Document And Entity Information
Document And Entity Information - shares | 9 Months Ended | |
Jun. 30, 2017 | Aug. 07, 2017 | |
Document Information [Line Items] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Jun. 30, 2017 | |
Document Fiscal Year Focus | 2,017 | |
Document Fiscal Period Focus | Q3 | |
Entity Registrant Name | DYNASIL CORP OF AMERICA | |
Entity Central Index Key | 30,831 | |
Current Fiscal Year End Date | --09-30 | |
Entity Filer Category | Smaller Reporting Company | |
Trading Symbol | DYSL | |
Entity Common Stock, Shares Outstanding | 17,063,507 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) | Jun. 30, 2017 | Sep. 30, 2016 |
Current Assets | ||
Cash and cash equivalents | $ 1,790,000 | $ 2,607,000 |
Accounts receivable, net of allowances of $187,000 and $171,000 at June 30, 2017 and September 30, 2016, respectively | 3,404,000 | 3,502,000 |
Costs in excess of billings and unbilled receivables | 1,183,000 | 1,208,000 |
Inventories, net of reserves | 4,117,000 | 3,726,000 |
Prepaid expenses and other current assets | 1,133,000 | 1,078,000 |
Total current assets | 11,627,000 | 12,121,000 |
Property, Plant and Equipment, net | 6,815,000 | 7,223,000 |
Other Assets | ||
Intangibles, net | 1,067,000 | 1,067,000 |
Deferred tax asset | 2,766,000 | 0 |
Goodwill | 5,894,000 | 5,898,000 |
Security deposits | 13,000 | 60,000 |
Total other assets | 9,740,000 | 7,025,000 |
Total Assets | 28,182,000 | 26,369,000 |
Current Liabilities | ||
Current portion of long-term debt | 1,994,000 | 2,477,000 |
Capital lease obligations, current | 96,000 | 105,000 |
Convertible notes | 0 | 3,085,000 |
Accounts payable | 1,426,000 | 1,627,000 |
Deferred revenue | 109,000 | 238,000 |
Accrued expenses and other liabilities | 2,392,000 | 2,955,000 |
Total current liabilities | 6,017,000 | 10,487,000 |
Long-term Liabilities | ||
Long-term debt, net of current portion | 1,182,000 | 736,000 |
Capital lease obligations, net of current portion | 102,000 | 173,000 |
Deferred tax liability, net | 253,000 | 263,000 |
Other long-term liabilities | 37,000 | 43,000 |
Total long-term liabilities | 1,574,000 | 1,215,000 |
Stockholders' Equity | ||
Common Stock, $0.0005 par value, 40,000,000 shares authorized, 17,842,164 and 17,677,284 shares issued, 17,032,004 and and 16,867,124 shares outstanding at June 30, 2017 and September 30, 2016, respectively. | 9,000 | 9,000 |
Additional paid in capital | 21,294,000 | 20,128,000 |
Accumulated other comprehensive income (loss) | (717,000) | (699,000) |
Accumulated deficit | (507,000) | (3,479,000) |
Less 810,160 shares of treasury stock - at cost | (986,000) | (986,000) |
Total Dynasil stockholders' equity | 19,093,000 | 14,973,000 |
Noncontrolling interest | 1,498,000 | (306,000) |
Total stockholders' equity | 20,591,000 | 14,667,000 |
Total Liabilities and Stockholders' Equity | $ 28,182,000 | $ 26,369,000 |
CONSOLIDATED BALANCE SHEETS _Pa
CONSOLIDATED BALANCE SHEETS [Parenthetical] - USD ($) | Jun. 30, 2017 | Sep. 30, 2016 |
Allowance for doubtful accounts (in dollars) | $ 187,000 | $ 171,000 |
Common stock, par value (in dollars per share) | $ 0.0005 | $ 0.0005 |
Common stock, shares authorized | 40,000,000 | 40,000,000 |
Common stock, shares issued | 17,842,164 | 17,677,284 |
Common stock, shares outstanding | 17,032,004 | 16,867,124 |
Treasury stock, shares | 810,160 | 810,160 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Net revenue | $ 8,836,000 | $ 10,406,000 | $ 28,065,000 | $ 32,899,000 |
Cost of revenue | 5,472,000 | 6,479,000 | 17,386,000 | 20,930,000 |
Gross profit | 3,364,000 | 3,927,000 | 10,679,000 | 11,969,000 |
Operating expenses: | ||||
Sales and marketing | 255,000 | 246,000 | 848,000 | 923,000 |
Research and development | 176,000 | 196,000 | 707,000 | 761,000 |
General and administrative | 3,205,000 | 3,159,000 | 9,321,000 | 9,759,000 |
(Gain) loss on sale of assets | 0 | 0 | 0 | (4,000) |
Total operating expenses | 3,636,000 | 3,601,000 | 10,876,000 | 11,439,000 |
Income (loss) from operations | (272,000) | 326,000 | (197,000) | 530,000 |
Interest expense, net | 53,000 | 78,000 | 164,000 | 215,000 |
Income (loss) before taxes | (325,000) | 248,000 | (361,000) | 315,000 |
Income tax (credit) | (111,000) | 32,000 | (2,769,000) | 101,000 |
Net income (loss) | (214,000) | 216,000 | 2,408,000 | 214,000 |
Less: Net loss attributable to noncontrolling interest | (64,000) | (42,000) | (197,000) | (118,000) |
Net income (loss) attributable to common stockholders | (150,000) | 258,000 | 2,605,000 | 332,000 |
Net income (loss) | (214,000) | 216,000 | 2,408,000 | 214,000 |
Other comprehensive income (loss): | ||||
Foreign currency translation | 212,000 | (417,000) | (18,000) | (673,000) |
Total comprehensive income (loss) | (2,000) | (201,000) | 2,390,000 | (459,000) |
Less: comprehensive income (loss) attributable to noncontrolling interest | (64,000) | (42,000) | (197,000) | (118,000) |
Total comprehensive income (loss) attributable to common stockholders | $ 62,000 | $ (159,000) | $ 2,587,000 | $ (341,000) |
Basic net income (loss) per common share | $ (0.01) | $ 0.02 | $ 0.15 | $ 0.02 |
Diluted net income (loss) per common share | $ (0.01) | $ 0.02 | $ 0.15 | $ 0.02 |
Weighted average shares outstanding | ||||
Basic | 16,945,744 | 16,698,205 | 16,879,864 | 16,628,279 |
Diluted | 16,945,744 | 16,701,737 | 16,879,864 | 16,671,016 |
CONSOLIDATED STATEMENT OF CHANG
CONSOLIDATED STATEMENT OF CHANGES IN STOCKHOLDERS’ EQUITY - 9 months ended Jun. 30, 2017 - USD ($) | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Other Comprehensive Income (Loss) [Member] | Accumulated Deficit [Member] | Treasury Stock [Member] | Noncontrolling Interest [Member] |
Balance at Sep. 30, 2016 | $ 14,667,000 | $ 9,000 | $ 20,128,000 | $ (699,000) | $ (3,479,000) | $ (986,000) | $ (306,000) |
Balance (in shares) at Sep. 30, 2016 | 17,677,284 | 810,160 | |||||
Issuance of shares of common stock under employee stock purchase plan | 13,000 | $ 0 | 13,000 | 0 | 0 | $ 0 | 0 |
Issuance of shares of common stock under employee stock purchase plan (in shares) | 12,212 | 0 | |||||
Stock-based compensation costs | 343,000 | $ 0 | 316,000 | 0 | 0 | $ 0 | 27,000 |
Stock-based compensation costs (in shares) | 152,668 | 0 | |||||
Stock options issued to settle liabilities | 75,000 | $ 0 | 75,000 | 0 | 0 | $ 0 | 0 |
Recapitalization of Xcede | 3,103,000 | 0 | 762,000 | 0 | 367,000 | 0 | 1,974,000 |
Foreign currency translation adjustment | (18,000) | 0 | 0 | (18,000) | 0 | 0 | 0 |
Net income (loss) | 2,408,000 | 0 | 0 | 0 | 2,605,000 | 0 | (197,000) |
Balance at Jun. 30, 2017 | $ 20,591,000 | $ 9,000 | $ 21,294,000 | $ (717,000) | $ (507,000) | $ (986,000) | $ 1,498,000 |
Balance (in shares) at Jun. 30, 2017 | 17,842,164 | 810,160 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) | 9 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Cash flows from operating activities: | ||
Net income (loss) | $ 2,408,000 | $ 214,000 |
Adjustments to reconcile net income (loss) to net cash: | ||
Stock compensation expense | 343,000 | 592,000 |
Foreign exchange loss (gain) | 11,000 | 164,000 |
Depreciation and amortization | 926,000 | 939,000 |
Deferred income taxes | (2,775,000) | 29,000 |
Non-cash R&D services | 238,000 | 0 |
Other | 68,000 | 131,000 |
Other changes in assets and liabilities: | ||
Accounts receivable, net | 74,000 | (1,760,000) |
Inventories | (408,000) | (1,090,000) |
Costs in excess of billings and unbilled receivables | 25,000 | 268,000 |
Prepaid expenses and other assets | 188,000 | (92,000) |
Accounts payable | (197,000) | (74,000) |
Accrued expenses and other liabilities | (480,000) | 157,000 |
Deferred revenue | (129,000) | 119,000 |
Net cash from operating activities | 292,000 | (403,000) |
Cash flows from investing activities: | ||
Purchases of property, plant and equipment | (455,000) | (1,267,000) |
Purchase of intangibles | (78,000) | (75,000) |
Net cash from investing activities | (533,000) | (1,342,000) |
Cash flows from financing activities: | ||
Proceeds from issuance of common stock | 13,000 | 11,000 |
Net proceeds from issuance of convertible notes | 0 | 390,000 |
Principal payments on capital leases | (80,000) | (101,000) |
Proceeds from (payments of) line of credit, net | 0 | 649,000 |
Proceeds from (payments of) bank and subordinated debt, net | (490,000) | (186,000) |
Net cash from financing activities | (557,000) | 763,000 |
Effect of exchange rates on cash and cash equivalents | (19,000) | (81,000) |
Net change in cash and cash equivalents | (817,000) | (1,063,000) |
Cash and cash equivalents, beginning | 2,607,000 | 1,295,000 |
Cash and cash equivalents, ending | 1,790,000 | 232,000 |
Non cash activities: | ||
Assets purchased under capital leases | 0 | 240,000 |
Tax payments (refunds) | 0 | (64,000) |
Recapitalization of Xcede - conversion of non controlling notes payable to preferred stock | (3,103,000) | 0 |
Subsidiary stock options issued to settle liabilities | 75,000 | 0 |
Subsidiary debt issued to fund research activities | $ 500,000 | $ 0 |
Basis of Presentation
Basis of Presentation | 9 Months Ended |
Jun. 30, 2017 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation and Significant Accounting Policies [Text Block] | Note 1 - Basis of Presentation The accompanying consolidated balance sheet as of June 30, 2017, the consolidated statements of operations and comprehensive income (loss) for the three and nine months ended June 30, 2017 and 2016, changes in stockholders’ equity for the nine months ended June 30, 2017 and cash flows for the nine months ended June 30, 2017 and 2016 of Dynasil Corporation of America and subsidiaries (“Dynasil” or the “Company”), and the related information contained in these notes have been prepared by management and are unaudited. Xcede Technologies, Inc. (“Xcede”) is a joint venture between the Company’s fully-owned subsidiary Dynasil Biomedical Corp. and Mayo Clinic to spin out and separately fund the development of a tissue sealant technology. As of June 30, 2017, Dynasil Biomedical owned 61 83 17 The preparation of our unaudited consolidated financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the unaudited consolidated financial statements and the reported amounts of revenues and expenses during the reporting periods. Certain information and note disclosures normally included in the Company's annual financial statements prepared in accordance with generally accepted accounting principles have been condensed or omitted. These consolidated financial statements should be read in conjunction with the financial statements and notes thereto included in the Company's September 30, 2016 Annual Report on Form 10-K previously filed by the Company with the Securities and Exchange Commission. The Company considers events or transactions that have occurred after the unaudited consolidated balance sheet date of June 30, 2017, but prior to the filing of the unaudited consolidated financial statements with the SEC on this Quarterly Report on Form 10-Q, to provide additional evidence relative to certain estimates or to identify matters that require additional disclosure, as applicable. Subsequent events have been evaluated through the date of the filing of this Quarterly Report on Form 10-Q with the SEC. |
Recent Accounting Pronouncement
Recent Accounting Pronouncements | 9 Months Ended |
Jun. 30, 2017 | |
New Accounting Pronouncements and Changes in Accounting Principles [Abstract] | |
New Accounting Pronouncements and Changes in Accounting Principles [Text Block] | Note 2 – Recent Accounting Pronouncements Earnings Per Share (Topic 260); Distinguishing Liabilities from Equity (Topic 480); Derivatives and Hedging (Topic 815): (Part I) Accounting for Certain Financial Instruments with Down Round Features, (Part II) Replacement of the Indefinite Deferral for Mandatorily Redeemable Financial Instruments of Certain Nonpublic Entities and Certain Mandatorily Redeemable Noncontrolling Interests with a Scope Exception. In July 2017, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") No. 2017-11 which is a two-part update. Part I of this ASU addresses the complexity of accounting for certain financial instruments with down round features. Part II of this ASU addresses the difficulty of navigating Topic 480, Distinguishing Liabilities from Equity Service Concession Arrangements (Topic 853): Determining the Customer of the Operation Services. In May 2017, the FASB issued ASU 2017-10 which provides guidance for operating entities when they enter into a service concession arrangement with a public-sector grantor. The ASU becomes effective for the Company at the beginning of its 2019 fiscal year, at the time the Company adopts Accounting Standards Update No. 2014-09, Revenue from Contracts with Customers Compensation – Stock Compensation (Topic 718): Scope of Modification Accounting. In May 2017, the FASB issued ASU No. 2017-09 which was issued to clarify and reduce both (i) diversity in practice and (ii) cost and complexity when applying the guidance in Topic 718, “Compensation – Stock Compensation” to changes in the terms and conditions of a share-based payment award. This update is required beginning with the Company’s 2019 fiscal year and should be applied prospectively to award modifications after the effective date. The Company is currently in the process of assessing the impact of this ASU on its consolidated financial statements. Revenue from Contracts with Customers (Topic 606) Section A—Summary and Amendments That Create Revenue from Contracts with Customers (Topic 606) and Other Assets and Deferred Costs—Contracts with Customers (Subtopic 340-40). In May 2014, the FASB issued ASU 2014-09 which outlines a single comprehensive model for entities to use in accounting for revenue arising from contracts with customers and supersedes most current revenue recognition guidance, including industry-specific guidance. The standard is based on the principle that an entity should recognize revenue to depict the transfer of goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. ASU 2014-09 also requires additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts, including significant judgments and changes in judgments and assets recognized from costs incurred to fulfill a contract. Entities have the option of using either a full retrospective or a modified retrospective approach for the adoption of the new standard. The ASU becomes effective for the Company at the beginning of its 2019 fiscal year. In 2016 and 2017, the FASB issued several ASU’s related to ASU 2014-09, which simplify and provide additional guidance to companies for implementation of the standard. The Company is evaluating the recently issued guidance on practical expedients in order to select a transition method. The Company is also assessing the impact that ASU 2014-09 will have on its consolidated financial statements and disclosures. This evaluation includes completing an inventory of revenue streams by like contracts to allow for ease of implementation, monitoring developments for the manufacturing industry, and evaluating potential changes to our business processes, systems, and controls to support the recognition and disclosure under the new standard. Preparation of Financial Statements – Going Concern (Subtopic 205-40), Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern. In August 2014, the FASB issued ASU No. 2014-15 which states that under GAAP, continuation of a reporting entity as a going concern is presumed as the basis for preparing financial statements unless and until the entity’s liquidation becomes imminent. If and when an entity’s liquidation becomes imminent, financial statements should be prepared under the liquidation basis of accounting. Even when an entity’s liquidation is not imminent, there may be conditions or events that raise substantial doubt about the entity’s ability to continue as a going concern. In those situations, financial statements should continue to be prepared under the going concern basis of accounting, but the amendments in this ASU should be followed to determine whether to disclose information about the relevant conditions and events. The new guidance is effective for the Company’s annual reporting for fiscal year 2017, and for annual periods and interim periods thereafter. Early adoption is permitted. The Company does not expect the adoption of this standard to have a material impact on its financial statements and plans to adopt it in the fourth quarter of fiscal year 2017. Business Combinations (Topic 805): Clarifying the Definition of a Business: In January 2017, the FASB issued ASU 2017-01 which clarifies the definition of a business for determining whether transactions should be accounted for as acquisitions (or disposals) of assets or businesses. The guidance is effective for the Company beginning October 1, 2018. The Company is currently in the process of assessing the impact of this ASU on its consolidated financial statements. Intangibles – Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment: In January 2017, the FASB issued ASU 2017-04 which simplifies the test for goodwill impairment. This new guidance is effective for the Company beginning in fiscal year 2021. The Company is currently in the process of assessing the impact of this ASU on its consolidated financial statements. |
Xcede Technologies, Inc. Joint
Xcede Technologies, Inc. Joint Venture | 9 Months Ended |
Jun. 30, 2017 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Equity Method Investments and Joint Ventures Disclosure [Text Block] | Note 3 – Xcede Technologies, Inc. Joint Venture In October 2013, the Company, through its subsidiary Dynasil Biomedical (“DBM”), formed Xcede, a joint venture with Mayo Clinic, in order to spin out and separately fund the development of its hemostatic tissue sealant technology, which formerly comprised the majority of its expense within the biomedical segment. Beginning at its inception and through November 2016, Xcede funded its pre-clinical research activities through the issuance of convertible notes bearing interest at 5 5.2 In November 2016, Dynasil committed to invest $ 1.2 5,394,120 20 3.6 5.5 1.9 1.6 0.3 Series A Preferred participants include both outside investors (accounted for as noncontrolling interest) and DBM. The outside investors converted $ 3.1 3,055,551 2.4 2,338,569 Each share of Series A Preferred and Series B Preferred (together “the Preferred Stock”) shall be convertible, at the option of the holder, into such number of fully paid and non-assessable shares of Xcede common stock (“Common Stock”) as determined by dividing the original issue price, as defined, by the conversion price in effect on the date of conversion, which is 1:1. Each holder of the Preferred Stock shall have one vote for each share of Common Stock that the holder of the Preferred Stock would be entitled to receive upon the conversion of the holder’s Preferred Stock into Common Stock. Upon any liquidation event, which includes certain change of control events, following payment of pre-equity distributions, the remaining proceeds or net assets of Xcede shall be paid and distributed in the following amounts and order of priority: (1) to satisfy the liquidation preference payment due to each holder of Series B Preferred, (2) to satisfy the liquidation preference payment due to each holder of Series A Preferred, (3) payment in full of any acquisition transaction payment, and (4) the remaining assets available to be distributed ratably among the holders of the Common Stock. If a liquidation event were to occur, the Series A Preferred’s liquidation value would be $ 1.016 1.27 0.5 5.5 2.4 3.1 As of June 30, 2017, DBM owned approximately 61 Noncontrolling interest represents the value of the Series A Preferred and common stock not owned by DBM plus 17% of cumulative losses of Xcede based on the 17% common stock ownership held by noncontrolling interests. Due to the issuance of Preferred Stock, DBM’s ownership percentage in Xcede decreased to less than 80%. Based on this ownership percentage, beginning in fiscal year 2017, Xcede will no longer be included in the Dynasil consolidated federal tax return and the Company will no longer be able to offset taxable income or benefit from net operating losses and other tax attributes related to Xcede. (See Note 11 – Income Taxes.) As previously disclosed, in January 2016, Xcede announced that it had signed three agreements with Cook Biotech Inc. of West Lafayette, Indiana (“Cook”), including a Development Agreement, a License Agreement and a Supply Agreement, in connection with the development, regulatory approval and production of Xcede’s resorbable hemostatic patch (“Xcede’s Patch”). In November 2016, Xcede entered into another Services Agreement, a Secured Promissory Note, a Loan Agreement, a Security Agreement and an Intellectual Property Security Agreement (collectively the “Note Agreement”) with Cook, in which Cook committed to fund the pre-clinical testing of, and subject to the receipt of applicable regulatory approvals to initiate first in human clinical trials for, the Xcede Patch. Under the terms of the Note Agreement, in exchange for the services performed by Cook, Xcede has committed to a multiple draw credit facility in the aggregate amount not to exceed $ 1.5 500,000 2 5.4 December 31, 2025 33,000 238,000 |
Inventories
Inventories | 9 Months Ended |
Jun. 30, 2017 | |
Inventory Disclosure [Abstract] | |
Inventory Disclosure [Text Block] | Note 4 - Inventories Inventories, net of reserves, consists of the following: June 30, September 30, 2017 2016 Raw Materials $ 2,463,000 $ 1,938,000 Work-in-Process 529,000 834,000 Finished Goods 1,125,000 954,000 $ 4,117,000 $ 3,726,000 |
Intangible Assets
Intangible Assets | 9 Months Ended |
Jun. 30, 2017 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Intangible Assets Disclosure [Text Block] | Note 5 – Intangible Assets Intangible assets at June 30, 2017 and September 30, 2016 consist of the following: Useful Gross Accumulated June 30, 2017 Life (years) Amount Amortization Net Acquired Customer Base 5 to 15 $ 716,000 $ 519,000 $ 197,000 Know How 15 512,000 307,000 205,000 Trade Names Indefinite 271,000 - 271,000 Patents 20 404,000 10,000 394,000 Biomedical Technologies 5 260,000 260,000 - $ 2,163,000 $ 1,096,000 $ 1,067,000 Useful Gross Accumulated September 30, 2016 Life (years) Amount Amortization Net Acquired Customer Base 5 to 15 $ 718,000 $ 473,000 $ 245,000 Know How 15 512,000 282,000 230,000 Trade Names Indefinite 272,000 - 272,000 Patents 20 326,000 6,000 320,000 Biomedical Technologies 5 260,000 260,000 - $ 2,088,000 $ 1,021,000 $ 1,067,000 Amortization expense for the three months ended June 30, 2017 and 2016 was $ 24,000 43,000 75,000 129,000 Estimated amortization expense for each of the next five fiscal years and thereafter is as follows: 2017 (3 months) 2018 2019 2020 2021 Thereafter Total Acquired Customer Base $ 20,000 $ 80,000 $ 97,000 $ - $ - $ - $ 197,000 Know How 9,000 34,000 34,000 34,000 34,000 60,000 205,000 Patents 3,000 12,000 12,000 12,000 12,000 188,000 239,000 $ 32,000 $ 126,000 $ 143,000 $ 46,000 $ 46,000 $ 248,000 $ 641,000 As of June 30, 2017, Xcede had $ 155,000 The Company continually assesses whether events or changes in circumstances have occurred that may warrant revision of the estimated useful lives of its long-lived assets or whether the remaining balances of those assets should be evaluated for possible impairment. There were no changes in the carrying value of the long-lived assets, aside from current additions and foreign exchange rate fluctuations, during the three and nine months ended June 30, 2017. |
Goodwill
Goodwill | 9 Months Ended |
Jun. 30, 2017 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill Disclosure [Text Block] | Note 6 – Goodwill Goodwill is subject to an annual impairment test. The Company considers many factors which may indicate the requirement to perform additional, interim impairment tests. These include: ⋅ A significant adverse long term outlook for any of its industries holding goodwill; ⋅ An adverse finding or rejection from a regulatory body involved in new product regulatory approvals; ⋅ Failure of an anticipated commercialization of a product or product line; ⋅ Unanticipated competition or the introduction of a disruptive technology; ⋅ The testing for recoverability under the Impairment or Disposal of Long-Lived Assets Subsections of Subtopic 360-10 of a significant asset group within a reporting unit; ⋅ A loss of key personnel; and ⋅ An expectation that a reporting unit carrying goodwill, or a significant portion of a reporting unit, will be sold or otherwise disposed of. There were no changes, aside from foreign exchange rate fluctuations, in the carrying value of goodwill, during the three and nine months ended June 30, 2017. |
Debt
Debt | 9 Months Ended |
Jun. 30, 2017 | |
Debt Disclosure [Abstract] | |
Debt Disclosure [Text Block] | Note 7 – Debt Senior Debt On May 16, 2017, the Company and Middlesex Savings Bank entered in an agreement to extend the Company’s existing line of credit and term loan through May 2020. Additionally, on May 16, 2017, the Company and Middlesex Savings Bank entered into an annual $ 1.0 1.2 Subordinated Debt On December 15, 2016, the Company amended the Note Purchase Agreement with Massachusetts Capital Resource Company to reinstate the interest only payment requirements of the loan and defer principal repayment requirements to November 30, 2017. Such amendment also extended the maturity date from July 31, 2018 to July 31, 2019. Subsidiary Debt In November 2016, the Xcede convertible notes along with related accrued interest were converted into 5,394,120 |
Earnings (Loss) Per Common Shar
Earnings (Loss) Per Common Share | 9 Months Ended |
Jun. 30, 2017 | |
Earnings Per Share [Abstract] | |
Earnings Per Share [Text Block] | Note 8 – Earnings (Loss) Per Common Share Basic earnings (loss) per common share is computed by dividing the net income or loss attributable to common shares by the weighted average number of common shares outstanding. Diluted earnings per common share adjusts basic earnings per share for the effects of common stock options, common stock warrants, convertible preferred stock and other potential dilutive common shares outstanding during the periods. For purposes of computing diluted earnings per share for the three and nine months ended June 30, 2017 and 2016, no common stock options were included in the calculation of dilutive shares as all of the 196,769 123,147 For the three and nine months ended June 30, 2017, 70,000 3,532 42,737 June 30, 2017 June 30, 2016 Weighted average shares outstanding Basic 16,945,744 16,698,205 Effect of dilutive securities Stock options - - Restricted stock - 3,532 Dilutive average shares outstanding 16,945,744 16,701,737 The computation of the weighted shares outstanding for the nine months ended June 30, 2017 and 2016 is as follows: June 30, 2017 June 30, 2016 Weighted average shares outstanding Basic 16,879,864 16,628,279 Effect of dilutive securities Stock options - - Restricted stock - 42,737 Dilutive average shares outstanding 16,879,864 16,671,016 |
Stock Based Compensation
Stock Based Compensation | 9 Months Ended |
Jun. 30, 2017 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Disclosure of Compensation Related Costs, Share-based Payments [Text Block] | Note 9 - Stock Based Compensation The fair value of the stock options granted is estimated at the date of grant using the Black-Scholes option pricing model. The expected volatility was determined with reference to the historical volatility of the Company's stock. The Company uses historical data to estimate option exercise and employee termination within the valuation model. The expected term of options granted represents the period of time that the options granted are expected to be outstanding. The risk-free interest rate for periods within the contractual life of the option is based on the U.S. Treasury rate in effect at the time of grant. The dividend yield is expected to be zero because historically the Company has not paid dividends on common stock. The Company’s Xcede joint venture adopted an Equity Incentive Plan in 2013 which provides for, among other incentives, the granting of options to purchase shares in Xcede’s common stock to officers, directors, employees and consultants. The options granted generally vest over a three year period. The fair value of the stock options granted is estimated at the date of grant using the Black-Scholes option pricing model using assumptions generally consistent with those used for Company stock options. Because Xcede is not publicly traded, the expected volatility is estimated with reference to the average historical volatility of a group of publicly traded companies that are believed to have similar characteristics to Xcede. Three Months Ended Three Months Ended Stock Compensation Expense June 30, 2017 June 30, 2016 Stock grants $ 60,000 $ 74,000 Restricted stock grants 13,000 13,000 Option grants 12,000 12,000 Employee stock purchase plan 1,000 1,000 Subsidiary stock grants - 210,000 Subsidiary option grants 30,000 19,000 Total $ 116,000 $ 329,000 Nine Months Ended Nine Months Ended Stock Compensation Expense June 30, 2017 June 30, 2016 Stock grants $ 183,000 $ 259,000 Restricted stock grants 39,000 33,000 Option grants 37,000 29,000 Employee stock purchase plan 2,000 2,000 Subsidiary stock grants - 210,000 Subsidiary option grants 82,000 59,000 Total $ 343,000 $ 592,000 At June 30, 2017, there was approximately $ 126,000 Restricted Stock Grants Restricted Stock Activity for the Nine Months ended Weighted-Average June 30, 2017 Shares Grant-Date Fair Value Nonvested at September 30, 2016 100,000 $ 1.73 Granted - - Vested (30,000) 1.73 Cancelled - - Nonvested at June 30, 2017 70,000 $ 1.73 Stock Option Grants FY 2017 Expected term in years 3 years Risk-free interest rate 1.48 % Expected volatility 69.57 % Expected dividend yield 0.00 % Weighted Average Weighted Average Options Exercise Price per Remain Contractual Outstanding Share Term (in Years) Balance at September 30, 2016 123,147 $ 2.30 1.69 Outstanding and exercisable at September 30, 2016 123,147 2.30 1.69 Granted 95,602 1.80 2.59 Exercised - - Cancelled (21,980) 3.03 Balance at June 30, 2017 196,769 1.98 1.89 Outstanding and exercisable at June 30, 2017 196,769 $ 1.98 1.89 Subsidiary Stock Option Grants During the nine months ended June 30, 2017, 810,500 1.00 228,000 75,000 582,500 Expected term in years 10 years Risk-free interest rate 2.42 % Expected volatility 83.11 % Expected dividend yield 0.00 % Weighted Average Weighted Average Options Exercise Price per Remain Contractual Outstanding Share Term (in Years) Balance at September 30, 2016 613,653 $ 1.00 8.35 Outstanding and exercisable at September 30, 2016 320,586 1.00 8.01 Granted 810,500 1.00 Exercised - - Cancelled (48,197) 1.00 Balance at June 30, 2017 1,375,956 1.00 8.96 Outstanding and exercisable at June 30, 2017 827,155 $ 1.00 8.47 At June 30, 2017, the Company’s Xcede joint venture had $ 182,000 |
Segment, Customer and Geographi
Segment, Customer and Geographical Reporting | 9 Months Ended |
Jun. 30, 2017 | |
Segment Reporting [Abstract] | |
Segment Reporting Disclosure [Text Block] | Note 10 – Segment, Customer and Geographical Reporting Segment Financial Information Dynasil reports three reportable segments: contract research (“Contract Research”), optics (“Optics”) and biomedical (“Biomedical”). Within these segments, there is a segregation of operating segments based upon the organizational structure used to evaluate performance and make decisions on resource allocation, as well as availability and materiality of separate financial results consistent with that structure. The Optics segment aggregates four operating segments – Dynasil Fused Silica, Optometrics, Hilger Crystals, and Evaporated Metal Films – that manufacture commercial products, including optical crystals for sensing in the security and medical imaging markets, as well as optical components, optical coatings and optical materials for scientific instrumentation and other applications. The Contract Research segment is one of the largest small business participants in U.S. government-funded research. The Biomedical segment consists of a single operating segment, Dynasil Biomedical Corporation (“Dynasil Biomedical”), a medical technology incubator which owns rights to certain early stage medical technologies. Dynasil Biomedical holds common and preferred stock in the Xcede joint venture which is developing a tissue sealant technology and currently has no other operations. Results of Operations for the Three Months Ended June 30, 2017 Contract Optics Research Biomedical Total Revenue $ 4,837,000 $ 3,999,000 $ - $ 8,836,000 Gross profit 1,655,000 1,709,000 - 3,364,000 GM % 34 % 43 % - 38 % Operating expenses 1,619,000 1,640,000 377,000 3,636,000 Operating income (loss) 36,000 69,000 (377,000) (272,000) Depreciation and amortization 248,000 52,000 1,000 301,000 Capital expenditures 179,000 54,000 26,000 259,000 Intangibles, net 468,000 205,000 394,000 1,067,000 Goodwill 955,000 4,939,000 - 5,894,000 Total assets $ 19,488,000 $ 8,004,000 $ 690,000 $ 28,182,000 Results of Operations for the Three Months Ended June 30, 2016 Contract Optics Research Biomedical Total Revenue $ 5,780,000 $ 4,626,000 $ - $ 10,406,000 Gross profit 2,012,000 1,915,000 - 3,927,000 GM % 35 % 41 % - 38 % Operating expenses 1,604,000 1,601,000 396,000 3,601,000 Operating income (loss) 408,000 314,000 (396,000) 326,000 Depreciation and amortization 247,000 24,000 17,000 288,000 Capital expenditures 330,000 - 6,000 336,000 Intangibles, net 549,000 239,000 308,000 1,096,000 Goodwill 1,001,000 4,939,000 - 5,940,000 Total assets $ 16,752,000 $ 8,546,000 $ 424,000 $ 25,722,000 The Company’s segment information for the nine months ended June 30, 2017 and 2016 is summarized below: Results of Operations for the Nine Months Ended June 30, 2017 Contract Optics Research Biomedical Total Revenue $ 14,524,000 $ 13,541,000 $ - $ 28,065,000 Gross profit 5,144,000 5,535,000 - 10,679,000 GM % 35 % 41 % - 38 % Operating expenses 4,544,000 5,182,000 1,150,000 10,876,000 (Gain) loss on sale of assets - - - - Operating income (loss) 600,000 353,000 (1,150,000) (197,000) Depreciation and amortization 719,000 200,000 7,000 926,000 Capital expenditures 373,000 88,000 72,000 533,000 Intangibles, net 468,000 205,000 394,000 1,067,000 Goodwill 955,000 4,939,000 - 5,894,000 Total assets $ 19,488,000 $ 8,004,000 $ 690,000 $ 28,182,000 Results of Operations for the Nine Months Ended June 30, 2016 Contract Optics Research Biomedical Total Revenue $ 18,415,000 $ 14,484,000 $ - $ 32,899,000 Gross profit 6,330,000 5,639,000 - 11,969,000 GM % 34 % 39 % - 36 % Operating expenses 5,237,000 5,107,000 1,099,000 11,443,000 (Gain) loss on sale of assets (4,000) - - (4,000) Operating income (loss) 1,097,000 532,000 (1,099,000) 530,000 Depreciation and amortization 700,000 187,000 52,000 939,000 Capital expenditures 1,224,000 37,000 81,000 1,342,000 Intangibles, net 549,000 239,000 308,000 1,096,000 Goodwill 1,001,000 4,939,000 - 5,940,000 Total assets $ 16,752,000 $ 8,546,000 $ 424,000 $ 25,722,000 Customer Financial Information For the three and nine months ended June 30, 2017, no customer in the Optics segment represented more than 10 10 For both the three and nine months ended June 30, 2017, three customers of the Contract Research segment, all various agencies of the U.S. Government, each represented more than 10 10 52 72 58 77 Geographic Financial Information Three Months Ended Three Months Ended June 30, 2017 June 30, 2016 Geographic Location Revenue % of Total Revenue % of Total United States $ 6,928,000 78 % $ 7,908,000 76 % Europe 962,000 11 % 1,868,000 18 % Other 946,000 11 % 630,000 6 % $ 8,836,000 100 % $ 10,406,000 100 % Revenue by geographic location in total and as a percentage of total revenue, for the nine months ended June 30, 2017 and 2016 are as follows: Nine Months Ended Nine Months Ended June 30, 2017 June 30, 2016 Geographic Location Revenue % of Total Revenue % of Total United States $ 22,051,000 78 % $ 24,363,000 74 % Europe 3,262,000 12 % 6,361,000 19 % Other 2,752,000 10 % 2,175,000 7 % $ 28,065,000 100 % $ 32,899,000 100 % |
Income Taxes
Income Taxes | 9 Months Ended |
Jun. 30, 2017 | |
Income Tax Disclosure [Abstract] | |
Income Tax Disclosure [Text Block] | Note 11 - Income Taxes The Company uses the asset and liability approach to account for income taxes. Under this approach, deferred income taxes reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes and net operating loss and tax credit carry forwards. The amount of deferred taxes on these temporary differences is determined using the tax rates that are expected to apply to the period when the asset is realized or the liability is settled, as applicable, based on tax rates, and tax laws, in the respective tax jurisdiction then in effect. Dynasil Corporation of America and its wholly-owned U.S. subsidiaries file a consolidated federal income tax return and various state returns. The Company’s U.K. subsidiary files tax returns in the U.K. Prior to November 18, 2016, the Company’s subsidiary, Xcede was included in the federal and state tax returns filed by Dynasil. As of November 18, 2016, Dynasil’s ownership in Xcede was reduced to approximately 59 In assessing the ability to realize the net deferred tax assets, management considers various factors including taxable income in carryback years, future reversals of existing taxable temporary differences, tax planning strategies and projections of future taxable income, to determine whether it is more likely than not that some portion or all of the net deferred tax assets will not be realized. As a result of Xcede’s de-consolidation from the Company’s federal tax returns, the Company will no longer be able to offset taxable income with Xcede’s current or cumulative net operating losses. Upon review of relevant criteria for the new Dynasil federal consolidated group, it was determined that it is more likely than not that the federal, deferred tax assets of the new Dynasil federal consolidated group will be realized based upon positive earnings history and expected future profits of the group. As a result, the federal deferred tax asset valuation allowance associated with the Dynasil federal consolidated group has been reversed resulting in an income tax benefit in the amount of $ 2.7 The Company applies the authoritative provisions related to accounting for uncertainty in income taxes. As required by these provisions, the Company recognizes the financial statement benefit of a tax position only after determining that the relevant tax authority would more-likely-than-not sustain the position following an audit. For tax positions meeting the more-likely-than-not threshold, the amount recognized in the financial statements is the largest benefit that has a greater than 50 percent likelihood of being reached upon ultimate settlement with the relevant tax authority. As of June 30, 2017 and September 30, 2016, the Company has no liabilities for uncertain tax positions. Interest and penalty charges, if any, related to uncertain tax positions would be classified as income tax expense in the accompanying consolidated statement of operations. As of June 30, 2017 and September 30, 2016, the Company had no accrued interest or penalties related to uncertain tax positions. The Company currently has no federal or state tax examinations in progress. The effective tax rates were 34 13 767 2.7 43.6 32 34 The Company files its tax returns as prescribed by the tax laws of the jurisdictions in which it operates. The Company’s tax filings for federal and state jurisdictions for the tax years beginning with 2013 are still subject to examination. |
Subsequent Events
Subsequent Events | 9 Months Ended |
Jun. 30, 2017 | |
Subsequent Events [Abstract] | |
Subsequent Events [Text Block] | Note 12 – Subsequent Events The Company has evaluated subsequent events through the date the financial statements were released. |
Inventories (Tables)
Inventories (Tables) | 9 Months Ended |
Jun. 30, 2017 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventory, Current [Table Text Block] | Inventories, net of reserves, consists of the following: June 30, September 30, 2017 2016 Raw Materials $ 2,463,000 $ 1,938,000 Work-in-Process 529,000 834,000 Finished Goods 1,125,000 954,000 $ 4,117,000 $ 3,726,000 |
Intangible Assets (Tables)
Intangible Assets (Tables) | 9 Months Ended |
Jun. 30, 2017 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Finite-Lived Intangible Assets [Table Text Block] | Intangible assets at June 30, 2017 and September 30, 2016 consist of the following: Useful Gross Accumulated June 30, 2017 Life (years) Amount Amortization Net Acquired Customer Base 5 to 15 $ 716,000 $ 519,000 $ 197,000 Know How 15 512,000 307,000 205,000 Trade Names Indefinite 271,000 - 271,000 Patents 20 404,000 10,000 394,000 Biomedical Technologies 5 260,000 260,000 - $ 2,163,000 $ 1,096,000 $ 1,067,000 Useful Gross Accumulated September 30, 2016 Life (years) Amount Amortization Net Acquired Customer Base 5 to 15 $ 718,000 $ 473,000 $ 245,000 Know How 15 512,000 282,000 230,000 Trade Names Indefinite 272,000 - 272,000 Patents 20 326,000 6,000 320,000 Biomedical Technologies 5 260,000 260,000 - $ 2,088,000 $ 1,021,000 $ 1,067,000 |
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense [Table Text Block] | Estimated amortization expense for each of the next five fiscal years and thereafter is as follows: 2017 (3 months) 2018 2019 2020 2021 Thereafter Total Acquired Customer Base $ 20,000 $ 80,000 $ 97,000 $ - $ - $ - $ 197,000 Know How 9,000 34,000 34,000 34,000 34,000 60,000 205,000 Patents 3,000 12,000 12,000 12,000 12,000 188,000 239,000 $ 32,000 $ 126,000 $ 143,000 $ 46,000 $ 46,000 $ 248,000 $ 641,000 |
Earnings (Loss) Per Common Sh21
Earnings (Loss) Per Common Share (Tables) | 9 Months Ended |
Jun. 30, 2017 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | The computation of the weighted shares outstanding for the three months ended June 30, 2017 and 2016 is as follows: June 30, 2017 June 30, 2016 Weighted average shares outstanding Basic 16,945,744 16,698,205 Effect of dilutive securities Stock options - - Restricted stock - 3,532 Dilutive average shares outstanding 16,945,744 16,701,737 The computation of the weighted shares outstanding for the nine months ended June 30, 2017 and 2016 is as follows: June 30, 2017 June 30, 2016 Weighted average shares outstanding Basic 16,879,864 16,628,279 Effect of dilutive securities Stock options - - Restricted stock - 42,737 Dilutive average shares outstanding 16,879,864 16,671,016 |
Stock Based Compensation (Table
Stock Based Compensation (Tables) | 9 Months Ended |
Jun. 30, 2017 | |
Schedule Of Stock Compensation Expense [Table Text Block] | Stock compensation expense for the three and nine months ended June 30, 2017 and 2016 is as follows: Three Months Ended Three Months Ended Stock Compensation Expense June 30, 2017 June 30, 2016 Stock grants $ 60,000 $ 74,000 Restricted stock grants 13,000 13,000 Option grants 12,000 12,000 Employee stock purchase plan 1,000 1,000 Subsidiary stock grants - 210,000 Subsidiary option grants 30,000 19,000 Total $ 116,000 $ 329,000 Nine Months Ended Nine Months Ended Stock Compensation Expense June 30, 2017 June 30, 2016 Stock grants $ 183,000 $ 259,000 Restricted stock grants 39,000 33,000 Option grants 37,000 29,000 Employee stock purchase plan 2,000 2,000 Subsidiary stock grants - 210,000 Subsidiary option grants 82,000 59,000 Total $ 343,000 $ 592,000 |
Schedule of Nonvested Restricted Stock Units Activity [Table Text Block] | A summary of restricted stock activity for the nine months ended June 30, 2017 is presented below: Restricted Stock Activity for the Nine Months ended Weighted-Average June 30, 2017 Shares Grant-Date Fair Value Nonvested at September 30, 2016 100,000 $ 1.73 Granted - - Vested (30,000) 1.73 Cancelled - - Nonvested at June 30, 2017 70,000 $ 1.73 |
Stock Option Grants [Member] | |
Schedule of Share-based Compensation, Shares Authorized under Stock Option Plans, by Exercise Price Range [Table Text Block] | The assumptions used in the Black-Scholes option pricing model for the stock option grant during the nine months ended June 30, 2017 were as follows: FY 2017 Expected term in years 3 years Risk-free interest rate 1.48 % Expected volatility 69.57 % Expected dividend yield 0.00 % |
Disclosure of Share-based Compensation Arrangements by Share-based Payment Award [Table Text Block] | A summary of stock option activity for the nine months ended June 30, 2017 is presented below: Weighted Average Weighted Average Options Exercise Price per Remain Contractual Outstanding Share Term (in Years) Balance at September 30, 2016 123,147 $ 2.30 1.69 Outstanding and exercisable at September 30, 2016 123,147 2.30 1.69 Granted 95,602 1.80 2.59 Exercised - - Cancelled (21,980) 3.03 Balance at June 30, 2017 196,769 1.98 1.89 Outstanding and exercisable at June 30, 2017 196,769 $ 1.98 1.89 |
Subsidiary Option Grants [Member] | |
Schedule of Share-based Compensation, Shares Authorized under Stock Option Plans, by Exercise Price Range [Table Text Block] | These options were valued using the Black-Scholes option pricing model and the assumptions for that were as follows: Expected term in years 10 years Risk-free interest rate 2.42 % Expected volatility 83.11 % Expected dividend yield 0.00 % |
Disclosure of Share-based Compensation Arrangements by Share-based Payment Award [Table Text Block] | A summary of Xcede stock option activity for the nine months ended June 30, 2017 is presented below: Weighted Average Weighted Average Options Exercise Price per Remain Contractual Outstanding Share Term (in Years) Balance at September 30, 2016 613,653 $ 1.00 8.35 Outstanding and exercisable at September 30, 2016 320,586 1.00 8.01 Granted 810,500 1.00 Exercised - - Cancelled (48,197) 1.00 Balance at June 30, 2017 1,375,956 1.00 8.96 Outstanding and exercisable at June 30, 2017 827,155 $ 1.00 8.47 |
Segment, Customer and Geograp23
Segment, Customer and Geographical Reporting (Tables) | 9 Months Ended |
Jun. 30, 2017 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information, by Segment [Table Text Block] | The Company’s segment information for the three months ended June 30, 2017 and 2016 is summarized below: Results of Operations for the Three Months Ended June 30, 2017 Contract Optics Research Biomedical Total Revenue $ 4,837,000 $ 3,999,000 $ - $ 8,836,000 Gross profit 1,655,000 1,709,000 - 3,364,000 GM % 34 % 43 % - 38 % Operating expenses 1,619,000 1,640,000 377,000 3,636,000 Operating income (loss) 36,000 69,000 (377,000) (272,000) Depreciation and amortization 248,000 52,000 1,000 301,000 Capital expenditures 179,000 54,000 26,000 259,000 Intangibles, net 468,000 205,000 394,000 1,067,000 Goodwill 955,000 4,939,000 - 5,894,000 Total assets $ 19,488,000 $ 8,004,000 $ 690,000 $ 28,182,000 Results of Operations for the Three Months Ended June 30, 2016 Contract Optics Research Biomedical Total Revenue $ 5,780,000 $ 4,626,000 $ - $ 10,406,000 Gross profit 2,012,000 1,915,000 - 3,927,000 GM % 35 % 41 % - 38 % Operating expenses 1,604,000 1,601,000 396,000 3,601,000 Operating income (loss) 408,000 314,000 (396,000) 326,000 Depreciation and amortization 247,000 24,000 17,000 288,000 Capital expenditures 330,000 - 6,000 336,000 Intangibles, net 549,000 239,000 308,000 1,096,000 Goodwill 1,001,000 4,939,000 - 5,940,000 Total assets $ 16,752,000 $ 8,546,000 $ 424,000 $ 25,722,000 The Company’s segment information for the nine months ended June 30, 2017 and 2016 is summarized below: Results of Operations for the Nine Months Ended June 30, 2017 Contract Optics Research Biomedical Total Revenue $ 14,524,000 $ 13,541,000 $ - $ 28,065,000 Gross profit 5,144,000 5,535,000 - 10,679,000 GM % 35 % 41 % - 38 % Operating expenses 4,544,000 5,182,000 1,150,000 10,876,000 (Gain) loss on sale of assets - - - - Operating income (loss) 600,000 353,000 (1,150,000) (197,000) Depreciation and amortization 719,000 200,000 7,000 926,000 Capital expenditures 373,000 88,000 72,000 533,000 Intangibles, net 468,000 205,000 394,000 1,067,000 Goodwill 955,000 4,939,000 - 5,894,000 Total assets $ 19,488,000 $ 8,004,000 $ 690,000 $ 28,182,000 Results of Operations for the Nine Months Ended June 30, 2016 Contract Optics Research Biomedical Total Revenue $ 18,415,000 $ 14,484,000 $ - $ 32,899,000 Gross profit 6,330,000 5,639,000 - 11,969,000 GM % 34 % 39 % - 36 % Operating expenses 5,237,000 5,107,000 1,099,000 11,443,000 (Gain) loss on sale of assets (4,000) - - (4,000) Operating income (loss) 1,097,000 532,000 (1,099,000) 530,000 Depreciation and amortization 700,000 187,000 52,000 939,000 Capital expenditures 1,224,000 37,000 81,000 1,342,000 Intangibles, net 549,000 239,000 308,000 1,096,000 Goodwill 1,001,000 4,939,000 - 5,940,000 Total assets $ 16,752,000 $ 8,546,000 $ 424,000 $ 25,722,000 |
Schedule Of Segment Revenue By Geographical Location [Table Text Block] | Revenue by geographic location in total and as a percentage of total revenue, for the three months ended June 30, 2017 and 2016 are as follows: Three Months Ended Three Months Ended June 30, 2017 June 30, 2016 Geographic Location Revenue % of Total Revenue % of Total United States $ 6,928,000 78 % $ 7,908,000 76 % Europe 962,000 11 % 1,868,000 18 % Other 946,000 11 % 630,000 6 % $ 8,836,000 100 % $ 10,406,000 100 % Revenue by geographic location in total and as a percentage of total revenue, for the nine months ended June 30, 2017 and 2016 are as follows: Nine Months Ended Nine Months Ended June 30, 2017 June 30, 2016 Geographic Location Revenue % of Total Revenue % of Total United States $ 22,051,000 78 % $ 24,363,000 74 % Europe 3,262,000 12 % 6,361,000 19 % Other 2,752,000 10 % 2,175,000 7 % $ 28,065,000 100 % $ 32,899,000 100 % |
Basis of Presentation (Details
Basis of Presentation (Details Textual) | Jun. 30, 2017 | Nov. 18, 2016 |
Xcede Technologies inc [Member] | ||
Noncontrolling Interest, Ownership Percentage by Parent | 61.00% | 59.00% |
Xcede Technologies inc [Member] | Common Stock Owned By Others [Member] | ||
Noncontrolling Interest, Ownership Percentage by Parent | 17.00% | |
Dynasil Biomedical [Member] | ||
Noncontrolling Interest, Ownership Percentage by Parent | 83.00% |
Xcede Technologies, Inc. Join25
Xcede Technologies, Inc. Joint Venture (Details Textual) - USD ($) | Nov. 30, 2016 | Nov. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2017 | Nov. 18, 2016 |
Debt Conversion, Original Debt, Amount | $ 5,500,000 | ||||
Debt Conversion, Converted Instrument, Amount | 3,600,000 | ||||
Gain (Loss) on Extinguishment of Debt | 1,900,000 | ||||
Noncontrolling Interest [Member] | |||||
Debt Conversion, Original Debt, Amount | $ 3,100,000 | ||||
Debt Conversion, Converted Instrument, Shares Issued | 3,055,551 | ||||
Gain (Loss) on Extinguishment of Debt | $ 300,000 | ||||
Xcede Technologies inc [Member] | |||||
Debt Instrument, Interest Rate, Stated Percentage | 5.00% | 5.00% | |||
Committed Investment In Cash | $ 1,200,000 | $ 1,200,000 | |||
Debt Conversion, Converted Instrument, Shares Issued | 5,394,120 | ||||
Capital Stock Financing Discount Percentage | 20.00% | 20.00% | |||
Noncontrolling Interest, Ownership Percentage by Parent | 61.00% | 61.00% | 59.00% | ||
Noncontrolling Interest, Description | Noncontrolling interest represents the value of the Series A Preferred and common stock not owned by DBM plus 17% of cumulative losses of Xcede based on the 17% common stock ownership held by noncontrolling interests. | ||||
Dynasil Biomedical [Member] | |||||
Debt Conversion, Original Debt, Amount | $ 2,400,000 | ||||
Debt Conversion, Converted Instrument, Shares Issued | 2,338,569 | ||||
Noncontrolling Interest, Ownership Percentage by Parent | 83.00% | 83.00% | |||
Gain (Loss) on Extinguishment of Debt | $ 1,600,000 | ||||
External Funding [Member] | Convertible Debt [Member] | |||||
Debt Conversion, Original Debt, Amount | $ 5,200,000 | ||||
Secured Promissory Note [Member] | Xcede Technologies inc [Member] | |||||
Debt Instrument, Interest Rate, Stated Percentage | 2.00% | 2.00% | |||
Debt Instrument, Maturity Date | Dec. 31, 2025 | ||||
Notes Payable | $ 1,500,000 | $ 1,500,000 | |||
Proceeds from Notes Payable | $ 500,000 | ||||
Expense Recognized In Long Term Contract | $ 33,000 | $ 238,000 | |||
Imputed Interest Rate | 5.40% | ||||
Series B Preferred Stock [Member] | |||||
Preferred Stock, Liquidation Preference Per Share | $ 1.27 | $ 1.27 | |||
Preferred Stock, Liquidation Preference, Value | $ 500,000 | $ 500,000 | |||
Series A Preferred Stock [Member] | |||||
Preferred Stock, Liquidation Preference Per Share | $ 1.016 | $ 1.016 | |||
Preferred Stock, Liquidation Preference, Value | $ 5,500,000 | $ 5,500,000 | |||
Series A Preferred Stock [Member] | Noncontrolling Shareholders [Member] | |||||
Preferred Stock, Liquidation Preference, Value | 3,100,000 | 3,100,000 | |||
Series A Preferred Stock [Member] | Dynasil Biomedical [Member] | |||||
Preferred Stock, Liquidation Preference, Value | $ 2,400,000 | $ 2,400,000 |
Inventories (Details)
Inventories (Details) - USD ($) | Jun. 30, 2017 | Sep. 30, 2016 |
Inventory Current [Line Items] | ||
Raw Materials | $ 2,463,000 | $ 1,938,000 |
Work-in-Process | 529,000 | 834,000 |
Finished Goods | 1,125,000 | 954,000 |
Inventory, Net, Total | $ 4,117,000 | $ 3,726,000 |
Intangible Assets (Details)
Intangible Assets (Details) - USD ($) | 9 Months Ended | 12 Months Ended | |
Jun. 30, 2017 | Sep. 30, 2016 | Jun. 30, 2016 | |
Finite-Lived Intangible Assets [Line Items] | |||
Gross Amount | $ 2,163,000 | $ 2,088,000 | |
Accumulated Amortization | 1,096,000 | 1,021,000 | |
Net | 1,067,000 | 1,067,000 | $ 1,096,000 |
Acquired Customer Base [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Gross Amount | 716,000 | 718,000 | |
Accumulated Amortization | 519,000 | 473,000 | |
Net | $ 197,000 | $ 245,000 | |
Acquired Customer Base [Member] | Minimum [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Useful Life (years) | 5 years | 5 years | |
Acquired Customer Base [Member] | Maximum [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Useful Life (years) | 15 years | 15 years | |
Know How [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Useful Life (years) | 15 years | 15 years | |
Gross Amount | $ 512,000 | $ 512,000 | |
Accumulated Amortization | 307,000 | 282,000 | |
Net | 205,000 | 230,000 | |
Trade Name [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Gross Amount | 271,000 | 272,000 | |
Accumulated Amortization | 0 | 0 | |
Net | $ 271,000 | $ 272,000 | |
Patents [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Useful Life (years) | 20 years | 20 years | |
Gross Amount | $ 404,000 | $ 326,000 | |
Accumulated Amortization | 10,000 | 6,000 | |
Net | $ 394,000 | $ 320,000 | |
Biomedical Technologies [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Useful Life (years) | 5 years | 5 years | |
Gross Amount | $ 260,000 | $ 260,000 | |
Accumulated Amortization | 260,000 | 260,000 | |
Net | $ 0 | $ 0 |
Intangible Assets (Details 1)
Intangible Assets (Details 1) | Jun. 30, 2017USD ($) |
Finite-Lived Intangible Assets [Line Items] | |
2017 (3 months) | $ 32,000 |
2,018 | 126,000 |
2,019 | 143,000 |
2,020 | 46,000 |
2,021 | 46,000 |
Thereafter | 248,000 |
Total | 641,000 |
Acquired Customer Base [Member] | |
Finite-Lived Intangible Assets [Line Items] | |
2017 (3 months) | 20,000 |
2,018 | 80,000 |
2,019 | 97,000 |
2,020 | 0 |
2,021 | 0 |
Thereafter | 0 |
Total | 197,000 |
Know How [Member] | |
Finite-Lived Intangible Assets [Line Items] | |
2017 (3 months) | 9,000 |
2,018 | 34,000 |
2,019 | 34,000 |
2,020 | 34,000 |
2,021 | 34,000 |
Thereafter | 60,000 |
Total | 205,000 |
Patents [Member] | |
Finite-Lived Intangible Assets [Line Items] | |
2017 (3 months) | 3,000 |
2,018 | 12,000 |
2,019 | 12,000 |
2,020 | 12,000 |
2,021 | 12,000 |
Thereafter | 188,000 |
Total | $ 239,000 |
Intangible Assets (Details Text
Intangible Assets (Details Textual) - USD ($) | 3 Months Ended | 9 Months Ended | |||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | Sep. 30, 2016 | |
Finite-Lived Intangible Assets [Line Items] | |||||
Amortization of Intangible Assets | $ 24,000 | $ 43,000 | $ 75,000 | $ 129,000 | |
Finite-Lived Intangible Assets, Gross | 2,163,000 | 2,163,000 | $ 2,088,000 | ||
Parent [Member] | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Finite-Lived Intangible Assets, Gross | $ 155,000 | $ 155,000 |
Debt (Details Textual)
Debt (Details Textual) - USD ($) $ in Millions | 1 Months Ended | ||
Nov. 30, 2016 | May 16, 2017 | Dec. 02, 2016 | |
Xcede Technologies inc [Member] | |||
Debt [Line Items] | |||
Debt Conversion, Converted Instrument, Shares Issued | 5,394,120 | ||
Xcede Technologies inc [Member] | Senior Debt [Member] | |||
Debt [Line Items] | |||
Invest Amount In Exchange For Series B Preferred Stock | $ 1.2 | ||
Equipment Line of Credit [Member] | Middlesex Savings Bank [Member] | |||
Debt [Line Items] | |||
Debt, Current | $ 1 |
Earnings (Loss) Per Common Sh31
Earnings (Loss) Per Common Share (Details) - shares | 3 Months Ended | 9 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Weighted average shares outstanding | ||||
Basic | 16,945,744 | 16,698,205 | 16,879,864 | 16,628,279 |
Effect of dilutive securities | ||||
Dilutive Average Shares Outstanding | 16,945,744 | 16,701,737 | 16,879,864 | 16,671,016 |
Employee Stock Option [Member] | ||||
Effect of dilutive securities | ||||
Incremental Common Shares Attributable to Dilutive Effect of Share-based Payment Arrangements | 0 | 0 | 0 | 0 |
Restricted Stock [Member] | ||||
Effect of dilutive securities | ||||
Incremental Common Shares Attributable to Dilutive Effect of Share-based Payment Arrangements | 0 | 3,532 | 0 | 42,737 |
Earnings (Loss) Per Common Sh32
Earnings (Loss) Per Common Share (Details Textual) - shares | 3 Months Ended | 9 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Earnings Loss Per Common Share [Line Items] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 196,769 | 123,147 | 196,769 | 123,147 |
Restricted Stock [Member] | ||||
Earnings Loss Per Common Share [Line Items] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 70,000 | 70,000 | ||
Incremental Common Shares Attributable to Dilutive Effect of Share-based Payment Arrangements | 0 | 3,532 | 0 | 42,737 |
Stock Based Compensation (Detai
Stock Based Compensation (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Stock Based Compensation [Line Items] | ||||
Stock Compensation Expense | $ 116,000 | $ 329,000 | $ 343,000 | $ 592,000 |
Stock Grants [Member] | ||||
Stock Based Compensation [Line Items] | ||||
Stock Compensation Expense | 60,000 | 74,000 | 183,000 | 259,000 |
Restricted Stock Grants [Member] | ||||
Stock Based Compensation [Line Items] | ||||
Stock Compensation Expense | 13,000 | 13,000 | 39,000 | 33,000 |
Option Grants [Member] | ||||
Stock Based Compensation [Line Items] | ||||
Stock Compensation Expense | 12,000 | 12,000 | 37,000 | 29,000 |
Employee Stock Purchase Plan [Member] | ||||
Stock Based Compensation [Line Items] | ||||
Stock Compensation Expense | 1,000 | 1,000 | 2,000 | 2,000 |
Subsidiary Stock Grants [Member] | ||||
Stock Based Compensation [Line Items] | ||||
Stock Compensation Expense | 0 | 210,000 | 0 | 210,000 |
Subsidiary Option Grants [Member] | ||||
Stock Based Compensation [Line Items] | ||||
Stock Compensation Expense | $ 30,000 | $ 19,000 | $ 82,000 | $ 59,000 |
Stock Based Compensation (Det34
Stock Based Compensation (Details 1) - Restricted Stock [Member] | 9 Months Ended |
Jun. 30, 2017$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Shares Nonvested, Beginning Balance | shares | 100,000 |
Shares, Granted | shares | 0 |
Shares, Vested | shares | (30,000) |
Shares, Cancelled | shares | 0 |
Shares, Nonvested and expected to vest, Ending Balance | shares | 70,000 |
Weighted-Average Grant-Date Fair Value, Nonvested, Beginning Balance | $ / shares | $ 1.73 |
Weighted-Average Grant-Date Fair Value, Granted | $ / shares | 0 |
Weighted-Average Grant-Date Fair Value, Vested | $ / shares | 1.73 |
Weighted-Average Grant-Date Fair Value, Cancelled | $ / shares | 0 |
Weighted-Average Grant-Date Fair Value, Nonvested, Ending Balance | $ / shares | $ 1.73 |
Stock Based Compensation (Det35
Stock Based Compensation (Details 2) | 9 Months Ended |
Jun. 30, 2017 | |
Subsidiary Option Grants [Member] | |
Expected term in years | 10 years |
Risk-free interest rate | 2.42% |
Expected volatility | 83.11% |
Expected dividend yield | 0.00% |
Stock Option Grants [Member] | |
Expected term in years | 3 years |
Risk-free interest rate | 1.48% |
Expected volatility | 69.57% |
Expected dividend yield | 0.00% |
Stock Based Compensation (Det36
Stock Based Compensation (Details 3) - $ / shares | 9 Months Ended | 12 Months Ended |
Jun. 30, 2017 | Sep. 30, 2016 | |
Stock Option Grants [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Balance, Options Outstanding | 123,147 | |
Outstanding and exercisable, Options Outstanding | 196,769 | 123,147 |
Granted, Options Outstanding | 95,602 | |
Exercised, Options Outstanding | 0 | |
Cancelled, Options Outstanding | (21,980) | |
Balance, Options Outstanding | 196,769 | 123,147 |
Beginning Balance, Weighted Average Exercise Price per Share | $ 2.3 | |
Outstanding and exercisable, Weighted Average Exercise Price per Share | 1.98 | $ 2.3 |
Granted, Weighted Average Exercise Price per Share | 1.8 | |
Exercised, Weighted Average Exercise Price per Share | 0 | |
Cancelled, Weighted Average Exercise Price per Share | 3.03 | |
Ending Balance, Weighted Average Exercise Price per Share | $ 1.98 | $ 2.3 |
Granted, Weighted Average Remaining Contractual Term (in Year) | 2 years 7 months 2 days | |
Balance, Weighted Average Remain Contractual Term (in Years) | 1 year 10 months 20 days | 1 year 8 months 8 days |
Outstanding and exercisable, Weighted Average Remain Contractual Term (in Years) | 1 year 10 months 20 days | 1 year 8 months 8 days |
Subsidiary Option Grants [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Balance, Options Outstanding | 613,653 | |
Outstanding and exercisable, Options Outstanding | 827,155 | 320,586 |
Granted, Options Outstanding | 810,500 | |
Exercised, Options Outstanding | 0 | |
Cancelled, Options Outstanding | (48,197) | |
Balance, Options Outstanding | 1,375,956 | 613,653 |
Beginning Balance, Weighted Average Exercise Price per Share | $ 1 | |
Outstanding and exercisable, Weighted Average Exercise Price per Share | 1 | $ 1 |
Granted, Weighted Average Exercise Price per Share | 1 | |
Exercised, Weighted Average Exercise Price per Share | 0 | |
Cancelled, Weighted Average Exercise Price per Share | 1 | |
Ending Balance, Weighted Average Exercise Price per Share | $ 1 | $ 1 |
Balance, Weighted Average Remain Contractual Term (in Years) | 8 years 11 months 16 days | 8 years 4 months 6 days |
Outstanding and exercisable, Weighted Average Remain Contractual Term (in Years) | 8 years 5 months 19 days | 8 years 4 days |
Stock Based Compensation (Det37
Stock Based Compensation (Details Textual) | 9 Months Ended |
Jun. 30, 2017USD ($)$ / sharesshares | |
Employee Stock Option [Member] | |
Class of Stock [Line Items] | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | shares | 582,500 |
Subsidiary Option Grants [Member] | |
Class of Stock [Line Items] | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | shares | 810,500 |
Share-based Compensation Arrangements by Share-based Payment Award, Options, Grants in Period, Weighted Average Exercise Price | $ / shares | $ 1 |
Deferred Compensation Arrangement with Individual, Fair Value of Shares Issued | $ | $ 75,000 |
Deferred Compensation, Share-based Payments [Member] | |
Class of Stock [Line Items] | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | shares | 228,000 |
Xcede joint venture [Member] | Subsidiary Option Grants [Member] | |
Class of Stock [Line Items] | |
Employee Service Share-based Compensation, Nonvested Awards, Compensation Not yet Recognized, Stock Options | $ | $ 182,000 |
Employee Stock Plan [Member] | |
Class of Stock [Line Items] | |
Employee Service Share-based Compensation, Nonvested Awards, Compensation Not yet Recognized, Stock Options | $ | $ 126,000 |
Segment, Customer and Geograp38
Segment, Customer and Geographical Reporting (Details) - USD ($) | 3 Months Ended | 9 Months Ended | |||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | Sep. 30, 2016 | |
Segment Reporting Information [Line Items] | |||||
Revenue | $ 8,836,000 | $ 10,406,000 | $ 28,065,000 | $ 32,899,000 | |
Gross profit | $ 3,364,000 | $ 3,927,000 | $ 10,679,000 | $ 11,969,000 | |
GM % | 38.00% | 38.00% | 38.00% | 36.00% | |
Operating Expenses, Total | $ 3,636,000 | $ 3,601,000 | $ 10,876,000 | $ 11,439,000 | |
Gain on sale of assets | 0 | 0 | 0 | (4,000) | |
Operating income (loss) | (272,000) | 326,000 | (197,000) | 530,000 | |
Depreciation and amortization | 301,000 | 288,000 | 926,000 | 939,000 | |
Capital expenditures | 259,000 | 336,000 | 533,000 | 1,342,000 | |
Intangibles, net | 1,067,000 | 1,096,000 | 1,067,000 | 1,096,000 | $ 1,067,000 |
Goodwill | 5,894,000 | 5,940,000 | 5,894,000 | 5,940,000 | 5,898,000 |
Total assets | 28,182,000 | 25,722,000 | 28,182,000 | 25,722,000 | $ 26,369,000 |
Optics [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Revenue | 4,837,000 | 5,780,000 | 14,524,000 | 18,415,000 | |
Gross profit | $ 1,655,000 | $ 2,012,000 | $ 5,144,000 | $ 6,330,000 | |
GM % | 34.00% | 35.00% | 35.00% | 34.00% | |
Operating Expenses, Total | $ 1,619,000 | $ 1,604,000 | $ 4,544,000 | $ 5,237,000 | |
Gain on sale of assets | 0 | (4,000) | |||
Operating income (loss) | 36,000 | 408,000 | 600,000 | 1,097,000 | |
Depreciation and amortization | 248,000 | 247,000 | 719,000 | 700,000 | |
Capital expenditures | 179,000 | 330,000 | 373,000 | 1,224,000 | |
Intangibles, net | 468,000 | 549,000 | 468,000 | 549,000 | |
Goodwill | 955,000 | 1,001,000 | 955,000 | 1,001,000 | |
Total assets | 19,488,000 | 16,752,000 | 19,488,000 | 16,752,000 | |
Contract Research [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Revenue | 3,999,000 | 4,626,000 | 13,541,000 | 14,484,000 | |
Gross profit | $ 1,709,000 | $ 1,915,000 | $ 5,535,000 | $ 5,639,000 | |
GM % | 43.00% | 41.00% | 41.00% | 39.00% | |
Operating Expenses, Total | $ 1,640,000 | $ 1,601,000 | $ 5,182,000 | $ 5,107,000 | |
Gain on sale of assets | 0 | 0 | |||
Operating income (loss) | 69,000 | 314,000 | 353,000 | 532,000 | |
Depreciation and amortization | 52,000 | 24,000 | 200,000 | 187,000 | |
Capital expenditures | 54,000 | 0 | 88,000 | 37,000 | |
Intangibles, net | 205,000 | 239,000 | 205,000 | 239,000 | |
Goodwill | 4,939,000 | 4,939,000 | 4,939,000 | 4,939,000 | |
Total assets | 8,004,000 | 8,546,000 | 8,004,000 | 8,546,000 | |
Biomedical [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Revenue | 0 | 0 | 0 | 0 | |
Gross profit | $ 0 | $ 0 | $ 0 | $ 0 | |
GM % | 0.00% | 0.00% | 0.00% | 0.00% | |
Operating Expenses, Total | $ 377,000 | $ 396,000 | $ 1,150,000 | $ 1,099,000 | |
Gain on sale of assets | 0 | 0 | |||
Operating income (loss) | (377,000) | (396,000) | (1,150,000) | (1,099,000) | |
Depreciation and amortization | 1,000 | 17,000 | 7,000 | 52,000 | |
Capital expenditures | 26,000 | 6,000 | 72,000 | 81,000 | |
Intangibles, net | 394,000 | 308,000 | 394,000 | 308,000 | |
Goodwill | 0 | 0 | 0 | 0 | |
Total assets | $ 690,000 | $ 424,000 | $ 690,000 | $ 424,000 |
Segment, Customer and Geograp39
Segment, Customer and Geographical Reporting (Details 1) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Revenue | $ 8,836,000 | $ 10,406,000 | $ 28,065,000 | $ 32,899,000 |
% of Total | 100.00% | 100.00% | 100.00% | 100.00% |
United State [Member] | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Revenue | $ 6,928,000 | $ 7,908,000 | $ 22,051,000 | $ 24,363,000 |
% of Total | 78.00% | 76.00% | 78.00% | 74.00% |
Europe [Member] | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Revenue | $ 962,000 | $ 1,868,000 | $ 3,262,000 | $ 6,361,000 |
% of Total | 11.00% | 18.00% | 12.00% | 19.00% |
Other [Member] | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Revenue | $ 946,000 | $ 630,000 | $ 2,752,000 | $ 2,175,000 |
% of Total | 11.00% | 6.00% | 10.00% | 7.00% |
Segment, Customer and Geograp40
Segment, Customer and Geographical Reporting (Details Textual) | 3 Months Ended | 9 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Customer Three [Member] | Sales Revenue, Segment [Member] | ||||
Segment Reporting [Line Items] | ||||
Concentration Risk, Percentage | 10.00% | 10.00% | ||
Customer Four [Member] | Sales Revenue, Segment [Member] | ||||
Segment Reporting [Line Items] | ||||
Concentration Risk, Percentage | 10.00% | 10.00% | ||
Customer Five [Member] | Sales Revenue, Segment [Member] | ||||
Segment Reporting [Line Items] | ||||
Concentration Risk, Percentage | 10.00% | 10.00% | ||
Optics [Member] | Customer One [Member] | Sales Revenue, Segment [Member] | ||||
Segment Reporting [Line Items] | ||||
Concentration Risk, Percentage | 10.00% | 10.00% | ||
Customer Concentration Risk [Member] | Sales Revenue, Net [Member] | ||||
Segment Reporting [Line Items] | ||||
Concentration Risk, Percentage | 52.00% | 72.00% | 58.00% | 77.00% |
Income Taxes (Details Textual)
Income Taxes (Details Textual) - USD ($) | 3 Months Ended | 9 Months Ended | |||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | Nov. 18, 2016 | |
Income Tax [Line Items] | |||||
Income Tax Expense (Benefit) | $ (111,000) | $ 32,000 | $ (2,769,000) | $ 101,000 | |
Effective Income Tax Rate Reconciliation, Percent | 34.00% | 13.00% | 767.00% | ||
Excluding The Impact Of Valuation Allowance [Member] | |||||
Income Tax [Line Items] | |||||
Effective Income Tax Rate Reconciliation, Percent | (43.60%) | 32.00% | |||
Xcede Technologies inc [Member] | |||||
Income Tax [Line Items] | |||||
Noncontrolling Interest, Ownership Percentage by Parent | 61.00% | 61.00% | 59.00% | ||
Income Tax Expense (Benefit) | $ 2,700,000 | ||||
Federal [Member] | |||||
Income Tax [Line Items] | |||||
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent | 34.00% |