M-tron Industries (MPTI) 10-Q 13 Nov 24 2024 Q3 Quarterly report Financial data

Document And Entity Information

Document And Entity Information - shares	9 Months Ended
	Sep. 30, 2024	Oct. 31, 2024
Document Information [Line Items]
Entity Central Index Key	0001902314
Entity Registrant Name	M-tron Industries, Inc.
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Document Fiscal Period Focus	Q3
Document Fiscal Year Focus	2024
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Sep. 30, 2024
Document Transition Report	false
Entity File Number	001-41391
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	46-0457944
Entity Address, Address Line One	2525 Shader Rd.
Entity Address, City or Town	Orlando
Entity Address, State or Province	FL
Entity Address, Postal Zip Code	32804
City Area Code	407
Local Phone Number	298-2000
Title of 12(b) Security	Common Stock, par value $0.01
Trading Symbol	MPTI
Security Exchange Name	NYSE
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	true
Entity Ex Transition Period	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		2,865,849

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations (Unaudited) - USD ($) $ in Thousands		3 Months Ended		9 Months Ended
		Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Revenues		$ 13,214	$ 10,888	$ 36,207	$ 30,395
Costs and expenses:
Manufacturing cost of sales		6,904	6,230	19,617	18,322
Engineering, selling and administrative		3,389	2,625	9,773	7,714
Total costs and expenses		10,293	8,855	29,390	26,036
Operating income		2,921	2,033	6,817	4,359
Other income (expense):
Interest income (expense), net		63	1	139	(6)
Other income (expense), net		24	12	61	(6)
Total other income (expense), net		87	13	200	(12)
Income before income taxes		3,008	2,046	7,017	4,347
Income tax expense		741	460	1,520	931
Net income		$ 2,267	$ 1,586	$ 5,497	$ 3,416
Income per common share:
Basic (in dollars per share)		$ 0.82	$ 0.59	$ 2.01	$ 1.27
Diluted (in dollars per share)		$ 0.81	$ 0.57	$ 1.97	$ 1.25
Weighted average shares outstanding:
Basic (in shares)		2,751,924	2,703,840	2,729,803	2,693,400
Diluted (in shares)	[1]	2,800,820	2,759,780	2,788,046	2,739,819
[1]For the three and nine months ended September 30, 2024, weighted average shares used for calculating earnings per share excludes stock options to purchase 180,753 and 182,077 common shares, respectively, because the effect of including those common shares in the calculation would have been anti-dilutive.

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets (Current Period Unaudited) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Cash and cash equivalents	$ 8,490	$ 3,913
Accounts receivable, net of reserves of $168 and $141, respectively	6,058	4,802
Inventories, net	9,553	8,884
Prepaid expenses and other current assets	555	588
Total current assets	24,656	18,187
Property, plant and equipment, net	4,887	4,131
Right-of-use lease asset	32	97
Intangible assets, net	40	45
Deferred income tax asset	1,894	1,835
Other assets	7	10
Total assets	31,516	24,305
Current liabilities:
Accounts payable	1,225	1,300
Accrued compensation and commissions	2,785	2,196
Other accrued expenses	759	611
Income taxes payable	518	277
Total current liabilities	5,287	4,384
Long-term lease liability	9	26
Total liabilities	5,296	4,410
Stockholders' equity:
Preferred stock ($0.01 par value; 5,000,000 shares authorized, none issued)	0	0
Common stock ($0.01 par value; 25,000,000 shares authorized; 2,814,579 and 2,786,321 shares issued and outstanding as of September 30, 2024 and December 31, 2023, respectively)	27	27
Additional paid-in capital	16,995	16,167
Retained earnings	9,198	3,701
Total stockholders' equity	26,220	19,895
Total liabilities and stockholders' equity	$ 31,516	$ 24,305

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Current Period Unaudited) (Parentheticals) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Accounts receivable, reserves	$ 168	$ 141
Preferred stock, par value (in dollars per share)	$ 0.01	$ 0.01
Preferred stock, shares authorized (in shares)	5,000,000	5,000,000
Preferred stock, shares issued (in shares)	0	0
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	25,000,000	25,000,000
Common stock, shares issued (in shares)	2,814,579	2,786,321
Common stock, shares outstanding (in shares)	2,814,579	2,786,321

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Stockholders Equity (Unaudited) - USD ($) $ in Thousands	Preferred Stock [Member]	Common Stock [Member]	Additional Paid-in Capital [Member]	Retained Earnings [Member]	Total
Balance at Dec. 31, 2022	$ 0	$ 27	$ 14,102	$ 212	$ 14,341
Net income	0	0	0	3,416	3,416
Adjustment to The LGL Group, Inc. transfer	0	0	(219)	0	(219)
Stock-based compensation expense	0	0	297	0	297
Exercise of stock options	0	0	0	0	0
Forfeiture of shares to pay taxes	0	0	(82)	0	(82)
Balance at Sep. 30, 2023	0	27	14,098	3,628	17,753
Balance at Jun. 30, 2023	0	27	14,012	2,042	16,081
Net income	0	0	0	1,586	1,586
Adjustment to The LGL Group, Inc. transfer	0	0	0	0	0
Stock-based compensation expense	0	0	86	0	86
Exercise of stock options	0	0	0	0	0
Forfeiture of shares to pay taxes	0	0	0	0	0
Balance at Sep. 30, 2023	0	27	14,098	3,628	17,753
Balance at Dec. 31, 2023	0	27	16,167	3,701	19,895
Net income	0	0	0	5,497	5,497
Adjustment to The LGL Group, Inc. transfer	0	0	0	0	0
Stock-based compensation expense	0	0	485	0	485
Exercise of stock options	0	0	343	0	343
Forfeiture of shares to pay taxes	0	0	0	0	0
Balance at Sep. 30, 2024	0	27	16,995	9,198	26,220
Balance at Jun. 30, 2024	0	27	16,702	6,931	23,660
Net income	0	0	0	2,267	2,267
Adjustment to The LGL Group, Inc. transfer	0	0	0	0	0
Stock-based compensation expense	0	0	77	0	77
Exercise of stock options	0	0	216	0	216
Forfeiture of shares to pay taxes	0	0	0	0	0
Balance at Sep. 30, 2024	$ 0	$ 27	$ 16,995	$ 9,198	$ 26,220

Condensed Consolidated Statem_3

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023
Cash flows from operating activities:
Net income	$ 5,497	$ 3,416
Depreciation	717	577
Amortization of finite-lived intangible assets	5	40
Stock-based compensation expense	485	297
Deferred income tax provision	(59)	41
Changes in operating assets and liabilities:
(Increase) decrease in accounts receivable, net	(1,256)	166
Increase in inventories, net	(669)	(1,444)
Decrease in prepaid expenses and other assets	36	258
Increase (decrease) in accounts payable, accrued compensation, income taxes and commissions and other	951	(1,078)
Total adjustments	210	(1,143)
Net cash provided by operating activities	5,707	2,273
Cash flows from investing activities:
Capital expenditures	(1,473)	(565)
Net cash used in investing activities	(1,473)	(565)
Cash flows from financing activities:
Forfeiture of shares to pay taxes	0	(82)
Proceeds from stock option exercise	343	0
Net cash provided by (used in) financing activities	343	(82)
Increase in cash and cash equivalents	4,577	1,626
Cash and cash equivalents at beginning of period	3,913	926
Cash and cash equivalents at end of period	8,490	2,552
Supplemental Disclosure:
Cash paid for interest	7	14
Cash paid for income taxes	$ 1,296	$ 1,032

Note 1 - Background and Descrip

Note 1 - Background and Description of Business	9 Months Ended
	Sep. 30, 2024
Notes to Financial Statements
Organization, Consolidation, Basis of Presentation, Business Description and Accounting Policies [Text Block]	Originally founded in 1965, M-tron Industries, Inc. (the "Company," "MtronPTI," "we," "us," or "our") is engaged in the designing, manufacturing and marketing of highly engineered, high reliability frequency and spectrum control products used to control the frequency or timing of signals in electronic circuits in various applications. MtronPTI’s primary markets are defense, aerospace, space, and avionics. Our component-level devices and modules are used extensively in electronic systems for applications in commercial and military defense, aerospace, satellites, down-hole drilling, medical devices, instrumentation, industrial devices and in infrastructure equipment for the telecommunications and network equipment industries. As an engineering-centric company, MtronPTI provides close support to the customer throughout its products' entire life cycle, including product design, prototyping, production and subsequent product upgrades and maintenance. This collaborative approach has resulted in the development and growth of long-standing business relationships with its blue-chip customer base. The Company offers a complete line of both precision frequency control and spectrum control solutions including: radio frequency, microwave and millimeter wave filters; cavity, crystal, ceramic, lumped element and switched filters; high performance and high frequency oven-controlled crystal oscillators ("OCXO"), integrated phase-locked loops OCXOs, temperature-compensated crystal oscillators, voltage-controlled crystal oscillators, low jitter and harsh environment oscillators; crystal resonators, Integrated Microwave Assemblies ("IMA"); and state-of-the-art solid state power amplifier products. This uniquely positions MtronPTI to solve multiple problems on a customer's design and provides several areas for higher levels of integration. The Company has manufacturing facilities in Orlando, Florida; Yankton, South Dakota; and Noida, India. The Company also has a sales office in Hong Kong. All of MtronPTI’s production facilities are International Organization for Standardization ("ISO") 9001:2015 certified (the international standard for creating a quality management system) and Restriction of Hazardous Substances ("RoHS") compliant. In addition, its U.S. production facilities in Orlando and Yankton are International Traffic in Arms Regulations ("ITAR") registered and International Aerospace Quality Group AS9100 Rev D certified and our Yankton production facility is Military Standard ("MIL-STD")-790 certified. We maintain our executive offices at 2525 Shader Road, Orlando, Florida 32804. Our telephone number is (407) 298-2000. Our Internet address is www.mtronpti.com. Our common stock is traded on the NYSE American under the symbol "MPTI".

Note 2 - Summary of Significant

Note 2 - Summary of Significant Accounting Policies	9 Months Ended
	Sep. 30, 2024
Notes to Financial Statements
Significant Accounting Policies [Text Block]	During the three and nine months ended September 30, 2024, there were no material changes to our significant accounting policies included in our Annual Report on Form 10-K for the year ended December 31, 2023 (the "2023 Annual Report") filed with the Securities and Exchange Commission (the "SEC") on March 25, 2024. For additional information, refer to Note B to the audited Consolidated and Combined Financial Statements in the 2023 Annual Report. Basis of Presentation These unaudited Condensed Consolidated Financial Statements do not include all disclosures that are normally included in annual financial statements prepared in accordance with accounting principles generally accepted in the United States ("U.S. GAAP") and should be read in conjunction with the audited Consolidated and Combined Financial Statements and the related notes included in the 2023 Annual Report. The consolidated financial information as of December 31, 2023 included herein has been derived from the audited Consolidated and Combined Financial Statements in the 2023 Annual Report. In the opinion of management, these Condensed Consolidated Financial Statements contain all adjustments (consisting of normal recurring adjustments, including eliminations of material intercompany accounts and transactions) considered necessary for a fair statement of the results presented herein. Operating results for the three and nine months ended September 30, 2024 are not necessarily indicative of the results that may be expected for the full year ending December 31, 2024. Use of Estimates The preparation of the Condensed Consolidated Financial Statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from those estimates. Research and Development Costs Research and development costs are charged to operations as incurred. For the three and nine months ended September 30, 2024, research and development costs were approximately $714 and $2,029, respectively. For the three and nine months ended September 30, 2023, research and development costs were approximately $566 and $1,630. Such costs are included within Engineering, selling and administrative expenses on the Condensed Consolidated Statements of Operations. Concentration Risks For the three months ended September 30, 2024, the Company's largest and second largest customers accounted for $4,481, or 33.9%, and $2,582, or 19.5%, of the Company's Revenues, respectively. For the three months ended September 30, 2023, the Company's largest and second largest customers accounted for $3,738, or 34.3%, and $2,796, or 25.7%, of the Company’s Revenues, respectively. For the nine months ended September 30, 2024, the Company's largest and second largest customers accounted for $13,808, or 38.1%, and $7,001, or 19.3%, of the Company's Revenues, respectively. For the nine months ended September 30, 2023, the Company's largest and second largest customers accounted for $8,795, or 28.9%, and $5,467, or 18.0%, of the Company's Revenues, respectively. A significant portion of the Company's accounts receivable is concentrated with a relatively small number of customers. As of September 30, 2024, the Company's four four Impairments of Long-Lived Assets Long-lived assets, including intangible assets subject to amortization, are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of the asset may not be recoverable. Long-lived assets are grouped with other assets to the lowest level to which identifiable cash flows are largely independent of the cash flows of other groups of assets and liabilities. Management assesses the recoverability of the carrying cost of the assets based on a review of projected undiscounted cash flows. If an asset is held for sale, management reviews its estimated fair value less cost to sell. Fair value is determined using pertinent market information, including appraisals or broker's estimates, and/or projected discounted cash flows. In the event an impairment loss is identified, it is recognized based on the amount by which the carrying value exceeds the estimated fair value of the long-lived asset. We performed an assessment to determine if there were any indicators of impairment as of September 30, 2024 and December 31, 2023. We concluded that, while there were events and circumstances in the macro-environment that did impact us, we did not experience any entity-specific indicators of asset impairment and no triggering events occurred. Future Application of Accounting Standards Segment Reporting In November 2023, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2023-07, " Segment Reporting (Topic 280) - Improvements to Reportable Segment Disclosures Income Taxes In December 2023, the FASB issued ASU 2023-09, "Income Taxes (Topic 740) - Improvements to Income Tax Disclosures"

Note 3 - Related Party Transact

Note 3 - Related Party Transactions	9 Months Ended
	Sep. 30, 2024
Notes to Financial Statements
Related Party Transactions Disclosure [Text Block]	In the normal course of business, the Company enters into various transactions with affiliated companies. Parties are considered to be related if one party has the ability to control or exercise significant influence over the other party in making financial or operating decisions. The following tables summarize income and expenses from transactions with related parties for the three and nine months ended September 30, 2024 and 2023: Three Months Ended September 30, 2024 2023 Income Expense Income Expense GAMCO Investors, Inc. $ 64 $ — $ — $ — The LGL Group, Inc. 12 27 12 — Total $ 76 $ 27 $ 12 $ — Nine Months Ended September 30, 2024 2023 Income Expense Income Expense GAMCO Investors, Inc. $ 143 $ — $ — $ — The LGL Group, Inc. 36 80 36 28 Total $ 179 $ 80 $ 36 $ 28 The following table summarizes assets and liabilities with related parties as of September 30, 2024 and December 31, 2023: September 30, 2024 December 31, 2023 Assets Liabilities Assets Liabilities GAMCO Investors, Inc. $ 6,658 $ — $ 2,765 $ — The LGL Group, Inc. 34 — — — Total $ 6,692 $ — $ 2,765 $ — The material agreements whereby the Company generates revenues and expenses with affiliated entities are discussed below: Investment Activity with GAMCO Investors, Inc. Certain balances are held and invested in U.S. Treasury funds managed or advised by GAMCO Investors, Inc. or one of its subsidiaries (collectively, "GAMCO" or the "Fund Manager"), which is related to the Company through certain of our shareholders. For the three and nine months ended September 30, 2024, the Company paid the Fund Manager a fund management fee of approximately 8 basis points annually of the asset balances under management. For the three and nine months ended September 30, 2023, the Company did not no As of September 30, 2024 and December 31, 2023, the balance with the Fund Manager was $6,658 and $2,765, respectively, all of which was classified within Cash and cash equivalents on the Condensed Consolidated Balance Sheets. For the three and nine months ended September 30, 2024, the Company earned income on its investments with the Fund Manager totaling $64 and $143, respectively, all of which was included in Interest income on the Condensed Consolidated Statements of Operations. For the three and nine months ended September 30, 2023, the Company did not Transactions with The LGL Group, Inc. Transitional Administrative and Management Services Agreement On October 7, 2022, the separation of the MtronPTI business from The LGL Group, Inc. ("LGL Group") was completed (the "Separation") and the Company became an independent, publicly traded company trading on the NYSE American under the stock symbol "MPTI." The Separation was completed through LGL Group's distribution (the "Distribution") of 100% of the shares of the Company's common stock to holders of LGL Group's common stock as of the close of business on September 30, 2022, the record date for the Distribution. MtronPTI and The LGL Group, Inc. ("LGL Group") entered into an Amended and Restated Transitional Administrative and Management Services Agreement ("MtronPTI TSA"), which sets out the terms for services to be provided between the two companies post Separation. The current terms result in a net monthly payment of $4 per month from LGL Group to MtronPTI. For the three months ended September 30, 2024 and 2023, LGL Group paid the Company $12 under the terms of the MtronPTI TSA, which were recorded in Other income (expense), net on the Condensed Consolidated Statements of Operations. For the nine months ended September 30, 2024 and 2023, LGL Group paid the Company $36 under the terms of the MtronPTI TSA, which were recorded in Other income (expense), net on the Condensed Consolidated Statements of Operations. Tax Indemnity and Sharing Agreement MtronPTI and LGL Group entered into a Tax Indemnity and Sharing Agreement ("MtronPTI Tax Agreement"), which sets out the terms for which party would be responsible for taxes imposed on LGL Group if the Distribution, together with certain related transactions, were to fail to qualify as a tax-free transaction under Internal Revenue Code ("IRC") Sections 355 and 368(a)(1)(D) if such failure were the result of actions taken after the Distribution by MtronPTI or LGL Group. For the three and nine months ended September 30, 2024 and 2023, no taxes related to the Distribution have been recorded in the Condensed Consolidated Financial Statements. Other Transactions MtronPTI and LGL Group agreed to share the salaries and benefits related to certain employees incurred by LGL Group. For the three and nine months ended September 30, 2024, the Company reimbursed LGL Group $27 and $80, respectively, of the salaries and benefits of certain employees, which represents 50% of those costs and were recorded in Engineering, selling and administrative on the Condensed Consolidated Statements of Operations.

Note 4 - Income Taxes

Note 4 - Income Taxes	9 Months Ended
	Sep. 30, 2024
Notes to Financial Statements
Income Tax Disclosure [Text Block]	The Company’s quarterly provision for income taxes is measured using an annual effective tax rate, adjusted for discrete items within the period presented. To determine the annual effective tax rate, the Company estimates both the total income (loss) before income taxes for the full year and the jurisdictions in which that income (loss) is subject to tax. The actual effective tax rate for the full year may differ from these estimates if income (loss) before income taxes is greater than or less than what was estimated or if the allocation of income (loss) to jurisdictions in which it is taxed is different from the estimated allocations. The effective tax rate for the three months ended September 30, 2024 and 2023 was 24.6% and 22.5%, respectively. The effective tax rate for the nine months ended September 30, 2024 and 2023 was 21.7% and 21.4%, respectively. Differences between the Company’s effective income tax rate and the U.S. federal statutory rate of 21.0% are primarily due to the impact of research and development credits, permanent differences, and state taxes.

Note 5 - Revolving Credit Agree

Note 5 - Revolving Credit Agreement	9 Months Ended
	Sep. 30, 2024
Notes to Financial Statements
Debt Disclosure [Text Block]	On June 15, 2022, MtronPTI entered into a loan agreement (the "Loan Agreement") for a revolving line of credit with Fifth Third Bank, National Association ("Fifth Third Bank"), for up to $5,000 bearing interest at the Secured Overnight Financing Rate June 15, 2025 As of September 30, 2024 and December 31, 2023, there were no outstanding borrowings under the revolving line of credit with Fifth Third Bank.

Note 6 - Stockholders' Equity

Note 6 - Stockholders' Equity	9 Months Ended
	Sep. 30, 2024
Notes to Financial Statements
Shareholders' Equity and Share-Based Payments [Text Block]	Shares Outstanding The following table presents a rollforward of outstanding shares for the periods indicated: Nine Months Ended September 30, 2024 Year Ended December 31, 2023 Common Stock Issued Held in Treasury Common Stock Outstanding Common Stock Issued Held in Treasury Common Stock Outstanding Shares, beginning of period 2,786,321 — 2,786,321 2,725,670 — 2,725,670 Stock-based compensation 12,548 — 12,548 69,597 — 69,597 Exercise of stock options 15,710 — 15,710 — — — Shares withheld for income taxes — — — (8,946 ) — (8,946 ) Shares, end of period 2,814,579 — 2,814,579 2,786,321 — 2,786,321

Note 7 - Earnings Per Share ("E

Note 7 - Earnings Per Share ("EPS")	9 Months Ended
	Sep. 30, 2024
Notes to Financial Statements
Earnings Per Share [Text Block]	The following table presents a reconciliation of Net income and shares used in calculating basic and diluted net income per common share for the periods indicated: Three Months Ended September 30, Nine Months Ended September 30, (in thousands, except share data) 2024 2023 2024 2023 Numerator for EPS: Net income $ 2,267 $ 1,586 $ 5,497 $ 3,416 Denominator for EPS: Weighted average shares outstanding - basic 2,751,924 2,703,840 2,729,803 2,693,400 Dilutive effects (a) Stock options — 9,710 71 9,710 Restricted stock 48,896 46,230 58,172 36,709 Weighted average shares outstanding - diluted 2,800,820 2,759,780 2,788,046 2,739,819 Income per common share: Basic $ 0.82 $ 0.59 $ 2.01 $ 1.27 Diluted $ 0.81 $ 0.57 $ 1.97 $ 1.25 (a) For the three and nine months ended September 30, 2024, weighted average shares used for calculating earnings per share excludes stock options to purchase 180,753 and 182,077 common shares, respectively, because the effect of including those common shares in the calculation would have been anti-dilutive.

Note 8 - Commitments and Contin

Note 8 - Commitments and Contingencies	9 Months Ended
	Sep. 30, 2024
Notes to Financial Statements
Commitments and Contingencies Disclosure [Text Block]	In the ordinary course of business, the Company and its subsidiaries may become defendants in certain product liability, patent infringement, worker claims and other litigation. The Company records a liability when it is probable that a loss has been incurred and the amount is reasonably estimable. The Company has no legal accrual for contingencies as of September 30, 2024 and December 31, 2023.

Note 9 - Other Financial Statem

Note 9 - Other Financial Statement Information	9 Months Ended
	Sep. 30, 2024
Notes to Financial Statements
Additional Financial Information Disclosure [Text Block]	Inventories, Net Inventories are valued at the lower of cost or net realizable value using the first-in, first-out ("FIFO") method. The Company reduces the value of its inventories to net realizable value when the net realizable value is believed to be less than the cost of the item. The components of inventory as of September 30, 2024 and December 31, 2023 are summarized below: September 30, 2024 December 31, 2023 Raw materials $ 4,574 $ 4,368 Work in process 4,737 4,150 Finished goods 1,701 1,634 Total gross inventory 11,012 10,152 Reserve for excess and obsolete inventory (1,459 ) (1,268 ) Inventories, net $ 9,553 $ 8,884 Property, Plant and Equipment, Net The components of property, plant and equipment as of September 30, 2024 and December 31, 2023 are summarized below: September 30, 2024 December 31, 2023 Land $ 536 $ 536 Buildings and improvements 5,321 5,216 Machinery and equipment 21,414 20,046 Gross property, plant and equipment 27,271 25,798 Less: Accumulated depreciation (22,384 ) (21,667 ) Property, plant and equipment, net $ 4,887 $ 4,131 Intangible Assets, Net The components of intangible assets as of September 30, 2024 and December 31, 2023 are summarized below: September 30, 2024 December 31, 2023 Intellectual property $ 1,226 $ 1,226 Goodwill 40 40 Gross intangible assets 1,266 1,266 Less: Accumulated amortization (1,226 ) (1,221 ) Intangible assets, net $ 40 $ 45

Note 10 - Domestic and Foreign

Note 10 - Domestic and Foreign Revenues	9 Months Ended
	Sep. 30, 2024
Notes to Financial Statements
Revenue from Contract with Customer [Text Block]	Significant foreign revenues from operations (10% or more of foreign sales) for the three and nine months ended September 30, 2024 and 2023 were as follows: Three Months Ended September 30, Nine Months Ended September 30, 2024 2023 2024 2023 Malaysia $ 1,533 $ 1,039 $ 3,841 $ 4,199 Australia 528 336 1,947 929 Greece 606 — 994 408 Hungary — — — 496 All other foreign countries 642 628 1,980 2,210 Total foreign revenues $ 3,309 $ 2,003 $ 8,762 $ 8,242 Total domestic revenues $ 9,905 $ 8,885 $ 27,445 $ 22,153 The Company allocates its foreign revenue based on the customer's ship-to location.

Note 11 - Subsequent Events

Note 11 - Subsequent Events	9 Months Ended
	Sep. 30, 2024
Notes to Financial Statements
Subsequent Events [Text Block]	The Company has evaluated events and transactions that occurred after the balance sheet date through the date that the consolidated financial statements were issued. Based upon this review, the Company did not identify any subsequent events that would have required adjustment or disclosure in the consolidated financial statements.

Insider Trading Arrangements

Insider Trading Arrangements	3 Months Ended	9 Months Ended
	Sep. 30, 2024	Sep. 30, 2024
Insider Trading Arr Line Items
Material Terms of Trading Arrangement [Text Block]		5. Other Information During the three months ended September 30, 2024, none
Rule 10b5-1 Arrangement Adopted [Flag]	false
Non-Rule 10b5-1 Arrangement Adopted [Flag]	false
Rule 10b5-1 Arrangement Terminated [Flag]	false
Non-Rule 10b5-1 Arrangement Terminated [Flag]	false

Significant Accounting Policies

Significant Accounting Policies (Policies)	9 Months Ended
	Sep. 30, 2024
Accounting Policies [Abstract]
Basis of Accounting, Policy [Policy Text Block]	Basis of Presentation These unaudited Condensed Consolidated Financial Statements do not include all disclosures that are normally included in annual financial statements prepared in accordance with accounting principles generally accepted in the United States ("U.S. GAAP") and should be read in conjunction with the audited Consolidated and Combined Financial Statements and the related notes included in the 2023 Annual Report. The consolidated financial information as of December 31, 2023 included herein has been derived from the audited Consolidated and Combined Financial Statements in the 2023 Annual Report. In the opinion of management, these Condensed Consolidated Financial Statements contain all adjustments (consisting of normal recurring adjustments, including eliminations of material intercompany accounts and transactions) considered necessary for a fair statement of the results presented herein. Operating results for the three and nine months ended September 30, 2024 are not necessarily indicative of the results that may be expected for the full year ending December 31, 2024.
Use of Estimates, Policy [Policy Text Block]	Use of Estimates The preparation of the Condensed Consolidated Financial Statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from those estimates.
Research and Development Expense, Policy [Policy Text Block]	Research and Development Costs Research and development costs are charged to operations as incurred. For the three and nine months ended September 30, 2024, research and development costs were approximately $714 and $2,029, respectively. For the three and nine months ended September 30, 2023, research and development costs were approximately $566 and $1,630. Such costs are included within Engineering, selling and administrative expenses on the Condensed Consolidated Statements of Operations.
Concentration Risk, Credit Risk, Policy [Policy Text Block]	Concentration Risks For the three months ended September 30, 2024, the Company's largest and second largest customers accounted for $4,481, or 33.9%, and $2,582, or 19.5%, of the Company's Revenues, respectively. For the three months ended September 30, 2023, the Company's largest and second largest customers accounted for $3,738, or 34.3%, and $2,796, or 25.7%, of the Company’s Revenues, respectively. For the nine months ended September 30, 2024, the Company's largest and second largest customers accounted for $13,808, or 38.1%, and $7,001, or 19.3%, of the Company's Revenues, respectively. For the nine months ended September 30, 2023, the Company's largest and second largest customers accounted for $8,795, or 28.9%, and $5,467, or 18.0%, of the Company's Revenues, respectively. A significant portion of the Company's accounts receivable is concentrated with a relatively small number of customers. As of September 30, 2024, the Company's four four
Impairment or Disposal of Long-Lived Assets, Policy [Policy Text Block]	Impairments of Long-Lived Assets Long-lived assets, including intangible assets subject to amortization, are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of the asset may not be recoverable. Long-lived assets are grouped with other assets to the lowest level to which identifiable cash flows are largely independent of the cash flows of other groups of assets and liabilities. Management assesses the recoverability of the carrying cost of the assets based on a review of projected undiscounted cash flows. If an asset is held for sale, management reviews its estimated fair value less cost to sell. Fair value is determined using pertinent market information, including appraisals or broker's estimates, and/or projected discounted cash flows. In the event an impairment loss is identified, it is recognized based on the amount by which the carrying value exceeds the estimated fair value of the long-lived asset. We performed an assessment to determine if there were any indicators of impairment as of September 30, 2024 and December 31, 2023. We concluded that, while there were events and circumstances in the macro-environment that did impact us, we did not experience any entity-specific indicators of asset impairment and no triggering events occurred.
New Accounting Pronouncements, Policy [Policy Text Block]	Future Application of Accounting Standards Segment Reporting In November 2023, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2023-07, " Segment Reporting (Topic 280) - Improvements to Reportable Segment Disclosures Income Taxes In December 2023, the FASB issued ASU 2023-09, "Income Taxes (Topic 740) - Improvements to Income Tax Disclosures"

Note 3 - Related Party Transa_2

Note 3 - Related Party Transactions (Tables)	9 Months Ended
	Sep. 30, 2024
Notes Tables
Schedule of Related Party Transactions [Table Text Block]	Three Months Ended September 30, 2024 2023 Income Expense Income Expense GAMCO Investors, Inc. $ 64 $ — $ — $ — The LGL Group, Inc. 12 27 12 — Total $ 76 $ 27 $ 12 $ — Nine Months Ended September 30, 2024 2023 Income Expense Income Expense GAMCO Investors, Inc. $ 143 $ — $ — $ — The LGL Group, Inc. 36 80 36 28 Total $ 179 $ 80 $ 36 $ 28 September 30, 2024 December 31, 2023 Assets Liabilities Assets Liabilities GAMCO Investors, Inc. $ 6,658 $ — $ 2,765 $ — The LGL Group, Inc. 34 — — — Total $ 6,692 $ — $ 2,765 $ —

Note 6 - Stockholders' Equity (

Note 6 - Stockholders' Equity (Tables)	9 Months Ended
	Sep. 30, 2024
Notes Tables
Schedule of Stockholders Equity [Table Text Block]	Nine Months Ended September 30, 2024 Year Ended December 31, 2023 Common Stock Issued Held in Treasury Common Stock Outstanding Common Stock Issued Held in Treasury Common Stock Outstanding Shares, beginning of period 2,786,321 — 2,786,321 2,725,670 — 2,725,670 Stock-based compensation 12,548 — 12,548 69,597 — 69,597 Exercise of stock options 15,710 — 15,710 — — — Shares withheld for income taxes — — — (8,946 ) — (8,946 ) Shares, end of period 2,814,579 — 2,814,579 2,786,321 — 2,786,321

Note 7 - Earnings Per Share (_2

Note 7 - Earnings Per Share ("EPS") (Tables)	9 Months Ended
	Sep. 30, 2024
Notes Tables
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block]	Three Months Ended September 30, Nine Months Ended September 30, (in thousands, except share data) 2024 2023 2024 2023 Numerator for EPS: Net income $ 2,267 $ 1,586 $ 5,497 $ 3,416 Denominator for EPS: Weighted average shares outstanding - basic 2,751,924 2,703,840 2,729,803 2,693,400 Dilutive effects (a) Stock options — 9,710 71 9,710 Restricted stock 48,896 46,230 58,172 36,709 Weighted average shares outstanding - diluted 2,800,820 2,759,780 2,788,046 2,739,819 Income per common share: Basic $ 0.82 $ 0.59 $ 2.01 $ 1.27 Diluted $ 0.81 $ 0.57 $ 1.97 $ 1.25

Note 9 - Other Financial Stat_2

Note 9 - Other Financial Statement Information (Tables)	9 Months Ended
	Sep. 30, 2024
Notes Tables
Schedule of Inventory, Current [Table Text Block]	September 30, 2024 December 31, 2023 Raw materials $ 4,574 $ 4,368 Work in process 4,737 4,150 Finished goods 1,701 1,634 Total gross inventory 11,012 10,152 Reserve for excess and obsolete inventory (1,459 ) (1,268 ) Inventories, net $ 9,553 $ 8,884
Property, Plant and Equipment [Table Text Block]	September 30, 2024 December 31, 2023 Land $ 536 $ 536 Buildings and improvements 5,321 5,216 Machinery and equipment 21,414 20,046 Gross property, plant and equipment 27,271 25,798 Less: Accumulated depreciation (22,384 ) (21,667 ) Property, plant and equipment, net $ 4,887 $ 4,131
Schedule of Finite-Lived Intangible Assets [Table Text Block]	September 30, 2024 December 31, 2023 Intellectual property $ 1,226 $ 1,226 Goodwill 40 40 Gross intangible assets 1,266 1,266 Less: Accumulated amortization (1,226 ) (1,221 ) Intangible assets, net $ 40 $ 45

Note 10 - Domestic and Foreig_2

Note 10 - Domestic and Foreign Revenues (Tables)	9 Months Ended
	Sep. 30, 2024
Notes Tables
Schedule of Revenue from External Customers Attributed to Foreign Countries by Geographic Area [Table Text Block]	Three Months Ended September 30, Nine Months Ended September 30, 2024 2023 2024 2023 Malaysia $ 1,533 $ 1,039 $ 3,841 $ 4,199 Australia 528 336 1,947 929 Greece 606 — 994 408 Hungary — — — 496 All other foreign countries 642 628 1,980 2,210 Total foreign revenues $ 3,309 $ 2,003 $ 8,762 $ 8,242 Total domestic revenues $ 9,905 $ 8,885 $ 27,445 $ 22,153

Note 2 - Summary of Significa_2

Note 2 - Summary of Significant Accounting Policies (Details Textual)	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2024 USD ($)	Sep. 30, 2023 USD ($)	Sep. 30, 2024 USD ($)	Sep. 30, 2023 USD ($)	Dec. 31, 2023 USD ($)
Research and Development Expense	$ 714,000	$ 566,000	$ 2,029,000	$ 1,630,000
Revenue from Contract with Customer, Excluding Assessed Tax	13,214,000	10,888,000	36,207,000	30,395,000
Revenue from Contract with Customer Benchmark [Member] | Customer Concentration Risk [Member] | Largest Customer [Member]
Revenue from Contract with Customer, Excluding Assessed Tax	$ 4,481,000	$ 3,738,000	$ 13,808,000	$ 8,795,000
Concentration Risk, Percentage	33.90%	34.30%	38.10%	28.90%
Revenue from Contract with Customer Benchmark [Member] | Customer Concentration Risk [Member] | Second Largest Customer [Member]
Revenue from Contract with Customer, Excluding Assessed Tax	$ 2,582,000	$ 2,796,000	$ 7,001,000	$ 5,467,000
Concentration Risk, Percentage	19.50%	25.70%	19.30%	18%
Accounts Receivable [Member] | Customer Concentration Risk [Member]
Number of Major Customers			4		4
Accounts Receivable [Member] | Customer Concentration Risk [Member] | Four Largest Customers [Member]
Revenue from Contract with Customer, Excluding Assessed Tax			$ 4,268		$ 3,774,000
Concentration Risk, Percentage			68.60%		76.40%

Note 3 - Related Party Transa_3

Note 3 - Related Party Transactions (Details Textual) $ in Thousands		3 Months Ended		9 Months Ended
	Oct. 07, 2022	Sep. 30, 2024 USD ($)	Sep. 30, 2023 USD ($)	Sep. 30, 2024 USD ($)	Sep. 30, 2023 USD ($)	Dec. 31, 2023 USD ($)
Investment Expense Rate		0.08%		0.08%
Payment for Management Fee			$ 0		$ 0
Assets under Management, Carrying Amount		$ 0		$ 0
Cash and Cash Equivalents, at Carrying Value		8,490		8,490		$ 3,913
Income Tax Expense (Benefit)		741	460	1,520	931
Engineering, Selling and Administrative		3,389	2,625	9,773	7,714
LGL Group Inc. [Member]
Percentage of Distribution of Common Shares to Former Parents Stockholders	100%
GAMCO Investors [Member]
Cash and Cash Equivalents, at Carrying Value		6,658		6,658		$ 2,765
Investment Income, Interest		$ 64	0	$ 143	0
LGL Group Inc. [Member]
Number of Companies in Post Separation		2		2
LGL Group Inc. [Member] | Amended and Restated Transitional Administrative and Management Services Agreement [Member]
Related Party Transaction, Monthly Payment		$ 4		$ 4
Related Party Transaction, Amounts of Transaction		12	12	36	36
LGL Group Inc. [Member] | Separation Costs [Member]
Income Tax Expense (Benefit)		0	$ 0	0	$ 0
Engineering, Selling and Administrative		$ 27		$ 80
Percentage of Spin Off Costs Excess of Budgeted Amount Included in Engineering, Selling and Administrative				50%

Note 3 - Related Party Transa_4

Note 3 - Related Party Transactions - Related Party Transactions (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023	Dec. 31, 2023
Assets, related party	$ 31,516		$ 31,516		$ 24,305
Liabilities, related party	5,296		5,296		4,410
GAMCO Investors [Member]
income (loss)	64	$ 0	143	$ 0
Expense, related party	0	0	0	0
Assets, related party	6,658		6,658		2,765
Liabilities, related party	0		0		0
LGL Group Inc. [Member]
income (loss)	12	12	36	36
Expense, related party	27	0	80	28
Assets, related party	34		34		0
Liabilities, related party	0		0		0
Related Party [Member]
income (loss)	76	12	179	36
Expense, related party	27	$ 0	80	$ 28
Assets, related party	6,692		6,692		2,765
Liabilities, related party	$ 0		$ 0		$ 0

Note 4 - Income Taxes (Details

Note 4 - Income Taxes (Details Textual)	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Effective Income Tax Rate Reconciliation, Percent	24.60%	22.50%	21.70%	21.40%
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent			21%

Note 5 - Revolving Credit Agr_2

Note 5 - Revolving Credit Agreement (Details Textual) - USD ($) $ in Thousands	Jun. 15, 2022	Sep. 30, 2024	Dec. 31, 2023
Debt Instrument, Variable Interest Rate, Type [Extensible Enumeration]	Secured Overnight Financing Rate (SOFR) [Member]
Revolving Credit Facility [Member] | Fifth Third Bank, National Association [Member]
Debt Instrument, Face Amount	$ 5,000
Debt Instrument, Basis Spread on Variable Rate	2.25%
SOFR Floor	0%
Long-Term Line of Credit		$ 0	$ 0
Debt Instrument, Maturity Date	Jun. 15, 2025

Note 6 - Stockholders' Equity -

Note 6 - Stockholders' Equity - Rollforward of Outstanding Shares (Details) - shares	9 Months Ended	12 Months Ended
	Sep. 30, 2024	Dec. 31, 2023
Common Stock, Issued [Member]
Shares (in shares)	2,786,321	2,725,670
Stock-based compensation (in shares)	12,548	69,597
Exercise of stock options (in shares)	15,710	0
Shares withheld for income taxes (in shares)	0	(8,946)
Shares (in shares)	2,814,579	2,786,321
Treasury Stock, Common [Member]
Shares, treasury (in shares)	0	0
Stock-based compensation (in shares)	0	0
Exercise of stock options (in shares)	0	0
Shares withheld for income taxes (in shares)	0	0
Shares, treasury (in shares)	0	0
Common Stock, Outstanding [Member]
Shares (in shares)	2,786,321	2,725,670
Stock-based compensation (in shares)	12,548	69,597
Exercise of stock options (in shares)	15,710	0
Shares withheld for income taxes (in shares)	0	(8,946)
Shares (in shares)	2,814,579	2,786,321

Note 7 - Earnings Per Share (_3

Note 7 - Earnings Per Share ("EPS") (Details Textual) - shares	3 Months Ended	9 Months Ended
	Sep. 30, 2024	Sep. 30, 2024
Share-Based Payment Arrangement, Option [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount (in shares)	180,753	182,077

Note 7 - Earnings Per Share (_4

Note 7 - Earnings Per Share ("EPS") - Reconciliation of Net Income and Shares (Details) - USD ($) $ / shares in Units, $ in Thousands		3 Months Ended		9 Months Ended
		Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Net income		$ 2,267	$ 1,586	$ 5,497	$ 3,416
Weighted average shares outstanding - basic (in shares)		2,751,924	2,703,840	2,729,803	2,693,400
Stock options (in shares)	[1]	0	9,710	71	9,710
Restricted stock (in shares)	[1]	48,896	46,230	58,172	36,709
Weighted average shares outstanding - diluted (in shares)	[1]	2,800,820	2,759,780	2,788,046	2,739,819
Basic (in dollars per share)		$ 0.82	$ 0.59	$ 2.01	$ 1.27
Diluted (in dollars per share)		$ 0.81	$ 0.57	$ 1.97	$ 1.25
[1]For the three and nine months ended September 30, 2024, weighted average shares used for calculating earnings per share excludes stock options to purchase 180,753 and 182,077 common shares, respectively, because the effect of including those common shares in the calculation would have been anti-dilutive.

Note 9 - Other Financial Stat_3

Note 9 - Other Financial Statement Information - Schedule of Inventories (Details) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Raw materials	$ 4,574	$ 4,368
Work in process	4,737	4,150
Finished goods	1,701	1,634
Total gross inventory	11,012	10,152
Reserve for excess and obsolete inventory	(1,459)	(1,268)
Inventories, net	$ 9,553	$ 8,884

Note 9 - Other Financial Stat_4

Note 9 - Other Financial Statement Information - Property, Plant, and Equipment (Details) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Land	$ 536	$ 536
Buildings and improvements	5,321	5,216
Machinery and equipment	21,414	20,046
Gross property, plant and equipment	27,271	25,798
Less: Accumulated depreciation	(22,384)	(21,667)
Property, plant and equipment, net	$ 4,887	$ 4,131

Note 9 - Other Financial Stat_5

Note 9 - Other Financial Statement Information - Intangible Assets (Details) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Gross intangible assets	$ 1,266	$ 1,266
Goodwill	40	40
Less: Accumulated amortization	(1,226)	(1,221)
Intangible assets, net	40	45
Intellectual Property [Member]
Gross intangible assets	$ 1,226	$ 1,226

Note 10 - Domestic and Foreig_3

Note 10 - Domestic and Foreign Revenues (Details Textual)	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Geographic Concentration Risk [Member] | Revenue from Contract with Customer Benchmark [Member] | Minimum [Member] | Non-US [Member]
Concentration Risk, Percentage	10%	10%	10%	10%

Note 10 - Domestic and Foreig_4

Note 10 - Domestic and Foreign Revenues - Revenues From Operations (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Revenues	$ 13,214	$ 10,888	$ 36,207	$ 30,395
MALAYSIA
Revenues	1,533	1,039	3,841	4,199
AUSTRALIA
Revenues	528	336	1,947	929
GREECE
Revenues	606	0	994	408
HUNGARY
Revenues	0	0	0	496
All Other Foreign Countries [Member]
Revenues	642	628	1,980	2,210
Non-US [Member]
Revenues	3,309	2,003	8,762	8,242
UNITED STATES
Revenues	$ 9,905	$ 8,885	$ 27,445	$ 22,153