TeraWulf (WULF) 10-Q 13 Nov 19 2019 Q3 Quarterly report Financial data

Document And Entity Information

Document And Entity Information - shares	9 Months Ended
	Sep. 30, 2019	Nov. 01, 2019
Document Information [Line Items]
Entity Registrant Name	IKONICS CORP
Entity Central Index Key	0001083301
Trading Symbol	iknx
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 Common Stock, Shares Outstanding (in shares)		1,976,354
Entity Shell Company	false
Document Type	10-Q
Document Period End Date	Sep. 30, 2019
Document Fiscal Year Focus	2019
Document Fiscal Period Focus	Q3
Amendment Flag	false
Title of 12(b) Security	Common Stock, par value $.10 per share

Condensed Balance Sheets (Curre

Condensed Balance Sheets (Current Period Unaudited) - USD ($)	Sep. 30, 2019	Dec. 31, 2018
CURRENT ASSETS:
Cash and cash equivalents	$ 758,739	$ 1,623,137
Short-term investments	2,450,000	2,695,000
Trade receivables, less allowance of $53,000 in 2019 and 2018	2,211,440	2,215,215
Inventories	2,573,441	2,046,588
Prepaid expenses and other assets	952,854	375,362
Income taxes receivable		2,768
Total current assets	8,946,474	8,958,070
PROPERTY, PLANT, AND EQUIPMENT, at cost:
Land and building	9,503,733	9,500,429
Machinery and equipment	5,192,854	4,964,816
Office equipment	1,604,981	1,559,728
Vehicles	245,674	245,679
Property, plant, and equipment, Gross	16,547,242	16,270,652
Less accumulated depreciation	(8,612,986)	(8,185,910)
Total property, plant and equipment at cost, net	7,934,256	8,084,742
INTANGIBLE ASSETS, less accumulated amortization of $175,049 in 2019 and $149,740 in 2018	281,504	376,406
Total assets	17,162,234	17,419,218
CURRENT LIABILITIES
Current portion of long-term debt	132,458	129,282
Accounts payable	772,520	647,528
Accrued compensation	256,426	366,900
Other accrued liabilities	944,489	159,821
Total current liabilities	2,105,893	1,303,531
LONG-TERM LIABILITIES
Long-term debt, less current portion	2,722,063	2,821,657
Deferred income taxes		183,000
Total long-term liabilities	2,722,063	3,004,657
Total liabilities	4,827,956	4,308,188
COMMITMENTS AND CONTINGENCIES
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 1,976,354 shares in 2019 and 1,983,553 in 2018.	197,635	198,355
Additional paid-in-capital	2,719,471	2,723,024
Retained earnings	9,417,172	10,189,651
Total stockholders' equity	12,334,278	13,111,030
Total liabilities and stockholders' equity	$ 17,162,234	$ 17,419,218

Condensed Balance Sheets (Cur_2

Condensed Balance Sheets (Current Period Unaudited) (Parentheticals) - USD ($)	Sep. 30, 2019	Dec. 31, 2018
Trade receivables, allowances	$ 53,000	$ 53,000
Intangible assets, accumulated amortization	$ 175,049	$ 149,740
Preferred stock, par value (in dollars per share)	$ 0.10	$ 0.10
Preferred stock, authorized (in shares)	250,000	250,000
Preferred stock, issued (in shares)	0	0
Common stock, par value (in dollars per share)	$ 0.10	$ 0.10
Common stock, shares authorized (in shares)	4,750,000	4,750,000
Common stock, share issued (in shares)	1,976,354	1,983,553
Common stock, share outstanding (in shares)	1,976,354	1,983,553

Condensed Statements of Operati

Condensed Statements of Operations (Unaudited) - USD ($)		3 Months Ended		9 Months Ended
		Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Net sales		$ 4,530,361	$ 4,651,358	$ 12,655,463	$ 13,357,013
Cost of goods sold		3,118,299	3,124,539	8,805,853	8,805,460
GROSS PROFIT		1,412,062	1,526,819	3,849,610	4,551,553
SELLING, GENERAL AND ADMINISTRATIVE EXPENSES	[1]	1,347,404	1,368,845	4,068,230	4,026,791
RESEARCH AND DEVELOPMENT EXPENSES	[1]	218,467	179,915	667,774	490,463
(LOSS) INCOME FROM OPERATIONS		(153,809)	(21,941)	(886,394)	34,299
INTEREST EXPENSE		(22,799)	(23,298)	(67,589)	(67,040)
OTHER INCOME		16,225	13,760	49,722	34,986
(LOSS) INCOME BEFORE INCOME TAXES		(160,383)	(31,479)	(904,261)	2,245
INCOME TAX EXPENSE (BENEFIT)		2,361	(6,727)	(170,775)	12,399
NET LOSS		$ (162,744)	$ (24,752)	$ (733,486)	$ (10,154)
LOSS PER COMMON SHARE
Basic (in dollars per share)		$ (0.08)	$ (0.01)	$ (0.37)	$ (0.01)
Diluted (in dollars per share)		$ (0.08)	$ (0.01)	$ (0.37)	$ (0.01)
WEIGHTED AVERAGE COMMON SHARES OUTSTANDING
Weighted average common shares outstanding (in shares)		1,978,926	1,983,553	1,981,568	1,983,553
Diluted (in shares)		1,978,926	1,983,553	1,981,568	1,983,553
[1]	The Company does not allocate all selling, general and administrative expenses or any research and development expenses to its operating segments for internal reporting.

Statements of Stockholders' Equ

Statements of Stockholders' Equity (Unaudited) - USD ($)	Common Stock [Member]	Additional Paid-in Capital [Member]	Retained Earnings [Member]	Total
BALANCE (in shares) at Dec. 31, 2017	1,983,553
BALANCE at Dec. 31, 2017	$ 198,355	$ 2,709,390	$ 10,050,186	$ 12,957,931
Net loss			(10,154)	(10,154)
Stock based compensation		10,054		10,054
BALANCE (in shares) at Sep. 30, 2018	1,983,553
BALANCE at Sep. 30, 2018	$ 198,355	2,719,444	10,040,032	12,957,831
BALANCE (in shares) at Jun. 30, 2018	1,983,553
BALANCE at Jun. 30, 2018	$ 198,355	2,715,863	10,064,784	12,979,002
Net loss			(24,752)	(24,752)
Stock based compensation		3,581		3,581
BALANCE (in shares) at Sep. 30, 2018	1,983,553
BALANCE at Sep. 30, 2018	$ 198,355	2,719,444	10,040,032	$ 12,957,831
BALANCE (in shares) at Dec. 31, 2018	1,983,553			1,983,553
BALANCE at Dec. 31, 2018	$ 198,355	2,723,024	10,189,651	$ 13,111,030
Net loss			(733,486)	(733,486)
Common stock repurchased (in shares)	(7,199)
Common stock repurchased	$ (720)	(9,883)	(38,993)	(49,596)
Stock based compensation		6,330		$ 6,330
BALANCE (in shares) at Sep. 30, 2019	1,976,354			1,976,354
BALANCE at Sep. 30, 2019	$ 197,635	2,719,471	9,417,172	$ 12,334,278
BALANCE (in shares) at Jun. 30, 2019	1,980,811
BALANCE at Jun. 30, 2019	$ 198,081	2,723,099	9,601,979	12,523,159
Net loss			(162,744)	(162,744)
Common stock repurchased (in shares)	(4,457)
Common stock repurchased	$ (446)	(6,118)	(22,063)	(28,627)
Stock based compensation		2,490		$ 2,490
BALANCE (in shares) at Sep. 30, 2019	1,976,354			1,976,354
BALANCE at Sep. 30, 2019	$ 197,635	$ 2,719,471	$ 9,417,172	$ 12,334,278

Condensed Statements of Cash Fl

Condensed Statements of Cash Flows (Unaudited) - USD ($)	9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018
CASH FLOWS FROM OPERATING ACTIVITIES:
Net loss	$ (733,486)	$ (10,154)
Adjustments to reconcile net loss to net cash (used in) provided by operating activities:
Depreciation	476,906	587,836
Amortization	33,662	27,463
Stock based compensation	6,330	10,054
Net gain on sale and disposal of property and equipment	(8,481)
Deferred income taxes	(183,000)	12,839
Loss on intangible asset abandonment	87,122
Changes in working capital components:
Trade receivables	3,775	214,519
Inventories	(526,853)	(184,825)
Prepaid expenses and other assets	(577,492)	(42,328)
Income tax receivable	2,768	(8,092)
Accounts payable	124,992	389,156
Accrued expenses	674,194	74,593
Net cash (used in) provided by operating activities	(619,563)	1,071,061
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of property and equipment	(333,535)	(501,295)
Proceeds from sales of property and equipment	15,596
Purchases of intangibles assets	(17,528)	(36,289)
Purchases of short-term investments	(4,165,000)	(4,145,000)
Proceeds on sale of short-term investments	4,410,000	4,345,000
Net cash used in investing activities	(90,467)	(337,584)
CASH FLOWS FROM FINANCING ACTIVITIES:
Payment on long-term debt	(104,772)	(103,452)
Repurchase of common stock	(49,596)
Net cash used in financing activities	(154,368)	(103,452)
NET (DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS	(864,398)	630,025
CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD	1,623,137	929,700
CASH AND CASH EQUIVALENTS AT END OF PERIOD	758,739	1,559,725
Cash paid for interest	59,889	58,084
Cash paid for income taxes, net	$ 9,457	$ 7,652

Note 1 - Basis of Presentation

Note 1 - Basis of Presentation	9 Months Ended
	Sep. 30, 2019
Notes to Financial Statements
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block]	1. Basis of Presentation The condensed balance sheet of IKONICS Corporation (the “Company”) as of September 30, 2019, three nine September 30, 2019 2018, three nine September 30, 2019 2018, nine September 30, 2019 2018, 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, 2019, 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 December 31, 2018. The results of operations for interim periods are not The Company has evaluated subsequent events occurring after the date of the financial statements for events requiring recording or disclosure in the financial statements.

Note 2 - Short-term Investments

Note 2 - Short-term Investments	9 Months Ended
	Sep. 30, 2019
Notes to Financial Statements
Cash, Cash Equivalents, and Short-term Investments [Text Block]	2. Short-Term Investments The Company’s $2.5 September 30, 2019 10 four six 1.85% 2.40%

Note 3 - Inventories

Note 3 - Inventories	9 Months Ended
	Sep. 30, 2019
Notes to Financial Statements
Inventory Disclosure [Text Block]	3. Inventories The major components of inventories as of September 30, 2019 December 31, 2018 Sep 30, 2019 Dec 31, 2018 Raw materials $ 1,747,952 $ 1,767,458 Work-in-progress 424,893 370,075 Finished goods 1,748,707 1,196,516 Reduction to LIFO cost (1,348,111 ) (1,287,461 ) Total Inventories $ 2,573,441 $ 2,046,588

Note 4 - Earnings Per Common Sh

Note 4 - Earnings Per Common Share (EPS)	9 Months Ended
	Sep. 30, 2019
Notes to Financial Statements
Earnings Per Share [Text Block]	4. Earnings Per Common Share (EPS) Basic EPS is calculated using net loss divided by the weighted average of common shares outstanding. Diluted EPS is calculated similarly 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. The options disclosed in Note 5 Shares used in the calculation of diluted EPS are summarized below: Three Months Ended Sep 30, 2019 Sep 30, 2018 Weighted average common shares outstanding 1,978,926 1,983,553 Dilutive effect of stock options — — Weighted average common and common equivalent shares outstanding 1,978,926 1,983,553 Nine Months Ended Sep 30, 2019 Sep 30, 2018 Weighted average common shares outstanding 1,981,568 1,983,553 Dilutive effect of stock options — — Weighted average common and common equivalent shares outstanding 1,981,568 1,983,553 If the Company was in a net income position for the three September 30, 2019, 19,250 $11.32 nine September 30, 2019, 3,250 $7.15, 16,000 $12.17 If the Company was in a net income position for the three nine September 30, 2018, 5,000 $8.76 13,000 $14.94

Note 5 - Stock-based Compensati

Note 5 - Stock-based Compensation	9 Months Ended
	Sep. 30, 2019
Notes to Financial Statements
Share-based Payment Arrangement [Text Block]	5. Stock-Based Compensation The Company maintains the 2019 “2019 2019 1995 "1995 April 2019. 1995 442,750 16,000 September 30, 2019. 1995 2019 102,157 1995 no Under the terms of the 2019 may 2019 102,157. 2019 750 1995 2019 2019 2019 102,907. September 30, 2019, 3,250 2019 The Company charged compensation cost of approximately $2,500 three September 30, 2019 $3,600 three September 30, 2018. first nine 2019, $6,300 $10,100 2018. September 30, 2019, $14,600 three 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 additional paid in capital and reduces income taxes payable. No nine September 30, 2019 September 30, 2018. There were 3,250 nine September 30, 2019. nine September 30, 2018, 2,750 nine September 30, 2019 2018 2019 2018 Dividend yield 0 0 Expected volatility 37.5 % 40.0 % Expected life of option (years) 5 5 Risk-free interest rate 1.7 % 2.8 % Fair value of each option on grant date $ 2.53 $ 3.38 Stock option activity during the nine September 30, 2019 Weighted Average Exercise Shares Price Outstanding at January 1, 2019 18,000 $ 13.22 Granted 3,250 7.15 Exercised — — Expired and forfeited (2,000 ) 21.69 Outstanding at September 30, 2019 19,250 $ 11.32 Exercisable at September 30, 2019 13,415 $ 12.83 The aggregate intrinsic value of all options outstanding and exercisable at September 30, 2019 $0.

Note 6 - Segment Information

Note 6 - Segment Information	9 Months Ended
	Sep. 30, 2019
Notes to Financial Statements
Segment Reporting Disclosure [Text Block]	6. Segment Information The Company’s reportable segments are strategic business units that offer different products and have varied customer bases. There are four 2019, one 2019 2019, 2019 2018 10 December 31, 2018. Management evaluates the performance of each segment based on the components of divisional income (loss). Assets and liabilities are not For the three September 30, 2019: IKONICS IKONICS Chromaline Imaging DTX AMS Unalloc. Total Net sales $ 2,869,664 $ 1,117,209 $ 84,661 $ 458,827 $ — $ 4,530,361 Cost of goods sold 2,115,702 628,325 31,217 343,055 — 3,118,299 Gross profit 753,962 488,884 53,444 115,772 — 1,412,062 Selling general and administrative* 452,592 248,780 41,866 89,597 514,569 1,347,404 Research and development* — — — — 218,467 218,467 Income (loss) from operations $ 301,370 $ 240,104 $ 11,578 $ 26,175 $ (733,036 ) $ (153,809 ) For the three September 30, 2018: IKONICS IKONICS Chromaline Imaging DTX AMS Unalloc. Total Net sales $ 3,048,495 $ 975,852 $ 158,862 $ 468,149 $ — $ 4,651,358 Cost of goods sold 2,113,448 560,337 30,279 420,475 — 3,124,539 Gross profit 935,047 415,515 128,583 47,674 — 1,526,819 Selling general and administrative* 469,854 260,025 42,922 91,876 504,168 1,368,845 Research and development* — — — — 179,915 179,915 Income (loss) from operations $ 465,193 $ 155,490 $ 85,661 $ (44,202 ) $ (684,083 ) $ (21,941 ) For the nine September 30, 2019: IKONICS IKONICS Chromaline Imaging DTX AMS Unalloc. Total Net sales $ 8,006,121 $ 3,164,143 $ 290,022 $ 1,195,177 $ — $ 12,655,463 Cost of goods sold 5,949,536 1,714,835 116,810 1,024,672 — 8,805,853 Gross profit 2,056,585 1,449,308 173,212 170,505 — 3,849,610 Selling general and administrative* 1,364,685 819,284 111,232 266,107 1,506,922 4,068,230 Research and development* — — — — 667,774 667,774 Income (loss) from operations $ 691,900 $ 630,024 $ 61,980 $ (95,602 ) $ (2,174,696 ) $ (886,394 ) For the nine September 30, 2018: IKONICS IKONICS Chromaline Imaging DTX AMS Unalloc. Total Net sales $ 8,489,197 $ 3,164,133 $ 341,850 $ 1,361,833 $ — $ 13,357,013 Cost of goods sold 5,816,275 1,693,561 89,283 1,206,341 — 8,805,460 Gross profit 2,672,922 1,470,572 252,567 155,492 — 4,551,553 Selling general and administrative* 1,336,575 789,683 110,370 274,136 1,516,027 4,026,791 Research and development* — — — — 490,463 490,463 Income (loss) from operations $ 1,336,347 $ 680,889 $ 142,197 $ (118,644 ) $ (2,006,490 ) $ 34,299 *The Company does not Trade receivables by segment as of September 30, 2019 December 31, 2018 Sep 30, 2019 Dec 31, 2018 Chromaline $ 1,450,035 $ 1,550,411 IKONICS Imaging 461,897 360,551 DTX 50,100 15,692 AMS 302,080 331,708 Unallocated (52,672 ) (43,147 ) Total $ 2,211,440 $ 2,215,215

Note 7 - Income Taxes

Note 7 - Income Taxes	9 Months Ended
	Sep. 30, 2019
Notes to Financial Statements
Income Tax Disclosure [Text Block]	7. Income Taxes The Company records its interim provision for income taxes by applying its estimated annual effective tax rate to the year-to-date pre-tax (loss) income and adjusting for discrete tax items recorded in the period. Deferred income taxes result from temporary differences between the reporting of amounts for financial statement purposes and income tax purposes. These differences relate primarily to different methods used for income tax reporting purposes, including for depreciation and amortization, warranty and vacation accruals, and deductions related to allowances for doubtful accounts receivable and inventory reserves. The provision for income taxes included current federal and state income tax expense, as well as deferred federal and state income tax expense. The effective tax rate for the three September 30, 2019 1.5%, 21.4% three September 30, 2018. $34,000. $2,000 $7,000 three September 30, 2019 2018, The effective tax rate for the nine September 30, 2019 18.9%, 552.3% nine September 30, 2018. 2018. $171,000 $12,000 nine September 30, 2019 2018, The Company recognizes the financial statement benefit of a tax position only after determining that the relevant tax authority is more-likely -than- not not 50% September 30, 2019 no Management assesses the available positive and negative evidence to estimate whether sufficient future taxable income will be generated to permit use of the existing deferred tax assets. A significant piece of objective negative evidence evaluated was the cumulative loss incurred over the three September 30, 2019. On the basis of this evaluation, as of September 30, 2019, $34,000 not no The Company is not

Note 8 - Long-term Debt

Note 8 - Long-term Debt	9 Months Ended
	Sep. 30, 2019
Notes to Financial Statements
Debt Disclosure [Text Block]	8. Long-Term Debt On April 1, 2016, $3,415,000 2016 The Company is subject to certain customary covenants set forth in the associated covenant agreement, including a requirement that the Company maintain a debt service coverage ratio as of the end of each calendar quarter of not 1.25 1.00 four September 30, 2019 not no $3.2 $2.0 September 30, 2019. In addition to the $3,415,000 $2,050,000, August 30, 2021 1.8 30 not first nine 2019 2018 no September 30, 2019 December 31, 2018. no Both the $3,415,000

Note 3 - Inventories (Tables)

Note 3 - Inventories (Tables)	9 Months Ended
	Sep. 30, 2019
Notes Tables
Schedule of Inventory, Current [Table Text Block]	Sep 30, 2019 Dec 31, 2018 Raw materials $ 1,747,952 $ 1,767,458 Work-in-progress 424,893 370,075 Finished goods 1,748,707 1,196,516 Reduction to LIFO cost (1,348,111 ) (1,287,461 ) Total Inventories $ 2,573,441 $ 2,046,588

Note 4 - Earnings Per Common _2

Note 4 - Earnings Per Common Share (EPS) (Tables)	9 Months Ended
	Sep. 30, 2019
Notes Tables
Schedule of Weighted Average Number of Shares [Table Text Block]	Three Months Ended Sep 30, 2019 Sep 30, 2018 Weighted average common shares outstanding 1,978,926 1,983,553 Dilutive effect of stock options — — Weighted average common and common equivalent shares outstanding 1,978,926 1,983,553 Nine Months Ended Sep 30, 2019 Sep 30, 2018 Weighted average common shares outstanding 1,981,568 1,983,553 Dilutive effect of stock options — — Weighted average common and common equivalent shares outstanding 1,981,568 1,983,553

Note 5 - Stock-based Compensa_2

Note 5 - Stock-based Compensation (Tables)	9 Months Ended
	Sep. 30, 2019
Notes Tables
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions [Table Text Block]	2019 2018 Dividend yield 0 0 Expected volatility 37.5 % 40.0 % Expected life of option (years) 5 5 Risk-free interest rate 1.7 % 2.8 % Fair value of each option on grant date $ 2.53 $ 3.38
Share-based Payment Arrangement, Option, Activity [Table Text Block]	Weighted Average Exercise Shares Price Outstanding at January 1, 2019 18,000 $ 13.22 Granted 3,250 7.15 Exercised — — Expired and forfeited (2,000 ) 21.69 Outstanding at September 30, 2019 19,250 $ 11.32 Exercisable at September 30, 2019 13,415 $ 12.83

Note 6 - Segment Information (T

Note 6 - Segment Information (Tables)	9 Months Ended
	Sep. 30, 2019
Notes Tables
Schedule of Segment Reporting Information, by Segment [Table Text Block]	IKONICS IKONICS Chromaline Imaging DTX AMS Unalloc. Total Net sales $ 2,869,664 $ 1,117,209 $ 84,661 $ 458,827 $ — $ 4,530,361 Cost of goods sold 2,115,702 628,325 31,217 343,055 — 3,118,299 Gross profit 753,962 488,884 53,444 115,772 — 1,412,062 Selling general and administrative* 452,592 248,780 41,866 89,597 514,569 1,347,404 Research and development* — — — — 218,467 218,467 Income (loss) from operations $ 301,370 $ 240,104 $ 11,578 $ 26,175 $ (733,036 ) $ (153,809 ) IKONICS IKONICS Chromaline Imaging DTX AMS Unalloc. Total Net sales $ 3,048,495 $ 975,852 $ 158,862 $ 468,149 $ — $ 4,651,358 Cost of goods sold 2,113,448 560,337 30,279 420,475 — 3,124,539 Gross profit 935,047 415,515 128,583 47,674 — 1,526,819 Selling general and administrative* 469,854 260,025 42,922 91,876 504,168 1,368,845 Research and development* — — — — 179,915 179,915 Income (loss) from operations $ 465,193 $ 155,490 $ 85,661 $ (44,202 ) $ (684,083 ) $ (21,941 ) IKONICS IKONICS Chromaline Imaging DTX AMS Unalloc. Total Net sales $ 8,006,121 $ 3,164,143 $ 290,022 $ 1,195,177 $ — $ 12,655,463 Cost of goods sold 5,949,536 1,714,835 116,810 1,024,672 — 8,805,853 Gross profit 2,056,585 1,449,308 173,212 170,505 — 3,849,610 Selling general and administrative* 1,364,685 819,284 111,232 266,107 1,506,922 4,068,230 Research and development* — — — — 667,774 667,774 Income (loss) from operations $ 691,900 $ 630,024 $ 61,980 $ (95,602 ) $ (2,174,696 ) $ (886,394 ) IKONICS IKONICS Chromaline Imaging DTX AMS Unalloc. Total Net sales $ 8,489,197 $ 3,164,133 $ 341,850 $ 1,361,833 $ — $ 13,357,013 Cost of goods sold 5,816,275 1,693,561 89,283 1,206,341 — 8,805,460 Gross profit 2,672,922 1,470,572 252,567 155,492 — 4,551,553 Selling general and administrative* 1,336,575 789,683 110,370 274,136 1,516,027 4,026,791 Research and development* — — — — 490,463 490,463 Income (loss) from operations $ 1,336,347 $ 680,889 $ 142,197 $ (118,644 ) $ (2,006,490 ) $ 34,299 Sep 30, 2019 Dec 31, 2018 Chromaline $ 1,450,035 $ 1,550,411 IKONICS Imaging 461,897 360,551 DTX 50,100 15,692 AMS 302,080 331,708 Unallocated (52,672 ) (43,147 ) Total $ 2,211,440 $ 2,215,215

Note 2 - Short-term Investmen_2

Note 2 - Short-term Investments (Details Textual) - USD ($)	9 Months Ended
	Sep. 30, 2019	Dec. 31, 2018
Short-term Investments, Total	$ 2,450,000	$ 2,695,000
Certificates of Deposit [Member] | Minimum [Member]
Certificate of Deposit Maturity Period	120 days
Certificate of Deposit Interest Rate	1.85%
Certificates of Deposit [Member] | Maximum [Member]
Certificate of Deposit Maturity Period	180 days
Certificate of Deposit Interest Rate	2.40%

Note 3 - Inventories - Major Co

Note 3 - Inventories - Major Components of Inventories (Details) - USD ($)	Sep. 30, 2019	Dec. 31, 2018
Raw materials	$ 1,747,952	$ 1,767,458
Work-in-progress	424,893	370,075
Finished goods	1,748,707	1,196,516
Reduction to LIFO cost	(1,348,111)	(1,287,461)
Total Inventories	$ 2,573,441	$ 2,046,588

Note 4 - Earnings Per Common _3

Note 4 - Earnings Per Common Share (EPS) (Details Textual) - Share-based Payment Arrangement, Option [Member] - $ / shares	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Antidilutive Securities Excluded from Computation Of Earnings Per Share Amount Based on Net Income Position	19,250	5,000	16,000	13,000
Share Based Compensation Arrangement by Share Based Payment Award Options With AntiDilutive Effect Weighted Average Exercise Price Based on Net Income Position	$ 11.32	$ 8.76	$ 12.17	$ 14.94
Dilutive Securities Excluded from Computation of Earnings Per Share Amount Based on Net Income Position			3,250
Share Based Compensation Arrangement by Share Based Payment Award Options with Dilutive Effect Weighted Average Exercise Price Based on Net Income Position			$ 7.15

Note 4 - Earnings Per Common _4

Note 4 - Earnings Per Common Share (EPS) - Summary of Calculation of Diluted EPS (Details) - shares	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Weighted average common shares outstanding (in shares)	1,978,926	1,983,553	1,981,568	1,983,553
Dilutive effect of stock options (in shares)
Weighted average common and common equivalent shares outstanding (in shares)	1,978,926	1,983,553	1,981,568	1,983,553

Note 5 - Stock-based Compensa_3

Note 5 - Stock-based Compensation (Details Textual) - USD ($)	3 Months Ended		5 Months Ended	9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2019	Sep. 30, 2018	Apr. 30, 2019	Dec. 31, 2018
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number, Ending Balance	19,250		19,250	19,250			18,000
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross				3,250	2,750
Share-based Payment Arrangement, Expense	$ 2,500	$ 3,600		$ 6,300	$ 10,100
Share-based Payment Arrangement, Nonvested Award, Option, Cost Not yet Recognized, Amount	14,600		$ 14,600	$ 14,600
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Period for Recognition				3 years
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period				0	0
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercisable, Intrinsic Value	$ 0		$ 0	$ 0
The 1995 Incentive Stock Option Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number, Ending Balance	16,000		16,000	16,000
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant						102,157
Share-based Compensation Arrangement by Share-based Payment Award, Options, Forfeitures in Period			750
The 2019 Equity Incentive Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant	102,907		102,907	102,907		102,157
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross				3,250
Maximum [Member] | The 1995 Incentive Stock Option Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized	442,750		442,750	442,750

Note 5 - Stock-based Compensa_4

Note 5 - Stock-based Compensation - Assumptions (Details) - Share-based Payment Arrangement, Option [Member] - $ / shares	9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018
Dividend yield	0.00%	0.00%
Expected volatility	37.50%	40.00%
Expected life of option (years) (Year)	5 years	5 years
Risk-free interest rate	1.70%	2.80%
Fair value of each option on grant date (in dollars per share)	$ 2.53	$ 3.38

Note 5 - Stock-based Compensa_5

Note 5 - Stock-based Compensation - Stock Option Activity (Details) - $ / shares	9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018
Outstanding, Shares (in shares)	18,000
Outstanding, Weighted Average Exercise Price (in dollars per share)	$ 13.22
Granted, Shares (in shares)	3,250	2,750
Granted, Weighted Average Exercise Price (in dollars per share)	$ 7.15
Exercised, Shares (in shares)	0	0
Exercised, Weighted Average Exercise Price (in dollars per share)
Expired and forfeited, Shares (in shares)	(2,000)
Expired and forfeited, Weighted Average Exercise Price (in dollars per share)	$ 21.69
Outstanding, Shares (in shares)	19,250
Outstanding, Weighted Average Exercise Price (in dollars per share)	$ 11.32
Exercisable, Shares (in shares)	13,415
Exercisable, Weighted Average Exercise Price (in dollars per share)	$ 12.83

Note 6 - Segment Information (D

Note 6 - Segment Information (Details Textual)	9 Months Ended
	Sep. 30, 2019
Number of Reportable Segments	4

Note 6 - Segment Information -

Note 6 - Segment Information - Reportable Segments (Details) - USD ($)		3 Months Ended		9 Months Ended
		Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018	Dec. 31, 2018
Net sales		$ 4,530,361	$ 4,651,358	$ 12,655,463	$ 13,357,013
Cost of goods sold		3,118,299	3,124,539	8,805,853	8,805,460
Gross profit		1,412,062	1,526,819	3,849,610	4,551,553
Selling general and administrative*	[1]	1,347,404	1,368,845	4,068,230	4,026,791
Research and development*	[1]	218,467	179,915	667,774	490,463
Income (loss) from operations		(153,809)	(21,941)	(886,394)	34,299
Trade receivables		2,211,440		2,211,440		$ 2,215,215
Segment Reconciling Items [Member]
Net sales
Cost of goods sold
Gross profit
Selling general and administrative*	[1]	514,569	504,168	1,506,922	1,516,027
Research and development*	[1]	218,467	179,915	667,774	490,463
Income (loss) from operations		(733,036)	(684,083)	(2,174,696)	(2,006,490)
Trade receivables		(52,672)		(52,672)		(43,147)
Chromaline [Member] | Operating Segments [Member]
Net sales		2,869,664	3,048,495	8,006,121	8,489,197
Cost of goods sold		2,115,702	2,113,448	5,949,536	5,816,275
Gross profit		753,962	935,047	2,056,585	2,672,922
Selling general and administrative*	[1]	452,592	469,854	1,364,685	1,336,575
Research and development*	[1]
Income (loss) from operations		301,370	465,193	691,900	1,336,347
Trade receivables		1,450,035		1,450,035		1,550,411
Ikonics Imaging [Member] | Operating Segments [Member]
Net sales		1,117,209	975,852	3,164,143	3,164,133
Cost of goods sold		628,325	560,337	1,714,835	1,693,561
Gross profit		488,884	415,515	1,449,308	1,470,572
Selling general and administrative*	[1]	248,780	260,025	819,284	789,683
Research and development*	[1]
Income (loss) from operations		240,104	155,490	630,024	680,889
Trade receivables		461,897		461,897		360,551
DTX [Member] | Operating Segments [Member]
Net sales		84,661	158,862	290,022	341,850
Cost of goods sold		31,217	30,279	116,810	89,283
Gross profit		53,444	128,583	173,212	252,567
Selling general and administrative*	[1]	41,866	42,922	111,232	110,370
Research and development*	[1]
Income (loss) from operations		11,578	85,661	61,980	142,197
Trade receivables		50,100		50,100		15,692
AMS [Member] | Operating Segments [Member]
Net sales		458,827	468,149	1,195,177	1,361,833
Cost of goods sold		343,055	420,475	1,024,672	1,206,341
Gross profit		115,772	47,674	170,505	155,492
Selling general and administrative*	[1]	89,597	91,876	266,107	274,136
Research and development*	[1]
Income (loss) from operations		26,175	$ (44,202)	(95,602)	$ (118,644)
Trade receivables		$ 302,080		$ 302,080		$ 331,708
[1]	The Company does not allocate all selling, general and administrative expenses or any research and development expenses to its operating segments for internal reporting.

Note 7 - Income Taxes (Details

Note 7 - Income Taxes (Details Textual) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Effective Income Tax Rate Reconciliation, Percent, Total	1.50%	(21.40%)	18.90%	552.30%
Tax Cuts and Jobs Act, Change in Tax Rate, Deferred Tax Asset, Income Tax Expense			$ 34,000
Income Tax Expense (Benefit), Total	$ 2,361	$ (6,727)	(170,775)	$ 12,399
Unrecognized Tax Benefits, Ending Balance	0		0
Deferred Tax Assets, Valuation Allowance, Total	$ 34,000		$ 34,000

Note 8 - Long-term Debt (Detail

Note 8 - Long-term Debt (Details Textual)	Apr. 29, 2016	Dec. 31, 2018USD ($)	Dec. 31, 2017USD ($)	Jun. 30, 2019USD ($)	Apr. 01, 2016USD ($)
Line of Credit [Member]
Line of Credit Facility, Maximum Borrowing Capacity				$ 2,050,000
Long-term Line of Credit, Total		$ 0	$ 0
Line of Credit [Member] | London Interbank Offered Rate (LIBOR) [Member]
Debt Instrument, Basis Spread on Variable Rate		1.80%
Loan [Member]
Debt Service Coverage Ratio	1.25
Amortization of Debt Issuance Costs		$ 3.20	$ 12,000
Duluth Economic Development Authority [Member]
Tax Exempt Industrial Revenue Bonds Amount Sold to Bank					$ 3,415,000