The LGL Group, Inc. (LGL) 10-Q 9 May 19 2019 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	3 Months Ended
	Mar. 31, 2019	May 03, 2019
Document And Entity Information [Abstract]
Entity Registrant Name	LGL GROUP INC
Entity Central Index Key	0000061004
Current Fiscal Year End Date	--12-31
Entity Current Reporting Status	Yes
Entity Filer Category	Non-accelerated Filer
Entity Common Stock, Shares Outstanding		4,872,928
Document Fiscal Year Focus	2019
Document Fiscal Period Focus	Q1
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Mar. 31, 2019
Entity Small Business	true
Entity Emerging Growth Company	false
Trading Symbol	LGL

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Mar. 31, 2019	Dec. 31, 2018
Current Assets:
Cash and cash equivalents	$ 10,298	$ 15,508
Marketable securities	8,852	3,775
Accounts receivable, net of allowances of $32 and $40, respectively	4,399	3,394
Inventories, net	5,173	4,466
Prepaid expenses and other current assets	295	242
Total Current Assets	29,017	27,385
Property, plant and equipment:
Land	536	536
Buildings and improvements	4,315	4,029
Machinery and equipment	17,129	17,012
Gross property, plant and equipment	21,980	21,577
Less: accumulated depreciation	(19,592)	(19,491)
Net property, plant, and equipment	2,388	2,086
Intangible assets, net	458	477
Deferred income taxes, net	114	127
Other assets, net	142
Total Assets	32,119	30,075
Current Liabilities:
Accounts payable	2,428	1,418
Accrued compensation and commissions	1,280	1,143
Other accrued expenses	429	191
Total Current Liabilities	4,137	2,752
Commitments and Contingencies (Note L)
Stockholders’ Equity
Common stock, $0.01 par value - 10,000,000 shares authorized; 4,927,012 shares issued and 4,845,428 shares outstanding at March 31, 2019, and 4,912,762 shares issued and 4,831,178 shares outstanding at December 31, 2018	49	49
Additional paid-in capital	41,100	41,023
Accumulated deficit	(12,587)	(13,169)
Treasury stock, 81,584 shares held in treasury at cost at March 31, 2019 and December 31, 2018	(580)	(580)
Total Stockholders' Equity	27,982	27,323
Total Liabilities and Stockholders' Equity	$ 32,119	$ 30,075

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Mar. 31, 2019	Dec. 31, 2018
Current Assets:
Accounts receivable, allowances	$ 32	$ 40
Stockholders’ Equity
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	10,000,000	10,000,000
Common stock, shares issued (in shares)	4,927,012	4,912,762
Common stock, shares outstanding (in shares)	4,845,428	4,831,178
Treasury stock, (in shares)	81,584	81,584

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations - Unaudited - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Income Statement [Abstract]
REVENUES	$ 6,632	$ 5,945
Type of Revenue [Extensible List]	us-gaap:ProductMember	us-gaap:ProductMember
Costs and expenses:
Manufacturing cost of sales	$ 4,215	$ 3,716
Engineering, selling and administrative	1,983	2,071
OPERATING INCOME	434	158
Other Income:
Interest income, net	1	12
Other income, net	153	24
Total Other Income, Net	154	36
INCOME BEFORE INCOME TAXES	588	194
Income tax expense	6	1
NET INCOME	$ 582	$ 193
Basic per share information:
Weighted average shares outstanding	4,838,568	4,696,415
Net income	$ 0.12	$ 0.04
Diluted per share information:
Weighted average shares outstanding	4,959,636	4,806,196
Net income	$ 0.12	$ 0.04

Condensed Consolidated Statem_2

Condensed Consolidated Statement of Stockholder's Equity - Unaudited - USD ($) $ in Thousands	Total	Common Stock [Member]	Additional Paid-in Capital [Member]	Accumulated Deficit [Member]	Treasury Stock [Member]	Accumulated Other Comprehensive Income [Member]
Balance at Dec. 31, 2017	$ 24,928	$ 47	$ 40,035	$ (14,609)	$ (580)	$ 35
Balance (in shares) at Dec. 31, 2017		4,692,893
Net income	193			193
Cumulative effect adjustment from adoption of ASU | ASU 2016-01 [Member]				35		$ (35)
Exercise of stock options	22		22
Exercise of stock options (in shares)		5,500
Stock-based compensation	7		7
Balance at Mar. 31, 2018	25,150	$ 47	40,064	(14,381)	(580)
Balance (in shares) at Mar. 31, 2018		4,698,393
Balance at Dec. 31, 2018	$ 27,323	$ 49	41,023	(13,169)	(580)
Balance (in shares) at Dec. 31, 2018	4,831,178	4,831,178
Net income	$ 582			582
Exercise of stock options	71		71
Exercise of stock options (in shares)		14,250
Stock-based compensation	6		6
Balance at Mar. 31, 2019	$ 27,982	$ 49	$ 41,100	$ (12,587)	$ (580)
Balance (in shares) at Mar. 31, 2019	4,845,428	4,845,428

Condensed Consolidated Statem_3

Condensed Consolidated Statements of Cash Flows - Unaudited - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
OPERATING ACTIVITIES
Net income	$ 582	$ 193
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation	101	104
Amortization of finite-lived intangible assets	18	18
Recovery of note receivable		(4)
Stock-based compensation	6	7
Gain on marketable securities	(77)	(12)
Deferred income tax expense	13	(7)
Changes in operating assets and liabilities:
Increase in accounts receivable, net	(1,005)	(259)
Increase in inventories, net	(707)	(133)
(Increase) decrease in prepaid expenses and other assets	(52)	72
Increase in accounts payable, accrued compensation and commissions and other accrued liabilities	1,243	179
Net cash provided by operating activities	122	158
INVESTING ACTIVITIES
Purchase of marketable securities, net	(5,000)
Capital expenditures	(403)	(172)
Net cash used in investing activities	(5,403)	(172)
FINANCING ACTIVITIES
Proceeds from stock option exercise	71	22
Net cash provided by financing activities	71	22
(Decrease) increase in cash and cash equivalents	(5,210)	8
Cash and cash equivalents at beginning of period	15,508	13,250
Cash and cash equivalents at end of period	10,298	13,258
Supplemental Disclosure:
Cash paid for interest	6	11
Cash paid for income taxes	$ 10	$ 9

Subsidiaries of the Registrant

Subsidiaries of the Registrant	3 Months Ended
	Mar. 31, 2019
Subsidiaries Of Registrant [Abstract]
Subsidiaries of the Registrant	A. Subsidiaries of the Registrant The LGL Group, Inc. (the “Company”), incorporated in 1928 under the laws of the State of Indiana and reincorporated under the laws of the State of Delaware in 2007, is a diversified holding company with subsidiaries engaged in the designing, manufacturing and marketing of highly-engineered, high reliability frequency and spectrum control products As of March 31, 2019, the subsidiaries of the Company were as follows: Owned By The LGL Group, Inc. M-tron Industries, Inc. 100.0 % Piezo Technology, Inc. 100.0 % Piezo Technology India Private Ltd. 99.9 % M-tron Asia, LLC 100.0 % M-tron Industries, Ltd. 100.0 % GC Opportunities Ltd. 100.0 % M-tron Services, Ltd. 100.0 % Precise Time and Frequency, LLC 100.0 % Lynch Systems, Inc. 100.0 % The Company operates through its two principal subsidiaries, M-tron Industries, Inc. (“MtronPTI”), which includes the operations of Piezo Technology, Inc. (“PTI”) and M-tron Asia, LLC (“Mtron”), and Precise Time and Frequency, LLC (“PTF”). The Company operates in two identified segments. The first segment, the electronic components segment, is focused on the design and manufacture of highly-engineered, high reliability frequency and spectrum control products. These electronic components ensure reliability and security in aerospace and defense communications, low noise and base accuracy for laboratory instruments, and synchronous data transfers throughout the wireless and Internet infrastructure. The second segment, the electronic instruments segment, is focused on the design and manufacture of high performance Frequency and Time Reference Standards that form the basis for timing and synchronization in various applications.

Basis of Presentation

Basis of Presentation	3 Months Ended
	Mar. 31, 2019
Organization Consolidation And Presentation Of Financial Statements [Abstract]
Basis of Presentation	B. Basis of Presentation The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) for interim financial information and the instructions to Form 10-Q and Rule 8-03 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring adjustments) considered necessary for a fair presentation have been included. Operating results for the three months ended March 31, 2019 are not necessarily indicative of the results that may be expected for the full year ending December 31, 2019. This interim information should be read in conjunction with the audited consolidated financial statements and related notes thereto set forth in the Company's Annual Report on Form 10-K for the year ended December 31, 2018, filed with the Securities and Exchange Commission (the “SEC”) on March 21, 2019. The accompanying unaudited condensed consolidated financial statements should also be read in conjunction with Management's Discussion and Analysis of Financial Condition and Results of Operations contained in this Quarterly Report on Form 10-Q. Revenue Recognition The Company recognizes revenue from the sale of its products in accordance with the criteria in Accounting Standards Codification (“ASC”) 606, Revenue From Contracts with Customers Step 1: Identify the contract(s) with a customer. Step 2: Identify the performance obligations in the contract. Step 3: Determine the transaction price. Step 4: Allocate the transaction price to the performance obligations in the contract. Step 5: Recognize revenue when (or as) the entity satisfies a performance obligation. The Company meets these conditions upon the Company’s satisfaction of the performance obligation, usually at the time of shipment to the customer, because control passes to the customer at that time. Our standard terms for customers are net due within 30 days, with a few exceptions, none regularly exceeding 60 days. The Company provides disaggregated revenue details by segment in Note J – Segment Information, and geographic markets in Note K – Domestic and Foreign Revenues. The Company offers a limited right of return and/or authorized price protection provisions in its agreements with certain electronic component distributors who resell the Company's products to original equipment manufacturers or electronic manufacturing services companies. As a result, the Company estimates and records a reserve for future returns and other charges against revenue at the time of shipment consistent with the terms of sale. The reserve is estimated based on historical experience with each respective distributor. These reserves and charges are immaterial as the Company does not have a history of significant price protection adjustments or returns. The Company provides a standard assurance warranty that does not create a performance obligation. Practical Expedients: - The Company applies the practical expedient for shipping and handling as fulfillment costs. - The Company expenses sales commissions as sales and marketing expenses in the period they are incurred. Other Comprehensive Income Our comprehensive income for the three months ended March 31, 2019 and March 31, 2018 consisted entirely of net income. Therefore a consolidated statement of comprehensive income is not presented for the three months ended March 31, 2019 and March 31, 2018. Recent Accounting Pronouncements In February 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2016-02, “Leases (Topic 842)”, to require lessees to recognize all leases, with limited exceptions, on the balance sheet. The objective of this update is to increase transparency and comparability among organizations by recognizing lease assets and lease liabilities on the balance sheet and disclosing key information about leasing arrangements. Subsequently, the FASB issued ASU 2018-10, “Codification Improvements to Topic 842”, ASU 2018-11, “Targeted Improvements”, ASU 2018-20, “Narrow-Scope Improvements for Lessors”, and ASU 2019-01, “Codification Improvements”, to clarify and amend the guidance in ASU 2016-02. The Company adopted the ASUs effective January 1, 2019 resulting in the addition of $142,000 to other assets, with an equal offset to liabilities . The adoption of the ASUs did not have a material impact on the condensed consolidated statement of operations or the condensed consolidated statement of cash flows

Related Party Transactions

Related Party Transactions	3 Months Ended
	Mar. 31, 2019
Related Party Transactions [Abstract]
Related Party Transactions	C . Related Party Transactions Certain balances held and invested in various mutual funds are managed by a related entity (the "Fund Manager"), which is related through a director who is also a greater than 10% stockholder and currently serves as an executive officer of the Fund Manager. The brokerage and fund transactions in 2019 and 2018 were directed solely at the discretion of the Company’s management. As of March 31, 2019 As of December 31, 2018

Fair Value Measurements

Fair Value Measurements	3 Months Ended
	Mar. 31, 2019
Fair Value Disclosures [Abstract]
Fair Value Measurements	D . Fair Value Measurements Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Fair value guidance identifies three primary valuation techniques: the market approach, the income approach and the cost approach. The market approach uses prices and other relevant information generated by market transactions involving identical or comparable assets or liabilities. The income approach uses valuation techniques to convert future amounts such as cash flows or earnings, to a single present amount. The measurement is based on the value indicated by current market expectations about those future amounts. The cost approach is based on the amount that currently would be required to replace the service capacity of an asset. The fair value hierarchy prioritizes the inputs to valuation techniques used to measure fair value into three broad levels. The fair value hierarchy gives the highest priority to observable inputs such as quoted prices in active markets for identical assets or liabilities (Level 1) and the lowest priority to unobservable inputs (Level 3). The maximization of observable inputs and the minimization of the use of unobservable inputs are required. Classification within the fair value hierarchy is based upon the objectivity of the inputs that are significant to the valuation of an asset or liability as of the measurement date. The three levels within the fair value hierarchy are characterized as follows: Level 1 - Quoted prices (unadjusted) in active markets for identical assets or liabilities that the Company has the ability to access at the measurement date. Level 2 - Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly. Level 2 inputs include: quoted prices for similar assets or liabilities in active markets; quoted prices for identical or similar assets or liabilities in markets that are not active; inputs other than quoted prices that are observable for the asset or liability; and inputs that are derived principally from or corroborated by observable market data by correlation or other means. Level 3 - Unobservable inputs for the asset or liability for which there is little, if any, market activity for the asset or liability at the measurement date. Unobservable inputs reflect the Company's own assumptions about what market participants would use to price the asset or liability. These inputs may include internally developed pricing models, discounted cash flow methodologies, as well as instruments for which the fair value determination requires significant management judgment. Assets To estimate the market value of its marketable securities, the Company obtains current market pricing from quoted market sources or uses pricing for identical securities. Assets measured at fair value on a recurring basis are summarized below (in thousands). Level 1 Level 2 Level 3 Total at March 31, 2019 Marketable Equity Security $ 12 $ — $ — $ 12 Equity Mutual Fund — 8,840 — 8,840 U.S. Treasury Mutual Fund 8,775 — — 8,775 $ 8,787 $ 8,840 $ — $ 17,627 Level 1 Level 2 Level 3 Total at December 31, 2018 Marketable Equity Security $ 11 $ — $ — $ 11 Equity Mutual Fund — 3,764 — 3,764 U.S. Treasury Mutual Fund 12,506 — — 12,506 $ 12,517 $ 3,764 $ — $ 16,281 There were no transfers from level 2 to level 3 during the periods presented. There were no level 3 assets as of March 31, 2019 or December 31, 2018. The Company also has assets that may be subject to measurement at fair value on a non-recurring basis, including goodwill and intangible assets, and other long-lived assets. There were no liabilities subject to fair value on a non-recurring or recurring basis as of March 31, 2019 or December 31, 2018. The Company reviews goodwill and the carrying value of long-lived assets at least annually or whenever events and circumstances indicate that the carrying amounts of the assets may not be recoverable. If it is determined that the assets are impaired, the carrying value would be reduced to estimated fair value.

Inventories

Inventories	3 Months Ended
	Mar. 31, 2019
Inventory Disclosure [Abstract]
Inventories	E. Inventories Inventories are valued at the lower of cost or net realizable value using the FIFO (first-in, first-out) method. The Company reduces the value of its inventories to net realizable value when the net realizable value is believed to be less than the cost of the item. The inventory reserve for obsolescence as of March 31, 2019 and December 31, 2018 was $1,341,000 and $1,266,000, respectively. Inventories are comprised of the following (in thousands): March 31, 2019 December 31, 2018 Raw materials $ 2,247 $ 1,719 Work in process 2,034 1,807 Finished goods 892 940 Total Inventories, net $ 5,173 $ 4,466

Intangible Assets

Intangible Assets	3 Months Ended
	Mar. 31, 2019
Intangible Assets Net Excluding Goodwill [Abstract]
Intangible Assets	F. Intangible Assets Intangible assets are recorded at cost less accumulated amortization which is included in engineering, selling and administrative expenses in the accompanying unaudited condensed consolidated statements of operations. Amortization is computed for financial reporting purposes using the straight-line method over the estimated useful lives of the assets, which range up to 10 years. The intangible assets consist of intellectual property and goodwill. The net carrying value of the amortizable intangible assets was $418,000 and $437,000 as of March 31, 2019 and December 31, 2018, respectively. Goodwill, which is not amortizable, was $40,000 as of both March 31, 2019 and December 31, 2018.

Stock-Based Compensation

Stock-Based Compensation	3 Months Ended
	Mar. 31, 2019
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]
Stock-Based Compensation	G . Stock-Based Compensation The Company measures the cost of employee services in exchange for an award of equity instruments based on the grant-date fair value of the award and recognizes the cost over the requisite service period, typically the vesting period. The Company estimates the fair value of stock options on the grant date using the Black-Scholes-Merton option-pricing model. The Black-Scholes-Merton option-pricing model requires subjective assumptions, including future stock price volatility and expected time to exercise, which greatly affect the calculated values. There is no expected dividend rate. Historical Company information was the basis for the expected volatility assumption as the Company believes that the historical volatility is indicative of expected volatility over the life of the option. The risk-free interest rate is based on the U.S. Treasury zero-coupon rates with a remaining term equal to the expected term of the option. Compensation expense related to share-based compensation is recognized over the applicable vesting periods. As of March 31, 2019, there was approximately $25,000 of total unrecognized compensation expense related to unvested share-based compensation arrangements that will be recognized over a weighted average period of 1.3

Earnings Per Share

Earnings Per Share	3 Months Ended
	Mar. 31, 2019
Earnings Per Share [Abstract]
Earnings Per Share	H . Earnings Per Share The Company computes earnings per share in accordance with ASC 260, Earnings Per Share For the three months ended March 31, 2019 and 2018, there were options to purchase 6,067 shares and 9,541 shares, respectively, of the Company's common stock and for the three months ended March 31, 2018, there were warrants to purchase 519,241 shares of common stock that were excluded from the diluted earnings per share computation because the impact of the assumed exercise of such stock options or warrants would have been anti-dilutive during the respective periods. The following table reconciles basic weighted average shares outstanding to diluted weighted average shares outstanding for the three months ended March 31, 2019 and 2018: Three Months Ended March 31, 2019 2018 Weighted average shares outstanding - basic 4,838,568 4,696,415 Effect of diluted securities 121,068 109,781 Weighted average shares outstanding - diluted 4,959,636 4,806,196

Stockholders' Equity

Stockholders' Equity	3 Months Ended
	Mar. 31, 2019
Stockholders Equity Note [Abstract]
Stockholders' Equity	I . Stockholders’ Equity Share Repurchase Program On August 29, 2011, the Company’s board of directors (the “Board”) authorized the Company to repurchase up to 100,000 shares of its common stock in accordance with applicable securities laws. This authorization increased the total number of shares authorized and available for repurchase under the Company's existing share repurchase program to 540,000 shares, at such times, amounts and prices as the Company shall deem appropriate. As of March 31, 2019, the Company had repurchased a total of 81,584 shares of common stock at a cost of $580,000, which shares are currently held in treasury.

Segment Information

Segment Information	3 Months Ended
	Mar. 31, 2019
Segment Reporting [Abstract]
Segment Information	J . Segment Information The Company has two reportable business segments from operations: electronic components, which includes all products manufactured and sold by MtronPTI, and electronic instruments, which includes all products manufactured and sold by PTF. The Company's foreign operations in Hong Kong and India are subsidiaries of MtronPTI. The following table sets forth activity broken down by reportable business segment (in thousands): Three Months Ended March 31, 2019 2018 Revenues from Operations Electronic components $ 6,331 $ 5,731 Electronic instruments 301 214 Total consolidated revenues $ 6,632 $ 5,945 Operating Income Electronic components $ 558 $ 550 Electronic instruments 93 2 Unallocated corporate expense (217 ) (394 ) Total operating income 434 158 Interest income, net 1 12 Other income, net 153 24 Total other income 154 36 Income Before Income Taxes $ 588 $ 194 Operating income is equal to revenues less cost of sales and operating expenses, excluding investment income, interest expense, and income taxes.

Domestic and Foreign Revenues

Domestic and Foreign Revenues	3 Months Ended
	Mar. 31, 2019
Revenues [Abstract]
Domestic and Foreign Revenues	K . Domestic and Foreign Revenues Significant foreign revenues from operations (10% or more of foreign sales) were as follows (in thousands): Three Months Ended March 31, 2019 2018 Malaysia $ 825 $ 695 Hong Kong 267 105 All other foreign countries 617 634 Total foreign revenues $ 1,709 $ 1,434 Total domestic revenue $ 4,923 $ 4,511 The Company allocates its foreign revenue based on the customer's ship-to location.

Commitments and Contingencies

Commitments and Contingencies	3 Months Ended
	Mar. 31, 2019
Commitments And Contingencies Disclosure [Abstract]
Commitments and Contingencies	L . Commitments and Contingencies In the ordinary course of business, the Company and its subsidiaries may become defendants in certain product liability, patent infringement, worker claims and other litigation. The Company records a liability when it is probable that a loss has been incurred and the amount is reasonably estimable.

Basis of Presentation (Policies

Basis of Presentation (Policies)	3 Months Ended
	Mar. 31, 2019
Organization Consolidation And Presentation Of Financial Statements [Abstract]
Revenue Recognition	Revenue Recognition The Company recognizes revenue from the sale of its products in accordance with the criteria in Accounting Standards Codification (“ASC”) 606, Revenue From Contracts with Customers Step 1: Identify the contract(s) with a customer. Step 2: Identify the performance obligations in the contract. Step 3: Determine the transaction price. Step 4: Allocate the transaction price to the performance obligations in the contract. Step 5: Recognize revenue when (or as) the entity satisfies a performance obligation. The Company meets these conditions upon the Company’s satisfaction of the performance obligation, usually at the time of shipment to the customer, because control passes to the customer at that time. Our standard terms for customers are net due within 30 days, with a few exceptions, none regularly exceeding 60 days. The Company provides disaggregated revenue details by segment in Note J – Segment Information, and geographic markets in Note K – Domestic and Foreign Revenues. The Company offers a limited right of return and/or authorized price protection provisions in its agreements with certain electronic component distributors who resell the Company's products to original equipment manufacturers or electronic manufacturing services companies. As a result, the Company estimates and records a reserve for future returns and other charges against revenue at the time of shipment consistent with the terms of sale. The reserve is estimated based on historical experience with each respective distributor. These reserves and charges are immaterial as the Company does not have a history of significant price protection adjustments or returns. The Company provides a standard assurance warranty that does not create a performance obligation. Practical Expedients: - The Company applies the practical expedient for shipping and handling as fulfillment costs. - The Company expenses sales commissions as sales and marketing expenses in the period they are incurred.
Other Comprehensive Income	Other Comprehensive Income Our comprehensive income for the three months ended March 31, 2019 and March 31, 2018 consisted entirely of net income. Therefore a consolidated statement of comprehensive income is not presented for the three months ended March 31, 2019 and March 31, 2018.
Recent Accounting Pronouncements	Recent Accounting Pronouncements . The adoption of the ASUs did not have a material impact on the condensed consolidated statement of operations or the condensed consolidated statement of cash flows

Subsidiaries of the Registrant

Subsidiaries of the Registrant (Tables)	3 Months Ended
	Mar. 31, 2019
Subsidiaries Of Registrant [Abstract]
Subsidiaries of the Company	As of March 31, 2019, the subsidiaries of the Company were as follows: Owned By The LGL Group, Inc. M-tron Industries, Inc. 100.0 % Piezo Technology, Inc. 100.0 % Piezo Technology India Private Ltd. 99.9 % M-tron Asia, LLC 100.0 % M-tron Industries, Ltd. 100.0 % GC Opportunities Ltd. 100.0 % M-tron Services, Ltd. 100.0 % Precise Time and Frequency, LLC 100.0 % Lynch Systems, Inc. 100.0 %

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	3 Months Ended
	Mar. 31, 2019
Fair Value Disclosures [Abstract]
Assets Measured at Fair Value on Recurring Basis	Assets measured at fair value on a recurring basis are summarized below (in thousands). Level 1 Level 2 Level 3 Total at March 31, 2019 Marketable Equity Security $ 12 $ — $ — $ 12 Equity Mutual Fund — 8,840 — 8,840 U.S. Treasury Mutual Fund 8,775 — — 8,775 $ 8,787 $ 8,840 $ — $ 17,627 Level 1 Level 2 Level 3 Total at December 31, 2018 Marketable Equity Security $ 11 $ — $ — $ 11 Equity Mutual Fund — 3,764 — 3,764 U.S. Treasury Mutual Fund 12,506 — — 12,506 $ 12,517 $ 3,764 $ — $ 16,281

Inventories (Tables)

Inventories (Tables)	3 Months Ended
	Mar. 31, 2019
Inventory Disclosure [Abstract]
Schedule of Inventories	Inventories are comprised of the following (in thousands): March 31, 2019 December 31, 2018 Raw materials $ 2,247 $ 1,719 Work in process 2,034 1,807 Finished goods 892 940 Total Inventories, net $ 5,173 $ 4,466

Earnings Per Share (Tables)

Earnings Per Share (Tables)	3 Months Ended
	Mar. 31, 2019
Earnings Per Share [Abstract]
Reconciliation of Basic to Diluted Weighted Average Shares Outstanding	The following table reconciles basic weighted average shares outstanding to diluted weighted average shares outstanding for the three months ended March 31, 2019 and 2018: Three Months Ended March 31, 2019 2018 Weighted average shares outstanding - basic 4,838,568 4,696,415 Effect of diluted securities 121,068 109,781 Weighted average shares outstanding - diluted 4,959,636 4,806,196

Segment Information (Tables)

Segment Information (Tables)	3 Months Ended
	Mar. 31, 2019
Segment Reporting [Abstract]
Schedule of Reportable Business Segment	The following table sets forth activity broken down by reportable business segment (in thousands): Three Months Ended March 31, 2019 2018 Revenues from Operations Electronic components $ 6,331 $ 5,731 Electronic instruments 301 214 Total consolidated revenues $ 6,632 $ 5,945 Operating Income Electronic components $ 558 $ 550 Electronic instruments 93 2 Unallocated corporate expense (217 ) (394 ) Total operating income 434 158 Interest income, net 1 12 Other income, net 153 24 Total other income 154 36 Income Before Income Taxes $ 588 $ 194

Domestic and Foreign Revenues (

Domestic and Foreign Revenues (Tables)	3 Months Ended
	Mar. 31, 2019
Revenues [Abstract]
Significant Foreign Revenues from Operations	Significant foreign revenues from operations (10% or more of foreign sales) were as follows (in thousands): Three Months Ended March 31, 2019 2018 Malaysia $ 825 $ 695 Hong Kong 267 105 All other foreign countries 617 634 Total foreign revenues $ 1,709 $ 1,434 Total domestic revenue $ 4,923 $ 4,511 The Company allocates its foreign revenue based on the customer's ship-to location.

Subsidiaries of the Registran_2

Subsidiaries of the Registrant - Subsidiaries of the Company (Details)	3 Months Ended
	Mar. 31, 2019
M-tron Industries, Inc. [Member]
Subsidiaries Of Entity By Ownership Percentage [Abstract]
Owned by The LGL Group, Inc.	100.00%
Piezo Technology, Inc. [Member]
Subsidiaries Of Entity By Ownership Percentage [Abstract]
Owned by The LGL Group, Inc.	100.00%
Piezo Technology India Private Ltd. [Member]
Subsidiaries Of Entity By Ownership Percentage [Abstract]
Owned by The LGL Group, Inc.	99.90%
M-tron Asia LLC [Member]
Subsidiaries Of Entity By Ownership Percentage [Abstract]
Owned by The LGL Group, Inc.	100.00%
M-tron Industries, Ltd. [Member]
Subsidiaries Of Entity By Ownership Percentage [Abstract]
Owned by The LGL Group, Inc.	100.00%
GC Opportunities Ltd. [Member]
Subsidiaries Of Entity By Ownership Percentage [Abstract]
Owned by The LGL Group, Inc.	100.00%
M-tron Services Ltd [Member]
Subsidiaries Of Entity By Ownership Percentage [Abstract]
Owned by The LGL Group, Inc.	100.00%
Precise Time and Frequenc, LLC [Member]
Subsidiaries Of Entity By Ownership Percentage [Abstract]
Owned by The LGL Group, Inc.	100.00%
Lynch Systems, Inc. [Member]
Subsidiaries Of Entity By Ownership Percentage [Abstract]
Owned by The LGL Group, Inc.	100.00%

Subsidiaries of the Registran_3

Subsidiaries of the Registrant - Additional Information (Details)	3 Months Ended
	Mar. 31, 2019Segment
Subsidiaries Of Registrant [Abstract]
Number of operating segments	2

Basis of Presentation - Additio

Basis of Presentation - Additional Information (Details)	3 Months Ended
	Mar. 31, 2019USD ($)
Basis Of Presentation [Line Items]
Other assets	$ 142,000
ASU 2014-09 [Member]
Basis Of Presentation [Line Items]
Revenue, performance obligation, description of timing	The Company meets these conditions upon the Company’s satisfaction of the performance obligation, usually at the time of shipment to the customer, because control passes to the customer at that time. Our standard terms for customers are net due within 30 days, with a few exceptions, none regularly exceeding 60 days.
ASU 2016-02 [Member]
Basis Of Presentation [Line Items]
Other assets	$ 142,000
Minimum [Member] | ASU 2014-09 [Member]
Basis Of Presentation [Line Items]
Customer due days	30 days
Maximum [Member] | ASU 2014-09 [Member]
Basis Of Presentation [Line Items]
Customer due days	60 days

Related Party Transactions - Ad

Related Party Transactions - Additional Information (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018	Dec. 31, 2018
Related Party Transaction [Line Items]
Balance with Fund Manager	$ 17,615		$ 16,270
Investment income generated from mutual funds	$ 77	$ 12
Minimum [Member]
Related Party Transaction [Line Items]
Percentage of stockholders controlling a related party	10.00%		10.00%
Maximum [Member]
Related Party Transaction [Line Items]
Fund management fee percent	0.35%
Other Income [Member]
Related Party Transaction [Line Items]
Investment income generated from mutual funds	$ 146
Cash and Cash Equivalents [Member]
Related Party Transaction [Line Items]
Balance with Fund Manager	8,775		$ 12,506
Marketable Securities [Member]
Related Party Transaction [Line Items]
Balance with Fund Manager	$ 8,840		$ 3,764

Fair Value Measurements - Asset

Fair Value Measurements - Assets Measured at Fair Value on Recurring Basis (Details) - Recurring [Member] - USD ($) $ in Thousands	Mar. 31, 2019	Dec. 31, 2018
Fair Value Assets Measured On Recurring Basis [Line Items]
Fair value assets	$ 17,627	$ 16,281
Marketable Equity Security [Member]
Fair Value Assets Measured On Recurring Basis [Line Items]
Fair value assets	12	11
Equity Mutual Fund [Member]
Fair Value Assets Measured On Recurring Basis [Line Items]
Fair value assets	8,840	3,764
U.S. Treasury Mutual Fund [Member]
Fair Value Assets Measured On Recurring Basis [Line Items]
Fair value assets	8,775	12,506
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Fair Value Assets Measured On Recurring Basis [Line Items]
Fair value assets	8,787	12,517
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Marketable Equity Security [Member]
Fair Value Assets Measured On Recurring Basis [Line Items]
Fair value assets	12	11
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Equity Mutual Fund [Member]
Fair Value Assets Measured On Recurring Basis [Line Items]
Fair value assets	0	0
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | U.S. Treasury Mutual Fund [Member]
Fair Value Assets Measured On Recurring Basis [Line Items]
Fair value assets	8,775	12,506
Significant Other Observable Inputs (Level 2) [Member]
Fair Value Assets Measured On Recurring Basis [Line Items]
Fair value assets	8,840	3,764
Significant Other Observable Inputs (Level 2) [Member] | Marketable Equity Security [Member]
Fair Value Assets Measured On Recurring Basis [Line Items]
Fair value assets	0	0
Significant Other Observable Inputs (Level 2) [Member] | Equity Mutual Fund [Member]
Fair Value Assets Measured On Recurring Basis [Line Items]
Fair value assets	8,840	3,764
Significant Other Observable Inputs (Level 2) [Member] | U.S. Treasury Mutual Fund [Member]
Fair Value Assets Measured On Recurring Basis [Line Items]
Fair value assets	0	0
Significant Unobservable Inputs (Level 3) [Member]
Fair Value Assets Measured On Recurring Basis [Line Items]
Fair value assets	0	0
Significant Unobservable Inputs (Level 3) [Member] | Marketable Equity Security [Member]
Fair Value Assets Measured On Recurring Basis [Line Items]
Fair value assets	0	0
Significant Unobservable Inputs (Level 3) [Member] | Equity Mutual Fund [Member]
Fair Value Assets Measured On Recurring Basis [Line Items]
Fair value assets	0	0
Significant Unobservable Inputs (Level 3) [Member] | U.S. Treasury Mutual Fund [Member]
Fair Value Assets Measured On Recurring Basis [Line Items]
Fair value assets	$ 0	$ 0

Fair Value Measurements - Addit

Fair Value Measurements - Additional Information (Details) - USD ($) $ in Thousands	Mar. 31, 2019	Dec. 31, 2018
Non-Recurring [Member]
Fair Value Assets Measured On Recurring Basis [Line Items]
Liabilities, fair value disclosure, non-recurring	$ 0	$ 0

Inventories - Additional Inform

Inventories - Additional Information (Details) - USD ($) $ in Thousands	Mar. 31, 2019	Dec. 31, 2018
Inventory Disclosure [Abstract]
Inventory reserve for obsolescence	$ 1,341	$ 1,266

Inventories - Schedule of Inven

Inventories - Schedule of Inventories (Details) - USD ($) $ in Thousands	Mar. 31, 2019	Dec. 31, 2018
Classification of Inventories [Abstract]
Raw materials	$ 2,247	$ 1,719
Work in process	2,034	1,807
Finished goods	892	940
Total Inventories, net	$ 5,173	$ 4,466

Intangible Assets (Details)

Intangible Assets (Details) - USD ($)	3 Months Ended
	Mar. 31, 2019	Dec. 31, 2018
Acquired Finite-Lived Intangible Assets [Line Items]
Intangible assets carrying value	$ 418,000	$ 437,000
Goodwill	$ 40,000	$ 40,000
Maximum [Member]
Acquired Finite-Lived Intangible Assets [Line Items]
Estimated useful life of intangible assets	10 years

Stock-Based Compensation - Addi

Stock-Based Compensation - Additional Information (Details)	3 Months Ended
	Mar. 31, 2019USD ($)
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]
Dividend rate	0.00%
Unrecognized compensation expense	$ 25,000
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition	1 year 3 months 18 days

Earnings Per Share - Additional

Earnings Per Share - Additional Information (Details) - shares	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Options [Member]
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Securities excluded from the diluted earnings per share computation (in shares)	6,067	9,541
Warrant [Member]
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Securities excluded from the diluted earnings per share computation (in shares)		519,241

Earnings Per Share - Reconcilia

Earnings Per Share - Reconciliation of Basic to Diluted Weighted Average Shares Outstanding (Details) - shares	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Weighted Average Number of Shares Outstanding Reconciliation [Abstract]
Weighted average shares outstanding - basic	4,838,568	4,696,415
Effect of diluted securities	121,068	109,781
Weighted average shares outstanding - diluted	4,959,636	4,806,196

Stockholders' Equity - Addition

Stockholders' Equity - Additional Information (Details) - USD ($) $ in Thousands	Mar. 31, 2019	Dec. 31, 2018	Aug. 29, 2011
Stockholders Equity Note [Abstract]
Number of shares authorized and available for repurchase (in shares)	540,000		100,000
Treasury stock, shares (in shares)	81,584	81,584
Value of repurchased common stock	$ 580	$ 580

Segment Information - Additiona

Segment Information - Additional Information (Details)	3 Months Ended
	Mar. 31, 2019Segment
Segment Reporting [Abstract]
Number of reportable business segments	2

Segment Information - Schedule

Segment Information - Schedule of Reportable Business Segment (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Revenues from Operations
Revenues from operations	$ 6,632	$ 5,945
Operating Income
Total operating income	434	158
Interest income, net	1	12
Other income, net	153	24
Total other income	154	36
Income Before Income Taxes	588	194
Unallocated corporate expense [Member]
Operating Income
Total operating income	(217)	(394)
Electronic components [Member]
Revenues from Operations
Revenues from operations	6,331	5,731
Electronic components [Member] | Reportable Segment [Member]
Operating Income
Total operating income	558	550
Electronic instruments [Member]
Revenues from Operations
Revenues from operations	301	214
Electronic instruments [Member] | Reportable Segment [Member]
Operating Income
Total operating income	$ 93	$ 2

Domestic and Foreign Revenues -

Domestic and Foreign Revenues - Additional Information (Details)	3 Months Ended
	Mar. 31, 2019
Foreign [Member] | Sales Revenue, Segment [Member] | Customer Concentration Risk [Member]
Entity Wide Revenue Major Customer [Line Items]
Portion of foreign sales	10.00%

Domestic and Foreign Revenues_2

Domestic and Foreign Revenues - Significant Foreign Revenues from Operations (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Entity Wide Revenue Major Customer [Line Items]
Revenues from operations	$ 6,632	$ 5,945
Malaysia [Member]
Entity Wide Revenue Major Customer [Line Items]
Revenues from operations	825	695
Hong Kong [Member]
Entity Wide Revenue Major Customer [Line Items]
Revenues from operations	267	105
All other foreign countries [Member]
Entity Wide Revenue Major Customer [Line Items]
Revenues from operations	617	634
Foreign [Member]
Entity Wide Revenue Major Customer [Line Items]
Revenues from operations	1,709	1,434
Domestic [Member]
Entity Wide Revenue Major Customer [Line Items]
Revenues from operations	$ 4,923	$ 4,511