Synergetics Usa 10-K 14 Oct 15 2015 FY Annual report Financial data

Document and Entity Information

Document and Entity Information - USD ($)	12 Months Ended
	Jul. 31, 2015	Oct. 13, 2015	Jan. 31, 2015
Document and Entity Information [Abstract]
Entity Registrant Name	SYNERGETICS USA INC
Entity Central Index Key	836,429
Current Fiscal Year End Date	--07-31
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Filer Category	Accelerated Filer
Entity Public Float			$ 100,450,457
Entity Common Stock, Shares Outstanding		25,626,134
Document Fiscal Year Focus	2,015
Document Fiscal Period Focus	FY
Document Type	10-K
Amendment Flag	false
Document Period End Date	Jul. 31, 2015

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($) $ in Thousands	Jul. 31, 2015	Jul. 31, 2014
Current Assets
Cash and cash equivalents	$ 11,911	$ 15,443
Accounts receivable, net of allowance for doubtful accounts of $700 and $722, respectively	13,935	14,641
Inventories	16,696	15,134
Income taxes refundable	0	0
Prepaid expenses	1,390	1,223
Deferred income taxes	2,346	2,042
Total current assets	46,278	48,483
Property and Equipment, net	10,519	8,785
Intangible and Other Assets
Goodwill	17,133	12,738
Intangible assets, net	21,572	13,383
Deferred income taxes	0	1,219
Cash value of life insurance	119	107
Total assets	95,621	84,715
Current Liabilities
Accounts payable	4,078	2,530
Accrued expenses	3,576	2,845
Income taxes payable	193	386
Current maturities of long-term debt	550	0
Deferred revenue	1,288	1,288
Total current liabilities	9,685	7,049
Long-Term Liabilities
Borrowings under term loan facility	1,925	0
Deferred revenue	11,954	13,242
Deferred income taxes	776	0
Contingent acquisition liability	2,839	0
Total long-term liabilities	17,494	13,242
Total liabilities	$ 27,179	$ 20,291
Commitments and Contingencies (Notes 12 and 19)
Stockholders' Equity
Common stock at July 31, 2015 and July 31, 2014, $0.001 par value, 50,000,000 shares authorized; 25,573,287 and 25,364,608 shares issued and outstanding, respectively	$ 26	$ 25
Additional paid-in capital	29,472	28,594
Retained earnings	40,638	36,160
Accumulated other comprehensive loss:
Foreign currency translation adjustment	(1,694)	(355)
Total stockholders' equity	68,442	64,424
Total liabilities and stockholders' equity	$ 95,621	$ 84,715

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Jul. 31, 2015	Jul. 31, 2014
Current Assets
Accounts receivable, allowance for doubtful accounts	$ 700	$ 722
Stockholders' Equity
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common stock, shares authorized (in shares)	50,000,000	50,000,000
Common stock, shares issued (in shares)	25,573,287	25,364,608
Common stock, shares outstanding (in shares)	25,573,287	25,364,608

Consolidated Statements of Inco

Consolidated Statements of Income and Comprehensive Income - USD ($) $ in Thousands	12 Months Ended
	Jul. 31, 2015	Jul. 31, 2014	Jul. 31, 2013
Consolidated Statements of Income and Comprehensive Income [Abstract]
Net sales	$ 75,019	$ 64,769	$ 62,796
Cost of sales	34,802	28,540	30,425
Gross profit	40,217	36,229	32,371
Operating expenses
Research and development	4,261	5,158	3,643
Sales and marketing	15,367	14,360	13,805
Medical device excise tax	487	486	289
Exit costs	719	682	0
General and administrative	13,293	10,962	10,913
Total operating expenses	34,127	31,648	28,650
Operating income	6,090	4,581	3,721
Other income (expenses)
Investment income	11	10	31
Interest expense	(82)	(19)	(28)
Miscellaneous	0	(11)	(35)
Total other income (expenses)	(71)	(20)	(32)
Income from continuing operations before provision for income taxes	6,019	4,561	3,689
Provision for income taxes	1,541	1,498	1,130
Net income	$ 4,478	$ 3,063	$ 2,559
Earnings per share:
Basic (in dollars per share)	$ 0.18	$ 0.12	$ 0.10
Diluted (in dollars per share)	$ 0.18	$ 0.12	$ 0.10
Basic weighted average common shares outstanding (in share)	25,362,166	25,323,622	25,243,010
Diluted weighted average common shares outstanding (in share)	25,449,027	25,393,264	25,337,525
Net income	$ 4,478	$ 3,063	$ 2,559
Foreign currency translation adjustment	(1,339)	104	47
Comprehensive income	$ 3,139	$ 3,167	$ 2,606

Consolidated Statements of Stoc

Consolidated Statements of Stockholders' Equity - USD ($) $ in Thousands	Common Stock [Member]	Additional Paid-in Capital [Member]	Retained Earnings [Member]	Accumulated Other Comprehensive Income (Loss) [Member]	Total
Balance at Jul. 31, 2012	$ 25	$ 26,421	$ 30,538	$ (506)	$ 56,478
Balance (in shares) at Jul. 31, 2012	25,160,069
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	$ 0	0	2,559	0	2,559
Foreign currency translation adjustment	0	0	0	47	47
Restricted stock grants	$ 0	293	0	0	293
Restricted stock grants (in shares)	58,272
Stock-based compensation	$ 0	638	0	0	638
Stock-based compensation (in shares)	15,309
Proceeds from stock options exercised	$ 0	65	0	0	65
Proceeds from stock options exercised (in shares)	59,310
Tax benefit associated with stock options exercised	$ 0	72	0	0	72
Balance at Jul. 31, 2013	$ 25	27,489	33,097	(459)	60,152
Balance (in shares) at Jul. 31, 2013	25,292,960
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	$ 0	0	3,063	0	3,063
Foreign currency translation adjustment	0	0	0	104	104
Restricted stock grants	$ 0	426	0	0	426
Restricted stock grants (in shares)	7,000
Stock-based compensation	$ 0	582	0	0	582
Stock-based compensation (in shares)	14,648
Proceeds from stock options exercised	$ 0	59	0	0	59
Proceeds from stock options exercised (in shares)	50,000
Tax benefit associated with stock options exercised	$ 0	38	0	0	38
Balance at Jul. 31, 2014	$ 25	28,594	36,160	(355)	64,424
Balance (in shares) at Jul. 31, 2014	25,364,608
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	$ 0	0	4,478	0	4,478
Foreign currency translation adjustment	0	0	0	(1,339)	(1,339)
Restricted stock grants	$ 0	361	0	0	361
Restricted stock grants (in shares)	172,221
Restricted stock relinquished for tax payments	$ 0	(95)	0	0	(95)
Stock-based compensation	$ 0	568	0	0	568
Stock-based compensation (in shares)	13,958
Proceeds from stock options exercised	$ 1	28	0	0	29
Proceeds from stock options exercised (in shares)	22,500
Tax benefit associated with stock options exercised	$ 0	16	0	0	16
Balance at Jul. 31, 2015	$ 26	$ 29,472	$ 40,638	$ (1,694)	$ 68,442
Balance (in shares) at Jul. 31, 2015	25,573,287

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	12 Months Ended
	Jul. 31, 2015	Jul. 31, 2014	Jul. 31, 2013
Cash Flows from Operating Activities
Net income	$ 4,478	$ 3,063	$ 2,559
Adjustments to reconcile net income to net cash (used in) provided by operating activities
Depreciation	1,621	1,173	1,123
Amortization of intangible assets	1,232	876	680
Amortization of deferred financing costs	23	0	0
Provision for doubtful accounts receivable	53	338	207
Stock-based compensation	833	1,008	931
Deferred income taxes	94	1,836	(49)
(Gain) loss on sale of equipment	31	(10)	35
(Increases) decreases in:
Accounts receivable	640	(406)	(2,553)
Inventories	535	179	1,191
Prepaid expenses and other current assets	154	(221)	(130)
Income taxes refundable	0	254	(254)
Increase (decrease) in:
Accounts payable	1,105	(849)	845
Accrued expenses	602	(667)	603
Deferred revenue	(1,288)	(1,288)	(1,288)
Income taxes payable	(356)	380	(235)
Net cash provided by (used in) operating activities	9,757	5,666	3,665
Cash Flows from Investing Activities
Proceeds on the sale of equipment	1	18	55
Purchase of property and equipment	(1,225)	(922)	(550)
Acquisition of patents and other intangibles	(230)	(258)	(412)
Acquisitions, less cash acquired	(13,177)	(1,387)	(2,848)
Increase in cash value of life insurance	(12)	(11)	(3)
Net cash used in investing activities	(14,643)	(2,560)	(3,758)
Cash Flows from Financing Activities
Deferred financing costs	(102)	0	0
Proceeds from borrowings under the Term Loan Facility	2,750	0	0
Principal payments on long-term debt	(275)	0	0
Tax benefit associated with the exercise of non-qualified stock options	16	38	72
Proceeds from the issuance of common stock	29	59	65
Net cash provided by financing activities	2,418	97	137
Foreign exchange rate effect on cash and cash equivalents	(1,064)	(230)	(254)
Net increase (decrease) in cash and cash equivalents	(3,532)	2,973	(210)
Cash and cash equivalents
Beginning	15,443	12,470	12,680
Ending	11,911	15,443	12,470
Cash paid for:
Interest	47	19	28
Income taxes (received) paid	1,589	(1,009)	1,568
Supplemental Schedule of Non-cash Investing and Financing Activity
Purchase of equipment included in accounts payable	$ 124	$ 17	$ 120

Nature of Business and Signific

Nature of Business and Significant Accounting Policies	12 Months Ended
	Jul. 31, 2015
Nature of Business and Significant Accounting Policies [Abstract]
Nature of Business and Significant Accounting Policies	Note 1. Nature of Business and Significant Accounting Policies Nature of business mission A summary of the Company’s significant accounting policies follows: Use of estimates in the preparation of financial statements Principles of consolidation Cash and cash equivalents Accounts receivable Concentration of credit risk Inventories During the second quarter of fiscal 2013, the Company completed a detailed analysis of its inventory and recorded a reserve for excess inventory of approximately $1.6 million. In its continuous effort to manage its inventory, the Company had previously conducted an inventory analysis of obsolete inventory and recorded a provision for same in the third quarter of fiscal 2012. The reserve was necessary to reflect not only the Company’s changing base ophthalmic business but also to reflect the appropriate level and mix identified in accordance with the Company’s continuous improvement methodology with respect to its inventory. Property and equipment Useful lives (in years) Building and improvements 7-39 Machinery and equipment 5-7 Furniture and fixtures 5-7 Software 3-10 Goodwill and other intangibles ® Patents Deferred revenue: July 31, 2015 July 31, 2014 Deferred revenue – Alcon settlement $ 13,242 $ 14,530 Less: Short-term 1,288 1,288 Long-term portion $ 11,954 $ 13,242 Impairment of long-lived assets (excluding goodwill and other intangibles) Product warranty Income taxes In addition, under ASC Topic 740, the Company may recognize tax liabilities when, despite the Company’s belief that its tax return positions are supported, the Company believes that certain positions may not be fully sustained upon review by tax authorities. The Company has identified no uncertain tax positions subsequent to the adoption of this standard on August 1, 2007. The Company’s policy is to recognize interest and penalties through income tax expense. As of July 31, 2015, the 2012 to 2014 tax years remain subject to examination by major tax jurisdictions. There were no federal income tax audits in process as of July 31, 2015. There is one state and one international audit currently in progress. Fair value of financial instruments Non-financial assets such as goodwill, intangible assets and property, plant and equipment are measured at fair value when there is an indicator of impairment and recorded at fair value only when impairment is recognized. No impairment indicators existed as of July 31, 2015. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The fair value hierarchy distinguishes between (1) market participant assumptions developed based on market data obtained from independent sources (observable inputs) and (2) an entity’s own assumptions about market participant assumptions developed based on the best information available in the circumstances (unobservable inputs). The fair value hierarchy consists of these broad levels, which gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1) and the lowest priority to unobservable inputs (Level 3). The Company’s Level 1 financial assets are money market funds, whose fair values are based on quoted market prices. As of July 31, 2015, the Company’s contingent acquisition liability is presented on the balance sheet at fair value. The liability is categorized as Level 3, as the fair value is based on a discounted cash flow methodology using Company estimates of the amount and timing of gross profit to be earned from the Sterimedix Acquisition. See further discussion of the calculation in Note 3, “Acquisitions.” Any future change required to the contingent acquisition liability will be reflected in the consolidated statement of income and comprehensive income. Foreign currency translation: Revenue recognition The terms and conditions of sales to both the Company’s domestic and international distributors do not differ materially from the terms and conditions of sales to its domestic and international end-user customers. Service revenue substantially relates to repairs of products and is recognized when the service has been completed. Revenue from royalty fees is recorded as the products bearing the trademark are shipped. Advertising Royalties Stock compensation Earnings per share Year Ended July 31, 2015 2014 2013 Basic weighted average common shares 25,362,166 25,323,622 25,243,010 Stock options 86,861 69,642 94,515 Dilutive weighted average common shares 25,449,027 25,393,264 25,337,525 Stock option shares of 435,957, 650,579 and 533,079 were excluded from computation of weighted average diluted shares because the effect would be antidilutive for the years ended July 31, 2015, 2014 and 2013, respectively. Segment reporting Reclassifications :

Exit Costs

Exit Costs	12 Months Ended
	Jul. 31, 2015
Exit Costs [Abstract]
Exit Costs	Note 2. Exit Costs On October 1, 2013, the Company announced plans to close its King of Prussia, Pennsylvania facility and consolidate the manufacturing operations into its existing facility in O’Fallon, Missouri. The Company concluded manufacturing at this facility in February 2015. Costs are recognized in “Exit costs” in the consolidated statements of income and comprehensive income. As of July 31, 2015 and 2014, the Company had a current liability of $0 and $112,000, respectively, for employee termination benefits in accrued expenses. (dollars in thousands) Twelve Months Ended July 31, Cumulative as of July 31, 2015 Total Expected to be Incurred 2015 2014 Employee termination costs $ 304 $ 615 $ 919 $ 919 Other associated costs 415 67 482 482 $ 719 $ 682 $ 1,401 $ 1,401 Termination Costs Exit liabilities at August 1, 2013 $ -- Additions 682 Payments/settlements (570 ) Exit liabilities at July 31, 2014 $ 112 Additions 126 Payments/settlements (238 ) Exit liabilities at July 31, 2015 $ --

Acquisitions

Acquisitions	12 Months Ended
	Jul. 31, 2015
Acquisitions [Abstract]
Acquisitions	Note 3. Acquisitions On December 10, 2014, the Company entered into the Share Purchase Agreement (the "Sterimedix Acquisition Agreement") with shareholders (the "Sellers") of Sterimedix Limited ("Sterimedix"), a private manufacturer of cannulas, needles and other disposable products for ophthalmic and aesthetic procedures incorporated in England and Wales. Pursuant to the Sterimedix Acquisition Agreement, the Company purchased all of the outstanding share capital of Sterimedix for net cash consideration of $13.2 million (the "Sterimedix Acquisition") plus future contingent consideration in the form of an earn-out (see discussion below). Pursuant to the Sterimedix Acquisition Agreement, the Sellers are entitled to receive earn-out payments, calculated as 136.7% of the amount by which Sterimedix’s defined gross profit exceeds the following amounts for each annual period: (i) £3,190,000 for the year ended December 31, 2015; (ii) £3,767,500 for the year ended December 31, 2016; and (iii) £4,400,000 for the year ended December 31, 2017. The fair value of the future earn out payments recorded at the acquisition date was $2.8 million, determined using a discounted cash flow methodology on probability-weighted expected cash flows. These cash flows resulted in a range of estimated payouts of $0 to $5.9 million over the three-year period. The fair value of the obligation is based on the Company’s estimates of future cash flows, which are contingent upon a number of assumptions, particularly product demand and pricing. Any future change required to the fair value of the contingent acquisition liability will be reflected in the consolidated statement of income and comprehensive income. The Company has agreed not to transfer the Sterimedix shares for a period of one year and has also agreed after the one-year period, (i) to negotiate in good faith the assumption of the earn-out payments with the proposed transferee; (ii) at the discretion of the Company, to make modified earn-out payments to the Sellers as set forth in the Agreement and transfer certain Sterimedix assets to the Sellers upon arms' length negotiations; or (iii) if option (i) does not occur and option (ii) is not exercised, to remain obligated to pay the earn-out payments. The amounts of identifiable assets acquired and liabilities assumed as of December 10, 2014 are set forth below at the exchange rate in effect at that date (dollars in thousands): Accounts receivable $ 715 Inventory 1,617 Other current assets 138 Property, plant and equipment 2,187 In-process R&D 343 Tradenames 2,894 Customer relationships 4,999 Other amortizable intangibles 1,026 Goodwill 4,519 Total assets $ 18,438 Current liabilities $ 827 Deferred tax liabilities 1,597 Total liabilities $ 2,424 Net assets acquired $ 16,014 The goodwill attributed to the acquisition reflects market-related synergies and growth opportunities, as well as unrecognized intangible assets, including workforce-in-place and future new product development potential. During the period from December 10, 2014 through July 31, 2015, Sterimedix recognized net sales of $5.7 million and generated net income of approximately $851,000. For the fiscal year ended July 31, 2015, the Company incurred $341,000 in acquisition-related costs, which are included in general and administrative expenses in the consolidated statements of income and comprehensive income. The accompanying consolidated statements of income for the fiscal year ended July 31, 2015 reflect the revenues and expenses of Sterimedix since the acquisition date. The following unaudited pro forma consolidated financial information is presented as if the Sterimedix Acquisition had occurred at the beginning of each year presented. These unaudited pro forma results are provided for illustrative purposes only and are not necessarily indicative of either the historical results that would have been attained if this acquisition had actually occurred during these periods, or of the results that will be attained in the future as a result of this acquisition (in thousands): Fiscal Year Ended July 31, Pro Forma (unaudited) 2015 2014 Net Sales $ 77,629 $ 70,208 Net Income $ 4,888 $ 2,579 Basic earnings per share $ 0.19 $ 0.10 Diluted earnings per share $ 0.19 $ 0.10 On May 3, 2014, the Company acquired a private original equipment manufacturing company incorporated in the United States for net cash consideration of $1.4 million, resulting in the recognition of $0.8 million of intellectual property and $0.4 million of goodwill, including the impact of deferred income taxes. The results of operations for the acquired company have been included in the consolidated statement of income from the date of acquisition. On July 8, 2013, the Company acquired M.I.S.S. Ophthalmics Limited (“M.I.S.S.”), a private company incorporated in England and Wales that had been the Company’s distributor of ophthalmic products in the United Kingdom, for net cash consideration of $2.8 million. M.I.S.S.’s wholesale distribution activities contributed approximately $1.1 million in revenue to the Company in fiscal 2013. The Company allocated the purchase price to the tangible and intangible assets acquired and liabilities assumed based on their estimated fair value at the date of acquisition resulting in the recognition of $0.9 million of intellectual property and $1.5 million of goodwill. The results of operations for M.I.S.S. have been included in the consolidated statement of income from the date of acquisition. The Company recognized $64,000 and $70,000 of transaction related costs that were expensed in the years ended July 31, 2014 and 2013, respectively. Acquired goodwill is not deductible for tax purposes.

OEM Partner Agreements

OEM Partner Agreements	12 Months Ended
	Jul. 31, 2015
OEM Partner Agreements [Abstract]
OEM Partner Agreements	Note 4. OEM Partner Agreements The Company sells all of its generators and a majority of its neurosurgery instruments and accessories to two U.S. based national and international OEM partners as described below: Codman In the neurosurgical market, the bipolar electrosurgical system manufactured by Valley Forge prior to the merger has been sold for over 30 years through a series of distribution agreements with Codman, an affiliate of Johnson & Johnson. On April 2, 2009, the Company executed a new, three-year distribution agreement with Codman for the continued distribution by Codman of certain bipolar generators and related disposables and accessories, effective January 1, 2009. In addition, the Company entered into a new, three-year license agreement, which provides for the continued licensing of the Company’s Malis ® On November 16, 2009, the Company announced the signing of an addendum to its three-year agreement with Codman. Under the terms of the revised agreement, Codman has the exclusive right to market and distribute the Company’s Malis ® Total sales to Codman and its respective percent of the Company’s net sales for the years ended July 31, 2015, 2014 and 2013, including the historical sales of generators, accessories and disposable cord tubing that the Company has supplied in the past, as well as the disposable bipolar forceps sales resulting from the addendum to the existing distribution agreement, were as follows (dollars in thousands): Year Ended July 31, 2015 2014 2013 Net sales $ 17,323 $ 15,173 $ 14,097 Percent of net sales 23.1 % 23.4 % 22.4 % Stryker Corporation (“Stryker”) The Company supplies a multi-channel ablation generator, used for minimally invasive pain treatment, to Stryker pursuant to a supply and distribution agreement dated as of October 25, 2004, as amended. The agreement expired on June 30, 2015. On March 31, 2010, the Company entered into a supply agreement with Stryker pursuant to which the Company agreed to supply Stryker with disposable ultrasonic aspirator instrument tips and certain other consumable products used in conjunction with Stryker’s ultrasonic aspirator console and handpieces. The agreement expires on March 31, 2019. Total sales to Stryker and its respective percent of the Company’s net sales for the years ended July 31, 2015, 2014 and 2013, including the historical sales of pain control generators, and accessories that the Company has supplied in the past, as well as the disposable ultrasonic aspirator instrument tips sales and certain other consumable products resulting from the new agreements, were as follows (dollars in thousands): Year Ended July 31, 2015 2014 2013 Net sales $ 13,507 $ 10,779 $ 10,815 Percent of net sales 18.0 % 16.6 % 17.2 % No other customer comprises more than 10 percent of sales in any given year.

Fair Value Information

Fair Value Information	12 Months Ended
	Jul. 31, 2015
Fair Value Information [Abstract]
Fair Value Information	Note 5. Fair Value Information For certain of the Company’s financial instruments, including cash and equivalents, accounts receivable, accounts payable, accrued liabilities, contingent acquisition liability and borrowings, the carrying amounts approximate their fair values due to their short maturities. ASC Topic 820, “Fair Value Measurements and Disclosures,” requires disclosure of the fair value of financial instruments held by the Company. ASC Topic 825, “Financial Instruments,” defines fair value, and establishes a three-level valuation hierarchy for disclosures of fair value measurement that enhances disclosure requirements for fair value measures. The carrying amounts reported in the balance sheets for receivables, current liabilities and borrowings under the credit facilities each qualify as financial instruments and are a reasonable estimate of their fair values because of the short period of time between the origination of such instruments and their expected realization and their current market rate of interest. The three levels of valuation hierarchy are defined as follows: Level 1 inputs to the valuation methodology are quoted prices for identical assets or liabilities in active markets. Level 2 inputs to the valuation methodology include quoted prices for similar assets and liabilities in active markets, and inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the financial instrument. Level 3 inputs to the valuation methodology are unobservable and significant to the fair value measurement. The Company’s cash and financial instruments, and outstanding debt balances approximate their fair value. As of July 31, 2015 the contingent acquisition liability is presented on the balance sheet at fair value. See further discussion in Note 3, “Acquisitions”. Non-financial assets such as goodwill, intangible assets and property, plant and equipment are measured at fair value when there is an indicator of impairment or when tested for impairment at least annually and recorded at fair value only when impairment is recognized. No impairment indicators existed as of July 31, 2015.

Inventories

Inventories	12 Months Ended
	Jul. 31, 2015
Inventories [Abstract]
Inventories	Note 6. Inventories Inventories as of July 31, 2015 and 2014 were as follows (dollars in thousands): 2015 2014 Raw material and component parts $ 7,909 $ 5,900 Work in progress 2,248 2,077 Finished goods 6,539 7,157 $ 16,696 $ 15,134

Property and Equipment

Property and Equipment	12 Months Ended
	Jul. 31, 2015
Property and Equipment [Abstract]
Property and Equipment	Note 7. Property and Equipment Property and equipment as of July 31, 2015 and 2014 were as follows (dollars in thousands): 2015 2014 Land $ 1,488 $ 984 Building and improvements 6,912 6,650 Machinery and equipment 10,940 9,023 Furniture and fixtures 1,703 1,182 Software 1,132 1,113 Construction in progress 212 153 22,387 19,105 Less accumulated depreciation 11,868 10,320 $ 10,519 $ 8,785 Depreciation expense is included in both cost of sales, selling and general and administrative expenses. Approximately 25% of our long-lived assets are outside of the United States. Depreciation expense for the years ended July 31, 2015, 2014 and 2013 was approximately $1.6 million, $1.2 million and $1.1 million, respectively.

Goodwill

Goodwill	12 Months Ended
	Jul. 31, 2015
Goodwill [Abstract]
Goodwill	Note 8. Goodwill Goodwill as of July 31, 2015 and 2014 were as follows (dollars in thousands): July 31, 2015 July 31, 2014 Reverse merger (September 21, 2005) $ 10,660 $ 10,660 M.I.S.S. (July 8, 2013) 1,511 1,639 Sterimedix (December 10, 2014) 4,523 -- Other 439 439 $ 17,133 $ 12,738

Other Intangible Assets

Other Intangible Assets	12 Months Ended
	Jul. 31, 2015
Other Intangible Assets [Abstract]
Other Intangible Assets	Note 9. Other Intangible Assets Information regarding the Company’s intangible assets is as follows (dollars in thousands): Gross Carrying Value Accumulated Amortization Net July 31, 2015 Proprietary know-how $ 4,208 $ 2,555 $ 1,653 Trademarks 5,950 -- 5,950 Tradenames 3,309 83 3,226 Licensing agreements 5,694 3,165 2,529 Patents 2,599 1,171 1,428 Other intangibles 7,147 361 6,786 $ 28,907 $ 7,335 $ 21,572 July 31, 2014 Proprietary know-how $ 4,208 $ 2,208 $ 2,000 Trademarks 5,944 -- 5,944 Licensing agreements 5,694 2,895 2,799 Patents 2,375 903 1,472 Other intangibles 1,279 111 1,168 $ 19,500 $ 6,117 $ 13,383 See Note 3 related to intangible assets acquired in the Sterimedix Acquisition. Amortization is included in general and administrative expense and was $1,232,000, $876,000 and $680,000 for the years ended July 31, 2015, 2014 and 2013, respectively. Amortization for the next five years is expected to approximate $1.4 million annually.

Accrued Expenses

Accrued Expenses	12 Months Ended
	Jul. 31, 2015
Accrued Expenses [Abstract]
Accrued Expenses	Note 10. Accrued Expenses Accrued expenses as of July 31, 2015 and 2014 consisted of the following (dollars in thousands): 2015 2014 Payroll, commissions and employee benefits $ 2,337 $ 1,402 Operations/services 959 832 Taxes other than income 280 611 $ 3,576 $ 2,845

Debt

Debt	12 Months Ended
	Jul. 31, 2015
Debt [Abstract]
Debt	Note 11. Debt Revolving Credit Facility: Equipment Line of Credit: Term Loan Facility: These facilities bear interest based on either the one-, two- or three-month LIBOR plus 1.75 percent and adjusting each quarter based upon our total debt to earnings before interest, taxes, depreciation and amortization (“EBITDA). As of July 31, 2015, interest under the facilities was 1.93 percent. The unused portion of the facilities is charged at a rate of 0.20 percent. The termination date of the facilities is February 28, 2018. The facilities are collateralized by substantially all of the Company’s assets. These facilities have two financial covenants: a maximum total debt to EBITDA ratio of 2.25 times and a minimum fixed charge coverage ratio of 1.25 times. The facilities restrict the payment of dividends if, following the distribution, the fixed charge coverage ratio would fall below the required minimum. The Company was in compliance with its covenants as of July 31, 2015.

Operating Leases

Operating Leases	12 Months Ended
	Jul. 31, 2015
Operating Leases [Abstract]
Operating Leases	Note Operating Leases The Company leases various equipment, a portion of its facilities in O’Fallon, Missouri, the facility in California and the facility in King of Prussia, Pennsylvania under operating leases. The O’Fallon, Missouri lease expires in February 2016, the California lease expires in November 2017 and the King of Prussia, Pennsylvania lease expires in October 2015. The approximate minimum rental commitment under non-cancelable operating leases as of July 31, 2015 is due as follows (dollars in thousands): Year Ending July 31, Amount 2016 $ 267 2017 122 2018 67 2019 41 2020 10 $ 507 Rent expense incurred and charged to cost of sales and selling, general and administrative expenses was approximately $491,000, $457,000 and $364,000 for the years ended July 31, 2014, 2013 and 2012, respectively.

Income Tax Matters

Income Tax Matters	12 Months Ended
	Jul. 31, 2015
Income Tax Matters [Abstract]
Income Tax Matters	Note 13. Income Tax Matters The Company and its wholly owned subsidiaries file as a single entity for income tax reporting purposes. The net deferred income tax amounts included in the accompanying consolidated balance sheets as of July 31, 2015 and 2014 include the following amounts as deferred income tax assets and liabilities (dollars in thousands): 2015 2014 Deferred tax assets: Accounts receivable $ 192 $ 204 Inventories 1,111 1,002 Accrued liabilities 201 173 Deferred revenue 4,879 5,456 Other 465 172 Loss on foreign subsidiaries 2,370 1,720 Valuation allowance (2,370 ) (1,720 ) 6,848 7,007 Deferred tax liability Property and equipment 986 960 Other intangible assets 4,292 2,786 5,278 3,746 $ 1,570 $ 3,261 The Company recorded a valuation allowance of the losses of its foreign subsidiaries in conjunction with its overall income tax strategy including the inclusion of its foreign losses on its U.S. tax return. The deferred tax amounts noted above have been classified on the accompanying consolidated balance sheets as of July 31, 2015 and 2014, as follows (dollars in thousands): 2015 2014 Current assets $ 2,346 $ 2,042 Long-term asset 1,219 Long-term liability (776 ) -- $ 1,570 $ 3,261 The provision for income taxes for the years ended July 31, 2015, 2014 and 2013, consisted of the following (dollars in thousands): 2015 2014 2013 Current (receivable) payable $ 1,447 $ (338 ) $ 1,179 Deferred 94 1,836 (49 ) $ 1,541 $ 1,498 $ 1,130 Reconciliation of the Company’s income tax at the statutory rate to the Company’s effective rate is as follows: 2015 2014 2013 Computed at the statutory rate 34.0 % 34.0 % 34.0 % State taxes, net of federal tax benefit 1.8 2.4 2.5 Foreign rate differential (4.2 ) (3.2 ) -- Production deduction for domestic manufacturers (2.7 ) (2.0 ) (4.3 ) State tax settlement (3.7 ) -- -- Research and experimentation (1.7 ) (1.6 ) (5.3 ) Other 2.1 3.2 3.7 25.6 % 32.8 % 30.6 %

Employee Benefit Plan

Employee Benefit Plan	12 Months Ended
	Jul. 31, 2015
Employee Benefit Plan [Abstract]
Employee Benefit Plan	Note 14. Employee Benefit Plan The Company has a 401(k) savings plan, which covers employees who have attained the age of 18 and who have been credited with at least one year of service. Company contributions are made at the discretion of the Board of Directors. The Company contributed $163,000, $120,000 and $203,000 to the plan for the years ended July 31, 2015, 2014 and 2013 .

Stock-Based Compensation Plans

Stock-Based Compensation Plans	12 Months Ended
	Jul. 31, 2015
Stock-Based Compensation Plans [Abstract]
Stock-Based Compensation Plans	Note 15. Stock-Based Compensation Plans Stock Plans In addition to the historical options outstanding for Synergetics prior to the merger, the Company has options outstanding under two existing active option plans and two terminated plans of Valley Forge. Under the Amended and Restated Synergetics USA, Inc. 2001 Stock Plan (the “2001 Plan”), 2,000,000 shares of common stock are authorized for issuance to employees, officers and consultants of the Company. There were 167,427 options and restricted shares available for award at July 31, 2015 under the 2001 Plan. Pursuant to the Amended and Restated Synergetics USA, Inc. 2005 Non-Employee Directors’ Stock Option Plan, as amended (the “Non-Employee Directors’ Stock Option Plan”), 700,000 shares of common stock are authorized for issuance to non-employee directors. There were 260,000 options available for future grants at July 31, 2015 under the Non-Employee Directors’ Stock Option Plan. Generally, options are granted with an exercise price equal to market value at the date of grant and expire ten years from the date of the grant. Generally, stock options granted under these plans vest over a three to five-year period, with the exception of the non-employee director options, which vest over a 12-month period. In conjunction with the Company’s annual review of its long-term incentive compensation plan, options to purchase 300,000 shares of common stock and 200,000 shares of restricted stock were granted during the second quarter of fiscal 2015 that vest when the Company achieves $100 million of sales for an annual period. Stock Options A summary of the status of the fixed awards at July 31, 2015, 2014 and 2013 and changes during the years ended on those dates is as follows: Shares Weighted Average Exercise Price Options outstanding, August1, 2012 679,745 $ 3.80 Granted 142,227 $ 4.52 Forfeited (15,000 ) $ 4.54 Exercised (59,310 ) $ 1.10 Options outstanding, July 31, 2013 747,662 $ 3.23 Granted 117,500 $ 3.64 Forfeited -- -- Exercised (50,000 ) $ 1.17 Options outstanding July 31, 2014 815,162 $ 4.25 Granted 353,000 $ 3.49 Forfeited (57,122 ) $ 5.38 Exercised (22,500 ) $ 1.27 Options outstanding July 31, 2015 1,088,540 $ 4.00 Options exercisable, July 31, 2015 624,455 $ 4.06 A summary of the unvested awards outstanding at July 31, 2015 is as follows: Shares Weighted-Average Grant Date Fair Value Unvested options, beginning of period 232,863 $ 3.50 Granted 353,000 $ 2.56 Vested ( 121,778 ) $ 2.92 Unvested options, period end 464,085 $ 2.91 Proceeds, related tax benefits realized from options exercised and the intrinsic value of options exercised were as follows (dollars in thousands), except exercise price: Fiscal Year Ended July 31, 2015 July 31, 2014 July 31, 2013 Proceeds of options exercised $ 29 $ 59 $ 65 Related tax benefit recognized 16 38 72 Intrinsic value of options exercised 23 48 56 The following table provides information about options outstanding and exercisable options at July 31, 2015 (dollars in thousands): Options Outstanding Exercisable Options Aggregate intrinsic value $ 3,312 $ 1,959 Weighted average contractual term 6.8 years 5.3 years The weighted average remaining life for options outstanding and weighted average exercise price per share for exercisable options at July 31, 2015 were as follows: Options Outstanding Exercisable Options Shares Weighted Average Remaining Contractual Life (in years) Shares Weighted Average Remaining Contractual Life (in years) <$ 2.00 102,083 4.0 years 102,083 4.0 Years $2.01 to $3.00 40,000 2.3 years 40,000 2.3 Years $3.01 to $4.00 497,500 8.5 years 144,377 6.7 Years $4.01 to $5.00 229,813 5.7 years 186,307 5.4 Years $5.01 to $6.21 219,144 6.0 years 151,689 5.5 Years Total 1,088,540 6.8 years 624,455 5.3 Years The following table provides the assumptions used in the Black-Scholes model: Fiscal Year Ended July 31, 2015 2014 2013 Expected average risk-free interest rate 2.10 to 2.19 % 2.90 % 1.72 % Expected average life (in years) 10 10 10 Expected volatility 65.7 % 68.6 % 70.5 % Expected dividend yield 0.0 % 0.0 % 0.0 % The expected average risk-free rate is based on 10-year U.S. treasury yield curve in December of 2014. The expected average life represents the period of time that options granted are expected to be outstanding giving consideration to vesting schedules, historical exercise and forfeiture patterns. Expected volatility is based on historical volatilities of the Company’s common stock. The expected dividend yield is based on historical information and management’s plan. Restricted Stock Under the Company’s 2001 Plan, the Company’s common stock may be granted at no cost to certain employees and consultants of the Company. Certain plan participants are entitled to cash dividends and voting rights for their respective shares. Restrictions limit the sale or transfer of these shares during a vesting period whereby the restrictions lapse either pro-ratably over a three-year or five-year vesting period or at the end of the third or fifth year. These shares also vest upon a change of control event. Upon issuance of stock under the 2001 Plan, unearned compensation equivalent to the market value at the date of the grant is charged to stockholders’ equity and subsequently amortized to expense over the applicable restriction period. The following table provides information about restricted stock awards during the fiscal year ended July 31, 2015, 2014 and 2013: Number of Shares Weighted Average Grant Date Fair Value Balance as of August 1, 2012 431,778 $ 3.82 Granted 70,307 $ 4.52 Forfeited (10,160 ) $ 3.47 Vested (86,677 ) $ 4.57 Balance as of July 31, 2013 405,248 $ 3.79 Granted 7,000 $ 3.38 Forfeited (2,335 ) $ 3.88 Vested (134,366 ) $ 4.52 Balance as of July 31, 2014 275,547 $ 3.42 Granted 208,000 $ 3.43 Forfeited (4,334 ) $ 4.27 Vested ( 189,399 ) $ 2.47 Balance as of July 31, 2015 289,814 $ 4.04 Compensation expense associated with stock-based compensation plans as of July 31, 2015, 2014 and 2013 was as follows (dollars in thousands): July 31, 2015 July 31, 2014 July 31, 2013 Stock Options: Directors $ 133 $ 163 $ 230 Employees 380 364 233 Total $ 513 $ 527 $ 463 Restricted Stock Employees $ 361 $ 426 $ 413 Advisors 55 55 55 Total 416 481 468 Total Compensation Expense $ 929 $ 1,008 $ 931 Income Tax benefits from Share-based Compensation $ 238 $ 331 $ 285 As a result of the cessation of production at the King of Prussia facility and resulting acceleration of vesting of stock compensation, $201,000 of this compensation expense is included in Exit Costs for the fiscal year ended July 31, 2014. As of July 31, 2015, there was approximately $2.0 million of total unrecognized compensation cost related to non-vested share-based compensation arrangements granted under the Company’s 2001 Plan to be recognized as follows: $904,000 in fiscal 2016, $605,000 in fiscal 2017, $411,000 in fiscal 2018 and $82,000 in fiscal 2019.

Stockholders' Equity

Stockholders' Equity	12 Months Ended
	Jul. 31, 2015
Stockholders' Equity [Abstract]
Stockholders' Equity	Note 16. Stockholders’ Equity Upon completion of the reverse merger between Valley Forge and Synergetics on September 22, 2005, the Company reincorporated in Delaware, decreased the par value of common stock from $0.01 2/3 to $0.001, increased the authorized common shares to 50,000,000 and eliminated the outstanding treasury shares. The holders of common stock have no preemptive rights and the common stock has no redemption, sinking fund or conversion provisions. Each share of common stock is entitled to one vote on any matter submitted to the holders and to equal rights in the assets of the Company upon liquidation. All of the outstanding shares of common stock are fully paid and nonassessable. In addition to shares issued under employee and director compensation plans, 13,958 shares were granted to advisory consultants under the 2001 Plan during the fiscal year ended July 31, 2015.

Research and Development Costs

Research and Development Costs	12 Months Ended
	Jul. 31, 2015
Research and Development Costs [Abstract]
Research and Development Costs	Note 17. Research and Development Costs R&D costs related to both future and present products are charged to operations as incurred. The Company incurred approximately $4.3 million, $5.2 million and $3.6 million of R&D costs during the years ended July 31, 2015, 2014 and 2013, respectively.

Enterprise-wide Sales Informati

Enterprise-wide Sales Information	12 Months Ended
	Jul. 31, 2015
Enterprise-wide Sales Information [Abstract]
Enterprise-wide Sales Information	Note 18. Enterprise-wide Sales Information The Company reviewed its sales presentation once it had completed the Sterimedix Acquisition and determined that a more comprehensive approach to its ophthalmic and neurosurgery sales is now required to more completely describe its revenues by market as compared to its method of distribution. The enterprise-wide sales presentation shown below incorporates both the revised presentation and the previous presentation for the fiscal years ended July 31, 2015, 2014 and 2013, respectively: Enterprise-wide sales information as of July 31, 2015, 2014 and 2013 consisted of the following (dollars in thousands): Fiscal Year Ended July 31, 2015 2014 2013 Presentation based upon market Net Sales Ophthalmic (1) $ 41,976 $ 37,433 $ 36,348 Neurosurgery (2) 31,694 26,844 25,834 Other (3) 1,349 492 614 $ 75,019 $ 64,769 $ 62,796 Presentation based upon distribution Net Sales Ophthalmic (4) $ 33,509 $ 35,242 $ 35,446 OEM (5) 40,678 28,671 26,469 Other (6) 832 856 881 Total $ 75,019 $ 64,769 $ 62,796 Net Sales Domestic $ 52,530 $ 47,794 $ 46,489 International 22,489 16,975 16,307 Total $ 75,019 $ 64,769 $ 62,796 (1) Net sales from Ophthalmic represent all sales of ophthalmic devices from direct sales representatives, distribution partners and OEMs. Recognition of deferred revenue of $1.3 million from Alcon is included in this category for the fiscal years ended 2015, 2014 and 2013, respectively. (2) Net sales from Neurosurgery represent sales of electrosurgery generators, disposable bipolar forceps and related accessories and royalties from Codman, multi-channel generators, disposable ultrasonic tips and related accessories to Stryker and certain neurosurgery disposables sold through distribution. Many of the products that the Company sells to its neurosurgery OEM customers are shipped to their non-U.S. customers in various countries around the world, but are included in the Company’s domestic revenues. (3) Other net sales represent all sales of aesthetic devices and other miscellaneous revenues. (4) Net sales from Ophthalmic represent sales of ophthalmic devices from direct sales representatives and distribution partners. (5) Net sales from OEM represent sales of electrosurgery generators, disposable bipolar forceps and related accessories and royalties from Codman, multi-channel generators, disposable ultrasonic tips and related accessories to Stryker and sales of certain disposable products. Recognition of deferred revenues of $1.3 million from Alcon is included in this category for the fiscal years ended 2015, 2014 and 2013, respectively. Many of the products that the Company sells to its neurosurgery OEM customers are shipped to their non-U.S. customers in various countries around the world, but are included in the Company’s domestic revenues. (6) Other net sales represent direct neurosurgery revenues and other miscellaneous revenues.

Commitments and Contingencies

Commitments and Contingencies	12 Months Ended
	Jul. 31, 2015
Commitments and Contingencies [Abstract]
Commitments and Contingencies	Note 19. Commitments and Contingencies The Company has entered into change of control agreements with each of its President and Chief Executive Officer, Chief Financial Officer, Vice President of Domestic Sales and Vice President of Marketing and Technology. The change in control agreements with its executive officers provide that if employment is terminated within one year for cause or disability following a change in control (as each term is defined in the change in control agreements), as a result of the officers’ death, or by the officer other than as an involuntary termination (as defined in the change in control agreements), the Company shall pay the officer all compensation earned or accrued through his or her employment termination date, including (i) base salary; (ii) reimbursement for reasonable and necessary expenses; (iii) vacation pay; (iv) bonuses and incentive compensation; and (v) all other amounts to which they are entitled under any compensation or benefit plan of the Company (“Standard Compensation Due”). If the officer’s employment is terminated within one year following a change in control without cause and for any reason other than death or disability, including an involuntary termination, and provided the officer enters into a separation agreement within 30 days of his or her employment termination, he or she shall receive the following: (i) all Standard Compensation Due and any amount payable as of the termination date under the Company’s objectives-based incentive plan, the sum of which shall be paid in a lump sum immediately upon such termination; and (ii) an amount equal to one times his or her annual base salary at the rate in effect immediately prior to the change in control, to be paid in 12 equal monthly installments beginning in the month following his or her employment termination. Furthermore, all of the officer’s awards of shares or options shall immediately vest and be exercisable for one year after the date of his or her employment termination. Various claims, incidental to the ordinary course of business, are pending against the Company. In the opinion of management, after consultation with legal counsel, resolution of these matters is not expected to have a material effect on the accompanying financial statements. The Company is subject to regulatory requirements throughout the world. In the normal course of business, regulatory agencies may require companies in the medical industry to change their products or operating procedures, which could affect the Company. The Company regularly incurs expenses to comply with these regulations and may be required to incur additional expenses. Management is not able to estimate any additional expenditures outside the normal course of operations which will be incurred by the Company in future periods in order to comply with these regulations.

Quarterly Financial Data (Unaud

Quarterly Financial Data (Unaudited)	12 Months Ended
	Jul. 31, 2015
Quarterly Financial Data (Unaudited) [Abstract]
Quarterly Financial Data (Unaudited)	Note 20. Quarterly Financial Data (Unaudited) The following table provides the Company’s quarterly information as presented in the Form 10-Q (dollars in thousands except share and per share data): Quarters ended: July 31, 2015* April 30, 2015* January 31, 2015* October 31, 2014 Net sales $ 20,809 $ 19,375 $ 18,189 $ 16,646 Gross profit 11,258 10,105 9,584 9,270 Operating income 1,966 1,769 1,198 1,157 Net income 1,529 1,229 952 768 Earnings per share - basic $ 0.06 $ 0.05 $ 0.04 $ 0.03 Earnings per share - diluted $ 0.06 $ 0.05 $ 0.04 $ 0.03 Basic weighted average common shares outstanding 25,372,653 25,371,764 25,364,574 25,339,983 Diluted weighted average common shares outstanding 25,505,648 25,476,336 25,424,835 25,390,181 Quarters ended: July 31, 2014** April 30, 2014 January 31, 2014 October 31, 2013 Net sales $ 18,008 $ 16,135 $ 15,096 $ 15,530 Gross profit 9,995 8,912 8,398 8,924 Operating income 2,156 1,411 (377 ) 1,391 Net income 1,410 943 (225 ) 935 Earnings per share – basic $ 0.06 $ 0.04 $ (0.01 ) $ 0.04 Earnings per share – diluted $ 0.06 $ 0.04 $ (0.01 ) $ 0.04 Basic weighted average common shares outstanding 25,352,326 25,331,925 25,309,641 25,294,020 Diluted weighted average common shares outstanding 25,400,341 25,392,782 25,309,641 25,389,940 * The results of Sterimedix are reflected in our results of operations since December 10, 2014, the date of acquisition and reflect the following: Net sales $ 2,342 $ 2,266 $ 1,066 Net income $ 517 $ 320 $ 14 ** The results of the private OEM Company have been reflected in our results of operations since May 3, 2014, the date of the acquisition.

Recent Accounting Pronouncement

Recent Accounting Pronouncements	12 Months Ended
	Jul. 31, 2015
Recent Accounting Pronouncements [Abstract]
Recent Accounting Pronouncements	Note 21. Recent Accounting Pronouncements In May 2014, the FASB issued an accounting standard update that provides explicit guidance on the recognition of revenue based upon the entity’s contracts with customers to transfer goods or services. Under the new standard update, an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. This accounting standard update will be effective for the Company in the first quarter of fiscal 2019. The Company is currently evaluating the impact of this accounting standard update on its consolidated financial statements. In June 2014, the FASB issued guidance clarifying that share-based compensation performance targets that could be achieved after the requisite service period should be treated as a performance condition that affects vesting, rather than a condition that affects the grant-date fair value of the award. This guidance is effective for the Company in the first quarter of fiscal 2017, with early adoption permitted. The adoption of the pronouncement may affect the Company’s presentation of future performance-based stock compensation awards. In August 2014, the FASB issued an accounting standard update that provides explicit guidance on whether there is substantial doubt about an entity’s ability to continue as a going concern. Before the issuance of this update, there was no guidance in U.S. GAAP about management’s responsibility to evaluate whether there is substantial doubt about an entity’s ability to continue as a going concern or to provide related footnote disclosures. This guidance is expected to reduce the diversity in the timing and content of footnote disclosures. The guidance requires management to assess an entity’s ability to continue as a going concern by incorporating and expanding upon certain principles that are currently in U.S. auditing standards as specified in the guidance. The guidance becomes effective for the annual period ending after December 15, 2016 and for annual and interim periods thereafter. Early adoption is permitted. The Company is currently evaluating the effects of adopting this guidance on its consolidated financial statements, but the adoption is not expected to have a significant impact on the Company’s consolidated financial statements. In January 2015, the FASB issued an accounting standard update eliminating the concept of extraordinary items. The accounting standard update will be effective for the Company in the first quarter of fiscal 2016. The adoption of this guidance is not expected to have a significant impact upon the Company’s consolidated financial statements. In February 2015, the FASB issued an accounting standard update changing the analysis that a reporting entity must perform to determine whether it should consolidate certain types of legal entities. The accounting standard update will be effective for the Company in fiscal 2017. The adoption of this guidance is not expected to have a significant impact upon the Company’s consolidated financial statements. In April 2015, the FASB issued an accounting standard update simplifying the presentation of debt issuance costs as a deduction from the carrying amount of the debt liability. The accounting standard update will be effective for the Company in fiscal 2017. The adoption of this guidance is not expected to have a material impact upon the Company’s consolidated financial statements. In July 2015, the FASB issued accounting standard update simplifying the measurement of inventory from the lower of cost or market to lower of cost and net realizable value. It applies to entities that measure inventory using a method other than last-in, first-out or the retail inventory method. The amendment applies to all other inventory, which includes inventory that is measured using first-in, first out or average cost. The accounting standard update will be effective for the Company in fiscal 2018. The Company is currently evaluating the impact of this accounting standard update on its consolidated financial statements. The Company has reviewed all other recently issued, but not yet effective, accounting pronouncements and does not believe any such pronouncements will have a material impact on its financial statements.

Valuation Allowances and Qualif

Valuation Allowances and Qualifying Accounts	12 Months Ended
	Jul. 31, 2015
Valuation Allowances and Qualifying Accounts [Abstract]
Valuation Allowances and Qualifying Accounts	Note 22. Valuation Allowances and Qualifying Accounts Schedule II — Valuation Allowances and Qualifying Accounts (dollars in thousands) Classifications Balance at Beginning of Year Charges to Cost and Expenses Charges to Other Accounts (1) Deduction from Reserves Balance at End of Year Year ended July 31, 2013 Allowance for Doubtful Accounts & Returned Goods $ 319 $ 207 $ -- $ 31 $ 495 Allowance for Excess and Obsolete Inventory $ 466 $ 1,368 $ -- $ -- $ 1,834 Year ended July 31, 2014 Allowance for Doubtful Accounts & Returned Goods $ 495 $ 338 $ -- $ 111 $ 722 Allowance for Excess and Obsolete Inventory $ 1,834 $ 383 $ -- $ -- $ 2,217 Year ended July 31, 2015 Allowance for Doubtful Accounts & Returned Goods $ 722 $ 113 $ (75 ) $ 60 $ 700 Allowance for Excess and Obsolete Inventory $ 2,217 $ 454 $ (4 ) $ -- $ 2,667 (1) Represents foreign subsidiary financial statement translation impact charged to other comprehensive income.

Subsequent Event

Subsequent Event	12 Months Ended
	Jul. 31, 2015
Subsequent Event [Abstract]
Subsequent Event	Note 23. Subsequent Event On September 1, 2015, the Company entered into a definitive agreement (the “Merger Agreement”) with Valeant Pharmaceuticals International (“Valeant”) and Blue Subsidiary Corp., a wholly owned subsidiary of Valeant (“Merger Sub”), pursuant to which Valeant will acquire all of the outstanding common stock of the Company at the following price, each without interest thereon and subject to any applicable tax withholding: (i) $6.50 per share, net to the holder in cash, plus (ii) one non-transferable contractual contingent value right per share, which represents the right to receive up to two contingent payments, if any, of up to $1.00 in the aggregate net to the holder in cash upon the achievement of certain specified milestones within an agreed upon time period (together, the “Offer Price”). Following the completion of the tender offer, Merger Sub will commence a merger (the “Merger”) in which each untendered share of the Company will be converted into the right to receive the Offer Price. The transaction, which is expected to close in the first quarter of fiscal 2016, is subject to the tender of a majority of the Company’s outstanding common stock, regulatory approvals and other customary closing conditions. Following the announcement of the execution of the Merger Agreement, four putative stockholder class actions were filed challenging the proposed transaction. Three of these actions were filed in the Eleventh Judicial Circuit of the State of Missouri and name as defendants all members of the Company’s Board of Directors, the Company, Valeant and Merger Sub: (i) Murphy, et al. v. Synergetics USA Inc., et al. Glorioso, et al. v. Synergetics USA Inc., et al. Scarantino, et al. v. Synergetics USA Inc., et al. Nilsen, et al. v. Valeant Pharmaceuticals International, et al. The Actions generally allege that the members of the Company’s Board of Directors breached their fiduciary duties to the Company’s stockholders by, among other things, conducting a flawed process in considering the transaction, agreeing to an inadequate Offer Price, providing incomplete and misleading information to stockholders, and accepting unreasonable deal protection measures in the Merger Agreement that dissuade other potential bidders from making competing offers. The Actions also allege that Valeant and Merger Sub aided and abetted these alleged breaches of fiduciary duty. All of the complaints except the Delaware Action seek, among other things: (i) declaration as a class action; (ii) an order enjoining defendants from consummating the Offer; (iii) rescission of the proposed transaction or awarding damages to members of the class in the event the transaction is consummated; and (iv) an award of fees and expenses of the action, including reasonable attorneys’ and experts’ fees. The Delaware Action seeks, among other things: (i) declaration as a class action; (ii) an order awarding damages to members of the class; and (iii) an award of fees and expenses of the action, including reasonable attorneys’ and experts’ fees. The Company believes the allegations are without merit. On October 2, 2015, the Company, each of the members of the Company’s Board of Directors, Valeant and Merger Sub entered into a Memorandum of Understanding (the “MOU”) with the plaintiffs in the Actions, which sets forth the parties’ agreement in principle for a settlement of the Actions on the basis of the additional disclosures made in a supplement to the Schedule 14D-9 filed by the Company with the SEC on October 2, 2015. As explained in the MOU, the Company, the members of the Company’s Board of Directors, Valeant and Merger Sub have agreed to the settlement solely to eliminate the burden, expense and uncertainties inherent in further litigation and without admitting any liability or wrongdoing. The MOU contemplates that (i) the parties will stipulate to the certification of the Missouri Actions as a class action, consisting of a mandatory non opt-out class, that includes any and all persons who held shares of the Company’s common stock (excluding defendants, and their immediate family members, and any successors in interest thereto) at any time during the period beginning on September 1, 2015, through the date of consummation or termination of the proposed transaction, and (ii) shall seek to enter into a stipulation of settlement providing for (a) the release by plaintiffs and any member of the class, whether individual, direct, class, derivative, representative, legal, equitable, or any other type or in any other capacity, of all claims relating to the allegations in the Actions, the Offer and the Merger Agreement, and other transactions contemplated therein, or disclosures made in connection therewith, other than any properly perfected claims for appraisal pursuant to Section 262 of the Delaware General Corporation Law, or claims to enforce the settlement, as set forth in the MOU; (b) dismissal with prejudice of the Missouri Actions upon final approval of the settlement; and (c) dismissal with prejudice of the Delaware Action within two business days of the final approval of the settlement. The claims will not be released until such stipulation of settlement is approved by the Circuit Court of St. Charles County in the State of Missouri. On October 8, 2015, the Delaware Court dismissed the class action filed in Delaware, and the parties to that action will proceed as part of the Missouri actions. There can be no assurance that the parties will ultimately enter into a stipulation of settlement or that the court will approve such settlement even if the parties were to enter into such stipulation. The settlement will not affect the consideration to be received by the Company’s stockholders in connection with the Offer and the Merger Agreement.

Nature of Business and Signif30

Nature of Business and Significant Accounting Policies (Policies)	12 Months Ended
	Jul. 31, 2015
Nature of Business and Significant Accounting Policies [Abstract]
Use of estimates in the preparation of financial statements	Use of estimates in the preparation of financial statements
Principles of consolidation	Principles of consolidation
Cash and cash equivalents	Cash and cash equivalents
Accounts receivable	Accounts receivable
Concentration of credit risk	Concentration of credit risk
Inventories	Inventories During the second quarter of fiscal 2013, the Company completed a detailed analysis of its inventory and recorded a reserve for excess inventory of approximately $1.6 million. In its continuous effort to manage its inventory, the Company had previously conducted an inventory analysis of obsolete inventory and recorded a provision for same in the third quarter of fiscal 2012. The reserve was necessary to reflect not only the Company’s changing base ophthalmic business but also to reflect the appropriate level and mix identified in accordance with the Company’s continuous improvement methodology with respect to its inventory.
Property and equipment	Property and equipment Useful lives (in years) Building and improvements 7-39 Machinery and equipment 5-7 Furniture and fixtures 5-7 Software 3-10
Goodwill and other intangibles	Goodwill and other intangibles ®
Patents	Patents
Deferred revenue	Deferred revenue: July 31, 2015 July 31, 2014 Deferred revenue – Alcon settlement $ 13,242 $ 14,530 Less: Short-term 1,288 1,288 Long-term portion $ 11,954 $ 13,242
Impairment of long-lived assets (excluding goodwill and other intangibles)	Impairment of long-lived assets (excluding goodwill and other intangibles)
Product warranty	Product warranty
Income taxes	Income taxes In addition, under ASC Topic 740, the Company may recognize tax liabilities when, despite the Company’s belief that its tax return positions are supported, the Company believes that certain positions may not be fully sustained upon review by tax authorities. The Company has identified no uncertain tax positions subsequent to the adoption of this standard on August 1, 2007. The Company’s policy is to recognize interest and penalties through income tax expense. As of July 31, 2015, the 2012 to 2014 tax years remain subject to examination by major tax jurisdictions. There were no federal income tax audits in process as of July 31, 2015. There is one state and one international audit currently in progress.
Fair value of financial instruments	Fair value of financial instruments Non-financial assets such as goodwill, intangible assets and property, plant and equipment are measured at fair value when there is an indicator of impairment and recorded at fair value only when impairment is recognized. No impairment indicators existed as of July 31, 2015. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The fair value hierarchy distinguishes between (1) market participant assumptions developed based on market data obtained from independent sources (observable inputs) and (2) an entity’s own assumptions about market participant assumptions developed based on the best information available in the circumstances (unobservable inputs). The fair value hierarchy consists of these broad levels, which gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1) and the lowest priority to unobservable inputs (Level 3). The Company’s Level 1 financial assets are money market funds, whose fair values are based on quoted market prices. As of July 31, 2015, the Company’s contingent acquisition liability is presented on the balance sheet at fair value. The liability is categorized as Level 3, as the fair value is based on a discounted cash flow methodology using Company estimates of the amount and timing of gross profit to be earned from the Sterimedix Acquisition. See further discussion of the calculation in Note 3, “Acquisitions.” Any future change required to the contingent acquisition liability will be reflected in the consolidated statement of income and comprehensive income.
Foreign currency translation	Foreign currency translation:
Revenue recognition	Revenue recognition The terms and conditions of sales to both the Company’s domestic and international distributors do not differ materially from the terms and conditions of sales to its domestic and international end-user customers. Service revenue substantially relates to repairs of products and is recognized when the service has been completed. Revenue from royalty fees is recorded as the products bearing the trademark are shipped.
Advertising	Advertising
Royalties	Royalties
Stock compensation	Stock compensation
Earnings per share	Earnings per share Year Ended July 31, 2015 2014 2013 Basic weighted average common shares 25,362,166 25,323,622 25,243,010 Stock options 86,861 69,642 94,515 Dilutive weighted average common shares 25,449,027 25,393,264 25,337,525 Stock option shares of 435,957, 650,579 and 533,079 were excluded from computation of weighted average diluted shares because the effect would be antidilutive for the years ended July 31, 2015, 2014 and 2013, respectively.
Segment reporting	Segment reporting
Reclassifications	Reclassifications :

Nature of Business and Signif31

Nature of Business and Significant Accounting Policies (Tables)	12 Months Ended
	Jul. 31, 2015
Nature of Business and Significant Accounting Policies [Abstract]
Estimated useful lives of property and equipment	Property and equipment are depreciated using the straight-line method over their estimated useful lives as follows: Useful lives (in years) Building and improvements 7-39 Machinery and equipment 5-7 Furniture and fixtures 5-7 Software 3-10
Deferred revenue	The Company recognized $1.3 million of this deferred revenue in each of the fiscal years ended July 31, 2015, 2014 and 2013, respectively. July 31, 2015 July 31, 2014 Deferred revenue – Alcon settlement $ 13,242 $ 14,530 Less: Short-term 1,288 1,288 Long-term portion $ 11,954 $ 13,242
Weighted average shares used to calculate earnings per share	Basic earnings per share data has been computed on the basis of the weighted average number of common shares outstanding during each period presented. Diluted earnings per share data has been computed on the basis of the assumed conversion, exercise or issuance of all potential common stock instruments, unless the effect is to reduce the loss or increase the net income per common share (dollars in thousands, except share and per share data): Year Ended July 31, 2015 2014 2013 Basic weighted average common shares 25,362,166 25,323,622 25,243,010 Stock options 86,861 69,642 94,515 Dilutive weighted average common shares 25,449,027 25,393,264 25,337,525

Exit Costs (Tables)

Exit Costs (Tables)	12 Months Ended
	Jul. 31, 2015
Exit Costs [Abstract]
Exit costs	(dollars in thousands) Twelve Months Ended July 31, Cumulative as of July 31, 2015 Total Expected to be Incurred 2015 2014 Employee termination costs $ 304 $ 615 $ 919 $ 919 Other associated costs 415 67 482 482 $ 719 $ 682 $ 1,401 $ 1,401 Termination Costs Exit liabilities at August 1, 2013 $ -- Additions 682 Payments/settlements (570 ) Exit liabilities at July 31, 2014 $ 112 Additions 126 Payments/settlements (238 ) Exit liabilities at July 31, 2015 $ --

Acquisitions (Tables)

Acquisitions (Tables)	12 Months Ended
	Jul. 31, 2015
Acquisitions [Abstract]
Net assets and liabilities acquired	The amounts of identifiable assets acquired and liabilities assumed as of December 10, 2014 are set forth below at the exchange rate in effect at that date (dollars in thousands): Accounts receivable $ 715 Inventory 1,617 Other current assets 138 Property, plant and equipment 2,187 In-process R&D 343 Tradenames 2,894 Customer relationships 4,999 Other amortizable intangibles 1,026 Goodwill 4,519 Total assets $ 18,438 Current liabilities $ 827 Deferred tax liabilities 1,597 Total liabilities $ 2,424 Net assets acquired $ 16,014
Pro forma financial information	These unaudited pro forma results are provided for illustrative purposes only and are not necessarily indicative of either the historical results that would have been attained if this acquisition had actually occurred during these periods, or of the results that will be attained in the future as a result of this acquisition (in thousands): Fiscal Year Ended July 31, Pro Forma (unaudited) 2015 2014 Net Sales $ 77,629 $ 70,208 Net Income $ 4,888 $ 2,579 Basic earnings per share $ 0.19 $ 0.10 Diluted earnings per share $ 0.19 $ 0.10

OEM Partner Agreements (Tables)

OEM Partner Agreements (Tables)	12 Months Ended
	Jul. 31, 2015
Codman Collaborative Arrangement [Member]
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items]
Total sales to marketing partners and their respective percent of the Company's net sales	Total sales to Codman and its respective percent of the Company’s net sales for the years ended July 31, 2015, 2014 and 2013, including the historical sales of generators, accessories and disposable cord tubing that the Company has supplied in the past, as well as the disposable bipolar forceps sales resulting from the addendum to the existing distribution agreement, were as follows (dollars in thousands): Year Ended July 31, 2015 2014 2013 Net sales $ 17,323 $ 15,173 $ 14,097 Percent of net sales 23.1 % 23.4 % 22.4 %
Stryker Collaborative Arrangement [Member]
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items]
Total sales to marketing partners and their respective percent of the Company's net sales	Total sales to Stryker and its respective percent of the Company’s net sales for the years ended July 31, 2015, 2014 and 2013, including the historical sales of pain control generators, and accessories that the Company has supplied in the past, as well as the disposable ultrasonic aspirator instrument tips sales and certain other consumable products resulting from the new agreements, were as follows (dollars in thousands): Year Ended July 31, 2015 2014 2013 Net sales $ 13,507 $ 10,779 $ 10,815 Percent of net sales 18.0 % 16.6 % 17.2 %

Inventories (Tables)

Inventories (Tables)	12 Months Ended
	Jul. 31, 2015
Inventories [Abstract]
Inventories	Inventories as of July 31, 2015 and 2014 were as follows (dollars in thousands): 2015 2014 Raw material and component parts $ 7,909 $ 5,900 Work in progress 2,248 2,077 Finished goods 6,539 7,157 $ 16,696 $ 15,134

Property and Equipment (Tables)

Property and Equipment (Tables)	12 Months Ended
	Jul. 31, 2015
Property and Equipment [Abstract]
Property and equipment	Property and equipment as of July 31, 2015 and 2014 were as follows (dollars in thousands): 2015 2014 Land $ 1,488 $ 984 Building and improvements 6,912 6,650 Machinery and equipment 10,940 9,023 Furniture and fixtures 1,703 1,182 Software 1,132 1,113 Construction in progress 212 153 22,387 19,105 Less accumulated depreciation 11,868 10,320 $ 10,519 $ 8,785

Goodwill (Tables)

Goodwill (Tables)	12 Months Ended
	Jul. 31, 2015
Goodwill [Abstract]
Goodwill	Goodwill as of July 31, 2015 and 2014 were as follows (dollars in thousands): July 31, 2015 July 31, 2014 Reverse merger (September 21, 2005) $ 10,660 $ 10,660 M.I.S.S. (July 8, 2013) 1,511 1,639 Sterimedix (December 10, 2014) 4,523 -- Other 439 439 $ 17,133 $ 12,738

Other Intangible Assets (Tables

Other Intangible Assets (Tables)	12 Months Ended
	Jul. 31, 2015
Other Intangible Assets [Abstract]
Information regarding other intangible assets	Information regarding the Company’s intangible assets is as follows (dollars in thousands): Gross Carrying Value Accumulated Amortization Net July 31, 2015 Proprietary know-how $ 4,208 $ 2,555 $ 1,653 Trademarks 5,950 -- 5,950 Tradenames 3,309 83 3,226 Licensing agreements 5,694 3,165 2,529 Patents 2,599 1,171 1,428 Other intangibles 7,147 361 6,786 $ 28,907 $ 7,335 $ 21,572 July 31, 2014 Proprietary know-how $ 4,208 $ 2,208 $ 2,000 Trademarks 5,944 -- 5,944 Licensing agreements 5,694 2,895 2,799 Patents 2,375 903 1,472 Other intangibles 1,279 111 1,168 $ 19,500 $ 6,117 $ 13,383

Accrued Expenses (Tables)

Accrued Expenses (Tables)	12 Months Ended
	Jul. 31, 2015
Accrued Expenses [Abstract]
Accrued expenses	Accrued expenses as of July 31, 2015 and 2014 consisted of the following (dollars in thousands): 2015 2014 Payroll, commissions and employee benefits $ 2,337 $ 1,402 Operations/services 959 832 Taxes other than income 280 611 $ 3,576 $ 2,845

Operating Leases (Tables)

Operating Leases (Tables)	12 Months Ended
	Jul. 31, 2015
Operating Leases [Abstract]
Approximate minimum rental commitment under non-cancelable operating leases	The approximate minimum rental commitment under non-cancelable operating leases as of July 31, 2015 is due as follows (dollars in thousands): Year Ending July 31, Amount 2016 $ 267 2017 122 2018 67 2019 41 2020 10 $ 507

Income Tax Matters (Tables)

Income Tax Matters (Tables)	12 Months Ended
	Jul. 31, 2015
Income Tax Matters [Abstract]
Deferred income tax assets and liabilities	The net deferred income tax amounts included in the accompanying consolidated balance sheets as of July 31, 2015 and 2014 include the following amounts as deferred income tax assets and liabilities (dollars in thousands): 2015 2014 Deferred tax assets: Accounts receivable $ 192 $ 204 Inventories 1,111 1,002 Accrued liabilities 201 173 Deferred revenue 4,879 5,456 Other 465 172 Loss on foreign subsidiaries 2,370 1,720 Valuation allowance (2,370 ) (1,720 ) 6,848 7,007 Deferred tax liability Property and equipment 986 960 Other intangible assets 4,292 2,786 5,278 3,746 $ 1,570 $ 3,261 The deferred tax amounts noted above have been classified on the accompanying consolidated balance sheets as of July 31, 2015 and 2014, as follows (dollars in thousands): 2015 2014 Current assets $ 2,346 $ 2,042 Long-term asset 1,219 Long-term liability (776 ) -- $ 1,570 $ 3,261
Provision for income taxes	The provision for income taxes for the years ended July 31, 2015, 2014 and 2013, consisted of the following (dollars in thousands): 2015 2014 2013 Current (receivable) payable $ 1,447 $ (338 ) $ 1,179 Deferred 94 1,836 (49 ) $ 1,541 $ 1,498 $ 1,130
Reconciliation of income tax at statutory rate to effective rate	Reconciliation of the Company’s income tax at the statutory rate to the Company’s effective rate is as follows: 2015 2014 2013 Computed at the statutory rate 34.0 % 34.0 % 34.0 % State taxes, net of federal tax benefit 1.8 2.4 2.5 Foreign rate differential (4.2 ) (3.2 ) -- Production deduction for domestic manufacturers (2.7 ) (2.0 ) (4.3 ) State tax settlement (3.7 ) -- -- Research and experimentation (1.7 ) (1.6 ) (5.3 ) Other 2.1 3.2 3.7 25.6 % 32.8 % 30.6 %

Stock-Based Compensation Plans

Stock-Based Compensation Plans (Tables)	12 Months Ended
	Jul. 31, 2015
Stock-Based Compensation Plans [Abstract]
Stock options activity	Stock Options A summary of the status of the fixed awards at July 31, 2015, 2014 and 2013 and changes during the years ended on those dates is as follows: Shares Weighted Average Exercise Price Options outstanding, August1, 2012 679,745 $ 3.80 Granted 142,227 $ 4.52 Forfeited (15,000 ) $ 4.54 Exercised (59,310 ) $ 1.10 Options outstanding, July 31, 2013 747,662 $ 3.23 Granted 117,500 $ 3.64 Forfeited -- -- Exercised (50,000 ) $ 1.17 Options outstanding July 31, 2014 815,162 $ 4.25 Granted 353,000 $ 3.49 Forfeited (57,122 ) $ 5.38 Exercised (22,500 ) $ 1.27 Options outstanding July 31, 2015 1,088,540 $ 4.00 Options exercisable, July 31, 2015 624,455 $ 4.06 A summary of the unvested awards outstanding at July 31, 2015 is as follows: Shares Weighted-Average Grant Date Fair Value Unvested options, beginning of period 232,863 $ 3.50 Granted 353,000 $ 2.56 Vested ( 121,778 ) $ 2.92 Unvested options, period end 464,085 $ 2.91
Proceeds, related tax benefits realized from options exercised and intrinsic value of options exercised	Proceeds, related tax benefits realized from options exercised and the intrinsic value of options exercised were as follows (dollars in thousands), except exercise price: Fiscal Year Ended July 31, 2015 July 31, 2014 July 31, 2013 Proceeds of options exercised $ 29 $ 59 $ 65 Related tax benefit recognized 16 38 72 Intrinsic value of options exercised 23 48 56
Weighted average remaining life for options outstanding and weighted average exercise price per share for exercisable options	The following table provides information about options outstanding and exercisable options at July 31, 2015 (dollars in thousands): Options Outstanding Exercisable Options Aggregate intrinsic value $ 3,312 $ 1,959 Weighted average contractual term 6.8 years 5.3 years The weighted average remaining life for options outstanding and weighted average exercise price per share for exercisable options at July 31, 2015 were as follows: Options Outstanding Exercisable Options Shares Weighted Average Remaining Contractual Life (in years) Shares Weighted Average Remaining Contractual Life (in years) <$ 2.00 102,083 4.0 years 102,083 4.0 Years $2.01 to $3.00 40,000 2.3 years 40,000 2.3 Years $3.01 to $4.00 497,500 8.5 years 144,377 6.7 Years $4.01 to $5.00 229,813 5.7 years 186,307 5.4 Years $5.01 to $6.21 219,144 6.0 years 151,689 5.5 Years Total 1,088,540 6.8 years 624,455 5.3 Years
Assumptions used to derive weighted average fair value of options granted	The following table provides the assumptions used in the Black-Scholes model: Fiscal Year Ended July 31, 2015 2014 2013 Expected average risk-free interest rate 2.10 to 2.19 % 2.90 % 1.72 % Expected average life (in years) 10 10 10 Expected volatility 65.7 % 68.6 % 70.5 % Expected dividend yield 0.0 % 0.0 % 0.0 %
Information about restricted stock grants	The following table provides information about restricted stock awards during the fiscal year ended July 31, 2015, 2014 and 2013: Number of Shares Weighted Average Grant Date Fair Value Balance as of August 1, 2012 431,778 $ 3.82 Granted 70,307 $ 4.52 Forfeited (10,160 ) $ 3.47 Vested (86,677 ) $ 4.57 Balance as of July 31, 2013 405,248 $ 3.79 Granted 7,000 $ 3.38 Forfeited (2,335 ) $ 3.88 Vested (134,366 ) $ 4.52 Balance as of July 31, 2014 275,547 $ 3.42 Granted 208,000 $ 3.43 Forfeited (4,334 ) $ 4.27 Vested ( 189,399 ) $ 2.47 Balance as of July 31, 2015 289,814 $ 4.04
Compensation expense associated with stock-based compensation plans	Compensation expense associated with stock-based compensation plans as of July 31, 2015, 2014 and 2013 was as follows (dollars in thousands): July 31, 2015 July 31, 2014 July 31, 2013 Stock Options: Directors $ 133 $ 163 $ 230 Employees 380 364 233 Total $ 513 $ 527 $ 463 Restricted Stock Employees $ 361 $ 426 $ 413 Advisors 55 55 55 Total 416 481 468 Total Compensation Expense $ 929 $ 1,008 $ 931 Income Tax benefits from Share-based Compensation $ 238 $ 331 $ 285

Enterprise-wide Sales Informa43

Enterprise-wide Sales Information (Tables)	12 Months Ended
	Jul. 31, 2015
Enterprise-wide Sales Information [Abstract]
Enterprise-wide sales information	Enterprise-wide sales information as of July 31, 2015, 2014 and 2013 consisted of the following (dollars in thousands): Fiscal Year Ended July 31, 2015 2014 2013 Presentation based upon market Net Sales Ophthalmic (1) $ 41,976 $ 37,433 $ 36,348 Neurosurgery (2) 31,694 26,844 25,834 Other (3) 1,349 492 614 $ 75,019 $ 64,769 $ 62,796 Presentation based upon distribution Net Sales Ophthalmic (4) $ 33,509 $ 35,242 $ 35,446 OEM (5) 40,678 28,671 26,469 Other (6) 832 856 881 Total $ 75,019 $ 64,769 $ 62,796 Net Sales Domestic $ 52,530 $ 47,794 $ 46,489 International 22,489 16,975 16,307 Total $ 75,019 $ 64,769 $ 62,796 (1) Net sales from Ophthalmic represent all sales of ophthalmic devices from direct sales representatives, distribution partners and OEMs. Recognition of deferred revenue of $1.3 million from Alcon is included in this category for the fiscal years ended 2015, 2014 and 2013, respectively. (2) Net sales from Neurosurgery represent sales of electrosurgery generators, disposable bipolar forceps and related accessories and royalties from Codman, multi-channel generators, disposable ultrasonic tips and related accessories to Stryker and certain neurosurgery disposables sold through distribution. Many of the products that the Company sells to its neurosurgery OEM customers are shipped to their non-U.S. customers in various countries around the world, but are included in the Company’s domestic revenues. (3) Other net sales represent all sales of aesthetic devices and other miscellaneous revenues. (4) Net sales from Ophthalmic represent sales of ophthalmic devices from direct sales representatives and distribution partners. (5) Net sales from OEM represent sales of electrosurgery generators, disposable bipolar forceps and related accessories and royalties from Codman, multi-channel generators, disposable ultrasonic tips and related accessories to Stryker and sales of certain disposable products. Recognition of deferred revenues of $1.3 million from Alcon is included in this category for the fiscal years ended 2015, 2014 and 2013, respectively. Many of the products that the Company sells to its neurosurgery OEM customers are shipped to their non-U.S. customers in various countries around the world, but are included in the Company’s domestic revenues. (6) Other net sales represent direct neurosurgery revenues and other miscellaneous revenues.

Quarterly Financial Data (Una44

Quarterly Financial Data (Unaudited) (Tables)	12 Months Ended
	Jul. 31, 2015
Quarterly Financial Data (Unaudited) [Abstract]
Summary of quarterly financial information	The following table provides the Company’s quarterly information as presented in the Form 10-Q (dollars in thousands except share and per share data): Quarters ended: July 31, 2015* April 30, 2015* January 31, 2015* October 31, 2014 Net sales $ 20,809 $ 19,375 $ 18,189 $ 16,646 Gross profit 11,258 10,105 9,584 9,270 Operating income 1,966 1,769 1,198 1,157 Net income 1,529 1,229 952 768 Earnings per share - basic $ 0.06 $ 0.05 $ 0.04 $ 0.03 Earnings per share - diluted $ 0.06 $ 0.05 $ 0.04 $ 0.03 Basic weighted average common shares outstanding 25,372,653 25,371,764 25,364,574 25,339,983 Diluted weighted average common shares outstanding 25,505,648 25,476,336 25,424,835 25,390,181 Quarters ended: July 31, 2014** April 30, 2014 January 31, 2014 October 31, 2013 Net sales $ 18,008 $ 16,135 $ 15,096 $ 15,530 Gross profit 9,995 8,912 8,398 8,924 Operating income 2,156 1,411 (377 ) 1,391 Net income 1,410 943 (225 ) 935 Earnings per share – basic $ 0.06 $ 0.04 $ (0.01 ) $ 0.04 Earnings per share – diluted $ 0.06 $ 0.04 $ (0.01 ) $ 0.04 Basic weighted average common shares outstanding 25,352,326 25,331,925 25,309,641 25,294,020 Diluted weighted average common shares outstanding 25,400,341 25,392,782 25,309,641 25,389,940 * The results of Sterimedix are reflected in our results of operations since December 10, 2014, the date of acquisition and reflect the following: Net sales $ 2,342 $ 2,266 $ 1,066 Net income $ 517 $ 320 $ 14 ** The results of the private OEM Company have been reflected in our results of operations since May 3, 2014, the date of the acquisition.

Nature of Business and Signif45

Nature of Business and Significant Accounting Policies (Details)

3 Months Ended

12 Months Ended

Jul. 31, 2015USD ($)shares

Apr. 30, 2015shares

[1]

Jan. 31, 2015shares

[1]

Oct. 31, 2014shares

Jul. 31, 2014USD ($)shares

Apr. 30, 2014shares

Jan. 31, 2014shares

Oct. 31, 2013shares

Apr. 30, 2010USD ($)

Jul. 31, 2015USD ($)ProductSegmentshares

Jul. 31, 2014USD ($)shares

Jul. 31, 2013USD ($)shares

Jul. 31, 2010USD ($)

Jan. 31, 2013USD ($)

Inventory [Abstract]

Inventory reserves

$ 1,600,000

Deferred Revenue Arrangement [Line Items]

Less: Short-term portion

$ 1,288,000

$ 1,288,000

$ 1,288,000

$ 1,288,000

Long-term portion

$ 11,954,000

$ 13,242,000

$ 11,954,000

13,242,000

Standard Product Warranty Disclosure [Abstract]

Typical warranty period

3 years

Marketing and Advertising Expense [Abstract]

Advertising Expense

$ 278,000

197,000

$ 146,000

Operating Costs and Expenses [Abstract]

Royalty expense

$ 348,000

$ 346,000

$ 331,000

Earnings per share:

Basic weighted average common shares (in shares) | shares

25,372,653

[1]

25,371,764

25,364,574

25,339,983

25,352,326

[2]

25,331,925

25,309,641

25,294,020

25,362,166

25,323,622

25,243,010

Stock options (in shares) | shares

86,861

69,642

94,515

Dilutive weighted average common shares (in shares) | shares

25,505,648

[1]

25,476,336

25,424,835

25,390,181

25,400,341

[2]

25,392,782

25,309,641

25,389,940

25,449,027

25,393,264

25,337,525

Antidilutive securities excluded from computation of earnings per share (in shares) | shares

435,957

650,579

533,079

Segment Reporting [Abstract]

Number of operating segments | Segment

1

Building and improvements [Member] | Minimum [Member]

Property, Plant and Equipment [Line Items]

Useful life

7 years

Building and improvements [Member] | Maximum [Member]

Property, Plant and Equipment [Line Items]

Useful life

39 years

Machinery and equipment [Member] | Minimum [Member]

Property, Plant and Equipment [Line Items]

Useful life

5 years

Machinery and equipment [Member] | Maximum [Member]

Property, Plant and Equipment [Line Items]

Useful life

7 years

Furniture and fixtures [Member] | Minimum [Member]

Property, Plant and Equipment [Line Items]

Useful life

5 years

Furniture and fixtures [Member] | Maximum [Member]

Property, Plant and Equipment [Line Items]

Useful life

7 years

Software [Member] | Minimum [Member]

Property, Plant and Equipment [Line Items]

Useful life

3 years

Software [Member] | Maximum [Member]

Property, Plant and Equipment [Line Items]

Useful life

10 years

Other Intangible Assets [Member] | Minimum [Member]

Property, Plant and Equipment [Line Items]

Useful life

3 years

Other Intangible Assets [Member] | Maximum [Member]

Property, Plant and Equipment [Line Items]

Useful life

15 years

Alcon Settlement [Member]

Deferred Revenue Arrangement [Line Items]

Useful life

15 years

11 years

Deferred revenue

$ 13,242,000

$ 14,530,000

$ 13,242,000

$ 14,530,000

Revenue recognized

$ 1,300,000

$ 1,300,000

$ 1,300,000

Proceeds from confidential settlement and license agreement

$ 32,000,000

Proceeds from confidential settlement and license agreement, net

21,400,000

Gain on agreement

$ 2,400,000

Up-front license fee

$ 19,000,000

Number of products cancelled | Product

2

Estimated earning period

15 years

11 years

[1]

The results of Sterimedix are reflected in our results of operations since December 10, 2014, the date of acquisition and reflect the following: Net sales $ 2,342 $ 2,266 $ 1,066 Net income $ 517 $ 320 $ 14

[2]

The results of the private OEM Company have been reflected in our results of operations since May 3, 2014, the date of the acquisition.

Exit Costs (Details)

Exit Costs (Details) - USD ($) $ in Thousands	12 Months Ended
	Jul. 31, 2015	Jul. 31, 2014
Restructuring Cost and Reserve [Line Items]
Exit costs, incurred	$ 719	$ 682
Exit costs, cumulative	1,401
Exit costs, expected to be incurred	1,401
Termination Costs [Abstract]
Exit liabilities, beginning of period	112	0
Additions	126	682
Payments/settlements	(238)	(570)
Exit liabilities, end of period	0	112
Employee Termination Costs [Member]
Restructuring Cost and Reserve [Line Items]
Exit costs, incurred	304	615
Exit costs, cumulative	919
Exit costs, expected to be incurred	919
Other Associated Costs [Member]
Restructuring Cost and Reserve [Line Items]
Exit costs, incurred	415	$ 67
Exit costs, cumulative	482
Exit costs, expected to be incurred	$ 482

Acquisitions (Details)

Acquisitions (Details)	Dec. 10, 2014USD ($)	May. 03, 2014USD ($)	Jul. 08, 2013USD ($)	Jul. 31, 2015USD ($)		Apr. 30, 2015USD ($)	[1]	Jan. 31, 2015USD ($)	[1]	Oct. 31, 2014USD ($)	Jul. 31, 2014USD ($)		Apr. 30, 2014USD ($)	Jan. 31, 2014USD ($)	Oct. 31, 2013USD ($)	Jul. 31, 2015USD ($)	Jul. 31, 2015USD ($)$ / shares	Jul. 31, 2015GBP (£)	Jul. 31, 2014USD ($)$ / shares	Jul. 31, 2013USD ($)
Business Acquisition [Line Items]
Contribution to revenue due to wholesale distribution activities				$ 20,809,000	[1]	$ 19,375,000		$ 18,189,000		$ 16,646,000	$ 18,008,000	[2]	$ 16,135,000	$ 15,096,000	$ 15,530,000
Net sales				20,809,000	[1]	19,375,000		18,189,000		16,646,000	18,008,000	[2]	16,135,000	15,096,000	15,530,000
Net income				1,529,000	[1]	$ 1,229,000		$ 952,000		$ 768,000	1,410,000	[2]	$ 943,000	$ (225,000)	$ 935,000		$ 4,478,000		$ 3,063,000	$ 2,559,000
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Assets [Abstract]
Goodwill				17,133,000							12,738,000					$ 17,133,000	17,133,000		12,738,000
Business Acquisition, Pro Forma Information [Abstract]
Net Sales																	77,629,000		70,208,000
Net Income																	$ 4,888,000		$ 2,579,000
Basic earnings per share (in dollars per share) | $ / shares																	$ 0.19		$ 0.10
Diluted earnings per share (in dollars per share) | $ / shares																	$ 0.19		$ 0.10
M.I.S.S. Ophthalmics Limited [Member]
Business Acquisition [Line Items]
Cash consideration			$ 2,800,000
Contribution to revenue due to wholesale distribution activities																				1,100,000
Net sales																				1,100,000
Transaction related costs											$ 64,000								$ 64,000	$ 70,000
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Assets [Abstract]
Goodwill			1,500,000
M.I.S.S. Ophthalmics Limited [Member] | Intellectual Property [Member]
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Assets [Abstract]
Finite-lived intangible assets			$ 900,000
Ophthalmology Manufacturing Company [Member]
Business Acquisition [Line Items]
Cash consideration		$ 1,400,000
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Assets [Abstract]
Goodwill		400,000
Ophthalmology Manufacturing Company [Member] | Intellectual Property [Member]
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Assets [Abstract]
Finite-lived intangible assets		$ 800,000
Sterimedix [Member]
Business Acquisition [Line Items]
Acquisition date																	Dec. 10, 2014	Dec. 10, 2014
Cash consideration	$ 13,200,000
Contribution to revenue due to wholesale distribution activities																5,700,000
Earn-out payments to sellers based on the gross profit agreement terms, percentage (in hundredths)																	136.70%	136.70%
Fair value of future earn out payments	2,800,000
Range of estimated payouts, Low				0												0	$ 0
Range of estimated payouts, High				$ 5,900,000												5,900,000	$ 5,900,000
Earn out payments term period																	over the three year period	over the three year period
Net sales																5,700,000
Net income																$ 851,000
Acquisition related costs																	$ 341,000
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Assets [Abstract]
Accounts receivable	715,000
Inventory	1,617,000
Other current assets	138,000
Property, plant and equipment	2,187,000
Goodwill	4,519,000
Total assets	18,438,000
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Liabilities [Abstract]
Current liabilities	827,000
Deferred tax liabilities	1,597,000
Total liabilities	2,424,000
Net assets acquired	16,014,000
Sterimedix [Member] | 2015 [Member]
Business Acquisition [Line Items]
Earn-out payments to sellers based on the gross profit agreement terms, threshold gross profit amount | £																		£ 3,190,000
Sterimedix [Member] | 2016 [Member]
Business Acquisition [Line Items]
Earn-out payments to sellers based on the gross profit agreement terms, threshold gross profit amount | £																		3,767,500
Sterimedix [Member] | 2017 [Member]
Business Acquisition [Line Items]
Earn-out payments to sellers based on the gross profit agreement terms, threshold gross profit amount | £																		£ 4,400,000
Sterimedix [Member] | In-process R&D [Member]
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Assets [Abstract]
Finite-lived intangible assets	343,000
Sterimedix [Member] | Tradenames [Member]
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Assets [Abstract]
Finite-lived intangible assets	2,894,000
Sterimedix [Member] | Customer Relationships [Member]
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Assets [Abstract]
Finite-lived intangible assets	4,999,000
Sterimedix [Member] | Other Amortizable Intangibles [Member]
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Assets [Abstract]
Finite-lived intangible assets	$ 1,026,000
[1]	The results of Sterimedix are reflected in our results of operations since December 10, 2014, the date of acquisition and reflect the following: Net sales $ 2,342 $ 2,266 $ 1,066 Net income $ 517 $ 320 $ 14
[2]	The results of the private OEM Company have been reflected in our results of operations since May 3, 2014, the date of the acquisition.

OEM Partner Agreements (Details

OEM Partner Agreements (Details) $ in Thousands	12 Months Ended
	Jul. 31, 2015USD ($)Partner	Jul. 31, 2014USD ($)	Jul. 31, 2013USD ($)
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items]
Number of U.S. based national and international marketing partners | Partner	2
Net sales	$ 75,019	$ 64,769	$ 62,796
Codman Collaborative Arrangement [Member]
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items]
Numbers of years a product was sold	30 years
Net sales	$ 17,323	$ 15,173	$ 14,097
percent of net sales (in hundredths)	23.10%	23.40%	22.40%
Codman Collaborative Arrangement [Member] | Bipolar Generators and Related Disposables and Accessories [Member]
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items]
Collaborative arrangement time frame	3 years
Collaborative arrangements extension	3 years
Codman Collaborative Arrangement [Member] | Malis Spetzler Trademark [Member]
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items]
Collaborative arrangement time frame	3 years
Collaborative arrangements extension	3 years
Stryker Collaborative Arrangement [Member]
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items]
Net sales	$ 13,507	$ 10,779	$ 10,815
percent of net sales (in hundredths)	18.00%	16.60%	17.20%

Inventories (Details)

Inventories (Details) - USD ($) $ in Thousands	Jul. 31, 2015	Jul. 31, 2014
Inventories [Abstract]
Raw material and component parts	$ 7,909	$ 5,900
Work in progress	2,248	2,077
Finished goods	6,539	7,157
Inventory, net	$ 16,696	$ 15,134

Property and Equipment (Details

Property and Equipment (Details) - USD ($) $ in Thousands	12 Months Ended
	Jul. 31, 2015	Jul. 31, 2014	Jul. 31, 2013
Property, Plant and Equipment [Line Items]
Property and equipment, gross	$ 22,387	$ 19,105
Less accumulated depreciation	11,868	10,320
Property and equipment, net	$ 10,519	8,785
Percentage of long-lived assets outside United States (in hundredths)	25.00%
Depreciation expense	$ 1,621	1,173	$ 1,123
Land [Member]
Property, Plant and Equipment [Line Items]
Property and equipment, gross	1,488	984
Building and Improvements [Member]
Property, Plant and Equipment [Line Items]
Property and equipment, gross	6,912	6,650
Machinery and Equipment [Member]
Property, Plant and Equipment [Line Items]
Property and equipment, gross	10,940	9,023
Furniture and Fixtures [Member]
Property, Plant and Equipment [Line Items]
Property and equipment, gross	1,703	1,182
Software [Member]
Property, Plant and Equipment [Line Items]
Property and equipment, gross	1,132	1,113
Construction in Progress [Member]
Property, Plant and Equipment [Line Items]
Property and equipment, gross	$ 212	$ 153

Goodwill (Details)

Goodwill (Details) - USD ($) $ in Thousands	12 Months Ended
	Jul. 31, 2015	Jul. 31, 2014
Goodwill [Line Items]
Goodwill	$ 17,133	$ 12,738
Reverse merger [Member]
Goodwill [Line Items]
Goodwill	10,660	10,660
M.I.S.S. [Member]
Goodwill [Line Items]
Goodwill	1,511	1,639
Sterimedix [Member]
Goodwill [Line Items]
Goodwill	4,523	0
Other [Member]
Goodwill [Line Items]
Goodwill	$ 439	$ 439

Other Intangible Assets (Detail

Other Intangible Assets (Details) - USD ($) $ in Thousands	12 Months Ended
	Jul. 31, 2015	Jul. 31, 2014	Jul. 31, 2013
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Value	$ 28,907	$ 19,500
Accumulated Amortization	7,335	6,117
Net	21,572	13,383
Amortization included in general and administrative expense	1,232	876	$ 680
Future amortization expense [Abstract]
2,016	1,400
2,017	1,400
2,018	1,400
2,019	1,400
2,020	1,400
Proprietary Know-How [Member]
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Value	4,208	4,208
Accumulated Amortization	2,555	2,208
Net	1,653	2,000
Trademarks [Member]
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Value	5,950	5,944
Accumulated Amortization	0	0
Net	5,950	5,944
Tradenames [Member]
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Value	3,309
Accumulated Amortization	83
Net	3,226
Licensing Agreements [Member]
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Value	5,694	5,694
Accumulated Amortization	3,165	2,895
Net	2,529	2,799
Patents [Member]
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Value	2,599	2,375
Accumulated Amortization	1,171	903
Net	1,428	1,472
Other Intangibles [Member]
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Value	7,147	1,279
Accumulated Amortization	361	111
Net	$ 6,786	$ 1,168

Accrued Expenses (Details)

Accrued Expenses (Details) - USD ($) $ in Thousands	Jul. 31, 2015	Jul. 31, 2014
Accrued Expenses [Abstract]
Payroll, commissions and employee benefits	$ 2,337	$ 1,402
Operations/services	959	832
Taxes other than income	280	611
Accrued expenses	$ 3,576	$ 2,845

Debt (Details)

Debt (Details)	12 Months Ended
	Jul. 31, 2015USD ($)Covenant	Jul. 31, 2014USD ($)	Jul. 31, 2013USD ($)
Line of Credit Facility [Line Items]
Borrowings under credit facility	$ 2,750,000	$ 0	$ 0
Revolving Credit Facility [Member]
Line of Credit Facility [Line Items]
Maximum borrowing capacity	9,500,000
Borrowings under credit facility	0
Equipment Line of Credit [Member]
Line of Credit Facility [Line Items]
Maximum borrowing capacity	1,000,000
Borrowings under credit facility	0
Term Loan Facility [Member]
Line of Credit Facility [Line Items]
Maximum borrowing capacity	13,000,000
Term loan, amortization payment in fiscal 2016	550,000
Term loan, amortization payment in fiscal 2017	550,000
Term loan, amortization payment in fiscal 2018	550,000
Term loan, amortization payment in fiscal 2019	550,000
Term loan, amortization payment in fiscal 2020	275,000
Restricted borrowing for earn-out payments	$ 6,500,000
Amortization of advances under term loan	5 years
Interest rate at period end (in hundredths)	1.93%
Interest charge on unused portion of facility (in hundredths)	0.20%
Maturity date	Feb. 28, 2018
Number of financial covenants | Covenant	2
Maximum leverage ratio	2.25
Minimum fixed charge coverage ratio	1.25
Term Loan Facility [Member] | Sterimedix [Member]
Line of Credit Facility [Line Items]
Borrowings under credit facility	$ 2,750,000
Outstanding amount under the credit facility	$ 2,500,000
Term Loan Facility [Member] | LIBOR [Member]
Line of Credit Facility [Line Items]
Basis interest rate based on either the one, two- or three-month (in hundredths)	1.75%

Operating Leases (Details)

Operating Leases (Details) - USD ($)	12 Months Ended
	Jul. 31, 2015	Jul. 31, 2014	Jul. 31, 2013
Approximate minimum rental commitment under non-cancelable operating leases [Abstract]
2,016	$ 267,000
2,017	122,000
2,018	67,000
2,019	41,000
2,020	10,000
Total	507,000
Rent expenses	$ 491,000	$ 457,000	$ 364,000

Income Tax Matters (Details)

Income Tax Matters (Details) - USD ($) $ in Thousands	12 Months Ended
	Jul. 31, 2015	Jul. 31, 2014	Jul. 31, 2013
Deferred tax assets [Abstract]
Accounts receivable	$ 192	$ 204
Inventories	1,111	1,002
Accrued liabilities	201	173
Deferred revenue	4,879	5,456
Other	465	172
Loss on foreign subsidiaries	2,370	1,720
Valuation allowance	(2,370)	(1,720)
Deferred tax assets	6,848	7,007
Deferred tax liability [Abstract]
Property and equipment	986	960
Other intangible assets	4,292	2,786
Deferred tax liability	5,278	3,746
Deferred tax assets (liability), net	1,570	3,261
Deferred tax amounts classified on consolidated balance sheets [Abstract]
Current assets	$ 2,346	2,042
Long-term asset		1,219
Long-term liability	$ (776)	0
Deferred tax assets (liability), net	1,570	3,261
Provision for income taxes [Abstract]
Current (receivable) payable	1,447	(338)	$ 1,179
Deferred	94	1,836	(49)
Provision for income taxes	$ 1,541	$ 1,498	$ 1,130
Reconciliation of income tax at statutory rate to effective rate [Abstract]
Computed at the statutory rate (in hundredths)	34.00%	34.00%	34.00%
State taxes, net of federal tax benefit (in hundredths)	1.80%	2.40%	2.50%
Foreign rate differential (in hundredths)	(4.20%)	(3.20%)	0.00%
Production deduction for domestic manufacturers (in hundredths)	(2.70%)	(2.00%)	(4.30%)
State tax settlement (in hundredths)	(3.70%)	0.00%	0.00%
Research and experimentation (in hundredths)	(1.70%)	(1.60%)	(5.30%)
Other (in hundredths)	2.10%	3.20%	3.70%
Effective income tax rate (in hundredths)	25.60%	32.80%	30.60%

Employee Benefit Plan (Details)

Employee Benefit Plan (Details) - USD ($)	12 Months Ended
	Jul. 31, 2015	Jul. 31, 2014	Jul. 31, 2013
Employee Benefit Plan [Abstract]
Minimum age required for 401(k) savings plan	18 years
Requisite service period for 401(k) savings plan	1 year
Company's contribution to the plan	$ 163,000	$ 120,000	$ 203,000

Stock-Based Compensation Plan58

Stock-Based Compensation Plans (Details)	3 Months Ended	12 Months Ended
	Jan. 31, 2014shares	Jul. 31, 2015USD ($)Plan$ / sharesshares	Jul. 31, 2014USD ($)$ / sharesshares	Jul. 31, 2013USD ($)$ / sharesshares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Sales Goal | $		$ 100,000,000
Assumptions used to derive weighted average fair value of options granted [Abstract]
Term of U.S. Treasury yield curve used to estimate average risk-free interest rate		10 years
Future compensation cost expected to be recognized [Abstract]
Fiscal 2016 | $		$ 904,000
Fiscal 2017 | $		605,000
Fiscal 2018 | $		411,000
Fiscal 2019 | $		82,000
Compensation expense associated with stock-based compensation plans [Abstract]
Compensation Expense | $		929,000	$ 1,008,000	$ 931,000
Income Tax benefits from Share-based Compensation | $		$ 238,000	331,000	$ 285,000
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Number of options outstanding (in shares)		1,088,540
Options outstanding, weighted average remaining contractual life		6 years 9 months 18 days
Number of exercisable options (in shares)		624,455
Exercisable options, weighted average remaining contractual life		5 years 3 months 18 days
Facility Closing [Member]
Compensation expense associated with stock-based compensation plans [Abstract]
Compensation Expense | $			$ 201,000
Stock Options [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Term		10 years
Options, number of shares [Roll Forward]
Options outstanding, beginning of period (in shares)		815,162	747,662	679,745
Granted (in shares)	300,000	353,000	117,500	142,227
Forfeited (in shares)		(57,122)	0	(15,000)
Exercised (in shares)		(22,500)	(50,000)	(59,310)
Options outstanding, end of period (in shares)		1,088,540	815,162	747,662
Options exercisable, end of period (in shares)		624,455
Options, weighted average exercise price [Roll Forward]
Options outstanding, beginning of period (in dollars per share) | $ / shares		$ 4.25	$ 3.23	$ 3.80
Granted (in dollars per share) | $ / shares		3.49	3.64	4.52
Forfeited (in dollars per share) | $ / shares		5.38	0	4.54
Exercised (in dollars per share) | $ / shares		1.27	1.17	1.10
Options outstanding, end of period (in dollars per share) | $ / shares		4	$ 4.25	$ 3.23
Options exercisable, end of period (in dollars per share) | $ / shares		$ 4.06
Unvested options, number of shares [Roll Forward]
Unvested options, beginning of period (in shares)		232,863
Granted (in shares)	300,000	353,000	117,500	142,227
Vested (in shares)		(121,778)
Unvested options, period end (in shares)		464,085	232,863
Unvested options, weighted average grant date value [Roll Forward]
Unvested options, beginning of period (in dollars per share) | $ / shares		$ 3.50
Granted (in dollars per share) | $ / shares		2.56
Vested (in dollars per share) | $ / shares		2.92
Unvested options, period end (in dollars per share) | $ / shares		$ 2.91	$ 3.50
Proceeds, related tax benefits and intrinsic value of options exercised [Abstract]
Proceeds of options exercised | $		$ 29,000	$ 59,000	$ 65,000
Related tax benefit recognized | $		16,000	38,000	72,000
Intrinsic value of options exercised | $		23,000	$ 48,000	$ 56,000
Additional information about options outstanding [Abstract]
Aggregate intrinsic value | $		$ 3,312,000
Weighted average contractual term		6 years 9 months 18 days
Additional information about exercisable options [Abstract]
Aggregate intrinsic value | $		$ 1,959,000
Weighted average contractual term		5 years 3 months 18 days
Assumptions used to derive weighted average fair value of options granted [Abstract]
Expected average risk-free interest rate (in hundredths)			2.90%	1.72%
Expected average life		10 years	10 years	10 years
Expected volatility (in hundredths)		65.70%	68.60%	70.50%
Expected dividend yield (in hundredths)		0.00%	0.00%	0.00%
Compensation expense associated with stock-based compensation plans [Abstract]
Compensation Expense | $		$ 513,000	$ 527,000	$ 463,000
Stock Options [Member] | Minimum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period		3 years
Assumptions used to derive weighted average fair value of options granted [Abstract]
Expected average risk-free interest rate (in hundredths)		2.10%
Stock Options [Member] | Maximum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period		5 years
Assumptions used to derive weighted average fair value of options granted [Abstract]
Expected average risk-free interest rate (in hundredths)		2.19%
Stock Options [Member] | Directors [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period		12 months
Compensation expense associated with stock-based compensation plans [Abstract]
Compensation Expense | $		$ 133,000	163,000	230,000
Stock Options [Member] | Employees [Member]
Compensation expense associated with stock-based compensation plans [Abstract]
Compensation Expense | $		$ 380,000	$ 364,000	$ 233,000
Restricted Stock [Member]
Restricted stock grants, number of shares [Roll Forward]
Restricted stock awards, beginning of period (in shares)		275,547	405,248	431,778
Granted (in shares)	200,000	208,000	7,000	70,307
Forfeited (in shares)		(4,334)	(2,335)	(10,160)
Vested (in shares)		(189,399)	(134,366)	(86,677)
End of period (in shares)		289,814	275,547	405,248
Weighted Average Grant Date Fair Value [Roll Forward]
Restricted stock awards, beginning of period (in dollars per share) | $ / shares		$ 3.42	$ 3.79	$ 3.82
Granted (in dollars per share) | $ / shares		3.43	3.38	4.52
Forfeited (in dollars per share) | $ / shares		4.27	3.88	3.47
Vested (in dollars per share) | $ / shares		2.47	4.52	4.57
End of period (in dollars per share) | $ / shares		$ 4.04	$ 3.42	$ 3.79
Compensation expense associated with stock-based compensation plans [Abstract]
Compensation Expense | $		$ 416,000	$ 481,000	$ 468,000
Restricted Stock [Member] | Minimum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period		3 years
Restricted Stock [Member] | Maximum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period		5 years
Restricted Stock [Member] | Employees [Member]
Compensation expense associated with stock-based compensation plans [Abstract]
Compensation Expense | $		$ 361,000	426,000	413,000
Restricted Stock [Member] | Advisors [Member]
Compensation expense associated with stock-based compensation plans [Abstract]
Compensation Expense | $		$ 55,000	$ 55,000	$ 55,000
2001 Stock Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of existing active option plans prior to merger | Plan		2
Number of terminated option plans prior to merger | Plan		2
Shares authorized (in shares)		2,000,000
Aggregate number of available for future grant (in shares)		167,427
2001 Stock Plan [Member] | Advisors [Member]
Restricted stock grants, number of shares [Roll Forward]
Granted (in shares)		13,958
2001 Stock Plan [Member] | Restricted Stock [Member]
Assumptions used to derive weighted average fair value of options granted [Abstract]
Unrecognized compensation cost related to non-vested share-based compensation arrangements granted | $		$ 2,000,000
2005 Non-Employee Directors' Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares authorized (in shares)		700,000
Aggregate number of available for future grant (in shares)		260,000
Less than 2.00 [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Exercise price range, upper range limit (in dollars per share) | $ / shares		$ 2
Number of options outstanding (in shares)		102,083
Options outstanding, weighted average remaining contractual life		4 years
Number of exercisable options (in shares)		102,083
Exercisable options, weighted average remaining contractual life		4 years
2.01 to 3.00 [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Exercise price range, lower range limit (in dollars per share) | $ / shares		$ 2.01
Exercise price range, upper range limit (in dollars per share) | $ / shares		$ 3
Number of options outstanding (in shares)		40,000
Options outstanding, weighted average remaining contractual life		2 years 3 months 18 days
Number of exercisable options (in shares)		40,000
Exercisable options, weighted average remaining contractual life		2 years 3 months 18 days
3.01 to 4.00 [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Exercise price range, lower range limit (in dollars per share) | $ / shares		$ 3.01
Exercise price range, upper range limit (in dollars per share) | $ / shares		$ 4
Number of options outstanding (in shares)		497,500
Options outstanding, weighted average remaining contractual life		8 years 6 months
Number of exercisable options (in shares)		144,377
Exercisable options, weighted average remaining contractual life		6 years 8 months 12 days
4.01 to 5.00 [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Exercise price range, lower range limit (in dollars per share) | $ / shares		$ 4.01
Exercise price range, upper range limit (in dollars per share) | $ / shares		$ 5
Number of options outstanding (in shares)		229,813
Options outstanding, weighted average remaining contractual life		5 years 8 months 12 days
Number of exercisable options (in shares)		186,307
Exercisable options, weighted average remaining contractual life		5 years 4 months 24 days
5.01 to 6.21 [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Exercise price range, lower range limit (in dollars per share) | $ / shares		$ 5.01
Exercise price range, upper range limit (in dollars per share) | $ / shares		$ 6.21
Number of options outstanding (in shares)		219,144
Options outstanding, weighted average remaining contractual life		6 years
Number of exercisable options (in shares)		151,689
Exercisable options, weighted average remaining contractual life		5 years 6 months

Stockholders' Equity (Details)

Stockholders' Equity (Details)	12 Months Ended
	Jul. 31, 2015Vote$ / sharesshares	Jul. 31, 2014$ / sharesshares	Sep. 22, 2005$ / sharesshares	Sep. 21, 2005$ / shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Common stock, par value (in dollars per share) | $ / shares	$ 0.001	$ 0.001	$ 0.001	$ 0.01667
Common stock, shares authorized (in shares)	50,000,000	50,000,000	50,000,000
Number of voting rights | Vote	1
2001 Stock Plan [Member] | Advisory Consultants [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares granted (in shares)	13,958

Research and Development Costs

Research and Development Costs (Details) - USD ($) $ in Thousands	12 Months Ended
	Jul. 31, 2015	Jul. 31, 2014	Jul. 31, 2013
Research and Development Costs [Abstract]
R&D costs incurred	$ 4,261	$ 5,158	$ 3,643

Enterprise-wide Sales Informa61

Enterprise-wide Sales Information (Details) - USD ($) $ in Thousands		12 Months Ended
		Jul. 31, 2015	Jul. 31, 2014	Jul. 31, 2013
Revenue from External Customer [Line Items]
Net sales		$ 75,019	$ 64,769	$ 62,796
Revenues from External Customers [Line Items]
Net sales		75,019	64,769	62,796
Alcon [Member]
Revenues from External Customers [Line Items]
Recognition of deferred revenue		1,300	1,300	1,300
Ophthalmic [Member]
Revenue from External Customer [Line Items]
Net sales	[1]	41,976	37,433	36,348
Neurosurgery [Member]
Revenue from External Customer [Line Items]
Net sales	[2]	31,694	26,844	25,834
Other [Member]
Revenue from External Customer [Line Items]
Net sales	[3]	1,349	492	614
Ophthalmic [Member]
Revenue from External Customer [Line Items]
Net sales	[4]	33,509	35,242	35,446
OEM [Member]
Revenue from External Customer [Line Items]
Net sales	[5]	40,678	28,671	26,469
Other [Member]
Revenue from External Customer [Line Items]
Net sales	[6]	832	856	881
Domestic [Member]
Revenues from External Customers [Line Items]
Net sales		52,530	47,794	46,489
International [Member]
Revenues from External Customers [Line Items]
Net sales		$ 22,489	$ 16,975	$ 16,307
[1]	Net sales from Ophthalmic represent all sales of ophthalmic devices from direct sales representatives, distribution partners and OEMs. Recognition of deferred revenue of $1.3 million from Alcon is included in this category for the fiscal years ended 2015, 2014 and 2013, respectively.
[2]	Net sales from Neurosurgery represent sales of electrosurgery generators, disposable bipolar forceps and related accessories and royalties from Codman, multi-channel generators, disposable ultrasonic tips and related accessories to Stryker and certain neurosurgery disposables sold through distribution. Many of the products that the Company sells to its neurosurgery OEM customers are shipped to their non-U.S. customers in various countries around the world, but are included in the Company's domestic revenues.
[3]	Other net sales represent all sales of aesthetic devices and other miscellaneous revenues.
[4]	Net sales from Ophthalmic represent sales of ophthalmic devices from direct sales representatives and distribution partners.
[5]	Net sales from OEM represent sales of electrosurgery generators, disposable bipolar forceps and related accessories and royalties from Codman, multi-channel generators, disposable ultrasonic tips and related accessories to Stryker and sales of certain disposable products. Recognition of deferred revenues of $1.3 million from Alcon is included in this category for the fiscal years ended 2015, 2014 and 2013, respectively. Many of the products that the Company sells to its neurosurgery OEM customers are shipped to their non-U.S. customers in various countries around the world, but are included in the Company's domestic revenues.
[6]	Other net sales represent direct neurosurgery revenues and other miscellaneous revenues.

Commitments and Contingencies (

Commitments and Contingencies (Details) - Change in Control Agreement [Member]	12 Months Ended
	Jul. 31, 2015
Loss Contingencies [Line Items]
Time frame for agreement to expire after the change of control	1 year
Time frame to enter into a separation agreement after termination	30 days
Number of years of base salary to be paid per agreement	1 year
Number of monthly equal installments to be paid after termination	12 months
Time frame for all awards to be exercised after termination	1 year

Quarterly Financial Data (Una63

Quarterly Financial Data (Unaudited) (Details) - USD ($)	2 Months Ended	3 Months Ended												5 Months Ended	8 Months Ended	12 Months Ended
	Jan. 31, 2015	Jul. 31, 2015	[1]	Apr. 30, 2015	[1]	Jan. 31, 2015	[1]	Oct. 31, 2014	Jul. 31, 2014	[2]	Apr. 30, 2014	Jan. 31, 2014	Oct. 31, 2013	Apr. 30, 2015	Jul. 31, 2015	Jul. 31, 2015	Jul. 31, 2014	Jul. 31, 2013
Quarterly Financial Data (Unaudited) [Abstract]
Net sales		$ 20,809,000		$ 19,375,000		$ 18,189,000		$ 16,646,000	$ 18,008,000		$ 16,135,000	$ 15,096,000	$ 15,530,000
Gross Profit		11,258,000		10,105,000		9,584,000		9,270,000	9,995,000		8,912,000	8,398,000	8,924,000			$ 40,217,000	$ 36,229,000	$ 32,371,000
Operating Income		1,966,000		1,769,000		1,198,000		1,157,000	2,156,000		1,411,000	(377,000)	1,391,000			6,090,000	4,581,000	3,721,000
Net income		$ 1,529,000		$ 1,229,000		$ 952,000		$ 768,000	$ 1,410,000		$ 943,000	$ (225,000)	$ 935,000			$ 4,478,000	$ 3,063,000	$ 2,559,000
Earnings per share - basic (in dollars per share)		$ 0.06		$ 0.05		$ 0.04		$ 0.03	$ 0.06		$ 0.04	$ (0.01)	$ 0.04			$ 0.18	$ 0.12	$ 0.10
Earnings per share - diluted (in dollars per share)		$ 0.06		$ 0.05		$ 0.04		$ 0.03	$ 0.06		$ 0.04	$ (0.01)	$ 0.04			$ 0.18	$ 0.12	$ 0.10
Basic weighted average common shares outstanding (in share)		25,372,653		25,371,764		25,364,574		25,339,983	25,352,326		25,331,925	25,309,641	25,294,020			25,362,166	25,323,622	25,243,010
Diluted weighted average common shares outstanding (in share)		25,505,648		25,476,336		25,424,835		25,390,181	25,400,341		25,392,782	25,309,641	25,389,940			25,449,027	25,393,264	25,337,525
Sterimedix [Member]
Quarterly Financial Data (Unaudited) [Abstract]
Net sales															$ 5,700,000
Net income															851,000
Business Acquisition [Line Items]
Net sales	$ 1,066,000													$ 2,266,000	2,342,000
Net income	$ 14,000													$ 320,000	$ 517,000
[1]	The results of Sterimedix are reflected in our results of operations since December 10, 2014, the date of acquisition and reflect the following: Net sales $ 2,342 $ 2,266 $ 1,066 Net income $ 517 $ 320 $ 14
[2]	The results of the private OEM Company have been reflected in our results of operations since May 3, 2014, the date of the acquisition.

Valuation Allowances and Qual64

Valuation Allowances and Qualifying Accounts (Details) - USD ($) $ in Thousands		12 Months Ended
		Jul. 31, 2015	Jul. 31, 2014	Jul. 31, 2013
Allowance for Doubtful Accounts & Returned Goods [Member]
Valuation and Qualifying Accounts Disclosure [Line Items]
Balance at Beginning of Year		$ 722	$ 495	$ 319
Charges to Cost and Expenses		113	338	207
Charges to Other Accounts	[1]	(75)	0	0
Deduction from Reserves		60	111	31
Balance at End of Year		700	722	495
Allowance for Excess and Obsolete Inventory [Member]
Valuation and Qualifying Accounts Disclosure [Line Items]
Balance at Beginning of Year		2,217	1,834	466
Charges to Cost and Expenses		454	383	1,368
Charges to Other Accounts	[1]	(4)	0	0
Deduction from Reserves		0	0	0
Balance at End of Year		$ 2,667	$ 2,217	$ 1,834
[1]	Represents foreign subsidiary financial statement translation impact charged to other comprehensive income.

Subsequent Event (Details)

Subsequent Event (Details) - Subsequent Event [Member]	Oct. 02, 2015	Sep. 01, 2015RightContingentPaymentClassAction$ / shares
Subsequent Event [Line Items]
Acquisition price per share (in dollars per share)		$ 6.50
Number of contractual rights per share issuable | Right		1
Number of contingent payments | ContingentPayment		2
Additional payments of acquisition price per share (in dollars per share)		$ 1
Number of putative stockholder class actions filed | ClassAction		4
Number of putative stockholder class actions filed in eleventh judicial circuit | ClassAction		3
Number of business days for final approval of settlement	2 days