Profire Energy (PFIE) 10-Q 10 Aug 16 2017 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	3 Months Ended
	Jun. 30, 2016	Aug. 05, 2016
Document and Entity Information:
Entity Registrant Name	Profire Energy Inc
Document Type	10-Q
Document Period End Date	Jun. 30, 2016
Trading Symbol	pfie
Amendment Flag	false
Entity Central Index Key	1,289,636
Current Fiscal Year End Date	--03-31
Entity Common Stock, Shares Outstanding		53,325,215
Entity Filer Category	Smaller Reporting Company
Entity Current Reporting Status	Yes
Entity Voluntary Filers	No
Entity Well-known Seasoned Issuer	No
Document Fiscal Year Focus	2,017
Document Fiscal Period Focus	Q1
Entity Incorporation, Date of Incorporation	May 5, 2003
Entity Incorporation, State Country Name	Nevada

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($)	Jun. 30, 2016	Mar. 31, 2016
CURRENT ASSETS
Cash and cash equivalents	$ 22,043,090	$ 21,292,595
Accounts receivable, net	3,211,835	4,132,137
Inventories	9,971,352	11,046,682
Income tax receivable	474,796	268,326
Prepaid expenses & other current assets	308,263	315,757
Total Current Assets	36,009,336	37,055,497
LONG-TERM ASSETS
Deferred tax asset	437,336	452,431
PROPERTY AND EQUIPMENT, net	7,969,169	8,232,911
OTHER ASSETS
Goodwill	997,701	997,701
Intangible assets, net of accumulated amortization	522,923	529,300
Total Other Assets	1,520,624	1,527,001
TOTAL ASSETS	45,936,465	47,267,840
CURRENT LIABILITIES
Accounts payable	551,742	893,822
Accrued liabilities	427,620	620,783
Income taxes payable	0	335,375
Total current liabilities	979,362	1,849,980
LONG-TERM LIABILITIES
Deferred income tax liability	632,732	632,732
TOTAL LIABILITIES	1,612,094	2,482,712
STOCKHOLDERS' EQUITY
Preferred shares: $0.001 par value, 10,000,000 shares authorized: no shares issued and outstanding
Common shares: $0.001 par value, 100,000,000 shares authorized: 53,316,134 and 53,256,296 shares issued and outstanding, respectively	53,316	53,256
Additional paid-in capital	26,308,327	26,164,622
Accumulated other comprehensive loss	(2,281,909)	(2,282,682)
Retained earnings	20,244,637	20,849,932
Total Stockholders' Equity	44,324,371	44,785,128
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY	$ 45,936,465	$ 47,267,840

CONDENSED CONSOLIDATED BALANCE3

CONDENSED CONSOLIDATED BALANCE SHEETS PARENTHETICAL - $ / shares	Jun. 30, 2016	Mar. 31, 2016
CONDENSED CONSOLIDATED BALANCE SHEETS PARENTHETICAL
Preferred stock par value	$ 0.001	$ 0.001
Preferred stock shares authorized	10,000,000	10,000,000
Preferred stock shares issued
Preferred stock shares outstanding
Common stock par value	$ 0.001	$ 0.001
Common stock shares authorized	100,000,000	100,000,000
Common stock shares issued	53,316,134	53,256,296
Common stock shares outstanding	53,316,134	53,256,296

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND OTHER COMPREHENSIVE INCOME (LOSS) - USD ($)	3 Months Ended
	Jun. 30, 2016	Jun. 30, 2015
REVENUES
Sales of goods, net	$ 3,462,893	$ 6,211,970
Sales of services, net	511,150	665,273
Total Revenues	3,974,043	6,877,243
COST OF SALES
Cost of goods sold-product	1,712,643	2,967,918
Cost of goods sold-services	347,150	595,538
Total Cost of Goods Sold	2,059,793	3,563,456
GROSS PROFIT	1,914,250	3,313,787
OPERATING EXPENSES
General and administrative expenses	2,385,567	3,441,140
Research and development	250,722	304,489
Depreciation and amortization expense	159,239	107,455
Total Operating Expenses	2,795,528	3,853,084
INCOME (LOSS) FROM OPERATIONS	(881,278)	(539,297)
OTHER INCOME (EXPENSE)
Gain (Loss) on sale of fixed assets	(2,592)	18,637
Other (expense) income	4,756	(108,990)
Interest income	27,942	21,123
Total Other Income (Expense)	30,106	(69,230)
NET INCOME BEFORE INCOME TAXES	(851,172)	(608,527)
INCOME TAX EXPENSE (BENEFIT)	(245,877)	(149,714)
NET LOSS	(605,295)	(458,814)
FOREIGN CURRENCY TRANSLATION GAIN (LOSS)	773	333,372
TOTAL COMPREHENSIVE INCOME (LOSS)	$ (604,522)	$ (125,441)
BASIC EARNINGS PER SHARE	$ (0.01)	$ (0.01)
FULLY DILUTED EARNINGS PER SHARE	$ (0.01)	$ (0.01)
BASIC WEIGHTED AVG NUMBER OF SHARES OUTSTANDING	53,256,333	53,214,594
FULLY DILUTED WEIGHTED AVG NUMBER OF SHARES OUTSTANDING	53,256,333	53,214,594

CONDENSED CONSOLIDATED STATEME5

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)	3 Months Ended
	Jun. 30, 2016	Jun. 30, 2015
OPERATING ACTIVITIES
Net Loss	$ (605,295)	$ (458,814)
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization expense	252,914	225,945
(Gain) Loss on sale of fixed assets	2,592	(18,637)
Bad debt expense	151,444	104,774
Stock options issued for services	143,765	187,406
Changes in operating assets and liabilities:
Changes in accounts receivable	770,432	2,402,191
Changes in income taxes receivable/payable	(541,844)	(129,012)
Changes in inventories	1,075,330	786,325
Changes in prepaid expenses	7,491	(18,728)
Changes in deferred tax asset/liability	15,095	(33,205)
Changes in accounts payable and accrued liabilities	(535,243)	(181,741)
Net Cash Provided by Operating Activities	736,681	2,866,504
INVESTING ACTIVITIES
Proceeds from sale of equipment	16,896	52,500
Purchase of fixed assets		(12,285)
Net Cash Provided by (Used in) Investing Activities	16,896	40,215
FINANCING ACTIVITIES
Value of equity awards surrendered by employees for tax liability		(23,526)
Stock issued in exercise of stock options
Net Cash Provided by (Used in) Financing Activities		(23,526)
Effect of exchange rate changes on cash	(3,082)	158,248
NET INCREASE IN CASH	750,495	3,041,441
CASH AT BEGINNING OF PERIOD	21,292,595	14,144,796
CASH AT END OF PERIOD	22,043,090	17,186,237
CASH PAID FOR:
Interest
Income taxes

Note 1 - Condensed Financial St

Note 1 - Condensed Financial Statements	3 Months Ended
	Jun. 30, 2016
Notes
Note 1 - Condensed Financial Statements	NOTE 1 - CONDENSED FINANCIAL STATEMENTS The accompanying financial statements have been prepared by the Company without audit. In the opinion of management, all adjustments (which include only normal recurring adjustments) necessary to present fairly the financial position, results of operations and cash flows at June 30, 2016 and for all periods presented have been made. 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. It is suggested that these condensed consolidated financial statements be read in conjunction with the financial statements and notes thereto included in the Company's March 31, 2016 audited financial statements. The results of operations for the periods ended June 30, 2016 and 2015 are not necessarily indicative of the operating results for the full years.

Note 2 - Significant Accounting

Note 2 - Significant Accounting Policies	3 Months Ended
	Jun. 30, 2016
Notes
Note 2 - Significant Accounting Policies	NOTE 2 – ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES This Organization and Summary of Significant Accounting Policies of Profire Energy, Inc. and Subsidiary (the “Company”) is presented to assist in understanding the Company’s consolidated financial statements. The Company’s accounting policies conform to accounting principles generally accepted in the United States of America (US GAAP). Profire Energy, Inc. was established on October 9, 2008 upon the closing of an Acquisition Agreement between The Flooring Zone, Inc. and Profire Combustion, Inc. and the shareholders of Profire Combustion, Inc. (the “Subsidiary”). Following the closing of the agreement The Flooring Zone, Inc. was renamed Profire Energy, Inc. (the “Parent”). Pursuant to the terms and conditions of the Acquisition Agreement, 35,000,000 shares of restricted common stock of the Company were issued to the three shareholders of the Subsidiary in exchange for all of the issued and outstanding shares of the Subsidiary. As a result of the transaction, the Subsidiary became a wholly-owned subsidiary of the Parent and the shareholders of the Subsidiary became the controlling shareholders of the Company. Organization and Line of Business The Parent was incorporated on May 5, 2003 in the State of Nevada. The Subsidiary was incorporated on March 6, 2002 in the province of Alberta, Canada. The Company provides burner and chemical management products and services for the oil and gas industry in the Canadian and US markets. Reclassification Certain balances in previously issued consolidated financial statements have been reclassified to be consistent with the current period presentation. Use of Estimates The preparation of financial statements in accordance with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reportable amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Principles of Consolidation The consolidated financial statements include our wholly-owned subsidiary. Intercompany balances and transactions have been eliminated. Basic and Diluted Loss Per Share The computation of basic loss per share of common stock is based on the weighted average number of shares outstanding during the periods presented using the treasury stock method. The computation of fully diluted loss per share includes common stock equivalents outstanding at the balance sheet date. As of June 30, 2016 and 2015 the Company had 332,794 and 69,190 common stock equivalents from equity awards that have been excluded from the calculation of diluted loss per share as their effect would have been anti-dilutive. Basic and diluted loss per share are as follows: For the Three Months Ended June 30, 2016 2015 Net income (loss) applicable to common shareholders $ (605,295) $ (458,813) Weighted average shares outstanding 53,256,333 53,214,594 Weighted average fully diluted shares outstanding 53,256,333 53,214,594 Basic earnings per share $ (0.01) $ (0.01) Fully diluted earnings per share $ (0.01) $ (0.01) Foreign Currency and Comprehensive Income The functional currency of the Company and its subsidiaries in the U.S. and Canada are the U.S. Dollar ("USD") and the Canadian Dollar ("CAD"), respectively. The financial statements of the Company were translated to USD using period end exchange rates for the balance sheet, and average exchange rates for the statements of operations. Equity transactions were translated using historical rates. The period-end exchange rates of 0.772081 and 0.7711 were used to convert the Company’s June 30, 2016 and March 31, 2016 balance sheets, respectively, and the statements of operations used weighted average rates of 0.772962 and 0.811950 for the three months ended June 30, 2016 and 2015, respectively. All amounts in the financial statements and footnotes are presumed to be stated in USD, unless otherwise identified. Foreign currency translation gains or losses as a result of fluctuations in the exchange rates are reflected in the Consolidated Statement of Operations and Comprehensive Income (Loss), and the Consolidated Statements of Stockholders’ Equity. Fair Value of Financial Instruments The fair value of a financial instrument is the amount that could be received upon the sale of an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Financial assets are marked to bid prices and financial liabilities are marked to offer prices. Fair value measurements do not include transaction costs. A fair value hierarchy is used to prioritize the quality and reliability of the information used to determine fair values. Categorization within the fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement. The fair value hierarchy is defined into the following three categories: Level 1: Quoted market prices in active markets for identical assets or liabilities. Level 2: Observable market-based inputs or inputs that are corroborated by market data. Level 3: Unobservable inputs that are not corroborated by market data. Fair value estimates of financial instruments are made at a specific point in time, based on relevant information about financial markets and specific financial instruments. As these estimates are subjective in nature, involving uncertainties and matters of significant judgment, they cannot be determined with precision. Changes in assumptions can significantly affect estimated fair value. The carrying value of cash, accounts receivable, accounts payable and accrued liabilities approximate their fair value because of the short-term nature of these instruments. Management is of the opinion that the Company is not exposed to significant interest or credit risks arising from these financial instruments. Cash and Cash Equivalents For purposes of the statement of cash flows, cash and cash equivalents include cash and all debt securities with an original maturity of 90 days or less. As of June 30, 2016 and March 31, 2016, cash and cash equivalents totaled $22,043,090 and $21,292,595 respectively. Accounts Receivable Receivables from the sale of goods and services are stated at net realizable value. This value includes an appropriate allowance for estimated uncollectible accounts. The allowance is calculated based on past collectability and customer relationships. The Company recorded an allowance for doubtful accounts of $268,464 and $250,646 as of June 30, 2016 and March 31, 2016, respectively. Inventories In accordance with ARB No. 43 “Inventory Pricing,” For the Period Ending June 30, 2016 March 31, 2016 Raw materials $ 716,949 $ 967,823 Finished goods 9,484,322 10,316,857 Work in process - - Subtotal 10,201,271 11,284,680 Reserve for Obsolence (229,919) (237,998) Total $ 9,971,352 $ 11,046,682 Long-Lived Assets We periodically review the carrying amount of our long-lived assets for impairment. An asset is considered impaired when estimated future cash flows are less than the asset’s carrying amount. In the event the carrying amount of such asset is not considered recoverable, the asset is adjusted to its fair value. Fair value is generally determined based on discounted future cash flow. Other Intangible Assets The Company accounts for Other Intangible Assets under the guidance of ASC 350, “Intangibles—Goodwill and Other”. The Company capitalizes certain costs related to patent technology, as a substantial portion of the purchase price related to the Company’s acquisition of VIM assets has been assigned to patents. Under the guidance, Other Intangible Assets with definite lives are amortized over their estimated useful lives. Intangible assets with indefinite lives are tested annually for impairment. Goodwill Goodwill, representing the difference between the total purchase price and the fair value of assets (tangible and intangible) and liabilities at the date of acquisition, is reviewed for impairment annually, and more frequently as circumstances warrant, and written down only in the period in which the recorded value of such assets exceed their fair value. The Company does not amortize goodwill in accordance with Financial Accounting Standards Board (the “FASB”) Accounting Standards Codification (“ASC”) 350, “Intangibles—Goodwill and Other” (“ASC 350”). Goodwill is tested for impairment at the reporting unit level. The Company’s two operating segments comprise the reporting unit for goodwill impairment testing purposes. Revenue Recognition The Company records sales when a firm sales agreement is in place, delivery has occurred or services have been rendered, and collectability of the fixed or determinable sales price is reasonably assured. If customer acceptance of products is not assured, the Company records sales only upon formal customer acceptance. Cost of Sales The Company includes product costs (i.e. material, direct labor and overhead costs), shipping and handling expense, production-related depreciation expense and product license agreement expense in cost of sales. Advertising Costs The Company classifies expenses for advertising as general and administrative expenses. The Company incurred advertising costs of $32,141 and $20,240 during the three months ended June 30, 2016 and 2015, respectively. Stock-Based Compensation The Company follows the provisions of ASC 718, “Share-Based Payment.” which requires all share-based payments to employees, including grants of employee stock options, to be recognized in the income statement based on their fair values. The Company uses the Black-Scholes pricing model for determining the fair value of stock based compensation. Income Taxes The Parent is subject to US income taxes on a stand-alone basis. The Parent and its Subsidiary file separate stand-alone tax returns in each jurisdiction in which they operate. The Subsidiary is a corporation operating in Canada and is subject to Canadian income taxes on its stand-alone taxable income. The effective rates of income tax expense (benefit) are (29%) and (25%) for the three months ended June 30, 2016 and 2015, respectively. The Company utilizes an asset and liability approach for financial accounting and reporting for income taxes. Deferred income taxes are provided for temporary differences in the basis of assets and liabilities as reported for financial statement and income tax purposes. Deferred income taxes reflect the tax effects of net operating loss and tax credit carryovers and temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. Realization of certain deferred tax assets is dependent upon future earnings, if any. The Company makes estimates and judgments in determining the need for a provision for income taxes, including the estimation of our taxable income for each full fiscal year. Research and Development All costs associated with research and development are expensed when incurred. Costs incurred for research and development were $250,722 and $304,489 for the three months ended June 30, 2016 and 2015, respectively. Shipping and Handling Fees and Costs The Company records all amounts billed to customers related to shipping and handling fees as revenue. The Company classifies expenses for shipping and handling costs as cost of goods sold. The Company incurred shipping and handling costs of $37,715 and $85,326 during the three months ended June 30, 2016 and 2015, respectively. Comprehensive Income (Loss) Comprehensive income (loss) includes net income (loss) as currently reported by the Company adjusted for other comprehensive items. Other comprehensive items for the Company consist of foreign currency translation gains and losses and unrealized holding gains and losses on available for sale securities. Recent Accounting Pronouncements The Company has evaluated recent accounting pronouncements and their adoption has not had or is not expected to have a material impact on the Company’s financial position, results of operations or cash flows. Property and Equipment Useful Lives Property and equipment is stated at cost. Depreciation on property and equipment is computed using the diminishing balance method over the estimated useful lives of the assets. The estimated useful lives of the assets are as follows: Assets Estimated useful life Furniture and fixtures 7 Years Machinery and equipment 7 Years Buildings 30 Years Vehicles 5 Years Computers 3 Years Software 2 Years Beginning in fiscal year 2016, we revised the estimated useful lives from 5 to 7 years for furniture and fixtures, and machinery and equipment, 25 to 30 years for buildings, 3 to 5 years for vehicles, and added a software asset type that has a useful life of 2 years. The change in depreciable lives is considered a change in accounting estimate on a prospective basis from April 1, 2015 and had an immaterial impact on overall financial statements for the period ended June 30, 2016.

Note 3 - Property and Equipment

Note 3 - Property and Equipment	3 Months Ended
	Jun. 30, 2016
Notes
Note 3 - Property and Equipment	NOTE 3 – PROPERTY, PLANT AND EQUIPMENT Property and equipment consisted of the following: For the Period Ending June 30, 2016 March 31, 2016 Office furniture and equipment $ 962,026 $ 968,135 Service and shop equipment 567,230 577,240 Vehicles 2,677,825 2,715,920 Land and buildings 6,735,050 6,733,415 Total property and equipment 10,942,131 10,994,710 Accumulated depreciation (2,972,962) (2,761,799) Net property and equipment $ 7,969,169 $ 8,232,911

Note 4 - Stockholders' Equity

Note 4 - Stockholders' Equity	3 Months Ended
	Jun. 30, 2016
Notes
Note 4 - Stockholders' Equity	NOTE 4 – STOCKHOLDERS’ EQUITY The Company had the following $0.001 par value authorized stock: Preferred Stock 10,000,000 shares. Common Stock 100,000,000 shares. As of June 30, 2016 and March 31, 2016, the Company had 53,316,134 and 53,256,296 shares of common stock issued and outstanding, respectively. During the period ended June 30, 2016, the Company issued 59,953 restricted shares of common stock for the settlement of previously vested restricted stock awards for which the compensation expense was recorded in prior years.

Note 5 - Intangible Assets

Note 5 - Intangible Assets	3 Months Ended
	Jun. 30, 2016
Notes
Note 5 - Intangible Assets	NOTE 5 – INTANGIBLE ASSETS Definite-lived intangible assets consist of distribution agreements, patents, trademarks, copyrights, and domain names. The costs of distribution agreements are amortized over the remaining life of agreements. The costs of the patents are to be amortized over 20 years once the patent has been approved. Indefinite-lived intangible assets consist of goodwill. In accordance with ASC 350, Goodwill is not amortized but tested for impairment annually or more frequently when events or circumstances indicates that the carrying value of a reporting unit more likely than not exceeds its fair value. The Company’s annual goodwill impairment testing date is March 31 of each year. Intangible assets consisted of the following: Definite-lived intangible assets For the Period Ending June 30, 2016 March 31, 2016 Distribution agreements $ 40,757 $ 40,702 Less: Accumulated amortization (40,757) (40,702) Distribution agreements, net — — Patents, trademarks, copyrights, and domain names 567,882 567,109 Less: Accumulated amortization (44,959) (37,809) Patents, trademarks, copyrights, and domain names, net 522,923 529,300 Total definite-lived intangible assets, net $ 522,923 $ 529,300 Indefinite-lived intangible assets For the Period Ending June 30, 2016 March 31, 2016 Goodwill $ 997,701 $ 997,701 Estimated amortization expense for the distribution agreements, patents, trademarks, copyrights, and domain names for the next five years consists of the following as of March 31, 2016: For the Years Ending March 31, Year Amount 2017 $ 28,103 2018 28,103 2019 28,103 2020 28,103 2021 28,103

Note 6 - Segment Information

Note 6 - Segment Information	3 Months Ended
	Jun. 30, 2016
Notes
Note 6 - Segment Information	NOTE 6 – SEGMENT INFORMATION The Company operates in the United States and Canada. Segment information for these geographic areas is as follows: For the Three Months Ending June 30, Sales 2016 2015 Canada $ 1,422,087 $ 1,401,544 United States 2,551,956 5,475,699 Total $ 3,974,043 $ 6,877,243 For the Period Ending Long-lived assets June 30, 2016 March 31, 2016 Canada $ 1,049,427 $ 1,067,346 United States 6,919,742 7,165,565 Total $ 7,969,169 $ 8,232,911

Note 7 - Stock Based Compensati

Note 7 - Stock Based Compensation	3 Months Ended
	Jun. 30, 2016
Notes
Note 7 - Stock Based Compensation	NOTE 7 – STOCK BASED COMPENSATION On May 25, 2016 the Company granted a total of 315,500 stock options to employees. The options vest 1/3 each year for 3 years, with the first vesting occurring on the first anniversary of the vesting date. The Company estimates the fair value of each option award at the grant date by using the Black-Scholes option pricing model. Additionally, the Company granted 15,000 RSUs to Ryan Oviatt, the Company CFO vesting immediately on the date of grant, pursuant to his employment agreement. The Company estimates the fair value of the RSUs at their intrinsic value at the time of granting. The Company recognized $143,765 and $187,406 in expense for the fair value of previously granted stock based compensation vested during the three months ended June 30, 2016, and 2015, respectively. Stock compensation expense is recognized on a pro-rata basis over the vesting period of the equity awards. During the three month periods ended June 30, 2016 the Company recognized $143,765 in compensation expense arising from equity awards issued, leaving $1,142,898 of compensation expense on equity awards to be recognized subsequent to June 30, 2016. A summary of the status of the Company’s stock option plans and the changes during each period are presented below: Options Wtd. Avg. Fair Value Outstanding, March 31, 2015 2,113,500 1.90 Granted - - Exercised - - Forfeited/Expired (552,300) 1.54 Outstanding, March 31, 2016 1,561,200 1.90 Exercisable, March 31, 2016 1,050,800 2.12 Options Wtd. Avg. Fair Value Outstanding, March 31, 2016 1,561,200 1.90 Granted 315,500 1.01 Exercised - - Forfeited/Expired (96,000) 1.92 Outstanding, June 30, 2016 1,780,700 1.84 Exercisable, June 30, 2016 1,128,500 2.10 The following table summarizes information about the Company’s outstanding stock options: Total Outstanding and Exercisable March 31, 2016 Outstanding Options (1 share/option) Average Remaining Life (Yrs) Exercisable Shares Weighted Average Exercise Price Strike Price $ 0.30 110,000 0.88 110,000 0.30 $ 1.37 711,500 3.13 345,500 1.37 $ 1.75 346,500 1.93 276,500 1.75 $ 3.85 200,000 3.61 200,000 3.85 $ 3.95 100,000 7.86 100,000 3.95 $ 4.03 93,200 4.09 18,800 4.03 1,561,200 2.92 1,050,800 2.12 Total Outstanding and Exercisable June 30, 2016 Outstanding Options (1 share/option) Average Remaining Life (Yrs) Exercisable Shares Weighted Average Exercise Price Strike Price $ 0.30 110,000 0.63 110,000 0.30 $ 1.01 315,500 3.90 - 1.01 $ 1.37 658,000 2.84 431,000 1.37 $ 1.75 320,000 1.68 255,000 1.75 $ 3.85 200,000 3.36 200,000 3.85 $ 3.95 100,000 7.61 100,000 3.95 $ 4.03 77,200 3.84 32,500 4.03 1,780,700 2.67 1,128,500 2.10 The following table summarizes information about non-vested options as of the three months ended June 30, 2016: Non-vested options Options Wtd. Avg. Grant Date Fair Value Non-vested at March 31, 2016 510,400 1.81 Stock options granted during the period 315,500 1.01 Stock options canceled (96,000) 1.92 Cancellation of previously vested stock options 50,700 1.59 Vested during the period ended June 30, 2016 (128,200) 1.68 Non-vested at June 30, 2016 659,900 1.41 The following table summarizes information about non-vested restricted stock awards as of the three months ended June 30, 2016: Non-vested restricted stock Restricted Stock Wtd. Avg. Grant Date Fair Value Non-vested at March 31, 2016 97,334 4.03 Restricted stock granted during the period - - Restricted Stock canceled - - Vested, not settled during the period ended June 30, 2016 (24,332) 4.03 Vested & settled during the period ended June 30, 2016 - - Non-vested at June 30, 2016 73,002 4.03 Non-vested restricted stock units Restricted Stock Units Wtd. Avg. Grant Date Fair Value Non-vested at March 31, 2016 305,333 1.38 Restricted stock units granted during the period 15,000 1.01 Restricted stock units canceled - - Vested, not settled during the period ended June 30, 2016 (48,333) 1.01 Vested & settled during the period ended June 30, 2016 - - Non-vested at June 30, 2016 272,000 1.36

Note 8 - Subsequent Events

Note 8 - Subsequent Events	3 Months Ended
	Jun. 30, 2016
Notes
Note 8 - Subsequent Events	NOTE 8 – SUBSEQUENT EVENTS On July 18, 2016, Mr. Stephen E. Pirnat notified (the "Company") of his decision not to stand for re-election to the Company's Board of Directors ("Board") at the Company's 2016 Annual Meeting of Stockholders ("2016 Annual Meeting"). Mr. Pirnat will continue to serve as a Director until the election of Directors at the 2016 Annual Meeting. Mr. Pirnat's decision to resign did not involve any disagreement with the Company, the Company's managers, or the Board of Directors. On May 13, 2016, (the "Company") received a letter ("Notice") from The NASDAQ Stock Market LLC ("Nasdaq") notifying the Company that, because the closing bid price for its Common stock was below $1.00 per share for the previous 30 consecutive business days, it no longer complied with the minimum bid price requirement for continued listing on The Nasdaq Capital Market pursuant to Nasdaq Marketplace Rule 5550(a)(2). The letter also stated that the Company was granted an initial compliance period of 180 calendar days, or until November 9, 2016, to regain compliance with the Minimum Bid Price Requirement pursuant to Nasdaq Marketplace Rule 5810(c)(3)(A). The letter indicated that if, at any time during the 180 day compliance period, the closing bid price of the Common Stock is at least $1.00 for a minimum of ten consecutive business days, Nasdaq will provide the Company with written confirmation that it has achieved compliance with the minimum bid price requirement. On July 8, 2016 the Company received a letter from Nasdaq notifying the Company that for the previous 10 consecutive business days, from June 23 to July 7, 2016, the closing bid price of the Company's common stock was $1.00 per share or greater, and that the Company regained compliance with Marketplace Rule 5550(a)(2) and this matter is now closed. On June 20, 2016 the Company issued a total of 9,081 restricted shares to its CFO. The shares were issued as a net settlement of previously granted and vested restricted stock units.

Note 2 - Significant Accounti14

Note 2 - Significant Accounting Policies: Organization and Line of Business (Policies)	3 Months Ended
	Jun. 30, 2016
Policies
Organization and Line of Business	Organization and Line of Business The Parent was incorporated on May 5, 2003 in the State of Nevada. The Subsidiary was incorporated on March 6, 2002 in the province of Alberta, Canada. The Company provides burner and chemical management products and services for the oil and gas industry in the Canadian and US markets.

Note 2 - Significant Accounti15

Note 2 - Significant Accounting Policies: Reclassification (Policies)	3 Months Ended
	Jun. 30, 2016
Policies
Reclassification	Reclassification Certain balances in previously issued consolidated financial statements have been reclassified to be consistent with the current period presentation.

Note 2 - Significant Accounti16

Note 2 - Significant Accounting Policies: Use of Estimates (Policies)	3 Months Ended
	Jun. 30, 2016
Policies
Use of Estimates	Use of Estimates The preparation of financial statements in accordance with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reportable amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

Note 2 - Significant Accounti17

Note 2 - Significant Accounting Policies: Principles of Consolidation (Policies)	3 Months Ended
	Jun. 30, 2016
Policies
Principles of Consolidation	Principles of Consolidation The consolidated financial statements include our wholly-owned subsidiary. Intercompany balances and transactions have been eliminated.

Note 2 - Significant Accounti18

Note 2 - Significant Accounting Policies: Basic and Diluted Earnings Per Share (Policies)	3 Months Ended
	Jun. 30, 2016
Policies
Basic and Diluted Earnings Per Share	Basic and Diluted Loss Per Share The computation of basic loss per share of common stock is based on the weighted average number of shares outstanding during the periods presented using the treasury stock method. The computation of fully diluted loss per share includes common stock equivalents outstanding at the balance sheet date. As of June 30, 2016 and 2015 the Company had 332,794 and 69,190 common stock equivalents from equity awards that have been excluded from the calculation of diluted loss per share as their effect would have been anti-dilutive. Basic and diluted loss per share are as follows: For the Three Months Ended June 30, 2016 2015 Net income (loss) applicable to common shareholders $ (605,295) $ (458,813) Weighted average shares outstanding 53,256,333 53,214,594 Weighted average fully diluted shares outstanding 53,256,333 53,214,594 Basic earnings per share $ (0.01) $ (0.01) Fully diluted earnings per share $ (0.01) $ (0.01)

Note 2 - Significant Accounti19

Note 2 - Significant Accounting Policies: Foreign Currency and Comprehensive Income (Policies)	3 Months Ended
	Jun. 30, 2016
Policies
Foreign Currency and Comprehensive Income	Foreign Currency and Comprehensive Income The functional currency of the Company and its subsidiaries in the U.S. and Canada are the U.S. Dollar ("USD") and the Canadian Dollar ("CAD"), respectively. The financial statements of the Company were translated to USD using period end exchange rates for the balance sheet, and average exchange rates for the statements of operations. Equity transactions were translated using historical rates. The period-end exchange rates of 0.772081 and 0.7711 were used to convert the Company’s June 30, 2016 and March 31, 2016 balance sheets, respectively, and the statements of operations used weighted average rates of 0.772962 and 0.811950 for the three months ended June 30, 2016 and 2015, respectively. All amounts in the financial statements and footnotes are presumed to be stated in USD, unless otherwise identified. Foreign currency translation gains or losses as a result of fluctuations in the exchange rates are reflected in the Consolidated Statement of Operations and Comprehensive Income (Loss), and the Consolidated Statements of Stockholders’ Equity.

Note 2 - Significant Accounti20

Note 2 - Significant Accounting Policies: Fair Value of Financial Instruments (Policies)	3 Months Ended
	Jun. 30, 2016
Policies
Fair Value of Financial Instruments	Fair Value of Financial Instruments The fair value of a financial instrument is the amount that could be received upon the sale of an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Financial assets are marked to bid prices and financial liabilities are marked to offer prices. Fair value measurements do not include transaction costs. A fair value hierarchy is used to prioritize the quality and reliability of the information used to determine fair values. Categorization within the fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement. The fair value hierarchy is defined into the following three categories: Level 1: Quoted market prices in active markets for identical assets or liabilities. Level 2: Observable market-based inputs or inputs that are corroborated by market data. Level 3: Unobservable inputs that are not corroborated by market data. Fair value estimates of financial instruments are made at a specific point in time, based on relevant information about financial markets and specific financial instruments. As these estimates are subjective in nature, involving uncertainties and matters of significant judgment, they cannot be determined with precision. Changes in assumptions can significantly affect estimated fair value. The carrying value of cash, accounts receivable, accounts payable and accrued liabilities approximate their fair value because of the short-term nature of these instruments. Management is of the opinion that the Company is not exposed to significant interest or credit risks arising from these financial instruments.

Note 2 - Significant Accounti21

Note 2 - Significant Accounting Policies: Cash and Cash Equivalents (Policies)	3 Months Ended
	Jun. 30, 2016
Policies
Cash and Cash Equivalents	Cash and Cash Equivalents For purposes of the statement of cash flows, cash and cash equivalents include cash and all debt securities with an original maturity of 90 days or less. As of June 30, 2016 and March 31, 2016, cash and cash equivalents totaled $22,043,090 and $21,292,595 respectively.

Note 2 - Significant Accounti22

Note 2 - Significant Accounting Policies: Accounts Receivable (Policies)	3 Months Ended
	Jun. 30, 2016
Policies
Accounts Receivable	Accounts Receivable Receivables from the sale of goods and services are stated at net realizable value. This value includes an appropriate allowance for estimated uncollectible accounts. The allowance is calculated based on past collectability and customer relationships. The Company recorded an allowance for doubtful accounts of $268,464 and $250,646 as of June 30, 2016 and March 31, 2016, respectively.

Note 2 - Significant Accounti23

Note 2 - Significant Accounting Policies: Inventories (Policies)	3 Months Ended
	Jun. 30, 2016
Policies
Inventories	Inventories In accordance with ARB No. 43 “Inventory Pricing,” For the Period Ending June 30, 2016 March 31, 2016 Raw materials $ 716,949 $ 967,823 Finished goods 9,484,322 10,316,857 Work in process - - Subtotal 10,201,271 11,284,680 Reserve for Obsolence (229,919) (237,998) Total $ 9,971,352 $ 11,046,682

Note 2 - Significant Accounti24

Note 2 - Significant Accounting Policies: Long-lived Assets (Policies)	3 Months Ended
	Jun. 30, 2016
Policies
Long-lived Assets	Long-Lived Assets We periodically review the carrying amount of our long-lived assets for impairment. An asset is considered impaired when estimated future cash flows are less than the asset’s carrying amount. In the event the carrying amount of such asset is not considered recoverable, the asset is adjusted to its fair value. Fair value is generally determined based on discounted future cash flow.

Note 2 - Significant Accounti25

Note 2 - Significant Accounting Policies: Other Intangible Assets and Goodwill (Policies)	3 Months Ended
	Jun. 30, 2016
Policies
Other Intangible Assets and Goodwill	Other Intangible Assets The Company accounts for Other Intangible Assets under the guidance of ASC 350, “Intangibles—Goodwill and Other”. The Company capitalizes certain costs related to patent technology, as a substantial portion of the purchase price related to the Company’s acquisition of VIM assets has been assigned to patents. Under the guidance, Other Intangible Assets with definite lives are amortized over their estimated useful lives. Intangible assets with indefinite lives are tested annually for impairment. Goodwill Goodwill, representing the difference between the total purchase price and the fair value of assets (tangible and intangible) and liabilities at the date of acquisition, is reviewed for impairment annually, and more frequently as circumstances warrant, and written down only in the period in which the recorded value of such assets exceed their fair value. The Company does not amortize goodwill in accordance with Financial Accounting Standards Board (the “FASB”) Accounting Standards Codification (“ASC”) 350, “Intangibles—Goodwill and Other” (“ASC 350”). Goodwill is tested for impairment at the reporting unit level. The Company’s two operating segments comprise the reporting unit for goodwill impairment testing purposes.

Note 2 - Significant Accounti26

Note 2 - Significant Accounting Policies: Revenue Recognition (Policies)	3 Months Ended
	Jun. 30, 2016
Policies
Revenue Recognition	Revenue Recognition The Company records sales when a firm sales agreement is in place, delivery has occurred or services have been rendered, and collectability of the fixed or determinable sales price is reasonably assured. If customer acceptance of products is not assured, the Company records sales only upon formal customer acceptance.

Note 2 - Significant Accounti27

Note 2 - Significant Accounting Policies: Cost of Sales (Policies)	3 Months Ended
	Jun. 30, 2016
Policies
Cost of Sales	Cost of Sales The Company includes product costs (i.e. material, direct labor and overhead costs), shipping and handling expense, production-related depreciation expense and product license agreement expense in cost of sales.

Note 2 - Significant Accounti28

Note 2 - Significant Accounting Policies: Advertising Costs (Policies)	3 Months Ended
	Jun. 30, 2016
Policies
Advertising Costs	Advertising Costs The Company classifies expenses for advertising as general and administrative expenses. The Company incurred advertising costs of $32,141 and $20,240 during the three months ended June 30, 2016 and 2015, respectively.

Note 2 - Significant Accounti29

Note 2 - Significant Accounting Policies: Stock-based Compensation (Policies)	3 Months Ended
	Jun. 30, 2016
Policies
Stock-based Compensation	Stock-Based Compensation The Company follows the provisions of ASC 718, “Share-Based Payment.” which requires all share-based payments to employees, including grants of employee stock options, to be recognized in the income statement based on their fair values. The Company uses the Black-Scholes pricing model for determining the fair value of stock based compensation.

Note 2 - Significant Accounti30

Note 2 - Significant Accounting Policies: Income Taxes (Policies)	3 Months Ended
	Jun. 30, 2016
Policies
Income Taxes	Income Taxes The Parent is subject to US income taxes on a stand-alone basis. The Parent and its Subsidiary file separate stand-alone tax returns in each jurisdiction in which they operate. The Subsidiary is a corporation operating in Canada and is subject to Canadian income taxes on its stand-alone taxable income. The effective rates of income tax expense (benefit) are (29%) and (25%) for the three months ended June 30, 2016 and 2015, respectively. The Company utilizes an asset and liability approach for financial accounting and reporting for income taxes. Deferred income taxes are provided for temporary differences in the basis of assets and liabilities as reported for financial statement and income tax purposes. Deferred income taxes reflect the tax effects of net operating loss and tax credit carryovers and temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. Realization of certain deferred tax assets is dependent upon future earnings, if any. The Company makes estimates and judgments in determining the need for a provision for income taxes, including the estimation of our taxable income for each full fiscal year.

Note 2 - Significant Accounti31

Note 2 - Significant Accounting Policies: Research and Development (Policies)	3 Months Ended
	Jun. 30, 2016
Policies
Research and Development	Research and Development All costs associated with research and development are expensed when incurred. Costs incurred for research and development were $250,722 and $304,489 for the three months ended June 30, 2016 and 2015, respectively.

Note 2 - Significant Accounti32

Note 2 - Significant Accounting Policies: Shipping and Handling Fees and Costs (Policies)	3 Months Ended
	Jun. 30, 2016
Policies
Shipping and Handling Fees and Costs	Shipping and Handling Fees and Costs The Company records all amounts billed to customers related to shipping and handling fees as revenue. The Company classifies expenses for shipping and handling costs as cost of goods sold. The Company incurred shipping and handling costs of $37,715 and $85,326 during the three months ended June 30, 2016 and 2015, respectively.

Note 2 - Significant Accounti33

Note 2 - Significant Accounting Policies: Comprehensive Income (Loss) (Policies)	3 Months Ended
	Jun. 30, 2016
Policies
Comprehensive Income (Loss)	Comprehensive Income (Loss) Comprehensive income (loss) includes net income (loss) as currently reported by the Company adjusted for other comprehensive items. Other comprehensive items for the Company consist of foreign currency translation gains and losses and unrealized holding gains and losses on available for sale securities.

Note 2 - Significant Accounti34

Note 2 - Significant Accounting Policies: Recent Accounting Pronouncements (Policies)	3 Months Ended
	Jun. 30, 2016
Policies
Recent Accounting Pronouncements	Recent Accounting Pronouncements The Company has evaluated recent accounting pronouncements and their adoption has not had or is not expected to have a material impact on the Company’s financial position, results of operations or cash flows.

Note 2 - Significant Accounti35

Note 2 - Significant Accounting Policies: Property and Equipment Useful Lives (Policies)	3 Months Ended
	Jun. 30, 2016
Policies
Property and Equipment Useful Lives	Property and Equipment Useful Lives Property and equipment is stated at cost. Depreciation on property and equipment is computed using the diminishing balance method over the estimated useful lives of the assets. The estimated useful lives of the assets are as follows: Assets Estimated useful life Furniture and fixtures 7 Years Machinery and equipment 7 Years Buildings 30 Years Vehicles 5 Years Computers 3 Years Software 2 Years Beginning in fiscal year 2016, we revised the estimated useful lives from 5 to 7 years for furniture and fixtures, and machinery and equipment, 25 to 30 years for buildings, 3 to 5 years for vehicles, and added a software asset type that has a useful life of 2 years. The change in depreciable lives is considered a change in accounting estimate on a prospective basis from April 1, 2015 and had an immaterial impact on overall financial statements for the period ended June 30, 2016.

Note 2 - Significant Accounti36

Note 2 - Significant Accounting Policies: Basic and Diluted Earnings Per Share: Schedule of Earnings Per Share, Basic and Diluted (Tables)	3 Months Ended
	Jun. 30, 2016
Tables/Schedules
Schedule of Earnings Per Share, Basic and Diluted	For the Three Months Ended June 30, 2016 2015 Net income (loss) applicable to common shareholders $ (605,295) $ (458,813) Weighted average shares outstanding 53,256,333 53,214,594 Weighted average fully diluted shares outstanding 53,256,333 53,214,594 Basic earnings per share $ (0.01) $ (0.01) Fully diluted earnings per share $ (0.01) $ (0.01)

Note 2 - Significant Accounti37

Note 2 - Significant Accounting Policies: Inventories: Schedule of Inventory, Current (Tables)	3 Months Ended
	Jun. 30, 2016
Tables/Schedules
Schedule of Inventory, Current	For the Period Ending June 30, 2016 March 31, 2016 Raw materials $ 716,949 $ 967,823 Finished goods 9,484,322 10,316,857 Work in process - - Subtotal 10,201,271 11,284,680 Reserve for Obsolence (229,919) (237,998) Total $ 9,971,352 $ 11,046,682

Note 2 - Significant Accounti38

Note 2 - Significant Accounting Policies: Property and Equipment Useful Lives: Schedule Of Estimated Useful Lives Of Assets (Tables)	3 Months Ended
	Jun. 30, 2016
Tables/Schedules
Schedule Of Estimated Useful Lives Of Assets	Assets Estimated useful life Furniture and fixtures 7 Years Machinery and equipment 7 Years Buildings 30 Years Vehicles 5 Years Computers 3 Years Software 2 Years

Note 3 - Property and Equipme39

Note 3 - Property and Equipment: Property, Plant and Equipment (Tables)	3 Months Ended
	Jun. 30, 2016
Tables/Schedules
Property, Plant and Equipment	For the Period Ending June 30, 2016 March 31, 2016 Office furniture and equipment $ 962,026 $ 968,135 Service and shop equipment 567,230 577,240 Vehicles 2,677,825 2,715,920 Land and buildings 6,735,050 6,733,415 Total property and equipment 10,942,131 10,994,710 Accumulated depreciation (2,972,962) (2,761,799) Net property and equipment $ 7,969,169 $ 8,232,911

Note 5 - Intangible Assets_ Sch

Note 5 - Intangible Assets: Schedule of Finite-Lived Intangible Assets (Tables)	3 Months Ended
	Jun. 30, 2016
Tables/Schedules
Schedule of Finite-Lived Intangible Assets	For the Period Ending June 30, 2016 March 31, 2016 Distribution agreements $ 40,757 $ 40,702 Less: Accumulated amortization (40,757) (40,702) Distribution agreements, net — — Patents, trademarks, copyrights, and domain names 567,882 567,109 Less: Accumulated amortization (44,959) (37,809) Patents, trademarks, copyrights, and domain names, net 522,923 529,300 Total definite-lived intangible assets, net $ 522,923 $ 529,300

Note 5 - Intangible Assets_ S41

Note 5 - Intangible Assets: Schedule of Indefinite-Lived Intangible Assets (Tables)	3 Months Ended
	Jun. 30, 2016
Tables/Schedules
Schedule of Indefinite-Lived Intangible Assets	For the Period Ending June 30, 2016 March 31, 2016 Goodwill $ 997,701 $ 997,701

Note 5 - Intangible Assets_ Fin

Note 5 - Intangible Assets: Finite-lived Intangible Assets Amortization Expense (Tables)	3 Months Ended
	Jun. 30, 2016
Tables/Schedules
Finite-lived Intangible Assets Amortization Expense	For the Years Ending March 31, Year Amount 2017 $ 28,103 2018 28,103 2019 28,103 2020 28,103 2021 28,103

Note 6 - Segment Information_ S

Note 6 - Segment Information: Schedule of Segment Reporting Information, by Segment (Tables)	3 Months Ended
	Jun. 30, 2016
Tables/Schedules
Schedule of Segment Reporting Information, by Segment	For the Three Months Ending June 30, Sales 2016 2015 Canada $ 1,422,087 $ 1,401,544 United States 2,551,956 5,475,699 Total $ 3,974,043 $ 6,877,243 For the Period Ending Long-lived assets June 30, 2016 March 31, 2016 Canada $ 1,049,427 $ 1,067,346 United States 6,919,742 7,165,565 Total $ 7,969,169 $ 8,232,911

Note 7 - Stock Based Compensa44

Note 7 - Stock Based Compensation: Schedule of Share-based Compensation, Activity (Tables)	3 Months Ended
	Jun. 30, 2016
Tables/Schedules
Schedule of Share-based Compensation, Activity	Options Wtd. Avg. Fair Value Outstanding, March 31, 2015 2,113,500 1.90 Granted - - Exercised - - Forfeited/Expired (552,300) 1.54 Outstanding, March 31, 2016 1,561,200 1.90 Exercisable, March 31, 2016 1,050,800 2.12 Options Wtd. Avg. Fair Value Outstanding, March 31, 2016 1,561,200 1.90 Granted 315,500 1.01 Exercised - - Forfeited/Expired (96,000) 1.92 Outstanding, June 30, 2016 1,780,700 1.84 Exercisable, June 30, 2016 1,128,500 2.10

Note 7 - Stock Based Compensa45

Note 7 - Stock Based Compensation: Schedule of Share Based Compensation Arrangement by Share Based Payment Award Options Outstanding and Exercisable (Tables)	3 Months Ended
	Jun. 30, 2016
Tables/Schedules
Schedule of Share Based Compensation Arrangement by Share Based Payment Award Options Outstanding and Exercisable	The following table summarizes information about the Company’s outstanding stock options: Total Outstanding and Exercisable March 31, 2016 Outstanding Options (1 share/option) Average Remaining Life (Yrs) Exercisable Shares Weighted Average Exercise Price Strike Price $ 0.30 110,000 0.88 110,000 0.30 $ 1.37 711,500 3.13 345,500 1.37 $ 1.75 346,500 1.93 276,500 1.75 $ 3.85 200,000 3.61 200,000 3.85 $ 3.95 100,000 7.86 100,000 3.95 $ 4.03 93,200 4.09 18,800 4.03 1,561,200 2.92 1,050,800 2.12 Total Outstanding and Exercisable June 30, 2016 Outstanding Options (1 share/option) Average Remaining Life (Yrs) Exercisable Shares Weighted Average Exercise Price Strike Price $ 0.30 110,000 0.63 110,000 0.30 $ 1.01 315,500 3.90 - 1.01 $ 1.37 658,000 2.84 431,000 1.37 $ 1.75 320,000 1.68 255,000 1.75 $ 3.85 200,000 3.36 200,000 3.85 $ 3.95 100,000 7.61 100,000 3.95 $ 4.03 77,200 3.84 32,500 4.03 1,780,700 2.67 1,128,500 2.10

Note 7 - Stock Based Compensa46

Note 7 - Stock Based Compensation: Schedule of Nonvested Share Activity (Tables)	3 Months Ended
	Jun. 30, 2016
Tables/Schedules
Schedule of Nonvested Share Activity	Non-vested options Options Wtd. Avg. Grant Date Fair Value Non-vested at March 31, 2016 510,400 1.81 Stock options granted during the period 315,500 1.01 Stock options canceled (96,000) 1.92 Cancellation of previously vested stock options 50,700 1.59 Vested during the period ended June 30, 2016 (128,200) 1.68 Non-vested at June 30, 2016 659,900 1.41

Note 7 - Stock Based Compensa47

Note 7 - Stock Based Compensation: Schedule of Share-based Compensation Arrangement by Share-based Payment Award, Restricted Stock Units, Vested, Non-Vested and Expected to Vest (Tables)	3 Months Ended
	Jun. 30, 2016
Tables/Schedules
Schedule of Share-based Compensation Arrangement by Share-based Payment Award, Restricted Stock Units, Vested, Non-Vested and Expected to Vest	Non-vested restricted stock Restricted Stock Wtd. Avg. Grant Date Fair Value Non-vested at March 31, 2016 97,334 4.03 Restricted stock granted during the period - - Restricted Stock canceled - - Vested, not settled during the period ended June 30, 2016 (24,332) 4.03 Vested & settled during the period ended June 30, 2016 - - Non-vested at June 30, 2016 73,002 4.03 Non-vested restricted stock units Restricted Stock Units Wtd. Avg. Grant Date Fair Value Non-vested at March 31, 2016 305,333 1.38 Restricted stock units granted during the period 15,000 1.01 Restricted stock units canceled - - Vested, not settled during the period ended June 30, 2016 (48,333) 1.01 Vested & settled during the period ended June 30, 2016 - - Non-vested at June 30, 2016 272,000 1.36

Note 2 - Significant Accounti48

Note 2 - Significant Accounting Policies: Organization and Line of Business (Details)	3 Months Ended
	Jun. 30, 2016
Details
Entity Incorporation, Date of Incorporation	May 5, 2003
Entity Incorporation, State Country Name	Nevada

Note 2 - Significant Accounti49

Note 2 - Significant Accounting Policies: Basic and Diluted Earnings Per Share (Details) - shares	3 Months Ended
	Jun. 30, 2016	Jun. 30, 2015
Details
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	332,794	69,190

Note 2 - Significant Accounti50

Note 2 - Significant Accounting Policies: Basic and Diluted Earnings Per Share: Schedule of Earnings Per Share, Basic and Diluted (Details) - USD ($)	3 Months Ended
	Jun. 30, 2016	Jun. 30, 2015
Details
Net income (loss) applicable to common shareholders	$ (605,295)	$ (458,813)
BASIC WEIGHTED AVG NUMBER OF SHARES OUTSTANDING	53,256,333	53,214,594
FULLY DILUTED WEIGHTED AVG NUMBER OF SHARES OUTSTANDING	53,256,333	53,214,594
BASIC EARNINGS PER SHARE	$ (0.01)	$ (0.01)
FULLY DILUTED EARNINGS PER SHARE	$ (0.01)	$ (0.01)

Note 2 - Significant Accounti51

Note 2 - Significant Accounting Policies: Foreign Currency and Comprehensive Income (Details)	3 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Mar. 31, 2016
Details
Foreign Currency Exchange Rate, Translation	0.772081		0.7711
Weighted Average Exchange Rate	0.772962	0.811950

Note 2 - Significant Accounti52

Note 2 - Significant Accounting Policies: Cash and Cash Equivalents (Details) - USD ($)	Jun. 30, 2016	Mar. 31, 2016	Jun. 30, 2015	Mar. 31, 2015
Details
Cash and cash equivalents	$ 22,043,090	$ 21,292,595	$ 17,186,237	$ 14,144,796

Note 2 - Significant Accounti53

Note 2 - Significant Accounting Policies: Accounts Receivable (Details) - USD ($)	Jun. 30, 2016	Mar. 31, 2016
Details
Allowance for Doubtful Accounts Receivable	$ 268,464	$ 250,646

Note 2 - Significant Accounti54

Note 2 - Significant Accounting Policies: Inventories: Schedule of Inventory, Current (Details) - USD ($)	Jun. 30, 2016	Mar. 31, 2016
Details
Inventory, Raw Materials, Gross	$ 716,949	$ 967,823
Inventory, Finished Goods, Gross	9,484,322	10,316,857
Subtotal	10,201,271	11,284,680
Reserves for obsolescence	(229,919)	(237,998)
Inventories	$ 9,971,352	$ 11,046,682

Note 2 - Significant Accounti55

Note 2 - Significant Accounting Policies: Advertising Costs (Details) - USD ($)	3 Months Ended
	Jun. 30, 2016	Jun. 30, 2015
Details
Advertising Expense	$ 32,141	$ 20,240

Note 2 - Significant Accounti56

Note 2 - Significant Accounting Policies: Research and Development (Details) - USD ($)	3 Months Ended
	Jun. 30, 2016	Jun. 30, 2015
Details
Research and development	$ 250,722	$ 304,489

Note 2 - Significant Accounti57

Note 2 - Significant Accounting Policies: Shipping and Handling Fees and Costs (Details) - USD ($)	3 Months Ended
	Jun. 30, 2016	Jun. 30, 2015
Details
Shipping, Handling and Transportation Costs	$ 37,715	$ 85,326

Note 2 - Significant Accounti58

Note 2 - Significant Accounting Policies: Property and Equipment Useful Lives: Schedule Of Estimated Useful Lives Of Assets (Details)	3 Months Ended
	Jun. 30, 2016
Furniture and Fixtures
Property, Plant and Equipment, Useful Life	7 years
Machinery and Equipment
Property, Plant and Equipment, Useful Life	7 years
Building
Property, Plant and Equipment, Useful Life	30 years
Vehicles
Property, Plant and Equipment, Useful Life	5 years
Computer Equipment
Property, Plant and Equipment, Useful Life	3 years
Software and Software Development Costs
Property, Plant and Equipment, Useful Life	2 years

Note 3 - Property and Equipme59

Note 3 - Property and Equipment: Property, Plant and Equipment (Details) - USD ($)	Jun. 30, 2016	Mar. 31, 2016
Details
Office furniture and equipment	$ 962,026	$ 968,135
Service and shop equipment	567,230	577,240
Vehicles	2,677,825	2,715,920
Land and buildings	6,735,050	6,733,415
Total property and equipment	10,942,131	10,994,710
Accumulated depreciation	(2,972,962)	(2,761,799)
PROPERTY AND EQUIPMENT, net	$ 7,969,169	$ 8,232,911

Note 4 - Stockholders' Equity (

Note 4 - Stockholders' Equity (Details) - $ / shares	3 Months Ended
	Jun. 30, 2016	Mar. 31, 2016
Details
Preferred stock par value	$ 0.001	$ 0.001
Common stock par value	$ 0.001	$ 0.001
Preferred stock shares authorized	10,000,000	10,000,000
Common stock shares authorized	100,000,000	100,000,000
Common stock shares issued	53,316,134	53,256,296
Common stock shares outstanding	53,316,134	53,256,296
Restricted shares of common stock issued for the settlement of previously vested restricted stock awards	59,953

Note 5 - Intangible Assets_ S61

Note 5 - Intangible Assets: Schedule of Finite-Lived Intangible Assets (Details) - USD ($)	Jun. 30, 2016	Mar. 31, 2016
Details
Distribution Agreements, Gross	$ 40,757	$ 40,702
Accumulated Amortization of Other Deferred Costs	(40,757)	(40,702)
Other Finite-Lived Intangible Assets, Gross	567,882	567,109
Finite-Lived Intangible Assets, Accumulated Amortization	(44,959)	(37,809)
Other Finite Lived Intangible Assets, Net	522,923	529,300
Intangible assets, net of accumulated amortization	$ 522,923	$ 529,300

Note 5 - Intangible Assets_ S62

Note 5 - Intangible Assets: Schedule of Indefinite-Lived Intangible Assets (Details) - USD ($)	Jun. 30, 2016	Mar. 31, 2016
Details
Goodwill	$ 997,701	$ 997,701

Note 5 - Intangible Assets_ F63

Note 5 - Intangible Assets: Finite-lived Intangible Assets Amortization Expense (Details)	Jun. 30, 2016USD ($)
Details
Finite-Lived Intangible Assets, Amortization Expense, Remainder of Fiscal Year	$ 28,103
Finite-Lived Intangible Assets, Amortization Expense, Year Two	28,103
Finite-Lived Intangible Assets, Amortization Expense, Year Three	28,103
Finite-Lived Intangible Assets, Amortization Expense, Year Four	28,103
Finite-Lived Intangible Assets, Amortization Expense, Year Five	$ 28,103

Note 6 - Segment Information_64

Note 6 - Segment Information: Schedule of Segment Reporting Information, by Segment (Details) - USD ($)	3 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Mar. 31, 2016
Total Revenues	$ 3,974,043	$ 6,877,243
PROPERTY AND EQUIPMENT, net	7,969,169		$ 8,232,911
CANADA
Total Revenues	1,422,087	1,401,544
PROPERTY AND EQUIPMENT, net	1,049,427		1,067,346
UNITED STATES
Total Revenues	2,551,956	$ 5,475,699
PROPERTY AND EQUIPMENT, net	$ 6,919,742		$ 7,165,565

Note 7 - Stock Based Compensa65

Note 7 - Stock Based Compensation (Details) - USD ($)	3 Months Ended
	Jun. 30, 2016	Jun. 30, 2015
Details
Stock options issued for services	$ 143,765	$ 187,406
Employee Stock Ownership Plan (ESOP), Compensation Expense	143,765
Remaining Compensation Expense Arising From Equity Awards Issued	$ 1,142,898

Note 7 - Stock Based Compensa66

Note 7 - Stock Based Compensation: Schedule of Share-based Compensation, Activity (Details) - $ / shares	3 Months Ended	12 Months Ended
	Jun. 30, 2016	Mar. 31, 2016	Mar. 31, 2015
Details
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number	1,780,700	1,561,200	2,113,500
Share Based Compensation Arrangement By Share Based Payment Award Equity Instruments Other Than Options Outstanding Weighted Average Grant Date Fair Value	$ 1.84	$ 1.90	$ 1.90
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Net of Forfeitures	315,500
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value	$ 1.01
Share-based Compensation Arrangement by Share-based Payment Award, Options, Forfeitures in Period	(96,000)	(552,300)
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Forfeitures, Weighted Average Grant Date Fair Value	$ 1.92	$ 1.54
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercisable, Number	1,128,500	1,050,800
Share Based Compensation Arrangement By Share Based Payment Award Equity Instruments Other Than Options Exercisable Weighted Average Grant Date Fair Value	$ 2.10	$ 2.12

Note 7 - Stock Based Compensa67

Note 7 - Stock Based Compensation: Schedule of Share Based Compensation Arrangement by Share Based Payment Award Options Outstanding and Exercisable (Details) - $ / shares	3 Months Ended	12 Months Ended
	Jun. 30, 2016	Mar. 31, 2016
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Number of Outstanding Options	1,780,700	1,561,200
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Outstanding Options, Weighted Average Remaining Contractual Term	2 years 8 months 1 day	2 years 11 months 1 day
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Number of Exercisable Options	1,128,500	1,050,800
Share Based Compensation Arrangement By Share Based Payment Award Options Outstanding and Exercisable Weighted Average Exercise Price	$ 2.10	$ 2.12
ExercisableOptions1Member
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Number of Exercisable Options	110,000	110,000
ExercisableOptions2Member
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Number of Exercisable Options		345,500
ExercisableOptions3Member
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Number of Exercisable Options	431,000	276,500
ExercisableOptions4Member
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Number of Exercisable Options	255,000	200,000
ExercisableOptions5Member
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Number of Exercisable Options	200,000	100,000
ExercisableOptions6Member
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Number of Exercisable Options	100,000	18,800
ExercisableOptions7Member
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Number of Exercisable Options	32,500
OutstandingOptions1Member
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Number of Outstanding Options	110,000	110,000
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Outstanding Options, Weighted Average Remaining Contractual Term	7 months 17 days	10 months 17 days
Share Based Compensation Arrangement By Share Based Payment Award Options Outstanding and Exercisable Weighted Average Exercise Price	$ 0.30	$ 0.30
OutstandingOptions2Member
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Number of Outstanding Options	315,500	711,500
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Outstanding Options, Weighted Average Remaining Contractual Term	3 years 10 months 24 days	3 years 1 month 17 days
Share Based Compensation Arrangement By Share Based Payment Award Options Outstanding and Exercisable Weighted Average Exercise Price	$ 1.01	$ 1.37
OutstandingOptions3Member
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Number of Outstanding Options	658,000	346,500
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Outstanding Options, Weighted Average Remaining Contractual Term	2 years 10 months 2 days	1 year 11 months 5 days
Share Based Compensation Arrangement By Share Based Payment Award Options Outstanding and Exercisable Weighted Average Exercise Price	$ 1.37	$ 1.75
OutstandingOptions4Member
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Number of Outstanding Options	320,000	200,000
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Outstanding Options, Weighted Average Remaining Contractual Term	1 year 8 months 5 days	3 years 7 months 10 days
Share Based Compensation Arrangement By Share Based Payment Award Options Outstanding and Exercisable Weighted Average Exercise Price	$ 1.75	$ 3.85
OutstandingOptions5Member
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Number of Outstanding Options	200,000	100,000
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Outstanding Options, Weighted Average Remaining Contractual Term	3 years 4 months 10 days	7 years 10 months 10 days
Share Based Compensation Arrangement By Share Based Payment Award Options Outstanding and Exercisable Weighted Average Exercise Price	$ 3.85	$ 3.95
OutstandingOptions6Member
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Number of Outstanding Options	100,000	93,200
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Outstanding Options, Weighted Average Remaining Contractual Term	7 years 7 months 10 days	4 years 1 month 2 days
Share Based Compensation Arrangement By Share Based Payment Award Options Outstanding and Exercisable Weighted Average Exercise Price	$ 3.95	$ 4.03
OutstandingOptions7Member
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Number of Outstanding Options	77,200
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Outstanding Options, Weighted Average Remaining Contractual Term	3 years 10 months 2 days
Share Based Compensation Arrangement By Share Based Payment Award Options Outstanding and Exercisable Weighted Average Exercise Price	$ 4.03

Note 7 - Stock Based Compensa68

Note 7 - Stock Based Compensation: Schedule of Nonvested Share Activity (Details) - $ / shares	3 Months Ended
	Jun. 30, 2016	Mar. 31, 2016
Details
Share-based Compensation Arrangement by Share-based Payment Award, Options, Nonvested, Number of Shares	659,900	510,400
Share-based Compensation Arrangement by Share-based Payment Award, Options, Nonvested, Weighted Average Grant Date Fair Value	$ 1.41	$ 1.81
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Net of Forfeitures	315,500
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value	$ 1.01
Share-based Compensation Arrangement by Share-based Payment Award, Options, Nonvested Options Forfeited, Number of Shares	(96,000)
Share-based Compensation Arrangement by Share-based Payment Award, Options, Nonvested Options Forfeited, Weighted Average Grant Date Fair Value	$ 1.92
Sharebased Compensation Arrangement By Sharebased Payment Award Options Nonvested Cancellation of Previously Vested Stock Options	50,700
Sharebased Compensation Arrangement By Sharebased Payment Award Options Nonvested, Cancellation of Previously Vested Stock Options, Weighted Average Grant Date Fair Value	$ 1.59
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested, Number of Shares	(128,200)
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested, Weighted Average Grant Date Fair Value	$ 1.68

Note 7 - Stock Based Compensa69

Note 7 - Stock Based Compensation: Schedule of Share-based Compensation Arrangement by Share-based Payment Award, Restricted Stock Units, Vested, Non-Vested and Expected to Vest (Details) - $ / shares	3 Months Ended
	Jun. 30, 2016	Mar. 31, 2016
Details
Nonvested Restricted Stock options	73,002	97,334
Nonvested Restricted Stock options, Weighted average grant date fair value	$ 4.03	$ 4.03
Nonvested Restricted Stock options vested, not settled during the period	(24,332)
Nonvested Restricted Stock options vested, not settled during the period, Weighted average grant date fair value	$ 4.03
Nonvested Restricted Stock units	272,000	305,333
Nonvested Restricted Stock units, Weighted average grant date fair value	$ 1.36	$ 1.38
Restricted Stock units granted during the period	15,000
Restricted Stock units granted during the period, Weighted average grant date fair value	$ 1.01
Vested, Not Settled Restricted Stock units	(48,333)
Vested, Not Settled Restricted Stock units, Weighted average grant date fair value	$ 1.01