | 15,725,395 | 28,520,000 | 21,074,000 | 24,518,000 | 3,043,000 |
| Diluted EPS |  | 0.04 | -0.39 | 0.56 | 0.73 | -0.75 | 1.63 | 2.04 | 2.91 | 2.39 | 0.87 |
| Operating cash flow | 11,496,290 |  | -202,658 | 3,245,349 | 9,632,090 | 11,232,819 | 8,426,886 | -13,397,000 | 63,894,000 | 4,979,000 | -4,410,000 |
| Capital expenditures |  | 2,124,649 | 799,331 | 349,184 | 807,989 | 4,935,361 | 4,609,617 | 8,065,000 | 16,454,000 | 5,792,000 | 4,002,000 |
| Dividends paid |  | 271,978 | 274,078 | 280,378 | 1,191,605 | 839,933 | 564,190 | 551,000 | 589,000 | 581,000 | 1,115,000 |
| Share buybacks |  |  |  |  |  |  | 1,727,378 | 538,000 | 37,000 | 5,151,000 | 171,000 |
| Assets |  | 66,890,397 | 63,263,297 | 81,653,307 | 86,601,982 | 77,344,088 | 95,008,809 | 159,275,000 | 199,312,000 | 230,019,000 | 226,822,000 |
| Liabilities |  | 3,651,350 | 2,906,872 | 13,077,857 | 14,120,405 | 10,478,721 | 29,668,833 | 79,588,000 | 83,880,000 | 102,544,000 | 94,397,000 |
| Stockholders' equity |  | 63,239,047 | 60,356,425 | 68,575,450 | 72,481,577 | 66,865,367 | 65,339,000 | 79,686,000 | 115,432,000 | 127,475,000 | 132,425,000 |
| Cash and cash equivalents |  | 2,796,762 | 1,461,695 | 4,052,582 | 11,667,161 | 17,057,751 | 8,191,001 | 2,598,000 | 2,992,000 | 2,891,000 | 3,686,000 |
| Free cash flow |  |  | -1,001,989 | 2,896,165 | 8,824,101 | 6,297,458 | 3,817,269 | -21,462,000 | 47,440,000 | -813,000 | -8,412,000 |

### Ratios

ROE and ROA use period-end equity/assets. Liabilities / equity uses total liabilities divided by stockholders' equity. Current ratio uses current assets divided by current liabilities when both are reported.

| Metric | 2013 | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
| --- | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: |
| Net margin |  |  |  | 3.25% | 2.72% | -3.69% | 9.06% | 4.93% | 3.90% | 3.36% | 1.37% |
| Operating margin |  |  |  | 4.74% | 3.41% | -4.83% | 12.47% | 10.00% | 3.85% | 4.75% | 0.68% |
| Return on equity |  | 0.46% | -4.44% | 5.74% | 7.04% | -7.85% | 17.48% | 17.65% | 18.49% | 13.61% | 4.60% |
| Return on assets |  | 0.44% | -4.23% | 4.82% | 5.89% | -6.79% | 12.02% | 8.83% | 10.71% | 7.54% | 2.68% |
| Liabilities / equity |  | 0.06 | 0.05 | 0.19 | 0.19 | 0.16 | 0.45 | 1.00 | 0.73 | 0.80 | 0.71 |
| Current ratio |  | 17.34 | 19.28 | 6.10 | 6.02 | 6.76 | 2.67 | 2.06 | 3.19 | 3.14 | 4.34 |

## Quarterly

Quarterly standardized facts from SEC companyfacts as of latest extracted filing date 2026-02-09. Source: https://data.sec.gov/api/xbrl/companyfacts/CIK0000039092.json.

Flow metrics use discrete quarter-length periods from 10-Q/10-Q/A filings. Q4 revenue and net income are derived only when annual FY and nine-month YTD facts exist for the same fiscal year; derived Q4 values are labeled. EPS Q4 is not derived.

| Quarter | End date | Revenue | Net income | Diluted EPS | Method |
| --- | --- | ---: | ---: | ---: | --- |
| 2023-Q1 | 2022-06-30 |  |  | 1.55 | reported discrete quarter |
| 2023-Q2 | 2022-09-30 |  |  | 0.34 | reported discrete quarter |
| 2023-Q3 | 2022-12-31 |  |  | 0.19 | reported discrete quarter |
| 2023-Q4 | 2023-03-31 | 124,186,408 | 6,224,307 |  | derived Q4 = FY annual - nine-month YTD |
| 2024-Q1 | 2023-06-30 | 137,298,000 | 7,600,000 | 1.04 | reported discrete quarter |
| 2024-Q2 | 2023-09-30 | 130,748,000 | 3,472,000 | 0.48 | reported discrete quarter |
| 2024-Q3 | 2023-12-31 | 115,973,000 | 1,174,000 | 0.16 | reported discrete quarter |
| 2024-Q4 | 2024-03-31 | 132,232,000 | 4,912,000 |  | derived Q4 = FY annual - nine-month YTD |
| 2025-Q1 | 2024-06-30 | 114,551,000 | 2,556,000 | 0.37 | reported discrete quarter |
| 2025-Q2 | 2024-09-30 | 106,759,000 | -676,000 | -0.10 | reported discrete quarter |
| 2025-Q3 | 2024-12-31 | 94,074,000 | -1,153,000 | -0.17 | reported discrete quarter |
| 2025-Q4 | 2025-03-31 | 129,216,000 | 5,327,000 |  | derived Q4 = FY annual - nine-month YTD |
| 2026-Q1 | 2025-06-30 | 134,777,000 | 4,961,000 | 0.71 | reported discrete quarter |
| 2026-Q2 | 2025-09-30 | 152,383,000 | 2,210,000 | 0.32 | reported discrete quarter |
| 2026-Q3 | 2025-12-31 | 167,974,000 | 2,988,000 | 0.43 | reported discrete quarter |

## Macro Cross-References
- [CPIAUCSL](/indicator/CPIAUCSL/): Consumer Price Index for All Urban Consumers: All Items in U.S. City Average
- [UNRATE](/indicator/UNRATE/): Unemployment Rate
- [FEDFUNDS](/indicator/FEDFUNDS/): Federal Funds Effective Rate
- [CES0500000003](/indicator/CES0500000003/): Average Hourly Earnings of All Employees, Total Private
- [DFEDTARU](/indicator/DFEDTARU/): Federal Funds Target Range - Upper Limit
- [DFEDTARL](/indicator/DFEDTARL/): Federal Funds Target Range - Lower Limit
- [DGS3MO](/indicator/DGS3MO/): Market Yield on U.S. Treasury Securities at 3-Month Constant Maturity
- [DGS2](/indicator/DGS2/): Market Yield on U.S. Treasury Securities at 2-Year Constant Maturity
- [DGS10](/indicator/DGS10/): Market Yield on U.S. Treasury Securities at 10-Year Constant Maturity
- [DGS30](/indicator/DGS30/): Market Yield on U.S. Treasury Securities at 30-Year Constant Maturity
- [T10Y2Y](/indicator/T10Y2Y/): 10-Year Treasury Constant Maturity Minus 2-Year Treasury Constant Maturity
- [CPILFESL](/indicator/CPILFESL/): Consumer Price Index for All Urban Consumers: All Items Less Food and Energy
- [CPIUFDSL](/indicator/CPIUFDSL/): Consumer Price Index for All Urban Consumers: Food
- [CPIENGSL](/indicator/CPIENGSL/): Consumer Price Index for All Urban Consumers: Energy
- [CUSR0000SAH1](/indicator/CUSR0000SAH1/): Consumer Price Index for All Urban Consumers: Shelter
- [PCEPI](/indicator/PCEPI/): Personal Consumption Expenditures: Chain-type Price Index
- [PCEPILFE](/indicator/PCEPILFE/): Personal Consumption Expenditures Excluding Food and Energy: Chain-type Price Index
- [PPIACO](/indicator/PPIACO/): Producer Price Index by Commodity: All Commodities
- [T10YIE](/indicator/T10YIE/): 10-Year Breakeven Inflation Rate
- [U6RATE](/indicator/U6RATE/): Total Unemployed, Plus All Marginally Attached Workers Plus Total Employed Part Time for Economic Reasons
- [PAYEMS](/indicator/PAYEMS/): All Employees, Total Nonfarm
- [CIVPART](/indicator/CIVPART/): Labor Force Participation Rate
- [EMRATIO](/indicator/EMRATIO/): Employment-Population Ratio
- [UNEMPLOY](/indicator/UNEMPLOY/): Unemployed
- [CE16OV](/indicator/CE16OV/): Employment Level
- [ICSA](/indicator/ICSA/): Initial Claims
- [JTSJOL](/indicator/JTSJOL/): Job Openings: Total Nonfarm
- [JTSQUR](/indicator/JTSQUR/): Quits: Total Nonfarm
- [GDPC1](/indicator/GDPC1/): Real Gross Domestic Product
- [A191RL1Q225SBEA](/indicator/A191RL1Q225SBEA/): Real Gross Domestic Product: Percent Change from Preceding Period
- [INDPRO](/indicator/INDPRO/): Industrial Production: Total Index
- [TCU](/indicator/TCU/): Capacity Utilization: Total Index
- [HOUST](/indicator/HOUST/): New Privately-Owned Housing Units Started: Total Units
- [PERMIT](/indicator/PERMIT/): New Privately-Owned Housing Units Authorized in Permit-Issuing Places: Total Units
- [RSAFS](/indicator/RSAFS/): Advance Retail Sales: Retail Trade
- [PCE](/indicator/PCE/): Personal Consumption Expenditures
- [DSPIC96](/indicator/DSPIC96/): Real Disposable Personal Income
- [PSAVERT](/indicator/PSAVERT/): Personal Saving Rate
- [M2SL](/indicator/M2SL/): M2
- [BOPGSTB](/indicator/BOPGSTB/): U.S. International Trade in Goods and Services: Balance
- [MSPUS](/indicator/MSPUS/): Median Sales Price of Houses Sold for the United States
- [HSN1F](/indicator/HSN1F/): New One Family Houses Sold: United States
- [RHORUSQ156N](/indicator/RHORUSQ156N/): Homeownership Rate in the United States
- [TTLCONS](/indicator/TTLCONS/): Total Construction Spending: Total Construction in the United States
- [RRVRUSQ156N](/indicator/RRVRUSQ156N/): Rental Vacancy Rate in the United States
- [TOTALSL](/indicator/TOTALSL/): Total Consumer Credit Owned and Securitized
- [REVOLSL](/indicator/REVOLSL/): Revolving Consumer Credit Owned and Securitized
- [DRCCLACBS](/indicator/DRCCLACBS/): Delinquency Rate on Credit Card Loans, All Commercial Banks
- [GDP](/indicator/GDP/): Gross Domestic Product
- [GPDI](/indicator/GPDI/): Gross Private Domestic Investment
- [GCE](/indicator/GCE/): Government Consumption Expenditures and Gross Investment
- [PCEC](/indicator/PCEC/): Personal Consumption Expenditures
- [NETEXP](/indicator/NETEXP/): Net Exports of Goods and Services
- [GFDEBTN](/indicator/GFDEBTN/): Federal Debt: Total Public Debt
- [GFDEGDQ188S](/indicator/GFDEGDQ188S/): Federal Debt: Total Public Debt as Percent of Gross Domestic Product
- [FYFSD](/indicator/FYFSD/): Federal Surplus or Deficit
- [FGRECPT](/indicator/FGRECPT/): Federal Government Current Receipts
- [FGEXPND](/indicator/FGEXPND/): Federal Government: Current Expenditures
- [MANEMP](/indicator/MANEMP/): All Employees, Manufacturing
- [USCONS](/indicator/USCONS/): All Employees, Construction
- [USTRADE](/indicator/USTRADE/): All Employees, Retail Trade
- [USFIRE](/indicator/USFIRE/): All Employees, Financial Activities
- [USGOVT](/indicator/USGOVT/): All Employees, Government
- [AWHAETP](/indicator/AWHAETP/): Average Weekly Hours of All Employees, Total Private
- [DGORDER](/indicator/DGORDER/): Manufacturers' New Orders: Durable Goods
- [NEWORDER](/indicator/NEWORDER/): Manufacturers' New Orders: Nondefense Capital Goods Excluding Aircraft
- [BUSINV](/indicator/BUSINV/): Total Business Inventories
- [EXPGS](/indicator/EXPGS/): Exports of Goods and Services
- [IMPGS](/indicator/IMPGS/): Imports of Goods and Services
- [IR](/indicator/IR/): Import Price Index (End Use): All Commodities
- [PPIFIS](/indicator/PPIFIS/): Producer Price Index by Commodity: Final Demand

## Latest quarter (10-Q)

Latest 10-Q source: https://www.sec.gov/Archives/edgar/data/39092/000143774926003530/frd20251231_10q.htm

Extracted structurally from real Item 2 body heading to real Item 3/4 boundary.
Confidence: high
Filing date: 2026-02-09
Report date: 2025-12-31

Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations

Overview

Friedman Industries, Incorporated is a manufacturer and processor of metals and operates in two reportable segments: flat-roll products and tubular products.

The flat-roll product segment consists of flat-roll processing facilities located in Hickman, Arkansas; Decatur, Alabama; Miami, Florida; East Chicago, Indiana; Granite City, Illinois and Sinton, Texas and a flat-roll distribution facility located in Orlando, Florida. The Hickman, Granite City and East Chicago facilities operate temper mills and cut-to-length lines. The Decatur and Sinton facilities operate stretcher leveler cut-to-length lines. The Miami facility operates a corrective leveling cut-to-length line and a coil slitting line. The processing equipment improves the quality of the material and cuts the material into sheet, plate or slit coil. On a combined basis, the facilities are capable of cutting sheet and plate with thicknesses ranging from 30 gauge to 1” thick in widths ranging from 11” wide to 96” wide. The flat-roll segment is able to produce slit coil with thickness ranging from 32 gauge to 10 gauge in widths ranging from 1/2" wide to 60" wide. The vast majority of flat-roll product segment revenue is generated from sales of Company owned inventory but the segment also generates revenue from the processing or storage of customer owned material on a fee basis.

The tubular product segment consists of the Company’s Texas Tubular Products division (“TTP”) located in Lone Star, Texas. TTP operates two electric resistance welded pipe mills with a combined outside diameter (“OD”) size range of 2 3/8” OD to 8 5/8” OD. Both pipe mills are American Petroleum Institute (“API”) licensed to manufacture line pipe and oil country pipe and also manufacture pipe for structural purposes that meets other recognized industry standards. All of the tubular segment's revenue is generated from sales of Company owned inventory.

Results of Operations

Nine Months Ended December 31, 2025 Compared to Nine Months Ended December 31, 2024

During the nine months ended December 31, 2025 (the “2025 period”), sales, cost of materials sold and adjusted gross profit increased approximately $139.8 million, $106.1 million and $33.7 million, respectively, compared to the amounts recorded during the nine months ended December 31, 2024 (the “2024 period”). Adjusted gross profit is a non-GAAP measure calculated as sales minus cost of materials sold. The increase in sales was primarily due to an increase in sales volume. Sales volume for the 2025 period consisted of approximately 458,000 tons from inventory and another 59,000 tons of toll processing customer owned material compared to the 2024 period volume consisting of approximately 353,000 tons from inventory and 60,000 tons of toll processing. Same facility year-over-year growth accounted for approximately 89,500 tons of the sales volume increase and the acquisition of Century Metals & Supplies contributed approximately 14,500 tons. Adjusted gross profit was approximately $85.9 million for the 2025 period compared to approximately $52.2 million for the 2024 period. Adjusted gross profit as a percentage of sales was approximately 18.9% for the 2025 period compared to approximately 16.6% for the 2024 period.

Our operating results are significantly impacted by the market prices of the metals we purchase. Most of the Company's revenue is generated from the processing of hot-rolled steel coil ("HRC") or derivative products from HRC. Entering the 2025 period, HRC price had reached the top of a price cycle. Prices declined approximately 15% from April 2025 until October 2025 when prices increased approximately 14% by the end of the 2025 period. As a result, the Company experienced stronger margins at the start of the 2025 period which then tapered off until slight margin improvement to conclude the 2025 period. Entering the 2024 period, HRC price was on a predominately declining trend dropping approximately 40% from January 2024 through the middle of August 2024. From August 2024 to the end of the 2024 period, HRC price remained relatively stable. As a result, the Company experienced compressed physical margins throughout the 2024 period. The Company utilizes HRC futures, options and swaps to partially manage exposure to commodity price risk. The Company recognized hedging related gains of approximately $2.5 million in the 2025 period compared to hedging related gains of approximately $5.8 million in the 2024 period.

Flat-roll Segment

Flat-roll product segment sales for the 2025 period totaled approximately $420.4 million compared to approximately $286.9 million for the 2024 period. For a more complete understanding of the average selling prices of goods sold, it is helpful to exclude any sales generated from processing or storage of customer owned material. Sales generated from processing or storage of customer owned material totaled approximately $3.9 million for the 2025 period and approximately $3.7 million for the 2024 period. Sales generated from flat-roll segment inventory totaled approximately $416.5 million for the 2025 period compared to approximately $283.2 million for the 2024 period. The average per ton selling price related to these shipments increased from approximately $868 per ton in the 2024 period to approximately $970 per ton in the 2025 period. Sales volume for the 2025 period consisted of approximately 429,000 tons from inventory and another 59,000 tons of toll processing customer owned material compared to the 2024 period volume consisting of approximately 326,000 tons from inventory and 60,000 tons of toll processing. The increase in sales volume for the 2025 period was related to a combination of stronger demand among some customers, successful commercial efforts to increase capacity utilization and the acquisition of Century. Flat-roll segment operations recorded earnings from operations of approximately $21.8 million and $6.6 million for the 2025 period and 2024 period, respectively.

15

Table of Contents

The Company’s flat-roll segment purchases its inventory from a limited number of suppliers. Loss of any of these suppliers could have a material adverse effect on the Company’s business.

Tubular Segment

Tubular product segment sales for the 2025 period totaled approximately $34.7 million compared to approximately $28.5 million for the 2024 period. Sales increased due to a combination of sales volume growth and an increase in the average selling price per ton. Tons sold increased from approximately 26,500 tons in the 2024 period to approximately 29,000 tons in the 2025 period. The average per ton selling price increased from approximately $1,065 per ton for the 2024 period to approximately $1,198 per ton for the 2025 period. The tubular segment recorded earnings from operations of approximately $3.6 million for the 2025 period compared to a loss from operations of approximately $2.0 million for the 2024 period.

The tubular segment purchases its inventory from a limited number of suppliers. Loss of any of these suppliers could have a material adverse effect on the Company’s business. 

General, Selling and Administrative Costs

During the
2025 period, selling, general and administrative costs increased approximately $6.6 million compared to the
2024 period. This increase was driven by $1.3 million of one-time, non-recurring transaction costs associated with the acquisition of Century, as well as $1.7 million of additional ongoing expenses related to the operation of Century. The remaining increase was primarily attributable to an increase in personnel to support sales growth and execution of our strategic initiatives, along with increased incentive compensation resulting from improved profitability compared to the 2024 period.

Income Taxes

Income taxes increased from a provision for the 2024 period of approximately $0.1 million to a provision for the 2025 period of approximately $3.3 million. This increase was primarily related to increased earnings before taxes for the 2025 period. The income tax provision as a percentage of earnings before tax was approximately 24.3% and 12.4% for the nine months ended December 31, 2025 and 2024, respectively. For the 2025 period, the effective tax rate differed from the federal statutory rate due primarily to the inclusion of state tax expenses in the provision. For the 2024 period, 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.

Three Months Ended December 31, 2025 Compared to Three Months Ended December 31, 2024

During the three months ended December 31, 2025 (the “2025 quarter”), sales, cost of materials sold and adjusted gross profit increased approximately $73.9 million, $59.0 million and $14.9 million, respectively, compared to the amounts recorded during the three months ended December 31, 2024 (the “2024 quarter”). Adjusted gross profit is a non-GAAP measure calculated as sales minus cost of materials sold. The increase in sales was primarily due to an increase in sales volume. Sales volume for the 2025 quarter consisted of approximately 162,000 tons from inventory and another 15,500 tons of toll processing customer owned material compared to the 2024 quarter volume consisting of approximately 112,500 tons from inventory and 18,000 tons of toll processing. Same facility year-over-year growth accounted for approximately 36,000 tons of the sales volume increase and the acquisition of Century Metals & Supplies contributed approximately 11,000 tons. Adjusted gross profit was approximately $30.5 million for the 2025 quarter compared to approximately $15.6 million for the 2024 quarter. Adjusted gross profit as a percentage of sales was approximately 18.2% for the 2025 quarter compared to approximately 16.5% for the 2024 quarter.

Our operating results are significantly impacted by the market prices of the metals we purchase. Most of the Company's revenue is generated from the processing of hot-rolled steel coil ("HRC") or derivative products from HRC. HRC price was on a declining trend entering the 2025 quarter but stabilized during October 2025 and increased approximately 11% to end the 2025 quarter. As a result, the Company experienced slight margin improvement at the conclusion of the 2025 quarter. Entering the 2024 quarter, HRC price had reached the bottom of a price cycle after a prolonged decline and remained relatively stable near the bottom during the 2024 quarter. As a result, the Company experienced compressed margins throughout the 2024 quarter. The Company utilizes HRC futures, options and swaps to partially manage exposure to commodity price risk. The Company recognized hedging related gains of approximately $1.4 million and $0.3 million in the 2025 and 2024 quarters, respectively.

16

Table of Contents

Flat-roll Segment

Flat-roll product segment sales for the 2025 quarter totaled approximately $153.0 million compared to approximately $86.1 million for the 2024 quarter. For a more complete understanding of the average selling prices of goods sold, it is helpful to exclude any sales generated from processing or storage of customer owned material. Sales generated from processing or storage of customer owned material totaled approximately $1.1 million for the 2025 quarter and approximately $1.0 million for the 2024 quarter. Sales generated from flat-roll segment inventory totaled approximately $151.9 million for the 2025 quarter compared to approximately $85.1 million for the 2024 quarter. The average per ton selling price related to these shipments increased from approximately $813 per ton in the 2024 quarter to approximately $1,016 per ton in the 2025 quarter. Sales volume for the 2025 quarter consisted of approx

[Excerpt truncated for page length; source filing is linked above.]

## Latest 10-K MD&A

Low-confidence quarantine: Item 7 boundaries were not detected after HTML sanitization.
Confidence: low

_Quarantined: low-confidence Item 7 boundaries; no MD&A text emitted._