Document And Entity Information
Document And Entity Information - shares | 6 Months Ended | |
Jun. 30, 2020 | Aug. 11, 2020 | |
Document Information [Line Items] | ||
Entity Registrant Name | Yunhong CTI LTD. | |
Entity Central Index Key | 0001042187 | |
Trading Symbol | ctib | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Non-accelerated Filer | |
Entity Current Reporting Status | Yes | |
Entity Emerging Growth Company | false | |
Entity Small Business | true | |
Entity Interactive Data Current | Yes | |
Entity Common Stock, Shares Outstanding (in shares) | 5,055,907 | |
Entity Shell Company | false | |
Document Type | 10-Q | |
Document Period End Date | Jun. 30, 2020 | |
Document Fiscal Year Focus | 2020 | |
Document Fiscal Period Focus | Q2 | |
Amendment Flag | false | |
Title of 12(b) Security | Common Stock |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets (Current Period Unaudited) - USD ($) | Jun. 30, 2020 | Dec. 31, 2019 |
Current assets: | ||
Cash and cash equivalents | $ 103,668 | $ 845,098 |
Accounts receivable | 7,169,499 | 9,011,569 |
Inventories, net | 11,027,364 | 13,959,499 |
Prepaid expenses | 284,921 | 353,183 |
Other current assets | 1,147,949 | 1,312,205 |
Receivable from related party | 1,047,114 | 1,387,131 |
Current assets of discontinued operations | 788,388 | 756,031 |
Total current assets | 21,568,903 | 27,624,716 |
Property, plant and equipment: | ||
Machinery and equipment | 22,722,932 | 23,822,808 |
Building | 3,374,334 | 3,374,334 |
Office furniture and equipment | 2,206,897 | 2,289,444 |
Intellectual property | 783,179 | 783,179 |
Land | 250,000 | 250,000 |
Leasehold improvements | 386,719 | 415,737 |
Fixtures and equipment at customer locations | 518,450 | 518,450 |
Projects under construction | 80,636 | 74,929 |
Property, Plant and Equipment, Gross, Ending Balance | 30,323,147 | 31,528,881 |
Less : accumulated depreciation and amortization | (28,163,953) | (28,997,809) |
Total property, plant and equipment, net | 2,159,194 | 2,531,072 |
Other assets: | ||
Operating lease right-of-use | 455,408 | 1,046,438 |
Other assets | 75,981 | 118,857 |
Total other assets | 531,389 | 1,165,295 |
TOTAL ASSETS | 24,259,486 | 31,321,083 |
Current liabilities: | ||
Trade payables | 5,560,569 | 7,021,580 |
Line of credit | 8,484,849 | 14,518,107 |
Notes payable - current portion | 2,745,257 | 3,451,880 |
Deferred other income liability | 246,854 | |
Notes payable affiliates - current portion | 10,998 | 12,684 |
Operating Lease Liabilities | 342,759 | 658,374 |
Accrued liabilities | 904,213 | 1,205,027 |
Current liabilities of discontinued operations | 306,889 | 656,753 |
Total current liabilities | 18,602,388 | 27,524,405 |
Long-term liabilities: | ||
Notes payable - affiliates | 8,622 | 14,340 |
Notes payable, net of current portion | 1,688,015 | 1,024,441 |
Operating Lease Liabilities | 112,649 | 388,064 |
Notes payable - officers, subordinated | 1,090,639 | 1,058,486 |
Deferred gain (non current) | 852 | 184,840 |
Total long-term debt, net of current portion | 2,900,777 | 2,670,171 |
Total long-term liabilities | 2,900,777 | 2,670,171 |
TOTAL LIABILITIES | 21,503,165 | 30,194,576 |
Yunhong CTI, Ltd stockholders' equity: | ||
Preferred Stock - no par value, 3,000,000 shares authorized, 590,860 shares issued and outstanding at June 30, 2020 and nil at December 31, 2019 respectively (liquidation preference - $5.9 million as of June 30, 2020) | 3,472,161 | |
Common stock - no par value, 15,000,000 shares authorized, 4,479,608 and 3,879,608 shares issued and 4,435,950 and 3,835,930 shares outstanding at June 30, 2020 and December 31, 2019 respectively | 14,537,828 | 13,898,494 |
Paid-in-capital | 4,356,097 | 3,587,287 |
Accumulated deficit | (12,159,046) | (9,992,841) |
Accumulated other comprehensive loss | (6,645,988) | (5,348,812) |
Less: Treasury stock, 43,658 shares | (160,784) | (160,784) |
Total Yunhong CTI, Ltd Stockholders' Equity | 3,400,268 | 1,983,344 |
Noncontrolling interest | (643,947) | (856,837) |
Total Stockholders' Equity | 2,756,321 | 1,126,507 |
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $ 24,259,486 | $ 31,321,083 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Current Period Unaudited) (Parentheticals) - USD ($) $ / shares in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Preferred stock, par value (in dollars per share) | $ 0 | $ 0 |
Preferred stock, shares authorized (in shares) | 3,000,000 | 3,000,000 |
Preferred stock, shares issued (in shares) | 590,860 | 0 |
Preferred stock, shares outstanding (in shares) | 590,860 | 0 |
Preferred stock, liquidation preference | $ 5,900,000 | $ 0 |
Common stock, no par value (in dollars per share) | $ 0 | $ 0 |
Common stock, shares authorized (in shares) | 15,000,000 | 15,000,000 |
Common stock, shares issued (in shares) | 4,479,608 | 3,879,608 |
Common stock, shares outstanding (in shares) | 4,435,950 | 3,835,930 |
Treasury stock, shares (in shares) | 43,658 | 43,658 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Net Sales | $ 5,745,353 | $ 9,202,406 | $ 12,812,854 | $ 17,882,423 |
Cost of Sales | 5,135,641 | 9,134,616 | 10,721,700 | 15,857,627 |
Gross profit | 609,712 | 67,790 | 2,091,154 | 2,024,796 |
Operating expenses: | ||||
General and administrative | 1,484,008 | 1,419,277 | 2,186,439 | 2,783,916 |
Selling | 26,636 | 109,721 | 80,390 | 229,109 |
Advertising and marketing | 81,165 | 177,903 | 201,994 | 336,737 |
Impairment of long-lived assets | 258,566 | 1,511,742 | ||
Gain on sale of assets | (20,016) | (23,662) | (45,700) | (47,209) |
Total operating expenses | 1,571,793 | 1,941,805 | 2,423,123 | 4,814,295 |
Loss from operations | (962,081) | (1,874,015) | (331,969) | (2,789,499) |
Other (expense) income: | ||||
Interest (expense) income | (336,925) | (533,256) | (778,102) | (1,097,416) |
Gain on Forgiveness of Payroll Protection Program Funding | 800,146 | 800,146 | ||
Other (expense) income | (330,006) | (93,086) | (372,340) | (390,194) |
Foreign currency (loss) income | (30,374) | 9,091 | (184,457) | 3,407 |
Total other income (expense), net | 102,841 | (617,251) | (534,753) | (1,484,203) |
Loss from continuing operations before taxes | (859,240) | (2,491,266) | (866,722) | (4,273,702) |
Income tax expense | ||||
Loss from continuing operations | (859,240) | (2,491,266) | (866,722) | (4,273,702) |
Income (loss) from discontinued operations , net of tax | (599,956) | 730,686 | (1,086,593) | (43,353) |
Net Loss | (1,459,196) | (1,760,579) | (1,953,315) | (4,317,056) |
Less: Net (loss) income attributable to noncontrolling interest | 68,313 | (516,102) | 212,890 | (578,490) |
Net loss attributable to Yunhong CTI, Ltd | (1,527,509) | (1,244,478) | (2,166,205) | (3,738,565) |
Other Comprehensive Income (Loss) | ||||
Foreign currency adjustment | 66,327 | 61,333 | (1,297,176) | 297,209 |
Comprehensive Loss | (1,461,182) | (1,183,145) | (3,463,381) | (3,441,356) |
Deemed Dividends on preferred stock and amortization of beneficial conversion feature | (237,824) | (2,618,768) | ||
Net Loss attributable to Yunhong CTI Ltd Shareholders | $ (1,699,006) | $ (1,183,145) | $ (6,082,149) | $ (3,441,356) |
Basic income (loss) per common share | ||||
Continuing operations (in dollars per share) | $ (0.27) | $ (0.51) | $ (0.88) | $ (0.96) |
Discontinued operations (in dollars per share) | (0.14) | 0.19 | (0.26) | (0.01) |
Basic income (loss) per common share (in dollars per share) | (0.41) | (0.32) | (1.14) | (0.97) |
Diluted income (loss) per common share | ||||
Continuing operations (in dollars per share) | (0.27) | (0.51) | (0.88) | (0.96) |
Discontinued operations (in dollars per share) | (0.14) | 0.19 | (0.26) | (0.01) |
Diluted income (loss) per common share (in dollars per share) | $ (0.41) | $ (0.32) | $ (1.14) | $ (0.97) |
Weighted average number of shares and equivalent shares of common stock outstanding: | ||||
Basic (in shares) | 4,352,292 | 3,835,950 | 4,184,521 | 3,835,950 |
Diluted (in shares) | 4,352,292 | 3,835,950 | 4,184,521 | 3,835,950 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | ||
Cash flows from operating activities: | |||
Net loss | $ (1,953,315) | $ (4,317,056) | |
Adjustments to reconcile net loss to net cash (used in) provided by operating activities: | |||
Depreciation and amortization | 249,551 | 522,670 | |
Amortization of deferred gain on sale/leaseback | (45,700) | (54,948) | |
Gain on forgiveness of PPP Funding | (800,146) | ||
Provision for losses on accounts receivable | 20,457 | 393,938 | |
Provision for losses on inventories | 99,169 | 1,278,561 | |
Other | 261,075 | ||
Impairment of Note Receivable | 350,000 | ||
Impairment of Prepaid, Current and Non Current Assets | 168,931 | ||
Impairment of long-lived assets | 1,252,283 | ||
Stock Based Compensation | 52,396 | ||
Loss on disposition of Asset | 17,480 | ||
Change in assets and liabilities: | |||
Accounts receivable | 1,153,616 | 2,162,480 | |
Inventories | 1,681,646 | (474,804) | |
Prepaid expenses and other assets | 37,772 | 530,172 | |
Trade payables | (1,832,090) | 1,998,495 | |
Accrued liabilities | 10,897 | (593,960) | |
Net cash provided by (used in) operating activities | (1,028,143) | 3,197,713 | |
Cash flows from investing activities: | |||
Purchases of property, plant and equipment | (71,867) | (72,662) | |
Net cash provided by (used in) investing activities | (71,867) | (72,662) | |
Cash flows from financing activities: | |||
Change in checks written in excess of bank balance | 394,227 | ||
Repayment of debt and revolving line of credit | (6,657,777) | (4,715,492) | |
Proceeds from issuance of debt | 904,583 | 650,000 | |
Proceeds from issuance of stock | 5,426,600 | ||
Cash paid for stock issuance costs | (1,024,313) | ||
Cash paid for deferred financing fees | (43,263) | (55,170) | |
Proceeds from PPP | 1,047,700 | ||
Net cash used in financing activities | (346,470) | (3,726,435) | |
Effect of exchange rate changes on cash | 705,050 | 351,532 | |
Net decrease in cash and cash equivalents | (741,430) | (249,852) | |
Cash and cash equivalents at beginning of period | 845,098 | 428,150 | |
Cash and cash equivalents at end of period | [1] | 103,668 | 178,298 |
Supplemental disclosure of cash flow information: | |||
Cash payments for interest | 778,148 | 1,045,943 | |
Conversion of debt to Series A Preferred | 478,000 | ||
Accrued dividend on preferred stock | 150,000 | ||
Series A Preferred Stock [Member] | |||
Supplemental disclosure of cash flow information: | |||
Amortization of beneficial conversion feature and deemed dividend on Series A Preferred stock | 2,500,000 | ||
Stock Placement Agent [Member] | |||
Supplemental disclosure of cash flow information: | |||
Common stock issued | 306,000 | ||
Series A Preferred Stock Warrants [Member] | |||
Supplemental disclosure of cash flow information: | |||
Issuance of Placement agent warrants in connection with Series A Preferred offering | 919,000 | ||
Conversion from Accounts Payable To Common Stock [Member] | |||
Supplemental disclosure of cash flow information: | |||
Common stock issued | 303,000 | ||
Conversion from Notes Payable To Common Stock [Member] | |||
Supplemental disclosure of cash flow information: | |||
Common stock issued | $ 600,000 | ||
[1] | The cash flows related to discontinued operations have not been segregated, and are included in the Consolidated Statements of Cash Flows. The cash and equivalents amounts presented above differ from cash and equivalents in the Consolidated Balance Sheets due to cash included in "Current assets of discontinued operations in amount of $57,000." |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity (Unaudited) - USD ($) | Preferred Stock [Member] | Common Stock Outstanding [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | AOCI Attributable to Parent [Member] | Treasury Stock [Member] | Noncontrolling Interest [Member] | Total |
Balance (in shares) at Dec. 31, 2018 | 3,578,885 | (43,658) | ||||||
Balance at Dec. 31, 2018 | $ 13,898,494 | $ 2,506,437 | $ (2,865,486) | $ (6,050,347) | $ (160,784) | $ (1,072,585) | $ 6,255,729 | |
Share Issued (in shares) | 120,000 | |||||||
Share Issued | 303,000 | 303,000 | ||||||
Conversion of Convertible Securities | 600,000 | 600,000 | ||||||
Net loss | (3,738,566) | (578,490) | (4,317,056) | |||||
Foreign Currency Translation | 297,209 | 297,209 | ||||||
Conversion of Convertible Securities (in shares) | 180,723 | |||||||
Stock Option Expense | 52,396 | 52,396 | ||||||
Balance at Jun. 30, 2019 | $ 13,898,494 | 3,461,833 | (6,604,052) | (5,753,138) | $ (160,784) | (1,651,075) | 3,191,278 | |
Balance (in shares) at Jun. 30, 2019 | 3,879,608 | (43,658) | ||||||
Balance (in shares) at Mar. 31, 2019 | 3,779,608 | (43,658) | ||||||
Balance at Mar. 31, 2019 | $ 13,898,494 | 3,135,404 | (5,359,575) | (5,814,471) | $ (160,784) | (1,134,973) | 4,564,095 | |
Share Issued (in shares) | 100,000 | |||||||
Share Issued | 303,000 | 303,000 | ||||||
Conversion of Convertible Securities | ||||||||
Net loss | (1,244,477) | (516,102) | (1,760,579) | |||||
Foreign Currency Translation | 61,333 | 61,333 | ||||||
Conversion of Convertible Securities (in shares) | ||||||||
Stock Option Expense | 23,429 | 23,429 | ||||||
Balance at Jun. 30, 2019 | $ 13,898,494 | 3,461,833 | (6,604,052) | (5,753,138) | $ (160,784) | (1,651,075) | 3,191,278 | |
Balance (in shares) at Jun. 30, 2019 | 3,879,608 | (43,658) | ||||||
Balance (in shares) at Dec. 31, 2019 | 3,879,608 | (43,658) | ||||||
Balance at Dec. 31, 2019 | $ 13,898,494 | 3,587,287 | (9,992,841) | (5,348,812) | $ (160,784) | (856,837) | 1,126,507 | |
Share Issued (in shares) | 542,660 | 400,000 | ||||||
Share Issued | $ 5,093,267 | $ 333,334 | 5,426,601 | |||||
Conversion of Convertible Securities | 478,017 | 478,017 | ||||||
Common stock issued for placement agent fees | (306,000) | 306,000 | ||||||
Warrants issued to placement agent and other issuance costs | (919,105) | 919,105 | ||||||
Placement agent fees and issuance costs | (1,024,313) | (1,024,313) | ||||||
Beneficial Conversion feature on Preferred Stock | (2,468,473) | 2,468,473 | ||||||
Deemed Dividend on beneficial conversion feature of Preferred Stock | 2,468,473 | (2,468,473) | ||||||
Accrued Deemed Dividend | 150,295 | (150,295) | ||||||
Net loss | (2,166,205) | 212,890 | (1,953,315) | |||||
Foreign Currency Translation | (1,297,176) | (1,297,176) | ||||||
Conversion of Convertible Securities (in shares) | 48,200 | |||||||
Common stock issued for placement agent fees (in shares) | 200,000 | |||||||
Balance at Jun. 30, 2020 | $ 3,472,161 | $ 14,537,828 | 4,356,097 | (12,159,046) | (6,645,988) | $ (160,784) | (643,947) | 2,756,321 |
Balance (in shares) at Jun. 30, 2020 | 590,860 | 4,479,608 | (43,658) | |||||
Balance (in shares) at Mar. 31, 2020 | 410,860 | 4,219,608 | (43,658) | |||||
Balance at Mar. 31, 2020 | $ 2,161,607 | $ 14,321,161 | 4,287,470 | (10,631,537) | (6,712,315) | $ (160,784) | (712,260) | 2,553,342 |
Share Issued (in shares) | 180,000 | 260,000 | ||||||
Share Issued | $ 1,583,334 | $ 216,667 | 1,800,001 | |||||
Conversion of Convertible Securities | ||||||||
Common stock issued for placement agent fees | ||||||||
Warrants issued to placement agent and other issuance costs | (166,181) | 166,181 | ||||||
Placement agent fees and issuance costs | (204,153) | (204,153) | ||||||
Beneficial Conversion feature on Preferred Stock | (140,000) | 140,000 | ||||||
Deemed Dividend on beneficial conversion feature of Preferred Stock | 140,000 | (140,000) | ||||||
Accrued Deemed Dividend | 97,554 | (97,554) | ||||||
Net loss | (1,527,509) | 68,313 | (1,459,196) | |||||
Foreign Currency Translation | 66,327 | 66,327 | ||||||
Balance at Jun. 30, 2020 | $ 3,472,161 | $ 14,537,828 | $ 4,356,097 | $ (12,159,046) | $ (6,645,988) | $ (160,784) | $ (643,947) | $ 2,756,321 |
Balance (in shares) at Jun. 30, 2020 | 590,860 | 4,479,608 | (43,658) |
Note 1 - Basis of Presentation
Note 1 - Basis of Presentation | 6 Months Ended |
Jun. 30, 2020 | |
Notes to Financial Statements | |
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block] | Note 1 The accompanying condensed (a) consolidated balance sheet as of June 30, 2020, 10 8 X. not three six June 30, 2020 not may December 31, 2020. 10 December 31, 2019. Principles of consolidation and nature of operations: Yunhong CTI Ltd. (formerly CTI Industries Corporation), its former United Kingdom subsidiary (CTI Balloons Limited), its Mexican subsidiary (Flexo Universal, S. de R.L. de C.V.), its German subsidiary (CTI Europe GmbH) and CTI Supply, Inc. (collectively, the “Company”) (i) design, manufacture and distribute metalized and latex balloon products throughout the world and (ii) operate systems for the production, lamination, coating and printing of films used for food packaging and other commercial uses and for conversion of films to flexible packaging containers and other products. As discussed in Note 2 third 2019, fourth 2019. The consolidated financial statements include the accounts of Yunhong CTI Ltd., its wholly owned subsidiaries CTI Balloons Limited and CTI Supply, Inc. and its majority owned subsidiaries, Flexo Universal and CTI Europe, as well as the accounts of Venture Leasing S. A. de R. L., Venture Leasing L.L.C. (“VL”), and Clever Organizing Solutions (formerly Clever Container Company, L.L.C. “Clever”). The last three 2019 Variable Interest Entities (“VIEs”): The determination of whether or not The Company has variable interests in VL and Clever. Through June 30, 2019, third no no July 1, 2019, not June 30, 2019. $219,000. 810 10 no Use of estimates: In preparing financial statements in conformity with accounting principles generally accepted in the United States of America, management makes estimates and assumptions that affect the amounts reported of assets and liabilities, disclosure of contingent assets and liabilities at the date of the financial statements and the reported amount of revenues and expenses during the reporting period in the financial statements and accompanying notes. Actual results may 19 2020 19 During 2020, 5,908,600 Earnings per share: Basic earnings per share is computed by dividing net income by the weighted average number of shares of common stock outstanding during each period. Diluted earnings per share is computed by dividing the net income by the weighted average number of shares of common stock and equivalents (stock options and warrants), unless anti-dilutive, during each period. As of June 30, 2020 2019, 792,660 471,144, three June 30, 2020 2019 none Significant Accounting Policies: The Company's significant accounting policies are summarized in Note 2 December 31, 2019. no three six June 30, 2020. On January 1, 2019, 842 12. 842 12 not On January 1, 2018, 606 606 not Net sales include revenues from sales of products and shipping and handling charges, net of estimates for product returns. Revenue is measured at the amount of consideration the Company expects to receive in exchange for the transferred products. Revenue is recognized at the point in time when we transfer the promised products to the customer and the customer obtains control over the products. The Company recognizes revenue for shipping and handling charges at the time the goods are shipped to the customer, and the costs of outbound freight are included in cost of sales, as we have elected the practical expedient included in ASC 606. The Company provides for product returns based on historical return rates. While we incur costs for sales commissions to our sales employees and outside agents, we recognize commission costs concurrent with the related revenue, as the amortization period is less than one 606. not not Prior Period Reclassification Certain amounts in prior periods have been reclassified to conform with current period presentation and had no |
Note 2 - Discontinued Operation
Note 2 - Discontinued Operations | 6 Months Ended |
Jun. 30, 2020 | |
Notes to Financial Statements | |
Disposal Groups, Including Discontinued Operations, Disclosure [Text Block] | Note 2 Discontinued Operations In July 2019 not July 19, 2019, fourth 2019 September 2020. In October 2019, not December 31, 2019. 90 CTI Balloons recorded losses from discontinued operations, net of taxes of ( $96,000 $169,000 three six June 30, 2019. CTI Europe recorded a gain from discontinued operations, net of taxes of $92,000 three June 30, 2020, $241,000 six June 30, 2020. $11,000 $158,000 three six June 30, 2019, Our Ziploc product line recorded a loss from discontinued operations, net of taxes of ( $746,000 $1,550,000 three six June 30, 2020. $842,000 $284,000 three six June 30, 2019, Summarized Discontinued Operations Financial Information The following table summarizes the major line items for the operations that are included in the income from discontinued operations, net of tax line item in the Consolidated Statements of Income for the three June 30, 2020 June 30, 2019 Income Statement Net Sales $ 615,388 $ 3,204,434 Cost of Sales 941,230 1,987,637 Gross Loss (325,842 ) 1,216,797 Selling, general and administrative 330,446 511,164 Operating income (loss) (656,288 ) 705,633 Other income (loss) 9,233 (25,053 ) Total pretax income (loss) from discontinued operations (665,521 ) 730,686 Gain from classification to held for sale 65,565 - Net income (loss) prior to non-controlling interest (599,956 ) 730,686 Non-controlling Interest share of profit/loss 70,576 (306 ) Net (loss) income (670,532 ) 730,992 The following table summarizes the major line items for the operations that are included in the income from discontinued operations, net of tax line item in the Consolidated Statements of Income for the six June 30, 2020 June 30, 2019 Income Statement Net Sales $ 1,672,445 $ 7,060,806 Cost of Sales 2,115,275 5,804,844 Gross profit (loss) (442,830 ) 1,255,962 Selling, general and administrative 854,995 1,326,343 Operating loss (1,297,825 ) (70,381 ) Other income (expense) 22,453 (270,278 ) Total pretax loss from discontinued operations (1,320,278 ) (43,353 ) Gain from classification to held for sale 233,685 - Net (loss) income prior to non-controlling interest (1,086,593 ) (43,353 ) Non-controlling Interest share of profit (loss) 222,670 (76,323 ) Net income (loss) (1,309,263 ) 32,970 The following table summarizes the carrying amounts of major classes of assets and liabilities of discontinued operations for each of the periods presented: June 30, 2020 December 31, 2019 Balance Sheet Assets Current Assets Cash on hand and Banks $ 151,680 $ 4,307 Accounts Receivable 424,296 539,910 Inventory - 74,383 Prepaid and Other 78,471 135,912 TOTAL Current Assets 654,447 754,512 NET Property, Plant, and Equipment 7,334 53,919 Other Assets Operating lease right-of-use 181,278 220,541 Other 32,543 47,958 TOTAL Other Assets 213,821 268,499 TOTAL Non-Current Assets 221,155 322,418 Valuation Allowance on Assets Held for Sale (87,214 ) (320,899 ) TOTAL Assets $ 788,388 $ 756,031 Liabilities Current Liabilities Trade Accounts Payable $ 74,095 $ 384,333 Operating Lease Liabilities - Current 123,153 203,291 Other/Accrued Liabilities 18,486 19,562 TOTAL Current Liabilities 215,734 607,186 Non-Current Liabilities Operating Lease Liabilities - Non Current 58,126 17,250 Other Non-Current 33,029 32,317 TOTAL Non-Current Liabilities 91,155 49,567 TOTAL Liabilities $ 306,889 $ 656,753 The cash flows related to discontinued operations have not Six Months Ended June 30, 2020 2019 Depreciation 213,491 178,997 |
Note 3 - Liquidity and Going Co
Note 3 - Liquidity and Going Concern | 6 Months Ended |
Jun. 30, 2020 | |
Notes to Financial Statements | |
Liquidity and Going Concern [Text Block] | Note 3 – Liquidity and Going Concern The Company's primary sources of liquidity are cash and cash equivalents as well as availability under the credit agreement with PNC Bank, National Association (“PNC”) (the “Credit Agreement”) (see Note 4 4, 2018 March 2019 March 31, 2019 not June 30, 2019 July 31, 2019. August 1, 2019, October 18, 2019, 4” January 10, 2020 not January 13, 2020, 5” first no December 31, 2020. The Credit Agreement provides for interest at varying rates in excess of the prime rate, depending on the level of senior debt to EBITDA over time. We believe that, during the first three 2020, 0.75 1.00 three March 31, 2020 ( not June 15, 2020, not July 17, 2020, third not $3,000,000 no July 31, 2020. may July 22, 2020, not $3,000,000 August 31, 2020, During 2019, 2020. January 3, 2020 February 24, 2020 April 13, 2020, ( 500,000 $10.00 $5,000,000. $2 $1 June 30, 2020, $478,000 48,200 January 2020 June 2020. 400,000 three In addition to the above, financial performance in 2017, 2018 2019, $1.6 $3.6 $7.1 one Additionally, we have experienced challenges in maintaining adequate seasonal working capital balances, made more challenging by increases in financing and labor costs, along with a supply disruption in the helium market during 2019. In December 2019, 19 19 19 19 may may may may may $1 19 not Finally, claims have been filed in court by certain vendors regarding claims of non-payment pursuant to contractual obligations. While many have been resolved, the sum of the outstanding claims made or threatened exceeds $0.5 Management's plans include: ( 1 Working with our new investor group to expand our business in profitable ways. ( 2 Working with our bank to resolve our compliance failure on a long-term basis. ( 3 Relocating our existing operation in Lake Zurich, IL to a lower cost environment in Laredo, TX and Nuevo Laredo, Mexico. ( 4 Evaluating and potentially executing a transaction of our facility in Lake Barrington, IL. ( 5 Simplifying our group structure, focusing on the most profitable products and markets, and ( 6 Exploring alternative funding sources. Management Assessment Considering both quantitative and qualitative information, we believe that our plans to obtain additional financing may 2020 may |
Note 4 - Debt
Note 4 - Debt | 6 Months Ended |
Jun. 30, 2020 | |
Notes to Financial Statements | |
Debt Disclosure [Text Block] | Note 4 - Debt During December 2017, $6 $18 December 2022. Available credit under the Revolving Credit facility is determined by eligible receivables and inventory at CTI Industries (U.S.) and Flexo Universal (Mexico). We notified PNC of our failure to meet two March 31, 2018. June 8, 2018, No. 1 1” September 2018, 1 October 8, 2018, No. 2 2” 2 $5 $2 September 30, 2018, $7.5 November 15, 2018 no November 15, 2018 We engaged PNC to resolve this failure to meet our amended covenant, and as of March 2019 March 31, 2019 not July 31, 2019 June 30, 2019. $1.2 zero six $250,000. On August 1, 2019, October 2019 January 2020. January 13, 2020, No. 5 first no December 31, 2020. June 15, 2020, first 2020. Available credit under the Revolving Credit facility is determined by eligible receivables and inventory at CTI Industries (U.S.) and Flexo Universal (Mexico). Certain terms of the PNC Agreements include: ● Restrictive Covenants o Borrow money; o Pay dividends and make distributions; o Make certain investments; o Use assets as security in other transactions; o Create liens; o Enter into affiliate transactions; o Merge or consolidate; or o Transfer and sell assets. ● Financial Covenants o We were required to maintain a "Leverage Ratio", which is defined as the ratio of (a) Funded Debt (other than the Shareholder Subordinated Loan) as of such date of determination to (b) EBITDA (as defined in the PNC Agreements) for the applicable period then ended. This requirement was removed during the January 2020 5. o We are required to maintain a "Fixed Charge Coverage Ratio", which is defined as the ratio of (a) EBITDA for such fiscal period, minus Unfinanced Capital Expenditures made during such period, minus distributions (including tax distributions) and dividends made during such period, minus cash taxes paid during such period to (b) all Debt Payments made during such period. The highest values allowed for each quarterly calculation are as follow: Fiscal Quarter Ratio March 31, 2020 0.75 to 1.00 June 30, 2020 0.85 to 1.00 September 30, 2020 0.95 to 1.00 December 31, 2020 1.05 to 1.00 March 31, 2021 and thereafter 1.15 to 1.00 The credit agreement provides for interest at varying rates in excess of the prime rate, depending on the level of senior debt to EBITDA over time. We believe that, during the first three 2020, not Failure to comply with these covenants has caused us to pay a higher rate of interest (by 2% may 3, As of December 2017, $1,099,000, $400,000, December 2017 January 2019, $600,000 181,000 No 2019 six June 30, 2020, $32,000 $30,000, first six 2020 2019, During 2020, $260,000 three $260,000. $1.75 On April 30, 2020, $1,047,700 March 27, 2020, April 23, 2020. one April 30, 2022 six may no may may no three June 30, 2020 $800,000 $264,854 June 30, 2020. |
Note 5 - Stock-based Compensati
Note 5 - Stock-based Compensation; Changes in Equity | 6 Months Ended |
Jun. 30, 2020 | |
Notes to Financial Statements | |
Share-based Payment Arrangement [Text Block] | Note 5 - Stock-Based Compensation; Changes in Equity The Company has adopted Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic 718 The Company has applied the Black-Scholes model to value stock-based awards and issued warrants related to notes payable. That model incorporates various assumptions in the valuation of stock-based awards relating to the risk-free rate of interest, 0.42% 1.65%, 153.73% 161.48%, 0% not 2020 2019. The Company's net loss for the three June 30, 2020 2019 none $29,000, six June 30, 2020 2019 none $29,000, June 30, 2020, no On April 10, 2009, June 5, 2009, 2009 “2009 2009 510,000 June 8, 2018, 2018 “2018 2018 300,000 no 8 12 not June 30, 2020, 20,000 A summary of the Company's stock option activity, which includes grants of restricted stock, non-qualified stock options, incentive stock options, warrants and related information, is as follows: Shares under Option Weighted Average Exercise Price Balance at December 31, 2019 471,144 $ 3.95 Granted 792,660 1.00 Cancelled/Expired (436,519 ) 3.95 Exercised/Issued (15,000 ) 5.48 Outstanding at June 30, 2020 812,285 1.21 Exercisable at June 30, 2020 19,625 $ 5.49 The instruments above have no June 30, 2020 June 30, 2020. On January 3, 2020, February 24, 2020 April 13, 2020 ( 500,000 ten $10.00 $5,000,000 may, 200,000 $10.00 January 13, 2020, first 250,000 $2,500,000. one first January 13, 2020, March 12, 2020, On January 30, 2020, 20,600 $206,000. On February 21, 2020, 22,060 $220,600. The Purchase Agreement contemplates a second 250,000 February 24, 2020, 70,000 $10.00 $700,000 second 140,000 February 28, 2020, On April 1, 2020, $482,000 48,200 On April 13, 2020, second 130,000 $10.00 $1,300,000 third 260,000 On June 5, 2020, 50,000 $10.00 $500,000 57% The issuance of the Company's Series A Preferred Stock generated a beneficial conversion feature (BCF), which arises when a debt or equity security is issued with an embedded conversion option that is beneficial to the investor or in the money at inception because the conversion option has an effective strike price that is less than the market price of the underlying stock at the commitment date. The fair value of the common stock into which the Series A Preferred was convertible exceeded the allocated purchase price fair value of the Series A Preferred Stock at the closing dates by approximately $2.5 8% $10 may six June 30, 2020 $150,000 |
Note 6 - Legal Proceedings
Note 6 - Legal Proceedings | 6 Months Ended |
Jun. 30, 2020 | |
Notes to Financial Statements | |
Legal Matters and Contingencies [Text Block] | Note 6 - Legal Proceedings The Company may not During 2019 2020, $0.5 June 30, 2020. |
Note 7 - Other Comprehensive In
Note 7 - Other Comprehensive Income | 6 Months Ended |
Jun. 30, 2020 | |
Notes to Financial Statements | |
Comprehensive Income (Loss) Note [Text Block] | Note 7 - Other Comprehensive Income In the six June 30, 2020, $1,297,000 22% 19 The following table sets forth the accumulated balance of other comprehensive income and each component. Foreign Currency Items Total Accumulated Other Comprehensive Income Beginning balance as of January 1, 2020 $ (5,348,812 ) $ (5,348,812 ) Current period change, net of tax (1,297,176 ) (1,297,176 ) Ending Balance as of June 30, 2020 $ (6,645,988 ) $ (6,645,988 ) |
Note 8 - Geographic Segment Dat
Note 8 - Geographic Segment Data | 6 Months Ended |
Jun. 30, 2020 | |
Notes to Financial Statements | |
Segment Reporting Disclosure [Text Block] | Note 8 The Company has determined that it operates primarily in one Net Sales to Outside Customers For the Six Months Ended June 30, 2020 2019 United States $ 9,969,000 $ 13,779,000 Mexico 2,844,000 4,103,000 $ 12,813,000 $ 17,882,000 Net Sales to Outside Customers For the Three Months Ended June 30, 2020 2019 United States $ 4,543,000 $ 7,180,000 Mexico 1,202,000 2,022,000 $ 5,745,000 $ 9,202,000 Total Assets at June 30, December 31, 2020 2019 United States $ 15,163,000 $ 19,668,000 Mexico 8,308,000 10,897,000 Assets Held for Sale International Subsidiaries 788,000 756,000 $ 24,259,000 $ 31,321,000 |
Note 9 - Inventories, Net of Co
Note 9 - Inventories, Net of Continuing Operations | 6 Months Ended |
Jun. 30, 2020 | |
Notes to Financial Statements | |
Inventory Disclosure [Text Block] | Note 9 Inventories, Net of Continuing Operations June 30 , 2020 December 31, 201 9 Raw materials $ 1,175,412 $ 1,544,949 Work in process 3,017,870 3,110,296 Finished goods 7,434,520 9,766,060 In Transit 95,991 99,923 Allowance for excess quantities (696,429 ) (561,729 ) Total inventories $ 11,027,364 $ 13,959,499 |
Note 10 - Concentration of Cred
Note 10 - Concentration of Credit Risk | 6 Months Ended |
Jun. 30, 2020 | |
Notes to Financial Statements | |
Concentration Risk Disclosure [Text Block] | Note 10 - Concentration of Credit Risk Concentration of credit risk with respect to trade accounts receivable is generally limited due to the large number of entities comprising the Company's customer base. The Company performs ongoing credit evaluations and provides an allowance for potential credit losses against the portion of accounts receivable which is estimated to be uncollectible. Such losses have historically been within management's expectations. During the six June 30, 2020 2019, one 10% six June 30, 2020 2019 Three Months Ended Three Months Ended June 30 , 2020 June 30 , 2019 Customer Net Sales % of Net Sales Net Sales % of Net Sales Customer A $ 2,508,000 43 % $ 2,769,000 30 % Six Months Ended Six Months Ended June 30, 2020 June 30, 2019 Customer Net Sales % of Net Sales Net Sales % of Net Sales Customer A $ 5,675,000 44 % $ 6,630,000 37 % As of June 30, 2020, $1,757,000 25% June 30, 2019 $1,044,000 15% |
Note 11 - Related Party Transac
Note 11 - Related Party Transactions | 6 Months Ended |
Jun. 30, 2020 | |
Notes to Financial Statements | |
Related Party Transactions Disclosure [Text Block] | Note 1 1 - Related Party Transactions John H. Schwan, who resigned as Chairman of the Board on June 1, 2020, one $2,700 $8,000 six June 30, 2020 2019, During the period from January 2003 $1.6 December 31, 2018. January 2019 $0.6 $1.1 June 30, 2020. first six 2020 2019, $15,000 $16,000, Items identified as Notes Payable Affiliates in the Company's Consolidated Balance Sheet as of June 30, 2020 2019 $9,000 $14,000, On July 1, 2019, $1.387 six June 30, 2020 $350,000. |
Note 12 - Derivative Instrument
Note 12 - Derivative Instruments; Fair Value | 6 Months Ended |
Jun. 30, 2020 | |
Notes to Financial Statements | |
Derivatives and Fair Value [Text Block] | Note 1 2 - Derivative Instruments; Fair Value The Company accounts for derivative instruments in accordance with U.S. GAAP, which requires that all derivative instruments be recognized on the balance sheet at fair value. We may one one June 30, 2020, no |
Note 13 - Leases
Note 13 - Leases | 6 Months Ended |
Jun. 30, 2020 | |
Notes to Financial Statements | |
Lessee, Operating Leases [Text Block] | Note 1 3 - Leases We adopted ASC Topic 842 January 1, 2019. January 1, 2019 842, not 840. not Upon adoption of ASC 842 $2.8 $1.1 $1.7 not 842 no We determine if an arrangement is a lease at inception. Most of our operating leases do not 12 not The table below describes our lease position as of June 30, 2020 Assets As of June 30, 2020 Operating lease right-of-use assets $ 1,417,000 Accumulated amortization (962,000) Net lease assets 455,000 Liabilities Current Operating 343,000 Noncurrent Operating 112,000 Total lease liabilities 455,000 Weighted average remaining term (years) – operating leases (in years) 2 Weighted average discount rate – operating leases 11.25% During the six June 30, 2020, Operating right-of-use lease asset amortization $ 416,000 Total expense during six months ended June 30, 2020 416,000 Operating lease expenses were approximately $416,000 six June 30, 2020. not $416,000 six June 30, 2020. The following table summarizes the maturities of our lease liabilities for all operating leases as of June 30, 2020: (in thousands) 2020 $ 234 2021 364 2022 and thereafter 49 Total lease payments 647 less: Imputed interest (192 ) Present value of lease liabilities $ 455 |
Note 14 - Subsequent Events
Note 14 - Subsequent Events | 6 Months Ended |
Jun. 30, 2020 | |
Notes to Financial Statements | |
Subsequent Events [Text Block] | Note 14 - Subsequent Events On July 17, 2020, third not $3,000,000 no July 31, 2020. may July 22, 2020, not $3,000,000 August 31, 2020, During 2020, July 2020. July 2020, 250,000 171,000 July 2020, 250,000 161,000 August 2020, 2020 27,660 276,600 11,000 8% |
Significant Accounting Policies
Significant Accounting Policies (Policies) | 6 Months Ended |
Jun. 30, 2020 | |
Accounting Policies [Abstract] | |
Basis of Accounting, Policy [Policy Text Block] | The accompanying condensed (a) consolidated balance sheet as of June 30, 2020, 10 8 X. not three six June 30, 2020 not may December 31, 2020. 10 December 31, 2019. |
Consolidation, Policy [Policy Text Block] | Principles of consolidation and nature of operations: Yunhong CTI Ltd. (formerly CTI Industries Corporation), its former United Kingdom subsidiary (CTI Balloons Limited), its Mexican subsidiary (Flexo Universal, S. de R.L. de C.V.), its German subsidiary (CTI Europe GmbH) and CTI Supply, Inc. (collectively, the “Company”) (i) design, manufacture and distribute metalized and latex balloon products throughout the world and (ii) operate systems for the production, lamination, coating and printing of films used for food packaging and other commercial uses and for conversion of films to flexible packaging containers and other products. As discussed in Note 2 third 2019, fourth 2019. The consolidated financial statements include the accounts of Yunhong CTI Ltd., its wholly owned subsidiaries CTI Balloons Limited and CTI Supply, Inc. and its majority owned subsidiaries, Flexo Universal and CTI Europe, as well as the accounts of Venture Leasing S. A. de R. L., Venture Leasing L.L.C. (“VL”), and Clever Organizing Solutions (formerly Clever Container Company, L.L.C. “Clever”). The last three 2019 |
Consolidation, Variable Interest Entity, Policy [Policy Text Block] | Variable Interest Entities (“VIEs”): The determination of whether or not The Company has variable interests in VL and Clever. Through June 30, 2019, third no no July 1, 2019, not June 30, 2019. $219,000. 810 10 no |
Use of Estimates, Policy [Policy Text Block] | Use of estimates: In preparing financial statements in conformity with accounting principles generally accepted in the United States of America, management makes estimates and assumptions that affect the amounts reported of assets and liabilities, disclosure of contingent assets and liabilities at the date of the financial statements and the reported amount of revenues and expenses during the reporting period in the financial statements and accompanying notes. Actual results may 19 2020 19 During 2020, 5,908,600 |
Earnings Per Share, Policy [Policy Text Block] | Earnings per share: Basic earnings per share is computed by dividing net income by the weighted average number of shares of common stock outstanding during each period. Diluted earnings per share is computed by dividing the net income by the weighted average number of shares of common stock and equivalents (stock options and warrants), unless anti-dilutive, during each period. As of June 30, 2020 2019, 792,660 471,144, three June 30, 2020 2019 none |
New Accounting Pronouncements, Policy [Policy Text Block] | Significant Accounting Policies: The Company's significant accounting policies are summarized in Note 2 December 31, 2019. no three six June 30, 2020. On January 1, 2019, 842 12. 842 12 not On January 1, 2018, 606 606 not Net sales include revenues from sales of products and shipping and handling charges, net of estimates for product returns. Revenue is measured at the amount of consideration the Company expects to receive in exchange for the transferred products. Revenue is recognized at the point in time when we transfer the promised products to the customer and the customer obtains control over the products. The Company recognizes revenue for shipping and handling charges at the time the goods are shipped to the customer, and the costs of outbound freight are included in cost of sales, as we have elected the practical expedient included in ASC 606. The Company provides for product returns based on historical return rates. While we incur costs for sales commissions to our sales employees and outside agents, we recognize commission costs concurrent with the related revenue, as the amortization period is less than one 606. not not |
Reclassification, Comparability Adjustment [Policy Text Block] | Prior Period Reclassification Certain amounts in prior periods have been reclassified to conform with current period presentation and had no |
Note 2 - Discontinued Operati_2
Note 2 - Discontinued Operations (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Notes Tables | |
Disposal Groups, Including Discontinued Operations [Table Text Block] | June 30, 2020 June 30, 2019 Income Statement Net Sales $ 615,388 $ 3,204,434 Cost of Sales 941,230 1,987,637 Gross Loss (325,842 ) 1,216,797 Selling, general and administrative 330,446 511,164 Operating income (loss) (656,288 ) 705,633 Other income (loss) 9,233 (25,053 ) Total pretax income (loss) from discontinued operations (665,521 ) 730,686 Gain from classification to held for sale 65,565 - Net income (loss) prior to non-controlling interest (599,956 ) 730,686 Non-controlling Interest share of profit/loss 70,576 (306 ) Net (loss) income (670,532 ) 730,992 June 30, 2020 June 30, 2019 Income Statement Net Sales $ 1,672,445 $ 7,060,806 Cost of Sales 2,115,275 5,804,844 Gross profit (loss) (442,830 ) 1,255,962 Selling, general and administrative 854,995 1,326,343 Operating loss (1,297,825 ) (70,381 ) Other income (expense) 22,453 (270,278 ) Total pretax loss from discontinued operations (1,320,278 ) (43,353 ) Gain from classification to held for sale 233,685 - Net (loss) income prior to non-controlling interest (1,086,593 ) (43,353 ) Non-controlling Interest share of profit (loss) 222,670 (76,323 ) Net income (loss) (1,309,263 ) 32,970 June 30, 2020 December 31, 2019 Balance Sheet Assets Current Assets Cash on hand and Banks $ 151,680 $ 4,307 Accounts Receivable 424,296 539,910 Inventory - 74,383 Prepaid and Other 78,471 135,912 TOTAL Current Assets 654,447 754,512 NET Property, Plant, and Equipment 7,334 53,919 Other Assets Operating lease right-of-use 181,278 220,541 Other 32,543 47,958 TOTAL Other Assets 213,821 268,499 TOTAL Non-Current Assets 221,155 322,418 Valuation Allowance on Assets Held for Sale (87,214 ) (320,899 ) TOTAL Assets $ 788,388 $ 756,031 Liabilities Current Liabilities Trade Accounts Payable $ 74,095 $ 384,333 Operating Lease Liabilities - Current 123,153 203,291 Other/Accrued Liabilities 18,486 19,562 TOTAL Current Liabilities 215,734 607,186 Non-Current Liabilities Operating Lease Liabilities - Non Current 58,126 17,250 Other Non-Current 33,029 32,317 TOTAL Non-Current Liabilities 91,155 49,567 TOTAL Liabilities $ 306,889 $ 656,753 Six Months Ended June 30, 2020 2019 Depreciation 213,491 178,997 |
Note 4 - Debt (Tables)
Note 4 - Debt (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Notes Tables | |
Schedule of Leverage Ratios [Table Text Block] | March 31, 2020 0.75 to 1.00 June 30, 2020 0.85 to 1.00 September 30, 2020 0.95 to 1.00 December 31, 2020 1.05 to 1.00 March 31, 2021 and thereafter 1.15 to 1.00 |
Note 5 - Stock-based Compensa_2
Note 5 - Stock-based Compensation; Changes in Equity (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Notes Tables | |
Share-based Payment Arrangement, Activity [Table Text Block] | Shares under Option Weighted Average Exercise Price Balance at December 31, 2019 471,144 $ 3.95 Granted 792,660 1.00 Cancelled/Expired (436,519 ) 3.95 Exercised/Issued (15,000 ) 5.48 Outstanding at June 30, 2020 812,285 1.21 Exercisable at June 30, 2020 19,625 $ 5.49 |
Note 7 - Other Comprehensive _2
Note 7 - Other Comprehensive Income (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Notes Tables | |
Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block] | Foreign Currency Items Total Accumulated Other Comprehensive Income Beginning balance as of January 1, 2020 $ (5,348,812 ) $ (5,348,812 ) Current period change, net of tax (1,297,176 ) (1,297,176 ) Ending Balance as of June 30, 2020 $ (6,645,988 ) $ (6,645,988 ) |
Note 8 - Geographic Segment D_2
Note 8 - Geographic Segment Data (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Notes Tables | |
Schedule of Segment Reporting Information, by Segment [Table Text Block] | Net Sales to Outside Customers For the Six Months Ended June 30, 2020 2019 United States $ 9,969,000 $ 13,779,000 Mexico 2,844,000 4,103,000 $ 12,813,000 $ 17,882,000 Net Sales to Outside Customers For the Three Months Ended June 30, 2020 2019 United States $ 4,543,000 $ 7,180,000 Mexico 1,202,000 2,022,000 $ 5,745,000 $ 9,202,000 Total Assets at June 30, December 31, 2020 2019 United States $ 15,163,000 $ 19,668,000 Mexico 8,308,000 10,897,000 Assets Held for Sale International Subsidiaries 788,000 756,000 $ 24,259,000 $ 31,321,000 |
Note 9 - Inventories, Net of _2
Note 9 - Inventories, Net of Continuing Operations (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Notes Tables | |
Schedule of Inventory, Current [Table Text Block] | June 30 , 2020 December 31, 201 9 Raw materials $ 1,175,412 $ 1,544,949 Work in process 3,017,870 3,110,296 Finished goods 7,434,520 9,766,060 In Transit 95,991 99,923 Allowance for excess quantities (696,429 ) (561,729 ) Total inventories $ 11,027,364 $ 13,959,499 |
Note 10 - Concentration of Cr_2
Note 10 - Concentration of Credit Risk (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Notes Tables | |
Schedules of Concentration of Risk, by Risk Factor [Table Text Block] | Three Months Ended Three Months Ended June 30 , 2020 June 30 , 2019 Customer Net Sales % of Net Sales Net Sales % of Net Sales Customer A $ 2,508,000 43 % $ 2,769,000 30 % Six Months Ended Six Months Ended June 30, 2020 June 30, 2019 Customer Net Sales % of Net Sales Net Sales % of Net Sales Customer A $ 5,675,000 44 % $ 6,630,000 37 % |
Note 13 - Leases (Tables)
Note 13 - Leases (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Notes Tables | |
Lessee, Operating Lease, Assets and Liabilities [Table Text Block] | Assets As of June 30, 2020 Operating lease right-of-use assets $ 1,417,000 Accumulated amortization (962,000) Net lease assets 455,000 Liabilities Current Operating 343,000 Noncurrent Operating 112,000 Total lease liabilities 455,000 Weighted average remaining term (years) – operating leases (in years) 2 Weighted average discount rate – operating leases 11.25% |
Lease, Cost [Table Text Block] | Operating right-of-use lease asset amortization $ 416,000 Total expense during six months ended June 30, 2020 416,000 |
Lessee, Operating Lease, Liability, Maturity [Table Text Block] | The following table summarizes the maturities of our lease liabilities for all operating leases as of June 30, 2020: (in thousands) 2020 $ 234 2021 364 2022 and thereafter 49 Total lease payments 647 less: Imputed interest (192 ) Present value of lease liabilities $ 455 |
Note 1 - Basis of Presentation
Note 1 - Basis of Presentation (Details Textual) | 3 Months Ended | 6 Months Ended | |
Jun. 30, 2020shares | Jun. 30, 2019shares | Jun. 30, 2020USD ($)shares | |
Number of Entities Consolidated as Variable Interest Entities | 3 | 3 | |
Deconsolidation, Gain (Loss), Amount | $ | $ 219,000 | ||
Convertible Preferred Stock, Shares to be Issued Upon Conversion (in shares) | 5,908,600 | 5,908,600 | |
Number of Shares Issuable Upon the Exercise of Options and Warrants (in shares) | 792,660 | 471,144 | 792,660 |
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount (in shares) | 0 | 0 |
Note 2 - Discontinued Operati_3
Note 2 - Discontinued Operations (Details Textual) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Income (Loss) from Discontinued Operations, Net of Tax, Including Portion Attributable to Noncontrolling Interest, Total | $ (599,956) | $ 730,686 | $ (1,086,593) | $ (43,353) |
CTI Balloons Limited [Member] | ||||
Income (Loss) from Discontinued Operations, Net of Tax, Including Portion Attributable to Noncontrolling Interest, Total | 96,000 | 169,000 | ||
CTI Europe [Member] | ||||
Income (Loss) from Discontinued Operations, Net of Tax, Including Portion Attributable to Noncontrolling Interest, Total | 92,000 | 11,000 | 241,000 | 158,000 |
Ziploc Product Line [Member] | Discontinued Operations [Member] | ||||
Income (Loss) from Discontinued Operations, Net of Tax, Including Portion Attributable to Noncontrolling Interest, Total | $ (746,000) | $ 842,000 | $ (1,550,000) | $ 284,000 |
Note 2 - Discontinued Operati_4
Note 2 - Discontinued Operations - Summarized Discontinued Operating Financial Information (Details) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | Dec. 31, 2019 | |
Net income (loss) prior to non-controlling interest | $ (599,956) | $ 730,686 | $ (1,086,593) | $ (43,353) | |
TOTAL Current Assets | 788,388 | 788,388 | $ 756,031 | ||
Valuation Allowance on Assets Held for Sale | (87,214) | (87,214) | (320,899) | ||
TOTAL Assets | 788,000 | 788,000 | 756,000 | ||
TOTAL Current Liabilities | 306,889 | 306,889 | 656,753 | ||
TOTAL Non-Current Liabilities | 2,900,777 | 2,900,777 | 2,670,171 | ||
CTI Balloons and CTI Europe [Member] | |||||
Net Sales | 615,388 | 3,204,434 | 1,672,445 | 7,060,806 | |
Cost of Sales | 941,230 | 1,987,637 | 2,115,275 | 5,804,844 | |
Gross profit (loss) | (325,842) | 1,216,797 | (442,830) | 1,255,962 | |
Selling, general and administrative | 330,446 | 511,164 | 854,995 | 1,326,343 | |
Operating income (loss) | (656,288) | 705,633 | (1,297,825) | (70,381) | |
Other income (loss) | 9,233 | (25,053) | 22,453 | (270,278) | |
Total pretax income (loss) from discontinued operations | (665,521) | 730,686 | (1,320,278) | (43,353) | |
Gain from classification to held for sale | 65,565 | 233,685 | |||
Net income (loss) prior to non-controlling interest | (599,956) | 730,686 | (1,086,593) | (43,353) | |
Non-controlling Interest share of profit/loss | 70,576 | (306) | 222,670 | (76,323) | |
Net (loss) income | (670,532) | $ 730,992 | (1,309,263) | 32,970 | |
Cash on hand and Banks | 151,680 | 151,680 | 4,307 | ||
Accounts Receivable | 424,296 | 424,296 | 539,910 | ||
Inventory | 74,383 | ||||
Prepaid and Other | 78,471 | 78,471 | 135,912 | ||
TOTAL Current Assets | 654,447 | 654,447 | 754,512 | ||
NET Property, Plant, and Equipment | 7,334 | 7,334 | 53,919 | ||
Operating lease right-of-use | 181,278 | 181,278 | 220,541 | ||
Other | 32,543 | 32,543 | 47,958 | ||
TOTAL Other Assets | 213,821 | 213,821 | 268,499 | ||
TOTAL Non-Current Assets | 221,155 | 221,155 | 322,418 | ||
TOTAL Assets | 788,388 | 788,388 | 756,031 | ||
Trade Accounts Payable | 74,095 | 74,095 | 384,333 | ||
Operating Lease Liabilities - Current | 123,153 | 123,153 | 203,291 | ||
Other/Accrued Liabilities | 18,486 | 18,486 | 19,562 | ||
TOTAL Current Liabilities | 215,734 | 215,734 | 607,186 | ||
Operating Lease Liabilities - Non Current | 58,126 | 58,126 | 17,250 | ||
Other Non-Current | 33,029 | 33,029 | 32,317 | ||
TOTAL Non-Current Liabilities | 91,155 | 91,155 | 49,567 | ||
TOTAL Liabilities | $ 306,889 | 306,889 | $ 656,753 | ||
Depreciation | $ 213,491 | $ 178,997 |
Note 3 - Liquidity and Going _2
Note 3 - Liquidity and Going Concern (Details Textual) - USD ($) | Jun. 01, 2020 | Apr. 01, 2020 | Jan. 03, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 26, 2020 | Jun. 30, 2019 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Jul. 17, 2020 |
Sale of Stock, Number of Shares Issued in Transaction | $ 1,800,001 | $ 303,000 | $ 5,426,601 | $ 303,000 | |||||||||
Net Income (Loss) Attributable to Parent, Total | $ (1,527,509) | $ (1,244,478) | (2,166,205) | $ (3,738,565) | $ (7,100,000) | $ (3,600,000) | $ (1,600,000) | ||||||
Claims For Non Payment Of Contractual Obligations [Member] | |||||||||||||
Aggregate Claims Made or Threatened | 500,000 | ||||||||||||
Conversion to an Accounts Receivable [Member] | |||||||||||||
Debt Conversion, Original Debt, Amount | 478,000 | ||||||||||||
Series A Preferred Stock [Member] | Conversion to an Accounts Receivable [Member] | |||||||||||||
Debt Conversion, Original Debt, Amount | $ 482,000 | ||||||||||||
Accounts Receivable, Shares Converted to Preferred Stock (in shares) | 48,200 | ||||||||||||
Purchase Agreement [Member] | |||||||||||||
Stock Issued During Period, Shares, New Issues (in shares) | 400,000 | ||||||||||||
Purchase Agreement [Member] | Series A Preferred Stock [Member] | |||||||||||||
Sale of Stock, Shares Agreed to Purchase (in shares) | 500,000 | ||||||||||||
Shares Issued, Price Per Share (in dollars per share) | $ 10 | ||||||||||||
Sale of Stock, Offering Amount | $ 5,000,000 | ||||||||||||
Accounts Receivable, Shares Converted to Preferred Stock (in shares) | 48,200 | ||||||||||||
Purchase Agreement [Member] | Series A Preferred Stock [Member] | Other Investors [Member] | |||||||||||||
Sale of Stock, Additional Authorized Shares | $ 2,000,000 | ||||||||||||
Sale of Stock, Number of Shares Issued in Transaction | $ 1,000,000 | ||||||||||||
PNC Agreements [Member] | |||||||||||||
Debt Instrument Covenants Fixed Charge Coverage Ratio (Rate) | 75.00% | ||||||||||||
PNC Agreements [Member] | Subsequent Event [Member] | PNC [Member] | |||||||||||||
Minimum Commitmnet for Equity Funding | $ 3,000,000 |
Note 4 - Debt (Details Textual)
Note 4 - Debt (Details Textual) - USD ($) | Apr. 30, 2020 | Jan. 11, 2019 | Oct. 08, 2018 | Jun. 08, 2018 | Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | Sep. 30, 2018 | Dec. 31, 2019 | Dec. 31, 2017 |
Proceeds from Issuance or Sale of Equity, Total | $ 5,426,600 | ||||||||||
Proceeds from Issuance of Debt | 904,583 | 650,000 | |||||||||
Other Income, Paycheck Protection Program Grant | $ 800,146 | 800,146 | |||||||||
Deferred Other Income Liability | 264,854 | 264,854 | |||||||||
Flexo Universal [Member] | |||||||||||
Long-term Debt, Total | 1,750,000 | 1,750,000 | |||||||||
Line of Credit [Member] | Flexo Universal [Member] | |||||||||||
Extinguishment of Debt, Amount | 260,000 | ||||||||||
Promissory Note [Member] | John H Schwan [Member] | |||||||||||
Due to Related Parties, Total | $ 1,099,000 | ||||||||||
Interest Payable | 400,000 | ||||||||||
Debt Conversion, Original Debt, Amount | $ 600,000 | ||||||||||
Accounts Receivable, Shares Converted to Preferred Stock (in shares) | 181,000 | ||||||||||
Repayments of Related Party Debt | 0 | $ 0 | |||||||||
Interest Expense, Total | 32,000 | 30,000 | |||||||||
Three Lines of Credit [Member] | Flexo Universal [Member] | |||||||||||
Long-term Line of Credit, Total | $ 260,000 | $ 260,000 | |||||||||
Paycheck Protection Program CARES Act [Member] | |||||||||||
Proceeds from Issuance of Debt | $ 1,047,700 | ||||||||||
PNC [Member] | PNC Agreements [Member] | |||||||||||
Debt Instrument, Temporary Over-Advance | 1,200,000 | 1,200,000 | |||||||||
Debt Instrument, Temporary Over-Advance, End Balance | $ 0 | $ 0 | |||||||||
Debt Instrument, Temporary Over-Advance, Term (Week) | 42 days | ||||||||||
Debt instrument, Amendment Fee | $ 250,000 | ||||||||||
Debt Instrument, Interest Rate, Increase (Decrease) | 2.00% | ||||||||||
PNC [Member] | PNC Agreements [Member] | Revolving Credit Facility [Member] | |||||||||||
Line of Credit Facility, Maximum Borrowing Capacity | 18,000,000 | ||||||||||
PNC [Member] | PNC Agreements [Member] | Term Loan [Member] | |||||||||||
Long-term Debt, Total | $ 6,000,000 | ||||||||||
PNC [Member] | PNC Agreements, Amendment Two [Member] | |||||||||||
Debt Instrument, Funding Proceeds Used to Repay Term Loan | $ 2,000,000 | $ 5,000,000 | |||||||||
Debt Instrument, Covenant, Required Proceeds from Equity Issuance | 7,500,000 | ||||||||||
Proceeds from Issuance or Sale of Equity, Total | $ 0 |
Note 4 - Debt - Leverage Ratios
Note 4 - Debt - Leverage Ratios (Details) | Mar. 31, 2021 | Dec. 31, 2020 | Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 |
Maximum [Member] | |||||
Fixed Charge Coverage Ratio | 0.85 | 0.75 | |||
Maximum [Member] | Forecast [Member] | |||||
Fixed Charge Coverage Ratio | 1.15 | 1.05 | 0.95 | ||
Minimum [Member] | |||||
Fixed Charge Coverage Ratio | 1 | 1 | |||
Minimum [Member] | Forecast [Member] | |||||
Fixed Charge Coverage Ratio | 1 | 1 | 1 |
Note 5 - Stock-based Compensa_3
Note 5 - Stock-based Compensation; Changes in Equity (Details Textual) - USD ($) | Jun. 05, 2020 | Jun. 01, 2020 | Apr. 13, 2020 | Apr. 01, 2020 | Feb. 21, 2020 | Jan. 30, 2020 | Jan. 03, 2020 | Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 26, 2020 | Dec. 31, 2019 | Feb. 24, 2020 | Jun. 08, 2018 | Apr. 10, 2009 |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Dividend Rate | 0.00% | 0.00% | |||||||||||||
Share-based Payment Arrangement, Expense | $ 0 | $ 29,000 | |||||||||||||
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Amount, Total | $ 0 | $ 29,000 | $ 0 | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number, Ending Balance (in shares) | 812,285 | 812,285 | 471,144 | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Intrinsic Value | $ 0 | $ 0 | |||||||||||||
LF International [Member] | Yunhong CTI [Member] | |||||||||||||||
Ownership Percentage | 57.00% | ||||||||||||||
Conversion to an Accounts Receivable [Member] | |||||||||||||||
Debt Conversion, Original Debt, Amount | 478,000 | ||||||||||||||
Series A Preferred Stock [Member] | |||||||||||||||
Preferred Stock Redemption Premium | $ 2,500,000 | ||||||||||||||
Preferred Stock, Dividend Rate, Percentage | 8.00% | ||||||||||||||
Preferred Stock, Dividend Rate, Per-Dollar-Amount (in dollars per share) | $ 10 | ||||||||||||||
Dividends, Total | $ 150,000 | ||||||||||||||
Series A Preferred Stock [Member] | Conversion to an Accounts Receivable [Member] | |||||||||||||||
Debt Conversion, Original Debt, Amount | $ 482,000 | ||||||||||||||
Accounts Receivable, Shares Converted to Preferred Stock (in shares) | 48,200 | ||||||||||||||
Purchase Agreement [Member] | |||||||||||||||
Stock Issued During Period, Shares, New Issues (in shares) | 400,000 | ||||||||||||||
Purchase Agreement [Member] | Series A Preferred Stock [Member] | |||||||||||||||
Sale of Stock, Shares Agreed to Purchase (in shares) | 500,000 | ||||||||||||||
Shares Issued, Price Per Share (in dollars per share) | $ 10 | ||||||||||||||
Sale of Stock, Offering Amount | $ 5,000,000 | ||||||||||||||
Accounts Receivable, Shares Converted to Preferred Stock (in shares) | 48,200 | ||||||||||||||
Second Purchase Agreement Amendment [Member] | Series A Preferred Stock [Member] | |||||||||||||||
Sale of Stock, Shares Agreed to Purchase (in shares) | 130,000 | ||||||||||||||
Shares Issued, Price Per Share (in dollars per share) | $ 10 | $ 10 | |||||||||||||
Proceeds from Issuance of Preferred Stock and Preference Stock | $ 500,000 | $ 5,000,000 | |||||||||||||
Sale of Stock, Contingent Additional Offered Shares (in shares) | 260,000 | ||||||||||||||
Stock Issued During Period, Shares, New Issues (in shares) | 50,000 | ||||||||||||||
Sale of Stock, Offering Amount | $ 1,300,000 | ||||||||||||||
Second Purchase Agreement Amendment [Member] | Series A Preferred Stock [Member] | Conversion from Each Share Series A Preferred Stock to Common Stock [Member] | |||||||||||||||
Conversion of Stock, Shares Converted (in shares) | 10 | ||||||||||||||
Additional Offering [Member] | Series A Preferred Stock [Member] | |||||||||||||||
Sale of Stock, Contingent Additional Offered Shares (in shares) | 200,000 | ||||||||||||||
Additional Shares Offering [Member] | Series A Preferred Stock [Member] | |||||||||||||||
Sale of Stock, Price Per Share (in dollars per share) | $ 10 | ||||||||||||||
First Closing of the Offering [Member] | Series A Preferred Stock [Member] | |||||||||||||||
Proceeds from Issuance of Preferred Stock and Preference Stock | $ 2,500,000 | ||||||||||||||
Stock Issued During Period, Shares, New Issues (in shares) | 250,000 | ||||||||||||||
Purchase Agreement Amendment [Member] | Series A Preferred Stock [Member] | |||||||||||||||
Sale of Stock, Shares Agreed to Purchase (in shares) | 70,000 | ||||||||||||||
Shares Issued, Price Per Share (in dollars per share) | $ 10 | ||||||||||||||
Proceeds from Issuance of Preferred Stock and Preference Stock | $ 220,600 | $ 206,000 | |||||||||||||
Sale of Stock, Contingent Additional Offered Shares (in shares) | 140,000 | ||||||||||||||
Stock Issued During Period, Shares, New Issues (in shares) | 22,060 | 20,600 | |||||||||||||
Sale of Stock, Offering Amount | $ 700,000 | ||||||||||||||
Second Closing of the Offering [Member] | Series A Preferred Stock [Member] | |||||||||||||||
Stock Issued During Period, Shares, New Issues (in shares) | 250,000 | ||||||||||||||
Stock Incentive Plan 2009 [Member] | |||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized (in shares) | 510,000 | ||||||||||||||
Stock Incentive Plan 2018 [Member] | |||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized (in shares) | 300,000 | ||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number, Ending Balance (in shares) | 20,000 | 20,000 | |||||||||||||
Minimum [Member] | |||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Risk Free Interest Rate | 0.42% | ||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Volatility Rate | 153.73% | ||||||||||||||
Maximum [Member] | |||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Risk Free Interest Rate | 1.65% | ||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Volatility Rate | 161.48% |
Note 5 - Stock-based Compensa_4
Note 5 - Stock-based Compensation; Changes in Equity - Option Activity (Details) | 6 Months Ended |
Jun. 30, 2020$ / sharesshares | |
Outstanding, beginning of period (in shares) | shares | 471,144 |
Outstanding, beginning of period (in dollars per share) | $ / shares | $ 3.95 |
Granted (in shares) | shares | 792,660 |
Granted (in dollars per share) | $ / shares | $ 1 |
Cancelled/Expired (in shares) | shares | (436,519) |
Cancelled/Expired (in dollars per share) | $ / shares | $ 3.95 |
Exercised/Issued (in shares) | shares | (15,000) |
Exercised/Issued (in dollars per share) | $ / shares | $ 5.48 |
Outstanding at the end of period (in shares) | shares | 812,285 |
Outstanding at the end of period (in dollars per share) | $ / shares | $ 1.21 |
Exercisable at the end of period (in shares) | shares | 19,625 |
Exercisable at the end of period (in dollars per share) | $ / shares | $ 5.49 |
Note 6 - Legal Proceedings (Det
Note 6 - Legal Proceedings (Details Textual) $ in Millions | 6 Months Ended |
Jun. 30, 2020USD ($) | |
Former Vendors Alleging Non-payment of Obligations [Member] | |
Aggregate Claims Made or Threatened | $ 0.5 |
Note 7 - Other Comprehensive _3
Note 7 - Other Comprehensive Income (Details Textual) | 6 Months Ended |
Jun. 30, 2020USD ($) | |
Other Comprehensive Income (Loss), Foreign Currency Translation Adjustment, Tax, Total | $ 1,297,000 |
Note 7 - Other Comprehensive _4
Note 7 - Other Comprehensive Income - Accumulated Other Comprehensive Loss Balances (Details) | 6 Months Ended |
Jun. 30, 2020USD ($) | |
Balance | $ 1,126,507 |
Balance | 2,756,321 |
Accumulated Foreign Currency Adjustment Attributable to Parent [Member] | |
Balance | (5,348,812) |
Accumulated Other Comprehensive Loss, Current period change | (1,297,176) |
Balance | (6,645,988) |
AOCI Attributable to Parent [Member] | |
Balance | (5,348,812) |
Accumulated Other Comprehensive Loss, Current period change | (1,297,176) |
Balance | $ (6,645,988) |
Note 8 - Geographic Segment D_3
Note 8 - Geographic Segment Data (Details Textual) | 6 Months Ended |
Jun. 30, 2020 | |
Number of Operating Segments | 1 |
Note 8 - Geographic Segment D_4
Note 8 - Geographic Segment Data - Financial Information by Geographic Area (Details) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | Dec. 31, 2019 | |
Sales to outside customers | $ 5,745,353 | $ 9,202,406 | $ 12,812,854 | $ 17,882,423 | |
Assets | 24,259,486 | 24,259,486 | $ 31,321,083 | ||
Assets Held for Sale International Subsidiaries | 788,000 | 788,000 | 756,000 | ||
UNITED STATES | |||||
Sales to outside customers | 4,543,000 | 7,180,000 | 9,969,000 | 13,779,000 | |
Assets | 15,163,000 | 15,163,000 | 19,668,000 | ||
MEXICO | |||||
Sales to outside customers | 1,202,000 | $ 2,022,000 | 2,844,000 | $ 4,103,000 | |
Assets | $ 8,308,000 | $ 8,308,000 | $ 10,897,000 |
Note 9 - Inventories, Net of _3
Note 9 - Inventories, Net of Continuing Operations (Details) - USD ($) | Jun. 30, 2020 | Dec. 31, 2019 |
Raw materials | $ 1,175,412 | $ 1,544,949 |
Work in process | 3,017,870 | 3,110,296 |
Finished goods | 7,434,520 | 9,766,060 |
In Transit | 95,991 | 99,923 |
Allowance for excess quantities | (696,429) | (561,729) |
Total inventories | $ 11,027,364 | $ 13,959,499 |
Note 10 - Concentration of Cr_3
Note 10 - Concentration of Credit Risk (Details Textual) - Customer Concentration Risk [Member] | 3 Months Ended | 6 Months Ended | 16 Months Ended | ||
Jun. 30, 2020USD ($) | Jun. 30, 2019USD ($) | Jun. 30, 2020USD ($) | Jun. 30, 2019USD ($) | Apr. 25, 2020 | |
Revenue Benchmark [Member] | |||||
Number of Major Customers | 1 | 1 | |||
Revenue Benchmark [Member] | Customer One [Member] | |||||
Concentration Risk, Percentage | 43.00% | 30.00% | 44.00% | 37.00% | |
Accounts Receivable [Member] | Customer One [Member] | |||||
Accounts Receivable, before Allowance for Credit Loss | $ 1,757,000 | $ 1,044,000 | $ 1,757,000 | $ 1,044,000 | |
Concentration Risk, Percentage | 25.00% | 15.00% |
Note 10 - Concentration of Cr_4
Note 10 - Concentration of Credit Risk - Concentration of Credit Risk, Net Sales (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Net Sales | $ 5,745,353 | $ 9,202,406 | $ 12,812,854 | $ 17,882,423 |
Customer One [Member] | ||||
Net Sales | $ 2,508,000 | $ 2,769,000 | $ 5,675,000 | $ 6,630,000 |
Customer One [Member] | Customer Concentration Risk [Member] | Revenue Benchmark [Member] | ||||
Percent of net sales | 43.00% | 30.00% | 44.00% | 37.00% |
Note 11 - Related Party Trans_2
Note 11 - Related Party Transactions (Details Textual) - USD ($) | 1 Months Ended | 6 Months Ended | |||
Jan. 31, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | Jul. 01, 2019 | Dec. 31, 2018 | |
Legal Fees | $ 2,700 | $ 8,000 | |||
Due to Related Parties, Noncurrent, Total | 1,100,000 | $ 1,600,000 | |||
Interest Expense, Related Party | 15,000 | 16,000 | |||
CTI Europe [Member] | |||||
Long-term Debt, Gross | 9,000 | $ 14,000 | |||
Board of Directors Chairman [Member] | |||||
Due from Related Parties, Total | $ 1,387,000 | ||||
Note Receivable, Reserve | $ 350,000 | ||||
Conversion of Related Party Debt to Equity [Member] | |||||
Debt Conversion, Original Debt, Amount | $ 600,000 |
Note 13 - Leases (Details Textu
Note 13 - Leases (Details Textual) - USD ($) | 6 Months Ended | ||
Jun. 30, 2020 | Dec. 31, 2019 | Jan. 01, 2019 | |
Assets, Noncurrent, Excluding Property, Plant, and Equipment | $ 531,389 | $ 1,165,295 | |
Liabilities, Current, Total | 18,602,388 | 27,524,405 | |
Liabilities, Noncurrent, Total | 2,900,777 | $ 2,670,171 | |
Operating Lease, Expense | 416,000 | ||
Operating Lease, Payments | $ 416,000 | ||
Accounting Standards Update 2016-02 [Member] | |||
Assets, Noncurrent, Excluding Property, Plant, and Equipment | $ 2,800,000 | ||
Liabilities, Current, Total | 1,100,000 | ||
Liabilities, Noncurrent, Total | $ 1,700,000 |
Note 13 - Leases - Lease Positi
Note 13 - Leases - Lease Position (Details) - USD ($) | Jun. 30, 2020 | Dec. 31, 2019 |
Operating lease right-of-use assets | $ 1,417,000 | |
Accumulated amortization | (962,000) | |
Net lease assets | 455,408 | $ 1,046,438 |
Operating | 342,759 | 658,374 |
Operating | 112,649 | $ 388,064 |
Total lease liabilities | $ 455,000 | |
Weighted average remaining term (years) – operating leases (in years) (Year) | 2 years | |
Weighted average discount rate – operating leases | 11.25% |
Note 13 - Leases - Lease Cost (
Note 13 - Leases - Lease Cost (Details) | 6 Months Ended |
Jun. 30, 2020USD ($) | |
Operating right-of-use lease asset amortization | $ 416,000 |
Total expense during six months ended June 30, 2020 | $ 416,000 |
Note 13 - Leases - Maturities f
Note 13 - Leases - Maturities for Operating Lease Liabilities (Details) | Jun. 30, 2020USD ($) |
2020 | $ 234,000 |
2021 | 364,000 |
2022 and thereafter | 49,000 |
Total lease payments | 647,000 |
less: Imputed interest | (192,000) |
Total lease liabilities | $ 455,000 |
Note 14 - Subsequent Events (De
Note 14 - Subsequent Events (Details Textual) - Subsequent Event [Member] - USD ($) | 1 Months Ended | ||
Aug. 19, 2020 | Jul. 31, 2020 | Jul. 17, 2020 | |
Common Stock [Member] | |||
Conversion of Stock, Shares Issued (in shares) | 276,600 | ||
Stock Issued During Period, Shares, Issued for Interest (in shares) | 11,000 | ||
Convertible Preferred Stock [Member] | |||
Conversion of Stock, Shares Converted (in shares) | 27,660 | ||
Interest Rate on Convertible Shares | 8.00% | ||
Warrants Issued in Conjuction With Equity Financing [Member] | Tradigital Marketing Group [Member] | |||
Class of Warrant or Right, Exercised During Period (in shares) | 250,000 | ||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights (in shares) | 171,000 | ||
Warrants Issued in Conjuction With Equity Financing [Member] | Garden State Securities [Member] | |||
Class of Warrant or Right, Exercised During Period (in shares) | 250,000 | ||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights (in shares) | 161,000 | ||
PNC Agreements [Member] | PNC [Member] | |||
Minimum Commitmnet for Equity Funding | $ 3,000,000 |