Document And Entity Information
Document And Entity Information - shares | 9 Months Ended | |
Sep. 30, 2018 | Nov. 13, 2018 | |
Document And Entity Information [Abstract] | ||
Entity Registrant Name | TABLE TRAC INC | |
Entity Central Index Key | 1,090,396 | |
Document Type | 10-Q | |
Trading Symbol | TBTC | |
Document Period End Date | Sep. 30, 2018 | |
Amendment Flag | false | |
Current Fiscal Year End Date | --12-31 | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Ex Transition Period | false | |
Entity's Reporting Status Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Common Stock, Shares Outstanding | 4,518,602 | |
Document Fiscal Period Focus | Q3 | |
Document Fiscal Year Focus | 2,018 |
CONDENSED BALANCE SHEETS (Unaud
CONDENSED BALANCE SHEETS (Unaudited) - USD ($) | Sep. 30, 2018 | Dec. 31, 2017 |
CURRENT ASSETS | ||
Cash | $ 633,753 | $ 1,322,743 |
Accounts receivable, net of allowance for doubtful accounts of $125,027 at September 30, 2018 and $181,473 at December 31, 2017 | 3,518,573 | 3,053,280 |
Inventory | 503,034 | 466,207 |
Prepaid expenses and other current assets | 424,596 | 464,385 |
Income tax receivable | 65,373 | 0 |
TOTAL CURRENT ASSETS | 5,145,329 | 5,306,615 |
LONG-TERM ASSETS | ||
Property and equipment, net | 57,679 | 71,786 |
Contract and other long-term assets | 599,538 | 967,092 |
Long-term accounts receivable - financed contracts | 1,163,823 | 1,515,120 |
TOTAL LONG-TERM ASSETS | 1,821,040 | 2,553,998 |
TOTAL ASSETS | 6,966,369 | 7,860,613 |
CURRENT LIABILITIES | ||
Accounts payable and accrued expenses | 176,117 | 572,485 |
Payroll liabilities | 57,593 | 30,085 |
Customer deposits | 114,393 | 18,168 |
Income taxes payable | 0 | 62,627 |
TOTAL CURRENT LIABILITIES | 348,103 | 683,365 |
LONG-TERM LIABILITIES | ||
Contract liabilities | 1,903,639 | 3,313,772 |
Deferred tax liability | 751,000 | 516,000 |
TOTAL LIABILITIES | 3,002,742 | 4,513,137 |
STOCKHOLDERS' EQUITY | ||
Common stock, $0.001 par value; 25,000,000 shares authorized: 4,656,734 shares issued; 4,518,602 and 4,511,965 shares outstanding at September 30, 2018 and December 31, 2017, respectively | 4,518 | 4,512 |
Additional paid-in capital | 1,790,315 | 1,809,511 |
Retained earnings | 2,374,922 | 1,679,813 |
TOTAL STOCKHOLDERS' EQUITY BEFORE TREASURY STOCK | 4,169,755 | 3,493,836 |
Treasury stock, 138,132 and 144,769 shares (at cost) at September 30, 2018 and December 31, 2017, respectively | (206,128) | (146,360) |
TOTAL STOCKHOLDERS' EQUITY | 3,963,627 | 3,347,476 |
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $ 6,966,369 | $ 7,860,613 |
CONDENSED BALANCE SHEETS (Una_2
CONDENSED BALANCE SHEETS (Unaudited) (Parenthetical) - USD ($) | Sep. 30, 2018 | Dec. 31, 2017 |
Statement of Financial Position [Abstract] | ||
Allowance for doubtful accounts (in dollars) | $ 125,027 | $ 181,473 |
Common stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 25,000,000 | 25,000,000 |
Common stock, shares issued | 4,656,734 | 4,656,734 |
Common stock, shares outstanding | 4,518,602 | 4,511,965 |
Treasury stock, shares | 138,132 | 144,769 |
CONDENSED STATEMENTS OF OPERATI
CONDENSED STATEMENTS OF OPERATIONS (Unaudited) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Income Statement [Abstract] | ||||
Revenues | $ 2,329,681 | $ 1,862,684 | $ 6,414,084 | $ 5,147,103 |
Cost of sales | 582,760 | 564,653 | 2,082,986 | 1,639,650 |
Gross profit | 1,746,921 | 1,298,031 | 4,331,098 | 3,507,453 |
Operating expenses: | ||||
Selling, general and administrative | 1,112,318 | 888,105 | 3,352,227 | 3,080,953 |
Income from operations | 634,603 | 409,926 | 978,871 | 426,500 |
Gain (Loss) on currency exchange | (1,420) | (1,595) | (5,249) | (7,644) |
Interest income | 11,825 | 24,718 | 52,087 | 83,310 |
Gain on sale of assets | 0 | 0 | 0 | 1,500 |
Income before taxes | 645,008 | 433,049 | 1,025,709 | 503,666 |
Income tax expense | 180,600 | 161,000 | 330,600 | 191,000 |
Net Income | $ 464,408 | $ 272,049 | $ 695,109 | $ 312,666 |
Net income per share - basic (in dollars per share) | $ 0.1 | $ 0.06 | $ 0.16 | $ 0.07 |
Net income per share - diluted (in dollars per share) | $ 0.1 | $ 0.06 | $ 0.16 | $ 0.07 |
Weighted-average shares outstanding - basic (in shares) | 4,468,602 | 4,511,965 | 4,474,531 | 4,511,965 |
Weighted-average shares outstanding - diluted (in shares) | 4,475,982 | 4,511,965 | 4,482,148 | 4,511,965 |
CONDENSED STATEMENTS OF CASH FL
CONDENSED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) | 9 Months Ended | |
Sep. 30, 2018 | Sep. 30, 2017 | |
OPERATING ACTIVITIES | ||
Net Income | $ 695,109 | $ 312,666 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization | 34,722 | 21,995 |
Deferred income taxes | 235,000 | 194,000 |
Bad debt expense | 84,592 | 131,454 |
Gain on sale of asset | 0 | (1,500) |
Stock issued for services to non-employee | 11,250 | 0 |
Stock compensation expense | 22,032 | 0 |
Changes in operating assets and liabilities: | ||
Accounts receivable | (198,588) | (1,284,134) |
Inventory | (36,827) | 350,035 |
Prepaid expenses and other assets | 407,343 | 314,939 |
Accounts payable and accrued expenses | (396,368) | (229,888) |
Payroll liabilities | 27,508 | 73,976 |
Contract liabilities and customer deposits | (1,313,908) | 442,469 |
Income taxes (receivable) payable | (128,000) | 157,483 |
Net cash provided by (used in) operating activities | (556,135) | 483,495 |
INVESTING ACTIVITIES | ||
Capital expenditures | (20,615) | (38,875) |
Proceeds from sale of asset | 0 | 1,500 |
Net cash used in investing activities | (20,615) | (37,375) |
FINANCING ACTIVITIES | ||
Payments on notes payable | 0 | (7,737) |
Repurchase of common stock | (112,240) | 0 |
Net cash used in financing activities | (112,240) | (7,737) |
NET INCREASE (DECREASE) IN CASH | (688,990) | 438,383 |
CASH | ||
Beginning of period | 1,322,743 | 102,689 |
End of Period | 633,753 | 541,072 |
Non-cash investing and financing activities: | ||
Treasury stock cost related to compensation | 52,474 | 0 |
Capital expenditure financed with note payable | $ 0 | $ 32,435 |
Nature of Business and Summary
Nature of Business and Summary of Significant Accounting Policies | 9 Months Ended |
Sep. 30, 2018 | |
Accounting Policies [Abstract] | |
Nature of Business and Summary of Significant Accounting Policies | 1. Nature of Business and Summary of Significant Accounting Policies – Basis of Presentation The accompanying unaudited condensed financial statements of Table Trac, Inc. (the “Company,” or “Table Trac”) have been prepared in accordance with generally accepted accounting principles for interim financial information and with the instructions for Form 10-Q and Article 10 of Regulation S-X. The balance sheet as of September 30, 2018 and the statements of operations for the three and nine months ended September 30, 2018 and 2017, and the statements of cash flows for the nine months ending September 30, 2018 and 2017 are unaudited but include all adjustments (consisting of normal recurring adjustments) necessary for a fair presentation of the financial position at such date and the operating results and cash flows for those periods. Certain information normally included in financial statements and related footnotes prepared in accordance with generally accepted accounting principles has been condensed or omitted pursuant to the rules and regulations of the Securities and Exchange Commission. The accompanying financial statements should be read in conjunction with the financial statements and notes included in the Table Trac Annual Report on Form 10-K for the year ended December 31, 2017. Nature of Business Table Trac was formed under the laws of the State of Nevada in June 1995. The Company has offices in Minnetonka, Minnesota and Oklahoma City, Oklahoma. The Company has developed and sells an information and management system that automates and monitors various aspects of the operations of casinos. Table Trac provides system sales and technical support to casinos. System sales include installation, custom casino system configuration, and training. In addition, license and technical support are provided under separate license and service contracts. Use of Estimates The preparation of financial statements in conformity with U.S. generally accepted accounting principles (GAAP) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. The Company uses of estimates and assumptions include: for revenue recognition, determining the nature and timing of satisfaction of performance obligations, and determining the standalone selling price (“SSP”) of performance obligations, variable consideration, and other obligations, realizability of accounts receivable, the valuation of deferred tax assets and liabilities, deferred revenue and costs, and the valuation of inventory. Actual results could differ from those estimates. The Company’s significant accounting policies are described in Note 1 of the financial statement included in its Annual Report on Form 10-K for the year ended December 31, 2017. Significant changes to the Company’s accounting policies as a result of adopting Accounting Standards Codification (ASC) 606 are discussed below. Revenue The Company derives revenues from the sales of systems, licenses and maintenance fees, and services, and rental agreements. System Sales Revenue is recognized upon transfer of control of promised products or services to customers in an amount that reflects the consideration we expect to receive in exchange for those products or services. We enter into contracts that can include various combinations of products and services, which are generally capable of being distinct and accounted for as separate performance obligations. Revenue is recognized net of any taxes collected, when applicable from customers, which are subsequently remitted to governmental authorities. A performance obligation is a promise in a contract to transfer a distinct good or service to the customer, and is a unit of account in ASC 606. A majority of the Company’s systems sales have multiple performance obligations including an obligation to deliver a casino management system and another to provide maintenance services. For system sales with multiple performance obligations, the Company allocates revenue to each performance obligation on its SSP. The Company generally determines the SSP based on the price charged to customers. The Company does offer its customers contracts with extended payment terms representing a significant financing component. The Company must evaluate if any extended payment terms in the contract is an indicator of the transaction price not being probable. The Company only includes the amount for which it is probable that a significant reversal in the amount of cumulative revenue recognized will not occur when the uncertainty is resolved. Provided all other revenue recognition steps have been satisfied, the Company recognizes the revenue if payment of a significant portion of the contract consideration is due within 12 months of the delivery of the product. System contracts that do not meet this criteria are deferred and recognized when the uncertainty is resolved, which is consistent with when contractual payments become due. The Company also analyzes its standard business practice of using long-term contracts and the history of collecting on extended payment term contracts which include a financing component which is usually a market interest rate. The associated interest income is reflected accordingly on the statement of operations without making concessions for determining if revenue should be recognized. Maintenance revenue Maintenance revenue is recognized ratably over the contract period. The stand-alone selling price for maintenance is based upon the renewal rate for contracted services. Service revenue Service revenue is recognized after the services are performed and collection of the resulting receivable is reasonably assured. The stand-alone selling price for service revenue is established based upon actual selling prices for the services or prior similar arrangements. Rental revenue The Company may offer customers a rental contract. Revenues are billed monthly on a per-game per-day basis. There is an option to purchase the system after the rental contract expires at a pre-determined residual value. The following table summarizes disaggregated revenues by major product line for the three months ended September 30, 2018 and 2017, respectively: Three Months Ended September 30, 2018 2017 2018 2017 (percent of revenues) System sales $ 1,578,226 $ 1,260,372 67.7 % 67.7 % Maintenance fees 684,738 559,624 29.4 % 30.0 % Service and other sales 66,717 42,688 2.9 % 2.3 % Total revenues $ 2,329,681 $ 1,862,684 100.0 % 100.0 % The following table summarizes disaggregated revenues by major product line for the nine months ended September 30, 2018 and 2017, respectively: Nine months ended September 30, 2018 2017 2018 2017 (percent of revenues) System sales $ 4,318,205 $ 3,329,144 67.3 % 64.7 % Maintenance fees 1,938,446 1,655,607 30.2 % 32.2 % Service and other sales 157,433 162,352 2.5 % 3.1 % Total revenues $ 6,414,084 $ 5,147,103 100.0 % 100.0 % See Major Customers for disaggregated revenue information about primary geographical markets. Significant Judgments Our contracts with customers often include promises to transfer multiple products and services to a customer. Determining whether products and services are considered distinct performance obligations that should be accounted for separately versus together may require significant judgment. Judgment is required to determine the SSP for each distinct performance obligation. We use a single amount to estimate SSP for items that are not sold separately. We use a range of amounts to estimate SSP when we sell each of the products and services separately and need to determine whether there is a discount to be allocated based on the relative SSP of the various products and services. In instances where SSP is not directly observable, such as when we do not sell the product or service separately, we determine the SSP using information that may include market conditions and other observable inputs. We typically have more than one SSP for individual products and services due to the stratification of those products and services by customers and circumstances. In these instances, we may use information such as the size of the customer and geographic region in determining the SSP. We evaluated the contractual payment terms of all system sales generated during the year to determine the proper recognition or deferral of revenue was recorded. We believe the 12 month subsequent collection threshold of 67% or greater is the most appropriate for the Company to constrain revenue. We evaluate the interest rates used in customer contracts with extended payment terms, representing a significant financing component. These rates range from approximately 1% to 6% and we believe those to be appropriate market interest rates for the financing component. Deferred System Sales Costs Incremental cost to obtain and fulfil a contract are deferred and amortized over the related system contract term. These costs are recognized on a straight-line basis over the term of the contract which is generally 18-48 months beginning when revenues are generated. These costs are the most significant component of other long-term assets on the balance sheet, and are $599,538 and $967,092 as of September 30, 2018 and December 31, 2017, respectively. Accounts Receivable / Allowance for Doubtful Accounts Accounts receivable are initially recorded at the invoiced amount and carried on the balance sheet at net realizable value, which includes foreign currency translation as of each balance sheet date. Accounts receivable include unsecured regular customer receivables and unsecured amounts from financed contracts coming due within 12 months. Amounts from financed contracts due beyond 12 months are recorded as “Long-term accounts receivable – financed contracts.” Interest is recorded upon receipt to other income on the statements of operations. An allowance for doubtful accounts is recorded when the Company believes the amounts may not be collected. Management believes that receivables, net of the allowance for doubtful accounts, are fully collectible. Accounts receivable are written off when management determines collection is no longer likely. While the ultimate result may differ, management believes that any write-off not allowed for will not have a material impact on the Company’s financial position. Major Customers For the nine month period ended September 30, 2018, three customers comprised approximately 47% of revenue compared to two customers who accounted for approximately 17% for the nine months ending September 30, 2017. At September 30, 2018, the same three customers comprised approximately 47% of accounts receivable compared to two customers accounting for approximately 19% at September 30, 2017. The following table summarizes major customer’s information for the nine months ended September 30, 2018 and 2017: For the Nine Months ended September 30 2018 2017 % Revenues % AR % Revenues % AR Major 47.4 % 46.9 % 16.8 % 19.2 % All Others 52.6 % 53.1 % 83.2 % 80.8 % Total 100.0 % 100.0 % 100.0 % 100.0 % For the nine month periods ending September 30, 2018 and 2017, sales to customers in the United States represent 91.2% and 92.7% of total revenues, respectively. The following table summarizes the major customer information for the three months ended September 30, 2018 and the two major customer’s information for the three months ending September 30, 2017: For the Three Months Ended September 30 2018 2017 % Revenues % Revenues Major 54.2 % 42.6 % All Others 45.8 % 57.4 % Total 100.0 % 100.0 % For the three month periods ending September 30, 2018 and 2017, sales to customers in the United States represent 95.6% and 93.2% of total revenues, respectively. A major customer is defined any customer that represents at least 10% of revenue or outstanding account receivable for a given period. Inventory Inventory, consisting of finished goods, is stated at the lower of cost or net realizable value. The average cost method, which approximates the first in, first out method, is used to value inventory. Inventory is reviewed annually for the lower of cost or net realizable value and obsolescence. Any material cost found to be above net realizable value or considered obsolete is written down accordingly. The inventory value as of September 30, 2018 was $503,034, which included work-in-process of $50,824. The inventory value was $466,207 as of December 31, 2017, which included work-in-process of $0. The Company had no obsolescence reserve at September 30, 2018 or December 31, 2017. At September 30, 2018 the Company recorded a prepayment for inventory yet to be received of approximately $318,570 as a component of prepaid expenses and other current assets. Research and Development The Company expenses all costs related to research and development as incurred. Research and development expense was $28,827 and $4,452 for the three months ended September 30, 2018 and 2017, and $85,411 and $36,157 for the nine months ended September 30, 2018 and 2017, respectively. Research and development expenses are included in selling, general and administrative expenses on the statements of operations. Recently Adopted Accounting Pronouncements In May 2014, the FASB issued a new standard related to revenue recognition. Under the standard, revenue is recognized when a customer obtains control of promised goods or services in an amount that reflects the consideration the entity expects to receive in exchange for those goods or services. In addition, the standard requires disclosure of the nature, amount, timing, and uncertainty of revenue and cash flows arising from contracts with customers. We adopted the standard effective January 1, 2018, using the modified retrospective method, which did not require us to restate each prior reporting period presented. We elected the available practical expedients and implemented internal controls and key system functionality to enable the preparation of financial information on adoption. In August 2018, the SEC adopted the final rule under SEC Release No. 33-10532, Disclosure Update and Simplification, amending certain disclosure requirements that were redundant, duplicative, overlapping, outdated or superseded. In addition, the amendments expanded the disclosure requirements on the analysis of stockholders’ equity for interim financial statements. Under the amendments, an analysis of changes in each caption of stockholders’ equity presented in the balance sheet must be provided in a note or separate statement. The analysis should present a reconciliation of the beginning balance to the ending balance of each period for which a statement of operations is required to be filed. The Company anticipates its first presentation of changes in stockholders’ equity will be included in its Form 10-Q for the quarter ended March 31, 2019. |
Accounts Receivable
Accounts Receivable | 9 Months Ended |
Sep. 30, 2018 | |
Receivables [Abstract] | |
Accounts Receivable | 2. Accounts Receivable – Accounts receivable consisted of the following at: September 30, 2018 December 31, 2017 Accounts receivable under normal 30 day terms $ 2,748,781 $ 1,493,084 Financed contracts: Current portion of long-term 894,819 1,741,669 Long-term, net of current portion 1,163,823 1,515,120 Total accounts receivable 4,807,423 4,749,873 Less allowance for doubtful accounts (125,027 ) (181,473 ) Accounts receivable, net $ 4,682,396 $ 4,568,400 Presented on the balance sheet as: Accounts receivable, net $ 3,518,573 $ 3,053,280 Long-term accounts receivable - financed contracts 1,163,823 1,515,120 The allowance for financed and trade receivable represents management’s estimate of probable losses in our trade and financed receivables as of the date of the financial statements. The allowance provides for probable losses that have been identified with specific customer relationships and for probable losses believed to be inherent of the trade and financed receivables, but that have not been specifically identified. Accounts receivable includes financed contracts at September 30, 2018 and December 31, 2017 which are $2,058,642 and $3,256,789, respectively, offset by contract liabilities on the balance sheets of $1,903,639 and $3,313,772, respectively. A roll-forward of the Company’s allowance for doubtful accounts for the periods presented is as follows: September 30, 2018 December 31, 2017 Accounts receivable allowance, beginning of year $ 181,473 $ 200,266 Provision adjustment 84,592 (18,793 ) Write-off (141,038 ) 0 Accounts receivable allowance, end of period $ 125,027 $ 181,473 The allowance for doubtful accounts is $125,027 and $181,473 for the trade receivables at September 30, 2018 and December 31, 2017, respectively, and $0 for the financed contracts at both September 30, 2018 and December 31, 2017. |
Stockholders' Equity
Stockholders' Equity | 9 Months Ended |
Sep. 30, 2018 | |
Equity [Abstract] | |
Stockholders' Equity | 3. Stockholders’ Equity – Stock Repurchase Program On January 7, 2018, the Company’s Board of Directors approved the repurchase of its outstanding shares, using management’s discretion, of its common stock from private unsolicited sellers’ in the open market. On May 10, 2018, the Company’s Board of Directors approved the repurchase of its outstanding common shares in an aggregate amount of up to 200,000 shares not to exceed $600,000, in both private unsolicited and open –market transactions, until December 31, 2019. Company insiders are prohibited from participating in the stock repurchase program. During the three month period ended September 30, 2018, the Company did not repurchase any shares for its treasury. For the nine month period ending September 30, 2018, the Company repurchased 48,500 shares totaling approximately $112,000 at an average price of $2.31 per share for its treasury. Stock Compensation In January, the Company awarded 50,000 shares at a price of $2.35 per share from its treasury to its new CFO. These shares are subject to a four year vesting schedule as follows: 20,000 shares at the end of year one; 10,000 shares in each subsequent year. No shares vested during the nine month period ended September 30, 2018. Grant date fair value of $117,500 will be recognized equally over the vesting period as stock compensation expense as a component of selling, general and administration expense. The unvested stock compensation is expected to be recognized over a weighted average period of approximately two years. As of September 30, 2018, the remaining unrecognized stock compensation expense approximated $95,500. As of September 30, 2018, the Company holds 138,132 common shares in treasury for future employee issuances for potential bonuses. Such common shares in treasury include shares repurchased pursuant to the stock repurchase program. |
Income Tax
Income Tax | 9 Months Ended |
Sep. 30, 2018 | |
Income Tax Disclosure [Abstract] | |
Income Tax | 4. Income Tax – The Company accounts for income taxes by following the asset and liability approach to accounting for income taxes. Deferred tax assets and liabilities represent the future tax consequences of the differences between the financial statement carrying amounts of assets and liabilities versus the tax basis of assets and liabilities. Under this method, deferred tax assets are recognized for deductible temporary differences and operating loss and tax credit carryforwards. Deferred tax liabilities are recognized for taxable temporary differences. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion or all of the deferred tax assets will not be realized. The impact of the tax rate changes on deferred tax assets and liabilities is recognized in the year that the change is enacted. Management believes that any write-off not allowed for will not have a material impact on the Company’s financial position. The Company files income tax returns in the U.S. federal jurisdiction and various state jurisdictions. Based on its evaluation, the Company believes that it has no significant unrecognized tax positions. The Company’s evaluation was performed for the tax years ended December 31, 2014 through 2017, which are the tax years that remain subject to examination by major tax jurisdictions as of September 30, 2018. The Company does not believe there will be any material changes in its unrecognized tax positions over the next 12 months. The Company may from time to time be assessed interest or penalties by major tax jurisdictions, although any such assessments historically have been minimal and immaterial to its financial results. In accordance with current guidance, the Company classifies interest and penalties as income tax expense is incurred. |
Earnings Per Share
Earnings Per Share | 9 Months Ended |
Sep. 30, 2018 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | 5. Earnings Per Share – The Company computes earnings per share under two different methods, basic and diluted, and presents per-share data for all periods in which statements of operations are presented. Basic earnings per share is computed by dividing net income by the weighted average number of shares of common stock outstanding. Diluted earnings per share is computed by dividing net income by the weighted average number of shares of common stock and common stock equivalents outstanding. The following table provides a reconciliation of the numerators and denominators used in calculating basic and diluted earnings per share for the nine months ended September 30, 2018 and 2017: For the Nine Months Ended September 30, 2 018 2017 Basic and diluted earnings per share calculation: Net income to common stockholders $ 695,109 $ 312,666 Weighted average number of common shares outstanding - basic 4,474,531 4,511,965 Basic net income per share $ 0.16 $ 0.07 Weighted average number of common shares outstanding - diluted 4,482,148 4,511,965 Diluted net income per share $ 0.16 $ 0.07 The following table provides a reconciliation of the numerators and denominators used in calculating basic and diluted earnings per share for the three months ended September 30, 2018 and 2017: For the Three Months Ended September 30, 2018 201 Basic and diluted earnings per share calculation: Net income to common stockholders $ 464,408 $ 272,049 Weighted average number of common shares outstanding - basic 4,468,602 4,511,965 Basic net income per share $ 0.10 $ 0.06 Weighted average number of common shares outstanding - diluted 4,475,982 4,511,965 Diluted net income per share $ 0.10 $ 0.06 |
Foreign Currency Exchange Rate
Foreign Currency Exchange Rate Risk | 9 Months Ended |
Sep. 30, 2018 | |
Foreign Currency [Abstract] | |
Foreign Currency Exchange Rate Risk | 6. Foreign Currency Exchange Rate Risk - The Company is exposed to foreign currency risks that arise from some of its foreign customers in Colombia, transacted in Colombia pesos. In addition, exchange rate fluctuations may cause our international results to fluctuate when translated into U.S. dollars. These risks may change over time as business practices evolve and could have an impact on the Company’s financial results in the future due to the long term nature of the Company’s accounts receivable in Colombia, which totaled approximately $74,000 and $314,000 at September 30, 2018 and December 31, 2017, respectively. The Company monitors its risk associated with the volatility of certain foreign currencies against the U.S. dollar. |
Nature of Business and Summar_2
Nature of Business and Summary of Significant Accounting Policies (Policies) | 9 Months Ended |
Sep. 30, 2018 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The accompanying unaudited condensed financial statements of Table Trac, Inc. (the “Company,” or “Table Trac”) have been prepared in accordance with generally accepted accounting principles for interim financial information and with the instructions for Form 10-Q and Article 10 of Regulation S-X. The balance sheet as of September 30, 2018 and the statements of operations for the three and nine months ended September 30, 2018 and 2017, and the statements of cash flows for the nine months ending September 30, 2018 and 2017 are unaudited but include all adjustments (consisting of normal recurring adjustments) necessary for a fair presentation of the financial position at such date and the operating results and cash flows for those periods. Certain information normally included in financial statements and related footnotes prepared in accordance with generally accepted accounting principles has been condensed or omitted pursuant to the rules and regulations of the Securities and Exchange Commission. The accompanying financial statements should be read in conjunction with the financial statements and notes included in the Table Trac Annual Report on Form 10-K for the year ended December 31, 2017. |
Nature of Business | Nature of Business Table Trac was formed under the laws of the State of Nevada in June 1995. The Company has offices in Minnetonka, Minnesota and Oklahoma City, Oklahoma. The Company has developed and sells an information and management system that automates and monitors various aspects of the operations of casinos. Table Trac provides system sales and technical support to casinos. System sales include installation, custom casino system configuration, and training. In addition, license and technical support are provided under separate license and service contracts. |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with U.S. generally accepted accounting principles (GAAP) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. The Company uses of estimates and assumptions include: for revenue recognition, determining the nature and timing of satisfaction of performance obligations, and determining the standalone selling price (“SSP”) of performance obligations, variable consideration, and other obligations, realizability of accounts receivable, the valuation of deferred tax assets and liabilities, deferred revenue and costs, and the valuation of inventory. Actual results could differ from those estimates. The Company’s significant accounting policies are described in Note 1 of the financial statement included in its Annual Report on Form 10-K for the year ended December 31, 2017. Significant changes to the Company’s accounting policies as a result of adopting Accounting Standards Codification (ASC) 606 are discussed below. |
Revenue | Revenue The Company derives revenues from the sales of systems, licenses and maintenance fees, and services, and rental agreements. System Sales Revenue is recognized upon transfer of control of promised products or services to customers in an amount that reflects the consideration we expect to receive in exchange for those products or services. We enter into contracts that can include various combinations of products and services, which are generally capable of being distinct and accounted for as separate performance obligations. Revenue is recognized net of any taxes collected, when applicable from customers, which are subsequently remitted to governmental authorities. A performance obligation is a promise in a contract to transfer a distinct good or service to the customer, and is a unit of account in ASC 606. A majority of the Company’s systems sales have multiple performance obligations including an obligation to deliver a casino management system and another to provide maintenance services. For system sales with multiple performance obligations, the Company allocates revenue to each performance obligation on its SSP. The Company generally determines the SSP based on the price charged to customers. The Company does offer its customers contracts with extended payment terms representing a significant financing component. The Company must evaluate if any extended payment terms in the contract is an indicator of the transaction price not being probable. The Company only includes the amount for which it is probable that a significant reversal in the amount of cumulative revenue recognized will not occur when the uncertainty is resolved. Provided all other revenue recognition steps have been satisfied, the Company recognizes the revenue if payment of a significant portion of the contract consideration is due within 12 months of the delivery of the product. System contracts that do not meet this criteria are deferred and recognized when the uncertainty is resolved, which is consistent with when contractual payments become due. The Company also analyzes its standard business practice of using long-term contracts and the history of collecting on extended payment term contracts which include a financing component which is usually a market interest rate. The associated interest income is reflected accordingly on the statement of operations without making concessions for determining if revenue should be recognized. Maintenance revenue Maintenance revenue is recognized ratably over the contract period. The stand-alone selling price for maintenance is based upon the renewal rate for contracted services. Service revenue Service revenue is recognized after the services are performed and collection of the resulting receivable is reasonably assured. The stand-alone selling price for service revenue is established based upon actual selling prices for the services or prior similar arrangements. Rental revenue The Company may offer customers a rental contract. Revenues are billed monthly on a per-game per-day basis. There is an option to purchase the system after the rental contract expires at a pre-determined residual value. The following table summarizes disaggregated revenues by major product line for the three months ended September 30, 2018 and 2017, respectively: Three Months Ended September 30, 2018 2017 2018 2017 (percent of revenues) System sales $ 1,578,226 $ 1,260,372 67.7 % 67.7 % Maintenance fees 684,738 559,624 29.4 % 30.0 % Service and other sales 66,717 42,688 2.9 % 2.3 % Total revenues $ 2,329,681 $ 1,862,684 100.0 % 100.0 % The following table summarizes disaggregated revenues by major product line for the nine months ended September 30, 2018 and 2017, respectively: Nine months ended September 30, 2018 2017 2018 2017 (percent of revenues) System sales $ 4,318,205 $ 3,329,144 67.3 % 64.7 % Maintenance fees 1,938,446 1,655,607 30.2 % 32.2 % Service and other sales 157,433 162,352 2.5 % 3.1 % Total revenues $ 6,414,084 $ 5,147,103 100.0 % 100.0 % See Major Customers for disaggregated revenue information about primary geographical markets. Significant Judgments Our contracts with customers often include promises to transfer multiple products and services to a customer. Determining whether products and services are considered distinct performance obligations that should be accounted for separately versus together may require significant judgment. Judgment is required to determine the SSP for each distinct performance obligation. We use a single amount to estimate SSP for items that are not sold separately. We use a range of amounts to estimate SSP when we sell each of the products and services separately and need to determine whether there is a discount to be allocated based on the relative SSP of the various products and services. In instances where SSP is not directly observable, such as when we do not sell the product or service separately, we determine the SSP using information that may include market conditions and other observable inputs. We typically have more than one SSP for individual products and services due to the stratification of those products and services by customers and circumstances. In these instances, we may use information such as the size of the customer and geographic region in determining the SSP. We evaluated the contractual payment terms of all system sales generated during the year to determine the proper recognition or deferral of revenue was recorded. We believe the 12 month subsequent collection threshold of 67% or greater is the most appropriate for the Company to constrain revenue. We evaluate the interest rates used in customer contracts with extended payment terms, representing a significant financing component. These rates range from approximately 1% to 6% and we believe those to be appropriate market interest rates for the financing component. |
Deferred System Sales Costs | Deferred System Sales Costs Incremental cost to obtain and fulfil a contract are deferred and amortized over the related system contract term. These costs are recognized on a straight-line basis over the term of the contract which is generally 18-48 months beginning when revenues are generated. These costs are the most significant component of other long-term assets on the balance sheet, and are $599,538 and $967,092 as of September 30, 2018 and December 31, 2017, respectively. |
Accounts Receivable / Allowance for Doubtful Accounts | Accounts Receivable / Allowance for Doubtful Accounts Accounts receivable are initially recorded at the invoiced amount and carried on the balance sheet at net realizable value, which includes foreign currency translation as of each balance sheet date. Accounts receivable include unsecured regular customer receivables and unsecured amounts from financed contracts coming due within 12 months. Amounts from financed contracts due beyond 12 months are recorded as “Long-term accounts receivable – financed contracts.” Interest is recorded upon receipt to other income on the statements of operations. An allowance for doubtful accounts is recorded when the Company believes the amounts may not be collected. Management believes that receivables, net of the allowance for doubtful accounts, are fully collectible. Accounts receivable are written off when management determines collection is no longer likely. While the ultimate result may differ, management believes that any write-off not allowed for will not have a material impact on the Company’s financial position. |
Major Customers | Major Customers For the nine month period ended September 30, 2018, three customers comprised approximately 47% of revenue compared to two customers who accounted for approximately 17% for the nine months ending September 30, 2017. At September 30, 2018, the same three customers comprised approximately 47% of accounts receivable compared to two customers accounting for approximately 19% at September 30, 2017. The following table summarizes major customer’s information for the nine months ended September 30, 2018 and 2017: For the Nine Months ended September 30 2018 2017 % Revenues % AR % Revenues % AR Major 47.4 % 46.9 % 16.8 % 19.2 % All Others 52.6 % 53.1 % 83.2 % 80.8 % Total 100.0 % 100.0 % 100.0 % 100.0 % For the nine month periods ending September 30, 2018 and 2017, sales to customers in the United States represent 91.2% and 92.7% of total revenues, respectively. The following table summarizes the major customer information for the three months ended September 30, 2018 and the two major customer’s information for the three months ending September 30, 2017: For the Three Months Ended September 30 2018 2017 % Revenues % Revenues Major 54.2 % 42.6 % All Others 45.8 % 57.4 % Total 100.0 % 100.0 % For the three month periods ending September 30, 2018 and 2017, sales to customers in the United States represent 95.6% and 93.2% of total revenues, respectively. A major customer is defined any customer that represents at least 10% of revenue or outstanding account receivable for a given period. |
Inventory | Inventory Inventory, consisting of finished goods, is stated at the lower of cost or net realizable value. The average cost method, which approximates the first in, first out method, is used to value inventory. Inventory is reviewed annually for the lower of cost or net realizable value and obsolescence. Any material cost found to be above net realizable value or considered obsolete is written down accordingly. The inventory value as of September 30, 2018 was $503,034, which included work-in-process of $50,824. The inventory value was $466,207 as of December 31, 2017, which included work-in-process of $0. The Company had no obsolescence reserve at September 30, 2018 or December 31, 2017. At September 30, 2018 the Company recorded a prepayment for inventory yet to be received of approximately $318,570 as a component of prepaid expenses and other current assets. |
Research and Development | Research and Development The Company expenses all costs related to research and development as incurred. Research and development expense was $28,827 and $4,452 for the three months ended September 30, 2018 and 2017, and $85,411 and $36,157 for the nine months ended September 30, 2018 and 2017, respectively. Research and development expenses are included in selling, general and administrative expenses on the statements of operations. |
Recently Adopted Accounting Pronouncements | Recently Adopted Accounting Pronouncements In May 2014, the FASB issued a new standard related to revenue recognition. Under the standard, revenue is recognized when a customer obtains control of promised goods or services in an amount that reflects the consideration the entity expects to receive in exchange for those goods or services. In addition, the standard requires disclosure of the nature, amount, timing, and uncertainty of revenue and cash flows arising from contracts with customers. We adopted the standard effective January 1, 2018, using the modified retrospective method, which did not require us to restate each prior reporting period presented. We elected the available practical expedients and implemented internal controls and key system functionality to enable the preparation of financial information on adoption. In August 2018, the SEC adopted the final rule under SEC Release No. 33-10532, Disclosure Update and Simplification, amending certain disclosure requirements that were redundant, duplicative, overlapping, outdated or superseded. In addition, the amendments expanded the disclosure requirements on the analysis of stockholders’ equity for interim financial statements. Under the amendments, an analysis of changes in each caption of stockholders’ equity presented in the balance sheet must be provided in a note or separate statement. The analysis should present a reconciliation of the beginning balance to the ending balance of each period for which a statement of operations is required to be filed. The Company anticipates its first presentation of changes in stockholders’ equity will be included in its Form 10-Q for the quarter ended March 31, 2019. |
Nature of Business and Summar_3
Nature of Business and Summary of Significant Accounting Policies (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Accounting Policies [Abstract] | |
Schedule of disaggregation of revenue | The following table summarizes disaggregated revenues by major product line for the three months ended September 30, 2018 and 2017, respectively: Three Months Ended September 30, 2018 2017 2018 2017 (percent of revenues) System sales $ 1,578,226 $ 1,260,372 67.7 % 67.7 % Maintenance fees 684,738 559,624 29.4 % 30.0 % Service and other sales 66,717 42,688 2.9 % 2.3 % Total revenues $ 2,329,681 $ 1,862,684 100.0 % 100.0 % The following table summarizes disaggregated revenues by major product line for the nine months ended September 30, 2018 and 2017, respectively: Nine months ended September 30, 2018 2017 2018 2017 (percent of revenues) System sales $ 4,318,205 $ 3,329,144 67.3 % 64.7 % Maintenance fees 1,938,446 1,655,607 30.2 % 32.2 % Service and other sales 157,433 162,352 2.5 % 3.1 % Total revenues $ 6,414,084 $ 5,147,103 100.0 % 100.0 % |
Schedule of revenue from external customers by geographic areas | The following table summarizes major customer’s information for the nine months ended September 30, 2018 and 2017: For the Nine Months ended September 30 2018 2017 % Revenues % AR % Revenues % AR Major 47.4 % 46.9 % 16.8 % 19.2 % All Others 52.6 % 53.1 % 83.2 % 80.8 % Total 100.0 % 100.0 % 100.0 % 100.0 % For the nine month periods ending September 30, 2018 and 2017, sales to customers in the United States represent 91.2% and 92.7% of total revenues, respectively. The following table summarizes the major customer information for the three months ended September 30, 2018 and the two major customer’s information for the three months ending September 30, 2017: For the Three Months Ended September 30 2018 2017 % Revenues % Revenues Major 54.2 % 42.6 % All Others 45.8 % 57.4 % Total 100.0 % 100.0 % |
Accounts Receivable (Tables)
Accounts Receivable (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Receivables [Abstract] | |
Schedule of accounts, notes, loans and financing receivable | Accounts receivable consisted of the following at: September 30, 2018 December 31, 2017 Accounts receivable under normal 30 day terms $ 2,748,781 $ 1,493,084 Financed contracts: Current portion of long-term 894,819 1,741,669 Long-term, net of current portion 1,163,823 1,515,120 Total accounts receivable 4,807,423 4,749,873 Less allowance for doubtful accounts (125,027 ) (181,473 ) Accounts receivable, net $ 4,682,396 $ 4,568,400 Presented on the balance sheet as: Accounts receivable, net $ 3,518,573 $ 3,053,280 Long-term accounts receivable - financed contracts 1,163,823 1,515,120 |
Schedule of allowance accounts receivable | A roll-forward of the Company’s allowance for doubtful accounts for the periods presented is as follows: September 30, 2018 December 31, 2017 Accounts receivable allowance, beginning of year $ 181,473 $ 200,266 Provision adjustment 84,592 (18,793 ) Write-off (141,038 ) 0 Accounts receivable allowance, end of period $ 125,027 $ 181,473 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Earnings Per Share [Abstract] | |
Schedule of earnings per share | The following table provides a reconciliation of the numerators and denominators used in calculating basic and diluted earnings per share for the nine months ended September 30, 2018 and 2017: For the Nine Months Ended September 30, 2018 2017 Basic and diluted earnings per share calculation: Net income to common stockholders $ 695,109 $ 312,666 Weighted average number of common shares outstanding - basic 4,474,531 4,511,965 Basic net income per share $ 0.16 $ 0.07 Weighted average number of common shares outstanding - diluted 4,482,148 4,511,965 Diluted net income per share $ 0.16 $ 0.07 The following table provides a reconciliation of the numerators and denominators used in calculating basic and diluted earnings per share for the three months ended September 30, 2018 and 2017: For the Three Months Ended September 30, 2018 2017 Basic and diluted earnings per share calculation: Net income to common stockholders $ 464,408 $ 272,049 Weighted average number of common shares outstanding - basic 4,468,602 4,511,965 Basic net income per share $ 0.10 $ 0.06 Weighted average number of common shares outstanding - diluted 4,475,982 4,511,965 Diluted net income per share $ 0.10 $ 0.06 |
Nature of Business and Summar_4
Nature of Business and Summary of Significant Accounting Policies (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Revenues, Total | $ 2,329,681 | $ 1,862,684 | $ 6,414,084 | $ 5,147,103 |
Concentration risk, percentage | 100.00% | 100.00% | 100.00% | 100.00% |
Sales Revenue, Net [Member] | ||||
Concentration risk, percentage | 100.00% | 100.00% | 100.00% | 100.00% |
Sales Revenue, Net [Member] | System sales [Member] | ||||
Revenues, Total | $ 1,578,226 | $ 1,260,372 | $ 4,318,205 | $ 3,329,144 |
Concentration risk, percentage | 67.70% | 67.70% | 67.30% | 64.70% |
Sales Revenue, Net [Member] | Maintenance fees [Member] | ||||
Revenues, Total | $ 684,738 | $ 559,624 | $ 1,938,446 | $ 1,655,607 |
Concentration risk, percentage | 29.40% | 30.00% | 30.20% | 32.20% |
Sales Revenue, Net [Member] | Service and other sales [Member] | ||||
Revenues, Total | $ 66,717 | $ 42,688 | $ 157,433 | $ 162,352 |
Concentration risk, percentage | 2.90% | 2.30% | 2.50% | 3.10% |
Nature of Business and Summar_5
Nature of Business and Summary of Significant Accounting Policies (Details 1) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Revenue, Major Customer [Line Items] | ||||
% Sales and % AR | 100.00% | 100.00% | 100.00% | 100.00% |
Sales Revenue, Net [Member] | ||||
Revenue, Major Customer [Line Items] | ||||
% Sales and % AR | 100.00% | 100.00% | 100.00% | 100.00% |
Sales Revenue, Net [Member] | Customer [Member] | ||||
Revenue, Major Customer [Line Items] | ||||
% Sales and % AR | 54.20% | 42.60% | 47.40% | 16.80% |
Sales Revenue, Net [Member] | All Others Customers [Member] | ||||
Revenue, Major Customer [Line Items] | ||||
% Sales and % AR | 45.80% | 57.40% | 52.60% | 83.20% |
Accounts Receivable [Member] | ||||
Revenue, Major Customer [Line Items] | ||||
% Sales and % AR | 100.00% | 100.00% | ||
Accounts Receivable [Member] | Customer [Member] | ||||
Revenue, Major Customer [Line Items] | ||||
% Sales and % AR | 46.90% | 19.20% | ||
Accounts Receivable [Member] | All Others Customers [Member] | ||||
Revenue, Major Customer [Line Items] | ||||
% Sales and % AR | 53.10% | 80.80% |
Nature of Business and Summar_6
Nature of Business and Summary of Significant Accounting Policies (Details Narrative) - USD ($) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | Dec. 31, 2017 | |
Product Information [Line Items] | |||||
Research and development expense | $ 28,827 | $ 4,452 | $ 85,411 | $ 36,157 | |
Inventory, net | 503,034 | 503,034 | $ 466,207 | ||
Inventory, work in process, gross | $ 50,824 | $ 50,824 | 0 | ||
Concentration risk, percentage | 100.00% | 100.00% | 100.00% | 100.00% | |
Other assets, noncurrent | $ 599,538 | $ 599,538 | $ 967,092 | ||
Prepaid supplies | $ 318,570 | $ 318,570 | |||
Sales Revenue, Net [Member] | |||||
Product Information [Line Items] | |||||
Concentration risk, percentage | 100.00% | 100.00% | 100.00% | 100.00% | |
Sales Revenue, Net [Member] | Domestic Customers [Member] | |||||
Product Information [Line Items] | |||||
Concentration risk, percentage | 95.60% | 93.20% | 91.20% | 92.70% | |
Accounts Receivable [Member] | |||||
Product Information [Line Items] | |||||
Concentration risk, percentage | 100.00% | 100.00% | |||
Minimum [Member] | |||||
Product Information [Line Items] | |||||
Interest rates used in customer contracts | 1.00% | ||||
Maximum [Member] | |||||
Product Information [Line Items] | |||||
Interest rates used in customer contracts | 6.00% |
Accounts Receivable (Details)
Accounts Receivable (Details) - USD ($) | Sep. 30, 2018 | Dec. 31, 2017 |
Receivables [Abstract] | ||
Accounts receivable under normal 30 day terms | $ 2,748,781 | $ 1,493,084 |
Financed contracts: | ||
Current portion of long-term | 894,819 | 1,741,669 |
Long-term, net of current portion | 1,163,823 | 1,515,120 |
Total accounts receivable | 4,807,423 | 4,749,873 |
Less allowance for doubtful accounts | (125,027) | (181,473) |
Accounts receivable, net | 4,682,396 | 4,568,400 |
Presented on the balance sheet as: | ||
Accounts receivable, net | 3,518,573 | 3,053,280 |
Long-term accounts receivable - financed contracts | $ 1,163,823 | $ 1,515,120 |
Accounts Receivable (Details 1)
Accounts Receivable (Details 1) - Trade Accounts Receivable [Member] - USD ($) | 9 Months Ended | 12 Months Ended |
Sep. 30, 2018 | Dec. 31, 2017 | |
Allowance for Doubtful Accounts Receivable [Roll Forward] | ||
Accounts receivable allowance, beginning of year | $ 181,473 | $ 200,266 |
Provision adjustment | 84,592 | (18,793) |
Write-off | (141,038) | 0 |
Accounts receivable allowance, end of period | $ 125,027 | $ 181,473 |
Accounts Receivable (Details Na
Accounts Receivable (Details Narrative) - USD ($) | Sep. 30, 2018 | Dec. 31, 2017 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Allowance for Doubtful Accounts Receivable, Current | $ 125,027 | $ 181,473 |
Accounts Receivable, Net, Current, Total | 3,518,573 | 3,053,280 |
Contract with Customer, Liability, Noncurrent | 1,903,639 | 3,313,772 |
Trade Accounts Receivable [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Allowance for Doubtful Accounts Receivable, Current | 125,027 | 181,473 |
Financing Receivable [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Allowance for Doubtful Accounts Receivable, Current | 0 | 0 |
Accounts Receivable, Net, Current, Total | $ 2,058,642 | $ 3,256,789 |
Stockholders' Equity (Details N
Stockholders' Equity (Details Narrative) - USD ($) | 1 Months Ended | 9 Months Ended | ||
Jan. 31, 2018 | Sep. 30, 2018 | May 10, 2018 | Dec. 31, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Treasury stock, shares | 138,132 | 144,769 | ||
Treasury stock acquired, average cost per share | $ 2.31 | |||
Number of stock repurchased during period, shares | 48,500 | |||
Number of stock repurchased during period, value | $ 112,000 | |||
Stock Repurchase Program [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock repurchase program, authorized amount | $ 600,000 | |||
Number of shares authorized to be repurchased | 200,000 | |||
Chief Financial Officer [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Shares issued, price per share (in dollars per share) | $ 2.35 | |||
Number of shares authorized | 50,000 | |||
Description of share- based award terms | These shares are subject to a four year vesting schedule as follows: 20,000 shares at the end of year one; 10,000 shares in each subsequent year. | |||
Equity instruments other than options, vested in period, fair value | $ 117,500 | |||
Nonvested awards, compensation cost not yet recognized | $ 95,500 | |||
Employees [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Treasury stock, shares | 138,132 |
Earnings Per Share (Details)
Earnings Per Share (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Basic and diluted earnings per share calculation: | ||||
Net income to common stockholders | $ 464,408 | $ 272,049 | $ 695,109 | $ 312,666 |
Weighted average number of common shares outstanding - basic | 4,468,602 | 4,511,965 | 4,474,531 | 4,511,965 |
Basic net income per share | $ 0.1 | $ 0.06 | $ 0.16 | $ 0.07 |
Diluted earnings per share calculation: | ||||
Weighted average number of common shares outstanding - diluted | 4,475,982 | 4,511,965 | 4,482,148 | 4,511,965 |
Diluted net income per share | $ 0.1 | $ 0.06 | $ 0.16 | $ 0.07 |
Foreign Currency Exchange Rat_2
Foreign Currency Exchange Rate Risk (Details Narrative) - USD ($) | Sep. 30, 2018 | Dec. 31, 2017 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Accounts receivable, gross, noncurrent | $ 1,163,823 | $ 1,515,120 |
COLOMBIA | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Accounts receivable, gross, noncurrent | $ 74,000 | $ 314,000 |