Document And Entity Information
Document And Entity Information - USD ($) | 12 Months Ended | ||
Sep. 30, 2015 | Dec. 28, 2015 | Mar. 31, 2015 | |
Common Class A [Member] | |||
Entity Common Stock, Shares Outstanding (in shares) | 1,163,349 | ||
Common Class B [Member] | |||
Entity Common Stock, Shares Outstanding (in shares) | 474,866 | ||
Entity Registrant Name | HICKOK INC | ||
Entity Central Index Key | 47,307 | ||
Trading Symbol | hicka | ||
Current Fiscal Year End Date | --09-30 | ||
Entity Filer Category | Smaller Reporting Company | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Public Float | $ 1,120,123 | ||
Document Type | 10-K | ||
Document Period End Date | Sep. 30, 2015 | ||
Document Fiscal Year Focus | 2,015 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false |
Consolidated Balance Sheet
Consolidated Balance Sheet - USD ($) | Sep. 30, 2015 | Sep. 30, 2014 |
Common Class A [Member] | ||
STOCKHOLDERS' EQUITY: | ||
Class of common stock - no par value | $ 1,261,188 | $ 1,261,188 |
Common Class B [Member] | ||
STOCKHOLDERS' EQUITY: | ||
Class of common stock - no par value | 474,866 | 474,866 |
Cash and cash equivalents | 346,405 | 390,327 |
Accounts receivable-less allowance for doubtful accounts of $10,000 ($10,000, 2014) | $ 1,101,554 | $ 1,172,268 |
Notes receivable-current | ||
Inventories-less allowance for obsolete inventory of $251,500 ($363,500, 2014) | $ 1,926,513 | $ 1,714,197 |
Deferred income taxes-less valuation allowance of $142,100 ($107,700, 2014) | ||
Prepaid expenses | $ 112,019 | $ 37,989 |
Total Current Assets | 3,486,491 | 3,314,781 |
Land | 233,479 | 233,479 |
Buildings | 1,440,138 | 1,429,718 |
Machinery and equipment | 2,348,554 | 2,516,380 |
4,022,171 | 4,179,577 | |
Less accumulated depreciation | 3,646,937 | 3,800,551 |
$ 375,234 | $ 379,026 | |
Deferred income taxes-less valuation allowance of $4,106,800 ($4,059,000, 2014) | ||
Notes receivable-long-term | $ 4,100 | $ 4,100 |
Deposits | 750 | 1,750 |
4,850 | 5,850 | |
Total Assets | $ 3,866,575 | $ 3,699,657 |
Convertible notes payable - related party | ||
Accounts payable | $ 297,761 | $ 145,557 |
Accrued payroll and related expenses | 167,770 | 132,719 |
Accrued expenses | 183,390 | 178,815 |
Accrued taxes other than income | 40,764 | 48,342 |
Total Current Liabilities | 689,685 | 505,433 |
Convertible notes payable - related party | 200,000 | 200,000 |
Accrued expenses | 339,700 | 235,200 |
Total Long-term Liabilities | $ 539,700 | $ 435,200 |
Preferred 1,000,000 shares authorized, no shares outstanding | ||
Contributed capital | $ 1,741,901 | $ 1,741,358 |
Treasury shares - 15,795 (2015 and 2014) Class A shares and 667 (2015 and 2014) Class B shares | (253,341) | (253,341) |
Retained deficit | (587,424) | (465,047) |
Total Stockholders' Equity | 2,637,190 | 2,759,024 |
Total Liabilities and Stockholders' Equity | $ 3,866,575 | $ 3,699,657 |
Consolidated Balance Sheet (Par
Consolidated Balance Sheet (Parentheticals) - USD ($) | Sep. 30, 2015 | Sep. 30, 2014 |
Common Class A [Member] | ||
Class of common stock - par value (in dollars per share) | $ 0 | $ 0 |
Class of common stock - shares authorized (in shares) | 10,000,000 | 10,000,000 |
Class of common stock - shares issued (in shares) | 1,179,144 | 1,179,144 |
Treasury shares (in shares) | 15,795 | 15,795 |
Common Class B [Member] | ||
Class of common stock - par value (in dollars per share) | $ 0 | $ 0 |
Class of common stock - shares authorized (in shares) | 2,500,000 | 2,500,000 |
Class of common stock - shares issued (in shares) | 475,533 | 475,533 |
Treasury shares (in shares) | 667 | 667 |
Allowance for doubtful accounts | $ 10,000 | $ 10,000 |
Allowance for obsolete inventory | 251,500 | 363,500 |
Deferred income taxes-valuation allowance | 142,100 | 107,700 |
Deferred income taxes-valuation allowance | $ 4,106,800 | $ 4,059,000 |
Preferred stock - shares authorized (in shares) | 1,000,000 | 1,000,000 |
Preferred stock - shares outstanding (in shares) | 0 | 0 |
Consolidated Statement of Incom
Consolidated Statement of Income - USD ($) | 12 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
NET SALES: | |||
Product sales | $ 5,608,218 | $ 6,078,349 | $ 6,190,260 |
Service sales | 244,706 | 227,487 | 275,912 |
Total Net Sales | 5,852,924 | 6,305,836 | 6,466,172 |
COSTS AND EXPENSES: | |||
Cost of product sold | 3,017,837 | 3,462,092 | 3,359,727 |
Cost of services sold | 150,466 | 149,068 | 138,307 |
Product development | 1,015,414 | 965,975 | 939,373 |
Marketing and administrative expenses | 1,798,960 | 1,728,107 | 1,812,598 |
Interest charges | 657 | 6,592 | 91,178 |
Other income | (8,033) | (14,374) | (13,816) |
Total Costs and Expenses | 5,975,301 | 6,297,460 | 6,327,367 |
Income (Loss) before Provision for Income Taxes | (122,377) | 8,376 | 138,805 |
Provision For Income Taxes: | |||
Current | (82,200) | (44,400) | 114,400 |
Deferred | 82,200 | 44,400 | (114,400) |
Net Income (Loss) | $ (122,377) | $ 8,376 | $ 138,805 |
NET Income (LOSS) PER COMMON SHARE - BASIC (in dollars per share) | $ (0.07) | $ 0.01 | $ 0.09 |
NET Income (LOSS) PER COMMON SHARE - DILUTED (in dollars per share) | $ (0.07) | $ 0.01 | $ 0.08 |
WEIGHTED AVERAGE SHARES OF COMMON STOCK OUTSTANDING (in shares) | 1,638,215 | 1,638,215 | 1,610,571 |
Consolidated Statement of Stock
Consolidated Statement of Stockholders' Equity - USD ($) | Retained Earnings [Member] | Common Stock [Member]Common Class A [Member] | Common Stock [Member]Common Class B [Member] | Additional Paid-in Capital [Member] | Treasury Stock [Member] | Total |
Balance at Oct. 01, 2012 | $ (612,228) | $ 1,045,597 | $ 474,866 | $ 1,662,981 | $ (253,341) | $ 2,317,875 |
Fees for additional authorized Class A, Class B and Preferred shares | $ (21,925) | (21,925) | ||||
Conversion of convertible notes payable to Class A shares | $ 208,591 | 208,591 | ||||
Class A shares issued for professional services | $ 7,000 | 7,000 | ||||
Warrants issued for debt offering | $ 91,000 | 91,000 | ||||
Share-based compensation expense | $ 6,465 | 6,465 | ||||
Net Income (Loss) | $ 138,805 | 138,805 | ||||
Balance at Sep. 30, 2013 | $ (473,423) | $ 1,261,188 | $ 474,866 | $ 1,738,521 | $ (253,341) | 2,747,811 |
Share-based compensation expense | $ 2,837 | 2,837 | ||||
Net Income (Loss) | $ 8,376 | 8,376 | ||||
Balance at Sep. 30, 2014 | $ (465,047) | $ 1,261,188 | $ 474,866 | $ 1,741,358 | $ (253,341) | 2,759,024 |
Share-based compensation expense | $ 543 | 543 | ||||
Net Income (Loss) | $ (122,377) | (122,377) | ||||
Balance at Sep. 30, 2015 | $ (587,424) | $ 1,261,188 | $ 474,866 | $ 1,741,901 | $ (253,341) | $ 2,637,190 |
Consolidated Statement of Cash
Consolidated Statement of Cash Flows - USD ($) | 12 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Professional Service Expense [Member] | |||
ADJUSTMENTS TO RECONCILE NET INCOME (LOSS) TO NET CASH PROVIDED BY OPERATING ACTIVITIES: | |||
Non-cash professional service expense | $ 7,000 | ||
Cash received from customers | $ 5,923,638 | $ 5,771,884 | 6,530,702 |
Cash paid to suppliers and employees | (5,902,702) | (6,373,180) | $ (5,848,654) |
Interest paid | (1,858) | (6,174) | |
Interest received | 894 | 659 | $ 3,874 |
Net Cash Provided by (Used in) Operating Activities | 19,972 | (606,811) | 685,922 |
Capital expenditures | $ (64,894) | $ (141,714) | (14,443) |
Payments received on notes receivable | $ 30,500 | ||
Decrease in deposits | $ 1,000 | ||
Net Cash Provided by (Used in) Investing Activities | $ (63,894) | $ (141,714) | $ 16,057 |
Short-term borrowings | 683,400 | 250,000 | |
Payments on short-term borrowings | (683,400) | $ (250,000) | |
Proceeds from Convertible Notes Payable | $ 200,000 | ||
Cost for additional authorized shares | $ (21,925) | ||
Net Cash Provided by (Used in) Financing Activities | $ 200,000 | (21,925) | |
Increase (Decrease) in Cash and Cash Equivalents | $ (43,922) | (548,525) | 680,054 |
Cash and Cash Equivalents at Beginning of Year | 390,327 | 938,852 | 258,798 |
Cash and Cash Equivalents at End of Year | 346,405 | 390,327 | 938,852 |
Net Income (Loss) | (122,377) | 8,376 | 138,805 |
Depreciation | 68,686 | 62,195 | 64,186 |
Share-based compensation expense | $ 543 | $ 2,837 | 6,465 |
Warrants issued for debt offering | 91,000 | ||
CHANGES IN ASSETS AND LIABILITIES: | |||
Decrease (Increase) in accounts receivable | $ 70,714 | $ (533,952) | 64,530 |
Decrease (Increase) in inventories | (212,316) | (124,381) | 144,954 |
Decrease (Increase) in prepaid expenses | (74,030) | (5,647) | 91,615 |
Increase (Decrease) in accounts payable | 152,204 | (28,679) | (4,599) |
Increase (Decrease) in accrued payroll and related expenses | 35,051 | (9,800) | (7,117) |
Increase (Decrease) in other accrued expenses and accrued taxes other than income and long-term liabilities | 101,497 | 22,240 | 89,083 |
Total Adjustments | 142,349 | (615,187) | 547,117 |
Net Cash Provided by (Used in) Operating Activities | $ 19,972 | $ (606,811) | 685,922 |
Supplemental Schedule of Non-Cash Financing Activities: | |||
Conversion of convertible notes payable to Class A shares | $ 208,591 |
Note 1 - Nature of Operations
Note 1 - Nature of Operations | 12 Months Ended |
Sep. 30, 2015 | |
Notes to Financial Statements | |
Nature of Operations [Text Block] | 1. NATURE OF OPERATIONS Hickok Incorporated and its wholly-owned domestic subsidiaries ("Company") develop and manufacture products used by companies in the transportation and emissions testing industries. Among the products are indicators and gauges sold to companies in aircraft and locomotive markets. On a much larger scale, the Company manufactures diagnostic equipment used by technicians to test the various electronic systems in automobiles and trucks, and emissions testing equipment specified by various states for testing vehicle emissions. The Company serves the automotive, locomotive and general aviation markets predominately in North America. Sales in the Company's principal product classes, as a percent of consolidated sales, are as follows: Product Classes 2015 2014 2013 Automotive Test Equipment 77.8 % 76.3 % 74.4 % Indicating Instruments 22.2 23.7 25.6 Total 100.0 % 100.0 % 100.0 % Current operating properties consist of a manufacturing plant in Greenwood, Mississippi, and a corporate headquarters, marketing and product development facility in Cleveland, Ohio. |
Note 2 - Summary of Significant
Note 2 - Summary of Significant Accounting Policies | 12 Months Ended |
Sep. 30, 2015 | |
Notes to Financial Statements | |
Significant Accounting Policies [Text Block] | 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Principles of Consolidation : New Accounting Standards : , with early adoption prohibited. The Company has not determined the impact of this pronouncement on its financial statements and related disclosure. Concentration of Credit Risk : . Use of Estimates in the Preparation of Financial Statements : Fair Value of Financial Instruments: Revenue Recognition : Product Warranties : Product Development Costs : Cash and Cash Equivalents : and $390,327, respectively. Accounts Receivable : Inventories : 2015 2014 Raw materials and component parts $ 1,254,294 $ 1,066,672 Work-in-process 499,752 521,424 Finished products 172,467 126,101 $ 1,926,513 $ 1,714,197 The reserve for inventory obsolescence was $251,500 and $363,500 at September 30, 2015 and 2014, respectively. The decrease was due to $64,955 charged off as obsolete and $47,045 of a reduction to the reserve which was recorded to income. Property, Plant and Equipment : Class Method Estimated Useful Lives Buildings Straight-line 10 to 40 years Machinery and equipment Straight-line 3 to 10 years Tools and dies Straight-line 3 years (2015), $62,195 (2014), and $64,186 (2013). Valuation of Long-Lived Assets : Shipping and Handling Costs : Advertising Costs : (2015), $9,017 (2014) and $6,558 (2013). Income Taxes : Income per Common Share : |
Note 3 - Notes Receivable
Note 3 - Notes Receivable | 12 Months Ended |
Sep. 30, 2015 | |
Notes to Financial Statements | |
Loans, Notes, Trade and Other Receivables Disclosure [Text Block] | 3. NOTES RECEIVABLE Notes receivable consists of an unsecured note receivable from a current employee which bears interest at 3% per annum. The notes receivable is classified as long-term. |
Note 4 - Convertible Notes Paya
Note 4 - Convertible Notes Payable | 12 Months Ended |
Sep. 30, 2015 | |
Notes to Financial Statements | |
Debt Disclosure [Text Block] | 4. CONVERTIBLE NOTES PAYABLE On December 30, 2015, management entered into Amendment No. 1 of the Warrant Agreement with Roundball. The amended Warrant Agreement is by and between the Company and a major shareholder who is also an affiliate of two Directors extending the due date of the agreement from December 30, 2015 to December 30, 2016. |
Note 5 - Short-term Financing
Note 5 - Short-term Financing | 12 Months Ended |
Sep. 30, 2015 | |
Notes to Financial Statements | |
Short-term Debt [Text Block] | 5. SHORT-TERM FINANCING Amount Weighted Average Interest Rate Balance at September 30, 2015 $ - .00 % Average during 2015 $ - .00 % Maximum during 2015 (month end) $ - .00 % Balance at September 30, 2014 $ - 4.00 % Average during 2014 $ 151,133 4.00 % Maximum during 2014 (month end) $ 683,400 4.00 % |
Note 6 - Leases
Note 6 - Leases | 12 Months Ended |
Sep. 30, 2015 | |
Notes to Financial Statements | |
Leases of Lessee Disclosure [Text Block] | 6. LEASES Operating 2016 $ 5,980 2017 5,980 2018 4,485 Total $ 16,445 Rental expense was $11,382 (2015), $10,521 (2014) and $10,444 (2013). A facility held under a capital lease has a net book value of $0 at September 30, 2015. Future minimum lease payments which extend through 2061 are immaterial. |
Note 7 - Stock Options
Note 7 - Stock Options | 12 Months Ended |
Sep. 30, 2015 | |
Notes to Financial Statements | |
Disclosure of Compensation Related Costs, Share-based Payments [Text Block] | 7. STOCK OPTIONS The Company's 2013 Omnibus Equity Plan was approved and adopted by an affirmative vote of a majority of the Company's Class A and Class B Shareholders and provides for the grant of the following types of incentive awards: stock options, stock appreciation rights, restricted shares, restricted share units, performance shares and Class A Common Shares. Those who will be eligible for awards under the 2013 Omnibus Plan include employees who provide services to the Company and its affiliates, executive officers, non-employee Directors and consultants designated by the Compensation Committee. The Plan has 150,000 Class A Common Shares reserved for issuance. The Class A Common Shares may be either authorized, but unissued, common shares or treasury shares. No share-based awards have been granted under the 2013 Omnibus Equity Plan as of September 30, 2015. Non-cash compensation expense related to stock option plans for fiscal years ended September 30, 2015, 2014 and 2013 was $543, $2,837 and $6,465 respectively. Transactions involving the Directors Plans are summarized as follows: Weighted Average Exercise Weighted Average Exercise Weighted Average Exercise 2015 Price 2014 Price 2013 Price Option Shares Directors Plans: Outstanding October 1, 22,000 $ 5.30 31,000 $ 5.57 42,000 $ 5.62 Granted - - - - - - Canceled/expired (16,000 ) 6.00 (9,000 ) 6.23 (11,000 ) 3.55 Exercised - - - - - - Outstanding September 30, ($2.925 to $11.00 per share) 6,000 3.44 22,000 5.30 31,000 5.57 Exercisable September 30, 6,000 3.44 20,000 5.54 25,000 6.20 Directors Plans Outstanding Stock Options Weighted Average Exercise Price Weighted Average Remaining Life Number of Stock Options Exercisable Weighted Average Exercise Price Range of exercise prices: $ 2.925 5,000 $ 2.925 6.3 5,000 $ 2.925 $ 6.00 1,000 $ 6.00 4.5 1,000 $ 6.00 6,000 $ 3.44 6,000 $ 3.44 |
Note 8 - Capital Stock, Treasur
Note 8 - Capital Stock, Treasury Stock, and Contributed Capital | 12 Months Ended |
Sep. 30, 2015 | |
Notes to Financial Statements | |
Stockholders' Equity Note Disclosure [Text Block] | 8. CAPITAL STOCK, TREASURY STOCK, AND CONTRIBUTED CAPITAL There are 10,000,000 Class A Shares and 2,500,000 Class B Shares authorized, as well as 1,000,000 Serial Preferred Shares. Unissued shares of Class A common stock (933,233 and 949,233 shares in 2015 and 2014, respectively) are reserved for the share-for-share conversion rights of the Class B common stock, stock options under the Directors Plans, conversion rights of the Convertible Promissory Note and available warrants (see Notes 4, 5 and 7). The Class A shares have one vote per share and the Class B shares have three votes per share, except under certain circumstances such as voting on voluntary liquidation, sale of substantially all the assets, etc. Dividends up to $.10 per year, noncumulative, must be paid on Class A shares before any dividends are paid on Class B shares. |
Note 9 - Income Taxes
Note 9 - Income Taxes | 12 Months Ended |
Sep. 30, 2015 | |
Notes to Financial Statements | |
Income Tax Disclosure [Text Block] | 9. INCOME TAXES A reconciliation of the provision (recovery) of income taxes to the statutory federal income tax rate is as follows: 2015 2014 2013 Income (Loss) Before Provision for Income Taxes $ (122,377 ) $ 8,376 $ 138,805 Statutory rate 34 % 34 % 34 % (41,608 ) 2,848 47,194 Permanent differences 900 1,200 1,200 Research and development credit - net (48,500 ) (46,300 ) (44,900 ) Valuation allowance 82,200 44,400 - Other 7,008 (2,148 ) (3,494 ) $ - $ - $ - 2015 2014 Current: Inventories $ 81,500 $ 128,900 Bad debts 3,400 3,400 Accrued liabilities 70,600 (11,700 ) Prepaid expense (13,400 ) (12,900 ) 142,100 107,700 Valuation allowance (142,100 ) (107,700 ) Total current deferred income taxes - - Noncurrent: Depreciation and amortization 46,700 45,100 Research and development and other credit carryforwards 1,980,200 1,903,800 Net operating loss carryforward 1,914,300 1,880,200 Contribution carryforward - 8,900 Directors stock option plan 40,100 40,000 Acquisition costs 125,500 101,000 Accrued liabilities - 80,000 4,106,800 4,059,000 Valuation allowance (4,106,800 ) (4,059,000 ) Total long-term deferred income taxes - - Total $ - $ - The Company did not incur any material impact to its financial condition or results of operations due to the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. The Company has available a net operating loss carryforward of approximately $5,500,000, and a research and development credit carryforward of approximately $1,900,000. The net operating loss, and research and development credit will begin to expire in fiscal 2025 and 2016 respectively. Management has recorded a valuation allowance on the entire balance of deferred tax assets due to the losses during the past several years, the current economic uncertainties, the negative effects of the recent economic crisis on all the Company's markets and concern that a more likely than not expiration of the Company's net operating loss, and research and development credit carryforwards could occur before they can be used. Because of the uncertainties involved with this significant estimate, it is reasonably possible that the Company's estimate may change in the near term. |
Note 10 - Earnings per Common S
Note 10 - Earnings per Common Share | 12 Months Ended |
Sep. 30, 2015 | |
Notes to Financial Statements | |
Earnings Per Share [Text Block] | 10. EARNINGS PER COMMON SHARE The following table sets forth the computation of basic and diluted earnings per share. 2015 2014 2013 Basic Income (Loss) Per Share Income (Loss) available to common stockholders $ (122,377 ) $ 8,376 $ 138,805 Shares denominator 1,638,215 1,638,215 1,610,571 Per share amount $ (.07 ) $ .01 $ .09 Effect of Dilutive Securities Average shares outstanding 1,638,215 1,638,215 1,610,571 Options available under convertible note - 31,097 23,505 1,638,215 1,669,312 1,634,076 Diluted Income (Loss) Per Share Income (Loss) available to common stockholders $ (122,377 ) $ 8,376 $ 138,805 Per share amount $ (.07 ) $ .01 $ .08 Options and warrants to purchase 22,000 and 200,000 shares of common stock respectively during fiscal 2014 at prices ranging from $2.50 to $11.00 per share were outstanding but were not included in the computation of diluted earnings per share because the option's and warrant's effect was antidilutive or the exercise price was greater than the average market price of the common share. In fiscal 2013 options and warrants to purchase 31,000 and 200,000 shares of common stock respectively at prices ranging from $2.50 to $11.00 per share were outstanding but were not included in the computation of diluted earnings per share because the option's and warrant's effect was antidilutive or the exercise price was greater than the average market price of the common share. |
Note 11 - Employee Benefit Plan
Note 11 - Employee Benefit Plans | 12 Months Ended |
Sep. 30, 2015 | |
Notes to Financial Statements | |
Pension and Other Postretirement Benefits Disclosure [Text Block] | 11. EMPLOYEE BENEFIT PLANS The Company has a 401(k) Savings and Retirement Plan covering all full-time employees. Company contributions to the plan, including matching of employee contributions, are at the Company's discretion. For fiscal years ended September 30, 2015, 2014 and 2013, the Company made matching contributions to the plan in the amount of $15,045, $16,979 and $16,003, respectively. The Company does not provide any other postretirement benefits to its employees. |
Note 12 - Segment and Related I
Note 12 - Segment and Related Information | 12 Months Ended |
Sep. 30, 2015 | |
Notes to Financial Statements | |
Segment Reporting Disclosure [Text Block] | 12. SEGMENT AND RELATED INFORMATION The Company's four business units have a common management team and infrastructure. The indicators and gauges unit has different technologies and customers than the other business units. Therefore, the business units have been aggregated into two reportable segments: 1.) indicators and gauges and 2.) automotive related diagnostic tools and equipment. The Company's management evaluates segment performance based primarily on operating earnings before taxes. Non-operating items such as interest income and interest expense are included in general corporate expenses. Depreciation expense on assets used in manufacturing are considered part of each segment's operating performance. Depreciation expense on non-manufacturing assets is included in general corporate expenses. Indicators and Gauges: Automotive Diagnostic Tools and Equipment: Information by industry segment is set forth below: Years Ended September 30, 2015 2014 2013 Net Sales Indicators and Gauges $ 1,298,901 $ 1,492,348 $ 1,657,725 Automotive Diagnostic Tools and Equipment 4,554,023 4,813,488 4,808,447 $ 5,852,924 $ 6,305,836 $ 6,466,172 Income (Loss) Before Provision for Income Taxes Indicators and Gauges $ 260,296 $ 312,692 $ 433,361 Automotive Diagnostic Tools and Equipment 679,720 704,427 834,630 General Corporate Expenses (1,062,393 ) (1,008,743 ) (1,129,186 ) $ (122,377 ) $ 8,376 $ 138,805 Asset Information : Years Ended September 30, 2015 2014 Identifiable Assets Indicators and Gauges $ 729,520 $ 685,198 Automotive Diagnostic Tools and Equipment 2,292,737 2,199,779 Corporate 844,318 814,680 $ 3,866,575 $ 3,699,657 Geographical Information : Years Ended September 30, 2015 2014 2013 Revenue: United States of America $ 5,678,888 $ 6,149,883 $ 6,317,722 Australia 20,043 64,744 23,481 Canada 75,612 58,983 77,239 England 21,822 6,938 5,244 Mexico 26,902 25,288 16,640 Taiwan 29,657 - 25,846 $ 5,852,924 $ 6,305,836 $ 6,466,172 All export sales to Australia, Canada, England, Mexico, Taiwan and other foreign countries are made in United States of America Dollars. |
Note 13 - Commitments and Conti
Note 13 - Commitments and Contingencies | 12 Months Ended |
Sep. 30, 2015 | |
Notes to Financial Statements | |
Commitments and Contingencies Disclosure [Text Block] | 13. COMMITMENTS AND CONTINGENCIES Legal Matters: |
Note 14 - Subsequent Events
Note 14 - Subsequent Events | 12 Months Ended |
Sep. 30, 2015 | |
Notes to Financial Statements | |
Subsequent Events [Text Block] | 14. SUBSEQUENT EVENTS On January 8, 2016, the Company entered into an Agreement and Plan of Merger (Agreement) with First Francis Company Inc. (First Francis), the shareholders of First Francis, Federal Hose Manufacturing LLC (Federal Hose), a wholly owned subsidiary of First Francis, and Federal Hose Merger Sub, Inc. (Merger Sub), a wholly owned subsidiary of the Company. The Merger Sub will be merged with and into Federal Hose, with Federal Hose surviving the merger on the terms and conditions set forth in the Agreement. The Agreement may be terminated by mutual consent at any time prior to the closing, or if all conditions of the Agreement have not been satisfied by July 1, 2016. |
Note 15 - Business Condition an
Note 15 - Business Condition and Management Plan | 12 Months Ended |
Sep. 30, 2015 | |
Notes to Financial Statements | |
Going Concern Disclosure [Text Block] | 15. BUSINESS CONDITION AND MANAGEMENT PLAN |
Note 16 - Quarterly Data (Unaud
Note 16 - Quarterly Data (Unaudited) | 12 Months Ended |
Sep. 30, 2015 | |
Notes to Financial Statements | |
Quarterly Financial Information [Text Block] | 16. QUARTERLY DATA (UNAUDITED) First Second Third Fourth Net Sales 2015 $ 1,162,218 $ 1,091,182 $ 1,804,614 $ 1,794,910 2014 1,050,242 1,116,467 2,130,412 2,008,715 2013 1,738,903 1,964,338 1,339,931 1,423,000 Gross Profit 2015 362,105 381,991 807,794 1,132,731 2014 360,838 428,031 1,124,914 780,893 2013 812,501 856,177 572,192 727,268 Net Income (Loss) 2015 (270,656 ) (276,663 ) 109,631 315,311 2014 (320,287 ) (297,655 ) 386,911 239,407 2013 143,804 119,431 (133,777 ) 9,347 Net Income (Loss) per Common Share Basic 2015 (.17 ) (.17 ) .07 .19 2014 (.20 ) (.18 ) .24 .15 2013 .09 .08 (.08 ) .01 Diluted 2015 (.17 ) (.17 ) .07 .19 2014 (.20 ) (.18 ) .23 .14 2013 .09 .07 (.08 ) .01 |
Schedule II - Valuation and Qua
Schedule II - Valuation and Qualifying Accounts | 12 Months Ended |
Sep. 30, 2015 | |
Notes to Financial Statements | |
Schedule of Valuation and Qualifying Accounts Disclosure [Text Block] | SCHEDULE II - VALUATION AND QUALIFYING ACCOUNTS Col. A Col. B Col. C Col. D Col. E Additions Description Balance at Beginning of Period Charged to Costs and Expenses Charged to Other Accounts Deductions Balance at End of Period Deducted from Asset Accounts: Year Ended September 30, 2013 Reserve for doubtful accounts $ 10,000 $ 2,049 (1) $ - (2) $ 2,049 (3) $ 10,000 Reserve for inventory obsolescence $ 851,000 $ 60,107 $ - $ 118,107 (4) $ 793,000 Reserve for product warranty $ 451 $ 8,690 $ - $ 9,052 $ 89 Valuation allowance deferred taxes $ 4,236,700 $ - $ - $ 114,400 $ 4,122,300 Year Ended September 30, 2014 Reserve for doubtful accounts $ 10,000 $ (4,446 ) (1) $ - (2) $ (4,446 ) (3) $ 10,000 Reserve for inventory obsolescence $ 793,000 $ (113,603 ) (5) $ - $ 315,897 (4) $ 363,500 Reserve for product warranty $ 89 $ 10,275 $ - $ 10,335 $ 9 Valuation allowance deferred taxes $ 4,122,300 $ 44,400 $ - $ - $ 4,166,700 Year Ended September 30, 2015 Reserve for doubtful accounts $ 10,000 $ (3,255 ) (1) $ - (2) $ (3,255 ) (3) $ 10,000 Reserve for inventory obsolescence $ 363,500 $ (47,045 ) (5) $ - $ 64,955 (4) $ 251,500 Reserve for product warranty $ 9 $ 12,555 $ - $ 12,564 $ - Valuation allowance deferred taxes $ 4,166,700 $ 82,200 $ - $ - $ 4,248,900 |
Significant Accounting Policies
Significant Accounting Policies (Policies) | 12 Months Ended |
Sep. 30, 2015 | |
Accounting Policies [Abstract] | |
Consolidation, Policy [Policy Text Block] | Principles of Consolidation : |
New Accounting Pronouncements, Policy [Policy Text Block] | New Accounting Standards : , with early adoption prohibited. The Company has not determined the impact of this pronouncement on its financial statements and related disclosure. |
Concentration Risk, Credit Risk, Policy [Policy Text Block] | Concentration of Credit Risk : . |
Use of Estimates, Policy [Policy Text Block] | Use of Estimates in the Preparation of Financial Statements : |
Fair Value Measurement, Policy [Policy Text Block] | Fair Value of Financial Instruments: |
Revenue Recognition, Policy [Policy Text Block] | Revenue Recognition : |
Standard Product Warranty, Policy [Policy Text Block] | Product Warranties : |
Research, Development, and Computer Software, Policy [Policy Text Block] | Product Development Costs : |
Cash and Cash Equivalents, Policy [Policy Text Block] | Cash and Cash Equivalents : and $390,327, respectively. |
Receivables, Policy [Policy Text Block] | Accounts Receivable : |
Inventory, Policy [Policy Text Block] | Inventories : 2015 2014 Raw materials and component parts $ 1,254,294 $ 1,066,672 Work-in-process 499,752 521,424 Finished products 172,467 126,101 $ 1,926,513 $ 1,714,197 The reserve for inventory obsolescence was $251,500 and $363,500 at September 30, 2015 and 2014, respectively. The decrease was due to $64,955 charged off as obsolete and $47,045 of a reduction to the reserve which was recorded to income. |
Property, Plant and Equipment, Policy [Policy Text Block] | Property, Plant and Equipment : Class Method Estimated Useful Lives Buildings Straight-line 10 to 40 years Machinery and equipment Straight-line 3 to 10 years Tools and dies Straight-line 3 years (2015), $62,195 (2014), and $64,186 (2013). |
Impairment or Disposal of Long-Lived Assets, Including Intangible Assets, Policy [Policy Text Block] | Valuation of Long-Lived Assets : |
Shipping and Handling Cost, Policy [Policy Text Block] | Shipping and Handling Costs : |
Advertising Costs, Policy [Policy Text Block] | Advertising Costs : (2015), $9,017 (2014) and $6,558 (2013). |
Income Tax, Policy [Policy Text Block] | Income Taxes : |
Earnings Per Share, Policy [Policy Text Block] | Income per Common Share : |
Note 1 - Nature of Operations (
Note 1 - Nature of Operations (Tables) | 12 Months Ended |
Sep. 30, 2015 | |
Notes Tables | |
Schedule of Segment Reporting Information, by Segment [Table Text Block] | Product Classes 2015 2014 2013 Automotive Test Equipment 77.8 % 76.3 % 74.4 % Indicating Instruments 22.2 23.7 25.6 Total 100.0 % 100.0 % 100.0 % |
Note 2 - Summary of Significa26
Note 2 - Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Sep. 30, 2015 | |
Notes Tables | |
Schedule of Inventory, Current [Table Text Block] | 2015 2014 Raw materials and component parts $ 1,254,294 $ 1,066,672 Work-in-process 499,752 521,424 Finished products 172,467 126,101 $ 1,926,513 $ 1,714,197 |
Property, Plant and Equipment [Table Text Block] | Class Method Estimated Useful Lives Buildings Straight-line 10 to 40 years Machinery and equipment Straight-line 3 to 10 years Tools and dies Straight-line 3 years |
Note 5 - Short-term Financing (
Note 5 - Short-term Financing (Tables) | 12 Months Ended |
Sep. 30, 2015 | |
Notes Tables | |
Schedule of Short-term Debt [Table Text Block] | Amount Weighted Average Interest Rate Balance at September 30, 2015 $ - .00 % Average during 2015 $ - .00 % Maximum during 2015 (month end) $ - .00 % Balance at September 30, 2014 $ - 4.00 % Average during 2014 $ 151,133 4.00 % Maximum during 2014 (month end) $ 683,400 4.00 % |
Note 6 - Leases (Tables)
Note 6 - Leases (Tables) | 12 Months Ended |
Sep. 30, 2015 | |
Notes Tables | |
Schedule of Future Minimum Rental Payments for Operating Leases [Table Text Block] | 2016 $ 5,980 2017 5,980 2018 4,485 Total $ 16,445 |
Note 7 - Stock Options (Tables)
Note 7 - Stock Options (Tables) | 12 Months Ended |
Sep. 30, 2015 | |
Directors Plans [Member] | |
Notes Tables | |
Schedule of Share-based Compensation, Shares Authorized under Stock Option Plans, by Exercise Price Range [Table Text Block] | Directors Plans Outstanding Stock Options Weighted Average Exercise Price Weighted Average Remaining Life Number of Stock Options Exercisable Weighted Average Exercise Price Range of exercise prices: $ 2.925 5,000 $ 2.925 6.3 5,000 $ 2.925 $ 6.00 1,000 $ 6.00 4.5 1,000 $ 6.00 6,000 $ 3.44 6,000 $ 3.44 |
Schedule of Share-based Compensation, Stock Options, Activity [Table Text Block] | Weighted Average Exercise Weighted Average Exercise Weighted Average Exercise 2015 Price 2014 Price 2013 Price Option Shares Directors Plans: Outstanding October 1, 22,000 $ 5.30 31,000 $ 5.57 42,000 $ 5.62 Granted - - - - - - Canceled/expired (16,000 ) 6.00 (9,000 ) 6.23 (11,000 ) 3.55 Exercised - - - - - - Outstanding September 30, ($2.925 to $11.00 per share) 6,000 3.44 22,000 5.30 31,000 5.57 Exercisable September 30, 6,000 3.44 20,000 5.54 25,000 6.20 |
Note 9 - Income Taxes (Tables)
Note 9 - Income Taxes (Tables) | 12 Months Ended |
Sep. 30, 2015 | |
Notes Tables | |
Schedule of Effective Income Tax Rate Reconciliation [Table Text Block] | 2015 2014 2013 Income (Loss) Before Provision for Income Taxes $ (122,377 ) $ 8,376 $ 138,805 Statutory rate 34 % 34 % 34 % (41,608 ) 2,848 47,194 Permanent differences 900 1,200 1,200 Research and development credit - net (48,500 ) (46,300 ) (44,900 ) Valuation allowance 82,200 44,400 - Other 7,008 (2,148 ) (3,494 ) $ - $ - $ - |
Schedule of Deferred Tax Assets and Liabilities [Table Text Block] | 2015 2014 Current: Inventories $ 81,500 $ 128,900 Bad debts 3,400 3,400 Accrued liabilities 70,600 (11,700 ) Prepaid expense (13,400 ) (12,900 ) 142,100 107,700 Valuation allowance (142,100 ) (107,700 ) Total current deferred income taxes - - Noncurrent: Depreciation and amortization 46,700 45,100 Research and development and other credit carryforwards 1,980,200 1,903,800 Net operating loss carryforward 1,914,300 1,880,200 Contribution carryforward - 8,900 Directors stock option plan 40,100 40,000 Acquisition costs 125,500 101,000 Accrued liabilities - 80,000 4,106,800 4,059,000 Valuation allowance (4,106,800 ) (4,059,000 ) Total long-term deferred income taxes - - Total $ - $ - |
Note 10 - Earnings per Common31
Note 10 - Earnings per Common Share (Tables) | 12 Months Ended |
Sep. 30, 2015 | |
Notes Tables | |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | 2015 2014 2013 Basic Income (Loss) Per Share Income (Loss) available to common stockholders $ (122,377 ) $ 8,376 $ 138,805 Shares denominator 1,638,215 1,638,215 1,610,571 Per share amount $ (.07 ) $ .01 $ .09 Effect of Dilutive Securities Average shares outstanding 1,638,215 1,638,215 1,610,571 Options available under convertible note - 31,097 23,505 1,638,215 1,669,312 1,634,076 Diluted Income (Loss) Per Share Income (Loss) available to common stockholders $ (122,377 ) $ 8,376 $ 138,805 Per share amount $ (.07 ) $ .01 $ .08 |
Note 12 - Segment and Related32
Note 12 - Segment and Related Information (Tables) | 12 Months Ended |
Sep. 30, 2015 | |
Notes Tables | |
Reconciliation of Operating Profit (Loss) from Segments to Consolidated [Table Text Block] | Years Ended September 30, 2015 2014 2013 Net Sales Indicators and Gauges $ 1,298,901 $ 1,492,348 $ 1,657,725 Automotive Diagnostic Tools and Equipment 4,554,023 4,813,488 4,808,447 $ 5,852,924 $ 6,305,836 $ 6,466,172 Income (Loss) Before Provision for Income Taxes Indicators and Gauges $ 260,296 $ 312,692 $ 433,361 Automotive Diagnostic Tools and Equipment 679,720 704,427 834,630 General Corporate Expenses (1,062,393 ) (1,008,743 ) (1,129,186 ) $ (122,377 ) $ 8,376 $ 138,805 Years Ended September 30, 2015 2014 2013 Revenue: United States of America $ 5,678,888 $ 6,149,883 $ 6,317,722 Australia 20,043 64,744 23,481 Canada 75,612 58,983 77,239 England 21,822 6,938 5,244 Mexico 26,902 25,288 16,640 Taiwan 29,657 - 25,846 $ 5,852,924 $ 6,305,836 $ 6,466,172 |
Reconciliation of Assets from Segment to Consolidated [Table Text Block] | Years Ended September 30, 2015 2014 Identifiable Assets Indicators and Gauges $ 729,520 $ 685,198 Automotive Diagnostic Tools and Equipment 2,292,737 2,199,779 Corporate 844,318 814,680 $ 3,866,575 $ 3,699,657 |
Note 16 - Quarterly Data (Una33
Note 16 - Quarterly Data (Unaudited) (Tables) | 12 Months Ended |
Sep. 30, 2015 | |
Notes Tables | |
Schedule of Quarterly Financial Information [Table Text Block] | First Second Third Fourth Net Sales 2015 $ 1,162,218 $ 1,091,182 $ 1,804,614 $ 1,794,910 2014 1,050,242 1,116,467 2,130,412 2,008,715 2013 1,738,903 1,964,338 1,339,931 1,423,000 Gross Profit 2015 362,105 381,991 807,794 1,132,731 2014 360,838 428,031 1,124,914 780,893 2013 812,501 856,177 572,192 727,268 Net Income (Loss) 2015 (270,656 ) (276,663 ) 109,631 315,311 2014 (320,287 ) (297,655 ) 386,911 239,407 2013 143,804 119,431 (133,777 ) 9,347 Net Income (Loss) per Common Share Basic 2015 (.17 ) (.17 ) .07 .19 2014 (.20 ) (.18 ) .24 .15 2013 .09 .08 (.08 ) .01 Diluted 2015 (.17 ) (.17 ) .07 .19 2014 (.20 ) (.18 ) .23 .14 2013 .09 .07 (.08 ) .01 |
Schedule II - Valuation and Q34
Schedule II - Valuation and Qualifying Accounts (Tables) | 12 Months Ended |
Sep. 30, 2015 | |
Notes Tables | |
Schedule Of Valuation And Qualifying Accounts [Table Text Block] | Col. A Col. B Col. C Col. D Col. E Additions Description Balance at Beginning of Period Charged to Costs and Expenses Charged to Other Accounts Deductions Balance at End of Period Deducted from Asset Accounts: Year Ended September 30, 2013 Reserve for doubtful accounts $ 10,000 $ 2,049 (1) $ - (2) $ 2,049 (3) $ 10,000 Reserve for inventory obsolescence $ 851,000 $ 60,107 $ - $ 118,107 (4) $ 793,000 Reserve for product warranty $ 451 $ 8,690 $ - $ 9,052 $ 89 Valuation allowance deferred taxes $ 4,236,700 $ - $ - $ 114,400 $ 4,122,300 Year Ended September 30, 2014 Reserve for doubtful accounts $ 10,000 $ (4,446 ) (1) $ - (2) $ (4,446 ) (3) $ 10,000 Reserve for inventory obsolescence $ 793,000 $ (113,603 ) (5) $ - $ 315,897 (4) $ 363,500 Reserve for product warranty $ 89 $ 10,275 $ - $ 10,335 $ 9 Valuation allowance deferred taxes $ 4,122,300 $ 44,400 $ - $ - $ 4,166,700 Year Ended September 30, 2015 Reserve for doubtful accounts $ 10,000 $ (3,255 ) (1) $ - (2) $ (3,255 ) (3) $ 10,000 Reserve for inventory obsolescence $ 363,500 $ (47,045 ) (5) $ - $ 64,955 (4) $ 251,500 Reserve for product warranty $ 9 $ 12,555 $ - $ 12,564 $ - Valuation allowance deferred taxes $ 4,166,700 $ 82,200 $ - $ - $ 4,248,900 |
Note 1 - Summary of Company's P
Note 1 - Summary of Company's Product Classes (Details) | Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 |
Automotive Test Equipment [Member] | |||
Product Classes | 77.80% | 76.30% | 74.40% |
Indicating Instruments [Member] | |||
Product Classes | 22.20% | 23.70% | 25.60% |
Product Classes | 100.00% | 100.00% | 100.00% |
Note 2 - Summary of Significa36
Note 2 - Summary of Significant Accounting Policies (Details Textual) | 3 Months Ended | 12 Months Ended | |||||||||||||||||
Sep. 30, 2015USD ($) | Jun. 30, 2015USD ($) | Mar. 31, 2015USD ($) | Dec. 31, 2014USD ($) | Sep. 30, 2014USD ($) | Jun. 30, 2014USD ($) | Mar. 31, 2014USD ($) | Dec. 31, 2013USD ($) | Sep. 30, 2013USD ($) | Jun. 30, 2013USD ($) | Mar. 31, 2013USD ($) | Dec. 31, 2012USD ($) | Sep. 30, 2015USD ($) | Sep. 30, 2014USD ($) | Sep. 30, 2013USD ($) | Sep. 30, 2012USD ($) | ||||
Accounts Receivable [Member] | Automotive Industry [Member] | |||||||||||||||||||
Concentration Risk, Percentage | 80.00% | 87.00% | |||||||||||||||||
Accounts Receivable [Member] | Customer Concentration Risk [Member] | |||||||||||||||||||
Accounts Receivable, Net | $ 741,000 | $ 731,000 | $ 741,000 | $ 731,000 | |||||||||||||||
Sales Revenue, Goods, Net [Member] | Customer Concentration Risk [Member] | |||||||||||||||||||
Number of Customers | 1 | ||||||||||||||||||
Revenue, Net | $ 2,158,000 | 2,768,000 | $ 2,304,000 | ||||||||||||||||
Minimum [Member] | |||||||||||||||||||
Warranty Period | 1 year | ||||||||||||||||||
Maximum [Member] | |||||||||||||||||||
Warranty Period | 4 years | ||||||||||||||||||
Inventory Valuation Reserve [Member] | |||||||||||||||||||
Valuation Allowances and Reserves, Deductions | [1] | $ 64,955 | 315,897 | 118,107 | |||||||||||||||
Valuation Allowances and Reserves, Charged to Cost and Expense | (47,045) | [2] | (113,603) | [2] | 60,107 | ||||||||||||||
Revenue, Net | 1,794,910 | $ 1,804,614 | $ 1,091,182 | $ 1,162,218 | 2,008,715 | $ 2,130,412 | $ 1,116,467 | $ 1,050,242 | $ 1,423,000 | $ 1,339,931 | $ 1,964,338 | $ 1,738,903 | $ 5,852,924 | 6,305,836 | 6,466,172 | ||||
Percentage of Research and Development to Sales | 1.00% | ||||||||||||||||||
Cash and Cash Equivalents, at Carrying Value | 346,405 | 390,327 | $ 938,852 | $ 346,405 | 390,327 | $ 938,852 | $ 258,798 | ||||||||||||
Inventory Valuation Reserves | $ 251,500 | $ 363,500 | 251,500 | 363,500 | |||||||||||||||
Valuation Allowances and Reserves, Deductions | |||||||||||||||||||
Depreciation | 68,686 | 62,195 | $ 64,186 | ||||||||||||||||
Advertising Expense | $ 22,764 | $ 9,017 | $ 6,558 | ||||||||||||||||
[1] | Inventory charged off during the year as obsolete. | ||||||||||||||||||
[2] | Reduction in inventory obsolescence reserve. |
Note 2 - Inventories Summary (D
Note 2 - Inventories Summary (Details) - USD ($) | Sep. 30, 2015 | Sep. 30, 2014 |
Raw materials and component parts | $ 1,254,294 | $ 1,066,672 |
Work-in-process | 499,752 | 521,424 |
Finished products | 172,467 | 126,101 |
$ 1,926,513 | $ 1,714,197 |
Note 2 - Property, Plant and Eq
Note 2 - Property, Plant and Equipment Useful Lives (Details) | 12 Months Ended |
Sep. 30, 2015 | |
Minimum [Member] | Building [Member] | |
Property, Plant and Equipment Useful Lives | 10 years |
Minimum [Member] | Machinery and Equipment [Member] | |
Property, Plant and Equipment Useful Lives | 3 years |
Maximum [Member] | Building [Member] | |
Property, Plant and Equipment Useful Lives | 40 years |
Maximum [Member] | Machinery and Equipment [Member] | |
Property, Plant and Equipment Useful Lives | 10 years |
Tools, Dies and Molds [Member] | |
Property, Plant and Equipment Useful Lives | 3 years |
Note 3 - Notes Receivable (Deta
Note 3 - Notes Receivable (Details Textual) | 12 Months Ended |
Sep. 30, 2015 | |
Unsecured Note Receivable Interest Rate | 3.00% |
Note 4 - Convertible Notes Pa40
Note 4 - Convertible Notes Payable (Details Textual) - USD ($) | Dec. 30, 2012 | Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2015 | Dec. 30, 2015 | Dec. 31, 2014 | Dec. 30, 2013 |
Director [Member] | Roundball LLC [Member] | Amendment No 2 [Member] | ||||||||
Working Capital Funding | $ 467,000 | |||||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 250,000 | |||||||
Debt Instrument, Interest Rate, Stated Percentage | 0.25% | |||||||
Director [Member] | Roundball LLC [Member] | Amendment No. 3 [Member] | ||||||||
Working Capital Funding | $ 467,000 | |||||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 250,000 | |||||||
Debt Instrument, Interest Rate, Stated Percentage | 0.34% | |||||||
Convertible Notes Payable, Current | $ 200,000 | $ 200,000 | ||||||
Director [Member] | Roundball LLC [Member] | Amendment No.4 [Member] | Subsequent Event [Member] | ||||||||
Working Capital Funding | $ 467,000 | |||||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 250,000 | |||||||
Debt Instrument, Interest Rate, Stated Percentage | 0.34% | |||||||
Convertible Notes Payable, Current | 200,000 | 200,000 | ||||||
Director [Member] | Roundball LLC [Member] | Amendment No.4 [Member] | ||||||||
Convertible Notes Payable, Current | 200,000 | 200,000 | ||||||
Roundball LLC [Member] | Amendment No 2 [Member] | ||||||||
Proceeds from Convertible Debt | $ 200,000 | |||||||
Convertible Notes Payable, Current | 200,000 | 200,000 | ||||||
Roundball LLC [Member] | Amendment No. 1 [Member] | Warrant to Purchase Class A Common Stock [Member] | ||||||||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | 100,000 | |||||||
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ 2.50 | |||||||
Warrant Term | 1 year | |||||||
Roundball LLC [Member] | ||||||||
Interest Expense, Debt | $ 644 | 228 | $ 0 | |||||
Interest Paid | $ 1,176 | |||||||
Proceeds from Convertible Debt | $ 200,000 | |||||||
Convertible Notes Payable, Current | ||||||||
Interest Expense, Debt | $ 45,500 | |||||||
Share-based Goods and Nonemployee Services Transaction, Valuation Method, Risk Free Interest Rate | 0.42% | |||||||
Share-based Goods and Nonemployee Services Transaction, Valuation Method, Expected Term | 3 years | |||||||
Share-based Goods and Nonemployee Services Transaction, Valuation Method, Expected Dividend Rate | 0.00% | |||||||
Share-based Goods and Nonemployee Services Transaction, Valuation Method, Expected Volatility Rate | 0.84% | |||||||
Interest Paid | $ 1,858 | $ 6,174 |
Note 5 - Short-term Financing41
Note 5 - Short-term Financing (Details Textual) - USD ($) | 12 Months Ended | |||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | Dec. 30, 2012 | |
Robert L Bauman [Member] | Revolving Credit Facility [Member] | ||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 250,000 | |||
Common Class A [Member] | Robert L Bauman [Member] | ||||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | 100,000 | |||
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ 2.50 | |||
Robert L Bauman [Member] | ||||
Interest Expense, Debt | $ 6,364 | $ 75 | ||
Proceeds from Short-term Debt | $ 683,400 | |||
Debt Instrument, Interest Rate, Stated Percentage | 4.00% | |||
Interest Paid | $ 265 | $ 6,174 | ||
Warrant Agreement [Member] | ||||
Interest Expense, Debt | $ 45,500 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Risk Free Interest Rate | 0.42% | |||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Term | 3 years | |||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Dividend Rate | 0.00% | |||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Weighted Average Volatility Rate | 0.84% | |||
Short-term Debt | $ 0 | |||
Class of Warrant or Right Amortized Period | 1 year | |||
Interest Expense, Debt | $ 45,500 | |||
Interest Paid | $ 1,858 | $ 6,174 |
Note 5 - Summary of Short-term
Note 5 - Summary of Short-term Borrowings (Details) - USD ($) | 12 Months Ended | |
Sep. 30, 2015 | Sep. 30, 2014 | |
Balance at September 30, 2015, Amount | $ 0 | |
Average during 2015, Amount | $ 151,133 | |
Maximum during 2015 (month end), Amount | $ 683,400 | |
Balance at September 30, 2014 | 4.00% | |
Average during 2014 | 4.00% | |
Maximum during 2014 (month end) | 4.00% |
Note 6 - Leases (Details Textua
Note 6 - Leases (Details Textual) - USD ($) | 12 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Operating Leases, Rent Expense | $ 11,382 | $ 10,521 | $ 10,444 |
Capital Leased Assets Net Book Value | $ 0 |
Note 6 - The Company's Minimum
Note 6 - The Company's Minimum Commitment Under Operating leases (Details) | Sep. 30, 2015USD ($) |
2,016 | $ 5,980 |
2,017 | 5,980 |
2,018 | 4,485 |
Total | $ 16,445 |
Note 7 - Stock Options (Details
Note 7 - Stock Options (Details Textual) - USD ($) | 12 Months Ended | 31 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2015 | |
Common Class A [Member] | Omnibus 2013 Equity Plan [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 0 | |||
Common Stock, Capital Shares Reserved for Future Issuance | 150,000 | 150,000 | ||
Common Class A [Member] | Directors Plans [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 6,000 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 3 years | |||
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period | 10 years | |||
Common Class A [Member] | ||||
Common Stock, Capital Shares Reserved for Future Issuance | 933,233 | 949,233 | 933,233 | |
Directors Plans [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 3 years | |||
Allocated Share-based Compensation Expense | $ 543 | $ 2,837 | ||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Exercisable Options, Weighted Average Remaining Contractual Term | 3 years | |||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized | $ 0 | $ 0 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Risk Free Interest Rate | 5.00% | 5.00% | ||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Term | 10 years | 10 years | ||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Dividend Rate | 0.00% | 0.00% | ||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Volatility Rate | 0.87% | 0.87% | ||
Allocated Share-based Compensation Expense | $ 543 | $ 2,837 | $ 6,465 |
Note 7 - Transactions Involving
Note 7 - Transactions Involving the Directors Plans (Details) - Employee Plans [Member] - $ / shares | 12 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Outstanding October 1, (in shares) | 22,000 | 31,000 | 42,000 |
Outstanding October 1, (in dollars per share) | $ 5.30 | $ 5.57 | $ 5.62 |
Granted (in shares) | |||
Granted (in dollars per share) | |||
Canceled/expired (in shares) | (16,000) | (9,000) | (11,000) |
Canceled/expired (in dollars per share) | $ 6 | $ 6.23 | $ 3.55 |
Outstanding September 30, ($2.925 to $11.00 per share) (in shares) | 6,000 | 22,000 | 31,000 |
Outstanding September 30, ($2.925 to $11.00 per share) (in dollars per share) | $ 3.44 | $ 5.30 | $ 5.57 |
Exercisable September 30, (in shares) | 6,000 | 20,000 | 25,000 |
Exercisable September 30, (in dollars per share) | $ 3.44 | $ 5.54 | $ 6.20 |
Note 7 - Summary of Expired Dir
Note 7 - Summary of Expired Director Plans (Details) | 12 Months Ended |
Sep. 30, 2015$ / sharesshares | |
Exercise Price Range 1 [Member] | |
Range of exercise price, lower limit (in dollars per share) | $ 2.925 |
Outstanding Stock Options (in shares) | shares | 5,000 |
Weighted Average Exercise Price (in dollars per share) | $ 2.925 |
Weighted Average Remaining Life | 6 years 109 days |
Number of Stock Options Exercisable (in shares) | shares | 5,000 |
Weighted Average ExercisePrice (in dollars per share) | $ 2.925 |
Exercise Price Range 2 [Member] | |
Outstanding Stock Options (in shares) | shares | 1,000 |
Weighted Average Exercise Price (in dollars per share) | $ 6 |
Weighted Average Remaining Life | 4 years 182 days |
Number of Stock Options Exercisable (in shares) | shares | 1,000 |
Weighted Average ExercisePrice (in dollars per share) | $ 6 |
Range of exercise price, upper limit (in dollars per share) | $ 6 |
Outstanding Stock Options (in shares) | shares | 6,000 |
Weighted Average Exercise Price (in dollars per share) | $ 3.44 |
Weighted Average Remaining Life | |
Number of Stock Options Exercisable (in shares) | shares | 6,000 |
Weighted Average ExercisePrice (in dollars per share) | $ 3.44 |
Note 8 - Capital Stock, Treas48
Note 8 - Capital Stock, Treasury Stock, and Contributed Capital (Details Textual) | Sep. 30, 2015$ / sharesshares | Sep. 30, 2014shares |
Common Class A [Member] | Minimum [Member] | ||
Dividends Payable, Amount Per Share | $ / shares | $ 0.10 | |
Common Class A [Member] | ||
Common Stock, Shares Authorized | 10,000,000 | 10,000,000 |
Common Stock, Capital Shares Reserved for Future Issuance | 933,233 | 949,233 |
Common Stock, Voting Rights, per Share | 1 | |
Common Class B [Member] | ||
Common Stock, Shares Authorized | 2,500,000 | 2,500,000 |
Common Stock, Voting Rights, per Share | 3 | |
Serial Preferred Shares [Member] | ||
Preferred Stock, Shares Authorized | 1,000,000 | |
Preferred Stock, Shares Authorized | 1,000,000 | 1,000,000 |
Note 9 - Income Taxes (Details
Note 9 - Income Taxes (Details Textual) | Sep. 30, 2015USD ($) |
Research Tax Credit Carryforward [Member] | |
Tax Credit Carryforward, Amount | $ 1,900,000 |
Operating Loss Carryforwards | $ 5,500,000 |
Note 9 - Income Tax Reconciliat
Note 9 - Income Tax Reconciliation (Details) - USD ($) | 12 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Income (Loss) Before Provision for Income Taxes | $ (122,377) | $ 8,376 | $ 138,805 |
Statutory rate | 34.00% | 34.00% | 34.00% |
$ (41,608) | $ 2,848 | $ 47,194 | |
Permanent differences | 900 | 1,200 | 1,200 |
Research and development credit - net | (48,500) | (46,300) | $ (44,900) |
Valuation allowance | 82,200 | 44,400 | |
Other | $ 7,008 | $ (2,148) | $ (3,494) |
Note 9 - Deferred Tax Assets (L
Note 9 - Deferred Tax Assets (Liabilities) (Details) - USD ($) | Sep. 30, 2015 | Sep. 30, 2014 |
Current: | ||
Inventories | $ 81,500 | $ 128,900 |
Bad debts | 3,400 | 3,400 |
Accrued liabilities | 70,600 | (11,700) |
Prepaid expense | (13,400) | (12,900) |
142,100 | 107,700 | |
Valuation allowance | (142,100) | (107,700) |
Total current deferred income taxes | 0 | 0 |
Noncurrent: | ||
Depreciation and amortization | 46,700 | 45,100 |
Research and development and other credit carryforwards | 1,980,200 | 1,903,800 |
Net operating loss carryforward | $ 1,914,300 | 1,880,200 |
Contribution carryforward | 8,900 | |
Directors stock option plan | $ 40,100 | 40,000 |
Acquisition costs | $ 125,500 | 101,000 |
Accrued liabilities | 80,000 | |
$ 4,106,800 | 4,059,000 | |
Valuation allowance | (4,106,800) | (4,059,000) |
Total long-term deferred income taxes | $ 0 | $ 0 |
Total |
Note 10 - Earnings per Common52
Note 10 - Earnings per Common Share (Details Textual) - $ / shares | 12 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Employee Stock Option [Member] | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 6,000 | 22,000 | 31,000 |
Warrant [Member] | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 200,000 | 200,000 | 200,000 |
Options and Warrants [Member] | Minimum [Member] | |||
Share Price | $ 2.50 | $ 2.50 | $ 2.50 |
Options and Warrants [Member] | Maximum [Member] | |||
Share Price | $ 6 | $ 11 | $ 11 |
Note 10 - Summary of Earnings P
Note 10 - Summary of Earnings Per Share Calculation (Details) - USD ($) | 12 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Basic Income (Loss) Per Share | |||
Income (Loss) available to common stockholders | $ (122,377) | $ 8,376 | $ 138,805 |
Shares denominator (in shares) | 1,638,215 | 1,638,215 | 1,610,571 |
Per share amount (in dollars per share) | $ (0.07) | $ 0.01 | $ 0.09 |
Effect of Dilutive Securities | |||
Average shares outstanding (in shares) | 1,638,215 | 1,638,215 | 1,610,571 |
Options available under convertible note (in shares) | 31,097 | 23,505 | |
(in shares) | 1,638,215 | 1,669,312 | 1,634,076 |
Diluted Income (Loss) Per Share | |||
Income (Loss) available to common stockholders | $ (122,377) | $ 8,376 | $ 138,805 |
Per share amount (in dollars per share) | $ (0.07) | $ 0.01 | $ 0.08 |
Note 11 - Employee Benefit Pl54
Note 11 - Employee Benefit Plans (Details Textual) - USD ($) | 12 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Defined Contribution Plan, Employer Discretionary Contribution Amount | $ 15,045 | $ 16,979 | $ 16,003 |
Note 12 - Segment and Related55
Note 12 - Segment and Related Information (Details Textual) | 12 Months Ended |
Sep. 30, 2015 | |
Number of Operating Segments | 4 |
Number of Reportable Segments | 2 |
Note 12 - Information by Indust
Note 12 - Information by Industry Segment (Details) - USD ($) | 12 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Indicators and Gauges [Member] | |||
Revenue | $ 1,298,901 | $ 1,492,348 | $ 1,657,725 |
Income (Loss) before provision for Income Taxes | 260,296 | 312,692 | 433,361 |
Automotive Diagnostic Tools and Equipment [Member] | |||
Revenue | 4,554,023 | 4,813,488 | 4,808,447 |
Income (Loss) before provision for Income Taxes | 679,720 | 704,427 | 834,630 |
Corporate Segment [Member] | |||
Income (Loss) before provision for Income Taxes | (1,062,393) | (1,008,743) | (1,129,186) |
UNITED STATES | |||
Revenue | 5,678,888 | 6,149,883 | 6,317,722 |
AUSTRALIA | |||
Revenue | 20,043 | 64,744 | 23,481 |
CANADA | |||
Revenue | 75,612 | 58,983 | 77,239 |
England [Member] | |||
Revenue | 21,822 | 6,938 | 5,244 |
MEXICO | |||
Revenue | 26,902 | $ 25,288 | 16,640 |
TAIWAN, PROVINCE OF CHINA | |||
Revenue | 29,657 | 25,846 | |
Revenue | 5,852,924 | $ 6,305,836 | 6,466,172 |
Income (Loss) before provision for Income Taxes | $ (122,377) | $ 8,376 | $ 138,805 |
Note 12 - Asset Information (De
Note 12 - Asset Information (Details) - USD ($) | Sep. 30, 2015 | Sep. 30, 2014 |
Indicators and Gauges [Member] | ||
Identifiable Assets | ||
Assets | $ 729,520 | $ 685,198 |
Automotive Diagnostic Tools and Equipment [Member] | ||
Identifiable Assets | ||
Assets | 2,292,737 | 2,199,779 |
Corporate Segment [Member] | ||
Identifiable Assets | ||
Assets | 844,318 | 814,680 |
Assets | $ 3,866,575 | $ 3,699,657 |
Note 14 - Subsequent Events (De
Note 14 - Subsequent Events (Details Textual) - USD ($) | Jan. 08, 2016 | Dec. 30, 2015 | Sep. 30, 2015 | Sep. 30, 2014 |
Roundball LLC [Member] | Subsequent Event [Member] | Director [Member] | Amendment No.4 [Member] | ||||
Working Capital Funding | $ 467,000 | |||
Majority Shareholder [Member] | Subsequent Event [Member] | ||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 250,000 | |||
Debt Instrument, Interest Rate, Stated Percentage | 0.34% | |||
Majority Shareholder [Member] | ||||
Convertible Notes Payable, Current | $ 200,000 | |||
Subsequent Event [Member] | Promissory Note 1 [Member] | Federal Hose [Member] | First Francis [Member] | ||||
Debt Instrument, Face Amount | $ 2,768,662 | |||
Subsequent Event [Member] | Promissory Note 2 [Member] | Federal Hose [Member] | First Francis [Member] | ||||
Debt Instrument, Face Amount | $ 2,000,000 | |||
Subsequent Event [Member] | Federal Hose [Member] | First Francis [Member] | Common Class A [Member] | ||||
Business Acquisition, Equity Interest Issued or Issuable, Number of Shares | 911,250 | |||
Subsequent Event [Member] | Federal Hose [Member] | First Francis [Member] | Common Class B [Member] | ||||
Business Acquisition, Equity Interest Issued or Issuable, Number of Shares | 303,750 | |||
Accrued Expenses [Member] | ||||
Accrued Professional Fees, Current | $ 50,000 | |||
Convertible Notes Payable, Current | ||||
Maximum Unbilled Legal Fees the Company May Be Required to Pay | $ 50,000 |
Note 15 - Business Condition 59
Note 15 - Business Condition and Management Plan (Details Textual) - USD ($) | Dec. 30, 2015 | Sep. 30, 2015 | Sep. 30, 2014 |
Amendment No.4 [Member] | Director [Member] | Roundball LLC [Member] | Subsequent Event [Member] | |||
Working Capital Funding | $ 467,000 | ||
Line of Credit Facility, Current Borrowing Capacity | $ 250,000 | ||
Convertible Notes Payable, Current | $ 200,000 | ||
Amendment No.4 [Member] | Director [Member] | Roundball LLC [Member] | |||
Convertible Notes Payable, Current | $ 200,000 | ||
Convertible Notes Payable, Current |
Note 16 - Summary of Quarterly
Note 16 - Summary of Quarterly Data (Unaudited) (Details) - USD ($) | 3 Months Ended | |||||||||||
Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | |
Revenue, Net | $ 1,794,910 | $ 1,804,614 | $ 1,091,182 | $ 1,162,218 | $ 2,008,715 | $ 2,130,412 | $ 1,116,467 | $ 1,050,242 | $ 1,423,000 | $ 1,339,931 | $ 1,964,338 | $ 1,738,903 |
Gross Profit | 1,132,731 | 807,794 | 381,991 | 362,105 | 780,893 | 1,124,914 | 428,031 | 360,838 | 727,268 | 572,192 | 856,177 | 812,501 |
Net Income (Loss) | $ 315,311 | $ 109,631 | $ (276,663) | $ (270,656) | $ 239,407 | $ 386,911 | $ (297,655) | $ (320,287) | $ 9,347 | $ (133,777) | $ 119,431 | $ 143,804 |
Net Income (Loss) per Common Share, Basic (in dollars per share) | $ 0.19 | $ 0.07 | $ (0.17) | $ (0.17) | $ 0.15 | $ 0.24 | $ (0.18) | $ (0.20) | $ 0.01 | $ (0.08) | $ 0.08 | $ 0.09 |
Net Income (Loss) per Common Share, Diluted (in dollars per share) | $ 0.19 | $ 0.07 | $ (0.17) | $ (0.17) | $ 0.14 | $ 0.23 | $ (0.18) | $ (0.20) | $ 0.01 | $ (0.08) | $ 0.07 | $ 0.09 |
Schedule II - Summary of Valuat
Schedule II - Summary of Valuation and Qualifying Accounts (Details) - USD ($) | 12 Months Ended | |||||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | ||||
Allowance for Doubtful Accounts [Member] | ||||||
Deductions | [1] | $ (3,255) | $ (4,446) | $ 2,049 | ||
Balance at Beginning of Period | 10,000 | 10,000 | 10,000 | |||
Additions Charged to Costs and Expenses | [2] | (3,255) | (4,446) | 2,049 | ||
Balance at End of Period | 10,000 | 10,000 | 10,000 | |||
Inventory Valuation Reserve [Member] | ||||||
Deductions | [3] | 64,955 | 315,897 | 118,107 | ||
Balance at Beginning of Period | 363,500 | 793,000 | 851,000 | |||
Additions Charged to Costs and Expenses | (47,045) | [4] | (113,603) | [4] | 60,107 | |
Balance at End of Period | 251,500 | 363,500 | 793,000 | |||
Warranty Reserves [Member] | ||||||
Deductions | 12,564 | 10,335 | 9,052 | |||
Balance at Beginning of Period | 9 | 89 | 451 | |||
Additions Charged to Costs and Expenses | $ 12,555 | 10,275 | 8,690 | |||
Balance at End of Period | $ 9 | 89 | ||||
Valuation Allowance of Deferred Tax Assets [Member] | ||||||
Deductions | 114,400 | |||||
Balance at Beginning of Period | $ 4,166,700 | $ 4,122,300 | $ 4,236,700 | |||
Additions Charged to Costs and Expenses | 82,200 | 44,400 | ||||
Balance at End of Period | $ 4,248,900 | $ 4,166,700 | $ 4,122,300 | |||
Deductions | ||||||
[1] | Accounts charged off during year as uncollectible. | |||||
[2] | Classified as bad debt expense. | |||||
[3] | Inventory charged off during the year as obsolete. | |||||
[4] | Reduction in inventory obsolescence reserve. |