Sonoma Pharmaceuticals (SNOA) 10-Q 11 Feb 22 2022 Q3 Quarterly report Financial data

Cover

Cover - shares	9 Months Ended
	Dec. 31, 2021	Feb. 11, 2022
Cover [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Quarterly Report	true
Document Transition Report	false
Document Period End Date	Dec. 31, 2021
Document Fiscal Period Focus	Q3
Document Fiscal Year Focus	2022
Current Fiscal Year End Date	--03-31
Entity File Number	001-33216
Entity Registrant Name	SONOMA PHARMACEUTICALS, INC
Entity Central Index Key	0001367083
Entity Tax Identification Number	68-0423298
Entity Incorporation, State or Country Code	DE
Entity Address, Address Line One	645 Molly Lane
Entity Address, Address Line Two	Suite 150
Entity Address, City or Town	Woodstock
Entity Address, State or Province	GA
Entity Address, Postal Zip Code	30189
City Area Code	(800)
Local Phone Number	759-9305
Title of 12(b) Security	Common Stock, $0.0001 par value
Trading Symbol	SNOA
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		3,097,674

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets (Unaudited) - USD ($)	Dec. 31, 2021	Mar. 31, 2021
Current assets:
Cash and cash equivalents	$ 8,529,000	$ 4,220,000
Accounts receivable, net	2,854,000	2,806,000
Inventories, net	2,879,000	2,530,000
Prepaid expenses and other current assets	3,226,000	3,218,000
Current portion of deferred consideration, net of discount	211,000	209,000
Total current assets	17,699,000	12,983,000
Property and equipment, net	299,000	360,000
Operating lease, right of use assets	623,000	769,000
Deferred consideration, net of discount, less current portion	651,000	763,000
Other assets	75,000	112,000
Total assets	19,347,000	14,987,000
Current liabilities:
Accounts payable	1,583,000	1,769,000
Accrued expenses and other current liabilities	1,292,000	1,154,000
Deferred revenue	100,000	267,000
Deferred revenue Invekra	52,000	52,000
Current portion of debt – PPP	587,000
Current portion of long-term debt		596,000
Operating lease liabilities	261,000	240,000
Total current liabilities	3,875,000	4,078,000
Long-term deferred revenue Invekra	190,000	229,000
Long-term debt, less current portion – PPP		1,310,000
Withholding tax payable	3,751,000	3,478,000
Operating lease liabilities, less current portion	362,000	529,000
Total liabilities	8,178,000	9,624,000
Commitments and Contingencies (Note 6)	0	0
Stockholders’ Equity:
Convertible preferred stock, $0.0001 par value; 714,286 shares authorized at December 31, 2021 and March 31, 2021, 0 shares issued and outstanding at December 31, 2021 and March 31, 2021	0	0
Common stock, $0.0001 par value; 24,000,000 shares authorized December 31, 2021 and March 31, 2021, 3,099,341 and 2,092,909 shares issued and outstanding at December 31, 2021 and March 31, 2021, respectively (Note 9)	3,000	2,000
Additional paid-in capital	197,156,000	189,217,000
Accumulated deficit	(181,419,000)	(179,277,000)
Accumulated other comprehensive loss	(4,571,000)	(4,579,000)
Total stockholders’ equity	11,169,000	5,363,000
Total liabilities and stockholders’ equity	$ 19,347,000	$ 14,987,000

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Unaudited) (Parenthetical) - $ / shares	Dec. 31, 2021	Mar. 31, 2021
Convertible preferred stock par value	$ 0.0001
Common stock par value	$ 0.0001	$ 0.0001
Common Stock, Shares Authorized	24,000,000	24,000,000
Common Stock, Shares, Issued	2,092,909	2,092,909
Common Stock, Shares, Outstanding	2,092,909	2,092,909
Convertible Preferred Stock [Member]
Convertible preferred stock par value	$ 0.0001	$ 0.0001
Convertible preferred stock shares authorized	714,286	714,286
Convertible preferred stock shares issued	0	0
Convertible preferred stock shares outstanding	0	0

Condensed Consolidated Statemen

Condensed Consolidated Statements of Comprehensive Income (Loss) (Unaudited) - USD ($)	3 Months Ended		9 Months Ended
	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2021	Dec. 31, 2020
Income Statement [Abstract]
Revenues	$ 2,902,000	$ 4,936,000	$ 10,330,000	$ 16,472,000
Cost of revenues	1,699,000	2,941,000	6,433,000	9,719,000
Gross profit	1,203,000	1,995,000	3,897,000	6,753,000
Operating expenses
Research and development	26,000	33,000	121,000	425,000
Selling, general and administrative	2,135,000	2,100,000	6,603,000	6,963,000
Total operating expenses	2,161,000	2,133,000	6,724,000	7,388,000
Loss from operations	(958,000)	(138,000)	(2,827,000)	(635,000)
Interest income (expense), net	3,000	(2,000)	(1,000)	2,000
Other income (expense), net	11,000	(490,000)	542,000	(687,000)
Gain on sale of assets	0	4,000	150,000	137,000
Loss from continuing operations	(944,000)	(626,000)	(2,136,000)	(1,183,000)
Income tax expense	0	0	(6,000)	0
Income (loss) from discontinued operations (Note 4)	0	(24,000)	0	893,000
Net loss	$ (944,000)	$ (650,000)	$ (2,142,000)	$ (290,000)
Net income (loss) per share: basic
Continuing operations	$ (0.31)	$ (0.31)	$ (0.85)	$ (0.60)
Discontinued operations	0	(0.01)	0	0.45
Total basic net income (loss) per share	(0.31)	(0.32)	(0.85)	(0.15)
Net income (loss) per share: diluted
Continuing operations	(0.31)	(0.31)	(0.85)	(0.60)
Total diluted net income (loss) per share	$ (0.31)	$ (0.32)	$ (0.85)	$ (0.15)
Weighted-average number of shares used in per common share calculations: basic	3,080	2,052	2,507	1,967
Weighted-average number of shares used in per common share calculations: diluted	3,080	2,052	2,507	1,967
Other comprehensive income (loss)
Foreign currency translation adjustments	$ (65,000)	$ 1,020,000	$ 8,000	$ 1,375,000
Comprehensive income (loss)	$ (1,009,000)	$ 370,000	$ (2,134,000)	$ 1,085,000

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($)	9 Months Ended
	Dec. 31, 2021	Dec. 31, 2020
Cash flows from operating activities
Net income (loss)	$ (2,142,000)	$ (290,000)
Adjustments to reconcile net income (loss) to net cash used in operating activities:
Depreciation and amortization	137,000	187,000
Forgiveness of PPP loan	(723,000)
Stock-based compensation	170,000	316,000
Gain on sale of assets	(150,000)	(770,000)
Changes in operating assets and liabilities:
Accounts receivable	(58,000)	464,000
Inventories	(366,000)	(403,000)
Prepaid expenses and other current assets	114,000	(413,000)
Deferred consideration	(2,000)	110,000
Operating lease, right of use assets	148,000	306,000
Accounts payable	(189,000)	(168,000)
Accrued expenses and other current liabilities	137,000	(779,000)
Deferred revenue	(57,000)	(119,000)
Operating lease liabilities	(145,000)	(343,000)
Withholding tax payable	273,000
Net cash used in operating activities	(2,853,000)	(1,902,000)
Cash flows from investing activities:
Purchases of property and equipment	(75,000)	(174,000)
Other assets	37,000	(44,000)
Proceeds from sale of assets	0	610,000
Net cash (used in) provided by investing activities	(38,000)	392,000
Cash flows from financing activities:
Proceeds from issuance of common stock, net of issuance costs	7,554,000	0
Proceeds from exercise of common stock options and purchase warrants	216,000	2,210,000
Proceeds from PPP loan	0	1,310,000
Principal payments on long-term debt	(596,000)	(481,000)
Net cash provided by financing activities	7,174,000	3,039,000
Effect of exchange rate on cash and cash equivalents	26,000	321,000
Net increase in cash and cash equivalents	4,309,000	1,850,000
Cash and cash equivalents, beginning of period	4,220,000	3,691,000
Cash and cash equivalents, end of period	8,529,000	5,541,000
Supplemental disclosure of cash flow information:
Cash paid for interest	$ 12,000	$ 12,000

Condensed Consolidated Statem_3

Condensed Consolidated Statements of Changes in Stockholder's Equity (Unaudited) - USD ($) $ in Thousands	Series C Convertible Preferred Stock [Member]	Common Stock [Member]	Additional Paid-in Capital [Member]	Retained Earnings [Member]	AOCI Attributable to Parent [Member]	Total
Beginning balance, value at Mar. 31, 2020		$ 2	$ 186,559	$ (172,246)	$ (5,610)	$ 8,705
Beginning balance, shares at Mar. 31, 2020	1.55	1,777,483
Stock based compensation related to common stock restricted stock grants			18			18
Stock based compensation related to common stock restricted stock grants, shares		3,086
Stock based compensation, net of forfeitures			45			45
Issuance of common stock due to warrant exercises			1,490			1,490
Issuance of common stock due to warrant exercises, shares		169,167
Conversion of Series C convertible preferred stock into common stock
Conversion of Series C convertible preferred stock into common stock, shares		17,222
Foreign currency translation adjustment					167	167
Net loss				240		240
Ending balance, value at Jun. 30, 2020		$ 2	188,112	(172,006)	(5,443)	10,665
Ending balance, shares at Jun. 30, 2020		1,966,958
Stock based compensation, net of forfeitures			160			160
Issuance of common stock due to options exercises			429			429
Issuance of common stock due to options exercises, Shares		74,451
Foreign currency translation adjustment					188	188
Net loss				120		120
Ending balance, value at Sep. 30, 2020		$ 2	188,701	(171,886)	(5,255)	11,562
Ending balance, shares at Sep. 30, 2020		2,041,409
Stock based compensation related to common stock options			90			90
Stock based compensation related to common stock restricted stock grants			3			3
Stock based compensation related to common stock restricted stock grants, shares		833
Issuance of common stock due to options exercises			22			22
Issuance of common stock due to options exercises, Shares		5,000
Issuance of common stock due to warrant exercises			269			269
Issuance of common stock due to warrant exercises, shares		31,817
Foreign currency translation adjustment					1,020	1,020
Net loss				(650)		(650)
Ending balance, value at Dec. 31, 2020		$ 2	189,085	(172,536)	(4,235)	12,316
Ending balance, shares at Dec. 31, 2020		2,079,059
Beginning balance, value at Mar. 31, 2021		$ 2	189,217	(179,277)	(4,579)	5,363
Beginning balance, shares at Mar. 31, 2021		2,092,909
Conversion of Series C convertible preferred stock into common stock, shares	(1.55)
Transaction costs related to ATM agreement offering			(10)			(10)
Employee stock-based compensation expense			56			56
Stock based compensation related to issuance of restricted common stock			3			3
Foreign currency translation adjustment					307	307
Net loss				(1,098)		(1,098)
Ending balance, value at Jun. 30, 2021		$ 2	189,266	(180,375)	(4,272)	4,621
Ending balance, shares at Jun. 30, 2021		2,092,909
Beginning balance, value at Mar. 31, 2021		$ 2	189,217	(179,277)	(4,579)	5,363
Beginning balance, shares at Mar. 31, 2021		2,092,909
Ending balance, value at Dec. 31, 2021		$ 3	197,156	(181,419)	(4,571)	11,169
Ending balance, shares at Dec. 31, 2021		3,099,341
Beginning balance, value at Jun. 30, 2021		$ 2	189,266	(180,375)	(4,272)	4,621
Beginning balance, shares at Jun. 30, 2021		2,092,909
Issuance of common stock in connection with ATM, net of transaction costs		$ 1	6,901			6,902
Issuance of common stock in connection with ATM, net of transaction costs, Shares		855,500
Issuance of common stock due to options exercises			193			193
Issuance of common stock due to options exercises, Shares		44,042
Issuance of common stock due to warrant exercises			23			23
Issuance of common stock due to warrant exercises, shares		12,290
Employee stock-based compensation expense			52			52
Stock based compensation related to issuance of restricted common stock			3			3
Foreign currency translation adjustment					(234)	(234)
Net loss				(100)		(100)
Ending balance, value at Sep. 30, 2021		$ 3	196,438	(180,475)	(4,506)	11,460
Ending balance, shares at Sep. 30, 2021		3,004,741
Shares issued in connection with ATM, net of transaction costs			662			662
Shares issued in connection with ATM, net of transaction costs, shares		94,600
Employee stock-based compensation expense			56			56
Foreign currency translation adjustment					(65)	(65)
Net loss				(944)		(944)
Ending balance, value at Dec. 31, 2021		$ 3	$ 197,156	$ (181,419)	$ (4,571)	$ 11,169
Ending balance, shares at Dec. 31, 2021		3,099,341

Organization and Recent Develop

Organization and Recent Developments	9 Months Ended
	Dec. 31, 2021
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Organization and Recent Developments	Note 1. Organization and Recent Developments Organization Sonoma Pharmaceuticals, Inc. (the “Company”) was incorporated under the laws of the State of California in April 1999 and was reincorporated under the laws of the State of Delaware in December 2006. The Company’s principal office was moved to Woodstock, Georgia from Petaluma, California in June 2020. The Company is a global healthcare leader for developing and producing stabilized hypochlorous acid (“HOCl”) products for a wide range of applications, including wound care, animal health care, eye care, oral care, nasal care, dermatological conditions and disinfectants. The Company’s products reduce infections, itch, pain, scarring and harmful inflammatory responses in a safe and effective manner. In-vitro and clinical studies of HOCl show it to have impressive antipruritic, antimicrobial, antiviral and anti-inflammatory properties. The Company’s stabilized HOCl immediately relieves itch and pain, kills pathogens and breaks down biofilm, does not sting or irritate skin and oxygenates the cells in the area treated assisting the body in its natural healing process. The Company sells its products either directly or via partners in 54 countries worldwide. Impact of Coronavirus On March 11, 2020, the World Health Organization declared the novel strain of coronavirus (COVID-19) a global pandemic and recommended containment and mitigation measures worldwide. In an effort to mitigate the continued spread of the virus, federal, state and local governments, as well as certain private entities have mandated various restrictions, including travel restrictions, restrictions on public gatherings and quarantining of people who may have been exposed to the virus. As a result of these restrictions, together with a general fear of the impact on the global economy and financial markets, there is significant uncertainty surrounding the potential impact on the Company. As events are rapidly changing, the Company is unable to accurately predict the impact that the coronavirus will have on its business due to uncertainties including, but not limited to, the duration of quarantines and other travel restrictions within the U.S. and other affected countries, the ultimate geographical spread of the virus, the severity of the disease, the duration of the outbreak and the public’s response to the outbreak. Basis of Presentation The accompanying unaudited condensed consolidated financial statements as of December 31, 2021 and for the three and nine months then ended have been prepared in accordance with the accounting principles generally accepted in the United States of America for interim financial information and pursuant to the instructions to Form 10-Q and Article 8 of Regulation S-X of the Securities and Exchange Commission (“SEC”) and on the same basis as the Company prepares its annual audited consolidated financial statements. The condensed consolidated balance sheet as of December 31, 2021, the condensed consolidated statements of comprehensive income (loss) for the three and nine months ended December 31, 2021 and 2020, the cash flows for the nine months ended December 31, 2021 and 2020 and the condensed consolidated statement of stockholders’ equity for the three and nine months ended December 31, 2021 and 2020 are unaudited, but include all adjustments, consisting only of normal recurring adjustments, which the Company considers necessary for a fair presentation of the consolidated financial position, operating results and cash flows for the periods presented. The results for the three and nine months ended December 31, 2021 are not necessarily indicative of results to be expected for the year ending March 31, 2022 or for any future interim period. The condensed consolidated balance sheet at March 31, 2021 has been derived from audited consolidated financial statements. These unaudited condensed consolidated financial statements of the Company have been prepared in accordance with U.S. Generally Accepted Accounting Principles (“GAAP”) for interim financial information. Accordingly, they do not include all the information and notes required by GAAP for complete financial statements. The accompanying condensed consolidated financial statements should be read in conjunction with the consolidated financial statements for the year ended March 31, 2021 and notes thereto included in the Company’s annual report on Form 10-K, which was filed with the SEC on July 14, 2021.

Liquidity and Financial Conditi

Liquidity and Financial Condition	9 Months Ended
	Dec. 31, 2021
Liquidity And Financial Condition
Liquidity and Financial Condition	Note 2. Liquidity and Financial Condition The Company reported a net loss of $ 944,000 2,142,000 181,419,000 179,277,000 13,824,000 8,905,000 On June 24, 2020, the Company closed on an asset purchase agreement for the sale of its Micromed Laboratories division and testing facility, including all Micromed’s assets, such as testing equipment, certain office furniture and customer list, with Infinity Labs SD Inc. for an aggregate purchase price of $ 850,000 610,000 100,000 60,000 81,000 On May 1, 2020, the Company received loan proceeds in the amount of $ 1,310,000 The unsecured loan, which is in the form of a note dated April 29, 2020, matures on April 29, 2022 1 723,000 On May 29, June 1 and 2, 2020, the Company received proceeds of $ 1,799,000 On July 30, 2021, the Company entered into an At The Market Offering Agreement with HC Wainwright & Co., LLC under which the Company may issue and sell shares of its common stock from time to time through HC Wainwright acting as sales agent. The Company will pay HC Wainwright a commission of 3% of the gross proceeds from the sale of any shares of common stock under the Agreement. During the quarter ended December 31, 2021, the Company sold 94,600 700,000 662,000 950,100 7,901,000 7,554,000 Management believes that the Company has access to additional capital resources through possible public or private equity offerings, debt financings, corporate collaborations, or other means; however, the Company cannot provide any assurance that other new financings will be available on commercially acceptable terms, if needed. If the economic climate in the U.S. deteriorates, the Company’s ability to raise additional capital could be negatively impacted. If the Company is unable to secure additional capital, it may be required to take additional measures to reduce costs in order to conserve its cash in amounts sufficient to sustain operations and meet its obligations. These measures could cause significant delays in the Company’s continued efforts to commercialize its products, which is critical to the realization of its business plan and the future operations of the Company. These matters raise substantial doubt about the Company’s ability to continue as a going concern. The accompanying consolidated financial statements do not include any adjustments that may be necessary should the Company be unable to continue as a going concern.

Summary of Significant Accounti

Summary of Significant Accounting Policies	9 Months Ended
	Dec. 31, 2021
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	Note 3. Summary of Significant Accounting Policies Reclassification Certain amounts in the prior period financial statements have been reclassified to conform to the presentation of the current period financial statements. These reclassifications had no effect on the previously reported net loss. Use of Estimates The preparation of condensed consolidated financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent liabilities at the dates of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from these estimates. Significant estimates and assumptions include reserves and write-downs related to receivables and inventories, the recoverability of long-lived assets, the valuation allowance relating to the Company’s deferred tax assets, valuation of equity and derivative instruments, fair value allocation of assets sold to Invekra, Petagon, Microsafe and the estimated amortization periods of upfront product licensing fees received from customers. Periodically, the Company evaluates and adjusts estimates accordingly. Net Income (Loss) per Share The Company computes basic net income (loss) per share by dividing net income per share available to common stockholders by the weighted average number of common shares outstanding for the period and excludes the effects of any potentially dilutive securities. Diluted earnings per share, if presented, would include the dilution that would occur upon the exercise or conversion of all potentially dilutive securities into common stock using the “treasury stock” and/or “if converted” methods as applicable. Computation of earnings per share Three Months Ended December 31, Nine Months Ended December 31, (In thousands, except per share data) 2021 2020 2021 2020 Loss from continuing operations $ (944 ) $ (626 ) $ (2,142 ) $ (1,183 ) Income (loss) from discontinued operations – (24 ) – 893 Net loss $ (944 ) $ (650 ) $ (2,142 ) $ (290 ) Weighted-average number of common shares outstanding: basic and diluted 3,080 2,052 2,507 1,967 Loss per share from continuing operations $ (0.31 ) $ (0.31 ) $ (0.85 ) $ (0.60 ) Income (loss) per share from discontinued operations – (0.01 ) – 0.45 Net loss per share: basic and diluted $ (0.31 ) $ (0.32 ) $ (0.85 ) $ (0.15 ) The computation of basic loss per share for the three and nine months ended December 31, 2021, and 2020 excludes the potentially dilutive securities summarized in the table below because their inclusion would be anti-dilutive. Schedule of antidilutive shares Three Months Ended December 31, Nine Months Ended December 31, (In thousands) 2021 2020 2021 2020 Stock options 206 61 206 70 Restricted stock – 1 – 1 Warrants 106 119 106 119 Common stock units (1) 46 46 46 46 358 227 358 236 (1) Consists of 30,668 restricted stock units and warrants to purchase 15,332 shares of common stock Revenue Recognition On April 1, 2018, the Company adopted Accounting Standards Update (“ASU”), "Revenue from Contracts with Customers Topic 606 (“Topic 606”) using the modified retrospective method. There was no material impact to the Company upon the adoption of Topic 606. Revenue is recognized when the Company transfers promised goods or services to the customer, in an amount that reflects the consideration which the Company expects to receive in exchange for those goods or services. In determining the appropriate amount of revenue to be recognized as the Company fulfills its obligations under the agreement, the Company performs the following steps: (i) identification of the promised goods or services in the contract; (ii) determination of whether the promised goods or services are performance obligations, including whether they are distinct in the context of the contract; (iii) measurement of the transaction price, including the constraint on variable consideration; (iv) allocation of the transaction price to the performance obligations; and (v) recognition of revenue when (or as) the Company satisfies each performance obligation. The Company only applies the five-step model to contracts when it is probable that it will collect the consideration it is entitled to in exchange for the goods or services it transfers to the customer. The Company derives the majority of its revenue through sales of its products directly to end users and to distributors. The Company also sells products to a customer base, including hospitals, medical centers, doctors, pharmacies, distributors and wholesalers. The Company also has entered into agreements to license its technology and products. The Company also provides regulatory compliance testing and quality assurance services to medical device and pharmaceutical companies. The Company considers customer purchase orders, which in some cases are governed by master sales agreements, to be the contracts with a customer. For each contract, the Company considers the promise to transfer products, each of which are distinct, to be the identified performance obligations. In determining the transaction price, the Company evaluates whether the price is subject to refund or adjustment to determine the net consideration to which it expects to be entitled. For all of its sales to non-consignment distribution channels, revenue is recognized when control of the product is transferred to the customer (i.e. when its performance obligation is satisfied), which typically occurs when title passes to the customer upon shipment but could occur when the customer receives the product based on the terms of the agreement with the customer. For product sales to its value-added resellers, non-stocking distributors and end-user customers, the Company grants return privileges to its customers, and because the Company has a long history with its customers, the Company is able to estimate the amount of product that will be returned. Sales incentives and other programs that the Company may make available to these customers are considered to be a form of variable consideration, and the Company maintains estimated accruals and allowances using the expected value method. The Company has entered into consignment arrangements, in which goods are left in the possession of another party to sell. As products are sold from the customer to third parties, the Company recognizes revenue based on a variable percentage of a fixed price. Revenue recognized varies depending on whether a patient is covered by insurance or is not covered by insurance. In addition, the Company may incur a revenue deduction related to the use of the Company’s rebate program. Sales to stocking distributors are made under terms with fixed pricing and limited rights of return (known as “stock rotation”) of the Company’s products held in their inventory. Revenue from sales to distributors is recognized upon the transfer of control to the distributor. The Company assessed the promised goods and services in the technical support to Invekra for a ten-year period as being a distinct service that Invekra can benefit from on its own and is separately identifiable from any other promises within the contract. Given that the distinct service is not substantially the same as other goods and services within the Invekra contract, the Company accounted for the distinct service as a performance obligation. Disaggregation of Revenue The following table presents the Company’s disaggregated revenues by revenue source: Disaggregated Revenue by Source (In thousands) Three Months Ended December 31, Nine Months Ended December 31, Product 2021 2020 2021 2020 Human Care $ 2,015 $ 3,534 $ 7,201 $ 13,628 Animal Care 818 1,357 2,755 2,745 Service and Royalty 69 45 374 99 $ 2,902 $ 4,936 $ 10,330 $ 16,472 Accounts Receivable Trade accounts receivable are recorded net of allowances for cash discounts for prompt payment, doubtful accounts, and sales returns. Estimates for cash discounts and sales returns are based on analysis of contractual terms and historical trends. The Company’s policy is to reserve for uncollectible accounts based on its best estimate of the amount of probable credit losses in its existing accounts receivable. The Company periodically reviews its accounts receivable to determine whether an allowance for doubtful accounts is necessary based on an analysis of past due accounts and other factors that may indicate that the realization of an account may be in doubt. Other factors that the Company considers include its existing contractual obligations, historical payment patterns of its customers and individual customer circumstances, an analysis of days sales outstanding by customer and geographic region, and a review of the local economic environment and its potential impact on government funding and reimbursement practices. Account balances deemed to be uncollectible are charged to the allowance after all means of collection have been exhausted and the potential for recovery is considered remote. The allowance for doubtful accounts represents probable credit losses of $ 88,000 125,000 1,382,000 1,488,000 Inventories Inventories are stated at the lower of cost, cost being determined on a standard cost basis (which approximates actual cost on a first-in, first-out basis), or net realizable value. Due to changing market conditions, estimated future requirements, age of the inventories on hand and production of new products, the Company regularly reviews inventory quantities on hand and records a provision to write down excess and obsolete inventory to its estimated net realizable value. The Company recorded a provision to reduce the carrying amounts of inventories to their net realizable value in the amount of $ 238,000 223,000 Subsequent Events Management has evaluated subsequent events or transactions occurring through the date the condensed consolidated financial statements were issued. (See Note 13) Recent Accounting Standards Accounting standards that have been issued or proposed by the FASB, the SEC or other standard setting bodies that do not require adoption until a future date are not expected to have a material impact on the consolidated financial statements upon adoption.

Discontinued Operations_ Sale o

Discontinued Operations: Sale of Assets to Infinity Labs SD, Inc.	9 Months Ended
	Dec. 31, 2021
Discontinued Operations and Disposal Groups [Abstract]
Discontinued Operations: Sale of Assets to Infinity Labs SD, Inc.	Note 4. Discontinued Operations: Sale of Assets to Infinity Labs SD, Inc. On June 24, 2020, the Company closed on an asset purchase agreement for the sale of its Micromed Laboratories division and testing facility, including all of Micromed’s assets, such as testing equipment, certain office furniture and customer list, with Infinity Labs SD Inc. (“Infinity”) for an aggregate purchase price of $850,000. On the closing date, the Company received $610,000 in cash from this sale which was adjusted for working capital, a credit of $100,000 for future testing services from Infinity over the next two years in lieu of cash, and $60,000 held in escrow for one year, subject to adjustment for certain indemnity claims or purchase price adjustments. Since July 2021, the escrow was received. The Company also retained its accounts receivables outstanding on the date of closing in the amount of approximately $81,000 and an insignificant amount of liabilities. As part of the transaction, Infinity also assumed the Petaluma lease for the office and lab space. The Company retained the warehouse space to store inventory and assets until September 30, 2020. Accounting for the disposition For accounting purposes, the Company determined that there was only one discrete component of the sale to Infinity. This component was the customer base and related services to be provided. Component of Sale Methodology to Estimate Selling Price Customer Base Based upon revenues expected from a market participant to provide technical services at expected service levels The Company determined an arm’s length selling price for each component of the sale and then allocated the net proceeds received to the components on a relative selling price basis. The Company estimated the selling prices of each component as described below: Proceeds were allocated to the components of the sale based upon their relative selling prices are as follows: Schedule of allocation of sale price Customer base $ 850,000 Less: Funds remaining in escrow (60,000 ) Less: Services due from buyer (100,000 ) Less: Working capital adjustment (80,000 ) Total proceeds $ 610,000 Discontinued operations During the three months ended June 30, 2020, the Company’s Board of Directors approved the sale of certain assets related to the Micromed business. On June 24, 2020, the Company closed on an asset purchase agreement with Infinity Labs SD, Inc. The Company decided to divest the Micromed business, resulting in a strategic shift that had a major effect on its operations and financial results. Therefore, the divested Micromed operations meet the criteria to be reported as discontinued operations. There were no assets and liabilities of discontinued operations on the condensed consolidated balance sheets as of December 31, 2021, or March 31, 2021. Income (loss) from discontinued operations, net of tax for the three months ended December 31, 2021, and 2020 includes $ 0 24,000 0 893,000 Gain on disposal of discontinued operations for the nine months ended December 31, 2020, includes $ 795,000 The operations of the Micromed business included in discontinued operations is summarized as follows: Assets and liabilities of disposal group Three Months Ended December 31, Nine Months Ended December 31, 2021 2020 2021 2020 Revenues $ – $ – $ – $ 214,000 Cost of revenues – – – 53,000 Selling general and administrative expenses – (1,000 ) – 38,000 Income from discontinued operations before tax – 1,000 – 123,000 Gain on disposal of discontinued operations before income taxes – (25,000 ) – 770,000 Total income (loss) from discontinued operations, before tax – (24,000 ) – 893,000 Income tax benefit (expense) – – – – Income (loss) from discontinued operations, net of tax $ – $ (24,000 ) $ – $ 893,000

Condensed Consolidated Balanc_3

Condensed Consolidated Balance Sheet	9 Months Ended
	Dec. 31, 2021
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
Condensed Consolidated Balance Sheet	Note 5. Condensed Consolidated Balance Sheet Inventories, net Inventories, net consist of the following: Schedule of Inventories December 31, March 31, 2021 2021 Raw materials $ 1,627,000 $ 1,670,000 Finished goods 1,252,000 860,000 Inventories, net $ 2,879,000 $ 2,530,000 The Company reserved $ 238,000 223,000 Leases The Company's operating leases are comprised primarily of operating facility leases. The Company did not have any finance leases as of December 31, 2021, and March 31, 2021. Balance sheet information related to our leases is presented below: Lease information December 31, March 31, 2021 2021 Operating leases: Operating lease right-of-use assets $ 623,000 $ 769,000 Operating lease liabilities – current $ 261,000 $ 240,000 Operating lease liabilities – non- current $ 362,000 $ 529,000 Other information related to operating leases is presented below: Nine Months Ended December 31, 2021 Operating lease cost $ 274,000 Other information: Operating cash flows from operating leases $ 148,000 Weighted-average remaining lease term – operating leases (in months) 29.50 Weighted-average discount rate – operating leases 6.00 As of December 31, 2021, the annual minimum lease payments of our operating lease liabilities were as follows: Schedule of minimum operating lease liabilities For Years Ending March 31, 2022 (excluding the nine months ended December 31, 2021) $ 83,000 2023 292,000 2024 207,000 2025 103,000 2026 14,000 Thereafter – Total future minimum lease payments, undiscounted 699,000 Less: imputed interest (76,000 ) Present value of future minimum lease payments $ 623,000

Commitments and Contingencies

Commitments and Contingencies	9 Months Ended
	Dec. 31, 2021
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Note 6. Commitments and Contingencies Legal Matters The Company may be involved in legal matters arising in the ordinary course of business including matters involving proprietary technology. While management believes that such matters are currently insignificant, matters arising in the ordinary course of business for which the Company is or could become involved in litigation may have a material adverse effect on its business and financial condition of comprehensive loss. Employment Agreements As of December 31, 2021, the Company had employment agreements in place with three of its key executives. These executive employment agreements provide, among other things, for the payment of up to twelve months of severance compensation for terminations under certain circumstances. With respect to these agreements, at December 31, 2021, aggregated annual salaries would be $ 775,000 775,000 Related Party Transactions Effective September 25, 2019, Ms. Trombly was appointed the Chief Executive Officer of the Company. Ms. Trombly is the owner of Trombly Business Law, PC which has been retained by the Company to advise on certain corporate and securities law matters. During the three months ended December 31, 2021, and 2020, the Company incurred $ 30,000 51,000 136,000 165,000

Debt

Debt	9 Months Ended
	Dec. 31, 2021
Debt Disclosure [Abstract]
Debt	Note 7. Debt On May 1, 2020, the Company received loan proceeds in the amount of $ 1,310,000 April 29, 2022 1 723,000

Stockholders_ Equity

Stockholders’ Equity	9 Months Ended
	Dec. 31, 2021
Equity [Abstract]
Stockholders’ Equity	Note 8. Stockholders’ Equity Authorized Capital The Company is authorized to issue up to 24,000,000 0.0001 0.0001 At The Market Issuance of Common Stock On July 30, 2021, the Company entered into an At The Market Offering Agreement with HC Wainwright & Co., LLC under which the Company may issue and sell shares of its common stock from time to time through HC Wainwright acting as sales agent. The Company will pay HC Wainwright a commission of 3% of the gross proceeds from the sale of any shares of common stock under the Agreement. During the quarter ended December 31, 2021, the Company sold 94,600 662,000 950,100 7,554,000

Stock-Based Compensation

Stock-Based Compensation	9 Months Ended
	Dec. 31, 2021
Share-based Payment Arrangement [Abstract]
Stock-Based Compensation	Note 9. Stock-Based Compensation Stock-based compensation expense is as follows: Employee stock-based compensation expense Three Months Ended December 31, Nine Months Ended December 31, (In thousands) 2021 2020 2021 2020 Cost of revenues $ – $ – $ – $ (27 ) Research and development – – – 26 Selling, general and administrative 56 93 170 317 Total stock-based compensation $ 56 $ 93 $ 170 $ 316 At December 31, 2021, there were unrecognized compensation costs of $ 441,549 2.02 At December 31, 2021, there were no unrecognized compensation costs related to restricted stock. Stock options award activity is as follows: Schedule of option activity Number of Weighted- Weighted- Aggregate Outstanding at April 1, 2021 267,569 $ 25.16 – $ – Options granted – – – – Options exercised (44,042 ) 4.38 – 154,597 Options forfeited (3,500 ) 8.03 – – Options expired (13,996 ) 96.25 – – Outstanding at December 31, 2021 206,031 $ 25.06 7.47 $ 8,152 Exercisable at December 31, 2021 86,200 $ 48.74 5.32 $ 8,152 The aggregate intrinsic value of stock options is calculated as the difference between the exercise price of the underlying stock options and the fair value of the Company’s common stock, or $ 4.56 Restricted stock award activity is as follows: Schedule of unvested restricted stock activity Number of Shares Weighted Average Award Date Fair Value per Share Unvested restricted stock awards outstanding at April 1, 2021 833 $ 13.68 Restricted stock awards granted – – Restricted stock awards vested 833 13.68 Restricted stock awards forfeited – – Unvested restricted stock awards outstanding at December 31, 2021 – $ – The Company did not capitalize any cost associated with stock-based compensation. The Company issues new shares of common stock upon exercise of stock options or release of restricted stock awards. The Company issues new shares of common stock upon exercise of stock-based awards.

Income Taxes

Income Taxes	9 Months Ended
	Dec. 31, 2021
Income Tax Disclosure [Abstract]
Income Taxes	Note 10. Income Taxes Deferred tax assets and liabilities are determined based on the differences between the financial reporting and tax bases of assets and liabilities and net operating loss and credit carryforwards using enacted tax rates in effect for the year in which the differences are expected to impact taxable income. Valuation allowances are established when necessary to reduce deferred tax assets to the amounts expected to be realized. The Company only recognizes tax benefits from an uncertain tax position if it is more likely than not that the tax position will be sustained on examination by the taxing authorities, based on the technical merits of the position. The tax benefits recognized in the financial statements from such a position are measured based on the largest benefit that has a greater than fifty percent likelihood of being realized upon ultimate resolution. To date, the Company has not recognized such tax benefits in its consolidated financial statements. The Company does not have any tax positions for which it is reasonably possible the total amount of gross unrecognized tax benefits will increase or decrease within twelve months of December 31, 2021. The unrecognized tax benefits may increase or change during the next year for items that arise in the ordinary course of business.

Geographic Information

Geographic Information	9 Months Ended
	Dec. 31, 2021
Segment Reporting [Abstract]
Geographic Information	Note 11. Geographic Information The Company generates revenues from products, which are sold into the human and animal healthcare markets. The following table shows the Company’s revenues by geographic region: Schedule of geographic sales Three Months Ended December 31, Nine Months Ended December 31, (In thousands) 2021 2020 2021 2020 United States $ 933 $ 1,978 $ 3,872 $ 5,582 Latin America 273 1,307 1,356 5,659 Europe and Rest of the World 1,696 1,651 5,102 5,231 Total $ 2,902 $ 4,936 $ 10,330 $ 16,472

Significant Customer Concentrat

Significant Customer Concentrations	9 Months Ended
	Dec. 31, 2021
Risks and Uncertainties [Abstract]
Significant Customer Concentrations	Note 12. Significant Customer Concentrations For the three months ended December 31, 2021, one customer represented 22 23 13 For the three months ended December 31, 2020, one customer represented 26 24 34 14

Subsequent Events

Subsequent Events	9 Months Ended
	Dec. 31, 2021
Subsequent Events [Abstract]
Subsequent Events	Note 13. Subsequent Events Option Grants On January 14, 2022, the Company awarded stock options to certain executive officers, directors and employees of the Company. The grant was part of the annual company-wide grant to all employees in recognition of their services. The exercise price of the options is based on the closing price of our common stock of $4.60 per share on January 14, 2022, and the options vest in three equal tranches on the first, second and third anniversary of the grant date. All options vest upon change of control. Any unvested options will expire if the employment of the respective executive terminates prior to the vesting date. Each director and each of the following executive officers received 30,000 options each: Amy Trombly, Chief Executive Officer, Jerry Dvonch, Chief Financial Officer, and Bruce Thornton, Chief Operations Officer.

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	9 Months Ended
	Dec. 31, 2021
Accounting Policies [Abstract]
Reclassification	Reclassification Certain amounts in the prior period financial statements have been reclassified to conform to the presentation of the current period financial statements. These reclassifications had no effect on the previously reported net loss.
Use of Estimates	Use of Estimates The preparation of condensed consolidated financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent liabilities at the dates of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from these estimates. Significant estimates and assumptions include reserves and write-downs related to receivables and inventories, the recoverability of long-lived assets, the valuation allowance relating to the Company’s deferred tax assets, valuation of equity and derivative instruments, fair value allocation of assets sold to Invekra, Petagon, Microsafe and the estimated amortization periods of upfront product licensing fees received from customers. Periodically, the Company evaluates and adjusts estimates accordingly.
Net Income (Loss) per Share	Net Income (Loss) per Share The Company computes basic net income (loss) per share by dividing net income per share available to common stockholders by the weighted average number of common shares outstanding for the period and excludes the effects of any potentially dilutive securities. Diluted earnings per share, if presented, would include the dilution that would occur upon the exercise or conversion of all potentially dilutive securities into common stock using the “treasury stock” and/or “if converted” methods as applicable. Computation of earnings per share Three Months Ended December 31, Nine Months Ended December 31, (In thousands, except per share data) 2021 2020 2021 2020 Loss from continuing operations $ (944 ) $ (626 ) $ (2,142 ) $ (1,183 ) Income (loss) from discontinued operations – (24 ) – 893 Net loss $ (944 ) $ (650 ) $ (2,142 ) $ (290 ) Weighted-average number of common shares outstanding: basic and diluted 3,080 2,052 2,507 1,967 Loss per share from continuing operations $ (0.31 ) $ (0.31 ) $ (0.85 ) $ (0.60 ) Income (loss) per share from discontinued operations – (0.01 ) – 0.45 Net loss per share: basic and diluted $ (0.31 ) $ (0.32 ) $ (0.85 ) $ (0.15 ) The computation of basic loss per share for the three and nine months ended December 31, 2021, and 2020 excludes the potentially dilutive securities summarized in the table below because their inclusion would be anti-dilutive. Schedule of antidilutive shares Three Months Ended December 31, Nine Months Ended December 31, (In thousands) 2021 2020 2021 2020 Stock options 206 61 206 70 Restricted stock – 1 – 1 Warrants 106 119 106 119 Common stock units (1) 46 46 46 46 358 227 358 236 (1) Consists of 30,668 restricted stock units and warrants to purchase 15,332 shares of common stock
Revenue Recognition	Revenue Recognition On April 1, 2018, the Company adopted Accounting Standards Update (“ASU”), "Revenue from Contracts with Customers Topic 606 (“Topic 606”) using the modified retrospective method. There was no material impact to the Company upon the adoption of Topic 606. Revenue is recognized when the Company transfers promised goods or services to the customer, in an amount that reflects the consideration which the Company expects to receive in exchange for those goods or services. In determining the appropriate amount of revenue to be recognized as the Company fulfills its obligations under the agreement, the Company performs the following steps: (i) identification of the promised goods or services in the contract; (ii) determination of whether the promised goods or services are performance obligations, including whether they are distinct in the context of the contract; (iii) measurement of the transaction price, including the constraint on variable consideration; (iv) allocation of the transaction price to the performance obligations; and (v) recognition of revenue when (or as) the Company satisfies each performance obligation. The Company only applies the five-step model to contracts when it is probable that it will collect the consideration it is entitled to in exchange for the goods or services it transfers to the customer. The Company derives the majority of its revenue through sales of its products directly to end users and to distributors. The Company also sells products to a customer base, including hospitals, medical centers, doctors, pharmacies, distributors and wholesalers. The Company also has entered into agreements to license its technology and products. The Company also provides regulatory compliance testing and quality assurance services to medical device and pharmaceutical companies. The Company considers customer purchase orders, which in some cases are governed by master sales agreements, to be the contracts with a customer. For each contract, the Company considers the promise to transfer products, each of which are distinct, to be the identified performance obligations. In determining the transaction price, the Company evaluates whether the price is subject to refund or adjustment to determine the net consideration to which it expects to be entitled. For all of its sales to non-consignment distribution channels, revenue is recognized when control of the product is transferred to the customer (i.e. when its performance obligation is satisfied), which typically occurs when title passes to the customer upon shipment but could occur when the customer receives the product based on the terms of the agreement with the customer. For product sales to its value-added resellers, non-stocking distributors and end-user customers, the Company grants return privileges to its customers, and because the Company has a long history with its customers, the Company is able to estimate the amount of product that will be returned. Sales incentives and other programs that the Company may make available to these customers are considered to be a form of variable consideration, and the Company maintains estimated accruals and allowances using the expected value method. The Company has entered into consignment arrangements, in which goods are left in the possession of another party to sell. As products are sold from the customer to third parties, the Company recognizes revenue based on a variable percentage of a fixed price. Revenue recognized varies depending on whether a patient is covered by insurance or is not covered by insurance. In addition, the Company may incur a revenue deduction related to the use of the Company’s rebate program. Sales to stocking distributors are made under terms with fixed pricing and limited rights of return (known as “stock rotation”) of the Company’s products held in their inventory. Revenue from sales to distributors is recognized upon the transfer of control to the distributor. The Company assessed the promised goods and services in the technical support to Invekra for a ten-year period as being a distinct service that Invekra can benefit from on its own and is separately identifiable from any other promises within the contract. Given that the distinct service is not substantially the same as other goods and services within the Invekra contract, the Company accounted for the distinct service as a performance obligation. Disaggregation of Revenue The following table presents the Company’s disaggregated revenues by revenue source: Disaggregated Revenue by Source (In thousands) Three Months Ended December 31, Nine Months Ended December 31, Product 2021 2020 2021 2020 Human Care $ 2,015 $ 3,534 $ 7,201 $ 13,628 Animal Care 818 1,357 2,755 2,745 Service and Royalty 69 45 374 99 $ 2,902 $ 4,936 $ 10,330 $ 16,472
Accounts Receivable	Accounts Receivable Trade accounts receivable are recorded net of allowances for cash discounts for prompt payment, doubtful accounts, and sales returns. Estimates for cash discounts and sales returns are based on analysis of contractual terms and historical trends. The Company’s policy is to reserve for uncollectible accounts based on its best estimate of the amount of probable credit losses in its existing accounts receivable. The Company periodically reviews its accounts receivable to determine whether an allowance for doubtful accounts is necessary based on an analysis of past due accounts and other factors that may indicate that the realization of an account may be in doubt. Other factors that the Company considers include its existing contractual obligations, historical payment patterns of its customers and individual customer circumstances, an analysis of days sales outstanding by customer and geographic region, and a review of the local economic environment and its potential impact on government funding and reimbursement practices. Account balances deemed to be uncollectible are charged to the allowance after all means of collection have been exhausted and the potential for recovery is considered remote. The allowance for doubtful accounts represents probable credit losses of $ 88,000 125,000 1,382,000 1,488,000
Inventories	Inventories Inventories are stated at the lower of cost, cost being determined on a standard cost basis (which approximates actual cost on a first-in, first-out basis), or net realizable value. Due to changing market conditions, estimated future requirements, age of the inventories on hand and production of new products, the Company regularly reviews inventory quantities on hand and records a provision to write down excess and obsolete inventory to its estimated net realizable value. The Company recorded a provision to reduce the carrying amounts of inventories to their net realizable value in the amount of $ 238,000 223,000
Subsequent Events	Subsequent Events Management has evaluated subsequent events or transactions occurring through the date the condensed consolidated financial statements were issued. (See Note 13)
Recent Accounting Standards	Recent Accounting Standards Accounting standards that have been issued or proposed by the FASB, the SEC or other standard setting bodies that do not require adoption until a future date are not expected to have a material impact on the consolidated financial statements upon adoption.

Summary of Significant Accoun_3

Summary of Significant Accounting Policies (Tables)	9 Months Ended
	Dec. 31, 2021
Accounting Policies [Abstract]
Computation of earnings per share	Computation of earnings per share Three Months Ended December 31, Nine Months Ended December 31, (In thousands, except per share data) 2021 2020 2021 2020 Loss from continuing operations $ (944 ) $ (626 ) $ (2,142 ) $ (1,183 ) Income (loss) from discontinued operations – (24 ) – 893 Net loss $ (944 ) $ (650 ) $ (2,142 ) $ (290 ) Weighted-average number of common shares outstanding: basic and diluted 3,080 2,052 2,507 1,967 Loss per share from continuing operations $ (0.31 ) $ (0.31 ) $ (0.85 ) $ (0.60 ) Income (loss) per share from discontinued operations – (0.01 ) – 0.45 Net loss per share: basic and diluted $ (0.31 ) $ (0.32 ) $ (0.85 ) $ (0.15 )
Schedule of antidilutive shares	Schedule of antidilutive shares Three Months Ended December 31, Nine Months Ended December 31, (In thousands) 2021 2020 2021 2020 Stock options 206 61 206 70 Restricted stock – 1 – 1 Warrants 106 119 106 119 Common stock units (1) 46 46 46 46 358 227 358 236
Disaggregated Revenue by Source	Disaggregated Revenue by Source (In thousands) Three Months Ended December 31, Nine Months Ended December 31, Product 2021 2020 2021 2020 Human Care $ 2,015 $ 3,534 $ 7,201 $ 13,628 Animal Care 818 1,357 2,755 2,745 Service and Royalty 69 45 374 99 $ 2,902 $ 4,936 $ 10,330 $ 16,472

Discontinued Operations_ Sale_2

Discontinued Operations: Sale of Assets to Infinity Labs SD, Inc. (Tables)	9 Months Ended
	Dec. 31, 2021
Discontinued Operations and Disposal Groups [Abstract]
Schedule of allocation of sale price	Schedule of allocation of sale price Customer base $ 850,000 Less: Funds remaining in escrow (60,000 ) Less: Services due from buyer (100,000 ) Less: Working capital adjustment (80,000 ) Total proceeds $ 610,000
Assets and liabilities of disposal group	Assets and liabilities of disposal group Three Months Ended December 31, Nine Months Ended December 31, 2021 2020 2021 2020 Revenues $ – $ – $ – $ 214,000 Cost of revenues – – – 53,000 Selling general and administrative expenses – (1,000 ) – 38,000 Income from discontinued operations before tax – 1,000 – 123,000 Gain on disposal of discontinued operations before income taxes – (25,000 ) – 770,000 Total income (loss) from discontinued operations, before tax – (24,000 ) – 893,000 Income tax benefit (expense) – – – – Income (loss) from discontinued operations, net of tax $ – $ (24,000 ) $ – $ 893,000

Condensed Consolidated Balanc_4

Condensed Consolidated Balance Sheet (Tables)	9 Months Ended
	Dec. 31, 2021
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
Schedule of Inventories	Schedule of Inventories December 31, March 31, 2021 2021 Raw materials $ 1,627,000 $ 1,670,000 Finished goods 1,252,000 860,000 Inventories, net $ 2,879,000 $ 2,530,000
Lease information	Lease information December 31, March 31, 2021 2021 Operating leases: Operating lease right-of-use assets $ 623,000 $ 769,000 Operating lease liabilities – current $ 261,000 $ 240,000 Operating lease liabilities – non- current $ 362,000 $ 529,000 Other information related to operating leases is presented below: Nine Months Ended December 31, 2021 Operating lease cost $ 274,000 Other information: Operating cash flows from operating leases $ 148,000 Weighted-average remaining lease term – operating leases (in months) 29.50 Weighted-average discount rate – operating leases 6.00
Schedule of minimum operating lease liabilities	Schedule of minimum operating lease liabilities For Years Ending March 31, 2022 (excluding the nine months ended December 31, 2021) $ 83,000 2023 292,000 2024 207,000 2025 103,000 2026 14,000 Thereafter – Total future minimum lease payments, undiscounted 699,000 Less: imputed interest (76,000 ) Present value of future minimum lease payments $ 623,000

Stock-Based Compensation (Table

Stock-Based Compensation (Tables)	9 Months Ended
	Dec. 31, 2021
Share-based Payment Arrangement [Abstract]
Employee stock-based compensation expense	Employee stock-based compensation expense Three Months Ended December 31, Nine Months Ended December 31, (In thousands) 2021 2020 2021 2020 Cost of revenues $ – $ – $ – $ (27 ) Research and development – – – 26 Selling, general and administrative 56 93 170 317 Total stock-based compensation $ 56 $ 93 $ 170 $ 316
Schedule of option activity	Schedule of option activity Number of Weighted- Weighted- Aggregate Outstanding at April 1, 2021 267,569 $ 25.16 – $ – Options granted – – – – Options exercised (44,042 ) 4.38 – 154,597 Options forfeited (3,500 ) 8.03 – – Options expired (13,996 ) 96.25 – – Outstanding at December 31, 2021 206,031 $ 25.06 7.47 $ 8,152 Exercisable at December 31, 2021 86,200 $ 48.74 5.32 $ 8,152
Schedule of unvested restricted stock activity	Schedule of unvested restricted stock activity Number of Shares Weighted Average Award Date Fair Value per Share Unvested restricted stock awards outstanding at April 1, 2021 833 $ 13.68 Restricted stock awards granted – – Restricted stock awards vested 833 13.68 Restricted stock awards forfeited – – Unvested restricted stock awards outstanding at December 31, 2021 – $ –

Geographic Information (Tables)

Geographic Information (Tables)	9 Months Ended
	Dec. 31, 2021
Segment Reporting [Abstract]
Schedule of geographic sales	Schedule of geographic sales Three Months Ended December 31, Nine Months Ended December 31, (In thousands) 2021 2020 2021 2020 United States $ 933 $ 1,978 $ 3,872 $ 5,582 Latin America 273 1,307 1,356 5,659 Europe and Rest of the World 1,696 1,651 5,102 5,231 Total $ 2,902 $ 4,936 $ 10,330 $ 16,472

Liquidity and Financial Condi_2

Liquidity and Financial Condition (Details Narrative) - USD ($)	May 01, 2020	Jun. 24, 2020	Jun. 02, 2020	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2021	Dec. 31, 2020	Mar. 31, 2021
FinancialOverviewLineItems [Line Items]
Net loss				$ 944,000	$ 650,000	$ 2,142,000	$ 290,000
Net loss				944,000	$ 650,000	2,142,000	290,000
Accumulated deficit				181,419,000		181,419,000		$ 179,277,000
Working capital				$ 13,824,000		13,824,000		$ 8,905,000
Cash received from sale of Micromed						0	610,000
Forgiveness of PPP Loan						$ 723,000
Stock issued during period, shares				94,600		950,100
Gross proceeds from issuance of stock				$ 700,000		$ 7,901,000
Net proceeds				$ 662,000		7,554,000	$ 0
November 2018 Common Stock Purchase Warrants [Member]
FinancialOverviewLineItems [Line Items]
Proceeds from exercise of warrants			$ 1,799,000
States Bank In Atlanta [Member] | Paycheck Protection Program [Member]
FinancialOverviewLineItems [Line Items]
Proceeds from Loans	$ 1,310,000
Debt Instrument, Maturity Date	Apr. 29, 2022
Debt Instrument, Interest Rate, Stated Percentage	1.00%
Forgiveness of PPP Loan						$ 723,000
Asset Purchase Agreement [Member]
FinancialOverviewLineItems [Line Items]
Aggregate sale price of Micromed division		$ 850,000
Cash received from sale of Micromed		610,000
Credit received for future testing services from sale of Micromed		100,000
Sale of assets, amount held in escrow		60,000
Accounts receivable remaining from sale of asset		$ 81,000

Summary of Significant Accoun_4

Summary of Significant Accounting Policies (Details - Earnings per share) - USD ($)	3 Months Ended		9 Months Ended
	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2021	Dec. 31, 2020
Accounting Policies [Abstract]
Loss from continuing operations	$ (944,000)	$ (626,000)	$ (2,142,000)	$ (1,183,000)
Income (loss) from discontinued operations	0	(24,000)	0	893,000
Net loss	$ (944,000)	$ (650,000)	$ (2,142,000)	$ (290,000)
Weighted-average number of common shares outstanding: basic and diluted	3,080	2,052	2,507	1,967
Loss per share from continuing operations	$ (0.31)	$ (0.31)	$ (0.85)	$ (0.60)
Income (loss) per share from discontinued operations	0	(0.01)	0	0.45
Net loss per share: basic and diluted	$ (0.31)	$ (0.32)	$ (0.85)	$ (0.15)

Summary of Significant Accoun_5

Summary of Significant Accounting Policies (Details - Antidilutive shares) - shares	3 Months Ended		9 Months Ended
	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2021	Dec. 31, 2020
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive shares	358	227	358	236
Equity Option [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive shares	206	61	206	70
Restricted Stock Units (RSUs) [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive shares	0	1	0	1
Warrant [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive shares	106	119	106	119
Common Stock Units [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive shares	46	46	46	46

Summary of Significant Accoun_6

Summary of Significant Accounting Policies (Details - Disaggregation of revenue) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2021	Dec. 31, 2020
Product Information [Line Items]
Revenues	$ 2,902	$ 4,936	$ 10,330	$ 16,472
Product [Member] | Human Care [Member]
Product Information [Line Items]
Revenues	2,015	3,534	7,201	13,628
Product [Member] | Animal Care [Member]
Product Information [Line Items]
Revenues	818	1,357	2,755	2,745
Product [Member] | Service And Royalty [Member]
Product Information [Line Items]
Revenues	$ 69	$ 45	$ 374	$ 99

Summary of Significant Accoun_7

Summary of Significant Accounting Policies (Details Narrative) - USD ($)	Dec. 31, 2021	Mar. 31, 2021
Accounting Policies [Abstract]
Allowance for doubtful accounts	$ 88,000	$ 125,000
Allowance for potential discounts, returns, distributor fees and rebates	1,382,000	1,488,000
Inventory Valuation Reserves	$ 238,000	$ 223,000

Discontinued Operations_ Sale_3

Discontinued Operations: Sale of Assets to Infinity Labs SD, Inc (Details - Components of sale) - Micromed Labs [Member]	3 Months Ended
	Jun. 24, 2020USD ($)
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Customer base	$ 850,000
Less: Funds remaining in escrow	(60,000)
Less: Services due from buyer	(100,000)
Less: Working capital adjustment	(80,000)
Proceeds from sale of business	$ 610,000

Discontinued Operations_ Sale_4

Discontinued Operations: Sale of Assets to Infinity Labs SD, Inc (Details - Discontinued Operations) - USD ($)	3 Months Ended		9 Months Ended
	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2021	Dec. 31, 2020
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Total income (loss) from discontinued operations, before tax	$ 0	$ (24,000)	$ 0	$ 893,000
Micromed Labs [Member]
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Revenues	0	0	0	214,000
Cost of revenues	0	0	0	53,000
Selling general and administrative expenses		(1,000)		38,000
Income from discontinued operations before tax	0	1,000	0	123,000
Gain on disposal of discontinued operations before income taxes	0	(25,000)	0	770,000
Total income (loss) from discontinued operations, before tax	0	(24,000)	0	893,000
Income tax benefit (expense)	0	0	0	0
Income (loss) from discontinued operations, net of tax	$ 0	$ (24,000)	$ 0	$ 893,000

Discontinued Operations_ Sale_5

Discontinued Operations: Sale of Assets to Infinity Labs SD, Inc. (Details Narrative) - USD ($)	3 Months Ended		9 Months Ended
	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2021	Dec. 31, 2020
Discontinued Operations and Disposal Groups [Abstract]
Income (loss) from discontinued operations, net of tax	$ 0	$ (24,000)	$ 0	$ 893,000
Income (loss) from discontinued operations, net of tax	$ 0	$ 24,000	$ 0	(893,000)
Gain on disposal of discontinued operations				$ 795,000

Condensed Consolidated Balanc_5

Condensed Consolidated Balance Sheets (Details - Inventories) - USD ($)	Dec. 31, 2021	Mar. 31, 2021
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
Raw materials	$ 1,627,000	$ 1,670,000
Finished goods	1,252,000	860,000
Inventories, net	$ 2,879,000	$ 2,530,000

Condensed Consolidated Balanc_6

Condensed Consolidated Balance Sheets (Details - Operating lease information) - USD ($) $ in Thousands	9 Months Ended
	Dec. 31, 2021	Mar. 31, 2021
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
Operating lease right-of-use assets	$ 623	$ 769
Operating lease liabilities - current	261	240
Operating lease liabilities - non-current	362	$ 529
Operating lease cost	274
Operating cash flows from operating leases	$ 148
Weighted-average remaining lease term - operating leases (in months)	29 months 15 days
Operating Lease, Weighted Average Discount Rate, Percent	6.00%

Condensed Consolidated Balanc_7

Condensed Consolidated Balance Sheets (Details - Minimum lease payments)	Dec. 31, 2021USD ($)
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
2022 (excluding the nine months ended December 31, 2021)	$ 83,000
2023	292,000
2024	207,000
2025	103,000
2026	14,000
Thereafter	0
Total future minimum lease payments, undiscounted	699,000
Less: imputed interest	(76,000)
Present value of future minimum lease payments	$ 623,000

Condensed Consolidated Balanc_8

Condensed Consolidated Balance Sheet (Details Narrative) - USD ($)	Dec. 31, 2021	Mar. 31, 2021
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
Inventory reserved for obsolescence	$ 238,000	$ 223,000

Commitments and Contingencies (

Commitments and Contingencies (Details Narrative) - USD ($)	3 Months Ended		9 Months Ended
	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2021	Dec. 31, 2020
Other Commitments [Line Items]
Annual salaries			$ 775,000
Potential severance			775,000
Trombly Business Law [Member]
Other Commitments [Line Items]
Legal fees	$ 30,000	$ 51,000	$ 136,000	$ 165,000

Debt (Details Narrative)

Debt (Details Narrative) - USD ($) $ in Thousands	Sep. 03, 2021	May 02, 2020
Defined Benefit Plan Disclosure [Line Items]
Approval for forgiveness	$ 723,000
States Bank In Atlanta [Member] | Paycheck Protection Program [Member]
Defined Benefit Plan Disclosure [Line Items]
Proceeds from loan		$ 1,310,000
Debt maturity date		Apr. 29, 2022
Interest rate		1.00%

Stockholders_ Equity (Details N

Stockholders’ Equity (Details Narrative) - USD ($)	3 Months Ended	9 Months Ended
	Dec. 31, 2021	Dec. 31, 2021	Dec. 31, 2020	Mar. 31, 2021
Equity [Abstract]
Common Stock, Par or Stated Value Per Share	24,000,000	24,000,000		24,000,000
Common Stock, Par or Stated Value Per Share	$ 0.0001	$ 0.0001		$ 0.0001
Convertible preferred stock par value	$ 0.0001	$ 0.0001
Number of common stock sold	94,600	950,100
Proceeds from Issuances of Common Stock	$ 662,000
Proceeds from Issuance of Common Stock	$ 662,000	$ 7,554,000	$ 0

Stock-Based Compensation (Detai

Stock-Based Compensation (Details-Stock-based compensation) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2021	Dec. 31, 2020
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation	$ 56	$ 93	$ 170	$ 316
Cost of Sales [Member]
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation	0	0	0	(27)
Research and Development Expense [Member]
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation	0	0	0	26
Selling, General and Administrative Expenses [Member]
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation	$ 56	$ 93	$ 170	$ 317

Stock-Based Compensation (Det_2

Stock-Based Compensation (Details-Option activity) - Equity Option [Member]	9 Months Ended
	Dec. 31, 2021USD ($)$ / sharesshares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Options outstanding | shares	267,569
Options outstanding | $ / shares	$ 25.16
Outstanding at beginning of period | $
Options granted | shares	0
Options granted | $ / shares
Options exercised | shares	(44,042)
Options exercised | $ / shares	$ 4.38
Options exercised intrinsic value | $	$ 154,597
Options forfeited | shares	(3,500)
Options forfeited | $ / shares	$ 8.03
Options expired | shares	(13,996)
Options expired | $ / shares	$ 96.25
Options outstanding | shares	206,031
Options outstanding | $ / shares	$ 25.06
Options outstanding weighted average contractual term	7 years 5 months 19 days
Options outstanding intrinsic value | $	$ 8,152
Options exercisable | shares	86,200
Options exercisable | $ / shares	$ 48.74
Options exercisable weighted average contractual term	5 years 3 months 25 days
Options exercisable intrinsic value | $	$ 8,152

Stock-Based Compensation (Det_3

Stock-Based Compensation (Details-Restricted stock activity) - Restricted Stock [Member]	9 Months Ended
	Dec. 31, 2021$ / sharesshares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unvested restricted stock awards, beginning balance | shares	833
Weighted average award date fair value per share, outstanding beginning balance | $ / shares	$ 13.68
Restricted stock awards granted | shares	0
Weighted average award date fair value per share, granted | $ / shares
Restricted stock awards vested | shares	833
Weighted average award date fair value per share, vested | $ / shares	$ 13.68
Restricted stock awards forfeited | shares	0
Weighted average award date fair value per share, forfeited | $ / shares
Unvested restricted stock awards, ending balance | shares	0
Weighted average award date fair value per share, outstanding ending balance | $ / shares

Stock-Based Compensation (Det_4

Stock-Based Compensation (Details Narrative) - Equity Option [Member]	9 Months Ended
	Dec. 31, 2021USD ($)$ / shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized compensation costs - Options | $	$ 441,549
Weighted average amortization period	2 years 7 days
Aggregate intrinsic value per share | $ / shares	$ 4.56

Geographic Information (Details

Geographic Information (Details - Geographic regions) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2021	Dec. 31, 2020
Revenue from External Customer [Line Items]
Revenues	$ 2,902	$ 4,936	$ 10,330	$ 16,472
Product [Member] | UNITED STATES | Revenue, Segment Benchmark [Member]
Revenue from External Customer [Line Items]
Revenues	933	1,978	3,872	5,582
Product [Member] | Latin America [Member] | Revenue, Segment Benchmark [Member]
Revenue from External Customer [Line Items]
Revenues	273	1,307	1,356	5,659
Product [Member] | Europe [Member] | Revenue, Segment Benchmark [Member]
Revenue from External Customer [Line Items]
Revenues	$ 1,696	$ 1,651	$ 5,102	$ 5,231

Significant Customer Concentr_2

Significant Customer Concentrations (Details Narrative) - Revenue Benchmark [Member] - Customer Concentration Risk [Member]	3 Months Ended		9 Months Ended
	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2021	Dec. 31, 2020
One Customer [Member]
Concentration Risk [Line Items]
Concentration Risk, Percentage	22.00%	26.00%		34.00%
Oner Customer [Member]
Concentration Risk [Line Items]
Concentration Risk, Percentage			23.00%
Another Customer [Member]
Concentration Risk [Line Items]
Concentration Risk, Percentage		24.00%	13.00%	14.00%