Document And Entity Information
Document And Entity Information - shares | 9 Months Ended | |
Dec. 31, 2023 | Feb. 20, 2024 | |
Document Information [Line Items] | ||
Entity Central Index Key | 0000032621 | |
Entity Registrant Name | EMERSON RADIO CORP | |
Amendment Flag | false | |
Current Fiscal Year End Date | --03-31 | |
Document Fiscal Period Focus | Q3 | |
Document Fiscal Year Focus | 2023 | |
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Dec. 31, 2023 | |
Document Transition Report | false | |
Entity File Number | 001-07731 | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 22-3285224 | |
Entity Address, Address Line One | 959 Route 46 East, Suite 210 | |
Entity Address, City or Town | Parsippany | |
Entity Address, State or Province | NJ | |
Entity Address, Postal Zip Code | 07054 | |
City Area Code | 973 | |
Local Phone Number | 428-2000 | |
Title of 12(b) Security | Common Stock, par value $.01 per share | |
Trading Symbol | MSN | |
Security Exchange Name | NYSE | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 21,042,652 |
Consolidated Statements of Oper
Consolidated Statements of Operations (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | |
Net revenues: | ||||
Revenue | $ 2,622 | $ 1,932 | $ 6,869 | $ 5,306 |
Costs and expenses: | ||||
Cost of sales | 2,144 | 1,361 | 5,654 | 3,549 |
Selling, general and administrative expenses | 1,202 | 1,051 | 3,464 | 3,686 |
Total costs and expenses | 3,346 | 2,412 | 9,118 | 7,235 |
Operating loss | (724) | (480) | (2,249) | (1,929) |
Other income: | ||||
Settlement of litigation | 0 | 0 | 3,100 | 0 |
Interest income, net | 289 | 235 | 872 | 424 |
Income from governmental assistance programs | 0 | 4 | 0 | 34 |
Income (loss) before income taxes | (435) | (241) | 1,723 | (1,471) |
Provision for income tax expense | (14) | 0 | 74 | 0 |
Net income (loss) | $ (421) | $ (241) | $ 1,649 | $ (1,471) |
Basic income (loss) per share (in dollars per share) | $ (0.02) | $ (0.01) | $ 0.08 | $ (0.07) |
Diluted income (loss) per share (in dollars per share) | $ (0.02) | $ (0.01) | $ 0.08 | $ (0.07) |
Weighted average shares outstanding | ||||
Basic (in shares) | 21,042,652 | 21,042,652 | 21,042,652 | 21,042,652 |
Diluted (in shares) | 21,042,652 | 21,042,652 | 21,042,652 | 21,042,652 |
Product [Member] | ||||
Net revenues: | ||||
Revenue | $ 2,599 | $ 1,704 | $ 6,745 | $ 4,335 |
License [Member] | ||||
Net revenues: | ||||
Revenue | 23 | 123 | 124 | 271 |
Royalty [Member] | ||||
Net revenues: | ||||
Revenue | $ 0 | $ 105 | $ 0 | $ 700 |
Consolidated Balance Sheets (Un
Consolidated Balance Sheets (Unaudited) - USD ($) | Dec. 31, 2023 | Mar. 31, 2023 |
Current Assets: | ||
Cash and cash equivalents | $ 3,637,000 | $ 25,268,000 |
Short term investments | 18,505,000 | 0 |
Accounts receivable, net | 1,087,000 | 1,165,000 |
Licensing receivable | 228,000 | 245,000 |
Inventory | 5,761,000 | 3,813,000 |
Prepaid purchases | 137,000 | 247,000 |
Prepaid expenses and other current assets | 364,000 | 357,000 |
Total Current Assets | 29,719,000 | 31,095,000 |
Non-Current Assets: | ||
Property and equipment, net | 91,000 | 1,000 |
Right-of-use asset-operating leases | 327,000 | 200,000 |
Right-of-use asset-finance leases | 1,000 | 1,000 |
Other assets | 84,000 | 74,000 |
Total Non-Current Assets | 503,000 | 276,000 |
Total Assets | 30,222,000 | 31,371,000 |
Current Liabilities: | ||
Accounts payable and other current liabilities | 1,287,000 | 641,000 |
Short-term operating lease liability | 128,000 | 139,000 |
Short-term finance lease liability | 1,000 | 1,000 |
Income tax payable, current portion | 609,000 | 401,000 |
Advanced deposits | 0 | 3,316,000 |
Deferred revenue | 212,000 | 149,000 |
Total Current Liabilities | 2,238,000 | 4,648,000 |
Non-Current Liabilities: | ||
Long-term operating lease liability | 208,000 | 62,000 |
Long-term finance lease liability | 0 | 0 |
Income tax payable | 668,000 | 1,202,000 |
Total Non-Current Liabilities | 876,000 | 1,264,000 |
Total Liabilities | 3,114,000 | 5,912,000 |
Shareholders’ Equity: | ||
Series A Preferred shares — 10,000,000 shares authorized; 3,677 shares issued and outstanding; liquidation preference of $3,677,000 | 3,310,000 | 3,310,000 |
Common shares — $0.01 par value, 75,000,000 shares authorized; 52,965,797 shares issued at December 31, 2023 and March 31, 2023, respectively; 21,042,652 shares outstanding at December 31, 2023 and March 31, 2023, respectively | 529,000 | 529,000 |
Additional paid-in capital | 79,792,000 | 79,792,000 |
Accumulated deficit | (23,322,000) | (24,971,000) |
Treasury stock, at cost (31,923,145 shares at December 31, 2023 and March 31, 2023, respectively) | (33,201,000) | (33,201,000) |
Total Shareholders’ Equity | 27,108,000 | 25,459,000 |
Total Liabilities and Shareholders’ Equity | 30,222,000 | 31,371,000 |
Related Party [Member] | ||
Current Liabilities: | ||
Due to affiliate | $ 1,000 | $ 1,000 |
Consolidated Balance Sheets (_2
Consolidated Balance Sheets (Unaudited) (Parentheticals) - USD ($) $ in Millions | Dec. 31, 2023 | Mar. 31, 2023 |
Preferred shares, shares authorized (in shares) | 10,000,000 | 10,000,000 |
Preferred shares, shares issued (in shares) | 3,677 | 3,677 |
Preferred shares, shares outstanding (in shares) | 3,677 | 3,677 |
Preferred shares, liquidation preference | $ 3,677 | $ 3,677 |
Common shares, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common shares, shares authorized (in shares) | 75,000,000 | 75,000,000 |
Common shares, shares issued (in shares) | 52,965,797 | 52,965,797 |
Common shares, shares outstanding (in shares) | 21,042,652 | 21,042,652 |
Treasury shares (in shares) | 31,923,145 | 31,923,145 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 9 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Cash Flows from Operating Activities: | ||
Net income (loss) | $ 1,649 | $ (1,471) |
Adjustments to reconcile net income (loss) to net cash (used) by operating activities: | ||
Amortization of right-of-use assets | 121 | 159 |
Depreciation and amortization | 17 | 0 |
Asset valuation allowance | 64 | 39 |
Changes in assets and liabilities: | ||
Accounts receivable | 14 | 328 |
Licensing receivable | 17 | (191) |
Inventory | (1,948) | (233) |
Prepaid purchases | 110 | (503) |
Prepaid expenses and other current assets | (7) | 136 |
Other assets | (10) | 0 |
Accounts payable and other current liabilities | 646 | (244) |
Right of use assets-operating | (248) | 0 |
Short term lease liabilities | (11) | (66) |
Long term lease liabilities | 146 | (104) |
Due to affiliate | 0 | 1 |
Income taxes payable | (326) | (205) |
Advanced deposits | (3,316) | 4,100 |
Deferred revenue | 63 | (28) |
Net cash (used) provided by operating activities | (3,019) | 1,718 |
Cash Flows From Investing Activities: | ||
Purchases of investments | (18,505) | 0 |
Additions to property and equipment | (107) | 0 |
Disposals of property and equipment | 0 | 0 |
Net cash (used) by investing activities | (18,612) | 0 |
Cash Flows from Financing Activities: | ||
Net cash provided by financing activities | 0 | 0 |
Net (decrease) increase in cash and cash equivalents | (21,631) | 1,718 |
Cash and cash equivalents at beginning of the year | 25,268 | 25,576 |
Cash and cash equivalents at end of the year | 3,637 | 27,294 |
Cash paid for: | ||
Interest | 4 | 8 |
Income taxes | $ 401 | $ 205 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Shareholders' Equity (Unaudited) - USD ($) $ in Thousands | Preferred Stock [Member] | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Treasury Stock, Common [Member] | Total |
Balance at Mar. 31, 2022 | $ 3,310 | $ 529 | $ 79,792 | $ (23,611) | $ (33,201) | $ 26,819 |
Balance (in shares) at Mar. 31, 2022 | 52,965,797 | |||||
Net income (loss) | 0 | $ 0 | 0 | (1,471) | 0 | (1,471) |
Balance at Dec. 31, 2022 | 3,310 | $ 529 | 79,792 | (25,082) | (33,201) | 25,348 |
Balance (in shares) at Dec. 31, 2022 | 52,965,797 | |||||
Balance at Mar. 31, 2023 | 3,310 | $ 529 | 79,792 | (24,971) | (33,201) | 25,459 |
Balance (in shares) at Mar. 31, 2023 | 52,965,797 | |||||
Net income (loss) | 0 | $ 0 | 0 | 1,649 | 0 | 1,649 |
Balance at Dec. 31, 2023 | $ 3,310 | $ 529 | $ 79,792 | $ (23,322) | $ (33,201) | $ 27,108 |
Balance (in shares) at Dec. 31, 2023 | 52,965,797 |
Note 1 - Background and Basis o
Note 1 - Background and Basis of Presentation | 9 Months Ended |
Dec. 31, 2023 | |
Notes to Financial Statements | |
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block] | NOTE 1 BACKGROUND AND BASIS OF PRESENTATION The consolidated financial statements include the accounts of Emerson Radio Corp. and its subsidiaries (“Emerson” or the “Company”). The Company designs, sources, imports and markets certain houseware and consumer electronic products, and licenses the Company’s trademarks for a variety of products. The unaudited interim consolidated financial statements reflect all normal and recurring adjustments that are, in the opinion of management, necessary to present a fair statement of the Company’s consolidated financial position as of December 31, 2023 three nine December 31, 2023 December 31, 2022 not not March 31, 2023 2023” 10 2023. The results of operations for the three nine December 31, 2023 not may March 31, 2024 2024” Whenever necessary, reclassifications are made to conform the prior year’s consolidated financial statements to the current year’s presentation. Recently Issued Accounting Pronouncements The following Accounting Standards Updates (“ASUs”) were issued by the Financial Accounting Standards Board (“FASB”) which relate to or could relate to the Company as concerns the Company’s normal ongoing operations or the industry in which the Company operates. Accounting Standards Update 2019 12 Income Taxes (Topic 740 Simplifying the Accounting for Income Taxes (Issued December 2019) In December 2019, 2019 12, 740 2019 12 740 2019 12 December 15, 2020. first June 2021) March 31, 2022. 2019 12 no Accounting Standards Update 2016 13 Financial Instruments Credit Losses (Issued June 2016) In June 2016, 2016 13 2016 13 2016 13 2016 13 December 15, 2022. 2016 13 no Revenue recognition Revenue is measured as the amount of consideration the Company expects to receive in exchange for transferring goods. Revenue is recorded net of customer discounts, promotional allowances, volume rebates and similar charges. When the Company offers the right to return product, historical experience is utilized to establish a liability for the estimate of expected returns. Sales and other tax amounts collected from customers for remittance to governmental authorities are excluded from revenue. Management must make estimates of potential future product returns related to current period product revenue. Management analyzes historical returns, current economic trends and changes in customer demand for the Company’s products when evaluating the adequacy of the reserve for sales returns. Management judgments and estimates must be made and used in connection with establishing the sales return reserves in any accounting period. Additional reserves may Sales allowances, marketing support programs, promotions and other volume-based incentives which are provided to retailers and distributors are accounted for on an accrual basis as a reduction to net revenues in the period in which the related sales are recognized in accordance with ASC topic 606, 606” At the time of sale, the Company reduces recognized gross revenue by allowances to cover, in addition to estimated sales returns as required by ASC 606, not 606. If additional marketing support programs, promotions and other volume-based incentives are required to promote the Company’s products subsequent to the initial sale, then additional reserves may The Company offers limited warranties for its consumer electronics, comparable to those offered to consumers by the Company’s competitors in the United States. Such warranties typically consist of a one Licensing not |
Note 2 - Earnings Per Share
Note 2 - Earnings Per Share | 9 Months Ended |
Dec. 31, 2023 | |
Notes to Financial Statements | |
Earnings Per Share [Text Block] | NOTE 2 — EARNINGS PER SHARE The following table sets forth the computation of basic and diluted earnings per share (in thousands, except per share amounts). Weighted average shares includes the impact of shares held in treasury. Three Months Ended December 31, Nine Months Ended December 31, 2023 2022 2023 2022 Numerator: Net income (loss) $ (421 ) $ (241 ) $ 1,649 $ (1,471 ) Denominator: Denominator for basic and diluted income (loss) per share — weighted average shares 21,042,652 21,042,652 21,042,652 21,042,652 Net income (loss) per share: Basic and diluted income (loss) per share $ (0.02 ) $ (0.01 ) $ 0.08 $ (0.07 ) |
Note 3 - Shareholders' Equity
Note 3 - Shareholders' Equity | 9 Months Ended |
Dec. 31, 2023 | |
Notes to Financial Statements | |
Equity [Text Block] | NOTE 3 — SHAREHOLDERS ’ EQUITY Outstanding capital stock at December 31, 2023 no not March 31, 2002; At December 31, 2023 |
Note 4 - Inventory
Note 4 - Inventory | 9 Months Ended |
Dec. 31, 2023 | |
Notes to Financial Statements | |
Inventory Disclosure [Text Block] | NOTE 4 — INVENTORY Inventories, which consist primarily of finished goods, are stated at the lower of cost or net realizable value. Cost is determined using the first first December 31, 2023 March 31, 2023 December 31, 2023 March 31, 2023 Finished goods $ 5,761 $ 3,813 |
Note 5 - Income Taxes
Note 5 - Income Taxes | 9 Months Ended |
Dec. 31, 2023 | |
Notes to Financial Statements | |
Income Tax Disclosure [Text Block] | NOTE 5 — INCOME TAXES At December 31, 2023 , the Company had $14.0 million of U.S. federal net operating loss (“NOL”) carry forwards. These losses do not one December 31, 2023 , the Company had approximately $16.1 million of U.S. state NOL carry forwards. The tax benefits related to these state NOL carry forwards and future deductible temporary differences are recorded to the extent management believes it is more likely than not The income of foreign subsidiaries before taxes was $293,000 for the three December 31, 2023 as compared to income of foreign subsidiaries before taxes of $247,000 for the three December 31, 2022 . The income of foreign subsidiaries before taxes was $892,000 for the nine December 31, 2023 as compared to income of foreign subsidiaries before taxes of $489,000 for the nine December 31, 2022 . The Company analyzed the future reasonability of recognizing its deferred tax assets at December 31, 2023 . As a result, the Company concluded that a 100% valuation allowance of approximately $4,287,000 would be recorded against the assets. The Company recorded an income tax benefit of $14,000 and income tax expense of $74,000, respectively, during the three nine December 31, 2023 . During the three nine December 31, 2022 , the Company recorded income tax expense of nil 2019 12 740 2022, The Company is subject to examination and assessment by tax authorities in numerous jurisdictions. As of December 31, 2023 , the Company’s open tax years for examination for U.S. federal tax are 2018 2023, 2017 2023. may may As of December 31, 2023 , the Company is asserting under ASC 740 30 As of December 31, 2023 and March 31, 2023 , the Company had a federal tax liability of approximately $1,202,000 and $1,603,000, respectively, related to the repatriation of the Company’s undistributed earnings of its foreign subsidiaries as required by the Tax Cuts and Jobs Act of 2017 December 31, 2023 and March 31, 2023, The liability is payable over 8 years. The first five sixth seventh December 31, 2023 , the Company has paid six eight July 15 th of the year in which such installment is due. On July 12, 2023, sixth In addition to the federal tax liabilities recorded under the Tax Act mentioned above, the Company incurred approximately $74,000 of additional federal tax liabilities resulting from the net income generated during the nine December 31, 2023. 80% one December 31, 2023. |
Note 6 - Related Party Transact
Note 6 - Related Party Transactions | 9 Months Ended |
Dec. 31, 2023 | |
Notes to Financial Statements | |
Related Party Transactions Disclosure [Text Block] | NOTE 6 — RELATED PARTY TRANSACTIONS From time to time, Emerson engages in business transactions with its controlling shareholder, Nimble Holdings Company Limited (“Nimble”), formerly known as The Grande Holdings Limited (“Grande”), and one Controlling Shareholder S&T International Distribution Limited (“S&T”), which is a wholly owned subsidiary of Grande N.A.K.S. Ltd., which is a wholly owned subsidiary of Nimble, collectively have, based on a Schedule 13D/A February 15, 2019, December 31, 2023 . Accordingly, the Company is a “controlled company” as defined in Section 801 Related Party Transactions Charges of rental and utility fees on office space in Hong Kong During the three nine December 31, 2023 , the Company was billed approximately $40,000 and $119,000, respectively, for rental and utility fees from Vigers Appraisal and Consulting Ltd (“VACL”), which is a company related to the Company’s Chairman of the Board of Directors. As of December 31, 2023 the Company owed approximately $1,000 to VACL related to these charges. |
Note 7 - Short Term Deposits an
Note 7 - Short Term Deposits and Investments | 9 Months Ended |
Dec. 31, 2023 | |
Notes to Financial Statements | |
Investment [Text Block] | NOTE 7 — SHORT TERM DEPOSITS AND INVESTMENTS As of December 31, 2023 and March 31, 2023 , the Company held $2.7 million and $23.1 million, respectively, in term deposits. Such term deposits had maturity dates of 90 December 31, 2023 and March 31, 2023 , the Company held $18.5 million and nil, 90 |
Note 8 - Concentration Risk
Note 8 - Concentration Risk | 9 Months Ended |
Dec. 31, 2023 | |
Notes to Financial Statements | |
Concentration Risk Disclosure [Text Block] | NOTE 8 — CONCENTRATION RISK Customer Concentration For the three December 31, 2023 , the Company’s two No 10% For the nine December 31, 2023 , the Company’s three No 10% For the three December 31, 2022 , the Company’s two No 10% For the nine December 31, 2022 , the Company’s three No 10% A significant decline in net sales to any of the Company’s key customers would have a material adverse effect on the Company’s business, financial condition and results of operation. Product Concentration For the three nine December 31, 2023 , the Company’s gross product sales included microwave ovens, which generated approximately 22% and 28%, respectively, of the Company’s gross product sales and audio products, which generated approximately 76% and 70%, respectively, of the Company’s gross product sales. No 10% For the three nine December 31, 2022 , the Company’s gross product sales included microwave ovens, which generated approximately 9% and 24%, respectively, of the Company’s gross product sales and audio products, which generated approximately 91% and 75%, respectively, of the Company’s gross product sales. No 10% Concentrations of Credit Risk As a percentage of the Company’s total trade accounts receivable, net of specific reserves, the Company’s top three December 31, 2023 . No 10% three March 31, 2023 . No 10% not two one The Company maintains its cash accounts with major U.S. and foreign financial institutions. The Company’s cash and restricted cash balances on deposit in the U.S. as of December 31, 2023 and March 31, 2023 were insured by the Federal Deposit Insurance Corporation (“FDIC”) up to $250,000 per qualifying bank account in accordance with FDIC rules. The Company’s cash, cash equivalents and restricted cash balances in excess of these FDIC-insured limits were approximately $3.4 million and approximately $25.0 million at December 31, 2023 and March 31, 2023 , respectively. Supplier Concentration During the three December 31, 2023 , the Company procured approximately 86% of its products for resale from its three two three December 31, 2022 , the Company procured approximately 95% of its products for resale from its two No 10% three December 31, 2023 or December 31, 2022 . During the nine December 31, 2023 , the Company procured approximately 93% of its products for resale from its four three nine December 31, 2022 , the Company procured approximately 99% of its products for resale from its two No 10% nine December 31, 2023 or December 31, 2022 . |
Note 9 - Leases
Note 9 - Leases | 9 Months Ended |
Dec. 31, 2023 | |
Notes to Financial Statements | |
Lessee Lease Disclosure [Text Block] | NOTE 9 — LEASES The Company leases office space in the U.S. and in Hong Kong as well as a copier in the U.S. These leases have remaining non-cancellable lease terms of six sixty not not December 31, 2023 to indicate that a reassessment or re-measurement of the Company’s existing leases was required. As of December 31, 2023 , the Company’s current operating lease liabilities and finance lease liabilities were $128,000 and $1,000, respectively and its non-current operating lease liabili ties nil, December 31, 2023 was $327,000 and $1,000, r The components of lease costs, which were included in operating expenses in the Company’s condensed consolidated statements of operations, were as follows: Three Months Ended December 31, Nine Months Ended December 31, 2023 2022 2023 2022 (in thousands) (in thousands) Lease cost Operating lease cost $ 52 $ 60 $ 141 $ 185 The supplemental cash flow information related to leases are as follows: Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases 43 62 123 187 Right-of-use assets obtained in exchange for lease obligations: Operating leases — — 248 — Finance leases — — — — Information relating to the lease term and discount rate are as follows: Weighted average remaining lease term (in months) As of December 31, 2023 As of December 31, 2022 Operating leases 44.7 18.8 Finance leases 5.2 17.2 Weighted average discount rate Operating leases 9.58 % 7.50 % Finance leases 7.50 % 7.50 % As of December 31, 2023 (in thousands) Operating Leases Finance Leases 2024 $ 52 $ 1 2025 116 — 2026 54 — 2027 66 — Thereafter 52 — Total lease payments $ 340 $ 1 Less: Imputed interest (4 ) — Total $ 336 $ 1 |
Note 10 - Governmental Assistan
Note 10 - Governmental Assistance Programs | 9 Months Ended |
Dec. 31, 2023 | |
Notes to Financial Statements | |
Government Assistance [Text Block] | NOTE 10 — GOVERNMENTAL ASSISTANCE PROGRAMS During the three December 31, 2023 December 31, 2022 nil nine December 31, 2023 December 31, 2022 nil The income realized from the amount granted under the ESS program is presented as Other Income under the description called “Income from governmental assistance programs” in the Consolidated Statements of Operations. |
Note 11 - Legal Proceedings
Note 11 - Legal Proceedings | 9 Months Ended |
Dec. 31, 2023 | |
Notes to Financial Statements | |
Legal Matters and Contingencies [Text Block] | NOTE 11 — LEGAL PROCEEDINGS On April 19, 2022, third 2023 2024, July 11, 2023, September 29, 2023, no September 30, 2023. |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended | 9 Months Ended |
Dec. 31, 2023 | Dec. 31, 2023 | |
Insider Trading Arr Line Items | ||
Material Terms of Trading Arrangement [Text Block] | 5. (a) None (b) None (c) None | |
Rule 10b5-1 Arrangement Adopted [Flag] | false | |
Non-Rule 10b5-1 Arrangement Terminated [Flag] | false | |
Non-Rule 10b5-1 Arrangement Adopted [Flag] | false | |
Rule 10b5-1 Arrangement Terminated [Flag] | false |
Significant Accounting Policies
Significant Accounting Policies (Policies) | 9 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
Basis of Accounting, Policy [Policy Text Block] | The consolidated financial statements include the accounts of Emerson Radio Corp. and its subsidiaries (“Emerson” or the “Company”). The Company designs, sources, imports and markets certain houseware and consumer electronic products, and licenses the Company’s trademarks for a variety of products. The unaudited interim consolidated financial statements reflect all normal and recurring adjustments that are, in the opinion of management, necessary to present a fair statement of the Company’s consolidated financial position as of December 31, 2023 three nine December 31, 2023 December 31, 2022 not not March 31, 2023 2023” 10 2023. The results of operations for the three nine December 31, 2023 not may March 31, 2024 2024” Whenever necessary, reclassifications are made to conform the prior year’s consolidated financial statements to the current year’s presentation. |
New Accounting Pronouncements, Policy [Policy Text Block] | Recently Issued Accounting Pronouncements The following Accounting Standards Updates (“ASUs”) were issued by the Financial Accounting Standards Board (“FASB”) which relate to or could relate to the Company as concerns the Company’s normal ongoing operations or the industry in which the Company operates. Accounting Standards Update 2019 12 Income Taxes (Topic 740 Simplifying the Accounting for Income Taxes (Issued December 2019) In December 2019, 2019 12, 740 2019 12 740 2019 12 December 15, 2020. first June 2021) March 31, 2022. 2019 12 no Accounting Standards Update 2016 13 Financial Instruments Credit Losses (Issued June 2016) In June 2016, 2016 13 2016 13 2016 13 2016 13 December 15, 2022. 2016 13 no |
Revenue [Policy Text Block] | Revenue recognition Revenue is measured as the amount of consideration the Company expects to receive in exchange for transferring goods. Revenue is recorded net of customer discounts, promotional allowances, volume rebates and similar charges. When the Company offers the right to return product, historical experience is utilized to establish a liability for the estimate of expected returns. Sales and other tax amounts collected from customers for remittance to governmental authorities are excluded from revenue. Management must make estimates of potential future product returns related to current period product revenue. Management analyzes historical returns, current economic trends and changes in customer demand for the Company’s products when evaluating the adequacy of the reserve for sales returns. Management judgments and estimates must be made and used in connection with establishing the sales return reserves in any accounting period. Additional reserves may Sales allowances, marketing support programs, promotions and other volume-based incentives which are provided to retailers and distributors are accounted for on an accrual basis as a reduction to net revenues in the period in which the related sales are recognized in accordance with ASC topic 606, 606” At the time of sale, the Company reduces recognized gross revenue by allowances to cover, in addition to estimated sales returns as required by ASC 606, not 606. If additional marketing support programs, promotions and other volume-based incentives are required to promote the Company’s products subsequent to the initial sale, then additional reserves may The Company offers limited warranties for its consumer electronics, comparable to those offered to consumers by the Company’s competitors in the United States. Such warranties typically consist of a one Licensing not |
Note 2 - Earnings Per Share (Ta
Note 2 - Earnings Per Share (Tables) | 9 Months Ended |
Dec. 31, 2023 | |
Notes Tables | |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | Three Months Ended December 31, Nine Months Ended December 31, 2023 2022 2023 2022 Numerator: Net income (loss) $ (421 ) $ (241 ) $ 1,649 $ (1,471 ) Denominator: Denominator for basic and diluted income (loss) per share — weighted average shares 21,042,652 21,042,652 21,042,652 21,042,652 Net income (loss) per share: Basic and diluted income (loss) per share $ (0.02 ) $ (0.01 ) $ 0.08 $ (0.07 ) |
Note 4 - Inventory (Tables)
Note 4 - Inventory (Tables) | 9 Months Ended |
Dec. 31, 2023 | |
Notes Tables | |
Schedule of Inventory, Current [Table Text Block] | December 31, 2023 March 31, 2023 Finished goods $ 5,761 $ 3,813 |
Note 9 - Leases (Tables)
Note 9 - Leases (Tables) | 9 Months Ended |
Dec. 31, 2023 | |
Notes Tables | |
Lease, Cost [Table Text Block] | Three Months Ended December 31, Nine Months Ended December 31, 2023 2022 2023 2022 (in thousands) (in thousands) Lease cost Operating lease cost $ 52 $ 60 $ 141 $ 185 The supplemental cash flow information related to leases are as follows: Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases 43 62 123 187 Right-of-use assets obtained in exchange for lease obligations: Operating leases — — 248 — Finance leases — — — — |
Summary of Information Relating To Lease Term And Discount Rate [Table Text Block] | Weighted average remaining lease term (in months) As of December 31, 2023 As of December 31, 2022 Operating leases 44.7 18.8 Finance leases 5.2 17.2 Weighted average discount rate Operating leases 9.58 % 7.50 % Finance leases 7.50 % 7.50 % |
Operating and Finance Lease Liability Maturity [Table Text Block] | (in thousands) Operating Leases Finance Leases 2024 $ 52 $ 1 2025 116 — 2026 54 — 2027 66 — Thereafter 52 — Total lease payments $ 340 $ 1 Less: Imputed interest (4 ) — Total $ 336 $ 1 |
Note 1 - Background and Basis_2
Note 1 - Background and Basis of Presentation (Details Textual) | 9 Months Ended |
Dec. 31, 2023 | |
Microwave Ovens [Member] | |
Product Warranty, Term (Year) | 1 year |
Audio Products [Member] | |
Product Warranty, Term (Year) | 90 days |
Note 2 - Earnings Per Share - C
Note 2 - Earnings Per Share - Computation of Basic and Diluted Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | |
Numerator: | ||||
Net income (loss) | $ (421) | $ (241) | $ 1,649 | $ (1,471) |
Weighted average shares outstanding | ||||
Basic (in shares) | 21,042,652 | 21,042,652 | 21,042,652 | 21,042,652 |
Net income (loss) per share: | ||||
Basic income (loss) per share (in dollars per share) | $ (0.02) | $ (0.01) | $ 0.08 | $ (0.07) |
Note 3 - Shareholders' Equity (
Note 3 - Shareholders' Equity (Details Textual) shares in Thousands | Dec. 31, 2023 shares |
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Outstanding, Number (in shares) | 0 |
Class of Warrant or Right, Outstanding (in shares) | 0 |
Potentially Dilutive Securities Outstanding (in shares) | 0 |
Note 4 - Inventory - Schedule o
Note 4 - Inventory - Schedule of Inventory (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Mar. 31, 2023 |
Finished goods | $ 5,761 | $ 3,813 |
Note 5 - Income Taxes (Details
Note 5 - Income Taxes (Details Textual) - USD ($) | 3 Months Ended | 9 Months Ended | ||||
Jul. 12, 2023 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | Mar. 31, 2023 | |
Income (Loss) from Continuing Operations before Income Taxes, Foreign | $ 293,000 | $ 247,000 | $ 892,000 | $ 489,000 | ||
Deferred Tax Asset, Valuation Allowance Percent | 100% | |||||
Deferred Tax Assets, Valuation Allowance | 4,287,000 | $ 4,287,000 | ||||
Taxes, Miscellaneous | 14,000 | $ 0 | 74,000 | $ 10,950 | ||
Tax Cuts and Jobs Act, Transition Tax for Accumulated Foreign Earnings, Liability | 1,202,000 | 1,202,000 | $ 1,603,000 | |||
Tax Cuts and Jobs Act, Transition Tax for Accumulated Foreign Earnings, Liability, Current | 534,000 | 534,000 | 401,000 | |||
Tax Cuts and Jobs Act, Transition Tax for Accumulated Foreign Earnings, Liability, Noncurrent | 668,000 | $ 668,000 | $ 1,202,000 | |||
Federal Tax Liability Payable, Duration (Year) | 8 years | |||||
Percentage of Federal Tax Liability Payable in First Five Installments | 8% | |||||
Percentage of Federal Tax Liability Payable in Sixth Installment | 15% | |||||
Percentage of Federal Tax Liability Payable in Seventh Installment | 20% | |||||
Percentage of Federal Tax Liability Payable in Final Installment | 25% | |||||
Payments of Federal Tax Liability | $ 401,000 | |||||
Domestic Tax Authority [Member] | ||||||
Operating Loss Carryforwards | 14,000,000 | $ 14,000,000 | ||||
Percentage of Net Operation Loss Carry Forwards, Utilization Limit Against Taxable Income | 80% | |||||
Open Tax Year | 2018 2019 2020 2021 2022 2023 | |||||
State and Local Jurisdiction [Member] | ||||||
Operating Loss Carryforwards | $ 16.1 | $ 16.1 | ||||
Open Tax Year | 2017 2018 2019 2020 2021 2022 |
Note 6 - Related Party Transa_2
Note 6 - Related Party Transactions (Details Textual) | 3 Months Ended | 9 Months Ended |
Dec. 31, 2023 USD ($) shares | Dec. 31, 2023 USD ($) shares | |
Majority Shareholder [Member] | ||
Ownership Interest, Number of Shares (in shares) | shares | 15,243,283 | 15,243,283 |
Ownership Interest Percentage | 72.40% | 72.40% |
Vigers Appraisal And Consulting Ltd [Member] | ||
Income From Advanced Payment of Rental and Utility Fees | $ 40,000 | $ 119,000 |
Accounts Payable | $ 1,000 | $ 1,000 |
Note 7 - Short Term Deposits _2
Note 7 - Short Term Deposits and Investments (Details Textual) - USD ($) $ in Thousands | Dec. 31, 2023 | Mar. 31, 2023 |
Short-Term Investments | $ 18,505 | $ 0 |
Cash Equivalents [Member] | ||
Certificates of Deposit, at Carrying Value | $ 2,700 | $ 23,100 |
Note 8 - Concentration Risk (De
Note 8 - Concentration Risk (Details Textual) | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Dec. 31, 2023 USD ($) | Dec. 31, 2022 | Dec. 31, 2023 USD ($) | Dec. 31, 2022 | Mar. 31, 2023 USD ($) | |
Cash, Uninsured Amount | $ 3,400,000 | $ 3,400,000 | $ 25,000,000 | ||
Maximum [Member] | |||||
Cash, FDIC Insured Amount | $ 250,000 | $ 250,000 | |||
Customer Concentration Risk [Member] | Revenue Benchmark [Member] | |||||
Number of Customers | 2 | 2 | 3 | 3 | |
Customer Concentration Risk [Member] | Revenue Benchmark [Member] | Two Largest Customers [Member] | |||||
Concentration Risk, Percentage | 84% | 84% | |||
Customer Concentration Risk [Member] | Revenue Benchmark [Member] | Walmart [Member] | |||||
Concentration Risk, Percentage | 65% | 50% | 58% | 42% | |
Customer Concentration Risk [Member] | Revenue Benchmark [Member] | Amazon [Member] | |||||
Concentration Risk, Percentage | 19% | 34% | 21% | 21% | |
Customer Concentration Risk [Member] | Revenue Benchmark [Member] | Three Largest Customers [Member] | |||||
Concentration Risk, Percentage | 89% | 74% | |||
Customer Concentration Risk [Member] | Revenue Benchmark [Member] | Fred Meyer [Member] | |||||
Concentration Risk, Percentage | 10% | 11% | |||
Customer Concentration Risk [Member] | Accounts Receivable [Member] | |||||
Number of Customers | 3 | 3 | |||
Customer Concentration Risk [Member] | Accounts Receivable [Member] | Customer One [Member] | |||||
Concentration Risk, Percentage | 48% | 43% | |||
Customer Concentration Risk [Member] | Accounts Receivable [Member] | Customer Two [Member] | |||||
Concentration Risk, Percentage | 20% | 35% | |||
Customer Concentration Risk [Member] | Accounts Receivable [Member] | Customer Three [Member] | |||||
Concentration Risk, Percentage | 15% | 11% | |||
Product Concentration Risk [Member] | Revenue Benchmark [Member] | Microwave Ovens [Member] | |||||
Concentration Risk, Percentage | 22% | 9% | 28% | 24% | |
Product Concentration Risk [Member] | Revenue Benchmark [Member] | Audio Products [Member] | |||||
Concentration Risk, Percentage | 76% | 91% | 70% | 75% | |
Supplier Concentration Risk [Member] | Products for Resale [Member] | |||||
Number of Factory Suppliers | 3 | 2 | 4 | 2 | |
Supplier Concentration Risk [Member] | Products for Resale [Member] | Three Largest Factory Suppliers [Member] | |||||
Concentration Risk, Percentage | 86% | ||||
Supplier Concentration Risk [Member] | Products for Resale [Member] | Largest Supplier [Member] | |||||
Concentration Risk, Percentage | 37% | 74% | 29% | 71% | |
Supplier Concentration Risk [Member] | Products for Resale [Member] | Supplier One [Member] | |||||
Concentration Risk, Percentage | 28% | 21% | 26% | 28% | |
Supplier Concentration Risk [Member] | Products for Resale [Member] | Supplier Two [Member] | |||||
Concentration Risk, Percentage | 21% | 23% | |||
Supplier Concentration Risk [Member] | Products for Resale [Member] | Two Largest Factory Suppliers [Member] | |||||
Concentration Risk, Percentage | 95% | 99% | |||
Supplier Concentration Risk [Member] | Products for Resale [Member] | Four Largest Factory Suppliers [Member] | |||||
Concentration Risk, Percentage | 93% | ||||
Supplier Concentration Risk [Member] | Products for Resale [Member] | Supplier Three [Member] | |||||
Concentration Risk, Percentage | 15% |
Note 9 - Leases (Details Textua
Note 9 - Leases (Details Textual) - USD ($) | Dec. 31, 2023 | Mar. 31, 2023 |
Operating Lease, Liability, Current | $ 128,000 | $ 139,000 |
Finance Lease, Liability, Current | 1,000 | 1,000 |
Operating Lease, Liability, Noncurrent | 208,000 | 62,000 |
Finance Lease, Liability, Noncurrent | 0 | 0 |
Operating Lease, Right-of-Use Asset | 327,000 | 200,000 |
Finance Lease, Right-of-Use Asset, after Accumulated Amortization | $ 1,000 | $ 1,000 |
Minimum [Member] | ||
Lessee, Operating Lease, Term of Contract (Year) | 6 years | |
Maximum [Member] | ||
Lessee, Operating Lease, Term of Contract (Year) | 60 years |
Note 9 - Leases - Summary of Co
Note 9 - Leases - Summary of Components of Lease Costs (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | |
Lease cost | ||||
Operating lease cost | $ 52 | $ 60 | $ 141 | $ 185 |
Cash paid for amounts included in the measurement of lease liabilities: | ||||
Operating cash flows from operating leases | 43 | 62 | 123 | 187 |
Right-of-use assets obtained in exchange for lease obligations: | ||||
Operating leases | 0 | 0 | 248 | 0 |
Finance leases | $ 0 | $ 0 | $ 0 | $ 0 |
Note 9 - Leases - Summary of In
Note 9 - Leases - Summary of Information Relating to Lease Term and Discount Rate (Details) | Dec. 31, 2023 | Dec. 31, 2022 |
Operating leases (Month) | 44 months 21 days | 18 months 24 days |
Finance leases (Month) | 5 months 6 days | 17 months 6 days |
Operating leases | 9.58% | 7.50% |
Finance leases | 7.50% | 7.50% |
Note 9 - Leases - Summary of Ma
Note 9 - Leases - Summary of Maturities of Lease Liabilities (Details) $ in Thousands | Dec. 31, 2023 USD ($) |
2024, operating lease | $ 52 |
2024, finance lease | 1 |
2025, operating lease | 116 |
2025, finance lease | 0 |
2026, operating lease | 54 |
2026, finance lease | 0 |
2027, operating lease | 66 |
2027, finance lease | 0 |
Thereafter, operating lease | 52 |
Thereafter, finance lease | 0 |
Operating Leases, Total lease payments | 340 |
Finance Leases, Total lease payments | 1 |
Operating Leases, Less: Imputed interest | (4) |
Finance Leases, Less: Imputed interest | 0 |
Operating Leases, Total | 336 |
Finance Leases, Total | $ 1 |
Note 10 - Governmental Assist_2
Note 10 - Governmental Assistance Programs (Details Textual) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | |
Government Assistance, Amount | $ 0 | $ 4,000 | $ 0 | $ 34,000 |
Employment Support Scheme [Member] | ||||
Government Assistance, Amount | $ 0 | $ 4,000 | $ 0 | $ 34,000 |
Note 11 - Legal Proceedings (De
Note 11 - Legal Proceedings (Details Textual) - USD ($) | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 29, 2023 | Apr. 19, 2022 | Sep. 30, 2023 | Dec. 31, 2023 | Mar. 31, 2023 | |
Loss Contingency, Damages Awarded, Value | $ 6,500,000 | ||||
Loss Contingency, Damages Paid, Value | $ 4,100,000 | ||||
Legal Fees | $ 216,000 | $ 784,000 | |||
Litigation Settlement, Expense | $ 3,160,000 | ||||
Litigation Settlement, Amount Awarded from Other Party | $ 700,000 | ||||
Increase (Decrease) in Deposits | $ (3,100,000) |