Emerge Health International (MTWD) 10-Q 16 Nov 15 2016 Q1 Quarterly report Financial data

Document And Entity Information

Document And Entity Information - shares	3 Months Ended
	Sep. 30, 2015	Nov. 13, 2015
Document Information [Line Items]
Entity Registrant Name	METWOOD INC
Entity Central Index Key	32,567
Current Fiscal Year End Date	--06-30
Entity Filer Category	Smaller Reporting Company
Trading Symbol	MTWD
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Sep. 30, 2015
Document Fiscal Period Focus	Q1
Document Fiscal Year Focus	2,016
Entity Common Stock, Shares Outstanding		17,666,647

CONSOLIDATED BALANCE SHEETS

CONSOLIDATED BALANCE SHEETS - USD ($)	Sep. 30, 2015	Jun. 30, 2015
Current Assets
Cash and cash equivalents	$ 94,827	$ 87,315
Accounts receivable, net	138,084	129,712
Inventory	783,116	728,500
Inventory
Other current assets	142,630	36,343
Total current assets	1,158,657	981,870
Property and Equipment
Leasehold improvements	274,869	274,869
Furniture, fixtures and equipment	78,222	78,222
Computer hardware, software and peripherals	183,361	180,923
Machinery and shop equipment	477,166	477,166
Vehicles	421,793	412,917
Land improvements	67,959	67,959
Property, Plant, and Equipment, Owned, Net	1,503,370	1,492,056
Less accumulated depreciation	(1,151,005)	(1,134,549)
Net property and equipment	352,365	357,507
Other Assets
Deferred tax asset, less valuation reserve	249,061	245,233
Total other assets	249,061	245,233
TOTAL ASSETS	1,760,083	1,584,610
Current Liabilities
Accounts payable and accrued expenses	236,059	142,647
Customer deposits	16,025	19,857
Total current liabilities	252,084	162,504
Long-term Liabilities
Due to related company	48,992	65,784
Total long-term liabilities	48,992	65,784
Total liabilities	301,076	228,288
Stockholders' Equity
Common stock, $.001 par, 100,000,000 shares authorized; 17,666,647 shares issued and outstanding at September 30, 2015 and June 30, 2015	17,667	15,222
Common stock not yet issued ($.001 par, 8,150 shares)	8	53
Additional paid-in capital	2,035,328	1,917,729
Retained earnings	(593,996)	(576,682)
Total stockholders' equity	1,459,007	1,356,322
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY	$ 1,760,083	$ 1,584,610

CONSOLIDATED BALANCE SHEETS _Pa

CONSOLIDATED BALANCE SHEETS [Parenthetical] - $ / shares	Sep. 30, 2015	Jun. 30, 2015
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common Stock, Shares Authorized	100,000,000	100,000,000
Common Stock, Shares, Issued	17,666,647	17,666,647
Common Stock, Shares, Outstanding	17,666,647	17,666,647
Common Stock, Shares Subscribed but Unissued	8,150	8,150

CONSOLIDATED STATEMENTS OF INCO

CONSOLIDATED STATEMENTS OF INCOME - USD ($)		3 Months Ended
		Sep. 30, 2015	Sep. 30, 2014
REVENUES
Gross sales		$ 499,469	$ 385,703
Cost of sales		290,455	259,874
Gross profit		209,014	125,829
ADMINISTRATIVE EXPENSES
Payroll expenses		115,327	100,787
Other		115,137	96,308
Total administrative expenses		230,464	197,095
Operating loss		(21,450)	(71,266)
Other income (expense)		1,323	(530)
Interest expense		(1,015)	(1,433)
Loss before income taxes		(21,142)	(73,229)
Income tax benefit		(3,828)	(2,870)
Net loss from operations		$ (17,314)	$ (70,359)
Basic and diluted deficit per share (in dollars per share)	[1]
Weighted average number of shares (in shares)		16,393,440	15,221,647
[1]	Less than $0.01

STATEMENTS OF CASH FLOWS

STATEMENTS OF CASH FLOWS - USD ($)	3 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
OPERATIONS
Net loss	$ (17,314)	$ (70,359)
Adjustments to reconcile net loss to net cash provided by (used in) from operating activities:
Depreciation	16,456	19,646
Issuance of common stock	120,000	0
(Increase) decrease in operating assets:
Accounts receivable	(8,732)	7,246
Prepaid expenses	(114,771)	0
Inventory	(54,616)	108,507
Other operating assets	5,016	12,209
Decrease in operating liabilities:
Accounts payable and accrued expenses	89,579	(60,211)
Net cash provided by operating activities	35,618	17,038
INVESTING
Capital asset expenditures	(11,314)	(16,651)
Net cash used in investing activities	(11,314)	(16,651)
FINANCING
Decrease in borrowings from related party	(16,792)	0
Net cash used in financing activities	(16,792)	0
Net increase in cash	7,512	387
Cash, beginning of the year	87,315	36,836
Cash, end of the period	$ 94,827	$ 37,223

ORGANIZATION AND OPERATIONS

ORGANIZATION AND OPERATIONS	3 Months Ended
	Sep. 30, 2015
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Nature of Operations [Text Block]	NOTE 1 - ORGANIZATION AND OPERATIONS The Company was incorporated under the laws of the State of Wyoming on June 19, 1969. On January 28, 2000, the Company, through a majority shareholder vote, changed its domicile to Nevada through a merger with EMC Energies, Inc., a Nevada corporation. The Company also changed its par value to $.001 and the amount of authorized common stock to 100,000,000 Prior to 1990, the Company was engaged in the business of exploring for and producing oil and gas in the Rocky Mountain and mid-continental areas of the United States. The Company liquidated substantially all of its assets in 1990 and was dormant until June 30, 2000, when it acquired, in a stock-for-stock, tax-free exchange, all of the outstanding common stock of a privately held Virginia corporation, Metwood, Inc. ("Metwood"), which was incorporated in 1993. Metwood has been in the metal and metal/wood construction materials manufacturing business since 1992. Following the acquisition, the Company approved a name change from EMC Energies, Inc. to Metwood, Inc. Effective January 1, 2002, Metwood acquired certain assets of Providence Engineering, PC ("Providence"), a professional engineering firm with customers in the same proximity as Metwood, for $ 350,000 Metwood provides construction-related products and engineering services to residential customers and contractors, commercial contractors, developers and retail enterprises, primarily in southwestern Virginia.

SUMMARY OF SIGNIFICANT ACCOUNTI

SUMMARY OF SIGNIFICANT ACCOUNTING PRACTICES	3 Months Ended
	Sep. 30, 2015
Accounting Policies [Abstract]
Basis of Presentation and Significant Accounting Policies [Text Block]	NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING PRACTICES of Presentation For further information, refer to the consolidated financial statements and footnotes thereto included in Metwood, Inc.'s annual report on Form 10-K for the year ended June 30, 2015. Value of Financial Instruments Use of Estimates 7,267 728 0 - Inventory, consisting of metal and wood raw materials, is located on our premises and is stated at the lower of cost or market using the first-in, first-out method. and Equipment of Long-lived Assets - We have been assigned several key product patents developed by certain company officers. No value has been recorded in our financial statements because the fair value of the patents was not determinable within reasonable limits at the date of assignment. Recognition Taxes 1,500 1,592 Per Common Share Accounting Pronouncements Interest-Imputation of Interest (Subtopic 835-30):Simplifying the Presentation of Debt Issuance Costs. In January 2015, FASB issued Update No. 2015-01— Income Statement—Extraordinary and Unusual Items (Subtopic 225-20): Simplifying Income Statement Presentation by Eliminating the Concept of Extraordinary Items. In December 2014, FASB issued Accounting Standards Update (“ASU”) No. 2014-18— Business Combinations (Topic 805): Accounting for Identifiable Intangible Assets in a Business Combination

EARNINGS PER SHARE

EARNINGS PER SHARE	3 Months Ended
	Sep. 30, 2015
Earnings Per Share [Abstract]
Earnings Per Share [Text Block]	NOTE 3 - EARNINGS PER SHARE For the Three Months Ended September 30, 2015 2014 Net loss $ (17,314) $ (70,359) Earnings per share - basic and fully diluted $ ** $ ** Weighted average number of shares 16,393,440 15,221,647 **Less than $0.01

SUPPLEMENTAL CASH FLOW INFORMAT

SUPPLEMENTAL CASH FLOW INFORMATION	3 Months Ended
	Sep. 30, 2015
Supplemental Cash Flow Elements [Abstract]
Cash Flow, Supplemental Disclosures [Text Block]	NOTE 4 – SUPPLEMENTAL CASH FLOW INFORMATION For the Three Months Ended September 30, 2015 2014 Cash paid for: Income taxes $ - $ - Interest (Related Party) $ 1,015 $ 1,433

RELATED-PARTY TRANSACTIONS

RELATED-PARTY TRANSACTIONS	3 Months Ended
	Sep. 30, 2015
Related Party Transactions [Abstract]
Related Party Transactions Disclosure [Text Block]	NOTE 5 - RELATED-PARTY TRANSACTIONS From time to time, we contract with a company related through common ownership for building and grounds-related maintenance services. The related party is Cahas Mountain Properties in which Robert Callahan, our Chief Executive Officer, is a Managing Member. For the three months ended September 30, 2015 and 2014, we had sales of $ 16,792 16,645 0 0

OPERATING LEASE COMMITMENTS

OPERATING LEASE COMMITMENTS	3 Months Ended
	Sep. 30, 2015
Leases [Abstract]
Operating Leases of Lessor Disclosure [Text Block]	NOTE 6 - OPERATING LEASE COMMITMENTS On July 1, 2015, the Company entered into a ten-year commercial operating lease with a company related through common ownership. The related party is Cahas Mountain Properties in which Robert Callahan, our Chief Executive Officer, is a Managing Member. The lease covers various buildings and property which house our manufacturing plant, executive offices and other buildings with a current monthly rental of $ 7,500 2,400,000 120,000 2,000 5,500 22,500 21,000

CONCENTRATIONS OF CUSTOMER RISK

CONCENTRATIONS OF CUSTOMER RISK	3 Months Ended
	Sep. 30, 2015
Risks and Uncertainties [Abstract]
Concentration Risk Disclosure [Text Block]	NOTE 7 – CONCENTRATIONS OF CUSTOMER RISK For the three months ended September 30, 2015, three customers individually accounted for 10

SUMMARY OF SIGNIFICANT ACCOUN13

SUMMARY OF SIGNIFICANT ACCOUNTING PRACTICES (Policies)	3 Months Ended
	Sep. 30, 2015
Accounting Policies [Abstract]
Basis of Accounting, Policy [Policy Text Block]	Basis of Presentation For further information, refer to the consolidated financial statements and footnotes thereto included in Metwood, Inc.'s annual report on Form 10-K for the year ended June 30, 2015.
Fair Value of Financial Instruments, Policy [Policy Text Block]	Fair Value of Financial Instruments
Use of Estimates, Policy [Policy Text Block]	Management's Use of Estimates
Receivables, Policy [Policy Text Block]	Accounts Receivable 7,267 728 0
Inventory, Policy [Policy Text Block]	Inventory - Inventory, consisting of metal and wood raw materials, is located on our premises and is stated at the lower of cost or market using the first-in, first-out method.
Property, Plant and Equipment, Policy [Policy Text Block]	Property and Equipment
Impairment or Disposal of Long-Lived Assets, Policy [Policy Text Block]	Impairment of Long-lived Assets
Patents [Policy Text Block]	Patents - We have been assigned several key product patents developed by certain company officers. No value has been recorded in our financial statements because the fair value of the patents was not determinable within reasonable limits at the date of assignment.
Revenue Recognition, Allowances [Policy Text Block]	Revenue Recognition
Income Tax, Policy [Policy Text Block]	Income Taxes
Research and Development Expense, Policy [Policy Text Block]	Research and Development 1,500 1,592
Earnings Per Share, Policy [Policy Text Block]	Earnings Per Common Share
New Accounting Pronouncements, Policy [Policy Text Block]	Recent Accounting Pronouncements Interest-Imputation of Interest (Subtopic 835-30):Simplifying the Presentation of Debt Issuance Costs. In January 2015, FASB issued Update No. 2015-01— Income Statement—Extraordinary and Unusual Items (Subtopic 225-20): Simplifying Income Statement Presentation by Eliminating the Concept of Extraordinary Items. In December 2014, FASB issued Accounting Standards Update (“ASU”) No. 2014-18— Business Combinations (Topic 805): Accounting for Identifiable Intangible Assets in a Business Combination

EARNINGS PER SHARE (Tables)

EARNINGS PER SHARE (Tables)	3 Months Ended
	Sep. 30, 2015
Earnings Per Share [Abstract]
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block]	Net loss and earnings per share for the three months ended September 30 2015 and 2014 are as follows: For the Three Months Ended September 30, 2015 2014 Net loss $ (17,314) $ (70,359) Earnings per share - basic and fully diluted $ ** $ ** Weighted average number of shares 16,393,440 15,221,647 **Less than $0.01

SUPPLEMENTAL CASH FLOW INFORM15

SUPPLEMENTAL CASH FLOW INFORMATION (Tables)	3 Months Ended
	Sep. 30, 2015
Supplemental Cash Flow Elements [Abstract]
Schedule of Cash Flow, Supplemental Disclosures [Table Text Block]	Supplemental disclosures of cash flow information for the three months ended September 30, 2015 and 2014 are summarized as follows: For the Three Months Ended September 30, 2015 2014 Cash paid for: Income taxes $ - $ - Interest (Related Party) $ 1,015 $ 1,433

ORGANIZATION AND OPERATIONS (De

ORGANIZATION AND OPERATIONS (Details Textual) - USD ($)	Jan. 01, 2002	Sep. 30, 2015	Jun. 30, 2015	Jan. 28, 2000
Nature of Operations [Line Items]
Finite-lived Intangible Assets Acquired	$ 350,000
Common Stock, Par or Stated Value Per Share		$ 0.001	$ 0.001	$ 0.001
Common Stock, Shares Authorized		100,000,000	100,000,000	100,000,000

SUMMARY OF SIGNIFICANT ACCOUN17

SUMMARY OF SIGNIFICANT ACCOUNTING PRACTICES (Details Textual) - USD ($)	3 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
Summary of Significant Accounting Polices [Line Items]
Allowance for Doubtful Accounts Receivable, Current	$ 7,267
Research and Development Expense	1,500	$ 1,592
Allowance for Loan and Lease Loss, Recovery of Bad Debts	$ 728	$ 0

EARNINGS PER SHARE (Details)

EARNINGS PER SHARE (Details) - USD ($)		3 Months Ended
		Sep. 30, 2015	Sep. 30, 2014
Earnings Per Share [Line Items]
Net loss		$ (17,314)	$ (70,359)
Earnings per share - basic and fully diluted (in dollars per share)	[1]
Weighted average number of shares (in shares)		16,393,440	15,221,647
[1]	Less than $0.01

SUPPLEMENTAL CASH FLOW INFORM19

SUPPLEMENTAL CASH FLOW INFORMATION (Details) - USD ($)	3 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
Cash paid for:
Income taxes	$ 0	$ 0
Interest (Related Party)	$ 1,015	$ 1,433

RELATED-PARTY TRANSACTIONS (Det

RELATED-PARTY TRANSACTIONS (Details Textual) - USD ($)	3 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
Cahas Mountain Properties [Member]
Related Party Transaction [Line Items]
Sales	$ 16,792	$ 16,645
Chief Executive Officer [Member]
Related Party Transaction [Line Items]
Related receivable	$ 0	$ 0

OPERATING LEASE COMMITMENTS (De

OPERATING LEASE COMMITMENTS (Details Textual) - USD ($)	1 Months Ended	3 Months Ended
	Jul. 31, 2015	Sep. 30, 2015	Sep. 30, 2014
Operating Lease Commitments [Line Items]
Operating Leases, Rent Expense		$ 22,500	$ 21,000
Rent To Be Transferred From Prepaid Expenses		2,000
Payments for Rent		$ 5,500
Robert Callahan [Member]
Operating Lease Commitments [Line Items]
Operating Leases, Rent Expense, Net, Total	$ 7,500
Stock Issued During Period, Shares, Issued for Services	2,400,000
Prepaid Rent	$ 120,000
Lessee Leasing Arrangements, Operating Leases, Term of Contract	10 years

CONCENTRATIONS OF CUSTOMER RI22

CONCENTRATIONS OF CUSTOMER RISK (Details Textual)	3 Months Ended
	Sep. 30, 2015
Sales Revenue, Net [Member]
Concentration Risk [Line Items]
Concentration Risk, Percentage	10.00%