TeraWulf (WULF) 10-Q 14 Nov 13 2013 Q3 Quarterly report Financial data

Document_and_Entity_Informatio

Document and Entity Information	9 Months Ended
	Sep. 30, 2013	Oct. 31, 2013
Document and Entity Information	'	'
Entity Registrant Name	'IKONICS CORP	'
Entity Central Index Key	'0001083301	'
Document Type	'10-Q	'
Document Period End Date	30-Sep-13	'
Amendment Flag	'false	'
Current Fiscal Year End Date	'--12-31	'
Entity Current Reporting Status	'Yes	'
Entity Filer Category	'Smaller Reporting Company	'
Entity Common Stock, Shares Outstanding	'	2,008,836
Document Fiscal Year Focus	'2013	'
Document Fiscal Period Focus	'Q3	'

CONDENSED_BALANCE_SHEETS

CONDENSED BALANCE SHEETS (USD $)	Sep. 30, 2013	Dec. 31, 2012
CURRENT ASSETS:	'	'
Cash and cash equivalents	$1,179,498	$967,943
Short-term investments	1,814,878	1,442,939
Trade receivables, less allowance of $42,000 in 2013 and $43,000 in 2012	1,899,714	2,060,312
Inventories	2,515,698	2,678,864
Prepaid expenses and other assets	135,768	124,983
Income taxes receivable	91,671	'
Deferred income taxes	142,000	142,000
Total current assets	7,779,227	7,417,041
PROPERTY, PLANT, AND EQUIPMENT, at cost:	'	'
Land and building	6,110,906	6,063,965
Machinery and equipment	3,690,574	3,219,598
Office equipment	742,951	700,062
Vehicles	237,488	237,488
Gross property, plant, and equipment, at cost	10,781,919	10,221,113
Less accumulated depreciation	5,171,831	4,759,235
Net property, plant, and equipment, at cost	5,610,088	5,461,878
INTANGIBLE ASSETS, less accumulated amortization of $521,727 in 2013 and $482,107 in 2012	335,046	305,357
Total assets	13,724,361	13,184,276
CURRENT LIABILITIES:	'	'
Accounts payable	660,054	593,922
Accrued compensation	333,289	265,822
Other accrued liabilities	97,359	81,635
Income taxes payable	'	82,152
Total current liabilities	1,090,702	1,023,531
DEFERRED INCOME TAXES	431,000	366,000
Total liabilities	1,521,702	1,389,531
STOCKHOLDERS' EQUITY:	'	'
Preferred stock, par value $.10 per share; authorized 250,000 shares; issued none	'	'
Common stock, par value $.10 per share; authorized 4,750,000 shares; issued and outstanding 2,008,836 shares in 2013 and 1,998,475 shares in 2012	200,884	199,848
Additional paid-in capital	2,555,861	2,470,507
Retained earnings	9,445,914	9,124,390
Total stockholders' equity	12,202,659	11,794,745
Total liabilities and stockholders' equity	$13,724,361	$13,184,276

CONDENSED_BALANCE_SHEETS_Paren

CONDENSED BALANCE SHEETS (Parenthetical) (USD $)	Sep. 30, 2013	Dec. 31, 2012
CONDENSED BALANCE SHEETS	'	'
Trade receivables, allowance (in dollars)	$42,000	$43,000
INTANGIBLE ASSETS, accumulated amortization (in dollars)	$521,727	$482,107
Preferred stock, par value (in dollars per share)	$0.10	$0.10
Preferred stock, shares authorized	250,000	250,000
Preferred stock, shares issued	0	0
Common stock, par value (in dollars per share)	$0.10	$0.10
Common stock, shares authorized	4,750,000	4,750,000
Common stock, shares issued	2,008,836	1,998,475
Common stock, shares outstanding	2,008,836	1,998,475

CONDENSED_STATEMENTS_OF_INCOME

CONDENSED STATEMENTS OF INCOME (USD $)	3 Months Ended		9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
CONDENSED STATEMENTS OF INCOME	'	'	'	'
NET SALES	$4,217,125	$4,231,235	$12,894,142	$12,787,939
COST OF GOODS SOLD	2,575,557	2,478,358	7,904,357	7,726,216
GROSS PROFIT	1,641,568	1,752,877	4,989,785	5,061,723
SELLING, GENERAL AND ADMINISTRATIVE EXPENSES	1,330,199	1,273,286	4,124,801	3,984,854
RESEARCH AND DEVELOPMENT EXPENSES	149,864	141,186	475,791	470,165
INCOME FROM OPERATIONS	161,505	338,405	389,193	606,704
INTEREST INCOME	1,372	2,572	5,331	9,377
INCOME BEFORE INCOME TAXES	162,877	340,977	394,524	616,081
INCOME TAX EXPENSE	46,715	112,865	73,000	207,292
NET INCOME	$116,162	$228,112	$321,524	$408,789
EARNINGS PER COMMON SHARE:	'	'	'	'
Basic (in dollars per share)	$0.06	$0.11	$0.16	$0.21
Diluted (in dollars per share)	$0.06	$0.11	$0.16	$0.21
WEIGHTED AVERAGE COMMON SHARES OUTSTANDING:	'	'	'	'
Basic (in shares)	2,008,836	1,989,307	2,005,702	1,986,798
Diluted (in shares)	2,015,125	1,993,429	2,010,334	1,990,485

CONDENSED_STATEMENTS_OF_CASH_F

CONDENSED STATEMENTS OF CASH FLOWS (USD $)	9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012
CASH FLOWS FROM OPERATING ACTIVITIES:	'	'
Net income	$321,524	$408,789
Adjustments to reconcile net income to net cash provided by operating activities:	'	'
Depreciation	416,068	361,811
Amortization	39,620	41,612
Stock based compensation	10,143	13,391
Gain on disposal of property, plant and equipment	-2,979	'
Loss on intangible asset abandonment	'	22,324
Deferred income taxes	65,000	'
Changes in working capital components:	'	'
Trade receivables	160,598	-87,129
Inventories	163,166	-340,484
Prepaid expenses and other assets	-10,785	-87,101
Income taxes receivable	-91,671	59,322
Accounts payable	66,132	-43,109
Accrued expenses	83,191	127,169
Income taxes payable	-69,397	90,344
Net cash provided by operating activities	1,150,610	566,939
CASH FLOWS FROM INVESTING ACTIVITIES:	'	'
Purchases of property, plant and equipment	-585,806	-372,217
Proceeds from disposal of property, plant and equipment	24,507	'
Purchases of intangibles	-69,309	-30,386
Purchases of short-term investments	-1,814,878	-1,649,988
Proceeds on sale of short-term investments	1,442,939	1,837,699
Net cash used in investing activities	-1,002,547	-214,892
CASH FLOWS FROM FINANCING ACTIVITIES:	'	'
Proceeds from exercise of stock options	63,492	30,123
NET INCREASE IN CASH AND CASH EQUIVALENTS	211,555	382,170
CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD	967,943	1,867,165
CASH AND CASH EQUIVALENTS AT END OF PERIOD	1,179,498	2,249,335
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION	'	'
Cash paid for income taxes, net of taxes received of $13,026 in 2013 and $18,650 paid in 2012.	$169,068	$57,626

CONDENSED_STATEMENTS_OF_CASH_F1

CONDENSED STATEMENTS OF CASH FLOWS (Parenthetical) (USD $)	9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012
CONDENSED STATEMENTS OF CASH FLOWS	'	'
Income taxes, received	$13,026	'
Income taxes, paid	'	$18,650

Basis_of_Presentation

Basis of Presentation	9 Months Ended
	Sep. 30, 2013
Basis of Presentation	'
Basis of Presentation	'
	1.                                      Basis of Presentation
	The balance sheet of IKONICS Corporation (the “Company”) as of September 30, 2013, and the related statements of operations for the three and nine months ended September 30, 2013 and 2012, and cash flows for the nine months ended September 30, 2013 and 2012, have been prepared without being audited.
	In the opinion of management, these statements reflect all adjustments (consisting of only normal recurring adjustments) necessary to present fairly the financial position of IKONICS Corporation as of September 30, 2013, and the results of operations and cash flows for all periods presented.
	Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America, have been condensed or omitted.  Therefore, these statements should be read in conjunction with the financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2012.
	The results of operations for interim periods are not necessarily indicative of results that will be realized for the full fiscal year.

ShortTerm_Investments

Short-Term Investments	9 Months Ended
	Sep. 30, 2013
Short-Term Investments	'
Short-Term Investments	'
	2.                                      Short-Term Investments
	The Company’s short-term investments of approximately $1,815,000 at September 30, 2013 are comprised of fully insured certificates of deposit with original maturities ranging from three to twelve months and interest rates ranging from 0.2% to 1.0%.

Inventories

Inventories	9 Months Ended
	Sep. 30, 2013
Inventories	'
Inventories	'
	3.                                      Inventories
	The major components of inventories are as follows:
		30-Sep-13			31-Dec-12
	Raw materials	$	2,060,334		$	2,072,540
	Work-in-progress	408,041			373,512
	Finished goods	1,296,047			1,478,444
	Reduction to LIFO cost	(1,248,724		)	(1,245,632		)
	Total Inventory	$	2,515,698		$	2,678,864

Earnings_Per_Common_Share_EPS

Earnings Per Common Share (EPS)	9 Months Ended
	Sep. 30, 2013
Earnings Per Common Share (EPS)	'
Earnings Per Common Share (EPS)	'
	4.                                      Earnings Per Common Share (EPS)
	Basic EPS is calculated using net income divided by the weighted average of common shares outstanding.  Diluted EPS is similar to Basic EPS except that the weighted average number of common shares outstanding is increased to include the number of additional common shares that would have been outstanding if the potential dilutive common shares, such as those shares subject to options, had been issued.
	Shares used in the calculation of diluted EPS are summarized below:
		Three Months Ended
		30-Sep-13	30-Sep-12
	Weighted average common shares outstanding	2,008,836	1,989,307
	Dilutive effect of stock options	6,289	4,122
	Weighted average common and common equivalent shares outstanding	2,015,125	1,993,429
		Nine Months Ended
		30-Sep-13	30-Sep-12
	Weighted average common shares outstanding	2,005,702	1,986,798
	Dilutive effect of stock options	4,632	3,687
	Weighted average common and common equivalent shares outstanding	2,010,334	1,990,485
	There were no anti-dilutive options outstanding during the three and nine months ended September 30, 2013 and 2012.

StockBased_Compensation

Stock-Based Compensation	9 Months Ended
	Sep. 30, 2013
Stock-Based Compensation	'
Stock-Based Compensation	'
	5.                                      Stock-Based Compensation
	The Company maintains a stock incentive plan which authorizes the issuance of up to 442,750 shares of common stock. Of those shares, 14,751 were subject to outstanding options and 115,573 were reserved for future grants at September 30, 2013.  The plan provides for granting eligible participants stock options or other stock awards, as described by the plan, at option prices ranging from 85% to 110% of fair market value at the date of grant.  Options granted expire up to seven years after the date of grant.  Such options generally become exercisable over a one to three year period.
	The Company charged compensation cost of approximately $3,800 against income for the three months ended September 30, 2013 and approximately $4,400 for the three months ended September 30, 2012.  For the first nine months of 2013, the Company charged compensation cost of approximately $10,100 against income and approximately $13,400 for the same period in 2012.  As of September 30, 2013, there was approximately $24,000 of unrecognized compensation cost related to unvested share-based compensation awards granted.  That cost is expected to be recognized over the next three years.
	The Company receives a tax deduction for certain stock option exercises during the period in which the options are exercised, generally for the excess of the market price at the time the stock options are exercised over the exercise price of the options, which increases the APIC pool, which is the amount that represents the pool of excess tax benefits available to absorb tax shortages.  There were no excess tax benefits recognized during the three or nine month periods ended September 30, 2013 and 2012.  The Company’s APIC pool totaled approximately $111,000 at September 30, 2013 and December 31, 2012.
	Proceeds from the exercise of stock options were approximately $63,000 and $30,000 for the nine months ended September 30, 2013 and 2012, respectively.
	The fair value of options granted during the nine months ended September 30, 2013 and 2012 was estimated using the Black-Scholes option pricing model with the following assumptions:
		2013			2012
	Dividend yield	0		%	0		%
	Expected volatility	43.9		%	41.8		%
	Expected life of option	Five Years			Five Years
	Risk-free interest rate	0.7		%	0.8		%
	Fair value of each option on grant date	$	4.72		$	2.73
	There were 4,250 and 750 options granted during the nine months ended September 30, 2013 and 2012, respectively.
	Stock option activity during the nine months ended September 30, 2013 was as follows:
				Weighted
				Average
				Exercise
		Shares		Price
	Outstanding at beginning of period	21,362		$	6.72
	Granted	4,250		12.56
	Exercised	(10,361	)	6.13
	Expired and forfeited	(500	)	12.56
	Outstanding at September 30, 2013	14,751		8.62
	Exercisable at September 30, 2013	7,499		7.1
	The aggregate intrinsic value of all options outstanding and for those exercisable at September 30, 2013 was approximately $79,000 and $52,000, respectively.

Segment_Information

Segment Information	9 Months Ended
	Sep. 30, 2013
Segment Information	'
Segment Information	'
	6.                                      Segment Information
	The Company’s reportable segments are strategic business units that offer different products and have varied customer bases.  There are five reportable segments:  Domestic, Export, IKONICS Imaging, Digital Texturing (DTX) and Micro-Machining.  Domestic sells screen printing film, emulsions, and inkjet receptive film to distributors located in the United States and Canada.  IKONICS Imaging sells photo resistant film, art supplies, glass, metal medium and related abrasive etching equipment to end user customers located in the United States and Canada.  Micro-Machining provides sound deadening technology to the aerospace industry along with products and services for etched composites, ceramics, glass and silicon wafers.  DTX includes products and customers related to patented and proprietary inkjet technology used for mold texturing.  Export sells primarily the same products as Domestic and the IKONICS Imaging products not related to Micro-Machining or DTX.  In previous periods, the segment designated as Other included both Micro-Machining and DTX.  Beginning in the third quarter of 2013, the Company began to report DTX and Micro-Machining as separate segments.  The accounting policies applied to determine the segment information are consistent with those included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2012.
	Management evaluates the performance of each segment based on the components of divisional income, and does not allocate assets and liabilities to segments except for trade receivables which are allocated based on the previous segmentation.  Financial information with respect to the reportable segments follows:
	For the three months ended September 30, 2013:
							IKONICS					Micro-
		Domestic		Export			Imaging		DTX			Machining			Unalloc.			Total
	Net sales	$	1,881,210	$	1,310,281		$	874,442	$	104,339		$	46,853		$	—		$	4,217,125
	Cost of goods sold	1,048,869		967,923			414,656		20,774			123,335			—			2,575,557
	Gross profit (loss)	832,341		342,358			459,786		83,565			(76,482		)	—			1,641,568
	Selling general and adminstrative*	305,297		127,346			234,096		128,968			106,974			427,518			1,330,199
	Research and development*	—		—			—		—			—			149,864			149,864
	Income (loss) from operations	$	527,044	$	215,012		$	225,690	$	(45,403	)	$	(183,456	)	$	(577,382	)	$	161,505
	For the three months ended September 30, 2012:
							IKONICS					Micro-
		Domestic		Export			Imaging		DTX			Machining			Unalloc.			Total
	Net sales	$	1,782,944	$	1,256,669		$	958,399	$	100,879		$	132,344		$	—		$	4,231,235
	Cost of goods sold	1,009,697		920,397			426,750		9,928			111,586			—			2,478,358
	Gross profit	773,247		336,272			531,649		90,951			20,758			—			1,752,877
	Selling general and adminstrative*	283,567		141,599			284,113		144,333			69,101			350,573			1,273,286
	Research and development*	—		—			—		—			—			141,186			141,186
	Income (loss) from operations	$	489,680	$	194,673		$	247,536	$	(53,382	)	$	(48,343	)	$	(491,759	)	$	338,405
	For the nine months ended September 30, 2013:
							IKONICS					Micro-
		Domestic		Export			Imaging		DTX			Machining			Unalloc.			Total
	Net sales	$	5,401,082	$	4,249,218		$	2,641,047	$	333,656		$	269,139		$	—		$	12,894,142
	Cost of goods sold	3,057,814		3,112,063			1,316,453		57,323			360,704			—			7,904,357
	Gross profit (loss)	2,343,268		1,137,155			1,324,594		276,333			(91,565		)	—			4,989,785
	Selling general and adminstrative*	972,656		448,380			773,629		340,711			328,346			1,261,079			4,124,801
	Research and development*	—		—			—		—			—			475,791			475,791
	Income (loss) from operations	$	1,370,612	$	688,775		$	550,965	$	(64,378	)	$	(419,911	)	$	(1,736,870	)	$	389,193
	For the nine months ended September 30, 2012:
							IKONICS					Micro-
		Domestic		Export			Imaging		DTX			Machining			Unalloc.			Total
	Net sales	$	5,242,685	$	4,125,540		$	2,675,982	$	347,747		$	395,985		$	—		$	12,787,939
	Cost of goods sold	2,978,651		3,056,401			1,256,245		103,366			331,553			—			7,726,216
	Gross profit	2,264,034		1,069,139			1,419,737		244,381			64,432			—			5,061,723
	Selling general and adminstrative*	882,977		464,705			881,276		374,888			234,568			1,146,440			3,984,854
	Research and development*	—		—			—		—			—			470,165			470,165
	Income (loss) from operations	$	1,381,057	$	604,434		$	538,461	$	(130,507	)	$	(170,136	)	$	(1,616,605	)	$	606,704
	*  The Company does not allocate all general and administrative expenses or any research and development expenses to its operating segments for internal reporting.
	Trade receivables by segment as of September 30, 2013 and December 31, 2012 were as follows:
		30-Sep-13		31-Dec-12
	Domestic	$	922,029	$	928,698
	Export	649,256		708,933
	IKONICS Imaging	252,229		272,346
	DTX	45,666		117,552
	Micro-Machining	27,477		57,122
	Unallocated	3,057		(24,339		)
	Total	$	1,899,714	$	2,060,312

SelfFunded_Medical_Insurance

Self-Funded Medical Insurance	9 Months Ended
	Sep. 30, 2013
Self-Funded Medical Insurance	'
Self-Funded Medical Insurance	'
	7.                                      Self-Funded Medical Insurance
	The Company records estimates for claim liabilities based on information provided by the third-party administrators, historical claims experience, the life cycle of claims, expected costs of claims incurred but not paid, and expected costs to settle unpaid claims. The Company regularly monitors its estimated insurance-related liabilities.  Actual claims experience may differ from the Company’s estimates. Costs related to the administration of the plan and related claims are expensed as incurred. The total liability for self-funded medical insurance was $45,000 as of September 30, 2013 and $54,000 as of December 31, 2012 and is included within other accrued expenses in the consolidated balance sheets.

Income_Taxes

Income Taxes	9 Months Ended
	Sep. 30, 2013
Income Taxes	'
Income Taxes	'
	8.                                      Income Taxes
	The Company reports a liability for unrecognized tax benefits taken or expected to be taken when they are uncertain.  As of September 30, 2013 and 2012, there was no liability for unrecognized tax benefits.
	The Company is subject to taxation in the United States and various states.  The material jurisdictions that are subject to examination by tax authorities primarily include Minnesota and the United States, for tax years 2009, 2010, 2011, and 2012.

Inventories_Tables

Inventories (Tables)	9 Months Ended
	Sep. 30, 2013
Inventories	'
Schedule of major components of inventories	'
		30-Sep-13			31-Dec-12
	Raw materials	$	2,060,334		$	2,072,540
	Work-in-progress	408,041			373,512
	Finished goods	1,296,047			1,478,444
	Reduction to LIFO cost	(1,248,724		)	(1,245,632		)
	Total Inventory	$	2,515,698		$	2,678,864

Earnings_Per_Common_Share_EPS_

Earnings Per Common Share (EPS) (Tables)	9 Months Ended
	Sep. 30, 2013
Earnings Per Common Share (EPS)	'
Schedule of shares used in the calculation of diluted EPS	'
		Three Months Ended
		30-Sep-13	30-Sep-12
	Weighted average common shares outstanding	2,008,836	1,989,307
	Dilutive effect of stock options	6,289	4,122
	Weighted average common and common equivalent shares outstanding	2,015,125	1,993,429
		Nine Months Ended
		30-Sep-13	30-Sep-12
	Weighted average common shares outstanding	2,005,702	1,986,798
	Dilutive effect of stock options	4,632	3,687
	Weighted average common and common equivalent shares outstanding	2,010,334	1,990,485

StockBased_Compensation_Tables

Stock-Based Compensation (Tables)	9 Months Ended
	Sep. 30, 2013
Stock-Based Compensation	'
Assumptions used in estimating fair value of stock options	'
		2013			2012
	Dividend yield	0		%	0		%
	Expected volatility	43.9		%	41.8		%
	Expected life of option	Five Years			Five Years
	Risk-free interest rate	0.7		%	0.8		%
	Fair value of each option on grant date	$	4.72		$	2.73
Stock option activity	'
				Weighted
				Average
				Exercise
		Shares		Price
	Outstanding at beginning of period	21,362		$	6.72
	Granted	4,250		12.56
	Exercised	(10,361	)	6.13
	Expired and forfeited	(500	)	12.56
	Outstanding at September 30, 2013	14,751		8.62
	Exercisable at September 30, 2013	7,499		7.1

Segment_Information_Tables

Segment Information (Tables)	9 Months Ended
	Sep. 30, 2013
Segment Information	'
Schedule of financial information with respect to the reportable segments	'
	For the three months ended September 30, 2013:
							IKONICS					Micro-
		Domestic		Export			Imaging		DTX			Machining			Unalloc.			Total
	Net sales	$	1,881,210	$	1,310,281		$	874,442	$	104,339		$	46,853		$	—		$	4,217,125
	Cost of goods sold	1,048,869		967,923			414,656		20,774			123,335			—			2,575,557
	Gross profit (loss)	832,341		342,358			459,786		83,565			(76,482		)	—			1,641,568
	Selling general and adminstrative*	305,297		127,346			234,096		128,968			106,974			427,518			1,330,199
	Research and development*	—		—			—		—			—			149,864			149,864
	Income (loss) from operations	$	527,044	$	215,012		$	225,690	$	(45,403	)	$	(183,456	)	$	(577,382	)	$	161,505
	For the three months ended September 30, 2012:
							IKONICS					Micro-
		Domestic		Export			Imaging		DTX			Machining			Unalloc.			Total
	Net sales	$	1,782,944	$	1,256,669		$	958,399	$	100,879		$	132,344		$	—		$	4,231,235
	Cost of goods sold	1,009,697		920,397			426,750		9,928			111,586			—			2,478,358
	Gross profit	773,247		336,272			531,649		90,951			20,758			—			1,752,877
	Selling general and adminstrative*	283,567		141,599			284,113		144,333			69,101			350,573			1,273,286
	Research and development*	—		—			—		—			—			141,186			141,186
	Income (loss) from operations	$	489,680	$	194,673		$	247,536	$	(53,382	)	$	(48,343	)	$	(491,759	)	$	338,405
	For the nine months ended September 30, 2013:
							IKONICS					Micro-
		Domestic		Export			Imaging		DTX			Machining			Unalloc.			Total
	Net sales	$	5,401,082	$	4,249,218		$	2,641,047	$	333,656		$	269,139		$	—		$	12,894,142
	Cost of goods sold	3,057,814		3,112,063			1,316,453		57,323			360,704			—			7,904,357
	Gross profit (loss)	2,343,268		1,137,155			1,324,594		276,333			(91,565		)	—			4,989,785
	Selling general and adminstrative*	972,656		448,380			773,629		340,711			328,346			1,261,079			4,124,801
	Research and development*	—		—			—		—			—			475,791			475,791
	Income (loss) from operations	$	1,370,612	$	688,775		$	550,965	$	(64,378	)	$	(419,911	)	$	(1,736,870	)	$	389,193
	For the nine months ended September 30, 2012:
							IKONICS					Micro-
		Domestic		Export			Imaging		DTX			Machining			Unalloc.			Total
	Net sales	$	5,242,685	$	4,125,540		$	2,675,982	$	347,747		$	395,985		$	—		$	12,787,939
	Cost of goods sold	2,978,651		3,056,401			1,256,245		103,366			331,553			—			7,726,216
	Gross profit	2,264,034		1,069,139			1,419,737		244,381			64,432			—			5,061,723
	Selling general and adminstrative*	882,977		464,705			881,276		374,888			234,568			1,146,440			3,984,854
	Research and development*	—		—			—		—			—			470,165			470,165
	Income (loss) from operations	$	1,381,057	$	604,434		$	538,461	$	(130,507	)	$	(170,136	)	$	(1,616,605	)	$	606,704
	*  The Company does not allocate all general and administrative expenses or any research and development expenses to its operating segments for internal reporting.
Schedule of trade receivables by segment	'
		30-Sep-13		31-Dec-12
	Domestic	$	922,029	$	928,698
	Export	649,256		708,933
	IKONICS Imaging	252,229		272,346
	DTX	45,666		117,552
	Micro-Machining	27,477		57,122
	Unallocated	3,057		(24,339		)
	Total	$	1,899,714	$	2,060,312

ShortTerm_Investments_Details

Short-Term Investments (Details) (Certificates of deposit, USD $)	9 Months Ended
	Sep. 30, 2013
Short-term investments	'
Fully insured certificates of deposit	1,815,000
Minimum	'
Short-term investments	'
Maturity period	'3 months
Interest rate (as a percent)	0.20%
Maximum	'
Short-term investments	'
Maturity period	'12 months
Interest rate (as a percent)	1.00%

Inventories_Details

Inventories (Details) (USD $)	Sep. 30, 2013	Dec. 31, 2012
Inventories	'	'
Raw materials	$2,060,334	$2,072,540
Work-in-progress	408,041	373,512
Finished goods	1,296,047	1,478,444
Reduction to LIFO cost	-1,248,724	-1,245,632
Total Inventory	$2,515,698	$2,678,864

Earnings_Per_Common_Share_EPS_1

Earnings Per Common Share (EPS) (Details)	3 Months Ended		9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
Shares used in calculation of diluted EPS	'	'	'	'
Weighted average common shares outstanding	2,008,836	1,989,307	2,005,702	1,986,798
Dilutive effect of stock options	6,289	4,122	4,632	3,687
Weighted average common and common equivalent shares outstanding	2,015,125	1,993,429	2,010,334	1,990,485
Stock options	'	'	'	'
Anti-dilutive securities	'	'	'	'
Anti-dilutive securities outstanding (in shares)	0	0	0	0

StockBased_Compensation_Detail

Stock-Based Compensation (Details) (USD $)	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012	Dec. 31, 2012
Stock options	'	'	'	'	'
Number of shares of common stock authorized for issuance	442,750	'	442,750	'	'
Excess tax benefit from exercise of stock option	$0	$0	$0	$0	'
Total of Company's APIC pool	'	'	111,000	'	111,000
Proceeds from the exercise of stock	'	'	63,492	30,123	'
Stock Options	'	'	'	'	'
Stock options	'	'	'	'	'
Outstanding options (in shares)	14,751	'	14,751	'	21,362
Common stock reserved for future grants (in shares)	115,573	'	115,573	'	'
Compensation cost recognized	3,800	4,400	10,100	13,400	'
Unrecognized compensation cost	24,000	'	24,000	'	'
Period during which compensation cost is expected to be recognized	'	'	'3 years	'	'
Proceeds from the exercise of stock	'	'	$63,000	$30,000	'
Stock Options | Minimum	'	'	'	'	'
Stock options	'	'	'	'	'
Option price range(as a percent)	'	'	85.00%	'	'
Period over which options become exercisable	'	'	'1 year	'	'
Stock Options | Maximum	'	'	'	'	'
Stock options	'	'	'	'	'
Option price range(as a percent)	'	'	110.00%	'	'
Expiration period of options granted	'	'	'7 years	'	'
Period over which options become exercisable	'	'	'3 years	'	'

StockBased_Compensation_Detail1

Stock-Based Compensation (Details 2) (Stock Options, USD $)	9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012
Stock Options	'	'
Assumptions used to determine fair value of stock options granted	'	'
Dividend yield (as a percent)	0.00%	0.00%
Expected volatility (as a percent)	43.90%	41.80%
Expected life of option	'5 years	'5 years
Risk-free interest rate (as a percent)	0.70%	0.80%
Fair value of each option on grant date (in dollars per share)	$4.72	$2.73
Granted (in shares)	4,250	750
Shares	'	'
Outstanding at beginning of period (in shares)	21,362	'
Granted (in shares)	4,250	750
Exercised (in shares)	-10,361	'
Expired and forfeited (in shares)	-500	'
Outstanding at end of period (in shares)	14,751	'
Exercisable at end of period (in shares)	7,499	'
Weighted Average Exercise Price	'	'
Outstanding at beginning of period (in dollars per share)	$6.72	'
Granted (in dollars per share)	$12.56	'
Exercised (in dollars per share)	$6.13	'
Expired and forfeited (in dollars per share)	$12.56	'
Outstanding at end of period (in dollars per share)	$8.62	'
Exercisable at end of period (in dollars per share)	$7.10	'
Aggregate intrinsic value of all options outstanding	$79,000	'
Aggregate intrinsic value of all options exercisable	$52,000	'

Segment_Information_Details

Segment Information (Details) (USD $)	3 Months Ended		9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012	Dec. 31, 2012
			item
Segment Reporting Information	'	'	'	'	'
Number of reportable segments	'	'	5	'	'
Financial information with respect to the reportable segments	'	'	'	'	'
Net sales	$4,217,125	$4,231,235	$12,894,142	$12,787,939	'
Cost of goods sold	2,575,557	2,478,358	7,904,357	7,726,216	'
GROSS PROFIT	1,641,568	1,752,877	4,989,785	5,061,723	'
Selling general and administrative	1,330,199	1,273,286	4,124,801	3,984,854	'
Research and development	149,864	141,186	475,791	470,165	'
INCOME FROM OPERATIONS	161,505	338,405	389,193	606,704	'
Trade receivables by segment	'	'	'	'	'
Trade receivables	1,899,714	'	1,899,714	'	2,060,312
Unalloc.	'	'	'	'	'
Financial information with respect to the reportable segments	'	'	'	'	'
Selling general and administrative	427,518	350,573	1,261,079	1,146,440	'
Research and development	149,864	141,186	475,791	470,165	'
INCOME FROM OPERATIONS	-577,382	-491,759	-1,736,870	-1,616,605	'
Trade receivables by segment	'	'	'	'	'
Trade receivables	3,057	'	3,057	'	-24,339
Domestic	'	'	'	'	'
Financial information with respect to the reportable segments	'	'	'	'	'
Net sales	1,881,210	1,782,944	5,401,082	5,242,685	'
Cost of goods sold	1,048,869	1,009,697	3,057,814	2,978,651	'
GROSS PROFIT	832,341	773,247	2,343,268	2,264,034	'
Selling general and administrative	305,297	283,567	972,656	882,977	'
INCOME FROM OPERATIONS	527,044	489,680	1,370,612	1,381,057	'
Trade receivables by segment	'	'	'	'	'
Trade receivables	922,029	'	922,029	'	928,698
Export	'	'	'	'	'
Financial information with respect to the reportable segments	'	'	'	'	'
Net sales	1,310,281	1,256,669	4,249,218	4,125,540	'
Cost of goods sold	967,923	920,397	3,112,063	3,056,401	'
GROSS PROFIT	342,358	336,272	1,137,155	1,069,139	'
Selling general and administrative	127,346	141,599	448,380	464,705	'
INCOME FROM OPERATIONS	215,012	194,673	688,775	604,434	'
Trade receivables by segment	'	'	'	'	'
Trade receivables	649,256	'	649,256	'	708,933
IKONICS Imaging	'	'	'	'	'
Financial information with respect to the reportable segments	'	'	'	'	'
Net sales	874,442	958,399	2,641,047	2,675,982	'
Cost of goods sold	414,656	426,750	1,316,453	1,256,245	'
GROSS PROFIT	459,786	531,649	1,324,594	1,419,737	'
Selling general and administrative	234,096	284,113	773,629	881,276	'
INCOME FROM OPERATIONS	225,690	247,536	550,965	538,461	'
Trade receivables by segment	'	'	'	'	'
Trade receivables	252,229	'	252,229	'	272,346
DTX	'	'	'	'	'
Financial information with respect to the reportable segments	'	'	'	'	'
Net sales	104,339	100,879	333,656	347,747	'
Cost of goods sold	20,774	9,928	57,323	103,366	'
GROSS PROFIT	83,565	90,951	276,333	244,381	'
Selling general and administrative	128,968	144,333	340,711	374,888	'
INCOME FROM OPERATIONS	-45,403	-53,382	-64,378	-130,507	'
Trade receivables by segment	'	'	'	'	'
Trade receivables	45,666	'	45,666	'	117,552
Micro-Machining	'	'	'	'	'
Financial information with respect to the reportable segments	'	'	'	'	'
Net sales	46,853	132,344	269,139	395,985	'
Cost of goods sold	123,335	111,586	360,704	331,553	'
GROSS PROFIT	-76,482	20,758	-91,565	64,432	'
Selling general and administrative	106,974	69,101	328,346	234,568	'
INCOME FROM OPERATIONS	-183,456	-48,343	-419,911	-170,136	'
Trade receivables by segment	'	'	'	'	'
Trade receivables	$27,477	'	$27,477	'	$57,122

SelfFunded_Medical_Insurance_D

Self-Funded Medical Insurance (Details) (USD $)	Sep. 30, 2013	Dec. 31, 2012
Self-Funded Medical Insurance	'	'
Total liability for self-funded medical insurance	$45,000	$54,000

Income_Taxes_Details

Income Taxes (Details) (USD $)	Sep. 30, 2013	Sep. 30, 2012
Income Taxes	'	'
Unrecognized tax benefits	$0	$0