TechPrecision (TPCS) 10-K 10 Jun 21 2021 FY Annual report Financial data

Document and Entity Information

Document and Entity Information - USD ($) $ in Millions	12 Months Ended
	Mar. 31, 2021	Jun. 03, 2021	Sep. 30, 2020
Document and Entity Information
Document Type	10-K
Document Period End Date	Mar. 31, 2021
Entity Registrant Name	TECHPRECISION CORP
Document Fiscal Year Focus	2021
Document Fiscal Period Focus	FY
Current Fiscal Year End Date	--03-31
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Central Index Key	0001328792
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filers	No
Amendment Flag	false
Entity Public Float			$ 31.5
Entity Common Stock, Shares Outstanding		29,498,662

CONSOLIDATED BALANCE SHEETS

CONSOLIDATED BALANCE SHEETS - USD ($)	Mar. 31, 2021	Mar. 31, 2020
Current assets:
Cash and cash equivalents	$ 2,130,711	$ 930,856
Accounts receivable	608,059	990,300
Contract assets	5,532,408	4,504,621
Raw materials	503,636	561,572
Work-in-process	767,520	656,041
Other current assets	379,437	606,151
Total current assets	9,921,771	8,249,541
Property, plant and equipment, net	4,063,209	4,182,861
Deferred income taxes	1,934,415	2,115,480
Other noncurrent assets, net	84,624	32,600
Total assets	16,004,019	14,580,482
Current liabilities:
Accounts payable	500,848	185,065
Accrued expenses	1,526,270	1,554,524
Contract liabilities	218,152	805,049
Current portion of long-term debt	2,474,963	109,829
Total current liabilities	4,720,233	2,654,467
Long-term debt, including finance lease	1,341,938	2,456,560
Commitments and contingent liabilities (see Note 14)
Stockholders' Equity:
Common stock - par value $.0001 per share, 90,000,000 shares authorized, 29,498,662 and 29,354,594 shares issued and outstanding at March 31, 2021 and 2020	2,949	2,935
Additional paid in capital	8,944,660	8,793,062
Accumulated other comprehensive income	21,838	21,688
Retained earnings	972,401	651,770
Total stockholders' equity	9,941,848	9,469,455
Total liabilities and stockholders' equity	$ 16,004,019	$ 14,580,482

CONSOLIDATED BALANCE SHEETS (Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares	Mar. 31, 2021	Mar. 31, 2020
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	29,498,662	29,354,594
Common stock, shares outstanding	29,498,662	29,354,594

CONSOLIDATED STATEMENTS OF OPER

CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS) - USD ($)	12 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS)
Net sales	$ 15,595,558	$ 16,007,288
Cost of sales	12,131,274	12,868,086
Gross profit	3,464,284	3,139,202
Selling, general and administrative	2,841,036	2,785,486
Provision for claims settlement		495,000
Income (loss) from operations	623,248	(141,284)
Other income	4,600	22,750
Interest expense	(202,337)	(296,076)
Total other expense, net	(197,737)	(273,326)
Income (loss) before income taxes	425,511	(414,610)
Provision (benefit) for income taxes	104,880	(73,041)
Net income (loss)	320,631	(341,569)
Other comprehensive income (loss) before tax:
Foreign currency translation adjustments	150	(252)
Other comprehensive income (loss), net of tax	150	(252)
Comprehensive income (loss)	$ 320,781	$ (341,821)
Net income (loss) per share - basic	$ 0.01	$ (0.01)
Net income (loss) per share - diluted	$ 0.01	$ (0.01)
Weighted average number of shares outstanding:
Weighted average number of shares outstanding - basic	29,447,085	29,258,692
Weighted average number of shares outstanding - diluted	31,035,355	29,258,692

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 [Member]	Total
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		90,917			90,917
Restricted stock award	$ 10	(10)
Restricted stock award (in shares)	100,000
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 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
Stock-based compensation		179,917			179,917
Restricted stock award	$ 10	(10)
Restricted stock award (in shares)	100,000
Shares issued under long-term incentive plan	$ 4	(4)
Shares issued under long-term incentive plan (in shares)	44,068
Taxes on exercised options		(28,305)			(28,305)
Net income				320,631	320,631
Foreign currency translation adjustment			150		150
Balance at Mar. 31, 2021	$ 2,949	$ 8,944,660	$ 21,838	$ 972,401	$ 9,941,848
Balance (in shares) at Mar. 31, 2021	29,498,662

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)	12 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
CASH FLOWS FROM OPERATING ACTIVITIES
Net income (loss)	$ 320,631	$ (341,569)
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
Depreciation	704,049	717,579
Amortization of debt issue costs	51,399	59,502
Gain on disposal of equipment	(1,425)
Stock based compensation expense	179,917	90,917
Change in contract loss provision	(121,316)	227,688
Deferred income taxes	181,065	(73,041)
Provision for claims settlement		495,000
Changes in operating assets and liabilities:
Accounts receivable	382,241	20,143
Contract assets	(1,027,787)	(113,789)
Inventories	(53,542)	22,702
Other current assets	226,714	(146,185)
Accounts payable	315,783	(424,017)
Accrued expenses	65,018	77,747
Contract liabilities	(586,897)	64,102
Net cash provided by operating activities	635,850	676,779
CASH FLOWS FROM INVESTING ACTIVITIES
Purchases of property, plant and equipment	(546,890)	(39,831)
Proceeds from sale of fixed assets	9,582
Deposit for fixed assets	(70,623)
Net cash used in investing activities	(607,931)	(39,831)
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from stock transactions	0	9,051
Proceeds from revolver loan	1,000,000
Repayment of revolver loan	(1,000,000)
Deferred loan costs	(24,610)	(41,628)
Proceeds from payroll protection program loan	1,317,100
Repayment of long-term debt	(120,441)	(1,710,500)
Net cash provided by (used in) financing activities	1,172,049	(1,743,077)
Effect of exchange rate on cash and cash equivalents	(113)	339
Net increase (decrease) in cash and cash equivalents	1,199,855	(1,105,790)
Cash and cash equivalents, beginning of period	930,856	2,036,646
Cash and cash equivalents, end of period	2,130,711	930,856
Cash paid during the year for:
Interest	$ 135,320	$ 232,492

CONSOLIDATED STATEMENTS OF CA_2

CONSOLIDATED STATEMENTS OF CASH FLOWS (Parenthetical)	12 Months Ended
	Mar. 31, 2021USD ($)
SUPPLEMENTAL INFORMATION - NONCASH INVESTING AND FINANCING TRANSACTIONS:
Copy and print equipment including property, plant and equipment net	$ 45,663

DESCRIPTION OF BUSINESS

DESCRIPTION OF BUSINESS	12 Months Ended
	Mar. 31, 2021
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, Stadco New Acquisition, LLC, and Wuxi Critical Mechanical Components Co., Ltd., or WCMC, a wholly foreign owned enterprise. WCMC has no customers or operations, and we have initiated a plan of termination to legally dissolve this subsidiary. TechPrecision, WCMC, Stadco New Acquisition, LLC, 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, 2021
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, Stadco New Acquisition, LLC 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. Our deposit and money market accounts are maintained in a large U.S. regional bank. 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, 2021 and 2020. 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 (ASC) 360, Property, Plant & Equipment , 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 820, Fair Value Measurement , 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 - The Company 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, 2021 and 2020, 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, 2021 and 2020. 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 income (loss), 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: 2021 2020 Salaries and related expenses $ 1,656,053 $ 1,511,620 Professional fees 805,304 826,140 Other general and administrative 379,679 447,726 Total Selling, General and Administrative $ 2,841,036 $ 2,785,486 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 $179,917 and $90,917 for the fiscal years ended March 31, 2021 and 2020, respectively. See Note 7 for additional disclosures related to stock based compensation. Net Income (Loss) per Share of Common Stock - Basic net income (loss) per common share is computed by dividing net income (loss) by the weighted average number of shares outstanding during the year. Diluted net income (loss) per common share is calculated using net income (loss) divided by diluted weighted-average shares. Diluted weighted-average shares include weighted-average shares outstanding plus the dilutive effect of stock options calculated using the treasury stock method. See Note 6 for additional disclosures related to net income (loss) 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 830, Foreign Currency Matters , 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 740, Income Taxes , 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, 2021
ACCOUNTING STANDARDS UPDATE
ACCOUNTING STANDARDS UPDATE	NOTE 3 – ACCOUNTING STANDARDS UPDATE New Accounting Standards Recently Adopted On April 1, 2020 we adopted ASU 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework-Changes to the Disclosure Requirements for Fair Value Measurement. This ASU modifies the disclosure requirements in Topic 820 by removing, modifying or adding certain disclosures. The amendments for changes in unrealized gains and losses, the range and weighted average of significant unobservable inputs used to develop Level 3 fair value measurements, and the narrative description of measurement uncertainty are applied prospectively. All other amendments are applied retrospectively to all periods presented upon their effective date. The adoption did not impact our consolidated financial statement disclosures. On April 1, 2019, we adopted ASU 2016-02, Leases , or ASC 842, and all the related amendments using the modified retrospective method. 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 2018-07, 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 does not expect the amendments in this update to have a significant impact on its financial statements and disclosures.

REVENUE

REVENUE	12 Months Ended
	Mar. 31, 2021
REVENUE
REVENUE	NOTE 4 - REVENUE The Company generates revenue primarily from performance obligations completed under contracts with customers in two main market sectors: defense and precision industrial. The period over which the Company performs its obligations can be between three and thirty -six 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 Industrial Totals Year ended March 31, 2021 $ 12,650,708 $ 2,944,850 $ 15,595,558 Year ended March 31, 2020 $ 13,367,764 $ 2,639,524 $ 16,007,288 Net Sales by contract type Over-time Point-in-time Totals Year ended March 31, 2021 $ 12,869,520 $ 2,726,038 $ 15,595,558 Year ended March 31, 2020 $ 12,637,728 $ 3,369,560 $ 16,007,288 As of March 31, 2021, the Company had $18.6 million of remaining performance obligations, of which $15.6 million were less than 50% complete. The Company expects to recognize all of its remaining performance obligations as revenue within the next thirty-six 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 fiscal years ended March 31: 2021 2020 Customer Amount Percent Amount Percent Customer A $ 2,704,985 17 % $ 3,558,477 22 % Customer B $ 2,682,881 17 % $ * * % Customer C $ 2,308,564 15 % $ 2,758,957 17 % Customer D $ 2,145,465 14 % $ 2,063,409 13 % 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 2021, we recognized revenue of $0.8 million related to our contract liabilities at April 1, 2020. Contract assets consisted of the following at: Progress Unbilled payments Total March 31, 2021 $ 11,392,948 $ (5,860,540) $ 5,532,408 March 31, 2020 $ 10,635,588 $ (6,130,967) $ 4,504,621

INCOME TAXES

INCOME TAXES	12 Months Ended
	Mar. 31, 2021
INCOME TAXES
INCOME TAXES	NOTE 5 - INCOME TAXES We account for income taxes under ASC 740, Income Taxes . The following table reflects income and loss from continuing operations by location, and the provision for income taxes for the applicable fiscal years ended March 31: 2021 2020 U.S. operations $ 435,534 $ (403,419) Foreign operations (10,033) (11,191) Income (loss) before income taxes 425,511 (414,610) Income tax provision (benefit) 104,880 (73,041) Net income (loss) $ 320,631 $ (341,569) The components of the provision (benefit) for income taxes consists of the following as of March 31: 2021 2020 Current: Federal (76,185) — State — — Total Current $ (76,185) $ — Deferred: Federal 148,151 (26,328) State 32,914 (46,713) Total Deferred $ 181,065 $ (73,041) Income tax provision (benefit) $ 104,880 $ (73,041) On March 27, 2020, the U.S. federal government passed the Coronavirus Aid, Relief, and Economic Security Act, or CARES Act. Under the CARES Act, Alternative Minimum Tax, or AMT, credit refunds are accelerated and fully refundable in tax returns through the year 2019. As a result of this provision, the Company recovered all of the AMT credits as refunds in the amount of $121,000 over the last two fiscal years. Our fiscal 2021 and 2020 taxes were measured at the U.S. statutory income tax rate of 21%. For the year ended March 31, 2021, the Company's tax expense was driven by certain reversing temporary differences, which reduced the Company’s net deferred tax assets. 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 Income (Loss) follows for fiscal years ended March 31: 2021 2020 U.S. statutory income tax $ 89,358 $ (87,068) State income tax, net of federal benefit 11,366 (35,969) Change in state NOL, net of federal benefit (10,487) 31,208 Stock-based compensation (4,830) (17,587) Change in valuation allowance 20,484 9,340 Global intangible income tax — 28,045 Other (1,011) (1,010) Provision (benefit) for income taxes $ 104,880 $ (73,041) Effective tax rate* 24.6 % 17.6 % *Effective tax rate is calculated by dividing the income tax provision by income (loss) before income taxes. The following table summarizes the components of deferred income tax assets and liabilities at March 31: 2021 2020 Deferred tax assets: Net operating loss carryforward $ 3,571,600 $ 3,704,185 Compensation 347,742 341,900 Stock based compensation awards 238,120 213,854 Other items not currently deductible 189,728 88,090 Depreciation 38,490 68,486 AMT tax credits — 76,186 Total deferred tax assets 4,385,680 4,492,701 Valuation allowance (1,731,100) (1,710,616) Net deferred tax assets 2,654,580 2,782,085 Deferred tax liabilities: Contract accounting methods (720,165) (666,605) Total deferred tax liabilities (720,165) (666,605) Deferred taxes, net $ 1,934,415 $ 2,115,480 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 or a reduction the valuation allowance currently recorded against those deferred tax assets. The valuation allowance on deferred tax assets was approximately $1.7 million at March 31, 2021 and 2020. 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 or decrease the valuation allowance for those deferred tax assets. The following table summarizes carryforwards of net operating losses as of March 31, 2021: Begins to Amount Expire: Federal net operating losses $ 7,296,383 State net operating losses $ 27,187,363 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. At March 31, 2021, we have approximately $6.9 million of federal 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, 2021
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, 2021 and March 31, 2020. There were 29,498,662 and 29,354,594 shares of common stock outstanding at March 31, 2021 and March 31, 2020, 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, 2021 and 2020. 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, 2021 2020 Basic EPS Net income (loss) $ 320,631 $ (341,569) Weighted average shares 29,447,085 29,258,692 Net income (loss) per share $ 0.01 $ (0.01) Diluted EPS Net income (loss) $ 320,631 $ (341,569) Dilutive effect of stock options 1,588,270 — Weighted average shares 31,035,355 29,258,692 Net income (loss) per share $ 0.01 $ (0.01) All potential common stock equivalents that have an anti-dilutive effect (i.e. those that increase income per share or decrease loss per share) are excluded from the calculation of diluted EPS. For the year ended March 31, 2021 there were 49,000 of potential common stock equivalents that were out-of-the-money and were not included in the EPS calculations. 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.

STOCK-BASED COMPENSATION

STOCK-BASED COMPENSATION	12 Months Ended
	Mar. 31, 2021
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, 2021, there were 1,421,000 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 3/31/2019 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 Exercised (150,000) 0.800 Canceled (47,000) Vested or expected to vest at 3/31/2021 2,719,000 $ 0.372 $ 2,476,300 5.62 Exercisable and vested at 3/31/2021 2,719,000 $ 0.372 $ 2,476,300 5.62 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 2021 and fiscal 2020 and the exercise price, multiplied by the number of in-the-money options) that would have been received by the option holders had all option holders exercised their options on March 31, 2021 and 2020. This amount changes based on the fair market value of the Company’s common stock. At March 31, 2021, 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, 2021 is as follows: Weighted Average Remaining Weighted Weighted Options Contractual Average Options Average Range of Exercise Prices: Outstanding Term Exercise Price Exercisable Exercise Price $0.01-$0.49 1,270,000 4.60 $ 0.12 1,270,000 $ 0.12 $0.50-$1.00 1,400,000 6.14 $ 0.55 1,400,000 $ 0.55 $1.01-$1.96 49,000 0.05 $ 1.96 49,000 $ 1.96 Totals 2,719,000 2,719,000 Restricted Stock Awards On September 1, 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 $134,000 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 August 31, 2021, or twelve 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. Total recognized compensation cost related to the restricted stock award was $78,167 for the twelve months ended March 31, 2021. At March 31, 2021 there was $55,833 of unrecognized compensation cost related to these 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 vested and ceased to be subject to forfeiture on September 1, 2020, or approximately six months following the grant date. Each grantee was serving as a director on the vesting date and had been continuously serving in such capacity from the grant date through the vesting date. Prior to that vesting date, the grantees were not permitted to sell, transfer, pledge, assign or otherwise encumber the shares of restricted stock. The aggregate fair value of the restricted stock expensed during the fiscal year ended March 31, 2021 was $101,750. At March 31, 2021 there was no unrecognized compensation cost related to the restricted stock awards .

CONCENTRATION OF CREDIT RISK

CONCENTRATION OF CREDIT RISK	12 Months Ended
	Mar. 31, 2021
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, 2021, there were trade accounts receivable balances outstanding from two customers comprising 98% 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, 2021 March 31, 2020 Customer Dollars Percent Dollars Percent A $ 399,692 66 % $ * * % B $ * * % $ 365,636 37 % C $ 193,368 32 % $ 254,637 26 % D $ * * % $ 123,000 12 % *less than 10% of total

OTHER CURRENT ASSETS

OTHER CURRENT ASSETS	12 Months Ended
	Mar. 31, 2021
OTHER CURRENT ASSETS
OTHER CURRENT ASSETS	NOTE 9 - OTHER CURRENT ASSETS Other current assets included the following as of March 31: 2021 2020 Payments advanced to suppliers $ 17,010 $ 272,070 Prepaid insurance 312,669 250,073 Prepaid subscriptions 25,967 35,694 Refundable AMT credits — 22,748 Employee advances 16,526 18,173 Other 7,265 7,393 Total $ 379,437 $ 606,151

PROPERTY, PLANT AND EQUIPMENT,

PROPERTY, PLANT AND EQUIPMENT, NET	12 Months Ended
	Mar. 31, 2021
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: 2021 2020 Land $ 110,113 $ 110,113 Building and improvements 3,249,577 3,249,577 Machinery equipment, furniture and fixtures 10,695,578 10,278,701 Equipment under finance leases 45,663 54,376 Total property, plant and equipment 14,100,931 13,692,767 Less: accumulated depreciation (10,037,722) (9,509,906) Total property, plant and equipment, net $ 4,063,209 $ 4,182,861

ACCRUED EXPENSES

ACCRUED EXPENSES	12 Months Ended
	Mar. 31, 2021
ACCRUED EXPENSES
ACCRUED EXPENSES	NOTE 11 - ACCRUED EXPENSES Accrued expenses included the following as of March 31: 2021 2020 Accrued compensation $ 496,320 $ 383,555 Provision for claims settlement 495,000 495,000 Provision for contract losses 164,164 285,480 Accrued professional fees 213,213 279,657 Accrued project costs 114,611 76,059 Other 42,962 34,773 Total $ 1,526,270 $ 1,554,524 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, 2021
DEBT
DEBT	NOTE 12 – DEBT Long-term debt included the following as of March 31: 2021 2020 Berkshire Term Loan due December 2021 $ 2,466,408 $ 2,564,389 Berkshire SBA PPP loan at 1% interest, due May 2022 1,317,100 — Obligations under finance lease 45,663 22,460 Total debt $ 3,829,171 $ 2,586,849 Less: debt issue costs unamortized $ 12,270 $ 20,460 Total debt, net $ 3,816,901 $ 2,566,389 Less: Current portion of long-term debt $ 2,474,963 $ 109,829 Total long-term debt, net $ 1,341,938 $ 2,456,560 The aggregate amount of scheduled principal maturities for our long -term debt in 2022 is $3,783,508 . The maturities for obligations under a finance lease are: 2022 - $8,555, 2023 - $8,834, 2024 - $9,123, 2025 - $9,421 and 2026 - $9,730. 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 the maturity date. 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 are payable monthly in arrears. Ranor’s obligations under the Berkshire Loan Agreement are guaranteed by TechPrecision. 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 this Modification, the maturity date of the Revolver Loan was extended until December 20, 2020. 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 a borrowing base equal 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 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 $3,000,000 and the aggregate amount of all advances made under the Revolver Loan as of each quarterly period. 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 Capital and Leasing Corp. in full in January 2020, and the debt service requirements related to the People’s Capital and Leasing Corp. obligations was eliminated for purposes of the Debt Service Coverage Ratio covenant calculations and the debt service related to the People’s Capital and Leasing Corp. financing was eliminated from covenant testing starting with the December 31, 2019 covenant test. The Company paid $7,245 of expenses related to the execution of the Second Modification, and paid $41,628 in costs related to the execution of the Third Modification. These expenses were classified as other noncurrent assets, then amortized to interest expense through the period ended March 31, 2021. On December 18, 2020, TechPrecision, through Ranor, entered into a Fourth Modification to Loan Agreement and First Modification and Allonge to Amended and Restated Promissory Note, or the Fourth Modification, with Berkshire Bank. The Modification amends and modifies the Berkshire Loan Agreement. The Fourth Modification also amends the Amended and Restated Promissory Note dated December 23, 2019 made by Ranor in favor of Berkshire in the stated principal amount of $3,000,000. As of the date of the Fourth Modification, there were no amounts outstanding under the Revolver Loan. Under the Fourth Modification, Ranor and Berkshire agreed to revise the minimum interest rate payable on the Revolver Loan. Under the promissory note for the Revolver Loan, the Company can elect to pay interest at an adjusted LIBOR-based rate or an Adjusted Prime Rate. Under the Fourth Modification, the minimum adjusted LIBOR-based rate is 2.75% and the Adjusted Prime Rate is the greater of (i) the Prime Rate minus 70 basis points or (ii) 2.75%. Interest-only payments on advances made under the Revolver Loan will continue to be payable monthly in arrears. The maturity date of the Revolver Loan was also extended to December 20, 2022. All other material terms of the Berkshire Loan Agreement and the promissory note for the Revolver Loan were unchanged. Interest payments on advances made under the Revolver Loan during the twelve months ended March 31, 2020 were $6,664 at a weighted average interest rate of 2.67%. Unused borrowing capacity at March 31, 2021 was $2.7 million. There were no borrowed amounts outstanding under the Revolver Loan at March 31, 2021 and March 31, 2020. Unamortized closing costs related to the Fourth Modification were $14,002 at March 31, 2021. 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, 2021 and March 31, 2020. Other unamortized debt issue costs at March 31, 2021 and March 31, 2020 were $8,395 and $20,460, 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. Small Business Administration Loan On May 8, 2020, the Company, through its wholly owned subsidiary Ranor, issued a promissory note, or the 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 CARES Act and is administered by the U.S. Small Business Administration, or the SBA. The loan to Ranor was made through Berkshire Bank. Principal and accrued interest are payable monthly in equal installments commencing in September 2021 and continuing through the maturity date, unless the Note is forgiven as described below. 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 obligations that existed before February 15, 2020. The Note may be prepaid at any time prior to maturity with no prepayment penalties and contains events of default and other conditions customary for a Note of this type. For example, the Note contains events of default relating to, among other things, payment defaults, making materially false and misleading representations to the SBA or Berkshire Bank, or breaching the terms of the loan documents. The occurrence of an event of default may result in the repayment of all amounts outstanding, collection of all amounts owing from the Company, or the SBA or Berkshire Bank filing suit and obtaining judgment against the Company and/or Ranor. Under the terms of the CARES Act, PPP loan recipients can apply for and be granted forgiveness for all or a portion of loan granted under the PPP, with such forgiveness to be determined, subject to limitations, based on the use of the loan proceeds for payment of payroll costs, certain group health care benefits and insurance premiums, and any payments of mortgage interest, rent, and utilities. The terms of any forgiveness may also be subject to further requirements in any regulations and guidelines the SBA may adopt. While the Company currently believes that its use of the Note proceeds will meet the conditions for forgiveness under the PPP, no assurance is provided that the Company will obtain forgiveness of the Note in whole or in part. On June 5, 2020, the PPP was amended to give borrowers more time to spend loan proceeds and still obtain loan forgiveness. The amendments extended the length of the covered period as defined in the CARES Act from eight to twenty-four weeks, while allowing borrowers that received PPP loans before June 5, 2020 to elect to use the original eight-week covered period. In addition, the amendments provide that if the borrower does not apply for forgiveness of a loan within ten months after the last day of the covered period, the PPP loan is no longer deferred and the borrower must begin paying principal and interest. The Company applied for loan forgiveness within the ten month period on March 26, 2021. Unamortized closing costs in connection with the PPP loan were $3,875 at March 31, 2021. On May 12, 2021, the SBA remitted to Berkshire Bank a payment of principal and interest for forgiveness of the Company’s PPP loan. See Note 15 for more information regarding this transaction. Finance Lease We leased certain office equipment during fiscal 2021 under an old finance lease that was cancelled in March 2021. We entered into a new capital lease on March 31, 2021 in the amount of $45,663 for certain office equipment. The lease term is for 60 months, bears interest at 3.2% and requires monthly payments of principal and interest of $825. The amount of the lease recorded as a right-of-use asset in property, plant and equipment was $45,663 as of March 31, 2021. Under the agreement, the lease on the old equipment was cancelled without penalty. See Note 13 for more information regarding our obligations under the finance lease.

LEASES

LEASES	12 Months Ended
	Mar. 31, 2021
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, 2021 March 31, 2020 Finance lease: Property, plant and equipment $ 45,663 $ 54,376 Accumulated depreciation — 35,344 Net property, plant and equipment $ 45,663 $ 19,032 Current portion of long-term debt $ 8,555 $ 11,848 Long-term debt $ 37,108 $ 10,612 Total finance lease liabilities $ 45,663 $ 22,460 In December 2019, we signed a one-year operating lease for office space which expired in December 2020 and was amortized on a straight line basis. Since the expiration of the one-year term lease, we have continued to lease this office space on a month-to-month basis. Other supplemental information regarding our leases are contained in the following tables: Components of lease expense for the year ended: March 31, 2021 March 31, 2020 Operating lease amortization $ 3,788 $ 2,860 Finance lease amortization $ 10,875 $ 10,875 Finance lease interest $ 1,275 $ 2,249 Weighted average lease term and discount rate at: March 31, 2021 March 31, 2020 Lease term (years) 5.00 2.00 Lease rate 3.2 % 7.9 % Supplemental cash flow information related to leases for the year ended: March 31, 2021 March 31, 2020 Cash used in operating activities $ 5,063 $ 5,109 Cash used in financing activities $ 22,460 $ 10,951

COMMITMENTS

COMMITMENTS	12 Months Ended
	Mar. 31, 2021
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, 2021 for future executive salaries was approximately $0.5 million. The aggregate commitment at March 31, 2021 was approximately $0.4 million for accrued payroll, vacation and holiday pay for the remainder of our employees. Purchase Commitments As of March 31, 2021, 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 $85,359 and $81,333 for the years ended March 31, 2021 and 2020, respectively. Provision for claims settlement On March 16, 2020, the Company reached an agreement to settle all outstanding claims related to a civil class action brought by former employees for past wages claimed under a paid time-off program for a settlement amount of $495,000. The claim is to be paid within sixty days following Court approval of the settlement. On March 15, 2021, the court approved the final class action settlement. As such, the plaintiffs’ claims have been fully and finally dismissed, and the $495,000 payment to the plaintiffs’ counsel was paid within 60 days on May 10, 2021.

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS	12 Months Ended
	Mar. 31, 2021
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS	NOTE 15 – SUBSEQUENT EVENTS Amended and Restated Loan Purchase and Sale Agreement On April 23, 2021, the parties to the Loan Purchase and Sale Agreement, dated as of January 29, 2021, or the Original Loan Purchase Agreement, the Company, Stadco New Acquisition, LLC, or Acquisition Sub, Stadco, Stadco Acquisition, LLC, or the Holdco , each stockholder of Holdco, and Sunflower Bank, N.A., entered into an Amended and Restated Loan Purchase and Sale Agreement or the Amended Agreement. The Amended Agreement is similar in all material respects to the Original Loan Purchase Agreement, except that the following changes were effected. T he date on which the closing of the indebtedness purchase will take place has been amended from on or about February 15, 2021 to June 15, 2021. Acquisition Sub became required to pay Sunflower Bank, N.A. a non-refundable deposit of $50,000, or the Deposit, which amount was paid upon execution of the Amended Agreement. The Deposit will be applied against the purchase price of the indebtedness upon the closing of the transactions contemplated under the Amended Agreement. Alternatively, in the event the indebtedness sale does not close, then Sunflower Bank, N.A. will retain the Deposit. The purchase price to be paid by Acquisition Sub for the indebtedness was increased to $1.8 million less than the aggregate amount of the indebtedness on the date of the closing of the transactions contemplated under the Amended Agreement. The Amended Agreement provides that the purchase price increases by $100,000 on the first calendar day of each month following the date of the Amended Agreement until the closing of the transactions. The Amended Agreement also effected certain other immaterial changes to the Original Loan Purchase Agreement . Small Business Administration Loan On May 12, 2021, as authorized by Section 1106 of the CARES Act, the SBA remitted to Berkshire Bank, the lender of record, a payment of principal and interest in the amounts of $1,317,000 and $13,207, respectively, for forgiveness of the Company’s Paycheck Protection Program (PPP) loan. The funds credited to the PPP loan pay this loan off in full. The Company applied for loan forgiveness with the SBA under the Paycheck Protection Program on March 26, 2021.

BASIS OF PRESENTATION AND SIG_2

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES (Policies)	12 Months Ended
	Mar. 31, 2021
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, Stadco New Acquisition, LLC 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. Our deposit and money market accounts are maintained in a large U.S. regional bank.
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, 2021 and 2020.
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 (ASC) 360, Property, Plant & Equipment , 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 820, Fair Value Measurement , 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 - The Company 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, 2021 and 2020, 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, 2021 and 2020. 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 income (loss), 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: 2021 2020 Salaries and related expenses $ 1,656,053 $ 1,511,620 Professional fees 805,304 826,140 Other general and administrative 379,679 447,726 Total Selling, General and Administrative $ 2,841,036 $ 2,785,486
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 $179,917 and $90,917 for the fiscal years ended March 31, 2021 and 2020, respectively. See Note 7 for additional disclosures related to stock based compensation.
Net Income (Loss) per Share of Common Stock	Net Income (Loss) per Share of Common Stock - Basic net income (loss) per common share is computed by dividing net income (loss) by the weighted average number of shares outstanding during the year. Diluted net income (loss) per common share is calculated using net income (loss) divided by diluted weighted-average shares. Diluted weighted-average shares include weighted-average shares outstanding plus the dilutive effect of stock options calculated using the treasury stock method. See Note 6 for additional disclosures related to net income (loss) 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 830, Foreign Currency Matters , 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 740, Income Taxes , 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, 2021
BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES
Schedule of selling, general, and administrative expenses	2021 2020 Salaries and related expenses $ 1,656,053 $ 1,511,620 Professional fees 805,304 826,140 Other general and administrative 379,679 447,726 Total Selling, General and Administrative $ 2,841,036 $ 2,785,486

REVENUE (Tables)

REVENUE (Tables)	12 Months Ended
	Mar. 31, 2021
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 Industrial Totals Year ended March 31, 2021 $ 12,650,708 $ 2,944,850 $ 15,595,558 Year ended March 31, 2020 $ 13,367,764 $ 2,639,524 $ 16,007,288 Net Sales by contract type Over-time Point-in-time Totals Year ended March 31, 2021 $ 12,869,520 $ 2,726,038 $ 15,595,558 Year ended March 31, 2020 $ 12,637,728 $ 3,369,560 $ 16,007,288
Schedule of Contract Assets	Progress Unbilled payments Total March 31, 2021 $ 11,392,948 $ (5,860,540) $ 5,532,408 March 31, 2020 $ 10,635,588 $ (6,130,967) $ 4,504,621
Sales [Member]
Schedule of revenues from customers who accounted for more than 10% of our net sales	2021 2020 Customer Amount Percent Amount Percent Customer A $ 2,704,985 17 % $ 3,558,477 22 % Customer B $ 2,682,881 17 % $ * * % Customer C $ 2,308,564 15 % $ 2,758,957 17 % Customer D $ 2,145,465 14 % $ 2,063,409 13 % Customer E $ * * % $ 1,835,362 11 % *Less than 10% of total

INCOME TAXES (Tables)

INCOME TAXES (Tables)	12 Months Ended
	Mar. 31, 2021
INCOME TAXES
Schedule of income (loss) from continuing operations by location	2021 2020 U.S. operations $ 435,534 $ (403,419) Foreign operations (10,033) (11,191) Income (loss) before income taxes 425,511 (414,610) Income tax provision (benefit) 104,880 (73,041) Net income (loss) $ 320,631 $ (341,569)
Schedule of components of income tax benefit	2021 2020 Current: Federal (76,185) — State — — Total Current $ (76,185) $ — Deferred: Federal 148,151 (26,328) State 32,914 (46,713) Total Deferred $ 181,065 $ (73,041) Income tax provision (benefit) $ 104,880 $ (73,041)
Schedule of reconciliation between federal statutory income tax rate and effective income tax rate	2021 2020 U.S. statutory income tax $ 89,358 $ (87,068) State income tax, net of federal benefit 11,366 (35,969) Change in state NOL, net of federal benefit (10,487) 31,208 Stock-based compensation (4,830) (17,587) Change in valuation allowance 20,484 9,340 Global intangible income tax — 28,045 Other (1,011) (1,010) Provision (benefit) for income taxes $ 104,880 $ (73,041) Effective tax rate* 24.6 % 17.6 % *Effective tax rate is calculated by dividing the income tax provision by income (loss) before income taxes.
Summary of the components of deferred income tax assets and liabilities	2021 2020 Deferred tax assets: Net operating loss carryforward $ 3,571,600 $ 3,704,185 Compensation 347,742 341,900 Stock based compensation awards 238,120 213,854 Other items not currently deductible 189,728 88,090 Depreciation 38,490 68,486 AMT tax credits — 76,186 Total deferred tax assets 4,385,680 4,492,701 Valuation allowance (1,731,100) (1,710,616) Net deferred tax assets 2,654,580 2,782,085 Deferred tax liabilities: Contract accounting methods (720,165) (666,605) Total deferred tax liabilities (720,165) (666,605) Deferred taxes, net $ 1,934,415 $ 2,115,480
Summary of carryforwards of net operating losses	Begins to Amount Expire: Federal net operating losses $ 7,296,383 State net operating losses $ 27,187,363

CAPITAL STOCK and EARNINGS PE_2

CAPITAL STOCK and EARNINGS PER SHARE (Tables)	12 Months Ended
	Mar. 31, 2021
CAPITAL STOCK and EARNINGS PER SHARE
Schedule of basic and diluted earnings per share computations	March 31, March 31, 2021 2020 Basic EPS Net income (loss) $ 320,631 $ (341,569) Weighted average shares 29,447,085 29,258,692 Net income (loss) per share $ 0.01 $ (0.01) Diluted EPS Net income (loss) $ 320,631 $ (341,569) Dilutive effect of stock options 1,588,270 — Weighted average shares 31,035,355 29,258,692 Net income (loss) per share $ 0.01 $ (0.01)

STOCK-BASED COMPENSATION (Table

STOCK-BASED COMPENSATION (Tables)	12 Months Ended
	Mar. 31, 2021
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 3/31/2019 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 Exercised (150,000) 0.800 Canceled (47,000) Vested or expected to vest at 3/31/2021 2,719,000 $ 0.372 $ 2,476,300 5.62 Exercisable and vested at 3/31/2021 2,719,000 $ 0.372 $ 2,476,300 5.62
Schedule of exercise price range	Weighted Average Remaining Weighted Weighted Options Contractual Average Options Average Range of Exercise Prices: Outstanding Term Exercise Price Exercisable Exercise Price $0.01-$0.49 1,270,000 4.60 $ 0.12 1,270,000 $ 0.12 $0.50-$1.00 1,400,000 6.14 $ 0.55 1,400,000 $ 0.55 $1.01-$1.96 49,000 0.05 $ 1.96 49,000 $ 1.96 Totals 2,719,000 2,719,000

CONCENTRATION OF CREDIT RISK (T

CONCENTRATION OF CREDIT RISK (Tables)	12 Months Ended
	Mar. 31, 2021
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, 2021 March 31, 2020 Customer Dollars Percent Dollars Percent A $ 399,692 66 % $ * * % B $ * * % $ 365,636 37 % C $ 193,368 32 % $ 254,637 26 % D $ * * % $ 123,000 12 % *less than 10% of total

OTHER CURRENT ASSETS (Tables)

OTHER CURRENT ASSETS (Tables)	12 Months Ended
	Mar. 31, 2021
OTHER CURRENT ASSETS
Schedule of other current assets	Other current assets included the following as of March 31: 2021 2020 Payments advanced to suppliers $ 17,010 $ 272,070 Prepaid insurance 312,669 250,073 Prepaid subscriptions 25,967 35,694 Refundable AMT credits — 22,748 Employee advances 16,526 18,173 Other 7,265 7,393 Total $ 379,437 $ 606,151

PROPERTY, PLANT AND EQUIPMENT_2

PROPERTY, PLANT AND EQUIPMENT, NET (Tables)	12 Months Ended
	Mar. 31, 2021
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: 2021 2020 Land $ 110,113 $ 110,113 Building and improvements 3,249,577 3,249,577 Machinery equipment, furniture and fixtures 10,695,578 10,278,701 Equipment under finance leases 45,663 54,376 Total property, plant and equipment 14,100,931 13,692,767 Less: accumulated depreciation (10,037,722) (9,509,906) Total property, plant and equipment, net $ 4,063,209 $ 4,182,861

ACCRUED EXPENSES (Tables)

ACCRUED EXPENSES (Tables)	12 Months Ended
	Mar. 31, 2021
ACCRUED EXPENSES
Schedule of accrued expenses	Accrued expenses included the following as of March 31: 2021 2020 Accrued compensation $ 496,320 $ 383,555 Provision for claims settlement 495,000 495,000 Provision for contract losses 164,164 285,480 Accrued professional fees 213,213 279,657 Accrued project costs 114,611 76,059 Other 42,962 34,773 Total $ 1,526,270 $ 1,554,524

DEBT (Tables)

DEBT (Tables)	12 Months Ended
	Mar. 31, 2021
DEBT
Schedule of outstanding debt obligations	Long-term debt included the following as of March 31: 2021 2020 Berkshire Term Loan due December 2021 $ 2,466,408 $ 2,564,389 Berkshire SBA PPP loan at 1% interest, due May 2022 1,317,100 — Obligations under finance lease 45,663 22,460 Total debt $ 3,829,171 $ 2,586,849 Less: debt issue costs unamortized $ 12,270 $ 20,460 Total debt, net $ 3,816,901 $ 2,566,389 Less: Current portion of long-term debt $ 2,474,963 $ 109,829 Total long-term debt, net $ 1,341,938 $ 2,456,560

LEASES (Tables)

LEASES (Tables)	12 Months Ended
	Mar. 31, 2021
LEASES
Schedule of Right of use assets and liabilities	March 31, 2021 March 31, 2020 Finance lease: Property, plant and equipment $ 45,663 $ 54,376 Accumulated depreciation — 35,344 Net property, plant and equipment $ 45,663 $ 19,032 Current portion of long-term debt $ 8,555 $ 11,848 Long-term debt $ 37,108 $ 10,612 Total finance lease liabilities $ 45,663 $ 22,460
Schedule of Supplemental Information of leases	Components of lease expense for the year ended: March 31, 2021 March 31, 2020 Operating lease amortization $ 3,788 $ 2,860 Finance lease amortization $ 10,875 $ 10,875 Finance lease interest $ 1,275 $ 2,249 Weighted average lease term and discount rate at: March 31, 2021 March 31, 2020 Lease term (years) 5.00 2.00 Lease rate 3.2 % 7.9 %
Schedule of Supplemental Cash flow information	Supplemental cash flow information related to leases for the year ended: March 31, 2021 March 31, 2020 Cash used in operating activities $ 5,063 $ 5,109 Cash used in financing activities $ 22,460 $ 10,951

BASIS OF PRESENTATION AND SIG_4

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES - Cash, Accounts Receivables, and PP&E (Details)	12 Months Ended
	Mar. 31, 2021
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, 2021	Mar. 31, 2020
Selling, General, and Administrative
Salaries and related expenses	$ 1,656,053	$ 1,511,620
Professional fees	805,304	826,140
Other general and administrative	379,679	447,726
Total Selling, General and Administrative	2,841,036	2,785,486
Stock Based Compensation
Stock based compensation cost	$ 179,917	$ 90,917

REVENUE - Disaggregated Basis (

REVENUE - Disaggregated Basis (Details) - USD ($)	12 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Revenue from Contract with Customer, Including Assessed Tax	$ 15,595,558	$ 16,007,288
Over-time
Revenue from Contract with Customer, Including Assessed Tax	12,869,520	12,637,728
Point-in-time
Revenue from Contract with Customer, Including Assessed Tax	2,726,038	3,369,560
Defense
Revenue from Contract with Customer, Including Assessed Tax	12,650,708	13,367,764
Industrial
Revenue from Contract with Customer, Including Assessed Tax	$ 2,944,850	$ 2,639,524

REVENUE - Net Sales from Custom

REVENUE - Net Sales from Customers (Details) - USD ($)	12 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Revenues	$ 15,595,558	$ 16,007,288
Customer A | Sales Revenue, Net
Revenues	$ 2,704,985	$ 3,558,477
Concentration risk percentage	17.00%	22.00%
Customer B | Sales Revenue, Net
Revenues	$ 2,682,881
Concentration risk percentage	17.00%
Customer C | Sales Revenue, Net
Revenues	$ 2,308,564	$ 2,758,957
Concentration risk percentage	15.00%	17.00%
Customer D | Sales Revenue, Net
Revenues	$ 2,145,465	$ 2,063,409
Concentration risk percentage	14.00%	13.00%
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, 2021	Mar. 31, 2020
Contract assets	$ 5,532,408	$ 4,504,621
Unbilled
Contract assets	11,392,948	10,635,588
Progress payments
Contract assets	$ (5,860,540)	$ (6,130,967)

REVENUE - Additional informatio

REVENUE - Additional information (Details) $ in Millions	12 Months Ended
	Mar. 31, 2021USD ($)
REVENUE
Revenue, Remaining Performance Obligation, Amount	$ 18.6
Revenue Remaining Performance Obligation Completed Less Than 50	$ 15.6
Revenue, Remaining Performance Obligation, Percentage	50.00%
Revenue Recognized By Contract Liabilities	$ 0.8

INCOME TAXES - Income tax provi

INCOME TAXES - Income tax provision (benefit) (Details) - USD ($)	12 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
INCOME TAXES
Income (loss) before income taxes	$ 425,511	$ (414,610)
Income tax provision (benefit)	104,880	(73,041)
Net income (loss)	320,631	(341,569)
Current
Federal	(76,185)	0
State	0	0
Total Current	(76,185)	0
Deferred
Federal	148,151	(26,328)
State	32,914	(46,713)
Total Deferred	181,065	(73,041)
Income tax provision (benefit)	104,880	(73,041)
U.S. operations
INCOME TAXES
Income (loss) before income taxes	435,534	(403,419)
Foreign operations
INCOME TAXES
Income (loss) before income taxes	$ (10,033)	$ (11,191)

INCOME TAXES - U.S. Federal Sta

INCOME TAXES - U.S. Federal Statutory Rate To Actual Tax Provision (Benefit) For Income Taxes (Details) - USD ($)	12 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
INCOME TAXES
U.S. statutory income tax	$ 89,358	$ (87,068)
State income tax, net of federal benefit	11,366	(35,969)
Change in state NOL, net of federal benefit	(10,487)	31,208
Stock based compensation	(4,830)	(17,587)
Change in valuation allowance	20,484	9,340
Global intangible income tax	0	28,045
Other	(1,011)	(1,010)
Provision (benefit) for income taxes	$ 104,880	$ (73,041)
Effective tax rate	24.60%	17.60%

INCOME TAXES - Deferred Taxes (

INCOME TAXES - Deferred Taxes (Details) - USD ($)	Mar. 31, 2021	Mar. 31, 2020
Deferred tax assets:
Net operating loss carryforward	$ 3,571,600	$ 3,704,185
Compensation	347,742	341,900
Stock based compensation awards	238,120	213,854
Other items not currently deductible	189,728	88,090
Depreciation	38,490	68,486
AMT tax credits		76,186
Total deferred tax assets	4,385,680	4,492,701
Valuation allowance	(1,731,100)	(1,710,616)
Net deferred tax assets	2,654,580	2,782,085
Deferred tax liabilities:
Contract accounting methods	(720,165)	(666,605)
Total deferred tax liabilities	(720,165)	(666,605)
Deferred taxes, net	$ 1,934,415	$ 2,115,480

INCOME TAXES - Carryforwards an

INCOME TAXES - Carryforwards and Unrecognized Tax Benefits (Details)	Mar. 31, 2021USD ($)
Tax Years 2007 To Current Member
Carryforwards of net operating losses and tax credits
Net operating losses	$ 6,900,000
Federal
Carryforwards of net operating losses and tax credits
Net operating losses	7,296,383
State
Carryforwards of net operating losses and tax credits
Net operating losses	27,187,363
Ranor, Inc. | Tax Years 2006 And Prior Member
Carryforwards of net operating losses and tax credits
Net operating losses	$ 400,000

INCOME TAXES - Additional Infor

INCOME TAXES - Additional Information (Details) - USD ($)	12 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
INCOME TAXES
Provision (benefit) for income taxes	$ 104,880	$ (73,041)
Deferred Tax Assets, Valuation Allowance	$ 1,731,100	$ 1,710,616
Percentage of statutory income tax rate	21.00%
AMT credits refunds	$ 121,000

CAPITAL STOCK and EARNINGS PE_3

CAPITAL STOCK and EARNINGS PER SHARE (Details) - USD ($)	12 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Basic EPS:
Net income (loss)	$ 320,631	$ (341,569)
Weighted average shares	29,447,085	29,258,692
Net income (loss) per share	$ 0.01	$ (0.01)
Diluted EPS:
Net income (loss)	$ 320,631	$ (341,569)
Dilutive effect of stock options	1,588,270
Weighted average shares	31,035,355	29,258,692
Net income (loss) per share	$ 0.01	$ (0.01)
Antidilutive securities excluded from computation of earnings per share amount (in shares)	49,000	2,966,000

CAPITAL STOCK and EARNINGS PE_4

CAPITAL STOCK and EARNINGS PER SHARE - Additional Information (Details)	Mar. 31, 2021seriesshares	Mar. 31, 2020seriesshares
EARNINGS PER SHARE (EPS)
Number of authorized common shares	90,000,000	90,000,000
Number of outstanding common shares	29,498,662	29,354,594
Preferred stock, shares authorized	10,000,000	10,000,000
Number of series of preferred stock | series	1	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, 2021	Mar. 31, 2020	Mar. 31, 2019
Number Of Options
Outstanding at the beginning of the period (in shares)	2,916,000	2,938,000
Exercised (in shares)	(150,000)	(20,000)
Canceled (in shares)	(47,000)	(2,000)
Outstanding at the end of the period (in shares)		2,916,000	2,938,000
Vested or expected to vest at the end of the period (in shares)	2,719,000
Exercisable and vested at the end of the period (in shares)	2,719,000
Weighted Average Exercise Price
Outstanding at the beginning of the period (in dollars per share)	$ 0.415	$ 0.416
Exercised (in shares)	0.800	0.360
Outstanding at the end of the period (in dollars per share)		$ 0.415	$ 0.416
Vested or expected to vest at the end of the period (in dollars per share)	0.372
Exercisable and vested at the end of the period (in dollars per share)	$ 0.372
Aggregate Intrinsic Value
Outstanding Value		$ 2,546,800	$ 1,869,200
Vested or expected to vest at the end of the period	$ 2,476,300
Exercisable and vested at the end of the period	$ 2,476,300
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
Vested or expected to vest at the end of the period	5 years 7 months 13 days
Exercisable and vested at the end of the period	5 years 7 months 13 days

STOCK-BASED COMPENSATION - St_2

STOCK-BASED COMPENSATION - Stock Options Outstanding By Exercise Price (Details)	12 Months Ended
	Mar. 31, 2021$ / sharesshares
Stock Based Compensation By Exercise Price Range
Options Outstanding | shares	2,719,000
Options Exercisable | shares	2,719,000
Range One
Stock Based Compensation By Exercise Price Range
Exercise Price, Lower Range	$ 0.01
Exercise Price, Upper Range	$ 0.49
Options Outstanding | shares	1,270,000
Options Outstanding, Weighted Average Remaining Contractual Term	4 years 7 months 6 days
Options Outstanding, Weighted Average Exercise Price	$ 0.12
Options Exercisable | shares	1,270,000
Options Exercisable, Weighted Average Exercise Price	$ 0.12
Range Two
Stock Based Compensation By Exercise Price Range
Exercise Price, Lower Range	0.50
Exercise Price, Upper Range	$ 1
Options Outstanding | shares	1,400,000
Options Outstanding, Weighted Average Remaining Contractual Term	6 years 1 month 21 days
Options Outstanding, Weighted Average Exercise Price	$ 0.55
Options Exercisable | shares	1,400,000
Options Exercisable, Weighted Average Exercise Price	$ 0.55
Range Three
Stock Based Compensation By Exercise Price Range
Exercise Price, Lower Range	1.01
Exercise Price, Upper Range	$ 1.96
Options Outstanding | shares	49,000
Options Outstanding, Weighted Average Remaining Contractual Term	18 days
Options Outstanding, Weighted Average Exercise Price	$ 1.96
Options Exercisable | shares	49,000
Options Exercisable, Weighted Average Exercise Price	$ 1.96

STOCK-BASED COMPENSATION - Addi

STOCK-BASED COMPENSATION - Additional Information (Details) - USD ($)	Sep. 01, 2020	Mar. 31, 2021	Mar. 31, 2020	Mar. 31, 2019
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
Stock based compensation cost		179,917	$ 90,917
Restricted Stock [Member]
Share based compensation
Granted a total of shares of restricted stock	100,000
Stock based compensation cost	$ 134,000
Total unrecognized compensation cost related to restricted stock awards		$ 55,833	$ 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		1,421,000
Maximum
Share based compensation
Maximum contractual term (in years)		10 years

STOCK-BASED COMPENSATION - Ad_2

STOCK-BASED COMPENSATION - Additional Information II (Details) - USD ($)	Sep. 01, 2020	Mar. 16, 2020	Mar. 31, 2021	Mar. 31, 2020
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock based compensation expense			$ 179,917	$ 90,917
Stock based compensation cost			179,917	90,917
Restricted Stock [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock based compensation expense			78,167	90,917
Unrecognized compensation cost			$ 55,833	$ 101,750
Number of shares granted	100,000
Stock based compensation cost	$ 134,000
Service-based restricted stock one
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares granted		100,000
Service-based restricted stock two
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock based compensation cost		$ 111,000

CONCENTRATION OF CREDIT RISK (D

CONCENTRATION OF CREDIT RISK (Details) - USD ($)	12 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Concentration of credit risk and major customers
Accounts receivable	$ 608,059	$ 990,300
Accounts Receivable | Customer Concentration Risk | Customer A
Concentration of credit risk and major customers
Accounts receivable	$ 399,692
Concentration risk percentage	66.00%
Accounts Receivable | Customer Concentration Risk | Customer B
Concentration of credit risk and major customers
Accounts receivable		$ 365,636
Concentration risk percentage		37.00%
Accounts Receivable | Customer Concentration Risk | Customer C
Concentration of credit risk and major customers
Accounts receivable	$ 193,368	$ 254,637
Concentration risk percentage	32.00%	26.00%
Accounts Receivable | Customer Concentration Risk | Customer D
Concentration of credit risk and major customers
Accounts receivable		$ 123,000
Concentration risk percentage		12.00%
Trade Receivables
Concentration of credit risk and major customers
Concentration risk percentage	98.00%

OTHER CURRENT ASSETS (Details)

OTHER CURRENT ASSETS (Details) - USD ($)	Mar. 31, 2021	Mar. 31, 2020
OTHER CURRENT ASSETS
Payments advanced to suppliers	$ 17,010	$ 272,070
Prepaid insurance	312,669	250,073
Prepaid subscriptions	25,967	35,694
Refundable AMT credits		22,748
Employee advances	16,526	18,173
Other	7,265	7,393
Total	$ 379,437	$ 606,151

PROPERTY, PLANT AND EQUIPMENT_3

PROPERTY, PLANT AND EQUIPMENT, NET (Details) - USD ($)	Mar. 31, 2021	Mar. 31, 2020
Property, Plant and Equipment, Net
Total property, plant and equipment	$ 14,100,931	$ 13,692,767
Less: accumulated depreciation	(10,037,722)	(9,509,906)
Total property, plant and equipment, net	4,063,209	4,182,861
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	10,695,578	10,278,701
Equipment under finance leases
Property, Plant and Equipment, Net
Total property, plant and equipment	$ 45,663	$ 54,376

ACCRUED EXPENSES (Details)

ACCRUED EXPENSES (Details) - USD ($)	Mar. 31, 2021	Mar. 31, 2020
ACCRUED EXPENSES
Accrued compensation	$ 496,320	$ 383,555
Provision for claims settlement	495,000	495,000
Provision for contract losses	164,164	285,480
Accrued professional fees	213,213	279,657
Accrued project costs	114,611	76,059
Other	42,962	34,773
Total	$ 1,526,270	$ 1,554,524

DEBT - Long-term Debt (Details)

DEBT - Long-term Debt (Details) - USD ($)	Mar. 31, 2021	Mar. 31, 2020
Long-term Debt
Total debt	$ 3,829,171	$ 2,586,849
Less: debt issue costs unamortized	12,270	20,460
Total debt, net	3,816,901	2,566,389
Less: Current portion of long-term debt	2,474,963	109,829
Total long-term debt, net	$ 1,341,938	2,456,560
Interest rate (as a percent)	2.75%
Berkshire Term Loan due December 2021
Long-term Debt
Total debt	$ 2,466,408	2,564,389
Berkshire SBA PPP loan at 1% interest, due May 2022
Long-term Debt
Total debt	$ 1,317,100
Interest rate (as a percent)	1.00%
Finance lease obligations
Long-term Debt
Obligations under finance lease	$ 45,663	22,460
Less: Current portion of long-term debt	8,555	11,848
Total long-term debt, net	$ 37,108	$ 10,612

DEBT - Small Business Administr

DEBT - Small Business Administrative PPP loan (Details) - Paycheck Protection Program - USD ($)	May 08, 2020	Mar. 31, 2021
Debt
Face amount of debt	$ 1,317,100
Prepayment penalties	$ 0
Unamortized closing costs		$ 3,875

DEBT - Berkshire Bank & Trust C

DEBT - Berkshire Bank & Trust Company Loan Facility (Details)	Mar. 31, 2021USD ($)	Dec. 23, 2019USD ($)	Dec. 21, 2016USD ($)	Mar. 31, 2021USD ($)	Mar. 31, 2020USD ($)	Dec. 19, 2018USD ($)
Debt Instrument [Line Items]
Revolving line of credit						$ 1,000,000
Amount outstanding	$ 3,829,171			$ 3,829,171	$ 2,586,849
Basis spread on variable rate (as a percent)		0.70%
Revolver loan
Debt Instrument [Line Items]
Maximum Amount Of Borrowing Base Required To Grant Loan Advance		$ 3,000,000
Amount outstanding	0			$ 0	0
Interest payments					$ 6,664
Weighted average interest rate (as a percent)					2.67%
Unused borrowing capacity	2,700,000
Nonrefundable Commitment Fee, Percentage		0.25%
Secured Term Loan
Debt Instrument [Line Items]
Amount outstanding		$ 0
Berkshire Loan
Debt Instrument [Line Items]
Debt Instrument Debt Service Coverage Ratio Threshold				1.2
Debt Instrument Covenant Leverage Ratio Year One				2.50
Debt Instrument Covenant Maximum Capital Expenditures To Be Incurred Year Four And Thereafter					$ 1,500,000
Debt Instrument Covenant Loan To Value Ratio					0.75
Debt Instrument Covenant Trailing Period For Measurement Of Loan To Value Ratio					365 days
Unamortized Debt Issuance Expense	8,395			$ 8,395	$ 20,460
Berkshire Loan | Revolving Credit Facility
Debt Instrument [Line Items]
Maximum Amount Of Borrowing Base Required To Grant Loan Advance			$ 1,000,000
Debt Instrument Percentage Of Accounts Receivable Used For Determination Of Aggregate Amount Of Advances			80.00%
Debt Instrument Percentage Of Eligible Raw Material Used For Determination Of Aggregate Amount Of Advances			25.00%
Amount Included In Sum To Calculate Maximum Borrowing Base			$ 250,000
Debt Instrument, Description of Variable Rate Basis			one-month LIBOR plus 275 basis points
Berkshire Loan | Secured Term Loan
Debt Instrument [Line Items]
Maturity term			60 months
Debt instrument, Periodic Payment			$ 19,260
Prepayment period			45 days
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 December 2021
Debt Instrument [Line Items]
Amount outstanding	$ 2,466,408			$ 2,466,408	$ 2,564,389

DEBT - Additional information (

DEBT - Additional information (Details)	Mar. 31, 2021USD ($)
Maturities for obligations under long term debt
2022	$ 3,783,508
Maturities for obligations under a finance lease
2022	8,555
2023	8,834
2024	9,123
2025	9,421
2026	$ 9,730

DEBT - Additional information I

DEBT - Additional information I (Details) - USD ($)	Dec. 23, 2019	Mar. 31, 2021	Mar. 31, 2020	Dec. 21, 2016
Debt Instrument [Line Items]
Unamortized closing costs		$ 12,270	$ 20,460
Debt Instrument, Interest Rate, Stated Percentage		2.75%
Basis spread on variable rate (as a percent)	0.70%
Office equipment
Debt Instrument [Line Items]
Finance lease term		60 months
Interest rate		3.20%
Monthly payments		$ 825
Right-of-use asset		45,663
Revolver loan
Debt Instrument [Line Items]
Nonrefundable Commitment Fee, Percentage	0.25%
Maximum Amount Of Borrowing Base Required To Grant Loan Advance	$ 3,000,000
Long-term Line of Credit		0	$ 0
Third Modification [Member]
Debt Instrument [Line Items]
Execution Costs Classified As Other Noncurrent Assets	41,628
Second Modification [Member]
Debt Instrument [Line Items]
Execution Costs Classified As Other Noncurrent Assets	7,245
Fourth Modification
Debt Instrument [Line Items]
Unamortized closing costs		$ 14,002
Secured Term Loan
Debt Instrument [Line Items]
Long-term Line of Credit	$ 0
Berkshire Loan | Secured Term Loan
Debt Instrument [Line Items]
Debt Instrument, Interest Rate, Stated Percentage				5.21%

LEASES - Finance Lease (Details

LEASES - Finance Lease (Details) - USD ($)	Mar. 31, 2021	Mar. 31, 2020
Net property, plant and equipment	$ 4,063,209	$ 4,182,861
Current portion of long-term debt	2,474,963	109,829
Long-term debt	1,341,938	2,456,560
Finance lease obligations
Current portion of long-term debt	8,555	11,848
Long-term debt	37,108	10,612
Total finance lease liabilities	45,663	22,460
Office equipment
Property, plant and equipment	45,663	54,376
Accumulated depreciation		35,344
Net property, plant and equipment	$ 45,663	$ 19,032

LEASES - Supplemental Informati

LEASES - Supplemental Information of Leases (Details) - USD ($)	12 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
LEASES
Operating lease amortization	$ 3,788	$ 2,860
Finance lease amortization	10,875	10,875
Finance lease interest	$ 1,275	$ 2,249
Lease term (years)	5 years	2 years
Lease rate	3.20%	7.90%

LEASES - Supplemental Cash Flow

LEASES - Supplemental Cash Flow Information (Details) - USD ($)	12 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
LEASES
Cash used in operating activities	$ 5,063	$ 5,109
Cash used in financing activities	$ 22,460	$ 10,951

COMMITMENTS (Details)

COMMITMENTS (Details) - USD ($)	May 10, 2021	Mar. 16, 2020	Mar. 31, 2021	Mar. 31, 2020
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			$ 85,359	$ 81,333
Provision for claims settlement		$ 495,000		$ 495,000
Period for payment of claim settlement amount		60 days
Payments made	$ 495,000

SUBSEQUENT EVENTS - Amended and

SUBSEQUENT EVENTS - Amended and Restated Loan Purchase and Sale Agreement (Details) - Subsequent event - Amended and Restated Loan Purchase and Sale Agreement	Apr. 23, 2021USD ($)
Subsequent Event [Line Items]
Non-refundable deposit	$ 50,000
Acquisition fee	100,000
Increase in indebtedness	$ 1,800,000

SUBSEQUENT EVENTS - Small Busin

SUBSEQUENT EVENTS - Small Business Administration Loan (Details) - Subsequent event - Paycheck Protection Program	May 12, 2021USD ($)
Principal amount forgiven	$ 1,317,000
Interest amount forgiven	$ 13,207