Lakeland Industries (LAKE) 10-Q 9 Jun 20 2020 Q1 Quarterly report Financial data

Document And Entity Information

Document And Entity Information - shares	3 Months Ended
	Apr. 30, 2020	Jun. 05, 2020
Document And Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Apr. 30, 2020
Document Fiscal Year Focus	2020
Document Fiscal Period Focus	Q1
Entity Registrant Name	LAKELAND INDUSTRIES INC
Entity Central Index Key	0000798081
Current Fiscal Year End Date	--01-31
Entity Filer Category	Accelerated Filer
Is Entity's Reporting Status Current?	Yes
Entity Emerging Growth Company	false
Entity Small Business	true
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		7,976,275
Entity Interactive Data Current	Yes
Entity Incorporation State Country Code	DE
Entity File Number	0-15535

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) $ in Thousands	3 Months Ended
	Apr. 30, 2020	Apr. 30, 2019
Income Statement [Abstract]
Net sales	$ 45,582	$ 24,684
Cost of goods sold	23,438	17,130
Gross profit	22,144	7,554
Operating expenses	9,774	7,869
Operating profit (loss)	12,370	(315)
Other income (expense), net	6	(27)
Interest expense	(17)	(34)
Income (loss) before taxes	12,359	(376)
Income tax expense	3,725	89
Net income (loss)	$ 8,634	$ (465)
Net income (loss) per common share:
Basic	$ 1.08	$ (0.06)
Diluted	$ 1.07	$ (0.06)
Weighted average common shares outstanding:
Basic	7,972,423	8,013,840
Diluted	8,044,849	8,013,840

CONDENSED CONSOLIDATED STATEM_2

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands	3 Months Ended
	Apr. 30, 2020	Apr. 30, 2019
Statement of Comprehensive Income [Abstract]
Net income	$ 8,634	$ (465)
Other comprehensive loss:
Foreign currency translation adjustments	(289)	(69)
Comprehensive income (loss)	$ 8,345	$ (534)

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Apr. 30, 2020	Jan. 31, 2020
Current assets
Cash and cash equivalents	$ 23,473	$ 14,606
Accounts receivable, net of allowance for doubtful accounts of $647 and $497 at April 30, 2020 and January 31, 2020, respectively	25,074	17,702
Inventories	37,470	44,238
Prepaid VAT and other taxes	1,516	1,228
Other current assets	3,229	2,033
Total current assets	90,762	79,807
Property and equipment, net	9,847	10,113
Operating leases right-of-use assets	2,246	2,244
Deferred tax assets	3,625	5,939
Prepaid VAT and other taxes	292	333
Other assets	81	98
Goodwill	871	871
Total assets	107,724	99,405
Current liabilities
Accounts payable	6,119	7,204
Accrued compensation and benefits	2,020	1,300
Other accrued expenses	3,713	2,445
Current maturity of long-term debt	0	1,155
Short-term borrowings	139	0
Current portion of operating lease liabilities	925	835
Total current liabilities	12,916	12,939
Long-term portion of operating lease liabilities	1,268	1,414
Total liabilities	14,184	14,353
Commitments and contingencies
Stockholders' equity
Preferred stock, $0.01 par; authorized 1,500,000 shares (none issued)	0	0
Common stock, $0.01 par; authorized 20,000,000 shares Issued 8,485,517 and 8,481,665; outstanding 7,976,275 and 7,972,423 at April 30, 2020 and January 31, 2020, respectively	85	85
Treasury stock, at cost; 509,242 shares	(5,023)	(5,023)
Additional paid-in capital	75,314	75,171
Retained earnings	26,215	17,581
Accumulated other comprehensive loss	(3,051)	(2,762)
Total stockholders' equity	93,540	85,052
Total liabilities and stockholders' equity	$ 107,724	$ 99,405

CONDENSED CONSOLIDATED BALANC_2

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands	Apr. 30, 2020	Jan. 31, 2020
Statement of Financial Position [Abstract]
Allowance for doubtful accounts	$ 647	$ 497
Preferred stock, par value	$ .01	$ 0.01
Preferred stock, shares authorized	1,500,000	1,500,000
Preferred stock, shares issued	0	0
Common stock, par value	$ .01	$ 0.01
Common stock, shares authorized	20,000,000	20,000,000
Common stock, shares issued	8,485,517	7,976,275
Common stock, shares outstanding	8,481,665	7,972,423
Treasury stock, shares	509,242	509,242

CONSOLIDATED STATEMENTS OF STOC

CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($) $ in Thousands	Common Stock	Treasury Stock	Additional Paid-in Capital	Retained Earnings	Accumulated Other Comprehensive Loss	Total
Beginning balance, shares at Jan. 31, 2019	8,475,929	(462,089)
Beginning balance, amount at Jan. 31, 2019	$ 85	$ (4,517)	$ 75,612	$ 14,300	$ (2,252)	$ 83,228
Net income (loss)				(465)		(465)
Other comprehensive loss					(69)	(69)
Restricted stock plan, amount			201			201
Ending balance, shares at Apr. 30, 2019	8,475,929	(462,089)
Ending balance, amount at Apr. 30, 2019	$ 85	$ (4,517)	75,813	13,835	(2,321)	82,895
Beginning balance, shares at Jan. 31, 2020	8,481,665	(509,242)
Beginning balance, amount at Jan. 31, 2020	$ 85	$ 5,023	75,171	17,581	(2,762)	85,052
Net income (loss)				8,634		8,634
Other comprehensive loss					(289)	$ (289)
Restricted stock plan, shares	3,852					0
Restricted stock plan, amount			163			$ 163
Returned of shares in lieu of payroll tax withholding			(20)			(20)
Ending balance, shares at Apr. 30, 2020	8,485,517	(509,242)
Ending balance, amount at Apr. 30, 2020	$ 85	$ (5,023)	$ 75,314	$ 26,215	$ (3,051)	$ 93,540

CONDENSED CONSOLIDATED STATEM_3

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	3 Months Ended
	Apr. 30, 2020	Apr. 30, 2019
Cash flows from operating activities:
Net income	$ 8,634	$ (465)
Adjustments to reconcile net income to net cash used in operating activities
Provision for of doubtful accounts	150	105
Deferred income taxes	2,314	(158)
Depreciation and amortization	453	383
Stock based and restricted stock compensation	163	201
Loss on disposal of property and equipment	7	0
Non-cash operating lease expense	214	251
(Increase) decrease in operating assets
Accounts receivable	(7,589)	1,144
Inventories	6,656	(4,414)
Prepaid VAT and other taxes	(288)	127
Other current assets	(1,199)	(247)
Increase (decrease) in operating liabilities
Accounts payable	(1,008)	4,242
Accrued expenses and other liabilities	2,017	596
Operating lease liabilities	(271)	(251)
Net cash used in operating activities	10,253	1,514
Cash flows used in investing activities:
Purchases of property and equipment	(194)	(168)
Cash flows from financing activities:
Loan repayments, short-term	(1,181)	0
Loan borrowings, short-term	158	0
Loan repayments, long-term	0	(40)
UK borrowings (repayments) under line of credit facility, net	0	156
Shares returned to pay employee taxes under restricted stock program	(20)	0
Net cash provided by (used in) financing activities	(1,043)	116
Effect of exchange rate changes on cash and cash equivalents	(149)	(11)
Net decrease in cash and cash equivalents	8,867	1,451
Cash and cash equivalents at beginning of period	14,606	12,831
Cash and cash equivalents at end of period	23,473	14,282
Supplemental disclosure of cash flow information:
Cash paid for interest	17	34
Cash paid for taxes	861	276
Noncash investing and financing activities
Leased assets obtained in exchange for operating lease liabilities	$ 215	$ 2,486

Business

Business	3 Months Ended
	Apr. 30, 2020
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Business	Lakeland Industries, Inc. and Subsidiaries (“Lakeland,” the “Company,” “we,” “our” or “us”), a Delaware corporation organized in April 1986, manufacture and sell a comprehensive line of industrial protective clothing and accessories for the industrial and public protective clothing market. Our products are sold globally by our inhouse sales teams, our customer service group, and authorized independent sales representatives to a network of over 1,600 global safety and industrial supply distributors. Our authorized distributors supply end users, such as integrated oil, chemical/petrochemical, automobile, steel, glass, construction, smelting, cleanroom, janitorial, pharmaceutical, and high technology electronics manufacturers, as well as scientific, medical laboratories and the utilities industry. In addition, we supply federal, state and local governmental agencies and departments, such as fire and law enforcement, airport crash rescue units, the Department of Defense, the Department of Homeland Security and the Centers for Disease Control. Internationally, we sell to a mixture of end users directly, and to industrial distributors depending on the particular country and market. In addition to the United States, sales are made to more than 50 foreign countries, the majority of which were into China, the European Economic Community (“EEC”), Canada, Chile, Argentina, Russia, Kazakhstan, Colombia, Mexico, Ecuador, India and Southeast Asia.

Basis of Presentation

Basis of Presentation	3 Months Ended
	Apr. 30, 2020
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Presentation	The unaudited condensed consolidated financial statements included herein have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission, and reflect all adjustments (consisting of only normal and recurring adjustments) which are, in the opinion of management, necessary to present fairly the unaudited condensed consolidated financial information required herein. Certain information and note disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“US GAAP”) have been condensed or omitted pursuant to such rules and regulations. While we believe that the disclosures are adequate to make the information presented not misleading, it is suggested that these unaudited condensed consolidated financial statements be read in conjunction with the consolidated financial statements and the notes thereto included in our Annual Report on Form 10-K filed with the Securities and Exchange Commission for the fiscal year ended January 31, 2020. The results of operations for the three month period ended April 30, 2020 are not necessarily indicative of the results to be expected for the full year. In this Form 10-Q, (a) “FY means fiscal year; thus for example, FY21 refers to the fiscal year ending January 31, 2021, (b) “Q” refers to quarter; thus, for example, Q1 FY21 refers to the first quarter of the fiscal year ending January 31, 2021, (c) “Balance Sheet” refers to the unaudited condensed consolidated balance sheet and (d) “Statement of Operations” refers to unaudited condensed consolidated statement of operations.

Summary of Significant Accounti

Summary of Significant Accounting Policies	3 Months Ended
	Apr. 30, 2020
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	Principles of Consolidation The accompanying unaudited condensed consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries. All significant intercompany accounts and transactions have been eliminated. Use of Estimates and Assumptions The preparation of unaudited condensed consolidated financial statements in conformity with US GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the balance sheet date, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. It is reasonably possible that events could occur during the upcoming year that could change such estimates. Accounts Receivable, Net . Inventories Inventories include freight-in, materials, labor and overhead costs and are stated at the lower of cost (on a first-in, first-out basis) or net realized value. Impairment of Long-Lived Assets The Company evaluates the carrying value of long-lived assets to be held and used when events or changes in circumstances indicate the carrying value may not be recoverable. The Company measures any potential impairment on a projected undiscounted cash flow method. Estimating future cash flows requires the Company’s management to make projections that can differ materially from actual results. The carrying value of a long-lived asset is considered impaired when the total projected undiscounted cash flows from the asset is less than its carrying value. In that event, a loss is recognized based on the amount by which the carrying value exceeds the fair value of the long-lived asset. Revenue Recognition Substantially all the Company’s revenue is derived from product sales, which consist of sales of the Company’s personal protective wear products to distributors. The Company considers purchase orders to be a contract with a customer. Contracts with customers are considered to be short-term when the time between order confirmation and satisfaction of the performance obligations is equal to or less than one year, and virtually all of the Company’s contracts are short-term. The Company recognizes revenue for the transfer of promised goods to customers in an amount that reflects the consideration to which the Company expects to be entitled in exchange for those goods. The Company typically satisfies its performance obligations in contracts with customers upon shipment of the goods. Generally, payment is due from customers within 30 to 90 days of the invoice date, and the contracts do not have significant financing components. The Company elected to account for shipping and handling activities as a fulfillment cost rather than a separate performance obligation. Shipping and handling costs associated with outbound freight are included in operating expenses, and for the month ended April 30, 2020 and 2019, aggregated approximately $1.6 million and $0.8 million, respectively. Taxes collected from customers relating to product sales and remitted to governmental authorities are excluded from revenue. The transaction price includes estimates of variable consideration, related to rebates, allowances, and discounts that are reductions in revenue. All estimates are based on the Company's historical experience, anticipated performance, and the Company's best judgment at the time the estimate is made. Estimates for variable consideration are reassessed each reporting period and are included in the transaction price to the extent it is probable that a significant reversal of cumulative revenue recognized will not occur upon resolution of uncertainty associated with the variable consideration. All the Company’s contracts have a single performance obligation satisfied at a point in time and the transaction price is stated in the contract, usually as quantity times price per unit. The Company has seven revenue generating reportable geographic segments under ASC Topic 280 “Segment Reporting” and derives its sales primarily from its limited use/disposable protective clothing and secondarily from its sales of reflective clothing, high-end chemical protective suits, firefighting and heat protective apparel, reusable woven garments and gloves and arm guards. The Company believes disaggregation of revenue by geographic region best depicts the nature, amount, timing, and uncertainty of its revenue and cash flows (see table below). Net sales by geographic region and by product line are included below: Three Months Ended April 30, (in millions of dollars) 2020 2019 External Sales by region: USA $ 23.11 $ 12.87 Other foreign 2.30 0.78 Europe (UK) 3.01 2.39 Mexico 1.37 0.60 Asia 9.05 3.83 Canada 4.31 2.49 Latin America 2.43 1.72 Consolidated external sales $ 45.58 $ 24.68 Three Months Ended April 30, (in millions of dollars) 2020 2019 External Sales by product lines: Disposables $ 31.21 $ 12.36 Chemical 8.88 5.06 Fire 1.45 1.40 Gloves 0.78 0.75 High Visability 1.35 2.12 High Performance Wear 0.29 0.23 Wovens 1.62 2.76 Consolidated external sales $ 45.58 $ 24.68 Income Taxes The Company is required to estimate its income taxes in each of the jurisdictions in which it operates as part of preparing the unaudited condensed consolidated financial statements. This involves estimating the actual current tax in addition to assessing temporary differences resulting from differing treatments for tax and financial accounting purposes. These differences, together with net operating loss carryforwards and tax credits, are recorded as deferred tax assets or liabilities on the Company’s unaudited condensed consolidated balance sheet. A judgment must then be made of the likelihood that any deferred tax assets will be recovered from future taxable income. A valuation allowance may be required to reduce deferred tax assets to the amount that is more likely than not to be realized. In the event the Company determines that it may not be able to realize all or part of its deferred tax asset in the future, or that new estimates indicate that a previously recorded valuation allowance is no longer required, an adjustment to the deferred tax asset is charged or credited to income in the period of such determination. The Company recognizes tax positions that meet a “more likely than not” minimum recognition threshold. If necessary, the Company recognizes interest and penalties associated with tax matters as part of the income tax provision and would include accrued interest and penalties with the related tax liability in the unaudited condensed consolidated balance sheets. The Company does not have any uncertain tax positions at April 30, 2020 or January 31, 2020. Stock-Based Compensation The Company records the cost of stock-based compensation plans based on the fair value of the award on the grant date. For awards that contain a vesting provision, the cost is recognized over the requisite service period (generally the vesting period of the equity award) which approximates the performance period. For awards based on services already rendered, the cost is recognized immediately. Foreign Operations and Foreign Currency Translation The Company maintains manufacturing operations in Mexico, India, Argentina, Vietnam and the People’s Republic of China and can access independent contractors in China, Vietnam, Argentina and Mexico. It also maintains sales and distribution entities located in India, Canada, the U.K., Chile, China, Argentina, Russia, Kazakhstan, Uruguay and Mexico. The Company is vulnerable to currency risks in these countries. The functional currency for the United Kingdom subsidiary is the Euro; the trading company in China, the RMB; the Russian operation, the Russian Ruble, and the Kazakhstan operation the Kazakhstan Tenge. All other operations have the US dollar as its functional currency. Pursuant to US GAAP, assets and liabilities of the Company’s foreign operations with functional currencies, other than the US dollar, are translated at the exchange rate in effect at the balance sheet date, while revenues and expenses are translated at average rates prevailing during the periods. Translation adjustments are reported in accumulated other comprehensive loss, a separate component of stockholders’ equity. Cash flows are also translated at average translation rates for the periods, therefore, amounts reported on the consolidated statement of cash flows will not necessarily agree with changes in the corresponding balances on the consolidated balance sheet. Transaction gains and losses that arise from exchange rate fluctuations on transactions denominated in a currency other than the functional currency are included in the results of operations as incurred. Foreign currency transaction (loss) gain included in net income (loss) for the three months ended April 30, 2020 and 2019, were approximately $(0.1) million and $0.1 million, respectively. Fair Value of Financial Instruments US GAAP defines fair value, provides guidance for measuring fair value and requires certain disclosures utilizing a fair value hierarchy which is categorized into three levels based on the inputs to the valuation techniques used to measure fair value. The following is a brief description of those three levels: Level 1: Observable inputs such as quoted prices (unadjusted) in active markets for identical assets or liabilities. Level 2: Inputs other than quoted prices that are observable for the asset or liability, either directly or indirectly. These include quoted prices for similar assets or liabilities in active markets and quoted prices for identical or similar assets or liabilities in markets that are not active. Level 3: Unobservable inputs that reflect management’s own assumptions. The financial instruments of the Company classified as current assets or liabilities, including cash and cash equivalents, accounts receivable, short-term borrowings, borrowings under revolving credit facility, accounts payable and accrued expenses, are recorded at carrying value, which approximates fair value based on the short-term nature of these instruments. The Company believes that the fair values of its long-term debt approximates its carrying value based on the effective interest rate compared to the current market rate available to the Company. Net Income (loss) Per Share Net Income (loss) per share are based on the weighted average number of common shares outstanding without consideration of common stock equivalents. Diluted income (loss) per share are based on the weighted average number of common shares and common stock equivalents. The diluted income (loss) per share calculation takes into account unvested restricted shares and the shares that may be issued upon exercise of stock options, reduced by shares that may be repurchased with the funds received from the exercise, based on the average price during the fiscal period. Potentially dilutive securities are excluded from the computation of diluted loss per share since their effect would be antidilutive. Reclassifications Certain reclassifications have been made to the presentation of the segment data in the prior period consolidated financial statements to conform to the current period’s presentation. These reclassifications had no impact on the previously reported net loss. Recent Accounting Pronouncements The Company considers the applicability and impact of all accounting standards updates (“ASUs”). Management periodically reviews new accounting standards that are issued. New Accounting Pronouncements Recently Adopted In January 2017, the FASB issued ASU No. 2017-04, Intangibles-Goodwill and Other (Topic 350), which includes provisions, intended to simplify the test for goodwill impairment. The standard is effective for annual periods beginning after December 15, 2019, with early adoption permitted for interim or annual goodwill impairment tests performed on testing dates after January 1, 2017. The Company has adopted this guidance using prospective transition method, which had no material impact on its unaudited condensed consolidated financial statements and related disclosures. New Accounting Pronouncements Not Yet Adopted In December 2019, the FASB issued ASU 2019-12, Income Taxes (Topic 740), Simplying the Accounting for Income Taxes. The ASU removes certain exceptions for performing intra-period allocation and calculating income taxes in interim periods. It also simplifies the accounting for income taxes by requiring recognition of franchise tax partially based on income as an income-based tax, requiring reflection of enacted chages in tax laws in the interim period and making improvements for income taxes related to employee stock owernship plans. ASU 2019-12 is effective for fiscal years and interim periods within those years, beginning after December 15, 2020. Early adoption is permitted, including adoption in any interim period for which financial statements have not been issued. The Company is currently evaluating the impact the standard will have on its consolidated financial statements. No other recently issued accounting pronouncements had or are expected to have a material impact on the Company’s unaudited condensed consolidated financial statements.

Inventories

Inventories	3 Months Ended
	Apr. 30, 2020
Inventory Disclosure [Abstract]
Inventories	Inventories consist of the following (in $000s): April 30, 2020 January 31, 2020 Raw materials $ 16,417 $ 16,709 Work-in-process 959 670 Finished goods 20,094 26,859 $ 37,470 $ 44,238

Leases

Leases	3 Months Ended
	Apr. 30, 2020
Leases [Abstract]
Leases	We lease real property, equipment and certain automobiles. The Company made the accounting policy election to account for short-term leases as described herein. Leases with an initial term of 12 months or less are not recorded on the balance sheet; we recognize lease expense for these leases on a straight-line basis over the lease term. The Company determines if a contract contains a lease at inception. US GAAP requires that the Company’s leases be evaluated and classified as operating or finance leases for financial reporting purposes. The classification evaluation begins at the commencement date and the lease term used in the evaluation includes the non-cancellable period for which the Company has the right to use the underlying asset, together with renewal option periods when the exercise of the renewal option is reasonably certain and failure to exercise such option would result in an economic penalty. All of the Company’s real estate leases are classified as operating leases. Most of our real estate leases include one or more options to renew, with renewal terms that generally can extend the lease term for an additional four to five years. The exercise of lease renewal options is at the Company’s discretion. The Company evaluates renewal options at lease inception and on an ongoing basis, and includes renewal options that it is reasonably certain to exercise in its expected lease terms when classifying leases and measuring lease liabilities. Lease agreements generally do not require material variable lease payments, residual value guarantees or restrictive covenants. Leases recorded on the consolidated balance sheet consist of the following (in $000’s): Classification April 30, 2020 January 31, 2020 Assets Operating lease assets Operating lease right-of-use assets $ 2,246 $ 2,244 Liabilities Current Operating Current portion of operating lease liabilities $ 925 $ 835 Noncurrent Operating Long-term portion of operating lease liabilities 1,268 1,414 Total Lease Obligations $ 2,193 $ 2,249 Lease cost The components of lease expense are included on the unaudited condensed consolidated statement of operations as follows (in 000’s): Classification Three Months Ended April 30, 2020 Three Months Ended April 30, 2019 Operating lease cost Cost of goods sold $ 90 $ 145 Operating expenses $ 223 $ 119 Short-term lease cost $ 155 $ 36 Maturity of Lease Liabilities Maturity of lease liabilities as of April 30, 2020 was as follows (in $000’s): For the 12 months ended April 30, Operating Leases (a) 2021 $ 1,025 2022 769 2023 455 2024 22 2025 18 Thereafter 112 Total lease payments $ 2,401 Less: Interest (208 ) Present value of lease liability $ 2,193 (a) Operating lease payments include $72,042 related to options to extend lease terms that are reasonably certain of being exercised. Weighted-average lease terms and discount rates are as follows: Weighted-average remaining lease term (years) April 30, 2020 January 31, 2020 Operating leases 3.05 3.14 Weighted-average discount rate Operating leases 6.40 % 5.87 % Supplemental cash flow information related to leases for the three months ended April 30, 2020 were as follows (in 000’s): Cash paid for amounts included in the measurement of lease liabilities: Three Months Ended April 30, 2020 Three Months Ended April 30, 2019 Operating cash flows from operating leases $ 303 $ 264 Leased assets obtained in exchange for new operating lease liabilities $ 215 $ 2,486

Other Current Assets

Other Current Assets	3 Months Ended
	Apr. 30, 2020
Other Current Assets
Other Current Assets	As of April 30, 2020 and January 31, 2020, the Company’s other current assets were comprised of the following: April 30, 2020 January 31, 2020 Prepaid maintenance contracts $ 203 $ 144 Prepaid insurance 220 49 Prepaid material and supplies 2,103 1,313 UK factoring (due from HSBC) 367 113 Prepaid other 336 414 $ 3,229 $ 2,033

Other Accrued Expenses

Other Accrued Expenses	3 Months Ended
	Apr. 30, 2020
Accrued Liabilities and Other Liabilities [Abstract]
Other Accrued Expenses	As of April 30, 2020 and January 31, 2020, the Company’s other accrued expenses were comprised of the following: April 30, 2020 January 31, 2020 Other employee related costs, including employee benefits $ 169 $ 199 Freight expenses and material purchases 1,829 673 Professional fees 264 279 Sales commissions 150 234 Other vendor accruals 442 718 Income tax accrual 859 342 $ 3,713 $ 2,445

Long-Term Debt

Long-Term Debt	3 Months Ended
	Apr. 30, 2020
Long-term Debt, Unclassified [Abstract]
Long-term Debt	Revolving Credit Facility On May 10, 2017, the Company entered into a Loan Agreement (the “Loan Agreement”) with SunTrust Bank (“Lender”). The Loan Agreement provides the Company with a secured (i) $20.0 million revolving credit facility, which includes a $5.0 million letter of credit sub-facility, and (ii) $1,575,000 term loan with Lender. The Company may request from time to time an increase in the revolving credit loan commitment of up to $10.0 million (for a total commitment of up to $30.0 million). Borrowing pursuant to the revolving credit facility is subject to a borrowing base amount calculated as (a) 85% of eligible accounts receivable, as defined, plus (b) an inventory formula amount, as defined, minus (c) an amount equal to the greater of (i) $1,500,000 or (ii) 7.5% of the then current revolver commitment amount, minus (d) certain reserves as determined by the Loan Agreement. The credit facility which was to mature on May 10, 2020 was extended to August 10, 2020 (subject to earlier termination upon the occurrence of certain events of default as set forth in the Loan Agreement). Borrowings under the term loan and the revolving credit facility bear interest at an interest rate determined by reference whether the loan is a base rate loan or Eurodollar loan, with the rate election made by the Company at the time of the borrowing or at any time the Company elects pursuant to the terms of the Loan Agreement. The term loan is payable in equal monthly principal installments of $13,125 each, beginning on June 1, 2017, and on the first day of each succeeding month, with a final payment of the remaining principal and interest on May 10, 2020 (subject to earlier termination as provided in the Loan Agreement). For that portion of the term loan that consists of Eurodollar loans, the term loan shall bear interest at the LIBOR Market Index Rate (“LIBOR”) plus 2.0% per annum, and for that portion of the term loan that consists of base rate loans, the term loan shall bear interest at the base rate then in effect plus 1.0% per annum. All principal and unpaid accrued interest under the revolving credit facility shall be due and payable on the maturity date of the revolver. For that portion of the revolver loan that consists of Eurodollar loans, the revolver shall bear interest at LIBOR plus a margin rate of 1.75% per annum for the first nine months and thereafter between 1.5% and 2.0%, depending on the Company’s “availability calculation” (as defined in the Loan Agreement) and, for that portion of the revolver that consists of base rate loans, the revolver shall bear interest at the base rate then in effect plus a margin rate of 0.75% per annum for the first nine months and thereafter between 0.50% and 1.0%, depending on the availability calculation. As of the closing, the Company elected all borrowings under the Loan Agreement to accrue interest at LIBOR which, as of that date, was 0.99500%. As such, the initial rate of interest for the revolver was 2.745% per annum and the initial rate of interest for the term loan was 2.995% per annum. At April 30, 2020 and January 31, 2020, the rate of interest on the revolver was 2.5% and 3.8% per annum, respectively, and the rate of interest on the term loan was 3.0% and 3.3% per annum, respectively. The Loan Agreement provides for payment of an unused line fee of between 0.25% and 0.50%, depending on the amount by which the revolving credit loan commitment exceeds the amount of the revolving credit loans outstanding (including letters of credit), which shall be payable monthly in arrears on the average daily unused portion of the revolver. In connection with the Loan Agreement, the Company entered into a security agreement, dated May 10, 2017, with Lender pursuant to which the Company granted to Lender a first priority perfected security interest in substantially all real and personal property of the Company. The Company agreed to maintain a minimum “fixed charge coverage ratio” (as defined in the Loan Agreement) as of the end of each fiscal quarter, commencing with the fiscal quarter ended October 31, 2017, of not less than 1.10 to 1.00 during the applicable fiscal quarter, and agreed to certain negative covenants that are customary for credit arrangements of this type, including restrictions on the Company’s ability to enter into mergers, acquisitions or other business combination transactions, conduct its business, grant liens, make certain investments, incur additional indebtedness, and make stock repurchases. At April 30, 2020 and January 31, 2020 the Company was in compliance with all provisions in the loan agreement. As of April 30, 2020 and January 31, 2020, the Company had no borrowings outstanding on the letter of credit sub-facility and no borrowings outstanding under the revolving credit facility. With respect to the term loan, the Company had no borrowings outstanding on April 30, 2020 and $1.2 million outstanding on January 31, 2020. On April 10, 2020, the Company prepaid the outstanding balance on the term loan. The Company is currently negotiating with another prospective lender to provide a revolving credit facility agreement which would replace the existing agreement with SunTrust. Borrowings in UK On December 31, 2014, the Company and Lakeland Industries Europe, Ltd, (“Lakeland UK”), a wholly owned subsidiary of the Company, amended the terms of its existing line of credit facility with HSBC Bank to provide for (i) a one-year extension of the maturity date of the existing financing facility to December 19, 2016, (ii) an increase in the facility limit from £1,250,000 (approximately USD $1.9 million, based on exchange rates at time of closing) to £1,500,000 (approximately USD $2.3 million, based on exchange rates at time of closing), and (iii) a decrease in the annual interest rate margin from 3.46% to 3.0%. In addition, pursuant to a letter agreement dated December 5, 2014, the Company agreed that £400,000 (approximately USD $0.6 million, based on exchange rates at time of closing) of the note payable by the UK subsidiary to the Company shall be subordinated in priority of payment to the subsidiary’s obligations to HSBC under the financing facility. On December 31, 2016, Lakeland UK entered into an extension of the maturity date of its existing facility with HSBC Invoice Finance (UK) Ltd. to December 19, 2017. Other than the extension of the maturity date and a small reduction of the service charge from 0.9% to 0.85%, all other terms of the facility remained the same. On December 4, 2017 the facility was extended to March 31, 2018 for the next review period. On March 9, 2019 the facility was extended to March 31, 2020 and on March 6, 2020 further extended to March 31, 2021 with no additional changes to the terms. There were no borrowings outstanding under this facility at either April 30, 2020 or April 30, 2019. The amounts due from HSBC of USD $0.4 million and USD $0.1 million as of April 30, 2020 and January 31, 2020, respectively, is included in other current assets on the accompanying consolidated balance sheets. Borrowing in Argentina On March 20, 2020 Lakeland Argentina and AP Partners entered into an agreement for Lakeland Argetnina to obtain a loan in the amount of ARS $10 million (approximately USD $158k, based on exchange rates at time of closing); such loan is for a term of one year at an interest rate of 30% per annum. The amount outstanding at April 30, 2020 was ARS $9.3 million (approximately USD $139k which is shown as short-term borrowings on the consolidated balance sheet). Below is a table to summarize the debt amounts above (in 000’s): Short-Term Long-Term Current Maturity of Long-Term April 30, 2020 January 31, 2020 April 30, 2020 January 31, 2020 April 30, 2020 January 31, 2020 U.S $ ----- $ ----- $ ----- $ ----- $ ----- $ 1,155 Argentina 139 ----- ----- ----- ----- ------ Totals $ 139 $ ----- $ ----- $ ----- $ ----- $ 1,155

Concentration of Risk

Concentration of Risk	3 Months Ended
	Apr. 30, 2020
Risks and Uncertainties [Abstract]
Credit Risk	Credit Risk Financial instruments, which potentially subject the Company to concentration of credit risk, consist principally of cash and cash equivalents, and trade receivables. Concentration of credit risk with respect to trade receivables is generally diversified due to the large number of entities comprising the Company’s customer base and their dispersion across geographic areas principally within the United States. The Company routinely addresses the financial strength of its customers and, as a consequence, believes that its receivable credit risk exposure is limited. The Company does not require customers to post collateral. The Company’s foreign financial depositories are Bank of America; China Construction Bank; Bank of China; China Industrial and Commercial Bank; HSBC (UK); Rural Credit Cooperative of Shandong; Postal Savings Bank of China; Punjab National Bank; HSBC in India, Argentina and UK; Raymond James in Argentina; TD Canada Trust; Banco Itaú S.A., Banco Credito Inversione in Chile; Banco Mercantil Del Norte SA in Mexico; ZAO KB Citibank Moscow in Russia, and JSC Bank Centercredit in Kazakhstan. The Company monitors its financial depositories by their credit rating which varies by country. In addition, cash balances in banks in the United States of America are insured by the Federal Deposit Insurance Corporation subject to certain limitations. There is approximately $3.6 million total included in the US bank accounts and approximately $19.9 million total in foreign bank accounts as of April 30, 2020, of which $22.8 million was uninsured. Major Customer No customer accounted for more than 10% of net sales during the three month periods ended April 30, 2020 and 2019. Major Supplier No supplier accounted for more than 10% of purchases during the three month periods ended April 30, 2020 and 2019.

Stockholders' Equity

Stockholders' Equity	3 Months Ended
	Apr. 30, 2020
Stockholders' equity
Stockholders' Equity	The 2017 Stock Plan On June 21, 2017, the stockholders of the Company approved the Lakeland Industries, Inc. 2017 Equity Incentive Plan (the “2017 Plan”) at the Annual Meeting of Stockholders. The executive officers and all other employees and directors of the Company, including its subsidiaries, are eligible to participate in the 2017 Plan. The 2017 Plan is administered by the Compensation Committee of the Board of Directors (the “Committee”), except that with respect to all non-employee directors, the Committee shall be deemed to include the full Board. The 2017 Plan provides for the grant of equity-based compensation in the form of stock options, restricted stock, restricted stock units, performance shares, performance units, or stock appreciation rights (“SARS”). The Committee has the authority to determine the type of award, as well as the amount, terms and conditions of each award, under the 2017 Plan, subject to the limitations and other provisions of the 2017 Plan. An aggregate of 360,000 shares of the Company’s common stock are authorized for issuance under the 2017 Plan, subject to adjustment as provided in the 2017 Plan for stock splits, dividends, distributions, recapitalizations and other similar transactions or events. If any shares subject to an award are forfeited, expire, lapse or otherwise terminate without issuance of such shares, such shares shall, to the extent of such forfeiture, expiration, lapse or termination, again be available for issuance under the 2017 Plan. The following tables summarize the unvested shares granted on June 7, 2018, December 4, 2019 and April 9, 2020 which have been made under the 2017 Plan. Granted June 7, 2018 Number of shares awarded total Minimum Target Maximum Cap Employees 17,834 26,753 35,670 42,805 Non-Employee Directors 7,168 10,752 14,336 17,204 Total 25,002 37,505 50,006 60,009 Value at grant date Minimum Target Maximum Cap Employees $ 248,800 $ 373,200 $ 497,600 $ 597,120 Non-Employee Directors 100,000 150,000 200,000 240,000 Total $ 348,800 $ 523,200 $ 697,600 $ 837,120 Granted December 4, 2019 and April 9, 2020 Number of shares awarded total Minimum Target Maximum Employees 78,004 120,006 144,009 Non-Employee Directors 27,664 42,560 51,072 Total 105,668 162,566 195,081 Value at grant date Minimum Target Maximum Employees $ 943,570 $ 1,451,600 $ 1,741,920 Non-Employee Directors 338,000 520,000 624,000 Total $ 1,281,570 $ 1,971,600 $ 2,365,920 The Company recognized total stock-based compensation costs, which are reflected in operating expenses: Three Months Ended April 30, 2020 2019 2017 Plan: Restricted Stock Program $ 149,539 $ 201,829 Stock Options 14,347 ----- $ 163,886 $ 201,829 Stock appreciation rights ----- (121 ) Total stock-based compensation $ 163,886 $ 201,708 Total income tax benefit recognized for stock-based compensation arrangement $ 34,416 $ 42,359 Restricted Stock Units Under the 2017 Plan, as described above, the Company awarded performance-based and service based restricted stock units to eligible employees and directors. The following table summarizes the activity under the 2017 Plan for the quarter ended April 30, 2020. This table reflects the amount of awards granted at the maximum number of shares that would be issued if the Company were to achieve the maximum performance level under the December 2019 and April 2020 grants. Performance-Based Service-Based Total Weighted Average Grant Date Fair Value Outstanding at January 31, 2020 109,234 9,930 119,164 $ 10.33 Awarded 69,591 6,326 75,917 $ 14.95 Vested ----- ----- ----- ----- Forfeited ----- ----- ----- ----- Outstanding at April 30, 2020 178,825 16,256 195,081 $ 12.13 The actual number of shares of Common Stock, if any, to be earned by the award recipient is determined over the three year performance measurement periods based on measures that include revenue growth, EBITDA margin, and free cash flow, retention and Board discretion for the December 4, 2019 and April 9, 2020 grants. The performance targets have been set for each of the Minimum, Target, and Maximum levels.The actual performance amount achieved is determined by the Board and may be adjusted for items determined to be unusual in nature or infrequent in occurrence, at the discretion of the Board. The compensation cost is based on the fair value at the grant date, is recognized over the requisite performance/service period using the straight-line method, and is periodically adjusted for the probable number of shares to be awarded. The Company is recognizing expense related to the December 2019 and April 2020 grants under the 2017 Plan at Target, and these expenses were approximately $140,000 for the quarter ended April 30, 2020. As of April 30, 2020, unrecognized stock-based compensation expense totaled $1,665,000 pursuant to the 2017 Plan based on outstanding awards under the Plan. This expense is expected to be recognized over of the next 2.75 years. The following table reflects the amount of awards granted at the maximum number of shares that would be issued if the Company were to achieve the maximum performance level in relation to the June 2018 grants. Shares issued under 2017 Plan Outstanding Unvested Grants at Maximum at Beginning of FY21 Granted during FY21 Becoming Vested during FY21 Forfeited during FY21 Outstanding Unvested Grants at Maximum at End of April 30, FY21 Restricted stock grants – employees 35,670 ----- ----- ----- 35,670 Restricted stock grants – non-employee directors 14,336 ----- ----- ----- 14,336 Total restricted stock 50,006 ----- ----- ----- 50,006 Weighted average grant date fair value $ 13.95 $ ----- $ ----- $ ----- $ 13.95 The actual number of shares of common stock of the Company, if any, to be earned by the award recipients is determined over a three year performance measurement period based on measures that include Earnings Before Interest Taxes Depreciation and Amoritzation (“EBITDA”). As of April 30, 2020, based on actual performance to date, it was deemed improbable that the Company would meet the minimum performance level required for the June 7, 2018 grants to vest. Stock Options During the year ended January 31, 2020 a stock option was granted pursuant to the Company’s 2017 Equity Incentive Plan in the amount of 24,900 shares at an exercise price of $11.17 per share. Such shares will vest at 8,300 shares on each of August 12, 2020, August 12, 2021 and August 12, 2022. The following table represents stock options granted, exercised and forfeited during the period. Stock Options Number of Shares Weighted Average Exercise Price per Share Weighted Average Remaining Contractual Term (in years) Aggregate Intrinsic Value Outstanding at January 31, 2020 24,900 $ 11.17 9.53 $ ----- Granted ----- ----- ----- ----- Outstanding at April 30, 2020 24,900 $ 11.17 9.29 ----- Exercisable at April 30, 2020 ----- $ ----- ----- $ ----- The Company recognized approximately $14,000 of stock-based compensation expense during the quarter ended April 30, 2020 associated with the grant of the stock option. As of April 30, 2020 there is approximately $133,000 of unrecognized stock-based compensation expense. Other Compensation Plans/Programs Pursuant to the Company’s restricted stock program, all directors are eligible to elect to receive any director fees in shares of restricted stock in lieu of cash. Such restricted shares are subject to a two-year vesting period. The valuation is based on the stock price at the grant date and is amortized to expense over the two-year period, which approximates the performance period. Since the director is giving up cash for unvested shares, and is subject to a vesting requirement, the amount of shares awarded is 133% of the cash amount based on the grant date stock price. As of April 30, 2020, unrecognized stock-based compensation expense related to these restricted stock awards totaled $20,548 for the 2017 Plan. The cost of these non-vested awards is expected to be recognized over a two-year weighted-average period. In addition, as of April 30, 2020, the Company issued 3,852 shares and has granted awards for up to an aggregate of 19,439 shares under the 2017 Plan. Stock Repurchase Program On July 19, 2016, the Company’s board of directors approved a stock repurchase program under which the Company may repurchase up to $2,500,000 of its outstanding common stock. During the quarter ended April 30, 2020, the Company did not repurchase any shares of its common stock. The Company has repurchased 152,801 shares of stock under this program as of April 30, 2020 for $1,671,188 inclusive, of commissions.

Income Taxes

Income Taxes	3 Months Ended
	Apr. 30, 2020
Income Tax Disclosure [Abstract]
Income Taxes	Deferred Taxes and Valuation Allowance The Company records net deferred tax assets to the extent the Company believes these assets will more likely than not be realized. The valuation allowance was $1.3 million at April 30, 2020 and January 31, 2020. The federal net operating loss (“NOL”) carryforwards as of April 30, 2020 were approximately $6.6 million before tax effects. If not utilized, the NOL generated from the 1/31/2015 tax year will expire after 1/31/2035, and the NOL generated after 01/31/2018 will be carried forward indefintley. The state net opering loss (“NOL”) carryforwards as of April 30, 2020 were approximately $22.6 million before tax effects. The state NOLs with carry forward limitations will begin to expire after 1/31/2025 and will continue to expire at various periods up until 1/31/2039 when they will be fully expired. The states have a larger spread because some only carryforward for 10 years and some allow 20 years. The Georgia NOLs generated after 1/31/2018 can be carried forward indefinitely. Tax Reform On December 22, 2017, new federal tax reform legislation was enacted in the United States, resulting in significant changes from previous tax law. The 2017 Tax Cuts and Jobs Act (the Tax Act) reduced the federal corporate income tax rate to 21% from 35% effective January 1, 2018. The Tax Act requires us to recognize the effect of the tax law changes in the period of enactment, such as determining the transition tax, re-measuring our US deferred tax assets as well as reassessing the net realizability of our deferred tax assets. The Company completed this re-measurement and reassessment in FY18. While the Tax Act provides for a modified territorial tax system, beginning in 2018, it includes two new U.S. tax base erosion provisions, the global intangible low-taxed income (“GILTI”) provisions and the base-erosion and anti-abuse tax (“BEAT”) provisions. The GILTI provisions require the Company to include in its U.S. income tax return foreign subsidiary earnings in excess of an allowable return on the foreign subsidiary’s tangible assets. The regulations were finalized as of June 14, 2019 and reassessment of the GILTI tax as it is currently written resulted in a charge to tax expense of $1.2 and $0.1 million for the three months ended April 30, 2020 and 2019, respectively. The Company intends to account for the GILTI tax in the period in which it is incurred. Though this non-cash expense (due to use of existing NOLs) has a materially negative impact on earnings, the Tax Act also changes the taxation of foreign earnings, and companies generally will not be subject to United States federal income taxes upon the receipt of dividends from foreign subsidiaries. The BEAT provisions in the Tax Act pertain to companies with average annual gross receipts of $500 million for the prior 3-year period and eliminate the deduction of certain base-erosion payments made to related foreign corporations and impose a minimum tax if greater than regular tax. Based on current guidelines the Company does not expect the BEAT provision to have an impact on U.S. tax expense. We previously considered substantially all of the earnings in our non-U.S. subsidiaries to be indefinitely reinvested outside the U.S. and, accordingly, recorded no deferred income taxes on such earnings. At this time, the applicable provisions of the Tax Act have been fully analyzed and our intention with respect to unremitted foreign earnings is to continue to indefinitely reinvest outside the U.S. those earnings needed for working capital or additional foreign investment. As stated above, GILTI is recognized in the period it is incurred and is not considered with regard to deferred income tax on unremitted earnings and profits. All international subsidiaries are impacted by GILTI calculation. Income Tax Expense Income tax expenses consist of federal, state and foreign income taxes. Items impacting the effective rate are foreign income subject to US tax (including Tax Reform impacts), tax rates in foreign jurisdictions, US state income taxes, tax deductions for restricted stock vesting, company borrowing structures, and other permanent tax differences.

Net Income (Loss) Per Share

Net Income (Loss) Per Share	3 Months Ended
	Apr. 30, 2020
Net income (loss) per common share:
Net Income (Loss) Per Share	The following table sets forth the computation of basic and diluted net income (loss) per share at April 30, 2020 and 2019 as follows: Three Months Ended April 30, (in $000s except share and per share information) 2020 2019 Numerator: Net income (loss) $ 8,634 $ (465 ) Denominator: Denominator for basic net income (loss) per share (weighted-average shares which reflect shares in the treasury, 509,242 at April 30, 2020 and 462,089 for April 30, 2019 7,972,423 8,013,840 Effect of dilutive securities from restricted stock plan and from dilutive effect of warrants 72,426 ----- Denominator for diluted net income (loss) per share (adjusted weighted average shares) 8,044,849 8,013,840 Basic net income (loss) per share $ 1.08 $ (0.06 ) Diluted net income (loss) per share $ 1.07 $ (0.06 ) Warrants and restricted stock awards excluded from the computation of diluted loss per share because the effect of inclusion would have been anti-dilutive. ----- 196,340

Contingencies

Contingencies	3 Months Ended
	Apr. 30, 2020
Commitments and Contingencies Disclosure [Abstract]
Contingencies	Labor and other contingencies in Brazil As disclosed in our periodic filings with the SEC, we agreed to make certain payments in connection with ongoing labor litigation involving our former Brazilian subsidiary. While the vast majority of these labor suits have been resolved, there are labor cases that remain active and a civil case filed by a former officer of our former Brazilian subsidiary, in which Lakeland was named as a co-defendant. The first case was initially filed in 2010 claiming USD $100,000 owed to plaintiff. This case is on its final appeal to the Brazilian Supreme Court, having already been ruled upon in favor of Lakeland three (3) times, most recently by the Labor Court Supreme Court. The claimant having lost three times previously, management firmly believes that Lakeland will continue to prevail in this case. A second case filed against Lakeland by a former officer of Lakeland Brazil , was filed in Labor court in 2014 claiming Lakeland owed USD $300,000. The Labor court ruled that the claimant’s case was outside of the scope of the Labor court and the case was dismissed. The claimant is appealing within the Labor court system. A third case filed by a former Lakeland Brazil manager in 2014 was ruled upon in civil court and awarded the claimant USD $100,000. Both the claimant and Lakeland have appealed this decision. In the last case a former officer of our former Brazilian subsidiary filed a claim seeking approximately USD $700,000 that he alleges is due to him against an unpaid promissory note. Lakeland has not been served with process and no decision on the merits has been issued in this case yet. Management firmly believes these claims to be without any merit and does not anticipate a negative outcome resulting in significant expense to us. Lakeland Brazil may face new labor lawsuits in the short term as a result of the shutdown of its operations in March 2019. The Company has no obligation under the Shares Transfer Agreement to make any additional payments in connection with these potential new labor lawsuits. The Company also understands that under the labor laws of Brazil, a parent company may be held liable for the labor liabilities of a former Brazilian subsidiary in the case of fraud, misconduct, or under various theories. Although the Company would have the right of adversary system, full defense and due process in case of a potential litigation, there can be no assurance as to the findings of the courts of Brazil. There are additional cases in Labor and Civil courts against Lakeland Brazil in which Lakeland is not a party, and other outstanding monetary allegations of Lakeland Brazil. The Company has provided for professional fees and litigation reserves associated with potential residual labor claims in Brazil. The accrual on the balance sheet at April 30, 2020 and January 31, 2020 is $0.2 million, respectively. General litigation contingencies The Company is involved in various litigation proceedings arising during the normal course of business which, in the opinion of the management of the Company, will not have a material effect on the Company’s financial position, results of operations or cash flows; however, there can be no assurance as to the ultimate outcome of these matters. As of April 30, 2020, to the best of the Company’s knowledge, there were no outstanding claims or litigation, except for the labor contingencies in Brazil described above.

Segment Reporting

Segment Reporting	3 Months Ended
	Apr. 30, 2020
Segment Reporting [Abstract]
Segment Reporting	Domestic and international sales from continuing operations are as follows in millions of dollars: Three Months Ended April 30, 2020 2019 Domestic $ 23.11 50.70 % $ 12.87 52.12 % International $ 22.47 49.30 % 11.81 47.88 % Total $ 45.58 100.00 % $ 24.68 100.00 % We manage our operations by evaluating each of our geographic locations. Our US operations include a facility in Alabama (primarily the distribution to customers of the bulk of our products and the light manufacturing of our chemical, wovens, reflective, and fire products). The Company also maintains one manufacturing company in China (primarily disposable and chemical suit production), a manufacturing facility in Mexico (primarily disposable, reflective, fire and chemical suit production), a manufacturing facility in Vietnam (primarily disposable production) and a small manufacturing facility in India. Our China facilities produce the majority of the Company’s products and China generates a significant portion of the Company’s international revenues. We evaluate the performance of these entities based on operating profit, which is defined as income before income taxes, interest expense and other income and expenses. We have sales forces in the USA, Canada, Mexico, Europe, Latin America, India, Russia, Kazakhstan, Australia and China, which sell and distribute products shipped from the United States, Mexico, India or China. The table below represents information about reported segments for the years noted therein: The table below represents information about reported segments for the years noted therein: Three Months Ended April 30, (in millions of dollars) 2020 2019 Net Sales: USA Operations (including Corporate) $ 24.13 $ 13.90 Other foreign 3.04 1.36 Europe (UK) 3.01 2.39 Mexico 1.82 0.90 Asia 20.02 13.18 Canada 4.31 2.50 Latin America 2.54 1.74 Less intersegment sales (13.29 ) (11.29 ) Consolidated sales $ 45.58 $ 24.68 External Sales: USA Operations (including Corporate) $ 23.11 $ 12.87 Other foreign 2.30 0.78 Europe (UK) 3.01 2.39 Mexico 1.37 0.60 Asia 9.05 3.83 Canada 4.31 2.49 Latin America 2.43 1.72 Consolidated external sales $ 45.58 $ 24.68 Intersegment Sales: USA Operations (including Corporate) $ 1.02 $ 1.03 Other foreign 0.74 0.58 Mexico 0.45 0.30 Asia 10.97 9.35 Canada ----- 0.01 Latin America 0.11 0.02 Consolidated intersegment sales $ 13.29 $ 11.29 Three Months Ended April 30, (in millions of dollars) 2020 2019 Operating Profit (Loss): USA Operations (including Corporate) $ 4.33 $ (1.12 ) Other foreign 1.23 0.14 Europe (UK) 0.46 0.01 Mexico 0.22 (0.18 ) Asia 4.51 0.23 Canada 1.13 0.25 Latin America 0.57 0.24 Less intersegment profit (0.08 ) 0.11 Consolidated operating profit (loss) $ 12.37 $ (0.32 ) Depreciation and Amortization Expense: USA Operations(including Corporate) $ 0.22 $ 0.21 Other foreign 0.01 (0.01 ) Mexico 0.04 0.04 Asia 0.18 0.14 Canada 0.02 ----- Latin America 0.01 0.01 Less intersegment (0.03 ) (0.01 ) Consolidated depreciation & amortization expense $ 0.45 $ 0.38 Interest Expense: USA Operations (including Corporate) $ 0.01 $ 0.01 Latin America 0.01 0.02 Consolidated interest expense $ 0.02 $ 0.03 Income Tax Expense: USA Operations (including Corporate) $ 2.28 $ (0.13 ) Other foreign 0.01 ----- Europe (UK) 0.08 ----- Asia 0.90 0.15 Canada 0.31 0.04 Latin America 0.16 0.01 Less intersegment (0.01 ) 0.02 Consolidated income tax expense $ 3.73 $ 0.09 April 30, 2020 January 31, 2020 (in millions of dollars) Total Assets: * USA Operations (including Corporate) $ 84.26 $ 88.08 Other foreign 2.60 1.61 Europe (UK) 4.83 4.52 Mexico 5.45 5.00 Asia 46.80 44.30 Canada 6.38 6.09 Latin America 6.27 5.77 Less intersegment (48.87 ) (55.96 ) Consolidated assets $ 107.72 $ 99.41 Total Assets Less Intersegment:* USA Operations (including Corporate) $ 47.42 $ 49.94 Other foreign 4.59 3.33 Europe (UK) 4.83 4.52 Mexico 5.58 5.16 Asia 32.83 24.73 Canada 6.37 6.07 Latin America 6.10 5.66 Consolidated assets $ 107.72 $ 99.41 Property and Equipment: USA Operations (including Corporate) $ 3.17 $ 3.32 Other foreign 0.18 0.15 Europe (UK) 0.01 0.01 Mexico 2.13 2.17 Asia 3.11 3.19 Canada 1.14 1.15 Latin America 0.03 0.04 Less intersegment 0.08 0.08 Consolidated long-lived assets $ 9.85 $ 10.11 Capital Expenditures: USA Operations (including Coprorate) $ 0.06 $ 0.25 Other foreign 0.02 0.01 Europe (UK) ----- 0.01 Mexico ----- 0.17 Asia 0.11 0.58 Canada ----- ----- Latin America ----- 0.01 Consolidated capital expenditure $ 0.19 $ 1.03 Goodwill: USA Operations $ 0.87 $ 0.87 Consolidated goodwill $ 0.87 $ 0.87 * Negative assets reflect intersegment amounts eliminated in consolidation

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	3 Months Ended
	Apr. 30, 2020
Accounting Policies [Abstract]
Principles of Consolidation	The accompanying unaudited condensed consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries. All significant intercompany accounts and transactions have been eliminated.
Use of Estimates and Assumptions	The preparation of unaudited condensed consolidated financial statements in conformity with US GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the balance sheet date, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. It is reasonably possible that events could occur during the upcoming year that could change such estimates.
Accounts Receivable, net	Trade accounts receivable are stated at the amount the Company expects to collect. The Company maintains allowances for doubtful accounts for estimated losses resulting from the inability of its customers to make required payments. The Company recognizes losses when information available indicates that it is probable that a receivable has been impaired based on criteria noted below at the date of the unaudited condensed consolidated financial statements, and the amount of the loss can be reasonably estimated. Management considers the following factors when determining the collectability of specific customer accounts: Customer creditworthiness, past transaction history with the customers, current economic industry trends and changes in customer payment terms. Past due balances over 90 days and other less creditworthy accounts are reviewed individually for collectability. If the financial condition of the Company’s customers were to deteriorate, adversely affecting their ability to make payments, additional allowances would be required. Based on management’s assessment, the Company provides for estimated uncollectible amounts through a charge to earnings and a credit to a valuation allowance. Balances that remain outstanding after the Company has used reasonable collection efforts are written off through a charge to the valuation allowance and a credit to accounts receivable.
Inventories	Inventories include freight-in, materials, labor and overhead costs and are stated at the lower of cost (on a first-in, first-out basis) or net realized value.
Impairment of Long-Lived Assets	The Company evaluates the carrying value of long-lived assets to be held and used when events or changes in circumstances indicate the carrying value may not be recoverable. The Company measures any potential impairment on a projected undiscounted cash flow method. Estimating future cash flows requires the Company’s management to make projections that can differ materially from actual results. The carrying value of a long-lived asset is considered impaired when the total projected undiscounted cash flows from the asset is less than its carrying value. In that event, a loss is recognized based on the amount by which the carrying value exceeds the fair value of the long-lived asset.
Revenue Recognition	Substantially all the Company’s revenue is derived from product sales, which consist of sales of the Company’s personal protective wear products to distributors. The Company considers purchase orders to be a contract with a customer. Contracts with customers are considered to be short-term when the time between order confirmation and satisfaction of the performance obligations is equal to or less than one year, and virtually all of the Company’s contracts are short-term. The Company recognizes revenue for the transfer of promised goods to customers in an amount that reflects the consideration to which the Company expects to be entitled in exchange for those goods. The Company typically satisfies its performance obligations in contracts with customers upon shipment of the goods. Generally, payment is due from customers within 30 to 90 days of the invoice date, and the contracts do not have significant financing components. The Company elected to account for shipping and handling activities as a fulfillment cost rather than a separate performance obligation. Shipping and handling costs associated with outbound freight are included in operating expenses, and for the month ended April 30, 2020 and 2019, aggregated approximately $1.6 million and $0.8 million, respectively. Taxes collected from customers relating to product sales and remitted to governmental authorities are excluded from revenue. The transaction price includes estimates of variable consideration, related to rebates, allowances, and discounts that are reductions in revenue. All estimates are based on the Company's historical experience, anticipated performance, and the Company's best judgment at the time the estimate is made. Estimates for variable consideration are reassessed each reporting period and are included in the transaction price to the extent it is probable that a significant reversal of cumulative revenue recognized will not occur upon resolution of uncertainty associated with the variable consideration. All the Company’s contracts have a single performance obligation satisfied at a point in time and the transaction price is stated in the contract, usually as quantity times price per unit. The Company has seven revenue generating reportable geographic segments under ASC Topic 280 “Segment Reporting” and derives its sales primarily from its limited use/disposable protective clothing and secondarily from its sales of reflective clothing, high-end chemical protective suits, firefighting and heat protective apparel, reusable woven garments and gloves and arm guards. The Company believes disaggregation of revenue by geographic region best depicts the nature, amount, timing, and uncertainty of its revenue and cash flows (see table below). Net sales by geographic region and by product line are included below: Three Months Ended April 30, (in millions of dollars) 2020 2019 External Sales by region: USA $ 23.11 $ 12.87 Other foreign 2.30 0.78 Europe (UK) 3.01 2.39 Mexico 1.37 0.60 Asia 9.05 3.83 Canada 4.31 2.49 Latin America 2.43 1.72 Consolidated external sales $ 45.58 $ 24.68 Three Months Ended April 30, (in millions of dollars) 2020 2019 External Sales by product lines: Disposables $ 31.21 $ 12.36 Chemical 8.88 5.06 Fire 1.45 1.40 Gloves 0.78 0.75 High Visability 1.35 2.12 High Performance Wear 0.29 0.23 Wovens 1.62 2.76 Consolidated external sales $ 45.58 $ 24.68
Income Taxes	The Company is required to estimate its income taxes in each of the jurisdictions in which it operates as part of preparing the unaudited condensed consolidated financial statements. This involves estimating the actual current tax in addition to assessing temporary differences resulting from differing treatments for tax and financial accounting purposes. These differences, together with net operating loss carryforwards and tax credits, are recorded as deferred tax assets or liabilities on the Company’s unaudited condensed consolidated balance sheet. A judgment must then be made of the likelihood that any deferred tax assets will be recovered from future taxable income. A valuation allowance may be required to reduce deferred tax assets to the amount that is more likely than not to be realized. In the event the Company determines that it may not be able to realize all or part of its deferred tax asset in the future, or that new estimates indicate that a previously recorded valuation allowance is no longer required, an adjustment to the deferred tax asset is charged or credited to income in the period of such determination. The Company recognizes tax positions that meet a “more likely than not” minimum recognition threshold. If necessary, the Company recognizes interest and penalties associated with tax matters as part of the income tax provision and would include accrued interest and penalties with the related tax liability in the unaudited condensed consolidated balance sheets. The Company does not have any uncertain tax positions at April 30, 2020 or January 31, 2020.
Stock-Based Compensation	The Company records the cost of stock-based compensation plans based on the fair value of the award on the grant date. For awards that contain a vesting provision, the cost is recognized over the requisite service period (generally the vesting period of the equity award) which approximates the performance period. For awards based on services already rendered, the cost is recognized immediately.
Foreign Operations and Foreign Currency Translation	The Company maintains manufacturing operations in Mexico, India, Argentina, Vietnam and the People’s Republic of China and can access independent contractors in China, Vietnam, Argentina and Mexico. It also maintains sales and distribution entities located in India, Canada, the U.K., Chile, China, Argentina, Russia, Kazakhstan, Uruguay and Mexico. The Company is vulnerable to currency risks in these countries. The functional currency for the United Kingdom subsidiary is the Euro; the trading company in China, the RMB; the Russian operation, the Russian Ruble, and the Kazakhstan operation the Kazakhstan Tenge. All other operations have the US dollar as its functional currency. Pursuant to US GAAP, assets and liabilities of the Company’s foreign operations with functional currencies, other than the US dollar, are translated at the exchange rate in effect at the balance sheet date, while revenues and expenses are translated at average rates prevailing during the periods. Translation adjustments are reported in accumulated other comprehensive loss, a separate component of stockholders’ equity. Cash flows are also translated at average translation rates for the periods, therefore, amounts reported on the consolidated statement of cash flows will not necessarily agree with changes in the corresponding balances on the consolidated balance sheet. Transaction gains and losses that arise from exchange rate fluctuations on transactions denominated in a currency other than the functional currency are included in the results of operations as incurred. Foreign currency transaction (loss) gain included in net income (loss) for the three months ended April 30, 2020 and 2019, were approximately $(0.1) million and $0.1 million, respectively.
Fair Value of Financial Instruments	US GAAP defines fair value, provides guidance for measuring fair value and requires certain disclosures utilizing a fair value hierarchy which is categorized into three levels based on the inputs to the valuation techniques used to measure fair value. The following is a brief description of those three levels: Level 1: Observable inputs such as quoted prices (unadjusted) in active markets for identical assets or liabilities. Level 2: Inputs other than quoted prices that are observable for the asset or liability, either directly or indirectly. These include quoted prices for similar assets or liabilities in active markets and quoted prices for identical or similar assets or liabilities in markets that are not active. Level 3: Unobservable inputs that reflect management’s own assumptions. The financial instruments of the Company classified as current assets or liabilities, including cash and cash equivalents, accounts receivable, short-term borrowings, borrowings under revolving credit facility, accounts payable and accrued expenses, are recorded at carrying value, which approximates fair value based on the short-term nature of these instruments. The Company believes that the fair values of its long-term debt approximates its carrying value based on the effective interest rate compared to the current market rate available to the Company.
Net Income (loss) Per Share	Net Income (loss) per share are based on the weighted average number of common shares outstanding without consideration of common stock equivalents. Diluted income (loss) per share are based on the weighted average number of common shares and common stock equivalents. The diluted income (loss) per share calculation takes into account unvested restricted shares and the shares that may be issued upon exercise of stock options, reduced by shares that may be repurchased with the funds received from the exercise, based on the average price during the fiscal period. Potentially dilutive securities are excluded from the computation of diluted loss per share since their effect would be antidilutive.
Reclassifications	Certain reclassifications have been made to the presentation of the segment data in the prior period consolidated financial statements to conform to the current period’s presentation. These reclassifications had no impact on the previously reported net loss.
Accounting Pronouncements	The Company considers the applicability and impact of all accounting standards updates (“ASUs”). Management periodically reviews new accounting standards that are issued. New Accounting Pronouncements Recently Adopted In January 2017, the FASB issued ASU No. 2017-04, Intangibles-Goodwill and Other (Topic 350), which includes provisions, intended to simplify the test for goodwill impairment. The standard is effective for annual periods beginning after December 15, 2019, with early adoption permitted for interim or annual goodwill impairment tests performed on testing dates after January 1, 2017. The Company has adopted this guidance using prospective transition method, which had no material impact on its unaudited condensed consolidated financial statements and related disclosures. New Accounting Pronouncements Not Yet Adopted In December 2019, the FASB issued ASU 2019-12, Income Taxes (Topic 740), Simplying the Accounting for Income Taxes. The ASU removes certain exceptions for performing intra-period allocation and calculating income taxes in interim periods. It also simplifies the accounting for income taxes by requiring recognition of franchise tax partially based on income as an income-based tax, requiring reflection of enacted chages in tax laws in the interim period and making improvements for income taxes related to employee stock owernship plans. ASU 2019-12 is effective for fiscal years and interim periods within those years, beginning after December 15, 2020. Early adoption is permitted, including adoption in any interim period for which financial statements have not been issued. The Company is currently evaluating the impact the standard will have on its consolidated financial statements. No other recently issued accounting pronouncements had or are expected to have a material impact on the Company’s unaudited condensed consolidated financial statements.

Summary of Significant Accoun_3

Summary of Significant Accounting Policies (Tables)	3 Months Ended
	Apr. 30, 2020
Accounting Policies [Abstract]
Disaggregation of revenue	Three Months Ended April 30, (in millions of dollars) 2020 2019 External Sales by region: USA $ 23.11 $ 12.87 Other foreign 2.30 0.78 Europe (UK) 3.01 2.39 Mexico 1.37 0.60 Asia 9.05 3.83 Canada 4.31 2.49 Latin America 2.43 1.72 Consolidated external sales $ 45.58 $ 24.68 Three Months Ended April 30, (in millions of dollars) 2020 2019 External Sales by product lines: Disposables $ 31.21 $ 12.36 Chemical 8.88 5.06 Fire 1.45 1.40 Gloves 0.78 0.75 High Visability 1.35 2.12 High Performance Wear 0.29 0.23 Wovens 1.62 2.76 Consolidated external sales $ 45.58 $ 24.68

Inventories (Tables)

Inventories (Tables)	3 Months Ended
	Apr. 30, 2020
Inventory Disclosure [Abstract]
Schedule of inventory	April 30, 2020 January 31, 2020 Raw materials $ 16,417 $ 16,709 Work-in-process 959 670 Finished goods 20,094 26,859 $ 37,470 $ 44,238

Leases (Tables)

Leases (Tables)	3 Months Ended
	Apr. 30, 2020
Leases [Abstract]
Condensed consolidated balance sheet	Classification April 30, 2020 January 31, 2020 Assets Operating lease assets Operating lease right-of-use assets $ 2,246 $ 2,244 Liabilities Current Operating Current portion of operating lease liabilities $ 925 $ 835 Noncurrent Operating Long-term portion of operating lease liabilities 1,268 1,414 Total Lease Obligations $ 2,193 $ 2,249
Schedule of lease cost	Classification Three Months Ended April 30, 2020 Three Months Ended April 30, 2019 Operating lease cost Cost of goods sold $ 90 $ 145 Operating expenses $ 223 $ 119 Short-term lease cost $ 155 $ 36
Maturities of operating lease liabilities	For the 12 months ended April 30, Operating Leases (a) 2021 $ 1,025 2022 769 2023 455 2024 22 2025 18 Thereafter 112 Total lease payments $ 2,401 Less: Interest (208 ) Present value of lease liability $ 2,193
Weighted-average lease terms and discount rates	Weighted-average remaining lease term (years) April 30, 2020 January 31, 2020 Operating leases 3.05 3.14 Weighted-average discount rate Operating leases 6.40 % 5.87 %
Supplemental cash flow information related to leases	Cash paid for amounts included in the measurement of lease liabilities: Three Months Ended April 30, 2020 Three Months Ended April 30, 2019 Operating cash flows from operating leases $ 303 $ 264 Leased assets obtained in exchange for new operating lease liabilities $ 215 $ 2,486

Other Current Assets (Tables)

Other Current Assets (Tables)	3 Months Ended
	Apr. 30, 2020
Other Current Assets
Other current assets	April 30, 2020 January 31, 2020 Prepaid maintenance contracts $ 203 $ 144 Prepaid insurance 220 49 Prepaid material and supplies 2,103 1,313 UK factoring (due from HSBC) 367 113 Prepaid other 336 414 $ 3,229 $ 2,033

Other Accrued Expenses (Tables)

Other Accrued Expenses (Tables)	3 Months Ended
	Apr. 30, 2020
Accrued Liabilities and Other Liabilities [Abstract]
Other Accrued Expenses	April 30, 2020 January 31, 2020 Other employee related costs, including employee benefits $ 169 $ 199 Freight expenses and material purchases 1,829 673 Professional fees 264 279 Sales commissions 150 234 Other vendor accruals 442 718 Income tax accrual 859 342 $ 3,713 $ 2,445

Long-Term Debt (Tables)

Long-Term Debt (Tables)	3 Months Ended
	Apr. 30, 2020
Long-term Debt, Unclassified [Abstract]
Schedule of long-term debt	Short-Term Long-Term Current Maturity of Long-Term April 30, 2020 January 31, 2020 April 30, 2020 January 31, 2020 April 30, 2020 January 31, 2020 U.S $ ----- $ ----- $ ----- $ ----- $ ----- $ 1,155 Argentina 139 ----- ----- ----- ----- ------ Totals $ 139 $ ----- $ ----- $ ----- $ ----- $ 1,155

Stockholders' Equity (Tables)

Stockholders' Equity (Tables)	3 Months Ended
	Apr. 30, 2020
Stockholders' equity
Schedule of nonvested share activity	Number of shares awarded total Minimum Target Maximum Cap Employees 17,834 26,753 35,670 42,805 Non-Employee Directors 7,168 10,752 14,336 17,204 Total 25,002 37,505 50,006 60,009 Value at grant date Minimum Target Maximum Cap Employees $ 248,800 $ 373,200 $ 497,600 $ 597,120 Non-Employee Directors 100,000 150,000 200,000 240,000 Total $ 348,800 $ 523,200 $ 697,600 $ 837,120 Granted December 4, 2019 and April 9, 2020 Number of shares awarded total Minimum Target Maximum Employees 78,004 120,006 144,009 Non-Employee Directors 27,664 42,560 51,072 Total 105,668 162,566 195,081 Value at grant date Minimum Target Maximum Employees $ 943,570 $ 1,451,600 $ 1,741,920 Non-Employee Directors 338,000 520,000 624,000 Total $ 1,281,570 $ 1,971,600 $ 2,365,920
Schedule of share-based compensation	Three Months Ended April 30, 2020 2019 2017 Plan: Restricted Stock Program $ 149,539 $ 201,829 Stock Options 14,347 ----- $ 163,886 $ 201,829 Stock appreciation rights ----- (121 ) Total stock-based compensation $ 163,886 $ 201,708 Total income tax benefit recognized for stock-based compensation arrangement $ 34,416 $ 42,359
Schedule of restricted stock units award activity	Performance-Based Service-Based Total Weighted Average Grant Date Fair Value Outstanding at January 31, 2020 109,234 9,930 119,164 $ 10.33 Awarded 69,591 6,326 75,917 $ 14.95 Vested ----- ----- ----- ----- Forfeited ----- ----- ----- ----- Outstanding at April 30, 2020 178,825 16,256 195,081 $ 12.13
Schedule of stock option activity	Shares issued under 2017 Plan Outstanding Unvested Grants at Maximum at Beginning of FY21 Granted during FY21 Becoming Vested during FY21 Forfeited during FY21 Outstanding Unvested Grants at Maximum at End of April 30, FY21 Restricted stock grants – employees 35,670 ----- ----- ----- 35,670 Restricted stock grants – non-employee directors 14,336 ----- ----- ----- 14,336 Total restricted stock 50,006 ----- ----- ----- 50,006 Weighted average grant date fair value $ 13.95 $ ----- $ ----- $ ----- $ 13.95
Assumptions used to calculate the fair value of the options granted	Stock Options Number of Shares Weighted Average Exercise Price per Share Weighted Average Remaining Contractual Term (in years) Aggregate Intrinsic Value Outstanding at January 31, 2020 24,900 $ 11.17 9.53 $ ----- Granted ----- ----- ----- ----- Outstanding at April 30, 2020 24,900 $ 11.17 9.29 ----- Exercisable at April 30, 2020 ----- $ ----- ----- $ -----

Net Income (loss) Per Share (Ta

Net Income (loss) Per Share (Tables)	3 Months Ended
	Apr. 30, 2020
Net income (loss) per common share:
Schedule of earnings per share	Three Months Ended April 30, (in $000s except share and per share information) 2020 2019 Numerator: Net income (loss) $ 8,634 $ (465 ) Denominator: Denominator for basic net income (loss) per share (weighted-average shares which reflect shares in the treasury, 509,242 at April 30, 2020 and 462,089 for April 30, 2019 7,972,423 8,013,840 Effect of dilutive securities from restricted stock plan and from dilutive effect of warrants 72,426 ----- Denominator for diluted net income (loss) per share (adjusted weighted average shares) 8,044,849 8,013,840 Basic net income (loss) per share $ 1.08 $ (0.06 ) Diluted net income (loss) per share $ 1.07 $ (0.06 ) Warrants and restricted stock awards excluded from the computation of diluted loss per share because the effect of inclusion would have been anti-dilutive. ----- 196,340

Segment Reporting (Tables)

Segment Reporting (Tables)	3 Months Ended
	Apr. 30, 2020
Segment Reporting [Abstract]
Schedule of geographic revenue	Three Months Ended April 30, 2020 2019 Domestic $ 23.11 50.70 % $ 12.87 52.12 % International $ 22.47 49.30 % 11.81 47.88 % Total $ 45.58 100.00 % $ 24.68 100.00 %
Segment information	Three Months Ended April 30, (in millions of dollars) 2020 2019 Net Sales: USA Operations (including Corporate) $ 24.13 $ 13.90 Other foreign 3.04 1.36 Europe (UK) 3.01 2.39 Mexico 1.82 0.90 Asia 20.02 13.18 Canada 4.31 2.50 Latin America 2.54 1.74 Less intersegment sales (13.29 ) (11.29 ) Consolidated sales $ 45.58 $ 24.68 External Sales: USA Operations (including Corporate) $ 23.11 $ 12.87 Other foreign 2.30 0.78 Europe (UK) 3.01 2.39 Mexico 1.37 0.60 Asia 9.05 3.83 Canada 4.31 2.49 Latin America 2.43 1.72 Consolidated external sales $ 45.58 $ 24.68 Intersegment Sales: USA Operations (including Corporate) $ 1.02 $ 1.03 Other foreign 0.74 0.58 Mexico 0.45 0.30 Asia 10.97 9.35 Canada ----- 0.01 Latin America 0.11 0.02 Consolidated intersegment sales $ 13.29 $ 11.29 Three Months Ended April 30, (in millions of dollars) 2020 2019 Operating Profit (Loss): USA Operations (including Corporate) $ 4.33 $ (1.12 ) Other foreign 1.23 0.14 Europe (UK) 0.46 0.01 Mexico 0.22 (0.18 ) Asia 4.51 0.23 Canada 1.13 0.25 Latin America 0.57 0.24 Less intersegment profit (0.08 ) 0.11 Consolidated operating profit (loss) $ 12.37 $ (0.32 ) Depreciation and Amortization Expense: USA Operations(including Corporate) $ 0.22 $ 0.21 Other foreign 0.01 (0.01 ) Mexico 0.04 0.04 Asia 0.18 0.14 Canada 0.02 ----- Latin America 0.01 0.01 Less intersegment (0.03 ) (0.01 ) Consolidated depreciation & amortization expense $ 0.45 $ 0.38 Interest Expense: USA Operations (including Corporate) $ 0.01 $ 0.01 Latin America 0.01 0.02 Consolidated interest expense $ 0.02 $ 0.03 Income Tax Expense: USA Operations (including Corporate) $ 2.28 $ (0.13 ) Other foreign 0.01 ----- Europe (UK) 0.08 ----- Asia 0.90 0.15 Canada 0.31 0.04 Latin America 0.16 0.01 Less intersegment (0.01 ) 0.02 Consolidated income tax expense $ 3.73 $ 0.09 April 30, 2020 January 31, 2020 (in millions of dollars) Total Assets: * USA Operations (including Corporate) $ 84.26 $ 88.08 Other foreign 2.60 1.61 Europe (UK) 4.83 4.52 Mexico 5.45 5.00 Asia 46.80 44.30 Canada 6.38 6.09 Latin America 6.27 5.77 Less intersegment (48.87 ) (55.96 ) Consolidated assets $ 107.72 $ 99.41 Total Assets Less Intersegment:* USA Operations (including Corporate) $ 47.42 $ 49.94 Other foreign 4.59 3.33 Europe (UK) 4.83 4.52 Mexico 5.58 5.16 Asia 32.83 24.73 Canada 6.37 6.07 Latin America 6.10 5.66 Consolidated assets $ 107.72 $ 99.41 Property and Equipment: USA Operations (including Corporate) $ 3.17 $ 3.32 Other foreign 0.18 0.15 Europe (UK) 0.01 0.01 Mexico 2.13 2.17 Asia 3.11 3.19 Canada 1.14 1.15 Latin America 0.03 0.04 Less intersegment 0.08 0.08 Consolidated long-lived assets $ 9.85 $ 10.11 Capital Expenditures: USA Operations (including Coprorate) $ 0.06 $ 0.25 Other foreign 0.02 0.01 Europe (UK) ----- 0.01 Mexico ----- 0.17 Asia 0.11 0.58 Canada ----- ----- Latin America ----- 0.01 Consolidated capital expenditure $ 0.19 $ 1.03 Goodwill: USA Operations $ 0.87 $ 0.87 Consolidated goodwill $ 0.87 $ 0.87 * Negative assets reflect intersegment amounts eliminated in consolidation

Summary of Significant Accoun_4

Summary of Significant Accounting Policies (Details) - USD ($) $ in Thousands	3 Months Ended
	Apr. 30, 2020	Apr. 30, 2019
Net sales	$ 45,582	$ 24,684
Disposables
Net sales	31,210	12,360
Chemical
Net sales	8,880	5,060
Fire
Net sales	1,450	1,400
Gloves
Net sales	780	750
Hi-Vis
Net sales	1,350	2,120
High Performance Wear
Net sales	290	230
Wovens
Net sales	1,620	2,760
USA
Net sales	23,110	12,870
Other Foreign
Net sales	2,300	780
Europe (UK)
Net sales	3,010	2,390
Mexico
Net sales	1,370	600
Asia
Net sales	9,050	3,830
Canada
Net sales	4,310	2,490
Latin America
Net sales	$ 2,430	$ 1,720

Summary of Significant Accoun_5

Summary of Significant Accounting Policies (Details Narrative) - USD ($) $ in Thousands	3 Months Ended
	Apr. 30, 2020	Apr. 30, 2019
Accounting Policies [Abstract]
Shipping and handling costs	$ 1,600	$ 800
Foreign currency transaction losses	$ (100)	$ 100

Inventories (Details)

Inventories (Details) - USD ($) $ in Thousands	Apr. 30, 2020	Jan. 31, 2020
Inventory Disclosure [Abstract]
Raw materials	$ 16,417	$ 16,709
Work-in-process	959	670
Finished goods	20,094	26,859
Inventories, net	$ 37,470	$ 44,238

Leases (Details)

Leases (Details) - USD ($) $ in Thousands	Apr. 30, 2020	Jan. 31, 2020
Leases [Abstract]
Operating lease assets	$ 2,246	$ 2,244
Current operating lease liabilities	925	835
Noncurrent operating lease liabilities	1,268	1,414
Total lease obligations	$ 2,193	$ 2,249

Leases (Details 1)

Leases (Details 1) - USD ($) $ in Thousands	3 Months Ended
	Apr. 30, 2020	Apr. 30, 2019
Leases [Abstract]
Operating lease cost, cost of goods sold	$ 90	$ 145
Operating lease cost, operating expenses	223	119
Short-term lease cost	$ 155	$ 36

Leases (Details 2)

Leases (Details 2) - USD ($) $ in Thousands	Apr. 30, 2020	Jan. 31, 2020
Leases [Abstract]
2021	$ 1,025
2022	769
2023	455
2024	22
2025	18
Thereafter	112
Total lease payments	2,401
Less: interest	(208)
Present value of lease liability	$ 2,193	$ 2,249

Leases (Details 3)

Leases (Details 3)	Apr. 30, 2020	Jan. 31, 2020
Leases [Abstract]
Weighted-average remaining lease term (years) operating leases	3 years 18 days	3 years 1 month 20 days
Weighted-average discount rate operating leases	6.40%	5.87%

Leases (Details 4)

Leases (Details 4) - USD ($) $ in Thousands	3 Months Ended
	Apr. 30, 2020	Apr. 30, 2019
Leases [Abstract]
Operating cash flows from operating leases	$ 303	$ 264
Leased assets obtained in exchange for new operating lease liabilities	$ 215	$ 2,486

Other Current Assets (Details)

Other Current Assets (Details) - USD ($) $ in Thousands	Apr. 30, 2020	Jan. 31, 2020
Other Current Assets
Prepaid maintenance contracts	$ 203	$ 144
Prepaid insurance	220	49
Prepaid material and supplies	2,103	1,313
UK factoring (due from HSBC)	367	113
Prepaid other	336	414
Other current assets	$ 3,229	$ 2,033

Other Accrued Expenses (Details

Other Accrued Expenses (Details) - USD ($) $ in Thousands	Apr. 30, 2020	Jan. 31, 2020
Accrued Liabilities and Other Liabilities [Abstract]
Other employee related costs, including employee benefits	$ 169	$ 199
Freight expenses and material purchases	1,829	673
Professional fees	264	279
Sales comissions	150	234
Other vendors accruals	442	718
Income tax accrual	859	342
Other accrued expenses	$ 3,713	$ 2,445

Long-Term Debt (Details)

Long-Term Debt (Details) - USD ($) $ in Thousands	Apr. 30, 2020	Jan. 31, 2020
Short-term debt	$ 139	$ 0
Long-term debt, excluding current maturities	0	0
Long-term debt, current maturities	0	1,155
USA
Short-term debt	0	0
Long-term debt, excluding current maturities	0	0
Long-term debt, current maturities	0	1,155
Argentina
Short-term debt	139	0
Long-term debt, excluding current maturities	0	0
Long-term debt, current maturities	$ 0	$ 0

Stockholders' Equity (Details)

Stockholders' Equity (Details) $ in Thousands	3 Months Ended
	Apr. 30, 2020USD ($)shares
Number of shares awarded total (shares)	0
Granted June 7, 2018
Number of shares awarded total (shares)	60,009
Value at grant date | $	$ 837,120
Minimum | Granted June 7, 2018
Number of shares awarded total (shares)	25,002
Value at grant date | $	$ 348,800
Minimum | Granted December 4, 2019 and April 9, 2020
Number of shares awarded total (shares)	105,668
Value at grant date | $	$ 1,281,570
Weighted Average | Granted June 7, 2018
Number of shares awarded total (shares)	37,505
Value at grant date | $	$ 523,200
Weighted Average | Granted December 4, 2019 and April 9, 2020
Number of shares awarded total (shares)	162,566
Value at grant date | $	$ 1,971,600
Maximum | Granted June 7, 2018
Number of shares awarded total (shares)	50,006
Value at grant date | $	$ 697,600
Maximum | Granted December 4, 2019 and April 9, 2020
Number of shares awarded total (shares)	195,081
Value at grant date | $	$ 2,365,920
Employees | Granted June 7, 2018
Number of shares awarded total (shares)	42,805
Value at grant date | $	$ 597,120
Employees | Minimum | Granted June 7, 2018
Number of shares awarded total (shares)	17,834
Value at grant date | $	$ 248,800
Employees | Minimum | Granted December 4, 2019 and April 9, 2020
Number of shares awarded total (shares)	78,004
Value at grant date | $	$ 942,570
Employees | Weighted Average | Granted June 7, 2018
Number of shares awarded total (shares)	26,753
Value at grant date | $	$ 373,200
Employees | Weighted Average | Granted December 4, 2019 and April 9, 2020
Number of shares awarded total (shares)	120,006
Value at grant date | $	$ 1,451,600
Employees | Maximum | Granted June 7, 2018
Number of shares awarded total (shares)	35,670
Value at grant date | $	$ 497,600
Employees | Maximum | Granted December 4, 2019 and April 9, 2020
Number of shares awarded total (shares)	144,009
Value at grant date | $	$ 1,741,920
Non Employee Directors | Granted June 7, 2018
Number of shares awarded total (shares)	17,204
Value at grant date | $	$ 240,000
Non Employee Directors | Minimum | Granted June 7, 2018
Number of shares awarded total (shares)	7,168
Value at grant date | $	$ 100,000
Non Employee Directors | Minimum | Granted December 4, 2019 and April 9, 2020
Number of shares awarded total (shares)	27,664
Value at grant date | $	$ 338,000
Non Employee Directors | Weighted Average | Granted June 7, 2018
Number of shares awarded total (shares)	10,752
Value at grant date | $	$ 150,000
Non Employee Directors | Weighted Average | Granted December 4, 2019 and April 9, 2020
Number of shares awarded total (shares)	42,560
Value at grant date | $	$ 520,000
Non Employee Directors | Maximum | Granted June 7, 2018
Number of shares awarded total (shares)	14,336
Value at grant date | $	$ 200,000
Non Employee Directors | Maximum | Granted December 4, 2019 and April 9, 2020
Number of shares awarded total (shares)	51,072
Value at grant date | $	$ 624,000

Stockholders' Equity (Details 1

Stockholders' Equity (Details 1) - USD ($) $ in Thousands	3 Months Ended
	Apr. 30, 2020	Apr. 30, 2019
Total stock-based compensation	$ 163,886	$ 201,708
Total income tax benefit recognized for stock-based compensation arrangements	34,416	42,359
Restricted Stock
Total stock-based compensation	149,539	201,829
Stock Options
Total stock-based compensation	14,347	0
2017 Plan
Total stock-based compensation	163,886	201,829
Stock Appreciation Rights
Total stock-based compensation	$ 0	$ (121)

Stockholders' Equity (Details 2

Stockholders' Equity (Details 2) $ / shares in Units, $ in Thousands	3 Months Ended
	Apr. 30, 2020USD ($)$ / sharesshares
Number of restricted stock units outstanding, beginning | shares	119,164
Number of restricted stock units awarded	$ 75,917
Number of restricted stock units vested	0
Number of restricted stock units forfeited	$ 0
Number of restricted stock units outstanding, ending | shares	195,081
Weighted average grant date fair value, beginning | $ / shares	$ 10.33
Weighted average grant date fair value awarded | $ / shares	14.95
Weighted average grant date fair value vested | $ / shares	.00
Weighted average grant date fair value forfeited | $ / shares	.00
Weighted average grant date fair value, ending | $ / shares	$ 12.13
Performance Based
Number of restricted stock units outstanding, beginning | shares	109,234
Number of restricted stock units awarded	$ 69,591
Number of restricted stock units vested	0
Number of restricted stock units forfeited	$ 0
Number of restricted stock units outstanding, ending | shares	178,825
Service Based
Number of restricted stock units outstanding, beginning | shares	9,930
Number of restricted stock units awarded	$ 6,326
Number of restricted stock units vested	0
Number of restricted stock units forfeited	$ 0
Number of restricted stock units outstanding, ending | shares	16,256

Stockholders' Equity (Details 3

Stockholders' Equity (Details 3)	3 Months Ended
	Apr. 30, 2020$ / sharesshares
Outstanding unvested grants at maximum, beginning	50,006
Outstanding unvested grants at maximum, granted	0
Outstanding unvested grants at maximum, vested	0
Outstanding unvested grants at maximum, forfeited	0
Outstanding unvested grants at maximum, ending	50,006
Outstanding weighted average grant date fair value, beginning | $ / shares	$ 13.95
Outstanding weighted average grant date fair value, granted | $ / shares	.00
Outstanding weighted average grant date fair value, vested | $ / shares	.00
Outstanding weighted average grant date fair value, forfeited | $ / shares	.00
Outstanding weighted average grant date fair value, ending | $ / shares	$ 13.95
Restricted stock grants - employees
Outstanding unvested grants at maximum, beginning	35,670
Outstanding unvested grants at maximum, granted	0
Outstanding unvested grants at maximum, vested	0
Outstanding unvested grants at maximum, forfeited	0
Outstanding unvested grants at maximum, ending	35,670
Restricted stock grants - non-employee directors
Outstanding unvested grants at maximum, beginning	14,336
Outstanding unvested grants at maximum, granted	0
Outstanding unvested grants at maximum, vested	0
Outstanding unvested grants at maximum, forfeited	0
Outstanding unvested grants at maximum, ending	14,336

Stockholders' Equity (Details 4

Stockholders' Equity (Details 4) $ / shares in Units, $ in Thousands	3 Months Ended
	Apr. 30, 2020USD ($)$ / sharesshares
Stockholders' equity
Number of options outstanding, beginning | shares	24,900
Number of options granted | shares	0
Number of options outstanding, ending | shares	24,900
Number of options exercisable | shares	0
Weighted average exercise price outstanding, beginning	$ 11.17
Weighted average exercise price granted	.00
Weighted average exercise price outstanding, ending	11.17
Weighted average exercise price exercisable	$ .00
Weighted average remaining contractual term outstanding (in years)	9 years 3 months 14 days
Aggregate intrinsic value outstanding, beginning | $	$ 0
Aggregate intrinsic value granted	$ 0
Aggregate intrinsic value outstanding, ending | $	$ 0
Aggregate intrinsic value exercisable | $	$ 0

Income Taxes (Details Narrative

Income Taxes (Details Narrative) - USD ($) $ in Thousands	3 Months Ended
	Apr. 30, 2020	Apr. 30, 2019	Jan. 31, 2020
Income Tax Disclosure [Abstract]
Tax expense charge	$ 1,200	$ 100
Deferred tax assets, valuation allowance	$ 1,300		$ 1,300
Federal corporate income tax rate	21.00%	35.00%

Net Income (loss) Per Share (De

Net Income (loss) Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Apr. 30, 2020	Apr. 30, 2019
Numerator:
Net income	$ 8,634	$ (465)
Denominator:
Denominator for basic earnings per share (weighted-average shares which reflect shares in the treasury, 509,242 at April 30,2020 and 462,089 for April 30, 2019	7,972,423	8,013,840
Effect of dilutive securities from restricted stock plan and from dilutive effect of stock options	72,426	0
Denominator for diluted earnings per share (adjusted weighted average shares)	8,044,849	8,013,840
Basic earnings per share	$ 1.08	$ (0.06)
Diluted earnings per share	$ 1.07	$ (0.06)
Warrants and restricted stock awards excluded from the computation of diluted loss per share because the effect of inclusion would have been anti-dilutive	0	196,340

Contingencies (Details Narrativ

Contingencies (Details Narrative) - USD ($) $ in Thousands	Apr. 30, 2020	Jan. 31, 2020
Commitments and Contingencies Disclosure [Abstract]
Loss contingency accrual	$ 200	$ 200

Segment Reporting (Details)

Segment Reporting (Details) - USD ($) $ in Thousands	3 Months Ended
	Apr. 30, 2020	Apr. 30, 2019
Net sales	$ 45,582	$ 24,684
Sales revenue, percentage	100.00%	100.00%
Domestic
Net sales	$ 23,110	$ 12,870
Sales revenue, percentage	50.70%	52.12%
International
Net sales	$ 22,470	$ 11,810
Sales revenue, percentage	49.30%	47.88%

Segment Reporting (Details 1)

Segment Reporting (Details 1) - USD ($) $ in Thousands	3 Months Ended
	Apr. 30, 2020	Apr. 30, 2019	Jan. 31, 2020
Net sales	$ 45,580	$ 24,680
External sales	45,580	24,680
Intersegment sales	13,290	11,290
Operating profit (loss)	12,370	(315)
Depreciation and amortization expense	453	383
Interest expense	17	34
Income tax expense	3,725	89
Capital expenditures	190	1,030
Total Assets	107,724		$ 99,405
Total assets less intersegment	107,720		99,410
Property and equipment	9,847		10,113
Goodwill	871		871
USA
Net sales	24,130	1,390
External sales	23,110	12,870
Intersegment sales	1,020	1,030
Operating profit (loss)	4,330	(1,120)
Depreciation and amortization expense	220	210
Interest expense	10	10
Income tax expense	2,280	(130)
Capital expenditures	60	250
Total Assets	84,260		88,080
Total assets less intersegment	47,420		49,940
Property and equipment	3,170		3,320
Goodwill	870		870
Other Foreign
Net sales	3,040	1,360
External sales	2,300	780
Intersegment sales	740	580
Operating profit (loss)	1,230	140
Depreciation and amortization expense	10	(10)
Interest expense	0	0
Income tax expense	10	0
Capital expenditures	20	10
Total Assets	2,600		1,610
Total assets less intersegment	4,590		3,330
Property and equipment	180		150
Goodwill	0		0
Europe (UK)
Net sales	3,010	2,390
External sales	3,010	2,390
Intersegment sales	0	0
Operating profit (loss)	460	10
Depreciation and amortization expense	0	0
Interest expense	0	0
Income tax expense	80	0
Capital expenditures	0	10
Total Assets	4,830		4,520
Total assets less intersegment	4,830		4,520
Property and equipment	10		10
Goodwill	0		0
Mexico
Net sales	1,820	900
External sales	1,370	600
Intersegment sales	450	300
Operating profit (loss)	220	(180)
Depreciation and amortization expense	40	40
Interest expense	0	0
Income tax expense	0	0
Capital expenditures	0	170
Total Assets	5,450		5,000
Total assets less intersegment	5,580		5,160
Property and equipment	2,130		2,170
Goodwill	0		0
Asia
Net sales	20,020	13,180
External sales	9,050	3,830
Intersegment sales	10,970	9,350
Operating profit (loss)	4,510	230
Depreciation and amortization expense	180	140
Interest expense	0	0
Income tax expense	900	150
Capital expenditures	110	580
Total Assets	46,800		44,300
Total assets less intersegment	32,830		24,730
Property and equipment	3,110		3,190
Goodwill	0		0
Canada
Net sales	4,310	2,500
External sales	4,310	2,490
Intersegment sales	0	10
Operating profit (loss)	1,130	250
Depreciation and amortization expense	20	0
Interest expense	0	0
Income tax expense	310	40
Capital expenditures	0	0
Total Assets	6,380		6,090
Total assets less intersegment	6,370		6,070
Property and equipment	1,140		1,150
Goodwill	0		0
Latin America
Net sales	2,540	1,740
External sales	2,430	1,720
Intersegment sales	110	20
Operating profit (loss)	570	240
Depreciation and amortization expense	10	10
Interest expense	10	20
Income tax expense	160	10
Capital expenditures	0	10
Total Assets	6,270		5,770
Total assets less intersegment	6,100		5,660
Property and equipment	30		40
Goodwill	0		0
Intersegment
Net sales	(13,290)	(11,290)
External sales	0	0
Intersegment sales	0	0
Operating profit (loss)	(80)	110
Depreciation and amortization expense	(30)	(10)
Interest expense	0	0
Income tax expense	(10)	20
Capital expenditures	0	$ 0
Total Assets	(48,870)		(55,960)
Total assets less intersegment	0		0
Property and equipment	80		80
Goodwill	$ 0		$ 0