Document And Entity Information
Document And Entity Information - shares | 6 Months Ended | |
Jun. 30, 2018 | Aug. 06, 2018 | |
Document Information [Line Items] | ||
Entity Registrant Name | RELIV INTERNATIONAL INC | |
Entity Central Index Key | 768,710 | |
Trading Symbol | relv | |
Current Fiscal Year End Date | --12-31 | |
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) | 1,845,160 | |
Document Type | 10-Q | |
Document Period End Date | Jun. 30, 2018 | |
Document Fiscal Year Focus | 2,018 | |
Document Fiscal Period Focus | Q2 | |
Amendment Flag | false |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets (Current Period Unaudited) - USD ($) | Jun. 30, 2018 | Dec. 31, 2017 |
Current assets: | ||
Cash and cash equivalents | $ 2,764,088 | $ 3,272,788 |
Accounts receivable, less allowances of $25,000 in 2018 and $26,300 in 2017 | 213,975 | 29,760 |
Accounts and note due from employees and distributors | 136,142 | 138,497 |
Inventories | ||
Finished goods | 2,155,494 | 2,762,249 |
Raw materials | 1,825,096 | 1,653,466 |
Sales aids and promotional materials | 124,611 | 139,770 |
Total inventories | 4,105,201 | 4,555,485 |
Refundable income taxes | 22,936 | 26,552 |
Cash surrender value of life insurance, current | 3,067,360 | |
Prepaid expenses and other current assets | 638,815 | 372,602 |
Total current assets | 10,948,517 | 8,395,684 |
Other assets | 338,139 | 337,190 |
Cash surrender value of life insurance | 3,086,522 | |
Note receivable due from distributor | 1,344,513 | 1,405,113 |
Intangible assets, net | 2,061,256 | 2,174,248 |
Property, plant and equipment: | ||
Land and land improvements | 905,190 | 905,190 |
Building | 9,951,041 | 9,950,190 |
Machinery & equipment | 4,789,933 | 4,755,727 |
Office equipment | 1,154,955 | 1,183,115 |
Computer equipment & software | 2,268,208 | 2,261,038 |
19,069,327 | 19,055,260 | |
Less: Accumulated depreciation | 13,627,981 | 13,378,021 |
Net property, plant and equipment | 5,441,346 | 5,677,239 |
Total assets | 20,133,771 | 21,075,996 |
Accounts payable and accrued expenses: | ||
Trade accounts payable and other accrued expenses | 2,304,912 | 1,667,495 |
Distributors' commissions payable | 1,035,685 | 1,115,649 |
Sales taxes payable | 135,618 | 154,958 |
Deferred revenue | 356,028 | |
Payroll and payroll taxes payable | 239,386 | 261,916 |
Total accounts payable and accrued expenses | 4,071,629 | 3,200,018 |
Income taxes payable | 5,065 | 12,616 |
Revolving line of credit | 500,000 | 500,000 |
Current portion of long-term debt | 2,355,861 | 2,545,421 |
Total current liabilities | 6,932,555 | 6,258,055 |
Noncurrent liabilities: | ||
Other noncurrent liabilities | 458,750 | 453,354 |
Total noncurrent liabilities | 458,750 | 453,354 |
Stockholders' equity: | ||
Preferred stock, par value $.001 per share; 500,000 shares authorized; -0- shares issued and outstanding in 2018 and 2017 | 0 | 0 |
Common stock, par value $.001 per share; 5,000,000 authorized; 2,110,013 shares issued and 1,845,160 shares outstanding as of 6/30/2018; 2,110,013 shares issued and 1,845,160 shares outstanding as of 12/31/2017 | 2,110 | 2,110 |
Additional paid-in capital | 30,613,989 | 30,598,920 |
Accumulated deficit | (11,624,056) | (10,040,229) |
Accumulated other comprehensive loss: | ||
Foreign currency translation adjustment | (911,017) | (857,654) |
Treasury stock | (5,338,560) | (5,338,560) |
Total stockholders' equity | 12,742,466 | 14,364,587 |
Total liabilities and stockholders' equity | $ 20,133,771 | $ 21,075,996 |
Condensed Consolidated Balance3
Condensed Consolidated Balance Sheets (Current Period Unaudited) (Parentheticals) - USD ($) | Jun. 30, 2018 | Dec. 31, 2017 |
Accounts receivable, allowances | $ 25,000 | $ 26,300 |
Preferred stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Preferred stock, shares authorized (in shares) | 500,000 | 500,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Preferred stock, shares outstanding (in shares) | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized (in shares) | 5,000,000 | 5,000,000 |
Common stock, shares issued (in shares) | 2,110,013 | 2,110,013 |
Common stock, shares outstanding (in shares) | 1,845,160 | 1,845,160 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Net Income (Loss) and Comprehensive Income (Loss) (Unaudited) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Net sales | $ 8,459,741 | $ 10,006,628 | $ 18,462,980 | $ 22,784,410 |
Costs and expenses: | ||||
Cost of products sold | 2,356,274 | 2,328,452 | 4,706,016 | 5,163,977 |
Distributor royalties and commissions | 2,827,357 | 3,554,773 | 6,219,102 | 8,053,326 |
Selling, general and administrative | 4,215,641 | 4,631,860 | 8,701,536 | 9,558,139 |
Total costs and expenses | 9,399,272 | 10,515,085 | 19,626,654 | 22,775,442 |
Income (loss) from operations | (939,531) | (508,457) | (1,163,674) | 8,968 |
Other income (expense): | ||||
Interest income | 23,547 | 25,827 | 47,499 | 51,353 |
Interest expense | (45,222) | (27,448) | (76,787) | (52,289) |
Other income | 6,252 | 12,413 | 16,703 | 45,096 |
Income (loss) before income taxes | (954,954) | (497,665) | (1,176,259) | 53,128 |
Provision for income taxes | 23,000 | 22,000 | 40,000 | 49,000 |
Net income (loss) | (977,954) | (519,665) | (1,216,259) | 4,128 |
Other comprehensive income (loss): | ||||
Foreign currency translation adjustment | (78,591) | 65,162 | (53,363) | 90,634 |
Comprehensive income (loss) | $ (1,056,545) | $ (454,503) | $ (1,269,622) | $ 94,762 |
Earnings (loss) per common share - Basic (in dollars per share) | $ (0.53) | $ (0.28) | $ (0.66) | $ 0 |
Weighted average shares (in shares) | 1,845,000 | 1,845,000 | 1,845,000 | 1,845,000 |
Earnings (loss) per common share - Diluted (in dollars per share) | $ (0.53) | $ (0.28) | $ (0.66) | $ 0 |
Weighted average shares (in shares) | 1,845,000 | 1,845,000 | 1,845,000 | 1,846,000 |
Product [Member] | ||||
Net sales | $ 7,920,596 | $ 9,258,809 | $ 17,311,977 | $ 21,093,925 |
Shipping and Handling [Member] | ||||
Net sales | $ 539,145 | $ 747,819 | $ 1,151,003 | $ 1,690,485 |
Condensed Consolidated Stateme5
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) | 6 Months Ended | |
Jun. 30, 2018 | Jun. 30, 2017 | |
Operating activities: | ||
Net income (loss) | $ (1,216,259) | $ 4,128 |
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities: | ||
Depreciation and amortization | 403,430 | 435,261 |
Stock-based compensation | 15,069 | 16,888 |
Non-cash life insurance policy reduction / (accretion) | 19,162 | (60,270) |
(Gain) loss on sale of property, plant and equipment | (2,838) | (11,361) |
Deferred income taxes | 10,000 | |
Foreign currency transaction (gain) loss | (194) | (35,184) |
(Increase) decrease in accounts receivable and accounts due from employees and distributors | (180,145) | 40,767 |
(Increase) decrease in inventories | 415,760 | 112,036 |
(Increase) decrease in refundable income taxes | 3,616 | 68,516 |
(Increase) decrease in prepaid expenses and other current assets | (274,252) | (342,897) |
(Increase) decrease in other assets | (948) | (24,907) |
Increase (decrease) in income taxes payable | (6,930) | |
Increase (decrease) in accounts payable & accrued expenses and other noncurrent liabilities | 568,291 | 126,216 |
Net cash provided by (used in) operating activities | (256,238) | 339,193 |
Investing activities: | ||
Purchase of property, plant and equipment | (56,968) | (403,910) |
Proceeds from the sale of property, plant and equipment | 3,888 | 11,900 |
Payments received on distributor note receivable | 57,079 | 53,763 |
Net cash provided by (used in) investing activities | 3,999 | (338,247) |
Financing activities: | ||
Principal payments on long-term borrowings | (189,560) | (228,336) |
Net cash used in financing activities | (189,560) | (228,336) |
Effect of exchange rate changes on cash and cash equivalents | (66,901) | 69,501 |
Increase (decrease) in cash and cash equivalents | (508,700) | (157,889) |
Cash and cash equivalents at beginning of period | 3,272,788 | 3,606,817 |
Cash and cash equivalents at end of period | $ 2,764,088 | $ 3,448,928 |
Note 1 - Accounting Policies
Note 1 - Accounting Policies | 6 Months Ended |
Jun. 30, 2018 | |
Notes to Financial Statements | |
Significant Accounting Policies [Text Block] | 1. Accounting Polic ies Basis of Presentation The accompanying unaudited condensed consolidated financial statements and notes thereto have been prepared in accordance with the instructions to Form 10 not may not may 10 December 31, 2017, March 29, 2018 Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from those estimates. New Accounting Pronouncements – Not In February 2016, No. 2016 2, Leases (Topic 842 twelve December 15, 2018 not New Accounting Pronouncements – Adopted January 1, 2018 On January 1, 2018, No. 2014 09, Revenue from Contracts with Customers not $367,568 zero In accordance with the new revenue standard requirements, the disclosure of the impact of adoption to the Company’s financial position and results from operations are as follows: Balance at Adjustments Balance at December 31 Due to January 1 2017 ASU 2014-09 2018 Liabilities and stockholders' equity Accumulated deficit $ (10,040,229 ) $ (367,568 ) $ (10,407,797 ) Deferred revenue - 367,568 367,568 Three Months Ended June 30, 2018 Without Effect of Adoption of Change As Reported ASU 2014-09 Higher/(Lower) Operating results Net sales $ 8,459,741 $ 8,460,954 $ (1,213 ) Net income (loss) (977,954 ) (976,741 ) (1,213 ) Six Months Ended June 30, 2018 Without Effect of Adoption of Change As Reported ASU 2014-09 Higher/(Lower) Operating results Net sales $ 18,462,980 $ 18,452,001 $ 10,979 Net income (loss) (1,216,259 ) (1,227,238 ) 10,979 The new revenue standard defines a five twelve December 31, 2017, $367,568. Prior to adoption of the new revenue standard, the Company’s primary source of revenue has been from the sale of nutritional products to the Company’s independent distributors whereby revenue is recognized when product is shipped and risk of loss has passed to the customer; and the Company’s nutritional product revenue recognition policy does not The Company does not Description of Products and Services by Region and Category The Company operates in one six Three months ended June 30 Six months ended June 30 2018 2017 2018 2017 Net sales to external customers United States $ 6,336,387 $ 7,449,858 $ 14,006,448 $ 17,708,797 Australia/New Zealand 177,536 227,032 409,464 486,458 Canada 161,557 217,085 403,677 481,388 Mexico 112,411 89,221 219,782 246,538 Europe (1) 1,030,546 1,307,383 2,195,430 2,508,158 Asia (2) 641,304 716,049 1,228,179 1,353,071 Total net sales $ 8,459,741 $ 10,006,628 $ 18,462,980 $ 22,784,410 ( 1 Europe consists of United Kingdom, Ireland, France, Germany, Austria, and the Netherlands. ( 2 Asia consists of Philippines, Malaysia, Singapore, and Indonesia. The Company classifies its sales into two Three months ended June 30 Six months ended June 30 2018 2017 2018 2017 Net sales by product category Nutritional and dietary supplements $ 7,606,674 $ 8,917,319 $ 16,676,031 $ 20,336,938 Sales aids and other 313,922 341,490 635,946 756,987 Handling & freight income 539,145 747,819 1,151,003 1,690,485 Total net sales $ 8,459,741 $ 10,006,628 $ 18,462,980 $ 22,784,410 |
Note 2 - Basic and Diluted Earn
Note 2 - Basic and Diluted Earnings (Loss) Per Share | 6 Months Ended |
Jun. 30, 2018 | |
Notes to Financial Statements | |
Earnings Per Share [Text Block] | 2. Basic earnings (loss) per common share is computed using the weighted average number of common shares outstanding during the period. Diluted earnings (loss) per common share is computed using the weighted average number of common shares and potential dilutive common shares that were outstanding during the period. Potential dilutive common shares consist of outstanding stock options, outstanding stock warrants, and convertible preferred stock. The following table sets forth the computation of basic and diluted earnings (loss) per share: Three months ended June 30 Six months ended June 30 2018 2017 2018 2017 Numerator: Net income (loss) $ (977,954 ) $ (519,665 ) $ (1,216,259 ) $ 4,128 Denominator: Denominator for basic earnings (loss) per share – weighted average shares 1,845,000 1,845,000 1,845,000 1,845,000 Dilutive effect of employee stock options and other warrants - - - 1,000 Denominator for diluted earnings (loss) per share – adjusted weighted average shares 1,845,000 1,845,000 1,845,000 1,846,000 Basic earnings (loss) per share $ (0.53 ) $ (0.28 ) $ (0.66 ) $ 0.00 Diluted earnings (loss) per share $ (0.53 ) $ (0.28 ) $ (0.66 ) $ 0.00 Options and warrants to purchase 120,242 three six June 30, 2018, not 146,715 142,013 three six June 30, 2017, not |
Note 3 - Fair Value of Financia
Note 3 - Fair Value of Financial Instruments | 6 Months Ended |
Jun. 30, 2018 | |
Notes to Financial Statements | |
Fair Value Disclosures [Text Block] | 3 . Fair Value of Financial Instruments Fair value can be measured using valuation techniques such as the market approach (comparable market prices), the income approach (present value of future income or cash flow), and the cost approach (cost to replace the service capacity of an asset or replacement cost). Accounting standards utilize a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value into three Level 1: Level 2: not Level 3: The carrying amount and fair value of financial instruments were approximately as follows: Carrying Fair Description Amount Value Level 1 Level 2 Level 3 June 30, 2018 Long-term debt $ 2,855,861 $ 2,855,861 - $ 2,855,861 - Note receivable 1,463,926 1,579,000 - 1,579,000 - Marketable securities 331,000 331,000 $ 331,000 - - December 31, 2017 Long-term debt $ 3,045,421 $ 3,045,421 - $ 3,045,421 - Note receivable 1,521,005 1,684,000 - 1,684,000 - Marketable securities 330,000 330,000 $ 330,000 - - Long-term debt thirty Note receivable fifteen Marketable securities The carrying value of other financial instruments, including cash, accounts receivable and accounts payable, and accrued liabilities approximate fair value due to their short maturities or variable-rate nature of the respective balances. |
Note 4 - Debt - Subsequent Even
Note 4 - Debt - Subsequent Events | 6 Months Ended |
Jun. 30, 2018 | |
Notes to Financial Statements | |
Debt Disclosure [Text Block] | 4 . Debt – Subsequent Events June 30 December 31 2018 2017 Term loan $ 2,355,861 $ 2,545,421 Revolving line of credit 500,000 500,000 2,855,861 3,045,421 Less current portion 2,855,861 3,045,421 Total long-term debt $ - $ - The original September 30, 2015 $3.25 ten $27,080 September 30, 2018. April 11, 2018 September 30, 2018 April 29, 2019. 30 2.25% 4.26% June 30, 2018. Effective with an April 11, 2018 April 30, 2018 April 29, 2019 $3.5 $2.0 June 30, 2018, $500,000. Borrowings under the lending agreements continued to be secured by all tangible and intangible assets of the Company, a whole life insurance policy on the life of the Company's Chief Executive Officer, which was assigned to the lender, and by a mortgage on the real estate of the Company's headquarters. The loan agreements, including the April 2018 not $9.5 $400,000; $600,000; $800,000 June 30, 2018; September 30, 2018; December 31, 2018; $200,000 March 31, 2019. As defined, EBITDA equals the Company's consolidated net income for such period, before interest expense, income tax expense, depreciation and amortization, and management fees, and further adjusted to exclude any gain or loss on the sale of assets, other extraordinary gains or losses, and any one At June 30, 2018, July 2018, $3.07 $2.86 July 2018 zero July 2018 June 30, 2018 June 30, 2018 |
Note 5 - Income Taxes
Note 5 - Income Taxes | 6 Months Ended |
Jun. 30, 2018 | |
Notes to Financial Statements | |
Income Tax Disclosure [Text Block] | 5 . Income Taxes During 2016 2017, not 2016 2017 not In prior years, the Company recorded a valuation allowance on all of its domestic and foreign deferred tax assets. The effective income tax rate was ( 3.4 92.2% six June 30, 2018 2017, six June 30, 2018 2017, one The United States Tax Cuts and Jobs Act (TCJA) was enacted in December 2017, 21% January 1, 2018, 21% Securities and Exchange Commission (“SEC”) issued Staff Accounting Bulletin (“SAB”) 118 118, One of the Company’s foreign subsidiaries is presently under local country audit for alleged deficiencies (totaling approximately $800,000 20% 2004 2006. not 2011, $173,000 As of December 31, 2017, $181,000 first 2018. May 2018, one not |
Note 6 - Restructuring Activiti
Note 6 - Restructuring Activities | 6 Months Ended |
Jun. 30, 2018 | |
Notes to Financial Statements | |
Restructuring and Related Activities Disclosure [Text Block] | 6 . Restructuring Activities In April 2018, June 30, 2018 $77,000, June 30, 2018. At June 30, 2018, $14,000. 2018. |
Significant Accounting Policies
Significant Accounting Policies (Policies) | 6 Months Ended |
Jun. 30, 2018 | |
Accounting Policies [Abstract] | |
Basis of Accounting, Policy [Policy Text Block] | Basis of Presentation The accompanying unaudited condensed consolidated financial statements and notes thereto have been prepared in accordance with the instructions to Form 10 not may not may 10 December 31, 2017, March 29, 2018 |
Use of Estimates, Policy [Policy Text Block] | Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from those estimates. |
New Accounting Pronouncements, Policy [Policy Text Block] | New Accounting Pronouncements – Not In February 2016, No. 2016 2, Leases (Topic 842 twelve December 15, 2018 not New Accounting Pronouncements – Adopted January 1, 2018 On January 1, 2018, No. 2014 09, Revenue from Contracts with Customers not $367,568 zero In accordance with the new revenue standard requirements, the disclosure of the impact of adoption to the Company’s financial position and results from operations are as follows: Balance at Adjustments Balance at December 31 Due to January 1 2017 ASU 2014-09 2018 Liabilities and stockholders' equity Accumulated deficit $ (10,040,229 ) $ (367,568 ) $ (10,407,797 ) Deferred revenue - 367,568 367,568 Three Months Ended June 30, 2018 Without Effect of Adoption of Change As Reported ASU 2014-09 Higher/(Lower) Operating results Net sales $ 8,459,741 $ 8,460,954 $ (1,213 ) Net income (loss) (977,954 ) (976,741 ) (1,213 ) Six Months Ended June 30, 2018 Without Effect of Adoption of Change As Reported ASU 2014-09 Higher/(Lower) Operating results Net sales $ 18,462,980 $ 18,452,001 $ 10,979 Net income (loss) (1,216,259 ) (1,227,238 ) 10,979 The new revenue standard defines a five twelve December 31, 2017, $367,568. Prior to adoption of the new revenue standard, the Company’s primary source of revenue has been from the sale of nutritional products to the Company’s independent distributors whereby revenue is recognized when product is shipped and risk of loss has passed to the customer; and the Company’s nutritional product revenue recognition policy does not The Company does not Description of Products and Services by Region and Category The Company operates in one six Three months ended June 30 Six months ended June 30 2018 2017 2018 2017 Net sales to external customers United States $ 6,336,387 $ 7,449,858 $ 14,006,448 $ 17,708,797 Australia/New Zealand 177,536 227,032 409,464 486,458 Canada 161,557 217,085 403,677 481,388 Mexico 112,411 89,221 219,782 246,538 Europe (1) 1,030,546 1,307,383 2,195,430 2,508,158 Asia (2) 641,304 716,049 1,228,179 1,353,071 Total net sales $ 8,459,741 $ 10,006,628 $ 18,462,980 $ 22,784,410 ( 1 Europe consists of United Kingdom, Ireland, France, Germany, Austria, and the Netherlands. ( 2 Asia consists of Philippines, Malaysia, Singapore, and Indonesia. The Company classifies its sales into two Three months ended June 30 Six months ended June 30 2018 2017 2018 2017 Net sales by product category Nutritional and dietary supplements $ 7,606,674 $ 8,917,319 $ 16,676,031 $ 20,336,938 Sales aids and other 313,922 341,490 635,946 756,987 Handling & freight income 539,145 747,819 1,151,003 1,690,485 Total net sales $ 8,459,741 $ 10,006,628 $ 18,462,980 $ 22,784,410 |
Note 1 - Accounting Policies (T
Note 1 - Accounting Policies (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Notes Tables | |
Schedule of New Accounting Pronouncements and Changes in Accounting Principles [Table Text Block] | Balance at Adjustments Balance at December 31 Due to January 1 2017 ASU 2014-09 2018 Liabilities and stockholders' equity Accumulated deficit $ (10,040,229 ) $ (367,568 ) $ (10,407,797 ) Deferred revenue - 367,568 367,568 Three Months Ended June 30, 2018 Without Effect of Adoption of Change As Reported ASU 2014-09 Higher/(Lower) Operating results Net sales $ 8,459,741 $ 8,460,954 $ (1,213 ) Net income (loss) (977,954 ) (976,741 ) (1,213 ) Six Months Ended June 30, 2018 Without Effect of Adoption of Change As Reported ASU 2014-09 Higher/(Lower) Operating results Net sales $ 18,462,980 $ 18,452,001 $ 10,979 Net income (loss) (1,216,259 ) (1,227,238 ) 10,979 |
Schedule of Revenue from External Customers and Long-Lived Assets, by Geographical Areas [Table Text Block] | Three months ended June 30 Six months ended June 30 2018 2017 2018 2017 Net sales to external customers United States $ 6,336,387 $ 7,449,858 $ 14,006,448 $ 17,708,797 Australia/New Zealand 177,536 227,032 409,464 486,458 Canada 161,557 217,085 403,677 481,388 Mexico 112,411 89,221 219,782 246,538 Europe (1) 1,030,546 1,307,383 2,195,430 2,508,158 Asia (2) 641,304 716,049 1,228,179 1,353,071 Total net sales $ 8,459,741 $ 10,006,628 $ 18,462,980 $ 22,784,410 |
Schedule of Segment Reporting Information by Product [Table Text Block] | Three months ended June 30 Six months ended June 30 2018 2017 2018 2017 Net sales by product category Nutritional and dietary supplements $ 7,606,674 $ 8,917,319 $ 16,676,031 $ 20,336,938 Sales aids and other 313,922 341,490 635,946 756,987 Handling & freight income 539,145 747,819 1,151,003 1,690,485 Total net sales $ 8,459,741 $ 10,006,628 $ 18,462,980 $ 22,784,410 |
Note 2 - Basic and Diluted Ea14
Note 2 - Basic and Diluted Earnings (Loss) Per Share (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Notes Tables | |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | Three months ended June 30 Six months ended June 30 2018 2017 2018 2017 Numerator: Net income (loss) $ (977,954 ) $ (519,665 ) $ (1,216,259 ) $ 4,128 Denominator: Denominator for basic earnings (loss) per share – weighted average shares 1,845,000 1,845,000 1,845,000 1,845,000 Dilutive effect of employee stock options and other warrants - - - 1,000 Denominator for diluted earnings (loss) per share – adjusted weighted average shares 1,845,000 1,845,000 1,845,000 1,846,000 Basic earnings (loss) per share $ (0.53 ) $ (0.28 ) $ (0.66 ) $ 0.00 Diluted earnings (loss) per share $ (0.53 ) $ (0.28 ) $ (0.66 ) $ 0.00 |
Note 3 - Fair Value of Financ15
Note 3 - Fair Value of Financial Instruments (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Notes Tables | |
Fair Value, by Balance Sheet Grouping [Table Text Block] | Carrying Fair Description Amount Value Level 1 Level 2 Level 3 June 30, 2018 Long-term debt $ 2,855,861 $ 2,855,861 - $ 2,855,861 - Note receivable 1,463,926 1,579,000 - 1,579,000 - Marketable securities 331,000 331,000 $ 331,000 - - December 31, 2017 Long-term debt $ 3,045,421 $ 3,045,421 - $ 3,045,421 - Note receivable 1,521,005 1,684,000 - 1,684,000 - Marketable securities 330,000 330,000 $ 330,000 - - |
Note 4 - Debt - Subsequent Ev16
Note 4 - Debt - Subsequent Events (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Notes Tables | |
Schedule of Debt [Table Text Block] | June 30 December 31 2018 2017 Term loan $ 2,355,861 $ 2,545,421 Revolving line of credit 500,000 500,000 2,855,861 3,045,421 Less current portion 2,855,861 3,045,421 Total long-term debt $ - $ - |
Note 1 - Accounting Policies (D
Note 1 - Accounting Policies (Details Textual) | 6 Months Ended | |
Jun. 30, 2018USD ($) | Jan. 01, 2018USD ($) | |
Contract with Customer, Liability, Total | $ 367,568 | |
Number of Reportable Segments | 1 | |
Number of Operating Segments | 6 | |
Accounting Standards Update 2014-09 [Member] | ||
New Accounting Pronouncement or Change in Accounting Principle, Cumulative Effect of Change on Equity or Net Assets | $ (367,568) |
Note 1 - Accounting Policies -
Note 1 - Accounting Policies - Adoption of ASU No. 2014-09, Financial Position Impact (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | Jan. 01, 2018 | Dec. 31, 2017 | |
Accumulated deficit | $ (11,624,056) | $ (11,624,056) | $ (10,407,797) | $ (10,040,229) | ||
Deferred revenue | 356,028 | 356,028 | 367,568 | |||
Net sales to external customers | 8,459,741 | $ 10,006,628 | 18,462,980 | $ 22,784,410 | ||
Net income (loss) | (977,954) | $ (519,665) | (1,216,259) | $ 4,128 | ||
Calculated under Revenue Guidance in Effect before Topic 606 [Member] | ||||||
Net sales to external customers | 8,460,954 | 18,452,001 | ||||
Net income (loss) | (976,741) | (1,227,238) | ||||
Difference between Revenue Guidance in Effect before and after Topic 606 [Member] | ||||||
Net sales to external customers | (1,213) | 10,979 | ||||
Net income (loss) | $ (1,213) | $ 10,979 | ||||
Accounting Standards Update 2014-09 [Member] | ||||||
Accumulated deficit | (367,568) | |||||
Deferred revenue | $ 367,568 |
Note 1 - Accounting Policies 19
Note 1 - Accounting Policies - Summary of Geographic Area Data (Details) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | ||
Net sales to external customers | |||||
Net sales to external customers | $ 8,459,741 | $ 10,006,628 | $ 18,462,980 | $ 22,784,410 | |
UNITED STATES | |||||
Net sales to external customers | |||||
Net sales to external customers | 6,336,387 | 7,449,858 | 14,006,448 | 17,708,797 | |
Australia, New Zealand [Member] | |||||
Net sales to external customers | |||||
Net sales to external customers | 177,536 | 227,032 | 409,464 | 486,458 | |
CANADA | |||||
Net sales to external customers | |||||
Net sales to external customers | 161,557 | 217,085 | 403,677 | 481,388 | |
MEXICO | |||||
Net sales to external customers | |||||
Net sales to external customers | 112,411 | 89,221 | 219,782 | 246,538 | |
Europe [Member] | |||||
Net sales to external customers | |||||
Net sales to external customers | [1] | 1,030,546 | 1,307,383 | 2,195,430 | 2,508,158 |
Asia [Member] | |||||
Net sales to external customers | |||||
Net sales to external customers | [2] | $ 641,304 | $ 716,049 | $ 1,228,179 | $ 1,353,071 |
[1] | Europe consists of United Kingdom, Ireland, France, Germany, Austria, and the Netherlands. | ||||
[2] | Asia consists of Philippines, Malaysia, Singapore, and Indonesia. |
Note 1 - Accounting Policies 20
Note 1 - Accounting Policies - Net Sales by Product Category (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Net sales to external customers | $ 8,459,741 | $ 10,006,628 | $ 18,462,980 | $ 22,784,410 |
Nutritional and Dietary Supplements [Member] | ||||
Net sales to external customers | 7,606,674 | 8,917,319 | 16,676,031 | 20,336,938 |
Sales Aids and Other [Member] | ||||
Net sales to external customers | 313,922 | 341,490 | 635,946 | 756,987 |
Handling and Freight Income [Member] | ||||
Net sales to external customers | $ 539,145 | $ 747,819 | $ 1,151,003 | $ 1,690,485 |
Note 2 - Basic and Diluted Ea21
Note 2 - Basic and Diluted Earnings (Loss) Per Share (Details Textual) - shares | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 120,242 | 146,715 | 120,242 | 142,013 |
Note 2 - Basic and Diluted Ea22
Note 2 - Basic and Diluted Earnings (Loss) Per Share - Basic and Diluted Earnings (Loss) Per Share (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Net income (loss) | $ (977,954) | $ (519,665) | $ (1,216,259) | $ 4,128 |
Denominator for basic earnings (loss) per share – weighted average shares (in shares) | 1,845,000 | 1,845,000 | 1,845,000 | 1,845,000 |
Dilutive effect of employee stock options and other warrants (in shares) | 1,000 | |||
Denominator for diluted earnings (loss) per share – adjusted weighted average shares (in shares) | 1,845,000 | 1,845,000 | 1,845,000 | 1,846,000 |
Basic earnings (loss) per share (in dollars per share) | $ (0.53) | $ (0.28) | $ (0.66) | $ 0 |
Diluted earnings (loss) per share (in dollars per share) | $ (0.53) | $ (0.28) | $ (0.66) | $ 0 |
Note 3 - Fair Value of Financ23
Note 3 - Fair Value of Financial Instruments - Summary of Financial Instruments (Details) - USD ($) | Jun. 30, 2018 | Dec. 31, 2017 |
Long-term debt | $ 2,855,861 | $ 3,045,421 |
Long-term debt, fair value | 2,855,861 | 3,045,421 |
Note receivable | 1,463,926 | 1,521,005 |
Note receivable, fair value | 1,579,000 | 1,684,000 |
Marketable securities | 331,000 | 330,000 |
Fair Value, Inputs, Level 1 [Member] | ||
Long-term debt, fair value | ||
Note receivable, fair value | ||
Marketable securities | 331,000 | 330,000 |
Fair Value, Inputs, Level 2 [Member] | ||
Long-term debt, fair value | 2,855,861 | 3,045,421 |
Note receivable, fair value | 1,579,000 | 1,684,000 |
Marketable securities | ||
Fair Value, Inputs, Level 3 [Member] | ||
Long-term debt, fair value | ||
Note receivable, fair value | ||
Marketable securities |
Note 4 - Debt - Subsequent Ev24
Note 4 - Debt - Subsequent Events (Details Textual) - USD ($) | Sep. 30, 2015 | Jul. 31, 2018 | Mar. 31, 2019 | Jun. 30, 2018 | Sep. 30, 2018 | Dec. 31, 2018 | Apr. 11, 2018 | Dec. 31, 2017 |
Debt Instrument, Covenant Compliance, Minimum Net Tangible Worth | $ 9,500,000 | |||||||
Line of Credit Facility, Covenant Compliance, Minimum Cumulative EBITDA | 400,000 | |||||||
Cash Surrender Value of Life Insurance, Current | 3,067,360 | |||||||
Loans Payable, Current, Total | 2,355,861 | 2,545,421 | ||||||
Line of Credit, Current | 500,000 | 500,000 | ||||||
Cash Surrender Value of Life Insurance | $ 3,086,522 | |||||||
Subsequent Event [Member] | ||||||||
Repayments of Debt | $ 2,860,000 | |||||||
Cash Surrender Value of Life Insurance | 0 | |||||||
Scenario, Forecast [Member] | ||||||||
Line of Credit Facility, Covenant Compliance, Minimum Cumulative EBITDA | $ 200,000 | $ 600,000 | $ 800,000 | |||||
Revolving Credit Facility [Member] | ||||||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 3,500,000 | $ 2,000,000 | ||||||
Long-term Line of Credit, Total | $ 500,000 | |||||||
Term Loan [Member] | ||||||||
Debt Instrument, Face Amount | $ 3,250,000 | |||||||
Debt Instrument, Amortization Term | 10 years | |||||||
Debt Instrument, Periodic Payment, Principal | $ 27,080 | |||||||
Debt Instrument, Interest Rate, Effective Percentage | 4.26% | |||||||
Term Loan [Member] | Subsequent Event [Member] | ||||||||
Loans Payable, Current, Total | 0 | |||||||
Term Loan [Member] | London Interbank Offered Rate (LIBOR) [Member] | ||||||||
Debt Instrument, Basis Spread on Variable Rate | 2.25% | |||||||
Line of Credit [Member] | Subsequent Event [Member] | ||||||||
Line of Credit, Current | $ 0 |
Note 4 - Debt - Subsequent Ev25
Note 4 - Debt - Subsequent Events - Summary of Debt (Details) - USD ($) | Jun. 30, 2018 | Dec. 31, 2017 |
Long-term debt | $ 2,855,861 | $ 3,045,421 |
Less current portion | 2,855,861 | 3,045,421 |
Total long-term debt | ||
Term Loan [Member] | ||
Long-term debt | 2,355,861 | 2,545,421 |
Line of Credit [Member] | ||
Long-term debt | $ 500,000 | $ 500,000 |
Note 5 - Income Taxes (Details
Note 5 - Income Taxes (Details Textual) - USD ($) | 6 Months Ended | 12 Months Ended | 36 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Dec. 31, 2011 | Dec. 31, 2006 | Dec. 31, 2017 | |
Effective Income Tax Rate Reconciliation, Percent, Total | (3.40%) | 92.20% | |||
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent | 21.00% | ||||
VAT and Withholding Taxes | $ 800,000 | ||||
Interest Penalty Percentage | 20.00% | ||||
Payments for Good Faith Deposits to Local Tax Authority Under Tax Agency's Adminstrative Judicial Resolution Process | $ 173,000 | ||||
Reserve for Tax Deficiencies of Subsidiaries [Member] | |||||
Loss Contingency Accrual, Ending Balance | $ 181,000 |
Note 6 - Restructuring Activi27
Note 6 - Restructuring Activities (Details Textual) - Closing of Reliv Indonesia Subsidiary [Member] | 3 Months Ended |
Jun. 30, 2018USD ($) | |
Restructuring Charges, Total | $ 77,000 |
Restructuring Reserve, Ending Balance | $ 14,000 |