TechPrecision (TPCS) 10-K 11 Jun 20 2020 FY Annual report Financial data

Document and Entity Information

Document and Entity Information - USD ($) $ in Millions	12 Months Ended
	Mar. 31, 2020	Jun. 03, 2020	Sep. 30, 2019
Document and Entity Information
Document Type	10-K
Amendment Flag	false
Document Period End Date	Mar. 31, 2020
Document Fiscal Year Focus	2020
Document Fiscal Period Focus	FY
Entity Registrant Name	TECHPRECISION CORP
Entity Central Index Key	0001328792
Current Fiscal Year End Date	--03-31
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		29,354,594
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filers	No
Entity Public Float			$ 41.1

CONSOLIDATED BALANCE SHEETS

CONSOLIDATED BALANCE SHEETS - USD ($)	Mar. 31, 2020	Mar. 31, 2019
Current assets:
Cash and cash equivalents	$ 930,856	$ 2,036,646
Accounts receivable, net	990,300	1,010,443
Contract assets	4,504,621	4,390,832
Inventories	1,217,613	1,240,315
Other current assets	606,151	498,059
Total current assets	8,249,541	9,176,295
Property, plant and equipment, net	4,182,861	4,860,609
Deferred income taxes	2,115,480	2,004,346
Other noncurrent assets, net	32,600	6,233
Total assets	14,580,482	16,047,483
Current liabilities:
Accounts payable	185,065	609,082
Accrued expenses	1,554,524	753,499
Contract liabilities	805,049	740,947
Current portion of long-term debt	109,829	822,105
Total current liabilities	2,654,467	2,925,633
Long-term debt, including finance lease	2,456,560	3,410,542
Commitments and contingent liabilities (see Note 14)
Stockholders' Equity:
Common stock - par value $.0001 per share, 90,000,000 shares authorized, 29,354,594 and 29,234,594 shares issued and outstanding at March 31, 2020 and 2019	2,935	2,923
Additional paid in capital	8,793,062	8,693,106
Accumulated other comprehensive income	21,688	21,940
Retained earnings	651,770	993,339
Total stockholders' equity	9,469,455	9,711,308
Total liabilities and stockholders' equity	$ 14,580,482	$ 16,047,483

CONSOLIDATED BALANCE SHEETS (Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares	Mar. 31, 2020	Mar. 31, 2019
CONSOLIDATED BALANCE SHEETS
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	29,354,594	29,234,594
Common stock, shares outstanding	29,354,594	29,234,594

CONSOLIDATED STATEMENTS OF OPER

CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE (LOSS) INCOME - USD ($)	12 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE (LOSS) INCOME
Net sales	$ 16,007,288	$ 16,702,558
Cost of sales	12,868,086	12,118,190
Gross profit	3,139,202	4,584,368
Selling, general and administrative	2,785,486	2,746,543
Provision for claims settlement	495,000
(Loss) income from operations	(141,284)	1,837,825
Other income	22,750	41,033
Interest expense	(296,076)	(354,825)
Total other expense, net	(273,326)	(313,792)
(Loss) income before (benefit) expense for income taxes	(414,610)	1,524,033
Income tax (benefit) expense	(73,041)	423,357
Net (loss) income	(341,569)	1,100,676
Other comprehensive loss, before tax:
Foreign currency translation adjustments	(252)	(2,296)
Other comprehensive loss, net of tax	(252)	(2,296)
Comprehensive (loss) income	$ (341,821)	$ 1,098,380
Net (loss) income per share - basic	$ (0.01)	$ 0.04
Net (loss) income per share - diluted	$ (0.01)	$ 0.04
Weighted average number of shares outstanding - basic	29,258,692	28,878,780
Weighted average number of shares outstanding - diluted	29,258,692	30,293,670

CONSOLIDATED STATEMENTS OF STOC

CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($)	Common Stock [Member]	Additional Paid in Capital [Member]	Accumulated Other Comprehensive Income (Loss) [Member]	Retained Earnings (Accumulated Deficit) [Member]	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		96,518			96,518
Restricted stock award	$ 13	122,487			122,500
Restricted stock award (in shares)	125,000
Non-vested restricted stock		(81,666)			(81,666)
Shares issued under long-term incentive plan	$ 28	182,372			182,400
Shares issued under long-term incentive plan (in shares)	285,001
Common stock repurchased		(188,600)			(188,600)
Net (loss) income				1,100,676	1,100,676
Foreign currency translation adjustment			(2,296)		(2,296)
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
Stock based compensation		81,667			81,667
Restricted stock award	$ 10	110,990			111,000
Restricted stock award (in shares)	100,000
Non-vested restricted stock		(101,750)			(101,750)
Shares issued under long-term incentive plan	$ 2	7,198			7,200
Shares issued under long-term incentive plan (in shares)	20,000
Related party stock transaction		1,851			1,851
Net (loss) income				(341,569)	(341,569)
Foreign currency translation adjustment			(252)		(252)
Balance at Mar. 31, 2020	$ 2,935	$ 8,793,062	$ 21,688	$ 651,770	$ 9,469,455
Balance (in shares) at Mar. 31, 2020	29,354,594

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)	12 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
CASH FLOWS FROM OPERATING ACTIVITIES
Net (loss) income	$ (341,569)	$ 1,100,676
Adjustments to reconcile net (loss) income to net cash provided by operating activities:
Depreciation	717,579	749,755
Amortization of debt issue costs	59,502	55,247
Loss on disposal of equipment		3,428
Stock based compensation expense	90,917	137,352
Change in contract loss provision	227,688	(143,105)
Deferred income taxes	(73,041)	423,357
Provision for claims settlement	495,000
Changes in operating assets and liabilities:
Accounts receivable	20,143	436,539
Inventories	22,702	(263,622)
Contract assets	(113,789)	(2,334,418)
Other current assets	(146,185)	13,322
Other noncurrent assets		(7,245)
Accounts payable	(424,017)	263,377
Accrued expenses	77,747	246,501
Contract liabilities	64,102	(149,855)
Net cash provided by operating activities	676,779	531,309
CASH FLOWS FROM INVESTING ACTIVITIES
Purchases of property, plant and equipment	(39,831)	(446,652)
Proceeds from disposition of equipment		35,309
Net cash used in investing activities	(39,831)	(411,343)
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from stock transactions	9,051	182,400
Common stock repurchased	0	(188,600)
Deferred loan costs	(41,628)
Repayment of finance lease obligation	(10,951)	(14,002)
Repayment of long-term debt	(1,699,549)	(752,352)
Net cash used in financing activities	(1,743,077)	(772,554)
Effect of exchange rate on cash and cash equivalents	339	124
Net decrease in cash and cash equivalents	(1,105,790)	(652,464)
Cash and cash equivalents, beginning of period	2,036,646	2,689,110
Cash and cash equivalents, end of period	930,856	2,036,646
Cash paid during the year for:
Interest	$ 232,492	$ 292,678

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS (Parenthetical) - Chief Executive Officer	Mar. 15, 2019$ / sharesshares
SUPPLEMENTAL INFORMATION - NONCASH INVESTING AND FINANCING TRANSACTIONS:
Exercised Options Issued | shares	230,000
Common Stock, par value | $ / shares	$ 0.0001

DESCRIPTION OF BUSINESS

DESCRIPTION OF BUSINESS	12 Months Ended
	Mar. 31, 2020
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	12 Months Ended
	Mar. 31, 2020
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 consolidated financial statements include the accounts of TechPrecision, WCMC and Ranor. Intercompany transactions and balances have been eliminated in consolidation. Use of Estimates in the Preparation of Financial Statements - In preparing the consolidated financial statements in conformity with generally accepted accounting principles in the United States, or 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 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, the 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. Cash and cash equivalents - Holdings of highly liquid investments with maturities of three months or less, when purchased, are considered to be cash equivalents. U.S.-based deposit and money market accounts are maintained in a large regional bank. Our China subsidiary also maintains a bank account in a large national bank in China subject to People’s Republic of China (PRC) banking regulations. Cash on deposit with this China-based bank was $1,423 and $8,606 at March 31, 2020 and 2019, respectively. Accounts receivable and allowance for doubtful accounts - Accounts receivable are comprised of amounts billed and currently due from customers. Accounts receivable are amounts related to any unconditional right the Company has to receive consideration and are presented as accounts receivables in the consolidated balance sheets. We maintain allowances for doubtful accounts for estimated losses resulting from the inability of our customers to make required payments. Management considers the following factors when determining the collectability of specific customer accounts: customer credit-worthiness, past transaction history with the customer, current industry trends, and changes in customer payment terms. Based on management’s assessment, we provide for estimated uncollectible amounts through a charge to earnings and a credit to a valuation allowance. Balances which remain outstanding after reasonable collection efforts are written off through a charge to the valuation allowance and a credit to accounts receivable. Historically, the level of uncollectible accounts has not been significant. There was no bad debt expense recorded for the years ended March 31, 2020 and 2019. Inventories - Work-in-process and raw materials are stated at the lower of cost or net realizable value. Cost is determined by the first-in, first-out (FIFO) method. Contract Assets - Contract assets represent the Company’s rights to consideration for work completed but not billed as of the reporting date when the right to payment is not just subject to the passage of time. The amount of contract assets recorded in the consolidated balance sheet reflects revenue recognized on contracts less associated advances and progress billings. These amounts are billed in accordance with the agreed-upon contract terms or upon achievement of contract milestones. Property, plant and equipment, net - Property, plant and equipment are recorded at cost less accumulated depreciation and amortization. Depreciation and amortization are accounted for on the straight-line method based on estimated useful lives. The amortization of leasehold improvements is based on the shorter of the lease term or the useful life of the improvement. Amortization of assets recorded under capital leases is included in depreciation expense. Betterments and large renewals, which extend the life of the asset, are capitalized whereas maintenance and repairs and small renewals are expensed as incurred. The estimated useful lives are: machinery and equipment, 5‑15 years; buildings, 30 years; and leasehold improvements, 2‑5 years. Upon sale or retirement of machinery and equipment, costs and related accumulated depreciation are eliminated and gains or losses are recognized in the statement of operations. Interest is capitalized for assets that are constructed or otherwise produced for our own use, including assets constructed or produced for us by others for which deposits or progress payments have been made. Interest is capitalized to the date the assets are available and ready for use. When an asset is constructed in stages, interest is capitalized for each stage until it is available and ready for use. We use the interest rate incurred on funds borrowed specifically for the project. The capitalized interest is recorded as part of the asset to which it relates and is amortized over the asset’s estimated useful life. In accordance with Accounting Standards Codification No. 360, Property, Plant & Equipment (ASC 360), our property, plant and equipment is tested for impairment when triggering events occur and, if impaired, written-down to fair value based on either discounted cash flows or appraised values. The carrying amount of an asset or asset group is not recoverable if it exceeds the sum of the undiscounted cash flows expected to result from the use and eventual disposition of the asset or asset group. Debt Issuance Costs - Costs incurred in connection with obtaining financing for long-term debt are capitalized and presented as a reduction of the carrying amount of the related debt. Costs incurred in connection with obtaining financing for revolving credit facilities and lines of credit are capitalized and presented as other noncurrent assets. Loan acquisition costs are being amortized using the effective interest method over the term of the loan. Contract Liabilities - Contract liabilities are comprised of advance payments, billings in excess of revenues, and deferred revenue amounts. Such advances are not generally considered a significant financing component because they are utilized to pay for contract costs within a one year period. Contract liability amounts are recognized as revenue once control over the underlying performance obligation has transferred to the customer. Fair Value Measurements - We account for fair value of financial instruments in accordance with ASC No. 820, Fair Value Measurement (ASC 820), which defines fair value and establishes a framework to measure fair value and the related disclosures about fair value measurements. 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. The Financial Accounting Standards Board, or FASB, establishes a fair value hierarchy 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: Inputs based upon quoted market prices for identical assets or liabilities in active markets at the measurement date; Level 2: Observable inputs other than quoted prices included in Level 1, such as quoted prices for similar assets and liabilities in active markets; quoted prices for identical or similar assets and liabilities in markets that are not active; or other inputs that are observable or can be corroborated by observable market data; and Level 3: Inputs that are management’s best estimate of what market participants would use in pricing the asset or liability at the measurement date. The inputs are unobservable in the market and significant to the instruments’ valuation. In addition, we will measure fair value in an inactive or dislocated market based on facts and circumstances and significant management judgment. We will use inputs based on management estimates or assumptions, or make adjustments to observable inputs to determine fair value when markets are not active and relevant observable inputs are not available. The carrying amount of cash and cash equivalents, accounts receivable, accounts payable, and accrued expenses, as presented in the balance sheet, approximates fair value due to the short-term nature of these instruments. The carrying value of short and long-term borrowings approximates their fair value. The Company’s short-term and long-term debt is all privately held with no public market for this debt and is considered to be Level 3 under the fair value hierarchy. Revenue Recognition - Effective April 1, 2018, the Company adopted the requirements of Accounting Standards Update (ASU) 2014‑09, Revenue from Contracts with Customers (Topic 606), or ASC 606, and related amendments . ASC 606 sets forth five steps for revenue recognition: identification of the contract, identification of any separate performance obligations in the contracts, determination of the transaction price, allocation of the transaction price to separate performance obligations, and revenue recognition when performance obligations are satisfied. The Company recognizes revenue over time based on the transfer of control of the promised goods or services to the customer. This transfer occurs over time when the Company has an enforceable right to payment for performance completed to date, and our performance does not create an asset that has an alternative use to the Company. Otherwise, control to the promised goods or services transfers to customers at a point in time. The majority of the Company’s contracts have a single performance obligation and provide title to, or grant a security interest in, work-in-process to the customer. In addition, these contracts contain enforceable rights to payment, allowing the Company to recover both its cost and a reasonable margin on performance completed to date. The combination of these factors indicates that the customer controls the asset and revenue is recognized as the asset is created or enhanced. The Company measures progress for performance obligations satisfied over time using input methods (e.g., costs incurred, resources consumed, labor hours expended, and time elapsed). Under arrangements where the customer does not have title to, or a security interest in, the work-in-process, our evaluation of whether revenue should be recognized over time requires significant judgment about whether the asset has an alternative use and whether the entity has an enforceable right to payment for performance completed to date. When one or both of these factors is not present, the Company will recognize revenue at the point in time where control over the promised good or service transfers to the customer, i.e. when the customer has taken physical possession of the product the Company has built for the customer. The Company and its customers may occasionally enter into contract modifications, including change orders. The Company may account for the modification as a separate contract, the termination of an old contract and creation of a new contract, or as part of the original contract, depending on the nature and pricing of the goods or services included in the modification. In general, contract modifications - as well as other changes in estimates of sales, costs, and profits on a performance obligation - are recognized using the cumulative catch-up method of accounting. This method recognizes in the current period the cumulative effect of the changes in current and prior periods. A significant change in an estimate on one or more contracts in a period could have a material effect on the consolidated balance sheet or results of operations for that period. For the fiscal year ended March 31, 2020 and 2019, net cumulative catch-up adjustments were not material. No individual adjustment was material to the Company’s consolidated statements of operations and comprehensive income for the fiscal year ended March 31, 2020 and 2019. If incentives and other contingencies are provided as part of the contract, the Company will include in the initial transaction price the consideration to which it expects to be entitled under the terms and conditions of the contract, generally estimated using an expected value or most likely amount approach. In the context of variable consideration, the Company limits, or constrains, the transaction price to amounts for which the Company believes a significant reversal of revenue is not probable. Adjustments to constrain the transaction price, may be due to a portion of the transaction price being in excess of approved funding, a lack of history with the customer, a lack of history with the goods or services being provided, or other items. Shipping and handling fees and costs incurred in connection with products sold are recorded in cost of sales in the consolidated statements of operations and comprehensive (loss) income, and are not considered a performance obligation to our customers. Contract Estimates - In estimating contract costs, the Company takes into consideration a number of assumptions and estimates regarding risks related to technical requirements and scheduling. Management performs periodic reviews of the contracts to evaluate the underlying risks. Profit margin on any given project could increase if the Company is able to mitigate and retire such risks. Conversely, if the Company is not able to properly manage these risks, cost estimates may increase, resulting in a lower profit margin, or potentially, contract losses. The cost estimation process requires significant judgment and is based upon the professional knowledge and experience of the Company’s engineers, program managers, and financial professionals. Factors considered in estimating the work to be completed and ultimate contract recovery include the availability, productivity, and cost of labor, the nature and complexity of the work to be performed, the effect of change orders, the availability of materials, the effect of any delays in performance, the availability and timing of funding from the customer, and the recoverability of any claims included in the estimates to complete. Costs allocable to undelivered units are reported as work in process, a component of inventory, in the consolidated balance sheet. Pre-contract fulfillment costs requiring capitalization are not material. Selling, general and administrative - Selling, general and administrative (SG&A) expenses include items such as executive compensation and benefits, professional fees, business travel and office costs. Advertising costs are nominal and expensed as incurred. Other general and administrative expenses include items for our administrative functions and include costs for items such as office rent, supplies, insurance, legal, accounting, tax, telephone and other outside services. SG&A consisted of the following for the fiscal years ended March 31: 2020 2019 Salaries and related expenses $ 1,511,620 $ 1,598,555 Professional fees 826,140 713,461 Other general and administrative 447,726 434,527 Total Selling, General and Administrative $ 2,785,486 $ 2,746,543 Stock-based Compensation - Stock-based compensation represents the cost related to stock based awards granted to our board of directors and employees. We measure stock-based compensation cost at the grant date based on the estimated fair value of the award and recognize the cost as expense on a straight-line basis over the requisite service period. We estimate the fair value of stock options using a Black-Scholes valuation model. Stock-based compensation included in selling, general and administrative expense amounted to $90,917 and $137,352 for the fiscal years ended March 31, 2020 and 2019, respectively. See Note 7 for additional disclosures related to stock based compensation. Net (Loss) Income per Share of Common Stock - Basic net (loss) income per common share is computed by dividing net (loss) income by the weighted average number of shares outstanding during the year. Diluted net (loss) income per common share is calculated using net (loss) income divided by diluted weighted-average shares. Diluted weighted-average shares include weighted-average shares outstanding plus the dilutive effect of convertible preferred stock and stock options calculated using the treasury stock method. See Note 6 for additional disclosures related to net (loss) income per share. Foreign currency translation - The majority of our business is transacted in U.S. dollars; however, the functional currency of our subsidiary in China is the local currency, the Chinese Yuan Renminbi. In accordance with ASC No. 830, Foreign Currency Matters (ASC 830), foreign currency translation adjustments of subsidiaries operating outside the United States are accumulated in other comprehensive income, a separate component of equity. Foreign currency transaction gains and losses are recognized in the determination of net income, and were not material for each of the reportable periods. Income Taxes - In accordance with ASC No. 740, Income Taxes (ASC 740), income taxes are accounted for under the asset and liability method . Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating loss and tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences and carryforwards are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. Valuation allowances are recorded to reduce deferred tax assets when it is more likely than not that a tax benefit will not be realized. We recognize the effect of income tax positions only if those positions are more likely than not to be sustained. Recognized income tax positions are measured at the largest amount that is greater than 50% likely of being realized. Changes in recognition or measurement are reflected in the period in which the change in judgment occurs.

ACCOUNTING STANDARDS UPDATE

ACCOUNTING STANDARDS UPDATE	12 Months Ended
	Mar. 31, 2020
ACCOUNTING STANDARDS UPDATE
ACCOUNTING STANDARDS UPDATE	NOTE 3 – ACCOUNTING STANDARDS UPDATE New Accounting Standards Recently Adopted On April 1, 2019, we adopted 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 consolidated financial statements were (1) the recognition of new right-of-use asset and lease liability on our consolidated balance sheet for an operating lease, and (2) new disclosures about our leasing activities (see Note 13). We elected the policy of not recording leases on the balance sheet when the leases have terms of 12 months or less. The Company has one short-term operating lease with a term of twelve months. 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 adoption did not result in a cumulative-effect adjustment to retained earnings, and did not have a material impact on our results of operations, balance sheet or cash flows. 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. Issued Standards Not Yet Adopted In December, 2019, the FASB issued ASU No. 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes, expected to reduce cost and complexity related to the accounting for income taxes. This ASU removes specific exceptions to the general principles in Topic 740 under U.S. GAAP and removes the limitation on the tax benefit recognized on pre-tax losses in interim periods. This guidance is effective for fiscal years, and interim periods within those years, beginning after December 15, 2020. The Company is currently evaluating the amendments in this update to determine the impact it may have on its financial statements and disclosures.

REVENUE

REVENUE	12 Months Ended
	Mar. 31, 2020
REVENUE
REVENUE	NOTE 4 - REVENUE The Company generates revenue primarily 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 between three and twenty-four months. The Company invoices and receives related payments based upon 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 Year ended March 31, 2020 $ 13,367,764 $ 595,076 $ 2,044,448 $ 16,007,288 Year ended March 31, 2019 $ 14,036,638 $ 2,403,732 $ 262,188 $ 16,702,558 Net Sales by contract type Over-time Point-in-time Totals Year ended March 31, 2020 $ 12,637,728 $ 3,369,560 $ 16,007,288 Year ended March 31, 2019 $ 15,771,213 $ 931,345 $ 16,702,558 As of March 31, 2020, the Company had $16.8 million of remaining performance obligations, of which $13.8 million were less than 50% complete. The Company expects to recognize all of its 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, and these customers change from year to year. The following table sets forth revenues from customers who accounted for more than 10% of our net sales for the years ended: 2020 2019 Customer Amount Percent Amount Percent Customer A $ 3,558,477 22 % $ 3,196,625 19 % Customer B $ 2,758,957 17 % $ * * % Customer C $ 2,063,409 13 % $ 3,223,967 19 % Customer D $ * * % $ 5,332,515 32 % Customer E $ 1,835,362 11 % $ * * % *Less than 10% of total In our 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 $0.7 million related to our contract liabilities at April 1, 2019. Contract assets consisted of the following at: Progress Unbilled payments Total March 31, 2020 $ 10,635,588 $ (6,130,967) $ 4,504,621 March 31, 2019 $ 9,324,361 $ (4,933,529) $ 4,390,832

INCOME TAXES

INCOME TAXES	12 Months Ended
	Mar. 31, 2020
INCOME TAXES
INCOME TAXES	NOTE 5 - INCOME TAXES We account for income taxes under the provisions of FASB ASC 740, Income Taxes . The following table reflects income from continuing operations by location, and the provision for income taxes for the applicable fiscal years ended March 31: 2020 2019 U.S. operations $ (403,419) $ 1,390,485 Foreign operations (11,191) 133,548 (Loss) income before income taxes (414,610) 1,524,033 Income tax (benefit) expense (73,041) 423,357 Net (loss) income $ (341,569) $ 1,100,676 The income tax expense consists of the following as of March 31: 2020 2019 Current: Total Current $ — $ — Deferred: Federal (26,328) 252,482 State (46,713) 170,875 Total Deferred $ (73,041) $ 423,357 Income tax (benefit) expense $ (73,041) $ 423,357 Our fiscal 2020 and 2019 taxes were measured at the new lower U.S. statutory income tax rate of 21%. For the year ended March 31, 2020, the Company's tax benefit was driven by operating losses and certain permanent differences. A reconciliation between income taxes computed at the U.S. federal statutory rate to the actual tax expense for income taxes reported in the Consolidated Statements of Operations and Comprehensive (Loss) Income follows for fiscal years ended March 31: 2020 2019 U.S. statutory income tax $ (87,068) $ 320,047 State income tax, net of federal benefit (35,969) 63,933 Stock based compensation (17,587) 30,497 Change in valuation allowance 9,340 (32,642) Global intangible income tax 28,045 — Other 30,198 41,522 Income tax (benefit) expense $ (73,041) $ 423,357 Effective tax rate* 17.6 % 27.8 % *Effective tax rate is calculated by dividing the income tax expense by income before income taxes. The following table summarizes the components of deferred income tax assets and liabilities at March 31: 2020 2019 Deferred Tax Assets: Compensation $ 341,900 $ 334,090 AMT tax credits 76,186 60,841 Other items not currently deductible 88,090 94,207 Stock based compensation awards 213,854 224,975 Depreciation 68,486 — Net operating loss carryforward 3,704,185 3,814,321 Valuation allowance (1,710,616) (1,701,276) Total Deferred Tax Assets $ 2,782,085 $ 2,827,158 Deferred Tax Liabilities: Contract accounting methods $ (666,605) $ (751,723) Depreciation — (71,089) Total Deferred Tax Liabilities $ (666,605) $ (822,812) Net Deferred Tax Asset $ 2,115,480 $ 2,004,346 In assessing the recoverability of deferred tax assets, we consider whether it is more likely than not that some portion or all of the deferred tax assets will not be realized. We have determined that it is more likely than not that certain future tax benefits may not be realized. Accordingly, a valuation allowance has been recorded against deferred tax assets that are unlikely to be realized. Realization of the remaining deferred tax assets will depend on the generation of sufficient taxable income in the appropriate jurisdictions, the reversal of deferred tax liabilities, tax planning strategies and other factors prior to the expiration date of the carryforwards. A change in the estimates used to make this determination could require an increase in deferred tax assets if they become realizable. The valuation allowance on deferred tax assets was approximately $1.7 million at March 31, 2020 and 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. The following table summarizes carryforwards of net operating losses as of March 31, 2020: Begins to Amount Expire: Federal net operating losses $ 7,501,833 State net operating losses $ 27,392,814 The Internal Revenue Code provides for a limitation on the annual use of net operating loss carryforwards following certain ownership changes that could limit our ability to utilize these carryforwards on a yearly basis. We experienced an ownership change in connection with the acquisition of Ranor in 2006. Accordingly, our ability to utilize certain carryforwards relating to 2006 and prior is limited. Our remaining pre‑2006 net operating losses total approximately $0.4 million. As such, at March 31, 2020, we have approximately $7.1 million of post‑2006 losses available for carryforward, without limitation. U.S. tax laws limit the time during which these carryforwards may be applied against future taxes. Therefore, we may not be able to take full advantage of these carryforwards for Federal or state income tax purposes. We have not accrued any penalties with respect to uncertain tax positions. We file income tax returns in the U.S. federal jurisdiction and various U.S. state jurisdictions. Our foreign subsidiary files separate income tax returns in China, the foreign jurisdiction in which it is located. Tax years 2017 and forward remain open for examination. We recognize interest and penalties accrued related to income tax liabilities in selling, general and administrative expense in our Consolidated Statements of Operations and Comprehensive (Loss) Income.

CAPITAL STOCK and EARNINGS PER

CAPITAL STOCK and EARNINGS PER SHARE	12 Months Ended
	Mar. 31, 2020
CAPITAL STOCK and EARNINGS PER SHARE
CAPITAL STOCK and EARNINGS PER SHARE	NOTE 6 - CAPITAL STOCK and EARNINGS PER SHARE Common Stock We had 90,000,000 authorized shares of common stock at March 31, 2020 and March 31, 2019. There were 29,354,594 and 29,234,594 shares of common stock outstanding at March 31, 2020 and March 31, 2019, respectively. Preferred Stock We have 10,000,000 authorized shares of preferred stock and our board of directors has broad power to create one or more series of preferred stock and to designate the rights, preferences, privileges and limitations of the holders of such series. There were no shares of preferred stock outstanding at March 31, 2020 and 2019. 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. March 31, March 31, 2020 2019 Basic EPS Net (loss) income $ (341,569) $ 1,100,676 Weighted average shares 29,258,692 28,878,780 Net (loss) income per share $ (0.01) $ 0.04 Diluted EPS Net (loss) income $ (341,569) $ 1,100,676 Dilutive effect of stock options — 1,414,890 Weighted average shares 29,258,692 30,293,670 Net (loss) income per share $ (0.01) $ 0.04 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 fiscal year ended March 31, 2020, there were 2,966,000 of potentially anti-dilutive stock options, none of which were included in the EPS calculations above. 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 year ended March 31, 2019 there were 221,000 of potential common stock equivalents that were out-of-the-money and were not included in the EPS calculations.

STOCK-BASED COMPENSATION

STOCK-BASED COMPENSATION	12 Months Ended
	Mar. 31, 2020
STOCK-BASED COMPENSATION
STOCK-BASED COMPENSATION	NOTE 7 - STOCK-BASED COMPENSATION Our board of directors, upon the recommendation of the compensation committee of our board of directors, approved the 2016 TechPrecision Equity Incentive Plan, or the 2016 Plan, on November 10, 2016. Our stockholders approved the 2016 Plan at the Company’s Annual Meeting of Stockholders on December 8, 2016. The 2016 Plan succeeds the 2006 Plan and applies to awards granted after the 2016 Plan’s adoption by the Company’s stockholders. We have designed the 2016 Plan to reflect our commitment to having best practices in both compensation and corporate governance. The 2016 Plan provides for a share reserve of 5,000,000 shares of common stock. 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 was computed is zero. The risk-free interest rate was selected based upon yields of five-year 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 March 31, 2020, there were 1,474,000 shares available for grant under the 2016 Plan. The following table summarizes information about options granted during the two most recently completed fiscal years: 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 6.74 Exercised (20,000) 0.360 Canceled (2,000) Outstanding at 3/31/2020 2,916,000 $ 0.415 $ 2,546,800 6.21 Vested or expected to vest at 3/31/2020 2,916,000 $ 0.415 $ 2,546,800 6.21 Exercisable and vested at 3/31/2020 2,916,000 $ 0.415 $ 2,546,800 6.21 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 fourth quarter of fiscal 2020 and fiscal 2019 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 March 31, 2020 and 2019. This amount changes based on the fair market value of the Company’s common stock. At March 31, 2020, there was no remaining unrecognized compensation cost related to stock options. The maximum contractual term is ten years for option grants. Other information relating to stock options outstanding at March 31, 2020 is as follows: Weighted Average Remaining Weighted Weighted Options Contractual Average Option Average Range of Exercise Prices: Outstanding Term Exercise Price Exercisable Exercise Price $0.01-$1.00 2,820,000 6.50 $ 0.37 2,820,000 $ 0.37 $1.01-$1.96 96,000 0.94 $ 1.84 96,000 $ 1.84 Totals 2,916,000 2,916,000 Restricted Stock Awards On March 16, 2020 we granted a total of 100,000 shares of restricted stock under the 2016 Plan to the board of directors. The stock-based compensation expense of $111,000 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 September 1, 2020, or approximately six months following the grant date. Each grantee must be serving as a director 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 fiscal year ended March 31, 2020 was $9,250. At March 31, 2020 there was $101,750 of total unrecognized compensation cost related to the 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 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 fiscal year ended March 31, 2020 and 2019 was $81,667 and $40,833. Issuer Purchase of Equity Securities On March 15, 2019, Alexander Shen, our CEO, exercised options to purchase shares of the Company’s common stock, par value $0.0001 per share, pursuant to option awards previously granted to Mr. Shen under the Company’s 2016 Long-Term Incentive Plan. Pursuant to authorization from the Company’s Board of directors, the Company agreed to repurchase the resulting 209,556 shares of Common Stock issued to Mr. Shen pursuant to the option exercise at a negotiated price of $0.90 per share (which is equal to the average of the closing trading prices of the Common Stock on the OTC Markets for the five trading days ending March 13, 2019, the date on which the board of directors of the Company authorized the repurchase, less a discount of 10%), for an aggregate purchase price of approximately $188,600.

CONCENTRATION OF CREDIT RISK

CONCENTRATION OF CREDIT RISK	12 Months Ended
	Mar. 31, 2020
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 March 31, 2020, there were trade accounts receivable balances outstanding from three customers comprising 75% 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: March 31, 2020 March 31, 2019 Customer Dollars Percent Dollars Percent A $ 365,636 37 % $ * * % B $ 254,637 26 % $ * * % C $ 123,000 12 % $ * * % D $ * * % $ 339,032 34 % E $ * * % $ 246,019 24 % F $ * * % $ 244,500 24 % *less than 10% of total

OTHER CURRENT ASSETS

OTHER CURRENT ASSETS	12 Months Ended
	Mar. 31, 2020
OTHER CURRENT ASSETS
OTHER CURRENT ASSETS	NOTE 9 - OTHER CURRENT ASSETS Other current assets included the following as of March 31: 2020 2019 Payments advanced to suppliers $ 272,070 $ 133,861 Prepaid insurance 250,073 203,601 Prepaid subscriptions 14,440 27,096 Prepaid taxes 420 31,707 Refundable AMT credits 22,748 60,841 Employee advances 18,173 15,380 Other 28,227 25,573 Total $ 606,151 $ 498,059

PROPERTY, PLANT AND EQUIPMENT,

PROPERTY, PLANT AND EQUIPMENT, NET	12 Months Ended
	Mar. 31, 2020
PROPERTY, PLANT AND EQUIPMENT, NET
PROPERTY, PLANT AND EQUIPMENT, NET	NOTE 10 - PROPERTY, PLANT AND EQUIPMENT, NET Property, plant and equipment, net consisted of the following as of March 31: 2020 2019 Land $ 110,113 $ 110,113 Building and improvements 3,249,577 3,249,577 Machinery equipment, furniture and fixtures 10,278,701 10,238,870 Equipment under finance leases 54,376 54,376 Total property, plant and equipment 13,692,767 13,652,936 Less: accumulated depreciation (9,509,906) (8,792,327) Total property, plant and equipment, net $ 4,182,861 $ 4,860,609

ACCRUED EXPENSES

ACCRUED EXPENSES	12 Months Ended
	Mar. 31, 2020
ACCRUED EXPENSES
ACCRUED EXPENSES	NOTE 11 - ACCRUED EXPENSES Accrued expenses included the following as of March 31: 2020 2019 Accrued compensation $ 383,555 $ 284,651 Provision for claims settlement 495,000 — Provision for contract losses 285,480 57,792 Accrued professional fees 279,657 267,309 Accrued project costs 76,059 118,929 Other 34,773 24,818 Total $ 1,554,524 $ 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	12 Months Ended
	Mar. 31, 2020
DEBT
DEBT	NOTE 12 – DEBT Long-term debt included the following as of March 31: 2020 2019 Berkshire Term Loan due January 2022 $ 2,564,389 $ 2,656,985 People’s Equipment Loan Facility due April 2021 — 1,606,953 Obligations under finance leases 22,460 33,411 Total debt $ 2,586,849 $ 4,297,349 Less: debt issue costs unamortized $ 20,460 $ 64,702 Total debt, net $ 2,566,389 $ 4,232,647 Less: Current portion of long-term debt $ 109,829 $ 822,105 Total long-term debt, net $ 2,456,560 $ 3,410,542 The aggregate amounts of scheduled principal maturities of our debt are: 2021 - $109,829 and 2022 - $2,477,020. Berkshire Bank 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 were originally 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 originally bore interest at a variable rate equal to 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. 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. 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. The Company paid $7,245 of expenses related to the execution of the Modification, which are classified as other noncurrent assets. On December 23, 2019, TechPrecision, through Ranor, entered into a Third Modification to Loan Agreement, or the Third Modification, and an Amended and Restated Promissory Note with Berkshire Bank. Under the Third Modification, Ranor and Berkshire agreed to increase the maximum principal amount available under the Revolver Loan from $1,000,000 to $3,000,000. Advances under the Revolver Loan are now subject to the lesser of (a) $3,000,000 or (b) the sum of (i) 80% of eligible accounts receivable, plus (ii) the lesser of (x) 25% of Eligible Raw Material Inventory, and (y) $250,000, plus (iii) 50% of the Appraised Value of the Eligible Equipment. The loan agreement is available for refinancing existing indebtedness and for working capital and general corporate purposes. Additionally, the parties agreed to lower the interest rate on advances made under the Revolver Loan at a variable rate equal to the one-month LIBOR plus 225 basis points. The Third Modification contains customary LIBOR replacement provisions. The Third Modification also excludes the balance of the Revolver Loan from the Loan-to-Value Ratio covenant calculations and excluded the Company's then-anticipated repayment of its obligations to People's Capital and Leasing Corp from the calculation of the financial covenants. The Company repaid People's in full in January 2020, and the debt service requirements related to the People's obligations was eliminated for purposes of the Debt Service Coverage Ratio covenant calculations and the debt service related to the People's financing was eliminated from covenant testing starting with the December 31, 2019 covenant test. The Company paid $41,628 in costs related to the execution of the Third Modification, which are classified as other noncurrent assets. In fiscal 2020 we amortized $15,260 of deferred financing costs related to the initial term of our revolving line of credit. The maturity date of the Revolver Loan remains December 20, 2020, and all other material terms of the Loan Agreement and Line of Credit Note were unchanged. There were no amounts outstanding under the Revolver Loan at March 31, 2020 and March 31, 2019. 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. 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 March 31, 2020 and March 31, 2019. Other unamortized debt issue costs at March 31, 2020 and March 31, 2019 were $20,460 and $32,982, respectively. 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. Collateral securing the above obligations comprises all personal and real property of TechPrecision and Ranor, including cash, accounts receivable, inventories, equipment, and financial assets. People’s Capital and Leasing Corp. 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. The MLSA is dated and became 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 was secured by a first lien on certain machinery and equipment of Ranor, or the Equipment Collateral. Payments on the People’s Loan were to 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 applied during the first four years of the loan term. Ranor’s obligations under the MLSA were guaranteed by TechPrecision. The Company covenanted to maintain a DSCR of at least 1.5 to 1.0 during the term of the People’s Loan. The DSCR was measured at the end of each fiscal year of the Company. The People’s Loan was subjected to acceleration upon the occurrence of an “Event of Default” (as defined in the MLSA). Some of the Events of Default were 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 002. Pursuant to Schedule 002, 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 002. Ranor was to repay the Additional People’s Loan in monthly installments of principal and interest of $7,399 over 60 months. The Additional People’s Loan was 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 was secured by a security interest in certain machinery and equipment of Ranor as provided in Schedule 002. 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, amended 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. On January 16, 2020, TechPrecision through Ranor repaid in full Ranor's indebtedness under Schedule No. 002, to the MLSA. Upon the payment of approximately $147,000, which amount included a 1% prepayment penalty of approximately $1,400, all commitments under Schedule 002 to the MSLA were terminated, and People's discharged and released all guarantees and liens existing in connection with such loan, thereby terminating such loan agreement schedule. On January 17, 2020, the Company, through Ranor, repaid in full Ranor's indebtedness under Schedule 001 to the MSLA. Upon the payment of approximately $936,000, which amount included a 1% prepayment penalty of approximately $9,200, all commitments under Schedule 001 to the MSLA were terminated, and People's discharged and released all guarantees and liens existing in connection with such loan, thereby terminating such loan agreement schedule. As all previously outstanding obligations under the MSLA have been satisfied in full, Ranor is no longer bound by any material terms of the MSLA. In January 2020, the Company paid a prepayment penalty of $10,670 in the aggregate in connection with the debt termination, and we expensed unamortized debt issue costs of $31,720 during fiscal 2020. Finance Lease See Note 13 for information regarding our obligations under the finance lease.

LEASES

LEASES	12 Months Ended
	Mar. 31, 2020
LEASES
LEASES	NOTE 13 - 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 consolidated balance sheet. The following table lists our right-of-use assets and liabilities on our consolidated balance at: March 31, 2020 Finance lease: Property, plant and equipment $ 54,376 Accumulated depreciation 35,344 Net property, plant and equipment $ 19,032 Current portion of long-term debt $ 11,848 Long-term debt $ 10,612 Total finance lease liabilities $ 22,460 Future payments for our finance lease follows in years 2021 and 2022 will be $13,200 and $11,000, respectively. The amount representing finance lease interest is $1,740. In December 2019, we signed an operating lease for office space that expires in less than 12 months and is amortized on a straight line basis. Other supplemental information regarding our leases are contained in the following tables: Components of lease expense for the period ended: March 31, 2020 Operating lease amortization $ 2,860 Finance lease amortization $ 10,875 Finance lease interest $ 2,249 Weighted average lease term and discount rate at: March 31, 2020 Lease term (years) 2.00 Lease rate 7.9 % Supplemental cash flow information related to leases for the period ended: March 31, 2020 Cash used in operating activities $ 5,109 Cash used in financing activities $ 10,951

COMMITMENTS

COMMITMENTS	12 Months Ended
	Mar. 31, 2020
COMMITMENTS
COMMITMENTS	NOTE 14 - COMMITMENTS Employment Agreements We have employment agreements with each of our executive officers. Such agreements provide for minimum salary levels, adjusted annually, and incentive bonuses that are payable if specified company goals are attained. The aggregate commitment at March 31, 2020 for future executive salaries was approximately $0.5 million. The aggregate commitment at March 31, 2020 was approximately $0.4 million for accrued payroll, vacation and holiday pay for the remainder of our employees. Purchase Commitments As of March 31, 2020, we had $1.1 million in purchase obligations outstanding, which primarily consisted of contractual commitments to purchase new materials and supplies. 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 $81,333 and $83,353 for the years ended March 31, 2020 and 2019, respectively. Provision for claims settlement On March 16, 2020, the Company reached an agreement to settle all outstanding claims for $495,000 related to a civil action brought by former employees for past wages claimed under a paid time-off program. The claim is to be paid within sixty days following Court approval of the settlement.

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS	12 Months Ended
	Mar. 31, 2020
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS	NOTE 15 – SUBSEQUENT EVENTS On May 8, 2020, the Company, through its wholly owned subsidiary Ranor, issued a promissory note evidencing an unsecured loan in the amount of $1,317,100 made to Ranor under the Paycheck Protection Program, or the PPP. The PPP was established under the Coronavirus Aid, Relief, and Economic Security Act, the CARES Act and is administered by the U.S. Small Business Administration, or the SBA. The loan to Ranor was made through Berkshire Bank. The Company received $1.3 million of proceeds on May 11, 2020. The promissory note provides for an interest rate of 1.00% per year and matures two years after the issuance date. Principal and accrued interest are payable monthly in equal installments commencing on the date that is six months after the date funds are first disbursed on the loan and continuing through the maturity date, unless the Note is forgiven. To be available for loan forgiveness, the Note may only be used for payroll costs, costs related to certain group health care benefits and insurance premiums, rent payments, utility payments, mortgage interest payments and interest payments on any other debt obligation that existed before February 15, 2020. At the end of March of 2020, the outbreak of coronavirus (COVID-19) had spread worldwide as a pandemic. The full extent of the outbreak, related business and travel restrictions and changes to social behavior intended to reduce its spread remain uncertain as the health crisis continues to evolve in the U.S. and abroad. The directives imposed by federal, state and local governments did not impair our ability to maintain operations during the fourth quarter of fiscal 2020 as the Company was designated an “Essential Service.” However, the pandemic has negatively affected the Company’s customers, suppliers and labor force, and with the changing conditions as a result of the COVID-19 outbreak, the impact on our operations and fiscal year 2021 financial results remains uncertain.

BASIS OF PRESENTATION AND SIG_2

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES (Policies)	12 Months Ended
	Mar. 31, 2020
BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES
Basis of Presentation and Consolidation	Basis of Presentation and Consolidation - The accompanying consolidated financial statements include the accounts of TechPrecision, WCMC and Ranor. Intercompany transactions and balances have been eliminated in consolidation.
Use of Estimates in the Preparation of Financial Statements	Use of Estimates in the Preparation of Financial Statements - In preparing the consolidated financial statements in conformity with generally accepted accounting principles in the United States, or 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 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, the 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.
Cash and cash equivalents	Cash and cash equivalents - Holdings of highly liquid investments with maturities of three months or less, when purchased, are considered to be cash equivalents. U.S.-based deposit and money market accounts are maintained in a large regional bank. Our China subsidiary also maintains a bank account in a large national bank in China subject to People’s Republic of China (PRC) banking regulations. Cash on deposit with this China-based bank was $1,423 and $8,606 at March 31, 2020 and 2019, respectively.
Accounts receivable and allowance for doubtful accounts	Accounts receivable and allowance for doubtful accounts - Accounts receivable are comprised of amounts billed and currently due from customers. Accounts receivable are amounts related to any unconditional right the Company has to receive consideration and are presented as accounts receivables in the consolidated balance sheets. We maintain allowances for doubtful accounts for estimated losses resulting from the inability of our customers to make required payments. Management considers the following factors when determining the collectability of specific customer accounts: customer credit-worthiness, past transaction history with the customer, current industry trends, and changes in customer payment terms. Based on management’s assessment, we provide for estimated uncollectible amounts through a charge to earnings and a credit to a valuation allowance. Balances which remain outstanding after reasonable collection efforts are written off through a charge to the valuation allowance and a credit to accounts receivable. Historically, the level of uncollectible accounts has not been significant. There was no bad debt expense recorded for the years ended March 31, 2020 and 2019.
Inventories	Inventories - Work-in-process and raw materials are stated at the lower of cost or net realizable value. Cost is determined by the first-in, first-out (FIFO) method.
Contract Assets	Contract Assets - Contract assets represent the Company’s rights to consideration for work completed but not billed as of the reporting date when the right to payment is not just subject to the passage of time. The amount of contract assets recorded in the consolidated balance sheet reflects revenue recognized on contracts less associated advances and progress billings. These amounts are billed in accordance with the agreed-upon contract terms or upon achievement of contract milestones.
Property, plant and equipment, net	Property, plant and equipment, net - Property, plant and equipment are recorded at cost less accumulated depreciation and amortization. Depreciation and amortization are accounted for on the straight-line method based on estimated useful lives. The amortization of leasehold improvements is based on the shorter of the lease term or the useful life of the improvement. Amortization of assets recorded under capital leases is included in depreciation expense. Betterments and large renewals, which extend the life of the asset, are capitalized whereas maintenance and repairs and small renewals are expensed as incurred. The estimated useful lives are: machinery and equipment, 5‑15 years; buildings, 30 years; and leasehold improvements, 2‑5 years. Upon sale or retirement of machinery and equipment, costs and related accumulated depreciation are eliminated and gains or losses are recognized in the statement of operations. Interest is capitalized for assets that are constructed or otherwise produced for our own use, including assets constructed or produced for us by others for which deposits or progress payments have been made. Interest is capitalized to the date the assets are available and ready for use. When an asset is constructed in stages, interest is capitalized for each stage until it is available and ready for use. We use the interest rate incurred on funds borrowed specifically for the project. The capitalized interest is recorded as part of the asset to which it relates and is amortized over the asset’s estimated useful life. In accordance with Accounting Standards Codification No. 360, Property, Plant & Equipment (ASC 360), our property, plant and equipment is tested for impairment when triggering events occur and, if impaired, written-down to fair value based on either discounted cash flows or appraised values. The carrying amount of an asset or asset group is not recoverable if it exceeds the sum of the undiscounted cash flows expected to result from the use and eventual disposition of the asset or asset group.
Debt Issuance Costs	Debt Issuance Costs - Costs incurred in connection with obtaining financing for long-term debt are capitalized and presented as a reduction of the carrying amount of the related debt. Costs incurred in connection with obtaining financing for revolving credit facilities and lines of credit are capitalized and presented as other noncurrent assets. Loan acquisition costs are being amortized using the effective interest method over the term of the loan.
Contract Liabilities	Contract Liabilities - Contract liabilities are comprised of advance payments, billings in excess of revenues, and deferred revenue amounts. Such advances are not generally considered a significant financing component because they are utilized to pay for contract costs within a one year period. Contract liability amounts are recognized as revenue once control over the underlying performance obligation has transferred to the customer.
Fair Value Measurements	Fair Value Measurements - We account for fair value of financial instruments in accordance with ASC No. 820, Fair Value Measurement (ASC 820), which defines fair value and establishes a framework to measure fair value and the related disclosures about fair value measurements. 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. The Financial Accounting Standards Board, or FASB, establishes a fair value hierarchy 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: Inputs based upon quoted market prices for identical assets or liabilities in active markets at the measurement date; Level 2: Observable inputs other than quoted prices included in Level 1, such as quoted prices for similar assets and liabilities in active markets; quoted prices for identical or similar assets and liabilities in markets that are not active; or other inputs that are observable or can be corroborated by observable market data; and Level 3: Inputs that are management’s best estimate of what market participants would use in pricing the asset or liability at the measurement date. The inputs are unobservable in the market and significant to the instruments’ valuation. In addition, we will measure fair value in an inactive or dislocated market based on facts and circumstances and significant management judgment. We will use inputs based on management estimates or assumptions, or make adjustments to observable inputs to determine fair value when markets are not active and relevant observable inputs are not available. The carrying amount of cash and cash equivalents, accounts receivable, accounts payable, and accrued expenses, as presented in the balance sheet, approximates fair value due to the short-term nature of these instruments. The carrying value of short and long-term borrowings approximates their fair value. The Company’s short-term and long-term debt is all privately held with no public market for this debt and is considered to be Level 3 under the fair value hierarchy.
Revenue Recognition	Revenue Recognition - Effective April 1, 2018, the Company adopted the requirements of Accounting Standards Update (ASU) 2014‑09, Revenue from Contracts with Customers (Topic 606), or ASC 606, and related amendments . ASC 606 sets forth five steps for revenue recognition: identification of the contract, identification of any separate performance obligations in the contracts, determination of the transaction price, allocation of the transaction price to separate performance obligations, and revenue recognition when performance obligations are satisfied. The Company recognizes revenue over time based on the transfer of control of the promised goods or services to the customer. This transfer occurs over time when the Company has an enforceable right to payment for performance completed to date, and our performance does not create an asset that has an alternative use to the Company. Otherwise, control to the promised goods or services transfers to customers at a point in time. The majority of the Company’s contracts have a single performance obligation and provide title to, or grant a security interest in, work-in-process to the customer. In addition, these contracts contain enforceable rights to payment, allowing the Company to recover both its cost and a reasonable margin on performance completed to date. The combination of these factors indicates that the customer controls the asset and revenue is recognized as the asset is created or enhanced. The Company measures progress for performance obligations satisfied over time using input methods (e.g., costs incurred, resources consumed, labor hours expended, and time elapsed). Under arrangements where the customer does not have title to, or a security interest in, the work-in-process, our evaluation of whether revenue should be recognized over time requires significant judgment about whether the asset has an alternative use and whether the entity has an enforceable right to payment for performance completed to date. When one or both of these factors is not present, the Company will recognize revenue at the point in time where control over the promised good or service transfers to the customer, i.e. when the customer has taken physical possession of the product the Company has built for the customer. The Company and its customers may occasionally enter into contract modifications, including change orders. The Company may account for the modification as a separate contract, the termination of an old contract and creation of a new contract, or as part of the original contract, depending on the nature and pricing of the goods or services included in the modification. In general, contract modifications - as well as other changes in estimates of sales, costs, and profits on a performance obligation - are recognized using the cumulative catch-up method of accounting. This method recognizes in the current period the cumulative effect of the changes in current and prior periods. A significant change in an estimate on one or more contracts in a period could have a material effect on the consolidated balance sheet or results of operations for that period. For the fiscal year ended March 31, 2020 and 2019, net cumulative catch-up adjustments were not material. No individual adjustment was material to the Company’s consolidated statements of operations and comprehensive income for the fiscal year ended March 31, 2020 and 2019. If incentives and other contingencies are provided as part of the contract, the Company will include in the initial transaction price the consideration to which it expects to be entitled under the terms and conditions of the contract, generally estimated using an expected value or most likely amount approach. In the context of variable consideration, the Company limits, or constrains, the transaction price to amounts for which the Company believes a significant reversal of revenue is not probable. Adjustments to constrain the transaction price, may be due to a portion of the transaction price being in excess of approved funding, a lack of history with the customer, a lack of history with the goods or services being provided, or other items. Shipping and handling fees and costs incurred in connection with products sold are recorded in cost of sales in the consolidated statements of operations and comprehensive (loss) income, and are not considered a performance obligation to our customers.
Contract Estimates	Contract Estimates - In estimating contract costs, the Company takes into consideration a number of assumptions and estimates regarding risks related to technical requirements and scheduling. Management performs periodic reviews of the contracts to evaluate the underlying risks. Profit margin on any given project could increase if the Company is able to mitigate and retire such risks. Conversely, if the Company is not able to properly manage these risks, cost estimates may increase, resulting in a lower profit margin, or potentially, contract losses. The cost estimation process requires significant judgment and is based upon the professional knowledge and experience of the Company’s engineers, program managers, and financial professionals. Factors considered in estimating the work to be completed and ultimate contract recovery include the availability, productivity, and cost of labor, the nature and complexity of the work to be performed, the effect of change orders, the availability of materials, the effect of any delays in performance, the availability and timing of funding from the customer, and the recoverability of any claims included in the estimates to complete. Costs allocable to undelivered units are reported as work in process, a component of inventory, in the consolidated balance sheet. Pre-contract fulfillment costs requiring capitalization are not material.
Selling, general and administrative	Selling, general and administrative - Selling, general and administrative (SG&A) expenses include items such as executive compensation and benefits, professional fees, business travel and office costs. Advertising costs are nominal and expensed as incurred. Other general and administrative expenses include items for our administrative functions and include costs for items such as office rent, supplies, insurance, legal, accounting, tax, telephone and other outside services. SG&A consisted of the following for the fiscal years ended March 31: 2020 2019 Salaries and related expenses $ 1,511,620 $ 1,598,555 Professional fees 826,140 713,461 Other general and administrative 447,726 434,527 Total Selling, General and Administrative $ 2,785,486 $ 2,746,543
Stock-based Compensation	Stock-based Compensation - Stock-based compensation represents the cost related to stock based awards granted to our board of directors and employees. We measure stock-based compensation cost at the grant date based on the estimated fair value of the award and recognize the cost as expense on a straight-line basis over the requisite service period. We estimate the fair value of stock options using a Black-Scholes valuation model. Stock-based compensation included in selling, general and administrative expense amounted to $90,917 and $137,352 for the fiscal years ended March 31, 2020 and 2019, respectively. See Note 7 for additional disclosures related to stock based compensation.
Net (Loss) Income per Share of Common Stock	Net (Loss) Income per Share of Common Stock - Basic net (loss) income per common share is computed by dividing net (loss) income by the weighted average number of shares outstanding during the year. Diluted net (loss) income per common share is calculated using net (loss) income divided by diluted weighted-average shares. Diluted weighted-average shares include weighted-average shares outstanding plus the dilutive effect of convertible preferred stock and stock options calculated using the treasury stock method. See Note 6 for additional disclosures related to net (loss) income per share.
Foreign currency translation	Foreign currency translation - The majority of our business is transacted in U.S. dollars; however, the functional currency of our subsidiary in China is the local currency, the Chinese Yuan Renminbi. In accordance with ASC No. 830, Foreign Currency Matters (ASC 830), foreign currency translation adjustments of subsidiaries operating outside the United States are accumulated in other comprehensive income, a separate component of equity. Foreign currency transaction gains and losses are recognized in the determination of net income, and were not material for each of the reportable periods.
Income Taxes	Income Taxes - In accordance with ASC No. 740, Income Taxes (ASC 740), income taxes are accounted for under the asset and liability method . Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating loss and tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences and carryforwards are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. Valuation allowances are recorded to reduce deferred tax assets when it is more likely than not that a tax benefit will not be realized. We recognize the effect of income tax positions only if those positions are more likely than not to be sustained. Recognized income tax positions are measured at the largest amount that is greater than 50% likely of being realized. Changes in recognition or measurement are reflected in the period in which the change in judgment occurs.

BASIS OF PRESENTATION AND SIG_3

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES (Tables)	12 Months Ended
	Mar. 31, 2020
BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES
Schedule of selling, general, and administrative expenses	2020 2019 Salaries and related expenses $ 1,511,620 $ 1,598,555 Professional fees 826,140 713,461 Other general and administrative 447,726 434,527 Total Selling, General and Administrative $ 2,785,486 $ 2,746,543

REVENUE (Tables)

REVENUE (Tables)	12 Months Ended
	Mar. 31, 2020
Schedule of net sales on a disaggregated basis by market and contract type	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 Year ended March 31, 2020 $ 13,367,764 $ 595,076 $ 2,044,448 $ 16,007,288 Year ended March 31, 2019 $ 14,036,638 $ 2,403,732 $ 262,188 $ 16,702,558 Net Sales by contract type Over-time Point-in-time Totals Year ended March 31, 2020 $ 12,637,728 $ 3,369,560 $ 16,007,288 Year ended March 31, 2019 $ 15,771,213 $ 931,345 $ 16,702,558 Progress Unbilled payments Total March 31, 2020 $ 10,635,588 $ (6,130,967) $ 4,504,621 March 31, 2019 $ 9,324,361 $ (4,933,529) $ 4,390,832
Sales [Member]
Schedule of revenues from customers who accounted for more than 10% of our net sales	2020 2019 Customer Amount Percent Amount Percent Customer A $ 3,558,477 22 % $ 3,196,625 19 % Customer B $ 2,758,957 17 % $ * * % Customer C $ 2,063,409 13 % $ 3,223,967 19 % Customer D $ * * % $ 5,332,515 32 % Customer E $ 1,835,362 11 % $ * * % *Less than 10% of total

INCOME TAXES (Tables)

INCOME TAXES (Tables)	12 Months Ended
	Mar. 31, 2020
INCOME TAXES
Schedule of income (loss) from continuing operations by location	2020 2019 U.S. operations $ (403,419) $ 1,390,485 Foreign operations (11,191) 133,548 (Loss) income before income taxes (414,610) 1,524,033 Income tax (benefit) expense (73,041) 423,357 Net (loss) income $ (341,569) $ 1,100,676
Schedule of components of income tax benefit	2020 2019 Current: Total Current $ — $ — Deferred: Federal (26,328) 252,482 State (46,713) 170,875 Total Deferred $ (73,041) $ 423,357 Income tax (benefit) expense $ (73,041) $ 423,357
Schedule of reconciliation between federal statutory income tax rate and effective income tax rate	2020 2019 U.S. statutory income tax $ (87,068) $ 320,047 State income tax, net of federal benefit (35,969) 63,933 Stock based compensation (17,587) 30,497 Change in valuation allowance 9,340 (32,642) Global intangible income tax 28,045 — Other 30,198 41,522 Income tax (benefit) expense $ (73,041) $ 423,357 Effective tax rate* 17.6 % 27.8 % *Effective tax rate is calculated by dividing the income tax expense by income before income taxes.
Summary of the components of deferred income tax assets and liabilities	2020 2019 Deferred Tax Assets: Compensation $ 341,900 $ 334,090 AMT tax credits 76,186 60,841 Other items not currently deductible 88,090 94,207 Stock based compensation awards 213,854 224,975 Depreciation 68,486 — Net operating loss carryforward 3,704,185 3,814,321 Valuation allowance (1,710,616) (1,701,276) Total Deferred Tax Assets $ 2,782,085 $ 2,827,158 Deferred Tax Liabilities: Contract accounting methods $ (666,605) $ (751,723) Depreciation — (71,089) Total Deferred Tax Liabilities $ (666,605) $ (822,812) Net Deferred Tax Asset $ 2,115,480 $ 2,004,346
Summary of carryforwards of net operating losses	Begins to Amount Expire: Federal net operating losses $ 7,501,833 State net operating losses $ 27,392,814

CAPITAL STOCK and EARNINGS PE_2

CAPITAL STOCK and EARNINGS PER SHARE (Tables)	12 Months Ended
	Mar. 31, 2020
CAPITAL STOCK and EARNINGS PER SHARE
Schedule of basic and diluted earnings per share computations	March 31, March 31, 2020 2019 Basic EPS Net (loss) income $ (341,569) $ 1,100,676 Weighted average shares 29,258,692 28,878,780 Net (loss) income per share $ (0.01) $ 0.04 Diluted EPS Net (loss) income $ (341,569) $ 1,100,676 Dilutive effect of stock options — 1,414,890 Weighted average shares 29,258,692 30,293,670 Net (loss) income per share $ (0.01) $ 0.04

STOCK-BASED COMPENSATION (Table

STOCK-BASED COMPENSATION (Tables)	12 Months Ended
	Mar. 31, 2020
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 6.74 Exercised (20,000) 0.360 Canceled (2,000) Outstanding at 3/31/2020 2,916,000 $ 0.415 $ 2,546,800 6.21 Vested or expected to vest at 3/31/2020 2,916,000 $ 0.415 $ 2,546,800 6.21 Exercisable and vested at 3/31/2020 2,916,000 $ 0.415 $ 2,546,800 6.21
Schedule of exercise price range	Weighted Average Remaining Weighted Weighted Options Contractual Average Option Average Range of Exercise Prices: Outstanding Term Exercise Price Exercisable Exercise Price $0.01-$1.00 2,820,000 6.50 $ 0.37 2,820,000 $ 0.37 $1.01-$1.96 96,000 0.94 $ 1.84 96,000 $ 1.84 Totals 2,916,000 2,916,000

CONCENTRATION OF CREDIT RISK (T

CONCENTRATION OF CREDIT RISK (Tables)	12 Months Ended
	Mar. 31, 2020
Accounts Receivable
Concentration of credit risk and major customers
Schedule of revenues from customers who accounted for more than 10% of our net sales	March 31, 2020 March 31, 2019 Customer Dollars Percent Dollars Percent A $ 365,636 37 % $ * * % B $ 254,637 26 % $ * * % C $ 123,000 12 % $ * * % D $ * * % $ 339,032 34 % E $ * * % $ 246,019 24 % F $ * * % $ 244,500 24 % *less than 10% of total

OTHER CURRENT ASSETS (Tables)

OTHER CURRENT ASSETS (Tables)	12 Months Ended
	Mar. 31, 2020
OTHER CURRENT ASSETS
Schedule of other current assets	Other current assets included the following as of March 31: 2020 2019 Payments advanced to suppliers $ 272,070 $ 133,861 Prepaid insurance 250,073 203,601 Prepaid subscriptions 14,440 27,096 Prepaid taxes 420 31,707 Refundable AMT credits 22,748 60,841 Employee advances 18,173 15,380 Other 28,227 25,573 Total $ 606,151 $ 498,059

PROPERTY, PLANT AND EQUIPMENT_2

PROPERTY, PLANT AND EQUIPMENT, NET (Tables)	12 Months Ended
	Mar. 31, 2020
PROPERTY, PLANT AND EQUIPMENT, NET
Schedule of components of property, plant and equipment, net	Property, plant and equipment, net consisted of the following as of March 31: 2020 2019 Land $ 110,113 $ 110,113 Building and improvements 3,249,577 3,249,577 Machinery equipment, furniture and fixtures 10,278,701 10,238,870 Equipment under finance leases 54,376 54,376 Total property, plant and equipment 13,692,767 13,652,936 Less: accumulated depreciation (9,509,906) (8,792,327) Total property, plant and equipment, net $ 4,182,861 $ 4,860,609

ACCRUED EXPENSES (Tables)

ACCRUED EXPENSES (Tables)	12 Months Ended
	Mar. 31, 2020
ACCRUED EXPENSES
Schedule of accrued expenses	Accrued expenses included the following as of March 31: 2020 2019 Accrued compensation $ 383,555 $ 284,651 Provision for claims settlement 495,000 — Provision for contract losses 285,480 57,792 Accrued professional fees 279,657 267,309 Accrued project costs 76,059 118,929 Other 34,773 24,818 Total $ 1,554,524 $ 753,499

DEBT (Tables)

DEBT (Tables)	12 Months Ended
	Mar. 31, 2020
DEBT
Schedule of outstanding debt obligations	Long-term debt included the following as of March 31: 2020 2019 Berkshire Term Loan due January 2022 $ 2,564,389 $ 2,656,985 People’s Equipment Loan Facility due April 2021 — 1,606,953 Obligations under finance leases 22,460 33,411 Total debt $ 2,586,849 $ 4,297,349 Less: debt issue costs unamortized $ 20,460 $ 64,702 Total debt, net $ 2,566,389 $ 4,232,647 Less: Current portion of long-term debt $ 109,829 $ 822,105 Total long-term debt, net $ 2,456,560 $ 3,410,542

LEASES (Tables)

LEASES (Tables)	12 Months Ended
	Mar. 31, 2020
LEASES
Schedule of Right of use assets and liabilities	March 31, 2020 Finance lease: Property, plant and equipment $ 54,376 Accumulated depreciation 35,344 Net property, plant and equipment $ 19,032 Current portion of long-term debt $ 11,848 Long-term debt $ 10,612 Total finance lease liabilities $ 22,460
Schedule of Supplemental Information of leases	Components of lease expense for the period ended: March 31, 2020 Operating lease amortization $ 2,860 Finance lease amortization $ 10,875 Finance lease interest $ 2,249 Weighted average lease term and discount rate at: March 31, 2020 Lease term (years) 2.00 Lease rate 7.9 %
Schedule of Supplemental Cash flow information	Supplemental cash flow information related to leases for the period ended: March 31, 2020 Cash used in operating activities $ 5,109 Cash used in financing activities $ 10,951

BASIS OF PRESENTATION AND SIG_4

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES - Cash, Accounts Receivables, and PP&E (Details) - USD ($)	12 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Cash and cash equivalents
Cash deposit with a large national China-based bank	$ 1,423	$ 8,606
Machinery and equipment | Minimum
Property, plant and equipment, net
Estimated useful lives	5 years
Machinery and equipment | Maximum
Property, plant and equipment, net
Estimated useful lives	15 years
Buildings
Property, plant and equipment, net
Estimated useful lives	30 years
Leasehold improvements | Minimum
Property, plant and equipment, net
Estimated useful lives	2 years
Leasehold improvements | Maximum
Property, plant and equipment, net
Estimated useful lives	5 years

BASIS OF PRESENTATION AND SIG_5

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES - Derivatives, R&D, SG&A, Stock Based Compensation (Details) - USD ($)	12 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Selling, General, and Administrative
Salaries and related expenses	$ 1,511,620	$ 1,598,555
Professional fees	826,140	713,461
Other general and administrative	447,726	434,527
Total Selling, General and Administrative	2,785,486	2,746,543
Stock Based Compensation
Stock based compensation cost	$ 90,917	$ 137,352

REVENUE - Disaggregated Basis (

REVENUE - Disaggregated Basis (Details) - USD ($)	12 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Revenue from Contract with Customer, Including Assessed Tax	$ 16,007,288	$ 16,702,558
Over-time
Revenue from Contract with Customer, Including Assessed Tax	12,637,728	15,771,213
Point-in-time
Revenue from Contract with Customer, Including Assessed Tax	3,369,560	931,345
Defense
Revenue from Contract with Customer, Including Assessed Tax	13,367,764	14,036,638
Energy
Revenue from Contract with Customer, Including Assessed Tax	595,076	2,403,732
Industrial
Revenue from Contract with Customer, Including Assessed Tax	$ 2,044,448	$ 262,188

REVENUE - Net Sales from Custom

REVENUE - Net Sales from Customers (Details) - USD ($)	12 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Revenues	$ 16,007,288	$ 16,702,558
Customer A | Sales Revenue, Net
Revenues	$ 3,558,477	$ 3,196,625
Concentration risk percentage	22.00%	19.00%
Customer B | Sales Revenue, Net
Revenues	$ 2,758,957
Concentration risk percentage	17.00%
Customer C | Sales Revenue, Net
Revenues	$ 2,063,409	$ 3,223,967
Concentration risk percentage	13.00%	19.00%
Customer D | Sales Revenue, Net
Revenues		$ 5,332,515
Concentration risk percentage		32.00%
Customer E | Sales Revenue, Net
Revenues	$ 1,835,362
Concentration risk percentage	11.00%

REVENUE - Contract Assets and C

REVENUE - Contract Assets and Contract Liabilities (Details) - USD ($)	Mar. 31, 2020	Mar. 31, 2019
Contract assets	$ 4,504,621	$ 4,390,832
Unbilled
Contract assets	10,635,588	9,324,361
Less: Progress payments
Contract assets	$ (6,130,967)	$ (4,933,529)

REVENUE - Additional informatio

REVENUE - Additional information (Details) $ in Millions	12 Months Ended
	Mar. 31, 2020USD ($)
REVENUE
Revenue, Remaining Performance Obligation, Amount	$ 16.8
Revenue Remaining Performance Obligation Completed Less Than 50	$ 13.8
Revenue, Remaining Performance Obligation, Percentage	50.00%
Revenue Recognized By Contract Liabilities	$ 0.7

INCOME TAXES - Income Tax Benef

INCOME TAXES - Income Tax Benefit and Reconciliation to Federal Statutory Tax Rate (Details) - USD ($)	12 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
INCOME TAXES
(Loss) income before income taxes	$ (414,610)	$ 1,524,033
Income tax (benefit) expense	(73,041)	423,357
Net (loss) income	(341,569)	1,100,676
Current
Total Current	0	0
Deferred
Federal	(26,328)	252,482
State	(46,713)	170,875
Total Deferred	(73,041)	423,357
U.S. operations
INCOME TAXES
(Loss) income before income taxes	(403,419)	1,390,485
Foreign operations
INCOME TAXES
(Loss) income before income taxes	$ (11,191)	$ 133,548

INCOME TAXES - U.S. Federal Sta

INCOME TAXES - U.S. Federal Statutory Rate To Actual Tax Benefit For Income Taxes (Details) - USD ($)	12 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
INCOME TAXES
U.S. statutory income tax	$ (87,068)	$ 320,047
State income tax, net of federal benefit	(35,969)	63,933
Stock based compensation	(17,587)	30,497
Change in valuation allowance	9,340	(32,642)
Global intangible income tax	28,045	0
Other	30,198	41,522
Income tax (benefit) expense	$ (73,041)	$ 423,357
Effective tax rate	17.60%	27.80%

INCOME TAXES - Deferred Taxes (

INCOME TAXES - Deferred Taxes (Details) - USD ($)	Mar. 31, 2020	Mar. 31, 2019
Deferred Tax Assets:
Compensation	$ 341,900	$ 334,090
AMT tax credits	76,186	60,841
Other items not currently deductible	88,090	94,207
Stock based compensation awards	213,854	224,975
Depreciation	68,486	0
Net operating loss carryforward	3,704,185	3,814,321
Valuation allowance	(1,710,616)	(1,701,276)
Total Deferred Tax Assets	2,782,085	2,827,158
Deferred Tax Liabilities:
Contract accounting methods	(666,605)	(751,723)
Depreciation		(71,089)
Total Deferred Tax Liabilities	(666,605)	(822,812)
Net Deferred Tax Asset	$ 2,115,480	$ 2,004,346

INCOME TAXES - Additional Infor

INCOME TAXES - Additional Information (Details) - USD ($)	12 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
INCOME TAXES
Deferred Tax Assets, Valuation Allowance	$ 1,710,616	$ 1,701,276
Percentage of statutory income tax rate	21.00%	21.00%

INCOME TAXES - Carryforwards an

INCOME TAXES - Carryforwards and Unrecognized Tax Benefits (Details)	Mar. 31, 2020USD ($)
Tax Years 2007 To Current Member
Carryforwards of net operating losses and tax credits
Net operating losses	$ 7,100,000
Federal
Carryforwards of net operating losses and tax credits
Net operating losses	7,501,833
State
Carryforwards of net operating losses and tax credits
Net operating losses	27,392,814
Ranor, Inc. | Tax Years 2006 And Prior Member
Carryforwards of net operating losses and tax credits
Net operating losses	$ 400,000

CAPITAL STOCK and EARNINGS PE_3

CAPITAL STOCK and EARNINGS PER SHARE (Details) - USD ($)	12 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Basic EPS:
Net (loss) income	$ (341,569)	$ 1,100,676
Weighted average shares	29,258,692	28,878,780
Net (loss) income per share	$ (0.01)	$ 0.04
Diluted EPS:
Net (loss) income	$ (341,569)	$ 1,100,676
Dilutive effect of stock options		1,414,890
Weighted average shares	29,258,692	30,293,670
Net (loss) income per share	$ (0.01)	$ 0.04
Antidilutive securities excluded from computation of earnings per share amount (in shares)	2,966,000	221,000

CAPITAL STOCK and EARNINGS PE_4

CAPITAL STOCK and EARNINGS PER SHARE - Additional Information (Details)	Mar. 31, 2020seriesshares	Mar. 31, 2019shares
EARNINGS PER SHARE (EPS)
Number of authorized common shares	90,000,000	90,000,000
Number of outstanding common shares	29,354,594	29,234,594
Preferred stock, shares authorized	10,000,000
Number of series of preferred stock | series	1
Shares of preferred stock outstanding	0	0

STOCK-BASED COMPENSATION - Stoc

STOCK-BASED COMPENSATION - Stock Option Activity (Details) - USD ($)	12 Months Ended
	Mar. 31, 2020	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)	(2,000)	(241,668)
Outstanding at the end of the period (in shares)	2,916,000	2,938,000	3,394,668
Vested or expected to vest at the end of the period (in shares)	2,916,000
Exercisable and vested at the end of the period (in shares)	2,916,000
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)	0.415	$ 0.416	$ 0.417
Vested or expected to vest at the end of the period (in dollars per share)	0.415
Exercisable and vested at the end of the period (in dollars per share)	$ 0.415
Aggregate Intrinsic Value
Outstanding Value	$ 2,546,800	$ 1,869,200	$ 698,200
Vested or expected to vest at the end of the period	2,546,800
Exercisable and vested at the end of the period	$ 2,546,800
Weighted Average Remaining Contractual Life (in years)
Outstanding at the end of the period	6 years 2 months 16 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 2 months 16 days
Exercisable and vested at the end of the period	6 years 2 months 16 days

STOCK-BASED COMPENSATION - St_2

STOCK-BASED COMPENSATION - Stock Options Outstanding By Exercise Price (Details)	12 Months Ended
	Mar. 31, 2020$ / sharesshares
Stock Based Compensation By Exercise Price Range
Options Outstanding | shares	2,916,000
Options Exercisable | shares	2,916,000
Range One
Stock Based Compensation By Exercise Price Range
Exercise Price, Lower Range	$ 0.01
Exercise Price, Upper Range	$ 1
Options Outstanding | shares	2,820,000
Options Outstanding, Weighted Average Remaining Contractual Term	6 years 6 months
Options Outstanding, Weighted Average Exercise Price	$ 0.37
Options Exercisable | shares	2,820,000
Options Exercisable, Weighted Average Exercise Price	$ 0.37
Range Two
Stock Based Compensation By Exercise Price Range
Exercise Price, Lower Range	1.01
Exercise Price, Upper Range	$ 1.96
Options Outstanding | shares	96,000
Options Outstanding, Weighted Average Remaining Contractual Term	11 months 9 days
Options Outstanding, Weighted Average Exercise Price	$ 1.84
Options Exercisable | shares	96,000
Options Exercisable, Weighted Average Exercise Price	$ 1.84

STOCK-BASED COMPENSATION - Addi

STOCK-BASED COMPENSATION - Additional Information (Details) - USD ($)	Mar. 16, 2020	Mar. 15, 2019	Dec. 07, 2018	Mar. 31, 2020	Mar. 31, 2019	Mar. 31, 2018
Share based compensation
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Term				5 years
Unrecognized compensation cost related to stock options				$ 0
Maximum contractual term (in years)				6 years 2 months 16 days	6 years 8 months 27 days	6 years 8 months 19 days
Stock based compensation cost				$ 90,917	$ 137,352
Stock based compensation				$ 90,917	$ 137,352
Common stock, par value (in dollars per share)				$ 0.0001	$ 0.0001
Negotiated price				$ 0.360	$ 0.271
Restricted Stock [Member]
Share based compensation
Granted a total of shares of restricted stock	100,000
Stock based compensation cost	$ 111,000		$ 122,500
Stock based compensation				$ 90,917	$ 40,833
Total unrecognized compensation cost related to restricted stock awards				$ 101,750
2016 Plan
Share based compensation
Shares reserved				5,000,000
Number of shares of common stock				5,000,000
Shares available for grant				1,474,000
Maximum
Share based compensation
Maximum contractual term (in years)				10 years
Director [Member] | Restricted Stock [Member]
Share based compensation
Granted a total of shares of restricted stock			100,000
Executive Officers | Restricted Stock [Member]
Share based compensation
Granted a total of shares of restricted stock			25,000
Chief Executive Officer
Share based compensation
Stock repurchase shares		209,556
Common stock, par value (in dollars per share)		$ 0.0001
Negotiated price		$ 0.90
Common stock repurchase During Period at Discount Percentage		0.70%
Aggregate purchase price		$ 188,600

CONCENTRATION OF CREDIT RISK (D

CONCENTRATION OF CREDIT RISK (Details) - USD ($)	12 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Concentration of credit risk and major customers
Accounts receivable	$ 990,300	$ 1,010,443
Accounts Receivable | Customer Concentration Risk | Customer A
Concentration of credit risk and major customers
Accounts receivable	$ 365,636
Concentration risk percentage	37.00%
Accounts Receivable | Customer Concentration Risk | Customer B
Concentration of credit risk and major customers
Accounts receivable	$ 254,637
Concentration risk percentage	26.00%
Accounts Receivable | Customer Concentration Risk | Customer C
Concentration of credit risk and major customers
Accounts receivable	$ 123,000
Concentration risk percentage	12.00%
Accounts Receivable | Customer Concentration Risk | Customer D
Concentration of credit risk and major customers
Accounts receivable		$ 339,032
Concentration risk percentage		34.00%
Accounts Receivable | Customer Concentration Risk | Customer E
Concentration of credit risk and major customers
Accounts receivable		$ 246,019
Concentration risk percentage		24.00%
Accounts Receivable | Customer Concentration Risk | Customer F
Concentration of credit risk and major customers
Accounts receivable		$ 244,500
Concentration risk percentage		24.00%
Trade Receivables
Concentration of credit risk and major customers
Concentration risk percentage	75.00%

OTHER CURRENT ASSETS (Details)

OTHER CURRENT ASSETS (Details) - USD ($)	Mar. 31, 2020	Mar. 31, 2019
OTHER CURRENT ASSETS
Payments advanced to suppliers	$ 272,070	$ 133,861
Prepaid insurance	250,073	203,601
Prepaid subscriptions	14,440	27,096
Prepaid taxes	420	31,707
Refundable AMT credits	22,748	60,841
Employee advances	18,173	15,380
Other	28,227	25,573
Total	$ 606,151	$ 498,059

PROPERTY, PLANT AND EQUIPMENT_3

PROPERTY, PLANT AND EQUIPMENT, NET (Details) - USD ($)	Mar. 31, 2020	Mar. 31, 2019
Property, Plant and Equipment, Net
Total property, plant and equipment	$ 13,692,767	$ 13,652,936
Less: accumulated depreciation	(9,509,906)	(8,792,327)
Net property, plant and equipment	4,182,861	4,860,609
Land
Property, Plant and Equipment, Net
Total property, plant and equipment	110,113	110,113
Building and improvements
Property, Plant and Equipment, Net
Total property, plant and equipment	3,249,577	3,249,577
Machinery equipment, furniture and fixtures
Property, Plant and Equipment, Net
Total property, plant and equipment	10,278,701	10,238,870
Equipment under finance leases
Property, Plant and Equipment, Net
Total property, plant and equipment	$ 54,376	$ 54,376

ACCRUED EXPENSES (Details)

ACCRUED EXPENSES (Details) - USD ($)	Mar. 31, 2020	Mar. 31, 2019
ACCRUED EXPENSES
Accrued compensation	$ 383,555	$ 284,651
Provision for claims settlement	495,000	0
Provision for contract losses	285,480	57,792
Accrued professional fees	279,657	267,309
Accrued project costs	76,059	118,929
Other	34,773	24,818
Total	$ 1,554,524	$ 753,499

DEBT - Long-term Debt (Details)

DEBT - Long-term Debt (Details) - USD ($)	Mar. 31, 2020	Mar. 31, 2019
Long-term Debt
Total debt	$ 2,586,849	$ 4,297,349
Less: debt issue costs unamortized	20,460	64,702
Total debt, net	2,566,389	4,232,647
Less: Current portion of long-term debt	109,829	822,105
Long-term debt	2,456,560	3,410,542
Berkshire Term Loan due January 2022
Long-term Debt
Total debt	2,564,389	2,656,985
People's Equipment Loan Facility due April 2021
Long-term Debt
Total debt		1,606,953
Obligations under finance leases
Long-term Debt
Total debt	22,460	$ 33,411
Less: Current portion of long-term debt	11,848
Long-term debt	$ 10,612

DEBT - Berkshire Bank & Trust C

DEBT - Berkshire Bank & Trust Company Loan Facility (Details)	Dec. 23, 2019USD ($)	Dec. 19, 2018USD ($)	Dec. 21, 2016USD ($)	Mar. 31, 2020USD ($)	Mar. 31, 2019USD ($)
Debt Instrument [Line Items]
Revolving line of credit		$ 1,000,000
Nonrefundable Commitment Fee, Percentage		0.25%
Debt amount				$ 2,586,849	$ 4,297,349
payment related to execution of modification		$ 7,245
Berkshire Loan
Debt Instrument [Line Items]
Amounts outstanding under the revolver loan				0	$ 0
Debt Instrument Debt Service Coverage Ratio Threshold					1.2
Debt Instrument Covenant Leverage Ratio Year One					2.50
Execution Costs Classified As Other Noncurrent Assets	$ 41,628
Debt Instrument Covenant Maximum Capital Expenditures To Be Incurred Year One		$ 1,000,000
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				$ 20,460	$ 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
Accumulated Amortization of Other Deferred Costs				15,260
Berkshire Loan | Secured Term Loan
Debt Instrument [Line Items]
Debt instrument term			60 months
Debt instrument, Periodic Payment			$ 19,260
Prepayment period			45 days
Interest at a fixed rate			5.21%
Berkshire Loan | Restated Promissory Note
Debt Instrument [Line Items]
Maximum Amount Of Borrowing Base Required To Grant Loan Advance	$ 3,000,000
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 Percentage Of Appraised Value Of Equipment For Determination Of Aggregate Amount Of Advances	50.00%
Debt Instrument, Description of Variable Rate Basis	one-month LIBOR plus 225 basis points
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]
Revolving line of credit			1,000,000
Berkshire Loan | Ranor, Inc. | Secured Term Loan
Debt Instrument [Line Items]
Term loan			$ 2,850,000
Berkshire Term Loan due January 2022
Debt Instrument [Line Items]
Debt amount				$ 2,564,389	$ 2,656,985

DEBT - People's Capital and Lea

DEBT - People's Capital and Leasing Corp. Equipment Loan Facility (Details)	Jan. 17, 2020USD ($)	Jan. 16, 2020USD ($)	Jan. 31, 2020USD ($)	Oct. 04, 2016USD ($)	Apr. 26, 2016USD ($)	Mar. 31, 2020USD ($)	Mar. 31, 2019USD ($)
Debt Instrument [Line Items]
Repayments of Long-term Debt						$ 1,699,549	$ 752,352
Amortization of remaining debt issue costs						59,502	$ 55,247
Ranor, Inc.
Debt Instrument [Line Items]
Debt Instrument, Prepayment Penalty, Amount			$ 10,670
Amortization of remaining debt issue costs						$ 31,720
MLSA | Secured Term Loan
Debt Instrument [Line Items]
Debt Instrument, Face Amount				$ 365,852
Debt Instrument, Term				60 months
Debt Instrument, Periodic Payment				$ 7,399
MLSA | Secured Term Loan | Ranor, Inc.
Debt Instrument [Line Items]
Repayments of Long-term Debt	$ 936,000	$ 147,000
Debt Instrument, Prepayment Penalty, Amount	$ 9,200	$ 1,400
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, Term					60 months
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 ($)	Mar. 31, 2020	Mar. 31, 2019
Property, plant and equipment	$ 13,692,767	$ 13,652,936
Accumulated depreciation	9,509,906	8,792,327
Net property, plant and equipment	4,182,861	4,860,609
Current portion of long-term debt	109,829	822,105
Long-term debt	2,456,560	3,410,542
Obligations under finance leases
Current portion of long-term debt	11,848
Long-term debt	10,612
Total finance lease liabilities	22,460	$ 33,411
Assets Held under Capital Leases [Member]
Property, plant and equipment	54,376
Accumulated depreciation	35,344
Net property, plant and equipment	$ 19,032

LEASES - Supplemental Informati

LEASES - Supplemental Information of Leases (Details)	12 Months Ended
	Mar. 31, 2020USD ($)
LEASES
Operating lease amortization	$ 2,860
Finance lease amortization	10,875
Finance lease interest	$ 2,249
Lease term (years)	2 years
Lease rate	7.90%

LEASES - Supplemental Cash Flow

LEASES - Supplemental Cash Flow Information (Details)	12 Months Ended
	Mar. 31, 2020USD ($)
LEASES
Cash used in operating activities	$ 5,109
Cash used in financing activities	$ 10,951

LEASES - Additional Information

LEASES - Additional Information (Details) - USD ($)	Mar. 31, 2022	Mar. 31, 2021
LEASES
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal Remainder of Fiscal Year	$ 11,000	$ 13,200
Capital Leases, Future Minimum Payments, Interest Included in Payments	$ 1,740

COMMITMENTS (Details)

COMMITMENTS (Details) - USD ($)	Mar. 16, 2020	Mar. 31, 2020	Mar. 31, 2019
Contractual commitments
Employee Agreement Annual Commitment For Future Salaries During Next Fiscal Year		$ 500,000
Employee Agreement Annual Commitment For Vacation And Holiday		400,000
Purchase obligations outstanding to purchase raw materials and supplies at fixed prices		1,100,000
Defined Contribution Plan, Cost		81,333	$ 83,353
Provision for claims settlement	$ 495,000	$ 495,000

SUBSEQUENT EVENTS (Details)

SUBSEQUENT EVENTS (Details) - Subsequent Event [Member] - USD ($)	May 11, 2020	May 08, 2020
Subsequent Event [Line Items]
Debt Instrument, Interest Rate, Stated Percentage		1.00%
Debt instrument term		2 years
Ranor, Inc.
Subsequent Event [Line Items]
Proceeds from issue of notes	$ 1,317,100
Paycheck Protection Program [Member] | Ranor, Inc.
Subsequent Event [Line Items]
Amount of promissory notes issued		$ 1,317,100