Document And Entity Information
Document And Entity Information - shares | 9 Months Ended | |
Sep. 30, 2015 | Oct. 31, 2015 | |
Entity Registrant Name | INTEST CORP | |
Entity Central Index Key | 1,036,262 | |
Trading Symbol | intt | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Smaller Reporting Company | |
Entity Current Reporting Status | Yes | |
Entity Voluntary Filers | No | |
Entity Well-known Seasoned Issuer | No | |
Entity Common Stock, Shares Outstanding (in shares) | 10,562,678 | |
Document Type | 10-Q | |
Document Period End Date | Sep. 30, 2015 | |
Document Fiscal Year Focus | 2,015 | |
Document Fiscal Period Focus | Q3 | |
Amendment Flag | false |
Consolidated Balance Sheets (Cu
Consolidated Balance Sheets (Current Period Unaudited) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
Identifiable assets: | ||
Cash and cash equivalents | $ 25,383 | $ 23,126 |
Trade accounts receivable, net of allowance for doubtful accounts of $146 and $146, respectively | 5,539 | 5,034 |
Inventories | 3,802 | 3,769 |
Deferred tax assets | 609 | 529 |
Prepaid expenses and other current assets | 399 | 473 |
Total current assets | 35,732 | 32,931 |
Property and equipment: | ||
Machinery and equipment | 4,365 | 4,322 |
Leasehold improvements | 603 | 593 |
Gross property and equipment | 4,968 | 4,915 |
Less: accumulated depreciation | (3,787) | (3,647) |
Net property and equipment | 1,181 | 1,268 |
Deferred tax assets | 635 | 884 |
Goodwill | 1,706 | 1,706 |
Intangible assets, net | 1,176 | 1,393 |
Restricted certificates of deposit | 350 | 350 |
Other assets | 193 | 206 |
Total assets | 40,973 | 38,738 |
LIABILITIES AND STOCKHOLDERS' EQUITY | ||
Accounts payable | 1,545 | 1,234 |
Accrued wages and benefits | 1,610 | 1,528 |
Accrued rent | 605 | 615 |
Accrued professional fees | 378 | 390 |
Accrued sales commissions | 354 | 328 |
Domestic and foreign income taxes payable | 12 | 22 |
Other current liabilities | 393 | 253 |
Total current liabilities | $ 4,897 | $ 4,370 |
Commitments and Contingencies | ||
Stockholders' equity: | ||
Preferred stock, $0.01 par value; 5,000,000 shares authorized; no shares issued or outstanding | ||
Common stock, $0.01 par value; 20,000,000 shares authorized; 10,595,755 and 10,595,755 shares issued, respectively | $ 106 | $ 106 |
Addtional paid-in capital | 26,412 | 26,321 |
Retained earnings | 8,980 | 7,152 |
Accumulated other comprehensive earnings | 782 | 993 |
Treasury stock, at cost; 33,077 and 33,077 shares, respectively | (204) | (204) |
Total stockholders' equity | 36,076 | 34,368 |
Total liabilities and stockholders' equity | $ 40,973 | $ 38,738 |
Consolidated Balance Sheets (C3
Consolidated Balance Sheets (Current Period Unaudited) (Parentheticals) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
Allowance for doubtful accounts, respectively | $ 146 | $ 146 |
Preferred stock par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized (in shares) | 5,000,000 | 5,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Preferred stock, shares outstanding (in shares) | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 20,000,000 | 20,000,000 |
Common stock, shares issued (in shares) | 10,595,755 | 10,595,755 |
Treasury stock, at cost, shares, respectively (in shares) | 33,077 | 33,077 |
Consolidated Statements of Oper
Consolidated Statements of Operations (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Net revenues | $ 9,203 | $ 10,794 | $ 30,950 | $ 31,934 |
Cost of revenues | 4,880 | 5,626 | 15,863 | 16,499 |
Gross margin | 4,323 | 5,168 | 15,087 | 15,435 |
Operating expenses: | ||||
Selling expense | 1,370 | 1,462 | 4,449 | 4,318 |
Engineering and product development expense | 1,041 | 894 | 3,030 | 2,704 |
General and administrative expense | 1,511 | 1,528 | 4,887 | 4,681 |
Total operating expenses | 3,922 | 3,884 | 12,366 | 11,703 |
Operating income | 401 | 1,284 | 2,721 | 3,732 |
Other income (expense) | 6 | (16) | 16 | 1 |
Earnings before income tax expense | 407 | 1,268 | 2,737 | 3,733 |
Income tax expense | 97 | 431 | 909 | 1,253 |
Net earnings | $ 310 | $ 837 | $ 1,828 | $ 2,480 |
Net earnings per common share - basic (in dollars per share) | $ 0.03 | $ 0.08 | $ 0.17 | $ 0.24 |
Weighted average common shares outstanding - basic (in shares) | 10,473,928 | 10,440,803 | 10,470,410 | 10,424,001 |
Net earnings per common share - diluted (in dollars per share) | $ 0.03 | $ 0.08 | $ 0.17 | $ 0.24 |
Weighted average common shares and common share equivalents outstanding - diluted (in shares) | 10,498,911 | 10,477,814 | 10,492,317 | 10,461,075 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Earnings (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Net earnings | $ 310 | $ 837 | $ 1,828 | $ 2,480 |
Foreign currency translation adjustments | 14 | (223) | (211) | (234) |
Comprehensive earnings | $ 324 | $ 614 | $ 1,617 | $ 2,246 |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity (Unaudited) - 9 months ended Sep. 30, 2015 - USD ($) $ in Thousands | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | AOCI Attributable to Parent [Member] | Treasury Stock [Member] | Total |
Balance (in shares) at Dec. 31, 2014 | 10,595,755 | 10,595,755 | ||||
Balance at Dec. 31, 2014 | $ 106 | $ 26,321 | $ 7,152 | $ 993 | $ (204) | $ 34,368 |
Net earnings | $ 1,828 | 1,828 | ||||
Foreign currency translation adjustments | $ (211) | (211) | ||||
Amortization of deferred compensation related to restricted stock | $ 91 | $ 91 | ||||
Balance (in shares) at Sep. 30, 2015 | 10,595,755 | 10,595,755 | ||||
Balance at Sep. 30, 2015 | $ 106 | $ 26,412 | $ 8,980 | $ 782 | $ (204) | $ 36,076 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2015 | Sep. 30, 2014 | |
CASH FLOWS FROM OPERATING ACTIVITIES | ||
Net earnings | $ 1,828 | $ 2,480 |
Adjustments to reconcile net earnings to net cash provided by operating activities: | ||
Depreciation and amortization | 575 | 663 |
Provision for excess and obsolete inventory | 232 | 232 |
Foreign exchange loss | 21 | 24 |
Amortization of deferred compensation related to restricted stock | 91 | 104 |
Loss on sale of property and equipment | 13 | 20 |
Proceeds from sale of demonstration equipment, net of gain | 208 | 112 |
Deferred income tax expense | 169 | 282 |
Changes in assets and liabilities: | ||
Trade accounts receivable | (553) | (1,879) |
Inventories | (282) | (791) |
Prepaid expenses and other current assets | $ 67 | (45) |
Other assets | 2 | |
Accounts payable | $ 312 | 491 |
Accrued wages and benefits | 101 | (42) |
Accrued rent | (10) | 27 |
Accrued professional fees | (11) | (3) |
Accrued sales commissions | 26 | 116 |
Domestic and foreign income taxes payable | (10) | (51) |
Other current liabilities | 142 | 45 |
Net cash provided by operating activities | 2,919 | 1,787 |
CASH FLOWS FROM INVESTING ACTIVITIES | ||
Purchase of property and equipment | $ (545) | (536) |
Proceeds from sale of property and equipment | 8 | |
Net cash used in investing activities | $ (545) | (528) |
Effects of exchange rates on cash | (117) | (130) |
Net cash provided by all activities | 2,257 | 1,129 |
Cash and cash equivalents at beginning of period | 23,126 | 19,018 |
Cash and cash equivalents at end of period | 25,383 | 20,147 |
Cash payments for: | ||
Domestic and foreign income taxes | $ 749 | 1,023 |
SUPPLEMENTAL DISCLOSURE OF NON-CASH INVESTING AND FINANCING ACTIVITIES: | ||
Issuance of unvested shares of restricted stock | 41 | |
Forfeiture of unvested shares of restricted stock | $ (20) |
Note 1 - Nature of Operations
Note 1 - Nature of Operations | 9 Months Ended |
Sep. 30, 2015 | |
Notes to Financial Statements | |
Nature of Operations [Text Block] | (1) NATURE OF OPERATIONS We are an independent designer, manufacturer and marketer of thermal, mechanical and electrical products that are primarily used by semiconductor manufacturers in conjunction with automatic test equipment ("ATE") in the testing of integrated circuits ("ICs" or "semiconductors"). In addition, in recent years we have begun marketing our thermal products in markets outside the ATE market, such as the automotive, consumer electronics, defense/aerospace, energy, industrial and telecommunications markets. |
Note 2 - Summary of Significant
Note 2 - Summary of Significant Accounting Policies | 9 Months Ended |
Sep. 30, 2015 | |
Notes to Financial Statements | |
Significant Accounting Policies [Text Block] | (2) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation and Use of Estimates The accompanying consolidated financial statements include our accounts and those of our wholly-owned subsidiaries. All significant intercompany accounts and transactions have been eliminated upon consolidation. The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires us to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Certain of our accounts, including inventories, long-lived assets, goodwill, identifiable intangibles and deferred tax assets and liabilities including related valuation allowances, are particularly impacted by estimates. In the opinion of management, the accompanying unaudited consolidated financial statements include all adjustments (consisting only of normal recurring adjustments) necessary to present fairly the financial position, results of operations, and changes in cash flows for the interim periods presented. Certain footnote information has been condensed or omitted from these consolidated financial statements. Therefore, these consolidated financial statements should be read in conjunction with the consolidated financial statements and accompanying footnotes included in our Annual Report on Form 10-K for the year ended December 31, 2014 filed with the Securities and Exchange Commission on March 26, 2015 (the "2014 Form 10-K"). Reclassification Certain prior period amounts have been reclassified to be comparable with the current period's presentation. Inventories Inventories are valued at cost on a first-in, first-out basis, not in excess of market value. Cash flows from the sale of inventories are recorded in operating cash flows. On a quarterly basis, we review our inventories and record excess and obsolete inventory charges based upon our established objective excess and obsolete inventory criteria. These criteria identify material that has not been used in a work order during the prior twelve months and the quantity of material on hand that is greater than the average annual usage of that material over the prior three years. In certain cases, additional excess and obsolete inventory charges are recorded based upon current market conditions, anticipated product life cycles, new product introductions and expected future use of the inventory. The excess and obsolete inventory charges we record establish a new cost basis for the related inventories. We incurred excess and obsolete inventory charges of $232 in each of the nine months ended September 30, 2015 and 2014. Goodwill, Intangible and Long-Lived Assets We account for goodwill and intangible assets in accordance with Accounting Standards Codification ("ASC") 350 (Intangibles- Goodwill and Other). Finite-lived intangible assets are amortized over their estimated useful economic life and are carried at cost less accumulated amortization. Goodwill is assessed for impairment at least annually in the fourth quarter, on a reporting unit basis, or more frequently when events and circumstances occur indicating that the recorded goodwill may be impaired. As a part of the goodwill impairment assessment, we have the option to perform a qualitative assessment to determine whether it is more-likely-than-not that the fair value of a reporting unit is less than its carrying amount. If we determine this is the case, we are required to perform a two-step goodwill impairment test to identify potential goodwill impairment and measure the amount of goodwill impairment loss to be recognized. The two-step test is discussed below. If we determine that it is more-likely-than-not that the fair value of the reporting unit is greater than its carrying amounts, the two-step goodwill impairment test is not required. If we determine it is more-likely-than-not that the fair value of a reporting unit is less than its carrying amount as a result of our qualitative assessment, we will perform a quantitative two-step goodwill impairment test. In the Step I test, the fair value of a reporting unit is computed and compared with its book value. If the book value of a reporting unit exceeds its fair value, a Step II test is performed in which the implied fair value of goodwill is compared with the carrying amount of goodwill. If the carrying amount of goodwill exceeds the implied fair value, an impairment loss is recorded in an amount equal to that excess. The two-step goodwill impairment assessment is based upon a combination of the income approach, which estimates the fair value of our reporting units based upon a discounted cash flow approach, and the market approach which estimates the fair value of our reporting units based upon comparable market multiples. This fair value is then reconciled to our market capitalization at year end with an appropriate control premium. The determination of the fair value of our reporting units requires management to make significant estimates and assumptions including the selection of appropriate peer group companies, control premiums, discount rate, terminal growth rates, forecasts of revenue and expense growth rates, changes in working capital, depreciation, amortization and capital expenditures. Changes in assumptions concerning future financial results or other underlying assumptions could have a significant impact on either the fair value of the reporting unit or the amount of the goodwill impairment charge. Indefinite-lived intangible assets are assessed for impairment at least annually in the fourth quarter, or more frequently if events or changes in circumstances indicate that the asset might be impaired. As a part of the impairment assessment, we have the option to perform a qualitative assessment to determine whether it is more likely than not that an indefinite-lived intangible asset is impaired. If, as a result of our qualitative assessment, we determine that it is more-likely-than-not that the fair value of the indefinite-lived intangible asset is less than its carrying amount, the quantitative impairment test is required. Otherwise, no further testing is required. The quantitative impairment test consists of a comparison of the fair value of the intangible asset with its carrying amount. If the carrying amount of the intangible asset exceeds its fair value, an impairment loss is recognized in an amount equal to that excess. Long-lived assets, which consist of finite-lived intangible assets and property and equipment, are assessed for impairment whenever events or changes in business circumstances indicate that the carrying amount of the assets may not be fully recoverable or that the useful lives of these assets are no longer appropriate. Each impairment test is based on a comparison of the estimated undiscounted cash flows to the recorded value of the asset. If impairment is indicated, the asset is written down to its estimated fair value which is determined using a discounted cash flow analysis. The cash flow estimates used to determine the impairment, if any, contain management's best estimates using appropriate assumptions and projections at that time. Stock-Based Compensation We account for stock-based compensation in accordance with ASC Topic 718 (Compensation - Stock Compensation) which requires that employee share-based equity awards be accounted for under the fair value method and requires the use of an option pricing model for estimating fair value of stock options granted, which is then amortized to expense over the service periods. See further disclosures related to our stock-based compensation plan in Note 7. Subsequent Events We have made an assessment of our operations and determined that there were no material subsequent events requiring adjustment to, or disclosure in, our consolidated financial statements for the nine months ended September 30, 2015, other than the authorization by our Board of Directors of a stock repurchase plan (the "2015 Repurchase Plan") on October 27, 2015, as discussed further in Note 10. Revenue Recognition We recognize revenue when persuasive evidence of an arrangement exists, delivery has occurred or services have been rendered, the price is fixed or determinable, and collection of the related receivable is reasonably assured. Sales of our products are made through our sales employees, third-party sales representatives and distributors. There are no differences in revenue recognition policies based on the sales channel. We do not provide our customers with rights of return or exchanges. Revenue is generally recognized upon product shipment. Our customers' purchase orders do not typically contain any customer-specific acceptance criteria, other than that the product performs within the agreed upon specifications. We test all products manufactured as part of our quality assurance process to determine that they comply with specifications prior to shipment to a customer. To the extent that any customer purchase order contains customer-specific acceptance criteria, revenue recognition is deferred until customer acceptance. In addition, in our Thermal Products and Mechanical Products segments, we lease certain of our equipment to customers under non-cancellable operating leases. These leases generally have an initial term of six months. We recognize revenue for these leases on a straight-line basis over the term of the lease. With respect to sales tax collected from customers and remitted to governmental authorities, we use a net presentation in our consolidated statement of operations. As a result, there are no amounts included in either our net revenues or cost of revenues related to sales tax. Product Warranties We generally provide product warranties and record estimated warranty expense at the time of sale based upon historical claims experience. Warranty expense is included in selling expense in the consolidated financial statements. Income Taxes The asset and liability method is used in accounting for income taxes. Under this method, deferred tax assets and liabilities are recognized for operating loss and tax credit carryforwards and for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in the results of operations in the period that includes the enactment date. A valuation allowance is recorded to reduce the carrying amounts of deferred tax assets if it is more likely than not that such assets will not be realized. Net Earnings Per Common Share Net earnings per common share - basic is computed by dividing net earnings by the weighted average number of common shares outstanding during each period. Net earnings per common share - diluted is computed by dividing net earnings by the weighted average number of common shares and common share equivalents outstanding during each period. Common share equivalents include unvested shares of restricted stock and are calculated using the treasury stock method. Common share equivalents are excluded from the calculation if their effect is anti-dilutive. The table below sets forth, for the periods indicated, a reconciliation of weighted average common shares outstanding - basic to weighted average common shares and common share equivalents outstanding - diluted and the average number of potentially dilutive securities that were excluded from the calculation of diluted earnings per share because their effect was anti-dilutive: Three Months Ended September 30, Nine Months Ended September 30, 2015 2014 2015 2014 Weighted average common shares outstanding - basic 10,473,928 10,440,803 10,470,410 10,424,001 Potentially dilutive securities: Unvested shares of restricted stock 24,983 37,011 21,907 37,074 Weighted average common shares and common share equivalents outstanding - diluted 10,498,911 10,477,814 10,492,317 10,461,075 Average number of potentially dilutive securities excluded from calculation - - - 4,505 Effect of Recently Issued Amendments to Authoritative Accounting Guidance In July 2015, the FASB issued amendments to update the current guidance on the subsequent measurement of inventory, which is presented in ASC Topic 330 (Inventory). The purpose of the amendments is to simplify the subsequent measurement of inventory and reduce the number of potential outcomes. It applies to all inventory other than inventory measured using last-in, first-out or the retail inventory method. Current guidance requires an entity to measure inventory at the lower of cost or market. Market could be replacement cost, net realizable value, or net realizable value less a normal profit margin. The updated guidance amends this to require that an entity measure inventory within the scope of the updated guidance at the lower of cost and net realizable value. Net realizable value is the estimated selling price in the ordinary course of business, less reasonably predictable costs of completion, disposal, and transportation. The amendments are effective for us as of January 1, 2017. We do not expect the implementation of these amendments to have a material impact on our consolidated financial statements. In May 2014, the FASB issued new guidance on the recognition of revenue from contracts with customers. This guidance is presented in ASC Topic 606 (Revenue from Contracts with Customers). This new guidance will replace most existing revenue recognition guidance in U.S. GAAP when it becomes effective. Companies can use either the retrospective or cumulative effect transition method. In August 2015, the FASB deferred the effective date of this new guidance for one additional year. As a result, this new guidance is effective for us on January 1, 2018. Early application is only permitted as of the prior effective date, which in our case would be as of January 1, 2017. We have not yet selected a transition method and we are still evaluating the effect that this guidance will have on our consolidated financial statements and related disclosures. |
Note 3 - Goodwill and Intangibl
Note 3 - Goodwill and Intangible Assets | 9 Months Ended |
Sep. 30, 2015 | |
Notes to Financial Statements | |
Goodwill and Intangible Assets Disclosure [Text Block] | (3) GOODWILL AND INTANGIBLE ASSETS Goodwill and intangible assets on our balance sheets are the result of our acquisitions of Sigma Systems Corp. ("Sigma") in October 2008 and Thermonics, Inc. ("Thermonics"), a division of Test Enterprises, Inc. in January 2012. Goodwill Intangible Assets September 30, 2015 Gross Amount Amortization Net Amount Finite-lived intangible assets: Customer relationships $ 1,480 $ 1,119 $ 361 Patented technology 590 376 214 Software 270 189 81 Trade name 140 130 10 Total finite-lived intangible assets 2,480 1,814 666 Indefinite-lived intangible assets: Sigma trademark 510 - 510 Total intangible assets $ 2,990 $ 1,814 $ 1,176 December 31, 2014 Gross Carrying Amount Amortization Net Carrying Amount Finite-lived intangible assets: Customer relationships $ 1,480 $ 979 $ 501 Patented technology 590 346 244 Software 270 169 101 Trade name 140 103 37 Total finite-lived intangible assets 2,480 1,597 883 Indefinite-lived intangible assets: Sigma trademark 510 - 510 Total intangible assets $ 2,990 $ 1,597 $ 1,393 We generally amortize our finite-lived intangible assets over their estimated useful lives on a straight-line basis, unless an alternate amortization method can be reliably determined. Any such alternate amortization method would be based on the pattern in which the economic benefits of the intangible asset are expected to be consumed. None of our intangible assets have any residual value. Total amortization expense for the nine months ended September 30, 2015 and 2014 was $217 and $278, respectively. The following table sets forth the estimated annual amortization expense for our finite-lived intangible assets for each of the next five years: 2015 (remainder) $ 72 2016 $ 229 2017 $ 212 2018 $ 65 2019 $ 39 |
Note 4 - Major Customers
Note 4 - Major Customers | 9 Months Ended |
Sep. 30, 2015 | |
Notes to Financial Statements | |
Concentration Risk Disclosure [Text Block] | (4) MAJOR CUSTOMERS During the nine months ended September 30, 2015 and 2014, Hakuto Co., Ltd., one of our distributors, accounted for 13% and 11% of our consolidated net revenues, respectively. These revenues were generated by our Thermal Products segment. During the nine months ended September 30, 2014, Texas Instruments Incorporated accounted for 11% of our consolidated net revenues. While all three of our operating segments sold products to this customer, these revenues were primarily generated by our Mechanical Products and our Electrical Products segments. No other customers accounted for 10% or more of our consolidated net revenues during the nine months ended September 30, 2015 and 2014. |
Note 5 - Inventories
Note 5 - Inventories | 9 Months Ended |
Sep. 30, 2015 | |
Notes to Financial Statements | |
Inventory Disclosure [Text Block] | (5) INVENTORIES Inventories held at September 30, 2015 and December 31, 2014 were comprised of the following: Sept. 30, 2015 Dec. 31, 2014 Raw materials $ 2,641 $ 2,505 Work in process 462 406 Inventory consigned to others 137 129 Finished goods 562 729 Total inventories $ 3,802 $ 3,769 |
Note 6 - Debt
Note 6 - Debt | 9 Months Ended |
Sep. 30, 2015 | |
Notes to Financial Statements | |
Debt Disclosure [Text Block] | (6) DEBT Letters of Credit Letters of Credit Amount Outstanding Original L/C Issue Date Expiration Date Expiration Date Sept. 30, 2015 Dec. 31, 2014 Mt. Laurel, NJ 3/29/2010 4/01/2016 4/30/2021 $ 250 $ 250 Mansfield, MA 10/27/2010 11/08/2016 8/23/2021 100 100 $ 350 $ 350 |
Note 7 - Stock-based Compensati
Note 7 - Stock-based Compensation | 9 Months Ended |
Sep. 30, 2015 | |
Notes to Financial Statements | |
Disclosure of Compensation Related Costs, Share-based Payments [Text Block] | (7) STOCK-BASED COMPENSATION As of September 30, 2015, we have unvested restricted stock awards granted under stock-based employee compensation plans that are described more fully in Note 12 to the consolidated financial statements in our 2014 Form 10-K. We did not grant any stock options during 2015 or 2014. Three Months Ended September 30, Nine Months Ended September 30, 2015 2014 2015 2014 Cost of revenues $ 3 $ 2 $ 8 $ 8 Selling expense 1 1 4 5 Engineering and product development expense 2 3 7 14 General and administrative expense 24 24 72 77 $ 30 $ 30 $ 91 $ 104 There was no compensation expense capitalized in the nine months ended September 30, 2015 or 2014. of Shares Weighted Fair Value Unvested shares outstanding, January 1, 2015 101,875 $ 2.82 Granted - - Vested (13,125 ) 3.15 Forfeited - - Unvested shares outstanding, September 30, 2015 88,750 3.05 |
Note 8 - Employee Benefit Plans
Note 8 - Employee Benefit Plans | 9 Months Ended |
Sep. 30, 2015 | |
Notes to Financial Statements | |
Pension and Other Postretirement Benefits Disclosure [Text Block] | (8) EMPLOYEE BENEFIT PLANS We have a defined contribution 401(k) plan for our employees who work in the U.S. All permanent employees of inTEST Corporation, Temptronic Corporation and inTEST Silicon Valley Corporation who are at least 18 years of age are eligible to participate in the plan. We match employee contributions dollar for dollar up to 10% of the employee's annual compensation, with a maximum limit of $5. Employer contributions vest ratably over four years. Matching contributions are discretionary. For the nine months ended September 30, 2015 and 2014, we recorded $297 and $280 of expense for matching contributions, respectively. |
Note 9 - Segment Information
Note 9 - Segment Information | 9 Months Ended |
Sep. 30, 2015 | |
Notes to Financial Statements | |
Segment Reporting Disclosure [Text Block] | (9) SEGMENT INFORMATION We have three reportable segments, which are also our reporting units: Thermal Products, Mechanical Products and Electrical Products. Three Months Ended September 30, Nine Months Ended September 30, 2015 2014 2015 2014 Net revenues: Thermal Products $ 6,259 $ 5,908 $ 18,635 $ 17,267 Mechanical Products 1,273 3,077 6,195 9,261 Electrical Products 1,671 1,809 6,120 5,406 $ 9,203 $ 10,794 $ 30,950 $ 31,934 Earnings (loss) before income tax expense (benefit): Thermal Products $ 1,165 $ 1,304 $ 3,731 $ 3,322 Mechanical Products (759 ) (109 ) (1,240 ) 245 Electrical Products 79 203 875 608 Corporate (78 ) (130 ) (629 ) (442 ) $ 407 $ 1,268 $ 2,737 $ 3,733 Net earnings (loss): Thermal Products $ 886 $ 861 $ 2,559 $ 2,222 Mechanical Products (577 ) (72 ) (891 ) 152 Electrical Products 60 134 579 402 Corporate (59 ) (86 ) (419 ) (296 ) $ 310 $ 837 $ 1,828 $ 2,480 Sept. 30, 2015 Dec. 31, 2014 Identifiable assets: Thermal Products $ 16,645 $ 26,211 Mechanical Products 20,481 7,801 Electrical Products 3,847 4,726 $ 40,973 $ 38,738 Three Months Ended September 30, Nine Months Ended September 30, 2015 2014 2015 2014 Net revenues: U.S. $ 3,713 $ 3,343 $ 11,032 $ 10,215 Foreign 5,490 7,451 19,918 21,719 $ 9,203 $ 10,794 $ 30,950 $ 31,934 Sept. 30, 2015 Dec. 31, 2014 Property and equipment: U.S. $ 833 $ 621 Foreign 348 647 $ 1,181 $ 1,268 |
Note 10 - Subsequent Event
Note 10 - Subsequent Event | 9 Months Ended |
Sep. 30, 2015 | |
Notes to Financial Statements | |
Subsequent Events [Text Block] | (10) SUBSEQUENT EVENT On October 27, 2015 our Board of Directors authorized the repurchase of up to $5,000 of our common stock from time to time on the open market, in compliance with Rule 10b-18 under the Securities Exchange Act of 1934, or in privately negotiated transactions pursuant to a newly authorized stock repurchase plan. Repurchases may also be made under a Rule 10b5-1 plan to be entered into with RW Baird & Co, which would permit shares to be repurchased when we might otherwise be precluded from doing so under insider trading laws. The timing and amount of any shares repurchased under the 2015 Repurchase Plan will be determined by our management, based on our evaluation of market conditions and other factors. The 2015 Repurchase Plan does not obligate us to purchase any particular amount of common stock and may be suspended or discontinued at any time without prior notice. The 2015 Repurchase Plan will be funded using our operating cash flow or available cash. |
Significant Accounting Policies
Significant Accounting Policies (Policies) | 9 Months Ended |
Sep. 30, 2015 | |
Accounting Policies [Abstract] | |
Basis Of Presentation And Use Of Estimates [Policy Text Block] | Basis of Presentation and Use of Estimates The accompanying consolidated financial statements include our accounts and those of our wholly-owned subsidiaries. All significant intercompany accounts and transactions have been eliminated upon consolidation. The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires us to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Certain of our accounts, including inventories, long-lived assets, goodwill, identifiable intangibles and deferred tax assets and liabilities including related valuation allowances, are particularly impacted by estimates. In the opinion of management, the accompanying unaudited consolidated financial statements include all adjustments (consisting only of normal recurring adjustments) necessary to present fairly the financial position, results of operations, and changes in cash flows for the interim periods presented. Certain footnote information has been condensed or omitted from these consolidated financial statements. Therefore, these consolidated financial statements should be read in conjunction with the consolidated financial statements and accompanying footnotes included in our Annual Report on Form 10-K for the year ended December 31, 2014 filed with the Securities and Exchange Commission on March 26, 2015 (the "2014 Form 10-K"). |
Reclassification, Policy [Policy Text Block] | Reclassification Certain prior period amounts have been reclassified to be comparable with the current period's presentation. |
Inventory, Policy [Policy Text Block] | Inventories Inventories are valued at cost on a first-in, first-out basis, not in excess of market value. Cash flows from the sale of inventories are recorded in operating cash flows. On a quarterly basis, we review our inventories and record excess and obsolete inventory charges based upon our established objective excess and obsolete inventory criteria. These criteria identify material that has not been used in a work order during the prior twelve months and the quantity of material on hand that is greater than the average annual usage of that material over the prior three years. In certain cases, additional excess and obsolete inventory charges are recorded based upon current market conditions, anticipated product life cycles, new product introductions and expected future use of the inventory. The excess and obsolete inventory charges we record establish a new cost basis for the related inventories. We incurred excess and obsolete inventory charges of $232 in each of the nine months ended September 30, 2015 and 2014. |
Goodwill Intangible And Long Lived Assets [Policy Text Block] | Goodwill, Intangible and Long-Lived Assets We account for goodwill and intangible assets in accordance with Accounting Standards Codification ("ASC") 350 (Intangibles- Goodwill and Other). Finite-lived intangible assets are amortized over their estimated useful economic life and are carried at cost less accumulated amortization. Goodwill is assessed for impairment at least annually in the fourth quarter, on a reporting unit basis, or more frequently when events and circumstances occur indicating that the recorded goodwill may be impaired. As a part of the goodwill impairment assessment, we have the option to perform a qualitative assessment to determine whether it is more-likely-than-not that the fair value of a reporting unit is less than its carrying amount. If we determine this is the case, we are required to perform a two-step goodwill impairment test to identify potential goodwill impairment and measure the amount of goodwill impairment loss to be recognized. The two-step test is discussed below. If we determine that it is more-likely-than-not that the fair value of the reporting unit is greater than its carrying amounts, the two-step goodwill impairment test is not required. If we determine it is more-likely-than-not that the fair value of a reporting unit is less than its carrying amount as a result of our qualitative assessment, we will perform a quantitative two-step goodwill impairment test. In the Step I test, the fair value of a reporting unit is computed and compared with its book value. If the book value of a reporting unit exceeds its fair value, a Step II test is performed in which the implied fair value of goodwill is compared with the carrying amount of goodwill. If the carrying amount of goodwill exceeds the implied fair value, an impairment loss is recorded in an amount equal to that excess. The two-step goodwill impairment assessment is based upon a combination of the income approach, which estimates the fair value of our reporting units based upon a discounted cash flow approach, and the market approach which estimates the fair value of our reporting units based upon comparable market multiples. This fair value is then reconciled to our market capitalization at year end with an appropriate control premium. The determination of the fair value of our reporting units requires management to make significant estimates and assumptions including the selection of appropriate peer group companies, control premiums, discount rate, terminal growth rates, forecasts of revenue and expense growth rates, changes in working capital, depreciation, amortization and capital expenditures. Changes in assumptions concerning future financial results or other underlying assumptions could have a significant impact on either the fair value of the reporting unit or the amount of the goodwill impairment charge. Indefinite-lived intangible assets are assessed for impairment at least annually in the fourth quarter, or more frequently if events or changes in circumstances indicate that the asset might be impaired. As a part of the impairment assessment, we have the option to perform a qualitative assessment to determine whether it is more likely than not that an indefinite-lived intangible asset is impaired. If, as a result of our qualitative assessment, we determine that it is more-likely-than-not that the fair value of the indefinite-lived intangible asset is less than its carrying amount, the quantitative impairment test is required. Otherwise, no further testing is required. The quantitative impairment test consists of a comparison of the fair value of the intangible asset with its carrying amount. If the carrying amount of the intangible asset exceeds its fair value, an impairment loss is recognized in an amount equal to that excess. Long-lived assets, which consist of finite-lived intangible assets and property and equipment, are assessed for impairment whenever events or changes in business circumstances indicate that the carrying amount of the assets may not be fully recoverable or that the useful lives of these assets are no longer appropriate. Each impairment test is based on a comparison of the estimated undiscounted cash flows to the recorded value of the asset. If impairment is indicated, the asset is written down to its estimated fair value which is determined using a discounted cash flow analysis. The cash flow estimates used to determine the impairment, if any, contain management's best estimates using appropriate assumptions and projections at that time. |
Share-based Compensation, Option and Incentive Plans Policy [Policy Text Block] | Stock-Based Compensation We account for stock-based compensation in accordance with ASC Topic 718 (Compensation - Stock Compensation) which requires that employee share-based equity awards be accounted for under the fair value method and requires the use of an option pricing model for estimating fair value of stock options granted, which is then amortized to expense over the service periods. See further disclosures related to our stock-based compensation plan in Note 7. Subsequent Events We have made an assessment of our operations and determined that there were no material subsequent events requiring adjustment to, or disclosure in, our consolidated financial statements for the nine months ended September 30, 2015, other than the authorization by our Board of Directors of a stock repurchase plan (the "2015 Repurchase Plan") on October 27, 2015, as discussed further in Note 10. |
Revenue Recognition, Policy [Policy Text Block] | Revenue Recognition We recognize revenue when persuasive evidence of an arrangement exists, delivery has occurred or services have been rendered, the price is fixed or determinable, and collection of the related receivable is reasonably assured. Sales of our products are made through our sales employees, third-party sales representatives and distributors. There are no differences in revenue recognition policies based on the sales channel. We do not provide our customers with rights of return or exchanges. Revenue is generally recognized upon product shipment. Our customers' purchase orders do not typically contain any customer-specific acceptance criteria, other than that the product performs within the agreed upon specifications. We test all products manufactured as part of our quality assurance process to determine that they comply with specifications prior to shipment to a customer. To the extent that any customer purchase order contains customer-specific acceptance criteria, revenue recognition is deferred until customer acceptance. In addition, in our Thermal Products and Mechanical Products segments, we lease certain of our equipment to customers under non-cancellable operating leases. These leases generally have an initial term of six months. We recognize revenue for these leases on a straight-line basis over the term of the lease. With respect to sales tax collected from customers and remitted to governmental authorities, we use a net presentation in our consolidated statement of operations. As a result, there are no amounts included in either our net revenues or cost of revenues related to sales tax. |
Standard Product Warranty, Policy [Policy Text Block] | Product Warranties We generally provide product warranties and record estimated warranty expense at the time of sale based upon historical claims experience. Warranty expense is included in selling expense in the consolidated financial statements. |
Income Tax, Policy [Policy Text Block] | Income Taxes The asset and liability method is used in accounting for income taxes. Under this method, deferred tax assets and liabilities are recognized for operating loss and tax credit carryforwards and for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in the results of operations in the period that includes the enactment date. A valuation allowance is recorded to reduce the carrying amounts of deferred tax assets if it is more likely than not that such assets will not be realized. |
Earnings Per Share, Policy [Policy Text Block] | Net Earnings Per Common Share Net earnings per common share - basic is computed by dividing net earnings by the weighted average number of common shares outstanding during each period. Net earnings per common share - diluted is computed by dividing net earnings by the weighted average number of common shares and common share equivalents outstanding during each period. Common share equivalents include unvested shares of restricted stock and are calculated using the treasury stock method. Common share equivalents are excluded from the calculation if their effect is anti-dilutive. The table below sets forth, for the periods indicated, a reconciliation of weighted average common shares outstanding - basic to weighted average common shares and common share equivalents outstanding - diluted and the average number of potentially dilutive securities that were excluded from the calculation of diluted earnings per share because their effect was anti-dilutive: Three Months Ended September 30, Nine Months Ended September 30, 2015 2014 2015 2014 Weighted average common shares outstanding - basic 10,473,928 10,440,803 10,470,410 10,424,001 Potentially dilutive securities: Unvested shares of restricted stock 24,983 37,011 21,907 37,074 Weighted average common shares and common share equivalents outstanding - diluted 10,498,911 10,477,814 10,492,317 10,461,075 Average number of potentially dilutive securities excluded from calculation - - - 4,505 |
New Accounting Pronouncements, Policy [Policy Text Block] | Effect of Recently Issued Amendments to Authoritative Accounting Guidance In July 2015, the FASB issued amendments to update the current guidance on the subsequent measurement of inventory, which is presented in ASC Topic 330 (Inventory). The purpose of the amendments is to simplify the subsequent measurement of inventory and reduce the number of potential outcomes. It applies to all inventory other than inventory measured using last-in, first-out or the retail inventory method. Current guidance requires an entity to measure inventory at the lower of cost or market. Market could be replacement cost, net realizable value, or net realizable value less a normal profit margin. The updated guidance amends this to require that an entity measure inventory within the scope of the updated guidance at the lower of cost and net realizable value. Net realizable value is the estimated selling price in the ordinary course of business, less reasonably predictable costs of completion, disposal, and transportation. The amendments are effective for us as of January 1, 2017. We do not expect the implementation of these amendments to have a material impact on our consolidated financial statements. In May 2014, the FASB issued new guidance on the recognition of revenue from contracts with customers. This guidance is presented in ASC Topic 606 (Revenue from Contracts with Customers). This new guidance will replace most existing revenue recognition guidance in U.S. GAAP when it becomes effective. Companies can use either the retrospective or cumulative effect transition method. In August 2015, the FASB deferred the effective date of this new guidance for one additional year. As a result, this new guidance is effective for us on January 1, 2018. Early application is only permitted as of the prior effective date, which in our case would be as of January 1, 2017. We have not yet selected a transition method and we are still evaluating the effect that this guidance will have on our consolidated financial statements and related disclosures. |
Note 2 - Summary of Significa19
Note 2 - Summary of Significant Accounting Policies (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Notes Tables | |
Schedule of Weighted Average Number of Shares [Table Text Block] | Three Months Ended September 30, Nine Months Ended September 30, 2015 2014 2015 2014 Weighted average common shares outstanding - basic 10,473,928 10,440,803 10,470,410 10,424,001 Potentially dilutive securities: Unvested shares of restricted stock 24,983 37,011 21,907 37,074 Weighted average common shares and common share equivalents outstanding - diluted 10,498,911 10,477,814 10,492,317 10,461,075 Average number of potentially dilutive securities excluded from calculation - - - 4,505 |
Note 3 - Goodwill and Intangi20
Note 3 - Goodwill and Intangible Assets (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Notes Tables | |
Schedule Of Intangible Assets [Table Text Block] | September 30, 2015 Gross Amount Amortization Net Amount Finite-lived intangible assets: Customer relationships $ 1,480 $ 1,119 $ 361 Patented technology 590 376 214 Software 270 189 81 Trade name 140 130 10 Total finite-lived intangible assets 2,480 1,814 666 Indefinite-lived intangible assets: Sigma trademark 510 - 510 Total intangible assets $ 2,990 $ 1,814 $ 1,176 December 31, 2014 Gross Carrying Amount Amortization Net Carrying Amount Finite-lived intangible assets: Customer relationships $ 1,480 $ 979 $ 501 Patented technology 590 346 244 Software 270 169 101 Trade name 140 103 37 Total finite-lived intangible assets 2,480 1,597 883 Indefinite-lived intangible assets: Sigma trademark 510 - 510 Total intangible assets $ 2,990 $ 1,597 $ 1,393 |
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense [Table Text Block] | 2015 (remainder) $ 72 2016 $ 229 2017 $ 212 2018 $ 65 2019 $ 39 |
Note 5 - Inventories (Tables)
Note 5 - Inventories (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Notes Tables | |
Schedule of Inventory, Current [Table Text Block] | Sept. 30, 2015 Dec. 31, 2014 Raw materials $ 2,641 $ 2,505 Work in process 462 406 Inventory consigned to others 137 129 Finished goods 562 729 Total inventories $ 3,802 $ 3,769 |
Note 6 - Debt (Tables)
Note 6 - Debt (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Notes Tables | |
Schedule Of Outstanding Letters Of Credit [Table Text Block] | Letters of Credit Amount Outstanding Original L/C Issue Date Expiration Date Expiration Date Sept. 30, 2015 Dec. 31, 2014 Mt. Laurel, NJ 3/29/2010 4/01/2016 4/30/2021 $ 250 $ 250 Mansfield, MA 10/27/2010 11/08/2016 8/23/2021 100 100 $ 350 $ 350 |
Note 7 - Stock-based Compensa23
Note 7 - Stock-based Compensation (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Notes Tables | |
Schedule of Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Table Text Block] | Three Months Ended September 30, Nine Months Ended September 30, 2015 2014 2015 2014 Cost of revenues $ 3 $ 2 $ 8 $ 8 Selling expense 1 1 4 5 Engineering and product development expense 2 3 7 14 General and administrative expense 24 24 72 77 $ 30 $ 30 $ 91 $ 104 |
Schedule of Nonvested Share Activity [Table Text Block] | of Shares Weighted Fair Value Unvested shares outstanding, January 1, 2015 101,875 $ 2.82 Granted - - Vested (13,125 ) 3.15 Forfeited - - Unvested shares outstanding, September 30, 2015 88,750 3.05 |
Note 9 - Segment Information (T
Note 9 - Segment Information (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Asset [Member] | |
Notes Tables | |
Schedule of Segment Reporting Information, by Segment [Table Text Block] | Sept. 30, 2015 Dec. 31, 2014 Identifiable assets: Thermal Products $ 16,645 $ 26,211 Mechanical Products 20,481 7,801 Electrical Products 3,847 4,726 $ 40,973 $ 38,738 |
Schedule of Segment Reporting Information, by Segment [Table Text Block] | Three Months Ended September 30, Nine Months Ended September 30, 2015 2014 2015 2014 Net revenues: Thermal Products $ 6,259 $ 5,908 $ 18,635 $ 17,267 Mechanical Products 1,273 3,077 6,195 9,261 Electrical Products 1,671 1,809 6,120 5,406 $ 9,203 $ 10,794 $ 30,950 $ 31,934 Earnings (loss) before income tax expense (benefit): Thermal Products $ 1,165 $ 1,304 $ 3,731 $ 3,322 Mechanical Products (759 ) (109 ) (1,240 ) 245 Electrical Products 79 203 875 608 Corporate (78 ) (130 ) (629 ) (442 ) $ 407 $ 1,268 $ 2,737 $ 3,733 Net earnings (loss): Thermal Products $ 886 $ 861 $ 2,559 $ 2,222 Mechanical Products (577 ) (72 ) (891 ) 152 Electrical Products 60 134 579 402 Corporate (59 ) (86 ) (419 ) (296 ) $ 310 $ 837 $ 1,828 $ 2,480 |
Revenue from External Customers by Geographic Areas [Table Text Block] | Three Months Ended September 30, Nine Months Ended September 30, 2015 2014 2015 2014 Net revenues: U.S. $ 3,713 $ 3,343 $ 11,032 $ 10,215 Foreign 5,490 7,451 19,918 21,719 $ 9,203 $ 10,794 $ 30,950 $ 31,934 |
Long-lived Assets by Geographic Areas [Table Text Block] | Sept. 30, 2015 Dec. 31, 2014 Property and equipment: U.S. $ 833 $ 621 Foreign 348 647 $ 1,181 $ 1,268 |
Note 1 - Nature of Operations (
Note 1 - Nature of Operations (Details Textual) | 9 Months Ended |
Sep. 30, 2015 | |
Number of Reportable Segments | 3 |
Note 2 - Summary of Significa26
Note 2 - Summary of Significant Accounting Policies (Details Textual) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2015 | Sep. 30, 2014 | |
Thermal Products and Mechanical Products [Member] | ||
Equipment Leased To Customers Initial Term | 180 days | |
Inventory Write-down | $ 232 | $ 232 |
Note 2 - Summary of Significa27
Note 2 - Summary of Significant Accounting Policies - Weighted Average Common Shares (Details) - shares | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Weighted average common shares outstanding - basic (in shares) | 10,473,928 | 10,440,803 | 10,470,410 | 10,424,001 |
Potentially dilutive securities: | ||||
Unvested shares of restricted stock (in shares) | 24,983 | 37,011 | 21,907 | 37,074 |
Weighted average common shares and common share equivalents outstanding - diluted (in shares) | 10,498,911 | 10,477,814 | 10,492,317 | 10,461,075 |
Average number of potentially dilutive securities excluded from calculation (in shares) | 4,505 |
Note 3 - Goodwill and Intangi28
Note 3 - Goodwill and Intangible Assets (Details Textual) - USD ($) | 9 Months Ended | |
Sep. 30, 2015 | Sep. 30, 2014 | |
Goodwill, Period Increase (Decrease) | $ 0 | |
Amortization of Intangible Assets | $ 217,000 | $ 278,000 |
Note 3 - Goodwill and Intangi29
Note 3 - Goodwill and Intangible Assets - Intangible Assets (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
Customer Relationships [Member] | ||
Finite-lived intangible assets: | ||
Finite-lived, Gross Carrying Amount | $ 1,480 | $ 1,480 |
Finite-lived, Accumulated Amortization | 1,119 | 979 |
Net Carrying Amount | 361 | 501 |
Indefinite-lived intangible assets: | ||
Finite-lived, Accumulated Amortization | 1,119 | 979 |
Patented Technology [Member] | ||
Finite-lived intangible assets: | ||
Finite-lived, Gross Carrying Amount | 590 | 590 |
Finite-lived, Accumulated Amortization | 376 | 346 |
Net Carrying Amount | 214 | 244 |
Indefinite-lived intangible assets: | ||
Finite-lived, Accumulated Amortization | 376 | 346 |
Computer Software, Intangible Asset [Member] | ||
Finite-lived intangible assets: | ||
Finite-lived, Gross Carrying Amount | 270 | 270 |
Finite-lived, Accumulated Amortization | 189 | 169 |
Net Carrying Amount | 81 | 101 |
Indefinite-lived intangible assets: | ||
Finite-lived, Accumulated Amortization | 189 | 169 |
Trade Names [Member] | ||
Finite-lived intangible assets: | ||
Finite-lived, Gross Carrying Amount | 140 | 140 |
Finite-lived, Accumulated Amortization | 130 | 103 |
Net Carrying Amount | 10 | 37 |
Indefinite-lived intangible assets: | ||
Finite-lived, Accumulated Amortization | 130 | 103 |
Trademarks [Member] | ||
Indefinite-lived intangible assets: | ||
Indefinite-lived, Gross Carrying Amount | 510 | 510 |
Finite-lived, Gross Carrying Amount | 2,480 | 2,480 |
Finite-lived, Accumulated Amortization | 1,814 | 1,597 |
Net Carrying Amount | 666 | 883 |
Intangible Assets, Gross Carrying Amount | 2,990 | 2,990 |
Finite-lived, Accumulated Amortization | 1,814 | 1,597 |
Net Carrying Amount | $ 1,176 | $ 1,393 |
Note 3 - Goodwill and Intangi30
Note 3 - Goodwill and Intangible Assets - Future Amortization Expense (Details) $ in Thousands | Sep. 30, 2015USD ($) |
2015 (remainder) | $ 72 |
2,016 | 229 |
2,017 | 212 |
2,018 | 65 |
2,019 | $ 39 |
Note 4 - Major Customers (Detai
Note 4 - Major Customers (Details Textual) | 9 Months Ended | |
Sep. 30, 2015 | Sep. 30, 2014 | |
Sales Revenue, Net [Member] | Hakuto Co Ltd [Member] | Customer Concentration Risk [Member] | ||
Concentration Risk, Percentage | 13.00% | 11.00% |
Sales Revenue, Net [Member] | Texas Instruments Incorporated [Member] | Customer Concentration Risk [Member] | ||
Concentration Risk, Percentage | 11.00% | |
Number of Operating Segments | 3 |
Note 5 - Inventories - Inventor
Note 5 - Inventories - Inventories Held (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
Raw materials | $ 2,641 | $ 2,505 |
Work in process | 462 | 406 |
Inventory consigned to others | 137 | 129 |
Finished goods | 562 | 729 |
Total inventories | $ 3,802 | $ 3,769 |
Note 6 - Debt - Outstanding Let
Note 6 - Debt - Outstanding Letters of Credit (Details) - Letter of Credit [Member] - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2015 | Dec. 31, 2014 | |
Mt Laurel [Member] | ||
Line of Credit, Issue Date | Mar. 29, 2010 | |
Line of Credit, ExpirationDate | Apr. 1, 2016 | |
Lease Expiration Date | Apr. 30, 2021 | |
Letters of Credit Amount Outstanding | $ 250 | $ 250 |
Mansfield [Member] | ||
Line of Credit, Issue Date | Oct. 27, 2010 | |
Line of Credit, ExpirationDate | Nov. 8, 2016 | |
Lease Expiration Date | Aug. 23, 2021 | |
Letters of Credit Amount Outstanding | $ 100 | 100 |
Letters of Credit Amount Outstanding | $ 350 | $ 350 |
Note 7 - Stock-based Compensa34
Note 7 - Stock-based Compensation (Details Textual) - USD ($) | 9 Months Ended | 12 Months Ended | |
Sep. 30, 2015 | Sep. 30, 2014 | Dec. 31, 2014 | |
Restricted Stock [Member] | |||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs, Capitalized Amount | $ 0 | $ 0 | |
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 4 years | ||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized | $ 235,000 | ||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition | 2 years | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 0 | 0 |
Note 7 - Stock-based Compensa35
Note 7 - Stock-based Compensation - Allocation of Share-based Compensation Expense (Details) - Restricted Stock [Member] - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Cost of Sales [Member] | ||||
Allocation of Share-Based Compensation Expense | $ 3 | $ 2 | $ 8 | $ 8 |
Selling and Marketing Expense [Member] | ||||
Allocation of Share-Based Compensation Expense | 1 | 1 | 4 | 5 |
Research and Development Expense [Member] | ||||
Allocation of Share-Based Compensation Expense | 2 | 3 | 7 | 14 |
General and Administrative Expense [Member] | ||||
Allocation of Share-Based Compensation Expense | 24 | 24 | 72 | 77 |
Allocation of Share-Based Compensation Expense | $ 30 | $ 30 | $ 91 | $ 104 |
Note 7 - Stock-based Compensa36
Note 7 - Stock-based Compensation - Nonvested Shares (Details) - Restricted Stock [Member] | 9 Months Ended |
Sep. 30, 2015$ / sharesshares | |
Unvested shares outstanding (in shares) | shares | 101,875 |
Unvested shares outstanding (in dollars per share) | $ 2.82 |
Granted (in shares) | shares | |
Granted (in dollars per share) | |
Vested (in shares) | shares | (13,125) |
Vested (in dollars per share) | $ 3.15 |
Forfeited (in shares) | shares | |
Forfeited (in dollars per share) | |
Unvested shares outstanding (in shares) | shares | 88,750 |
Unvested shares outstanding (in dollars per share) | $ 3.05 |
Note 8 - Employee Benefit Pla37
Note 8 - Employee Benefit Plans (Details Textual) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2015 | Sep. 30, 2014 | |
Defined Contribution Plan, Employer Matching Contribution, Percent of Employees' Gross Pay | 10.00% | |
Defined Contribution Plan Maximum Annual Employer Matching Contribution Per Emplyee Amount | $ 5 | |
Defined Contribution Plan Employer Matching Contribution Vesting Period | 4 years | |
Defined Contribution Plan, Employer Discretionary Contribution Amount | $ 297 | $ 280 |
Note 9 - Segment Information (D
Note 9 - Segment Information (Details Textual) | 9 Months Ended |
Sep. 30, 2015 | |
Number of Reportable Segments | 3 |
Note 9 - Segment Information -
Note 9 - Segment Information - Segment Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Thermal Products [Member] | ||||
Net revenues: | ||||
Revenues | $ 6,259 | $ 5,908 | $ 18,635 | $ 17,267 |
Earnings (loss) before income tax expense (benefit): | ||||
Income (Loss) From Continuing Operations | 1,165 | 1,304 | 3,731 | 3,322 |
Net earnings (loss): | ||||
Net Income (Loss) | 886 | 861 | 2,559 | 2,222 |
Mechanical Products [Member] | ||||
Net revenues: | ||||
Revenues | 1,273 | 3,077 | 6,195 | 9,261 |
Earnings (loss) before income tax expense (benefit): | ||||
Income (Loss) From Continuing Operations | (759) | (109) | (1,240) | 245 |
Net earnings (loss): | ||||
Net Income (Loss) | (577) | (72) | (891) | 152 |
Electrical Products [Member] | ||||
Net revenues: | ||||
Revenues | 1,671 | 1,809 | 6,120 | 5,406 |
Earnings (loss) before income tax expense (benefit): | ||||
Income (Loss) From Continuing Operations | 79 | 203 | 875 | 608 |
Net earnings (loss): | ||||
Net Income (Loss) | 60 | 134 | 579 | 402 |
Corporate Segment [Member] | ||||
Earnings (loss) before income tax expense (benefit): | ||||
Income (Loss) From Continuing Operations | (78) | (130) | (629) | (442) |
Net earnings (loss): | ||||
Net Income (Loss) | (59) | (86) | (419) | (296) |
Revenues | 9,203 | 10,794 | 30,950 | 31,934 |
Income (Loss) From Continuing Operations | 407 | 1,268 | 2,737 | 3,733 |
Net Income (Loss) | $ 310 | $ 837 | $ 1,828 | $ 2,480 |
Note 9 - Segment Information 40
Note 9 - Segment Information - Identifiable Assets (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
Thermal Products [Member] | ||
Identifiable assets: | ||
Identifiable Assets | $ 16,645 | $ 26,211 |
Mechanical Products [Member] | ||
Identifiable assets: | ||
Identifiable Assets | 20,481 | 7,801 |
Electrical Products [Member] | ||
Identifiable assets: | ||
Identifiable Assets | 3,847 | 4,726 |
Identifiable Assets | $ 40,973 | $ 38,738 |
Note 9 - Segment Information 41
Note 9 - Segment Information - Net Revenue from Unaffiliated Customers (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
UNITED STATES | ||||
Net revenues: | ||||
Revenues | $ 3,713 | $ 3,343 | $ 11,032 | $ 10,215 |
Foreign [Member] | ||||
Net revenues: | ||||
Revenues | 5,490 | 7,451 | 19,918 | 21,719 |
Revenues | $ 9,203 | $ 10,794 | $ 30,950 | $ 31,934 |
Note 9 - Segment Information 42
Note 9 - Segment Information - Long-lived Assets by Geographical Area (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
UNITED STATES | ||
Property and equipment: | ||
Property and Equipment | $ 833 | $ 621 |
Foreign [Member] | ||
Property and equipment: | ||
Property and Equipment | 348 | 647 |
Property and Equipment | $ 1,181 | $ 1,268 |
Note 10 - Subsequent Event (Det
Note 10 - Subsequent Event (Details Textual) $ in Millions | Oct. 27, 2015USD ($) |
Subsequent Event [Member] | |
Stock Repurchase Program, Authorized Amount | $ 5 |