Optical Cable (OCC) 10-Q 16 Mar 20 2020 Q1 Quarterly report Financial data

Document And Entity Information

Document And Entity Information - shares	3 Months Ended
	Jan. 31, 2020	Mar. 11, 2020
Document Information [Line Items]
Entity Central Index Key	0001000230
Entity Registrant Name	OPTICAL CABLE CORP
Amendment Flag	false
Current Fiscal Year End Date	--10-31
Document Fiscal Period Focus	Q1
Document Fiscal Year Focus	2020
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Jan. 31, 2020
Document Transition Report	false
Entity File Number	0-27022
Entity Incorporation, State or Country Code	VA
Entity Tax Identification Number	54-1237042
Entity Address, Address Line One	5290 Concourse Drive
Entity Address, City or Town	Roanoke
Entity Address, State or Province	VA
Entity Address, Postal Zip Code	24019
City Area Code	540
Local Phone Number	265-0690
Title of 12(b) Security	Common Stock, no par value
Trading Symbol	OCC
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		7,456,072

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets (Current Period Unaudited) - USD ($)	Jan. 31, 2020	Oct. 31, 2019
Current assets:
Cash	$ 693,740	$ 537,330
Trade accounts receivable, net of allowance for doubtful accounts of $84,724 at January 31, 2020 and $99,562 at October 31, 2019	6,799,168	10,347,597
Income taxes refundable - current	25,004	25,004
Other receivables	26,346	69,727
Inventories	17,180,139	18,095,627
Prepaid expenses and other assets	374,770	304,713
Total current assets	25,099,167	29,379,998
Property and equipment, net	9,697,323	10,010,223
Income taxes refundable - noncurrent	25,003	25,003
Intangible assets, net	670,349	659,280
Other assets, net	1,173,159	32,430
Total assets	36,665,001	40,106,934
Current liabilities:
Current installments of long-term debt	500,357	738,955
Note payable to bank - current	5,650,000	5,650,000
Accounts payable and accrued expenses	4,617,070	5,459,352
Accrued compensation and payroll taxes	1,130,923	1,763,338
Income taxes payable	19,407	15,382
Total current liabilities	11,917,757	13,627,027
Long-term debt, excluding current installments	5,088,807	5,169,668
Other noncurrent liabilities	977,069	71,339
Total liabilities	17,983,633	18,868,034
Shareholders’ equity:
Preferred stock, no par value, authorized 1,000,000 shares; none issued and outstanding	0	0
Common stock, no par value, authorized 50,000,000 shares; issued and outstanding 7,456,072 shares at January 31, 2020 and 7,458,981 shares at October 31, 2019	13,894,244	13,853,334
Retained earnings	4,787,124	7,385,566
Total shareholders’ equity	18,681,368	21,238,900
Commitments and contingencies
Total liabilities and shareholders’ equity	$ 36,665,001	$ 40,106,934

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Current Period Unaudited) (Parentheticals) - USD ($) $ / shares in Thousands	Jan. 31, 2020	Oct. 31, 2019
Allowance for doubtful accounts	$ 84,724	$ 99,562
Preferred stock, shares authorized (in shares)	1,000,000	1,000,000
Preferred stock, shares issued (in shares)	0	0
Preferred stock, shares outstanding (in shares)	0	0
Preferred stock, no par value (in dollars per share)	$ 0	$ 0
Common stock, no par value (in dollars per share)	$ 0	$ 0
Common stock, shares authorized (in shares)	50,000,000	50,000,000
Common stock, shares issued (in shares)	7,456,072	7,458,981
Common stock, shares outstanding (in shares)	7,456,072	7,458,981

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations (Unaudited) - USD ($)	3 Months Ended
	Jan. 31, 2020	Jan. 31, 2019
Net sales	$ 12,887,396	$ 16,750,668
Cost of goods sold	10,483,256	13,188,109
Gross profit	2,404,140	3,562,559
Selling, general and administrative expenses	4,824,124	6,773,645
Royalty expense, net	17,558	218
Amortization of intangible assets	9,991	9,415
Loss from operations	(2,447,533)	(3,220,719)
Other expense, net:
Interest expense	(136,687)	(116,880)
Other, net	(2,635)	158
Other expense, net	(139,322)	(116,722)
Loss before income taxes	(2,586,855)	(3,337,441)
Income tax expense (benefit)	5,033	(27,421)
Net loss	$ (2,591,888)	$ (3,310,020)
Net loss per share: Basic and diluted (in dollars per share)	$ (0.35)	$ (0.44)

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Shareholders' Equity (Unaudited) - USD ($)	Common Stock [Member]	Retained Earnings [Member]	Total
Balances (in shares) at Oct. 31, 2018	7,694,387
Balances at Oct. 31, 2018	$ 13,816,140	$ 12,994,697	$ 26,810,837
Adoption of accounting standard ASU 2018-07	$ 0	61,763	61,763
Share-based compensation, net (in shares)	(257,222)
Share-based compensation, net	$ (66,327)	0	(66,327)
Net income (loss)	$ 0	(3,310,020)	(3,310,020)
Balances (in shares) at Jan. 31, 2019	7,436,907
Repurchase and retirement of common stock (at cost) (in shares)	(258)
Repurchase and retirement of common stock (at cost)	$ 0	(1,257)	(1,257)
Balances at Jan. 31, 2019	$ 13,749,813	9,745,183	23,494,996
Balances (in shares) at Oct. 31, 2019	7,458,981
Balances at Oct. 31, 2019	$ 13,853,334	7,385,566	21,238,900
Adoption of accounting standard ASU 2018-07	$ 6,554	(6,554)	0
Share-based compensation, net (in shares)	(2,909)
Share-based compensation, net	$ 34,356	0	34,356
Net income (loss)	$ 0	(2,591,888)	(2,591,888)
Balances (in shares) at Jan. 31, 2020	7,456,072
Balances at Jan. 31, 2020	$ 13,894,244	$ 4,787,124	$ 18,681,368

Condensed Consolidated Statem_3

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($)	3 Months Ended
	Jan. 31, 2020	Jan. 31, 2019
Cash flows from operating activities:
Net loss	$ (2,591,888)	$ (3,310,020)
Adjustments to reconcile net loss to net cash provided by (used in) operating activities:
Depreciation and amortization	392,978	443,433
Bad debt expense (recovery)	(14,838)	23,809
Share-based compensation expense	34,356	862,254
Loss on sale of property and equipment	2,782	0
(Increase) decrease in:
Trade accounts receivable	3,563,267	2,958,441
Other receivables	43,381	6,679
Inventories	915,488	(2,010,801)
Prepaid expenses and other assets	(73,124)	98,090
Increase (decrease) in:
Accounts payable and accrued expenses	(1,103,593)	1,727,676
Accrued compensation and payroll taxes	(632,415)	(1,916,234)
Income taxes payable	4,025	(1,344)
Other noncurrent liabilities	3,212	(32,735)
Net cash provided by (used in) operating activities	543,631	(1,150,752)
Cash flows from investing activities:
Purchase of and deposits for the purchase of property and equipment	(46,702)	(317,619)
Investment in intangible assets	(21,060)	(25,977)
Net cash used in investing activities	(67,762)	(343,596)
Cash flows from financing activities:
Proceeds from notes payable to bank	0	2,000,000
Principal payments on long-term debt and notes payable to bank	(319,459)	(263,737)
Repurchase of common stock	0	(1,257)
Net cash provided by (used in) financing activities	(319,459)	1,735,006
Net increase in cash	156,410	240,658
Cash at beginning of period	537,330	177,413
Cash at end of period	$ 693,740	$ 418,071

Note 1 - General

Note 1 - General	3 Months Ended
	Jan. 31, 2020
Notes to Financial Statements
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block]	( 1 General The accompanying unaudited condensed consolidated financial statements of Optical Cable Corporation and its subsidiaries (collectively, the “Company” or “OCC ® 10 X. not three January 31, 2020 not October 31, 2020 may 10 October 31, 2019 10 not 10 October 31, 2019. In February 2016, 2016 02, Leases 2017 13, 2018 10, 2018 11, 2018 20 2019 01 842” 842 842 842 December 15, 2018, 842 November 1, 2019. no 7 In June 2018, 2018 07, Compensation – Stock Compensation (Topic 718 2018 07” 2018 07 718 2018 07 718 not 1 2 Revenue from Contracts with Customers 606 2018 07 December 15, 2018, 2018 07 November 1, 2019. not In June 2018, 2018 08, Clarifying the Scope and the Accounting Guidance for Contributions Received and Contributions Made 2018 08” 2018 08 not 2018 08 not 2018 08 December 15, 2018, 2018 08 November 1, 2019. 2018 08 not

Note 2 - Stock Incentive Plans

Note 2 - Stock Incentive Plans and Other Share-based Compensation	3 Months Ended
	Jan. 31, 2020
Notes to Financial Statements
Share-based Payment Arrangement [Text Block]	( 2 Stock Incentive Plans and Other Share-Based Compensation As of January 31, 2020, 2017 “2017 Share-based compensation expense for employees, a consultant and non-employee Directors recognized in the condensed consolidated statements of operations for the three January 31, 2020 2019 Restricted and Other Stock Awards The Company has granted, and anticipates granting from time to time, restricted stock awards subject to approval by the Compensation Committee of the Board of Directors. Since fiscal year 2004, Restricted stock award activity during the three January 31, 2020 As of January 31, 2020,

Note 3 - Allowance for Doubtful

Note 3 - Allowance for Doubtful Accounts for Trade Accounts Receivable	3 Months Ended
	Jan. 31, 2020
Notes to Financial Statements
Allowance for Doubtful Accounts for Trade Accounts Receivable Disclosure [Text Block]	( 3 Allowance for Doubtful Accounts for Trade Accounts Receivable A summary of changes in the allowance for doubtful accounts for trade accounts receivable for the three January 31, 2020 2019 Three Months Ended January 31, 2020 2019 Balance at beginning of period $ 99,562 $ 64,242 Bad debt expense (recovery) (14,838 ) 23,809 Balance at end of period $ 84,724 $ 88,051

Note 4 - Inventories

Note 4 - Inventories	3 Months Ended
	Jan. 31, 2020
Notes to Financial Statements
Inventory Disclosure [Text Block]	( 4 Inventories Inventories as of January 31, 2020 October 31, 2019 January 31, October 31, 2020 2019 Finished goods $ 5,170,602 $ 5,845,973 Work in process 3,287,286 3,321,216 Raw materials 8,434,081 8,632,230 Production supplies 288,170 296,208 Total $ 17,180,139 $ 18,095,627

Note 5 - Product Warranties

Note 5 - Product Warranties	3 Months Ended
	Jan. 31, 2020
Notes to Financial Statements
Product Warranty Disclosure [Text Block]	( 5 Product Warranties As of January 31, 2020 October 31, 2019, three January 31, 2020 three January 31, 2019 The following table summarizes the changes in the Company’s accrual for product warranties during the three January 31, 2020 2019: Three Months Ended January 31, 2020 2019 Balance at beginning of period $ 120,000 $ 180,000 Liabilities accrued for warranties issued during the period 69,549 137,576 Warranty claims and costs paid during the period (12,743 ) (127,838 ) Changes in liability for pre-existing warranties during the period (106,806 ) (29,738 ) Balance at end of period $ 70,000 $ 160,000

Note 6 - Long-term Debt and Not

Note 6 - Long-term Debt and Notes Payable to Bank	3 Months Ended
	Jan. 31, 2020
Notes to Financial Statements
Long-term Debt [Text Block]	( 6 Long-term Debt and Notes Payable to Bank The Company has credit facilities consisting of a real estate term loan, as amended and restated (the “Virginia Real Estate Loan”), a supplemental real estate term loan, as amended and restated (the “North Carolina Real Estate Loan”) and a Revolving Credit Note and related agreements (collectively, the “Revolver”). Both the Virginia Real Estate Loan and the North Carolina Real Estate Loan are with Pinnacle Bank (“Pinnacle”), have a fixed interest rate of 3.95% and are secured by a first first Long-term debt as of January 31, 2020 October 31, 2019 January 31, October 31, 2020 2019 Virginia Real Estate Loan ($6.5 million original principal) payable in monthly installments of $31,812, including interest (at 3.95%), with final payment of $3,644,211 due May 1, 2024 $ 4,279,596 $ 4,580,173 North Carolina Real Estate Loan ($2.24 million original principal) payable in monthly installments of $10,963, including interest (at 3.95%), with final payment of $1,255,850 due May 1, 2024 1,309,568 1,328,450 Total long-term debt 5,589,164 5,908,623 Less current installments 500,357 738,955 Long-term debt, excluding current installments $ 5,088,807 $ 5,169,668 The Revolver with Pinnacle provides the Company with a $6.5 million revolving line of credit for its working capital needs. Under the Revolver, Pinnacle provides the Company with one $6.5 may January 22, 2020, On January 22, 2020, April 26, 2016 April 26, 2016. April 15, 2020 0.50%, January 22, 2020, ( October 31, 2019, ( October 31, 2019, March 31, 2020 May 1, 2020 June 30, 2020. As of January 31, 2020, January 31, 2020). On March 10, 2020, April 26, 2016 April 26, 2016. January 31, 2020 April 30, 2020 January 31, 2020 April 30, 2020. $200,000 April 15, 2020 March 31, 2020 May 1, 2020 June 30, 2020. All other terms and conditions of the Credit Agreement, as amended, remain unaltered and in effect. The Revolver is secured by a perfected first not The terms of OCC’s credit facilities with Pinnacle require the Company to comply, on a quarterly basis, with two January 31, 2020, not 1.0, June 30, 2020, $5.7 January 31, 2020. January 31, 2020, 1.0 not one January 31, 2020, $5.7 The Company is required to have a total liabilities to tangible net worth ratio of not 1.0, January 31, 2020, 1.0 not As of January 31, 2020 October 31, 2019,

Note 7 - Leases

Note 7 - Leases	3 Months Ended
	Jan. 31, 2020
Notes to Financial Statements
Leases of Lessee Disclosure [Text Block]	( 7 Leases The Company elected the optional transition method provided by the FASB in ASU 2018 11, Leases (Topic 842 not not not The Company has an operating lease agreement for approximately 34,000 square feet of office, manufacturing and warehouse space in Plano, Texas (near Dallas). The initial lease term expired November 30, 2019, November 30, 2024. The Company entered into an operating lease agreement in April 2015 twelve April 30, 2016. four 4 one April 30, 2020. February 6, 2020, April 25, 2015 thirty-six April 30, 2023. The Company also leases certain office equipment under operating leases with initial 60 month terms. The Company’s lease contracts may The Company includes contract lease components in its determination of lease payments, while non-lease components of the contracts, such as taxes, insurance, and common area maintenance, are expensed as incurred. At commencement, right-of-use assets and lease liabilities are measured at the present value of future lease payments over the lease term. The Company uses its incremental borrowing rate based on information available at the time of lease commencement to measure the present value of future payments. Operating lease expense is recognized on a straight-line basis over the lease term. Short term leases with an initial term of 12 Operating lease right-of-use assets of $1,142,054 were included in other assets at January 31, 2020. January 31, 2020. three January 31, 2020 The weighted average remaining lease term was 55.2 months and the weighted average discount rate was 5% as of January 31, 2020. The Company’s future payments due under operating leases reconciled to the lease liability are as follows: Fiscal Year Future Payments 2020 (1) $ 224,438 2021 264,041 2022 261,109 2023 254,919 2024 260,223 Thereafter 21,734 Total undiscounted lease payments 1,286,464 Present value discount (142,206 ) Total undiscounted lease liability $ 1,144,258 ( 1 nine 2020. For the three January 31, 2020,

Note 8 - Fair Value Measurement

Note 8 - Fair Value Measurements	3 Months Ended
	Jan. 31, 2020
Notes to Financial Statements
Fair Value Disclosures [Text Block]	( 8 Fair Value Measurements The carrying amounts reported in the condensed consolidated balance sheets as of January 31, 2020 October 31, 2019 January 31, 2020 October 31, 2019.

Note 9 - Net Loss Per Share

Note 9 - Net Loss Per Share	3 Months Ended
	Jan. 31, 2020
Notes to Financial Statements
Earnings Per Share [Text Block]	Net Loss Per Share Basic net loss per share excludes dilution and is computed by dividing net loss available to common shareholders by the weighted-average number of common shares outstanding for the period. Diluted net loss per share reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock or resulted in the issuance of common stock that then shared in the net loss of the Company. The following is a reconciliation of the numerators and denominators of the net loss per share computations for the periods presented: Three months ended January 31, 2020 2019 Net loss (numerator) $ (2,591,888 ) $ (3,310,020 ) Shares (denominator) 7,322,195 7,536,561 Basic and diluted net loss per share $ (0.35 ) $ (0.44 ) Weighted average unvested shares for the three January 31, 2020 2019 not three January 31, 2020 2019

Note 10 - Segment Information a

Note 10 - Segment Information and Business and Credit Concentrations	3 Months Ended
	Jan. 31, 2020
Notes to Financial Statements
Concentration Risk Disclosure [Text Block]	( 10 Segment Information and Business and Credit Concentrations The Company provides credit, in the normal course of business, to various commercial enterprises, governmental entities and not January 31, 2020 For the three January 31, 2020, three January 31, 2019, The Company has a single reportable segment for purposes of segment reporting.

Note 11 - Revenue Recognition

Note 11 - Revenue Recognition	3 Months Ended
	Jan. 31, 2020
Notes to Financial Statements
Revenue from Contract with Customer [Text Block]	( 11 Revenue Recognition Revenues consist of product sales that are recognized at a specific point in time under the core principle of recognizing revenue when control transfers to the customer. The Company considers customer purchase orders, governed by master sales agreements or the Company’s standard terms and conditions, to be the contract with the customer. For each contract, the promise to transfer the control of the products, each of which is individually distinct, is considered to be the identified performance obligation. The Company evaluates each customer’s credit risk when determining whether to accept a contract. In determining transaction prices, the Company evaluates whether fixed order prices are subject to adjustment to determine the net consideration to which the Company expects to be entitled. Contracts do not 30 90 not not not The Company recognizes revenue at the point in time when products are shipped or delivered from its manufacturing facility to its customer, in accordance with the agreed upon shipping terms. Since the Company typically invoices the customer at the same time that performance obligations are satisfied, no January 31, 2020 October 31, 2019. Sales to certain customers are made pursuant to agreements that provide price adjustments and limited return rights with respect to the Company’s products. The Company maintains a reserve for estimated future price adjustment claims, rebates and returns as a refund liability. The Company’s refund liability was $84,399 as of January 31, 2020 October 31, 2019. The Company offers standard product warranty coverage which provides assurance that its products will conform to contractually agreed-upon specifications for a limited period from the date of shipment. Separately-priced warranty coverage is not no The Company accounts for shipping and handling activities related to contracts with customers as a cost to fulfill its promise to transfer control of the related product. Shipping and handling costs are included in selling, general and administrative expenses in the accompanying Condensed Consolidated Statements of Operations. The Company incurs sales commissions to acquire customer contracts that are directly attributable to the contracts. The commissions are expensed as selling expenses during the period that the related products are transferred to customers. Disaggregation of Revenue The following table presents net sales attributable to the United States and all other countries in total for the three January 31, 2020 2019: Three months ended January 31, 2020 2019 United States $ 10,488,348 $ 13,574,401 Outside the United States 2,399,048 3,176,267 Total net sales $ 12,887,396 $ 16,750,668

Note 12 - Contingencies

Note 12 - Contingencies	3 Months Ended
	Jan. 31, 2020
Notes to Financial Statements
Commitments and Contingencies Disclosure [Text Block]	( 12 From time to time, the Company is involved in various claims, legal actions and regulatory reviews arising in the ordinary course of business. In the opinion of management, the ultimate disposition of these matters will not

Note 13 - New Accounting Standa

Note 13 - New Accounting Standards Not Yet Adopted	3 Months Ended
	Jan. 31, 2020
Notes to Financial Statements
Description of New Accounting Pronouncements Not yet Adopted [Text Block]	( 13 Not In December 2019, 2019 12, Income Taxes (Topic 740 2019 12” 2019 12 740 2019 12 December 15, 2020, 2019 12 There are no not

Note 3 - Allowance for Doubtf_2

Note 3 - Allowance for Doubtful Accounts for Trade Accounts Receivable (Tables)	3 Months Ended
	Jan. 31, 2020
Notes Tables
Summary of Changes in the Allowance for Doubtful Accounts for Trade Accounts Receivable [Table Text Block]	Three Months Ended January 31, 2020 2019 Balance at beginning of period $ 99,562 $ 64,242 Bad debt expense (recovery) (14,838 ) 23,809 Balance at end of period $ 84,724 $ 88,051

Note 4 - Inventories (Tables)

Note 4 - Inventories (Tables)	3 Months Ended
	Jan. 31, 2020
Notes Tables
Schedule of Inventory, Current [Table Text Block]	January 31, October 31, 2020 2019 Finished goods $ 5,170,602 $ 5,845,973 Work in process 3,287,286 3,321,216 Raw materials 8,434,081 8,632,230 Production supplies 288,170 296,208 Total $ 17,180,139 $ 18,095,627

Note 5 - Product Warranties (Ta

Note 5 - Product Warranties (Tables)	3 Months Ended
	Jan. 31, 2020
Notes Tables
Schedule of Product Warranty Liability [Table Text Block]	Three Months Ended January 31, 2020 2019 Balance at beginning of period $ 120,000 $ 180,000 Liabilities accrued for warranties issued during the period 69,549 137,576 Warranty claims and costs paid during the period (12,743 ) (127,838 ) Changes in liability for pre-existing warranties during the period (106,806 ) (29,738 ) Balance at end of period $ 70,000 $ 160,000

Note 6 - Long-term Debt and N_2

Note 6 - Long-term Debt and Notes Payable to Bank (Tables)	3 Months Ended
	Jan. 31, 2020
Notes Tables
Schedule of Debt [Table Text Block]	January 31, October 31, 2020 2019 Virginia Real Estate Loan ($6.5 million original principal) payable in monthly installments of $31,812, including interest (at 3.95%), with final payment of $3,644,211 due May 1, 2024 $ 4,279,596 $ 4,580,173 North Carolina Real Estate Loan ($2.24 million original principal) payable in monthly installments of $10,963, including interest (at 3.95%), with final payment of $1,255,850 due May 1, 2024 1,309,568 1,328,450 Total long-term debt 5,589,164 5,908,623 Less current installments 500,357 738,955 Long-term debt, excluding current installments $ 5,088,807 $ 5,169,668

Note 7 - Leases (Tables)

Note 7 - Leases (Tables)	3 Months Ended
	Jan. 31, 2020
Notes Tables
Lessee, Operating Lease, Liability, Maturity [Table Text Block]	Fiscal Year Future Payments 2020 (1) $ 224,438 2021 264,041 2022 261,109 2023 254,919 2024 260,223 Thereafter 21,734 Total undiscounted lease payments 1,286,464 Present value discount (142,206 ) Total undiscounted lease liability $ 1,144,258

Note 9 - Net Loss Per Share (Ta

Note 9 - Net Loss Per Share (Tables)	3 Months Ended
	Jan. 31, 2020
Notes Tables
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block]	Three months ended January 31, 2020 2019 Net loss (numerator) $ (2,591,888 ) $ (3,310,020 ) Shares (denominator) 7,322,195 7,536,561 Basic and diluted net loss per share $ (0.35 ) $ (0.44 )

Note 11 - Revenue Recognition (

Note 11 - Revenue Recognition (Tables)	3 Months Ended
	Jan. 31, 2020
Notes Tables
Revenue from External Customers by Geographic Areas [Table Text Block]	Three months ended January 31, 2020 2019 United States $ 10,488,348 $ 13,574,401 Outside the United States 2,399,048 3,176,267 Total net sales $ 12,887,396 $ 16,750,668

Note 1 - General (Details Textu

Note 1 - General (Details Textual) - Accounting Standards Update 2016-02 [Member]	Nov. 01, 2019USD ($)
Operating Lease, Right-of-Use Asset	$ 138,834
Operating Lease, Liability, Total	$ 139,367

Note 2 - Stock Incentive Plan_2

Note 2 - Stock Incentive Plans and Other Share-based Compensation (Details Textual) - Plan 2017 [Member] - USD ($)	3 Months Ended
	Jan. 31, 2020	Jan. 31, 2019
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant	443,000
Restricted Stock [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Forfeited in Period	2,909
Performance Shares [Member]
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Period for Recognition	1 year 1 month 6 days
Share-based Payment Arrangement, Nonvested Award, Excluding Option, Cost Not yet Recognized, Amount	$ 302,000
Employees, Consultant and Non-employee Directors [Member]
Share-based Payment Arrangement, Expense	$ 34,356	$ 862,254

Note 3 - Allowance for Doubtf_3

Note 3 - Allowance for Doubtful Accounts for Trade Accounts Receivable - Summary of Changes in the Allowance for Doubtful Accounts for Trade Accounts Receivable (Details) - USD ($)	3 Months Ended
	Jan. 31, 2020	Jan. 31, 2019
Balance at beginning of period	$ 99,562	$ 64,242
Bad debt expense (recovery)	(14,838)	23,809
Balance at end of period	$ 84,724	$ 88,051

Note 4 - Inventories - Componen

Note 4 - Inventories - Components of Inventories (Details) - USD ($)	Jan. 31, 2020	Oct. 31, 2019
Finished goods	$ 5,170,602	$ 5,845,973
Work in process	3,287,286	3,321,216
Raw materials	8,434,081	8,632,230
Production supplies	288,170	296,208
Total	$ 17,180,139	$ 18,095,627

Note 5 - Product Warranties (De

Note 5 - Product Warranties (Details Textual) - USD ($)	3 Months Ended
	Jan. 31, 2020	Jan. 31, 2019	Oct. 31, 2019	Oct. 31, 2018
Standard and Extended Product Warranty Accrual, Ending Balance	$ 70,000	$ 160,000	$ 120,000	$ 180,000
Product Warranty Expense	37,257	$ 107,838
Accounts Payable and Accrued Liabilities [Member]
Standard and Extended Product Warranty Accrual, Ending Balance	$ 70,000		$ 120,000

Note 5 - Product Warranties - C

Note 5 - Product Warranties - Changes in Accrual for Product Warranties (Details) - USD ($)	3 Months Ended
	Jan. 31, 2020	Jan. 31, 2019
Balance at beginning of period	$ 120,000	$ 180,000
Liabilities accrued for warranties issued during the period	69,549	137,576
Warranty claims and costs paid during the period	(12,743)	(127,838)
Changes in liability for pre-existing warranties during the period	(106,806)	(29,738)
Balance at end of period	$ 70,000	$ 160,000

Note 6 - Long-term Debt and N_3

Note 6 - Long-term Debt and Notes Payable to Bank (Details Textual) - Pinnacle Financial Partners [Member] - USD ($)	Jan. 31, 2020	Jan. 22, 2020	Jan. 21, 2020	Oct. 31, 2019
Real Estate Term Loans [Member]
Debt Instrument, Increase (Decrease), Net, Total		$ (200,000)
Revolving Credit Facility [Member]
Line of Credit Facility, Maximum Borrowing Capacity	$ 6,500,000
Debt Instrument, Covenant, Current Ratio	3
Debt Instrument, Current Ratio	2.1
Debt Instrument, Covenant, Total Liabilities To Tangible Net Worth Ratio	0.95
Debt Instrument, Total Liabilities To Tangible Net Worth Ratio	1
Long-term Line of Credit, Total	$ 5,700,000			$ 5,700,000
Line of Credit Facility, Remaining Borrowing Capacity	$ 850,000			$ 850,000
Revolving Credit Facility [Member] | Prime Rate [Member]
Debt Instrument, Basis Spread on Variable Rate	0.50%		0.25%
Debt Instrument, Interest Rate, Effective Percentage	5.25%
Virginia Real Estate Loan and North Carolina Real Estate Loan [Member]
Debt Instrument, Interest Rate, Stated Percentage	3.95%

Note 6 - Long-term Debt and N_4

Note 6 - Long-term Debt and Note Payable to Bank - Long-term Debt (Details) - USD ($)	Jan. 31, 2020	Oct. 31, 2019
Long-term Loan	$ 5,589,164	$ 5,908,623
Less current installments	500,357	738,955
Long-term debt, excluding current installments	5,088,807	5,169,668
Virginia Real Estate Loan [Member]
Long-term Loan	4,279,596	4,580,173
North Carolina Real Estate Loan [Member]
Long-term Loan	$ 1,309,568	$ 1,328,450

Note 6 - Long-term Debt and N_5

Note 6 - Long-term Debt and Note Payable to Bank - Long-term Debt (Details) (Parentheticals) - USD ($)	3 Months Ended	12 Months Ended
	Jan. 31, 2020	Oct. 31, 2019
Virginia Real Estate Loan [Member]
Original principal	$ 6,500,000	$ 6,500,000
Monthly installments	$ 31,812	$ 31,812
Debt Instrument, Interest Rate, Stated Percentage	3.95%	3.95%
Final payment	$ 3,644,211	$ 3,644,211
Maturity date	May 1, 2024	May 1, 2024
North Carolina Real Estate Loan [Member]
Original principal	$ 2,240,000	$ 2,240,000
Monthly installments	$ 10,963	$ 10,963
Debt Instrument, Interest Rate, Stated Percentage	3.95%	3.95%
Final payment	$ 1,255,850	$ 1,255,850
Maturity date	May 1, 2024	May 1, 2024

Note 7 - Leases (Details Textua

Note 7 - Leases (Details Textual)	3 Months Ended
	Jan. 31, 2020USD ($)ft²	Feb. 06, 2020	Apr. 30, 2015ft²
Operating Lease, Expense	$ 95,871
Operating Lease, Weighted Average Remaining Lease Term	55 months 6 days
Operating Lease, Weighted Average Discount Rate, Percent	5.00%
Operating Lease, Payments	$ 94,199
Right-of-Use Asset Obtained in Exchange for Operating Lease Liability	1,088,719
Other Assets [Member]
Operating Lease, Right-of-Use Asset	1,142,054
Accounts Payable and Accrued Liabilities [Member]
Operating Lease, Liability, Current	239,536
Other Noncurrent Liabilities [Member]
Operating Lease, Liability, Noncurrent	$ 904,722
Operating Lease for Office, Manufacturing and Warehouse Space in Plano, Texas [Member]
Area of Real Estate Property | ft²	34,000
Operating Lease for Warehouse Space in Roanoke, Virginia [Member]
Area of Real Estate Property | ft²			36,000
Lessee, Operating Lease, Term of Contract			12 months
Lease Term, Extension, Term	1 year
Operating Lease for Warehouse Space in Roanoke, Virginia [Member] | Subsequent Event [Member]
Lessee, Operating Lease, Renewal Term		36 months
Operating Lease For Office Equipment [Member]
Lessee, Operating Lease, Term of Contract	60 months

Note 7 - Leases - Future Paymen

Note 7 - Leases - Future Payments Due (Details)	Jan. 31, 2020USD ($)
2020	$ 224,438	[1]
2021	264,041
2022	261,109
2023	254,919
2024	260,223
Thereafter	21,734
Total undiscounted lease payments	1,286,464
Present value discount	(142,206)
Accounts Payable and Accrued Liabilities and Noncurrent Liabilities [Member]
Total undiscounted lease liability	$ 1,144,258
[1]	Remaining nine months of fiscal year 2020.

Note 9 - Net Loss Per Share (De

Note 9 - Net Loss Per Share (Details Textual) - shares	3 Months Ended
	Jan. 31, 2020	Jan. 31, 2019
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	136,786	157,678

Note 9 - Net Loss Per Share - C

Note 9 - Net Loss Per Share - Components of Reconciliation of Numerators and Denominators Net Loss Per Share (Details) - USD ($)	3 Months Ended
	Jan. 31, 2020	Jan. 31, 2019
Net loss (numerator)	$ (2,591,888)	$ (3,310,020)
Shares (denominator) (in shares)	7,322,195	7,536,561
Basic and diluted net loss per share (in dollars per share)	$ (0.35)	$ (0.44)

Note 10 - Segment Information_2

Note 10 - Segment Information and Business and Credit Concentrations (Details Textual) - Customer Concentration Risk [Member] - Revenue Benchmark [Member]	3 Months Ended
	Jan. 31, 2020	Jan. 31, 2019
Concentration Risk, Number of Customers	1	2
One Customer [Member]
Concentration Risk, Percentage	14.80%
Customer One [Member]
Concentration Risk, Percentage		13.40%
Customer Two [Member]
Concentration Risk, Percentage		16.60%

Note 11 - Revenue Recognition_2

Note 11 - Revenue Recognition (Details Textual) - USD ($)	Jan. 31, 2020	Oct. 31, 2019
Contract with Customer, Liability, Total	$ 114,218	$ 19,850
Contract with Customer, Refund Liability, Total	$ 84,399	$ 273,512

Note 11 - Revenue Recognition -

Note 11 - Revenue Recognition - Revenue Attributed to United States and All Other Countries (Details) - USD ($)	3 Months Ended
	Jan. 31, 2020	Jan. 31, 2019
Net sales	$ 12,887,396	$ 16,750,668
UNITED STATES
Net sales	10,488,348	13,574,401
Non-US [Member]
Net sales	$ 2,399,048	$ 3,176,267