When quoting someone...

So that you might understand easier, I will paste the example I am having trouble with.

"Wait!" Brian called out to Steven. Steven stopped to listen but did not respond. "Be careful when you go out next time, okay?" Steven disappeared into the other room, leaving his friend confused by his carelessness. Brian tugged nervously at his collar, which was dampened by his sweat. "I'll follow your lead a bit longer, old friend," he said, his voice inaudible. "I hope you know what you're doing."

My problem is whether or not each quote should be on a new line and indented. However, since all quotes belong to the same speaker, is there a need to break to the next line and indent, or only if a new speaker talks?

For visual purposes, this is what I am asking. Should the above example be written like this?

"Wait!" Brian called out to Steven. Steven stopped to listen but did not respond. "Be careful when you go out next time, okay?" Steven disappeared into the other room, leaving his friend confused by his carelessness. Brian tugged nervously at his collar, which was dampened by his sweat.
"I'll follow your lead a bit longer, old friend," he said, his voice inaudible. "I hope you know what you're doing."

It just seems awkward to me because in the first example, the quotes are interspersed between segments of narrative text.

Help appreciated (and Clive, if you happen to respond again, thank you yet again!)

-rozarria