NOTE I — 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 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

maintain contract asset balances. Additionally, the Company does

not

maintain contract liability balances, as performance obligations are satisfied prior to customer payment for product. The Company offers industry standard payment terms.

The Company has

two

reportable segments: Coil and Tubular. Coil primarily generates revenue from temper passing and cutting to length hot-rolled steel coils. Coil segment revenue consists of

three

main product types: Prime Coil, Non-Standard Coil and Customer Owned Coil. Tubular primarily generates revenue from the manufacture, distribution and processing of steel pipe. Tubular segment revenue consists of

three

main product or service types: Manufactured Pipe, Mill Reject Pipe and Pipe Finishing Services. The following table disaggregates our revenue by product for each of our reportable business segments for the

three

and

nine

month periods ended

December 31, 2019

and

2018,

respectively:

	Three Months Ended December 31,				Nine Months Ended December 31,
	2019		2018		2019		2018
Coil Segment:
Prime Coil		18,662,211		25,074,965		67,827,299		79,426,810
Non-standard Coil		2,153,277		3,350,738		9,197,245		14,355,617
Customer Owned Coil		185,870		305,289		578,891		906,209
		21,001,358		28,730,992		77,603,435		94,688,636
Tubular Segment:
Manufactured Pipe		5,748,647		10,767,166		26,225,323		35,936,762
Mill Reject Pipe		1,400,812		3,761,188		5,292,959		13,489,029
Pipe Finishing Services		-		66,734		-		837,000
		7,149,459		14,595,088		31,518,282		50,262,791