Document And Entity Information
Document And Entity Information - shares | 3 Months Ended | |
Dec. 31, 2023 | Feb. 14, 2024 | |
Document Information [Line Items] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Dec. 31, 2023 | |
Document Transition Report | false | |
Entity File Number | 001-34941 | |
Entity Registrant Name | REPOSITRAK, INC. | |
Entity Incorporation, State or Country Code | NV | |
Entity Tax Identification Number | 37-1454128 | |
Entity Address, Address Line One | 5282 South Commerce Drive, Suite D292 | |
Entity Address, City or Town | Murray | |
Entity Address, State or Province | UT | |
Entity Address, Postal Zip Code | 84107 | |
City Area Code | 435 | |
Local Phone Number | 645-2000 | |
Title of 12(b) Security | Common stock, par value $0.01 per share | |
Trading Symbol | TRAK | |
Security Exchange Name | NYSE | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding (in shares) | 18,209,501 | |
Entity Central Index Key | 0000050471 | |
Current Fiscal Year End Date | --06-30 | |
Document Fiscal Year Focus | 2024 | |
Document Fiscal Period Focus | Q2 | |
Amendment Flag | false |
Consolidated Condensed Balance
Consolidated Condensed Balance Sheets (Unaudited) - USD ($) | Dec. 31, 2023 | Jun. 30, 2023 |
Current Assets | ||
Cash and cash equivalents | $ 23,253,071 | $ 23,990,879 |
Receivables, net of allowance for doubtful accounts of $219,163 and $170,103 at December 31, 2023 and June 30, 2023, respectively | 3,799,551 | 2,523,019 |
Contract asset – unbilled current portion | 150,180 | 186,959 |
Prepaid expense and other current assets | 366,766 | 573,763 |
Total Current Assets | 27,569,568 | 27,274,620 |
Property and equipment, net | 716,979 | 986,300 |
Other Assets: | ||
Deposits and other assets | 22,414 | 22,414 |
Prepaid expense – less current portion | 8,996 | 36,282 |
Contract asset – unbilled long-term portion | 108,052 | 108,052 |
Operating lease – right-of-use asset | 280,958 | 310,796 |
Goodwill | 20,883,886 | 20,883,886 |
Capitalized software costs, net | 541,450 | 698,281 |
Total Other Assets | 22,042,856 | 22,322,511 |
Total Assets | 50,329,403 | 50,583,431 |
Current liabilities | ||
Accounts payable | 332,306 | 431,387 |
Accrued liabilities | 1,634,620 | 1,620,000 |
Contract liability – deferred revenue | 2,026,565 | 1,903,001 |
Operating lease liability – current | 61,372 | 58,771 |
Notes payable and financing leases – current | 216,542 | 219,262 |
Total current liabilities | 4,271,405 | 4,232,421 |
Long-term liabilities | ||
Operating lease liability – less current portion | 231,830 | 263,047 |
Notes payable and financing leases – less current portion | 83,677 | 206,032 |
Total liabilities | 4,586,912 | 4,701,500 |
Commitments and Contingencies | ||
Stockholders’ equity: | ||
Common Stock, $0.01 par value, 50,000,000 shares authorized; 18,158,730 and 18,309,051 issued and outstanding at December 31, 2023 and June 30, 2023, respectively | 181,590 | 183,093 |
Additional paid-in capital | 65,637,265 | 67,732,887 |
Accumulated other comprehensive loss | (5,904) | 0 |
Accumulated deficit | (20,078,137) | (22,042,427) |
Total stockholders’ equity | 45,742,491 | 45,881,931 |
Total liabilities and stockholders’ equity | 50,329,403 | 50,583,431 |
Series B Preferred Stock [Member] | ||
Stockholders’ equity: | ||
Preferred stock | 6,254 | 6,254 |
Series B-1 Preferred Stock [Member] | ||
Stockholders’ equity: | ||
Preferred stock | 1,423 | 2,124 |
Customer Relationships [Member] | ||
Other Assets: | ||
Customer relationships | $ 197,100 | $ 262,800 |
Consolidated Condensed Balanc_2
Consolidated Condensed Balance Sheets (Unaudited) (Parentheticals) - USD ($) | Dec. 31, 2023 | Jun. 30, 2023 |
Accounts Receivable, Allowance for Credit Loss, Current | $ 219,163 | $ 170,103 |
Preferred Stock, Par or Stated Value Per Share (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred Stock, Shares Authorized (in shares) | 30,000,000 | 30,000,000 |
Preferred Stock, Shares Authorized (in shares) | 30,000,000 | 30,000,000 |
Common Stock, Par or Stated Value Per Share (in dollars per share) | $ 0.01 | $ 0.01 |
Common Stock, Shares Authorized (in shares) | 50,000,000 | 50,000,000 |
Common Stock, Shares, Issued (in shares) | 18,158,730 | 18,309,051 |
Common Stock, Shares, Outstanding, Ending Balance (in shares) | 18,158,730 | 18,309,051 |
Series B Preferred Stock [Member] | ||
Preferred Stock, Shares Authorized (in shares) | 700,000 | 700,000 |
Preferred Stock, Shares Authorized (in shares) | 700,000 | 700,000 |
Preferred Stock, Shares Outstanding (in shares) | 625,375 | 625,375 |
Preferred Stock, Shares Issued (in shares) | 625,375 | 625,375 |
Series B-1 Preferred Stock [Member] | ||
Preferred Stock, Shares Authorized (in shares) | 550,000 | 550,000 |
Preferred Stock, Shares Authorized (in shares) | 550,000 | 550,000 |
Preferred Stock, Shares Outstanding (in shares) | 142,309 | 212,402 |
Preferred Stock, Shares Issued (in shares) | 142,309 | 212,402 |
Consolidated Condensed Statemen
Consolidated Condensed Statements of Operations and Comprehensive Income (Loss) (Unaudited) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | |
Revenue | $ 5,125,751 | $ 4,750,513 | $ 10,185,863 | $ 9,470,990 |
Operating expense: | ||||
Cost of revenue and product support | 973,287 | 866,642 | 1,739,621 | 1,699,346 |
Sales and marketing | 1,264,377 | 1,226,812 | 2,769,878 | 2,427,071 |
General and administrative | 1,347,278 | 1,252,357 | 2,626,601 | 2,475,819 |
Depreciation and amortization | 299,958 | 229,160 | 608,903 | 465,166 |
Total operating expense | 3,884,900 | 3,574,971 | 7,745,003 | 7,067,402 |
Income from operations | 1,240,851 | 1,175,542 | 2,440,860 | 2,403,588 |
Other income (expense): | ||||
Interest income | 316,445 | 199,266 | 574,606 | 278,358 |
Interest expense | (7,576) | (18,058) | (13,920) | (42,710) |
Unrealized gain (loss) on short term investments | 15,456 | (31,406) | 42,642 | (38,821) |
Other gain (loss) | 0 | 0 | 0 | 70,047 |
Income before income taxes | 1,565,176 | 1,325,344 | 3,044,188 | 2,670,462 |
(Provision) for income taxes: | (114,027) | (60,000) | (214,491) | (120,006) |
Net income | 1,451,149 | 1,265,344 | 2,829,697 | 2,550,456 |
Dividends on preferred stock | (146,611) | (146,611) | (293,222) | (293,222) |
Net income applicable to common shareholders | $ 1,304,538 | $ 1,118,733 | $ 2,536,475 | $ 2,257,234 |
Weighted average shares, basic (in shares) | 18,162,000 | 18,402,000 | 18,193,000 | 18,419,000 |
Weighted average shares, diluted (in shares) | 18,805,000 | 18,630,000 | 18,822,000 | 18,678,000 |
Basic income per share (in dollars per share) | $ 0.07 | $ 0.06 | $ 0.14 | $ 0.12 |
Diluted income per share (in dollars per share) | $ 0.07 | $ 0.06 | $ 0.14 | $ 0.12 |
Other comprehensive income (loss) Net income | $ 1,451,149 | $ 1,265,344 | $ 2,829,697 | $ 2,550,456 |
Unrealized loss on available-for-sale securities | (5,904) | 0 | (5,904) | 0 |
Total comprehensive income (loss) | $ 1,445,245 | $ 1,265,344 | $ 2,823,793 | $ 2,550,456 |
Consolidated Condensed Statem_2
Consolidated Condensed Statements of Cash Flows (Unaudited) - USD ($) | 6 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Cash flows from operating activities: | ||
Other comprehensive income (loss) Net income | $ 2,829,697 | $ 2,550,456 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization | 608,903 | 465,166 |
Amortization of operating right of use asset | 29,838 | 28,450 |
Stock compensation expense | 171,373 | 209,869 |
Bad debt expense | 150,000 | 300,000 |
(Increase) decrease in: | ||
Accounts receivables | (1,389,753) | 247,507 |
Long-term receivables, prepaids and other assets | 127,755 | 21,431 |
Accounts payable | (99,081) | (300,930) |
Operating lease liability | (28,616) | (26,172) |
Accrued liabilities | (71,733) | (207,025) |
Deferred revenue | 123,564 | 11,240 |
Net cash provided by operating activities | 2,451,947 | 3,299,992 |
Cash flows from investing activities: | ||
Purchase of property and equipment | (10,523) | (270,854) |
Purchase of marketable securities | 5,904 | 0 |
Net cash provided by (used in) investing activities | (16,427) | (270,854) |
Cash flows from financing activities: | ||
Net (decrease) increase in lines of credit | 0 | (2,142,165) |
Common stock buy-back/retirement | (1,515,574) | (551,923) |
Redemption of series B-1 preferred | (749,995) | 0 |
Proceeds from employee stock plan | 57,743 | 48,903 |
Dividends paid | (840,427) | (570,511) |
Payments on notes payable and capital leases | (125,075) | 125,865 |
Net cash used in financing activities | (3,173,328) | (3,089,831) |
Net increase (decrease) in cash and cash equivalents | (737,808) | (60,693) |
Cash and cash equivalents at beginning of period | 23,990,879 | 21,460,948 |
Cash and cash equivalents at end of period | 23,253,071 | 21,400,255 |
Supplemental Disclosure of Cash Flow Information | ||
Cash paid for income taxes | 317,944 | 264,486 |
Cash paid for interest | 6,434 | 40,446 |
Cash paid for operating leases | 36,282 | 35,226 |
Supplemental Disclosure of Non-Cash Investing and Financing Activities | ||
Dividends accrued on preferred stock | 293,222 | 293,222 |
Common Stock to Pay Accrued Liabilities [Member] | ||
Supplemental Disclosure of Non-Cash Investing and Financing Activities | ||
Common stock to pay accrued liabilities | $ 110,000 | $ 152,195 |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity (Deficit) (Unaudited) - USD ($) | Series B Preferred Stock [Member] Preferred Stock [Member] | Series B-1 Preferred Stock [Member] Preferred Stock [Member] | Series B-1 Preferred Stock [Member] | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | AOCI Attributable to Parent [Member] | Total | ||
Balance (in shares) at Jun. 30, 2022 | 625,375 | 212,402 | 18,460,538 | |||||||
Balance at Jun. 30, 2022 | $ 6,254 | $ 2,124 | $ 184,608 | $ 68,653,361 | $ (25,943,287) | $ 0 | $ 42,903,060 | |||
Accrued compensation (in shares) | 15,603 | 0 | ||||||||
Accrued compensation | $ 156 | 76,717 | 0 | 76,873 | ||||||
Employee stock plan (in shares) | 13,064 | |||||||||
Employee stock plan | $ 131 | 48,772 | 0 | $ 0 | 48,903 | |||||
Stock buyback (in shares) | (20,859) | |||||||||
Stock buyback | $ (209) | (103,448) | 0 | 0 | (103,657) | |||||
Preferred Dividends-Declared | 0 | 0 | (146,611) | 0 | (146,611) | |||||
Common Stock Dividends-Declared | 0 | 0 | (277,162) | 0 | (277,162) | |||||
Other comprehensive income (loss) Net income | $ 0 | 0 | 1,285,112 | 0 | 1,285,112 | |||||
Balance (in shares) at Sep. 30, 2022 | 625,375 | 212,402 | 18,468,346 | |||||||
Balance at Sep. 30, 2022 | $ 6,254 | $ 2,124 | $ 184,686 | 68,675,402 | (25,081,948) | 0 | 43,786,518 | |||
Balance (in shares) at Jun. 30, 2022 | 625,375 | 212,402 | 18,460,538 | |||||||
Balance at Jun. 30, 2022 | $ 6,254 | $ 2,124 | $ 184,608 | 68,653,361 | (25,943,287) | 0 | 42,903,060 | |||
Other comprehensive income (loss) Net income | 2,550,456 | |||||||||
Balance (in shares) at Dec. 31, 2022 | 625,375 | 212,402 | 18,394,296 | |||||||
Balance at Dec. 31, 2022 | $ 6,254 | $ 2,124 | $ 183,945 | 68,303,199 | (24,239,129) | 0 | 44,256,393 | |||
Balance (in shares) at Sep. 30, 2022 | 625,375 | 212,402 | 18,468,346 | |||||||
Balance at Sep. 30, 2022 | $ 6,254 | $ 2,124 | $ 184,686 | 68,675,402 | (25,081,948) | $ 0 | 43,786,518 | |||
Accrued compensation (in shares) | 0 | 0 | 14,691 | 0 | ||||||
Accrued compensation | $ 0 | $ 0 | $ 147 | 75,175 | 0 | 75,322 | ||||
Stock buyback (in shares) | 0 | 0 | (88,741) | |||||||
Stock buyback | $ 0 | $ 0 | $ (888) | (447,378) | 0 | $ 0 | (448,266) | |||
Preferred Dividends-Declared | 0 | 0 | 0 | 0 | (146,611) | 0 | (146,611) | |||
Common Stock Dividends-Declared | 0 | 0 | (275,914) | 0 | (275,914) | |||||
Other comprehensive income (loss) Net income | $ 0 | $ 0 | $ 0 | 0 | 1,265,344 | 0 | 1,265,344 | |||
Balance (in shares) at Dec. 31, 2022 | 625,375 | 212,402 | 18,394,296 | |||||||
Balance at Dec. 31, 2022 | $ 6,254 | $ 2,124 | $ 183,945 | 68,303,199 | (24,239,129) | 0 | 44,256,393 | |||
Balance (in shares) at Jun. 30, 2023 | 625,375 | 212,402 | 18,309,051 | |||||||
Balance at Jun. 30, 2023 | $ 6,254 | $ 2,124 | $ 183,093 | 67,732,887 | (22,042,427) | 0 | 45,881,931 | |||
Accrued compensation (in shares) | 3,716 | |||||||||
Accrued compensation | $ 37 | 37,463 | 0 | 0 | 37,500 | |||||
Employee stock plan (in shares) | 13,326 | |||||||||
Employee stock plan | $ 133 | 57,610 | 0 | 0 | $ 57,743 | |||||
Stock buyback (in shares) | (155,025) | (155,025) | ||||||||
Stock buyback | $ (1,550) | (1,320,532) | 0 | 0 | $ (1,322,082) | |||||
Preferred Dividends-Declared | 0 | 0 | (146,611) | 0 | (146,611) | |||||
Common Stock Dividends-Declared | 0 | 0 | (272,566) | 0 | (272,566) | |||||
Other comprehensive income (loss) Net income | $ 0 | 0 | 1,378,548 | 0 | 1,378,548 | |||||
Balance (in shares) at Sep. 30, 2023 | 625,375 | 212,402 | 18,171,068 | |||||||
Balance at Sep. 30, 2023 | $ 6,254 | $ 2,124 | $ 181,713 | 66,507,428 | (21,083,056) | 0 | 45,614,463 | |||
Balance (in shares) at Jun. 30, 2023 | 625,375 | 212,402 | 18,309,051 | |||||||
Balance at Jun. 30, 2023 | $ 6,254 | $ 2,124 | $ 183,093 | 67,732,887 | (22,042,427) | 0 | 45,881,931 | |||
Other comprehensive income (loss) Net income | $ 2,829,697 | |||||||||
Preferred stock redemption (in shares) | (70,093) | |||||||||
Balance (in shares) at Dec. 31, 2023 | 625,375 | 142,309 | 18,158,730 | |||||||
Balance at Dec. 31, 2023 | $ 6,254 | $ 1,423 | $ 181,590 | 65,637,265 | (20,078,137) | (5,904) | $ 45,742,491 | |||
Balance (in shares) at Sep. 30, 2023 | 625,375 | 212,402 | 18,171,068 | |||||||
Balance at Sep. 30, 2023 | $ 6,254 | $ 2,124 | $ 181,713 | 66,507,428 | (21,083,056) | 0 | 45,614,463 | |||
Accrued compensation (in shares) | 0 | 0 | 9,674 | |||||||
Accrued compensation | $ 0 | $ 0 | $ 97 | 72,403 | 0 | 0 | 72,500 | |||
Employee stock plan (in shares) | 0 | 0 | 0 | |||||||
Employee stock plan | $ 0 | $ 0 | $ 0 | 0 | 0 | 0 | $ 0 | |||
Stock buyback (in shares) | 0 | 0 | (22,012) | (22,012) | [1] | |||||
Stock buyback | $ 0 | $ 0 | $ (220) | (193,272) | 0 | 0 | $ (193,492) | |||
Preferred Dividends-Declared | 0 | 0 | 0 | 0 | (146,611) | 0 | (146,611) | |||
Common Stock Dividends-Declared | 0 | 0 | (299,619) | 0 | (299,619) | |||||
Other comprehensive income (loss) Net income | $ 0 | $ 0 | $ 0 | 0 | 1,451,149 | 0 | 1,451,149 | |||
Preferred stock redemption (in shares) | (70,093) | (70,093) | [2] | |||||||
Preferred stock redemption | $ (701) | $ (749,995) | (749,294) | 0 | 0 | (749,995) | ||||
Other comprehensive income (loss) | 0 | (5,904) | (5,904) | |||||||
Balance (in shares) at Dec. 31, 2023 | 625,375 | 142,309 | 18,158,730 | |||||||
Balance at Dec. 31, 2023 | $ 6,254 | $ 1,423 | $ 181,590 | $ 65,637,265 | $ (20,078,137) | $ (5,904) | $ 45,742,491 | |||
[1]We close our books and records on the last calendar day of each month to align our financial closing with our business processes.[2]We close our books and records on the last calendar day of each month to align our financial closing with our business processes. |
Note 1 - Overview of Operations
Note 1 - Overview of Operations and Basis for Presentation | 3 Months Ended |
Dec. 31, 2023 | |
Notes to Financial Statements | |
Business Description and Basis of Presentation [Text Block] | REPOSITRAK, INC. NOTES TO CONSOLIDATED CONDENSED FINANCIAL STATEMENTS (Unaudited) NOTE 1. OVERVIEW OF OPERATIONS AND BASIS FOR PRESENTATION Overview ReposiTrak, Inc., a Nevada corporation (“ ReposiTrak We us Company SaaS B2B The Company’s services are grouped in three application suites: 1. ReposiTrak Compliance Management Compliance FSMA 2. ReposiTrak Traceability Network Traceability or RTN KDEs 3. ReposiTrak Supply Chain Solutions Supply Chain The Company’s services are delivered though proprietary software products designed, developed, marketed, and supported by the Company. These products provide visibility and facilitate improved business processes among all key constituents in the supply chain, starting with the retailer and moving backwards to suppliers and eventually to raw material providers. The Company provides cloud-based applications and services that address e-commerce, supply chain, food safety, compliance and traceability activities. The principal customers for the Company’s products are household name multi-store food retail chains and restaurants including their suppliers, branded food manufacturers, food wholesalers and distributors, and other food service businesses. The Company has a hub and spoke business model. The Company is typically engaged by retailers and wholesalers (“ Hubs Spokes On December 21, 2023, the Company effected a change of its corporate name from Park City Group, Inc. to ReposiTrak, Inc. The Company is incorporated in the State of Nevada and has two principal subsidiaries: PC Group, Inc., a Utah corporation (98.76% owned) (“ PCG Utah PCG Delaware Subsidiaries The Company’s principal executive offices are located at 5282 South Commerce Drive, Suite D292, Murray, Utah 84107. Its telephone number is (435) 645-2000. Its website address is www.repositrak.com. Basis of Financial Statement Presentation The interim financial information of the Company as of December 31, 2023 and for the three and six months ended December 31, 2023 is unaudited, and the balance sheet as of June 30, 2023 is derived from audited financial statements. The accompanying condensed consolidated financial statements have been prepared in accordance with United States generally accepted accounting principles (" U.S. GAAP |
Note 2 - Significant Accounting
Note 2 - Significant Accounting Policies | 3 Months Ended |
Dec. 31, 2023 | |
Notes to Financial Statements | |
Significant Accounting Policies [Text Block] | NOTE 2. SIGNIFICANT ACCOUNTING POLICIES Principles of Consolidation The financial statements presented herein reflect the consolidated financial position of ReposiTrak, Inc. and our subsidiaries. All inter-company transactions and balances have been eliminated in consolidation. Use of Estimates The preparation of consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that materially affect the amounts reported in the consolidated financial statements. Actual results could differ from these estimates. The methods, estimates, and judgments the Company uses in applying its most critical accounting policies have a significant impact on the results it reports in its financial statements. The U.S. Securities and Exchange Commission (“ SEC Revenue Recognition The Company recognizes revenue as it transfers control of deliverables (products, solutions and services) to its customers in an amount reflecting the consideration to which it expects to be entitled. To recognize revenue, the Company applies the following five step approach: (1) identify the contract with a customer; (2) identify the performance obligations in the contract; (3) determine the transaction price; (4) allocate the transaction price to the performance obligations in the contract; and (5) recognize revenue when a performance obligation is satisfied. The Company accounts for a contract based on the terms and conditions the parties agree to, if the contract has commercial substance and if collectability of consideration is probable. The Company applies judgment in determining the customer’s ability and intention to pay, which is based on a variety of factors including the customer’s historical payment experience. The Company may enter into arrangements that consist of multiple performance obligations. Such arrangements may include any combination of its deliverables. To the extent a contract includes multiple promised deliverables, the Company applies judgment to determine whether promised deliverables are capable of being distinct and are distinct in the context of the contract. If these criteria are not met, the promised deliverables are accounted for as a combined performance obligation. For arrangements with multiple distinct performance obligations, the Company allocates consideration among the performance obligations based on their relative standalone selling price. Standalone selling price is the price at which the Company would sell a promised good or service separately to the customer. When not directly observable, the Company typically estimates standalone selling price by using the expected cost plus a margin approach. The Company typically establishes a standalone selling price range for its deliverables, which is reassessed on a periodic basis or when facts and circumstances change. For performance obligations where control is transferred over time, revenue is recognized based on the extent of progress towards completion of the performance obligation. The selection of the method to measure progress towards completion requires judgment and is based on the nature of the deliverables to be provided. Revenue related to fixed-price contracts for application development and systems integration services, consulting or other technology services is recognized as the service is performed using the output method, under which the total value of revenue is recognized based on each contract’s deliverable(s) as they are completed and when value is transferred to a customer. Revenue related to fixed-price application maintenance, testing and business process services is recognized based on our right to invoice for services performed for contracts in which the invoicing is representative of the value being delivered, in accordance with the practical expedient in FASB ASC Topic 606, Revenue from Contracts with Customers Topic 606 ASC 606-10-55-18 If the Company’s invoicing is not consistent with the value delivered, revenue is recognized as the service is performed based on the method described above. The output method measures the results achieved and value transferred to a customer, which is updated as the project progresses to reflect the latest available information; such estimates and changes in estimates involve the use of judgment. The cumulative impact of any revision in estimates is reflected in the financial reporting period in which the change in estimate becomes known and any anticipated losses on contracts are recognized immediately. Revenue related to fixed-price hosting and infrastructure services is recognized based on the Company’s right to invoice for services performed for contracts in which the invoicing is representative of the value being delivered, in accordance with the practical expedient in ASC 606-10-55-18. If the Company’s invoicing is not consistent with value delivered, revenue is recognized on a straight-line basis unless revenue is earned and obligations are fulfilled in a different pattern. The revenue recognition method applied to the types of contracts described above provides the most faithful depiction of performance towards satisfaction of the Company’s performance obligations. Revenue related to the Company’s software license arrangements that do not require significant modification or customization of the underlying software is recognized when the software is delivered as control is transferred at a point in time. For software license arrangements that require significant functionality enhancements or modification of the software, revenue for the software license and related services is recognized as the services are performed in accordance with the methods described above. In software hosting arrangements, the rights provided to the customer, such as ownership of a license, contract termination provisions and the feasibility of the client to operate the software, are considered in determining whether the arrangement includes a license or a service. Revenue related to software maintenance and support is generally recognized on a straight-line basis over the contract period. Management expects that incremental commission fees paid as a result of obtaining a contract are recoverable and therefore the Company capitalized them as contract costs. The Company recognizes the incremental costs of obtaining contracts as an expense when incurred if the amortization period of the asset that the Company otherwise would have recognized is one year or less. Revenue related to transaction-based or volume-based contracts is recognized over the period the services are provided in a manner that corresponds with the value transferred to the customer to-date relative to the remaining services to be provided. From time to time, the Company may enter into arrangements with third party suppliers to resell products or services. In such cases, the Company evaluates whether the Company is the principal (i.e., report revenue on a gross basis) or agent (i.e., report revenue on a net basis). In doing so, the Company first evaluates whether it controls the good or service before it is transferred to the customer. If the Company controls the good or service before it is transferred to the customer, the Company is the principal; if not, the Company is the agent. Determining whether the Company controls the good or service before it is transferred to the customer may require judgment. The Company provides customers with assurance that the related deliverable will function as the parties intended because it complies with agreed-upon specifications. General updates or patch fixes are not considered an additional performance obligation in the contract. Variable consideration is estimated using either the sum of probability weighted amounts in a range of possible consideration amounts (expected value), or the single most likely amount in a range of possible consideration amounts (most likely amount), depending on which method better predicts the amount of consideration to which we may be entitled. The Company includes in the transaction price variable consideration only to the extent it is probable that a significant reversal of revenue recognized will not occur when the uncertainty associated with the variable consideration is resolved. The Company’s estimates of variable consideration and determination of whether to include estimated amounts in the transaction price may involve judgment and is based largely on an assessment of its anticipated performance and all information that is reasonably available to the Company. The Company assesses the timing of the transfer of goods or services to the customer as compared to the timing of payments to determine whether a significant financing component exists. As a practical expedient, the Company does not assess the existence of a significant financing component when the difference between payment and transfer of deliverables is a year or less. If the difference in timing arises for reasons other than the provision of finance to either the customer or us, no financing component is deemed to exist. The primary purpose of the Company’s invoicing terms is to provide customers with simplified and predictable ways of purchasing its services, not to receive or provide financing from or to customers. The Company does not consider set up or transition fees paid upfront by its customers to represent a financing component, as such fees are required to encourage customer commitment to the project and protect us from early termination of the contract. Trade Accounts Receivable and Contract Balances We classify our right to consideration in exchange for deliverables as either a receivable or a contract asset (unbilled receivable). A receivable is a right to consideration that is unconditional (i.e. only the passage of time is required before payment is due). For example, we recognize a receivable for revenue related to our transaction or volume-based contracts when earned regardless of whether amounts have been billed. We present such receivables in trade accounts receivable, net in our consolidated statements of financial position at their net estimated realizable value. We maintain an allowance for doubtful accounts to provide for the estimated amount of receivables that may not be collected. The allowance is based upon an assessment of customer creditworthiness, historical payment experience, the age of outstanding receivables, judgment, and other applicable factors. A contract asset is a right to consideration that is conditional upon factors other than the passage of time. Contract assets are presented in current and other assets in our consolidated balance sheets and primarily relate to unbilled amounts on fixed-price contracts utilizing the output method of revenue recognition. The table below shows movements in contract assets: Contract assets Balance – June 30, 2023 $ 295,011 Revenue recognized during the period but not billed - Amounts reclassified to accounts receivable (10,000 ) Other (26,779 ) Balance – December 31, 2023 $ 258,232 (1) (1) Contract asset balances for December 31, 2023 include a current and a long-term contract asset of $150,180 and $108,052, respectively. Our contract assets and liabilities are reported at the end of each reporting period. The difference between the opening and closing balances of our contract assets and deferred revenue primarily results from the timing difference between our performance obligations and the customer’s payment. We receive payments from customers based on the terms established in our contracts, which may vary generally by contract type. The table below shows movements in the deferred revenue balances (current and noncurrent) for the period: Contract liability Balance – June 30, 2023 $ 1,903,001 Amounts billed but not recognized as revenue 885,218 Revenue recognized related to the opening balance of deferred revenue (761,654 ) Balance – December 31, 2023 $ 2,026,565 Our contract assets and liabilities are reported in a net position on a contract-by-contract basis at the end of each reporting period. The difference between the opening and closing balances of our contract assets and deferred revenue primarily results from the timing difference between our performance obligations and the customer’s payment. We receive payments from customers based on the terms established in our contracts, which may vary generally by contract type. Disaggregation of Revenue The table below presents disaggregated revenue from contracts with customers by contract-type. We believe this disaggregation best depicts the nature, amount, timing and uncertainty of our revenue and cash flows that may be affected by industry, market, and other economic factors: Three Months Ended Six Months Ended December 31, December 31, 2023 2022 2023 2022 Recurring revenue – subscription and support services $ 5,124,751 $ 4,743,216 $ 10,171,436 $ 9,421,193 Non-recurring revenue – setup and training services 1,000 7,297 14,427 49,797 $ 5,125,751 $ 4,750,513 $ 10,185,863 $ 9,470,990 Earnings Per Share Basic net income per share of Common Stock (“ Basic EPS Diluted EPS For the three and six months ended December 31, 2023 and 2022, warrants to purchase 23,737 shares of our common stock at an exercise price of $10.00 per share were anti-dilutive and not included in the computation of diluted earnings per share because the exercise price of the options was greater than the average price of common stock for the quarter. The following table presents the components of the computation of basic and diluted earnings per share for the periods indicated: Three Months Ended Six Months Ended December 31, December 31, 2023 2022 2023 2022 Numerator Net income applicable to common shareholders $ 1,304,538 $ 1,118,733 $ 2,536,475 $ 2,257,234 Denominator Weighted average common shares outstanding, basic 18,162,000 18,402,000 18,193,000 18,419,000 Warrants to purchase Common Stock 643,000 228,000 629,000 259,000 Weighted average common shares outstanding, diluted 18,805,000 18,630,000 18,822,000 18,678,000 Net income per share Basic $ 0.07 $ 0.06 $ 0.14 $ 0.12 Diluted $ 0.07 $ 0.06 $ 0.14 $ 0.12 Reclassifications Certain prior year amounts have been reclassified to conform with the current year’s presentation. These reclassifications have no impact on the previously reported results. |
Note 3 - Equity
Note 3 - Equity | 3 Months Ended |
Dec. 31, 2023 | |
Notes to Financial Statements | |
Equity [Text Block] | NOTE 3. EQUITY Restricted Stock Units Restricted Stock Units Weighted Average ($/share) Outstanding at June 30, 2023 907,451 $ 5.30 Granted 13,010 9.99 Vested and issued (5,945 ) 5.89 Forfeited - - Outstanding at December 31, 2023 914,516 $ 5.36 As of December 31, 2023, there were 40,837 restricted stock units outstanding that had vested but for which shares of Common Stock had not yet been issued pursuant to the terms of the applicable agreement. As of December 31, 2023, there was approximately $4.9 million of unrecognized stock-based compensation obligations under our equity compensation plans. The stock-based compensation obligation is in connection with certain employment agreements which have a deferral option at the Board’s discretion. At the end of the deferral period, the stock-based compensation expense associated with the obligation is expected to be recognized on a straight-line basis over a period of three Warrants Outstanding warrants were issued in connection with private placements of the Company’s Common Stock and with the restructuring of the Series B Preferred that occurred in March of 2018. The following table summarizes information about fixed stock warrants outstanding at December 31, 2023: Warrants Outstanding at December 31, 2023 Warrants Exercisable at December 31, 2023 Range of exercise prices Number Outstanding Weighted average remaining life (years) Weighted average exercise price Number exercisable Weighted average exercise price $ 4.00 1,085,068 2.10 $ 4.00 1,085,068 $ 4.00 $ 10.00 23,737 2.07 $ 10.00 23,737 $ 10.00 1,108,805 2.10 $ 4.13 1,108,805 $ 4.13 During the quarter ended March 31, 2023, the Company’s Board of Directors approved the modification to extend the expiration dates of the Company’s existing January 26, 2023 and February 5, 2023 warrants by an additional three years. Accordingly, all the Company’s outstanding warrants have been extended and are anticipated to expire or be exercised on or before the quarter ending March 31, 2026. Preferred Stock The Company’s articles of incorporation currently authorize the issuance of up to 30,000,000 shares of ‘blank check’ preferred stock, par value $0.01 (“ Preferred Stock Series B Preferred Series B-1 Preferred Preferred Redemption Section 4 of the Company’s First Amended and Restated Certificate of Designation of the Relative Rights, Powers and Preferences of the Series B-1 Preferred Stock, as amended (the “ Series B-1 COD Redemption Notice On August 29, 2023, the Board approved the redemption and retirement of its Series B Preferred and Series B-1 Preferred for their stated value, or $10.70 for each share of Preferred Stock, resulting in an aggregate purchase price of $8,964,214 (the “ Preferred Redemption As of December 31, 2023, a total of 625,375 shares of Series B Preferred and 142,309 shares of Series B-1 Preferred were issued and outstanding. The following table provides information about the redemption of the Series B Preferred and Series B-1 Preferred during the six months ended December 31, 2023: Series B Preferred and Series B-1 Preferred Period (1) Total Price Paid Dollars Expended by Period under the Preferred Redemption Remaining July 1, 2023 – September 30, 2023: - $ 10.70 $ - $ 8,964,214 October 1, 2023 – December 31, 2023: 70,093 $ 10.70 $ 749,995 $ 8,214,219 Total 70,093 $ 749,995 $ 8,214,219 (1) We close our books and records on the last calendar day of each month to align our financial closing with our business processes. On August 29, 2023, the Board approved the redemption and retirement of its Series B Preferred and Series B-1 Preferred for their stated value, or $10.70 for each share of Preferred Stock, resulting in an aggregate purchase price of $8,964,214 (the “ Preferred Redemption The following table provides information about the redemption and retirement of the Series B Preferred and Series B-1 Preferred during the three months ended December 31, 2023: Series B Preferred Period (1) Total Price Paid Dollars Expended by Period under the Preferred Redemption Remaining Redemption October 1, 2023 – December 31, 2023: - $ 10.70 $ - $ 6,691,513 Total - $ - $ 6,691,513 Series B-1 Preferred Period (1) Total Price Paid Dollars Expended by Period under the Preferred Redemption Remaining Redemption October 1, 2023 – December 31, 2023: 70,093 $ 10.70 $ 749,995 $ 1,522,706 Total 70,093 $ 749,995 $ 1,522,706 (1) We close our books and records on the last calendar day of each month to align our financial closing with our business processes. Share Repurchase Program On May 9, 2019, our Board of Directors approved the repurchase of up to $4.0 million in shares of our Common Stock, which repurchases may be made in privately negotiated transactions or in the open market at prices per share not exceeding the then-current market prices (the “ Share Repurchase Program On March 17, 2020, the Board, given the extreme uncertainty due to COVID-19 at the time, suspended the Share Repurchase Program. On May 18, 2021, our Board of Directors resumed its Share Repurchase Program, and increased the number of shares of Common Stock available to repurchase under the Share Repurchase Program by an additional $4 million bringing the total number of Common Stock authorized to repurchase under the Share Repurchase Program to $8.0 million. On August 31, 2021, our Board of Directors approved a further increase to its Share Repurchase program to $12.0 million in shares of our Common Stock which added an additional $4 million to the Share Repurchase Program. On May 10, 2022, our Board of Directors approved an increase of $9.0 million in the number of shares of Common Stock available to repurchase under the Share Repurchase Program. Since inception of the Share Repurchase Program through December 31, 2023, a total of $21,000,000 in shares of Common Stock have been approved under the Share Repurchase Program, and 2,122,703 shares of Common Stock have been repurchased at an average purchase price of $6.13, resulting in $7,992,206 remaining available to repurchase under the current Share Repurchase Program. From time-to-time, our Board of Directors may authorize further increases to our Share Repurchase Program. In addition, the Share Repurchase Program may also be suspended for periods of time or discontinued at any time, at the Board’s discretion. The following table provides information about repurchases of our Common Stock registered pursuant to Section 12 of the Exchange Act, during the three months ended December 31, 2023: Period (1) Total Average Dollars Expended by Period Under the Plans or Remaining July 1, 2023 – September 30, 2023 155,025 $ 8.53 $ 1,322,082 $ 8,185,698 October 1, 2023 – December 31, 2023: 22,012 $ 8.79 $ 193,492 $ 7,992,206 (1) We close our books and records on the last calendar day of each month to align our financial closing with our business processes. |
Note 4 - Related Party Transact
Note 4 - Related Party Transactions | 3 Months Ended |
Dec. 31, 2023 | |
Notes to Financial Statements | |
Related Party Transactions Disclosure [Text Block] | NOTE 4. RELATED PARTY TRANSACTIONS During the six months ended December 31, 2023, the Company continued to be a party to a service agreement (the “ Service Agreement FMI no During the six months ended December 31, 2023, the Company, the Company redeemed and retired $749,995 in Series B-1 Preferred from Mr. Randall K. Fields, affiliates of Mr. Fields, and Robert W. Allen. Mr. Allen is a director of the Company. |
Note 5 - Recent Accounting Pron
Note 5 - Recent Accounting Pronouncements | 3 Months Ended |
Dec. 31, 2023 | |
Notes to Financial Statements | |
Accounting Standards Update and Change in Accounting Principle [Text Block] | NOTE 5. RECENT ACCOUNTING PRONOUNCEMENTS The Company has reviewed newly issued accounting pronouncements and concluded that they are either not applicable to its business or that no material effect is expected on its consolidated condensed financial statements as a result of future adoption. |
Note 6 - Subsequent Events
Note 6 - Subsequent Events | 3 Months Ended |
Dec. 31, 2023 | |
Notes to Financial Statements | |
Subsequent Events [Text Block] | NOTE 6. SUBSEQUENT EVENTS In accordance with the Subsequent Events Topic of the FASB ASC 855, we have evaluated subsequent events through the filing date and determined that no subsequent events occurred that were reasonably expected to impact the consolidated condensed financial statements presented herein. |
Significant Accounting Policies
Significant Accounting Policies (Policies) | 3 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
Consolidation, Policy [Policy Text Block] | Principles of Consolidation The financial statements presented herein reflect the consolidated financial position of ReposiTrak, Inc. and our subsidiaries. All inter-company transactions and balances have been eliminated in consolidation. |
Use of Estimates, Policy [Policy Text Block] | Use of Estimates The preparation of consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that materially affect the amounts reported in the consolidated financial statements. Actual results could differ from these estimates. The methods, estimates, and judgments the Company uses in applying its most critical accounting policies have a significant impact on the results it reports in its financial statements. The U.S. Securities and Exchange Commission (“ SEC |
Revenue [Policy Text Block] | Revenue Recognition The Company recognizes revenue as it transfers control of deliverables (products, solutions and services) to its customers in an amount reflecting the consideration to which it expects to be entitled. To recognize revenue, the Company applies the following five step approach: (1) identify the contract with a customer; (2) identify the performance obligations in the contract; (3) determine the transaction price; (4) allocate the transaction price to the performance obligations in the contract; and (5) recognize revenue when a performance obligation is satisfied. The Company accounts for a contract based on the terms and conditions the parties agree to, if the contract has commercial substance and if collectability of consideration is probable. The Company applies judgment in determining the customer’s ability and intention to pay, which is based on a variety of factors including the customer’s historical payment experience. The Company may enter into arrangements that consist of multiple performance obligations. Such arrangements may include any combination of its deliverables. To the extent a contract includes multiple promised deliverables, the Company applies judgment to determine whether promised deliverables are capable of being distinct and are distinct in the context of the contract. If these criteria are not met, the promised deliverables are accounted for as a combined performance obligation. For arrangements with multiple distinct performance obligations, the Company allocates consideration among the performance obligations based on their relative standalone selling price. Standalone selling price is the price at which the Company would sell a promised good or service separately to the customer. When not directly observable, the Company typically estimates standalone selling price by using the expected cost plus a margin approach. The Company typically establishes a standalone selling price range for its deliverables, which is reassessed on a periodic basis or when facts and circumstances change. For performance obligations where control is transferred over time, revenue is recognized based on the extent of progress towards completion of the performance obligation. The selection of the method to measure progress towards completion requires judgment and is based on the nature of the deliverables to be provided. Revenue related to fixed-price contracts for application development and systems integration services, consulting or other technology services is recognized as the service is performed using the output method, under which the total value of revenue is recognized based on each contract’s deliverable(s) as they are completed and when value is transferred to a customer. Revenue related to fixed-price application maintenance, testing and business process services is recognized based on our right to invoice for services performed for contracts in which the invoicing is representative of the value being delivered, in accordance with the practical expedient in FASB ASC Topic 606, Revenue from Contracts with Customers Topic 606 ASC 606-10-55-18 If the Company’s invoicing is not consistent with the value delivered, revenue is recognized as the service is performed based on the method described above. The output method measures the results achieved and value transferred to a customer, which is updated as the project progresses to reflect the latest available information; such estimates and changes in estimates involve the use of judgment. The cumulative impact of any revision in estimates is reflected in the financial reporting period in which the change in estimate becomes known and any anticipated losses on contracts are recognized immediately. Revenue related to fixed-price hosting and infrastructure services is recognized based on the Company’s right to invoice for services performed for contracts in which the invoicing is representative of the value being delivered, in accordance with the practical expedient in ASC 606-10-55-18. If the Company’s invoicing is not consistent with value delivered, revenue is recognized on a straight-line basis unless revenue is earned and obligations are fulfilled in a different pattern. The revenue recognition method applied to the types of contracts described above provides the most faithful depiction of performance towards satisfaction of the Company’s performance obligations. Revenue related to the Company’s software license arrangements that do not require significant modification or customization of the underlying software is recognized when the software is delivered as control is transferred at a point in time. For software license arrangements that require significant functionality enhancements or modification of the software, revenue for the software license and related services is recognized as the services are performed in accordance with the methods described above. In software hosting arrangements, the rights provided to the customer, such as ownership of a license, contract termination provisions and the feasibility of the client to operate the software, are considered in determining whether the arrangement includes a license or a service. Revenue related to software maintenance and support is generally recognized on a straight-line basis over the contract period. Management expects that incremental commission fees paid as a result of obtaining a contract are recoverable and therefore the Company capitalized them as contract costs. The Company recognizes the incremental costs of obtaining contracts as an expense when incurred if the amortization period of the asset that the Company otherwise would have recognized is one year or less. Revenue related to transaction-based or volume-based contracts is recognized over the period the services are provided in a manner that corresponds with the value transferred to the customer to-date relative to the remaining services to be provided. From time to time, the Company may enter into arrangements with third party suppliers to resell products or services. In such cases, the Company evaluates whether the Company is the principal (i.e., report revenue on a gross basis) or agent (i.e., report revenue on a net basis). In doing so, the Company first evaluates whether it controls the good or service before it is transferred to the customer. If the Company controls the good or service before it is transferred to the customer, the Company is the principal; if not, the Company is the agent. Determining whether the Company controls the good or service before it is transferred to the customer may require judgment. The Company provides customers with assurance that the related deliverable will function as the parties intended because it complies with agreed-upon specifications. General updates or patch fixes are not considered an additional performance obligation in the contract. Variable consideration is estimated using either the sum of probability weighted amounts in a range of possible consideration amounts (expected value), or the single most likely amount in a range of possible consideration amounts (most likely amount), depending on which method better predicts the amount of consideration to which we may be entitled. The Company includes in the transaction price variable consideration only to the extent it is probable that a significant reversal of revenue recognized will not occur when the uncertainty associated with the variable consideration is resolved. The Company’s estimates of variable consideration and determination of whether to include estimated amounts in the transaction price may involve judgment and is based largely on an assessment of its anticipated performance and all information that is reasonably available to the Company. The Company assesses the timing of the transfer of goods or services to the customer as compared to the timing of payments to determine whether a significant financing component exists. As a practical expedient, the Company does not assess the existence of a significant financing component when the difference between payment and transfer of deliverables is a year or less. If the difference in timing arises for reasons other than the provision of finance to either the customer or us, no financing component is deemed to exist. The primary purpose of the Company’s invoicing terms is to provide customers with simplified and predictable ways of purchasing its services, not to receive or provide financing from or to customers. The Company does not consider set up or transition fees paid upfront by its customers to represent a financing component, as such fees are required to encourage customer commitment to the project and protect us from early termination of the contract. |
Receivable [Policy Text Block] | Trade Accounts Receivable and Contract Balances We classify our right to consideration in exchange for deliverables as either a receivable or a contract asset (unbilled receivable). A receivable is a right to consideration that is unconditional (i.e. only the passage of time is required before payment is due). For example, we recognize a receivable for revenue related to our transaction or volume-based contracts when earned regardless of whether amounts have been billed. We present such receivables in trade accounts receivable, net in our consolidated statements of financial position at their net estimated realizable value. We maintain an allowance for doubtful accounts to provide for the estimated amount of receivables that may not be collected. The allowance is based upon an assessment of customer creditworthiness, historical payment experience, the age of outstanding receivables, judgment, and other applicable factors. A contract asset is a right to consideration that is conditional upon factors other than the passage of time. Contract assets are presented in current and other assets in our consolidated balance sheets and primarily relate to unbilled amounts on fixed-price contracts utilizing the output method of revenue recognition. The table below shows movements in contract assets: Contract assets Balance – June 30, 2023 $ 295,011 Revenue recognized during the period but not billed - Amounts reclassified to accounts receivable (10,000 ) Other (26,779 ) Balance – December 31, 2023 $ 258,232 (1) (1) Contract asset balances for December 31, 2023 include a current and a long-term contract asset of $150,180 and $108,052, respectively. Our contract assets and liabilities are reported at the end of each reporting period. The difference between the opening and closing balances of our contract assets and deferred revenue primarily results from the timing difference between our performance obligations and the customer’s payment. We receive payments from customers based on the terms established in our contracts, which may vary generally by contract type. The table below shows movements in the deferred revenue balances (current and noncurrent) for the period: Contract liability Balance – June 30, 2023 $ 1,903,001 Amounts billed but not recognized as revenue 885,218 Revenue recognized related to the opening balance of deferred revenue (761,654 ) Balance – December 31, 2023 $ 2,026,565 Our contract assets and liabilities are reported in a net position on a contract-by-contract basis at the end of each reporting period. The difference between the opening and closing balances of our contract assets and deferred revenue primarily results from the timing difference between our performance obligations and the customer’s payment. We receive payments from customers based on the terms established in our contracts, which may vary generally by contract type. |
Disaggregation of Revenue [Policy Text Block] | Disaggregation of Revenue The table below presents disaggregated revenue from contracts with customers by contract-type. We believe this disaggregation best depicts the nature, amount, timing and uncertainty of our revenue and cash flows that may be affected by industry, market, and other economic factors: Three Months Ended Six Months Ended December 31, December 31, 2023 2022 2023 2022 Recurring revenue – subscription and support services $ 5,124,751 $ 4,743,216 $ 10,171,436 $ 9,421,193 Non-recurring revenue – setup and training services 1,000 7,297 14,427 49,797 $ 5,125,751 $ 4,750,513 $ 10,185,863 $ 9,470,990 |
Earnings Per Share, Policy [Policy Text Block] | Earnings Per Share Basic net income per share of Common Stock (“ Basic EPS Diluted EPS For the three and six months ended December 31, 2023 and 2022, warrants to purchase 23,737 shares of our common stock at an exercise price of $10.00 per share were anti-dilutive and not included in the computation of diluted earnings per share because the exercise price of the options was greater than the average price of common stock for the quarter. The following table presents the components of the computation of basic and diluted earnings per share for the periods indicated: Three Months Ended Six Months Ended December 31, December 31, 2023 2022 2023 2022 Numerator Net income applicable to common shareholders $ 1,304,538 $ 1,118,733 $ 2,536,475 $ 2,257,234 Denominator Weighted average common shares outstanding, basic 18,162,000 18,402,000 18,193,000 18,419,000 Warrants to purchase Common Stock 643,000 228,000 629,000 259,000 Weighted average common shares outstanding, diluted 18,805,000 18,630,000 18,822,000 18,678,000 Net income per share Basic $ 0.07 $ 0.06 $ 0.14 $ 0.12 Diluted $ 0.07 $ 0.06 $ 0.14 $ 0.12 |
Reclassification [Policy Text Block] | Reclassifications Certain prior year amounts have been reclassified to conform with the current year’s presentation. These reclassifications have no impact on the previously reported results. |
Note 2 - Significant Accounti_2
Note 2 - Significant Accounting Policies (Tables) | 3 Months Ended |
Dec. 31, 2023 | |
Notes Tables | |
Contract with Customer, Contract Asset, Contract Liability, and Receivable [Table Text Block] | Contract assets Balance – June 30, 2023 $ 295,011 Revenue recognized during the period but not billed - Amounts reclassified to accounts receivable (10,000 ) Other (26,779 ) Balance – December 31, 2023 $ 258,232 (1) Contract liability Balance – June 30, 2023 $ 1,903,001 Amounts billed but not recognized as revenue 885,218 Revenue recognized related to the opening balance of deferred revenue (761,654 ) Balance – December 31, 2023 $ 2,026,565 |
Disaggregation of Revenue [Table Text Block] | Three Months Ended Six Months Ended December 31, December 31, 2023 2022 2023 2022 Recurring revenue – subscription and support services $ 5,124,751 $ 4,743,216 $ 10,171,436 $ 9,421,193 Non-recurring revenue – setup and training services 1,000 7,297 14,427 49,797 $ 5,125,751 $ 4,750,513 $ 10,185,863 $ 9,470,990 |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | Three Months Ended Six Months Ended December 31, December 31, 2023 2022 2023 2022 Numerator Net income applicable to common shareholders $ 1,304,538 $ 1,118,733 $ 2,536,475 $ 2,257,234 Denominator Weighted average common shares outstanding, basic 18,162,000 18,402,000 18,193,000 18,419,000 Warrants to purchase Common Stock 643,000 228,000 629,000 259,000 Weighted average common shares outstanding, diluted 18,805,000 18,630,000 18,822,000 18,678,000 Net income per share Basic $ 0.07 $ 0.06 $ 0.14 $ 0.12 Diluted $ 0.07 $ 0.06 $ 0.14 $ 0.12 |
Note 3 - Equity (Tables)
Note 3 - Equity (Tables) | 3 Months Ended |
Dec. 31, 2023 | |
Notes Tables | |
Share-Based Payment Arrangement, Restricted Stock and Restricted Stock Unit, Activity [Table Text Block] | Restricted Stock Units Restricted Stock Units Weighted Average ($/share) Outstanding at June 30, 2023 907,451 $ 5.30 Granted 13,010 9.99 Vested and issued (5,945 ) 5.89 Forfeited - - Outstanding at December 31, 2023 914,516 $ 5.36 |
Schedule of Stockholders' Equity Note, Warrants or Rights [Table Text Block] | Warrants Outstanding at December 31, 2023 Warrants Exercisable at December 31, 2023 Range of exercise prices Number Outstanding Weighted average remaining life (years) Weighted average exercise price Number exercisable Weighted average exercise price $ 4.00 1,085,068 2.10 $ 4.00 1,085,068 $ 4.00 $ 10.00 23,737 2.07 $ 10.00 23,737 $ 10.00 1,108,805 2.10 $ 4.13 1,108,805 $ 4.13 |
Preferred Stock Redemption [Table Text Block] | Series B Preferred and Series B-1 Preferred Period (1) Total Price Paid Dollars Expended by Period under the Preferred Redemption Remaining July 1, 2023 – September 30, 2023: - $ 10.70 $ - $ 8,964,214 October 1, 2023 – December 31, 2023: 70,093 $ 10.70 $ 749,995 $ 8,214,219 Total 70,093 $ 749,995 $ 8,214,219 Series B Preferred Period (1) Total Price Paid Dollars Expended by Period under the Preferred Redemption Remaining Redemption October 1, 2023 – December 31, 2023: - $ 10.70 $ - $ 6,691,513 Total - $ - $ 6,691,513 |
Share Repurchase Program [Table Text Block] | Series B-1 Preferred Period (1) Total Price Paid Dollars Expended by Period under the Preferred Redemption Remaining Redemption October 1, 2023 – December 31, 2023: 70,093 $ 10.70 $ 749,995 $ 1,522,706 Total 70,093 $ 749,995 $ 1,522,706 Period (1) Total Average Dollars Expended by Period Under the Plans or Remaining July 1, 2023 – September 30, 2023 155,025 $ 8.53 $ 1,322,082 $ 8,185,698 October 1, 2023 – December 31, 2023: 22,012 $ 8.79 $ 193,492 $ 7,992,206 |
Note 2 - Significant Accounti_3
Note 2 - Significant Accounting Policies (Details Textual) - USD ($) | 6 Months Ended | 15 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2023 | Jun. 30, 2023 | |
Contract with Customer, Asset, after Allowance for Credit Loss, Current | $ 150,180 | $ 186,959 | |
Contract with Customer, Asset, after Allowance for Credit Loss, Noncurrent | $ 108,052 | $ 108,052 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount (in shares) | 23,737 | 23,737 | |
Maximum [Member] | |||
Class of Warrant or Right, Exercise Price of Warrants or Rights (in dollars per share) | $ 10 | $ 10 |
Note 2 - Significant Accounti_4
Note 2 - Significant Accounting Policies - Contract with Customer assets and liabilities (Details) | 6 Months Ended | |
Dec. 31, 2023 USD ($) | ||
Balance | $ 295,011 | |
Balance | 1,903,001 | |
Revenue recognized during the period but not billed | 0 | |
Amounts billed but not recognized as revenue | 885,218 | |
Amounts reclassified to accounts receivable | (10,000) | |
Revenue recognized related to the opening balance of deferred revenue | (761,654) | |
Other | (26,779) | |
Balance | 2,026,565 | |
Balance | $ 258,232 | [1] |
[1]Contract asset balances for December 31, 2023 include a current and a long-term contract asset of $150,180 and $108,052, respectively. |
Note 2 - Significant Accounti_5
Note 2 - Significant Accounting Policies - Schedule of Disaggregation of Revenue (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | |
Revenue | $ 5,125,751 | $ 4,750,513 | $ 10,185,863 | $ 9,470,990 |
Revenue | 5,125,751 | 4,750,513 | 10,185,863 | 9,470,990 |
Subscription and Support [Member] | ||||
Revenue | 5,124,751 | 4,743,216 | 10,171,436 | 9,421,193 |
Revenue | 5,124,751 | 4,743,216 | 10,171,436 | 9,421,193 |
Professional Services [Member] | ||||
Revenue | 1,000 | 7,297 | 14,427 | 49,797 |
Revenue | $ 1,000 | $ 7,297 | $ 14,427 | $ 49,797 |
Note 2 - Significant Accounti_6
Note 2 - Significant Accounting Policies - Schedule of Earnings Per Share (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | |
Net income applicable to common shareholders | $ 1,304,538 | $ 1,118,733 | $ 2,536,475 | $ 2,257,234 |
Weighted average shares, basic (in shares) | 18,162,000 | 18,402,000 | 18,193,000 | 18,419,000 |
Warrants to purchase Common Stock (in shares) | 643,000 | 228,000 | 629,000 | 259,000 |
Weighted average shares, diluted (in shares) | 18,805,000 | 18,630,000 | 18,822,000 | 18,678,000 |
Basic (in dollars per share) | $ 0.07 | $ 0.06 | $ 0.14 | $ 0.12 |
Diluted (in dollars per share) | $ 0.07 | $ 0.06 | $ 0.14 | $ 0.12 |
Note 3 - Equity (Details Textua
Note 3 - Equity (Details Textual) - USD ($) | 3 Months Ended | 55 Months Ended | |||||||||
May 10, 2022 | Aug. 31, 2021 | May 18, 2021 | Dec. 31, 2023 | Sep. 30, 2023 | Dec. 31, 2023 | Aug. 29, 2023 | Jun. 30, 2023 | May 09, 2019 | |||
Share-Based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Amount | $ 4,900,000 | $ 4,900,000 | |||||||||
Share-Based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Period for Recognition (Year) | 3 years | ||||||||||
Preferred Stock, Shares Authorized (in shares) | 30,000,000 | 30,000,000 | 30,000,000 | ||||||||
Preferred Stock, Par or Stated Value Per Share (in dollars per share) | $ 0.01 | $ 0.01 | $ 0.01 | ||||||||
Preferred Stock, Redemption Price Per Share (in dollars per share) | $ 10.7 | ||||||||||
Preferred Stock, Redemption, Aggerate Purchase Price | $ 8,214,219 | $ 8,214,219 | $ 8,964,214 | ||||||||
Stock Repurchase Program, Authorized Amount | $ 12,000,000 | $ 8,000,000 | $ 21,000,000,000,000 | $ 21,000,000,000,000 | $ 4,000,000 | ||||||
Stock Repurchase Program, Increase in Authorized Amount | $ 9,000,000 | $ 4,000,000 | $ 4,000,000 | ||||||||
Stock Repurchased During Period, Shares (in shares) | 22,012 | [1] | 155,025 | 2,122,703 | |||||||
Shares Acquired, Average Cost Per Share | $ 8.79 | [1] | $ 8.53 | $ 6.13 | |||||||
Stock Repurchase Program, Remaining Authorized Repurchase Amount | $ 7,992,206 | $ 7,992,206 | |||||||||
Blank Check [Member] | |||||||||||
Preferred Stock, Shares Authorized (in shares) | 30,000,000 | 30,000,000 | |||||||||
Preferred Stock, Par or Stated Value Per Share (in dollars per share) | $ 0.01 | $ 0.01 | |||||||||
Series B Preferred Stock [Member] | |||||||||||
Preferred Stock, Shares Authorized (in shares) | 700,000 | 700,000 | 700,000 | ||||||||
Preferred Stock, Shares, Number (in shares) | 700,000 | ||||||||||
Preferred Stock, Redemption Price Per Share (in dollars per share) | [2] | $ 10.7 | $ 10.7 | ||||||||
Preferred Stock, Redemption, Aggerate Purchase Price | [2] | $ 6,691,513 | $ 6,691,513 | ||||||||
Preferred Stock, Shares Issued (in shares) | 625,375 | 625,375 | 625,375 | ||||||||
Series B-1 Preferred Stock [Member] | |||||||||||
Preferred Stock, Shares Authorized (in shares) | 550,000 | 550,000 | 550,000 | ||||||||
Preferred Stock, Shares, Number (in shares) | 550,000 | ||||||||||
Preferred Stock, Cash, Dividend Rate, Percentage | 7% | ||||||||||
Preferred Stock, Series B Preferred Shares, Dividend Rate, Percentage | 9% | ||||||||||
Preferred Stock, Redemption Price Per Share (in dollars per share) | [3] | $ 10.7 | $ 10.7 | ||||||||
Preferred Stock, Redemption, Aggerate Purchase Price | [3] | $ 1,522,706 | $ 1,522,706 | ||||||||
Preferred Stock, Shares Issued (in shares) | 142,309 | 142,309 | 212,402 | ||||||||
Restricted Stock Units (RSUs) [Member] | Vested and Unissued [Member] | |||||||||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Non-Option Equity Instruments, Outstanding, Number (in shares) | 40,837 | 40,837 | |||||||||
[1]We close our books and records on the last calendar day of each month to align our financial closing with our business processes.[2]We close our books and records on the last calendar day of each month to align our financial closing with our business processes.[3]We close our books and records on the last calendar day of each month to align our financial closing with our business processes. |
Note 3 - Equity - Schedule of R
Note 3 - Equity - Schedule of Restricted Stock Units (Details) - Share-Based Payment Arrangement, Nonemployee [Member] | 6 Months Ended |
Dec. 31, 2023 $ / shares shares | |
Granted (in shares) | shares | 13,010 |
Restricted Stock [Member] | |
Outstanding (in shares) | shares | 907,451 |
Outstanding, weighted average grant date fair value (in dollars per share) | $ / shares | $ 5.3 |
Restricted Stock Units (RSUs) [Member] | |
Granted, weighted average grant date fair value (in dollars per share) | $ / shares | $ 9.99 |
Vested and issued (in shares) | shares | (5,945) |
Vested and issued, weighted average grant date fair value (in dollars per share) | $ / shares | $ 5.89 |
Forfeited (in shares) | shares | 0 |
Forfeited, weighted average grant date fair value (in dollars per share) | $ / shares | $ 0 |
Outstanding (in shares) | shares | 914,516 |
Outstanding, weighted average grant date fair value (in dollars per share) | $ / shares | $ 5.36 |
Note 3 - Equity - Schedule of W
Note 3 - Equity - Schedule of Warrants (Details) | 6 Months Ended |
Dec. 31, 2023 $ / shares shares | |
Class of Warrant or Right, Outstanding, Weighted Average Exercise Price (in dollars per share) | $ / shares | $ 4.13 |
Class of Warrant or Right, Outstanding (in shares) | shares | 1,108,805 |
Class of Warrant or Right, Weighted Average Remaining Contractual Term (Year) | 2 years 1 month 6 days |
Class of Warrant or Right, Warrants, Exercisable, Number (in shares) | shares | 1,108,805 |
Class of Warrant or Right, Exercisable, Weighted Average Exercise Price (in dollars per share) | $ / shares | $ 4.13 |
Exercise Price, Four Dollars, Minimum [Member] | |
Class of Warrant or Right, Outstanding, Weighted Average Exercise Price (in dollars per share) | $ / shares | $ 4 |
Class of Warrant or Right, Outstanding (in shares) | shares | 1,085,068 |
Class of Warrant or Right, Weighted Average Remaining Contractual Term (Year) | 2 years 1 month 6 days |
Class of Warrant or Right, Warrants, Exercisable, Number (in shares) | shares | 1,085,068 |
Class of Warrant or Right, Exercisable, Weighted Average Exercise Price (in dollars per share) | $ / shares | $ 4 |
Exercise Price, Ten Dollars, Maximum [Member] | |
Class of Warrant or Right, Outstanding, Weighted Average Exercise Price (in dollars per share) | $ / shares | $ 10 |
Class of Warrant or Right, Outstanding (in shares) | shares | 23,737 |
Class of Warrant or Right, Weighted Average Remaining Contractual Term (Year) | 2 years 25 days |
Class of Warrant or Right, Warrants, Exercisable, Number (in shares) | shares | 23,737 |
Class of Warrant or Right, Exercisable, Weighted Average Exercise Price (in dollars per share) | $ / shares | $ 10 |
Note 3 - Equity - Preferred Sto
Note 3 - Equity - Preferred Stock Redemption (Details) - USD ($) | 3 Months Ended | 6 Months Ended | |||||
Dec. 31, 2023 | Dec. 31, 2023 | Sep. 30, 2023 | [1],[2] | Dec. 31, 2023 | Aug. 29, 2023 | ||
Total number of shares redeemed (in shares) | 70,093 | 70,093 | |||||
Price paid per share (in dollars per share) | $ 10.7 | ||||||
Dollars Expended by Period under the Preferred Redemption | $ 749,995 | $ 749,995 | $ 749,995 | ||||
Remaining Amount Available for Future Preferred Redemption | $ 8,214,219 | $ 8,214,219 | $ 8,214,219 | $ 8,964,214 | |||
Series B and Series B-1 Preferred Stock [Member] | |||||||
Total number of shares redeemed (in shares) | 70,093 | 0 | |||||
Price paid per share (in dollars per share) | $ 10.7 | $ 10.7 | $ 10.7 | $ 10.7 | |||
Dollars Expended by Period under the Preferred Redemption | $ 749,995 | $ 749,995 | $ 0 | $ 749,995 | |||
Remaining Amount Available for Future Preferred Redemption | $ 8,214,219 | $ 8,214,219 | $ 8,964,214 | $ 8,214,219 | |||
Series B Preferred Stock [Member] | |||||||
Price paid per share (in dollars per share) | [1] | $ 10.7 | $ 10.7 | $ 10.7 | |||
Remaining Amount Available for Future Preferred Redemption | [1] | $ 6,691,513 | $ 6,691,513 | $ 6,691,513 | |||
[1]We close our books and records on the last calendar day of each month to align our financial closing with our business processes.[2]We close our books and records on the last calendar day of each month to align our financial closing with our business processes. |
Note 3 - Equity - Shares Repurc
Note 3 - Equity - Shares Repurchase Program (Details) - USD ($) | 3 Months Ended | 6 Months Ended | 55 Months Ended | ||||||||
Dec. 31, 2023 | Dec. 31, 2023 | Sep. 30, 2023 | Dec. 31, 2023 | Dec. 31, 2023 | Aug. 29, 2023 | ||||||
Total number of shares redeemed (in shares) | 70,093 | 70,093 | |||||||||
July 1, 2023 – September 30, 2023 (in shares) | 22,012 | [1] | 155,025 | 2,122,703 | |||||||
Price paid per share (in dollars per share) | $ 10.7 | ||||||||||
July 1, 2023 – September 30, 2023 (in dollars per share) | $ 8.79 | [1] | $ 8.53 | $ 6.13 | |||||||
Dollars Expended by Period under the Preferred Redemption | $ 749,995 | $ 749,995 | $ 749,995 | $ 749,995 | |||||||
Remaining Amount Available for Future Preferred Redemption | 8,214,219 | 8,214,219 | 8,214,219 | 8,214,219 | $ 8,964,214 | ||||||
July 1, 2023 – September 30, 2023 | 7,992,206 | $ 7,992,206 | 7,992,206 | 7,992,206 | |||||||
Share Repurchase Program [Member] | |||||||||||
July 1, 2023 – September 30, 2023 (in shares) | 193,492 | [1] | 1,322,082 | ||||||||
July 1, 2023 – September 30, 2023 | $ 7,992,206 | [1] | $ 7,992,206 | [1] | $ 8,185,698 | $ 7,992,206 | [1] | $ 7,992,206 | [1] | ||
Series B-1 Preferred Stock [Member] | |||||||||||
Total number of shares redeemed (in shares) | [2] | 70,093 | |||||||||
Price paid per share (in dollars per share) | [2] | $ 10.7 | $ 10.7 | $ 10.7 | $ 10.7 | ||||||
Dollars Expended by Period under the Preferred Redemption | [2] | $ 749,995 | $ 749,995 | $ 749,995 | $ 749,995 | ||||||
Remaining Amount Available for Future Preferred Redemption | [2] | $ 1,522,706 | $ 1,522,706 | $ 1,522,706 | $ 1,522,706 | ||||||
[1]We close our books and records on the last calendar day of each month to align our financial closing with our business processes.[2]We close our books and records on the last calendar day of each month to align our financial closing with our business processes. |
Note 4 - Related Party Transa_2
Note 4 - Related Party Transactions (Details Textual) - USD ($) | 3 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Preferred Stock Value Redemption Amount | $ 749,995 | |
Series B-1 Preferred Stock [Member] | ||
Preferred Stock Value Redemption Amount | 749,995 | |
Related Party [Member] | ||
Accounts Payable | 0 | $ 0 |
FMI [Member] | Service Agreements [Member] | ||
Related Party Transaction, Amounts of Transaction | $ 484,902 | $ 462,030 |