Pro-Dex (PDEX) 10-Q 8 Nov 18 2019 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	3 Months Ended
	Sep. 30, 2018	Nov. 06, 2018
Document And Entity Information
Entity Registrant Name	PRO DEX INC
Entity Central Index Key	788,920
Document Type	10-Q
Trading Symbol	PDEX
Document Period End Date	Sep. 30, 2018
Amendment Flag	false
Current Fiscal Year End Date	--06-30
Entity's Reporting Status Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Common Stock, Shares Outstanding		4,227,845
Document Fiscal Period Focus	Q1
Document Fiscal Year Focus	2,019

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($) $ in Thousands	Sep. 30, 2018	Jun. 30, 2018
Current Assets:
Cash and cash equivalents	$ 8,315	$ 5,188
Investments	3,398	2,220
Accounts receivable, net of allowance for doubtful accounts of $1 and $14 at September 30, 2018 and at June 30, 2018, respectively	3,624	2,955
Deferred costs	82	32
Inventory	4,565	4,393
Notes receivable	1,189	1,176
Prepaid expenses and other current assets	421	269
Total current assets	21,594	16,233
Equipment and leasehold improvements, net	2,148	1,755
Intangibles, net	134	140
Deferred income taxes, net	1,220	1,678
Notes receivable, net of current portion	30	43
Other assets	68	68
Total assets	25,194	19,917
Current Liabilities:
Accounts payable	1,197	1,083
Accrued expenses	1,055	1,266
Deferred revenue	70	31
Note payable and capital lease obligations	583	35
Income taxes payable		123
Total current liabilities	2,905	2,538
Deferred rent	112	97
Notes and capital leases payable, net of current portion	4,450	6
Total non-current liabilities	4,562	103
Total liabilities	7,467	2,641
Shareholders' equity:
Common shares; no par value; 50,000,000 shares authorized; 4,249,548 and 4,331,089 shares issued and outstanding at September 30, 2018 and June 30, 2018, respectively	18,639	19,835
Accumulated other comprehensive income (loss)	145	(153)
Accumulated deficit	(1,057)	(2,406)
Total shareholders' equity	17,727	17,276
Total liabilities and shareholders' equity	$ 25,194	$ 19,917

CONDENSED CONSOLIDATED BALANC_2

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands	Sep. 30, 2018	Jun. 30, 2018
Statement of Financial Position [Abstract]
Accounts receivable, allowance for doubtful accounts	$ 1	$ 14
Common shares, no par value (in dollars per share)
Common shares, authorized	50,000,000	50,000,000
Common shares, issued	4,249,548	4,331,089
Common shares, outstanding	4,249,548	4,331,089

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (Unaudited) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2018	Sep. 30, 2017
Income Statement [Abstract]
Net sales	$ 6,916	$ 5,162
Cost of sales	4,189	3,302
Gross profit	2,727	1,860
Operating (income) expenses:
Selling expenses	33	87
General and administrative expenses	565	504
Gain on disposal of equipment	(7)	(12)
Research and development costs	408	407
Total operating expenses	999	986
Operating income	1,728	874
Other income (expense):
Interest and miscellaneous income	74	18
Interest expense	(20)	(2)
Total other income	54	16
Income before income taxes	1,782	890
Provision for income taxes	433	262
Net income	1,349	628
Other comprehensive income (loss), net of tax:
Unrealized gain (loss) from marketable equity investments, net of taxes	298	(109)
Comprehensive income	$ 1,647	$ 519
Basic and diluted income per share:
Net income	$ 0.31	$ 0.15
Weighted average common shares outstanding:
Basic	4,330,636	4,150,099
Diluted	4,372,893	4,189,724
Common shares outstanding	4,249,548	4,348,292

CONDENSED CONSOLIDATED STATEM_2

CONDENSED CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY - USD ($) $ in Thousands		Common Shares [Member]	Accumulated Other Comprehensive Income (Loss) [Member]	Accumulated Deficit [Member]	Total
Balance at beginning at Jun. 30, 2017		$ 17,704	$ 33	$ (4,027)	$ 13,710
Balance at beginning (in shares) at Jun. 30, 2017		4,025,193
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income				628	628
Net change in unrealized gain (loss) from marketable equity investments, net of taxes			(109)		(109)
ESPP shares issued		$ 16			16
ESPP shares issued (in shares)		3,099
Share-based compensation		$ 3			3
Shares issued under ATM	[1]	$ 2,027			2,027
Shares issued under ATM, (in shares)	[1]	320,000
Balance at end at Sep. 30, 2017		$ 19,750	(76)	(3,399)	16,275
Balance at end (in shares) at Sep. 30, 2017		4,348,292
Balance at beginning at Jun. 30, 2017		$ 17,704	33	(4,027)	13,710
Balance at beginning (in shares) at Jun. 30, 2017		4,025,193
Balance at end at Jun. 30, 2018		$ 19,835	(153)	(2,406)	17,276
Balance at end (in shares) at Jun. 30, 2018		4,331,089
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income				1,349	1,349
Net change in unrealized gain (loss) from marketable equity investments, net of taxes			298		298
ESPP shares issued		$ 10			10
ESPP shares issued (in shares)		1,820
Share-based compensation		$ 10			10
Shares issued in connection with performance award vesting
Shares issued in connection with performance award vesting, (in shares)		40,000
Shares withheld from common stock issued to pay employee payroll taxes		$ (101)			(101)
Shares withheld from common stock issued to pay employee payroll taxes, shares		(15,273)
Share repurchases		$ (1,115)			(1,115)
Share repurchases (in shares)		(108,088)
Balance at end at Sep. 30, 2018		$ 18,639	$ 145	$ (1,057)	$ 17,727
Balance at end (in shares) at Sep. 30, 2018		4,249,548
[1]	Of the proceeds raised from the ATM shares issued during fiscal 2018, $142,000 were accounted for as a reduction of prepaid expenses.

CONDENSED CONSOLIDATED STATEM_3

CONDENSED CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY (Parenthetical) $ in Thousands	12 Months Ended
	Jun. 30, 2018USD ($)
Statement of Stockholders' Equity [Abstract]
Proceeds raised from ATM, accounted for as reduction of prepaid expenses	$ 142

CONDENSED CONSOLIDATED STATEM_4

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2018	Sep. 30, 2017
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income	$ 1,349	$ 628
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	88	153
Share-based compensation	10	3
Gain on disposal of equipment	(7)	(12)
Deferred income tax	404	66
Bad debt expense (recovery)	(13)
Changes in operating assets and liabilities:
Accounts receivable and other receivables	(655)	1,284
Deferred costs	(50)	12
Inventory	(172)	(427)
Prepaid expenses and other assets	(152)	89
Accounts payable, accrued expenses and deferred rent	(82)	(744)
Deferred revenue	39	(1)
Income taxes payable	(123)	10
Net cash provided by operating activities	636	1,061
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of equipment	(477)	(139)
Purchases of investments	(824)	(297)
Increase in notes receivable		(1,150)
Decrease (increase) in intangibles	1	(8)
Proceeds from disposal of equipment	7	12
Net cash used in investing activities	(1,293)	(1,582)
CASH FLOWS FROM FINANCING ACTIVITIES:
Principal payments on capital lease and notes payable	(10)	(14)
Borrowings from Minnesota Bank & Trust	5,000
Payment of employee payroll taxes on net issuance of common stock	(101)
Proceeds from shares issued under ATM, net of commissions and fees		2,169
Proceeds from ESPP Contributions	10	16
Repurchases of common stock	(1,115)
Net cash provided by financing activities	3,784	2,171
Net increase in cash and cash equivalents	3,127	1,650
Cash and cash equivalents, beginning of period	5,188	4,205
Cash and cash equivalents, end of period	8,315	5,855
Noncash investing and financing activity:
Value of shares issued to employees under performance awards	266
Cash paid during the period for:
Interest	20	2
Income taxes, net of refunds	$ 299	$ 118

BASIS OF PRESENTATION

BASIS OF PRESENTATION	3 Months Ended
	Sep. 30, 2018
Accounting Policies [Abstract]
BASIS OF PRESENTATION	NOTE 1. BASIS OF PRESENTATION The accompanying unaudited condensed consolidated financial statements of Pro-Dex, Inc. (“we”, “us”, “our”, “Pro-Dex” or the “Company”) have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) for interim financial information and with the instructions to Form 10-Q and Regulation S-K. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. These financial statements should be read in conjunction with the consolidated financial statements presented in our Annual Report on Form 10-K for the fiscal year ended June 30, 2018. In the opinion of management, all adjustments considered necessary for a fair presentation have been included. The results of operations for such interim periods are not necessarily indicative of the results that may be expected for the full year. For further information, refer to the consolidated financial statements and footnotes thereto included in our Annual Report on Form 10-K for the year ended June 30, 2018. Recent Accounting Standards In February 2016, the FASB issued ASU 2016-02, (Topic 842) “Leases”. The objective of this update is to increase transparency and comparability among organizations by recognizing lease assets and lease liabilities on the balance sheet and disclosing key information about leasing arrangements. This ASU is effective for fiscal years beginning after December 15, 2018, including interim periods within those annual periods and is to be applied utilizing a modified retrospective approach. While we are still in the process of evaluating the effect of adoption on our consolidated financial statements and are currently assessing our leases, we expect the adoption will lead to a material increase in the assets and liabilities recorded on our consolidated balance sheet. Recently Adopted Accounting Standards Effective July 1, 2018, we adopted new revenue recognition guidance issued by the FASB related to contracts with customers. Under ASU 2014-09, (Topic 606) “Revenue From Contracts with Customers,” we recognize revenue from the sales of products and services by applying the following steps: (1) identify the contract with a customer; (2) identify the performance obligations in the contract; (3) determine the transaction price; (4) allocate the transaction price to each performance obligation in the contract; and (5) recognize revenue when each performance obligation is satisfied. We utilized the modified retrospective method of adoption and there was no impact on our financial statements as a result of adopting Topic 606 for the three months ended September 30, 2018. We primarily sell finished products and recognize revenue at point of sale or delivery and the timing of revenue recognition has not changed with the adoption of the new guidance. However, we also perform services when we are engaged to design a product for a customer and there is more judgment involved in determining the amount and timing of revenue recognition under those types of contracts. In order to disclose the amount of revenue related to these services, where more judgment is required, we have added NRE & Prototypes to our net sales table included under “Management’s Discussion and Analysis of Financial Condition and Results of Operations” of this report, which had previously been reflected in Medical device and services. Reclassifications We have reclassified the gain on disposal of equipment to operating income (expense) from other income (expense) as prescribed by GAAP. This reclassification has no impact on our net income. We have also reclassified the tax effect of unrealized gain (loss) from marketable equity investments from a separate line item to deferred income taxes on the statement of cash flows. This reclassification has no impact on our net increase or decrease in cash, but properly reflects this change in net cash provided by or used in operating activities instead of investing activities.

DESCRIPTION OF BUSINESS

DESCRIPTION OF BUSINESS	3 Months Ended
	Sep. 30, 2018
Organization, Consolidation and Presentation of Financial Statements [Abstract]
DESCRIPTION OF BUSINESS	NOTE 2. DESCRIPTION OF BUSINESS We specialize in the design, development and manufacture of autoclavable, battery-powered and electric, multi-function surgical drivers and shavers used primarily in the orthopedic and maxocranial facial markets. We have patented adaptive torque-limiting software and proprietary sealing solutions which appeal to our customers, primarily medical device distributors. We also manufacture and sell rotary air motors to a wide range of industries. Our Fineline Molds division (“Fineline”), acquired in fiscal 2015, manufactured plastic injection molding for a variety of industries. As disclosed in our Form 8-K filed with the SEC on May 30, 2018, we sold substantially all of the assets of Fineline on May 23, 2018. Management reviewed ASU 2014-08 Reporting Discontinued Operations and Disposals of Components of an Entity and concluded that the sale of Fineline does not require treatment as a discontinued operation because it was not a material part of our operations.

COMPOSITION OF CERTAIN FINANCIA

COMPOSITION OF CERTAIN FINANCIAL STATEMENT ITEMS	3 Months Ended
	Sep. 30, 2018
Organization, Consolidation and Presentation of Financial Statements [Abstract]
COMPOSITION OF CERTAIN FINANCIAL STATEMENT ITEMS	NOTE 3. COMPOSITION OF CERTAIN FINANCIAL STATEMENT ITEMS Investments Investments are stated at market value and consist of the following (in thousands): September 30, June 30, 2018 Marketable equity securities $ 3,398 $ 2,220 Investments at September 30, 2018 and June 30, 2018 had an aggregate cost basis of $3,198,000 and $2,374,000 respectively. During the quarter ended September 30, 2018, the investments incurred unrealized gains of $353,000 (gross unrealized gains of $403,000 offset by gross unrealized losses of $50,000) and related income tax expense of approximately $55,000 recorded in other comprehensive income. At June 30, 2018, the investments included net unrealized losses of $153,000 (gross unrealized losses of $196,000 offset by gross unrealized gains of $43,000). Of the total marketable equity securities at September 30, 2018 and June 30, 2018, $1,113,000 and $285,000, respectively, represent an investment in the common stock of Air T, Inc. Two of our Board members are also board members of Air T, Inc. and both either individually or through affiliates own an equity interest in Air T, Inc. Our Chairman, one of the two Board members aforementioned, also serves as the Chief Executive Officer and Chairman of Air T, Inc. The shares have been purchased through 10b5-1 Plans, which in accordance with our internal policies regarding the approval of related party transactions, was approved by our three Board members that are not affiliated with Air T, Inc. Inventory Inventory is stated at the lower of cost (first-in, first-out) or net realizable value and consists of the following (in thousands): September 30, 2018 June 30, 2018 Raw materials /purchased components $ 1,942 $ 1,878 Work in process 1,387 974 Sub-assemblies /finished components 1,125 1,193 Finished goods 111 348 Total inventory $ 4,565 $ 4,393 Intangibles Intangibles consist of the following (in thousands): September 30, 2018 June 30, 2018 Covenant not to compete $ 30 $ 30 Patent-related costs 163 164 Total intangibles $ 193 $ 194 Less accumulated amortization (59 ) (54 ) $ 134 $ 140 The covenant not to compete relates to assets acquired in conjunction with a business acquisition. Patent-related costs consist of legal fees incurred in connection with both patent applications and a patent issuance, and will be amortized over the estimated life of the product(s) that is or will be utilizing the technology, or expensed immediately in the event the patent office denies the issuance of the patent. Since we do not know when, or if, our patent applications will be issued, the future amortization expense is not predictable.

WARRANTY

WARRANTY	3 Months Ended
	Sep. 30, 2018
Product Warranties Disclosures [Abstract]
WARRANTY	NOTE 4. WARRANTY The warranty accrual is based on historical costs of warranty repairs and expected future identifiable warranty expenses, and is included in accrued expenses in the accompanying consolidated balance sheets. As of September 30, 2018 and June 30, 2018, the warranty reserve amounted to $95,000 and $107,000, respectively. Warranty expenses are included in cost of sales in the accompanying consolidated statements of operations. Changes in estimates to previously established warranty accruals result from current period updates to assumptions regarding repair costs and warranty return rates, and are included in current period warranty expense. Information regarding the accrual for warranty costs for the three months ended September 30, 2018 and 2017 are as follows (in thousands): As of and for the Three Months Ended 2018 2017 Beginning balance $ 107 $ 159 Accruals during the period 29 20 Changes in estimates of prior period warranty accruals (15 ) (20 ) Warranty amortization (26 ) (13 ) Ending balance $ 95 $ 146

NET INCOME (LOSS) PER SHARE

NET INCOME (LOSS) PER SHARE	3 Months Ended
	Sep. 30, 2018
Basic and diluted income per share:
NET INCOME (LOSS) PER SHARE	NOTE 5. NET INCOME (LOSS) PER SHARE The Company calculates basic net income (loss) per share by dividing net income (loss) by the weighted-average number of common shares outstanding during the reporting period. Diluted income (loss) per share reflects the effects of potentially dilutive securities, which consist entirely of outstanding stock options. The following table presents reconciliations of the numerators and denominators of the basic and diluted income (loss) per share computations. In the tables below, income (loss) amounts represent the numerator, and share amounts represent the denominator (in thousands, except per share amounts): Three Months Ended September 30, 2018 2017 Basic: Net income $ 1,349 $ 628 Weighted average shares outstanding 4,331 4,150 Basic earnings per share $ 0.31 $ 0.15 Diluted: Net income $ 1,349 $ 628 Weighted average shares outstanding 4,331 4,150 Effect of dilutive securities – stock options 42 40 Weighted average shares used in calculation of diluted earnings per share 4,373 4,190 Diluted earnings per share $ 0.31 $ 0.15

INCOME TAXES

INCOME TAXES	3 Months Ended
	Sep. 30, 2018
Income Tax Disclosure [Abstract]
INCOME TAXES	NOTE 6. INCOME TAXES Deferred income taxes are provided on a liability method whereby deferred tax assets and liabilities are recognized for temporary differences. Temporary differences are the differences between the reported amounts of assets and liabilities and their tax bases. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion or all of the deferred tax assets will not be realized. Deferred tax assets and liabilities are adjusted for the effects of changes in tax laws and rates on the date of enactment. Significant management judgment is required in determining our provision for income taxes and the recoverability of our deferred tax assets. Such determination is based primarily on our historical taxable income or loss, with some consideration given to our estimates of future taxable income or loss by jurisdictions in which we operate and the period over which our deferred tax assets would be recoverable. As of September 30, 2018, we have accrued $467,000 of unrecognized tax benefits related to federal and state income tax matters. None of this balance is expected to reduce the Company’s income tax expense if recognized. A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows (in thousands): As of and for the Three Months Ended 2018 2017 Beginning balance $ 462 $ 446 Additions based on tax positions related to the current year 5 4 Ending balance $ 467 $ 450 We recognize accrued interest and penalties related to unrecognized tax benefits when applicable. As of September 30, 2018 and June 30, 2018, no interest or penalties applicable to our unrecognized tax benefits have been accrued since we have sufficient tax attributes available to fully offset any potential assessment of additional tax. We are subject to U.S. federal income tax, as well as income tax of multiple state tax jurisdictions. We are currently open to audit under the statute of limitations by the Internal Revenue Service for the years ended June 30, 2015 and later. Our state income tax returns are open to audit under the statute of limitations for the years ended June 30, 2014 and later. However, because of research credit carryovers, substantially all of our tax years are subject to audit. We do not anticipate a significant change to the total amount of unrecognized tax benefits within the next 12 months. On December 22, 2017, the Tax Cuts and Jobs Act (the “Tax Act”) was enacted into law. The new legislation represents a fundamental and dramatic shift in US taxation. The new legislation contains several key tax provisions that will impact us including the reduction of the corporate income tax rate to 21% effective January 1, 2018. The new legislation also included a variety of other changes including but not limited to a limitation on the deductibility of interest expense, acceleration of business asset expensing and reduction in the amount of executive pay that can qualify as a tax deduction. On December 22, 2017, the SEC issued Staff Accounting Bulletin No. 118 (“SAB 118”) which addresses income tax accounting implications of the Tax Act. The purpose of the SAB 118 was to address any uncertainty or diversity of view in applying ASC Topic 740, Income Taxes

SHARE-BASED COMPENSATION

SHARE-BASED COMPENSATION	3 Months Ended
	Sep. 30, 2018
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
SHARE-BASED COMPENSATION	NOTE 7. SHARE-BASED COMPENSATION Through June 2015 we had two equity compensation plans, the Second Amended and Restated 2004 Stock Option Plan (the “Employee Stock Option Plan”) and the Amended and Restated 2004 Directors’ Stock Option Plan (the “Directors’ Stock Option Plan”) (collectively, the “Former Stock Option Plans”). There was no share-based compensation expense attributable to the Former Stock Option Plans for the three months ended September 30, 2018 and 2017, as all outstanding options under the Former Stock Option Plans are fully vested. The Employee Stock Option Plan and Director’s Stock Option Plan were terminated in June 2015 and September 2014, respectively. In September 2016, our Board approved the establishment of the 2016 Equity Incentive Plan, which was approved by our shareholders at the November 29, 2016 Annual Meeting. The 2016 Equity Incentive Plan provides for the award of up to 1,500,000 shares of our common stock in the form of incentive stock options, nonstatutory stock options, stock appreciation rights, restricted shares, restricted stock units, performance awards and other stock-based awards. As of September 30, 2018, 200,000 performance awards have been granted under the 2016 Equity Incentive Plan. Stock Options There were no stock options granted during the three months ended September 30, 2018 and 2017. As of September 30, 2018, there was no unrecognized compensation cost under our stock option plans as all outstanding stock options are fully vested. As of September 30, 2018, the options outstanding had a weighted average remaining contractual life of 2.9 years and an intrinsic value of $486,000. As of September 30, 2018 and June 30, 2018 there were 57,000 options outstanding at weighted-average exercise prices of $1.88 per share. Performance Awards In December 2017, the Compensation Committee of our Board of Directors granted 200,000 performance awards to our employees, which will generally be paid in shares of our common stock. Whether any performance awards vest, and the amount that does vest, is tied to the completion of service periods that range from 7 months to 9.5 years at inception and the achievement of our common stock trading at certain pre-determined prices. The weighted average fair value of the performance awards granted was $4.46, calculated using the weighted average fair market value for each award, using a Monte Carlo simulation. We recorded share-based compensation expense of $8,000 for the three months ended September 30, 2018 related to these performance awards. On September 30, 2018, there was approximately $91,000 of unrecognized compensation cost related to these non-vested performance awards expected to be expensed over the weighted-average period of 4.64 years. On July 1, 2018, it was determined by the Compensation Committee of our Board of Directors that the first of five tranches of 40,000 performance awards had been achieved and participants were awarded 40,000 shares of common stock. Each participant elected a net issuance to cover their individual withholding taxes and therefore the Company issued 24,727 shares and paid $101,000 of participant related payroll tax liabilities. Employee Stock Purchase Plan In September 2014, our Board approved the establishment of an Employee Stock Purchase Plan (the “ESPP”). The ESPP conforms to the provisions of Section 423 of the Internal Revenue Code, has coterminous offering and purchase periods of six months, and bases the pricing to purchase shares of our common stock on a formula so as to result in a per-share purchase price that approximates a 15% discount from the market price of a share of our common stock at the end of the purchase period. The Board of Directors also approved the provision that shares formerly reserved for issuance under the Former Stock Option Plans in excess of shares issuable pursuant to outstanding options, aggregating 704,715 shares, be reserved for issuance pursuant to the ESPP. The ESPP was approved by our shareholders at the December 3, 2014 Annual Meeting. During the first quarters ended September 30, 2018 and 2017, 1,820 and 3,099 shares were purchased, respectively, under the ESPP and allocated to employees based upon their contributions at discount prices of $5.51 and $5.21, respectively, per share. On a cumulative basis, since the inception of the ESPP plan, employees have purchased a total of 17,943 shares. During the three months ended September 30, 2018 and 2017, we recorded stock compensation expense in the amount of $2,000 and $3,000, respectively, relating to the ESPP.

MAJOR CUSTOMERS AND SUPPLIERS

MAJOR CUSTOMERS AND SUPPLIERS	3 Months Ended
	Sep. 30, 2018
Risks and Uncertainties [Abstract]
MAJOR CUSTOMERS & SUPPLIERS	NOTE 8. MAJOR CUSTOMERS & SUPPLIERS Information with respect to customers that accounted for sales in excess of 10% of our total sales in either of the three-month periods ended September 30, 2018 and 2017 is as follows (in thousands, except percentages): Three Months Ended September 30, 2018 2017 Amount Percent of Amount Percent of Total revenue $ 6,916 100 % $ 5,162 100 % Customer concentration: Customer 1 $ 4,314 62 % $ 3,026 59 % Customer 2 479 7 % 618 12 % Customer 3 977 14 % 359 7 % Total $ 5,770 83 % $ 4,003 78 % Information with respect to accounts receivable from those customers that comprised more than 10 % of our gross accounts receivable at either September 30, 2018 and June 30, 2018, is as follows (in thousands, except percentages): September 30, 2018 June 30, 2018 Total gross accounts receivable $ 3,625 100 % $ 2,969 100 % Customer concentration: Customer 1 $ 2,074 57 % $ 1,673 56 % Customer 3 990 27 % 679 23 % Total $ 3,064 84 % $ 2,352 79 % During the three months ended September 30, 2018, we had two suppliers that accounted for 12% and 11% of total purchases, respectively. During the three months ended September 30, 2017, we had one supplier that accounted for 13% of total purchases. Amounts owed to the fiscal 2019 significant suppliers at September 30, 2018 totaled $121,000 and $0, respectively, and at June 30, 2018 totaled, $30,000 and $98,000, respectively. Amounts owed to the fiscal 2018 significant supplier at September 30, 2018 and June 30, 2018 totaled $77,000 and $183,000 respectively.

NOTES RECEIVABLE

NOTES RECEIVABLE	3 Months Ended
	Sep. 30, 2018
Notes, Loans and Financing Receivable, Net, Noncurrent [Abstract]
NOTES RECEIVABLE	NOTE 9. NOTES RECEIVABLE Loan Participation note receivable – short-term On September 20, 2017 (the “Closing Date”), we entered into a Participation Agreement with FS Special Opportunities I, L.P., a Minnesota limited partnership (“Principal”), pursuant to which we paid Principal $1,150,000 in cash to purchase a 50% (“Participation Percentage”) undivided interest (the “Participation”) in Principal’s $2,300,000 loan (the “Loan”) to 414 New York LLC, a New York limited liability company (“Borrower”). The Participation constitutes the purchase by us of a property interest in the Loan from Principal and does not create a creditor-debtor relationship between us and Borrower. Borrower used the proceeds from the Loan to acquire a leasehold interest in certain real estate operated as a hotel in Manhattan, New York. Pursuant to the loan agreement entered into on the Closing Date between Principal and Borrower, the Loan initially bears interest at a fixed rate of 22% per annum, with payments of all accrued and unpaid interest due monthly commencing on October 1, 2017 and on the first day of each month thereafter. If the principal balance of the Loan is not paid in full by September 30, 2018, commencing on October 1, 2018 and continuing on the first day of the next 83 months thereafter, Borrower shall, in addition to the aforementioned monthly interest payments, pay installments of principal equal to 1/84 th Raymond E. Cabillot, a director of the Company, is the managing partner of Farnam Street Capital, Inc. (“Farnam”) and Farnam is the founding partner of FS Special Opportunities I, L.P. In accordance with our internal policies regarding the approval of related party transactions, the Participation was approved by our four Board members that are not affiliated with Farnam. Fineline note receivable On May 23, 2018, we completed the sale of substantially all of the assets of Fineline, which was engaged in the manufacture of plastic injection molds serving customers in a variety of industries. The aggregate purchase price was $310,000, of which $30,000 was paid in cash at closing and the balance of $280,000 is to be paid to us under the terms of a five-year promissory note, which bears interest at 4% per annum and requires sixty equal monthly payments of principal and accrued interest in the amount of approximately $5,000 each, beginning February 15, 2019. We have determined that there is uncertainty regarding the collectability of this note. Therefore, during fiscal 2018 we offset the gain on the sale of the division in the amount of approximately $211,000, against the impairment of the note receivable because we believe that the fair market value of the collateral securing the note is less than the face amount of the note. As of September 30, 2018, approximately $39,000 of this note receivable is classified as current.

NOTES PAYABLE AND FINANCING TRA

NOTES PAYABLE AND FINANCING TRANSACTIONS	3 Months Ended
	Sep. 30, 2018
Notes Payable [Abstract]
NOTES PAYABLE AND FINANCING TRANSACTIONS	NOTE 10. NOTES PAYABLE AND FINANCING TRANSACTIONS Minnesota Bank & Trust On September 6, 2018, we entered into a Credit Agreement with Minnesota Bank & Trust, a Minnesota state banking corporation (“MBT”), providing for a $5,000,000 term loan (the “Term Loan”) as well as a $2,000,000 revolving loan (the “Revolving Loan” and together with the Term Loan, collectively the “Loans”), evidenced by a Term Note A and a Revolving Credit Note made by us in favor of MBT. The Loans are secured by substantially all of our assets pursuant to a Security Agreement entered into on September 6, 2018 between us and MBT. We paid loan origination fees to MBT in the amount of $60,000. The Term Loan matures on October 1, 2025 and bears interest at a fixed rate of 5.53% per annum. An initial payment of interest only in the amount of $18,433 was paid on October 1, 2018. Commencing November 1, 2018 and continuing on the first day of each subsequent month thereafter until the maturity date, we are required to make payments of principal and interest on the Term Loan of $71,921.43, plus any additional accrued and unpaid interest through the date of payment. The Revolving Loan matures on September 6, 2019 unless earlier terminated pursuant to its terms and bears interest at the greater of (a) 4.5% or (b) the difference of the prime rate as published in the Money Rates section of the Wall Street Journal minus 0.50%. Commencing on the first day of each month after we initially borrow against the Revolving Loan, which we have yet to do, and each month thereafter until maturity, we are required to pay all accrued and unpaid interest on the Revolving Loan through the date of payment. Any principal on the Revolving Loan that is not previously prepaid shall be due and payable on the maturity date (or earlier termination of the Revolving Loan). Any payment on the Loans not made within seven days after the due date is subject to a late payment fee equal to 5% of the overdue amount. Upon the occurrence and during the continuance of an event of default, the interest rate of both Loans will be increased by 3% and MBT may, at its option, declare the Loans immediately due and payable in full. The Credit Agreement and Security Agreement contain representations and warranties, affirmative, negative and financial covenants, and events of default that are customary for loans of this type. Farmers & Merchants Bank of Long Beach On April 19, 2017, we entered into a Business Loan Agreement, dated effective March 28, 2017, with Farmers & Merchants Bank of Long Beach (“FMB”), providing for a $500,000 revolving loan facility. The loan was secured by substantially all of our assets and bore interest at prime plus 2 percent. The loan had an original maturity of March 28, 2018, which was subsequently extended to March 28, 2019. We did not at any time borrow funds under this facility. This loan was terminated by us on September 4, 2018 in conjunction with the MBT Loans described above. Jules & Associates On July 21, 2016, we entered a master equipment lease agreement with Jules and Associates, Inc. to lease a specific machine used in our inspection process. The cost of the equipment was approximately $106,000 and the lease provides for 36 monthly payments in the amount of $3,121, as well as interim rent in the amount of $7,388. The lease was subsequently assigned to Hitachi Capital America Corporation. The balance owed on the lease as of September 30, 2018 is approximately $33,000.

COMMON STOCK

COMMON STOCK	3 Months Ended
	Sep. 30, 2018
Stockholders' Equity Note [Abstract]
COMMON STOCK	NOTE 11. COMMON STOCK Share Repurchase Program In September 2013, our Board approved a share repurchase program authorizing the Company to repurchase up to 750,000 shares of our common stock. In accordance with, and as part of, this share repurchase program, our Board has approved the adoption of several prearranged share repurchase plans intended to qualify for the safe harbor Rule 10b5-1 under the Securities Exchange Act of 1934, as amended (“10b5-1 Plan” or “Plan”). During the quarter ended September 30, 2016, our Board approved a 10b5-1 Plan, which became effective on September 8, 2016 and terminated on the earlier of September 8, 2017 or when and if the maximum shares were repurchased. During the quarter ended December 31, 2016, the Investment Committee of our Board approved an additional concurrently running 10b5-1 Plan, which became effective on December 8, 2016 and terminated on the earlier of December 8, 2017 or when and if the maximum shares were repurchased. In February, 2017 our Board terminated the two effective 10b5-1 Plans in conjunction with the approval of our At The Market Offering Agreement (“ATM” or “ATM Agreement”) further described below. During the fiscal year ended June 30, 2017, we repurchased 63,496 shares at an aggregate cost of $312,000, inclusive of fees under the Plans. On March 9, 2018, the Investment Committee of our Board approved a 10b5-1 Plan, which became effective on March 14, 2018 and terminated on the earlier of March 13, 2019 or when and if the maximum shares are repurchased. During the fiscal year ended June 30, 2018, we repurchased 33,026 shares at an aggregate cost, inclusive of fees under the plan of $220,000. During the quarter ended September 30, 2018, we repurchased 101,418 shares at an aggregate cost, inclusive of fees under the plan, of $1,034,000 and accordingly the 10b5-1 Plan terminated in accordance with its terms as the aggregate purchase price of shares under the plan was achieved. On September 17, 2018 the Board approved a concurrently running 10b5-1 Plan, which became effective on September 19, 2018 and terminates the earlier of September 18, 2020 or when and if the maximum shares are repurchased. During the quarter ended September 30, 2018 we repurchased 108,088 shares at an aggregate cost, inclusive of fees under the plan, of $1.1 million. On a cumulative basis, since the 2013 Board approval, we have repurchased a total of 374,071 shares under the share repurchase program at an aggregate cost of $2.3 million. All repurchases under the 10b5-1 Plans were administered through an independent broker. At The Market Offering Agreement In February 2017, our Board approved an ATM Agreement with Ascendiant Capital Markets, LLC (“Ascendiant”). The ATM Agreement allows us to sell shares of our common stock pursuant to specific parameters defined by us as well as those defined by the SEC and the ATM Agreement. During the fiscal year ended June 30, 2017, we sold 8,276 shares of common stock at average prices of $6.04 and raised net proceeds of $48,000. The proceeds collected were accounted for as a reduction of the prepaid expenses relating to establishing the ATM. During the three months ended September 30, 2017, we sold 320,000 shares of common stock at an average price of $6.99 per share and raised proceeds of $2,169,000 net of commissions and fees paid to Ascendiant totaling $67,000. From the inception of the ATM in February 2017 through December 31, 2017, we sold 340,465 shares of common stock for gross proceeds of $2,311,000 net of commissions and fees paid to Ascendiant totaling $72,000. In December 2017, our Board suspended the ATM indefinitely. Our Board has the discretion to reactivate the ATM prior to February 16, 2020, the expiration of the ATM Agreement, unless earlier terminated by Ascendiant or us.

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	3 Months Ended
	Sep. 30, 2018
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS AND CONTINGENCIES	NOTE 12. COMMITMENTS AND CONTINGENCIES Legal Matters We are from time to time a party to various legal proceedings incidental to our business. There can be no certainty, however, that we may not ultimately incur liability or that such liability will not be material and adverse.

BASIS OF PRESENTATION (Policies

BASIS OF PRESENTATION (Policies)	3 Months Ended
	Sep. 30, 2018
Accounting Policies [Abstract]
Recent Accounting Standards	Recent Accounting Standards In February 2016, the FASB issued ASU 2016-02, (Topic 842) “Leases”. The objective of this update is to increase transparency and comparability among organizations by recognizing lease assets and lease liabilities on the balance sheet and disclosing key information about leasing arrangements. This ASU is effective for fiscal years beginning after December 15, 2018, including interim periods within those annual periods and is to be applied utilizing a modified retrospective approach. While we are still in the process of evaluating the effect of adoption on our consolidated financial statements and are currently assessing our leases, we expect the adoption will lead to a material increase in the assets and liabilities recorded on our consolidated balance sheet.
Recently Adopted Accounting Standards	Recently Adopted Accounting Standards Effective July 1, 2018, we adopted new revenue recognition guidance issued by the FASB related to contracts with customers. Under ASU 2014-09, (Topic 606) “Revenue From Contracts with Customers,” we recognize revenue from the sales of products and services by applying the following steps: (1) identify the contract with a customer; (2) identify the performance obligations in the contract; (3) determine the transaction price; (4) allocate the transaction price to each performance obligation in the contract; and (5) recognize revenue when each performance obligation is satisfied. We utilized the modified retrospective method of adoption and there was no impact on our financial statements as a result of adopting Topic 606 for the three months ended September 30, 2018. We primarily sell finished products and recognize revenue at point of sale or delivery and the timing of revenue recognition has not changed with the adoption of the new guidance. However, we also perform services when we are engaged to design a product for a customer and there is more judgment involved in determining the amount and timing of revenue recognition under those types of contracts. In order to disclose the amount of revenue related to these services, where more judgment is required, we have added NRE & Prototypes to our net sales table included under “Management’s Discussion and Analysis of Financial Condition and Results of Operations” of this report, which had previously been reflected in Medical device and services.
Reclassifications	Reclassifications We have reclassified the gain on disposal of equipment to operating income (expense) from other income (expense) as prescribed by GAAP. This reclassification has no impact on our net income. We have also reclassified the tax effect of unrealized gain (loss) from marketable equity investments from a separate line item to deferred income taxes on the statement of cash flows. This reclassification has no impact on our net increase or decrease in cash, but properly reflects this change in net cash provided by or used in operating activities instead of investing activities.

COMPOSITION OF CERTAIN FINANC_2

COMPOSITION OF CERTAIN FINANCIAL STATEMENT ITEMS (Tables)	3 Months Ended
	Sep. 30, 2018
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Schedule of investments	Investments are stated at market value and consist of the following (in thousands): September 30, June 30, 2018 Marketable equity securities $ 3,398 $ 2,220
Schedule of inventory	Inventory is stated at the lower of cost (first-in, first-out) or net realizable value and consists of the following (in thousands): September 30, 2018 June 30, 2018 Raw materials /purchased components $ 1,942 $ 1,878 Work in process 1,387 974 Sub-assemblies /finished components 1,125 1,193 Finished goods 111 348 Total inventory $ 4,565 $ 4,393
Schedule of intangibles	Intangibles consist of the following (in thousands): September 30, 2018 June 30, 2018 Covenant not to compete $ 30 $ 30 Patent-related costs 163 164 Total intangibles $ 193 $ 194 Less accumulated amortization (59 ) (54 ) $ 134 $ 140

WARRANTY (Tables)

WARRANTY (Tables)	3 Months Ended
	Sep. 30, 2018
Product Warranties Disclosures [Abstract]
Schedule of accrual warranty costs	Information regarding the accrual for warranty costs for the three months ended September 30, 2018 and 2017 are as follows (in thousands): As of and for the Three Months Ended 2018 2017 Beginning balance $ 107 $ 159 Accruals during the period 29 20 Changes in estimates of prior period warranty accruals (15 ) (20 ) Warranty amortization (26 ) (13 ) Ending balance $ 95 $ 146

NET INCOME (LOSS) PER SHARE (Ta

NET INCOME (LOSS) PER SHARE (Tables)	3 Months Ended
	Sep. 30, 2018
Basic and diluted income per share:
Schedule of reconciliations of the numerators and denominators of the basic and diluted earnings (loss) per share computations for net income (loss)	The following table presents reconciliations of the numerators and denominators of the basic and diluted income (loss) per share computations. In the tables below, income (loss) amounts represent the numerator, and share amounts represent the denominator (in thousands, except per share amounts): Three Months Ended September 30, 2018 2017 Basic: Net income $ 1,349 $ 628 Weighted average shares outstanding 4,331 4,150 Basic earnings per share $ 0.31 $ 0.15 Diluted: Net income $ 1,349 $ 628 Weighted average shares outstanding 4,331 4,150 Effect of dilutive securities – stock options 42 40 Weighted average shares used in calculation of diluted earnings per share 4,373 4,190 Diluted earnings per share $ 0.31 $ 0.15

INCOME TAXES (Tables)

INCOME TAXES (Tables)	3 Months Ended
	Sep. 30, 2018
Income Tax Disclosure [Abstract]
Schedule of unrecognized tax benefits	A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows (in thousands): As of and for the Three Months Ended 2018 2017 Beginning balance $ 462 $ 446 Additions based on tax positions related to the current year 5 4 Ending balance $ 467 $ 450

MAJOR CUSTOMERS AND SUPPLIERS (

MAJOR CUSTOMERS AND SUPPLIERS (Tables)	3 Months Ended
	Sep. 30, 2018
Risks and Uncertainties [Abstract]
Schedule of sales by major customers	Information with respect to customers that accounted for sales in excess of 10% of our total sales in either of the three-month periods ended September 30, 2018 and 2017 is as follows (in thousands, except percentages): Three Months Ended September 30, 2018 2017 Amount Percent of Amount Percent of Total revenue $ 6,916 100 % $ 5,162 100 % Customer concentration: Customer 1 $ 4,314 62 % $ 3,026 59 % Customer 2 479 7 % 618 12 % Customer 3 977 14 % 359 7 % Total $ 5,770 83 % $ 4,003 78 %
Schedule of accounts receivable of major customers	Information with respect to accounts receivable from those customers that comprised more than 10 % of our gross accounts receivable at either September 30, 2018 and June 30, 2018, is as follows (in thousands, except percentages): September 30, 2018 June 30, 2018 Total gross accounts receivable $ 3,625 100 % $ 2,969 100 % Customer concentration: Customer 1 $ 2,074 57 % $ 1,673 56 % Customer 3 990 27 % 679 23 % Total $ 3,064 84 % $ 2,352 79 %

COMPOSITION OF CERTAIN FINANC_3

COMPOSITION OF CERTAIN FINANCIAL STATEMENT ITEMS (Details) (Narrative) - USD ($) $ in Thousands	3 Months Ended	12 Months Ended
	Sep. 30, 2018	Jun. 30, 2018
Aggregate cost	$ 3,198	$ 2,374
Gross unrealized gains (losses)	353	(153)
Gross unrealized losses	50	196
Gross unrealized gains	403	43
Income taxes on investments	55
Marketable equity securities	3,398	2,220
Air T, Inc. [Member]
Marketable equity securities	$ 1,113	$ 285

COMPOSITION OF CERTAIN FINANC_4

COMPOSITION OF CERTAIN FINANCIAL STATEMENT ITEMS (Marketable Equity Securities) (Details) - USD ($) $ in Thousands	Sep. 30, 2018	Jun. 30, 2018
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Marketable equity securities	$ 3,398	$ 2,220

COMPOSITION OF CERTAIN FINANC_5

COMPOSITION OF CERTAIN FINANCIAL STATEMENT ITEMS (Inventory) (Details) - USD ($) $ in Thousands	Sep. 30, 2018	Jun. 30, 2018
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Raw materials /purchased components	$ 1,942	$ 1,878
Work in process	1,387	974
Sub-assemblies /finished components	1,125	1,193
Finished goods	111	348
Total inventory	$ 4,565	$ 4,393

COMPOSITION OF CERTAIN FINANC_6

COMPOSITION OF CERTAIN FINANCIAL STATEMENT ITEMS (Intangible Assets) (Details) - USD ($) $ in Thousands	Sep. 30, 2018	Jun. 30, 2018
Finite-Lived Intangible Assets [Line Items]
Total intangibles	$ 193	$ 194
Less accumulated amortization	(59)	(54)
Intangible assets,net	134	140
Covenant not to compete [Member]
Finite-Lived Intangible Assets [Line Items]
Total intangibles	30	30
Patent-related costs [Member]
Finite-Lived Intangible Assets [Line Items]
Total intangibles	$ 163	$ 164

WARRANTY (Narrative) (Details)

WARRANTY (Narrative) (Details) - USD ($) $ in Thousands	Sep. 30, 2018	Jun. 30, 2018	Sep. 30, 2017	Jun. 30, 2017
Product Warranties Disclosures [Abstract]
Warranty reserves	$ 95	$ 107	$ 146	$ 159

WARRANTY (Movement in Warranty)

WARRANTY (Movement in Warranty) (Details) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2018	Sep. 30, 2017
Movement in Standard and Extended Product Warranty, Increase (Decrease) [Roll Forward]
Beginning balance	$ 107	$ 159
Accruals during the period	29	20
Changes in estimates of prior period warranty accruals	(15)	(20)
Warranty amortization	(26)	(13)
Ending balance	$ 95	$ 146

NET INCOME (LOSS) PER SHARE (De

NET INCOME (LOSS) PER SHARE (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Sep. 30, 2018	Sep. 30, 2017
Basic:
Net income	$ 1,349	$ 628
Weighted average shares outstanding	4,330,636	4,150,099
Basic earnings per share	$ 0.31	$ 0.15
Diluted:
Net income	$ 1,349	$ 628
Weighted average shares outstanding	4,330,636	4,150,099
Effect of dilutive securities - stock options	42,000	40,000
Weighted average shares used in calculation of diluted earnings per share	4,372,893	4,189,724
Diluted income per share	$ 0.31	$ 0.15

INCOME TAXES (Narrative) (Detai

INCOME TAXES (Narrative) (Details) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2018	Jun. 30, 2018	Sep. 30, 2017	Jun. 30, 2017
Income Tax Disclosure [Abstract]
Unrecognized tax benefits	$ 467	$ 462	$ 450	$ 446
Corporate tax rate	21.00%

INCOME TAXES (Reconciliation of

INCOME TAXES (Reconciliation of Beginning and Ending Unrecognized Tax Benefits) (Details) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2018	Sep. 30, 2017
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward]
Beginning balance	$ 462	$ 446
Additions based on tax positions related to the current year	5	4
Ending balance	$ 467	$ 450

SHARE-BASED COMPENSATION (Narra

SHARE-BASED COMPENSATION (Narrative) (Details) - USD ($) $ / shares in Units, $ in Thousands	1 Months Ended		3 Months Ended
	Jul. 31, 2018	Dec. 31, 2017	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2014	Jun. 30, 2018	Nov. 29, 2016
Performance Award [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Aggregate share-based compensation expense			$ 8
Number of awards granted during period	40,000	200,000	200,000
Period for award description			Completion of service periods that range from 7 months to 9.5 years at inception and the achievement of our common stock trading at certain pre-determined prices.
Unrecognized compensation cost			$ 91
Weighted-average period			4 years 7 months 21 days
Weighted average fair value			$ 4.46
Shares issued	24,727
Payment of payroll tax liabilities	$ 101
Common Stock [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of awards granted during period	40,000
2016 Equity Incentive Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares available to be awarded							1,500,000
Employees Stock Option Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Weighted average remaining contractual life			2 years 10 months 25 days
Intrinsic value of stock options exercisable			$ 486
Options outstanding			57,000			57,000
Weighted-average exercise price			$ 1.88			$ 1.88
ESPP [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Aggregate share-based compensation expense			$ 2	$ 3
Description of plan					Offering and purchase periods of six months, and bases the pricing to purchase shares of our common stock on a formula so as to result in a per-share purchase price that approximates a 15% discount from the market price of a share of our common stock at the end of the purchase period.
Number of shares reserved for future issuance					704,715
Number of shares purchased and allocated to employee (in shares)			1,820	3,099
Exercise price (in dollars per share)			$ 5.51	$ 5.21
Number of shares options purchased (in shares)			17,943

MAJOR CUSTOMERS AND SUPPLIERS_2

MAJOR CUSTOMERS AND SUPPLIERS (Narrative) (Details) - USD ($) $ in Thousands	3 Months Ended		12 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Jun. 30, 2018
Concentration Risk [Line Items]
Percentage of concentrations risk			100.00%
Accounts payable	$ 1,197		$ 1,083
Purchase [Member] | Supplier [Member]
Concentration Risk [Line Items]
Percentage of concentrations risk	12.00%	13.00%
Accounts payable	$ 121		30
Purchase [Member] | Supplier Two [Member]
Concentration Risk [Line Items]
Percentage of concentrations risk	11.00%
Accounts payable	$ 0		98
Purchase [Member] | Supplier [Member]
Concentration Risk [Line Items]
Accounts payable	$ 77		$ 183
Accounts Payable [Member] | Supplier [Member]
Concentration Risk [Line Items]
Percentage of concentrations risk	10.00%	10.00%	10.00%

MAJOR CUSTOMERS AND SUPPLIERS_3

MAJOR CUSTOMERS AND SUPPLIERS (Sales) (Details) - USD ($) $ in Thousands	3 Months Ended		12 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Jun. 30, 2018
Concentration Risk [Line Items]
Total revenue	$ 6,916	$ 5,162
Total gross accounts receivable	3,625		$ 2,969
Percentage of concentrations risk			100.00%
Sales [Member]
Concentration Risk [Line Items]
Total revenue	$ 5,770	$ 4,003
Percentage of concentrations risk	83.00%	78.00%
Sales [Member] | Customer 1 [Member]
Concentration Risk [Line Items]
Total revenue	$ 4,314	$ 3,026
Percentage of concentrations risk	62.00%	59.00%
Sales [Member] | Customer 2 [Member]
Concentration Risk [Line Items]
Total revenue	$ 479	$ 618
Percentage of concentrations risk	7.00%	12.00%
Sales [Member] | Customer 3 [Member]
Concentration Risk [Line Items]
Total revenue	$ 977	$ 359
Percentage of concentrations risk	14.00%	7.00%
Accounts Receivable [Member]
Concentration Risk [Line Items]
Total gross accounts receivable	$ 3,064		$ 2,352
Percentage of concentrations risk	84.00%		79.00%
Accounts Receivable [Member] | Customer 1 [Member]
Concentration Risk [Line Items]
Total gross accounts receivable	$ 2,074		$ 1,673
Percentage of concentrations risk	57.00%		56.00%
Accounts Receivable [Member] | Customer 3 [Member]
Concentration Risk [Line Items]
Total gross accounts receivable	$ 990		$ 679
Percentage of concentrations risk	27.00%		23.00%

NOTES RECEIVABLE (Details)

NOTES RECEIVABLE (Details) - USD ($)	1 Months Ended
	May 23, 2018	Sep. 20, 2017
Fineline Notes Receivable [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Aggregate purchase price	$ 310,000
Paid in cash	30,000
Debt instrument face amount	$ 280,000
Debt instrument term	5 years
Interest rate	4.00%
Periodic payment	$ 5,000
Gain on sale of assets	211,000
Note Receivable current	$ 39,000
Monogram Orthopaedics Inc. [Member] | 2,300,000 loan [Member] | New York limited liability company [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Interest rate		22.00%
Principal paid in cash		$ 1,150,000
Participation Percentage of loan		50.00%
Loan amount		$ 2,300,000
Start date of loan		Oct. 1, 2017
Debt instrument term		Borrower shall, in addition to the aforementioned monthly interest payments, pay installments of principal equal to 1/84th of the principal balance outstanding under the Loan as of September 30, 2018.

NOTES PAYABLE AND FINANCING T_2

NOTES PAYABLE AND FINANCING TRANSACTIONS (Details) - USD ($)	Oct. 02, 2018	Sep. 06, 2018	Apr. 19, 2017	Jul. 21, 2016	Sep. 30, 2018	Sep. 30, 2017	Sep. 23, 2018
Debt Instrument [Line Items]
Proceeds from loan					$ 5,000,000
Interest expense					$ 20,000	$ 2,000
Minnesota Bank & Trust [Member]
Debt Instrument [Line Items]
Debt instrument, origination fee		$ 60,000
Percentage of late payment fee					5.00%
Increased percentage of default late payment					3.00%
Minnesota Bank & Trust [Member] | Business Loan Agreement ("Revolving Loan Agreement") [Member]
Debt Instrument [Line Items]
Debt instrument, maturity date		Sep. 6, 2019
Debt instrument, face amount		$ 2,000,000
Interest rate		4.50%
Minnesota Bank & Trust [Member] | Business Loan Agreement ("Term Loan Agreement") [Member]
Debt Instrument [Line Items]
Debt instrument, maturity date		Oct. 1, 2025
Debt instrument, face amount		$ 5,000,000
Interest rate		5.53%
Debt instrument, periodic payment of principal and interest beginning November 1, 2018		$ 71,921
Minnesota Bank & Trust [Member] | Business Loan Agreement ("Term Loan Agreement") [Member] | Subsequent Event [Member]
Debt Instrument [Line Items]
Interest expense	$ 18,433
Farmers & Merchants Bank of Long Beach [Member] | Business Loan Agreement ("Revolving Loan Agreement") [Member]
Debt Instrument [Line Items]
Description of interest rate			Bore interest at prime plus 2 percent.
Debt instrument, maturity date			Mar. 28, 2019
Debt instrument, face amount			$ 500,000
Jules And Associates, Inc [Member] | Master Equipment Lease Agreement [Member]
Debt Instrument [Line Items]
Interim rent				$ 7,388
Cost of equipment				106,000
Amount of payment				$ 3,121
Duration of lease payment				36 months
Capital lease obligations							$ 33,000

COMMON STOCK (Details)

COMMON STOCK (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		11 Months Ended	12 Months Ended		61 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Dec. 31, 2017	Jun. 30, 2018	Jun. 30, 2017	Sep. 30, 2018	Sep. 30, 2013
Class of Stock [Line Items]
Shares repurchased during year, value	$ 1,115
Proceeds from sale of shares		$ 2,169
At The Market Offering Agreement [Member]
Class of Stock [Line Items]
Expiration date		Feb. 16, 2020
Number of shares sold		320,000	340,465		8,276
Proceeds from sale of shares		$ 2,169	$ 2,311		$ 48,000
Average share price		$ 6.99			$ 6.04
Fees paid to Ascendiant		$ 67	$ 72
Share Repurchase Program [Member] | 10b5-1 Plan [Member]
Class of Stock [Line Items]
Number of authorized shares to repurchase, shares							750,000
Share Repurchase Program [Member] | 10b5-1 Plan [Member] | Cumulative basis [Member]
Class of Stock [Line Items]
Shares repurchased during the year, number of shares						374,071
Shares repurchased during year, value						$ 2,300
Share Repurchase Program [Member] | 10b5-1 Plan [Member] | Plan Effective September 8, 2016 and December 8, 2016 [Member]
Class of Stock [Line Items]
Shares repurchased during the year, number of shares					63,496
Shares repurchased during year, value					$ 312
Share Repurchase Program [Member] | 10b5-1 Plan [Member] | Plan Effective March 14, 2018 [Member]
Class of Stock [Line Items]
Shares repurchased during the year, number of shares	101,418			33,026
Shares repurchased during year, value	$ 1,034			$ 220
Share Repurchase Program [Member] | 10b5-1 Plan [Member] | Plan Effective September 19, 2018 [Member]
Class of Stock [Line Items]
Shares repurchased during the year, number of shares	108,808
Shares repurchased during year, value	$ 1,100