TechPrecision (TPCS) 10-Q 13 Nov 17 2018 Q2 Quarterly report Financial data

Document And Entity Information

Document And Entity Information - shares	6 Months Ended
	Sep. 30, 2017	Nov. 07, 2017
Document Information [Line Items]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Sep. 30, 2017
Document Fiscal Year Focus	2,018
Document Fiscal Period Focus	Q2
Entity Registrant Name	TECHPRECISION CORP
Entity Central Index Key	1,328,792
Current Fiscal Year End Date	--03-31
Entity Filer Category	Smaller Reporting Company
Trading Symbol	TPCS
Entity Common Stock, Shares Outstanding		28,824,593

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($)	Sep. 30, 2017	Mar. 31, 2017
Current assets:
Cash and cash equivalents	$ 2,489,626	$ 3,066,156
Accounts receivable, net	2,175,822	1,870,672
Costs incurred on uncompleted contracts, in excess of progress billings	3,213,329	2,097,221
Inventories - raw materials	200,787	141,792
Other current assets	546,633	422,096
Total current assets	8,626,197	7,597,937
Property, plant and equipment, net	5,369,167	4,912,202
Deferred income taxes	2,364,303	2,871,680
Other noncurrent assets, net	68,625	100,000
Total assets	16,428,292	15,481,819
Current liabilities:
Accounts payable	380,318	365,308
Accrued expenses	1,008,717	893,415
Billings on uncompleted contracts, in excess of related costs	827,573	642,831
Current portion of long-term debt	742,292	717,481
Total current liabilities	2,958,900	2,619,035
Long-term debt, including capital leases	4,546,078	4,874,721
Noncurrent accrued expenses	8,064	17,742
Commitments and contingent liabilities (see Note 14)
Stockholders’ Equity:
Common stock - par value $.0001 per share, 90,000,000 shares authorized, 28,824,593 shares issued and outstanding at September 30 and March 31, 2017	2,882	2,882
Additional paid in capital	8,409,517	8,258,820
Accumulated other comprehensive income	20,872	19,328
Retained earnings (accumulated deficit)	481,979	(310,709)
Total stockholders’ equity	8,915,250	7,970,321
Total liabilities and stockholders’ equity	$ 16,428,292	$ 15,481,819

CONDENSED CONSOLIDATED BALANCE3

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares	Sep. 30, 2017	Mar. 31, 2017
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	28,824,593	28,824,593
Common stock, shares outstanding	28,824,593	28,824,593

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME - USD ($)	3 Months Ended		6 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Net sales	$ 4,588,894	$ 3,656,163	$ 10,419,280	$ 8,300,968
Cost of sales	3,155,893	2,182,547	7,245,692	5,291,959
Gross profit	1,433,001	1,473,616	3,173,588	3,009,009
Selling, general and administrative	720,341	739,585	1,640,100	1,627,763
Income from operations	712,660	734,031	1,533,488	1,381,246
Other income	1,456	6,824	1,547	7,575
Interest expense	(100,414)	(183,268)	(209,196)	(376,478)
Total other expense, net	(98,958)	(176,444)	(207,649)	(368,903)
Income before income taxes	613,702	557,587	1,325,839	1,012,343
Income tax expense	245,516	11,505	533,151	20,958
Net income	368,186	546,082	792,688	991,385
Other comprehensive income (loss), before tax:
Foreign currency translation adjustments	1,854	(281)	2,586	(1,223)
Other comprehensive income (loss), before tax	1,854	(281)	2,586	(1,223)
Income tax expense on other comprehensive income	746	0	1,042	0
Other comprehensive income (loss), net of tax	1,108	(281)	1,544	(1,223)
Comprehensive income	$ 369,294	$ 545,801	$ 794,232	$ 990,162
Net income per share (basic) (in dollars per share)	$ 0.01	$ 0.02	$ 0.03	$ 0.04
Net income per share (diluted) (in dollars per share)	$ 0.01	$ 0.02	$ 0.03	$ 0.04
Weighted average number of shares outstanding (basic) (in shares)	28,824,593	27,324,593	28,824,593	27,324,593
Weighted average number of shares outstanding (diluted) (in shares)	29,730,456	28,020,795	29,751,219	27,936,098

CONDENSED CONSOLIDATED STATEME5

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)	6 Months Ended
	Sep. 30, 2017	Sep. 30, 2016
CASH FLOWS FROM OPERATING ACTIVITIES
Net income	$ 792,688	$ 991,385
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation	351,422	353,488
Amortization of debt issue costs	37,038	90,049
Stock based compensation expense	150,697	22,910
Change in contract losses	29,139	(40,532)
Deferred income taxes	507,376	0
Changes in operating assets and liabilities:
Accounts receivable	(305,150)	1,118,019
Costs on uncompleted contracts, in excess of progress billings	(1,116,108)	240,431
Inventories - raw materials	(58,995)	3,005
Other current assets	(124,537)	152,051
Other noncurrent assets and liabilities	(9,678)	(819)
Accounts payable	15,010	(406,463)
Accrued expenses	88,319	(170,369)
Accrued taxes	0	20,958
Billings on uncompleted contracts, in excess of related costs	184,742	(945,358)
Net cash provided by operating activities	541,963	1,428,755
CASH FLOWS FROM INVESTING ACTIVITIES
Proceeds from sale of equipment	80,000	0
Deposit for fixed assets	(36,987)	0
Purchases of property, plant and equipment	(808,386)	(114,856)
Net cash used in investing activities	(765,373)	(114,856)
CASH FLOWS FROM FINANCING ACTIVITIES
Deferred loan costs	0	(145,995)
Borrowings of long-term debt	0	3,011,648
Repayment of long-term debt	(352,509)	(2,673,432)
Net cash (used in) provided by financing activities	(352,509)	192,221
Effect of exchange rate on cash and cash equivalents	(611)	42
Net (decrease) increase in cash and cash equivalents	(576,530)	1,506,162
Cash and cash equivalents, beginning of period	3,066,156	1,332,166
Cash and cash equivalents, end of period	2,489,626	2,838,328
Cash paid during the period for:
Interest	185,415	479,179
Income taxes	$ 30,000	$ 20,000

DESCRIPTION OF BUSINESS

DESCRIPTION OF BUSINESS	6 Months Ended
	Sep. 30, 2017
DESCRIPTION OF BUSINESS
DESCRIPTION OF BUSINESS	NOTE 1 - DESCRIPTION OF BUSINESS TechPrecision Corporation, or TechPrecision, is the parent company of Ranor, Inc., or Ranor, a Delaware corporation and Wuxi Critical Mechanical Components Co., Ltd., or WCMC, a wholly foreign owned enterprise (WFOE) organized under the laws of the People’s Republic of China. TechPrecision, WCMC and Ranor are collectively referred to as the “Company”, “we”, “us” or “our”. We manufacture large scale metal fabricated and machined precision components and equipment. These products are used in a variety of markets including defense and aerospace, nuclear, medical and precision industrial.

BASIS OF PRESENTATION AND SIGNI

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES	6 Months Ended
	Sep. 30, 2017
SIGNIFICANT ACCOUNTING POLICIES
BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES	NOTE 2 - BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation and Consolidation The accompanying condensed consolidated financial statements include the accounts of TechPrecision, Ranor and WCMC. Intercompany transactions and balances have been eliminated in consolidation. The accompanying condensed consolidated balance sheets as of September 30, 2017 and March 31, 2017, the condensed consolidated statements of operations and comprehensive income for the three and six months ended September 30, 2017 and 2016, and the condensed consolidated statements of cash flows for the six months ended September 30, 2017 and 2016 are unaudited, but, in the opinion of management, include all adjustments that are necessary for a fair presentation of our financial statements for interim periods in accordance with U.S. Generally Accepted Accounting Principles, or U.S. GAAP. All adjustments are of a normal, recurring nature, except as otherwise disclosed. The results of operations for an interim period are not necessarily indicative of the results of operations to be expected for the fiscal year. The Notes to Condensed Consolidated Financial Statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission, or the SEC, for Quarterly Reports on Form 10-Q. Certain information and note disclosures normally included in financial statements prepared in accordance with U.S. GAAP have been condensed or omitted pursuant to such rules and regulations. These unaudited financial statements and related notes should be read in conjunction with our consolidated financial statements included with our Annual Report on Form 10-K for the fiscal year ended March 31, 2017, or the 2017 Form 10-K, filed with the SEC on June 29, 2017. Significant Accounting Policies Our significant accounting policies are set forth in detail in Note 2 to the 2017 Form 10-K.

NEW ACCOUNTING STANDARDS

NEW ACCOUNTING STANDARDS	6 Months Ended
	Sep. 30, 2017
New Accounting Pronouncements and Changes in Accounting Principles [Abstract]
New Accounting Pronouncements and Changes in Accounting Principles	NOTE 3 - NEW ACCOUNTING STANDARDS New Accounting Standards Recently Adopted In March 2016, the Financial Accounting Standards Board, or the FASB, issued Accounting Standards Update, or ASU, 2016-09, Compensation-Stock Compensation (Topic 718): Improvements to Employee Share Based Payment Accounting, In July 2015, the FASB issued ASU 2015-11, Simplifying the Measurement of Inventory, Issued Standards Not Yet Adopted In August 2016, the FASB issued ASU 2016-15, Statement of Cash Flows (Topic 230) Classification of Certain Cash Receipts and Cash Payments, In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers The underlying principle is that an entity will recognize revenue to depict the transfer of goods or services to customers at an amount that the entity expects to be entitled to in exchange for those goods or services. Current practice is primarily a risk and rewards based model, while the new standard introduces the concept of inventory control and satisfaction of performance obligations over time. We are currently assessing the impact that the new revenue recognition guidance may have on our financial statements and disclosures by comparing our current revenue recognition policy with the requirements of the new standard. A review of contracts with our largest customers which represents more than 80 The new guidance can be applied retrospectively to each prior reporting period presented (full retrospective method) or retrospectively with a cumulative effect adjustment to retained earnings for initial application of the guidance at the date of initial adoption (modified retrospective method). The guidance is effective for annual reporting periods beginning on or after December 15, 2017. We plan to adopt the new standard on April 1, 2018. In December 2016, the FASB issued ASU 2016-20, Technical Corrections and Improvements to Topic 606 Revenue from Contracts with Customers, Narrow Scope Improvements and Practical Expedients In October 2016, the FASB issued ASU 2016-16, Income Taxes (Topic 740): Intra Entity Transfers of Assets Other Than Inventory, In February 2016, the FASB issued ASU 2016-02, Leases In May 2017, the FASB issued ASU No. 2017-09, Compensation - Stock Compensation (Topic 718): Scope of Modification Accounting,

PROPERTY, PLANT AND EQUIPMENT,

PROPERTY, PLANT AND EQUIPMENT, NET	6 Months Ended
	Sep. 30, 2017
Property, Plant and Equipment [Abstract]
PROPERTY, PLANT AND EQUIPMENT, NET	NOTE 4 - PROPERTY, PLANT AND EQUIPMENT, NET September 30, 2017 March 31, 2017 Land $ 110,113 $ 110,113 Building and improvements 3,252,908 3,252,908 Machinery equipment, furniture and fixtures 9,896,917 8,601,199 Construction in progress -- 487,331 Equipment under capital leases 54,376 54,376 Total property, plant and equipment 13,314,314 12,505,927 Less: accumulated depreciation (7,945,147) (7,593,725) Total property, plant and equipment, net $ 5,369,167 $ 4,912,202 Depreciation expense, which includes amortization of equipment under capital leases, for the three and six months ended September 30, 2017 and 2016 was $ 179,808 351,422 177,438 353,488 Capitalized leases were $ 54,376 We capitalize interest during the active construction period of major capital projects. Capitalized interest is added to the cost of the underlying assets and is amortized over the useful lives of the assets. Capitalized interest for the three and six months ended September 30, 2017 was $ 8,590 13,257

COSTS INCURRED ON UNCOMPLETED C

COSTS INCURRED ON UNCOMPLETED CONTRACTS	6 Months Ended
	Sep. 30, 2017
COSTS INCURRED ON UNCOMPLETED CONTRACTS
COSTS INCURRED ON UNCOMPLETED CONTRACTS	NOTE 5 - COSTS INCURRED ON UNCOMPLETED CONTRACTS The following table sets forth information as to costs incurred on uncompleted contracts as of: September 30, 2017 March 31, 2017 Cost incurred on uncompleted contracts, beginning balance $ 5,538,815 $ 5,491,605 Total cost incurred on contracts during the year 6,351,959 12,501,752 Less: cost of sales, during the year (7,245,692) (12,454,542) Cost incurred on uncompleted contracts, ending balance $ 4,645,082 $ 5,538,815 Billings on uncompleted contracts, beginning balance $ 3,441,594 $ 3,095,963 Total billings incurred on contracts, during the year 8,409,439 18,896,305 Less: Contracts recognized as revenue, during the year (10,419,280) (18,550,674) Billings on uncompleted contracts, ending balance $ 1,431,753 $ 3,441,594 Cost incurred on uncompleted contracts, ending balance $ 4,645,082 $ 5,538,815 Billings on uncompleted contracts, ending balance 1,431,753 3,441,594 Costs incurred on uncompleted contracts, in excess of progress billings $ 3,213,329 $ 2,097,221 Contract costs consist primarily of labor and materials and related overhead, to the extent that such costs are recoverable. Revenues associated with these contracts are recorded only when the amount of recovery can be estimated reliably and realization is probable. As of September 30, 2017 and March 31, 2017, we had billings in excess of costs totaling $ 827,573 642,831

OTHER CURRENT ASSETS

OTHER CURRENT ASSETS	6 Months Ended
	Sep. 30, 2017
OTHER CURRENT ASSETS
OTHER CURRENT ASSETS	NOTE 6 - OTHER CURRENT ASSETS Other current assets included the following as of: September 30, 2017 March 31, 2017 Payments advanced to suppliers $ 190,163 $ 107,591 Prepaid insurance 226,174 229,132 Other 130,296 85,373 Total $ 546,633 $ 422,096

OTHER NONCURRENT ASSETS

OTHER NONCURRENT ASSETS	6 Months Ended
	Sep. 30, 2017
OTHER NONCURRENT ASSETS
OTHER NONCURRENT ASSETS	NOTE 7 - OTHER NONCURRENT ASSETS September 30, 2017 March 31, 2017 Assets held for sale $ 20,000 $ 100,000 Deposit for fixed assets 36,987 -- Prepaid loan costs 11,638 -- Total $ 68,625 $ 100,000 At September 30, 2017 and March 31, 2017, we classified certain machinery and equipment of $ 20,000 100,000

ACCRUED EXPENSES

ACCRUED EXPENSES	6 Months Ended
	Sep. 30, 2017
ACCRUED EXPENSES
ACCRUED EXPENSES	NOTE 8 - ACCRUED EXPENSES Accrued expenses included the following as of: September 30, 2017 March 31, 2017 Accrued compensation $ 551,128 $ 568,766 Provision for contract losses 177,838 148,699 Accrued professional fees 141,139 142,648 Accrued project costs 97,525 -- Other 41,087 33,302 Total $ 1,008,717 $ 893,415 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.

DEBT

DEBT	6 Months Ended
	Sep. 30, 2017
DEBT
DEBT	NOTE 9 - DEBT September 30, 2017 March 31, 2017 Commerce Term Loan due January 2022 $ 2,788,161 $ 2,828,844 People’s Equipment Loan Facility due April 2021 2,584,086 2,884,982 Obligations under capital leases 56,423 67,353 Total debt $ 5,428,670 $ 5,781,179 Less: debt issue costs unamortized $ 140,300 $ 188,977 Total debt, net $ 5,288,370 $ 5,592,202 Less: Current portion of long-term debt $ 742,292 $ 717,481 Total long-term debt, net $ 4,546,078 $ 4,874,721 Commerce Bank & Trust Company Loan Facility On December 21, 2016, TechPrecision, through Ranor, closed on a Loan Agreement, or the Commerce Loan Agreement, with Commerce Bank & Trust Company, or Commerce. Pursuant to the Commerce Loan Agreement, Commerce made a term loan to Ranor in the amount of $ 2,850,000 1,000,000 60 19,260 5.21 45 1,000,000 80 25 250,000 one-month LIBOR plus 275 basis points 52,594 The Commerce Loan Agreement contains a covenant whereby the Company is required to maintain a debt service coverage ratio, or DSCR, of at least 1.2 1.0 3.00 2.50 2,500,000 2,500,000 1,500,000 0.75 365 3.07 3.40 People’s Capital and Leasing Corp. Equipment Loan Facility On April 26, 2016, TechPrecision, through Ranor, executed and closed a Master Loan and Security Agreement, or the MLSA, with People’s Capital and Leasing Corp., or People’s. Loan proceeds were disbursed to Ranor on April 26, 2016. Pursuant to the MLSA, People’s loaned $ 3,011,648 60 60,921 7.90 1.5 2.86 87,706 Capital Lease We entered into a new capital lease in January 2017 for certain office equipment. The lease term is for 60 7.9 1,169 1,187 720 Collateral securing the above obligations comprises all personal and real property of TechPrecision and Ranor, including cash, accounts receivable, inventories, equipment, financial and intangible assets.

INCOME TAXES

INCOME TAXES	6 Months Ended
	Sep. 30, 2017
INCOME TAXES
INCOME TAXES	NOTE 10 - INCOME TAXES We account for income taxes under the provisions of FASB ASC 740, Income Taxes 533,151 20,958 40.2 2.1 The valuation allowance on deferred tax assets at September 30, 2017 and March 31, 2017 was approximately $ 1.5 We regularly assess the effects of various factors to determine the adequacy of our provision for income taxes. For example, our future effective tax rate would be affected if earnings were lower than anticipated in tax jurisdictions where we have lower statutory rates and higher than anticipated in tax jurisdictions where we have higher statutory rates, by changes in the valuation of our deferred tax assets and liabilities, or by changes in tax laws, regulations, accounting principles or interpretations thereof.

PROFIT SHARING PLAN

PROFIT SHARING PLAN	6 Months Ended
	Sep. 30, 2017
PROFIT SHARING PLAN
PROFIT SHARING PLAN	NOTE 11 - PROFIT SHARING PLAN Ranor has a 401(k) profit sharing plan that covers substantially all Ranor employees who have completed 90 40,850 39,653

STOCK BASED COMPENSATION

STOCK BASED COMPENSATION	6 Months Ended
	Sep. 30, 2017
STOCK BASED COMPENSATION
STOCK BASED COMPENSATION	NOTE 12 - STOCK BASED COMPENSATION Our board of directors, upon the recommendation of the previously constituted 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, and it applies to awards granted after that date. The 2016 Plan provides for a share reserve of 5,000,000 On April 4, 2017, we granted stock options to members of our board of directors to collectively purchase 200,000 0.74 0.60 84,138 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. As such, the assumed period for each vesting tranche is computed separately and then averaged together to determine the expected term for the award. The assumptions utilized for options granted during the period were 110.1 1.88 1,803,332 Number Of Weighted Aggregate Weighted Options Exercise Price Value (in years) Outstanding at 3/31/2017 3,002,668 $ 0.387 $ 1,246,600 5.72 Granted 200,000 $ 0.740 -- -- Forfeited (6,000) $ 1.960 -- -- Outstanding at 9/30/2017 3,196,668 $ 0.406 $ 1,084,600 6.22 Vested or expected to vest at 9/30/2017 3,196,668 $ 0.406 $ 1,084,600 6.22 Exercisable and vested at 9/30/2017 2,576,668 $ 0.394 $ 934,600 6.22 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 second quarter of fiscal 2018 and the exercise price, multiplied by the number of in-the-money options) that would have been received by the option holders had all option holders exercised their options on September 30, 2017. This amount changes based on the fair market value of the Company’s common stock. The following table summarizes the status of our stock options outstanding but not vested for the six month period ended September 30, 2017: Number of Weighted Outstanding at 3/31/2017 833,334 $ 0.266 Granted 200,000 $ 0.740 Vested (413,334) $ 0.208 Outstanding at 9/30/2017 620,000 $ 0.458 74,747 Range of Exercise Prices: Options Weighted Weighted Options Weighted $0.01-$1.00 3,021,668 6.92 $ 0.34 2,401,668 $ 0.31 $1.01-$1.96 175,000 2.84 $ 1.59 175,000 $ 1.59 Totals 3,196,668 2,576,668

CONCENTRATION OF CREDIT RISK AN

CONCENTRATION OF CREDIT RISK AND MAJOR CUSTOMERS	6 Months Ended
	Sep. 30, 2017
CONCENTRATION OF CREDIT RISK AND MAJOR CUSTOMERS
CONCENTRATION OF CREDIT RISK AND MAJOR CUSTOMERS	NOTE 13 - CONCENTRATION OF CREDIT RISK AND MAJOR CUSTOMERS We maintain bank account balances, which, at times, may exceed insured limits. We have not experienced any losses with these accounts and believe that we are not exposed to any significant credit risk on cash. At September 30, 2017, there were accounts receivable balances outstanding from two customers comprising 82 September 30, 2017 March 31, 2017 Customer Dollars Percent Dollars Percent A $ 1,478,882 68 % $ * * % B $ 308,638 14 % $ 961,463 51 % C $ * * % $ 406,428 22 % D $ * * % $ 187,410 10 % *less than 10% of total We have been dependent in 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 information as to net sales from customers who accounted for more than 10% of our net sales in the periods presented: Three months ended Three months ended Six months ended Six months ended Customer Dollars Percent Dollars Percent Dollars Percent Dollars Percent A $ 2,061,276 45 % $ 383,253 10 % $ 4,950,432 48 % $ * * % B $ 746,877 16 % $ * * % $ 2,330,088 22 % $ 1,457,222 18 % C $ * * % $ * * % $ 1,079,832 10 % $ * * % D $ * * % $ 1,998,724 55 % * * % $ 3,285,065 40 % E $ * * % $ * * % * * % $ 1,741,084 21 % *less than 10% of total

COMMITMENTS

COMMITMENTS	6 Months Ended
	Sep. 30, 2017
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 September 30, 2017 for future executive salaries during the next twelve months was approximately $ 0.5 0.3

EARNINGS PER SHARE (EPS)

EARNINGS PER SHARE (EPS)	6 Months Ended
	Sep. 30, 2017
EARNINGS PER SHARE (EPS)
EARNINGS PER SHARE (EPS)	NOTE 15 - EARNINGS PER SHARE (EPS) Basic EPS is computed by dividing reported earnings available to stockholders by the weighted average shares outstanding. Diluted EPS also includes the effect of stock options that would be dilutive. The following table provides a reconciliation of the numerators and denominators reflected in the basic and diluted earnings per share computations, as required under FASB ASC 260: Three months ended Three months ended Six months ended Six months ended Basic EPS Net Income $ 368,186 $ 546,082 $ 792,688 $ 991,385 Weighted average shares 28,824,593 27,324,593 28,824,593 27,324,593 Basic Income per share $ 0.01 $ 0.02 $ 0.03 $ 0.04 Diluted EPS Net Income $ 368,186 $ 546,082 $ 792,688 $ 991,385 Dilutive effect of stock options 905,863 696,202 926,626 611,505 Diluted weighted average shares 29,730,456 28,020,795 29,751,219 27,936,098 Diluted Income per share $ 0.01 $ 0.02 $ 0.03 $ 0.04 All potential common share equivalents that have an anti-dilutive effect (i.e. those that increase income per share or decrease loss per share) are excluded from the calculation of diluted EPS. For the three and six months ended September 30, 2017, there were 596,668 496,668 428,500

RECLASSIFICATION OF PRIOR YEAR

RECLASSIFICATION OF PRIOR YEAR PRESENTATION	6 Months Ended
	Sep. 30, 2017
DESCRIPTION OF BUSINESS
RECLASSIFICATION OF PRIOR YEAR PRESENTATION	NOTE 16 – RECLASSIFICATION OF PRIOR YEAR PRESENTATION Certain prior year amounts have been reclassified for consistency with the current year presentation. A reclassification has been made to the condensed consolidated balance sheets for fiscal year ended March 31, 2017, to offset deferred taxes within the same tax jurisdiction. This reclassification had no effect on the reported results of operations or the consolidated statements of cash flows.

PROPERTY, PLANT AND EQUIPMENT22

PROPERTY, PLANT AND EQUIPMENT, NET (Tables)	6 Months Ended
	Sep. 30, 2017
Property, Plant and Equipment [Abstract]
Schedule of components of property, plant and equipment, net	Property, plant and equipment, net consisted of the following as of: September 30, 2017 March 31, 2017 Land $ 110,113 $ 110,113 Building and improvements 3,252,908 3,252,908 Machinery equipment, furniture and fixtures 9,896,917 8,601,199 Construction in progress -- 487,331 Equipment under capital leases 54,376 54,376 Total property, plant and equipment 13,314,314 12,505,927 Less: accumulated depreciation (7,945,147) (7,593,725) Total property, plant and equipment, net $ 5,369,167 $ 4,912,202

COSTS INCURRED ON UNCOMPLETED23

COSTS INCURRED ON UNCOMPLETED CONTRACTS (Tables)	6 Months Ended
	Sep. 30, 2017
COSTS INCURRED ON UNCOMPLETED CONTRACTS
Schedule of costs incurred on uncompleted contracts	The following table sets forth information as to costs incurred on uncompleted contracts as of: September 30, 2017 March 31, 2017 Cost incurred on uncompleted contracts, beginning balance $ 5,538,815 $ 5,491,605 Total cost incurred on contracts during the year 6,351,959 12,501,752 Less: cost of sales, during the year (7,245,692) (12,454,542) Cost incurred on uncompleted contracts, ending balance $ 4,645,082 $ 5,538,815 Billings on uncompleted contracts, beginning balance $ 3,441,594 $ 3,095,963 Total billings incurred on contracts, during the year 8,409,439 18,896,305 Less: Contracts recognized as revenue, during the year (10,419,280) (18,550,674) Billings on uncompleted contracts, ending balance $ 1,431,753 $ 3,441,594 Cost incurred on uncompleted contracts, ending balance $ 4,645,082 $ 5,538,815 Billings on uncompleted contracts, ending balance 1,431,753 3,441,594 Costs incurred on uncompleted contracts, in excess of progress billings $ 3,213,329 $ 2,097,221

OTHER CURRENT ASSETS (Tables)

OTHER CURRENT ASSETS (Tables)	6 Months Ended
	Sep. 30, 2017
OTHER CURRENT ASSETS
Schedule of other current assets	Other current assets included the following as of: September 30, 2017 March 31, 2017 Payments advanced to suppliers $ 190,163 $ 107,591 Prepaid insurance 226,174 229,132 Other 130,296 85,373 Total $ 546,633 $ 422,096

OTHER NONCURRENT ASSETS (Tables

OTHER NONCURRENT ASSETS (Tables)	6 Months Ended
	Sep. 30, 2017
OTHER NONCURRENT ASSETS
Schedule of other noncurrent assets	Other noncurrent assets included the following as of: September 30, 2017 March 31, 2017 Assets held for sale $ 20,000 $ 100,000 Deposit for fixed assets 36,987 -- Prepaid loan costs 11,638 -- Total $ 68,625 $ 100,000

ACCRUED EXPENSES (Tables)

ACCRUED EXPENSES (Tables)	6 Months Ended
	Sep. 30, 2017
ACCRUED EXPENSES
Schedule of accrued expenses	Accrued expenses included the following as of: September 30, 2017 March 31, 2017 Accrued compensation $ 551,128 $ 568,766 Provision for contract losses 177,838 148,699 Accrued professional fees 141,139 142,648 Accrued project costs 97,525 -- Other 41,087 33,302 Total $ 1,008,717 $ 893,415

DEBT (Tables)

DEBT (Tables)	6 Months Ended
	Sep. 30, 2017
DEBT
Schedule of outstanding debt obligations	Long-term debt included the following as of: September 30, 2017 March 31, 2017 Commerce Term Loan due January 2022 $ 2,788,161 $ 2,828,844 People’s Equipment Loan Facility due April 2021 2,584,086 2,884,982 Obligations under capital leases 56,423 67,353 Total debt $ 5,428,670 $ 5,781,179 Less: debt issue costs unamortized $ 140,300 $ 188,977 Total debt, net $ 5,288,370 $ 5,592,202 Less: Current portion of long-term debt $ 742,292 $ 717,481 Total long-term debt, net $ 4,546,078 $ 4,874,721

STOCK BASED COMPENSATION (Table

STOCK BASED COMPENSATION (Tables)	6 Months Ended
	Sep. 30, 2017
STOCK BASED COMPENSATION
Summary of information about options for the periods presented	The following table summarizes information about options for the six months ended September 30, 2017: Number Of Weighted Aggregate Weighted Options Exercise Price Value (in years) Outstanding at 3/31/2017 3,002,668 $ 0.387 $ 1,246,600 5.72 Granted 200,000 $ 0.740 -- -- Forfeited (6,000) $ 1.960 -- -- Outstanding at 9/30/2017 3,196,668 $ 0.406 $ 1,084,600 6.22 Vested or expected to vest at 9/30/2017 3,196,668 $ 0.406 $ 1,084,600 6.22 Exercisable and vested at 9/30/2017 2,576,668 $ 0.394 $ 934,600 6.22
Summary of activity of stock options outstanding but not vested	The following table summarizes the status of our stock options outstanding but not vested for the six month period ended September 30, 2017: Number of Weighted Outstanding at 3/31/2017 833,334 $ 0.266 Granted 200,000 $ 0.740 Vested (413,334) $ 0.208 Outstanding at 9/30/2017 620,000 $ 0.458
Stock Based Compensation By Exercise Price Range	74,747 Range of Exercise Prices: Options Weighted Weighted Options Weighted $0.01-$1.00 3,021,668 6.92 $ 0.34 2,401,668 $ 0.31 $1.01-$1.96 175,000 2.84 $ 1.59 175,000 $ 1.59 Totals 3,196,668 2,576,668

CONCENTRATION OF CREDIT RISK 29

CONCENTRATION OF CREDIT RISK AND MAJOR CUSTOMERS (Tables)	6 Months Ended
	Sep. 30, 2017
Accounts Receivable
Concentration of credit risk and major customers
Schedule of concentration of risk by factors	September 30, 2017 March 31, 2017 Customer Dollars Percent Dollars Percent A $ 1,478,882 68 % $ * * % B $ 308,638 14 % $ 961,463 51 % C $ * * % $ 406,428 22 % D $ * * % $ 187,410 10 % *less than 10% of total
Net sales
Concentration of credit risk and major customers
Schedule of concentration of risk by factors	Three months ended Three months ended Six months ended Six months ended Customer Dollars Percent Dollars Percent Dollars Percent Dollars Percent A $ 2,061,276 45 % $ 383,253 10 % $ 4,950,432 48 % $ * * % B $ 746,877 16 % $ * * % $ 2,330,088 22 % $ 1,457,222 18 % C $ * * % $ * * % $ 1,079,832 10 % $ * * % D $ * * % $ 1,998,724 55 % * * % $ 3,285,065 40 % E $ * * % $ * * % * * % $ 1,741,084 21 % *less than 10% of total

EARNINGS PER SHARE (EPS) (Table

EARNINGS PER SHARE (EPS) (Tables)	6 Months Ended
	Sep. 30, 2017
EARNINGS PER SHARE (EPS)
Schedule of reconciliation of the numerators and denominators reflected in the basic and diluted earnings per share computations	Three months ended Three months ended Six months ended Six months ended Basic EPS Net Income $ 368,186 $ 546,082 $ 792,688 $ 991,385 Weighted average shares 28,824,593 27,324,593 28,824,593 27,324,593 Basic Income per share $ 0.01 $ 0.02 $ 0.03 $ 0.04 Diluted EPS Net Income $ 368,186 $ 546,082 $ 792,688 $ 991,385 Dilutive effect of stock options 905,863 696,202 926,626 611,505 Diluted weighted average shares 29,730,456 28,020,795 29,751,219 27,936,098 Diluted Income per share $ 0.01 $ 0.02 $ 0.03 $ 0.04

NEW ACCOUNTING STANDARDS (Detai

NEW ACCOUNTING STANDARDS (Details)	6 Months Ended
	Sep. 30, 2017
Customer Concentration Risk [Member] | Sales Revenue, Net [Member]
Concentration Risk, Percentage	80.00%

PROPERTY, PLANT AND EQUIPMENT32

PROPERTY, PLANT AND EQUIPMENT, NET (Details) - USD ($)	3 Months Ended		6 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016	Mar. 31, 2017
Property, Plant and Equipment, Net
Total property, plant and equipment	$ 13,314,314		$ 13,314,314		$ 12,505,927
Less: accumulated depreciation	(7,945,147)		(7,945,147)		(7,593,725)
Total property, plant and equipment, net	5,369,167		5,369,167		4,912,202
Depreciation expense	179,808	$ 177,438	351,422	$ 353,488
Interest Costs Capitalized	8,590		13,257
Land
Property, Plant and Equipment, Net
Total property, plant and equipment	110,113		110,113		110,113
Building and improvements
Property, Plant and Equipment, Net
Total property, plant and equipment	3,252,908		3,252,908		3,252,908
Machinery equipment, furniture and fixtures
Property, Plant and Equipment, Net
Total property, plant and equipment	9,896,917		9,896,917		8,601,199
Construction in progress
Property, Plant and Equipment, Net
Total property, plant and equipment	0		0		487,331
Equipment under capital leases
Property, Plant and Equipment, Net
Total property, plant and equipment	54,376		54,376		54,376
Less: accumulated depreciation	$ (8,156)		$ (8,156)		$ (2,719)

COSTS INCURRED ON UNCOMPLETED33

COSTS INCURRED ON UNCOMPLETED CONTRACTS (Details) - USD ($)	3 Months Ended		6 Months Ended		12 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016	Mar. 31, 2017	Sep. 30, 2017	Mar. 31, 2017
Cost incurred on uncompleted contracts
Cost incurred on uncompleted contracts, beginning balance			$ 5,538,815	$ 5,491,605	$ 5,491,605
Total cost incurred on contracts during the year			6,351,959		12,501,752
Less: cost of sales, during the year	$ (3,155,893)	$ (2,182,547)	(7,245,692)	(5,291,959)	(12,454,542)
Cost incurred on uncompleted contracts, ending balance	4,645,082		4,645,082		5,538,815
Billings on uncompleted contracts
Billings on uncompleted contracts, beginning balance			3,441,594	3,095,963	3,095,963
Total billings incurred on contracts, during the year			8,409,439		18,896,305
Less: Contracts recognized as revenue, during the year	(4,588,894)	$ (3,656,163)	(10,419,280)	(8,300,968)	(18,550,674)
Billings on uncompleted contracts, ending balance	1,431,753		1,431,753		3,441,594
Cost incurred on uncompleted contracts
Cost incurred on uncompleted contracts, ending balance	4,645,082		5,538,815	5,491,605	5,538,815	$ 4,645,082	$ 5,538,815
Billings on uncompleted contracts, ending balance	$ 1,431,753		$ 3,441,594	$ 3,095,963	$ 3,441,594	1,431,753	3,441,594
Costs incurred on uncompleted contracts, in excess of progress billings						3,213,329	2,097,221
Billings in excess of costs						$ 827,573	$ 642,831

OTHER CURRENT ASSETS (Details)

OTHER CURRENT ASSETS (Details) - USD ($)	Sep. 30, 2017	Mar. 31, 2017
Payments advanced to suppliers	$ 190,163	$ 107,591
Prepaid insurance	226,174	229,132
Other	130,296	85,373
Total	$ 546,633	$ 422,096

OTHER NONCURRENT ASSETS (Detail

OTHER NONCURRENT ASSETS (Details) - USD ($)	Sep. 30, 2017	Mar. 31, 2017
Other Noncurrent Assets [Line Items]
Assets held for sale	$ 20,000	$ 100,000
Deposit for fixed assets	36,987	0
Prepaid loan costs	11,638	0
Total	68,625	100,000
Machinery and Equipment [Member]
Other Noncurrent Assets [Line Items]
Assets held for sale	$ 20,000	$ 100,000

ACCRUED EXPENSES (Details)

ACCRUED EXPENSES (Details) - USD ($)	Sep. 30, 2017	Mar. 31, 2017
Accrued Expenses
Accrued compensation	$ 551,128	$ 568,766
Provision for contract losses	177,838	148,699
Accrued professional fees	141,139	142,648
Accrued project costs	97,525	0
Other	41,087	33,302
Total	$ 1,008,717	$ 893,415

DEBT - Long-term Debt (Details)

DEBT - Long-term Debt (Details) - USD ($)	Sep. 30, 2017	Mar. 31, 2017
Long-term Debt
Total debt	$ 5,428,670	$ 5,781,179
Less: debt issue costs unamortized	140,300	188,977
Total debt, net	5,288,370	5,592,202
Less: Current portion of long-term debt	742,292	717,481
Total long-term debt, net	4,546,078	4,874,721
Commerce Term Loan due January 2022
Long-term Debt
Total debt	2,788,161	2,828,844
People's Equipment Loan Facility due April 2021
Long-term Debt
Total debt	2,584,086	2,884,982
Obligations under capital leases
Long-term Debt
Total debt	$ 56,423	$ 67,353

DEBT - Commerce Bank & Trust Co

DEBT - Commerce Bank & Trust Company Loan Facility (Details)	Dec. 21, 2016USD ($)	Sep. 30, 2017USD ($)	Mar. 31, 2017USD ($)
Debt Instrument [Line Items]
Debt Issuance Costs, Net		$ 140,300	$ 188,977
Commerce Loan Agreement
Debt Instrument [Line Items]
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
Debt Instrument Debt Service Coverage Ratio Threshold		1.2
Debt Instrument Covenant Leverage Ratio Year One		3
Debt Instrument Covenant Leverage Ratio Year Two		2.50
Debt Instrument Covenant Maximum Capital Expenditures To Be Incurred Year One		$ 2,500,000
Debt Instrument Covenant Maximum Capital Expenditures To Be Incurred Year Two		2,500,000
Debt Instrument Covenant Maximum Capital Expenditures To Be Incurred Year Three		$ 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
Debt Instrument Covenant Leverage Ratio			1
Debt Instrument, Debt Service Coverage Ratio		3.07	3.40
Commerce Loan Agreement | 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
Commerce Loan Agreement | Secured Term Loan
Debt Instrument [Line Items]
Debt Instrument, Term	60 months
Debt Instrument, Periodic Payment	$ 19,260
Debt Instrument Prepayment Period	45 days
Debt Instrument, Interest Rate, Stated Percentage	5.21%
Commerce Loan Agreement | Ranor, Inc. | Revolving Credit Facility
Debt Instrument [Line Items]
Line of Credit Facility, Maximum Borrowing Capacity	$ 1,000,000
Commerce Loan Agreement | Ranor, Inc. | Secured Term Loan
Debt Instrument [Line Items]
Debt Instrument, Face Amount	2,850,000
Peoples and Commerce Loan Agreements
Debt Instrument [Line Items]
Debt Issuance Costs, Net	$ 52,594

DEBT - People's Capital and Lea

DEBT - People's Capital and Leasing Corp. Equipment Loan Facility (Details)	1 Months Ended	12 Months Ended
	Apr. 26, 2016USD ($)	Mar. 31, 2017USD ($)	Sep. 30, 2017USD ($)
Debt Instrument [Line Items]
Debt Issuance Costs, Net		$ 188,977	$ 140,300
People's Capital and Leasing Corp
Debt Instrument [Line Items]
Debt Instrument, Debt Service Coverage Ratio		2.86
Debt Issuance Costs, Net			$ 87,706
MLSA | People's Capital and Leasing Corp
Debt Instrument [Line Items]
Debt Instrument Debt Service Coverage Ratio Threshold	1.5
MLSA | People's Capital and Leasing Corp | Secured Term Loan
Debt Instrument [Line Items]
Debt Instrument, Term	60 months
Debt Instrument, Interest Rate, Stated Percentage	7.90%
Debt Instrument, Periodic Payment	$ 60,921
MLSA | People's Capital and Leasing Corp | Secured Term Loan | Ranor, Inc.
Debt Instrument [Line Items]
Debt Instrument, Face Amount	$ 3,011,648

DEBT - Capital Lease (Details)

DEBT - Capital Lease (Details) - Long-term obligations under capital leases	1 Months Ended
	Jan. 31, 2017USD ($)
New Lease [Member]
Debt
Capital lease term	60 months
Capital lease interest rate (as a percent)	7.90%
Capital lease monthly payment	$ 1,169
Old Lease [Member]
Debt
Lease Payment Until Expire	720
Maturities of the long-term debt, including the capital lease
Repayments of Long-term Capital Lease Obligations	$ 1,187

INCOME TAXES (Details)

INCOME TAXES (Details) - USD ($)	3 Months Ended		6 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016	Mar. 31, 2017
Income Tax Expense (Benefit)	$ 245,516	$ 11,505	$ 533,151	$ 20,958
Effective Income Tax Rate Reconciliation, Percent			40.20%	2.10%
Deferred Tax Assets, Valuation Allowance	$ 1,500,000		$ 1,500,000		$ 1,500,000

PROFIT SHARING PLAN (Details)

PROFIT SHARING PLAN (Details) - Ranor, Inc. - USD ($)	6 Months Ended
	Sep. 30, 2017	Sep. 30, 2016
PROFIT SHARING PLAN
Eligibility for employer matching contributions, period of service	90 days
Matching contributions made by the company	$ 40,850	$ 39,653

STOCK BASED COMPENSATION - Summ

STOCK BASED COMPENSATION - Summary (Details) - USD ($)	1 Months Ended	6 Months Ended
	Apr. 04, 2017	Sep. 30, 2017	Sep. 30, 2016	Dec. 08, 2016
Share based compensation
Options granted (in shares)		200,000
Exercise price of shares granted (in dollars per share)		$ 0.74
Assumption used in valuation of stock options
Volatility rate (as a percent)		110.10%
Risk free interest rate (as a percent)		1.88%
Fair value of shares vested		$ 74,747
Share-based Compensation		$ 150,697	$ 22,910
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Weighted Average Grant Date Fair Value	$ 0.60
2016 Plan
Assumption used in valuation of stock options
Shares reserved				5,000,000
Shares available for grant		1,803,332
Members of board
Share based compensation
Options granted (in shares)	200,000
Exercise price of shares granted (in dollars per share)	$ 0.74
Board of directors
Assumption used in valuation of stock options
Share-based Compensation		$ 84,138

STOCK BASED COMPENSATION - Stoc

STOCK BASED COMPENSATION - Stock Option Activity (Details) - USD ($)	6 Months Ended	12 Months Ended
	Sep. 30, 2017	Mar. 31, 2017
Number Of Options
Outstanding at the beginning of the period (in shares)	3,002,668
Granted (in shares)	200,000
Forfeited (in shares)	(6,000)
Outstanding at the end of the period (in shares)	3,196,668	3,002,668
Vested or expected to vest at the end of the period (in shares)	3,196,668
Exercisable and vested at the end of the period (in shares)	2,576,668
Weighted Average Exercise Price
Outstanding at the beginning of the period (in dollars per share)	$ 0.387
Granted (in dollars per share)	0.74
Forfeited (in dollars per share)	1.960
Outstanding at the end of the period (in dollars per share)	0.406	$ 0.387
Vested or expected to vest at the end of the period (in dollars per share)	0.406
Exercisable and vested at the end of the period (in dollars per share)	$ 0.394
Aggregate Intrinsic Value
Outstanding at the beginning of the period	$ 1,246,600
Granted (in values)	0
Outstanding at the end of the period	1,084,600	$ 1,246,600
Vested or expected to vest at the end of the period	1,084,600
Exercisable and vested at the end of the period	$ 934,600
Weighted Average Remaining Contractual Life
Outstanding at the end of the period	6 years 2 months 19 days	5 years 8 months 19 days
Vested or expected to vest at the end of the period	6 years 2 months 19 days
Exercisable and vested at the end of the period	6 years 2 months 19 days

STOCK BASED COMPENSATION - St45

STOCK BASED COMPENSATION - Stock Options Outstanding (Details)	6 Months Ended
	Sep. 30, 2017$ / sharesshares
Stock options outstanding but not vested, Number of Options
Outstanding at the beginning of the period (in shares) | shares	833,334
Granted (in shares) | shares	200,000
Vested (in shares) | shares	(413,334)
Outstanding at the end of the period (in shares) | shares	620,000
Stock options outstanding but not vested, Weighted Average Exercise Price
Outstanding at the beginning of the period (in dollars per share) | $ / shares	$ 0.266
Granted (in dollars per share) | $ / shares	0.74
Vested (in dollars per share) | $ / shares	0.208
Outstanding at the end of the period (in dollars per share) | $ / shares	$ 0.458

STOCK BASED COMPENSATION - St46

STOCK BASED COMPENSATION - Stock Options Outstanding By Exercise Price (Details)	6 Months Ended
	Sep. 30, 2017$ / sharesshares
Stock Based Compensation By Exercise Price Range
Options Outstanding | shares	3,196,668
Options Exercisable | shares	2,576,668
Range One
Stock Based Compensation By Exercise Price Range
Exercise Price, Lower Range	$ 0.01
Exercise Price, Upper Range	$ 1
Options Outstanding | shares	3,021,668
Options Outstanding, Weighted Average Remaining Contractual Term	6 years 11 months 1 day
Options Outstanding, Weighted Average Exercise Price	$ 0.34
Options Exercisable | shares	2,401,668
Options Exercisable, Weighted Average Exercise Price	$ 0.31
Range Two
Stock Based Compensation By Exercise Price Range
Exercise Price, Lower Range	1.01
Exercise Price, Upper Range	$ 1.96
Options Outstanding | shares	175,000
Options Outstanding, Weighted Average Remaining Contractual Term	2 years 10 months 2 days
Options Outstanding, Weighted Average Exercise Price	$ 1.59
Options Exercisable | shares	175,000
Options Exercisable, Weighted Average Exercise Price	$ 1.59

CONCENTRATION OF CREDIT RISK 47

CONCENTRATION OF CREDIT RISK AND MAJOR CUSTOMERS (Details) - USD ($)	3 Months Ended				6 Months Ended				12 Months Ended
	Sep. 30, 2017		Sep. 30, 2016		Sep. 30, 2017		Sep. 30, 2016		Mar. 31, 2017
Concentration of credit risk and major customers
Accounts receivable	$ 2,175,822				$ 2,175,822				$ 1,870,672
Net sales	4,588,894		$ 3,656,163		$ 10,419,280		$ 8,300,968		18,550,674
Accounts Receivable | Customer Concentration Risk
Concentration of credit risk and major customers
Concentration risk percentage					82.00%
Accounts Receivable | Customer Concentration Risk | Customer A
Concentration of credit risk and major customers
Accounts receivable	1,478,882				$ 1,478,882					[1]
Concentration risk percentage					68.00%					[1]
Accounts Receivable | Customer Concentration Risk | Customer B
Concentration of credit risk and major customers
Accounts receivable	308,638				$ 308,638				$ 961,463
Concentration risk percentage					14.00%				51.00%
Accounts Receivable | Customer Concentration Risk | Customer C
Concentration of credit risk and major customers
Accounts receivable		[1]				[1]			$ 406,428
Concentration risk percentage						[1]			22.00%
Accounts Receivable | Customer Concentration Risk | Customer D
Concentration of credit risk and major customers
Accounts receivable		[1]				[1]			$ 187,410
Concentration risk percentage						[1]			10.00%
Net sales | Customer Concentration Risk | Customer A
Concentration of credit risk and major customers
Net sales	$ 2,061,276		$ 383,253		$ 4,950,432			[1]
Concentration risk percentage	45.00%		10.00%		48.00%			[1]
Net sales | Customer Concentration Risk | Customer B
Concentration of credit risk and major customers
Net sales	$ 746,877			[1]	$ 2,330,088		$ 1,457,222
Concentration risk percentage	16.00%			[1]	22.00%		18.00%
Net sales | Customer Concentration Risk | Customer C
Concentration of credit risk and major customers
Net sales		[1]		[1]	$ 1,079,832			[1]
Concentration risk percentage		[1]		[1]	10.00%			[1]
Net sales | Customer Concentration Risk | Customer D
Concentration of credit risk and major customers
Net sales		[1]	$ 1,998,724			[1]	$ 3,285,065
Concentration risk percentage		[1]	55.00%			[1]	40.00%
Net sales | Customer Concentration Risk | Customer E
Concentration of credit risk and major customers
Net sales		[1]		[1]		[1]	$ 1,741,084
Concentration risk percentage		[1]		[1]		[1]	21.00%
[1]	less than 10% of total

COMMITMENTS (Details)

COMMITMENTS (Details) - USD ($) $ in Millions	Mar. 31, 2018	Sep. 30, 2017
Employment agreements
Aggregate commitment for vacation and holiday pay for non-executive employees		$ 0.3
Scenario, Forecast [Member]
Employment agreements
Aggregate annual commitment for future executive salaries during the next fiscal year	$ 0.5

EARNINGS PER SHARE (EPS) (Detai

EARNINGS PER SHARE (EPS) (Details) - USD ($)	3 Months Ended		6 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Basic EPS
Net Income	$ 368,186	$ 546,082	$ 792,688	$ 991,385
Weighted average shares	28,824,593	27,324,593	28,824,593	27,324,593
Basic Income per share (in dollars per share)	$ 0.01	$ 0.02	$ 0.03	$ 0.04
Diluted EPS
Net Income	$ 368,186	$ 546,082	$ 792,688	$ 991,385
Dilutive effect of stock options	905,863	696,202	926,626	611,505
Diluted weighted average shares	29,730,456	28,020,795	29,751,219	27,936,098
Diluted Income per share (in dollars per share)	$ 0.01	$ 0.02	$ 0.03	$ 0.04
Antidilutive securities excluded from computation of earnings per share amount (in shares)	596,668	428,500	496,668	428,500