TechPrecision (TPCS) 10-Q 13 Nov 19 2020 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Sep. 30, 2019	Nov. 07, 2019
Document and Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Sep. 30, 2019
Document Fiscal Year Focus	2020
Document Fiscal Period Focus	Q2
Entity Registrant Name	TECHPRECISION CORP
Entity Central Index Key	0001328792
Current Fiscal Year End Date	--03-31
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Title of 12(b) Security	None
Trading Symbol	TPCS
Security Exchange Name	NONE
Entity Address, State or Province	MA
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		29,254,594

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($)	Sep. 30, 2019	Mar. 31, 2019
Current assets:
Cash and cash equivalents	$ 2,554,512	$ 2,036,646
Accounts receivable, net	826,841	1,010,443
Contract assets	3,589,021	4,390,832
Inventories	1,902,965	1,240,315
Other current assets	619,833	498,059
Total current assets	9,493,172	9,176,295
Property, plant and equipment, net	4,492,123	4,860,609
Deferred income taxes	2,021,704	2,004,346
Other noncurrent assets, net	10,263	6,233
Total assets	16,017,262	16,047,483
Current liabilities:
Accounts payable	783,393	609,082
Accrued expenses	859,585	753,499
Contract liabilities	816,385	740,947
Current portion of long-term debt	853,888	822,105
Total current liabilities	3,313,251	2,925,633
Long-term debt	2,994,835	3,410,542
Commitments and contingent liabilities ( Note 13)
Stockholders' Equity:
Common stock - par value $.0001 per share, 90,000,000 shares authorized, 29,254,594 and 29,234,594 shares issued and outstanding, at September 30, 2019 and March 31, 2019	2,925	2,923
Additional paid in capital	8,761,554	8,693,106
Accumulated other comprehensive income	21,602	21,940
Retained earnings	923,095	993,339
Total stockholders' equity	9,709,176	9,711,308
Total liabilities and stockholders' equity	$ 16,017,262	$ 16,047,483

CONSOLIDATED BALANCE SHEETS (Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares	Sep. 30, 2019	Mar. 31, 2019
Statement of Financial Position [Abstract]
Common stock, par value (in dollars per share)	$ 0.0001	$ 0.0001
Common stock, shares authorized	90,000,000	90,000,000
Common stock, shares issued	29,254,594	29,234,594
Common stock, shares outstanding	29,254,594	29,234,594

CONSOLIDATED STATEMENTS OF OPER

CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS) - USD ($)	3 Months Ended		6 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Income Statement [Abstract]
Net sales	$ 3,074,076	$ 3,621,185	$ 7,408,344	$ 7,720,008
Cost of sales	2,660,558	2,526,085	5,885,325	5,572,384
Gross profit	413,518	1,095,100	1,523,019	2,147,624
Selling, general and administrative	740,967	751,037	1,482,380	1,481,502
(Loss) income from operations	(327,449)	344,063	40,639	666,122
Other income	1,448	4,275	20,878	7,015
Interest expense	(72,596)	(90,249)	(149,119)	(185,634)
Total other expense, net	(71,148)	(85,974)	(128,241)	(178,619)
(Loss) income before income taxes	(398,597)	258,089	(87,602)	487,503
Income tax (benefit) expense	(107,576)	77,374	(17,358)	142,403
Net (loss) income	(291,021)	180,715	(70,244)	345,100
Other comprehensive (loss) income, before tax:
Foreign currency translation adjustments	(159)	(509)	(338)	(2,420)
Other comprehensive (loss) income, net of tax	(159)	(509)	(338)	(2,420)
Comprehensive (loss) income	$ (291,180)	$ 180,206	$ (70,582)	$ 342,680
Net (loss) income per share basic	$ (0.01)	$ 0.01	$ 0	$ 0.01
Net (loss) income per share diluted	$ (0.01)	$ 0.01	$ 0	$ 0.01
Weighted average number of shares outstanding - Basic	29,254,594	28,824,593	29,254,048	28,824,593
Weighted average number of shares outstanding - Diluted	29,254,594	30,150,485	29,254,048	30,054,055

CONSOLIDATED STATEMENTS OF STOC

CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($)	Common Stock [Member]	Additional Paid-in Capital [Member]	Accumulated Other Comprehensive Income (Loss)	Retained Earnings (Accumulated Deficit)	Total
Balance at Mar. 31, 2018	$ 2,882	$ 8,561,995	$ 24,236	$ (576,617)	$ 8,012,496
Balance (in shares) at Mar. 31, 2018	28,824,593
Effect of adoption of ASC 606 | Accounting Standards Update 2014-09 [Member]				19,647	19,647
Effect of adoption of ASU 201616 | Accounting Standards Update 2016-06 [Member]				449,633	449,633
Stock based compensation		24,930			24,930
Net (loss) income	$ 0	0	0	164,385	164,385
Foreign currency translation adjustment			(1,911)		(1,911)
Balance at Jun. 30, 2018	$ 2,882	8,586,925	22,325	57,048	8,669,180
Balance (in shares) at Jun. 30, 2018	28,824,593
Balance at Mar. 31, 2018	$ 2,882	8,561,995	24,236	(576,617)	8,012,496
Balance (in shares) at Mar. 31, 2018	28,824,593
Net (loss) income					345,100
Foreign currency translation adjustment					(2,420)
Balance at Sep. 30, 2018	$ 2,882	8,658,513	21,816	237,763	8,920,974
Balance (in shares) at Sep. 30, 2018	28,824,593
Balance at Jun. 30, 2018	$ 2,882	8,586,925	22,325	57,048	8,669,180
Balance (in shares) at Jun. 30, 2018	28,824,593
Stock based compensation		71,588			71,588
Net (loss) income	$ 0	0	0	180,715	180,715
Foreign currency translation adjustment			(509)		(509)
Foreign currency translation adjustment					(509)
Balance at Sep. 30, 2018	$ 2,882	8,658,513	21,816	237,763	8,920,974
Balance (in shares) at Sep. 30, 2018	28,824,593
Balance at Mar. 31, 2019	$ 2,923	8,693,106	21,940	993,339	9,711,308
Balance (in shares) at Mar. 31, 2019	29,234,594
Non-vested restricted stock		30,625			30,625
Shares issued under long-term incentive plan	$ 2	7,198			7,200
Shares issued under long-term incentive plan (in shares)	20,000
Net (loss) income				220,777	220,777
Foreign currency translation adjustment			(179)		(179)
Balance at Jun. 30, 2019	$ 2,925	8,730,929	21,761	1,214,116	9,969,731
Balance (in shares) at Jun. 30, 2019	29,254,594
Balance at Mar. 31, 2019	$ 2,923	8,693,106	21,940	993,339	9,711,308
Balance (in shares) at Mar. 31, 2019	29,234,594
Net (loss) income					(70,244)
Foreign currency translation adjustment					(338)
Balance at Sep. 30, 2019	$ 2,925	8,761,554	21,602	923,095	9,709,176
Balance (in shares) at Sep. 30, 2019	29,254,594
Balance at Jun. 30, 2019	$ 2,925	8,730,929	21,761	1,214,116	9,969,731
Balance (in shares) at Jun. 30, 2019	29,254,594
Non-vested restricted stock		30,625			30,625
Net (loss) income				(291,021)	(291,021)
Foreign currency translation adjustment			(159)		(159)
Foreign currency translation adjustment					(159)
Balance at Sep. 30, 2019	$ 2,925	$ 8,761,554	$ 21,602	$ 923,095	$ 9,709,176
Balance (in shares) at Sep. 30, 2019	29,254,594

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)	6 Months Ended
	Sep. 30, 2019	Sep. 30, 2018
CASH FLOWS FROM OPERATING ACTIVITIES
Net (loss) income	$ (70,244)	$ 345,100
Adjustments to reconcile net (loss) income to net cash provided by operating activities:
Depreciation	380,030	372,060
Amortization of debt issue costs	20,770	29,846
Stock based compensation expense	61,250	96,518
Change in contract loss provision	186,603	15,255
Deferred income taxes	(17,358)	142,403
Changes in operating assets and liabilities:
Accounts receivable	183,602	629,238
Contract assets	801,811	(1,142,803)
Inventories	(662,650)	(3,501,075)
Other current assets	(121,774)	19,924
Accounts payable	174,311	685,733
Accrued expenses	(73,954)	121,343
Contract liabilities	75,438	1,503,079
Net cash provided by (used in) operating activities	937,835	(683,379)
CASH FLOWS FROM INVESTING ACTIVITIES
Purchases of property, plant and equipment	(11,544)	(228,148)
Net cash used in investing activities	(11,544)	(228,148)
CASH FLOWS FROM FINANCING ACTIVITIES
Deferred loan costs	(5,835)	0
Repayment of long-term debt	(402,889)	(377,323)
Net cash used in financing activities	(408,724)	(377,323)
Effect of exchange rate on cash and cash equivalents	299	978
Net increase (decrease) in cash and cash equivalents	517,866	(1,287,872)
Cash and cash equivalents, beginning of period	2,036,646	2,689,110
Cash and cash equivalents, end of period	2,554,512	1,401,238
Cash paid during the year for:
Interest	128,267	155,787
Income taxes	$ 0	$ 0

DESCRIPTION OF BUSINESS

DESCRIPTION OF BUSINESS	6 Months Ended
	Sep. 30, 2019
DESCRIPTION OF BUSINESS
DESCRIPTION OF BUSINESS	NOTE 1 - DESCRIPTION OF BUSINESS TechPrecision Corporation, or TechPrecision, is a Delaware corporation organized in February 2005 under the name Lounsberry Holdings II, Inc. The name was changed to TechPrecision Corporation on March 6, 2006. TechPrecision is the parent company of Ranor, Inc., or Ranor, a Delaware corporation and Wuxi Critical Mechanical Components Co., Ltd., or WCMC, a wholly foreign owned enterprise. TechPrecision, WCMC and Ranor are collectively referred to as the “Company”, “we”, “us” or “our”. We manufacture large scale metal fabricated and machined precision components and equipment. These products are used in a variety of markets including defense and aerospace, nuclear, medical, and precision industrial. We consider our business to consist of one segment - metal fabrication and precision machining. All of our operations and customers are located in the United States.

BASIS OF PRESENTATION AND SIGNI

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES	6 Months Ended
	Sep. 30, 2019
BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES
BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES	NOTE 2 - BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation and Consolidation - The accompanying condensed consolidated financial statements include the accounts of TechPrecision, Ranor and WCMC. Intercompany transactions and balances have been eliminated in consolidation. The accompanying condensed consolidated balance sheets as of September 30, 2019 and March 31, 2019, the condensed consolidated statements of operations and comprehensive (loss) income and stockholders’ equity for the three and six months ended September 30, 2019 and 2018, and the condensed consolidated statements of cash flows for the six months ended September 30, 2019 and 2018 are unaudited, but, in the opinion of management, include all adjustments that are necessary for a fair presentation of our financial statements for interim periods in accordance with U.S. Generally Accepted Accounting Principles, or U.S. GAAP. All adjustments are of a normal, recurring nature, except as otherwise disclosed. The results of operations for an interim period are not necessarily indicative of the results of operations to be expected for the fiscal year. These notes to the condensed consolidated financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission, or the SEC, for Quarterly Reports on Form 10‑Q. Certain information and disclosures normally included in financial statements prepared in accordance with U.S. GAAP have been condensed or omitted pursuant to such rules and regulations. These unaudited financial statements and related notes should be read in conjunction with the consolidated financial statements included with our Annual Report on Form 10‑K for the fiscal year ended March 31, 2019, or the 2019 Form 10‑K, filed with the SEC on June 27, 2019. Use of Estimates in the Preparation of Financial Statements - In preparing the condensed consolidated financial statements in conformity with U.S. GAAP, management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the condensed consolidated financial statements and revenues and expenses during the reported period. We continually evaluate our estimates, including those related to contract accounting, accounts receivable, inventories, recovery of long-lived assets, income taxes and the valuation of equity transactions. We base our estimates on historical and current experiences and on various other assumptions that we believe to be reasonable under the circumstances. Actual results could differ from those estimates.

ACCOUNTING STANDARDS UPDATE

ACCOUNTING STANDARDS UPDATE	6 Months Ended
	Sep. 30, 2019
ACCOUNTING STANDARDS UPDATE
ACCOUNTING STANDARDS UPDATE	NOTE 3 - ACCOUNTING STANDARDS UPDATE New Accounting Standards Recently Adopted On April 1, 2019, we adopted Accounting Standards Update (ASU) 2016-02, Leases, or Accounting Standards Codification 842 (ASC 842) and all the related amendments using the modified retrospective method. The comparative information has not been restated and continues to be reported under the lease accounting standard in effect for those periods. The most significant effects of the standard on our condensed consolidated financial statements are (1) the recognition of new right-of-use asset and lease liability on our condensed consolidated balance sheet for our operating lease, and (2) new disclosures about our leasing activities (see Note 12). The adoption did not result in a cumulative-effect adjustment to retained earnings. The new standard did not have a material impact on our results of operations, balance sheet or cash flows. We elected the practical expedients permitted under the transition guidance of the new standard that retained the lease classification and initial direct costs for any leases that existed prior to adoption of the standard. The new lease standard requires all leases to be reported on the balance sheet as right-of-use assets and lease obligations. We also adopted the following ASUs effective April 1, 2019, none of which had a material impact to our financial statements or financial statement disclosures: ASU 2018-13 Fair Value Measurement - Changes to the Disclosure Requirements for Fair Value Measurement, ASU 2018-07, Compensation - Stock Compensation (Topic 718) Improvements to Nonemployee Share-Based Payment Accounting, and ASU 2018-02 Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income.

REVENUE

REVENUE	6 Months Ended
	Sep. 30, 2019
REVENUE
REVENUE	NOTE 4 - REVENUE The Company generates its revenues from performance obligations completed under contracts with customers in three main market sectors: defense, energy and precision industrial. The period over which the Company performs is generally less than one year. The Company invoices and receives related payments based on performance progress not less frequently than monthly. Revenue is recognized over-time or at a point-in-time given the terms and conditions of the related contracts. The Company utilizes an inputs methodology based on estimated labor hours to measure performance progress. This model best depicts the transfer of control to the customer. The Company’s contract portfolio is comprised of fixed-price contracts and provide for product type sales only. The following table presents net sales on a disaggregated basis by market and contract type: Net Sales by market Defense Energy Industrial Totals Three months ended September 30, 2019 $ 2,862,936 $ 68,628 $ 142,512 $ 3,074,076 Three months ended September 30, 2018 $ 3,336,930 $ 139,267 $ 144,988 $ 3,621,185 Six months ended September 30, 2019 $ 6,524,964 $ 77,557 $ 805,823 $ 7,408,344 Six months ended September 30, 2018 $ 7,310,910 $ 235,804 $ 173,294 $ 7,720,008 Net Sales by contract type Over-time Point-in-time Totals Three months ended September 30, 2019 $ 2,612,089 $ 461,987 $ 3,074,076 Three months ended September 30, 2018 $ 3,389,209 $ 231,976 $ 3,621,185 Six months ended September 30, 2019 $ 5,665,028 $ 1,743,316 $ 7,408,344 Six months ended September 30, 2018 $ 7,228,136 $ 491,872 $ 7,720,008 As of September 30, 2019, the Company had $16.4 million of remaining performance obligations, of which $8.5 million were less than 50% complete. We expect to recognize all of the remaining performance obligations as revenue within the next 24 months. We are dependent each year on a small number of customers who generate a significant portion of our business. These customers change from year to year. The following table lists customers who accounted for more than 10% of our net sales: Three months ended Three months ended Six months ended Six months ended September 30, 2019 September 30, 2018 September 30, 2019 September 30, 2018 Customer Amount Percent Amount Percent Amount Percent Amount Percent A $ 663,855 22 % $ * * % $ 1,386,249 19 % $ * * % B $ 510,599 17 % $ 585,873 16 % $ 1,098,129 15 % $ 1,601,021 21 % C $ * * % $ 1,516,399 42 % $ 1,097,563 15 % $ 3,109,839 40 % D $ 815,742 27 % $ 619,094 17 % $ 1,104,747 15 % $ 993,048 13 % E $ 305,114 10 % $ * * % $ 923,133 12 % $ * * % F $ 336,935 11 % $ * * % $ * * % $ * * % * On our condensed consolidated balance sheet, contract assets and contract liabilities are reported in a net position on a contract-by-contract basis at the end of each reporting period. In fiscal 2020, we recognized revenue of $0.5 million related to our contract liabilities at March 31, 2019. At September 30, 2019 contract assets consisted of the following: Less: Progress Contract assets Unbilled payments Total September 30, 2019 $ 8,952,654 $ 5,363,633 $ 3,589,021 March 31, 2019 $ 9,324,361 $ 4,933,529 $ 4,390,832

INCOME TAXES

INCOME TAXES	6 Months Ended
	Sep. 30, 2019
INCOME TAXES
INCOME TAXES	NOTE 5 - INCOME TAXES We account for income taxes under the provisions of FASB ASC 740, Income Taxes . The tax provision for interim periods is determined using the estimated annual effective consolidated tax rate, based on the current estimate of full-year earnings before taxes, adjusted for the impact of discrete quarterly items. We recorded an income tax benefit of $17,358 for the six months ended September 30, 2019. Income tax expense was $142,403 for the six months ended September 30, 2018. The Company's effective tax rates for the six months ended September 30, 2019 and 2018 were 19.8% and 29.2%, respectively. The valuation allowance on deferred tax assets was approximately $1.7 million at September 30, 2019. We believe that it is more likely than not that the benefit from certain state and foreign NOL carryforwards and other deferred tax assets will not be realized. In the event future taxable income is below management’s estimates or is generated in tax jurisdictions different than projected, the Company could be required to increase the valuation allowance for deferred tax assets. This would result in an increase in the Company’s effective tax rate.

EARNINGS PER SHARE

EARNINGS PER SHARE	6 Months Ended
	Sep. 30, 2019
EARNINGS PER SHARE
EARNINGS PER SHARE	NOTE 6 - EARNINGS PER SHARE Basic EPS is computed by dividing reported earnings available to stockholders by the weighted average shares outstanding. Diluted EPS also includes the effect of stock options that would be dilutive. The following table provides a reconciliation of the numerators and denominators reflected in the basic and diluted earnings per share computations, as required under FASB ASC 260. Three months Three months Six months Six months ended ended ended ended September 30, September 30, September 30, September 30, 2019 2018 2019 2018 Basic EPS: Net (loss) income $ (291,021) $ 180,715 $ (70,244) $ 345,100 Weighted average shares 29,254,594 28,824,593 29,254,048 28,824,593 Basic (loss) income per share $ (0.01) $ 0.01 $ (0.00) $ 0.01 Diluted EPS: Net (loss) income $ (291,021) $ 180,715 $ (70,244) $ 345,100 Dilutive effect of stock options — 1,325,892 — 1,229,462 Diluted weighted average shares 29,254,594 30,150,485 29,254,048 30,054,055 Diluted (loss) income per share $ (0.01) $ 0.01 $ (0.00) $ 0.01 All potential common stock equivalents that have an anti-dilutive effect (i.e. those that increase income per share or decrease loss per share) are excluded from the calculation of diluted EPS. For the three and six months ended September 30, 2019, there were 2,968,000 of potentially anti-dilutive stock options, none of which were included in the EPS calculations above. For the three and six months ended September 30, 2018, there were 642,668, and 596,668, respectively, of potential common stock equivalents that were out-of-the-money and were not included in the EPS calculations above.

STOCK-BASED COMPENSATION

STOCK-BASED COMPENSATION	6 Months Ended
	Sep. 30, 2019
STOCK-BASED COMPENSATION
STOCK-BASED COMPENSATION	NOTE 7 – STOCK-BASED COMPENSATION The TechPrecision Corporation 2016 Equity Incentive Plan, or the 2016 Plan, authorizes the award of incentive and non-qualified stock options, restricted stock awards, restricted stock units, and performance awards to employees, directors, consultants, and other individuals who provide services to TechPrecision or its affiliates. The purpose of the 2016 Plan is to: (a) enable TechPrecision and its affiliated companies to recruit and retain highly qualified employees, directors and consultants; (b) provide those employees, directors and consultants with an incentive for productivity; and (c) provide those employees, directors and consultants with an opportunity to share in the growth and value of the Company. Subject to adjustment as provided in the 2016 Plan, the maximum number of shares of common stock that may be issued with respect to awards under the 2016 Plan is 5,000,000 shares (inclusive of awards issued under the 2006 Long-Term Incentive Plan, or the 2006 Plan, that remained outstanding as of the effective date of the 2016 Plan). Shares of our common stock subject to awards that expire unexercised or are otherwise forfeited shall again be available for awards under the 2016 Plan. The fair value of the options we grant is estimated using the Black-Scholes option-pricing model based on the closing stock prices at the grant date and the weighted average assumptions specific to the underlying options. Expected volatility assumptions are based on the historical volatility of our common stock. The average dividend yield over the historical period for which volatility is computed is zero. The risk-free interest rate is selected based upon yields of U.S. Treasury issues. We used the simplified method for all grants to estimate the expected life of the option. We assume that stock options will be exercised evenly over the period from vesting until the awards expire. We account for award forfeitures as they occur. As such, the assumed period for each vesting tranche is computed separately and then averaged together to determine the expected term for the award. At September 30, 2019, there were 1,572,000 shares available for grant under the 2016 Plan. The following table summarizes information about options for the most recently completed periods: Weighted Average Weighted Aggregate Remaining Number Of Average Intrinsic Contractual Life Options Exercise Price Value (in years) Outstanding at 3/31/2018 3,394,668 $ 0.417 $ 698,200 6.72 Granted 150,000 $ 0.800 Exercised (365,000) $ 0.271 Canceled (241,668) $ 1.226 Outstanding at 3/31/2019 2,938,000 $ 0.416 $ 1,869,200 Exercised (20,000) $ 0.360 Outstanding at 9/30/2019 2,918,000 $ 0.416 $ 3,505,600 Vested or expected to vest at 9/30/2019 2,918,000 $ 0.416 $ 3,505,600 Exercisable and vested at 9/30/2019 2,918,000 $ 0.416 $ 3,505,600 The aggregate intrinsic value in the table above represents the total pre-tax intrinsic value (the difference between the closing stock price on the last trading day of the first quarter of fiscal 2020 and the exercise price, multiplied by the number of in-the-money options) that would have been received by the option holders had all option holders exercised their options on September 30, 2019. This amount changes based on the fair market value of the Company’s common stock. All of the options are vested and exercisable and the maximum contractual term is ten years for option grants. On April 5, 2019, the Company issued 20,000 shares of the Company’s common stock, par value $0.0001 per share, pursuant to an option award exercised on March 20, 2019, granted previously under the Company’s 2016 Long-Term Incentive Plan. At September 30, 2019, there was no remaining unrecognized compensation cost related to stock options. Other information relating to stock options outstanding at September 30, 2019 is as follows: Weighted Average Remaining Weighted Weighted Options Contractual Average Options Average Range of Exercise Prices: Outstanding Term Exercise Price Exercisable Exercise Price $0.01‑$1.00 2,820,000 $ 0.37 2,820,000 $ 0.37 $1.01‑$1.96 98,000 $ 1.84 98,000 $ 1.84 Totals 2,918,000 2,918,000 Restricted Stock Awards On December 7, 2018 we granted a total of 100,000 shares of restricted stock under the 2016 Plan to the board of directors and a total of 25,000 shares of restricted stock to our executive officers. The stock-based compensation expense of $122,500 for service-based restricted stock was measured at fair value on the date of grant based on the number of shares expected to vest and the quoted market price of the Company’s common stock. The shares of restricted stock fully vest and cease to be subject to forfeiture on December 7, 2019, one year following the grant date. Each grantee must be serving as a director or executive officer on the vesting date and must have been continuously serving in such capacity from the grant date through the vesting date for the shares of restricted stock to vest. Prior to the vesting date, the grantee is not permitted to sell, transfer, pledge, assign or otherwise encumber the shares of restricted stock and if the grantee’s service with the Company terminates prior to the vesting date, the grantee’s restricted stock will be forfeited automatically. The aggregate fair value of the restricted stock expensed during the six months ended September 30, 2019 was $61,250. At September 30, 2019 there was $20,417 of total unrecognized compensation cost related to the restricted stock awards.

CONCENTRATION OF CREDIT RISK

CONCENTRATION OF CREDIT RISK	6 Months Ended
	Sep. 30, 2019
CONCENTRATION OF CREDIT RISK
CONCENTRATION OF CREDIT RISK	NOTE 8 - CONCENTRATION OF CREDIT RISK We maintain bank account balances, which, at times, may exceed insured limits. We have not experienced any losses with these accounts and believe that we are not exposed to any significant credit risk on cash. At September 30, 2019, there were trade accounts receivable balances outstanding from five customers comprising 99% of the total trade receivables balance. The following table sets forth information as to trade accounts receivable from customers who accounted for more than 10% of our accounts receivable balance as of: September 30, 2019 March 31, 2019 Customer Dollars Percent Dollars Percent A $ 197,100 24 % $ * * % B $ * * % $ 339,032 34 % C $ 186,737 23 % $ 246,019 24 % D $ * * % $ 244,500 24 % E $ 158,314 19 % $ * * % F $ 149,500 18 % $ * * % G $ 119,850 15 % $ * * % * less than 10% of total

OTHER CURRENT ASSETS

OTHER CURRENT ASSETS	6 Months Ended
	Sep. 30, 2019
OTHER CURRENT ASSETS
OTHER CURRENT ASSETS	NOTE 9 - OTHER CURRENT ASSETS September 30, 2019 March 31, 2019 Payments advanced to suppliers $ 271,995 $ 133,861 Prepaid insurance 183,967 203,601 Prepaid subscriptions 21,761 27,096 Prepaid taxes 31,707 31,707 Refundable AMT credits 60,841 60,841 Employee advances 23,121 15,380 Other 26,441 25,573 Total $ 619,833 $ 498,059

ACCRUED EXPENSES

ACCRUED EXPENSES	6 Months Ended
	Sep. 30, 2019
ACCRUED EXPENSES
ACCRUED EXPENSES	NOTE 10 - ACCRUED EXPENSES September 30, 2019 March 31, 2019 Accrued compensation $ 343,907 $ 284,651 Provision for contract losses 244,395 57,792 Accrued professional fees 184,328 267,309 Accrued project costs 62,311 118,929 Other 24,644 24,818 Total $ 859,585 $ 753,499 Accrued compensation includes amounts for executive bonuses, payroll and vacation and holiday pay. Provisions for estimated losses on uncompleted contracts are made in the period in which such losses are determined. Changes in the provision are recorded in cost of sales. Accrued project costs are estimates for certain project expenses during the reporting period.

DEBT

DEBT	6 Months Ended
	Sep. 30, 2019
DEBT
DEBT	NOTE 11 – DEBT September 30, 2019 March 31, 2019 Berkshire Term Loan due January 2022 $ 2,611,672 $ 2,656,985 People’s Equipment Loan Facility due April 2021 1,254,745 1,606,953 Obligation under finance lease 28,043 33,411 Total debt $ 3,894,460 $ 4,297,349 Less: debt issue costs unamortized $ 45,737 $ 64,702 Total debt, net $ 3,848,723 $ 4,232,647 Less: Current portion of long-term debt $ 853,888 $ 822,105 Total long-term debt, net $ 2,994,835 $ 3,410,542 Berkshire Term Loan Facility On December 21, 2016, TechPrecision, through Ranor, closed on a Loan Agreement, or the Berkshire Loan Agreement, with Berkshire Bank. Pursuant to the Berkshire Loan Agreement, Berkshire Bank made a term loan to Ranor in the amount of $2,850,000, or the Term Loan, and made available to Ranor a revolving line of credit in the amount of $1,000,000, or the Revolver Loan, and together with the Term Loan, collectively, the Berkshire Loans. The Berkshire Loans are secured by a first lien on all personal and real property of Ranor. Payments on the Term Loan began on January 20, 2017 and will be made in 60 monthly installments of $19,260 each, inclusive of interest at a fixed rate of 5.21% per annum, with all outstanding principal and accrued interest due and payable on December 20, 2021. A prepayment penalty will apply during the loan term but will not apply if a prepayment is made from either casualty loss insurance proceeds or a condemnation award applicable to any collateral or if a full prepayment is made during the 45-day period immediately preceding the maturity date. Advances under the Revolver Loan will be subject to a borrowing base equal to the lesser of (A) $1,000,000 and (B) the sum of (i) 80% of eligible accounts receivable, and (ii) the lesser of (a) 25% of eligible raw material inventory and (b) $250,000. Advances made under the Revolver Loan bear interest at a variable rate equal to the one-month LIBOR plus 275 basis points. Interest-only payments on advances made under the Revolver Loan will be payable monthly in arrears. Ranor’s obligations under the Berkshire Loan Agreement are guaranteed by TechPrecision. The Company pays, as consideration for the bank’s commitment to make advances under the Revolver Loan, a nonrefundable commitment fee equal to 0.25% per annum on the average daily difference between the amount of $1,000,000 and the aggregate amount of all advances made under the Revolver Loan as of each quarterly period. Pursuant to the Berkshire Loan Agreement, the Company covenants to cause its balance sheet leverage to be less than or equal to 2.50 to 1.00 for the fiscal year ending March 31, 2019 and each fiscal year end thereafter. The Berkshire Loan Agreement also contains a covenant whereby the Company is required to maintain a debt service coverage ratio, or DSCR, of at least 1.2 to 1.0 during the term of the Berkshire Loans. The DSCR is measured at the end of each fiscal quarter of the Company. The Company was in compliance with all of the financial covenants at September 30, 2019 and March 31, 2019. Also, Ranor’s annual capital expenditures cannot exceed $1,500,000 for the fiscal year ending March 31, 2020 and each fiscal year thereafter. The Berkshire Loan Agreement contains an additional covenant whereby Ranor is required to maintain a loan to value ratio of not greater than 0.75 to 1.00, to be measured by appraisal not more frequently than one time during each 365-day period. The Berkshire Loans may be accelerated upon the occurrence of an “Event of Default” (as defined in the Berkshire Loan Agreement). Events of Default include (i) the failure to pay any monthly installment payment before the tenth day following the due date of such payment; (ii) the failure of Ranor or TechPrecision to observe, perform or pay any obligations under the Berkshire Loan Agreement or any other obligation to Berkshire; (iii) the failure of Ranor or TechPrecision to pay any indebtedness in excess of $100,000 (other than the Berkshire Loans) when due; (iv) any representation or warranty of Ranor or TechPrecision in the Berkshire Loan Agreement and related documents, or the Loan Documents, being proven to have been incorrect, in any material respect, when made; (v) the failure of Ranor to discharge any attachment, levy or distraint on its property; (vi) any default by Ranor or TechPrecision under any of the collateral security documents executed in connection with the Berkshire Loan Agreement past any applicable grace period; (vii) the failure of Ranor or TechPrecision to file or pay taxes when due, unless such taxes are being contested in a manner permitted under the Loan Documents; (viii) a change in ownership or control of Ranor or change in management of Ranor where either the chief executive officer or chief financial officer as of December 21, 2016 is replaced without Berkshire Bank’s prior consent; (ix) Ranor or TechPrecision ceasing to do business as a going concern, making an assignment for the benefit of creditors, or commencing a bankruptcy or other similar insolvency proceeding; and (x) the entry of a judgment against Ranor or TechPrecision in excess of $150,000. Some of the Events of Default are subject to certain cure periods. Subject to the lapse of any applicable cure period, a default under the Berkshire Loans could cause the acceleration of all outstanding obligations under the Berkshire Loans. On December 19, 2018, the Company entered into a Second Modification to Loan Agreement and First Modification and Allonge to Promissory Note with Berkshire Bank, or the Modification. The Modification amended and modified the Berkshire Loan Agreement, and the related Promissory Note dated December 20, 2016 made by Ranor in favor of Berkshire in the stated principal amount of $1,000,000. Under the terms of the Berkshire Loan Agreement and the related promissory note, Ranor was entitled to borrow up to $1,000,000 on a revolving basis. As of the date of the Modification, there were no amounts outstanding under the Revolver Loan. The maturity date of the Revolver Loan was originally December 20, 2018. Under the Modification, the maturity date of the Revolver Loan was extended until December 20, 2020. There were no amounts outstanding under the Revolver Loan at September 30, 2019 and March 31, 2019.The Company paid $7,245 of expenses related to the execution of the Modification, which are classified as other noncurrent assets. Other unamortized debt issue costs at September 30, 2019 and March 31, 2019 were $26,688 and $32,982, respectively. People’s Equipment Loan Facility On April 26, 2016, TechPrecision, through Ranor, executed and closed a Master Loan and Security Agreement No. 4180, as supplemented with Schedule No. 001, or, together, the MLSA, with People’s Capital and Leasing Corp., or People’s. The MLSA is dated and effective as of March 31, 2016. Loan proceeds were disbursed to Ranor on April 26, 2016. Pursuant to the MLSA, People’s loaned $3,011,648 to Ranor, or the People’s Loan. The People’s Loan is secured by a first lien on certain machinery and equipment of Ranor, or the Equipment Collateral. Payments on the People’s Loan will be made in 60 monthly installments of $60,921 each, inclusive of interest at a fixed rate of 7.90% per annum. The first monthly installment payment was paid on May 26, 2016. A prepayment penalty will apply during the first four years of the loan term. Ranor’s obligations under the MLSA are guaranteed by TechPrecision. The Company covenants to maintain a DSCR of at least 1.5 to 1.0 during the term of the People’s Loan. The DSCR is measured at the end of each fiscal year of the Company. The Company was in compliance with the DSCR at March 31, 2019. The People’s Loan may be accelerated upon the occurrence of an “Event of Default” (as defined in the MLSA). Some of the Events of Default are subject to certain cure periods. The Company was in compliance with all of the financial covenants at March 31, 2019. On October 4, 2016, TechPrecision and Ranor became committed to Schedule No. 002 to the MLSA, or Schedule 2. Pursuant to Schedule 2, People’s made an additional loan in the amount of $365,852, or the Additional People’s Loan, to Ranor upon the terms and conditions set forth in the MLSA and Schedule 2. Ranor will repay the Additional People’s Loan in monthly installments of principal and interest of $7,399 over 60 months. The Additional People’s Loan is guaranteed by TechPrecision pursuant to the original Corporate Guaranty from TechPrecision in favor of People’s dated March 31, 2016. The Additional People’s Loan is secured by a security interest in certain machinery and equipment of Ranor as provided in Schedule 2. On December 21, 2016, TechPrecision and Ranor closed on an Amendment to the MLSA, or the MLSA Amendment, with People’s. The MLSA Amendment, dated as of December 20, 2016, amends the definition of “Permitted Liens” under the MLSA to include the liens held by Berkshire Bank pursuant to the terms of the Berkshire Loan Agreement and to delete the reference to the liens held by a former creditor of the Company. Unamortized debt issue costs at September 30, 2019 and March 31, 2019, were $19,049 and 31,720, respectively. Collateral securing the above obligations comprises all personal and real property of TechPrecision and Ranor, including cash, accounts receivable, inventories, equipment, financial and intangible assets. Finance Lease See Note 12 for information regarding our obligations under the finance lease.

LEASES

LEASES	6 Months Ended
	Sep. 30, 2019
LEASES
LEASES	NOTE 12 – LEASES Leases that are economically similar to the purchase of an asset are classified as finance leases. The leased, or right-of-use assets in finance lease arrangements are reported in net property, plant and equipment on our condensed consolidated balance sheet. Our operating lease has expired under the contract terms in October 2019. The following table lists our right-of-use assets and liabilities on our condensed consolidated balance at: September 30, Finance lease: 2019 Property, plant and equipment $ 54,376 Accumulated depreciation 29,907 Net property, plant and equipment $ 24,469 Current portion of long-term debt $ 11,391 Long-term debt $ 16,652 Total finance lease liabilities $ 28,043 Future payments for our finance lease follows by fiscal year: 2020: $6,600, 2021: $13,200 and 2022: $11,000. The amount representing finance lease interest is $2,757. Other supplemental information regarding our leases are contained in the following tables: September 30, Components of lease expense for the period ended: 2019 Operating lease amortization $ 1,756 Operating lease interest $ 83 Finance lease amortization $ 5,437 Finance lease interest $ 1,232 September 30, Weighted average lease term and discount rate at: 2019 Lease term (years) 2.58 Lease rate 8 % September 30, Supplemental cash flow information related to leases for the period ended: 2019 Cash used in operating activities $ 1,756 Cash used in financing activities $ 5,437

COMMITMENTS

COMMITMENTS	6 Months Ended
	Sep. 30, 2019
COMMITMENTS
COMMITMENTS	NOTE 13 - COMMITMENTS Retirement Benefits Ranor has a defined contribution and savings plan that covers substantially all Ranor employees who have completed 90 days of service. Ranor retains the option to match employee contributions. The Company contributed $39,663 and $40,825 in the six months ended September 30, 2019 and 2018, respectively.

BASIS OF PRESENTATION AND SIG_2

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES (Policies)	6 Months Ended
	Sep. 30, 2019
BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES
Basis of Presentation and Consolidation	Basis of Presentation and Consolidation - The accompanying condensed consolidated financial statements include the accounts of TechPrecision, Ranor and WCMC. Intercompany transactions and balances have been eliminated in consolidation. The accompanying condensed consolidated balance sheets as of September 30, 2019 and March 31, 2019, the condensed consolidated statements of operations and comprehensive (loss) income and stockholders’ equity for the three and six months ended September 30, 2019 and 2018, and the condensed consolidated statements of cash flows for the six months ended September 30, 2019 and 2018 are unaudited, but, in the opinion of management, include all adjustments that are necessary for a fair presentation of our financial statements for interim periods in accordance with U.S. Generally Accepted Accounting Principles, or U.S. GAAP. All adjustments are of a normal, recurring nature, except as otherwise disclosed. The results of operations for an interim period are not necessarily indicative of the results of operations to be expected for the fiscal year. These notes to the condensed consolidated financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission, or the SEC, for Quarterly Reports on Form 10‑Q. Certain information and disclosures normally included in financial statements prepared in accordance with U.S. GAAP have been condensed or omitted pursuant to such rules and regulations. These unaudited financial statements and related notes should be read in conjunction with the consolidated financial statements included with our Annual Report on Form 10‑K for the fiscal year ended March 31, 2019, or the 2019 Form 10‑K, filed with the SEC on June 27, 2019.
Use of Estimates in the Preparation of Financial Statements	Use of Estimates in the Preparation of Financial Statements - In preparing the condensed consolidated financial statements in conformity with U.S. GAAP, management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the condensed consolidated financial statements and revenues and expenses during the reported period. We continually evaluate our estimates, including those related to contract accounting, accounts receivable, inventories, recovery of long-lived assets, income taxes and the valuation of equity transactions. We base our estimates on historical and current experiences and on various other assumptions that we believe to be reasonable under the circumstances. Actual results could differ from those estimates.

REVENUE (Tables)

REVENUE (Tables)	6 Months Ended
	Sep. 30, 2019
Schedule of Disaggregation of Revenue	The following table presents net sales on a disaggregated basis by market and contract type: Net Sales by market Defense Energy Industrial Totals Three months ended September 30, 2019 $ 2,862,936 $ 68,628 $ 142,512 $ 3,074,076 Three months ended September 30, 2018 $ 3,336,930 $ 139,267 $ 144,988 $ 3,621,185 Six months ended September 30, 2019 $ 6,524,964 $ 77,557 $ 805,823 $ 7,408,344 Six months ended September 30, 2018 $ 7,310,910 $ 235,804 $ 173,294 $ 7,720,008 Net Sales by contract type Over-time Point-in-time Totals Three months ended September 30, 2019 $ 2,612,089 $ 461,987 $ 3,074,076 Three months ended September 30, 2018 $ 3,389,209 $ 231,976 $ 3,621,185 Six months ended September 30, 2019 $ 5,665,028 $ 1,743,316 $ 7,408,344 Six months ended September 30, 2018 $ 7,228,136 $ 491,872 $ 7,720,008
Schedule of Contract Assets	At September 30, 2019 contract assets consisted of the following: Less: Progress Contract assets Unbilled payments Total September 30, 2019 $ 8,952,654 $ 5,363,633 $ 3,589,021 March 31, 2019 $ 9,324,361 $ 4,933,529 $ 4,390,832
Sales [Member]
Schedules of Concentration of Risk, by Risk Factor	Three months ended Three months ended Six months ended Six months ended September 30, 2019 September 30, 2018 September 30, 2019 September 30, 2018 Customer Amount Percent Amount Percent Amount Percent Amount Percent A $ 663,855 22 % $ * * % $ 1,386,249 19 % $ * * % B $ 510,599 17 % $ 585,873 16 % $ 1,098,129 15 % $ 1,601,021 21 % C $ * * % $ 1,516,399 42 % $ 1,097,563 15 % $ 3,109,839 40 % D $ 815,742 27 % $ 619,094 17 % $ 1,104,747 15 % $ 993,048 13 % E $ 305,114 10 % $ * * % $ 923,133 12 % $ * * % F $ 336,935 11 % $ * * % $ * * % $ * * %

EARNINGS PER SHARE (Tables)

EARNINGS PER SHARE (Tables)	6 Months Ended
	Sep. 30, 2019
EARNINGS PER SHARE
Schedule of Basic and Diluted earnings per share	Three months Three months Six months Six months ended ended ended ended September 30, September 30, September 30, September 30, 2019 2018 2019 2018 Basic EPS: Net (loss) income $ (291,021) $ 180,715 $ (70,244) $ 345,100 Weighted average shares 29,254,594 28,824,593 29,254,048 28,824,593 Basic (loss) income per share $ (0.01) $ 0.01 $ (0.00) $ 0.01 Diluted EPS: Net (loss) income $ (291,021) $ 180,715 $ (70,244) $ 345,100 Dilutive effect of stock options — 1,325,892 — 1,229,462 Diluted weighted average shares 29,254,594 30,150,485 29,254,048 30,054,055 Diluted (loss) income per share $ (0.01) $ 0.01 $ (0.00) $ 0.01

STOCK-BASED COMPENSATION (Table

STOCK-BASED COMPENSATION (Tables)	6 Months Ended
	Sep. 30, 2019
STOCK-BASED COMPENSATION
Schedule of options	Weighted Average Weighted Aggregate Remaining Number Of Average Intrinsic Contractual Life Options Exercise Price Value (in years) Outstanding at 3/31/2018 3,394,668 $ 0.417 $ 698,200 6.72 Granted 150,000 $ 0.800 Exercised (365,000) $ 0.271 Canceled (241,668) $ 1.226 Outstanding at 3/31/2019 2,938,000 $ 0.416 $ 1,869,200 Exercised (20,000) $ 0.360 Outstanding at 9/30/2019 2,918,000 $ 0.416 $ 3,505,600 Vested or expected to vest at 9/30/2019 2,918,000 $ 0.416 $ 3,505,600 Exercisable and vested at 9/30/2019 2,918,000 $ 0.416 $ 3,505,600
Schedule of exercise price range	Weighted Average Remaining Weighted Weighted Options Contractual Average Options Average Range of Exercise Prices: Outstanding Term Exercise Price Exercisable Exercise Price $0.01‑$1.00 2,820,000 $ 0.37 2,820,000 $ 0.37 $1.01‑$1.96 98,000 $ 1.84 98,000 $ 1.84 Totals 2,918,000 2,918,000

CONCENTRATION OF CREDIT RISK (T

CONCENTRATION OF CREDIT RISK (Tables)	6 Months Ended
	Sep. 30, 2019
Accounts Receivable
Concentration of credit risk and major customers
Schedule of concentration of risk by factors	September 30, 2019 March 31, 2019 Customer Dollars Percent Dollars Percent A $ 197,100 24 % $ * * % B $ * * % $ 339,032 34 % C $ 186,737 23 % $ 246,019 24 % D $ * * % $ 244,500 24 % E $ 158,314 19 % $ * * % F $ 149,500 18 % $ * * % G $ 119,850 15 % $ * * %

OTHER CURRENT ASSETS (Tables)

OTHER CURRENT ASSETS (Tables)	6 Months Ended
	Sep. 30, 2019
OTHER CURRENT ASSETS
Schedule of other current assets	September 30, 2019 March 31, 2019 Payments advanced to suppliers $ 271,995 $ 133,861 Prepaid insurance 183,967 203,601 Prepaid subscriptions 21,761 27,096 Prepaid taxes 31,707 31,707 Refundable AMT credits 60,841 60,841 Employee advances 23,121 15,380 Other 26,441 25,573 Total $ 619,833 $ 498,059

ACCRUED EXPENSES (Tables)

ACCRUED EXPENSES (Tables)	6 Months Ended
	Sep. 30, 2019
ACCRUED EXPENSES
Schedule of accrued expenses	September 30, 2019 March 31, 2019 Accrued compensation $ 343,907 $ 284,651 Provision for contract losses 244,395 57,792 Accrued professional fees 184,328 267,309 Accrued project costs 62,311 118,929 Other 24,644 24,818 Total $ 859,585 $ 753,499

DEBT (Tables)

DEBT (Tables)	6 Months Ended
	Sep. 30, 2019
DEBT
Schedule of outstanding debt obligations	September 30, 2019 March 31, 2019 Berkshire Term Loan due January 2022 $ 2,611,672 $ 2,656,985 People’s Equipment Loan Facility due April 2021 1,254,745 1,606,953 Obligation under finance lease 28,043 33,411 Total debt $ 3,894,460 $ 4,297,349 Less: debt issue costs unamortized $ 45,737 $ 64,702 Total debt, net $ 3,848,723 $ 4,232,647 Less: Current portion of long-term debt $ 853,888 $ 822,105 Total long-term debt, net $ 2,994,835 $ 3,410,542

LEASES (Tables)

LEASES (Tables)	6 Months Ended
	Sep. 30, 2019
LEASES
Schedule of Right of use assets and liabilities	The following table lists our right-of-use assets and liabilities on our condensed consolidated balance at: September 30, Finance lease: 2019 Property, plant and equipment $ 54,376 Accumulated depreciation 29,907 Net property, plant and equipment $ 24,469 Current portion of long-term debt $ 11,391 Long-term debt $ 16,652 Total finance lease liabilities $ 28,043
Schedule of Supplemental Information of leases	Other supplemental information regarding our leases are contained in the following tables: September 30, Components of lease expense for the period ended: 2019 Operating lease amortization $ 1,756 Operating lease interest $ 83 Finance lease amortization $ 5,437 Finance lease interest $ 1,232 September 30, Weighted average lease term and discount rate at: 2019 Lease term (years) 2.58 Lease rate 8 %
Schedule of Supplemental Cash flow information	September 30, Weighted average lease term and discount rate at: 2019 Lease term (years) 2.58 Lease rate 8 % September 30, Supplemental cash flow information related to leases for the period ended: 2019 Cash used in operating activities $ 1,756 Cash used in financing activities $ 5,437

REVENUE - Disaggregated basis (

REVENUE - Disaggregated basis (Details) - USD ($)	3 Months Ended		6 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Revenue from Contract with Customer, Including Assessed Tax	$ 3,074,076	$ 3,621,185	$ 7,408,344	$ 7,720,008
Over-time
Revenue from Contract with Customer, Including Assessed Tax	2,612,089	3,389,209	5,665,028	7,228,136
Point-in-time
Revenue from Contract with Customer, Including Assessed Tax	461,987	231,976	1,743,316	491,872
Defense
Revenue from Contract with Customer, Including Assessed Tax	2,862,936	3,336,930	6,524,964	7,310,910
Energy
Revenue from Contract with Customer, Including Assessed Tax	68,628	139,267	77,557	235,804
Industrial
Revenue from Contract with Customer, Including Assessed Tax	$ 142,512	$ 144,988	$ 805,823	$ 173,294

REVENUE - Net sales from custom

REVENUE - Net sales from customers (Details) - USD ($)	3 Months Ended		6 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Revenues	$ 3,074,076	$ 3,621,185	$ 7,408,344	$ 7,720,008
Customer A | Sales Revenue, Net
Revenues	$ 663,855		$ 1,386,249
Concentration risk percentage	22.00%		19.00%
Customer B | Sales Revenue, Net
Revenues	$ 510,599	$ 585,873	$ 1,098,129	$ 1,601,021
Concentration risk percentage	17.00%	16.00%	15.00%	21.00%
Customer C | Sales Revenue, Net
Revenues		$ 1,516,399	$ 1,097,563	$ 3,109,839
Concentration risk percentage		42.00%	15.00%	40.00%
Customer D | Sales Revenue, Net
Revenues	$ 815,742	$ 619,094	$ 1,104,747	$ 993,048
Concentration risk percentage	27.00%	17.00%	15.00%	13.00%
Customer E | Sales Revenue, Net
Revenues	$ 305,114		$ 923,133
Concentration risk percentage	10.00%		12.00%
Customer F | Sales Revenue, Net
Revenues	$ 336,935
Concentration risk percentage	11.00%

REVENUE - Contract Assests and

REVENUE - Contract Assests and Contract Liabilities (Details) - USD ($)	Sep. 30, 2019	Mar. 31, 2019
Contract assets	$ 3,589,021	$ 4,390,832
Unbilled
Contract assets	8,952,654	9,324,361
Less: Progress payments
Contract assets	$ 5,363,633	$ 4,933,529

REVENUE - Additional informatio

REVENUE - Additional information (Details) - USD ($) $ in Millions	12 Months Ended
	Mar. 31, 2019	Sep. 30, 2019
REVENUE
Revenue, Remaining Performance Obligation, Amount		$ 16.4
Revenue Remaining Performance Obligation Completed Less Than 50		$ 8.5
Revenue, Remaining Performance Obligation, Percentage		50.00%
Revenue Recognized By Contract Liabilities	$ 0.5

INCOME TAXES - Additional Infor

INCOME TAXES - Additional Information (Details) - USD ($)	3 Months Ended		6 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
INCOME TAXES
Income tax (benefit) expense	$ (107,576)	$ 77,374	$ (17,358)	$ 142,403
Effective Income Tax Rate Reconciliation, Percent			19.80%	29.20%
Deferred Tax Assets, Valuation Allowance	$ 1,700,000		$ 1,700,000

EARNINGS PER SHARE (Details)

EARNINGS PER SHARE (Details) - USD ($)	3 Months Ended				6 Months Ended
	Sep. 30, 2019	Jun. 30, 2019	Sep. 30, 2018	Jun. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Basic EPS:
Net (loss) income	$ (291,021)	$ 220,777	$ 180,715	$ 164,385	$ (70,244)	$ 345,100
weighted average shares	29,254,594		28,824,593		29,254,048	28,824,593
Basic (loss) income per share	$ (0.01)		$ 0.01		$ 0	$ 0.01
Diluted EPS:
Net (loss) income	$ (291,021)	$ 220,777	$ 180,715	$ 164,385	$ (70,244)	$ 345,100
Dilutive effect of stock options			1,325,892			1,229,462
Diluted weighted average shares	29,254,594		30,150,485		29,254,048	30,054,055
Net (loss) income per share diluted	$ (0.01)		$ 0.01		$ 0	$ 0.01
Antidilutive securities excluded from computation of earnings per share amount (in shares)	2,968,000		642,668		2,968,000	596,668

STOCK-BASED COMPENSATION - Summ

STOCK-BASED COMPENSATION - Summary (Details) - USD ($)	Apr. 05, 2019	Dec. 07, 2018	Sep. 30, 2019	Sep. 30, 2018	Mar. 31, 2019	Mar. 31, 2018
Assumption used in valuation of stock options
Share-based Compensation			$ 61,250	$ 96,518
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Remaining Contractual Term			6 years 5 months 12 days		6 years 8 months 27 days	6 years 8 months 19 days
Common Stock, Par or Stated Value Per Share			$ 0.0001		$ 0.0001
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period			20,000		365,000
Restricted Stock [Member]
Assumption used in valuation of stock options
Share-based Compensation			$ 61,250
Stock based compensation cost					$ 122,500
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period		100,000
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number		25,000
Employee Service Share-based Compensation, Nonvested Awards, Compensation Not yet Recognized, Share-based Awards Other than Options			$ 20,417
2016 Plan
Assumption used in valuation of stock options
Shares available for grant			1,572,000
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized			5,000,000
Common Stock, Par or Stated Value Per Share	$ 0.0001
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period	20,000
Maximum
Assumption used in valuation of stock options
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Remaining Contractual Term			10 years

STOCK-BASED COMPENSATION - Stoc

STOCK-BASED COMPENSATION - Stock Option Activity (Details) - USD ($)	6 Months Ended	12 Months Ended
	Sep. 30, 2019	Mar. 31, 2019	Mar. 31, 2018
Number Of Options
Outstanding at the beginning of the period (in shares)	2,938,000	3,394,668
Granted (in shares)		150,000
Exercised (in shares)	(20,000)	(365,000)
Canceled (in shares)		(241,668)
Outstanding at the end of the period (in shares)	2,918,000	2,938,000	3,394,668
Vested or expected to vest at the end of the period (in shares)	2,918,000
Exercisable and vested at the end of the period (in shares)	2,918,000
Weighted Average Exercise Price
Outstanding at the beginning of the period (in dollars per share)	$ 0.416	$ 0.417
Granted (in dollars per share)		0.800
Exercised (in shares)	0.360	0.271
Canceled (in dollars per share)		1.226
Outstanding at the end of the period (in dollars per share)	0.416	$ 0.416	$ 0.417
Vested or expected to vest at the end of the period (in dollars per share)	0.416
Exercisable and vested at the end of the period (in dollars per share)	$ 0.416
Aggregate Intrinsic Value
Outstanding Value	$ 3,505,600	$ 1,869,200	$ 698,200
Vested or expected to vest at the end of the period	3,505,600
Exercisable and vested at the end of the period	$ 3,505,600
Weighted Average Remaining Contractual Life
Outstanding at the end of the period	6 years 5 months 12 days	6 years 8 months 27 days	6 years 8 months 19 days
Vested or expected to vest at the end of the period	6 years 5 months 12 days
Exercisable and vested at the end of the period	6 years 5 months 12 days

STOCK-BASED COMPENSATION - St_2

STOCK-BASED COMPENSATION - Stock Options Outstanding By Exercise Price (Details)	6 Months Ended
	Sep. 30, 2019$ / sharesshares
Stock Based Compensation By Exercise Price Range
Options Outstanding	2,918,000
Options Exercisable	2,918,000
Range One
Stock Based Compensation By Exercise Price Range
Options Outstanding	2,820,000
Options Outstanding, Weighted Average Remaining Contractual Term	6 years 10 months 2 days
Options Outstanding, Weighted Average Exercise Price | $ / shares	$ 0.37
Options Exercisable	2,820,000
Options Exercisable, Weighted Average Exercise Price | $ / shares	$ 0.37
Range Two
Stock Based Compensation By Exercise Price Range
Options Outstanding	98,000
Options Outstanding, Weighted Average Remaining Contractual Term	1 year 5 months 5 days
Options Outstanding, Weighted Average Exercise Price | $ / shares	$ 1.84
Options Exercisable	98,000
Options Exercisable, Weighted Average Exercise Price | $ / shares	$ 1.84

CONCENTRATION OF CREDIT RISK (D

CONCENTRATION OF CREDIT RISK (Details) - USD ($)	6 Months Ended	12 Months Ended
	Sep. 30, 2019	Mar. 31, 2019
Concentration of credit risk and major customers
Accounts receivable	$ 826,841	$ 1,010,443
Accounts Receivable | Customer Concentration Risk | Customer A
Concentration of credit risk and major customers
Accounts receivable	$ 197,100
Concentration risk percentage	24.00%
Accounts Receivable | Customer Concentration Risk | Customer B
Concentration of credit risk and major customers
Accounts receivable		$ 339,032
Concentration risk percentage		34.00%
Accounts Receivable | Customer Concentration Risk | Customer C
Concentration of credit risk and major customers
Accounts receivable	$ 186,737	$ 246,019
Concentration risk percentage	23.00%	24.00%
Accounts Receivable | Customer Concentration Risk | Customer D
Concentration of credit risk and major customers
Accounts receivable		$ 244,500
Concentration risk percentage		24.00%
Accounts Receivable | Customer Concentration Risk | Customer E
Concentration of credit risk and major customers
Accounts receivable	$ 158,314
Concentration risk percentage	19.00%
Accounts Receivable | Customer Concentration Risk | Customer F
Concentration of credit risk and major customers
Accounts receivable	$ 149,500
Concentration risk percentage	18.00%
Accounts Receivable | Customer Concentration Risk | Customer G
Concentration of credit risk and major customers
Accounts receivable	$ 119,850
Concentration risk percentage	15.00%
Trade Receivables [Member]
Concentration of credit risk and major customers
Concentration risk percentage	99.00%

OTHER CURRENT ASSETS (Details)

OTHER CURRENT ASSETS (Details) - USD ($)	Sep. 30, 2019	Mar. 31, 2019
OTHER CURRENT ASSETS
Payments advanced to suppliers	$ 271,995	$ 133,861
Prepaid insurance	183,967	203,601
Prepaid subscriptions	21,761	27,096
Prepaid taxes	31,707	31,707
Refundable AMT credits	60,841	60,841
Employee advances	23,121	15,380
Other	26,441	25,573
Totals	$ 619,833	$ 498,059

ACCRUED EXPENSES (Details)

ACCRUED EXPENSES (Details) - USD ($)	Sep. 30, 2019	Mar. 31, 2019
ACCRUED EXPENSES
Accrued compensation	$ 343,907	$ 284,651
Provision for contract losses	244,395	57,792
Accrued professional fees	184,328	267,309
Accrued project costs	62,311	118,929
Other	24,644	24,818
Total	$ 859,585	$ 753,499

DEBT - Long-term Debt (Details)

DEBT - Long-term Debt (Details) - USD ($)	Sep. 30, 2019	Mar. 31, 2019
Long-term Debt
Total debt	$ 3,894,460	$ 4,297,349
Less: debt issue costs unamortized	45,737	64,702
Total debt, net	3,848,723	4,232,647
Less: Current portion of long-term debt	853,888	822,105
Total long-term debt, net	2,994,835	3,410,542
Berkshire Term Loan due January 2022
Long-term Debt
Total debt	2,611,672	2,656,985
Peoples Equipment Loan Facility Due April 2021 [Member]
Long-term Debt
Total debt	1,254,745	1,606,953
Obligation under finance lease
Long-term Debt
Total debt	28,043
Total debt	28,043	$ 33,411
Less: Current portion of long-term debt	11,391
Total long-term debt, net	$ 16,652

DEBT - Berkshire Bank & Trust C

DEBT - Berkshire Bank & Trust Company Loan Facility (Details)	1 Months Ended		6 Months Ended	12 Months Ended
	Dec. 19, 2018USD ($)	Dec. 21, 2016USD ($)	Sep. 30, 2019USD ($)	Mar. 31, 2020USD ($)	Mar. 31, 2019USD ($)
Debt Instrument [Line Items]
Line of Credit Facility, Maximum Borrowing Capacity	$ 1,000,000		$ 1,000,000		$ 1,000,000
Nonrefundable Commitment Fee, Percentage			0.25%
payment related to execution of modification	$ 7,245
Berkshire Loan
Debt Instrument [Line Items]
Debt Instrument Debt Service Coverage Ratio Threshold					1.2
Debt Instrument Covenant Leverage Ratio Year One					2.50
Debt Instrument Covenant Maximum Capital Expenditures To Be Incurred Year Four And Thereafter				$ 1,500,000
Debt Instrument Covenant Loan To Value Ratio					0.75
Debt Instrument Covenant Trailing Period For Measurement Of Loan To Value Ratio					365 days
Unamortized Debt Issuance Expense			$ 26,688		$ 32,982
Berkshire Loan | Revolving Credit Facility
Debt Instrument [Line Items]
Maximum Amount Of Borrowing Base Required To Grant Loan Advance		$ 1,000,000
Debt Instrument Percentage Of Accounts Receivable Used For Determination Of Aggregate Amount Of Advances		80.00%
Debt Instrument Percentage Of Eligible Raw Material Used For Determination Of Aggregate Amount Of Advances		25.00%
Amount Included In Sum To Calculate Maximum Borrowing Base		$ 250,000
Debt Instrument, Description of Variable Rate Basis			one-month LIBOR plus 275 basis points
Berkshire Loan | Secured Term Loan
Debt Instrument [Line Items]
Debt Instrument, Term		60 months
Debt Instrument, Periodic Payment		$ 19,260
Debt Instrument Prepayment Period		45 days
Debt Instrument, Interest Rate, Stated Percentage		5.21%
Berkshire Loan | Ranor, Inc.
Debt Instrument [Line Items]
Debt Instrument Event Of Default Excess Of Indebtedness		$ 100,000
Debt Instrument Event Of Default In Excess Of Entry Of Judgment		150,000
Berkshire Loan | Ranor, Inc. | Revolving Credit Facility
Debt Instrument [Line Items]
Debt Instrument, Face Amount		2,850,000
Berkshire Loan | Ranor, Inc. | Secured Term Loan
Debt Instrument [Line Items]
Line of Credit Facility, Maximum Borrowing Capacity		$ 1,000,000

DEBT - People's Capital and Lea

DEBT - People's Capital and Leasing Corp. Equipment Loan Facility (Details)	1 Months Ended		6 Months Ended
	Oct. 04, 2016USD ($)	Apr. 26, 2016USD ($)	Sep. 30, 2019USD ($)	Sep. 30, 2018USD ($)	Mar. 31, 2019USD ($)
Debt Instrument [Line Items]
Repayments of Long-term Debt			$ 402,889	$ 377,323
PeoplesCapitalAndLeasingCorp [Member]
Debt Instrument [Line Items]
Unamortized Debt Issuance Expense			$ 19,049		$ 31,720
MLSA | Secured Term Loan
Debt Instrument [Line Items]
Debt Instrument, Face Amount	$ 365,852
Debt Instrument, Term	60 months	60 months
Repayments of Long-term Debt	$ 7,399
MLSA | PeoplesCapitalAndLeasingCorp [Member]
Debt Instrument [Line Items]
Debt Instrument Debt Service Coverage Ratio Threshold		1.5
MLSA | PeoplesCapitalAndLeasingCorp [Member] | Secured Term Loan
Debt Instrument [Line Items]
Debt Instrument, Interest Rate, Stated Percentage		7.90%
Debt Instrument, Periodic Payment		$ 60,921
MLSA | PeoplesCapitalAndLeasingCorp [Member] | Secured Term Loan | Ranor, Inc.
Debt Instrument [Line Items]
Debt Instrument, Face Amount		$ 3,011,648

LEASES - Finance lease (Details

LEASES - Finance lease (Details) - USD ($)	Sep. 30, 2019	Mar. 31, 2019
Net property, plant and equipment	$ 4,492,123	$ 4,860,609
Current portion of long-term debt	853,888	822,105
Total long-term debt, net	2,994,835	$ 3,410,542
Obligation under finance lease
Current portion of long-term debt	11,391
Total long-term debt, net	16,652
Total finance lease liabilities	28,043
Assets Held under Capital Leases [Member]
Property, plant and equipment	54,376
Accumulated depreciation	29,907
Net property, plant and equipment	$ 24,469

LEASES - Supplemental Informati

LEASES - Supplemental Information of leases (Details)	6 Months Ended
	Sep. 30, 2019USD ($)
LEASES
Operating lease amortization	$ 1,756
Operating lease interest	83
Finance lease amortization	5,437
Finance lease interest	$ 1,232
Lease term (years)	2 years 6 months 29 days
Lease rate	8.00%

LEASES - Supplemental Cash Flow

LEASES - Supplemental Cash Flow Information (Details)	6 Months Ended
	Sep. 30, 2019USD ($)
LEASES
Cash used in operating activities	$ 1,756
Cash used in financing activities	$ 5,437

LEASES - Additional Information

LEASES - Additional Information (Details)	Sep. 30, 2019USD ($)
LEASES
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal Remainder of Fiscal Year	$ 6,600
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal in Year Two	13,200
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal in Year Three	11,000
Capital Leases, Future Minimum Payments, Interest Included in Payments	$ 2,757

COMMITMENTS (Details)

COMMITMENTS (Details) - USD ($)	6 Months Ended
	Sep. 30, 2019	Sep. 30, 2018
COMMITMENTS
Defined Contribution Plan, Cost	$ 39,663	$ 40,825