Iteris (ITI) 10-Q 7 Nov 17 2018 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Sep. 30, 2017	Oct. 30, 2017
Document and Entity Information
Entity Registrant Name	ITERIS, INC.
Entity Central Index Key	350,868
Document Type	10-Q
Document Period End Date	Sep. 30, 2017
Amendment Flag	false
Current Fiscal Year End Date	--03-31
Entity Current Reporting Status	Yes
Entity Filer Category	Accelerated Filer
Entity Common Stock, Shares Outstanding		32,787,202
Document Fiscal Year Focus	2,018
Document Fiscal Period Focus	Q2

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($) $ in Thousands	Sep. 30, 2017	Mar. 31, 2017
Current assets:
Cash and cash equivalents	$ 14,922	$ 18,201
Trade accounts receivable, net of allowance for doubtful accounts of $414 and $389 at September 30, 2017 and March 31, 2017, respectively	15,076	14,299
Unbilled accounts receivable	6,812	6,456
Inventories	2,783	2,250
Prepaid expenses and other current assets	2,499	2,108
Total current assets	42,092	43,314
Property and equipment, net	2,474	2,064
Intangible assets, net	2,320	1,498
Goodwill	15,150	15,150
Other assets	359	319
Total assets	62,395	62,345
Current liabilities:
Trade accounts payable	8,279	7,886
Accrued payroll and related expenses	5,446	6,443
Accrued liabilities	2,245	2,201
Deferred revenue	4,662	4,049
Total current liabilities	20,632	20,579
Deferred rent	715	649
Deferred income taxes	707	707
Unrecognized tax benefits	159	186
Total liabilities	22,213	22,121
Commitments and contingencies (Note 6)
Stockholders' equity:
Preferred stock, $1.00 par value: Authorized shares - 2,000 Issued and outstanding shares - none
Common stock, $0.10 par value: Authorized shares - 70,000 at September 30, 2017 and March 31, 2017 Issued and outstanding shares - 32,787 at September 30, 2017 and 32,488 at March 31, 2017	3,279	3,249
Additional paid-in capital	138,351	136,968
Accumulated deficit	(101,448)	(99,993)
Total stockholders' equity	40,182	40,224
Total liabilities and stockholders' equity	$ 62,395	$ 62,345

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - USD ($) shares in Thousands, $ in Thousands	Sep. 30, 2017	Mar. 31, 2017
Consolidated Balance Sheets
Trade accounts receivable, allowance for doubtful accounts (in dollars)	$ 414	$ 389
Preferred stock, par value (in dollars per share)	$ 1	$ 1
Preferred stock, authorized shares	2,000	2,000
Preferred stock, issued shares	0	0
Preferred stock, outstanding shares	0	0
Common stock, par value (in dollars per share)	$ 0.10	$ 0.10
Common stock, authorized shares	70,000	70,000
Common stock, issued shares	32,787	32,488
Common stock, outstanding shares	32,787	32,488

Consolidated Statements of Oper

Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Consolidated Statements of Operations
Product revenues	$ 11,702	$ 11,086	$ 23,625	$ 22,093
Service revenues	13,546	12,974	28,806	25,893
Total revenues	25,248	24,060	52,431	47,986
Cost of product revenues	6,278	6,196	13,141	12,150
Cost of service revenues	9,002	8,409	19,417	16,972
Total cost of revenues	15,280	14,605	32,558	29,122
Gross profit	9,968	9,455	19,873	18,864
Operating expenses:
Selling, general and administrative	9,153	7,858	17,850	15,663
Research and development	1,881	1,698	3,608	3,308
Amortization of intangible assets	33	84	66	169
Total operating expenses	11,067	9,640	21,524	19,140
Operating loss	(1,099)	(185)	(1,651)	(276)
Non-operating income (expense):
Other income (expense), net	2	(2)	(5)	(6)
Interest income, net	3	4	5	5
Loss from continuing operations before income taxes	(1,094)	(183)	(1,651)	(277)
Benefit for income taxes	33	8	34	7
Loss from continuing operations	(1,061)	(175)	(1,617)	(270)
Gain on sale of discontinued operation, net of tax	77	135	163	191
Net loss	$ (984)	$ (40)	$ (1,454)	$ (79)
Loss per share from continuing operations - basic and diluted (in dollars per share)	$ (0.03)	$ (0.01)	$ (0.05)	$ (0.01)
Gain per share from sale of discontinued operation - basic and diluted (in dollars per share)	0	0.01	0.01	0.01
Net loss per share - basic and diluted (in dollars per share)	$ (0.03)	$ 0	$ (0.04)	$ 0
Shares used in basic and diluted per share calculations (in shares)	32,628	32,117	32,567	32,085

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	6 Months Ended
	Sep. 30, 2017	Sep. 30, 2016
Cash flows from operating activities
Net loss	$ (1,454)	$ (79)
Adjustments to reconcile net loss to net cash (used in) provided by operating activities:
Deferred income taxes	(27)	13
Depreciation of property and equipment	388	361
Stock-based compensation	877	486
Amortization of intangible assets	323	354
Gain on sale of discontinued operation, net of tax	(163)	(191)
Loss on disposal of equipment	6	12
Changes in operating assets and liabilities, net of effects of discontinued operation:
Accounts receivable	(777)	782
Unbilled accounts receivable and deferred revenue, net	257	(1,624)
Inventories	(533)	379
Prepaid expenses and other assets	(529)	(190)
Accounts payable and accrued expenses	(889)	(24)
Net cash (used in) provided by operating activities	(2,521)	279
Cash flows from investing activities
Purchases of property and equipment	(804)	(401)
Capitalized software development costs	(750)	(461)
Net proceeds from sale of discontinued operation	260	88
Net cash used in investing activities	(1,294)	(774)
Cash flows from financing activities
Proceeds from stock option exercises	566	214
Tax withholding payments for net share settlements of restricted stock units	(30)	(35)
Net cash provided by financing activities	536	179
Decrease in cash and cash equivalents	(3,279)	(316)
Cash and cash equivalents at beginning of period	18,201	16,029
Cash and cash equivalents at end of period	14,922
Supplemental cash flow information:
Interest		9
Income taxes	88	$ 47
Supplemental schedule of non-cash investing activities:
Capitalized software development costs included in accounts payable and accrued expenses	$ 395

Description of Business and Sum

Description of Business and Summary of Significant Accounting Policies	6 Months Ended
	Sep. 30, 2017
Description of Business and Summary of Significant Accounting Policies
Description of Business and Summary of Significant Accounting Policies	1. Description of Business and Summary of Significant Accounting Policies Description of Business Iteris, Inc. (referred to collectively with its wholly-owned subsidiary, ClearAg, Inc., in this report as “Iteris,” the “Company,” “we,” “our” and “us”) is a provider of applied informatics for both the traffic management and global agribusiness markets. We are focused on the development and application of advanced technologies and software-based information systems that make roads safer and travel more efficient, as well as farmlands more sustainable, healthy and productive. By combining our unique intellectual property, products, decades of experience in traffic management, weather forecasting solutions and information technologies, we offer a broad range of Intelligent Transportation Systems (“ITS”) solutions to customers throughout the U.S. and internationally. We believe our products, services and solutions, in conjunction with sound traffic and land management, minimize the environmental impact to the roads we travel and the lands we farm. In the agribusiness markets, we have combined our unique intellectual property with enhanced soil, land surface and agronomy modeling techniques to create a set of ClearAg solutions that provide analytical support to large enterprises in the agriculture market, such as seed and crop protection companies, as well as field-specific advisories to individual producers. We continue to make significant investments to leverage our existing technologies and further expand our software-based information systems to offer digital analytics solutions to the agriculture markets. Iteris was incorporated in Delaware in 1987. Recent Developments ClearAg Inc. In April 2017, Iteris, Inc. formed a wholly-owned subsidiary, ClearAg, Inc., a Delaware corporation, to provide ClearAg solutions in the global agribusiness markets. Basis of Presentation Our unaudited consolidated financial statements include the accounts of Iteris, Inc. and its subsidiary, and have been prepared in accordance with the rules of the U.S. Securities and Exchange Commission (“SEC”) for interim reporting, which permit certain footnotes or other financial information that are normally required by generally accepted accounting principles in the United States of America (“GAAP”) to be condensed or omitted. These unaudited consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements and related notes included in its Annual Report on Form 10-K for the fiscal year ended March 31, 2017 (“Fiscal 2017”), filed with the SEC on June 13, 2017. All intercompany accounts and transactions have been eliminated in consolidation. The results of operations for the three and six month periods ended September 30, 2017 are not necessarily indicative of the results to be expected for the fiscal year ending March 31, 2018 (“Fiscal 2018”) or any other periods. The results of continuing operations for all periods presented in the unaudited consolidated financial statements exclude our former Vehicle Sensors segment, which has been classified as a discontinued operation. See Note 3, “Sale of Vehicle Sensors,” for further discussion related to the discontinued operation presentation. Use of Estimates The preparation of consolidated financial statements in conformity with GAAP requires our management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements, and reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Significant estimates made in the preparation of the consolidated financial statements include the collectability of accounts receivable and related allowance for doubtful accounts, projections of taxable income used to assess realizability of deferred tax assets, warranty reserves, costs to complete long-term contracts, indirect cost rates used in cost plus contracts, the valuation of purchased intangible assets and goodwill, the valuation of equity instruments and estimates of future cash flows used to assess the recoverability of long-lived assets and the impairment of goodwill and fair value of our stock option awards used to calculate the stock-based compensation. Revenue Recognition Product revenues and related costs of sales are recognized when all of the following criteria are met: (i) persuasive evidence of an arrangement exists, (ii) delivery under the terms of the arrangement has occurred, (iii) the price to the customer is fixed or determinable, and (iv) collection of the receivable is reasonably assured. These criteria are typically met at the time of product shipment but, in certain circumstances, may not be met until receipt or acceptance by the customer. Accordingly, at the date revenue is recognized, the significant obligations or uncertainties concerning the sale have been resolved. Transportation Systems revenues are derived primarily from long-term contracts with governmental agencies. Certain Agriculture and Weather Analytics revenues are also derived from long-term contracts with governmental agencies, as well as contracts with commercial companies. Agriculture and Weather Analytics revenues that are derived from contracts with commercial companies are generally from subscription revenue that we typically invoice our customers at the beginning of the term, in multiyear, annual, semi-annual or quarterly installments, and revenue is recognized ratably over the period of the subscription beginning once all requirements for revenue recognition have been met, including provisioning the service so that it is available to our customers. When appropriate, revenues are recognized using the percentage of completion method of accounting, whereby revenue is recognized as contract performance progresses and is determined based on the relationship of costs incurred to total estimated costs. Changes in job performance and estimated profitability, including those arising from contract penalty provisions and final contract settlements, may result in revisions to costs and revenues, and are recognized in the period in which the revisions are determined. Profit incentives are included in revenues, when their realization is reasonably assured. Certain of our revenues are recognized as services are performed and amounts are earned, which is measured by time incurred or other contractual milestones or output measures. Revenues accounted for in this manner generally relate to certain fixed fee professional services, cost plus fixed fee or time and materials contracts. Revenues for ongoing operations and maintenance services contracts are generally accounted for ratably as the services are performed throughout the term of the contract. Payments received in advance of services performed are deferred and recognized when the related services are performed. We recognize revenue from the sale of deliverables that are part of a multiple element arrangement in accordance with applicable accounting guidance that establishes a relative selling price hierarchy permitting the use of an estimated selling price to determine the allocation of arrangement consideration to a deliverable in a multiple element arrangement where neither vendor specific objective evidence (“VSOE”) nor third party evidence (“TPE”) of fair value is available for that deliverable. In the absence of VSOE or TPE of the stand-alone selling price for one or more delivered or undelivered elements in a multiple element arrangement, we are required to estimate the selling prices of those elements. Overall arrangement consideration is allocated to each element (both delivered and undelivered items) that has stand-alone value based on their relative selling prices, regardless of whether those selling prices are evidenced by VSOE or TPE or are based on our estimated selling prices. Unbilled Accounts Receivable Unbilled accounts receivable in the accompanying unaudited consolidated balance sheets represent unbilled amounts earned and reimbursable under services sales arrangements, including approximately $426,000 of costs and estimated earnings in excess of billings on uncompleted contracts accounted for under Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) 605-35, Construction-Type and Production-Type Contracts (“ASC 605-35”). At any given period-end, a large portion of the balance in this account represents the accumulation of labor, materials and other costs that have not been billed due to timing, whereby the accumulation of each month’s costs and earnings are not administratively billed until the subsequent month. Also included in this account are amounts that will become billable according to contract terms, which usually require the consideration of the passage of time, achievement of milestones or completion of the project. Deferred Revenue Deferred revenue in the accompanying unaudited consolidated balance sheets is comprised of cash collected from customers and billings to customers on contracts in advance of work performed, advance payments negotiated as a contract condition, estimated losses on uncompleted contracts, project-related legal liabilities and other project-related reserves, including approximately $1.1 million of billings in excess of costs and estimated earnings on uncompleted contracts accounted for under FASB ASC 605-35. The unearned amounts are expected to be earned within the next twelve months. The cumulative effects of revisions to contract revenues and estimated completion costs are recorded in the accounting period in which the amounts become evident and can be reasonably estimated. These revisions can include such items as the effects of change orders and claims, warranty claims, liquidated damages or other contractual penalties and adjustments for contract closeout settlements. Concentration of Credit Risk Financial instruments that potentially subject us to a concentration of credit risk consist principally of cash and cash equivalents and trade accounts receivable. Cash and cash equivalents consist primarily of demand deposits and money market funds maintained with several financial institutions. Deposits held with banks may exceed the amount of insurance provided on such deposits. Generally, these deposits may be redeemed upon demand and are maintained with high quality financial institutions, and therefore are believed to have minimal credit risk. Our accounts receivable are primarily derived from billings with customers located throughout North America, as well as in the Middle East, Europe, South America and Asia. We generally do not require collateral or other security from our customers. We maintain an allowance for doubtful accounts for potential credit losses, which losses have historically been within management’s expectations. We have historically had a diverse customer base. For the three and six months ended September 30, 2017, one individual customer represented greater than 10% of our total revenues. For the three and six months ended September 30, 2016, one individual customer represented more than 10% of our total revenues. As of September 30, 2017, one individual customer represented more than 10% of our total accounts receivable. As of March 31, 2017, no individual customer represented more than 10% of our total accounts receivable. Fair Values of Financial Instruments The fair value of cash equivalents, receivables, accounts payable and accrued expenses approximate carrying value because of the short period of time to maturity. Cash and Cash Equivalents Cash and cash equivalents consist of cash and short-term investments with initial maturities of 90 days or less. Prepaid Expenses and Other Current Assets Prepaid expenses and other current assets were $2.5 million as of September 30, 2017 and $2.1 million as of March 31, 2017, and included approximately $535,000 of cash designated as collateral on performance bonds, as required under certain of our Transportation Systems contracts in the Middle East. The performance bonds require us to maintain 100% cash value of the bonds as collateral in a bank that is local to the purchasing agency. The performance bond collateral is required throughout the delivery of our services and is maintained in the local bank until the contract is closed by the purchasing agency. We expect these requirements, and the related cash collateral restrictions, to be released in the second half of our Fiscal 2018. Allowance for Doubtful Accounts The collectability of our accounts receivable is evaluated through review of outstanding invoices and ongoing credit evaluations of our customers’ financial condition. In cases where we are aware of circumstances that may impair a specific customer’s ability to meet its financial obligations subsequent to the original sale, we will record an allowance against amounts due, and thereby reduce the net recognized accounts receivable to the amount we reasonably believe will be collected. We also maintain an allowance based on our historical collections experience. When we determine that collection is not likely, we write off accounts receivable against the allowance for doubtful accounts. Inventories Inventories consist of finished goods, work in process and raw materials and are stated at the lower of cost or net realizable value. Cost is determined using the first in, first out method. Property and Equipment Property and equipment are recorded at cost and are depreciated using the straight line method over the estimated useful life ranging from three to eight years. Leasehold improvements are depreciated over the term of the related lease or the estimated useful life of the improvement, whichever is shorter. Goodwill and Long-Lived Assets We evaluate goodwill on an annual basis in our fourth fiscal quarter or more frequently if we believe indicators of impairment exist. We have determined that our reporting units for purposes of testing for goodwill impairment are identical to our reportable segments for financial reporting purposes. We first assess qualitative factors to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount. If we conclude that it is more likely than not that the fair value of a reporting unit is less than its carrying amount, we conduct a goodwill impairment test. The impairment test involves comparing the fair values of the applicable reporting units with their carrying values. We determine the fair values of our reporting units using the income valuation approach, as well as other generally accepted valuation methodologies. In Fiscal 2017, we adopted the provisions issued by the FASB that were intended to simplify goodwill impairment testing. This guidance permits us to eliminate the second step of the goodwill impairment test, and eliminate the requirements for any reporting unit with a zero or negative carrying amount to perform a qualitative assessment. If the carrying amount of a reporting unit exceeds the reporting unit’s fair value, the amount by which the carrying value of the goodwill exceeds its implied fair value, if any, is recognized as an impairment loss. We monitor the indicators for goodwill impairment testing between annual tests. As of September 30, 2017, we determined that no adjustments to the carrying value of goodwill were required. We test long-lived assets and purchased intangible assets (other than goodwill) for impairment if we believe indicators of impairment exist. We determine whether the carrying value of an asset or asset group is recoverable, based on comparisons to undiscounted expected future cash flows the asset or asset group is expected to generate. If an asset is not recoverable, we record an impairment loss equal to the amount by which the carrying value of the asset exceeds its fair value. We primarily use the income valuation approach to determine the fair value of our long lived assets and purchased intangible assets. As of September 30, 2017, there was no impairment to our long-lived and intangible assets. Income Taxes We utilize the asset and liability method of accounting for income taxes, under which deferred taxes are determined based on the temporary differences between the financial statement and tax basis of assets and liabilities using tax rates expected to be in effect during the years in which the basis differences reverse. A valuation allowance is recorded when it is more-likely-than-not that some or all of the deferred tax assets will not be realized, which increases our income tax expense in the period such determination is made. As such, we determined it was appropriate to record a valuation allowance of approximately $10.1 million in the third quarter of our Fiscal 2016 against our deferred tax assets. We will frequently reassess the appropriateness of maintaining a valuation allowance. Income tax positions must meet a more-likely-than-not recognition threshold to be recognized. Income tax positions that previously failed to meet the more-likely-than-not threshold are recognized in the first subsequent financial reporting period in which that threshold is met. Previously recognized tax positions that no longer meet the more-likely-than-not threshold are derecognized in the first subsequent financial reporting period in which that threshold is no longer met. Stock-Based Compensation We record stock-based compensation in our unaudited consolidated statements of operations as an expense, based on the estimated grant date fair value of our stock-based awards, whereby such fair values are amortized over the requisite service period. Our stock-based awards are currently comprised of common stock options and restricted stock units. The fair value of our common stock option awards is estimated on the grant date using the Black Scholes Merton option pricing formula. While utilizing this model meets established requirements, the estimated fair values generated by it may not be indicative of the actual fair values of our common stock option awards as it does not consider certain factors important to those awards to employees, such as continued employment and periodic vesting requirements, as well as limited transferability. The fair value of our restricted stock units is based on the closing market price of our common stock on the grant date. If there are any modifications or cancellations of the underlying unvested stock- based awards, we may be required to accelerate, increase or cancel any remaining unearned stock-based compensation expense. Research and Development Expenditures Research and development expenditures are charged to expense in the period incurred. Shipping and Handling Costs Shipping and handling costs are included as cost of revenues in the period during which the products ship. Sales Taxes Sales taxes are presented on a net basis (excluded from revenues) in the consolidated unaudited statements of operations. Warranty We generally provide a one to three year warranty from the original invoice date on all products, materials and workmanship. Products sold to various original equipment manufacturer customers sometimes carry longer warranties. Defective products will be either repaired or replaced, usually at our option, upon meeting certain criteria. We accrue a provision for the estimated costs that may be incurred for product warranties relating to a product as a component of cost of sales at the time revenue for that product is recognized. The accrued warranty reserve is included within accrued liabilities in the accompanying unaudited consolidated balance sheets. Recent Accounting Pronouncements In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (“ASU 2014-09”), which establishes principles for reporting revenue and cash flows arising from an entity’s contracts with customers. This new revenue recognition standard will replace most of the recognition guidance within GAAP. This guidance was deferred by ASU No. 2015-14, Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date, issued by the FASB in August 2015, and is now effective for fiscal years beginning on or after December 15, 2017, with early adoption permitted as of the original effective date. In March 2016, the FASB issued ASU No. 2016-08, Revenue from Contracts with Customers: Principal versus Agent Considerations , which further clarifies the implementation guidance in ASU 2014-09. In April 2016, the FASB issued ASU No. 2016-10, Revenue from Contracts with Customers (Topic 606): Identifying Performance Obligations and Licensing , to expand the guidance on identifying performance obligations and licensing within ASU 2014-09. In May 2016, the FASB issued ASU 2016-12, Revenue from Contracts with Customers: Narrow-Scope Improvements and Practical Expedients , which amends the guidance in the new revenue standard on collectability, noncash consideration, presentation of sales tax, and transition. The amendments are intended to address implementation issues that were raised by stakeholders and provide additional practical expedients to reduce the cost and complexity of applying the new revenue standard. These standards are effective for fiscal years beginning after December 15, 2017, including interim periods within that reporting period. We are currently executing a plan to evaluate the full impact of the adoption on our consolidated financial statements, as well as any changes to our accounting policies. We have preliminarily elected to adopt Topic 606 using the modified retrospective transition method. In February 2016, the FASB issued ASU No. 2016-02, Leases (“ASU 2016-02”). The pronouncement requires an entity to recognize assets and liabilities for the rights and obligations created by leases on the entity’s balance sheet for both finance and operating leases. For leases with a term of 12 months or less, an entity can elect to not recognize lease assets and lease liabilities and expense the lease over a straight-line basis for the term of the lease. ASU 2016-02 will require new disclosures that depict the amount, timing, and uncertainty of cash flows pertaining to an entity’s leases. Companies are required to adopt the new standard using a modified retrospective approach for annual and interim periods beginning after December 15, 2018. Early adoption of ASU 2016-02 is permitted. We are currently evaluating the impact of ASU 2016-02 on our consolidated financial statements. In August 2016, the FASB issued ASU No. 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments (“ASU 2016-15”), which clarifies how certain cash receipts and cash payments are presented and classified in the statement of cash flows. The new standard is effective for fiscal years, and interim periods within those years, beginning after December 15, 2017, and early adoption is permitted. We are currently evaluating the impact of ASU 2016-15 on our consolidated financial statements. In November 2016, the FASB issued ASU No. 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash (“ASU 2016-18”), requiring restricted cash and cash equivalents to be included with cash and cash equivalents on the statement of cash flows. The new standard is effective for fiscal years, and interim periods within those years, beginning after December 15, 2017, with early adoption permitted. We are currently evaluating the impact of ASU 2016-18 on our consolidated financial statements. In December 2016, the FASB issued ASU No. 2016-20, Technical Corrections and Improvements to Topic 606, Revenue from Contracts with Customers (“ASU 2016-20”), which allows entities not to make quantitative disclosures about remaining performance obligations in certain cases and requires entities that use any of the new or previously existing optional exemptions to expand their qualitative disclosures. The new standard is effective for fiscal years, and interim periods within those years, beginning after December 15, 2017, with early adoption permitted. We are currently evaluating the impact of ASU 2016-20 on our consolidated financial statements.

Supplemental Financial Informat

Supplemental Financial Information	6 Months Ended
	Sep. 30, 2017
Supplemental Financial Information
Supplemental Financial Information	2. Supplemental Financial Information Inventories The following table presents details of our inventories: September 30, March 31, 2017 2017 (In thousands) Materials and supplies $ $ Work in process Finished goods $ $ Intangible Assets There are no indefinite lived intangible assets on our unaudited consolidated balance sheets. The following table presents details of our net intangible assets: September 30, 2017 March 31, 2017 Gross Accumulated Net Book Gross Accumulated Net Book (In thousands) Technology $ $ ) $ $ $ ) $ Customer contracts / relationships ) ) Trade names and non-compete agreements ) ) Capitalized software development costs ) ) Total $ $ ) $ $ $ ) $ As of September 30, 2017, future estimated amortization expense is as follows: Fiscal Year Ending March 31, (In thousands) Remainder of 2018 $ 2019 2020 2021 2022 Thereafter $ Warranty Reserve Activity Warranty reserve was recorded as accrued liabilities in the accompanying unaudited consolidated balance sheets. The following table presents activity related to the warranty reserve: Six Months Ended September 30, 2017 2016 (In thousands) Balance at beginning of fiscal year $ $ Additions charged to cost of sales Warranty claims ) ) Balance at end of period $ $ Comprehensive Income Comprehensive income is equal to net income for all periods presented in the accompanying unaudited consolidated statements of operations. Loss Per Share The following table sets forth the reconciliation of weighted average common shares used in basic per share computations and weighted average common shares used in diluted per share computations in the unaudited consolidated financial statements: Three Months Ended Six Months Ended September 30, September 30, 2017 2016 2017 2016 (In thousands) Denominator: Weighted average common shares used in basic computation Dilutive stock options — — — — Dilutive restricted stock units — — — — Weighted average common shares used in diluted computation The following instruments were excluded for purposes of calculating weighted average common share equivalents in the computation of diluted loss from continuing operations per share as their effect would have been anti-dilutive: Three Months Ended Six Months Ended September 30, September 30, 2017 2016 2017 2016 (In thousands) Stock options Restricted stock units

Sale of Vehicle Sensors

Sale of Vehicle Sensors	6 Months Ended
	Sep. 30, 2017
Sale of Vehicle Sensors
Sale of Vehicle Sensors	3. Sale of Vehicle Sensors On July 29, 2011, we completed the sale (the “Asset Sale”) of substantially all of our assets used in connection with our prior Vehicle Sensors segment to Bendix Commercial Vehicle Systems LLC (“Bendix”), a member of Knorr Bremse Group. In connection with the asset sale, we are entitled to additional consideration in the form of the following performance and royalty related earn-outs: Bendix is obligated to pay us an amount in cash equal to 85% of revenue associated with royalties received under our license and distribution agreements with Audiovox Electronics Corporation and Valeo Schalter and Sensoren GmbH through December 31, 2017, subject to certain reductions and limitations set forth in the asset purchase agreement. From the date of the asset sale through September 30, 2017, we received approximately $2.4 million in connection with the royalty related earn-out provisions for a total of $17.7 million in cash received from the asset sale as of September 30, 2017. In accordance with applicable accounting guidance, we determined that the Vehicle Sensors segment, which constituted one of our operating segments at the time of the Asset Sale, qualified as a discontinued operation. For the six months ended September 30, 2017 and 2016, we recorded a gain on sale of discontinued operation of approximately $163,000 and $191,000, respectively, net of tax, related to the earn-out provisions of the asset purchase agreement for the Asset Sale.

Fair Value Measurements

Fair Value Measurements	6 Months Ended
	Sep. 30, 2017
Fair Value Measurements
Fair Value Measurements	4. Fair Value Measurements We measure fair value as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. Fair value measurements are based on a three tier hierarchy that prioritizes the inputs used to measure fair value. These tiers include: Level 1, defined as observable inputs such as quoted prices in active markets for identical assets and liabilities; Level 2, defined as observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities or prices quoted in inactive markets; and Level 3, defined as unobservable inputs that are significant to the fair value of the asset or liability, and for which little or no market data exists, therefore requiring management to utilize its own assumptions to provide its best estimate of what market participants would use in valuing the asset or liability. Our non-financial assets, such as goodwill, intangible assets and property and equipment, are measured at fair value on a non-recurring basis, generally when there is a transaction involving those assets such as a purchase transaction, a business combination or an adjustment for impairment. No non-financial assets were measured at fair value during the six months ended September 30, 2017 and 2016.

Income Taxes

Income Taxes	6 Months Ended
	Sep. 30, 2017
Income Taxes
Income Taxes	5. Income Taxes The following table sets forth our benefit for income taxes, along with the corresponding effective tax rates: Three Months Ended Six Months Ended September 30, September 30, 2017 2016 2017 2016 (In thousands, except percentages) Benefit for income taxes $ $ $ $ Change in valuation allowance ) ) ) ) Total benefit for income taxes $ $ $ $ Effective tax rate % % % % On an interim basis, we estimate what our anticipated annual effective tax rate will be, while also separately considering applicable discrete and other non-recurring items, and record a quarterly income tax provision in accordance with the anticipated annual rate. As the fiscal year progresses, we refine our estimates based on actual events and financial results during the year. This process can result in significant changes to our expected effective tax rate. When this occurs, we adjust our income tax provision during the quarter in which our estimates are refined so that the year-to-date provision reflects the expected annual effective tax rate. These changes, along with adjustments to our deferred taxes, among others, may create fluctuations in our overall effective tax rate from quarter to quarter. In assessing the realizability of our deferred tax assets, we review all available positive and negative evidence, including reversal of deferred tax liabilities, potential carrybacks, projected future taxable income, tax planning strategies and recent financial performance. We have experienced a cumulative pre-tax loss over the trailing three years. As such, we consider it appropriate to continue to maintain a valuation allowance against our deferred tax assets. We will continuously reassess the appropriateness of maintaining a valuation allowance.

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
	Sep. 30, 2017
Commitments and Contingencies
Commitments and Contingencies	6. Commitments and Contingencies Litigation and Other Contingencies As a provider of traffic engineering services, hardware products, software and other various solutions for the traffic and agricultural industries, the Company has in the past been, and may in the future be from time to time, involved in litigation relating to claims arising out of its operations in the normal course of business. While the Company cannot accurately predict the outcome of any such litigation, except as described below, the Company is not a party to any legal proceeding, the outcome of which, in management’s opinion, individually or in the aggregate, would have a material effect on the Company’s consolidated results of operations, financial position or cash flows. On September 15, 2016, a stockholder class action and derivative action (captioned Ionni v. Bergera, et al., Case No. 16-cv00807-RGA) was filed in the United States District Court for the District of Delaware (the “Court”) against certain of the Company’s current and former directors and officers (the “Individual Defendants”) and the Company as a nominal defendant (together with the Individual Defendants, the “Defendants”). The complaint asserted claims for breach of fiduciary duty and unjust enrichment. Plaintiff contended that, in 2014 and 2015, the Individual Defendants caused the Company to issue purportedly false and misleading proxy statements in connection with the Company’s annual meeting of stockholders in 2014 and 2015 (collectively, the “Proxy Statements”). In those Proxy Statements, the Company’s stockholders were asked to approve amendments (the “Amendments”) to increase the number of shares of the Company’s common stock reserved for issuance under the Iteris, Inc. 2007 Omnibus Incentive Plan (the “2007 Plan”). Among other things, Plaintiff alleged that the Proxy Statements were materially false and misleading because they affirmatively represented that no person could receive more than 500,000 stock options or SARs under the 2007 Plan in any fiscal year (the “Share Limit”) and failed to disclose that the Compensation Committee had the discretion to approve an annual grant to a 2007 Plan participant in excess of that amount. Plaintiff contended that, in voting to approve the Amendments, the Company’s stockholders were not fully informed and, therefore, the Amendments were not valid. Plaintiff sought rescission of any stock options granted pursuant to the Amendments, including the option to purchase up to 1,350,000 shares of the Company’s common stock that was granted in September 2015 to Mr. Bergera (the “CEO Option”) in connection with his appointment to serve as President and Chief Executive Officer of the Company. The Individual Defendants denied that they breached their fiduciary duties and the Company believed (and still believes) the Amendments were properly approved and that all of the options granted pursuant to the Amendments, including the CEO Option, were valid. Nonetheless, to eliminate the burden, expense and uncertainty of the litigation, on November 8, 2016, the parties entered into a Memorandum of Understanding (“MOU”) setting forth their agreement in principle to resolve the litigation. In consideration for a release of claims and dismissal of this litigation with prejudice, the Company agreed to submit a proposal at its 2016 Annual Meeting of Stockholders seeking stockholder approval for that portion of the CEO Option that exceeds the Share Limit (i.e., the 850,000 options above the Share Limit (the “Excess Shares”)). The Company submitted a proposal of the Excess Shares for approval by the Company stockholders at the 2016 Annual Meeting of Stockholders. On December 15, 2016, the Company’s stockholders approved the Excess Shares. On April 28, 2017, the parties entered into a Stipulation of Settlement and Compromise (the “Stipulation”) that provides for, among other things, a release of claims against Defendants. Under the Stipulation, Defendants agreed not to oppose any award of attorneys’ fees and expenses to Plaintiff up to $215,000. On May 2, 2017, the parties filed a motion for preliminary approval of the settlement. On May 11, 2017, the Court issued an order requesting briefing from the parties regarding the scope of the proposed release in the settlement, and on May 22, 2017, Defendants and Plaintiff each filed a letter brief to the Court in response to the order. On June 2, 2017, the Court issued an order granting the motion for preliminary approval, approving notice of the settlement, and scheduling a settlement approval hearing for September 8, 2017. At the settlement hearing on September 8, 2017, the Court approved the settlement and entered a final judgment dismissing the action with prejudice. No stockholder objected to either the settlement or the proposed fee award. The settlement became effective on October 10, 2017, because as of that date, the dismissal of the action is no longer subject to appeal. Pursuant to the settlement terms, Defendants have caused to be paid via wire the above award amount on or about October 27, 2017. An immaterial accrued liability for the settlement is included in the accompanying consolidated balance sheet as of September 30, 2017 and March 31, 2017. Related Party Transaction We previously subleased office space to Maxxess Systems, Inc. (“Maxxess”), one of our former subsidiaries that we sold in September 2003. The sublease terminated in September 2007, at which time Maxxess owed us an aggregate of $274,000. Maxxess executed a promissory note for such amount, which was subsequently amended and restated on July 23, 2013 and on August 11, 2016. The amended and restated note bears interest at a rate of 6% per annum, compounded annually, with accrued interest payable annually on the first business day of each calendar year. When authorized by the Company, Maxxess may pay down the balance of this note by providing consulting services to Iteris. We have previously fully reserved for amounts owed to us by Maxxess and the outstanding principal balance remains fully reserved. As of September 30, 2017, approximately $146,000 of the original principal balance was outstanding and payable to Iteris. Maxxess is currently owned by an investor group that includes one former Iteris director, who has not been a director of Iteris since September 2013, and one existing director of Iteris, who currently owns less than 2% of Maxxess’ capital stock.

Stock-Based Compensation

Stock-Based Compensation	6 Months Ended
	Sep. 30, 2017
Stock-Based Compensation
Stock-Based Compensation	7. Stock-Based Compensation We currently maintain two stock incentive plans, the 2007 Plan and the 2016 Omnibus Incentive Plan (the “2016 Plan”). Of these plans, we may only grant future awards from the 2016 Plan. As of 2016 Annual Meeting of Stockholders, no future shares could be granted under the 2007 Plan. The 2016 Plan allows for the issuance of stock options, stock appreciation rights, restricted stock, restricted stock units (“RSUs”), cash incentive awards and other stock-based awards. At September 30, 2017, there were approximately 2.3 million shares of common stock available for grant or issuance under the 2016 Plan. Total stock options vested and expected to vest were approximately 3.6 million as of September 30, 2017. Stock Options A summary of activity with respect to our stock options for the six months ended September 30, 2017 is as follows: Number of Weighted (In thousands) Options outstanding at March 31, 2017 $ Granted Exercised ) Forfeited ) Expired — — Options outstanding at September 30, 2017 $ Restricted Stock Units A summary of activity with respect to our RSUs, which entitle the holder to receive one share of our common stock for each RSU upon vesting, for the six months ended September 30, 2017 is as follows: Number of (In thousands) RSUs outstanding at March 31, 2017 Granted Vested ) Forfeited ) RSUs outstanding at September 30, 2017 Stock-Based Compensation Expense The following table presents stock-based compensation expense that is included in each line item on our unaudited consolidated statements of operations: Three Months Ended Six Months Ended September 30, September 30, 2017 2016 2017 2016 (In thousands) Cost of revenues $ $ $ $ Selling, general and administrative expense Research and development expense Total stock-based compensation expense $ $ $ $ At September 30, 2017, there was approximately $3.0 million and $574,000 of unrecognized compensation expense related to unvested stock options and RSUs, respectively. This expense is currently expected to be recognized over a weighted average period of approximately 2.6 years for stock options and 1.5 years for RSUs.

Stock Repurchase Program

Stock Repurchase Program	6 Months Ended
	Sep. 30, 2017
Stock Repurchase Program
Stock Repurchase Program	8. Stock Repurchase Program In August 2011, our Board of Directors approved a stock repurchase program pursuant to which we were authorized to acquire up to $3 million of our outstanding common stock from time to time through August 2012. We repurchased approximately 964,000 shares under this original program for a total purchase price of $1.3 million. On August 9, 2012, our Board of Directors cancelled the initial stock repurchase program and the approximate $1.7 million of remaining funds, and approved a new stock repurchase program pursuant to which we may acquire up to $3 million of our outstanding common stock for an unspecified length of time. Under the new program, we may repurchase shares from time to time in the open market and privately negotiated transactions and block trades, and may also repurchase shares pursuant to a 10b5-1 trading plan during our closed trading windows. There is no guarantee as to the exact number of shares that will be repurchased. We may modify or terminate the repurchase program at any time without prior notice. On November 6, 2014, our Board of Directors approved a $3.0 million increase to the Company’s existing stock repurchase program, pursuant to which the Company may continue to acquire shares of its outstanding common stock from time to time for an unspecified length of time. For the three and six months ended September 30, 2017, we did not repurchase any shares. As of September 30, 2017, approximately $1.7 million remained available for the repurchase of our common stock under our current stock purchase program. From inception of the program in August 2011 through September 30, 2017, we repurchased approximately 3,422,000 shares of our common stock for an aggregate price of approximately $5.6 million, at an average price per share of $1.63. As of September 30, 2017, all repurchased shares have been retired and resumed their status as authorized and unissued shares of our common stock.

Business Segment Information

Business Segment Information	6 Months Ended
	Sep. 30, 2017
Business Segment Information
Business Segment Information	9. Business Segment Information We currently operate in three reportable segments: Roadway Sensors, Transportation Systems, and Agriculture and Weather Analytics. The Roadway Sensors segment provides hardware and software products to multiple segments of the ITS market that use advanced image processing technology and other techniques to capture and analyze sensor data through sophisticated algorithms, enabling vehicle, bicycle, and pedestrian detection and transmission of both video images and data using various communication technologies. These products primarily consist of various vehicle detection and information systems and products for traffic intersection control, communication, incident detection, and roadway traffic data collection applications. These include, among other products, our Vantage, VantageNext, VersiCam, Vantage Vector, SmartCycle, PedTrax, SmartSpan, Pegasus, Velocity, and P-series products. In May 2017, we announced the release of VantageLive!, a cloud-based intersection data analytics service that allows users to view intersection activity by collecting and analyzing vehicle, bicycle and pedestrian data through our Vantage platform in order to maximize traffic signal efficiency and improve intersection safety conditions. Our Roadway Sensors segment also includes the sale of certain complementary original equipment manufacturer (“OEM”) products for the traffic intersection market, which include, among other things, intersection controllers and component cabinets. The Transportation Systems segment provides transportation engineering and consulting services related to the planning, design, implementation, operation and management of surface transportation infrastructure systems, and the development of transportation management and traveler information systems for the ITS industry. This segment also includes our performance measurement and information management solution, known as “iPeMS”, and related traffic analytic consulting services, as well as our commercial vehicle goods movement compliance and inspection platform, known as “CVIEW-Plus”. Both iPeMS and CVIEW-Plus are considered software-as-a-service solutions. The Agriculture and Weather Analytics segment includes ClearPath Weather, our road-maintenance applications, and ClearAg, our digital analytics solutions. ClearPath Weather provides winter road maintenance recommendations for state agencies, municipalities and for commercial companies. Our ClearAg solutions leverage our EMPower platform, which is an adaptive learning engine that provides a comprehensive database of weather, soil and agronomic information combined with proprietary land-surface modeling, essential to making informed agricultural decisions and solving complex agricultural problems. Our ClearAg solutions include our ClearAg applications, ClearAg application program interfaces (“APIs”) and components, WeatherPlot mobile application, and ClearAg Insights applications. In July 2017, we launched our ClearAg irrigation APIs, including the EvapoSmart and IMFocus APIs, to enable users to optimize irrigation scheduling, water conservation and plant uptake while reducing watering costs. The accounting policies of our reportable segments are the same as those described in the summary of significant accounting policies (Note 1). Certain corporate general and administrative expenses, including general overhead functions such as information systems, accounting, human resources, marketing, compliance costs and certain administrative expenses, as well as interest and amortization of intangible assets, are not allocated to the segments. The reportable segments are each managed separately because they manufacture and distribute distinct products or provide services with different processes. All reported segment revenues are derived from external customers. Our Chief Executive Officer, who is our chief operating decision maker (“CODM”), reviews financial information at the operating segment level. Our CODM does not review assets by segment in his resource allocation, and therefore assets by segment are not disclosed below. The following table sets forth selected unaudited consolidated financial information for our reportable segments for the three and six months ended September 30, 2017 and 2016: Roadway Transportation Agriculture Total (In thousands) Three Months Ended September 30, 2017 Product revenues $ $ $ — $ Service revenues Total revenues $ $ $ $ Segment income (loss) ) Three Months Ended September 30, 2016 Product revenues $ $ $ — $ Service revenues Total revenues $ $ $ $ Segment income (loss) ) Six Months Ended September 30, 2017 Product revenues $ $ $ — $ Service revenues Total revenues $ $ $ $ Segment income (loss) ) Six Months Ended September 30, 2016 Product revenues $ $ $ — $ Service revenues Total revenues $ $ $ $ Segment income (loss) ) The following table reconciles total segment income to unaudited consolidated income from continuing operations before income taxes: Three Months Ended Six Months Ended September 30, September 30, 2017 2016 2017 2016 (In thousands) Segment income (loss): Total income from reportable segments $ $ $ $ Unallocated amounts: Corporate and other expenses ) ) ) ) Amortization of intangible assets ) ) ) ) Other expense, net ) ) ) Interest income, net Loss from continuing operations before income taxes $ ) $ ) $ ) $ )

Description of Business and S15

Description of Business and Summary of Significant Accounting Policies (Policies)	6 Months Ended
	Sep. 30, 2017
Description of Business and Summary of Significant Accounting Policies
Basis of Presentation	Basis of Presentation Our unaudited consolidated financial statements include the accounts of Iteris, Inc. and its subsidiary, and have been prepared in accordance with the rules of the U.S. Securities and Exchange Commission (“SEC”) for interim reporting, which permit certain footnotes or other financial information that are normally required by generally accepted accounting principles in the United States of America (“GAAP”) to be condensed or omitted. These unaudited consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements and related notes included in its Annual Report on Form 10-K for the fiscal year ended March 31, 2017 (“Fiscal 2017”), filed with the SEC on June 13, 2017. All intercompany accounts and transactions have been eliminated in consolidation. The results of operations for the three and six month periods ended September 30, 2017 are not necessarily indicative of the results to be expected for the fiscal year ending March 31, 2018 (“Fiscal 2018”) or any other periods. The results of continuing operations for all periods presented in the unaudited consolidated financial statements exclude our former Vehicle Sensors segment, which has been classified as a discontinued operation. See Note 3, “Sale of Vehicle Sensors,” for further discussion related to the discontinued operation presentation.
Use of Estimates	Use of Estimates The preparation of consolidated financial statements in conformity with GAAP requires our management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements, and reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Significant estimates made in the preparation of the consolidated financial statements include the collectability of accounts receivable and related allowance for doubtful accounts, projections of taxable income used to assess realizability of deferred tax assets, warranty reserves, costs to complete long-term contracts, indirect cost rates used in cost plus contracts, the valuation of purchased intangible assets and goodwill, the valuation of equity instruments and estimates of future cash flows used to assess the recoverability of long-lived assets and the impairment of goodwill and fair value of our stock option awards used to calculate the stock-based compensation.
Revenue Recognition	Revenue Recognition Product revenues and related costs of sales are recognized when all of the following criteria are met: (i) persuasive evidence of an arrangement exists, (ii) delivery under the terms of the arrangement has occurred, (iii) the price to the customer is fixed or determinable, and (iv) collection of the receivable is reasonably assured. These criteria are typically met at the time of product shipment but, in certain circumstances, may not be met until receipt or acceptance by the customer. Accordingly, at the date revenue is recognized, the significant obligations or uncertainties concerning the sale have been resolved. Transportation Systems revenues are derived primarily from long-term contracts with governmental agencies. Certain Agriculture and Weather Analytics revenues are also derived from long-term contracts with governmental agencies, as well as contracts with commercial companies. Agriculture and Weather Analytics revenues that are derived from contracts with commercial companies are generally from subscription revenue that we typically invoice our customers at the beginning of the term, in multiyear, annual, semi-annual or quarterly installments, and revenue is recognized ratably over the period of the subscription beginning once all requirements for revenue recognition have been met, including provisioning the service so that it is available to our customers. When appropriate, revenues are recognized using the percentage of completion method of accounting, whereby revenue is recognized as contract performance progresses and is determined based on the relationship of costs incurred to total estimated costs. Changes in job performance and estimated profitability, including those arising from contract penalty provisions and final contract settlements, may result in revisions to costs and revenues, and are recognized in the period in which the revisions are determined. Profit incentives are included in revenues, when their realization is reasonably assured. Certain of our revenues are recognized as services are performed and amounts are earned, which is measured by time incurred or other contractual milestones or output measures. Revenues accounted for in this manner generally relate to certain fixed fee professional services, cost plus fixed fee or time and materials contracts. Revenues for ongoing operations and maintenance services contracts are generally accounted for ratably as the services are performed throughout the term of the contract. Payments received in advance of services performed are deferred and recognized when the related services are performed. We recognize revenue from the sale of deliverables that are part of a multiple element arrangement in accordance with applicable accounting guidance that establishes a relative selling price hierarchy permitting the use of an estimated selling price to determine the allocation of arrangement consideration to a deliverable in a multiple element arrangement where neither vendor specific objective evidence (“VSOE”) nor third party evidence (“TPE”) of fair value is available for that deliverable. In the absence of VSOE or TPE of the stand-alone selling price for one or more delivered or undelivered elements in a multiple element arrangement, we are required to estimate the selling prices of those elements. Overall arrangement consideration is allocated to each element (both delivered and undelivered items) that has stand-alone value based on their relative selling prices, regardless of whether those selling prices are evidenced by VSOE or TPE or are based on our estimated selling prices.
Unbilled Accounts Receivable	Unbilled Accounts Receivable Unbilled accounts receivable in the accompanying unaudited consolidated balance sheets represent unbilled amounts earned and reimbursable under services sales arrangements, including approximately $426,000 of costs and estimated earnings in excess of billings on uncompleted contracts accounted for under Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) 605-35, Construction-Type and Production-Type Contracts (“ASC 605-35”). At any given period-end, a large portion of the balance in this account represents the accumulation of labor, materials and other costs that have not been billed due to timing, whereby the accumulation of each month’s costs and earnings are not administratively billed until the subsequent month. Also included in this account are amounts that will become billable according to contract terms, which usually require the consideration of the passage of time, achievement of milestones or completion of the project.
Deferred Revenue	Deferred Revenue Deferred revenue in the accompanying unaudited consolidated balance sheets is comprised of cash collected from customers and billings to customers on contracts in advance of work performed, advance payments negotiated as a contract condition, estimated losses on uncompleted contracts, project-related legal liabilities and other project-related reserves, including approximately $1.1 million of billings in excess of costs and estimated earnings on uncompleted contracts accounted for under FASB ASC 605-35. The unearned amounts are expected to be earned within the next twelve months. The cumulative effects of revisions to contract revenues and estimated completion costs are recorded in the accounting period in which the amounts become evident and can be reasonably estimated. These revisions can include such items as the effects of change orders and claims, warranty claims, liquidated damages or other contractual penalties and adjustments for contract closeout settlements.
Concentration of Credit Risk	Concentration of Credit Risk Financial instruments that potentially subject us to a concentration of credit risk consist principally of cash and cash equivalents and trade accounts receivable. Cash and cash equivalents consist primarily of demand deposits and money market funds maintained with several financial institutions. Deposits held with banks may exceed the amount of insurance provided on such deposits. Generally, these deposits may be redeemed upon demand and are maintained with high quality financial institutions, and therefore are believed to have minimal credit risk. Our accounts receivable are primarily derived from billings with customers located throughout North America, as well as in the Middle East, Europe, South America and Asia. We generally do not require collateral or other security from our customers. We maintain an allowance for doubtful accounts for potential credit losses, which losses have historically been within management’s expectations. We have historically had a diverse customer base. For the three and six months ended September 30, 2017, one individual customer represented greater than 10% of our total revenues. For the three and six months ended September 30, 2016, one individual customer represented more than 10% of our total revenues. As of September 30, 2017, one individual customer represented more than 10% of our total accounts receivable. As of March 31, 2017, no individual customer represented more than 10% of our total accounts receivable.
Fair Values of Financial Instruments	Fair Values of Financial Instruments The fair value of cash equivalents, receivables, accounts payable and accrued expenses approximate carrying value because of the short period of time to maturity.
Cash and Cash Equivalents	Cash and Cash Equivalents Cash and cash equivalents consist of cash and short-term investments with initial maturities of 90 days or less.
Prepaid Expenses and Other Current Assets	Prepaid Expenses and Other Current Assets Prepaid expenses and other current assets were $2.5 million as of September 30, 2017 and $2.1 million as of March 31, 2017, and included approximately $535,000 of cash designated as collateral on performance bonds, as required under certain of our Transportation Systems contracts in the Middle East. The performance bonds require us to maintain 100% cash value of the bonds as collateral in a bank that is local to the purchasing agency. The performance bond collateral is required throughout the delivery of our services and is maintained in the local bank until the contract is closed by the purchasing agency. We expect these requirements, and the related cash collateral restrictions, to be released in the second half of our Fiscal 2018.
Allowance for Doubtful Accounts	Allowance for Doubtful Accounts The collectability of our accounts receivable is evaluated through review of outstanding invoices and ongoing credit evaluations of our customers’ financial condition. In cases where we are aware of circumstances that may impair a specific customer’s ability to meet its financial obligations subsequent to the original sale, we will record an allowance against amounts due, and thereby reduce the net recognized accounts receivable to the amount we reasonably believe will be collected. We also maintain an allowance based on our historical collections experience. When we determine that collection is not likely, we write off accounts receivable against the allowance for doubtful accounts.
Inventories	Inventories Inventories consist of finished goods, work in process and raw materials and are stated at the lower of cost or net realizable value. Cost is determined using the first in, first out method.
Property and Equipment	Property and Equipment Property and equipment are recorded at cost and are depreciated using the straight line method over the estimated useful life ranging from three to eight years. Leasehold improvements are depreciated over the term of the related lease or the estimated useful life of the improvement, whichever is shorter.
Goodwill and Long-Lived Assets	Goodwill and Long-Lived Assets We evaluate goodwill on an annual basis in our fourth fiscal quarter or more frequently if we believe indicators of impairment exist. We have determined that our reporting units for purposes of testing for goodwill impairment are identical to our reportable segments for financial reporting purposes. We first assess qualitative factors to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount. If we conclude that it is more likely than not that the fair value of a reporting unit is less than its carrying amount, we conduct a goodwill impairment test. The impairment test involves comparing the fair values of the applicable reporting units with their carrying values. We determine the fair values of our reporting units using the income valuation approach, as well as other generally accepted valuation methodologies. In Fiscal 2017, we adopted the provisions issued by the FASB that were intended to simplify goodwill impairment testing. This guidance permits us to eliminate the second step of the goodwill impairment test, and eliminate the requirements for any reporting unit with a zero or negative carrying amount to perform a qualitative assessment. If the carrying amount of a reporting unit exceeds the reporting unit’s fair value, the amount by which the carrying value of the goodwill exceeds its implied fair value, if any, is recognized as an impairment loss. We monitor the indicators for goodwill impairment testing between annual tests. As of September 30, 2017, we determined that no adjustments to the carrying value of goodwill were required. We test long-lived assets and purchased intangible assets (other than goodwill) for impairment if we believe indicators of impairment exist. We determine whether the carrying value of an asset or asset group is recoverable, based on comparisons to undiscounted expected future cash flows the asset or asset group is expected to generate. If an asset is not recoverable, we record an impairment loss equal to the amount by which the carrying value of the asset exceeds its fair value. We primarily use the income valuation approach to determine the fair value of our long lived assets and purchased intangible assets. As of September 30, 2017, there was no impairment to our long-lived and intangible assets.
Income Taxes	Income Taxes We utilize the asset and liability method of accounting for income taxes, under which deferred taxes are determined based on the temporary differences between the financial statement and tax basis of assets and liabilities using tax rates expected to be in effect during the years in which the basis differences reverse. A valuation allowance is recorded when it is more-likely-than-not that some or all of the deferred tax assets will not be realized, which increases our income tax expense in the period such determination is made. As such, we determined it was appropriate to record a valuation allowance of approximately $10.1 million in the third quarter of our Fiscal 2016 against our deferred tax assets. We will frequently reassess the appropriateness of maintaining a valuation allowance. Income tax positions must meet a more-likely-than-not recognition threshold to be recognized. Income tax positions that previously failed to meet the more-likely-than-not threshold are recognized in the first subsequent financial reporting period in which that threshold is met. Previously recognized tax positions that no longer meet the more-likely-than-not threshold are derecognized in the first subsequent financial reporting period in which that threshold is no longer met.
Stock-Based Compensation	Stock-Based Compensation We record stock-based compensation in our unaudited consolidated statements of operations as an expense, based on the estimated grant date fair value of our stock-based awards, whereby such fair values are amortized over the requisite service period. Our stock-based awards are currently comprised of common stock options and restricted stock units. The fair value of our common stock option awards is estimated on the grant date using the Black Scholes Merton option pricing formula. While utilizing this model meets established requirements, the estimated fair values generated by it may not be indicative of the actual fair values of our common stock option awards as it does not consider certain factors important to those awards to employees, such as continued employment and periodic vesting requirements, as well as limited transferability. The fair value of our restricted stock units is based on the closing market price of our common stock on the grant date. If there are any modifications or cancellations of the underlying unvested stock- based awards, we may be required to accelerate, increase or cancel any remaining unearned stock-based compensation expense.
Research and Development Expenditures	Research and Development Expenditures Research and development expenditures are charged to expense in the period incurred.
Shipping and Handling Costs	Shipping and Handling Costs Shipping and handling costs are included as cost of revenues in the period during which the products ship.
Sales Taxes	Sales Taxes Sales taxes are presented on a net basis (excluded from revenues) in the consolidated unaudited statements of operations.
Warranty	Warranty We generally provide a one to three year warranty from the original invoice date on all products, materials and workmanship. Products sold to various original equipment manufacturer customers sometimes carry longer warranties. Defective products will be either repaired or replaced, usually at our option, upon meeting certain criteria. We accrue a provision for the estimated costs that may be incurred for product warranties relating to a product as a component of cost of sales at the time revenue for that product is recognized. The accrued warranty reserve is included within accrued liabilities in the accompanying unaudited consolidated balance sheets.
Recent Accounting Pronouncements	Recent Accounting Pronouncements In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (“ASU 2014-09”), which establishes principles for reporting revenue and cash flows arising from an entity’s contracts with customers. This new revenue recognition standard will replace most of the recognition guidance within GAAP. This guidance was deferred by ASU No. 2015-14, Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date, issued by the FASB in August 2015, and is now effective for fiscal years beginning on or after December 15, 2017, with early adoption permitted as of the original effective date. In March 2016, the FASB issued ASU No. 2016-08, Revenue from Contracts with Customers: Principal versus Agent Considerations , which further clarifies the implementation guidance in ASU 2014-09. In April 2016, the FASB issued ASU No. 2016-10, Revenue from Contracts with Customers (Topic 606): Identifying Performance Obligations and Licensing , to expand the guidance on identifying performance obligations and licensing within ASU 2014-09. In May 2016, the FASB issued ASU 2016-12, Revenue from Contracts with Customers: Narrow-Scope Improvements and Practical Expedients , which amends the guidance in the new revenue standard on collectability, noncash consideration, presentation of sales tax, and transition. The amendments are intended to address implementation issues that were raised by stakeholders and provide additional practical expedients to reduce the cost and complexity of applying the new revenue standard. These standards are effective for fiscal years beginning after December 15, 2017, including interim periods within that reporting period. We are currently executing a plan to evaluate the full impact of the adoption on our consolidated financial statements, as well as any changes to our accounting policies. We have preliminarily elected to adopt Topic 606 using the modified retrospective transition method. In February 2016, the FASB issued ASU No. 2016-02, Leases (“ASU 2016-02”). The pronouncement requires an entity to recognize assets and liabilities for the rights and obligations created by leases on the entity’s balance sheet for both finance and operating leases. For leases with a term of 12 months or less, an entity can elect to not recognize lease assets and lease liabilities and expense the lease over a straight-line basis for the term of the lease. ASU 2016-02 will require new disclosures that depict the amount, timing, and uncertainty of cash flows pertaining to an entity’s leases. Companies are required to adopt the new standard using a modified retrospective approach for annual and interim periods beginning after December 15, 2018. Early adoption of ASU 2016-02 is permitted. We are currently evaluating the impact of ASU 2016-02 on our consolidated financial statements. In August 2016, the FASB issued ASU No. 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments (“ASU 2016-15”), which clarifies how certain cash receipts and cash payments are presented and classified in the statement of cash flows. The new standard is effective for fiscal years, and interim periods within those years, beginning after December 15, 2017, and early adoption is permitted. We are currently evaluating the impact of ASU 2016-15 on our consolidated financial statements. In November 2016, the FASB issued ASU No. 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash (“ASU 2016-18”), requiring restricted cash and cash equivalents to be included with cash and cash equivalents on the statement of cash flows. The new standard is effective for fiscal years, and interim periods within those years, beginning after December 15, 2017, with early adoption permitted. We are currently evaluating the impact of ASU 2016-18 on our consolidated financial statements. In December 2016, the FASB issued ASU No. 2016-20, Technical Corrections and Improvements to Topic 606, Revenue from Contracts with Customers (“ASU 2016-20”), which allows entities not to make quantitative disclosures about remaining performance obligations in certain cases and requires entities that use any of the new or previously existing optional exemptions to expand their qualitative disclosures. The new standard is effective for fiscal years, and interim periods within those years, beginning after December 15, 2017, with early adoption permitted. We are currently evaluating the impact of ASU 2016-20 on our consolidated financial statements.

Supplemental Financial Inform16

Supplemental Financial Information (Tables)	6 Months Ended
	Sep. 30, 2017
Supplemental Financial Information
Schedule of inventories	September 30, March 31, 2017 2017 (In thousands) Materials and supplies $ $ Work in process Finished goods $ $
Schedule of intangible assets	September 30, 2017 March 31, 2017 Gross Accumulated Net Book Gross Accumulated Net Book (In thousands) Technology $ $ ) $ $ $ ) $ Customer contracts / relationships ) ) Trade names and non-compete agreements ) ) Capitalized software development costs ) ) Total $ $ ) $ $ $ ) $
Schedule of future estimated amortization expense	Fiscal Year Ending March 31, (In thousands) Remainder of 2018 $ 2019 2020 2021 2022 Thereafter $
Schedule of warranty reserve activity	Six Months Ended September 30, 2017 2016 (In thousands) Balance at beginning of fiscal year $ $ Additions charged to cost of sales Warranty claims ) ) Balance at end of period $ $
Schedule of computation of basic and diluted loss from continuing operations per share	Three Months Ended Six Months Ended September 30, September 30, 2017 2016 2017 2016 (In thousands) Denominator: Weighted average common shares used in basic computation Dilutive stock options — — — — Dilutive restricted stock units — — — — Weighted average common shares used in diluted computation
Schedule of instruments excluded in the computation of diluted loss from continuing operations per share	Three Months Ended Six Months Ended September 30, September 30, 2017 2016 2017 2016 (In thousands) Stock options Restricted stock units

Income Taxes (Tables)

Income Taxes (Tables)	6 Months Ended
	Sep. 30, 2017
Income Taxes
Schedule of benefit for income taxes along with effective tax rates	Three Months Ended Six Months Ended September 30, September 30, 2017 2016 2017 2016 (In thousands, except percentages) Benefit for income taxes $ $ $ $ Change in valuation allowance ) ) ) ) Total benefit for income taxes $ $ $ $ Effective tax rate % % % %

Stock-Based Compensation (Table

Stock-Based Compensation (Tables)	6 Months Ended
	Sep. 30, 2017
Stock-Based Compensation
Summary of activity in the plans with respect to stock options	Number of Weighted (In thousands) Options outstanding at March 31, 2017 $ Granted Exercised ) Forfeited ) Expired — — Options outstanding at September 30, 2017 $
Summary of activity with respect to RSUs	Number of (In thousands) RSUs outstanding at March 31, 2017 Granted Vested ) Forfeited ) RSUs outstanding at September 30, 2017
Schedule of stock-based compensation expense	Three Months Ended Six Months Ended September 30, September 30, 2017 2016 2017 2016 (In thousands) Cost of revenues $ $ $ $ Selling, general and administrative expense Research and development expense Total stock-based compensation expense $ $ $ $

Business Segment Information (T

Business Segment Information (Tables)	6 Months Ended
	Sep. 30, 2017
Business Segment Information
Schedule of selected unaudited consolidated financial information for reportable segments	Roadway Transportation Agriculture Total (In thousands) Three Months Ended September 30, 2017 Product revenues $ $ $ — $ Service revenues Total revenues $ $ $ $ Segment income (loss) ) Three Months Ended September 30, 2016 Product revenues $ $ $ — $ Service revenues Total revenues $ $ $ $ Segment income (loss) ) Six Months Ended September 30, 2017 Product revenues $ $ $ — $ Service revenues Total revenues $ $ $ $ Segment income (loss) ) Six Months Ended September 30, 2016 Product revenues $ $ $ — $ Service revenues Total revenues $ $ $ $ Segment income (loss) )
Schedule of reconciles total segment income to unaudited consolidated income from continuing operations before income taxes	Three Months Ended Six Months Ended September 30, September 30, 2017 2016 2017 2016 (In thousands) Segment income (loss): Total income from reportable segments $ $ $ $ Unallocated amounts: Corporate and other expenses ) ) ) ) Amortization of intangible assets ) ) ) ) Other expense, net ) ) ) Interest income, net Loss from continuing operations before income taxes $ ) $ ) $ ) $ )

Description of Business and S20

Description of Business and Summary of Significant Accounting Policies (Details)	3 Months Ended		6 Months Ended		12 Months Ended
	Sep. 30, 2017USD ($)customer	Sep. 30, 2016customer	Sep. 30, 2017USD ($)customer	Sep. 30, 2016customer	Mar. 31, 2017USD ($)customer	Dec. 31, 2015USD ($)
Unbilled Accounts Receivable
Costs and estimated earnings in excess of billings on uncompleted contracts	$ 426,000		$ 426,000
Deferred Revenue
Billings in excess of costs and estimated earnings on uncompleted contracts	1,100,000		1,100,000
Prepaid Expenses and Other Current Assets
Prepaid expenses and other current assets	2,499,000		2,499,000		$ 2,108,000
Cash designated as collateral on performance bonds	$ 535,000		$ 535,000		$ 535,000
Percentage of cash value of the bonds as collateral			100.00%
Goodwill and Long-Lived Assets
Adjustment to carrying value of goodwill			$ 0
Impairment of long-lived and intangible assets			$ 0
Income Taxes
Valuation allowance on deferred tax assets						$ 10,100,000
Total Revenues | Customer | One individual customer
Concentration of Credit Risk
Number of customers | customer	1	1	1	1
Trade Accounts Receivable | Customer | One individual customer
Concentration of Credit Risk
Number of customers | customer			1		0
Minimum
Warranty
Warranty period			1 year
Minimum | Property and equipment
Property and Equipment
Useful life			3 years
Minimum | Total Revenues | Customer | One individual customer
Concentration of Credit Risk
Percentage of concentration risk	10.00%	10.00%	10.00%	10.00%
Minimum | Trade Accounts Receivable | Customer | One individual customer
Concentration of Credit Risk
Percentage of concentration risk			10.00%		10.00%
Maximum
Billings in Excess of Costs and Estimated Earnings on Uncompleted Contracts
Expected period for unearned amounts to be earned			12 months
Warranty
Warranty period			3 years
Maximum | Property and equipment
Property and Equipment
Useful life			8 years

Supplemental Financial Inform21

Supplemental Financial Information - Inventories (Details) - USD ($) $ in Thousands	Sep. 30, 2017	Mar. 31, 2017
Inventories
Materials and supplies	$ 1,159	$ 887
Work in process	295	298
Finished goods	1,329	1,065
Total inventories	$ 2,783	$ 2,250

Supplemental Financial Inform22

Supplemental Financial Information - Intangible Assets (Details) - USD ($) $ in Thousands	Sep. 30, 2017	Mar. 31, 2017
Intangible Assets
Gross Carrying Amount	$ 7,018	$ 5,874
Accumulated Amortization	(4,698)	(4,376)
Net Book Value	2,320	1,498
Technology
Intangible Assets
Gross Carrying Amount	1,856	1,856
Accumulated Amortization	(1,852)	(1,828)
Net Book Value	4	28
Customer contracts / relationships
Intangible Assets
Gross Carrying Amount	750	750
Accumulated Amortization	(746)	(726)
Net Book Value	4	24
Trade names and non-compete agreements
Intangible Assets
Gross Carrying Amount	1,110	1,110
Accumulated Amortization	(1,087)	(1,066)
Net Book Value	23	44
Capitalized software development costs
Intangible Assets
Gross Carrying Amount	3,302	2,158
Accumulated Amortization	(1,013)	(756)
Net Book Value	$ 2,289	$ 1,402

Supplemental Financial Inform23

Supplemental Financial Information - Future Estimated Amortization Expense (Details) - USD ($) $ in Thousands	Sep. 30, 2017	Mar. 31, 2017
Future estimated amortization expense
Remainder of 2018	$ 384
2,019	863
2,020	578
2,021	233
2,022	131
Thereafter	131
Net Book Value	$ 2,320	$ 1,498

Supplemental Financial Inform24

Supplemental Financial Information - Warranty Reserve Activity (Details) - USD ($) $ in Thousands	6 Months Ended
	Sep. 30, 2017	Sep. 30, 2016
Activity related to warranty reserve
Balance at beginning of fiscal year	$ 278	$ 193
Additions charged to cost of sales	359	88
Warranty claims	(294)	(78)
Balance at end of period	$ 343	$ 203

Supplemental Financial Inform25

Supplemental Financial Information - Loss Per Share (Details) - shares shares in Thousands	3 Months Ended		6 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Denominator:
Weighted average common shares used in basic computation (in shares)	32,628	32,117	32,567	32,085
Weighted average common shares used in diluted computation (in shares)	32,628	32,117	32,567	32,085

Supplemental Financial Inform26

Supplemental Financial Information - Loss Per Share Excluded weighted average (Details) - shares shares in Thousands	3 Months Ended		6 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Stock options
Shares excluded in the computation of loss from continuing operations per share
Shares excluded in the computation of loss from continuing operations per share	3,927	3,367	3,852	3,339
Restricted stock units
Shares excluded in the computation of loss from continuing operations per share
Shares excluded in the computation of loss from continuing operations per share	289	175	261	174

Sale of Vehicle Sensors (Detail

Sale of Vehicle Sensors (Details)	Jul. 29, 2011	Sep. 30, 2017USD ($)segment	Sep. 30, 2016USD ($)	Sep. 30, 2017USD ($)segment	Sep. 30, 2016USD ($)	Sep. 30, 2017USD ($)segment
Sale of Vehicle Sensors
Net proceeds from sale of discontinued operation				$ 260,000	$ 88,000
Number of discontinued operations business segments | segment		1		1		1
Gain on the sale, net of tax		$ 77,000	$ 135,000	$ 163,000	191,000
Vehicle Sensors segment
Sale of Vehicle Sensors
Additional cash consideration, percentage of revenue associated with royalties	85.00%
Amount of earn-outs in connection with royalty						$ 2,400,000
Net proceeds from sale of discontinued operation						$ 17,700,000
Gain on the sale, net of tax				$ 163,000	$ 191,000

Fair Value Measurements (Detail

Fair Value Measurements (Details) - USD ($) $ in Thousands	Sep. 30, 2017	Sep. 30, 2016
Non-financial assets measured at fair value
Non-financial assets measured at fair value	$ 0	$ 0

Income Taxes (Details)

Income Taxes (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Reconciliation of income tax (benefit) provision to taxes computed at U.S. federal statutory rates
Benefit for income taxes	$ 650	$ 92	$ 899	$ 141
Change in valuation allowance	(617)	(84)	(865)	(134)
Total benefit for income taxes	$ 33	$ 8	$ 34	$ 7
Effective tax rate (as a percent)	3.00%	4.30%	2.00%	2.50%

Commitments and Contingencies -

Commitments and Contingencies - Litigation and Other Contingencies (Details) - 2007 Plan - USD ($)	Apr. 28, 2017	Nov. 08, 2016	Sep. 30, 2015	Sep. 15, 2016
Commitments and Contingencies
Awarded value	$ 215,000
Proxy Statements | Pending Litigation
Commitments and Contingencies
Stock options authorized under the plan (in shares)				500,000
Mr. Bergera | Proxy Statements | Pending Litigation
Commitments and Contingencies
Excess options granted (in shares)		850,000
Mr. Bergera | Proxy Statements | Pending Litigation | Maximum
Commitments and Contingencies
Options granted (in shares)			1,350,000

Commitments and Contingencies31

Commitments and Contingencies - Related Party Transaction (Details) - Maxxess	6 Months Ended
	Sep. 30, 2017USD ($)subsidiary	Aug. 11, 2016USD ($)	Jul. 23, 2013USD ($)
Related Party Transactions
Number of former subsidiaries | subsidiary	1
Promissory note payable issued to reporting entity for amounts previously owed under a sublease agreement | $	$ 146,000	$ 274,000	$ 274,000
Interest on promissory note (as a percent)	6.00%
Maximum
Related Party Transactions
Ownership percentage of non-controlling	2.00%

Stock-Based Compensation - Stoc

Stock-Based Compensation - Stock Options & RSUs (Details)	6 Months Ended
	Sep. 30, 2017plan$ / sharesshares
Stock-Based Compensation
Number of stock incentive plans | plan	2
Vested and expected to vest at the end of the period (in shares)	3,600,000
Stock options
Number of Shares
Options outstanding at the beginning of the period (in shares)	3,776,000
Granted (in shares)	150,000
Exercised (in shares)	(289,000)
Forfeited (in shares)	(31,000)
Options outstanding at the end of the period (in shares)	3,606,000
Weighted Average Exercise Price Per Share
Options outstanding at the beginning of the period (in dollars per share) | $ / shares	$ 2.76
Granted (in dollars per share) | $ / shares	6.07
Exercised (in dollars per share) | $ / shares	1.96
Forfeited (in dollars per share) | $ / shares	3.98
Options outstanding at the end of the period (in dollars per share) | $ / shares	$ 2.95
Restricted stock units
Weighted Average Exercise Price Per Share
Number of shares of common stock receivable upon vesting of each RSU	1
Number of Shares
RSUs outstanding at the beginning of the period (in shares)	232,000
Granted (in shares)	10,000
Vested (in shares)	(15,000)
Forfeited (in shares)	(2,000)
RSUs outstanding at the end of the period (in shares)	225,000
2007 Plan
Stock-Based Compensation
Authorized for future issuance under stock incentive plans (in shares)	0
2016 Plan
Stock-Based Compensation
Authorized for future issuance under stock incentive plans (in shares)	2,300,000

Stock-Based Compensation - Expe

Stock-Based Compensation - Expense (Details) - USD ($)	3 Months Ended		6 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Stock-Based Compensation
Total stock-based compensation expense	$ 428,000	$ 262,000	$ 877,000	$ 486,000
Stock options
Stock-Based Compensation
Unrecognized compensation expense related to unvested stock options	3,000,000		$ 3,000,000
Weighted average period over which compensation expense is expected to be recognized			2 years 7 months 6 days
Restricted stock units
Stock-Based Compensation
Unrecognized compensation expense related to unvested RSUs	574,000		$ 574,000
Weighted average period over which compensation expense is expected to be recognized			1 year 6 months
Cost of revenues
Stock-Based Compensation
Total stock-based compensation expense	16,000	12,000	$ 31,000	22,000
Selling, general and administrative expense
Stock-Based Compensation
Total stock-based compensation expense	376,000	233,000	768,000	433,000
Research and development expense
Stock-Based Compensation
Total stock-based compensation expense	$ 36,000	$ 17,000	$ 78,000	$ 31,000

Stock Repurchase Program (Detai

Stock Repurchase Program (Details) - USD ($) $ / shares in Units, $ in Millions	Nov. 06, 2014	Aug. 31, 2012	Sep. 30, 2017	Aug. 09, 2012	Aug. 31, 2011
Stock Repurchase Program
Number of shares of common stock repurchased			3,422,000
Value of common stock repurchased			$ 5.6
Average price per share of common stock repurchased (in dollars per share)			$ 1.63
August 2011 Program
Stock Repurchase Program
Number of shares of common stock repurchased		964,000
Value of common stock repurchased		$ 1.3
Value of remaining funds cancelled under initial stock repurchase program				$ 1.7
August 2011 Program | Maximum
Stock Repurchase Program
Value of common stock approved under stock repurchase program					$ 3
August 2012 Program
Stock Repurchase Program
Increase in the authorized amount for repurchase of common stock	$ 3
Value of common stock available for repurchase under current program			$ 1.7
August 2012 Program | Maximum
Stock Repurchase Program
Value of common stock approved under stock repurchase program				$ 3

Business Segment Information (D

Business Segment Information (Details) $ in Thousands	3 Months Ended		6 Months Ended
	Sep. 30, 2017USD ($)	Sep. 30, 2016USD ($)	Sep. 30, 2017USD ($)segment	Sep. 30, 2016USD ($)
Business Segments
Number of reportable segments | segment			3
Product revenues	$ 11,702	$ 11,086	$ 23,625	$ 22,093
Service revenues	13,546	12,974	28,806	25,893
Total revenues	25,248	24,060	52,431	47,986
Segment income (loss)	(1,099)	(185)	(1,651)	(276)
Operating segments
Business Segments
Product revenues	11,702	11,086	23,625	22,093
Service revenues	13,546	12,974	28,806	25,893
Total revenues	25,248	24,060	52,431	47,986
Segment income (loss)	2,487	3,119	5,534	6,160
Operating segments | Roadway Sensors
Business Segments
Product revenues	11,150	10,833	22,430	21,437
Service revenues	111	62	111	62
Total revenues	11,261	10,895	22,541	21,499
Segment income (loss)	2,790	2,647	5,337	4,956
Operating segments | Transportation Systems
Business Segments
Product revenues	552	253	1,195	656
Service revenues	12,542	12,074	26,626	24,070
Total revenues	13,094	12,327	27,821	24,726
Segment income (loss)	1,933	2,549	4,265	4,894
Operating segments | Agriculture and Weather Analytics
Business Segments
Service revenues	893	838	2,069	1,761
Total revenues	893	838	2,069	1,761
Segment income (loss)	$ (2,236)	$ (2,077)	$ (4,068)	$ (3,690)

Business Segment Information -

Business Segment Information - Reconciliation of Total Segment (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Segment Income (loss):
Total income from reportable segments	$ (1,099)	$ (185)	$ (1,651)	$ (276)
Amortization of intangible assets	(33)	(84)	(66)	(169)
Other expense, net	2	(2)	(5)	(6)
Interest income, net	3	4	5	5
Loss from continuing operations before income taxes	(1,094)	(183)	(1,651)	(277)
Operating segments
Segment Income (loss):
Total income from reportable segments	2,487	3,119	5,534	6,160
Unallocated amounts
Segment Income (loss):
Corporate and other expenses	(3,553)	(3,220)	(7,119)	(6,267)
Amortization of intangible assets	(33)	(84)	(66)	(169)
Other expense, net	2	(2)	(5)	(6)
Interest income, net	3	4	5	5
Loss from continuing operations before income taxes	$ (1,094)	$ (183)	$ (1,651)	$ (277)