Cyanotech (CYAN) 10-Q 7 Feb 17 2017 Q3 Quarterly report Financial data

Document And Entity Information

Document And Entity Information - shares	9 Months Ended
	Dec. 31, 2016	Feb. 07, 2017
Document Information [Line Items]
Entity Registrant Name	Cyanotech Corp
Entity Central Index Key	768,408
Trading Symbol	cyan
Current Fiscal Year End Date	--03-31
Entity Filer Category	Smaller Reporting Company
Entity Current Reporting Status	Yes
Entity Voluntary Filers	No
Entity Well-known Seasoned Issuer	No
Entity Common Stock, Shares Outstanding (in shares)		5,668,881
Document Type	10-Q
Document Period End Date	Dec. 31, 2016
Document Fiscal Year Focus	2,017
Document Fiscal Period Focus	Q3
Amendment Flag	false

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets (Current Period Unaudited) - USD ($) $ in Thousands	Dec. 31, 2016	Mar. 31, 2016
Current assets:
Cash and cash equivalents	$ 1,662	$ 1,240
Accounts receivable, net of allowance for doubtful accounts of $49 at December 31, 2016 and $136 at March 31, 2016	2,467	2,983
Inventories, net	7,671	7,856
Deferred tax assets	74	74
Prepaid expenses and other current assets	758	502
Total current assets	12,632	12,655
Equipment and leasehold improvements, net	16,867	17,796
Other assets	222	392
Total assets	29,721	30,843
Current liabilities:
Line of credit	611
Current maturities of long-term debt	614	574
Customer deposits	76	117
Accounts payable	3,548	4,000
Accrued expenses	1,396	1,430
Total current liabilities	6,245	6,121
Long-term debt, net	6,400	6,790
Deferred tax liabilities	74	74
Deferred rent	43	30
Total liabilities	12,762	13,015
Commitments and contingencies
Stockholders’ equity:
Preferred stock of $0.01 par value, authorized 10,000,000 shares; no shares issued and outstanding
Common stock of $0.02 par value, shares authorized 50,000,000; 5,668,881 shares issued and outstanding at December 31, 2016 and 5,599,797 shares at March 31, 2016	113	112
Additional paid-in capital	31,657	31,585
Accumulated deficit	(14,811)	(13,869)
Total stockholders’ equity	16,959	17,828
Total liabilities and stockholders’ equity	$ 29,721	$ 30,843

Condensed Consolidated Balance3

Condensed Consolidated Balance Sheets (Current Period Unaudited) (Parentheticals) - USD ($) $ in Thousands	Dec. 31, 2016	Mar. 31, 2016
Accounts receivable, allowance for doubtful accounts	$ 49	$ 136
Preferred stock, par value (in dollars per share)	$ 0.01	$ 0.01
Preferred, authorized shares (in shares)	10,000,000	10,000,000
Preferred, issued shares (in shares)	0	0
Preferred outstanding, shares (in shares)	0	0
Common stock, par value (in dollars per share)	$ 0.02	$ 0.02
Common stock, authorized (in shares)	50,000,000	50,000,000
Common stock, issued (in shares)	5,668,881	5,599,797
Common stock, outstanding (in shares)	5,668,881	5,599,797

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations (Unaudited) - USD ($) shares in Thousands	3 Months Ended		9 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2016	Dec. 31, 2015
NET SALES	$ 7,605,000	$ 7,534,000	$ 24,789,000	$ 23,644,000
COST OF SALES	4,748,000	4,450,000	15,226,000	14,536,000
Gross profit	2,857,000	3,084,000	9,563,000	9,108,000
OPERATING EXPENSES:
General and administrative	1,138,000	1,331,000	4,864,000	3,998,000
Sales and marketing	1,749,000	1,325,000	4,774,000	4,673,000
Research and development	143,000	132,000	461,000	475,000
Total operating expenses	3,030,000	2,788,000	10,099,000	9,146,000
(Loss) income from operations	(173,000)	296,000	(536,000)	(38,000)
Interest expense, net	(149,000)	(89,000)	(403,000)	(164,000)
(Loss) income before income taxes	(322,000)	207,000	(939,000)	(202,000)
INCOME TAX EXPENSE	27,000	457,000	3,000	139,000
Net loss	$ (349,000)	$ (250,000)	$ (942,000)	$ (341,000)
NET LOSS PER SHARE:
Basic (in dollars per share)	$ (0.06)	$ (0.04)	$ (0.17)	$ (0.06)
Diluted (in dollars per share)	$ (0.06)	$ (0.04)	$ (0.17)	$ (0.06)
SHARES USED IN CALCULATION OF NET LOSS PER SHARE:
Basic (in shares)	5,669	5,594	5,653	5,576
Diluted (in shares)	5,669	5,594	5,653	5,576

Condensed Consolidated Stateme5

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($)	9 Months Ended
	Dec. 31, 2016	Dec. 31, 2015
CASH FLOWS FROM OPERATING ACTIVITIES:
Net loss	$ (942,000)	$ (341,000)
Adjustments to reconcile net loss to net cash provided by operating activities:
Depreciation and amortization	1,489,000	1,057,000
Amortization of debt issue costs and other assets	49,000	41,000
Share based compensation expense	216,000	569,000
Provision for doubtful accounts		43,000
Deferred income tax benefit		168,000
Net (increase) decrease in assets:
Accounts receivable	516,000	61,000
Inventories	185,000	(1,645,000)
Prepaid expenses	(256,000)	(206,000)
Other assets	149,000	75,000
Net increase (decrease) in liabilities:
Customer deposits	(41,000)	99,000
Accounts payable	(452,000)	984,000
Accrued expenses	(34,000)	198,000
Deferred rent	13,000	2,000
Net cash provided by operating activities	892,000	1,105,000
CASH FLOWS FROM INVESTING ACTIVITIES:
Proceeds from restricted cash		486,000
Investment in equipment and leasehold improvements	(508,000)	(4,033,000)
Net cash used in investing activities	(508,000)	(3,547,000)
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from short term notes payable	600,000	500,000
Net draw down on line of credit	611,000
Payment of short term notes payable	(600,000)	(500,000)
Proceeds from long-term debt, net of costs		2,407,000
Payments on capitalized leases	(58,000)	(32,000)
Principal payments on long-term debt	(372,000)	(230,000)
Payments in stock withheld for tax payment on issuance	(147,000)
Proceeds from stock options exercised	4,000	66,000
Net cash provided by financing activities	38,000	2,211,000
Net increase (decrease) in cash and cash equivalents	422,000	(231,000)
Cash and cash equivalents at beginning of period	1,240,000	2,226,000
Cash and cash equivalents at end of period	1,662,000	1,995,000
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION:
Interest	322,000	290,000
Income taxes		$ 21,000

Note 1 - Basis of Presentation

Note 1 - Basis of Presentation	9 Months Ended
	Dec. 31, 2016
Notes to Financial Statements
Organization, Consolidation and Presentation of Financial Statements Disclosure and Significant Accounting Policies [Text Block]	1. The accompanying condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information pursuant to the instructions to Form 10 March 31, 2016 March 31, 2016, 10 June 23, 2016. The accompanying condensed consolidated financial statements include the accounts of Cyanotech Corporation and its wholly owned subsidiary, Nutrex Hawaii, Inc. (“Nutrex Hawaii” or “Nutrex”, collectively the “Company”). All significant intercompany balances and transactions have been eliminated in consolidation. The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosures of any contingent assets and liabilities as of the date of the financial statements and the reported amounts of revenues and expenses during the periods reported. Management reviews these estimates and assumptions periodically and reflects the effect of revisions in the period that they are determined to be necessary. Actual results could differ from those estimates and assumptions. Recent Accounting Pronouncements In December 2016, Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2016 20 “ Technical Corrections and Improvements to Topic 606, ” 2016 20”) 2016 19 “Technical Corrections and Improvements” ("2016 19") one four I n November 2016, 2016 18, Statement of Cash Flows (Topic 230): ” 2016 18”) . 230, 2016 18 December 15, 2017, In August 2016, 2016 15, Statement of Cash Flows (Topic 230) Classification of Certain Cash Receipts and Cash Payments” 2016 15”). eight 2016 15 December 15, 2017, March 1, 2018. In March 2016, 2016 09, Compensation – Stock Compensation (Topic 718) Improvements to Employee Share-Based Payment Accounting” (“ 2016 09 ”) 718 2016 09 December 15, 2016, April 1, 2017. In March 2016, 2016 08, “Revenue from Contracts with Customers (Topic 606): 2016 08”), April 2016, 2016 10, “Revenue from Contracts with Customers (Topic 606): May 2016, 2016 12, “Revenue from Contracts with Customers (Topic 606): 2016 08, 2016 10 2016 12 2014 09, Revenue from Contracts with Customers December 15, 2017, one 2016 08, 2016 10 2016 12 In February 2016, 2016 02, Leases (Topic 842)” 2016 02”). 2016 02 2016 02 twelve 2016 02 December 15, 2018. 2016 02 In November 2015, 2015 17, Income Taxes (Topic 740): March 31, 2018 In August 2015, 2015 14, “Revenue from Contracts with Customers (Topic 606): 2014 09 one December 15, 2017 In July 2015, 2015 11, “Inventory: Simplifying the Measurement of Inventory” first December 15, 2016, In April 2015, 2015 03, Interest – Imputation of Interest (Subtopic 835 30): 2015 03 December 15, 2015. June 30, 2016 December 31, 2016 March 31, 2016, $276,000 $304,000, Other recently issued accounting pronouncements did not or are not believed by management to have a material impact on the Company ’s present or future financial statements.

Note 2 - Inventories

Note 2 - Inventories	9 Months Ended
	Dec. 31, 2016
Notes to Financial Statements
Inventory Disclosure [Text Block]	2. INVENTORIES Inventories are stated at the lower of cost or market. Cost is determined by the first first Dec ember 3 1 , 2016 March 31, 2016 (in thousands) Raw materials $ 392 $ 375 Work in process 3,527 3,782 Finished goods (1) 3,501 3,543 Supplies 251 156 Inventories, net $ 7,671 $ 7,856 (1) of $8,000 December 31, 2016 March 31, 2016. The Company recognizes abnormal production costs, including fixed cost variances from normal production capacity, as an expense in the period incurred. Non -inventoriable fixed costs of $148,000 $221,000 three nine December 31, 2016, $21,000 three December 31, 2015. $395,000 $149,000 nine December 31, 2015.

Note 3 - Equipment and Leasehol

Note 3 - Equipment and Leasehold Improvements, Net	9 Months Ended
	Dec. 31, 2016
Notes to Financial Statements
Property, Plant and Equipment Disclosure [Text Block]	3. EQUIPMENT AND LEASEHOLD IMPROVEMENTS, NET Equipment and leasehold improvements are stated at cost. Depreciation and amortization are provided using the straight-line method over the estimated useful lives for equipment and furniture and fixtures, or the shorter of the land lease term or estimated useful lives for leasehold improvements as follows: Years Equipment 3 to 10 Furniture and fixtures 3 to 7 Leasehold improvements 10 to 25 Equipment and leasehold improvements consist of the following: Dec ember 3 1 , 2016 March 31, 2016 (in thousands) Equipment $ 17,453 $ 17,040 Leasehold improvements 13,887 13,797 Furniture and fixtures 379 354 31,719 31,191 Less accumulated depreciation and amortization (15,472 ) (14,067 ) Construction-in-progress 620 672 Equipment and leasehold improvements, net $ 16,867 $ 17,796 The Company reviews long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying value of such assets may ’s fair value. Management has determined no asset impairment existed as of December 31, 2016 The Company has no capitalized interest for the nine December 31, 2016. $35,000 $172,000 three nine December 31, 2015,

Note 4 - Notes Payable

Note 4 - Notes Payable	9 Months Ended
	Dec. 31, 2016
Notes to Financial Statements
Short-term Debt [Text Block]	4. NOTES PAYABLE On August 30, 2016, June 3, 2016, ’s leasehold property in Kona. The Credit Agreement allows the Company to borrow up to $2,000,000 2%, August 30, 2017, may $600,000 December 31, 2016, $611,000 $1,389,000 The Credit Agreement grants the Bank the following security interests in the Company ’s property: (a) a lien on the Company’s leasehold interest in its Kona facility; (b) an assignment of the Company’s interest in leases and rents on its Kona facility; and (c) a security interest in all fixtures, furnishings and equipment related to or used by the Company at the Kona facility. Each security interest is further subject to the terms of the Credit Agreement.

Note 5 - Accrued Expenses

Note 5 - Accrued Expenses	9 Months Ended
	Dec. 31, 2016
Notes to Financial Statements
Accounts Payable and Accrued Liabilities Disclosure [Text Block]	5. ACCRUED EXPENSES Accrued expenses consist of the following: Dec ember 3 1 , 2016 March 31, 2016 (in thousands) Wages, bonus and profit sharing $ 963 $ 972 Legal 136 95 Use tax 142 140 Customer rebates — 74 Rent and utilities 68 49 Other expenses 87 100 Total accrued expenses $ 1,396 $ 1,430

Note 6 - Long-term Debt

Note 6 - Long-term Debt	9 Months Ended
	Dec. 31, 2016
Notes to Financial Statements
Long-term Debt [Text Block]	6. LONG-TERM DEBT Long-term debt consists of the following: Dec ember 3 1 , 2016 March 31, 2016 (in thousands) Long-term debt $ 7,290 $ 7,668 Less current maturities (614 ) (574 ) Long-term debt, excluding current maturities 6,676 7,094 Less unamortized debt issuance costs (276 ) (304 ) Total long-term debt, net of current maturities and unamortized debt issuance costs $ 6,400 $ 6,790 Term Loans The Company executed a loan agreement with a lender providing for $2,500,000 “2015 ’s assets, pursuant to a Term Loan Agreement dated July 30, 2015 “2015 2015 $2,500,000, 2015 $500,000 September 18, 2015, The provisions of the 2015 September 1, 2022, seven (7) 2015 (3.75% December 31, 2016) 2.0% first 6.00%. 2015 5% first 2015 1% fifth 2015 $2,127,000 $2,354,000 December 31, 2016 March 31, 2016, The 2015 one $113,900 0.50% December 31 December 31, 2015. $88,000 $102,000 December 31, 2016 March 31, 2016, 80% 2015 The Company executed a loan agreement with a lender providing for $5,500,000 ’s assets, including a mortgage on the Company's interest in its lease at the National Energy Laboratory of Hawaii Authority, pursuant to a Term Loan Agreement dated August 14, 2012 $2,250,000 $3,250,000, The provisions of the Loan Agreement required the payment of interest only for the first 12 August 14, 2032, nineteen (19) (3.75% December 31, 2016) 1.0% first 5.50%. 5% first 1% fifth $4,904,000 $5,049,000 December 31, 2016 March 31, 2016, The Loan Agreement included a one $214,500 0.25% December 31 December 31, 2012. $188,000 $202,000 December 31, 2016 March 31, 2016, 80% Capital Leases The Company has four $364,000 March 2018 March 2021 and are payable in 60 one 36 4.18% 12.90%. $259,000 $261,000 December 31, 2016 March 31, 2016, Future principal payments under the term loans and capital lease agreements as of December 31, 2016 Payments Due (in thousands) Next 12 Months $ 614 Year 2 626 Year 3 644 Year 4 655 Year 5 662 Thereafter 4,089 Total principal payments $ 7,290

Note 7 - Operating Leases

Note 7 - Operating Leases	9 Months Ended
	Dec. 31, 2016
Notes to Financial Statements
Leases of Lessee Disclosure [Text Block]	7. OPERATING LEASES The Company leases facilities, equipment and land under operating leases expiring through 2035. ’s sales. Management has accrued for the estimated contingent rent as of December 31, 2016. Future minimum lease payments under all non-cancelable operating leases at December 31, 2016 Payments Due (in thousands) Next 12 Months $ 612 Year 2 611 Year 3 620 Year 4 556 Year 5 528 Thereafter 4,424 Total minimum lease payments $ 7,351

Note 8 - Commitments and Contin

Note 8 - Commitments and Contingencies	9 Months Ended
	Dec. 31, 2016
Notes to Financial Statements
Commitments and Contingencies Disclosure [Text Block]	8. COMMITMENTS AND CONTINGENCIES On May 24, 2016, one Meridian OHC Partners, LP vs. Cyanotech Corporation, Michael Davis and Rudolf Steiner Foundation (RSF), Inc. On August 26, 2016, ’s initial complaint on the ground that Meridian lacked standing to proceed derivatively on behalf of the Company. In response, on September 19, 2016, November 4, 2016, January 23, 2017, 20 second first As previously disclosed, the Board of Directors of the Company formed a Special Committee comprised of independent directors to investigate, review and analyze the Meridian allegations and provide its recommendations to the Board. The Special Committee completed its investigation and presented its findings and recommendations to the Board on September 2, 2016. 13 13”) 13D 13G; 13; ’s allegations. The Board unanimously approved the findings and adopted the recommendations of the Special Committee. Additional details regarding the Special Committee’s findings and recommendations are set forth in the Company’s Form 8 September 9, 2016. On March 31, 2016, $325,000 April 2017, 155,000 ’s Common Stock, to be granted in two April 29, 2016, 48,467 October 19, 2016 November 5, 2010, $184,000 December 31, 2016. October 27, 2016, tentatively April 2017. From time to time, the Company may

Note 9 - Share-based Compensati

Note 9 - Share-based Compensation	9 Months Ended
	Dec. 31, 2016
Notes to Financial Statements
Disclosure of Compensation Related Costs, Share-based Payments [Text Block]	9. SHARE-BASED COMPENSATION The Company accounts for share-based payment arrangements using fair value. If an award vests or becomes exercisable based on the achievement of a condition other than service, such as for meeting certain performance or market conditions, the award is classified as a liability. Liability-classified awards are remeasured to fair value at each balance sheet date until the award is settled. The Company currently has no liability-classified awards. Equity-classified awards, including grants of employee stock options, are measured at the grant-date fair value of the award and are not subsequently remeasured unless an award is modified. The cost of equity-classified awards is recognized in the statement of operations over the period during which an employee is required to provide the service in exchange for the award, or the vesting period. All of the Company ’s stock options are service-based awards, and because the Company’s stock options are “plain vanilla,” as defined by the U.S. Securities and Exchange Commission in Staff Accounting Bulletin No. 107, As of December 31, 2016, two 2016 “2016 2014 “2014 December 31, 2016, two 2005 “2005 2004 “2004 On August 25, 2016, ’s shareholders approved the 2016 2005 2016 1,300,000 600,000 December 31, 2016, 1,300,000 2016 On August 28, 2014, ’s shareholders approved the 2014 2014 350,000 December 31, 2016, 289,124 2014 The 2005 2004 no additional awards will be issued under those plans. The following table presents shares authorized, available for future grant and outstanding under each of the Company ’s plans: As of Dec ember 3 1 , 2016 Authorized Available Outstanding 2016 Plan 1,300,000 1,300,000 — 2014 Directors Plan 350,000 289,124 12,000 2005 Plan — — 581,000 2004 Directors Plan — — 12,000 Total 1,650,000 1,589,124 605,000 All stock option grants made under equity-based compensation plans were issued at exercise prices no less than the Company ’s closing stock price on the date of grant. Options under the 2005 2014 ten (10) $1,500 $138,000 three nine December 31, 2016, $167,000 $491,000 three nine December 31, 2015, 2014 $ 78,000 three nine December 31, 2016. 2014 $ 78,000 three nine December 31, 2015. A summary of option activity under the Company ’s stock plans for the nine December 31, 2016 Option Activity Shares Weighted Average Price Weighted Average Remaining Years) Aggregate Intrinsic Outstanding at March 31, 2016 685,000 $ 4.65 5.7 $ 566,323 Granted 6,000 $ 4.08 Exercised (1,500 ) $ 3.11 Forfeited (84,500 ) $ 6.09 Outstanding at December 31, 2016 605,000 $ 4.44 4.9 $ 315,881 Exercisable at December 31, 2016 579,500 $ 4.43 4.8 $ 314,561 The aggregate intrinsic value in the table above is before applicable income taxes and represents the excess amount over the exercise price optionees would have received if all options had been exercised on the last business day of the period indicated, based on the Company ’s closing stock price of $4.30 A summary of the Company ’s non-vested options for the nine December 31, 2016 Nonvested Options Shares Weighted Average Nonvested at March 31, 2016 171,250 $ 3.75 Granted 6,000 .83 Vested (97,250 ) 3.36 Forfeited (54,500 ) 4.73 Nonvested at December 31, 2016 25,500 $ 2.43 The following table summarizes the weighted average characteristics of outstanding stock options as of December 31, 2016: Outstanding Options Exercisable Options Range of Exercise Prices Number of Shares Remaining Life (Years) Weighted Average Price Number of Shares Weighted Average Price $1.60 - $3.70 14 0,920 3. 2 $ 2.7 3 14 0,920 $ 2.7 3 $3.71 - $4.42 199 ,080 4 .8 $ 3.8 3 19 3,080 $ 3.82 $4.43 - $5.40 95,000 6. 4 $ 5.00 75 ,500 $ 5.0 4 $5.41 - $7.08 170 ,000 5. 7 $ 6. 27 170,000 $ 6.2 7 Total stock options 6 05,000 4 .9 $ 4. 44 57 9,500 $ 4.4 3 The range of fair value assumptions related to options granted during the nine December 31, 2016 2016 Exercise Price $ 4.08 Volatility 51.13 % Risk Free Rate 0.60 % Vesting Period (years) 0.5 Forfeiture Rate 0.00 % Expected Life (years) 1.00 Dividend Rate 0 % As of December 31, 2016, $40,000, 0.7

Note 10 - Income Taxes

Note 10 - Income Taxes	9 Months Ended
	Dec. 31, 2016
Notes to Financial Statements
Income Tax Disclosure [Text Block]	10. INCOME TAXES We utilize our estimated annual effective tax rate to determine our provision (benefit) for income taxes for interim periods. The income tax provision (benefit) is computed by multiplying the estimated annual effective tax rate by the year to date pre-tax book income (loss). We recorded an income tax expense of $27,000 $457,000 three December 31, 2016 2015, $3,000 $139,000 nine December 30, 2016 2015, (8.4%) (0.3%) three nine December 31, 2016, 220.8% (68.8%) three nine December 31, 2015, three nine December 30, 2016 34% The Company is subject to taxation in the United States and two may may As of December 31, 2016, no With few exceptions, the Company is no longer subject to U.S. federal, state, local, and non-U.S. income tax examination by tax authorities for tax years before 2011.

Note 11 - Earnings (Loss) Per S

Note 11 - Earnings (Loss) Per Share	9 Months Ended
	Dec. 31, 2016
Notes to Financial Statements
Earnings Per Share [Text Block]	11. EARNINGS (LOSS) PER SHARE Basic earnings (loss) per share is computed on the basis of the weighted average number of common shares outstanding. Diluted earnings (loss) per share is computed on the basis of the weighted average number of common shares outstanding plus the potentially dilutive effect of outstanding stock options using the “treasury stock” method. Basic and diluted earnings per share are the same in periods of a net loss, because share equivalents are anti-dilutive when a net loss is recorded. Diluted earnings per share does not include the impact of common stock options totaling 605,000 1,414,916 three nine December 31, 2016 December 31, 2015,

Note 12 - Concentrations of Ris

Note 12 - Concentrations of Risk	9 Months Ended
	Dec. 31, 2016
Notes to Financial Statements
Segment Reporting Disclosure [Text Block]	12. CONCENTRATIONS OF RISK Concentration of Accounts Receivable and Revenues At December 31, 2016, 54.6% two 40.9% 13.7%, March 31, 2016, 44.4% two 30.7% 13.4%, Two 36% 35% three December 31, 2016 2015, 34% 28% nine December 31, 2016 2015, 23% 29% three nine December 31, 2016, 23% 26%

Significant Accounting Policies

Significant Accounting Policies (Policies)	9 Months Ended
	Dec. 31, 2016
Accounting Policies [Abstract]
New Accounting Pronouncements, Policy [Policy Text Block]	The accompanying condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information pursuant to the instructions to Form 10 March 31, 2016 March 31, 2016, 10 June 23, 2016. The accompanying condensed consolidated financial statements include the accounts of Cyanotech Corporation and its wholly owned subsidiary, Nutrex Hawaii, Inc. (“Nutrex Hawaii” or “Nutrex”, collectively the “Company”). All significant intercompany balances and transactions have been eliminated in consolidation. The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosures of any contingent assets and liabilities as of the date of the financial statements and the reported amounts of revenues and expenses during the periods reported. Management reviews these estimates and assumptions periodically and reflects the effect of revisions in the period that they are determined to be necessary. Actual results could differ from those estimates and assumptions. Recent Accounting Pronouncements In December 2016, Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2016 20 “ Technical Corrections and Improvements to Topic 606, ” 2016 20”) 2016 19 “Technical Corrections and Improvements” ("2016 19") one four I n November 2016, 2016 18, Statement of Cash Flows (Topic 230): ” 2016 18”) . 230, 2016 18 December 15, 2017, In August 2016, 2016 15, Statement of Cash Flows (Topic 230) Classification of Certain Cash Receipts and Cash Payments” 2016 15”). eight 2016 15 December 15, 2017, March 1, 2018. In March 2016, 2016 09, Compensation – Stock Compensation (Topic 718) Improvements to Employee Share-Based Payment Accounting” (“ 2016 09 ”) 718 2016 09 December 15, 2016, April 1, 2017. In March 2016, 2016 08, “Revenue from Contracts with Customers (Topic 606): 2016 08”), April 2016, 2016 10, “Revenue from Contracts with Customers (Topic 606): May 2016, 2016 12, “Revenue from Contracts with Customers (Topic 606): 2016 08, 2016 10 2016 12 2014 09, Revenue from Contracts with Customers December 15, 2017, one 2016 08, 2016 10 2016 12 In February 2016, 2016 02, Leases (Topic 842)” 2016 02”). 2016 02 2016 02 twelve 2016 02 December 15, 2018. 2016 02 In November 2015, 2015 17, Income Taxes (Topic 740): March 31, 2018 In August 2015, 2015 14, “Revenue from Contracts with Customers (Topic 606): 2014 09 one December 15, 2017 In July 2015, 2015 11, “Inventory: Simplifying the Measurement of Inventory” first December 15, 2016, In April 2015, 2015 03, Interest – Imputation of Interest (Subtopic 835 30): 2015 03 December 15, 2015. June 30, 2016 December 31, 2016 March 31, 2016, $276,000 $304,000, Other recently issued accounting pronouncements did not or are not believed by management to have a material impact on the Company ’s present or future financial statements.

Note 2 - Inventories (Tables)

Note 2 - Inventories (Tables)	9 Months Ended
	Dec. 31, 2016
Notes Tables
Schedule of Inventory, Current [Table Text Block]	Dec ember 3 1 , 2016 March 31, 2016 (in thousands) Raw materials $ 392 $ 375 Work in process 3,527 3,782 Finished goods (1) 3,501 3,543 Supplies 251 156 Inventories, net $ 7,671 $ 7,856

Note 3 - Equipment and Leaseh20

Note 3 - Equipment and Leasehold Improvements, Net (Tables)	9 Months Ended
	Dec. 31, 2016
Notes Tables
Property, Plant, and Equipment, Estimated Useful Lives [Table Text Block]	Years Equipment 3 to 10 Furniture and fixtures 3 to 7 Leasehold improvements 10 to 25
Property, Plant and Equipment [Table Text Block]	Dec ember 3 1 , 2016 March 31, 2016 (in thousands) Equipment $ 17,453 $ 17,040 Leasehold improvements 13,887 13,797 Furniture and fixtures 379 354 31,719 31,191 Less accumulated depreciation and amortization (15,472 ) (14,067 ) Construction-in-progress 620 672 Equipment and leasehold improvements, net $ 16,867 $ 17,796

Note 5 - Accrued Expenses (Tabl

Note 5 - Accrued Expenses (Tables)	9 Months Ended
	Dec. 31, 2016
Notes Tables
Schedule of Accrued Liabilities [Table Text Block]	Dec ember 3 1 , 2016 March 31, 2016 (in thousands) Wages, bonus and profit sharing $ 963 $ 972 Legal 136 95 Use tax 142 140 Customer rebates — 74 Rent and utilities 68 49 Other expenses 87 100 Total accrued expenses $ 1,396 $ 1,430

Note 6 - Long-term Debt (Tables

Note 6 - Long-term Debt (Tables)	9 Months Ended
	Dec. 31, 2016
Notes Tables
Schedule of Long-term Debt Instruments [Table Text Block]	Dec ember 3 1 , 2016 March 31, 2016 (in thousands) Long-term debt $ 7,290 $ 7,668 Less current maturities (614 ) (574 ) Long-term debt, excluding current maturities 6,676 7,094 Less unamortized debt issuance costs (276 ) (304 ) Total long-term debt, net of current maturities and unamortized debt issuance costs $ 6,400 $ 6,790
Schedule of Maturities of Long-term Debt [Table Text Block]	Payments Due (in thousands) Next 12 Months $ 614 Year 2 626 Year 3 644 Year 4 655 Year 5 662 Thereafter 4,089 Total principal payments $ 7,290

Note 7 - Operating Leases (Tabl

Note 7 - Operating Leases (Tables)	9 Months Ended
	Dec. 31, 2016
Notes Tables
Schedule of Future Minimum Rental Payments for Operating Leases [Table Text Block]	Payments Due (in thousands) Next 12 Months $ 612 Year 2 611 Year 3 620 Year 4 556 Year 5 528 Thereafter 4,424 Total minimum lease payments $ 7,351

Note 9 - Share-based Compensa24

Note 9 - Share-based Compensation (Tables)	9 Months Ended
	Dec. 31, 2016
Notes Tables
Schedule of Share-based Compensation Shares Authorized Available and Outstanding by Plan [Table Text Block]	As of Dec ember 3 1 , 2016 Authorized Available Outstanding 2016 Plan 1,300,000 1,300,000 — 2014 Directors Plan 350,000 289,124 12,000 2005 Plan — — 581,000 2004 Directors Plan — — 12,000 Total 1,650,000 1,589,124 605,000
Schedule of Share-based Compensation, Stock Options, Activity [Table Text Block]	Option Activity Shares Weighted Average Price Weighted Average Remaining Years) Aggregate Intrinsic Outstanding at March 31, 2016 685,000 $ 4.65 5.7 $ 566,323 Granted 6,000 $ 4.08 Exercised (1,500 ) $ 3.11 Forfeited (84,500 ) $ 6.09 Outstanding at December 31, 2016 605,000 $ 4.44 4.9 $ 315,881 Exercisable at December 31, 2016 579,500 $ 4.43 4.8 $ 314,561
Schedule of Nonvested Share Activity [Table Text Block]	Nonvested Options Shares Weighted Average Nonvested at March 31, 2016 171,250 $ 3.75 Granted 6,000 .83 Vested (97,250 ) 3.36 Forfeited (54,500 ) 4.73 Nonvested at December 31, 2016 25,500 $ 2.43
Schedule of Share-based Compensation, Shares Authorized under Stock Option Plans, by Exercise Price Range [Table Text Block]	Outstanding Options Exercisable Options Range of Exercise Prices Number of Shares Remaining Life (Years) Weighted Average Price Number of Shares Weighted Average Price $1.60 - $3.70 14 0,920 3. 2 $ 2.7 3 14 0,920 $ 2.7 3 $3.71 - $4.42 199 ,080 4 .8 $ 3.8 3 19 3,080 $ 3.82 $4.43 - $5.40 95,000 6. 4 $ 5.00 75 ,500 $ 5.0 4 $5.41 - $7.08 170 ,000 5. 7 $ 6. 27 170,000 $ 6.2 7 Total stock options 6 05,000 4 .9 $ 4. 44 57 9,500 $ 4.4 3
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions [Table Text Block]	2016 Exercise Price $ 4.08 Volatility 51.13 % Risk Free Rate 0.60 % Vesting Period (years) 0.5 Forfeiture Rate 0.00 % Expected Life (years) 1.00 Dividend Rate 0 %

Note 1 - Basis of Presentation

Note 1 - Basis of Presentation (Details Textual) - Reclassification of Debt Issuance Costs From Non Current Assets to Non Current Long Term Debt [Member] - USD ($)	9 Months Ended	12 Months Ended
	Dec. 31, 2016	Mar. 31, 2016
Current Period Reclassification Adjustment	$ 276,000
March 31, 2016 [Member]
Prior Period Reclassification Adjustment		$ 304,000

Note 2 - Inventories (Details T

Note 2 - Inventories (Details Textual) - USD ($)	3 Months Ended		9 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2016	Dec. 31, 2015	Mar. 31, 2016
Inventory Valuation Reserves					$ 8,000
Non Inventoriable Fixed Costs	$ 148,000	$ 21,000	$ 221,000	$ 149,000
Inventory Abnormal Production Costs				$ 395,000

Note 2 - Inventories - Componen

Note 2 - Inventories - Components of Inventory (Details) - USD ($) $ in Thousands		Dec. 31, 2016	Mar. 31, 2016
Raw materials		$ 392	$ 375
Work in process		3,527	3,782
Finished goods (1)	[1]	3,501	3,543
Supplies		251	156
Inventories, net		$ 7,671	$ 7,856
[1]	Net of reserve for obsolescence of $8,000 at both December 31, 2016 and March 31, 2016.

Note 3 - Equipment and Leaseh28

Note 3 - Equipment and Leasehold Improvements, Net (Details Textual) - USD ($)	3 Months Ended	9 Months Ended
	Dec. 31, 2015	Dec. 31, 2015
Interest Costs Capitalized	$ 35,000	$ 172,000

Note 3 - Equipment and Leaseh29

Note 3 - Equipment and Leasehold Improvements, Net - Estimated Useful Lives (Details)	9 Months Ended
	Dec. 31, 2016
Equipment [Member] | Minimum [Member]
Estimated useful lives (Year)	3 years
Equipment [Member] | Maximum [Member]
Estimated useful lives (Year)	10 years
Furniture and Fixtures [Member] | Minimum [Member]
Estimated useful lives (Year)	3 years
Furniture and Fixtures [Member] | Maximum [Member]
Estimated useful lives (Year)	7 years
Leasehold Improvements [Member] | Minimum [Member]
Estimated useful lives (Year)	10 years
Leasehold Improvements [Member] | Maximum [Member]
Estimated useful lives (Year)	25 years

Note 3 - Equipment and Leaseh30

Note 3 - Equipment and Leasehold Improvements, Net - Components of Equipment and Leasehold Improvements (Details) - USD ($) $ in Thousands		Dec. 31, 2016	Mar. 31, 2016
Equipment and leasehold improvements, gross		$ 31,719	$ 31,191
Less accumulated depreciation and amortization		(15,472)	(14,067)
Construction-in-progress		620	672
Equipment and leasehold improvements, net		16,867	17,796
Equipment [Member]
Equipment and leasehold improvements, gross	[1]	17,453	17,040
Leasehold Improvements [Member]
Equipment and leasehold improvements, gross		13,887	13,797
Furniture and Fixtures [Member]
Equipment and leasehold improvements, gross		$ 379	$ 354
[1]	Includes $314,000 of equipment under capital lease at March 31, 2016, with accumulated amortization of $41,000.

Note 4 - Notes Payable (Details

Note 4 - Notes Payable (Details Textual) - USD ($)	Aug. 30, 2016	Sep. 18, 2015	Dec. 31, 2016	Dec. 31, 2015	Mar. 31, 2016
Repayments of Notes Payable		$ 500,000	$ 600,000	$ 500,000
Line of Credit, Current			611,000
First Foundation Bank [Member]
Repayments of Notes Payable	$ 600,000
First Foundation Bank [Member] | Revolving Credit Facility [Member]
Line of Credit Facility, Maximum Borrowing Capacity	$ 2,000,000
Line of Credit, Current			611,000
Line of Credit Facility, Remaining Borrowing Capacity			$ 1,389,000
First Foundation Bank [Member] | Revolving Credit Facility [Member] | Prime Rate [Member]
Debt Instrument, Basis Spread on Variable Rate	2.00%

Note 5 - Accrued Expenses - Com

Note 5 - Accrued Expenses - Components of Accrued Expenses (Details) - USD ($) $ in Thousands	Dec. 31, 2016	Mar. 31, 2016
Wages, bonus and profit sharing	$ 963	$ 972
Legal	136	95
Use tax	142	140
Customer rebates		74
Rent and utilities	68	49
Other expenses	87	100
Total accrued expenses	$ 1,396	$ 1,430

Note 6 - Long-term Debt (Detail

Note 6 - Long-term Debt (Details Textual) - USD ($)	Sep. 18, 2015	Aug. 14, 2012	Feb. 29, 2016	Jul. 30, 2015	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2016	Mar. 31, 2016
Repayments of Notes Payable	$ 500,000				$ 600,000	$ 500,000
Debt Issuance Costs, Net					$ 276,000		$ 276,000	$ 304,000
Bank of the West Finance [Member]
Capital Leased Assets, Number of Units					4		4
Capital Leased Assets, Gross					$ 364,000		$ 364,000
Capital Lease Term			5 years
Capital Lease Obligations					$ 259,000		$ 259,000	261,000
Bank of the West Finance [Member] | Capital Lease Obligations [Member]
Debt Instrument, Interest Rate, Stated Percentage					4.18%		4.18%
Bank of the West Finance [Member] | Capital Lease Asses Payable in 36 Equal Monthly Payments [Member]
Capital Leased Assets, Number of Units					1		1
Capital Lease Term							3 years
Hungtington Technology Finance [Member] | Capital Lease Obligations [Member]
Debt Instrument, Interest Rate, Stated Percentage					12.90%		12.90%
2015 Loan Agreement [Member]
Proceeds from Issuance of Debt				$ 2,500,000
Debt Instrument, Term				7 years
Debt Instrument Prepayment Penalty Percentage					5.00%		5.00%
Debt Instrument Prepayment Penalty Percentage Reduction During Each Year					1.00%		1.00%
Long-term Debt and Capital Lease Obligations, Current and Noncurrent					$ 2,127,000		$ 2,127,000	2,354,000
Debt Instrument One Time Origination and Guaranty Fees					$ 113,900
Debt Instrument Annual Renewal Fee Payable Percentage					0.50%		0.50%
Debt Issuance Costs, Net					$ 88,000		$ 88,000	102,000
Debt Instrument Guaranteed Portion					80.00%		80.00%
2015 Loan Agreement [Member] | Minimum [Member]
Debt Instrument, Interest Rate, Stated Percentage					6.00%		6.00%
2015 Loan Agreement [Member] | Prime Rate [Member]
Debt Instrument Reference Rate					3.75%		3.75%
Debt Instrument, Basis Spread on Variable Rate					2.00%
Term Loan Agreement, Maturing on August 14, 2032 [Member]
Proceeds from Issuance of Debt		$ 5,500,000
Debt Instrument Reference Rate					3.75%		3.75%
Debt Instrument, Basis Spread on Variable Rate					1.00%
Debt Instrument Prepayment Penalty Percentage					5.00%		5.00%
Debt Instrument Prepayment Penalty Percentage Reduction During Each Year					1.00%		1.00%
Long-term Debt and Capital Lease Obligations, Current and Noncurrent					$ 4,904,000		$ 4,904,000	5,049,000
Debt Instrument One Time Origination and Guaranty Fees					$ 214,500
Debt Instrument Annual Renewal Fee Payable Percentage					0.25%		0.25%
Debt Issuance Costs, Net					$ 188,000		$ 188,000	$ 202,000
Debt Instrument Guaranteed Portion					80.00%		80.00%
Debt Instrument Interest Payment Period		1 year
Debt Instrument Amortization Period		19 years
Term Loan Agreement, Maturing on August 14, 2032 [Member] | Minimum [Member]
Debt Instrument, Interest Rate During Period					5.50%
Term Loan Agreement, Promissory Note One [Member]
Proceeds from Issuance of Debt		$ 2,250,000
Term Loan Agreement, Promissory Note Two [Member]
Proceeds from Issuance of Debt		$ 3,250,000

Note 6 - Long-term Debt - Summa

Note 6 - Long-term Debt - Summary of Long-term Debt (Details) - USD ($) $ in Thousands	Dec. 31, 2016	Mar. 31, 2016
Total principal payments	$ 7,290	$ 7,668
Less current maturities	(614)	(574)
Long-term debt, excluding current maturities	6,676	7,094
Less unamortized debt issuance costs	(276)	(304)
Total long-term debt, net of current maturities and unamortized debt issuance costs	$ 6,400	$ 6,790

Note 6 - Long-term Debt - Futur

Note 6 - Long-term Debt - Future Payments (Details) - USD ($) $ in Thousands	Dec. 31, 2016	Mar. 31, 2016
Next 12 Months	$ 614
Year 2	626
Year 3	644
Year 4	655
Year 5	662
Thereafter	4,089
Total principal payments	$ 7,290	$ 7,668

Note 7 - Operating Leases - Sum

Note 7 - Operating Leases - Summary of Future Minimum Lease Payments Under Non-cancelable Operating Leases (Details) $ in Thousands	Dec. 31, 2016USD ($)
Next 12 Months	$ 612
Year 2	611
Year 3	620
Year 4	556
Year 5	528
Thereafter	4,424
Total minimum lease payments	$ 7,351

Note 8 - Commitments and Cont37

Note 8 - Commitments and Contingencies (Details Textual) - USD ($)	Apr. 29, 2016	Mar. 31, 2016	Dec. 31, 2016
Separation Expense			$ 184,000
Chief Executive Officer [Member]
Stock Issued During Period, Shares, New Issues	48,467
Separation Payments [Member] | Chief Executive Officer [Member]
Other Commitment		$ 325,000
Maximum Shares Under Separation Agreement		155,000

Note 9 - Share-based Compensa38

Note 9 - Share-based Compensation (Details Textual) - USD ($)	3 Months Ended		9 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2016	Dec. 31, 2015	Aug. 25, 2016	Aug. 28, 2015
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized	1,650,000		1,650,000
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant	1,589,124		1,589,124
Share Price	$ 4.30		$ 4.30
Employee Stock Option [Member]
Allocated Share-based Compensation Expense	$ 1,500	$ 167,000	$ 138,000	$ 491,000
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized	$ 40,000		$ 40,000
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition			255 days
Maximum [Member] | Employee Stock Option [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period			10 years
The 2016 Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized	1,300,000		1,300,000		1,300,000
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant	1,300,000		1,300,000
The 2016 Plan [Member] | Maximum [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized for Issuance in Connection with Performance Awards and Stock Awards					600,000
2014 Directors Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized	350,000		350,000			350,000
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant	289,124		289,124
2014 Directors Plan [Member] | Restricted Stock [Member]
Allocated Share-based Compensation Expense	$ 78,000	$ 78,000	$ 78,000	$ 78,000

Note 9 - Share-based Compensa39

Note 9 - Share-based Compensation - Shares Authorized, Available for Future Grant and Outstanding Under Each Plan (Details) - shares	Dec. 31, 2016	Aug. 25, 2016	Mar. 31, 2016	Aug. 28, 2015
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized	1,650,000
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant	1,589,124
Outstanding (in shares)	605,000		685,000
The 2016 Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized	1,300,000	1,300,000
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant	1,300,000
Outstanding (in shares)
2014 Directors Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized	350,000			350,000
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant	289,124
Outstanding (in shares)	12,000
The 2005 Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant
Outstanding (in shares)	581,000
2004 Directors Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant
Outstanding (in shares)	12,000

Note 9 - Share-based Compensa40

Note 9 - Share-based Compensation - Summary of Option Activity Under Stock Plans (Details) - USD ($)	9 Months Ended	12 Months Ended
	Dec. 31, 2016	Mar. 31, 2016
Outstanding (in shares)	685,000
Outstanding, weighted average exercise price (in dollars per share)	$ 4.65
Outstanding, weighted average remaining contractual term (Year)	4 years 328 days	5 years 255 days
Outstanding, aggregate intrinsic value	$ 315,881	$ 566,323
Granted (in shares)	6,000
Granted, weighted average exercise price (in dollars per share)	$ 4.08
Exercised (in shares)	(1,500)
Exercised, weighted average exercise price (in dollars per share)	$ 3.11
Forfeited (in shares)	(84,500)
Forfeited, weighted average exercise price (in dollars per share)	$ 6.09
Outstanding (in shares)	605,000	685,000
Outstanding, weighted average exercise price (in dollars per share)	$ 4.44	$ 4.65
Exercisable (in shares)	579,500
Exercisable, weighted average exercise price (in dollars per share)	$ 4.43
Exercisable, weighted average remaining contractual term (Year)	4 years 292 days
Exercisable, aggregate intrinsic value	$ 314,561

Note 9 - Share-based Compensa41

Note 9 - Share-based Compensation - Summary of Non-vested Options (Details)	9 Months Ended
	Dec. 31, 2016$ / sharesshares
Nonvested (in shares) | shares	171,250
Nonvested (in dollars per share) | $ / shares	$ 3.75
Granted (in shares) | shares	6,000
Granted (in dollars per share) | $ / shares	$ 0.83
Vested (in shares) | shares	(97,250)
Vested (in dollars per share) | $ / shares	$ 3.36
Forfeited (in shares) | shares	(54,500)
Forfeited (in dollars per share) | $ / shares	$ 4.73
Nonvested (in shares) | shares	25,500
Nonvested (in dollars per share) | $ / shares	$ 2.43

Note 9 - Share-based Compensa42

Note 9 - Share-based Compensation - Summary of the Weighted-average Characteristics of Outstanding Stock Options (Details)	9 Months Ended
	Dec. 31, 2016$ / sharesshares
Outstanding Options Number of Shares (in shares) | shares	605,000
Outstanding Options Remaining Life (Year)	4 years 328 days
Outstanding Options Weighted Average Price (in dollars per share)	$ 4.44
Exercisable Options Number of Shares (in shares) | shares	579,500
Exercisable Options Weighted Average Price (in dollars per share)	$ 4.43
Range 01 [Member]
Lower Range of Exercise (in dollars per share)	1.60
Upper Range of Exercise (in dollars per share)	$ 3.70
Outstanding Options Number of Shares (in shares) | shares	140,920
Outstanding Options Remaining Life (Year)	3 years 73 days
Outstanding Options Weighted Average Price (in dollars per share)	$ 2.73
Exercisable Options Number of Shares (in shares) | shares	140,920
Exercisable Options Weighted Average Price (in dollars per share)	$ 2.73
Range 02 [Member]
Lower Range of Exercise (in dollars per share)	3.71
Upper Range of Exercise (in dollars per share)	$ 4.42
Outstanding Options Number of Shares (in shares) | shares	199,080
Outstanding Options Remaining Life (Year)	4 years 292 days
Outstanding Options Weighted Average Price (in dollars per share)	$ 3.83
Exercisable Options Number of Shares (in shares) | shares	193,080
Exercisable Options Weighted Average Price (in dollars per share)	$ 3.82
Range 03 [Member]
Lower Range of Exercise (in dollars per share)	4.43
Upper Range of Exercise (in dollars per share)	$ 5.40
Outstanding Options Number of Shares (in shares) | shares	95,000
Outstanding Options Remaining Life (Year)	6 years 146 days
Outstanding Options Weighted Average Price (in dollars per share)	$ 5
Exercisable Options Number of Shares (in shares) | shares	75,500
Exercisable Options Weighted Average Price (in dollars per share)	$ 5.04
Range 04 [Member]
Lower Range of Exercise (in dollars per share)	5.41
Upper Range of Exercise (in dollars per share)	$ 7.08
Outstanding Options Number of Shares (in shares) | shares	170,000
Outstanding Options Remaining Life (Year)	5 years 255 days
Outstanding Options Weighted Average Price (in dollars per share)	$ 6.27
Exercisable Options Number of Shares (in shares) | shares	170,000
Exercisable Options Weighted Average Price (in dollars per share)	$ 6.27

Note 9 - Share-based Compensa43

Note 9 - Share-based Compensation - Summary of Valuation Assumptions Related to Options Granted (Details)	9 Months Ended
	Dec. 31, 2016$ / shares
Exercise Price (in dollars per share)	$ 4.08
Volatility	51.13%
Risk Free Rate	0.60%
Vesting Period (years) (Year)	182 days
Forfeiture Rate	0.00%
Expected Life (years) (Year)	1 year
Dividend Rate	0.00%

Note 10 - Income Taxes (Details

Note 10 - Income Taxes (Details Textual) - USD ($)	3 Months Ended		9 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2016	Dec. 31, 2015
Income Tax Expense (Benefit)	$ 27,000	$ 457,000	$ 3,000	$ 139,000
Effective Income Tax Rate Reconciliation, Percent	(8.40%)	220.80%	(0.30%)	(68.80%)
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent			34.00%
Unrecognized Tax Benefits	$ 0		$ 0

Note 11 - Earnings (Loss) Per45

Note 11 - Earnings (Loss) Per Share (Details Textual) - shares	3 Months Ended		9 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2016	Dec. 31, 2015
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	605,000	605,000	1,414,916	1,414,916

Note 12 - Concentrations of R46

Note 12 - Concentrations of Risk (Details Textual)	3 Months Ended		9 Months Ended		12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2016	Dec. 31, 2015	Mar. 31, 2016
Customer Concentration Risk [Member] | Accounts Receivable [Member]
Number of Major Customers			2		2
Customer Concentration Risk [Member] | Accounts Receivable [Member] | Two Customers [Member]
Concentration Risk, Percentage			54.60%		44.40%
Customer Concentration Risk [Member] | Accounts Receivable [Member] | Customer Number 1 [Member]
Concentration Risk, Percentage			40.90%		30.70%
Customer Concentration Risk [Member] | Accounts Receivable [Member] | Customer Number 2 [Member]
Concentration Risk, Percentage			13.70%		13.40%
Customer Concentration Risk [Member] | Sales Revenue, Net [Member]
Number of Major Customers	2	2	2	2
Customer Concentration Risk [Member] | Sales Revenue, Net [Member] | Two Customers [Member]
Concentration Risk, Percentage	36.00%	35.00%	34.00%	28.00%
Geographic Concentration Risk [Member] | Sales Revenue, Net [Member] | International [Member]
Concentration Risk, Percentage	23.00%	23.00%	29.00%	26.00%