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Operating Segments (Tables)
 3 Months Ended
May 31, 2025
Segment Reporting [Abstract]  
Operations and assets by segment three months ended May 31, 2025 and 2024 by segment, for the Company's corporate operations and on a consolidated basis (in thousands):
Three Months Ended May 31, 2025
Metal CoatingsPrecoat Metals
Infrastructure Solutions(1)
Corporate(2)
Total
Sales$187,215 $234,747 $— $— $421,962 
Cost of sales(3)
130,356 187,476 — — 317,832 
Gross margin56,859 47,271 — — 104,130 
Selling, general and administrative(4)
6,127 7,917 80 20,457 34,581 
Operating income (loss)50,732 39,354 (80)(20,457)69,549 
Interest expense— — — (18,563)(18,563)
Equity in earnings of unconsolidated subsidiaries(5)
— — 173,523 — 173,523 
Other income (expense)(61)— — 1,388 1,327 
Income (loss) before income tax$50,671 $39,354 $173,443 (37,632)225,836 
Income tax expense54,928 54,928 
Net income (loss)$(92,560)$170,908 
Depreciation and amortization$6,660 $9,123 $— $6,044 $21,827 
See notes below tables.
Three Months Ended May 31, 2024
Metal CoatingsPrecoat Metals
Infrastructure Solutions(1)
Corporate(2)
Total
Sales$176,651 $236,557 $— $— $413,208 
Cost of sales122,735 187,803 — — 310,538 
Gross margin53,916 48,754 — — 102,670 
Selling, general and administrative5,984 8,660 29 18,248 32,921 
Operating income (loss)47,932 40,094 (29)(18,248)69,749 
Interest expense— — — (22,774)(22,774)
Equity in earnings of unconsolidated subsidiaries— — 3,824 — 3,824 
Other income56 — — 148 204 
Income (loss) before income tax$47,988 $40,094 $3,795 (40,874)51,003 
Income tax expense11,401 11,401 
Net income (loss)$(52,275)$39,602 
Depreciation and amortization$6,657 $7,593 $— $6,073 $20,323 
(1)
Infrastructure Solutions segment includes the equity in earnings from our investment in the AVAIL JV, as well as other expenses related to receivables and liabilities that were retained following the sale of the AIS business. See Note 18 for further discussion of the receivables and liabilities.
(2)
Interest expense and Income tax expense are included in the Corporate segment as these items are not allocated to the segments.
(3)
Metal Coatings segment includes restructuring charges of $3.8 million. See Note 17.
(4)
Includes stock-based compensation expense of $2.2 million, of which $0.4 million and $1.8 million are included in Metal Coatings and Corporate, respectively. See Note 15.
(5)
During the three months ended May 31, 2025, AVAIL completed the sale of the Electrical Products Group business to nVent Electric plc. Following the completion of the sale, we received a distribution of $273.2 million during the three months ended May 31, 2025, which is in excess of the investment in the AVAIL JV, which was $107.4 million as of May 31, 2025. The excess distribution of $165.8 million was recorded as equity in earnings of unconsolidated entities during the three months ended May 31, 2025. See Note 7.
Reconciliation of Assets from Segment to Consolidated
Asset balances by operating segment for each period were as follows (in thousands):
As of
Assets:May 31, 2025February 28, 2025
Metal Coatings$569,103 $555,095 
Precoat Metals1,567,108 1,548,377 
Infrastructure Solutions - Investment in Joint Venture(1)
— 99,379 
Corporate22,974 24,250 
Total assets$2,159,185 $2,227,101 
(1) See Note 7 for information regarding the Investment in AVAIL joint venture.
Revenue from External Customers by Geographic Areas
Financial information about geographical areas for the periods presented was as follows (in thousands). The geographic area is based on the location of the operating facility and no customer accounted for 10% or more of consolidated sales.
Three Months Ended May 31,
Sales:20252024
United States$410,995 $403,051 
Canada10,967 10,157 
Total sales$421,962 $413,208 
Long-lived Assets by Geographic Areas
As of
May 31, 2025February 28, 2025
Property, plant and equipment, net:
United States$578,505 $574,332 
Canada19,387 18,609 
Total property, plant and equipment, net$597,892 $592,941