TeraWulf (WULF) 10-Q 14 May 14 2014 Q1 Quarterly report Financial data

Document_and_Entity_Informatio

Document and Entity Information	3 Months Ended
	Mar. 31, 2014	1-May-14
Document and Entity Information	'	'
Entity Registrant Name	'IKONICS CORP	'
Entity Central Index Key	'0001083301	'
Document Type	'10-Q	'
Document Period End Date	31-Mar-14	'
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	'	2,014,253
Document Fiscal Year Focus	'2014	'
Document Fiscal Period Focus	'Q1	'

CONDENSED_BALANCE_SHEETS

CONDENSED BALANCE SHEETS (USD $)	Mar. 31, 2014	Dec. 31, 2013
CURRENT ASSETS:	'	'
Cash and cash equivalents	$2,143,245	$1,704,300
Short-term investments	1,260,071	1,464,878
Trade receivables, less allowance of $46,000 in 2014 and $62,000 in 2013	2,213,073	2,050,853
Inventories	2,888,597	2,554,942
Prepaid expenses and other assets	162,391	103,687
Income taxes receivable	'	16,400
Deferred income taxes	150,000	150,000
Total current assets	8,817,377	8,045,060
PROPERTY, PLANT, AND EQUIPMENT, at cost:	'	'
Land and building	6,123,890	6,123,890
Machinery and equipment	3,877,477	3,781,282
Office equipment	725,229	722,567
Vehicles	237,341	237,194
Gross property, plant, and equipment, at cost	10,963,937	10,864,933
Less accumulated depreciation	5,372,156	5,230,837
Net property, plant, and equipment, at cost	5,591,781	5,634,096
INTANGIBLE ASSETS, less accumulated amortization of $179,586 in 2014 and $173,143 in 2013	332,852	322,647
Total assets	14,742,010	14,001,803
CURRENT LIABILITIES:	'	'
Accounts payable	878,692	532,294
Accrued compensation	327,943	274,936
Other accrued liabilities	102,099	67,755
Income taxes payable	77,601	'
Total current liabilities	1,386,335	874,985
DEFERRED INCOME TAXES	527,000	527,000
Total liabilities	1,913,335	1,401,985
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 2,014,253 shares in 2014 and 2,012,170 shares in 2013	201,425	201,217
Additional paid-in capital	2,615,772	2,592,038
Retained earnings	10,011,478	9,806,563
Total stockholders' equity	12,828,675	12,599,818
Total liabilities and stockholders' equity	$14,742,010	$14,001,803

CONDENSED_BALANCE_SHEETS_Paren

CONDENSED BALANCE SHEETS (Parenthetical) (USD $)	Mar. 31, 2014	Dec. 31, 2013
CONDENSED BALANCE SHEETS	'	'
Trade receivables, allowance (in dollars)	$46,000	$62,000
INTANGIBLE ASSETS, accumulated amortization (in dollars)	$179,586	$173,143
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	2,014,253	2,012,170
Common stock, shares outstanding	2,014,253	2,012,170

CONDENSED_STATEMENTS_OF_OPERAT

CONDENSED STATEMENTS OF OPERATIONS (USD $)	3 Months Ended
	Mar. 31, 2014	Mar. 31, 2013
CONDENSED STATEMENTS OF OPERATIONS	'	'
NET SALES	$4,464,577	$4,022,272
COST OF GOODS SOLD	2,705,424	2,558,013
GROSS PROFIT	1,759,153	1,464,259
SELLING, GENERAL AND ADMINISTRATIVE EXPENSES	1,300,650	1,465,546
RESEARCH AND DEVELOPMENT EXPENSES	143,330	172,515
INCOME (LOSS) FROM OPERATIONS	315,173	-173,802
INTEREST INCOME	1,958	2,215
INCOME (LOSS) BEFORE INCOME TAXES	317,131	-171,587
INCOME TAX EXPENSE (BENEFIT)	112,216	-83,837
NET INCOME (LOSS)	$204,915	($87,750)
INCOME (LOSS) PER COMMON SHARE:	'	'
Basic (in dollars per share)	$0.10	($0.04)
Diluted (in dollars per share)	$0.10	($0.04)
WEIGHTED AVERAGE COMMON SHARES OUTSTANDING:	'	'
Basic (in shares)	2,012,765	2,000,555
Diluted (in shares)	2,015,992	2,000,555

CONDENSED_STATEMENTS_OF_CASH_F

CONDENSED STATEMENTS OF CASH FLOWS (USD $)	3 Months Ended
	Mar. 31, 2014	Mar. 31, 2013
CASH FLOWS FROM OPERATING ACTIVITIES:	'	'
Net income (loss)	$204,915	($87,750)
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:	'	'
Depreciation	158,576	135,123
Amortization	6,443	13,537
Stock based compensation	2,553	2,617
Deferred income taxes	'	65,000
Changes in operating assets and liabilities:	'	'
Trade receivables	-162,220	-124,341
Inventories	-333,655	-286,326
Prepaid expenses and other assets	-58,704	-27,766
Income taxes receivable	16,400	-72,207
Accounts payable	346,398	148,885
Accrued liabilities	87,351	59,925
Income taxes payable	85,940	-74,275
Net cash provided by (used in) operating activities	353,997	-247,578
CASH FLOWS FROM INVESTING ACTIVITIES:	'	'
Purchases of property, plant and equipment	-123,852	-207,453
Proceeds from sale of equipment and vehicles	7,591	'
Purchases of intangibles	-16,648	-35,840
Purchases of short-term investments	-350,000	-204,806
Proceeds from maturity of short-term investments	554,807	203,483
Net cash provided by (used in) investing activities	71,898	-244,616
CASH FLOWS FROM FINANCING ACTIVITIES:	'	'
Proceeds from exercise of stock options	13,050	40,997
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS	438,945	-451,197
CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD	1,704,300	967,943
CASH AND CASH EQUIVALENTS AT END OF PERIOD	2,143,245	516,746
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION	'	'
Cash received (paid) for income taxes, net of taxes paid of $10,671 in 2013	($9,876)	$2,355

CONDENSED_STATEMENTS_OF_CASH_F1

CONDENSED STATEMENTS OF CASH FLOWS (Parenthetical) (USD $)	3 Months Ended
	Mar. 31, 2013
CONDENSED STATEMENTS OF CASH FLOWS	'
Income taxes, paid	$10,671

Basis_of_Presentation

Basis of Presentation	3 Months Ended
	Mar. 31, 2014
Basis of Presentation	'
Basis of Presentation	'
	1.                                      Basis of Presentation
	The balance sheet of IKONICS Corporation (the “Company”) as of March 31, 2014, and the related statements of operations and cash flows for the three months ended March 31, 2014 and 2013 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 March 31, 2014, 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, 2013.
	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	3 Months Ended
	Mar. 31, 2014
Short-Term Investments	'
Short-Term Investments	'
	2.                                      Short-Term Investments
	The Company’s $1,260,000 of short-term investments at March 31, 2014 is comprised of fully insured certificates of deposit with original maturities ranging from six to twelve months and interest rates ranging from 0.3% to 1.0%.

Inventories

Inventories	3 Months Ended
	Mar. 31, 2014
Inventories	'
Inventories	'
	3.                                      Inventories
	The major components of inventory are as follows:
		Mar 31, 2014			Dec 31, 2013
	Raw materials	$	2,133,757		$	1,952,398
	Work-in-progress	362,568			389,501
	Finished goods	1,658,622			1,461,264
	Reduction to LIFO cost	(1,266,350		)	(1,248,221		)
	Total Inventory	$	2,888,597		$	2,554,942

Earnings_Per_Common_Share_EPS

Earnings Per Common Share (EPS)	3 Months Ended
	Mar. 31, 2014
Earnings Per Common Share (EPS)	'
Earnings Per Common Share (EPS)	'
	4.                                      Earnings Per Common Share (EPS)
	Basic EPS is calculated using net income (loss) 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
		Mar 31, 2014	Mar 31, 2013
	Weighted average common shares outstanding	2,012,765	2,000,555
	Dilutive effect of stock options	3,227	—
	Weighted average common and common equivalent shares outstanding	2,015,992	2,000,555
	If the Company was in a net income position in the first quarter of 2013, 14,252 options with a weighted average exercise price of $7.19 would have been included as part of the weighted average common and common equivalent shares outstanding as the options would have been dilutive.   There were no anti-dilutive options for the three months ended March 31, 2014.

Stockbased_Compensation

Stock-based Compensation	3 Months Ended
	Mar. 31, 2014
Stock-based Compensation	'
Stock-based Compensation	'
	5.                                      Stock-based Compensation
	The Company has a stock incentive plan for the issuance of up to 442,750 shares of common stock.  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 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.   A total of 117,239 shares of common stock are reserved and available for additional grants of equity awards under the plan at March 31, 2014.
	The Company charged compensation cost of approximately $2,600 against income for the three months ended March 31, 2014 and 2013.   As of March 31, 2014, there was approximately $16,000 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 month periods ended March 31, 2014 and 2013.  The Company’s APIC pool totaled approximately $111,000 at each of March 31, 2014 and December 31, 2013.
	Proceeds from the exercise of stock options were approximately $13,000 for the three months ended March 31, 2014 and $41,000 for the three months ended March 31, 2013.
	Stock option activity during the three months ended March 31, 2014 was as follows:
		Shares		Weighted
				Average
				Exercise
				Price
	Outstanding at beginning of period	11,417		$	8.87
	Exercised	(2,083	)	6.26
	Forfeited	(1,666	)	7.77
	Outstanding at March 31, 2014	7,668		9.82
	Exercisable at March 31, 2014	2,083		6.87
	The aggregate intrinsic value of all options outstanding and for those exercisable at March 31, 2014 was approximately $75,800 and $26,700, respectively.

Segment_Information

Segment Information	3 Months Ended
	Mar. 31, 2014
Segment Information	'
Segment Information	'
	6.                                      Segment Information
	The Company’s reportable segments are strategic business units that offer different products or 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 2013, the Company began to report DTX and Micro-Machining as separate segments.  The accounting policies applied to determine the segment information are the same as those described in the Company’s Annual Report on Form 10-K for the year ended December 31, 2013.
	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 March 31, 2014:
								IKONICS						Micro-
		Domestic			Export			Imaging		DTX				Machining			Unalloc.			Total
	Net sales	$	1,510,164		$	1,186,713		$	1,561,804	$	112,517			$	93,379		$	—		$	4,464,577
	Cost of goods sold	883,104			874,901			655,999		79,763				211,657			—			2,705,424
	Gross profit (loss)	627,060			311,812			905,805		32,754				(118,278		)	—			1,759,153
	Selling general and adminstrative*	296,351			124,128			244,348		35,209				112,255			488,359			1,300,650
	Research and development*	—			—			—		—				—			143,330			143,330
	Income (loss) from operations	$	330,709		$	187,684		$	661,457	$		(2,455	)	$	(230,533	)	$	(631,689	)	$	315,173
	For the three months ended March 31, 2013:
								IKONICS					Micro-
		Domestic			Export			Imaging		DTX			Machining			Unalloc.		Total
	Net sales	$	1,516,271		$	1,441,459		$	843,471	$	101,258		$	119,813		—		$	4,022,272
	Cost of goods sold	905,158			1,105,090			413,749		14,762			119,254			—		2,558,013
	Gross profit (loss)	611,113			336,369			429,722		86,496			559			—		1,464,259
	Selling general and adminstrative*	342,637			153,746			281,438		104,097			101,621			482,007		1,465,546
	Research and development*	—			—			—		—			—			172,515		172,515
	Income (loss) from operations	$	268,476		$	182,623		$	148,284	$	(17,601	)	$	(101,062	)	(654,522	)	$	(173,802	)
	*  The Company does not allocate all general and administrative expenses or any research and development expenses to its operating segments for internal reporting.
	Accounts receivable by segment as of March 31, 2014 and December 31, 2013 were as follows:
		Mar 31, 2014			Dec 31, 2013
	Domestic	$	867,803		$	1,012,057
	Export	734,440			667,343
	IKONICS Imaging	524,719			339,537
	DTX	52,693			26,910
	Micro-Machining	46,000			40,222
	Unallocated	(12,582		)	(35,216		)
	Total	$	2,213,073		$	2,050,853

SelfFunded_Medical_Insurance

Self-Funded Medical Insurance	3 Months Ended
	Mar. 31, 2014
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 $55,000 as of March 31, 2014 and December 31, 2013, respectively and is included within other accrued expenses in the balance sheets.

Income_Taxes

Income Taxes	3 Months Ended
	Mar. 31, 2014
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 March 31, 2014 and 2013, 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 2010, 2011, 2012, and 2013.

Inventories_Tables

Inventories (Tables)	3 Months Ended
	Mar. 31, 2014
Inventories	'
Schedule of major components of inventory	'
		Mar 31, 2014			Dec 31, 2013
	Raw materials	$	2,133,757		$	1,952,398
	Work-in-progress	362,568			389,501
	Finished goods	1,658,622			1,461,264
	Reduction to LIFO cost	(1,266,350		)	(1,248,221		)
	Total Inventory	$	2,888,597		$	2,554,942

Earnings_Per_Common_Share_EPS_

Earnings Per Common Share (EPS) (Tables)	3 Months Ended
	Mar. 31, 2014
Earnings Per Common Share (EPS)	'
Schedule of shares used in the calculation of diluted EPS	'
		Three Months Ended
		Mar 31, 2014	Mar 31, 2013
	Weighted average common shares outstanding	2,012,765	2,000,555
	Dilutive effect of stock options	3,227	—
	Weighted average common and common equivalent shares outstanding	2,015,992	2,000,555

Stockbased_Compensation_Tables

Stock-based Compensation (Tables)	3 Months Ended
	Mar. 31, 2014
Stock-based Compensation	'
Stock option activity	'
		Shares		Weighted
				Average
				Exercise
				Price
	Outstanding at beginning of period	11,417		$	8.87
	Exercised	(2,083	)	6.26
	Forfeited	(1,666	)	7.77
	Outstanding at March 31, 2014	7,668		9.82
	Exercisable at March 31, 2014	2,083		6.87

Segment_Information_Tables

Segment Information (Tables)	3 Months Ended
	Mar. 31, 2014
Segment Information	'
Schedule of financial information with respect to the reportable segments	'
	For the three months ended March 31, 2014:
								IKONICS						Micro-
		Domestic			Export			Imaging		DTX				Machining			Unalloc.			Total
	Net sales	$	1,510,164		$	1,186,713		$	1,561,804	$	112,517			$	93,379		$	—		$	4,464,577
	Cost of goods sold	883,104			874,901			655,999		79,763				211,657			—			2,705,424
	Gross profit (loss)	627,060			311,812			905,805		32,754				(118,278		)	—			1,759,153
	Selling general and adminstrative*	296,351			124,128			244,348		35,209				112,255			488,359			1,300,650
	Research and development*	—			—			—		—				—			143,330			143,330
	Income (loss) from operations	$	330,709		$	187,684		$	661,457	$		(2,455	)	$	(230,533	)	$	(631,689	)	$	315,173
	For the three months ended March 31, 2013:
								IKONICS					Micro-
		Domestic			Export			Imaging		DTX			Machining			Unalloc.		Total
	Net sales	$	1,516,271		$	1,441,459		$	843,471	$	101,258		$	119,813		—		$	4,022,272
	Cost of goods sold	905,158			1,105,090			413,749		14,762			119,254			—		2,558,013
	Gross profit (loss)	611,113			336,369			429,722		86,496			559			—		1,464,259
	Selling general and adminstrative*	342,637			153,746			281,438		104,097			101,621			482,007		1,465,546
	Research and development*	—			—			—		—			—			172,515		172,515
	Income (loss) from operations	$	268,476		$	182,623		$	148,284	$	(17,601	)	$	(101,062	)	(654,522	)	$	(173,802	)
	*  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 accounts receivable by segment	'
		Mar 31, 2014			Dec 31, 2013
	Domestic	$	867,803		$	1,012,057
	Export	734,440			667,343
	IKONICS Imaging	524,719			339,537
	DTX	52,693			26,910
	Micro-Machining	46,000			40,222
	Unallocated	(12,582		)	(35,216		)
	Total	$	2,213,073		$	2,050,853

ShortTerm_Investments_Details

Short-Term Investments (Details) (Certificates of deposit, USD $)	3 Months Ended
	Mar. 31, 2014
Short-term investments	'
Fully insured certificates of deposit	1,260,000
Minimum	'
Short-term investments	'
Maturity period	'6 months
Interest rate (as a percent)	0.30%
Maximum	'
Short-term investments	'
Maturity period	'12 months
Interest rate (as a percent)	1.00%

Inventories_Details

Inventories (Details) (USD $)	Mar. 31, 2014	Dec. 31, 2013
Inventories	'	'
Raw materials	$2,133,757	$1,952,398
Work-in-progress	362,568	389,501
Finished goods	1,658,622	1,461,264
Reduction to LIFO cost	-1,266,350	-1,248,221
Total Inventory	$2,888,597	$2,554,942

Earnings_Per_Common_Share_EPS_1

Earnings Per Common Share (EPS) (Details) (USD $)	3 Months Ended
	Mar. 31, 2014	Mar. 31, 2013
Shares used in calculation of diluted EPS	'	'
Weighted average common shares outstanding	2,012,765	2,000,555
Dilutive effect of stock options	3,227	'
Weighted average common and common equivalent shares outstanding	2,015,992	2,000,555
Stock options	'	'
Anti-dilutive securities	'	'
Outstanding options to purchase shares of common stock with dilutive effect	'	14,252
Weighted average exercise price of outstanding options with dilutive effect (in dollars per share)	'	7.19
Anti-dilutive securities (in shares)	0	'

Stockbased_Compensation_Detail

Stock-based Compensation (Details) (USD $)	3 Months Ended		12 Months Ended
	Mar. 31, 2014	Mar. 31, 2013	Dec. 31, 2013
Stock options	'	'	'
Number of shares of common stock authorized for issuance	442,750	'	'
Common stock reserved for additional grants (in shares)	117,239	'	'
Excess tax benefit from exercise of stock option	$0	$0	'
Total of Company's APIC pool	111,000	'	111,000
Proceeds from the exercise of stock	13,050	40,997	'
Stock Options	'	'	'
Stock options	'	'	'
Compensation cost recognized	2,600	2,600	'
Unrecognized compensation cost	16,000	'	'
Period during which compensation cost is expected to be recognized	'3 years	'	'
Proceeds from the exercise of stock	$13,000	$41,000	'
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 $)	3 Months Ended
	Mar. 31, 2014
Stock Options	'
Shares	'
Outstanding at beginning of period (in shares)	11,417
Exercised (in shares)	-2,083
Forfeited (in shares)	-1,666
Outstanding at end of period (in shares)	7,668
Exercisable at end of period (in shares)	2,083
Weighted Average Exercise Price	'
Outstanding at beginning of period (in dollars per share)	$8.87
Exercised (in dollars per share)	$6.26
Forfeited (in dollars per share)	$7.77
Outstanding at end of period (in dollars per share)	$9.82
Exercisable at end of period (in dollars per share)	$6.87
Aggregate intrinsic value of all options outstanding	$75,800
Aggregate intrinsic value of all options exercisable	$26,700

Segment_Information_Details

Segment Information (Details) (USD $)	3 Months Ended
	Mar. 31, 2014	Mar. 31, 2013	Dec. 31, 2013
	item
Segment Reporting Information	'	'	'
Number of reportable segments	5	'	'
Financial information with respect to the reportable segments	'	'	'
Net sales	$4,464,577	$4,022,272	'
Cost of goods sold	2,705,424	2,558,013	'
GROSS PROFIT	1,759,153	1,464,259	'
Selling general and administrative	1,300,650	1,465,546	'
Research and development	143,330	172,515	'
INCOME (LOSS) FROM OPERATIONS	315,173	-173,802	'
Accounts receivable by segment	'	'	'
Accounts receivable	2,213,073	'	2,050,853
Unalloc.	'	'	'
Financial information with respect to the reportable segments	'	'	'
Selling general and administrative	488,359	482,007	'
Research and development	143,330	172,515	'
INCOME (LOSS) FROM OPERATIONS	-631,689	-654,522	'
Accounts receivable by segment	'	'	'
Accounts receivable	-12,582	'	-35,216
Domestic	'	'	'
Financial information with respect to the reportable segments	'	'	'
Net sales	1,510,164	1,516,271	'
Cost of goods sold	883,104	905,158	'
GROSS PROFIT	627,060	611,113	'
Selling general and administrative	296,351	342,637	'
INCOME (LOSS) FROM OPERATIONS	330,709	268,476	'
Accounts receivable by segment	'	'	'
Accounts receivable	867,803	'	1,012,057
Export	'	'	'
Financial information with respect to the reportable segments	'	'	'
Net sales	1,186,713	1,441,459	'
Cost of goods sold	874,901	1,105,090	'
GROSS PROFIT	311,812	336,369	'
Selling general and administrative	124,128	153,746	'
INCOME (LOSS) FROM OPERATIONS	187,684	182,623	'
Accounts receivable by segment	'	'	'
Accounts receivable	734,440	'	667,343
IKONICS Imaging	'	'	'
Financial information with respect to the reportable segments	'	'	'
Net sales	1,561,804	843,471	'
Cost of goods sold	655,999	413,749	'
GROSS PROFIT	905,805	429,722	'
Selling general and administrative	244,348	281,438	'
INCOME (LOSS) FROM OPERATIONS	661,457	148,284	'
Accounts receivable by segment	'	'	'
Accounts receivable	524,719	'	339,537
DTX	'	'	'
Financial information with respect to the reportable segments	'	'	'
Net sales	112,517	101,258	'
Cost of goods sold	79,763	14,762	'
GROSS PROFIT	32,754	86,496	'
Selling general and administrative	35,209	104,097	'
INCOME (LOSS) FROM OPERATIONS	-2,455	-17,601	'
Accounts receivable by segment	'	'	'
Accounts receivable	52,693	'	26,910
Micro-Machining	'	'	'
Financial information with respect to the reportable segments	'	'	'
Net sales	93,379	119,813	'
Cost of goods sold	211,657	119,254	'
GROSS PROFIT	-118,278	559	'
Selling general and administrative	112,255	101,621	'
INCOME (LOSS) FROM OPERATIONS	-230,533	-101,062	'
Accounts receivable by segment	'	'	'
Accounts receivable	$46,000	'	$40,222

SelfFunded_Medical_Insurance_D

Self-Funded Medical Insurance (Details) (USD $)	Mar. 31, 2014	Dec. 31, 2013
Self-Funded Medical Insurance	'	'
Total liability for self-funded medical insurance	$55,000	$55,000

Income_Taxes_Details

Income Taxes (Details) (USD $)	Mar. 31, 2014	Mar. 31, 2013
Deferred tax amounts included in balance sheet	'	'
Unrecognized tax benefits	$0	$0