Document And Entity Information
Document And Entity Information - USD ($) | 12 Months Ended | ||
Jun. 30, 2022 | Sep. 21, 2022 | Dec. 31, 2021 | |
Document Information [Line Items] | |||
Entity Central Index Key | 0000787253 | ||
Entity Registrant Name | NATURAL ALTERNATIVES INTERNATIONAL INC | ||
Amendment Flag | false | ||
Current Fiscal Year End Date | --06-30 | ||
Document Fiscal Period Focus | FY | ||
Document Fiscal Year Focus | 2022 | ||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Jun. 30, 2022 | ||
Document Transition Report | false | ||
Entity File Number | 000-15701 | ||
Entity Incorporation, State or Country Code | DE | ||
Entity Tax Identification Number | 84-1007839 | ||
Entity Address, Address Line One | 1535 Faraday Ave | ||
Entity Address, City or Town | Carlsbad | ||
Entity Address, State or Province | CA | ||
Entity Address, Postal Zip Code | 92008 | ||
City Area Code | 760 | ||
Local Phone Number | 736-7700 | ||
Title of 12(g) Security | Common Stock, $0.01 par value per share | ||
Trading Symbol | NAII | ||
Security Exchange Name | NASDAQ | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Emerging Growth Company | false | ||
Entity Filer Category | Non-accelerated Filer | ||
Entity Small Business | true | ||
ICFR Auditor Attestation Flag | false | ||
Entity Shell Company | false | ||
Entity Public Float | $ 63,775,000 | ||
Entity Common Stock, Shares Outstanding | 6,090,205 | ||
Auditor Name | HASKELL & WHITE LLP | ||
Auditor Firm ID | 200 | ||
Auditor Location | San Diego, California |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) | Jun. 30, 2022 | Jun. 30, 2021 |
Current assets: | ||
Cash and cash equivalents | $ 21,833,000 | $ 32,133,000 |
Accounts receivable – less allowance for doubtful accounts of $3,383 at June 30, 2022 and $3,527 at June 30, 2021 | 17,422,000 | 17,946,000 |
Inventories, net | 32,475,000 | 27,006,000 |
Income tax receivable | 67,000 | 1,095,000 |
Derivative assets, current asset | 3,144,000 | 0 |
Prepaids and other current assets | 1,805,000 | 2,168,000 |
Total current assets | 76,746,000 | 80,348,000 |
Property and equipment, net | 44,573,000 | 22,271,000 |
Operating lease right-of-use assets | 21,701,000 | 15,877,000 |
Deferred tax asset – noncurrent | 0 | 214,000 |
Other noncurrent assets, net | 2,983,000 | 1,571,000 |
Total assets | 146,003,000 | 120,281,000 |
Current liabilities: | ||
Accounts payable | 16,185,000 | 11,893,000 |
Accrued liabilities | 2,787,000 | 2,441,000 |
Accrued compensation and employee benefits | 3,673,000 | 4,584,000 |
Customer deposits | 140,000 | 1,721,000 |
Income taxes payable | 174,000 | 619,000 |
Forward contracts | 0 | 814,000 |
Mortgage note payable, current portion | 302,000 | 0 |
Total current liabilities | 23,261,000 | 22,072,000 |
Long-term liability – operating leases | 22,047,000 | 16,481,000 |
Noncurrent forward contracts | 0 | 4,000 |
Long-term pension liability | 344,000 | 391,000 |
Deferred tax liability | 1,220,000 | 0 |
Mortgage note payable, net of current portion | 9,493,000 | 0 |
Income taxes payable, noncurrent | 1,118,000 | 1,250,000 |
Total liabilities | 57,483,000 | 40,198,000 |
Commitments and contingencies (Notes D, F, H, J and M) | ||
Stockholders’ equity: | ||
Preferred stock; $.01 par value; 500,000 shares authorized; none issued or outstanding | 0 | 0 |
Common stock; $.01 par value; 20,000,000 shares authorized at June 30, 2022 and June 30, 2021, issued and outstanding (net of treasury shares) 6,129,611 at June 30, 2022 and 6,436,568 at June 30, 2021 | 89,000 | 88,000 |
Additional paid-in capital | 30,423,000 | 29,456,000 |
Retained earnings | 77,661,000 | 66,949,000 |
Treasury stock, at cost, 3,061,795 shares at June 30, 2022 and 2,567,797 at June 30, 2021 | (21,352,000) | (15,849,000) |
Accumulated other comprehensive income | 1,699,000 | (561,000) |
Total stockholders’ equity | 88,520,000 | 80,083,000 |
Total liabilities and stockholders’ equity | $ 146,003,000 | $ 120,281,000 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parentheticals) - USD ($) | Jun. 30, 2022 | Jun. 30, 2021 |
Accounts receivable, allowance for doubtful accounts | $ 3,383 | $ 3,527 |
Preferred stock par value (in dollars per share) | $ 0.01 | $ 0.01 |
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) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 20,000,000 | 20,000,000 |
Common stock, shares issued (in shares) | 6,129,611 | 6,436,568 |
Common stock, shares outstanding (in shares) | 6,129,611 | 6,436,568 |
Treasury stock, shares (in shares) | 3,061,795 | 2,567,797 |
Consolidated Statements of Oper
Consolidated Statements of Operations and Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Net sales | $ 170,966 | $ 178,520 |
Cost of goods sold | 140,457 | 148,078 |
Gross profit | 30,509 | 30,442 |
Other selling, general and administrative expenses | 16,950 | 16,902 |
(Recoveries) provision for uncollectible accounts receivable | (120) | (132) |
Income from operations | 13,679 | 13,672 |
Other income (expense): | ||
Interest income | 0 | 1 |
Interest expense | (83) | (118) |
Foreign exchange gain (loss) | 118 | (1,409) |
Other, net | (55) | (21) |
Total other expense | (20) | (1,547) |
Income before income taxes | 13,659 | 12,125 |
Provision for income taxes | 2,947 | 1,357 |
Net income | 10,712 | 10,768 |
Change in minimum pension liability, net of tax | 94 | 350 |
Unrealized gain resulting from change in fair value of derivative instruments, net of tax | 2,166 | 272 |
Comprehensive income | $ 12,972 | $ 11,390 |
Net income per common share: | ||
Basic (in dollars per share) | $ 1.75 | $ 1.71 |
Diluted (in dollars per share) | $ 1.74 | $ 1.69 |
Weighted average common shares outstanding: | ||
Basic (in shares) | 6,117,044 | 6,290,689 |
Diluted (in shares) | 6,155,118 | 6,379,486 |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity - USD ($) $ in Thousands | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Treasury Stock [Member] | AOCI Attributable to Parent [Member] | Total |
Balance (in shares) at Jun. 30, 2020 | 8,856,677 | 2,104,305 | ||||
Balance at Jun. 30, 2020 | $ 87 | $ 27,992 | $ 56,181 | $ (11,702) | $ (1,183) | $ 71,375 |
Issuance of common stock for restricted stock grants (in shares) | 91,773 | 0 | ||||
Issuance of common stock for restricted stock grants | $ 1 | (1) | 0 | $ 0 | 0 | 0 |
Compensation expense related to stock compensation plans | $ 0 | 1,430 | 0 | $ 0 | 0 | $ 1,430 |
Treasury Stock Acquired, Shares (in shares) | 0 | 433,050 | 463,492 | |||
Repurchase of common stock | $ 0 | 0 | 0 | $ (3,844) | 0 | $ (3,844) |
Issuance of common stock for stock option exercise (in shares) | 55,915 | 30,442 | ||||
Issuance of common stock for stock option exercise | $ 0 | 35 | 0 | $ (303) | 0 | (268) |
Change in minimum pension liability, net of tax | 0 | 0 | 0 | 0 | 350 | 350 |
Unrealized gain resulting from change in fair value of derivative instruments, net of tax | 0 | 0 | 0 | 0 | 272 | 272 |
Net income (loss) | $ 0 | 0 | 10,768 | $ 0 | 0 | 10,768 |
Repurchase of common stock | (4,147) | |||||
Balance (in shares) at Jun. 30, 2021 | 9,004,365 | 2,567,797 | ||||
Balance at Jun. 30, 2021 | $ 88 | 29,456 | 66,949 | $ (15,849) | (561) | 80,083 |
Issuance of common stock for restricted stock grants (in shares) | 135,850 | 0 | ||||
Issuance of common stock for restricted stock grants | $ 1 | (1) | 0 | $ 0 | 0 | 0 |
Compensation expense related to stock compensation plans | $ 0 | 968 | 0 | $ 0 | 0 | $ 968 |
Treasury Stock Acquired, Shares (in shares) | 0 | 435,080 | 435,080 | |||
Issuance of common stock for stock option exercise (in shares) | 130,000 | |||||
Change in minimum pension liability, net of tax | $ 0 | 0 | 0 | $ 0 | 94 | $ 94 |
Unrealized gain resulting from change in fair value of derivative instruments, net of tax | 0 | 0 | 0 | 0 | 2,166 | 2,166 |
Net income (loss) | 0 | 0 | 10,712 | 0 | 0 | 10,712 |
Repurchase of common stock | $ 0 | 0 | 0 | $ (5,503) | 0 | (5,503) |
Forfeiture of restricted stock (in shares) | 0 | 19,832 | ||||
Forfeiture of restricted stock | $ 0 | 0 | 0 | $ 0 | 0 | 0 |
Share Correction | $ 0 | 0 | 0 | $ 0 | 0 | 0 |
Balance (in shares) at Jun. 30, 2022 | 9,191,406 | 3,061,795 | ||||
Balance at Jun. 30, 2022 | $ 89 | $ 30,423 | $ 77,661 | $ (21,352) | $ 1,699 | $ 88,520 |
Share Correction (in shares) | 51,191 | 39,086 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Cash flows from operating activities | ||
Net income | $ 10,712 | $ 10,768 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
(Recovery of) provision for uncollectible accounts receivable | (120) | (132) |
Depreciation and amortization | 4,165 | 4,338 |
Deferred income taxes | 751 | (214) |
Non-cash lease expenses | 2,749 | 3,421 |
Non-cash compensation | 968 | 1,430 |
Pension expense | 83 | 163 |
Gain on disposal of assets, net of impairment | (9) | (47) |
Changes in operating assets and liabilities: | ||
Accounts receivable | 644 | (813) |
Inventories | (5,469) | 966 |
Operating lease liabilities | (3,007) | (3,245) |
Prepaids and other assets | 75 | (358) |
Accounts payable and accrued liabilities | 3,057 | 1,912 |
Forward contracts | (2,273) | 1,430 |
Income taxes | 451 | (737) |
Accrued compensation and employee benefits | (911) | 1,924 |
Net cash provided by operating activities | 11,866 | 20,806 |
Cash flows from investing activities | ||
Purchases of property and equipment | (26,488) | (5,107) |
Proceeds from sale of property and equipment | 30 | 68 |
Net cash used in investing activities | (26,458) | (5,039) |
Cash flows from financing activities | ||
Repurchase of common stock | (5,503) | (4,147) |
Payments on lines of credit | 0 | (10,000) |
Borrowings on long-term debt | 10,000 | 0 |
Payments on long-term debt | (205) | 0 |
Issuance of common stock for stock option exercise | 0 | 35 |
Net cash provided by (used in) financing activities | 4,292 | (14,112) |
Net (decrease) increase in cash and cash equivalents | (10,300) | 1,655 |
Cash and cash equivalents at beginning of year | 32,133 | 30,478 |
Cash and cash equivalents at end of year | 21,833 | 32,133 |
Supplemental disclosures of cash flow information | ||
Taxes | 2,608 | 2,960 |
Interest | $ 206 | $ 131 |
Note A - Organization and Summa
Note A - Organization and Summary of Significant Accounting Policies | 12 Months Ended |
Jun. 30, 2022 | |
Notes to Financial Statements | |
Organization, Consolidation and Presentation of Financial Statements Disclosure and Significant Accounting Policies [Text Block] | A. Organization and Summary of Significant Accounting Policies Organization We provide private-label contract manufacturing services to companies that market and distribute vitamins, minerals, herbs, and other nutritional supplements, as well as other health care products, to consumers both within and outside the U.S. We also seek to commercialize our patent and trademark estate related to the ingredient known as beta-alanine sold under our CarnoSyn® and SR CarnoSyn® tradenames through direct raw material sales and various license and similar arrangements. Subsidiaries On January 22, 1999, September 1999, Principles of Consolidation The consolidated financial statements include the accounts of Natural Alternatives International, Inc. (NAI) and our wholly-owned subsidiary, NAIE. All intercompany accounts and transactions have been eliminated. The functional currency of NAIE, our foreign subsidiary, is the U.S. Dollar. Certain accounts of NAIE have been translated at either current or historical exchange rates, as appropriate, with gains and losses included in the consolidated statements of operations. Recently Adopted Accounting Pronouncements On December 18, 2019, No. 2019 12, Income Taxes (Topic 740 740 December 15, 2020, first 2022. not In March 2020, 2020 04, 848 2022. not Recently Issued Accounting and Regulatory Pronouncements On March 28, 2022, No. 2022 01, Derivatives and Hedging (Topic 815 815 2017 123 August 28, 2017) 2022 01 December 15, 2022, first 2023. not Cash and Cash Equivalents We consider all highly liquid investments with a maturity of three Fair Value of Financial Instruments Fair value is defined as the exchange price that would be received to sell an asset or paid to transfer a liability (i.e., the “exit price”) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants at the measurement date. We use a three The fair value hierarchy is broken down into three 1 1 2 not 3 Except for cash and cash equivalents, as of June 30, 2022 June 30, 2021, not 1. 2 third Fair value of derivative instruments classified as Level 2 June 30, 2022 June 30, 2021 Euro Forward Contract– Current Assets $ 3,144 $ — Swiss Franc Forward Contract – Current Assets 109 — Total Derivative Contracts – Current Assets 3,253 — Interest Swap – Other noncurrent Assets 453 — Euro Forward Contract– Other noncurrent Assets 561 — Total Derivative Contracts – Other noncurrent Assets 1,014 — Euro Forward Contract–Current Liabilities — (630 ) Swiss Franc Forward Contract – Current Liabilities — (184 ) Total Derivative Contracts – Current Liabilities — (814 ) Euro Forward Contract – Noncurrent Liabilities — (4 ) Fair Value Net Asset (Liability) – all Derivative Contracts $ 4,267 $ (818 ) We also classify any outstanding line of credit and term loan balance as a Level 2 June 30, 2022, June 30, 2021, not 3. not 2021 2022. Accounts Receivable We perform ongoing credit evaluations of our customers and adjust credit limits based on payment history and customer credit-worthiness. An allowance for estimated doubtful accounts is maintained based on historical experience, including identified customer credit issues. We monitor collections regularly and adjust the allowance for doubtful accounts as necessary to recognize any changes in credit exposure. Upon conclusion that a receivable is uncollectible, we record the respective amount as a charge against allowance for doubtful accounts. To date, such doubtful accounts reserves, in the aggregate, have been adequate to cover collection losses. Customer Deposits For certain customers we have contract terms where the customer pays a certain portion of their orders as prepayment. We treat this as a customer deposit liability and do not June 30, 2022 June 30, 2021 Inventories We operate primarily as a private-label contract manufacturer. We build products based upon anticipated demand or following receipt of customer specific purchase orders. From time to time, we build inventory for private-label contract manufacturing customers under a specific purchase order with delivery dates that may first first not Property and Equipment We state property and equipment at cost. Depreciation of property and equipment is provided using the straight-line method over their estimated useful lives, generally ranging from 1 to 39 years. We amortize leasehold improvements using the straight-line method over the shorter of the useful life of the improvement or the term of the lease. Maintenance and repairs are expensed as incurred. Significant expenditures that increase economic useful lives of property or equipment are capitalized and expensed over the useful life of such expenditure. Impairment of Long-Lived Assets We periodically evaluate the carrying value of long-lived assets to be held and used when events and circumstances indicate that the carrying amount of an asset may not 2022 2021. Derivative Financial Instruments We may may not not. We recognize any unrealized gains and losses associated with derivative instruments accounted for as cash flow hedges in income in the period in which the underlying hedged transaction is realized. To the extent the derivative instrument is deemed ineffective we would recognize the resulting gain or loss in income at that time. As of June 30, 2022, June 30, 2022, €31.9 As of June 30, 2022, not June 30, 2022, not first 2023. Defined Benefit Pension Plan We formerly sponsored a defined benefit pension plan. Effective June 21, 1999, third Revenue Recognition We record revenue based on a five 1 2 3 4 5 Revenue is measured as the net amount of consideration expected to be received in exchange for fulfilling one 30 Revenue is recognized at the point in time that each of our performance obligations is fulfilled, and control of the ordered products is transferred to the customer. This transfer occurs when the product is shipped, or in some cases, when the product is delivered to the customer. We recognize revenue in certain circumstances before delivery to the customer has occurred (commonly referred to as bill-and-hold transactions). Products sold under bill-and-hold arrangements are recorded as revenue when risk of ownership has been transferred to the customer, but the product has not Contract liabilities and revenue recognized were as follows (in thousands): June 30, 2021 Additions Revenue Recognized June 30, 2022 Contract Liabilities (Customer Deposits) $ 1,721 $ 140 $ (1,721 ) $ 140 We provide early payment discounts to certain customers. Based on historical payment trends, we expect that these customers will take advantage of these early payment discounts. The cost of these discounts is reported as a reduction to the transaction price. If the actual discounts differ from those estimated, the difference is also reported as a change in the transaction price. We require prepayment from certain customers. We record any payments received in advance of contracts fulfillment as a contract liability and classified as customer deposits on the consolidated balance sheet. Except for product defects, no June 30, 2022, We currently own certain U.S. patents, and each patent’s corresponding foreign patent applications. All of these patents and patent rights relate to the ingredient known as beta-alanine marketed and sold under our CarnoSyn® and SR CarnoSyn® trade names. We recorded beta-alanine raw material sales and royalty and licensing income as a component of revenue in the amount of $16.2 million during fiscal 2022 2021. 2022 2021. Cost of Goods Sold Cost of goods sold includes raw material, labor, manufacturing overhead, and royalty expense. Shipping and Handling Costs We include fees earned on the shipment of our products to customers in sales and include costs incurred on the shipment of product to customers in costs of goods sold. Research and Development Costs As part of the services we provide to our private-label contract manufacturing customers, we may not not Research and development costs are expensed when incurred. Our research and development expenses for the last two June 30 2022 2021. Advertising Costs We expense the production costs of advertising the first June 30, 2022 2021. Income Taxes The Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”) was enacted on March 27, 2020 2015 2016 On July 23, 2020, September 21, 2020 18.9%. 18.9% June 30, 2020. 2020 June 30, 2021 2020 2020 2015 2016. June 30, 2021. June 30, 2021 To determine our quarterly provision for income taxes, we use an estimated annual effective tax rate that is based on expected annual income, statutory tax rates and tax planning opportunities available in the various jurisdictions to which we are subject. Certain significant or unusual items are separately recognized as discrete items in the quarter in which they occur and can be a source of variability in the effective tax rate from quarter to quarter. We recognize interest and penalties related to uncertain tax positions, if any, as an income tax expense. We record valuation allowances to reduce our deferred tax assets to an amount that we believe is more likely than not not June 30, 2022, no Income taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are measured and recorded using enacted tax rates for each of the jurisdictions in which we operate, and adjusted using the tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income or expense in the period that includes the enactment date. We account for uncertain tax positions using the more-likely-than- not may June 30, 2022 June 30, 2021, not Stock-Based Compensation We had an omnibus equity incentive plan that was approved by our Board of Directors effective October 15, 2009 November 30, 2009 "2009 2009 October 15, 2019. January 1, 2021 ( “2020 December 4, 2020. 2020 may We estimate the fair value of stock option awards at the date of grant using the Black-Scholes option valuation model. The Black-Scholes option valuation model was developed for use in estimating the fair value of traded options that have no not We recognize forfeitures as they occur. Use of Estimates Our management has made a number of estimates and assumptions relating to the reporting of assets and liabilities, revenue and expenses, and the disclosure of contingent assets and liabilities to prepare these consolidated financial statements in conformity with U.S. generally accepted accounting principles (GAAP). Actual results could differ from those estimates and our assumptions may Net Income per Common Share We compute basic net income per common share using the weighted average number of common shares outstanding during the period, and diluted net income per common share using the additional dilutive effect of all dilutive securities. The dilutive impact of stock options and restricted shares account for the additional weighted average shares of common stock outstanding for our diluted net income per common share computation. We calculated basic and diluted net income per common share as follows (in thousands, except per share data): For the Years Ended June 30, 2022 2021 Numerator Net income $ 10,712 $ 10,768 Denominator Basic weighted average common shares outstanding 6,117 6,291 Dilutive effect of stock options and restricted stock shares 38 88 Diluted weighted average common shares outstanding 6,155 6,379 Basic net income per common share $ 1.75 $ 1.71 Diluted net income per common share $ 1.74 $ 1.69 During the year ended June 30, 2022, no June 30, 2021 52,108. Concentrations of Credit Risk Financial instruments that subject us to concentrations of credit risk consist primarily of cash and cash equivalents and accounts receivable. We place our cash and cash equivalents with highly rated financial institutions. Credit risk with respect to receivables is primarily concentrated with our three largest customers, whose receivable balances collectively represented 52.4% of gross accounts receivable at June 30, 2022 June 30, 2021. June 30, 2022, June 30, 2021 not Additionally, amounts due related to our beta-alanine raw material sales were 5.4% of gross accounts receivable at June 30, 2022 June 30, 2021. |
Note B - Inventories
Note B - Inventories | 12 Months Ended |
Jun. 30, 2022 | |
Notes to Financial Statements | |
Inventory Disclosure [Text Block] | B. Inventories Inventories, net, consisted of the following at June 30 2022 2021 Raw materials $ 28,196 $ 20,668 Work in progress 1,948 3,760 Finished goods 2,842 3,050 Reserve (511 ) (472 ) $ 32,475 $ 27,006 |
Note C - Property and Equipment
Note C - Property and Equipment | 12 Months Ended |
Jun. 30, 2022 | |
Notes to Financial Statements | |
Property, Plant and Equipment Disclosure [Text Block] | C. Property and Equipment Property and equipment consisted of the following at June 30 Depreciable Life In Years 2022 2021 Land NA $ 7,645 $ 1,200 Building and building improvements 7 – 39 17,415 3,757 Machinery and equipment 3 – 12 40,131 35,458 Office equipment and furniture 3 – 5 5,970 5,712 Vehicles 3 211 255 Leasehold improvements 1 – 15 21,626 20,236 Total property and equipment 92,998 66,618 Less: accumulated depreciation and amortization (48,425 ) (44,347 ) Property and equipment, net $ 44,573 $ 22,271 Depreciation expense was approximately $4.2 million in fiscal 2022 2021. |
Note D - Leases
Note D - Leases | 12 Months Ended |
Jun. 30, 2022 | |
Notes to Financial Statements | |
Lessee, Operating Leases [Text Block] | D. Leases We currently lease our Vista, CA and Lugano, Switzerland product manufacturing and support facilities. At the inception of a contract, we assess whether the contract is, or contains, a lease. Our assessment is based on: ( 1 2 3 Leases are classified as either finance leases or operating leases. A lease must be classified as a finance lease if any of the following criteria are met: the lease transfers ownership of the asset by the end of the lease term, the lease contains an option to purchase the asset that is reasonably certain to be exercised, the lease term is for a major part of the remaining useful life of the asset or the present value of the lease payments equals or exceeds substantially all of the fair value of the asset. A lease is classified as an operating lease if it does not no June 30, 2022, June 30, 2021, For all leases at the lease commencement date, a right-of-use asset and a lease liability are recognized. The right-of-use asset represents the right to use the leased asset for the lease term. The lease liability represents the present value of the lease payments under the lease. The right-of-use asset is initially measured at cost, which primarily comprises the initial amount of the lease liability, plus any initial direct costs incurred, consisting mainly of brokerage commissions, less any lease incentives received. All right-of-use assets are reviewed for impairment. The lease liability is initially measured at the present value of the lease payments, discounted using the interest rate implicit in the lease or, if that rate cannot be readily determined, our secured incremental borrowing rate for the same term as the underlying lease. For our real estate and other operating leases, we use our secured incremental borrowing rate. Lease payments included in the measurement of the lease liability comprise the following: the fixed noncancelable lease payments, payments for optional renewal periods where it is reasonably certain the renewal period will be exercised, and payments for early termination options unless it is reasonably certain the lease will not not Some of our manufacturing leases contain variable lease payments, including payments based on an index or rate. Variable lease payments based on an index or rate are initially measured using the index or rate in effect at lease commencement and separated into lease and non-lease components based on the initial amount stated in the lease or standalone selling prices. Lease components are included in the measurement of the initial lease liability. Additional payments based on the change in an index or rate, or payments based on a change in our portion of the operating expenses, including real estate taxes and insurance, are recorded as a period expense when incurred. Lease modifications result in remeasurement of the lease liability. Lease expense for operating leases consists of the lease payments plus any initial direct costs, primarily brokerage commissions, and is recognized on a straight-line basis over the lease term. Included in lease expense are any variable lease payments incurred in the period that were not We have elected not 12 June 30, 2022 2021 not Other information related to leases was as follows (in thousands) for the year ended June 30, Supplemental Cash Flows Information 2022 2021 Cash paid for amounts included in the measurement of operating lease liabilities $ 3,289 $ 3,298 Increase in operating lease liabilities and right-of-use assets due to lease remeasurement 8,513 187 |
Note E - Other Comprehensive In
Note E - Other Comprehensive Income | 12 Months Ended |
Jun. 30, 2022 | |
Notes to Financial Statements | |
Comprehensive Income (Loss) Note [Text Block] | E. Other Comprehensive Income Other comprehensive (loss) income (“OCL” and “OCI”) consisted of the following at June 30 Year Ended June 30, 2022 Defined Benefit Pension Plan Unrealized Gains (Losses) on Cash Flow Hedges Unrealized Gains (Losses) on Swap Derivative Total Balance as of June 30, 2021 $ (538 ) $ (23 ) — $ (561 ) OCI/OCL before reclassifications 17 5,370 454 5,841 Amounts reclassified from OCI 113 (3,011 ) — (2,898 ) Tax effect of OCI activity (36 ) (541 ) (106 ) (683 ) Net current period OCI/OCL 94 1,818 348 2,260 Balance as of June 30, 2022 $ (444 ) $ 1,795 348 $ 1,699 Year Ended June 30, 2021 Defined Benefit Pension Plan Unrealized (Losses) Gains on Cash Flow Hedges Total Balance as of June 30, 2020 $ (888 ) $ (295 ) $ (1,183 ) OCI/OCL before reclassifications 337 (2,817 ) (2,480 ) Amounts reclassified from OCI 123 3,173 3,296 Tax effect of OCI activity (110 ) (84 ) (194 ) Net current period OCI/OCL 350 272 622 Balance as of June 30, 2021 $ (538 ) $ (23 ) $ (561 ) |
Note F - Debt
Note F - Debt | 12 Months Ended |
Jun. 30, 2022 | |
Notes to Financial Statements | |
Debt Disclosure [Text Block] | F. Debt On May 24, 2021, November 1, 2022, May 24, 2024. August 18, 2021, $10.0 2022, second February 8, 2022 January 31, 2022 Under the terms of the Credit Agreement, borrowings are subject to eligibility requirements including maintaining (i) a ratio of total liabilities to tangible net worth of not 1.0 not 1.0 not four no two 4 not 1.0 June 30, 2022 30 first may may The Term Note used as part of the purchase consideration of our new manufacturing and warehouse property in Carlsbad California referenced above, is for the original principal amount of $10.0 million, and is a seven twenty five October 1, 2021 August 1, 2028 September 1, 2028. 30 first three Our obligations under the Credit Agreement are secured by our accounts receivable and other rights to payment, general intangibles, inventory, equipment and fixtures. We also have credit approval with Wells Fargo Bank, N.A. which allows us to hedge foreign currency exposures up to 30 24 As of June 30, 2022, As of June 30, 2022, August 2021. 2023 2024 2025 2026 2027 Thereafter Total Future Debt Payments $ 279 $ 287 $ 296 $ 305 $ 315 $ 8,313 $ 9,795 On June 30, 2022, As of June 30, 2022, |
Note G - Income Taxes
Note G - Income Taxes | 12 Months Ended |
Jun. 30, 2022 | |
Notes to Financial Statements | |
Income Tax Disclosure [Text Block] | G. Income Taxes During fiscal 2022, 2021, The following is a geographical breakdown of income before income taxes (in thousands): 2022 2021 United States $ 9,152 $ 7,462 Foreign 4,507 4,663 Total income before income taxes $ 13,659 $ 12,125 The provision for income taxes for the years ended June 30 2022 2021 Current: Federal $ 1,297 $ 274 State (1 ) 59 Foreign 900 1,238 2,196 1,571 Deferred: Federal 501 44 State 250 211 Foreign — (469 ) 751 (214 ) Total provision for income taxes $ 2,947 $ 1,357 Net deferred tax assets and deferred tax liabilities as of June 30 2022 2021 Deferred tax assets: Inventory capitalization $ 373 $ 259 Inventory reserves 113 143 Pension liability — 150 Lease liability 2,139 2,477 Net operating loss carry forward 242 94 Accrued compensation 458 568 Stock-based compensation 66 96 Forward contracts — 8 Tax credit carry forward 43 300 Allowance for bad debt 795 863 Other, net — 3 Total gross deferred tax assets 4,229 4,961 Deferred tax liabilities: Withholding taxes (1,133 ) (1,133 ) Fixed assets (1,523 ) (997 ) Forward contracts (541 ) — Lease asset (2,073 ) (2,413 ) Other, net (179 ) (204 ) Deferred tax liabilities (5,449 ) (4,747 ) Net deferred tax (liabilities) assets $ (1,220 ) $ 214 At June 30, 2022, 85, June 29, 2020, 2019, 2020, 2021 not 113, February 9, 2022 2022. 2029, Pursuant to Section 382 1986, 50% three not June 30, 2022 June 30, 2021. We are subject to taxation in the U.S., Switzerland and various state jurisdictions. Our tax years for the fiscal year ended June 30, 2015 June 30, 2018 June 30, 2021 NAIE’s effective tax rate for the fiscal year ending June 30, 2022 As part of the Tax Cuts and Jobs Act of 2017 one June 30, 2018 1986 December 31, 2017 December 31, 2017 A reconciliation of our income tax provision computed by applying the statutory federal income tax rate of 21% for fiscal 2022 2021 June 30 2022 2021 Income taxes computed at statutory federal income tax rate $ 2,868 $ 2,546 State income taxes, net of federal income tax expense 174 189 Permanent Differences 85 (6 ) Foreign tax rate differential (47 ) (210 ) Tax credits (124 ) (60 ) FDII export sales incentive (46 ) (137 ) Stock based compensation 37 (231 ) Global intangible low-taxed income (GILTI) — 28 GILTI final regulations planning — (436 ) CARES Act rate differential — (326 ) Income tax provision as reported $ 2,947 $ 1,357 Effective tax rate 21.6 % 11.3 % We expect our U.S. federal statutory rate to be 21% for fiscal years going forward. |
Note H - Employee Benefit Plans
Note H - Employee Benefit Plans | 12 Months Ended |
Jun. 30, 2022 | |
Notes to Financial Statements | |
Retirement Benefits [Text Block] | H. Employee Benefit Plans 401 We have a profit-sharing plan pursuant to Section 401 may not January 1, 2022 first 30 January 1, 2022, first 401 2022 2021. Additionally, we have a discretionary profit-sharing plan pursuant to Section 401 may not 401 2022 2021. We have a “Cafeteria Plan” pursuant to Section 125 June 30, 2022 June 30, 2021. Deferred Compensation Plan Effective July 16, 2020, may The Incentive Plan authorizes the Human Resources Committee or the Board of Directors to grant to, and administer, unsecured and deferred cash Awards to Participants and to subject each Award to whatever conditions are determined appropriate by the Human Resources Committee or the Board of Directors. The terms of each Award, including the amount and any conditions that must be met to be entitled to payment of the Award are set forth in an Award Agreement between each Participant and NAI. The Incentive Plan provides the Board of Directors with the discretion to set aside assets to fund the Incentive Plan although that has not During the year ended June 30, 2022, June 30, 2021, three one two three no Defined Benefit Pension Plan We formerly sponsored a defined benefit pension plan, which provides retirement benefits to employees based generally on years of service and compensation during the last five June 21, 1999, not 1974 Disclosure of Funded Status The following table sets forth the defined benefit pension plan’s funded status and amount recognized in our consolidated balance sheets at June 30 2022 2021 Change in Benefit Obligation: Benefit obligation at beginning of year $ 1,820 $ 2,035 Interest cost 39 39 Actuarial loss (276 ) (43 ) Benefits paid (145 ) (211 ) Benefit obligation at end of year $ 1,438 $ 1,820 Change in Plan Assets: Fair value of plan assets at beginning of year $ 1,429 $ 1,339 Actual return on plan assets (190 ) 294 Employer contributions — 7 Benefits paid (145 ) (211 ) Plan expenses — — Fair value of plan assets at end of year $ 1,094 $ 1,429 Reconciliation of Funded Status: Difference between benefit obligation and fair value of plan assets $ (344 ) $ (391 ) Unrecognized net actuarial loss in accumulated other comprehensive income 495 626 Net amount recognized $ 151 $ 235 Projected benefit obligation $ 1,438 $ 1,820 Accumulated benefit obligation $ 1,438 $ 1,820 Fair value of plan assets $ 1,094 $ 1,429 The weighted-average discount rate used for determining the projected benefit obligations for the defined benefit pension plan was 4.39% for the year ended June 30, 2022 June 30, 2021. Net Periodic Benefit Cost The components included in the defined benefit pension plan’s net periodic benefit expense for the fiscal years ended June 30 2022 2021 Interest cost $ 39 $ 39 Expected return on plan assets (69 ) (59 ) Recognized actuarial loss 63 110 Settlement loss 50 73 Net periodic benefit expense $ 83 $ 163 In the fiscal year ended June 30, 2022, not June 30, 2021, The following is a summary of changes in plan assets and benefit obligations recognized in other comprehensive income (loss) (in thousands): 2022 2021 Net loss $ (17 ) $ (277 ) Settlement loss (50 ) (73 ) Amortization of net loss (63 ) (110 ) Plan expenses — — Total recognized in other comprehensive income (loss) $ (130 ) $ (460 ) Total recognized in net periodic benefit cost and other comprehensive loss $ (47 ) $ (297 ) The estimated net loss for the defined benefit pension plan that will be amortized from accumulated other comprehensive income into net periodic benefit cost over the next fiscal year is $50,000. We do not The following benefit payments are expected to be paid (in thousands): 2023 $ 799 2024 — 2025 276 2026 14 2027 110 2028-2032 67 Total benefit payments expected to be paid $ 1,266 The weighted-average rates used for the years ended June 30 2022 2021 Discount rate 4.39 % 2.74 % Expected long-term rate of return 6.10 % 6.60 % Compensation increase rate N/A N/A Our expected rate of return is determined based on a methodology that considers historical returns of multiple classes analyzed to develop a risk-free real rate of return and risk premiums for each asset class. The overall rate for each asset class was developed by combining a long-term inflation component, the risk-free real rate of return, and the associated risk premium. A weighted average rate was developed based on those overall rates and the target asset allocation of the plan. Our defined benefit pension plan’s weighted average asset allocation at June 30 2022 2021 Target Allocation Equity securities 49 % 62 % 55 % Debt securities 20 % 25 % 41 % Commodities 0 % 12 % 0 % Other 31 % 1 % 4 % 100 % 100 % 100 % The underlying basis of the investment strategy of our defined benefit pension plan is to ensure that pension funds are available to meet the plan’s benefit obligations when due. Our investment strategy is a long-term risk controlled approach using diversified investment options with relatively minimal exposure to volatile investment options like derivatives. The fair values by asset category of our defined benefit pension plan at June 30, 2022 Total Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Equity securities(1) $ 590 $ 590 $ — $ — Debt securities(2) $ 217 $ 217 $ — $ — Other(3) $ 287 $ 287 $ — $ — Total $ 1,094 $ 1,094 $ — $ — ( 1 This category is comprised of publicly traded funds, of which 51% are large-cap funds, 24% are developed market funds, 19% are mid-cap funds, and 6% are small-cap funds. ( 2 This category is comprised of publicly traded funds, of which 42% are U.S. fixed income funds and 58% are corporate and foreign market fixed income funds. ( 3 This category is comprised of commodities and cash alternatives. |
Note I - Stockholders' Equity
Note I - Stockholders' Equity | 12 Months Ended |
Jun. 30, 2022 | |
Notes to Financial Statements | |
Stockholders' Equity Note Disclosure [Text Block] | I. Stockholders Equity Treasury Stock On September 18, 2020, March 12, 2021, January 14, 2022, may, Treasury Stock repurchases for the year ended June 30, 2022 Shares Average Cost Total Cost (in thousands) Shares purchased under Repurchase Plan 406,817 $ 12.76 $ 5,190 Shares acquired from employees for restricted stock vesting 28,263 11.08 313 Total 435,080 $ 5,503 Treasury Stock repurchases for the year ended June 30, 2021 Shares Average Cost Total Cost (in thousands) Shares purchased under Repurchase Plan 385,822 $ 8.28 $ 3,197 Shares acquired in connection with stock option exercises 30,442 9.95 303 Shares acquired from employees for restricted stock vesting 47,228 13.69 647 Total 463,492 $ 4,147 Treasury stock repurchase costs include commissions and fees. Shares acquired from employees for restricted stock vesting and stock options exercises were returned to us by the related employees and in return we paid each employee’s required tax withholding resulting from the vesting of restricted shares. The valuation of the shares acquired and thereby the number of shares returned to us was calculated based on the closing share price on the date the shares vested. Stock Incentive Plans For the year ended June 30, 2022, no Stock option activity for the year ended June 30, 2021 2009 Plan Weighted Average Exercise Price Weighted Average Contractual Term (in years) Aggregate Intrinsic Value Vested and exercisable at June 30, 2020 130,000 $ 6.28 Exercised (130,000 ) $ 6.28 Forfeited — $ — Granted — $ — Outstanding at June 30, 2021 — $ — — $ — Vested and exercisable at June 30, 2021 — $ — — $ — Of the 130,000 options exercised, 120,000 of these option exercises were cashless net exercises resulting in the issuance of 55,915 shares for the year ended June 30, 2021. Restricted stock activity for the year ended June 30, 2022 Number of Shares 2009 Plan Weighted Average Grant Date Fair Value Nonvested at June 30, 2021 61,324 $ 11.47 Granted — $ — Vested (51,326 ) $ 11.52 Forfeited (8,332 ) $ 10.88 Nonvested at June 30, 2022 1,666 $ 8.50 Available for grant at June 30, 2022 — Number of Shares 2020 Plan Weighted Average Grant Date Fair Value Nonvested at June 30, 2021 87,773 $ 16.81 Granted 135,850 $ 10.99 Vested (25,896 ) $ 16.81 Forfeited (11,500 ) $ 16.81 Nonvested at June 30, 2022 186,227 $ 12.56 Available for grant at June 30, 2022 472,377 Restricted stock activity for the year ended June 30, 2021 Number of Shares 2009 Plan Weighted Average Grant Date Fair Value Nonvested at June 30, 2020 197,650 $ 11.06 Granted — $ — Vested (136,326 ) $ 10.88 Forfeited — $ — Nonvested at June 30, 2021 61,324 $ 11.47 Available for grant at June 30, 2021 — Number of Shares 2020 Plan Weighted Average Grant Date Fair Value Nonvested at June 30, 2020 — $ — Granted 91,773 $ 16.81 Vested (4,000 ) $ 16.81 Forfeited — $ — Nonvested at June 30, 2021 87,773 $ 16.81 Available for grant at June 30, 2021 608,227 Restricted stock grants, granted to members of our Board of Directors and certain key members of our management team, vest over a period of years from the date of grant and the unvested shares cannot be sold or otherwise transferred and the right to receive dividends, if declared by our Board of Directors, is forfeitable until the shares become vested. The total remaining unrecognized compensation cost related to unvested restricted stock shares amounted to $2.1 million at June 30, 2022 |
Note J - Commitments
Note J - Commitments | 12 Months Ended |
Jun. 30, 2022 | |
Notes to Financial Statements | |
Commitments Disclosure [Text Block] | J. Commitments We lease a total of 162,000 square feet at our manufacturing facility in Vista, California from an unaffiliated third July 31, 2013, third March 2024. NAIE leases facility space in Manno, Switzerland from two third . July 1, 2019, five June 30, 2024. May 4, 2022 ten January 1, 2023 December 31, 2032, one On November 5, 2018, five January 1, 2019 12 June 30th December 31st 12 Minimum rental commitments (exclusive of property tax, insurance and maintenance) under all non-cancelable operating leases with initial or remaining lease terms in excess of one June 30, 2022 2023 2024 2025 2026 2027 There- after Total Gross minimum rental commitments $ 3,187 $ 2,607 $ 1,288 $ 1,288 $ 1,288 $ 7,083 $ 16,741 Rental expense totaled $3.4 million for the fiscal year ended June 30, 2022 June 30, 2021. |
Note K - Economic Dependency
Note K - Economic Dependency | 12 Months Ended |
Jun. 30, 2022 | |
Notes to Financial Statements | |
Concentration Risk Disclosure [Text Block] | K. Economic Dependency We had substantial net sales to certain customers during the fiscal years ended June 30 one 10% Fiscal 2022 Fiscal 2021 Customer 1 $ 54,599 $ 90,820 Customer 2 37,218 (a) Customer 3 31,552 25,410 $ 123,369 $ 116,230 (a) Sales were less than 10% Accounts receivable from these customers totaled $10.7 million at June 30, 2022 June 30, 2021. We buy certain products, including beta-alanine, from a single supplier. The loss of this supplier or other raw material suppliers could have a material adverse impact on our net sales and net income. Raw material purchases from any one 10% Year ended June 30, 2022 2021 Raw Material Purchases by Supplier % of Total Raw Material Purchases Raw Material Purchases by Supplier % of Total Raw Material Purchases Supplier 1 $ 14,065 17 % $ 23,033 24 % $ 14,065 17 % $ 23,033 24 % |
Note L - Derivatives and Hedgin
Note L - Derivatives and Hedging | 12 Months Ended |
Jun. 30, 2022 | |
Notes to Financial Statements | |
Derivative Instruments and Hedging Activities Disclosure [Text Block] | L. Derivatives and Hedging We are exposed to gains and losses resulting from fluctuations in foreign currency exchange rates relating to forecasted product sales denominated in foreign currencies and to other transactions of NAIE, our foreign subsidiary. As part of our overall strategy to manage the level of exposure to the risk of fluctuations in foreign currency exchange rates, we may no During the year ended June 30, 2022 August 2023. For foreign currency contracts designated as cash flow hedges, hedge effectiveness is measured using the spot rate. Changes in the spot-forward differential are excluded from the test of hedge effectiveness and are recorded currently in earnings as revenue. We measure effectiveness by comparing the cumulative change in the hedge contract with the cumulative change in the hedged item as well as ensuring the assumptions we made at hedge inception have not No June 30, 2022 June 30, 2021. We monitor the probability of forecasted transactions as part of the hedge effectiveness testing on a quarterly basis. As of June 30, 2022, €31.9 June 30, 2022, June 30, 2021, June 30, 2022, 12 During the year ended June 30, 2022, June 30, 2021, For foreign currency contracts not June 30, 2022 June 30, 2022, not We are exposed to interest rate fluctuations related to our $10.0 million Term Note with Wells Fargo, which carries a variable interest rate of 1.80% above the SOFR rolling 30 August 23, 2021, first three 2.4%. |
Note M - Contingencies
Note M - Contingencies | 12 Months Ended |
Jun. 30, 2022 | |
Notes to Financial Statements | |
Legal Matters and Contingencies [Text Block] | M. Contingencies From time to time, we become involved in various investigations, claims and legal proceedings that arise in the ordinary course of our business. These matters may not not COVID- 19 The Company continues to monitor and evaluate the risks to public health and the impact on overall global business activity related to the COVID- 19 may |
Note N - Segment Information
Note N - Segment Information | 12 Months Ended |
Jun. 30, 2022 | |
Notes to Financial Statements | |
Segment Reporting Disclosure [Text Block] | N. Segment Information Our business consists of two segments for financial reporting purposes. The two We evaluate performance based on a number of factors. The primary performance measures for each segment are net sales and income or loss from operations before corporate allocations. Operating income or loss for each segment does not not not Our operating results by business segment for the years ended June 30 2022 2021 Net Sales Private-label contract manufacturing $ 154,798 $ 164,310 Patent and trademark licensing 16,168 14,210 $ 170,966 $ 178,520 2022 2021 Income from Operations Private-label contract manufacturing $ 15,667 $ 17,744 Patent and trademark licensing 6,780 4,442 Income from operations of reportable segments 22,447 22,186 Corporate expenses not allocated to segments (8,768 ) (8,514 ) $ 13,679 $ 13,672 2022 2021 Assets Private-label contract manufacturing $ 115,649 $ 95,324 Patent and trademark licensing 30,354 24,957 $ 146,003 $ 120,281 Our private-label contract manufacturing products are sold both in the U.S. and in markets outside the U.S., including Europe, Canada, Australia, New Zealand, Mexico and Asia. Our primary markets outside the U.S. are Europe and Asia. Our patent and trademark licensing activities are primarily based in the U.S. Net sales by geographic region, based on the customers’ location, for the two June 30 2022 2021 United States $ 115,255 $ 94,702 Markets outside the United States 55,711 83,818 Total net sales $ 170,966 $ 178,520 Products manufactured by NAIE accounted for 84% of consolidated net sales in markets outside the U.S. in fiscal 2022 2021. June 30, 2022 2021. Long-lived assets by geographic region, based on the location of the company or subsidiary at which they were located or made, for the two June 30 2022 2021 United States $ 43,769 $ 21,109 Europe 22,505 17,039 Total Long-Lived Assets $ 66,274 $ 38,148 Total assets by geographic region, based on the location of the company or subsidiary at which they were located or made, for the two June 30 2022 2021 United States $ 83,443 $ 67,307 Europe 62,560 52,974 Total Assets $ 146,003 $ 120,281 Capital expenditures by geographic region, based on the location of the company or subsidiary at which they were located or made, for the two June 30 2022 2021 United States $ 25,383 $ 2,336 Europe 1,105 2,771 Total Capital Expenditures $ 26,488 $ 5,107 |
Note O - Subsequent Events
Note O - Subsequent Events | 12 Months Ended |
Jun. 30, 2022 | |
Notes to Financial Statements | |
Subsequent Events [Text Block] | O. Subsequent Events On July 21 st 2022, three three December 2022 September 2023. €5.9 On August 16 th 2022, one September 7, 2022. September 7, 2022, |
Significant Accounting Policies
Significant Accounting Policies (Policies) | 12 Months Ended |
Jun. 30, 2022 | |
Accounting Policies [Abstract] | |
Consolidation, Subsidiaries or Other Investments, Consolidated Entities, Policy [Policy Text Block] | Subsidiaries On January 22, 1999, September 1999, |
Consolidation, Policy [Policy Text Block] | Principles of Consolidation The consolidated financial statements include the accounts of Natural Alternatives International, Inc. (NAI) and our wholly-owned subsidiary, NAIE. All intercompany accounts and transactions have been eliminated. The functional currency of NAIE, our foreign subsidiary, is the U.S. Dollar. Certain accounts of NAIE have been translated at either current or historical exchange rates, as appropriate, with gains and losses included in the consolidated statements of operations. |
New Accounting Pronouncements, Policy [Policy Text Block] | Recently Adopted Accounting Pronouncements On December 18, 2019, No. 2019 12, Income Taxes (Topic 740 740 December 15, 2020, first 2022. not In March 2020, 2020 04, 848 2022. not Recently Issued Accounting and Regulatory Pronouncements On March 28, 2022, No. 2022 01, Derivatives and Hedging (Topic 815 815 2017 123 August 28, 2017) 2022 01 December 15, 2022, first 2023. not |
Cash and Cash Equivalents, Policy [Policy Text Block] | Cash and Cash Equivalents We consider all highly liquid investments with a maturity of three |
Fair Value Measurement, Policy [Policy Text Block] | Fair Value of Financial Instruments Fair value is defined as the exchange price that would be received to sell an asset or paid to transfer a liability (i.e., the “exit price”) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants at the measurement date. We use a three The fair value hierarchy is broken down into three 1 1 2 not 3 Except for cash and cash equivalents, as of June 30, 2022 June 30, 2021, not 1. 2 third Fair value of derivative instruments classified as Level 2 June 30, 2022 June 30, 2021 Euro Forward Contract– Current Assets $ 3,144 $ — Swiss Franc Forward Contract – Current Assets 109 — Total Derivative Contracts – Current Assets 3,253 — Interest Swap – Other noncurrent Assets 453 — Euro Forward Contract– Other noncurrent Assets 561 — Total Derivative Contracts – Other noncurrent Assets 1,014 — Euro Forward Contract–Current Liabilities — (630 ) Swiss Franc Forward Contract – Current Liabilities — (184 ) Total Derivative Contracts – Current Liabilities — (814 ) Euro Forward Contract – Noncurrent Liabilities — (4 ) Fair Value Net Asset (Liability) – all Derivative Contracts $ 4,267 $ (818 ) We also classify any outstanding line of credit and term loan balance as a Level 2 June 30, 2022, June 30, 2021, not 3. not 2021 2022. |
Accounts Receivable [Policy Text Block] | Accounts Receivable We perform ongoing credit evaluations of our customers and adjust credit limits based on payment history and customer credit-worthiness. An allowance for estimated doubtful accounts is maintained based on historical experience, including identified customer credit issues. We monitor collections regularly and adjust the allowance for doubtful accounts as necessary to recognize any changes in credit exposure. Upon conclusion that a receivable is uncollectible, we record the respective amount as a charge against allowance for doubtful accounts. To date, such doubtful accounts reserves, in the aggregate, have been adequate to cover collection losses. |
Financing Receivable [Policy Text Block] | Customer Deposits For certain customers we have contract terms where the customer pays a certain portion of their orders as prepayment. We treat this as a customer deposit liability and do not June 30, 2022 June 30, 2021 |
Inventory, Policy [Policy Text Block] | Inventories We operate primarily as a private-label contract manufacturer. We build products based upon anticipated demand or following receipt of customer specific purchase orders. From time to time, we build inventory for private-label contract manufacturing customers under a specific purchase order with delivery dates that may first first not |
Property, Plant and Equipment, Policy [Policy Text Block] | Property and Equipment We state property and equipment at cost. Depreciation of property and equipment is provided using the straight-line method over their estimated useful lives, generally ranging from 1 to 39 years. We amortize leasehold improvements using the straight-line method over the shorter of the useful life of the improvement or the term of the lease. Maintenance and repairs are expensed as incurred. Significant expenditures that increase economic useful lives of property or equipment are capitalized and expensed over the useful life of such expenditure. |
Impairment or Disposal of Long-Lived Assets, Policy [Policy Text Block] | Impairment of Long-Lived Assets We periodically evaluate the carrying value of long-lived assets to be held and used when events and circumstances indicate that the carrying amount of an asset may not 2022 2021. |
Derivatives, Policy [Policy Text Block] | Derivative Financial Instruments We may may not not. We recognize any unrealized gains and losses associated with derivative instruments accounted for as cash flow hedges in income in the period in which the underlying hedged transaction is realized. To the extent the derivative instrument is deemed ineffective we would recognize the resulting gain or loss in income at that time. As of June 30, 2022, June 30, 2022, €31.9 As of June 30, 2022, not June 30, 2022, not first 2023. |
Pension and Other Postretirement Plans, Policy [Policy Text Block] | Defined Benefit Pension Plan We formerly sponsored a defined benefit pension plan. Effective June 21, 1999, third |
Revenue [Policy Text Block] | Revenue Recognition We record revenue based on a five 1 2 3 4 5 Revenue is measured as the net amount of consideration expected to be received in exchange for fulfilling one 30 Revenue is recognized at the point in time that each of our performance obligations is fulfilled, and control of the ordered products is transferred to the customer. This transfer occurs when the product is shipped, or in some cases, when the product is delivered to the customer. We recognize revenue in certain circumstances before delivery to the customer has occurred (commonly referred to as bill-and-hold transactions). Products sold under bill-and-hold arrangements are recorded as revenue when risk of ownership has been transferred to the customer, but the product has not Contract liabilities and revenue recognized were as follows (in thousands): June 30, 2021 Additions Revenue Recognized June 30, 2022 Contract Liabilities (Customer Deposits) $ 1,721 $ 140 $ (1,721 ) $ 140 We provide early payment discounts to certain customers. Based on historical payment trends, we expect that these customers will take advantage of these early payment discounts. The cost of these discounts is reported as a reduction to the transaction price. If the actual discounts differ from those estimated, the difference is also reported as a change in the transaction price. We require prepayment from certain customers. We record any payments received in advance of contracts fulfillment as a contract liability and classified as customer deposits on the consolidated balance sheet. Except for product defects, no June 30, 2022, We currently own certain U.S. patents, and each patent’s corresponding foreign patent applications. All of these patents and patent rights relate to the ingredient known as beta-alanine marketed and sold under our CarnoSyn® and SR CarnoSyn® trade names. We recorded beta-alanine raw material sales and royalty and licensing income as a component of revenue in the amount of $16.2 million during fiscal 2022 2021. 2022 2021. |
Cost of Goods and Service [Policy Text Block] | Cost of Goods Sold Cost of goods sold includes raw material, labor, manufacturing overhead, and royalty expense. |
Shipping and Handling Costs [Policy Text Block] | Shipping and Handling Costs We include fees earned on the shipment of our products to customers in sales and include costs incurred on the shipment of product to customers in costs of goods sold. |
Research and Development Expense, Policy [Policy Text Block] | Research and Development Costs As part of the services we provide to our private-label contract manufacturing customers, we may not not Research and development costs are expensed when incurred. Our research and development expenses for the last two June 30 2022 2021. |
Advertising Cost [Policy Text Block] | Advertising Costs We expense the production costs of advertising the first June 30, 2022 2021. |
Income Tax, Policy [Policy Text Block] | Income Taxes The Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”) was enacted on March 27, 2020 2015 2016 On July 23, 2020, September 21, 2020 18.9%. 18.9% June 30, 2020. 2020 June 30, 2021 2020 2020 2015 2016. June 30, 2021. June 30, 2021 To determine our quarterly provision for income taxes, we use an estimated annual effective tax rate that is based on expected annual income, statutory tax rates and tax planning opportunities available in the various jurisdictions to which we are subject. Certain significant or unusual items are separately recognized as discrete items in the quarter in which they occur and can be a source of variability in the effective tax rate from quarter to quarter. We recognize interest and penalties related to uncertain tax positions, if any, as an income tax expense. We record valuation allowances to reduce our deferred tax assets to an amount that we believe is more likely than not not June 30, 2022, no Income taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are measured and recorded using enacted tax rates for each of the jurisdictions in which we operate, and adjusted using the tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income or expense in the period that includes the enactment date. We account for uncertain tax positions using the more-likely-than- not may June 30, 2022 June 30, 2021, not |
Share-Based Payment Arrangement [Policy Text Block] | Stock-Based Compensation We had an omnibus equity incentive plan that was approved by our Board of Directors effective October 15, 2009 November 30, 2009 "2009 2009 October 15, 2019. January 1, 2021 ( “2020 December 4, 2020. 2020 may We estimate the fair value of stock option awards at the date of grant using the Black-Scholes option valuation model. The Black-Scholes option valuation model was developed for use in estimating the fair value of traded options that have no not We recognize forfeitures as they occur. |
Use of Estimates, Policy [Policy Text Block] | Use of Estimates Our management has made a number of estimates and assumptions relating to the reporting of assets and liabilities, revenue and expenses, and the disclosure of contingent assets and liabilities to prepare these consolidated financial statements in conformity with U.S. generally accepted accounting principles (GAAP). Actual results could differ from those estimates and our assumptions may |
Earnings Per Share, Policy [Policy Text Block] | Net Income per Common Share We compute basic net income per common share using the weighted average number of common shares outstanding during the period, and diluted net income per common share using the additional dilutive effect of all dilutive securities. The dilutive impact of stock options and restricted shares account for the additional weighted average shares of common stock outstanding for our diluted net income per common share computation. We calculated basic and diluted net income per common share as follows (in thousands, except per share data): For the Years Ended June 30, 2022 2021 Numerator Net income $ 10,712 $ 10,768 Denominator Basic weighted average common shares outstanding 6,117 6,291 Dilutive effect of stock options and restricted stock shares 38 88 Diluted weighted average common shares outstanding 6,155 6,379 Basic net income per common share $ 1.75 $ 1.71 Diluted net income per common share $ 1.74 $ 1.69 During the year ended June 30, 2022, no June 30, 2021 52,108. |
Concentration Risk, Credit Risk, Policy [Policy Text Block] | Concentrations of Credit Risk Financial instruments that subject us to concentrations of credit risk consist primarily of cash and cash equivalents and accounts receivable. We place our cash and cash equivalents with highly rated financial institutions. Credit risk with respect to receivables is primarily concentrated with our three largest customers, whose receivable balances collectively represented 52.4% of gross accounts receivable at June 30, 2022 June 30, 2021. June 30, 2022, June 30, 2021 not Additionally, amounts due related to our beta-alanine raw material sales were 5.4% of gross accounts receivable at June 30, 2022 June 30, 2021. |
Note A - Organization and Sum_2
Note A - Organization and Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Jun. 30, 2022 | |
Notes Tables | |
Fair Value, by Balance Sheet Grouping [Table Text Block] | June 30, 2022 June 30, 2021 Euro Forward Contract– Current Assets $ 3,144 $ — Swiss Franc Forward Contract – Current Assets 109 — Total Derivative Contracts – Current Assets 3,253 — Interest Swap – Other noncurrent Assets 453 — Euro Forward Contract– Other noncurrent Assets 561 — Total Derivative Contracts – Other noncurrent Assets 1,014 — Euro Forward Contract–Current Liabilities — (630 ) Swiss Franc Forward Contract – Current Liabilities — (184 ) Total Derivative Contracts – Current Liabilities — (814 ) Euro Forward Contract – Noncurrent Liabilities — (4 ) Fair Value Net Asset (Liability) – all Derivative Contracts $ 4,267 $ (818 ) |
Contract with Customer, Contract Asset, Contract Liability, and Receivable [Table Text Block] | June 30, 2021 Additions Revenue Recognized June 30, 2022 Contract Liabilities (Customer Deposits) $ 1,721 $ 140 $ (1,721 ) $ 140 |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | For the Years Ended June 30, 2022 2021 Numerator Net income $ 10,712 $ 10,768 Denominator Basic weighted average common shares outstanding 6,117 6,291 Dilutive effect of stock options and restricted stock shares 38 88 Diluted weighted average common shares outstanding 6,155 6,379 Basic net income per common share $ 1.75 $ 1.71 Diluted net income per common share $ 1.74 $ 1.69 |
Note B - Inventories (Tables)
Note B - Inventories (Tables) | 12 Months Ended |
Jun. 30, 2022 | |
Notes Tables | |
Schedule of Inventory, Current [Table Text Block] | 2022 2021 Raw materials $ 28,196 $ 20,668 Work in progress 1,948 3,760 Finished goods 2,842 3,050 Reserve (511 ) (472 ) $ 32,475 $ 27,006 |
Note C - Property and Equipme_2
Note C - Property and Equipment (Tables) | 12 Months Ended |
Jun. 30, 2022 | |
Notes Tables | |
Property, Plant and Equipment [Table Text Block] | Depreciable Life In Years 2022 2021 Land NA $ 7,645 $ 1,200 Building and building improvements 7 – 39 17,415 3,757 Machinery and equipment 3 – 12 40,131 35,458 Office equipment and furniture 3 – 5 5,970 5,712 Vehicles 3 211 255 Leasehold improvements 1 – 15 21,626 20,236 Total property and equipment 92,998 66,618 Less: accumulated depreciation and amortization (48,425 ) (44,347 ) Property and equipment, net $ 44,573 $ 22,271 |
Note D - Leases (Tables)
Note D - Leases (Tables) | 12 Months Ended |
Jun. 30, 2022 | |
Notes Tables | |
Lease, Cost [Table Text Block] | Supplemental Cash Flows Information 2022 2021 Cash paid for amounts included in the measurement of operating lease liabilities $ 3,289 $ 3,298 Increase in operating lease liabilities and right-of-use assets due to lease remeasurement 8,513 187 |
Note E - Other Comprehensive _2
Note E - Other Comprehensive Income (Tables) | 12 Months Ended |
Jun. 30, 2022 | |
Notes Tables | |
Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block] | Year Ended June 30, 2022 Defined Benefit Pension Plan Unrealized Gains (Losses) on Cash Flow Hedges Unrealized Gains (Losses) on Swap Derivative Total Balance as of June 30, 2021 $ (538 ) $ (23 ) — $ (561 ) OCI/OCL before reclassifications 17 5,370 454 5,841 Amounts reclassified from OCI 113 (3,011 ) — (2,898 ) Tax effect of OCI activity (36 ) (541 ) (106 ) (683 ) Net current period OCI/OCL 94 1,818 348 2,260 Balance as of June 30, 2022 $ (444 ) $ 1,795 348 $ 1,699 Year Ended June 30, 2021 Defined Benefit Pension Plan Unrealized (Losses) Gains on Cash Flow Hedges Total Balance as of June 30, 2020 $ (888 ) $ (295 ) $ (1,183 ) OCI/OCL before reclassifications 337 (2,817 ) (2,480 ) Amounts reclassified from OCI 123 3,173 3,296 Tax effect of OCI activity (110 ) (84 ) (194 ) Net current period OCI/OCL 350 272 622 Balance as of June 30, 2021 $ (538 ) $ (23 ) $ (561 ) |
Note F - Debt (Tables)
Note F - Debt (Tables) | 12 Months Ended |
Jun. 30, 2022 | |
Notes Tables | |
Schedule of Maturities of Long-Term Debt [Table Text Block] | 2023 2024 2025 2026 2027 Thereafter Total Future Debt Payments $ 279 $ 287 $ 296 $ 305 $ 315 $ 8,313 $ 9,795 |
Note G - Income Taxes (Tables)
Note G - Income Taxes (Tables) | 12 Months Ended |
Jun. 30, 2022 | |
Notes Tables | |
Schedule of Income before Income Tax, Domestic and Foreign [Table Text Block] | 2022 2021 United States $ 9,152 $ 7,462 Foreign 4,507 4,663 Total income before income taxes $ 13,659 $ 12,125 |
Schedule of Components of Income Tax Expense (Benefit) [Table Text Block] | 2022 2021 Current: Federal $ 1,297 $ 274 State (1 ) 59 Foreign 900 1,238 2,196 1,571 Deferred: Federal 501 44 State 250 211 Foreign — (469 ) 751 (214 ) Total provision for income taxes $ 2,947 $ 1,357 |
Schedule of Deferred Tax Assets and Liabilities [Table Text Block] | 2022 2021 Deferred tax assets: Inventory capitalization $ 373 $ 259 Inventory reserves 113 143 Pension liability — 150 Lease liability 2,139 2,477 Net operating loss carry forward 242 94 Accrued compensation 458 568 Stock-based compensation 66 96 Forward contracts — 8 Tax credit carry forward 43 300 Allowance for bad debt 795 863 Other, net — 3 Total gross deferred tax assets 4,229 4,961 Deferred tax liabilities: Withholding taxes (1,133 ) (1,133 ) Fixed assets (1,523 ) (997 ) Forward contracts (541 ) — Lease asset (2,073 ) (2,413 ) Other, net (179 ) (204 ) Deferred tax liabilities (5,449 ) (4,747 ) Net deferred tax (liabilities) assets $ (1,220 ) $ 214 |
Schedule of Effective Income Tax Rate Reconciliation [Table Text Block] | 2022 2021 Income taxes computed at statutory federal income tax rate $ 2,868 $ 2,546 State income taxes, net of federal income tax expense 174 189 Permanent Differences 85 (6 ) Foreign tax rate differential (47 ) (210 ) Tax credits (124 ) (60 ) FDII export sales incentive (46 ) (137 ) Stock based compensation 37 (231 ) Global intangible low-taxed income (GILTI) — 28 GILTI final regulations planning — (436 ) CARES Act rate differential — (326 ) Income tax provision as reported $ 2,947 $ 1,357 Effective tax rate 21.6 % 11.3 % |
Note H - Employee Benefit Pla_2
Note H - Employee Benefit Plans (Tables) | 12 Months Ended |
Jun. 30, 2022 | |
Notes Tables | |
Changes in Projected Benefit Obligations, Fair Value of Plan Assets, and Funded Status of Plan [Table Text Block] | 2022 2021 Change in Benefit Obligation: Benefit obligation at beginning of year $ 1,820 $ 2,035 Interest cost 39 39 Actuarial loss (276 ) (43 ) Benefits paid (145 ) (211 ) Benefit obligation at end of year $ 1,438 $ 1,820 Change in Plan Assets: Fair value of plan assets at beginning of year $ 1,429 $ 1,339 Actual return on plan assets (190 ) 294 Employer contributions — 7 Benefits paid (145 ) (211 ) Plan expenses — — Fair value of plan assets at end of year $ 1,094 $ 1,429 Reconciliation of Funded Status: Difference between benefit obligation and fair value of plan assets $ (344 ) $ (391 ) Unrecognized net actuarial loss in accumulated other comprehensive income 495 626 Net amount recognized $ 151 $ 235 Projected benefit obligation $ 1,438 $ 1,820 Accumulated benefit obligation $ 1,438 $ 1,820 Fair value of plan assets $ 1,094 $ 1,429 |
Schedule of Net Benefit Costs [Table Text Block] | 2022 2021 Interest cost $ 39 $ 39 Expected return on plan assets (69 ) (59 ) Recognized actuarial loss 63 110 Settlement loss 50 73 Net periodic benefit expense $ 83 $ 163 |
Schedule of Amounts Recognized in Other Comprehensive Income (Loss) [Table Text Block] | 2022 2021 Net loss $ (17 ) $ (277 ) Settlement loss (50 ) (73 ) Amortization of net loss (63 ) (110 ) Plan expenses — — Total recognized in other comprehensive income (loss) $ (130 ) $ (460 ) Total recognized in net periodic benefit cost and other comprehensive loss $ (47 ) $ (297 ) |
Schedule of Expected Benefit Payments [Table Text Block] | 2023 $ 799 2024 — 2025 276 2026 14 2027 110 2028-2032 67 Total benefit payments expected to be paid $ 1,266 |
Defined Benefit Plan, Assumptions [Table Text Block] | 2022 2021 Discount rate 4.39 % 2.74 % Expected long-term rate of return 6.10 % 6.60 % Compensation increase rate N/A N/A |
Schedule of Weighted Average Allocation of Assets Related to Defined Benefit Plans Disclosure [Table Text Block] | 2022 2021 Target Allocation Equity securities 49 % 62 % 55 % Debt securities 20 % 25 % 41 % Commodities 0 % 12 % 0 % Other 31 % 1 % 4 % 100 % 100 % 100 % |
Schedule of Allocation of Plan Assets [Table Text Block] | Total Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Equity securities(1) $ 590 $ 590 $ — $ — Debt securities(2) $ 217 $ 217 $ — $ — Other(3) $ 287 $ 287 $ — $ — Total $ 1,094 $ 1,094 $ — $ — |
Note I - Stockholders' Equity (
Note I - Stockholders' Equity (Tables) | 12 Months Ended |
Jun. 30, 2022 | |
Notes Tables | |
Class of Treasury Stock [Table Text Block] | Shares Average Cost Total Cost (in thousands) Shares purchased under Repurchase Plan 406,817 $ 12.76 $ 5,190 Shares acquired from employees for restricted stock vesting 28,263 11.08 313 Total 435,080 $ 5,503 Shares Average Cost Total Cost (in thousands) Shares purchased under Repurchase Plan 385,822 $ 8.28 $ 3,197 Shares acquired in connection with stock option exercises 30,442 9.95 303 Shares acquired from employees for restricted stock vesting 47,228 13.69 647 Total 463,492 $ 4,147 |
Share-Based Payment Arrangement, Option, Activity [Table Text Block] | 2009 Plan Weighted Average Exercise Price Weighted Average Contractual Term (in years) Aggregate Intrinsic Value Vested and exercisable at June 30, 2020 130,000 $ 6.28 Exercised (130,000 ) $ 6.28 Forfeited — $ — Granted — $ — Outstanding at June 30, 2021 — $ — — $ — Vested and exercisable at June 30, 2021 — $ — — $ — |
Share-Based Payment Arrangement, Restricted Stock and Restricted Stock Unit, Activity [Table Text Block] | Number of Shares 2009 Plan Weighted Average Grant Date Fair Value Nonvested at June 30, 2021 61,324 $ 11.47 Granted — $ — Vested (51,326 ) $ 11.52 Forfeited (8,332 ) $ 10.88 Nonvested at June 30, 2022 1,666 $ 8.50 Available for grant at June 30, 2022 — Number of Shares 2020 Plan Weighted Average Grant Date Fair Value Nonvested at June 30, 2021 87,773 $ 16.81 Granted 135,850 $ 10.99 Vested (25,896 ) $ 16.81 Forfeited (11,500 ) $ 16.81 Nonvested at June 30, 2022 186,227 $ 12.56 Available for grant at June 30, 2022 472,377 Number of Shares 2009 Plan Weighted Average Grant Date Fair Value Nonvested at June 30, 2020 197,650 $ 11.06 Granted — $ — Vested (136,326 ) $ 10.88 Forfeited — $ — Nonvested at June 30, 2021 61,324 $ 11.47 Available for grant at June 30, 2021 — Number of Shares 2020 Plan Weighted Average Grant Date Fair Value Nonvested at June 30, 2020 — $ — Granted 91,773 $ 16.81 Vested (4,000 ) $ 16.81 Forfeited — $ — Nonvested at June 30, 2021 87,773 $ 16.81 Available for grant at June 30, 2021 608,227 |
Note J - Commitments (Tables)
Note J - Commitments (Tables) | 12 Months Ended |
Jun. 30, 2022 | |
Notes Tables | |
Lessee, Operating Lease, Liability, Maturity [Table Text Block] | 2023 2024 2025 2026 2027 There- after Total Gross minimum rental commitments $ 3,187 $ 2,607 $ 1,288 $ 1,288 $ 1,288 $ 7,083 $ 16,741 |
Note K - Economic Dependency (T
Note K - Economic Dependency (Tables) | 12 Months Ended |
Jun. 30, 2022 | |
Supplier Concentration Risk [Member] | |
Notes Tables | |
Schedules of Concentration of Risk, by Risk Factor [Table Text Block] | Year ended June 30, 2022 2021 Raw Material Purchases by Supplier % of Total Raw Material Purchases Raw Material Purchases by Supplier % of Total Raw Material Purchases Supplier 1 $ 14,065 17 % $ 23,033 24 % $ 14,065 17 % $ 23,033 24 % |
Customer Concentration Risk [Member] | |
Notes Tables | |
Schedules of Concentration of Risk, by Risk Factor [Table Text Block] | Fiscal 2022 Fiscal 2021 Customer 1 $ 54,599 $ 90,820 Customer 2 37,218 (a) Customer 3 31,552 25,410 $ 123,369 $ 116,230 |
Note N - Segment Information (T
Note N - Segment Information (Tables) | 12 Months Ended |
Jun. 30, 2022 | |
Notes Tables | |
Schedule of Segment Reporting Information, by Segment [Table Text Block] | 2022 2021 Net Sales Private-label contract manufacturing $ 154,798 $ 164,310 Patent and trademark licensing 16,168 14,210 $ 170,966 $ 178,520 2022 2021 Income from Operations Private-label contract manufacturing $ 15,667 $ 17,744 Patent and trademark licensing 6,780 4,442 Income from operations of reportable segments 22,447 22,186 Corporate expenses not allocated to segments (8,768 ) (8,514 ) $ 13,679 $ 13,672 |
Reconciliation of Assets from Segment to Consolidated [Table Text Block] | 2022 2021 Assets Private-label contract manufacturing $ 115,649 $ 95,324 Patent and trademark licensing 30,354 24,957 $ 146,003 $ 120,281 |
Revenue from External Customers by Geographic Areas [Table Text Block] | 2022 2021 United States $ 115,255 $ 94,702 Markets outside the United States 55,711 83,818 Total net sales $ 170,966 $ 178,520 |
Long-Lived Assets by Geographic Areas [Table Text Block] | 2022 2021 United States $ 43,769 $ 21,109 Europe 22,505 17,039 Total Long-Lived Assets $ 66,274 $ 38,148 |
Assets by Geographic Areas [Table Text Block] | 2022 2021 United States $ 83,443 $ 67,307 Europe 62,560 52,974 Total Assets $ 146,003 $ 120,281 |
Capital Expenditures by Geographic Areas [Table Text Block] | 2022 2021 United States $ 25,383 $ 2,336 Europe 1,105 2,771 Total Capital Expenditures $ 26,488 $ 5,107 |
Note A - Organization and Sum_3
Note A - Organization and Summary of Significant Accounting Policies (Details Textual) € in Millions, SFr in Millions | 12 Months Ended | |||
Jun. 30, 2022 USD ($) shares | Jun. 30, 2021 USD ($) shares | Jun. 30, 2022 EUR (€) | Jun. 30, 2022 CHF (SFr) | |
Contract with Customer, Liability, Current | $ 140,000 | $ 1,721,000 | ||
Asset Impairment Charges, Total | 0 | 21,000 | ||
Contract with Customer, Refund Liability, Total | 13,000 | |||
Sales, Royalty and Licensing Revenue | 16,200,000 | 14,200,000 | ||
Royalty Expense | 700,000 | 600,000 | ||
Research and Development Expense, Total | 2,500,000 | 1,900,000 | ||
Advertising Expense | 1,100,000 | 800,000 | ||
Effective Income Tax Rate Reconciliation, Global Intangible Low-taxed Income, Amount, Discrete Benefit | (400,000) | |||
Income Tax Benefit Cares Act | 300,000 | |||
Effective Income Tax Rate Reconciliation, Foreign Income Tax Rate Differential, Amount, Additional Expense | 100,000 | |||
Accounts Receivable, after Allowance for Credit Loss, Total | 10,700,000 | 14,000,000 | ||
Kaged Muscle LLC [Member] | ||||
Accounts Receivable, after Allowance for Credit Loss, Total | $ 3,400,000 | $ 3,500,000 | ||
Allowance for Doubtful Accounts Receivable, Percentage of Outstanding Balance | 100% | |||
Customer Concentration Risk [Member] | Accounts Receivable [Member] | ||||
Number of Major Customers | 3 | |||
Customer Concentration Risk [Member] | Accounts Receivable [Member] | Beta-alanine Raw Material [Member] | ||||
Concentration Risk, Percentage | 5.40% | 8.60% | ||
Customer Concentration Risk [Member] | Accounts Receivable [Member] | Two Largest Customers [Member] | ||||
Concentration Risk, Percentage | 52.40% | 64.80% | ||
Share-Based Payment Arrangement, Option [Member] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount (in shares) | shares | 93,114 | 22,500 | ||
Restricted Stock 1 [Member] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount (in shares) | shares | 52,108 | |||
Foreign Exchange Contract [Member] | Not Designated as Hedging Instrument [Member] | ||||
Derivative, Notional Amount | $ 5,200,000 | SFr 5 | ||
Foreign Exchange Contract [Member] | Cash Flow Hedging [Member] | ||||
Derivative, Notional Amount | $ 37,700,000 | € 31.9 | ||
Maximum Remaining Maturity of Foreign Currency Derivatives (Month) | 14 months | |||
Minimum [Member] | ||||
Property, Plant and Equipment, Useful Life (Year) | 1 year | |||
Maximum [Member] | ||||
Property, Plant and Equipment, Useful Life (Year) | 39 years | |||
Fair Value, Inputs, Level 1 [Member] | ||||
Fair Value, Net Asset (Liability), Total | $ 0 | $ 0 | ||
Fair Value, Inputs, Level 3 [Member] | ||||
Fair Value, Net Asset (Liability), Total | $ 0 | $ 0 |
Note A - Organization and Sum_4
Note A - Organization and Summary of Significant Accounting Policies - Fair Value of Derivative Instruments Classified As Level 2 Assets and Liabilities (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Jun. 30, 2021 |
Derivative assets, current asset | $ 3,144 | $ 0 |
Derivative assets, current liability | 0 | (814) |
Derivative assets, noncurrent liability | 0 | (4) |
Fair Value, Inputs, Level 2 [Member] | ||
Derivative assets, current asset | 3,253 | 0 |
Derivative assets, noncurrent asset | 1,014 | 0 |
Derivative assets, current liability | 0 | (814) |
Fair Value Net Asset (Liability) – all Derivative Contracts | 4,267 | (818) |
Fair Value, Inputs, Level 2 [Member] | Euro Forward Contract [Member] | ||
Derivative assets, current asset | 3,144 | 0 |
Derivative assets, noncurrent asset | 561 | 0 |
Derivative assets, current liability | 0 | (630) |
Derivative assets, noncurrent liability | 0 | (4) |
Fair Value, Inputs, Level 2 [Member] | Swiss Franc Forward Contract [Member] | ||
Derivative assets, current asset | 109 | 0 |
Derivative assets, current liability | 0 | (184) |
Fair Value, Inputs, Level 2 [Member] | Interest Rate Swap [Member] | ||
Derivative assets, noncurrent asset | $ 453 | $ 0 |
Note A - Organization and Sum_5
Note A - Organization and Summary of Significant Accounting Policies - Contract Liabilities and Revenue Recognized (Details) | 12 Months Ended |
Jun. 30, 2022 USD ($) | |
Contract Liabilities (Customer Deposits), balance | $ 1,721,000 |
Contract Liabilities (Customer Deposits), addition | 140,000 |
Contract Liabilities (Customer Deposits), revenue recognized | (1,721,000) |
Contract Liabilities (Customer Deposits), balance | $ 140,000 |
Note A - Organization and Sum_6
Note A - Organization and Summary of Significant Accounting Policies - Calculation of Basic and Diluted Net Income Per Common Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Numerator | ||
Net income | $ 10,712 | $ 10,768 |
Denominator | ||
Basic weighted average common shares outstanding (in shares) | 6,117,044 | 6,290,689 |
Dilutive effect of stock options and restricted stock shares (in shares) | 38,000 | 88,000 |
Diluted weighted average common shares outstanding (in shares) | 6,155,118 | 6,379,486 |
Basic net income per common share (in dollars per share) | $ 1.75 | $ 1.71 |
Diluted net income per common share (in dollars per share) | $ 1.74 | $ 1.69 |
Note B - Inventories - Summary
Note B - Inventories - Summary of Inventories (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Jun. 30, 2021 |
Raw materials | $ 28,196 | $ 20,668 |
Work in progress | 1,948 | 3,760 |
Finished goods | 2,842 | 3,050 |
Reserve | (511) | (472) |
Inventories, net | $ 32,475 | $ 27,006 |
Note C - Property and Equipme_3
Note C - Property and Equipment (Details Textual) - USD ($) $ in Millions | 12 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Depreciation, Total | $ 4.2 | $ 4.3 |
Note C - Property and Equipme_4
Note C - Property and Equipment - Summary of Property and Equipment (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Property and equipment, gross | $ 92,998 | $ 66,618 |
Less: accumulated depreciation and amortization | (48,425) | (44,347) |
Property and equipment, net | $ 44,573 | 22,271 |
Minimum [Member] | ||
Depreciable Life In Years (Year) | 1 year | |
Maximum [Member] | ||
Depreciable Life In Years (Year) | 39 years | |
Land [Member] | ||
Property and equipment, gross | $ 7,645 | 1,200 |
Building and Building Improvements [Member] | ||
Property and equipment, gross | $ 17,415 | 3,757 |
Building and Building Improvements [Member] | Minimum [Member] | ||
Depreciable Life In Years (Year) | 7 years | |
Building and Building Improvements [Member] | Maximum [Member] | ||
Depreciable Life In Years (Year) | 39 years | |
Machinery and Equipment [Member] | ||
Property and equipment, gross | $ 40,131 | 35,458 |
Machinery and Equipment [Member] | Minimum [Member] | ||
Depreciable Life In Years (Year) | 3 years | |
Machinery and Equipment [Member] | Maximum [Member] | ||
Depreciable Life In Years (Year) | 12 years | |
Office Equipment [Member] | ||
Property and equipment, gross | $ 5,970 | 5,712 |
Office Equipment [Member] | Minimum [Member] | ||
Depreciable Life In Years (Year) | 3 years | |
Office Equipment [Member] | Maximum [Member] | ||
Depreciable Life In Years (Year) | 5 years | |
Vehicles [Member] | ||
Property and equipment, gross | $ 211 | 255 |
Depreciable Life In Years (Year) | 3 years | |
Leasehold Improvements [Member] | ||
Property and equipment, gross | $ 21,626 | $ 20,236 |
Leasehold Improvements [Member] | Minimum [Member] | ||
Depreciable Life In Years (Year) | 1 year | |
Leasehold Improvements [Member] | Maximum [Member] | ||
Depreciable Life In Years (Year) | 15 years |
Note D - Leases (Details Textua
Note D - Leases (Details Textual) | Jun. 30, 2022 | Jun. 30, 2021 |
Operating Lease, Weighted Average Remaining Lease Term (Year) | 6 years 3 months 18 days | 6 years 3 months 18 days |
Operating Lease, Weighted Average Discount Rate, Percent | 4.12% | 3.24% |
Note D - Leases - Lease Cash Fl
Note D - Leases - Lease Cash Flow Information (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Cash paid for amounts included in the measurement of operating lease liabilities | $ 3,289 | $ 3,298 |
Increase in operating lease liabilities and right-of-use assets due to lease remeasurement | $ 8,513 | $ 187 |
Note E - Other Comprehensive _3
Note E - Other Comprehensive Income - Other Comprehensive (Loss) Income (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Balance | $ 80,083 | $ 71,375 |
Balance | 88,520 | 80,083 |
Accumulated Defined Benefit Plans Adjustment Attributable to Parent [Member] | ||
Balance | (538) | (888) |
OCI/OCL before reclassifications | 17 | 337 |
Amounts reclassified from OCI | 113 | 123 |
Tax effect of OCI activity | (36) | (110) |
Net current period OCI/OCL | 94 | 350 |
Balance | (444) | (538) |
Accumulated Gain (Loss), Net, Cash Flow Hedge, Parent [Member] | ||
Balance | (23) | (295) |
OCI/OCL before reclassifications | 5,370 | (2,817) |
Amounts reclassified from OCI | (3,011) | 3,173 |
Tax effect of OCI activity | (541) | (84) |
Net current period OCI/OCL | 1,818 | 272 |
Balance | 1,795 | (23) |
Accumulated Gain (Loss), Net, Swap Derivative, Parent [Member] | ||
Balance | 0 | |
OCI/OCL before reclassifications | 454 | |
Amounts reclassified from OCI | 0 | |
Tax effect of OCI activity | (106) | |
Net current period OCI/OCL | 348 | |
Balance | 348 | 0 |
AOCI Attributable to Parent [Member] | ||
Balance | (561) | (1,183) |
OCI/OCL before reclassifications | 5,841 | (2,480) |
Amounts reclassified from OCI | (2,898) | 3,296 |
Tax effect of OCI activity | (683) | (194) |
Net current period OCI/OCL | 2,260 | 622 |
Balance | $ 1,699 | $ (561) |
Note F - Debt (Details Textual)
Note F - Debt (Details Textual) | 12 Months Ended | ||||||
Aug. 20, 2021 USD ($) | Aug. 18, 2021 USD ($) | Jun. 30, 2022 USD ($) | Jun. 30, 2021 USD ($) | Dec. 31, 2021 USD ($) | May 24, 2021 USD ($) | Jan. 31, 2021 USD ($) | |
Payments to Acquire Property, Plant, and Equipment, Total | $ 26,488,000 | $ 5,107,000 | |||||
Interest Costs Capitalized | 171,000 | ||||||
Interest Rate Swap [Member] | |||||||
Derivative, Fixed Interest Rate | 2.40% | ||||||
Manufacturing Facility and Warehouse [Member] | Carlsbad, California [Member] | |||||||
Payments to Acquire Property, Plant, and Equipment, Total | $ 17,500,000 | ||||||
Wells Fargo Bank, N.A. [Member] | |||||||
Debt Instrument, Covenant, Annual Limit To Repurchase Stock or Issue Dividends | $ 5,000,000 | $ 7,000,000 | |||||
Wells Fargo Bank, N.A. [Member] | Credit Agreement [Member] | |||||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 20,000,000 | ||||||
Debt Instrument Covenant Capital Expenditures Limitation, Amount, Next Twelve Years | $ 15,000,000 | $ 10,000,000 | |||||
Debt Instrument Covenant Minimum, Net Income Required | $ 1 | ||||||
Debt Instrument Covenant, Fixed Charge Coverage Ratio | 1.25 | ||||||
Debt Instrument Covenant Capital Expenditures Limitation, Amount, After Twelve Years | $ 7,500,000 | ||||||
Long-term Debt, Percentage Bearing Fluctuating Interest, Threshold Amount | 100,000 | ||||||
Minimum Prepayment Amount Under Line of Credit | $ 100,000 | ||||||
Line of Credit Facility, Commitment Fee Percentage | 0.125% | ||||||
Line of Credit Facility, Remaining Borrowing Capacity | $ 20,000,000 | ||||||
Wells Fargo Bank, N.A. [Member] | Credit Agreement [Member] | Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate [Member] | |||||||
Debt Instrument, Basis Spread on Variable Rate | 1.29% | ||||||
Debt Instrument Basis Spread on Elected Fixed Rate Borrowing | 1.29% | ||||||
Wells Fargo Bank, N.A. [Member] | Credit Agreement [Member] | Maximum [Member] | |||||||
Ratio of Indebtedness to Net Capital | 1.50 | ||||||
Ratio of Total Current Assets to Total Current Liabilities | 1.75 | ||||||
Wells Fargo Bank, N.A. [Member] | Credit Agreement [Member] | Term Loan [Member] | |||||||
Debt Instrument, Face Amount | $ 10,000,000 | ||||||
Debt Instrument, Term (Year) | 7 years | ||||||
Debt Instrument, Amortization Period (Year) | 25 years | ||||||
Long-Term Debt, Total | $ 9,795,000 | ||||||
Wells Fargo Bank, N.A. [Member] | Credit Agreement [Member] | Term Loan [Member] | Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate [Member] | |||||||
Debt Instrument, Basis Spread on Variable Rate | 1.80% |
Note F - Debt - Future Debt Pay
Note F - Debt - Future Debt Payments (Details) - Wells Fargo Bank, N.A. [Member] - Credit Agreement [Member] - Term Loan [Member] $ in Thousands | Jun. 30, 2022 USD ($) |
Future Debt Payments, 2023 | $ 279 |
Future Debt Payments, 2024 | 287 |
Future Debt Payments, 2025 | 296 |
Future Debt Payments, 2026 | 305 |
Future Debt Payments, 2027 | 315 |
Future Debt Payments, thereafter | 8,313 |
Future Debt Payments, total | $ 9,795 |
Note G - Income Taxes (Details
Note G - Income Taxes (Details Textual) - USD ($) $ in Thousands | 12 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Federal, State and Local Income Tax Expense (Benefit), Gross, Continuing Operations | $ 2,000 | $ 600 |
Operating Loss Carryforwards | $ 3,400 | |
Effective Income Tax Rate Reconciliation, Percent, Total | 21.60% | 11.30% |
Valuation Allowance, Deferred Tax Asset, Increase (Decrease), Amount | $ 0 | |
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent | 21% | |
Fiscal Years After June 30, 2021 [Member] | ||
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent | 21% | |
Foreign Tax Authority [Member] | Swiss Federal Tax Administration (FTA) [Member] | ||
Effective Income Tax Rate Reconciliation, Percent, Total | 20% |
Note G - Income Taxes - Geograp
Note G - Income Taxes - Geographical Breakdown of Income Before Income Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Total income before income taxes | $ 13,659 | $ 12,125 |
Domestic Tax Authority [Member] | ||
United States | 9,152 | 7,462 |
Foreign Tax Authority [Member] | ||
United States | $ 4,507 | $ 4,663 |
Note G - Income Taxes - Provisi
Note G - Income Taxes - Provision for Income Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Current: | ||
Federal | $ 1,297 | $ 274 |
State | (1) | 59 |
Foreign | 900 | 1,238 |
Total Current | 2,196 | 1,571 |
Deferred: | ||
Federal | 501 | 44 |
State | 250 | 211 |
Foreign | 0 | (469) |
Total deferred | 751 | (214) |
Total provision for income taxes | $ 2,947 | $ 1,357 |
Note G - Income Taxes - Net Def
Note G - Income Taxes - Net Deferred Tax Assets and Deferred Tax Liabilities (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Jun. 30, 2021 |
Deferred tax assets: | ||
Inventory capitalization | $ 373 | $ 259 |
Inventory reserves | 113 | 143 |
Pension liability | 0 | 150 |
Lease liability | 2,139 | 2,477 |
Net operating loss carry forward | 242 | 94 |
Accrued compensation | 458 | 568 |
Stock-based compensation | 66 | 96 |
Deferred Tax Assets, Derivative Instruments | 0 | 8 |
Tax credit carry forward | 43 | 300 |
Allowance for bad debt | 795 | 863 |
Other, net | 0 | 3 |
Total gross deferred tax assets | 4,229 | 4,961 |
Deferred tax liabilities: | ||
Withholding taxes | (1,133) | (1,133) |
Fixed assets | (1,523) | (997) |
Forward contracts | (541) | 0 |
Lease asset | (2,073) | (2,413) |
Other, net | (179) | (204) |
Deferred tax liabilities | (5,449) | (4,747) |
Net deferred tax (liabilities) assets | (1,220) | (214) |
Net deferred tax (liabilities) assets | $ 1,220 | $ 214 |
Note G - Income Taxes - Reconci
Note G - Income Taxes - Reconciliation of Income Tax Provision (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Income taxes computed at statutory federal income tax rate | $ 2,868 | $ 2,546 |
State income taxes, net of federal income tax expense | 174 | 189 |
Permanent Differences | 85 | (6) |
Foreign tax rate differential | (47) | (210) |
Tax credits | (124) | (60) |
FDII export sales incentive | (46) | (137) |
Stock based compensation | 37 | (231) |
Global intangible low-taxed income (GILTI) | 0 | 28 |
GILTI final regulations planning | 0 | (436) |
CARES Act rate differential | 0 | (326) |
Total provision for income taxes | $ 2,947 | $ 1,357 |
Effective Income Tax Rate Reconciliation, Percent, Total | 21.60% | 11.30% |
Note H - Employee Benefit Pla_3
Note H - Employee Benefit Plans (Details Textual) - USD ($) | 12 Months Ended | ||
Jan. 01, 2004 | Jun. 30, 2022 | Jun. 30, 2021 | |
Health Insurance Plan Premium Expense | $ 1,400,000 | $ 1,200,000 | |
Deferred Compensation Arrangement with Individual, Cash Award Granted, Amount | $ 300,000 | $ 1,500,000 | |
Number of Years Compensation Used for Benefit Obligation Assumptions (Year) | 5 years | ||
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Discount Rate | 4.39% | 2.74% | |
Defined Benefit Plan, Plan Assets, Contributions by Employer | $ 0 | $ 7,000 | |
Defined Benefit Plan, Expected Amortization, Next Fiscal Year, Total | $ 50,000 | ||
Large-cap Funds [Member] | |||
Defined Benefit Plan Equity Securities by Type, Percentage | 51% | ||
Developed Market Funds [Member] | |||
Defined Benefit Plan Equity Securities by Type, Percentage | 24% | ||
Mid-cap Funds [Member] | |||
Defined Benefit Plan Equity Securities by Type, Percentage | 19% | ||
Small Cap Funds [Member] | |||
Defined Benefit Plan Equity Securities by Type, Percentage | 6% | ||
Fixed Income Funds [Member] | |||
Defined Benefit Plan Equity Securities by Type, Percentage | 42% | ||
Developed Market Fixed Income Funds [Member] | |||
Defined Benefit Plan Equity Securities by Type, Percentage | 58% | ||
First Contributions [Member] | |||
Defined Contribution Plan, Employer Matching Contribution, Percent of Match | 100% | ||
Defined Contribution Plan, Employer Matching Contribution, Percent of Employees' Gross Pay | 5% | ||
Profit-sharing Plan [Member] | |||
Defined Contribution Plan, Employer Discretionary Contribution Amount | $ 500,000 | 400,000 | |
Discretionary Profit-sharing Plan [Member] | |||
Defined Contribution Plan, Employer Discretionary Contribution Amount | $ 500,000 | $ 0 |
Note H - Employee Benefit Pla_4
Note H - Employee Benefit Plans - Defined Benefit Pension Plan's Funded Status and Amount Recognized (Details) - USD ($) | 12 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Change in Benefit Obligation: | ||
Benefit obligation at beginning of year | $ 1,820,000 | $ 2,035,000 |
Interest cost | 39,000 | 39,000 |
Actuarial loss | (276,000) | (43,000) |
Benefits paid | (145,000) | (211,000) |
Benefit obligation at end of year | 1,438,000 | 1,820,000 |
Change in Plan Assets: | ||
Fair value of plan assets at beginning of year | 1,429,000 | 1,339,000 |
Actual return on plan assets | (190,000) | 294,000 |
Defined Benefit Plan, Plan Assets, Contributions by Employer | 0 | 7,000 |
Benefits paid | (145,000) | (211,000) |
Plan expenses | 0 | 0 |
Fair value of plan assets at end of year | 1,094,000 | 1,429,000 |
Reconciliation of Funded Status: | ||
Difference between benefit obligation and fair value of plan assets | (344,000) | (391,000) |
Unrecognized net actuarial loss in accumulated other comprehensive income | 495,000 | 626,000 |
Net amount recognized | 151,000 | 235,000 |
Projected benefit obligation | 1,438,000 | 1,820,000 |
Accumulated benefit obligation | 1,438,000 | 1,820,000 |
Fair value of plan assets | $ 1,094,000 | $ 1,429,000 |
Note H - Employee Benefit Pla_5
Note H - Employee Benefit Plans - Components Included in Defined Benefit Pension Plan's Net Periodic Benefit Expense (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Interest cost | $ 39 | $ 39 |
Expected return on plan assets | (69) | (59) |
Recognized actuarial loss | 63 | 110 |
Settlement loss | 50 | 73 |
Net periodic benefit expense | $ 83 | $ 163 |
Note H - Employee Benefit Pla_6
Note H - Employee Benefit Plans - Summary of Changes in Plan Assets and Benefit Obligation (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Net loss | $ (17) | $ (277) |
Settlement loss | (50) | (73) |
Amortization of net loss | (63) | (110) |
Plan expenses | 0 | 0 |
Total recognized in other comprehensive income (loss) | (130) | (460) |
Total recognized in net periodic benefit cost and other comprehensive loss | $ (47) | $ (297) |
Note H - Employee Benefit Pla_7
Note H - Employee Benefit Plans - Benefit Payments Expected to be Paid (Details) $ in Thousands | Jun. 30, 2022 USD ($) |
2023 | $ 799 |
2024 | 0 |
2025 | 276 |
2026 | 14 |
2027 | 110 |
2028-2032 | 67 |
Total benefit payments expected to be paid | $ 1,266 |
Note H - Employee Benefit Pla_8
Note H - Employee Benefit Plans - Weighted-average Rates Used In Determining Defined Benefit Pension Plan's Net Pension Costs (Details) | 12 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Discount rate | 4.39% | 2.74% |
Expected long-term rate of return | 6.10% | 6.60% |
Note H - Employee Benefit Pla_9
Note H - Employee Benefit Plans - Defined Benefit Pension Plan's Weighted Average Asset Association and Weighted Average Target Allocation (Details) | Jun. 30, 2022 | Jun. 30, 2021 |
Weighted-average asset allocation | 100% | 100% |
Equity securities | 100% | |
Other | 100% | |
Equity Securities [Member] | ||
Weighted-average asset allocation | 49% | 62% |
Equity securities | 55% | |
Other | 55% | |
Debt Securities [Member] | ||
Weighted-average asset allocation | 20% | 25% |
Equity securities | 41% | |
Other | 41% | |
Commodity Contract [Member] | ||
Weighted-average asset allocation | 0% | 12% |
Equity securities | 0% | |
Other | 0% | |
Other Contract [Member] | ||
Weighted-average asset allocation | 31% | 1% |
Equity securities | 4% | |
Other | 4% |
Note H - Employee Benefit Pl_10
Note H - Employee Benefit Plans - Fair Values by Asset Category of Defined Benefit Pension Plan (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2020 | |
Fair value by asset category | $ 1,094 | $ 1,429 | $ 1,339 | |
Fair Value, Inputs, Level 1 [Member] | ||||
Fair value by asset category | 1,094 | |||
Fair Value, Inputs, Level 2 [Member] | ||||
Fair value by asset category | 0 | |||
Fair Value, Inputs, Level 3 [Member] | ||||
Fair value by asset category | 0 | |||
Equity Securities [Member] | ||||
Fair value by asset category | [1] | 590 | ||
Equity Securities [Member] | Fair Value, Inputs, Level 1 [Member] | ||||
Fair value by asset category | [1] | 590 | ||
Equity Securities [Member] | Fair Value, Inputs, Level 2 [Member] | ||||
Fair value by asset category | [1] | 0 | ||
Equity Securities [Member] | Fair Value, Inputs, Level 3 [Member] | ||||
Fair value by asset category | [1] | 0 | ||
Debt Securities [Member] | ||||
Fair value by asset category | [2] | 217 | ||
Debt Securities [Member] | Fair Value, Inputs, Level 1 [Member] | ||||
Fair value by asset category | [2] | 217 | ||
Debt Securities [Member] | Fair Value, Inputs, Level 2 [Member] | ||||
Fair value by asset category | [2] | 0 | ||
Debt Securities [Member] | Fair Value, Inputs, Level 3 [Member] | ||||
Fair value by asset category | [2] | 0 | ||
Other Contract [Member] | ||||
Fair value by asset category | [3] | 287 | ||
Other Contract [Member] | Fair Value, Inputs, Level 1 [Member] | ||||
Fair value by asset category | [3] | 287 | ||
Other Contract [Member] | Fair Value, Inputs, Level 2 [Member] | ||||
Fair value by asset category | [3] | 0 | ||
Other Contract [Member] | Fair Value, Inputs, Level 3 [Member] | ||||
Fair value by asset category | [3] | $ 0 | ||
[1]This category is comprised of publicly traded funds, of which 52% are large-cap funds, 24% are developed market funds, 19% are mid-cap funds, and 5% are small-cap funds.[2]This category is comprised of publicly traded funds, of which 42% are U.S. fixed income funds and 58% are corporate and foreign market fixed income funds.[3]This category is comprised of commodities and cash alternatives. |
Note I - Stockholders' Equity_2
Note I - Stockholders' Equity (Details Textual) - USD ($) $ in Millions | 12 Months Ended | |||
Jan. 14, 2022 | Mar. 12, 2021 | Sep. 19, 2020 | Jun. 30, 2022 | |
Stock Repurchase Program, Additional Authorized Amount | $ 3 | $ 3 | $ 2 | |
Stock Repurchase Program, Authorized Amount | $ 18 | $ 15 | $ 12 | |
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Exercises in Period (in shares) | 130,000 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Cashless Exercises (in shares) | 120,000 | |||
Stock Issued During Period, Shares, Stock Options Exercised for Cash (in shares) | 55,915 | |||
Restricted Stock [Member] | ||||
Share-Based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Amount, Total | $ 2.1 | |||
Share-Based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Period for Recognition (Year) | 2 years 4 months 24 days |
Note I - Stockholders' Equity -
Note I - Stockholders' Equity - Treasury Stock Repurchases (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Treasury Stock Acquired, Shares (in shares) | 435,080 | 463,492 |
Treasury Stock Acquired, Average Cost (in dollars per share) | ||
Treasury Stock Acquired, Total Cost | $ 5,503 | $ 4,147 |
Stock Repurchase Plan [Member] | ||
Treasury Stock Acquired, Shares (in shares) | 406,817 | 385,822 |
Treasury Stock Acquired, Average Cost (in dollars per share) | $ 12.76 | $ 8.28 |
Treasury Stock Acquired, Total Cost | $ 5,190 | $ 3,197 |
Stock Repurchased from Employee for Restricted Stock Vesting [Member] | ||
Treasury Stock Acquired, Shares (in shares) | 28,263 | 47,228 |
Treasury Stock Acquired, Average Cost (in dollars per share) | $ 11.08 | $ 13.69 |
Treasury Stock Acquired, Total Cost | $ 313 | $ 647 |
Stock Repurchased in Connection with Stock Option Exercised [Member] | ||
Treasury Stock Acquired, Average Cost (in dollars per share) | $ 9.95 | |
Shares acquired in connection with stock option exercises, shares (in shares) | 30,442 | |
Shares acquired in connection with stock option exercises, cost | $ 303 |
Note I - Stockholders' Equity_3
Note I - Stockholders' Equity - Stock Option Activity (Details) - USD ($) | 12 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Exercised (in shares) | (130,000) | |
The 2009 Omnibus Stock Incentive Plan [Member] | ||
Vested and exercisable (in shares) | 0 | 130,000 |
Vested and exercisable (in dollars per share) | $ 0 | $ 6.28 |
Exercised (in shares) | (130,000) | |
Exercised (in dollars per share) | $ (6.28) | |
Forfeited (in shares) | 0 | |
Forfeited (in dollars per share) | $ 0 | |
Granted (in shares) | 0 | |
Granted (in dollars per share) | $ 0 | |
Outstanding (in shares) | 0 | |
Outstanding (in dollars per share) | $ 0 | |
Outstanding | $ 0 | |
Vested and exercisable (in shares) | 0 | |
Vested and exercisable (in dollars per share) | $ 0 | |
Vested and exercisable | $ 0 |
Note I - Stockholders' Equity_4
Note I - Stockholders' Equity - Restricted Stock (Details) - Restricted Stock [Member] - $ / shares | 12 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
The 2009 Omnibus Stock Incentive Plan [Member] | ||
Nonvested, Shares (in shares) | 61,324 | 197,650 |
Nonvested, weighted-average grant date fair value (in dollars per share) | $ 11.47 | $ 11.06 |
Granted, Shares (in shares) | 0 | 0 |
Granted, weighted-average grant date fair value (in dollars per share) | $ 0 | $ 0 |
Vested, Shares (in shares) | (51,326) | (136,326) |
Granted, weighted-average grant date fair value (in dollars per share) | $ 11.52 | $ 10.88 |
Forfeited, Shares (in shares) | (8,332) | 0 |
Forfeited, weighted-average grant date fair value (in dollars per share) | $ 10.88 | $ 0 |
Nonvested, Shares (in shares) | 1,666 | 61,324 |
Nonvested, weighted-average grant date fair value (in dollars per share) | $ 8.50 | $ 11.47 |
Available for grant, Shares (in shares) | 0 | 0 |
The 2020 Omnibus Stock Incentive Plan [Member] | ||
Nonvested, Shares (in shares) | 87,773 | 0 |
Nonvested, weighted-average grant date fair value (in dollars per share) | $ 16.81 | $ 0 |
Granted, Shares (in shares) | 135,850 | 91,773 |
Granted, weighted-average grant date fair value (in dollars per share) | $ 10.99 | $ 16.81 |
Vested, Shares (in shares) | (25,896) | (4,000) |
Granted, weighted-average grant date fair value (in dollars per share) | $ 16.81 | $ 16.81 |
Forfeited, Shares (in shares) | (11,500) | 0 |
Forfeited, weighted-average grant date fair value (in dollars per share) | $ 16.81 | $ 0 |
Nonvested, Shares (in shares) | 186,227 | 87,773 |
Nonvested, weighted-average grant date fair value (in dollars per share) | $ 12.56 | $ 16.81 |
Available for grant, Shares (in shares) | 472,377 | 608,227 |
Note J - Commitments (Details T
Note J - Commitments (Details Textual) $ in Millions | 12 Months Ended | ||
Jun. 30, 2022 USD ($) | Jun. 30, 2021 USD ($) ft² | Nov. 05, 2018 m² | |
Operating Lease, Expense | $ | $ 3.4 | $ 3.4 | |
California 1 [Member] | |||
Operating Lease Facility Area (Square Foot) | 162,000 | ||
SWITZERLAND | Natural Alternatives International Europe SA [Member] | |||
Operating Lease Facility Area (Square Foot) | 125,000 | ||
Lessee, Operating Lease, Term of Contract (Year) | 5 years | ||
SWITZERLAND | Natural Alternatives International Europe SA [Member] | Sofinol SA [Member] | |||
Operating Lease Facility Area (Square Foot) | m² | 2,870 | ||
Lessee, Operating Lease, Term of Contract (Year) | 5 years |
Note J - Commitments - Minimum
Note J - Commitments - Minimum Rental Commitments (Details) $ in Thousands | Jun. 30, 2022 USD ($) |
2022 | $ 3,187 |
2023 | 2,607 |
2024 | 1,288 |
2025 | 1,288 |
There-after | 7,083 |
Total | $ 16,741 |
Note K - Economic Dependency (D
Note K - Economic Dependency (Details Textual) - USD ($) $ in Millions | Jun. 30, 2022 | Jun. 30, 2021 |
Accounts Receivable, after Allowance for Credit Loss, Total | $ 10.7 | $ 14 |
Note K - Economic Dependency -
Note K - Economic Dependency - Substantial Net Sales to Certain Customers (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | ||
Net sales | $ 170,966 | $ 178,520 | |
Customer Concentration Risk [Member] | Revenue Benchmark [Member] | |||
Net sales | 123,369 | 116,230 | |
Customer Concentration Risk [Member] | Revenue Benchmark [Member] | Customer 1 [Member] | |||
Net sales | 54,599 | 90,820 | |
Customer Concentration Risk [Member] | Revenue Benchmark [Member] | Customer 2 [Member] | |||
Net sales | [1] | 37,218 | |
Customer Concentration Risk [Member] | Revenue Benchmark [Member] | Customer 3 [Member] | |||
Net sales | $ 31,552 | $ 25,410 | |
[1]Sales were less than 10% of the respective period’s consolidated net sales. |
Note K - Economic Dependency _2
Note K - Economic Dependency - Substantial Net Purchase From Certain Suppliers (Details) - Supplier Concentration Risk [Member] - Raw Material Purchases [Member] - USD ($) $ in Thousands | 12 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Raw Material Purchases by Supplier | $ 14,065 | $ 23,033 |
% of Total Raw Material Purchases | 17% | 24% |
Supplier 1 [Member] | ||
Raw Material Purchases by Supplier | $ 14,065 | $ 23,033 |
% of Total Raw Material Purchases | 17% | 24% |
Note L - Derivatives and Hedg_2
Note L - Derivatives and Hedging (Details Textual) € in Millions, SFr in Millions | 12 Months Ended | ||||
Aug. 18, 2021 USD ($) | Jun. 30, 2022 USD ($) | Jun. 30, 2021 USD ($) | Jun. 30, 2022 EUR (€) | Jun. 30, 2022 CHF (SFr) | |
Deferred Tax Assets, Derivative Instruments | $ 0 | $ 8,000 | |||
Wells Fargo Bank, N.A. [Member] | Credit Agreement [Member] | Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate [Member] | |||||
Debt Instrument, Basis Spread on Variable Rate | 1.29% | ||||
Wells Fargo Bank, N.A. [Member] | Credit Agreement [Member] | Term Loan [Member] | |||||
Debt Instrument, Face Amount | $ 10,000,000 | ||||
Wells Fargo Bank, N.A. [Member] | Credit Agreement [Member] | Term Loan [Member] | Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate [Member] | |||||
Debt Instrument, Basis Spread on Variable Rate | 1.80% | ||||
Reclassification out of Accumulated Other Comprehensive Income [Member] | |||||
Foreign Currency Cash Flow Hedge Gain (Loss) to be Reclassified During Next 12 Months | $ (1,900,000) | ||||
Cash Flow Hedging [Member] | |||||
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), before Reclassification and Tax | 5,400,000 | (2,800,000) | |||
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Interest Income, Effective Portion, Net | 3,000,000 | (3,200,000) | |||
Foreign Exchange Contract [Member] | Not Designated as Hedging Instrument [Member] | |||||
Derivative, Notional Amount | 5,200,000 | SFr 5 | |||
Foreign Exchange Contract [Member] | Cash Flow Hedging [Member] | |||||
Derivative, Notional Amount | 37,700,000 | € 31.9 | |||
Accumulated Other Comprehensive Income (Loss) Cumulative Cash Flow Hedges, Gain (Loss) | 2,300,000 | (33,000) | |||
Deferred Tax Assets, Derivative Instruments | $ 542,000 | $ 8,000 | |||
Interest Rate Swap [Member] | |||||
Derivative, Fixed Interest Rate | 2.40% |
Note N - Segment Information (D
Note N - Segment Information (Details Textual) $ in Thousands | 12 Months Ended | |
Jun. 30, 2022 USD ($) | Jun. 30, 2021 USD ($) | |
Number of Reportable Segments | 2 | |
Revenue from Contract with Customer, Including Assessed Tax | $ 170,966 | $ 178,520 |
Non-US [Member] | ||
Revenue from Contract with Customer, Including Assessed Tax | 55,711 | 83,818 |
UNITED STATES | ||
Revenue from Contract with Customer, Including Assessed Tax | $ 115,255 | $ 94,702 |
Products Manufactured by NAIE [Member] | Non-US [Member] | Product Concentration Risk [Member] | Revenue Benchmark [Member] | ||
Concentration Risk, Percentage | 84% | 77% |
Products Manufactured by NAIE [Member] | UNITED STATES | ||
Revenue from Contract with Customer, Including Assessed Tax | $ 0 |
Note N - Segment Information -
Note N - Segment Information - Operating Results by Business Segment (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Net sales | $ 170,966 | $ 178,520 |
Income from operations | 13,679 | 13,672 |
Operating Segments [Member] | ||
Income from operations | 22,447 | 22,186 |
Corporate, Non-Segment [Member] | ||
Income from operations | (8,768) | (8,514) |
Private Label Contract Manufacturing [Member] | ||
Net sales | 154,798 | 164,310 |
Private Label Contract Manufacturing [Member] | Operating Segments [Member] | ||
Income from operations | 15,667 | 17,744 |
Patent and Trademark Licensing [Member] | ||
Net sales | 16,168 | 14,210 |
Patent and Trademark Licensing [Member] | Operating Segments [Member] | ||
Income from operations | $ 6,780 | $ 4,442 |
Note N - Segment Information _2
Note N - Segment Information - Assets by Business Segment (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Jun. 30, 2021 |
Assets | $ 146,003 | $ 120,281 |
Private Label Contract Manufacturing [Member] | ||
Assets | 115,649 | 95,324 |
Patent and Trademark Licensing [Member] | ||
Assets | $ 30,354 | $ 24,957 |
Note N - Segment Information _3
Note N - Segment Information - Net Sales by Geographic Region (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Net sales | $ 170,966 | $ 178,520 |
UNITED STATES | ||
Net sales | 115,255 | 94,702 |
Non-US [Member] | ||
Net sales | $ 55,711 | $ 83,818 |
Note N - Segment Information _4
Note N - Segment Information - Long-lived Assets by Geographical Region (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Jun. 30, 2021 |
Long-Lived Assets | $ 66,274 | $ 38,148 |
UNITED STATES | ||
Long-Lived Assets | 43,769 | 21,109 |
Europe [Member] | ||
Long-Lived Assets | $ 22,505 | $ 17,039 |
Note N - Segment Information _5
Note N - Segment Information - Total Assets by Geographical Region (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Jun. 30, 2021 |
Total Assets | $ 146,003 | $ 120,281 |
UNITED STATES | ||
Total Assets | 83,443 | 67,307 |
Europe [Member] | ||
Total Assets | $ 62,560 | $ 52,974 |
Note N - Segment Information _6
Note N - Segment Information - Capital Expenditures by Geographical Region (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Payments to Acquire Property, Plant, and Equipment, Total | $ 26,488 | $ 5,107 |
UNITED STATES | ||
Payments to Acquire Property, Plant, and Equipment, Total | 25,383 | 2,336 |
Europe [Member] | ||
Payments to Acquire Property, Plant, and Equipment, Total | $ 1,105 | $ 2,771 |
Note O - Subsequent Events (Det
Note O - Subsequent Events (Details Textual) - Foreign Exchange Contract [Member] - Cash Flow Hedging [Member] € in Millions, SFr in Millions, $ in Millions | Sep. 07, 2022 CHF (SFr) | Aug. 16, 2022 CHF (SFr) | Jul. 21, 2022 EUR (€) | Jun. 30, 2022 USD ($) | Jun. 30, 2022 EUR (€) |
Derivative, Notional Amount | $ 37.7 | € 31.9 | |||
Subsequent Event [Member] | Designated as Hedging Instrument [Member] | |||||
Derivative, Notional Amount | SFr 12 | SFr 7.5 | € 5.9 | ||
Derivative, Average Forward Exchange Rate | 0.9735 | 0.9477 | 1.030 |