CVD Equipment (CVV) 10-Q 14 Nov 18 2018 Q3 Quarterly report Financial data

Document And Entity Information

Document And Entity Information - shares	9 Months Ended
	Sep. 30, 2018	Nov. 03, 2018
Document Information [Line Items]
Entity Registrant Name	CVD EQUIPMENT CORP
Entity Central Index Key	766,792
Trading Symbol	cvv
Current Fiscal Year End Date	--12-31
Entity Filer Category	Non-accelerated Filer
Entity Current Reporting Status	Yes
Entity Emerging Growth Company	false
Entity Small Business	true
Entity Common Stock, Shares Outstanding (in shares)		6,507,514
Document Type	10-Q
Document Period End Date	Sep. 30, 2018
Document Fiscal Year Focus	2,018
Document Fiscal Period Focus	Q3
Amendment Flag	false

Consolidated Balance Sheets (Cu

Consolidated Balance Sheets (Current Period Unaudited) - USD ($)	Sep. 30, 2018	Dec. 31, 2017
Current Assets:
Cash and cash equivalents	$ 14,192,180	$ 14,210,909
Accounts receivable, net	2,587,367	2,058,617
Contract assets	2,551,155	8,397,024
Inventories	2,751,504	2,965,623
Prepaid expenses and other current assets	537,683	167,425
Total Current Assets	22,619,889	27,799,598
Property, plant and equipment, net	30,272,974	28,839,457
Deferred income taxes	1,925,108	1,609,186
Deposits	71,875	67,847
Intangible assets, net	520,220	662,162
Total Assets	55,410,066	58,978,250
Current Liabilities:
Accounts payable	1,261,385	1,174,968
Accrued expenses	1,777,662	2,738,373
Current maturities of long-term debt	657,811	647,324
Current portion acquisition related contingent payments	100,000	100,000
Contract liabilities	229,216	466,313
Deferred revenue	890,447	291,953
Total Current Liabilities	4,916,521	5,418,931
Long-term acquisition related contingent payments	200,000	200,000
Long-term debt, net of current portion	12,211,266	12,705,683
Total Long-Term liabilities	12,411,266	12,905,683
Total Liabilities	17,327,787	18,324,614
Commitments and Contingencies
Stockholders’ Equity
Common stock - $0.01 par value – 20,000,000 shares authorized; issued and outstanding, 6,496,332 at September 30, 2018 and 6,458,714 at December 31, 2017	64,963	64,587
Additional paid-in-capital	25,912,507	25,209,316
Retained earnings	12,104,809	15,379,733
Total Stockholders’ Equity	38,082,279	40,653,636
Total Liabilities and Stockholders’ Equity	$ 55,410,066	$ 58,978,250

Consolidated Balance Sheets (_2

Consolidated Balance Sheets (Current Period Unaudited) (Parentheticals) - $ / shares	Sep. 30, 2018	Dec. 31, 2017
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	20,000,000	20,000,000
Common stock, shares issued (in shares)	6,496,332	6,458,714
Common stock, shares outstanding (in shares)	6,496,332	6,458,714

Consolidated Statements of Oper

Consolidated Statements of Operations (Unaudited) - USD ($)	3 Months Ended			9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017		Sep. 30, 2018	Sep. 30, 2017
Revenue	$ 4,027,768	$ 10,831,729		$ 19,616,879	$ 31,312,055
Cost of revenue	4,083,752	6,229,062		14,795,731	18,127,799
Gross (loss)/profit	(55,984)	4,602,667		4,821,148	13,184,256
Operating expenses
Research and development	240,613	158,310		465,536	339,610
Selling and shipping	331,280	345,406		1,244,004	983,731
General and administrative	2,225,593	2,208,628		6,434,123	6,423,016
Total operating expenses	2,797,486	2,712,344		8,143,663	7,746,357
Operating (loss)/income	(2,853,470)	1,890,323	[1]	(3,322,515)	5,437,899
Other income (expense)
Interest income	40,720	28,485		86,994	54,538
Interest expense	(114,692)	(17,189)		(355,325)	(52,433)
Other (expense)/income		2,575			3,014
Total other (expense), net	(73,972)	13,871		(268,331)	5,119
(Loss)/income before income taxes	(2,927,442)	1,904,194		(3,590,846)	5,443,018
Income tax (benefit)/expense	(424,640)	508,316		(315,922)	1,766,231
Net (loss)/income	$ (2,502,802)	$ 1,395,878		$ (3,274,924)	$ 3,676,787
Basic (loss)/income per common share (in dollars per share)	$ (0.39)	$ 0.22		$ (0.51)	$ 0.58
Diluted (loss)/income per common share (in dollars per share)	$ (0.39)	$ 0.22		$ (0.51)	$ 0.58
Weighted average common shares Outstanding-basic (in shares)	6,494,986	6,378,656		6,482,870	6,314,224
Stock options (in shares)		34,410			33,748
Weighted average common shares Outstanding-diluted (in shares)	6,494,986	6,413,066		6,482,870	6,347,972
[1]	All elimination entries represent intersegment transactions eliminated in consolidation for external financial reporting.

Consolidated Statements of Cash

Consolidated Statements of Cash Flows (Unaudited) - USD ($)	9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017
Cash flows from operating activities:
Net (loss)/income	$ (3,274,924)	$ 3,676,787
Adjustments to reconcile net (loss)/income to net cash provided by/(used in) operating activities:
Stock-based compensation expense	703,567	677,552
Depreciation and amortization	824,861	623,656
Deferred tax (benefit)/expense	(315,922)	559,123
Provision for doubtful accounts	275	3,724
Changes in operating assets and liabilities:
Accounts receivable, net	(529,026)	(3,453,556)
Contract assets	5,845,869	(1,861,408)
Inventories	214,119	263,531
Prepaid expenses and other current assets	(370,257)	(202,656)
Deposits and other assets	144,715	23,613
Increases/(decreases) in operating liabilities:
Accounts payable and accrued expenses	(874,293)	649,089
Contract liabilities	(237,098)	(5,046,437)
Deferred revenue	598,494	420,965
Total adjustments	6,005,304	(7,342,804)
Net cash provided by/(used in) operating activities	2,730,380	(3,666,017)
Cash flows from investing activities:
Capital expenditures	(2,258,379)	(618,505)
Deposits	(6,800)	(9,127)
Net cash (used in) investing activities	(2,265,179)	(627,632)
Cash flows from financing activities:
Net proceeds from stock options exercised		22,120
Principal payments of long-term debt	(483,930)	(225,000)
Net cash (used in) financing activities	(483,930)	(202,880)
Net (decrease) in cash and cash equivalents	(18,729)	(4,496,529)
Cash and cash equivalents at beginning of period	14,210,909	21,677,186
Cash and cash equivalents at end of period	14,192,180	17,180,657
Supplemental disclosure of cash flow information:
Income taxes paid	395,000	701,800
Interest paid	$ 355,322	$ 52,433

Note 1 - Basis of Presentation

Note 1 - Basis of Presentation	9 Months Ended
	Sep. 30, 2018
Notes to Financial Statements
Business Description and Basis of Presentation [Text Block]	NOTE 1: The accompanying unaudited consolidated financial statements for CVD Equipment Corporation and subsidiaries (collectively, “the Company”) have been prepared in accordance with accounting principles generally accepted in the United States of America for interim financial information and with the instructions to Form 10 8 X. not not three nine September 30, 2018 not December 31, 2018. The balance sheet as of December 31, 2017 not 10 December 31, 2017, 2 All material intercompany transactions have been eliminated in consolidation. In addition, certain reclassifications have been made to prior period consolidated financial statements to conform to the current year presentation.

Note 2 - Summary of Significant

Note 2 - Summary of Significant Accounting Policies	9 Months Ended
	Sep. 30, 2018
Notes to Financial Statements
Significant Accounting Policies [Text Block]	NOTE 2: INVENTORIES, NET Inventories are valued at the lower of cost (determined on the first first Revenue Recognition On January 1, 2018, 606, not January 1, 2018 606, not The adoption of ASC 606 not three nine September 30, 2018 not The Company designs, manufactures and sells custom chemical vapor deposition equipment through contractual agreements. These system sales require the Company to deliver functioning equipment that is generally completed within three eighteen Incurred costs include all direct material and labor costs and those indirect costs related to contract performance, such as indirect labor, supplies, tools, repairs and depreciation costs. Contract material costs are included in incurred costs when the project materials have been purchased or moved to work in process as required by the project’s engineering design. Cost based input methods of revenue recognition require the Company to make estimates of costs to complete the projects. In making such estimates, significant judgment is required to evaluate assumptions related to the costs to complete the projects, including materials, labor and other system costs. If the estimated total costs on any contract are greater than the net contract revenues, the Company recognizes the entire estimated loss in the period the loss becomes known and can be reasonably estimated. “Contract assets,” include unbilled amounts typically resulting from sales under contracts when revenue recognition is utilized and revenue recognized exceeds the amount billed to the customer. The amount may not “Contract liabilities,” include advance payments and billings in excess of revenue recognized. Contract liabilities are classified as current based on our contract operating cycle and reported on a contract-by-contract basis, net of revenue recognized, at the end of each reporting period. For outright sales of products, revenue is recognized when control of the promised products or services is transferred to our customers, in an amount that reflects the consideration we expect to be entitled to in exchange for those products or services (the transaction price). A performance obligation is a promise in a contract to transfer a distinct product or service to a customer and is the unit of account under ASC 606. Impact to Previously Reported Results (In thousands) Adoption of As Reported ASC 606 As Adjusted Costs and estimated earnings in excess of billings $ 8,397 $ (8,397 ) $ --- Contract assets --- 8,397 8,397 Billings in excess of costs and estimated earnings 466 (466 ) --- Contract liabilities --- 466 466 Research and Development Research and development costs are expensed as incurred. Due to the highly technical nature of our projects, we use our technical staff in a dual role, and based on their contribution to the customer or research and development projects, their costs are charged accordingly to either cost of goods sold or research and development. Recent Accounting Pronouncements In February 2018, 2018 02, Income Statement-R eporting Comprehensive Income (Topic 220 c ts from Accumulated Other Comprehensive Income 2017 December 15, 2018 In June 2016, 2016 13, Financial Instruments – Credit Losses (Topic 326 December 15, 2019 December 15, 2018 In February 2016, 2016 02, Leases (Topic 842 840, Leases 842, Leases 12 not 2014 09. December 15, 2018 not 842 We believe there is no not may

Note 3 - Concentration of Credi

Note 3 - Concentration of Credit Risk	9 Months Ended
	Sep. 30, 2018
Notes to Financial Statements
Concentration Risk Disclosure [Text Block]	NOTE 3: Cash and cash equivalents Financial instruments that potentially subject the Company to concentrations of credit risk consist of cash and cash equivalents and accounts receivable. The Company places its cash equivalents with high credit-quality financial institutions and invests its excess cash primarily in savings accounts and money market instruments. Cash and cash equivalents at September 30, 2018 December 31, 2017, $12,593,000 $12,198,000, Sales concentration Revenue to a single customer in any one 10% three September 30, 2018 September 30 2017, one 26% 59%, nine September 30, 2018 September 30, 2017 40% 65%, Accounts receivable The Company sells products and services to various companies across several industries in the ordinary course of business. The Company performs ongoing credit evaluations to assess the probability of accounts receivable collection based on a number of factors, including past transaction experience, evaluation of their credit history and review of the invoicing terms of the contract to determine the financial strength of its customers. The Company also maintains allowances for anticipated losses. The accounts receivable balance as of September 30, 2018 two 10% September 30, 2017 three 10% five

Note 4 - Revenue From Contracts

Note 4 - Revenue From Contracts With Customers	9 Months Ended
	Sep. 30, 2018
Notes to Financial Statements
Revenue from Contract with Customer [Text Block]	NOTE 4: The following table represents a disaggregation of revenue from contracts for the three nine September 30, 2018 September 30, 2017: (In thousands) Three Months Ended Nine Months Ended Category September 30, 2018 September 30, 2017 September 30, 2018 September 30, 2017 Aerospace 429 6,410 6,508 20,346 Industrial 755 1,653 5,963 5,035 Research 503 526 2,378 1,988 Point in time 2,341 2,243 4,768 3,943 Net revenue 4,028 10,832 19,617 31,312 Judgment is required to evaluate assumptions including the amount of net contract revenues and the total estimated costs to determine our progress towards contract completion and to calculate the corresponding amount of revenue to recognize. Changes in estimates for sales of systems occur for a variety of reasons, including but not may three nine September 30, 2018 Three Months Ended Nine Months Ended (In thousands) September 30, 2018 September 30, 2018 Increase in revenue from net changes in transaction prices $ 71 146 (Decrease) in revenue from net changes in input cost estimates (1,170 ) (1,740 ) Net (decrease) in revenue from net changes in estimates (1,099 ) (1,594 ) Number of projects 15 15 Net change in estimate as a percentage of aggregate revenue for associated projects (2.4 %) (3.4 %) For the three nine September 30, 2018, $1,099,000 $1,594,000, Contract Assets and Liabilities Contract assets consist of (i) retainage which represent the earned, but unbilled, portion for which payment is deferred by the customer until certain contractual milestones are met; and (ii) unbilled receivables which represent revenue that has been recognized in advance of billing the customer, which is common for long-term contracts. Contract liabilities consist of customer advances and billings in excess of revenue recognized. Contract Assets and Liabilities During the nine September 30, 2018, $5.8 nine September 30, 2018, $237,000

Note 5 - Inventories, Net

Note 5 - Inventories, Net	9 Months Ended
	Sep. 30, 2018
Notes to Financial Statements
Inventory Disclosure [Text Block]	NOTE 5: Inventories consist of: (in thousands) September 30, 2018 December 31, 2017 Raw materials $ 1,943 $ 2,549 Work-in-process 782 390 Finished goods 27 27 Totals $ 2,752 $ 2,966

Note 6 - Accounts Receivable, N

Note 6 - Accounts Receivable, Net	9 Months Ended
	Sep. 30, 2018
Notes to Financial Statements
Loans, Notes, Trade and Other Receivables Disclosure [Text Block]	NOTE 6: Accounts receivable are presented net of an allowance for doubtful accounts of approximately $4,000 September 30, 2018 December 31, 2017, may

Note 7 - Deferred Revenue

Note 7 - Deferred Revenue	9 Months Ended
	Sep. 30, 2018
Notes to Financial Statements
Deferred Revenue Disclosure [Text Block]	NOTE 7: Deferred revenue of $890,000 September 30, 2018 $292,000 December 31, 2017

Note 8 - Long-term Debt

Note 8 - Long-term Debt	9 Months Ended
	Sep. 30, 2018
Notes to Financial Statements
Long-term Debt [Text Block]	NOTE 8: The Company’s revolving credit facility with HSBC Bank, USA, N.A. (“HSBC”) expired by its terms on September 1, 2018. not not not ten twelve no The Company has a loan agreement with HSBC which is secured by a mortgage against our facility at 355 120 $25,000 March 2022. September 30, 2018 December 31, 2017 $2.7 $3.0 1.75%, 4.01% 3.31% September 30, 2018 December 31, 2017, September 30, 2018, not one October 1, 2019. The Company has an additional loan agreement with HSBC which is secured by a mortgage against our facility at 555 60 $63,000 3.91%. December 1, 2022. September 30, 2018 December 31, 2017 $10.1 $10.4 September 30, 2018, not one October 1, 2019.

Note 9 - Stock-based Compensati

Note 9 - Stock-based Compensation Expense	9 Months Ended
	Sep. 30, 2018
Notes to Financial Statements
Disclosure of Compensation Related Costs, Share-based Payments [Text Block]	NOTE 9: During the three nine September 30, 2018 September 30, 2017, $280,000 $242,000 $704,000 $678,000, 718,

Note 10 - Income Taxes

Note 10 - Income Taxes	9 Months Ended
	Sep. 30, 2018
Notes to Financial Statements
Income Tax Disclosure [Text Block]	NOTE 10: The provision for income taxes includes the following: Nine Months Ended September 30, 2018 2017 Current: Federal $ --- $ 1,195,528 State --- 11,580 Total Current Provision 1,207,108 Deferred: Federal $ (315,922 ) $ 559,123 State ---- ---- Total deferred (315,922 ) 559,123 Income tax (benefit)/expense $ (315,922 ) $ 1,766,231 Tax Rate Reconciliation The reconciliation between the Company’s effective tax rate on income from continuing operations and the statutory rate is as follows: Nine Months Ended September 30, 2018 2017 Income tax (benefit)/expense at federal statutory rate [21%-2018; 34%-2017] $ (652,837 ) $ 2,075,004 Change in other accruals 45,540 90,781 Difference between tax and book depreciation 89,558 (201,847 ) Stock-based compensation 201,817 (197,707 ) Income tax (benefit)/expense $ (315,922 ) $ 1,766,231 ● The Company’s foreign entity, CVD Tantaline ApS, has incurred losses since its inception in December 2016, $303,000 September 30, 2018 $190,000 December 31, 2017, 22%

Note 11 - Earnings Per Share

Note 11 - Earnings Per Share	9 Months Ended
	Sep. 30, 2018
Notes to Financial Statements
Earnings Per Share [Text Block]	NOTE 11: In accordance with ASC 260, Stock options to purchase 387,930 227,930 three nine September 30, 2018 no three nine September 30, 2018. 381,930 196,930 three nine September 30, 2017. three nine September 30, 2018, none three nine September 30, 2017, 34,410 33,748 The potentially dilutive common shares from options are calculated in accordance with the treasury stock method, which assumes that proceeds from the exercise of all warrants and options are used to repurchase common stock at market value. The amount of shares remaining after the proceeds are exhausted represents the potential dilutive effect of the securities.

Note 12 - Segment Reporting

Note 12 - Segment Reporting	9 Months Ended
	Sep. 30, 2018
Notes to Financial Statements
Segment Reporting Disclosure [Text Block]	NOTE 12: The Company operates through three 3 The Company’s corporate administration activities are reported in the Corporate column. These activities primarily include expenses related to certain corporate officers and support staff, expenses related to the Company’s Board of Directors, stock option expenses for shares granted to corporate administration employees, certain consulting expenses, investor and shareholder relations activities, interest on mortgages and the Company’s legal, auditing and professional fee expenses. Three Months Ended September 30, (In thousands) 2018 CVD SDC Materials Corporate Eliminations * Consolidated Assets $ 39,792 $ 6,288 $ 17,429 $ 1,925 (10,024 ) $ 55,410 Revenue 2,542 1,047 526 (87 ) 4,028 Operating (loss)/income (1,835 ) 125 (343 ) (801 ) (2,854 ) Pretax (loss)/income (1,850 ) 125 (442 ) (760 ) (2,927 ) 2017 Assets $ 39,663 $ 5,977 $ $ 1,952 (1,789 ) $ 45,803 Revenue 8,863 2,549 (580 ) 10,832 Operating income/(loss) 1,606 848 (550 ) 1,904 Pretax tax income/(loss) 1,606 848 (550 ) 1,904 Nine Months Ended September 30, (In thousands) 2018 CVD SDC Materials Corporate Eliminations * Consolidated Revenue $ 14,883 $ 4,151 $ 1,256 $ (673 ) $ 19,617 Operating (loss)/income (212 ) 535 (1,505 ) (2,140 ) (3,322 ) Pretax (loss)/income (266 ) 535 (1,806 ) (2,053 ) (3,590 ) 2017 Revenue $ 26,848 $ 6,361 $ $ (1,896 ) $ 31,313 Operating income/(loss) 4,604 2,384 (1,551 ) 5,437 Pretax tax income/(loss) 4,604 2,384 (1,545 ) 5,443 *All elimination entries represent intersegment transactions eliminated in consolidation for external financial reporting.

Note 13 - Pro Forma Financial I

Note 13 - Pro Forma Financial Information	9 Months Ended
	Sep. 30, 2018
Notes to Financial Statements
Business Combination Disclosure [Text Block]	NOTE 13: The unaudited pro forma information for the periods set forth below gives effect to the 2017 January 1, 2017. not No 2018 three nine September 30, 2018. Three-Month Period Nine-Month Period September 30, 2017 September 30, 2017 Revenue $ 11,084 $ 31,952 Net income 1,226 3,360 Diluted income per common share 0.19 0.53

Note 14 - Commitments and Conti

Note 14 - Commitments and Contingencies	9 Months Ended
	Sep. 30, 2018
Notes to Financial Statements
Commitments and Contingencies Disclosure [Text Block]	NOTE 14: Pursuant to an Asset Purchase Agreement entered into on October 31, 2017, $800,000 $500,000 $300,000 may two 2 twelve 12 $300,000 September 30, 2018 December 31, 2017.

Significant Accounting Policies

Significant Accounting Policies (Policies)	9 Months Ended
	Sep. 30, 2018
Accounting Policies [Abstract]
Inventory, Policy [Policy Text Block]	INVENTORIES, NET Inventories are valued at the lower of cost (determined on the first first
Revenue Recognition, Policy [Policy Text Block]	Revenue Recognition On January 1, 2018, 606, not January 1, 2018 606, not The adoption of ASC 606 not three nine September 30, 2018 not The Company designs, manufactures and sells custom chemical vapor deposition equipment through contractual agreements. These system sales require the Company to deliver functioning equipment that is generally completed within three eighteen Incurred costs include all direct material and labor costs and those indirect costs related to contract performance, such as indirect labor, supplies, tools, repairs and depreciation costs. Contract material costs are included in incurred costs when the project materials have been purchased or moved to work in process as required by the project’s engineering design. Cost based input methods of revenue recognition require the Company to make estimates of costs to complete the projects. In making such estimates, significant judgment is required to evaluate assumptions related to the costs to complete the projects, including materials, labor and other system costs. If the estimated total costs on any contract are greater than the net contract revenues, the Company recognizes the entire estimated loss in the period the loss becomes known and can be reasonably estimated. “Contract assets,” include unbilled amounts typically resulting from sales under contracts when revenue recognition is utilized and revenue recognized exceeds the amount billed to the customer. The amount may not “Contract liabilities,” include advance payments and billings in excess of revenue recognized. Contract liabilities are classified as current based on our contract operating cycle and reported on a contract-by-contract basis, net of revenue recognized, at the end of each reporting period. For outright sales of products, revenue is recognized when control of the promised products or services is transferred to our customers, in an amount that reflects the consideration we expect to be entitled to in exchange for those products or services (the transaction price). A performance obligation is a promise in a contract to transfer a distinct product or service to a customer and is the unit of account under ASC 606. Impact to Previously Reported Results (In thousands) Adoption of As Reported ASC 606 As Adjusted Costs and estimated earnings in excess of billings $ 8,397 $ (8,397 ) $ --- Contract assets --- 8,397 8,397 Billings in excess of costs and estimated earnings 466 (466 ) --- Contract liabilities --- 466 466
Research and Development Expense, Policy [Policy Text Block]	Research and Development Research and development costs are expensed as incurred. Due to the highly technical nature of our projects, we use our technical staff in a dual role, and based on their contribution to the customer or research and development projects, their costs are charged accordingly to either cost of goods sold or research and development.
New Accounting Pronouncements, Policy [Policy Text Block]	Recent Accounting Pronouncements In February 2018, 2018 02, Income Statement-R eporting Comprehensive Income (Topic 220 c ts from Accumulated Other Comprehensive Income 2017 December 15, 2018 In June 2016, 2016 13, Financial Instruments – Credit Losses (Topic 326 December 15, 2019 December 15, 2018 In February 2016, 2016 02, Leases (Topic 842 840, Leases 842, Leases 12 not 2014 09. December 15, 2018 not 842 We believe there is no not may

Note 2 - Summary of Significa_2

Note 2 - Summary of Significant Accounting Policies (Tables)	9 Months Ended
	Sep. 30, 2018
Notes Tables
Schedule of New Accounting Pronouncements and Changes in Accounting Principles [Table Text Block]	(In thousands) Adoption of As Reported ASC 606 As Adjusted Costs and estimated earnings in excess of billings $ 8,397 $ (8,397 ) $ --- Contract assets --- 8,397 8,397 Billings in excess of costs and estimated earnings 466 (466 ) --- Contract liabilities --- 466 466

Note 4 - Revenue From Contrac_2

Note 4 - Revenue From Contracts With Customers (Tables)	9 Months Ended
	Sep. 30, 2018
Notes Tables
Disaggregation of Revenue [Table Text Block]	(In thousands) Three Months Ended Nine Months Ended Category September 30, 2018 September 30, 2017 September 30, 2018 September 30, 2017 Aerospace 429 6,410 6,508 20,346 Industrial 755 1,653 5,963 5,035 Research 503 526 2,378 1,988 Point in time 2,341 2,243 4,768 3,943 Net revenue 4,028 10,832 19,617 31,312
Contract with Customer, Asset and Liability [Table Text Block]	Three Months Ended Nine Months Ended (In thousands) September 30, 2018 September 30, 2018 Increase in revenue from net changes in transaction prices $ 71 146 (Decrease) in revenue from net changes in input cost estimates (1,170 ) (1,740 ) Net (decrease) in revenue from net changes in estimates (1,099 ) (1,594 ) Number of projects 15 15 Net change in estimate as a percentage of aggregate revenue for associated projects (2.4 %) (3.4 %)

Note 5 - Inventories, Net (Tabl

Note 5 - Inventories, Net (Tables)	9 Months Ended
	Sep. 30, 2018
Notes Tables
Schedule of Inventory, Current [Table Text Block]	(in thousands) September 30, 2018 December 31, 2017 Raw materials $ 1,943 $ 2,549 Work-in-process 782 390 Finished goods 27 27 Totals $ 2,752 $ 2,966

Note 10 - Income Taxes (Tables)

Note 10 - Income Taxes (Tables)	9 Months Ended
	Sep. 30, 2018
Notes Tables
Schedule of Components of Income Tax Expense (Benefit) [Table Text Block]	Nine Months Ended September 30, 2018 2017 Current: Federal $ --- $ 1,195,528 State --- 11,580 Total Current Provision 1,207,108 Deferred: Federal $ (315,922 ) $ 559,123 State ---- ---- Total deferred (315,922 ) 559,123 Income tax (benefit)/expense $ (315,922 ) $ 1,766,231
Schedule of Effective Income Tax Rate Reconciliation [Table Text Block]	Nine Months Ended September 30, 2018 2017 Income tax (benefit)/expense at federal statutory rate [21%-2018; 34%-2017] $ (652,837 ) $ 2,075,004 Change in other accruals 45,540 90,781 Difference between tax and book depreciation 89,558 (201,847 ) Stock-based compensation 201,817 (197,707 ) Income tax (benefit)/expense $ (315,922 ) $ 1,766,231

Note 12 - Segment Reporting (Ta

Note 12 - Segment Reporting (Tables)	9 Months Ended
	Sep. 30, 2018
Notes Tables
Schedule of Segment Reporting Information, by Segment [Table Text Block]	2018 CVD SDC Materials Corporate Eliminations * Consolidated Assets $ 39,792 $ 6,288 $ 17,429 $ 1,925 (10,024 ) $ 55,410 Revenue 2,542 1,047 526 (87 ) 4,028 Operating (loss)/income (1,835 ) 125 (343 ) (801 ) (2,854 ) Pretax (loss)/income (1,850 ) 125 (442 ) (760 ) (2,927 ) 2017 Assets $ 39,663 $ 5,977 $ $ 1,952 (1,789 ) $ 45,803 Revenue 8,863 2,549 (580 ) 10,832 Operating income/(loss) 1,606 848 (550 ) 1,904 Pretax tax income/(loss) 1,606 848 (550 ) 1,904 2018 CVD SDC Materials Corporate Eliminations * Consolidated Revenue $ 14,883 $ 4,151 $ 1,256 $ (673 ) $ 19,617 Operating (loss)/income (212 ) 535 (1,505 ) (2,140 ) (3,322 ) Pretax (loss)/income (266 ) 535 (1,806 ) (2,053 ) (3,590 ) 2017 Revenue $ 26,848 $ 6,361 $ $ (1,896 ) $ 31,313 Operating income/(loss) 4,604 2,384 (1,551 ) 5,437 Pretax tax income/(loss) 4,604 2,384 (1,545 ) 5,443

Note 13 - Pro Forma Financial_2

Note 13 - Pro Forma Financial Information (Tables)	9 Months Ended
	Sep. 30, 2018
Notes Tables
Business Acquisition, Pro Forma Information [Table Text Block]	Three-Month Period Nine-Month Period September 30, 2017 September 30, 2017 Revenue $ 11,084 $ 31,952 Net income 1,226 3,360 Diluted income per common share 0.19 0.53

Note 2 - Summary of Significa_3

Note 2 - Summary of Significant Accounting Policies - Impact on Previously Reported Results (Details) - USD ($)	Sep. 30, 2018	Dec. 31, 2017
Costs and estimated earnings in excess of billings
Contract assets	$ 2,551,155	8,397,024
Billings in excess of costs and estimated earnings
Contract liabilities	$ 229,216	466,313
Previously Reported [Member]
Costs and estimated earnings in excess of billings		8,397,000
Contract assets
Billings in excess of costs and estimated earnings		466,000
Contract liabilities
Restatement Adjustment [Member] | Accounting Standards Update 2014-09 [Member]
Costs and estimated earnings in excess of billings		(8,397,000)
Contract assets		8,397,000
Billings in excess of costs and estimated earnings		(466,000)
Contract liabilities		$ 466,000

Note 3 - Concentration of Cre_2

Note 3 - Concentration of Credit Risk (Details Textual)	3 Months Ended		9 Months Ended
	Sep. 30, 2018USD ($)	Sep. 30, 2017	Sep. 30, 2018USD ($)	Sep. 30, 2017	Dec. 31, 2017USD ($)
Cash, Uninsured Amount	$ 12,593,000		$ 12,593,000		$ 12,198,000
Export Sales To Unaffiliated Customers As Percentage Of Total Sales	10.00%
Number Of Major Customers	1	1
Accounts Receivable [Member]
Number Of Major Customers			3
Customer Concentration Risk [Member] | Sales Revenue, Net [Member] | Customer A [Member]
Concentration Risk, Percentage	26.00%	59.00%	40.00%	65.00%

Note 4 - Revenue From Contrac_3

Note 4 - Revenue From Contracts With Customers (Details Textual) - USD ($)	3 Months Ended	9 Months Ended
	Sep. 30, 2018	Sep. 30, 2018	Sep. 30, 2017
Contract with Customer, Cumulative Catch-up Adjustment to Revenue, Change in Estimate of Transaction Price and Input Costs	$ (1,099,000)	$ (1,594,000)
Increase (Decrease) in Contract with Customer, Asset		(5,845,869)	$ 1,861,408
Increase (Decrease) in Contract with Customer, Liability		$ (237,098)	$ (5,046,437)

Note 4 - Revenue From Contrac_4

Note 4 - Revenue From Contracts With Customers - Disaggregation of Revenue (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Net Revenue	$ 4,027,768	$ 10,831,729	$ 19,616,879	$ 31,312,055
Transferred at Point in Time [Member]
Net Revenue	2,341,000	2,243,000	4,768,000	3,943,000
Aerospace [Member]
Net Revenue	429,000	6,410,000	6,508,000	20,346,000
Industrial [Member]
Net Revenue	755,000	1,653,000	5,963,000	5,035,000
Research [Member]
Net Revenue	$ 503,000	$ 526,000	$ 2,378,000	$ 1,988,000

Note 4 - Revenue From Contrac_5

Note 4 - Revenue From Contracts With Customers - Changes in Estimates (Details) - USD ($)	3 Months Ended	9 Months Ended
	Sep. 30, 2018	Sep. 30, 2018
Increase in revenue from net changes in transaction prices	$ 71,000	$ 146,000
(Decrease) in revenue from net changes in input cost estimates	(1,170,000)	(1,740,000)
Net (decrease) in revenue from net changes in estimates	$ (1,099,000)	$ (1,594,000)
Number of projects	15	15
Net change in estimate as a percentage of aggregate revenue for associated projects	(2.40%)	(3.40%)

Note 5 - Inventories - Componen

Note 5 - Inventories - Components of Inventories (Details) - USD ($)	Sep. 30, 2018	Dec. 31, 2017
Raw materials	$ 1,943,000	$ 2,549,000
Work-in-process	782,000	390,000
Finished goods	27,000	27,000
Totals	$ 2,751,504	$ 2,965,623

Note 6 - Accounts Receivable,_2

Note 6 - Accounts Receivable, Net (Details Textual) - USD ($)	Sep. 30, 2018	Dec. 31, 2017
Allowance for Doubtful Accounts Receivable, Ending Balance	$ 4,000	$ 4,000

Note 7 - Deferred Revenue (Deta

Note 7 - Deferred Revenue (Details Textual) - USD ($)	Sep. 30, 2018	Dec. 31, 2017
Deferred Revenue	$ 890,000	$ 292,000

Note 8 - Long-term Debt (Detail

Note 8 - Long-term Debt (Details Textual)	9 Months Ended
	Sep. 30, 2018USD ($)	Dec. 31, 2017USD ($)
HSBC Bank Mortgage Loan [Member]
Debt Instrument, Number of Payments	120
Debt Instrument, Periodic Payment, Total	$ 25,000
Long-term Debt, Total	$ 2,700,000	$ 3,000,000
Debt Instrument, Interest Rate, Stated Percentage	4.01%	3.31%
HSBC Bank Mortgage Loan [Member] | London Interbank Offered Rate (LIBOR) [Member]
Debt Instrument, Basis Spread on Variable Rate	1.75%
HSBC Bank Second Mortgage Loan [Member]
Debt Instrument, Number of Payments	60
Debt Instrument, Periodic Payment, Total	$ 63,000
Long-term Debt, Total	$ 10,100,000	$ 10,400,000
Debt Instrument, Interest Rate, Stated Percentage	3.91%

Note 9 - Stock-based Compensa_2

Note 9 - Stock-based Compensation Expense (Details Textual) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Allocated Share-based Compensation Expense, Total	$ 280,000	$ 242,000	$ 704,000	$ 678,000

Note 10 - Income Taxes (Details

Note 10 - Income Taxes (Details Textual) - CVD Tantaline ApS [Member] - Foreign Tax Authority [Member] - DENMARK - The Danish Ministry of Taxation [Member] - USD ($)	Sep. 30, 2018	Dec. 31, 2017
Deferred Tax Assets, Valuation Allowance, Total	$ 303,000	$ 190,000
Effective Income Tax Rate Reconciliation, at Foreign Statutory Income Tax Rate, Percent	22.00%
Deferred Tax Assets, Gross, Total	$ 303,000

Note 10 - Income Taxes - Compon

Note 10 - Income Taxes - Components of Income Taxes (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Current:
Federal				$ 1,195,528
State				11,580
Total Current Provision				1,207,108
Deferred:
Federal			(315,922)	559,123
State
Total deferred			(315,922)	559,123
Income tax (benefit)/expense	$ (424,640)	$ 508,316	$ (315,922)	$ 1,766,231

Note 10 - Income Taxes - Effect

Note 10 - Income Taxes - Effective Income Tax Rate Reconciliation (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Income tax (benefit)/expense at federal statutory rate [21%-2018; 34%-2017]			$ (652,837)	$ 2,075,004
Change in other accruals			45,540	90,781
Difference between tax and book depreciation			89,558	(201,847)
Stock-based compensation			201,817	(197,707)
Income tax (benefit)/expense	$ (424,640)	$ 508,316	$ (315,922)	$ 1,766,231

Note 10 - Income Taxes - Effe_2

Note 10 - Income Taxes - Effective Income Tax Rate Reconciliation (Details) (Parentheticals)	9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017
Income tax, rate	21.00%	34.00%

Note 11 - Earnings Per Share (D

Note 11 - Earnings Per Share (Details Textual) - shares	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number, Ending Balance	387,930	381,930	387,930	381,930
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercisable, Number	227,930	196,930	227,930	196,930
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross	0		0
Employee Stock Option [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	0		0
Incremental Common Shares Attributable to Share-based Payment Arrangements, Total		34,410		33,748

Note 12 - Segment Reporting (De

Note 12 - Segment Reporting (Details Textual)	9 Months Ended
	Sep. 30, 2018
Number of Operating Segments	3

Note 12 - Segment Reporting - S

Note 12 - Segment Reporting - Segment Information (Details) - USD ($)		3 Months Ended				9 Months Ended
		Sep. 30, 2018		Sep. 30, 2017		Sep. 30, 2018		Sep. 30, 2017	Dec. 31, 2017
Assets		$ 55,410,066		$ 45,803,000		$ 55,410,066		$ 45,803,000	$ 58,978,250
Revenue		4,027,768		10,831,729		19,616,879		31,312,055
Operating (loss)/income		(2,853,470)		1,890,323	[1]	(3,322,515)		5,437,899
Pretax (loss)/income		(2,927,442)		1,904,194		(3,590,846)		5,443,018
Corporate, Non-Segment [Member]
Assets		1,925,000		1,952,000		1,925,000		1,952,000
Revenue								(1,896,000)
Operating (loss)/income		(801,000)		(550,000)	[1]	(2,140,000)		(1,551,000)
Pretax (loss)/income		(760,000)		(550,000)		(2,053,000)		(1,545,000)
Intersegment Eliminations [Member]
Assets	[1]	(10,024,000)		(1,789,000)		(10,024,000)		(1,789,000)
Revenue	[1]	(87,000)		(580,000)		(673,000)
Operating (loss)/income	[1]
Pretax (loss)/income			[1]		[1]		[1]
CVD [Member] | Operating Segments [Member]
Assets		39,792,000		39,663,000		39,792,000		39,663,000
Revenue		2,542,000		8,863,000		14,883,000		26,848,000
Operating (loss)/income		(1,835,000)		1,606,000	[1]	(212,000)		4,604,000
Pretax (loss)/income		(1,850,000)		1,606,000		(266,000)		4,604,000
SDC [Member] | Operating Segments [Member]
Assets		6,288,000		5,977,000		6,288,000		5,977,000
Revenue		1,047,000		2,549,000		4,151,000		6,361,000
Operating (loss)/income		125,000		848,000	[1]	535,000		2,384,000
Pretax (loss)/income		125,000		848,000		535,000		2,384,000
Materials [Member] | Operating Segments [Member]
Assets		17,429,000				17,429,000
Revenue		526,000				1,256,000
Operating (loss)/income		(343,000)			[1]	(1,505,000)
Pretax (loss)/income		$ (442,000)				$ (1,806,000)
[1]	All elimination entries represent intersegment transactions eliminated in consolidation for external financial reporting.

Note 13 - Pro Forma Financial_3

Note 13 - Pro Forma Financial Information - Pro Forma Information for the 2017 Acquisition (Details) - MesoScribe Technologies, Inc [Member] - USD ($)	3 Months Ended	9 Months Ended
	Sep. 30, 2017	Sep. 30, 2017
Revenue	$ 11,084	$ 31,952
Net income	$ 1,226	$ 3,360
Diluted income per common share (in dollars per share)	$ 0.19	$ 0.53

Note 14 - Commitments and Con_2

Note 14 - Commitments and Contingencies (Details Textual) - Asset Purchase Agreement [Member] - USD ($)	Oct. 31, 2017	Sep. 30, 2018	Dec. 31, 2017
Business Combination, Contingent Consideration, Liability, Total		$ 300,000	$ 300,000
MesoScribe Technologies, Inc [Member]
Business Combination, Consideration Transferred, Total	$ 800,000
Payments to Acquire Businesses, Gross	500,000
Business Combination, Contingent Consideration Arrangements, Range of Outcomes, Value, High	$ 300,000