TechPrecision (TPCS) 10-Q 14 Feb 23 2023 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	Dec. 31, 2022	Feb. 09, 2023
Document and Entity Information
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Dec. 31, 2022
Document Transition Report	false
Entity File Number	000-51378
Entity Registrant Name	TechPrecision Corporation
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	51-0539828
Entity Address, Address Line One	1 Bella Drive
Entity Address, City or Town	Westminster
Entity Address, State or Province	MA
Entity Address, Postal Zip Code	01473
City Area Code	978
Local Phone Number	874-0591
Title of 12(b) Security	None
Trading Symbol	TPCS
Security Exchange Name	NONE
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 Common Stock, Shares Outstanding		34,443,959
Entity Central Index Key	0001328792
Amendment Flag	false
Document Fiscal Year Focus	2023
Document Fiscal Period Focus	Q3
Current Fiscal Year End Date	--03-31
Entity Shell Company	false

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($)	Dec. 31, 2022	Mar. 31, 2022
Current assets:
Cash and cash equivalents	$ 316,185	$ 1,052,139
Accounts receivable	2,927,407	3,009,249
Contract assets	9,356,242	8,350,231
Raw materials	1,271,558	874,538
Work-in-process	1,020,566	1,360,137
Other current assets	986,024	1,421,459
Total current assets	15,877,982	16,067,753
Property, plant and equipment, net	12,640,077	13,153,165
Right of use asset, net	6,043,056	6,383,615
Deferred income taxes	2,117,985	2,126,770
Other noncurrent assets, net	726,456	121,256
Total assets	37,405,556	37,852,559
Current liabilities:
Accounts payable	1,489,972	3,426,921
Accrued expenses	2,443,285	3,435,866
Contract liabilities	1,905,262	1,765,319
Current portion of long-term lease liability	727,803	593,808
Current portion of long-term debt	2,069,859	4,093,079
Total current liabilities	8,636,181	13,314,993
Long-term debt, net	4,863,602	3,114,936
Long-term lease liability	5,481,895	5,853,791
Other noncurrent liabilities	2,828,737	305,071
Total liabilities	21,810,415	22,588,791
Commitments and contingencies
Stockholders' Equity:
Common stock - par value $.0001 per share, 90,000,000 shares authorized, shares issued and outstanding : December 31, 2022 - 34,443,959; March 31, 2022 - 34,307,450	3,444	3,430
Additional paid in capital	14,945,376	14,637,771
Retained earnings	646,321	622,567
Total stockholders' equity	15,595,141	15,263,768
Total liabilities and stockholders' equity	$ 37,405,556	$ 37,852,559

CONDENSED CONSOLIDATED BALANC_2

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares	Dec. 31, 2022	Mar. 31, 2022
CONDENSED 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	34,443,959	34,307,450
Common stock, shares outstanding	34,443,959	34,307,450

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS) - USD ($)	3 Months Ended		9 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2022	Dec. 31, 2021
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS)
Net sales	$ 8,327,345	$ 6,511,325	$ 23,926,349	$ 14,720,964
Cost of sales	6,828,458	6,033,267	19,870,572	12,479,531
Gross profit	1,498,887	478,058	4,055,777	2,241,433
Selling, general and administrative	1,224,572	1,623,883	4,426,894	3,530,179
Income (loss) from operations	274,315	(1,145,825)	(371,117)	(1,288,746)
Other income	254	1,999	40,590	13,390
Interest expense	(93,603)	(94,721)	(260,978)	(181,494)
PPP loan forgiveness				1,317,100
Refundable employee retention tax credits			624,045
Total other (expense) income	(93,349)	(92,722)	403,657	1,148,996
Income (loss) before income taxes	180,966	(1,238,547)	32,540	(139,750)
Income tax expense (benefit)	46,991	(333,867)	8,786	(385,749)
Net income (loss)	133,975	(904,680)	23,754	245,999
Other comprehensive loss:
Foreign currency translation adjustments		(810)		(1,909)
Other comprehensive loss		(810)		(1,909)
Comprehensive income (loss)	$ 133,975	$ (905,490)	$ 23,754	$ 244,090
Net income (loss) per share basic	$ 0	$ (0.03)	$ 0	$ 0.01
Net income (loss) per share diluted	$ 0	$ (0.03)	$ 0	$ 0.01
Weighted average shares outstanding - basic	34,443,959	34,286,580	34,363,352	31,716,353
Weighted average shares outstanding - diluted	36,134,709	34,286,580	36,039,468	33,395,123

CONDENSED CONSOLIDATED STATEM_2

CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($)	Common Stock	Additional Paid in Capital	Accumulated Other Comprehensive Income	Retained Earnings	Total
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
Stock-based compensation		33,500			33,500
Net income (loss)				1,371,092	1,371,092
Foreign currency translation adjustment			42		42
Balance at Jun. 30, 2021	$ 2,949	8,978,160	21,880	2,343,493	11,346,482
Balance (in shares) at Jun. 30, 2021	29,498,662
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
Net income (loss)					300,000
Balance at Mar. 31, 2022	$ 3,430	14,637,771		622,567	15,263,768
Balance (in shares) at Mar. 31, 2022	34,307,450
Balance at Jun. 30, 2021	$ 2,949	8,978,160	21,880	2,343,493	11,346,482
Balance (in shares) at Jun. 30, 2021	29,498,662
Restricted stock award	$ 10	(10)
Restricted stock award (in shares)	100,000
Common stock issued for acquired business	$ 147	2,268,853			2,269,000
Common stock issued for acquired business (shares)	1,466,061
Proceeds from sale of common stock, net	$ 320	3,187,261			3,187,581
Proceeds from sale of common stock, net (in shares)	3,202,727
Issuance of warrants		46,256			46,256
Stock-based compensation		28,566			28,566
Net income (loss)				(220,413)	(220,413)
Foreign currency translation adjustment			(1,141)		(1,141)
Balance at Sep. 30, 2021	$ 3,426	14,509,086	20,739	2,123,080	16,656,331
Balance (in shares) at Sep. 30, 2021	34,267,450
Issuance of common stock	$ 2	34,998			35,000
Issuance of common stock (in shares)	20,000
Stock-based compensation		44,109			44,109
Net income (loss)				(904,680)	(904,680)
Foreign currency translation adjustment			(810)		(810)
Balance at Dec. 31, 2021	$ 3,428	14,588,193	$ 19,929	1,218,400	15,829,950
Balance (in shares) at Dec. 31, 2021	34,287,450
Balance at Mar. 31, 2022	$ 3,430	14,637,771		622,567	15,263,768
Balance (in shares) at Mar. 31, 2022	34,307,450
Stock-based compensation		52,107			52,107
Net income (loss)				(501,165)	(501,165)
Balance at Jun. 30, 2022	$ 3,430	14,689,878		121,402	14,814,710
Balance (in shares) at Jun. 30, 2022	34,307,450
Balance at Mar. 31, 2022	$ 3,430	14,637,771		622,567	15,263,768
Balance (in shares) at Mar. 31, 2022	34,307,450
Net income (loss)					100,000
Balance at Sep. 30, 2022	$ 3,444	14,936,713		512,346	15,452,503
Balance (in shares) at Sep. 30, 2022	34,443,959
Balance at Jun. 30, 2022	$ 3,430	14,689,878		121,402	14,814,710
Balance (in shares) at Jun. 30, 2022	34,307,450
Stock-based compensation		46,539			46,539
Stock issued for contingent consideration	$ 4	56,306			56,310
Stock issued for contingent consideration (in shares)	36,509
Stock award nonemployee directors	$ 10	143,990			144,000
Stock award nonemployee directors (in shares)	100,000
Net income (loss)				390,944	390,944
Balance at Sep. 30, 2022	$ 3,444	14,936,713		512,346	15,452,503
Balance (in shares) at Sep. 30, 2022	34,443,959
Stock-based compensation		8,663			8,663
Net income (loss)				133,975	133,975
Balance at Dec. 31, 2022	$ 3,444	$ 14,945,376		$ 646,321	$ 15,595,141
Balance (in shares) at Dec. 31, 2022	34,443,959

CONDENSED CONSOLIDATED STATEM_3

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)	9 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income	$ 23,754	$ 245,999
Adjustments to reconcile net income to net cash provided by (used in) operating activities:
Depreciation and amortization	1,666,741	978,517
Amortization of debt issue costs	39,961	34,588
Stock based compensation expense	307,619	141,176
Change in contract loss provision	100,880	(66,232)
Deferred income taxes	8,785	(386,413)
PPP loan forgiveness		(1,317,100)
Change in fair value for contingent consideration	63,436
Gain on sale of fixed asset	(468)
Changes in operating assets and liabilities:
Accounts receivable	81,842	(575,181)
Contract assets	(1,006,010)	(871,339)
Work-in-process and raw materials	(57,450)	477,936
Other current assets	435,435	215,334
Other noncurrent assets		(50,633)
Accounts payable	(166,749)	(611,045)
Accrued expenses	(1,741,606)	(1,282,269)
Contract liabilities	139,944	1,418,010
Other noncurrent liabilities	974,737
Net cash provided by (used in) operating activities	870,851	(1,648,652)
CASH FLOWS FROM INVESTING ACTIVITIES:
Business acquisition, net of cash acquired		(7,795,810)
Proceeds from sale of fixed assets	7,000
Fixed asset deposit	(605,200)
Purchases of property, plant, and equipment	(663,033)	(436,531)
Net cash used in investing activities	(1,261,233)	(8,232,341)
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from term loan		4,000,000
Closing costs related to common stock sale		(335,419)
Proceeds from sale of common stock		3,523,000
Debt issue costs	(43,945)	(116,511)
Revolver loan payments and borrowings, net	187,998	1,978,221
Payments of principal for leases	(31,058)	(493,015)
Repayments of long-term debt	(458,567)	(243,510)
Net cash (used in) provided by financing activities	(345,572)	8,312,766
Effect of exchange rate on cash and cash equivalents		(25)
Net decrease in cash and cash equivalents	(735,954)	(1,568,252)
Cash and cash equivalents, beginning of period	1,052,139	2,130,711
Cash and cash equivalents, end of period	316,185	562,459
SUPPLEMENTAL DISCLOSURES OF CASH FLOWS INFORMATION:
Cash paid for interest; net of amounts capitalized	$ 216,881	$ 152,498

CONDENSED CONSOLIDATED STATEM_4

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Parenthetical)	Aug. 25, 2021 USD ($) shares
Stadco
Fair value of the consideration transferred | $	$ 2,269,000
Noncash right of use asset and liability | $	$ 6,700,000
Common Stock | Stadco
Number of shares of common stock and warrants issued for acquired business | shares	1,466,061
Warrants issued to purchase common stock | shares	100,000

DESCRIPTION OF BUSINESS

DESCRIPTION OF BUSINESS	9 Months Ended
	Dec. 31, 2022
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. On February 24, 2006, we acquired all the issued and outstanding capital stock of our wholly owned subsidiary Ranor, Inc., or “Ranor.” Ranor, together with its predecessors, has been in continuous operation since 1956. The name was changed to TechPrecision Corporation on March 6, 2006. TechPrecision is the parent company of Ranor, Westminster Credit Holdings, LLC, or “WCH”, Stadco New Acquisition, LLC, or “Acquisition Sub”, Stadco and Wuxi Critical Mechanical Components Co., Ltd., or “WCMC”, a wholly foreign owned enterprise. WCMC was dissolved and deregistered in November 2021 and has had no customers or operations for over five years. TechPrecision, Ranor, WCH, WCMC (until November 2021), Acquisition Sub and Stadco are collectively referred to as the “Company”, “we”, “us” or “our”. On August 25, 2021, the Company completed its previously announced acquisition of Stadco, pursuant to that certain stock purchase agreement with Acquisition Sub, Stadco Acquisition, LLC, Stadco and each equity holder of Stadco Acquisition, LLC. On the closing date, the Company, through Acquisition Sub, acquired all the issued and outstanding capital stock of Stadco from Stadco Acquisition, LLC in exchange for the issuance of shares of the Company’s common stock to Stadco Acquisition, LLC. As a result of the acquisition, Stadco is now our wholly owned indirect subsidiary. See Note 3 for additional disclosures related to this business combination. 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. All our operations and customers are in the United States, or “U.S.”.

BASIS OF PRESENTATION AND SIGNI

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES	9 Months Ended
	Dec. 31, 2022
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 - adjustments are of a normal, recurring nature, except as otherwise disclosed. The results of operations for an interim period are not necessarily indicative of the results of operations to be expected for the fiscal year. These notes to the condensed consolidated financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission, or the “SEC”, for Quarterly Reports on Form 10-Q. Certain information and disclosures normally included in financial statements prepared in accordance with U.S. GAAP have been condensed or omitted pursuant to such rules and regulations. These unaudited financial statements and related notes should be read in conjunction with the consolidated financial statements included with our Annual Report on Form 10-K for the fiscal year ended March 31, 2022, filed with the SEC on August 10, 2022. Use of Estimates in the Preparation of Financial Statements - Risks and Uncertainties - We reported a net loss of $0.1 million for the six months ended September 30, 2022. We reported a net loss of $0.3 million for the fiscal year ended March 31, 2022. Our liquidity is highly dependent on the availability of financing facilities and our ability to maintain our gross profit and operating income. Berkshire Bank waived the Company’s noncompliance with certain of the financial and related covenants at September 30, 2022. In our Form 10-Q for the quarter ended September 30, 2022, we disclosed our intention to secure new long-term financing on terms consistent with our near-term business plans for us to continue operations beyond the next twelve months and be able to discharge our liabilities and commitments in the normal course of business. On December 23, 2022, we were successful extending the maturity date of the Ranor Term Loan to December 2027 and renewing the Revolver Loan for one year (each as defined below; see Note 12 – Debt). Additionally, we were able to meet certain financial and related loan covenants that the Company had failed in the prior quarter. As such, the uncertainty with respect to the Company’s ability to continue as a going concern has been alleviated.

BUSINESS COMBINATION

BUSINESS COMBINATION	9 Months Ended
	Dec. 31, 2022
BUSINESS COMBINATION
BUSINESS COMBINATION	NOTE 3 – BUSINESS COMBINATION Stadco Acquisition On August 25, 2021, the closing date, the Company completed its previously announced acquisition of Stadco, pursuant to that certain stock purchase agreement, dated as of October 16, 2020, or the “SPA”, among TechPrecision, Acquisition Sub, Stadco Acquisition, LLC, or “Holdco”, and each stockholder of Holdco. Stadco is a company in the business of manufacturing high-precision parts, assemblies and tooling for aerospace, defense, and industrial customers. Also on the closing date, the Company completed its previously announced acquisition of certain indebtedness obligations of Stadco, pursuant to that certain Amended and Restated Loan Purchase and Sale Agreement, dated as of April 23, 2021, with Sunflower Bank, N.A., as amended by Amendment to Amended and Restated Loan Purchase and Sale Agreement, dated as of June 28, 2021, together, the “Loan Purchase Agreement”. On August 25, 2021, WCH, as assignee of Acquisition Sub, paid $7.9 million in the aggregate to Sunflower Bank, N.A., under the terms of the Loan Purchase Agreement, to purchase the indebtedness. Pursuant to the SPA, and upon the terms and subject to the conditions therein, the Company acquired all of the issued and outstanding capital stock of Stadco in exchange for the issuance of 666,666 shares of the Company’s common stock to Holdco. In connection with the acquisition of Stadco, the Company reached an agreement with the holders of certain other non-bank indebtedness of Stadco, under which each such lender agreed to forgive such indebtedness in exchange for an aggregate of 199,395 shares of the Company’s common stock. In addition, the Company reached an agreement with a certain other security holder who agreed to sell its Stadco securities to the Company in exchange for the issuance by the Company of 600,000 shares of the Company’s common stock and a warrant to purchase 100,000 shares of the Company’s common stock. Scholes option-pricing model based on the closing stock prices at the grant date and the weighted average assumptions specific to the grant. Expected volatility of 46.7% was based on the historical volatility of our common stock. The risk-free interest rate of 0.4% was selected based upon yields of three-year U.S. Treasury bond. On August 25, 2021, the Company entered into a Securities Purchase Agreement with a limited number of institutional and other accredited investors, pursuant to which investors committed to subscribe for and purchase 3,202,727 shares of the Company’s common stock at a purchase price of $1.10 per share. Costs directly attributable to this offering of securities totaled $0.3 million. Stadco’s assets and liabilities were measured at estimated fair values on August 25, 2021, primarily using Level 1 and Level 3 inputs. Estimates of fair value represent management’s best estimate and require a complex series of judgments about future events and uncertainties. Third-party valuation specialists were engaged to assist in the valuation of these assets and liabilities. Included in the total consideration transferred is $113,890 related to a contingent provision in the agreements that required payment based on the difference between the TechPrecision stock price and contract target stock price. The contingent provision allowed the issuer, TechPrecision, to settle the contingency with stock or cash, or a combination of each. If after one year following the closing of the acquisition, the fair value of the consideration stock was less than the target stock price stated in each agreement, TechPrecision was to issue to the holder additional shares of consideration stock or cash, or some combination of stock and cash. The target stock price stated in the agreements was guaranteed and only the number of shares issued could vary, with the final measurement date and amount determined on the one-year anniversary date. Since the contract did not specify a fixed maximum number of shares to be issued on the anniversary date, had the company determined to satisfy the contingent consideration with shares only, then a number of shares higher than the amount currently authorized by the company’s certificate of incorporation could have been required to be issued. In any case, the maximum value of the contingent consideration was $2,269,000, whether paid in shares of common stock or in cash, or both. The Company settled the obligation associated with the contingent consideration on August 25, 2022 by issuing 36,509 shares of common stock valued at $56,310 on August 25, 2022. The fair value of the contingent consideration was based on the closing stock price on the issuance date. Measurement Period Adjustments The Company has completed the process of measuring the fair value of assets acquired and liabilities assumed. In the third and fourth quarters of fiscal 2022, the Company made certain measurement period adjustments to reflect the facts and circumstances in existence at the acquisition date. These measurement period adjustments are related to changes in preliminary assumptions and initial estimates that would have been recognized if all the facts and circumstances had been known at the time of acquisition. The table below presents the fair value of assets acquired and liabilities assumed on the acquisition date based on the best information it has received to date in accordance with Accounting Standards Codification (“ASC”) 805. ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Adjusted ​ ​ Reported at ​ ERTC ​ Customer ​ Fixed ​ Totals ​ ​ August 25, ​ refundable ​ claim 2 and ​ Asset ​ August 25, ​ 2021 credit 1 Warrant 3 Valuation 4 2021 Total consideration transferred ​ $ 10,163,164 ​ ​ ​ ​ $ 46,256 ​ ​ ​ ​ $ 10,209,420 Recognized amounts of identifiable assets acquired and liabilities assumed: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Accounts receivable ​ ​ 1,247,015 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 1,247,015 Inventory ​ 927,188 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 927,188 Other current assets ​ ​ 4,323,593 ​ ​ 1,093,661 ​ ​ ​ ​ ​ ​ ​ ​ 5,417,254 Property, plant, and equipment and right of use assets ​ 15,074,273 ​ ​ ​ ​ ​ ​ ​ ​ 897,488 ​ ​ 15,971,761 Accounts payable, accrued expenses, and other current liabilities ​ (5,882,048) ​ ​ (164,049) ​ ​ (606,415) ​ ​ ​ ​ ​ (6,652,512) Lease obligations ​ (6,701,286) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (6,701,286) Net assets ​ ​ 8,988,735 ​ ​ 929,612 ​ ​ (606,415) ​ ​ 897,488 ​ ​ 10,209,420 Goodwill ​ 1,174,429 ​ ​ (929,612) ​ ​ 652,671 ​ ​ (897,488) ​ ​ — Total ​ $ 10,163,164 ​ $ — ​ $ 46,256 ​ $ — ​ $ 10,209,420 All measurement period adjustments were offset against goodwill: 1 In calendar year 2021 our Stadco subsidiary filed for a refund of tax credits for $1,093,661 from the IRS under the Employee Retention Credit, or ERTC program. Fees associated with the filing totaled $164,049 . 2 Customer claim of $471,166 accrued for additional costs incurred in connection with a certain product manufacturing project. Other adjustments to current liabilities totaled $135,249 . 3 Warrant issued to former shareholder in connection with the acquisition valued at $46,256 . 4 Fixed asset adjustments related to changes in preliminary valuation assumptions and estimates, including estimates of asset useful lives. Supplemental Pro Forma Information The pro forma results have been prepared for comparative purposes only and do not necessarily represent what the revenue or results of operations would have been had the acquisition been completed on April 1, 2021. In addition, these results are not intended to be a projection of future operating results and do not reflect synergies that might be achieved from the acquisition. The following table discloses the pro forma results for the combined entities, assuming the acquisition date had occurred on April 1, 2021, for the nine months ended December 31, 2021: ​ ​ ​ ​ ​ ​ ​ Pro forma combined ​ ​ Nine months ended ​ ​ December 31, ​ 2021 Net sales ​ $ 19,441,005 Operating loss ​ $ (2,793,821) Loss before income taxes ​ $ (1,880,903) Net loss ​ $ (1,496,049) EPS basic ​ $ (0.04) EPS dilutive ​ $ (0.04) Weighted average shares outstanding – basic and diluted ​ ​ 34,212,032 ​ The pro forma results include adjustments for the purchase accounting impact, including, but not limited to, depreciation and amortization associated with the acquired tangible assets, and an adjustment for interest expense related to the new long-term debt, the alignment of accounting policies, and the elimination of transactions between TechPrecision and Stadco. Other adjustments reflected in the pro forma results are as follows for the nine months ended December 31, 2021: ● In selling, general and administrative, excluded non-recurring expense of $ 0.3 million for consulting, legal, due diligence, bank fees, and other costs incurred in connection with the acquisition. ● We excluded $0.7 million of management fees due to then preferred stockholders of Stadco, ● We excluded interest expense of $0.5 million, reflecting a reduction of Stadco’s bank debt and interest rates. ● We included an estimated tax benefit of $0.4 million based on the Company’s fiscal year 2022 annual estimated tax rate.

REVENUE

REVENUE	9 Months Ended
	Dec. 31, 2022
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 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Net Sales by market Defense Industrial Totals Three months ended December 31, 2022 ​ $ 8,316,711 ​ $ 10,634 ​ $ 8,327,345 Three months ended December 31, 2021 ​ $ 6,362,681 ​ $ 148,644 ​ $ 6,511,325 Nine months ended December 31, 2022 ​ $ 23,543,077 ​ $ 383,272 ​ $ 23,926,349 Nine months ended December 31, 2021 ​ $ 13,868,968 ​ $ 851,996 ​ $ 14,720,964 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Net Sales by contract type Over-time Point-in-time Totals Three months ended December 31, 2022 ​ $ 7,813,273 ​ $ 514,072 ​ $ 8,327,345 Three months ended December 31, 2021 ​ $ 6,378,952 ​ $ 132,733 ​ $ 6,511,325 Nine months ended December 31, 2022 ​ $ 22,672,048 ​ $ 1,254,301 ​ $ 23,926,349 Nine months ended December 31, 2021 ​ $ 13,259,229 ​ $ 1,461,735 $ 14,720,964 ​ As of December 31, 2022, the Company had $43.9 million of remaining performance obligations, of which $39.7 million were less than 50% complete. The Company expects to recognize all 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. ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three months ended ​ Three months ended ​ Nine months ended ​ Nine months ended ​ December 31, 2022 December 31, 2021 ​ December 31, 2022 December 31, 2021 Customer Amount Percent Amount Percent Amount Percent Amount Percent A ​ $ 1,448,547 17 % $ 967,846 15 % $ 4,182,984 18 % $ 3,447,511 23 % B ​ $ * * % $ 793,910 12 % $ * ​ * % $ 2,454,171 17 % C ​ $ * * % $ 937,620 14 % $ * * % $ * * % D ​ $ * * % $ 926,965 14 % $ * * % $ * * % E ​ $ * ​ * % $ 913,501 ​ 14 % $ * ​ * % $ * ​ * % F ​ $ 1,451,713 ​ 17 % $ * ​ * % $ 4,495,028 ​ 19 % $ * ​ * % G ​ $ 1,385,871 ​ 16 % $ * ​ * % $ 4,764,391 ​ 20 % $ * ​ * % *Less than 10% of total In our condensed consolidated balance sheet, contract assets and contract liabilities are reported in a net position on a contract-by-contract basis at the end of each reporting period. For the nine months ended December 31, 2022, we recognized revenue of approximately $1.8 million related to our contract liabilities at April 1, 2022. Contract assets consisted of the following at: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Progress ​ ​ ​ Unbilled payments Total December 31, 2022 ​ $ 18,824,537 ​ $ (9,468,295) ​ $ 9,356,242 March 31, 2022 ​ $ 14,216,187 ​ $ (5,865,956) ​ $ 8,350,231 ​

INCOME TAXES

INCOME TAXES	9 Months Ended
	Dec. 31, 2022
INCOME TAXES
INCOME TAXES	NOTE 5 - INCOME TAXES The Company accounts for income taxes under ASC 740, Income Taxes The valuation allowance on deferred tax assets was approximately $2.0 million at December 31, 2022. We believe that it is more likely than not that the benefit from certain state net operating losses, or NOLs, carryforwards and other deferred tax assets will not be realized. In the event future taxable income is below management’s estimates or is generated in tax jurisdictions different than projected, the Company could be required to increase the valuation allowance for deferred tax assets. This would result in an increase in the Company’s effective tax rate.

EARNINGS PER SHARE

EARNINGS PER SHARE	9 Months Ended
	Dec. 31, 2022
EARNINGS PER SHARE
EARNINGS PER SHARE	NOTE 6 - EARNINGS PER SHARE Basic EPS is computed by dividing reported earnings available to stockholders by the weighted average shares outstanding. Diluted EPS also includes the effect of stock options that would be dilutive. The following table provides a reconciliation of the numerators and denominators reflected in the basic and diluted earnings per share computations for the periods ended: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months ended ​ Three Months ended ​ Nine Months ended ​ Nine Months ended ​ December 31, 2022 December 31, 2021 December 31, 2022 December 31, 2021 Basic EPS ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Net income (loss) ​ $ 133,975 ​ $ (904,680) ​ $ 23,754 ​ $ 245,999 Weighted average shares ​ 34,443,959 ​ 34,286,580 ​ 34,363,352 ​ 31,716,353 Net income (loss) per share ​ $ 0.00 ​ $ (0.03) ​ $ 0.00 ​ $ 0.01 Diluted EPS ​ ​ ​ ​ ​ ​ ​ ​ Net income (loss) ​ $ 133,975 ​ $ (904,680) ​ $ 23,754 ​ $ 245,999 Dilutive effect of stock options ​ 1,690,750 ​ — ​ 1,676,116 ​ 1,678,770 Weighted average shares ​ 36,134,709 ​ 34,286,580 ​ 36,039,468 ​ 33,395,123 Net income (loss) per share ​ $ 0.00 ​ $ (0.03) ​ $ 0.00 ​ $ 0.01 ​ All potential common stock equivalents that have an anti-dilutive effect (i.e., those that increase income per share or decrease loss per share) are excluded from the calculation of diluted EPS. For the three months ended December 31, 2021, there were potential anti-dilutive stock options and warrants of 2,820,000, none of which were included in the earnings per share calculations above.

STOCK-BASED COMPENSATION

STOCK-BASED COMPENSATION	9 Months Ended
	Dec. 31, 2022
STOCK-BASED COMPENSATION
STOCK-BASED COMPENSATION	NOTE 7 – STOCK-BASED COMPENSATION The 2016 TechPrecision Equity Incentive Plan, or the “2016 Plan”, is designed 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. At December 31, 2022, there were 1,250,000 shares available for grant under the 2016 Plan. The following table summarizes information about options granted during the most recently completed periods: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Weighted ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Average ​ ​ ​ ​ Weighted ​ Aggregate ​ Remaining ​ ​ Number Of ​ Average ​ Intrinsic ​ Contractual Life ​ Options Exercise Price Value (in years) Outstanding at 3/31/2021 ​ 2,719,000 ​ $ 0.372 ​ $ 2,476,300 ​ 5.62 Canceled (49,000) ​ ​ ​ ​ ​ ​ ​ Outstanding at 3/31/2022 ​ 2,670,000 ​ $ 0.343 ​ $ 3,597,700 ​ 4.66 Outstanding at 12/31/2022 2,670,000 ​ $ 0.343 ​ $ 4,612,330 ​ 3.93 Vested or expected to vest at 12/31/2022 2,670,000 ​ $ 0.343 ​ $ 4,612,330 ​ 3.93 Exercisable and vested at 12/31/2022 ​ 2,670,000 ​ $ 0.343 ​ $ 4,612,330 ​ 3.93 ​ 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 third quarter of fiscal 2023 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 December 31, 2022. This amount changes based on the fair market value of the Company’s common stock. The maximum contractual term is ten years for option grants. Other information relating to stock options outstanding at December 31, 2022 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 ​ 2.85 ​ $ 0.12 ​ 1,270,000 ​ $ 0.12 $0.50‑$0.99 1,400,000 4.40 ​ $ 0.55 1,400,000 ​ $ 0.55 Totals 2,670,000 ​ ​ ​ 2,670,000 ​ ​ ​ Board of Directors Common Stock Award ​ On September 15, 2022, the board of directors granted each non-employee director 25,000 shares of common stock for a total of 100,000 shares of common stock in the aggregate, of fully vested stock awards under the Plan in recognition of such directors’ service and in lieu of the annual grant to purchase Company common stock previously approved by the Board as annual director compensation. The fair value of the award was $144,000 based on the closing market price of the Company’s common stock on the grant date. ​ Restricted Stock Awards Our board periodically authorizes the issuance of restricted stock as service-based awards 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 one year from the grant date. Each grantee is required to have been 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 has terminated prior to the vesting date, subject to certain exceptions, the grantee’s restricted stock is forfeited automatically. On September 17, 2021, we granted a total of 100,000 shares of restricted stock under the 2016 Plan to the members of the board of directors. The stock-based compensation expense of $175,000 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. On January 24, 2022, the board of directors, in recognition of their special efforts in completing the previously disclosed acquisition of Stadco, granted (a) an aggregate total of 20,000 shares of restricted stock under the Company’s 2016 Equity Incentive Plan and (b) a cash award of $35,000, to each of Alexander Shen, the Company’s chief executive officer, and Thomas Sammons, the Company’s chief financial officer. The shares were measured at fair value at $34,000 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 January 24, 2023. Each grantee was required to have been serving as an executive officer on the vesting date and must have been continuously serving in such capacity from the grant date through the vesting date for the shares of restricted stock to vest. Prior to the vesting date, the grantee was not permitted to sell, transfer, pledge, assign or otherwise encumber the shares of restricted stock and if the grantee’s service with the Company had terminated prior to the vesting date, the grantee’s restricted stock would have been forfeited automatically, subject to certain exceptions. Total recognized compensation cost related to the restricted stock awards for the three and nine months ended December 31, 2022, was $8,663 and $107,309 , respectively. On December 31, 2022, there was $1,770 of unrecognized compensation cost related to the restricted stock awards.

CONCENTRATION OF CREDIT RISK

CONCENTRATION OF CREDIT RISK	9 Months Ended
	Dec. 31, 2022
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. On December 31, 2022, there were trade accounts receivable balances outstanding from four customers comprising 82% 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: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, 2022 ​ March 31, 2022 Customer Dollars Percent Dollars Percent A ​ $ * ​ * % $ 1,079,264 ​ 36 % B ​ $ * * % $ 436,051 14 % C ​ $ 745,459 26 % $ * * % D ​ $ * ​ * % $ 382,789 ​ 13 % E ​ $ 688,979 ​ 24 % $ * ​ * % F ​ $ * ​ * % $ 309,500 ​ 10 % G ​ $ 490,176 ​ 17 % $ * ​ * % H ​ $ 434,802 ​ 15 % $ * ​ * % *less than 10% of total

OTHER CURRENT ASSETS

OTHER CURRENT ASSETS	9 Months Ended
	Dec. 31, 2022
OTHER CURRENT ASSETS
OTHER CURRENT ASSETS	NOTE 9 - OTHER CURRENT ASSETS ​ ​ ​ ​ ​ ​ ​ ​ Other current assets included the following as of: December 31, 2022 March 31, 2022 Prepaid taxes ​ $ 34,814 ​ $ 26,497 Supplier advances ​ ​ 41,920 ​ ​ — ERTC refundable credits ​ 624,045 ​ 1,093,661 Prepaid insurance ​ 149,609 ​ 184,275 Prepaid subscriptions ​ 83,605 ​ 66,098 Deposits ​ ​ 21,706 ​ ​ 21,100 Employee advances ​ ​ — ​ ​ 9,668 Prepaid advisory fees, other ​ 30,325 ​ 20,160 Totals ​ $ 986,024 ​ $ 1,421,459 ​

PROPERTY, PLANT AND EQUIPMENT,

PROPERTY, PLANT AND EQUIPMENT, NET	9 Months Ended
	Dec. 31, 2022
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: December 31, 2022 March 31, 2022 Land ​ $ 110,113 ​ $ 110,113 Building and improvements ​ 3,293,985 ​ 3,289,901 Machinery equipment, furniture, and fixtures ​ 21,372,965 ​ 20,860,152 Construction in progress ​ 133,058 ​ — Total property, plant, and equipment ​ 24,910,121 ​ 24,260,166 Less: accumulated depreciation ​ (12,270,044) ​ (11,107,001) Total property, plant and equipment, net ​ $ 12,640,077 ​ $ 13,153,165 ​

ACCRUED EXPENSES

ACCRUED EXPENSES	9 Months Ended
	Dec. 31, 2022
ACCRUED EXPENSES
ACCRUED EXPENSES	NOTE 11 - ACCRUED EXPENSES ​ ​ ​ ​ ​ ​ ​ ​ Accrued expenses included the following as of: December 31, 2022 March 31, 2022 Accrued compensation ​ $ 858,972 ​ $ 947,938 Provision for claims ​ ​ 286,437 ​ ​ 935,382 Provision for contract losses ​ 239,392 ​ ​ 340,272 Accrued professional fees ​ 357,082 ​ 513,379 Accrued project costs ​ 444,583 ​ 487,869 Contingent consideration ​ ​ — ​ ​ 63,436 Other ​ 256,819 ​ 147,590 Total ​ $ 2,443,285 ​ $ 3,435,866 ​ 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	9 Months Ended
	Dec. 31, 2022
DEBT
DEBT	NOTE 12 – DEBT ​ ​ ​ ​ ​ ​ ​ ​ Long-term debt included the following as of: December 31, 2022 March 31, 2022 Stadco Term Loan, at 3.79% interest, due August 2028 ​ $ 3,318,621 ​ $ 3,705,792 Ranor Term Loan, at 6.05% interest, due December 2027 ​ ​ 2,291,729 ​ ​ 2,363,126 Ranor Revolver Loan due December 2023 ​ ​ 1,475,000 ​ ​ 1,287,002 Total debt ​ $ 7,085,350 ​ $ 7,355,920 Less: debt issue costs unamortized ​ $ 151,889 ​ $ 147,905 Total debt, net ​ $ 6,933,461 ​ $ 7,208,015 Less: Current portion of long-term debt ​ $ 2,069,859 ​ $ 4,093,079 Total long-term debt, net ​ $ 4,863,602 ​ $ 3,114,936 ​ Stadco Term Loan On August 25, 2021, Stadco borrowed $4,000,000 from Berkshire Bank, or the “Stadco Term Loan”. Interest on the Stadco Term Loan is due on unpaid balances at a fixed rate per annum equal to the seven-year Federal Home Loan Bank of Boston Classic Advance Rate plus 2.25%. Since September 25, 2021, and on the 25th day of each month thereafter, Stadco has made and will make monthly payments of principal and interest in the amount of $54,390 each, with all outstanding principal and accrued interest due and payable on August 25, 2028. Interest shall be calculated based on actual days elapsed and a 360-day year. The Company is required to pay a late charge in the amount of 5% of each payment due under the Stadco Term Loan (other than the balloon payment due at maturity) that is more than ten days in arrears. In addition, from and after the date on which the Stadco Term Loan becomes, or at Berkshire Bank’s option, could become due and payable (whether accelerated or not), at maturity, upon default or otherwise, interest shall accrue and shall be immediately due and payable at the default rate equal to 5% per annum greater than the interest rate otherwise in effect, but in no event higher than the maximum interest rate permitted by law. Unamortized debt issue costs at December 31, 2022 and March 31, 2022 were $48,513 and $71,617, respectively. Ranor Term Loan The “Ranor Term Loan” was originally made to Ranor by Berkshire Bank in 2016 in the amount of $2.85 million. Payments began on January 20, 2017 and were made in 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. On December 17, 2021, Ranor and certain affiliates of the Company entered into a First Amendment to the Amended and Restated Loan Agreement and First Amendment to Promissory Note to extend the maturity date of the Ranor Term Loan from December 20, 2021 to March 18, 2022. On March 18, 2022, Ranor and certain affiliates of the Company entered into a Second Amendment to Amended and Restated Loan Agreement and Second Amendment to Promissory Note to further extend the maturity date of the Ranor Term Loan to June 16, 2022. On June 16, 2022, Ranor and certain affiliates of the Company entered into a Third Amendment to the Amended and Restated Loan Agreement and Third Amendment to the Promissory Note to further extend the maturity date of the Ranor Term Loan to September 16, 2022. On September 15, 2022, Ranor and certain affiliates of the Company entered into a Fourth Amendment to the Amended and Restated Loan Agreement and Fourth Amendment to the Promissory Note to further extend the maturity date of the Ranor Term Loan to December 15, 2022. On December 23, 2022, Ranor and certain affiliates of the Company entered into a Fifth Amendment to Amended and Restated Loan Agreement, Fifth Amendment to Promissory Note and First Amendment to Second Amended and Restated Promissory Note, or the “Amendment”. Effective as of December 20, 2022, the Amendment, among other things (i) extends the maturity date of the Ranor Term Loan to December 15, 2027, (ii) extends the maturity date of the Revolver Loan from December 20, 2022 to December 20, 2023, (iii) increases the interest rate on the Ranor Term Loan from 5.21% to 6.05% per annum, (iv) decreases the monthly payment on the Ranor Term Loan from $19,260 to $16,601, (v) replaces LIBOR as an option for the benchmark interest rate for the Revolver Loan with SOFR, (vi) replaces LIBOR-based interest pricing conventions with SOFR-based pricing conventions, including benchmark replacement provisions, and (vii) solely with respect to the fiscal quarter ending December 31, 2022, lowers the debt service coverage ratio from at least 1.2 to 1.0 to 1.1 to 1.0. In accordance with the amended loan agreement, the maximum amount that can now be borrowed under the Revolver loan is $5.0 million. Advances under the Revolver Loan are subject to a borrowing base equal to the lesser of (a) $5.0 million or (b) the sum of (i)80% of the net outstanding amount of Base Accounts, plus (ii) the lesser of (x) 25% of Eligible Raw Material Inventory, and (y) $250,000, plus (iii) 80% of the Appraised Value of the Eligible Equipment, as such terms are defined in the amended and restated loan agreement among the Company, certain subsidiaries of the Company, and Berkshire Bank, dated August 25, 2021 (the “Loan Agreement”). The Company agrees to pay to Berkshire Bank, as consideration for Berkshire Bank’s agreement to make the Revolver Loan available, a nonrefundable Revolver Loan fee equal to 0.25% per annum (computed based on a year of 360 days and actual days elapsed) on the difference between the amount of: (a) $5.0 million, and (b) the average daily outstanding balance of the Revolver Loan during the quarterly period then ended. All Revolver Loan fees are payable quarterly in arrears on the first day of each January, April, July and October and on the Revolver Maturity Date, or upon acceleration of the Revolver Loan, if earlier. Under the amended promissory note for the Revolver Loan, the Company can elect to pay interest at an adjusted SOFR-based rate or an Adjusted Prime Rate. 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 LIBOR-based rate expired on December 20, 2022. There was approximately $1.5 million outstanding under the Revolver Loan at December 31, 2022. Interest payments made under the Revolver Loan were $20,769 for the nine months ended December 31, 2022. The weighted average interest rate at December 31, 2022 and March 31, 2022 was 4.41% and 2.67%, respectively. Unused borrowing capacity at December 31, 2022 and March 31, 2022 was approximately $3.5 million and $2.8 million, respectively. Unamortized debt issue costs at December 31, 2022 and March 31, 2022 were $103,376 and $76,288, respectively. Berkshire Loan Covenants For purposes of this discussion, Ranor and Stadco are referred to together as the “Borrowers”. The Ranor Term Loan, the Stadco Term Loan and the Revolver Loan, or together, the “Berkshire Loans”, may be accelerated upon the occurrence of an event of default as defined in the Loan Agreement. Upon the occurrence and during the continuance of any of certain default events, at the option of Berkshire Bank, or automatically without notice or any other action upon the occurrence of any event specified in the Loan Agreement, the unpaid principal amount of the Loans and the Notes together with accrued interest and all other obligations owing by the Borrowers to Berkshire Bank would become immediately due and payable without presentment, demand, protest, or further notice of any kind. The Borrowers agree to maintain the ratio of the Cash Flow of TechPrecision to the Total Debt Service of TechPrecision of not less than 1.20 to 1.00, (except for the fiscal quarter ended December 31, 2022, in which case such ratio of Cash Flow to Total Debt Service shall not be less than 1.10 to 1.00), measured quarterly on the last day of each fiscal quarter or-annual period of TechPrecision on a trailing twelve (12) month basis, commencing with the fiscal quarter ending as of September 30, 2021. Calculations will be based on the audited (year-end) and unaudited (quarterly) consolidated financial statements of TechPrecision. Quarterly tests will be measured based on the financial statements included in the Company’s quarterly reports on Form 10-Q within sixty days of the end of each quarter, and annual tests will be measured based on the financial statements included in the Company’s annual reports on Form 10-K within one hundred twenty days after the end of each fiscal annual period. Cash Flow means an amount, without duplication, equal to the sum of net income of TechPrecision plus (i) interest expense, plus (ii) taxes, plus (iii) depreciation and amortization, plus (iv) stock-based compensation expense taken by TechPrecision, plus (v) non-cash losses and charges and one time or non-recurring expenses at Berkshire Bank’s discretion, less (vi) the amount of cash distributions, if any, made to shareholders or owners of TechPrecision, less (vii) cash taxes paid by the TechPrecision, all as determined in accordance with U.S. GAAP. Total Debt Service shall mean an amount, without duplication, equal to the sum of (i) all amounts of cash interest paid on liabilities, obligations and reserves of TechPrecision paid by TechPrecision, (ii) all amounts paid by TechPrecision in connection with current maturities of long-term debt and preferred dividends, and (iii) all payments on account of capitalized leases, all as determined in accordance with U.S. GAAP. The Borrowers agree to cause their Balance Sheet Leverage to be less than or equal 2.50 to 1.00. Compliance with the foregoing shall be tested quarterly, as of the last day of each fiscal quarter of the Borrowers, commencing with the fiscal quarter ending September 30, 2021. Balance Sheet Leverage means, at any date of determination, the ratio of Borrowers’ (a) Total Liabilities, less Subordinated Debt, to (b) Net Worth, plus Subordinated Debt. The Borrowers agree that their combined annual capital expenditures shall not exceed $1.5 million. Compliance shall be tested annually, commencing with the fiscal year ending March 31, 2022. The Borrowers agree to maintain a Loan-to-Value Ratio of not greater than 0.75 to 1.00. Loan-to-Value Ratio means the ratio of (a) the sum of the outstanding balance of the Ranor Term Loan and the Stadco Term Loan, to (b) the fair market value of the property pledged as collateral for the loan, as determined by an appraisal obtained from time to time by Berkshire Bank, but not more frequently than one time during each 365 day period (provided that Berkshire Bank may obtain an appraisal at any time after either the Ranor Term Loan or the Stadco Term Loan has been accelerated), which appraisals shall be at the expense of the Borrowers. The Company was in compliance with all of the financial covenants at December 31, 2022 and March 31, 2022. Collateral securing all the above obligations comprises all personal and real property of the Company, including cash, accounts receivable, inventories, equipment, and financial assets. 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. ​ The scheduled principal maturities for our total debt by calendar year: ​ ​ ​ ​ ​ ​ 2023 $ 2,069,859 2024 ​ 618,889 2025 ​ 645,305 2026 ​ 672,179 2027 ​ 2,650,200 Thereafter ​ 428,918 Total ​ $ 7,085,350 ​

OTHER NONCURRENT LIABILITY

OTHER NONCURRENT LIABILITY	9 Months Ended
	Dec. 31, 2022
OTHER NONCURRENT LIABILITIES
OTHER NONCURRENT LIABILITY	NOTE 13 - OTHER NONCURRENT LIABILITIES The Company purchased new equipment in fiscal 2022 for contract project work with a certain customer. Under an addendum to the contract purchase orders, that customer agreed to reimburse the Company for the cost of the new equipment. We received the first payment in January 2022 and two additional payments in April 2022. In case of a contract breach, at the time of the breach, the customer may claw back the funds based on a prorated ten-year straight-line annual declining balance recovery period. Customer payments received of $1.3 million and $0.3 million are recorded as a noncurrent liability in the condensed consolidated balance sheets at December 31, 2022 and March 31, 2022, respectively. Stadco entered into the Payment Agreement with the LADWP, to settle previously outstanding amounts for water, water service, electric energy and/or electric service in the aggregate amount of $1,770,201 that are delinquent and unpaid. Under the Payment Agreement, Stadco will make monthly installment payments on the unpaid balance beginning on December 15, 2022, in an aggregate amount of $18,439 per month until the earlier of November 15, 2030, or the amount due is paid in full. Late payments under the Payment Agreement accrue a late payment charge equal to an 18% annual rate on the unpaid balance. This liability amount was included in accounts payable on the Company’s balance sheet as of March 31, 2022, and was reclassified to accrued expenses as a current liability for $0.2 million, and to noncurrent liability for $1.5 million as of December 31, 2022.

LEASES

LEASES	9 Months Ended
	Dec. 31, 2022
LEASES
LEASES	NOTE 14 – LEASES On August 25, 2021, Stadco became party to an amended building and property operating lease and recorded a right of use asset and liability of $6.6 million. Monthly base rent for the property is $78,571 per month, with a 20% discount through November 30, 2022. The term of the lease will expire on June 30, 2030, and the lessee has no right of renewal beyond the expiration date. The lease contains customary default provisions allowing the Landlord to terminate the lease if the lessee fails to remedy a breach of its obligations under the lease within the period specified in the lease, or upon certain events of bankruptcy or seizure or attachment of the lessee’s assets or interest in the lease. The lease also contains other customary provisions for real property leases of this type. The following table lists our right-of-use assets and liabilities on our condensed consolidated balance sheets at: ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, 2022 March 31, 2022 Right of use asset – operating lease ​ $ 6,831,768 ​ $ 6,649,744 Right of use asset – finance leases ​ ​ 86,206 ​ ​ 125,032 Accumulated amortization ​ (874,918) ​ (391,161) Right of use asset, net ​ $ 6,043,056 ​ $ 6,383,615 Lease liability – operating lease ​ $ 6,167,849 ​ $ 6,374,691 Lease liability – finance leases ​ ​ 41,849 ​ ​ 72,908 Total lease liability ​ $ 6,209,698 ​ $ 6,447,599 ​ Other supplemental information regarding our leases are contained in the following tables: ​ ​ ​ ​ ​ ​ ​ ​ Components of lease expense for the nine months ended: December 31, 2022 December 31, 2021 Operating lease amortization ​ $ 480,817 ​ $ 206,432 Finance lease amortization ​ $ 16,334 ​ $ 21,134 Finance lease interest ​ $ 1,171 ​ $ 2,415 ​ ​ ​ ​ ​ ​ ​ Weighted average lease term and discount rate at: December 31, 2022 December 31, 2021 ​ Lease term (years) – finance ​ 1.00 ​ 2.85 ​ Lease term (years) – operating 7.58 ​ 8.50 ​ Lease rate - finance ​ 4.5 % 3.9 % Lease rate - operating 4.5 % 4.5 % ​ ​ ​ ​ ​ ​ ​ ​ Supplemental cash flow information related to leases for the nine months ended: December 31, 2022 December 31, 2021 Cash used in operating activities ​ $ 612,411 ​ $ 181,525 Cash used in financing activities ​ $ 31,058 ​ $ 493,015 ​ Maturities of lease liabilities as of December 31 for each of the next five years and thereafter: ​ ​ ​ ​ ​ 2023 $ 985,224 2024 ​ 980,048 2025 ​ 976,865 2026 ​ 969,440 2027 ​ 966,966 Thereafter ​ 2,336,833 Total lease payments ​ $ 7,215,376 Less: imputed interest ​ 1,005,678 Total ​ $ 6,209,698 ​

COMMITMENTS

COMMITMENTS	9 Months Ended
	Dec. 31, 2022
COMMITMENTS
COMMITMENTS	NOTE 15 – COMMITMENTS Employment Agreements We have employment agreements with each of our executive officers. Such agreements provide for minimum salary levels, adjustable annually, and incentive bonuses that are payable if specified company goals are attained. The aggregate commitment at December 31, 2022 for future executive salaries and bonus was approximately $0.6 million. The aggregate commitment at December 31, 2022 for accrued payroll, vacation and holiday pay was approximately $0.8 million for the remainder of our employees. 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 $63,354 and $65,303 for the nine months ended December 31, 2022 and 2021, respectively.

SEGMENT INFORMATION

SEGMENT INFORMATION	9 Months Ended
	Dec. 31, 2022
SEGMENT INFORMATION.
SEGMENT INFORMATION	NOTE 16 – SEGMENT INFORMATION The Company has two wholly-owned subsidiaries, Ranor and Stadco that are reportable segments. The accounting policies of the segments are the same as those described in the summary of significant accounting policies. All of the Company’s operations, assets, and customers are located in the U.S. Each reportable segment focuses on the manufacture and assembly of specific components, primarily for defense, aerospace and other industrial customers. However, both segments have separate operating, engineering, and sales teams. The Chief Operating Decision Maker, or “CODM”, evaluates the performance of our segments based upon, among other things, segment net sales and operating profit. Segment operating profit excludes general corporate costs. Corporate costs include executive and director compensation, stock-based compensation, and other corporate and administrative expenses not allocated to the segments. The segment operating profit metric is what the CODM uses in evaluating our results of operations and the financial measure that provides insight into our overall performance and financial position. The following table provides summarized financial information for our segments: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended ​ Nine Months Ended ​ ​ December 31, ​ December 31, ​ 2022 2021 2022 2021 Ranor ​ $ 4,735,459 ​ $ 2,790,254 ​ $ 14,395,043 ​ $ 9,741,267 Stadco ​ 3,591,886 ​ ​ 3,721,071 ​ ​ 9,531,306 ​ 4,979,697 Net sales from external customers ​ ​ 8,327,345 ​ ​ 6,511,325 ​ ​ 23,926,349 ​ ​ 14,720,964 Ranor ​ 1,334,565 ​ ​ (243,945) ​ ​ 4,077,962 ​ 586,512 Stadco ​ (561,291) ​ ​ (191,367) ​ ​ (2,775,382) ​ (150,362) Corporate and unallocated (1) ​ (498,959) ​ ​ (710,513) ​ ​ (1,673,697) ​ (1,724,896) Total operating income (loss) ​ ​ 274,315 ​ ​ (1,145,825) ​ ​ (371,117) ​ ​ (1,288,746) ERTC refundable credits ​ -- ​ ​ -- ​ ​ 624,045 ​ -- PPP loan forgiveness ​ -- ​ ​ -- ​ ​ -- ​ 1,317,100 Other income ​ ​ 254 ​ ​ 1,999 ​ ​ 40,590 ​ ​ 13,390 Interest expense ​ ​ (93,603) ​ ​ (94,721) ​ ​ (260,978) ​ ​ (181,494) Consolidated income (loss) before income taxes ​ $ 180,966 ​ $ (1,238,547) ​ $ 32,540 ​ $ (139,750) Depreciation and amortization: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Ranor ​ ​ ​ ​ ​ ​ $ 391,172 ​ $ 477,327 Stadco ​ ​ ​ ​ ​ ​ ​ 1,275,569 ​ 501,190 Totals ​ ​ ​ ​ ​ ​ ​ $ 1,666,741 ​ $ 978,517 Capital expenditures ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Ranor ​ ​ ​ ​ ​ ​ ​ $ 175,873 ​ $ 387,714 Stadco ​ ​ ​ ​ ​ ​ ​ ​ 487,160 ​ 48,817 Totals ​ ​ ​ ​ ​ ​ ​ $ 663,033 ​ $ 436,531 Prior period segment data is revised to reflect the new reportable segments. (1) Corporate general costs include executive and director compensation, and other corporate administrative expenses not allocated to the segments.

ACCOUNTING STANDARDS UPDATE

ACCOUNTING STANDARDS UPDATE	9 Months Ended
	Dec. 31, 2022
ACCOUNTING STANDARDS UPDATE
ACCOUNTING STANDARDS UPDATE	NOTE 17 – ACCOUNTING STANDARDS UPDATE New Accounting Standards Recently Adopted In November 2021, the Financial Accounting Standards Board, or the “FASB” issued Accounting Standards Update (“ASU”) No. 2021-10, Government Assistance (Topic 832): Disclosures by Business Entities About Government Assistance In May 2021, the FASB issued ASU 2021-04, Issuer’s Accounting for Certain Modifications or Exchanges of Freestanding Equity-Classified Written Call Options Issuer’s Accounting for Certain Modifications or Exchanges of Freestanding Equity-Classified Written Call Options. Earnings Per Share

BASIS OF PRESENTATION AND SIG_2

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES (Policies)	9 Months Ended
	Dec. 31, 2022
BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES
Basis of Presentation and Consolidation	Basis of Presentation and Consolidation - adjustments are of a normal, recurring nature, except as otherwise disclosed. The results of operations for an interim period are not necessarily indicative of the results of operations to be expected for the fiscal year. These notes to the condensed consolidated financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission, or the “SEC”, for Quarterly Reports on Form 10-Q. Certain information and disclosures normally included in financial statements prepared in accordance with U.S. GAAP have been condensed or omitted pursuant to such rules and regulations. These unaudited financial statements and related notes should be read in conjunction with the consolidated financial statements included with our Annual Report on Form 10-K for the fiscal year ended March 31, 2022, filed with the SEC on August 10, 2022.
Use of Estimates in the Preparation of Financial Statements	Use of Estimates in the Preparation of Financial Statements -
Risks and Uncertainties	Risks and Uncertainties - We reported a net loss of $0.1 million for the six months ended September 30, 2022. We reported a net loss of $0.3 million for the fiscal year ended March 31, 2022. Our liquidity is highly dependent on the availability of financing facilities and our ability to maintain our gross profit and operating income. Berkshire Bank waived the Company’s noncompliance with certain of the financial and related covenants at September 30, 2022. In our Form 10-Q for the quarter ended September 30, 2022, we disclosed our intention to secure new long-term financing on terms consistent with our near-term business plans for us to continue operations beyond the next twelve months and be able to discharge our liabilities and commitments in the normal course of business. On December 23, 2022, we were successful extending the maturity date of the Ranor Term Loan to December 2027 and renewing the Revolver Loan for one year (each as defined below; see Note 12 – Debt). Additionally, we were able to meet certain financial and related loan covenants that the Company had failed in the prior quarter. As such, the uncertainty with respect to the Company’s ability to continue as a going concern has been alleviated.

BUSINESS COMBINATION (Tables)

BUSINESS COMBINATION (Tables)	9 Months Ended
	Dec. 31, 2022
BUSINESS COMBINATION
Schedule of assets acquired and liabilities assumed recognized at acquisition date	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Adjusted ​ ​ Reported at ​ ERTC ​ Customer ​ Fixed ​ Totals ​ ​ August 25, ​ refundable ​ claim 2 and ​ Asset ​ August 25, ​ 2021 credit 1 Warrant 3 Valuation 4 2021 Total consideration transferred ​ $ 10,163,164 ​ ​ ​ ​ $ 46,256 ​ ​ ​ ​ $ 10,209,420 Recognized amounts of identifiable assets acquired and liabilities assumed: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Accounts receivable ​ ​ 1,247,015 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 1,247,015 Inventory ​ 927,188 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 927,188 Other current assets ​ ​ 4,323,593 ​ ​ 1,093,661 ​ ​ ​ ​ ​ ​ ​ ​ 5,417,254 Property, plant, and equipment and right of use assets ​ 15,074,273 ​ ​ ​ ​ ​ ​ ​ ​ 897,488 ​ ​ 15,971,761 Accounts payable, accrued expenses, and other current liabilities ​ (5,882,048) ​ ​ (164,049) ​ ​ (606,415) ​ ​ ​ ​ ​ (6,652,512) Lease obligations ​ (6,701,286) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (6,701,286) Net assets ​ ​ 8,988,735 ​ ​ 929,612 ​ ​ (606,415) ​ ​ 897,488 ​ ​ 10,209,420 Goodwill ​ 1,174,429 ​ ​ (929,612) ​ ​ 652,671 ​ ​ (897,488) ​ ​ — Total ​ $ 10,163,164 ​ $ — ​ $ 46,256 ​ $ — ​ $ 10,209,420 All measurement period adjustments were offset against goodwill: 1 In calendar year 2021 our Stadco subsidiary filed for a refund of tax credits for $1,093,661 from the IRS under the Employee Retention Credit, or ERTC program. Fees associated with the filing totaled $164,049 . 2 Customer claim of $471,166 accrued for additional costs incurred in connection with a certain product manufacturing project. Other adjustments to current liabilities totaled $135,249 . 3 Warrant issued to former shareholder in connection with the acquisition valued at $46,256 . 4 Fixed asset adjustments related to changes in preliminary valuation assumptions and estimates, including estimates of asset useful lives.
Schedule of pro forma results	​ ​ ​ ​ ​ ​ ​ Pro forma combined ​ ​ Nine months ended ​ ​ December 31, ​ 2021 Net sales ​ $ 19,441,005 Operating loss ​ $ (2,793,821) Loss before income taxes ​ $ (1,880,903) Net loss ​ $ (1,496,049) EPS basic ​ $ (0.04) EPS dilutive ​ $ (0.04) Weighted average shares outstanding – basic and diluted ​ ​ 34,212,032 ​

REVENUE (Tables)

REVENUE (Tables)	9 Months Ended
	Dec. 31, 2022
Schedule of net sales on a disaggregated basis by market and contract type	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Net Sales by market Defense Industrial Totals Three months ended December 31, 2022 ​ $ 8,316,711 ​ $ 10,634 ​ $ 8,327,345 Three months ended December 31, 2021 ​ $ 6,362,681 ​ $ 148,644 ​ $ 6,511,325 Nine months ended December 31, 2022 ​ $ 23,543,077 ​ $ 383,272 ​ $ 23,926,349 Nine months ended December 31, 2021 ​ $ 13,868,968 ​ $ 851,996 ​ $ 14,720,964 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Net Sales by contract type Over-time Point-in-time Totals Three months ended December 31, 2022 ​ $ 7,813,273 ​ $ 514,072 ​ $ 8,327,345 Three months ended December 31, 2021 ​ $ 6,378,952 ​ $ 132,733 ​ $ 6,511,325 Nine months ended December 31, 2022 ​ $ 22,672,048 ​ $ 1,254,301 ​ $ 23,926,349 Nine months ended December 31, 2021 ​ $ 13,259,229 ​ $ 1,461,735 $ 14,720,964
Schedule of contract assets	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Progress ​ ​ ​ Unbilled payments Total December 31, 2022 ​ $ 18,824,537 ​ $ (9,468,295) ​ $ 9,356,242 March 31, 2022 ​ $ 14,216,187 ​ $ (5,865,956) ​ $ 8,350,231
Sales
Schedule of revenues from customers who accounted for more than 10% of our net sales	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three months ended ​ Three months ended ​ Nine months ended ​ Nine months ended ​ December 31, 2022 December 31, 2021 ​ December 31, 2022 December 31, 2021 Customer Amount Percent Amount Percent Amount Percent Amount Percent A ​ $ 1,448,547 17 % $ 967,846 15 % $ 4,182,984 18 % $ 3,447,511 23 % B ​ $ * * % $ 793,910 12 % $ * ​ * % $ 2,454,171 17 % C ​ $ * * % $ 937,620 14 % $ * * % $ * * % D ​ $ * * % $ 926,965 14 % $ * * % $ * * % E ​ $ * ​ * % $ 913,501 ​ 14 % $ * ​ * % $ * ​ * % F ​ $ 1,451,713 ​ 17 % $ * ​ * % $ 4,495,028 ​ 19 % $ * ​ * % G ​ $ 1,385,871 ​ 16 % $ * ​ * % $ 4,764,391 ​ 20 % $ * ​ * % *Less than 10% of total

EARNINGS PER SHARE (Tables)

EARNINGS PER SHARE (Tables)	9 Months Ended
	Dec. 31, 2022
EARNINGS PER SHARE
Schedule of basic and diluted earnings per share computations	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months ended ​ Three Months ended ​ Nine Months ended ​ Nine Months ended ​ December 31, 2022 December 31, 2021 December 31, 2022 December 31, 2021 Basic EPS ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Net income (loss) ​ $ 133,975 ​ $ (904,680) ​ $ 23,754 ​ $ 245,999 Weighted average shares ​ 34,443,959 ​ 34,286,580 ​ 34,363,352 ​ 31,716,353 Net income (loss) per share ​ $ 0.00 ​ $ (0.03) ​ $ 0.00 ​ $ 0.01 Diluted EPS ​ ​ ​ ​ ​ ​ ​ ​ Net income (loss) ​ $ 133,975 ​ $ (904,680) ​ $ 23,754 ​ $ 245,999 Dilutive effect of stock options ​ 1,690,750 ​ — ​ 1,676,116 ​ 1,678,770 Weighted average shares ​ 36,134,709 ​ 34,286,580 ​ 36,039,468 ​ 33,395,123 Net income (loss) per share ​ $ 0.00 ​ $ (0.03) ​ $ 0.00 ​ $ 0.01 ​

STOCK-BASED COMPENSATION (Table

STOCK-BASED COMPENSATION (Tables)	9 Months Ended
	Dec. 31, 2022
STOCK-BASED COMPENSATION
Schedule of information about options granted	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Weighted ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Average ​ ​ ​ ​ Weighted ​ Aggregate ​ Remaining ​ ​ Number Of ​ Average ​ Intrinsic ​ Contractual Life ​ Options Exercise Price Value (in years) Outstanding at 3/31/2021 ​ 2,719,000 ​ $ 0.372 ​ $ 2,476,300 ​ 5.62 Canceled (49,000) ​ ​ ​ ​ ​ ​ ​ Outstanding at 3/31/2022 ​ 2,670,000 ​ $ 0.343 ​ $ 3,597,700 ​ 4.66 Outstanding at 12/31/2022 2,670,000 ​ $ 0.343 ​ $ 4,612,330 ​ 3.93 Vested or expected to vest at 12/31/2022 2,670,000 ​ $ 0.343 ​ $ 4,612,330 ​ 3.93 Exercisable and vested at 12/31/2022 ​ 2,670,000 ​ $ 0.343 ​ $ 4,612,330 ​ 3.93 ​
Schedule of exercise price range	The maximum contractual term is ten years for option grants. Other information relating to stock options outstanding at December 31, 2022 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 ​ 2.85 ​ $ 0.12 ​ 1,270,000 ​ $ 0.12 $0.50‑$0.99 1,400,000 4.40 ​ $ 0.55 1,400,000 ​ $ 0.55 Totals 2,670,000 ​ ​ ​ 2,670,000 ​ ​ ​

CONCENTRATION OF CREDIT RISK (T

CONCENTRATION OF CREDIT RISK (Tables)	9 Months Ended
	Dec. 31, 2022
Accounts Receivable [Member]
Concentration of credit risk and major customers
Schedule of revenues from customers who accounted for more than 10% of our net sales	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, 2022 ​ March 31, 2022 Customer Dollars Percent Dollars Percent A ​ $ * ​ * % $ 1,079,264 ​ 36 % B ​ $ * * % $ 436,051 14 % C ​ $ 745,459 26 % $ * * % D ​ $ * ​ * % $ 382,789 ​ 13 % E ​ $ 688,979 ​ 24 % $ * ​ * % F ​ $ * ​ * % $ 309,500 ​ 10 % G ​ $ 490,176 ​ 17 % $ * ​ * % H ​ $ 434,802 ​ 15 % $ * ​ * % *less than 10% of total

OTHER CURRENT ASSETS (Tables)

OTHER CURRENT ASSETS (Tables)	9 Months Ended
	Dec. 31, 2022
OTHER CURRENT ASSETS
Schedule of other current assets	​ ​ ​ ​ ​ ​ ​ ​ Other current assets included the following as of: December 31, 2022 March 31, 2022 Prepaid taxes ​ $ 34,814 ​ $ 26,497 Supplier advances ​ ​ 41,920 ​ ​ — ERTC refundable credits ​ 624,045 ​ 1,093,661 Prepaid insurance ​ 149,609 ​ 184,275 Prepaid subscriptions ​ 83,605 ​ 66,098 Deposits ​ ​ 21,706 ​ ​ 21,100 Employee advances ​ ​ — ​ ​ 9,668 Prepaid advisory fees, other ​ 30,325 ​ 20,160 Totals ​ $ 986,024 ​ $ 1,421,459

PROPERTY, PLANT AND EQUIPMENT_2

PROPERTY, PLANT AND EQUIPMENT, NET (Tables)	9 Months Ended
	Dec. 31, 2022
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: December 31, 2022 March 31, 2022 Land ​ $ 110,113 ​ $ 110,113 Building and improvements ​ 3,293,985 ​ 3,289,901 Machinery equipment, furniture, and fixtures ​ 21,372,965 ​ 20,860,152 Construction in progress ​ 133,058 ​ — Total property, plant, and equipment ​ 24,910,121 ​ 24,260,166 Less: accumulated depreciation ​ (12,270,044) ​ (11,107,001) Total property, plant and equipment, net ​ $ 12,640,077 ​ $ 13,153,165

ACCRUED EXPENSES (Tables)

ACCRUED EXPENSES (Tables)	9 Months Ended
	Dec. 31, 2022
ACCRUED EXPENSES
Schedule of accrued expenses	​ ​ ​ ​ ​ ​ ​ ​ Accrued expenses included the following as of: December 31, 2022 March 31, 2022 Accrued compensation ​ $ 858,972 ​ $ 947,938 Provision for claims ​ ​ 286,437 ​ ​ 935,382 Provision for contract losses ​ 239,392 ​ ​ 340,272 Accrued professional fees ​ 357,082 ​ 513,379 Accrued project costs ​ 444,583 ​ 487,869 Contingent consideration ​ ​ — ​ ​ 63,436 Other ​ 256,819 ​ 147,590 Total ​ $ 2,443,285 ​ $ 3,435,866 ​

DEBT (Tables)

DEBT (Tables)	9 Months Ended
	Dec. 31, 2022
DEBT
Schedule of outstanding debt obligations	​ ​ ​ ​ ​ ​ ​ ​ Long-term debt included the following as of: December 31, 2022 March 31, 2022 Stadco Term Loan, at 3.79% interest, due August 2028 ​ $ 3,318,621 ​ $ 3,705,792 Ranor Term Loan, at 6.05% interest, due December 2027 ​ ​ 2,291,729 ​ ​ 2,363,126 Ranor Revolver Loan due December 2023 ​ ​ 1,475,000 ​ ​ 1,287,002 Total debt ​ $ 7,085,350 ​ $ 7,355,920 Less: debt issue costs unamortized ​ $ 151,889 ​ $ 147,905 Total debt, net ​ $ 6,933,461 ​ $ 7,208,015 Less: Current portion of long-term debt ​ $ 2,069,859 ​ $ 4,093,079 Total long-term debt, net ​ $ 4,863,602 ​ $ 3,114,936 ​
Scheduled principal maturities for our total debt	​ ​ ​ ​ ​ 2023 $ 2,069,859 2024 ​ 618,889 2025 ​ 645,305 2026 ​ 672,179 2027 ​ 2,650,200 Thereafter ​ 428,918 Total ​ $ 7,085,350

LEASES (Tables)

LEASES (Tables)	9 Months Ended
	Dec. 31, 2022
LEASES
Schedule of right-of-use assets and lease liabilities	​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, 2022 March 31, 2022 Right of use asset – operating lease ​ $ 6,831,768 ​ $ 6,649,744 Right of use asset – finance leases ​ ​ 86,206 ​ ​ 125,032 Accumulated amortization ​ (874,918) ​ (391,161) Right of use asset, net ​ $ 6,043,056 ​ $ 6,383,615 Lease liability – operating lease ​ $ 6,167,849 ​ $ 6,374,691 Lease liability – finance leases ​ ​ 41,849 ​ ​ 72,908 Total lease liability ​ $ 6,209,698 ​ $ 6,447,599 ​
Schedule of supplemental Information of leases	​ ​ ​ ​ ​ ​ ​ ​ Components of lease expense for the nine months ended: December 31, 2022 December 31, 2021 Operating lease amortization ​ $ 480,817 ​ $ 206,432 Finance lease amortization ​ $ 16,334 ​ $ 21,134 Finance lease interest ​ $ 1,171 ​ $ 2,415 ​ ​ ​ ​ ​ ​ ​ Weighted average lease term and discount rate at: December 31, 2022 December 31, 2021 ​ Lease term (years) – finance ​ 1.00 ​ 2.85 ​ Lease term (years) – operating 7.58 ​ 8.50 ​ Lease rate - finance ​ 4.5 % 3.9 % Lease rate - operating 4.5 % 4.5 %
Schedule of supplemental cash flow information	​ ​ ​ ​ ​ ​ ​ ​ Supplemental cash flow information related to leases for the nine months ended: December 31, 2022 December 31, 2021 Cash used in operating activities ​ $ 612,411 ​ $ 181,525 Cash used in financing activities ​ $ 31,058 ​ $ 493,015 ​
Schedule of maturities of lease liabilities	​ ​ ​ ​ ​ 2023 $ 985,224 2024 ​ 980,048 2025 ​ 976,865 2026 ​ 969,440 2027 ​ 966,966 Thereafter ​ 2,336,833 Total lease payments ​ $ 7,215,376 Less: imputed interest ​ 1,005,678 Total ​ $ 6,209,698

SEGMENT INFORMATION (Tables)

SEGMENT INFORMATION (Tables)	9 Months Ended
	Dec. 31, 2022
SEGMENT INFORMATION.
Summary of financial information for segments	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended ​ Nine Months Ended ​ ​ December 31, ​ December 31, ​ 2022 2021 2022 2021 Ranor ​ $ 4,735,459 ​ $ 2,790,254 ​ $ 14,395,043 ​ $ 9,741,267 Stadco ​ 3,591,886 ​ ​ 3,721,071 ​ ​ 9,531,306 ​ 4,979,697 Net sales from external customers ​ ​ 8,327,345 ​ ​ 6,511,325 ​ ​ 23,926,349 ​ ​ 14,720,964 Ranor ​ 1,334,565 ​ ​ (243,945) ​ ​ 4,077,962 ​ 586,512 Stadco ​ (561,291) ​ ​ (191,367) ​ ​ (2,775,382) ​ (150,362) Corporate and unallocated (1) ​ (498,959) ​ ​ (710,513) ​ ​ (1,673,697) ​ (1,724,896) Total operating income (loss) ​ ​ 274,315 ​ ​ (1,145,825) ​ ​ (371,117) ​ ​ (1,288,746) ERTC refundable credits ​ -- ​ ​ -- ​ ​ 624,045 ​ -- PPP loan forgiveness ​ -- ​ ​ -- ​ ​ -- ​ 1,317,100 Other income ​ ​ 254 ​ ​ 1,999 ​ ​ 40,590 ​ ​ 13,390 Interest expense ​ ​ (93,603) ​ ​ (94,721) ​ ​ (260,978) ​ ​ (181,494) Consolidated income (loss) before income taxes ​ $ 180,966 ​ $ (1,238,547) ​ $ 32,540 ​ $ (139,750) Depreciation and amortization: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Ranor ​ ​ ​ ​ ​ ​ $ 391,172 ​ $ 477,327 Stadco ​ ​ ​ ​ ​ ​ ​ 1,275,569 ​ 501,190 Totals ​ ​ ​ ​ ​ ​ ​ $ 1,666,741 ​ $ 978,517 Capital expenditures ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Ranor ​ ​ ​ ​ ​ ​ ​ $ 175,873 ​ $ 387,714 Stadco ​ ​ ​ ​ ​ ​ ​ ​ 487,160 ​ 48,817 Totals ​ ​ ​ ​ ​ ​ ​ $ 663,033 ​ $ 436,531 Prior period segment data is revised to reflect the new reportable segments. (1) Corporate general costs include executive and director compensation, and other corporate administrative expenses not allocated to the segments.

BASIS OF PRESENTATION AND SIG_3

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES (Details) - USD ($)	3 Months Ended						6 Months Ended	12 Months Ended
	Dec. 31, 2022	Sep. 30, 2022	Jun. 30, 2022	Dec. 31, 2021	Sep. 30, 2021	Jun. 30, 2021	Sep. 30, 2022	Mar. 31, 2022
BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES
Net income (loss)	$ 133,975	$ 390,944	$ (501,165)	$ (904,680)	$ (220,413)	$ 1,371,092	$ 100,000	$ 300,000

BUSINESS COMBINATION - Assets a

BUSINESS COMBINATION - Assets acquired and liabilities assumed recognized at the acquisition date (Details) - Stadco	Aug. 25, 2021 USD ($)
BUSINESS COMBINATION
Total consideration transferred	$ 10,209,420
Recognized amounts of identifiable assets acquired and liabilities assumed:
Accounts receivable	1,247,015
Inventory	927,188
Other current assets	5,417,254
Property, plant, and equipment and right of use assets	15,971,761
Accounts payable, accrued expenses, and other current liabilities	(6,652,512)
Lease obligations	(6,701,286)
Net assets	10,209,420
Total consideration transferred	10,209,420
Reported at August 25,2021
BUSINESS COMBINATION
Total consideration transferred	10,163,164
Recognized amounts of identifiable assets acquired and liabilities assumed:
Accounts receivable	1,247,015
Inventory	927,188
Other current assets	4,323,593
Property, plant, and equipment and right of use assets	15,074,273
Accounts payable, accrued expenses, and other current liabilities	(5,882,048)
Lease obligations	(6,701,286)
Net assets	8,988,735
Goodwill	1,174,429
Total consideration transferred	10,163,164
ERTC refundable credit
Recognized amounts of identifiable assets acquired and liabilities assumed:
Other current assets	1,093,661
Accounts payable, accrued expenses, and other current liabilities	(164,049)
Net assets	929,612
Goodwill	(929,612)
Customer claim and warrant
BUSINESS COMBINATION
Total consideration transferred	46,256
Recognized amounts of identifiable assets acquired and liabilities assumed:
Accounts payable, accrued expenses, and other current liabilities	(606,415)
Net assets	(606,415)
Goodwill	652,671
Total consideration transferred	46,256
Fixed Asset Valuation
Recognized amounts of identifiable assets acquired and liabilities assumed:
Property, plant, and equipment and right of use assets	897,488
Net assets	897,488
Goodwill	$ (897,488)

BUSINESS COMBINATION - Proforma

BUSINESS COMBINATION - Proforma results (Details) - Stadco	9 Months Ended
	Dec. 31, 2021 USD ($) $ / shares shares
Stadco actual
Net sales	$ 19,441,005
Operating loss	(2,793,821)
Loss before income taxes	(1,880,903)
Net loss	$ (1,496,049)
EPS basic | $ / shares	$ (0.04)
EPS dilutive | $ / shares	$ (0.04)
Weighted average shares outstanding - basic | shares	34,212,032
Weighted average shares outstanding - diluted | shares	34,212,032

BUSINESS COMBINATION - Addition

BUSINESS COMBINATION - Additional information (Details)			3 Months Ended				9 Months Ended
	Aug. 25, 2022 USD ($) shares	Aug. 25, 2021 USD ($) $ / shares shares	Dec. 31, 2022 USD ($) $ / shares	Sep. 30, 2022 USD ($) shares	Dec. 31, 2021 USD ($)	Sep. 30, 2021 shares	Dec. 31, 2022 USD ($) $ / shares	Dec. 31, 2021 USD ($)
BUSINESS COMBINATION
Warrants vesting period							3 years
Exercise Price of Warrants or Rights | $ / shares			$ 1.43				$ 1.43
Fair Value of Warrants							$ 46,256	$ 46,256
Stock issued contingent consideration				$ 56,310
Net change interest expense			$ 93,603		$ 94,721		260,978	181,494
Estimated tax benefit							$ 400,000
Selling, general and administrative expenses
BUSINESS COMBINATION
Acquisition related costs								300,000
Volatility
BUSINESS COMBINATION
Warrants and Rights Outstanding, Measurement Input			46.7				46.7
Risk free interest rate
BUSINESS COMBINATION
Warrants and Rights Outstanding, Measurement Input			0.4				0.4
Common Stock
BUSINESS COMBINATION
Number of shares of common stock and warrants issued for acquired business | shares						1,466,061
Proceeds from sale of common stock, net (in shares) | shares						3,202,727
Stock issued contingent consideration				$ 4
Stock issued contingent consideration (in shares) | shares				36,509
SPA
BUSINESS COMBINATION
Shares to be purchased pursuant to agreements | shares		3,202,727
Purchase price | $ / shares		$ 1.10
Securities offering costs		$ 300,000
Acquisition Sub | Amended and restated loan purchase and sale agreement
BUSINESS COMBINATION
Aggregate payment		7,900,000
Stadco
BUSINESS COMBINATION
Consideration transferred amount		10,209,420
Fair Value of Warrants							$ 46,256
Maximum value of contingent consideration			$ 2,269,000				2,269,000
Stock issued contingent consideration	$ 56,310
Stock issued contingent consideration (in shares) | shares	36,509
Rebate of tax credits							164,049
Other adjustments to current liabilities							135,249
Stadco | ERTC refundable credit
BUSINESS COMBINATION
Refund of tax credits			1,093,661				1,093,661
Stadco | Customer claim and warrant
BUSINESS COMBINATION
Consideration transferred amount		$ 46,256
Additional costs accrued with certain product manufacturing project			$ 471,166				$ 471,166
Stadco | Pro Forma
BUSINESS COMBINATION
Acquisition related costs								700,000
Net change interest expense								$ 500,000
Stadco | Common Stock
BUSINESS COMBINATION
Number of shares of common stock and warrants issued for acquired business | shares		1,466,061
Issuance of warrant | shares		100,000
Consideration transferred amount		$ 2,300,000
Stadco | Common Stock | Holders of certain ther non-bank indebtedness
BUSINESS COMBINATION
Number of shares of common stock and warrants issued for acquired business | shares		199,395
Stadco | Common Stock | Other security holders
BUSINESS COMBINATION
Number of shares of common stock and warrants issued for acquired business | shares		600,000
Issuance of warrant | shares		100,000
Stadco | SPA
BUSINESS COMBINATION
Consideration transferred amount		$ 113,890
Stadco | Holdco | Common Stock
BUSINESS COMBINATION
Number of shares of common stock and warrants issued for acquired business | shares		666,666

REVENUE - Disaggregated basis (

REVENUE - Disaggregated basis (Details) - USD ($)	3 Months Ended		9 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2022	Dec. 31, 2021
REVENUE
Revenue from contract with customer, including assessed tax	$ 8,327,345	$ 6,511,325	$ 23,926,349	$ 14,720,964
Over-time
REVENUE
Revenue from contract with customer, including assessed tax	7,813,273	6,378,952	22,672,048	13,259,229
Point-in-time
REVENUE
Revenue from contract with customer, including assessed tax	514,072	132,733	1,254,301	1,461,735
Defense
REVENUE
Revenue from contract with customer, including assessed tax	8,316,711	6,362,681	23,543,077	13,868,968
Industrial
REVENUE
Revenue from contract with customer, including assessed tax	$ 10,634	$ 148,644	$ 383,272	$ 851,996

REVENUE - Net sales from custom

REVENUE - Net sales from customers (Details) - USD ($)	3 Months Ended		9 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2022	Dec. 31, 2021
REVENUE
Revenues	$ 8,327,345	$ 6,511,325	$ 23,926,349	$ 14,720,964
Customer A | Customer concentration risk | Sales revenue, net
REVENUE
Revenues	$ 1,448,547	$ 967,846	$ 4,182,984	$ 3,447,511
Concentration risk percentage	17%	15%	18%	23%
Customer B | Customer concentration risk | Sales revenue, net
REVENUE
Revenues		$ 793,910		$ 2,454,171
Concentration risk percentage		12%		17%
Customer C | Customer concentration risk | Sales revenue, net
REVENUE
Revenues		$ 937,620
Concentration risk percentage		14%
Customer D | Customer concentration risk | Sales revenue, net
REVENUE
Revenues		$ 926,965
Concentration risk percentage		14%
Customer E | Customer concentration risk | Sales revenue, net
REVENUE
Revenues		$ 913,501
Concentration risk percentage		14%
Customer F | Customer concentration risk | Sales revenue, net
REVENUE
Revenues	$ 1,451,713		$ 4,495,028
Concentration risk percentage	17%		19%
Customer G | Customer concentration risk | Sales revenue, net
REVENUE
Revenues	$ 1,385,871		$ 4,764,391
Concentration risk percentage	16%		20%

REVENUE - Contract assets and c

REVENUE - Contract assets and contract liabilities (Details) - USD ($)	Dec. 31, 2022	Mar. 31, 2022
REVENUE
Contract assets	$ 9,356,242	$ 8,350,231
Unbilled
REVENUE
Contract assets	18,824,537	14,216,187
Progress payments
REVENUE
Contract assets	$ (9,468,295)	$ (5,865,956)

REVENUE - Additional informatio

REVENUE - Additional information (Details) $ in Millions	9 Months Ended
	Dec. 31, 2022 USD ($)
REVENUE
Remaining performance obligation amount	$ 43.9
Revenue remaining performance obligation completed less than 50	$ 39.7
Revenue, remaining performance obligation, percentage	50%
Minimum
REVENUE
Remaining performance obligation expected timing of satisfaction period	3 months
Maximum
REVENUE
Remaining performance obligation expected timing of satisfaction period	36 months
Revenue recognized by contract liabilities	$ 1.8

INCOME TAXES (Details)

INCOME TAXES (Details) - USD ($)	3 Months Ended		9 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2022	Dec. 31, 2021
INCOME TAXES
Income tax expense	$ 46,991	$ (333,867)	$ 8,786	$ (385,749)
Effective tax rate			27%
Deferred tax assets, valuation allowance	$ 2,000,000		$ 2,000,000

EARNINGS PER SHARE (Details)

EARNINGS PER SHARE (Details) - USD ($)	3 Months Ended		9 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2022	Dec. 31, 2021
Basic EPS
Net income (loss)	$ 133,975	$ (904,680)	$ 23,754	$ 245,999
Weighted average shares	34,443,959	34,286,580	34,363,352	31,716,353
Net income (loss) per share	$ 0	$ (0.03)	$ 0	$ 0.01
Diluted EPS
Net income (loss)	$ 133,975	$ (904,680)	$ 23,754	$ 245,999
Dilutive effect of stock options	1,690,750		1,676,116	1,678,770
Weighted average shares	36,134,709	34,286,580	36,039,468	33,395,123
Net income (loss) per share	$ 0	$ (0.03)	$ 0	$ 0.01
Warrants
Diluted EPS
Antidilutive securities excluded from computation of earnings per share amount (in shares)		2,820,000

STOCK-BASED COMPENSATION - Stoc

STOCK-BASED COMPENSATION - Stock option activity (Details) - USD ($)	9 Months Ended	12 Months Ended
	Dec. 31, 2022	Mar. 31, 2022	Mar. 31, 2021
Number Of Options
Outstanding at the beginning of the period (in shares)	2,670,000	2,719,000
Canceled (in shares)		(49,000)
Outstanding at the end of the period (in shares)	2,670,000	2,670,000	2,719,000
Vested or expected to vest at the end of the period (in shares)	2,670,000
Exercisable and vested at the end of the period (in shares)	2,670,000
Weighted Average Exercise Price
Outstanding at the beginning of the period (in dollars per share)	$ 0.343	$ 0.372
Outstanding at the end of the period (in dollars per share)	0.343	$ 0.343	$ 0.372
Vested or expected to vest at the end of the period (in dollars per share)	0.343
Exercisable and vested at the end of the period (in dollars per share)	$ 0.343
Aggregate Intrinsic Value
Outstanding Value at the beginning of the period	$ 3,597,700	$ 2,476,300
Outstanding Value at the end of the period	4,612,330	$ 3,597,700	$ 2,476,300
Vested or expected to vest at the end of the period	4,612,330
Exercisable and vested at the end of the period	$ 4,612,330
Weighted Average Remaining Contractual Life (in years)
Outstanding at the end of the period	3 years 11 months 4 days	4 years 7 months 28 days	5 years 7 months 13 days
Vested or expected to vest at the end of the period	3 years 11 months 4 days
Exercisable and vested at the end of the period	3 years 11 months 4 days

STOCK-BASED COMPENSATION - St_2

STOCK-BASED COMPENSATION - Stock options outstanding by exercise price (Details)	9 Months Ended
	Dec. 31, 2022 $ / shares shares
Stock Based Compensation By Exercise Price Range
Options Outstanding | shares	2,670,000
Options Exercisable | shares	2,670,000
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	2 years 10 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	$ 0.99
Options Outstanding | shares	1,400,000
Options Outstanding, Weighted Average Remaining Contractual Term	4 years 4 months 24 days
Options Outstanding, Weighted Average Exercise Price	$ 0.55
Options Exercisable | shares	1,400,000
Options Exercisable, Weighted Average Exercise Price	$ 0.55

STOCK-BASED COMPENSATION - Addi

STOCK-BASED COMPENSATION - Additional information (Details) - USD ($)			3 Months Ended		9 Months Ended		12 Months Ended
	Jan. 24, 2022	Sep. 17, 2021	Dec. 31, 2022	Sep. 30, 2021	Dec. 31, 2022	Dec. 31, 2021	Mar. 31, 2022	Mar. 31, 2021	Aug. 25, 2021
STOCK-BASED COMPENSATION
Maximum contractual term (in years)					3 years 11 months 4 days		4 years 7 months 28 days	5 years 7 months 13 days
Stock based compensation expense					$ 307,619	$ 141,176
Fair value of shares expected to vest	$ 34,000
Warrant valuation				$ 46,256
Common Stock
STOCK-BASED COMPENSATION
Restricted stock award (in shares)				100,000
Stadco | Common Stock
STOCK-BASED COMPENSATION
Warrants issued to purchase common stock									100,000
Restricted Stock
STOCK-BASED COMPENSATION
Granted a total of shares of restricted stock		100,000
Stock based compensation cost		$ 175,000
Stock based compensation expense			$ 8,663		107,309
Total unrecognized compensation cost related to restricted stock awards			$ 1,770		$ 1,770
2016 Plan
STOCK-BASED COMPENSATION
Number of shares of common stock			5,000,000		5,000,000
Shares available for grant			1,250,000		1,250,000
Shares reserved			5,000,000		5,000,000
Maximum
STOCK-BASED COMPENSATION
Maximum contractual term (in years)					10 years
Executive Officers | 2016 Plan
STOCK-BASED COMPENSATION
Restricted stock award (in shares)	20,000
Executive cash award	$ 35,000

STOCK-BASED COMPENSATION - Boar

STOCK-BASED COMPENSATION - Board of directors common stock award (Details) - USD ($)		3 Months Ended
	Sep. 15, 2022	Sep. 30, 2022
STOCK-BASED COMPENSATION
Fair value of the award		$ 144,000
Common Stock [Member]
STOCK-BASED COMPENSATION
Number of shares of fully vested stock awards granted		100,000
Fair value of the award		$ 10
Board of Directors | Options | Common Stock [Member]
STOCK-BASED COMPENSATION
Number of shares of fully vested stock awards granted	100,000
Non-employee director | Options
STOCK-BASED COMPENSATION
Fair value of the award	$ 144,000
Non-employee director | Options | Common Stock [Member]
STOCK-BASED COMPENSATION
Number of shares of fully vested stock awards granted	25,000

CONCENTRATION OF CREDIT RISK (D

CONCENTRATION OF CREDIT RISK (Details)	9 Months Ended	12 Months Ended
	Dec. 31, 2022 USD ($)	Mar. 31, 2022 USD ($)
Concentration of credit risk and major customers
Accounts receivable	$ 2,927,407	$ 3,009,249
Accounts Receivable | Customer concentration risk | Customer A
Concentration of credit risk and major customers
Accounts receivable		$ 1,079,264
Concentration risk percentage		36%
Accounts Receivable | Customer concentration risk | Customer B
Concentration of credit risk and major customers
Accounts receivable		$ 436,051
Concentration risk percentage		14%
Accounts Receivable | Customer concentration risk | Customer C
Concentration of credit risk and major customers
Accounts receivable	$ 745,459
Concentration risk percentage	26%
Accounts Receivable | Customer concentration risk | Customer D
Concentration of credit risk and major customers
Accounts receivable		$ 382,789
Concentration risk percentage		13%
Accounts Receivable | Customer concentration risk | Customer E
Concentration of credit risk and major customers
Accounts receivable	$ 688,979
Concentration risk percentage	24%
Accounts Receivable | Customer concentration risk | Customer F
Concentration of credit risk and major customers
Accounts receivable		$ 309,500
Concentration risk percentage		10%
Accounts Receivable | Customer concentration risk | Customer G
Concentration of credit risk and major customers
Accounts receivable	$ 490,176
Concentration risk percentage	17%
Accounts Receivable | Customer concentration risk | Customer H
Concentration of credit risk and major customers
Accounts receivable	$ 434,802
Concentration risk percentage	15%
Accounts Receivable | Customer concentration risk | Customers
Concentration of credit risk and major customers
Concentration risk percentage	10%
Trade Receivables
Concentration of credit risk and major customers
Number of significant customers	4
Trade Receivables | Customer concentration risk | Customers ACD
Concentration of credit risk and major customers
Concentration risk percentage	82%

OTHER CURRENT ASSETS (Details)

OTHER CURRENT ASSETS (Details) - USD ($)	Dec. 31, 2022	Mar. 31, 2022
OTHER CURRENT ASSETS
Prepaid taxes	$ 34,814	$ 26,497
Supplier advances	41,920
ERTC refundable credits	624,045	1,093,661
Prepaid insurance	149,609	184,275
Prepaid subscriptions	83,605	66,098
Deposits	21,706	21,100
Employee advances		9,668
Prepaid advisory fees, other	30,325	20,160
Total	$ 986,024	$ 1,421,459

PROPERTY, PLANT AND EQUIPMENT_3

PROPERTY, PLANT AND EQUIPMENT, NET (Details) - USD ($)	Dec. 31, 2022	Mar. 31, 2022
Property, Plant and Equipment, Net
Total property, plant and equipment	$ 24,910,121	$ 24,260,166
Less: accumulated depreciation	(12,270,044)	(11,107,001)
Total property, plant and equipment, net	12,640,077	13,153,165
Land
Property, Plant and Equipment, Net
Property, plant and equipment, Gross	110,113	110,113
Building and improvements
Property, Plant and Equipment, Net
Property, plant and equipment, Gross	3,293,985	3,289,901
Machinery equipment, furniture, and fixtures
Property, Plant and Equipment, Net
Property, plant and equipment, Gross	21,372,965	$ 20,860,152
Construction in progress
Property, Plant and Equipment, Net
Property, plant and equipment, Gross	$ 133,058

ACCRUED EXPENSES (Details)

ACCRUED EXPENSES (Details) - USD ($)	Dec. 31, 2022	Mar. 31, 2022
ACCRUED EXPENSES
Accrued compensation	$ 858,972	$ 947,938
Provision for claims	286,437	935,382
Provision for contract losses	239,392	340,272
Accrued professional fees	357,082	513,379
Accrued project costs	444,583	487,869
Contingent consideration		63,436
Other	256,819	147,590
Total	$ 2,443,285	$ 3,435,866

DEBT - Long-term Debt (Details)

DEBT - Long-term Debt (Details) - USD ($)	Dec. 31, 2022	Mar. 31, 2022
Debt
Total debt	$ 7,085,350	$ 7,355,920
Less: debt issue costs unamortized	151,889	147,905
Total debt, net	6,933,461	7,208,015
Less: Current portion of long-term debt	2,069,859	4,093,079
Total long-term debt, net	4,863,602	3,114,936
Stadco Term Loan, at 3.79% interest, due August 2028
Debt
Total debt	$ 3,318,621	3,705,792
Interest rate (as a percent)	3.79%
Ranor Term Loan, at 6.05% interest, due December 2027
Debt
Total debt	$ 2,291,729	2,363,126
Interest rate (as a percent)	6.05%
Ranor Revolver Loan due December 2023
Debt
Total debt	$ 1,475,000	$ 1,287,002

DEBT - Scheduled principal matu

DEBT - Scheduled principal maturities for our total debt (Details)	Dec. 31, 2022 USD ($)
Scheduled principal maturities for our total debt
2023	$ 2,069,859
2024	618,889
2025	645,305
2026	672,179
2027	2,650,200
Thereafter	428,918
Total	$ 7,085,350

DEBT - Additional Information (

DEBT - Additional Information (Details)				6 Months Ended	9 Months Ended	12 Months Ended
	Dec. 30, 2022	Aug. 25, 2021 USD ($)	Dec. 21, 2016 USD ($)	Sep. 30, 2022	Dec. 31, 2022 USD ($)	Mar. 31, 2022 USD ($)
Stadco Term Loan at 3.79% interest, due August 2028
Debt
Principal amount of debt		$ 4,000,000
Maturity term		7 years
Monthly payments of principal and interest amount		$ 54,390
Interest rate (as a percent)					3.79%
Unamortized debt issuance expense					$ 48,513	$ 71,617
Stadco Term Loan at 3.79% interest, due August 2028 | FHLBBC advance rate
Debt
Basis spread on variable rate (as a percent)		2.25%
Ranor term loan
Debt
Required minimum debt service coverage ratio, solely with respect to the fiscal quarter ending December 31, 2022	1.2				1.1
Late fee (in percent)					5
Default interest rate					5
Interest rate (as a percent)					6.05%	5.21%
Weighted average interest rate (as a percent)					4.41%	2.67%
Unamortized closing costs					$ 103,376	$ 76,288
Ranor term loan | Revolving Credit Facility
Debt
Debt instrument percentage of accounts receivable used for determination of aggregate amount of advances			80%
Debt instrument percentage of eligible raw material used for determination of aggregate amount of advances			25%
Amount included in sum to calculate maximum borrowing base			$ 250,000
Ranor term loan | Revolver loan
Debt
Maximum amount of borrowing base required to grant loan advance			$ 5,000,000
Amount outstanding					1,500,000
Interest payments					20,769
Unused borrowing capacity					3,500,000	2,800,000
Ranor term loan | Revolver loan | Prime Rate
Debt
Prime rate basis points			70
Adjusted interest rate (as a percent)			2.75%
Ranor term loan | Secured Term Loan
Debt
Principal amount of debt			$ 2,850,000
Monthly payments of principal and interest amount			$ 19,260
Interest rate (as a percent)			5.21%
Ranor term loan | Notes payables
Debt
Debt Instrument percentage of appraised value Of equipment for determination of aggregate amount of advances			80%
Ranor term loan | Minimum
Debt
Monthly payments of principal and interest amount					16,601
Ranor term loan | Maximum
Debt
Monthly payments of principal and interest amount					19,260
Berkshire Loan
Debt
Annual capital expenditure						$ 1,500,000
Berkshire Loan | Revolver loan
Debt
Maximum amount of borrowing base required to grant loan advance					5,000,000
Amount outstanding					$ 1,500,000
Nonrefundable commitment fee percentages					0.25%
Berkshire Loan | Revolver loan | LIBOR
Debt
Adjusted interest rate (as a percent)			2.75%
Berkshire Loan | Ranor, Inc.
Debt
Debt instrument covenant trailing period for measurement of loan to value ratio					365 days
Berkshire Loan | Minimum
Debt
Cash flow ratio of debt service				1	1
Debt instrument covenant leverage ratio year one					1
Loan-to-Value Ratio					0.75
Berkshire Loan | Maximum
Debt
Cash flow ratio of debt service				1.10	1.20
Debt instrument covenant leverage ratio year one					2.50
Loan-to-Value Ratio					1

OTHER NONCURRENT LIABILITIES (D

OTHER NONCURRENT LIABILITIES (Details)	Dec. 31, 2022 USD ($)	Mar. 31, 2022 USD ($)
OTHER NONCURRENT LIABILITIES
Other noncurrent liabilities	$ 1,300,000	$ 300,000
Aggregate delinquent and unpaid outstanding amounts for water, water service, electric energy and/or electric service	1,770,201
Current liability	200,000
Noncurrent liability	1,500,000
Stadco's payment agreement with the LADWP
OTHER NONCURRENT LIABILITIES
Aggregate delinquent and unpaid outstanding amounts for water, water service, electric energy and/or electric service	1,770,201
Monthly installment payments to be made	$ 18,439
Late payment charge, annual rate	18
Current liability	$ 221,272
Noncurrent liability	$ 1,548,929

LEASES (Details)

LEASES (Details) - USD ($)	9 Months Ended
	Dec. 31, 2022	Mar. 31, 2022
Right of use asset - finance leases	$ 6,043,056	$ 6,383,615
Building and property lease
Other lease assets and liabilities	6,600,000
Monthly payments	$ 78,571
Percentage of discount on base rent	20%
Right of use asset - operating lease	$ 6,831,768	6,649,744
Right of use asset - finance leases	86,206	125,032
Accumulated amortization	(874,918)	(391,161)
Right of use asset, net	6,043,056	6,383,615
Lease liability - operating lease	6,167,849	6,374,691
Lease liability - finance leases	41,849	72,908
Total lease liability	$ 6,209,698	$ 6,447,599

LEASES - Other supplemental inf

LEASES - Other supplemental information of Leases (Details) - USD ($)	9 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
LEASES
Operating lease amortization	$ 480,817	$ 206,432
Finance lease amortization	16,334	21,134
Finance lease interest	$ 1,171	$ 2,415
Lease term (years) - finance	1 year	2 years 10 months 6 days
Lease term (years) - operating	7 years 6 months 29 days	8 years 6 months
Lease rate - finance	4.50%	3.90%
Lease rate - operating	4.50%	4.50%

LEASES - Supplemental cash flow

LEASES - Supplemental cash flow information (Details) - USD ($)	9 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
LEASES
Cash used in operating activities	$ 612,411	$ 181,525
Cash used in financing activities	$ 31,058	$ 493,015

LEASES - Maturities of lease li

LEASES - Maturities of lease liabilities (Details)	Dec. 31, 2022 USD ($)
Maturities of lease liabilities
2023	$ 985,224
2024	980,048
2025	976,865
2026	969,440
2027	966,966
Thereafter	2,336,833
Total lease payments	7,215,376
Less: imputed interest	1,005,678
Total	$ 6,209,698

COMMITMENTS (Details)

COMMITMENTS (Details) - USD ($)	9 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
COMMITMENTS
Aggregate commitment for future executive salaries and bonus	$ 600,000
Aggregate commitment for accrued payroll, vacation and holiday	800,000
Retirement Benefits	$ 63,354	$ 65,303

SEGMENT INFORMATION - Financial

SEGMENT INFORMATION - Financial information for segments (Details)	3 Months Ended		9 Months Ended
	Dec. 31, 2022 USD ($)	Dec. 31, 2021 USD ($)	Dec. 31, 2022 USD ($) subsidiary	Dec. 31, 2021 USD ($)
SEGMENT INFORMATION
Number of reportable segment | subsidiary			2
Net sales from external customers	$ 8,327,345	$ 6,511,325	$ 23,926,349	$ 14,720,964
Total operating income (loss)	274,315	(1,145,825)	(371,117)	(1,288,746)
ERTC refundable credits			624,045
PPP loan forgiveness				1,317,100
Other income	254	1,999	40,590	13,390
Interest expense	(93,603)	(94,721)	(260,978)	(181,494)
Income (loss) before income taxes	180,966	(1,238,547)	32,540	(139,750)
Depreciation and amortization			1,666,741	978,517
Capital expenditures			663,033	436,531
Corporate and unallocated
SEGMENT INFORMATION
Total operating income (loss)	(498,959)	(710,513)	(1,673,697)	(1,724,896)
Ranor
SEGMENT INFORMATION
Net sales from external customers	4,735,459	2,790,254	14,395,043	9,741,267
Total operating income (loss)	1,334,565	(243,945)	4,077,962	586,512
Depreciation and amortization			391,172	477,327
Capital expenditures			175,873	387,714
Stadco
SEGMENT INFORMATION
Net sales from external customers	3,591,886	3,721,071	9,531,306	4,979,697
Total operating income (loss)	$ (561,291)	$ (191,367)	(2,775,382)	(150,362)
Depreciation and amortization			1,275,569	501,190
Capital expenditures			$ 487,160	$ 48,817