TeraWulf (WULF) 10-Q 12 Aug 21 2021 Q2 Quarterly report Financial data

Document And Entity Information

Document And Entity Information - shares	6 Months Ended
	Jun. 30, 2021	Aug. 09, 2021
Document Information [Line Items]
Entity Central Index Key	0001083301
Entity Registrant Name	IKONICS CORP
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Document Fiscal Period Focus	Q2
Document Fiscal Year Focus	2021
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Jun. 30, 2021
Document Transition Report	false
Entity File Number	000-25727
Entity Incorporation, State or Country Code	MN
Entity Tax Identification Number	41-0730027
Entity Address, Address Line One	4832 Grand Avenue
Entity Address, City or Town	Duluth
Entity Address, State or Province	MN
Entity Address, Postal Zip Code	55807
City Area Code	218
Local Phone Number	628-2217
Title of 12(b) Security	Common Stock, par value $.10 per share
Trading Symbol	IKNX
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		1,981,194

Condensed Balance Sheets (Curre

Condensed Balance Sheets (Current Period Unaudited) - USD ($)	Jun. 30, 2021	Dec. 31, 2020
CURRENT ASSETS:
Cash	$ 2,260,855	$ 3,693,845
Trade receivables, less allowance of $54,000 in 2021 and $55,000 in 2020	1,651,035	2,119,213
Inventories	1,607,828	1,644,975
Prepaid expenses and other assets	162,786	125,969
Income taxes receivable	30,412	219,451
Total current assets	5,712,916	7,803,453
PROPERTY, PLANT, AND EQUIPMENT, at cost:
Land and building	9,556,586	9,556,586
Machinery and equipment	5,271,367	5,263,586
Office equipment	1,420,494	1,417,219
Vehicles	245,674	245,674
Property, plant, and equipment, Gross	16,494,121	16,483,065
Less accumulated depreciation	(9,410,087)	(9,094,702)
Total property, plant and equipment at cost, net	7,084,034	7,388,363
INTANGIBLE ASSETS, less accumulated amortization of $205,697 in 2021 and $207,399 in 2020	245,832	243,583
Total assets	13,042,782	15,435,399
CURRENT LIABILITIES
Current portion of long-term debt	0	2,688,396
Accounts payable	1,521,736	459,836
Accrued compensation	466,547	279,755
Other accrued liabilities	99,774	168,066
Total current liabilities	2,088,057	3,596,053
COMMITMENTS AND CONTINGENCIES
STOCKHOLDERS' EQUITY
Preferred stock, par value $.10 per share; authorized 250,000 shares; issued none	0	0
Common stock, par value $.10 per share; authorized 4,750,000 shares; issued and outstanding 1,980,694 shares in 2021 and 1,976,354 in 2020	198,069	197,635
Additional paid-in-capital	2,902,790	2,743,930
Retained earnings	7,853,866	8,897,781
Total stockholders' equity	10,954,725	11,839,346
Total liabilities and stockholders' equity	$ 13,042,782	$ 15,435,399

Condensed Balance Sheets (Cur_2

Condensed Balance Sheets (Current Period Unaudited) (Parentheticals) - USD ($)	Jun. 30, 2021	Dec. 31, 2020
Trade receivables, allowances	$ 54,000	$ 55,000
Intangible assets, accumulated amortization	$ 205,697	$ 207,399
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)	1,980,694	1,976,354
Common stock, share outstanding (in shares)	1,980,694	1,976,354

Condensed Statements of Operati

Condensed Statements of Operations (Unaudited) - USD ($)		3 Months Ended		6 Months Ended
		Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020
Net sales		$ 4,251,348	$ 2,572,439	$ 7,324,756	$ 6,069,631
Cost of goods sold		2,822,044	2,187,544	4,899,120	4,531,504
GROSS PROFIT		1,429,304	384,895	2,425,636	1,538,127
SELLING, GENERAL AND ADMINISTRATIVE EXPENSES	[1]	1,944,502	1,202,307	3,128,093	2,983,327
RESEARCH AND DEVELOPMENT EXPENSES	[1]	128,895	201,234	263,817	384,814
LOSS FROM OPERATIONS		(644,093)	(1,018,646)	(966,274)	(1,830,014)
INTEREST EXPENSE		(82,498)	(24,623)	(102,340)	(46,107)
OTHER INCOME		5,138	1,766	5,175	8,683
LOSS BEFORE INCOME TAXES		(721,453)	(1,041,503)	(1,063,439)	(1,867,438)
INCOME TAX EXPENSE (BENEFIT)		823	0	(19,524)	(238,929)
NET LOSS		$ (722,276)	$ (1,041,503)	$ (1,043,915)	$ (1,628,509)
LOSS PER COMMON SHARE
Basic (in dollars per share)		$ (0.37)	$ (0.53)	$ (0.53)	$ (0.82)
Diluted (in dollars per share)		$ (0.37)	$ (0.53)	$ (0.53)	$ (0.82)
WEIGHTED AVERAGE COMMON SHARES OUTSTANDING
Basic (in shares)		1,977,959	1,976,354	1,977,368	1,976,354
Diluted (in shares)		1,977,959	1,976,354	1,977,368	1,976,354
[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, 2019	1,976,354
BALANCE at Dec. 31, 2019	$ 197,635	$ 2,721,962	$ 9,337,101	$ 12,256,698
Net loss	0	0	(1,628,509)	$ (1,628,509)
Exercise of stock options (in shares)				0
Stock based compensation	$ 0	7,376	0	$ 7,376
BALANCE (in shares) at Jun. 30, 2020	1,976,354
BALANCE at Jun. 30, 2020	$ 197,635	2,729,338	7,708,592	10,635,565
BALANCE (in shares) at Mar. 31, 2020	1,976,354
BALANCE at Mar. 31, 2020	$ 197,635	2,725,650	8,750,095	11,673,380
Net loss	0	0	(1,041,503)	(1,041,503)
Stock based compensation	$ 0	3,688	0	3,688
BALANCE (in shares) at Jun. 30, 2020	1,976,354
BALANCE at Jun. 30, 2020	$ 197,635	2,729,338	7,708,592	$ 10,635,565
BALANCE (in shares) at Dec. 31, 2020	1,976,354			1,976,354
BALANCE at Dec. 31, 2020	$ 197,635	2,743,930	8,897,781	$ 11,839,346
Net loss	$ 0	0	(1,043,915)	$ (1,043,915)
Exercise of stock options (in shares)	3,000			3,000
Exercise of stock options	$ 300	27,390	0	$ 27,690
Restricted stock vested (in shares)	1,340
Restricted stock vested	$ 134	(134)	0	0
Stock based compensation	$ 0	131,604	0	$ 131,604
BALANCE (in shares) at Jun. 30, 2021	1,980,694			1,980,694
BALANCE at Jun. 30, 2021	$ 198,069	2,902,790	7,853,866	$ 10,954,725
BALANCE (in shares) at Mar. 31, 2021	1,977,104
BALANCE at Mar. 31, 2021	$ 197,710	2,787,733	8,576,142	11,561,585
Net loss	$ 0	0	(722,276)	(722,276)
Exercise of stock options (in shares)	2,250
Exercise of stock options	$ 225	21,074	0	21,299
Restricted stock vested (in shares)	1,340
Restricted stock vested	$ 134	(134)	0	0
Stock based compensation	$ 0	94,117	0	$ 94,117
BALANCE (in shares) at Jun. 30, 2021	1,980,694			1,980,694
BALANCE at Jun. 30, 2021	$ 198,069	$ 2,902,790	$ 7,853,866	$ 10,954,725

Condensed Statements of Cash Fl

Condensed Statements of Cash Flows (Unaudited) - USD ($)	6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020
CASH FLOWS FROM OPERATING ACTIVITIES:
Net loss	$ (1,043,915)	$ (1,628,509)
Adjustments to reconcile net loss to net cash provided by (used in) operating activities:
Depreciation	315,385	335,435
Amortization	98,548	18,452
Stock based compensation	131,604	7,376
Net gain on sale and disposal of equipment	0	(2,324)
Loss on intangible asset abandonment	0	16,906
Changes in working capital components:
Trade receivables	468,178	1,020,699
Inventories	37,147	(501,404)
Prepaid expenses and other assets	(36,817)	749,076
Income tax receivable	189,039	(247,011)
Accounts payable	1,061,900	(446,417)
Accrued expenses	118,500	(511,614)
Net cash provided by (used in) operating activities	1,339,569	(1,189,335)
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of property equipment	(11,056)	(149,916)
Proceeds from sales of equipment	0	18,297
Purchases of intangible assets	(15,958)	(12,483)
Proceeds on sale of short-term investments	0	2,205,000
Net cash (used in) provided by investing activities	(27,014)	2,060,898
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from paycheck protection program loan	0	1,214,500
Payment on long-term debt	(2,773,235)	(71,603)
Proceeds from exercise of stock options	27,690	0
Net cash (used in) provided by financing activities	(2,745,545)	1,142,897
NET (DECREASE) INCREASE IN CASH	(1,432,990)	2,014,460
CASH AT BEGINNING OF PERIOD	3,693,845	963,649
CASH AT END OF PERIOD	2,260,855	2,978,109
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION
Cash paid for interest	24,089	37,998
Net cash received (paid for) income taxes, net	$ 208,562	$ (8,082)

Note 1 - Basis of Presentation

Note 1 - Basis of Presentation	6 Months Ended
	Jun. 30, 2021
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 June 30, 2021, three six June 30, 2021 2020, three six June 30, 2021 2020, six June 30, 2021 2020, 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 June 30, 2021, 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, 2020. The results of operations for interim periods are not The Company relies on cash flow generated from operations and available borrowings under its bank line of credit to fund its working capital and other operating and investing needs. The Company’s ability to borrow under the bank line of credit is based on its ability to continue to renew the maturity date of the bank line of credit. The global, regional and local spread of COVID- 19 19 may not 19 Based on the Company’s current cash position, and expected future cash flows, the Company believes it will have sufficient cash to fund its operations beyond twelve Definitive Transaction Agreement with TeraWulf, Inc. On June 25, 2021, Upon consummation of the Transaction, each outstanding share of the Company’s common stock will receive $5.00 not 18 18 not Following consummation of the Transaction, the legacy business of IKONICS will be operated consistent with past practices but will be positioned for sale on terms that are acceptable to the board of directors of the combined company. The Transaction is expected to close in the second 2021, The Agreement contains certain termination rights for both IKONICS and TeraWulf, including if the Transaction is not December 31, 2021. The Agreement provides that the Company will be obligated to pay TeraWulf a termination fee of $1.2 million, and TeraWulf will be obligated to pay the Company a termination fee of $10.0 million, if the Agreement is terminated under certain circumstances. The Agreement does not In the second 2021, On August 3, 2021, one Stein v. Ikonics Corporation, et al. No. 1:21 6550 August 11, 2021, No. 1:21 04514. 14 20 1934 4 July 30, 2021 not no may

Note 2 - Inventories

Note 2 - Inventories	6 Months Ended
	Jun. 30, 2021
Notes to Financial Statements
Inventory Disclosure [Text Block]	2. Inventories The major components of inventories as of June 30, 2021 December 31, 2020 Jun 30, 2021 Dec 31, 2020 Raw materials $ 1,286,151 $ 1,323,655 Work-in-progress 399,738 428,753 Finished goods 1,140,543 1,065,458 Reduction to LIFO cost (1,218,604 ) (1,172,891 ) Total Inventories $ 1,607,828 $ 1,644,975

Note 3 - Earnings Per Common Sh

Note 3 - Earnings Per Common Share (EPS)	6 Months Ended
	Jun. 30, 2021
Notes to Financial Statements
Earnings Per Share [Text Block]	3. 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 and restricted stock units disclosed in Note 4 Shares used in the calculation of diluted EPS are summarized below: Three Months Ended Jun 30, 2021 Jun 30, 2020 Weighted average common shares outstanding 1,977,959 1,976,354 Dilutive effect of stock options and restricted stock units — — Weighted average common and common equivalent shares outstanding 1,977,959 1,976,354 Six Months Ended Jun 30, 2021 Jun 30, 2020 Weighted average common shares outstanding 1,977,368 1,976,354 Dilutive effect of stock options and restricted stock units — — Weighted average common and common equivalent shares outstanding 1,977,368 1,976,354 If the Company was in a net income position for the three six June 30, 2021, If the Company was in a net income position for the three six June 30, 2021, If the Company was in a net income position for the three six June 30, 2020,

Note 4 - Stock-based Compensati

Note 4 - Stock-based Compensation	6 Months Ended
	Jun. 30, 2021
Notes to Financial Statements
Share-based Payment Arrangement [Text Block]	4. Stock-Based Compensation The Company maintains the 2019 “2019 2019 1995 "1995 April 2019. 1995 June 30, 2021. 1995 2019 1995 no Under the terms of the 2019 may 2019 102,157. 2019 1995 2019 2019 June 30, 2021, 2019 2019 The Company charged compensation cost of approximately $131,600 against the loss for the six June 30, 2021 six June 30, 2020. June 30, 2021, four 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. Proceeds from the exercise of 3,000 stock options with an intrinsic value of approximately $24,000 were approximately $27,700 for the six June 30, 2021. six June 30, 2020. There were 10,000 options granted during the six June 30, 2021 2020. six June 30, 2021 2020 2021 2020 Dividend yield — — Expected volatility 51.6 % 40.3 % Expected life of option (years) 10 10 Risk-free interest rate 0.5 % 1.4 % Fair value of each option on grant date $ 6.84 $ 2.90 Stock option activity during the six June 30, 2021 Weighted Average Exercise Shares Price Outstanding at January 1, 2021 17,500 $ 6.97 Granted 10,000 11.50 Exercised (3,000 ) 9.23 Expired and forfeited (1,000 ) 10.75 Outstanding at June 30, 2021 23,500 $ 8.45 Exercisable at June 30, 2021 5,165 $ 6.54 The aggregate intrinsic value of all options outstanding and for those exercisable at June 30, 2021 There were 36,550 RSUs granted during the six June 30, 2021. four six June 30, 2020. RSU activity during the six June 30, 2021 Weighted Average Number of Grant Date Shares Fair Value Unvested shares at January 1, 2021 54,300 $ 6.11 Granted 36,550 11.01 Vested (1,340 ) 11.30 Forfeited or surrendered (2,400 ) 6.11 Unvested shares at June 30, 2021 87,110 8.09

Note 5 - Segment Information

Note 5 - Segment Information	6 Months Ended
	Jun. 30, 2021
Notes to Financial Statements
Segment Reporting Disclosure [Text Block]	5. Segment Information The Company’s reportable segments are strategic business units that offer different products and have varied customer bases. There are four reportable segments: Chromaline, IKONICS Imaging, Digital Texturing (DTX) and Advanced Material Solutions (AMS). Chromaline sells screen printing film, emulsions, and inkjet receptive film primarily to distributors and some end users. IKONICS Imaging sells photo resistant film, art supplies, glass, and related abrasive etching equipment to both end users and distributors. AMS provides sound deadening and weight reduction 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 and prototyping. The accounting policies applied to determine the segment information are the same as those described in the Company’s Annual Report on Form 10 December 31, 2020. Management evaluates the performance of each segment based on the components of divisional income (loss). Assets and liabilities are not For the three June 30, 2021: IKONICS IKONICS Chromaline Imaging DTX AMS Unalloc. Total Net sales $ 2,653,733 $ 1,264,855 $ 85,444 $ 247,316 $ — $ 4,251,348 Cost of goods sold 1,905,738 644,071 34,260 237,975 — 2,822,044 Gross profit 747,995 620,784 51,184 9,341 — 1,429,304 Selling general and administrative* 289,928 259,219 32,001 58,869 1,304,485 1,944,502 Research and development* — — — — 128,895 128,895 Income (loss) from operations $ 458,067 $ 361,565 $ 19,183 $ (49,528 ) $ (1,433,380 ) $ (644,093 ) For the three June 30, 2020: IKONICS IKONICS Chromaline Imaging DTX AMS Unalloc. Total Net sales $ 1,619,986 $ 625,800 $ 49,053 $ 277,600 $ — $ 2,572,439 Cost of goods sold 1,407,362 419,985 24,346 335,851 — 2,187,544 Gross profit (loss) 212,624 205,815 24,707 (58,251 ) — 384,895 Selling general and administrative* 366,136 224,573 30,059 57,035 524,504 1,202,307 Research and development* — — — — 201,234 201,234 Loss from operations $ (153,512 ) $ (18,758 ) $ (5,352 ) $ (115,286 ) $ (725,738 ) $ (1,018,646 ) For the six June 30, 2021: IKONICS IKONICS Chromaline Imaging DTX AMS Unalloc. Total Net sales $ 4,352,414 $ 2,351,456 $ 161,755 $ 459,131 $ — $ 7,324,756 Cost of goods sold 3,140,523 1,193,726 77,052 487,819 — 4,899,120 Gross profit (loss) 1,211,891 1,157,730 84,703 (28,688 ) — 2,425,636 Selling general and administrative* 547,930 475,755 62,040 117,490 1,924,878 3,128,093 Research and development* — — — — 263,817 263,817 Income (loss) from operations $ 663,961 $ 681,975 $ 22,663 $ (146,178 ) $ (2,188,695 ) $ (966,274 ) For the six June 30, 2020: IKONICS IKONICS Chromaline Imaging DTX AMS Unalloc. Total Net sales $ 3,584,326 $ 1,595,899 $ 161,582 $ 727,824 $ — $ 6,069,631 Cost of goods sold 2,825,631 897,708 76,092 732,073 — 4,531,504 Gross profit (loss) 758,695 698,191 85,490 (4,249 ) — 1,538,127 Selling general and administrative* 792,355 503,435 64,432 160,144 1,462,961 2,983,327 Research and development* — — — — 384,814 384,814 Income (loss) from operations $ (33,660 ) $ 194,756 $ 21,058 $ (164,393 ) $ (1,847,775 ) $ (1,830,014 ) *The Company does not Trade receivables by segment as of June 30, 2021 December 31, 2020 Jun 30, 2021 Dec 31, 2020 Chromaline $ 1,150,630 $ 1,676,592 IKONICS Imaging 356,216 396,116 DTX 26,759 35,983 AMS 155,409 57,676 Unallocated (37,979 ) (47,154 ) Total $ 1,651,035 $ 2,119,213

Note 6 - Income Taxes

Note 6 - Income Taxes	6 Months Ended
	Jun. 30, 2021
Notes to Financial Statements
Income Tax Disclosure [Text Block]	6. 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 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. 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 June 30, 2021. On the basis of this evaluation, as of June 30, 2021, not may no The effective tax rate for the three June 30, 2021 three June 30, 2020. three June 30, 2021 2020, The effective tax rate for the six June 30, 2021 six June 30, 2020. six June 30, 2021 2020, 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% June 30, 2021, This Company is not

Note 7 - Long-term Debt

Note 7 - Long-term Debt	6 Months Ended
	Jun. 30, 2021
Notes to Financial Statements
Debt Disclosure [Text Block]	7. Long-Term Debt Duluth Economic Development Authority Loan On April 1, 2016, 2016 April 29, 2016. During the first six 2021, April 1, 2021. April 1, 2021, Line of Credit The Company also has a bank line of credit providing for borrowings of up to $2,050,000 which expires on August 30, 2021 30 not first six 2021 2020 June 30, 2021 December 31, 2020. no eralized by the Company's assets.

Note 2 - Inventories (Tables)

Note 2 - Inventories (Tables)	6 Months Ended
	Jun. 30, 2021
Notes Tables
Schedule of Inventory, Current [Table Text Block]	Jun 30, 2021 Dec 31, 2020 Raw materials $ 1,286,151 $ 1,323,655 Work-in-progress 399,738 428,753 Finished goods 1,140,543 1,065,458 Reduction to LIFO cost (1,218,604 ) (1,172,891 ) Total Inventories $ 1,607,828 $ 1,644,975

Note 3 - Earnings Per Common _2

Note 3 - Earnings Per Common Share (EPS) (Tables)	6 Months Ended
	Jun. 30, 2021
Notes Tables
Schedule of Weighted Average Number of Shares [Table Text Block]	Three Months Ended Jun 30, 2021 Jun 30, 2020 Weighted average common shares outstanding 1,977,959 1,976,354 Dilutive effect of stock options and restricted stock units — — Weighted average common and common equivalent shares outstanding 1,977,959 1,976,354 Six Months Ended Jun 30, 2021 Jun 30, 2020 Weighted average common shares outstanding 1,977,368 1,976,354 Dilutive effect of stock options and restricted stock units — — Weighted average common and common equivalent shares outstanding 1,977,368 1,976,354

Note 4 - Stock-based Compensa_2

Note 4 - Stock-based Compensation (Tables)	6 Months Ended
	Jun. 30, 2021
Notes Tables
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions [Table Text Block]	2021 2020 Dividend yield — — Expected volatility 51.6 % 40.3 % Expected life of option (years) 10 10 Risk-free interest rate 0.5 % 1.4 % Fair value of each option on grant date $ 6.84 $ 2.90
Share-based Payment Arrangement, Option, Activity [Table Text Block]	Weighted Average Exercise Shares Price Outstanding at January 1, 2021 17,500 $ 6.97 Granted 10,000 11.50 Exercised (3,000 ) 9.23 Expired and forfeited (1,000 ) 10.75 Outstanding at June 30, 2021 23,500 $ 8.45 Exercisable at June 30, 2021 5,165 $ 6.54
Schedule of Nonvested Restricted Stock Units Activity [Table Text Block]	Weighted Average Number of Grant Date Shares Fair Value Unvested shares at January 1, 2021 54,300 $ 6.11 Granted 36,550 11.01 Vested (1,340 ) 11.30 Forfeited or surrendered (2,400 ) 6.11 Unvested shares at June 30, 2021 87,110 8.09

Note 5 - Segment Information (T

Note 5 - Segment Information (Tables)	6 Months Ended
	Jun. 30, 2021
Notes Tables
Schedule of Segment Reporting Information, by Segment [Table Text Block]	IKONICS IKONICS Chromaline Imaging DTX AMS Unalloc. Total Net sales $ 2,653,733 $ 1,264,855 $ 85,444 $ 247,316 $ — $ 4,251,348 Cost of goods sold 1,905,738 644,071 34,260 237,975 — 2,822,044 Gross profit 747,995 620,784 51,184 9,341 — 1,429,304 Selling general and administrative* 289,928 259,219 32,001 58,869 1,304,485 1,944,502 Research and development* — — — — 128,895 128,895 Income (loss) from operations $ 458,067 $ 361,565 $ 19,183 $ (49,528 ) $ (1,433,380 ) $ (644,093 ) IKONICS IKONICS Chromaline Imaging DTX AMS Unalloc. Total Net sales $ 1,619,986 $ 625,800 $ 49,053 $ 277,600 $ — $ 2,572,439 Cost of goods sold 1,407,362 419,985 24,346 335,851 — 2,187,544 Gross profit (loss) 212,624 205,815 24,707 (58,251 ) — 384,895 Selling general and administrative* 366,136 224,573 30,059 57,035 524,504 1,202,307 Research and development* — — — — 201,234 201,234 Loss from operations $ (153,512 ) $ (18,758 ) $ (5,352 ) $ (115,286 ) $ (725,738 ) $ (1,018,646 ) IKONICS IKONICS Chromaline Imaging DTX AMS Unalloc. Total Net sales $ 4,352,414 $ 2,351,456 $ 161,755 $ 459,131 $ — $ 7,324,756 Cost of goods sold 3,140,523 1,193,726 77,052 487,819 — 4,899,120 Gross profit (loss) 1,211,891 1,157,730 84,703 (28,688 ) — 2,425,636 Selling general and administrative* 547,930 475,755 62,040 117,490 1,924,878 3,128,093 Research and development* — — — — 263,817 263,817 Income (loss) from operations $ 663,961 $ 681,975 $ 22,663 $ (146,178 ) $ (2,188,695 ) $ (966,274 ) IKONICS IKONICS Chromaline Imaging DTX AMS Unalloc. Total Net sales $ 3,584,326 $ 1,595,899 $ 161,582 $ 727,824 $ — $ 6,069,631 Cost of goods sold 2,825,631 897,708 76,092 732,073 — 4,531,504 Gross profit (loss) 758,695 698,191 85,490 (4,249 ) — 1,538,127 Selling general and administrative* 792,355 503,435 64,432 160,144 1,462,961 2,983,327 Research and development* — — — — 384,814 384,814 Income (loss) from operations $ (33,660 ) $ 194,756 $ 21,058 $ (164,393 ) $ (1,847,775 ) $ (1,830,014 ) Jun 30, 2021 Dec 31, 2020 Chromaline $ 1,150,630 $ 1,676,592 IKONICS Imaging 356,216 396,116 DTX 26,759 35,983 AMS 155,409 57,676 Unallocated (37,979 ) (47,154 ) Total $ 1,651,035 $ 2,119,213

Note 1 - Basis of Presentation

Note 1 - Basis of Presentation (Details Textual) - USD ($)	3 Months Ended
	Jun. 30, 2021	Jun. 25, 2021
TeraWulf [Member] | Ikonics [Member]
Business Acquisition, Termination Fee		$ 10,000,000
TeraWulf [Member]
Business Acquisition, Share Price (in dollars per share)		$ 5
Business Acquisition, Contingent Value Right Received, Per Share (in shares)		1
Business Acquisition, Shares Received, Per Share (in shares)		1
Business Acquisition, Net Proceeds Received Rights, Percent		95.00%
Business Acquisition, Combined Pro Forma Equity Ownership, Percent		2.00%
Business Acquisition, Termination Fee		$ 1,200,000
TeraWulf [Member] | Selling, General and Administrative Expenses [Member]
Business Combination, Acquisition Related Costs	$ 703,000

Note 2 - Inventories - Major Co

Note 2 - Inventories - Major Components of Inventories (Details) - USD ($)	Jun. 30, 2021	Dec. 31, 2020
Raw materials	$ 1,286,151	$ 1,323,655
Work-in-progress	399,738	428,753
Finished goods	1,140,543	1,065,458
Reduction to LIFO cost	(1,218,604)	(1,172,891)
Total Inventories	$ 1,607,828	$ 1,644,975

Note 3 - Earnings Per Common _3

Note 3 - Earnings Per Common Share (EPS) (Details Textual) - $ / shares	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020
Share-based Payment Arrangement, Option [Member]
Number of Option Shares Excluded from Weighted Average Common Shares Outstanding (in shares)	13,500		13,500
Weighted Average Exercise Price Options Excluded From Weighted Average Common Share Outstanding (in dollars per share)	$ 6.18		$ 6.18
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount (in shares)	10,000	21,500	10,000	21,500
Antidilutive Securities Excluded from Computation of Net Income, Per Outstanding Unit, Amount (in dollars per share)	$ 11.50	$ 7.38	$ 11.50	$ 7.38
Restricted Stock Units (RSUs) [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount (in shares)	87,110		87,110

Note 3 - Earnings Per Common _4

Note 3 - Earnings Per Common Share (EPS) - Summary of Calculation of Diluted EPS (Details) - shares	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020
Weighted average common shares outstanding (in shares)	1,977,959	1,976,354	1,977,368	1,976,354
Dilutive effect of stock options and restricted stock units (in shares)	0	0	0	0
Weighted average common and common equivalent shares outstanding (in shares)	1,977,959	1,976,354	1,977,368	1,976,354

Note 4 - Stock-based Compensa_3

Note 4 - Stock-based Compensation (Details Textual) - USD ($)	6 Months Ended		18 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Dec. 31, 2020	Dec. 31, 2019
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number, Ending Balance (in shares)	23,500		23,500	17,500
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross (in shares)	10,000	10,000
Share-based Payment Arrangement, Expense	$ 131,600	$ 7,400
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Amount, Total	$ 674,000		$ 674,000
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Period for Recognition (Year)	4 years
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period (in shares)	3,000	0
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period, Intrinsic Value	$ 24,000
Proceeds from Stock Options Exercised	27,690	$ 0
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Intrinsic Value	58,700		58,700
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercisable, Intrinsic Value	20,700		$ 20,700
Approximation [Member]
Proceeds from Stock Options Exercised	$ 27,700
Restricted Stock Units (RSUs) [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period (in shares)	36,550	0
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Forfeited in Period (in shares)	2,400
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value (in dollars per share)	$ 11.01
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period (Year)	4 years
The 1995 Incentive Stock Option Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized (in shares)	442,750		442,750
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number, Ending Balance (in shares)	1,000		1,000
The 1995 Incentive Stock Option Plan [Member] | Share-based Payment Arrangement, Option [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant (in shares)					102,157
The 2019 Equity Incentive Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant (in shares)	3,957		3,957
Share-based Compensation Arrangement by Share-based Payment Award, Options, Forfeitures in Period (in shares)	12,750
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross (in shares)	23,250
The 2019 Equity Incentive Plan [Member] | Share-based Payment Arrangement, Option [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Options, Forfeitures in Period (in shares)	750
The 2019 Equity Incentive Plan [Member] | Restricted Stock Units (RSUs) [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period (in shares)	90,850
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Forfeited in Period (in shares)			2,400

Note 4 - Stock-based Compensa_4

Note 4 - Stock-based Compensation - Assumptions (Details) - Share-based Payment Arrangement, Option [Member] - $ / shares	6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020
Dividend yield	0.00%	0.00%
Expected volatility	51.60%	40.30%
Expected life of option (years) (Year)	10 years	10 years
Risk-free interest rate	0.50%	1.40%
Fair value of each option on grant date (in dollars per share)	$ 6.84	$ 2.90

Note 4 - Stock-based Compensa_5

Note 4 - Stock-based Compensation - Stock Option Activity (Details)	6 Months Ended
	Jun. 30, 2021$ / sharesshares	Jun. 30, 2020shares
Outstanding, Shares (in shares) | shares	17,500
Outstanding, Weighted Average Exercise Price (in dollars per share) | $ / shares	$ 6.97
Granted, Shares (in shares) | shares	10,000	10,000
Granted, Weighted Average Exercise Price (in dollars per share) | $ / shares	$ 11.50
Exercised, Shares (in shares) | shares	(3,000)	0
Exercised, Weighted Average Exercise Price (in dollars per share) | $ / shares	$ 9.23
Expired and forfeited, Shares (in shares) | shares	(1,000)
Expired and forfeited, Weighted Average Exercise Price (in dollars per share) | $ / shares	$ 10.75
Outstanding, Shares (in shares) | shares	23,500
Outstanding, Weighted Average Exercise Price (in dollars per share) | $ / shares	$ 8.45
Exercisable, Shares (in shares) | shares	5,165
Exercisable, Weighted Average Exercise Price (in dollars per share) | $ / shares	$ 6.54

Note 4 - Stock-based Compensa_6

Note 4 - Stock-based Compensation - Restricted Stock Units Activity (Details) - Restricted Stock Units (RSUs) [Member] - $ / shares	6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020
Unvested, shares (in shares)	54,300
Unvested, weighted average grant date fair value (in dollars per share)	$ 6.11
Granted, shares (in shares)	36,550	0
Granted, weighted average grant date fair value (in dollars per share)	$ 11.01
Vested, shares (in shares)	(1,340)
Vested, weighted average grant date fair value (in dollars per share)	$ 11.30
Forfeited or surrendered, shares (in shares)	(2,400)
Forfeited or surrendered, weighted average grant date fair value (in dollars per share)	$ 6.11
Unvested, shares (in shares)	87,110
Unvested, weighted average grant date fair value (in dollars per share)	$ 8.09

Note 5 - Segment Information (D

Note 5 - Segment Information (Details Textual)	6 Months Ended
	Jun. 30, 2021
Number of Reportable Segments	4

Note 5 - Segment Information -

Note 5 - Segment Information - Reportable Segments (Details) - USD ($)		3 Months Ended		6 Months Ended
		Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020	Dec. 31, 2020
Net sales		$ 4,251,348	$ 2,572,439	$ 7,324,756	$ 6,069,631
Cost of goods sold		2,822,044	2,187,544	4,899,120	4,531,504
Gross profit		1,429,304	384,895	2,425,636	1,538,127
Selling general and administrative*	[1]	1,944,502	1,202,307	3,128,093	2,983,327
Research and development*	[1]	128,895	201,234	263,817	384,814
Income (loss) from operations		(644,093)	(1,018,646)	(966,274)	(1,830,014)
Trade receivables		1,651,035		1,651,035		$ 2,119,213
Segment Reconciling Items [Member]
Net sales		0	0	0	0
Cost of goods sold		0	0	0	0
Gross profit		0	0	0	0
Selling general and administrative*	[1]	1,304,485	524,504	1,924,878	1,462,961
Research and development*	[1]	128,895	201,234	263,817	384,814
Income (loss) from operations		(1,433,380)	(725,738)	(2,188,695)	(1,847,775)
Trade receivables		(37,979)		(37,979)		(47,154)
Chromaline [Member] | Operating Segments [Member]
Net sales		2,653,733	1,619,986	4,352,414	3,584,326
Cost of goods sold		1,905,738	1,407,362	3,140,523	2,825,631
Gross profit		747,995	212,624	1,211,891	758,695
Selling general and administrative*	[1]	289,928	366,136	547,930	792,355
Research and development*	[1]	0	0	0	0
Income (loss) from operations		458,067	(153,512)	663,961	(33,660)
Trade receivables		1,150,630		1,150,630		1,676,592
Ikonics Imaging [Member] | Operating Segments [Member]
Net sales		1,264,855	625,800	2,351,456	1,595,899
Cost of goods sold		644,071	419,985	1,193,726	897,708
Gross profit		620,784	205,815	1,157,730	698,191
Selling general and administrative*	[1]	259,219	224,573	475,755	503,435
Research and development*	[1]	0	0	0	0
Income (loss) from operations		361,565	(18,758)	681,975	194,756
Trade receivables		356,216		356,216		396,116
DTX [Member] | Operating Segments [Member]
Net sales		85,444	49,053	161,755	161,582
Cost of goods sold		34,260	24,346	77,052	76,092
Gross profit		51,184	24,707	84,703	85,490
Selling general and administrative*	[1]	32,001	30,059	62,040	64,432
Research and development*	[1]	0	0	0	0
Income (loss) from operations		19,183	(5,352)	22,663	21,058
Trade receivables		26,759		26,759		35,983
AMS [Member] | Operating Segments [Member]
Net sales		247,316	277,600	459,131	727,824
Cost of goods sold		237,975	335,851	487,819	732,073
Gross profit		9,341	(58,251)	(28,688)	(4,249)
Selling general and administrative*	[1]	58,869	57,035	117,490	160,144
Research and development*	[1]	0	0	0	0
Income (loss) from operations		(49,528)	$ (115,286)	(146,178)	$ (164,393)
Trade receivables		$ 155,409		$ 155,409		$ 57,676
[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 6 - Income Taxes (Details

Note 6 - Income Taxes (Details Textual) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020
Effective Income Tax Rate Reconciliation, Percent, Total	(0.10%)	(0.00%)	(1.80%)	(12.80%)
Income Tax Expense (Benefit), Total	$ 823	$ 0	$ (19,524)	$ (238,929)
Unrecognized Tax Benefits, Ending Balance	0		0
Approximation [Member]
Income Tax Expense (Benefit), Total	$ (1,000)	$ 0	$ (19,000)	$ (239,000)

Note 7 - Long-term Debt (Detail

Note 7 - Long-term Debt (Details Textual)	Apr. 01, 2021USD ($)	Apr. 29, 2016USD ($)ft²	Jun. 30, 2021USD ($)	Dec. 31, 2020USD ($)	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 Instrument, Periodic Payment, Total		$ 18,000
Debt Instrument, Interest Rate, Stated Percentage		2.60%
Debt Issuance Costs, Gross		$ 139,000
Debt Instrument, Interest Rate, Effective Percentage			3.23%
Repayments of Debt	$ 2,700,000
Interest Paid, Including Capitalized Interest, Operating and Investing Activities, Total	6,100
Write off of Deferred Debt Issuance Cost	$ 82,000
Loan [Member] | Building [Member]
Area of Real Estate Property (Square Foot) | ft²		27,300
Duluth Economic Development Authority [Member]
Tax Exempt Industrial Revenue Bonds Amount Sold to Bank					$ 3,415,000