ITEX (ITEX) 10-Q 11 Jun 15 2015 Q3 Quarterly report Financial data

Document_And_Entity_Informatio

Document And Entity Information	9 Months Ended
	Apr. 30, 2015
Document Information [Line Items]
Entity Registrant Name	ITEX CORP
Entity Central Index Key	860518
Current Fiscal Year End Date	-24
Entity Filer Category	Smaller Reporting Company
Trading Symbol	ITEX
Entity Common Stock, Shares Outstanding	2,096,862
Document Type	10-Q
Amendment Flag	FALSE
Document Period End Date	30-Apr-15
Document Fiscal Period Focus	Q3
Document Fiscal Year Focus	2015

CONSOLIDATED_BALANCE_SHEETS

CONSOLIDATED BALANCE SHEETS (USD $)	Apr. 30, 2015	Jul. 31, 2014
In Thousands, unless otherwise specified
Current assets:
Cash	$1,287	$3,673
Accounts receivable, net of allowance of $441 and $357	926	658
Prepaid expenses	168	104
Loans and advances	5	15
Deferred tax asset, net of allowance of $15	542	542
Notes receivable	306	318
Other current assets	20	30
Total current assets	3,254	5,340
Property and equipment, net of accumulated depreciation of $443 and $415	47	74
Goodwill	3,191	3,191
Deferred tax asset, net of allowance of $95 and net of current portion	3,246	3,492
Intangible assets, net of accumulated amortization of $3,311 and $3,270	116	157
Notes receivable, net of current portion	868	1,106
Other long-term assets	10	11
Total assets	10,732	13,371
Current liabilities:
Accounts and other expenses payable	41	52
Commissions payable to brokers	454	267
Accrued commissions to brokers	549	728
Accrued expenses	303	254
Deferred revenue	26	32
Advance payments	119	106
Note payable, current portion	0	3
Total current liabilities	1,492	1,442
Total liabilities	1,492	1,442
Commitments and contingencies
Stockholders’ equity:
Common stock, $0.01 par value; 9,000 shares authorized; 1,899 shares and 2,602 shares issued and outstanding, respectively	19	26
Additional paid-in capital	22,335	25,222
Stockholder notes receivable	-7	-161
Accumulated deficit	-13,107	-13,158
Total stockholders' equity	9,240	11,929
Total liabilities and stockholders’ equity	$10,732	$13,371

CONSOLIDATED_BALANCE_SHEETS_Pa

CONSOLIDATED BALANCE SHEETS [Parenthetical] (USD $)	Apr. 30, 2015	Jul. 31, 2014
In Thousands, except Share data, unless otherwise specified
Allowance for doubtful accounts receivable	$441	$357
Deferred tax assets, valuation allowance, current	15	15
Accumulated depreciation of property and equipment	443	415
Allowance for deferred tax asset, noncurrent	95	95
Accumulated amortization of intangible assets	$3,311	$3,270
Common stock, par value (in dollars per share)	$0.01	$0.01
Common stock, shares authorized (in shares)	9,000	9,000
Common stock, shares issued (in shares)	1,899	2,602
Common stock, shares outstanding (in shares)	1,899	2,602

CONSOLIDATED_STATEMENTS_OF_INC

CONSOLIDATED STATEMENTS OF INCOME (USD $)	3 Months Ended		9 Months Ended
In Thousands, except Per Share data, unless otherwise specified	Apr. 30, 2015	Apr. 30, 2014	Apr. 30, 2015	Apr. 30, 2014
Revenue:
Marketplace revenue and other revenue	$2,783	$3,214	$9,138	$10,336
Costs and expenses:
Cost of Marketplace revenue	1,673	1,915	5,609	6,360
Salaries, wages and employee benefits	459	588	1,416	1,736
Selling, general and administrative	319	481	1,389	1,495
Depreciation and amortization	23	24	68	96
Costs and Expenses, Total	2,474	3,008	8,482	9,687
Income from operations	309	206	656	649
Other income:
Other income	20	24	69	83
Other income, net	20	24	69	83
Income before income taxes	329	230	725	732
Income tax expense	111	75	244	238
Net income	$218	$155	$481	$494
Net income per common share:
Basic (in dollars per share)	$0.09	$0.06	$0.19	$0.19
Diluted (in dollars per share)	$0.09	$0.06	$0.19	$0.19
Weighted average shares outstanding:
Basic (in shares)	2,527	2,623	2,589	2,618
Diluted (in shares)	2,533	2,628	2,594	2,618

CONSOLIDATED_STATEMENT_OF_STOC

CONSOLIDATED STATEMENT OF STOCKHOLDERS' EQUITY (USD $)	Total	Common Stock [Member]	Additional Paid-in Capital [Member]	Stockholder Notes Receivable [Member]	Accumulated Deficit [Member]
In Thousands
Balance at Jul. 31, 2014	$11,929	$26	$25,222	($161)	($13,158)
Balance (in shares) at Jul. 31, 2014		2,602
Common Stock repurchased and retired	-42	0	-42	0	0
Common Stock repurchased and retired (in shares)		-14
Tender offer	-3,000	-8	-2,992	0	0
Tender offer (in shares)		-750
Payments on stockholder notes receivable	37	0	0	37	0
Payments On Stockholder Notes receivables (in shares)		0
Cancellation of broker stock purchase	0	0	-117	117	0
Cancellation of broker stock purchase (in shares)		-29
Stock based compensation expense	265	1	264	0	0
Stock based compensation expense (in shares)		90
Dividend payment	-430	0	0	0	-430
Dividend payment (in shares)		0
Net income	481	0	0	0	481
Balance at Apr. 30, 2015	$9,240	$19	$22,335	($7)	($13,107)
Balance (in shares) at Apr. 30, 2015		1,899

CONSOLIDATED_STATEMENTS_OF_CAS

CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $)	9 Months Ended
In Thousands, unless otherwise specified	Apr. 30, 2015	Apr. 30, 2014
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income	$481	$494
Items to reconcile to net cash provided by operations:
Depreciation and amortization	68	96
Stock based compensation	265	309
Increase (decrease) in allowance for uncollectible receivables	84	-27
Change in deferred income taxes	246	256
Changes in operating assets and liabilities:
Accounts receivable	-352	-276
Prepaid expenses	-64	-71
Loans and advances	10	-27
Other assets	11	-29
Accounts payable and other expenses payable	-11	-4
Commissions payable to brokers	187	-299
Accrued commissions to brokers	-179	378
Accrued expenses	49	40
Deferred revenue	-6	-5
Advance payments	13	-31
Long-term liabilities	0	-8
Net cash provided by operating activities	802	796
CASH FLOWS FROM INVESTING ACTIVITIES:
Payments on note payable	-3	-2
Purchase of property and equipment	0	-47
Payments received from notes receivable	280	353
Advances on loans	-30	-442
Net cash provided by (used in) provided by investing activities	247	-138
CASH FLOWS FROM FINANCING ACTIVITIES:
Principal payments on Broker notes receivable	37	44
Repurchase of Common stock	-42	-352
Tender offer	-3,000	0
Cash dividend paid to Common Shareholders	-430	-435
Net cash used in financing activities	-3,435	-743
Net decrease in cash	-2,386	-85
Cash at beginning of period	3,673	3,352
Cash at end of period	1,287	3,267
Supplemental cash flow information:
Cash paid for taxes	14	48
Cancellation of Brokers notes receivable	$117	$0

SUMMARY_OF_SIGNIFICANT_ACCOUNT

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	9 Months Ended
	Apr. 30, 2015
Accounting Policies [Abstract]
Organization, Consolidation and Presentation of Financial Statements Disclosure and Significant Accounting Policies [Text Block]	NOTE 1 –SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
	(In thousands, except per share amounts)
	Description of the Company
	ITEX Corporation (“ITEX”, “Company”, “we” or “us”) was incorporated in October 1985 in the State of Nevada. Through our independent licensed broker and franchise networks (individually, “broker,” and together the “Broker Network”) in the United States and Canada, we operate a marketplace (the “Marketplace”) in which products and services are exchanged by Marketplace members utilizing our “virtual currency” (“ITEX dollars”). Our virtual currency is only usable in the Marketplace and allows thousands of member businesses (our “members”) to acquire products and services without exchanging cash. We administer the Marketplace and provide record-keeping and payment transaction processing services for our members.
	Unaudited Interim Financial Information
	We have prepared the accompanying consolidated financial statements pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”) for interim financial reporting. These consolidated financial statements are unaudited and, in our opinion, include all adjustments, consisting of normal recurring adjustments and accruals necessary for a fair presentation of our consolidated balance sheets, operating results, and cash flows for the periods presented. Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) have been omitted in accordance with the rules and regulations of the SEC. The preparation of financial statements in conformity with GAAP requires management to make certain estimates and assumptions that affect the reported amount of assets and liabilities and the disclosure of contingent liabilities as of the date of the financial statements and the reported amount of revenue and expenses during the reporting period. These consolidated financial statements should be read in conjunction with the audited consolidated financial statements and accompanying notes in Item 8 of Part II, “Financial Statements and Supplementary Data,” of our 2014 Annual Report on Form 10-K filed with the SEC on October 15, 2014.
	Principles of Consolidation
	The consolidated financial statements include the accounts of ITEX Corporation and its wholly owned subsidiaries BXI Exchange, Inc and Virtual Currency Systems Corp. All inter-company accounts and transactions have been eliminated in consolidation.
	Use of Estimates
	Management has made a number of estimates and assumptions relating to the reporting of revenues, expenses, assets and liabilities and the disclosure of contingent assets and liabilities to prepare these consolidated financial statements. Actual results could differ from these estimates.
	Income per Share
	We prepare our financial statements using both basic and diluted earnings per share. Basic earnings per share excludes potential dilution and is computed by dividing income available to common stockholders by the weighted-average number of common shares outstanding for the period. Diluted earnings per share reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock or resulted in the issuance of common stock that then shared in the earnings of the Company. As of April 30, 2015, we had no contracts to issue common stock. The Company also had 198 unvested shares of restricted stock of which 15 shares were dilutive and resulted in additional 5 shares being included in dilutive earnings per share for the nine-months ended April 30, 2015.
	The following table presents a reconciliation of the denominators used in the computation of net income per common share basic and net income per common share – diluted for the three and nine-month periods ended April 30, 2015 and 2014 (in thousands, except per share data) (unaudited):
		Three-months Ended				Nine-months Ended
		April 30,				April 30,
		2015		2014		2015		2014
	Net income available for shareholders	$	218	$	155	$	481	$	494
	Weighted avg. outstanding shares of common stock		2,527		2,623		2,589		2,618
	Dilutive effect of restricted shares		6		5		5		-
	Common stock and equivalents		2,533		2,628		2,594		2,618
	Earnings per share:
	Basic	$	0.09	$	0.06	$	0.19	$	0.19
	Diluted	$	0.09	$	0.06	$	0.19	$	0.19
	Recent Accounting Pronouncements
	In May 2014, the FASB issued ASU 2014-09, "Revenue from Contracts with Customers," which amended revenue recognition guidance to clarify the principles for recognizing revenue from contracts with customers. The guidance requires an entity to recognize revenue to depict the transfer of goods or services to customers in an amount that reflects the consideration to which an entity expects to be entitled in exchange for those goods or services. The guidance also requires expanded disclosures relating to the nature, amount, timing, and uncertainty of revenue and cash flows arising from contracts with customers. Additionally, qualitative and quantitative disclosures are required about customer contracts, significant judgments and changes in judgments, and assets recognized from the costs to obtain or fulfill a contract. This accounting guidance will be effective for the Company beginning in the first quarter of fiscal year 2018 using one of two prescribed retrospective methods. Early adoption is not permitted. We have not yet selected a transition method, nor have we determined the effect of the standard on our ongoing financial reporting.

COMMITMENTS

COMMITMENTS	9 Months Ended
	Apr. 30, 2015
Commitments and Contingencies Disclosure [Abstract]
Commitments Disclosure [Text Block]	NOTE 2 – COMMITMENTS
	The Company leases office space under an operating lease. The lease commitment is for the Company’s corporate headquarters in Bellevue, Washington. The term of the lease expires the earlier of April 30, 2016 or upon 90 days’ notice from either the Company or its landlord.
	Rent expense, including utilities and common area charges, was $47 and $48, respectively for the three-month periods ended April 30, 2015 and 2014. Rent expense was $128 for each of the nine-month periods ended April 30, 2015 and 2014.
	In addition to the foregoing lease commitments, the Company is a party to several non-cancelable and non-refundable purchase commitments. Those purchase obligations consist primarily of arrangements for telecommunications and co-location services for the Company’s network operations.
	There are no future minimum payments at April 30, 2015 under any non-cancelable commitments.

LEGAL_PROCEEDINGS_AND_LITIGATI

LEGAL PROCEEDINGS AND LITIGATION CONTINGENCIES	9 Months Ended
	Apr. 30, 2015
Commitments and Contingencies Disclosure [Abstract]
Legal Matters and Contingencies [Text Block]	NOTE 3 – LEGAL PROCEEDINGS AND LITIGATION CONTINGENCIES
	From time to time we are subject to a variety of claims and litigation incurred in the ordinary course of business. In our opinion, the outcome of our pending legal proceedings, individually or in the aggregate, will not have a material adverse effect on our business operations, results of operations, cash flows or financial condition.
	Management has regular litigation reviews, including updates from outside counsel, to assess the need for accounting recognition or disclosure of contingencies relating to pending lawsuits. The Company accrues an undiscounted liability for those contingencies where the incurrence of a loss is probable, and the amount can be reasonably estimated. The Company does not record liabilities when the likelihood that the liability has been incurred is probable but the amount cannot be reasonably estimated or when the liability is believed to be only reasonably possible or remote. For contingencies where an unfavorable outcome is reasonably possible and which are significant, the Company discloses the nature of the contingency and, where feasible, an estimate of the possible loss. For purposes of our litigation contingency disclosures, “significant” includes material matters as well as other items which management believes should be disclosed.
	Management judgment is required related to contingent liabilities and the outcome of litigation because both are difficult to predict. Litigation is subject to inherent uncertainties and unfavorable rulings could occur. Although management currently does not believe resolving any pending proceeding will have a material adverse impact on our financial statements, management’s view of these matters may change in the future. A material adverse impact on our financial statements could occur for the period in which the effect of an unfavorable final outcome becomes probable and reasonably estimable.

INCOME_TAXES

INCOME TAXES	9 Months Ended
	Apr. 30, 2015
Income Tax Disclosure [Abstract]
Income Tax Disclosure [Text Block]	NOTE 4 – INCOME TAXES
	Income tax expense during interim periods is based on applying an estimated annual effective income tax rate to year-to-date income, plus any significant unusual or infrequently occurring items which are recorded in the interim period.
	The Federal effective tax rate related to our provision for income taxes in the three and nine-months ended April 30, 2015 is similar to that used in the similar periods ended April 30, 2014. The State effective tax rate related to our provision for income taxes in the three and nine-months ended April 30, 2015 is lower than that used in the three and nine-month periods ended April 30, 2014, due to the resolution of certain state tax positions which led to a reduction in the accrued expenses on our consolidated balance sheet for uncertain tax positions related primarily to state jurisdictions.
	The computation of the annual estimated effective tax rate at each interim period requires certain estimates and significant judgment including, but not limited to, the expected operating income for the year, projections of the proportion of income earned and taxed in various jurisdictions, permanent and temporary differences, and the likelihood of recovering deferred tax assets generated in the current year. The accounting estimates used to compute the provision for income taxes may change as new events occur, more experience is obtained, additional information becomes known or as the tax environment changes.
	For the nine-months ended April 30, 2015 we have recognized income tax expense of $244 for our estimated federal and state income tax provision including both current and deferred income taxes for the nine-months ended April 30, 2015. Realization of our deferred tax asset is dependent upon future earnings in specific tax jurisdictions, the timing and amount of which are uncertain.  As of April 30, 2015 the net deferred tax asset was $3,788.
	We account for any uncertainty in income taxes by recognizing the tax benefit from an uncertain tax position only if it is more likely than not that the tax position will be sustained on examination by the taxing authorities, based on the technical merits of the position. We measure the tax benefits recognized in the financial statements from such a position based on the largest benefit that has a greater than 50% likelihood of being realized upon ultimate resolution. The application of income tax law is inherently complex. As such, we are required to make subjective assumptions and judgments regarding income tax exposures. The result of the reassessment of our tax positions did not have an impact on the consolidated financial statements.

STOCKHOLDERS_EQUITY

STOCKHOLDERS' EQUITY	9 Months Ended
	Apr. 30, 2015
Stockholders' Equity Note [Abstract]
Stockholders' Equity Note Disclosure [Text Block]	NOTE 5 – STOCKHOLDERS’ EQUITY (in thousands, except per share amounts)
	On March 16, 2015, the Company commenced a partial tender offer to purchase up to 750 shares of its common stock, at a price of $4.00 per share. The tender offer expired on April 15, 2015. Based on the final tabulation by OTR, Inc., the depositary for the tender offer, approximately 889 shares of ITEX common stock were properly tendered and not withdrawn and not excluded because tendered conditionally. ITEX accepted for purchase 750 shares of its common stock, including all “odd lots” properly tendered, at a purchase price of $4.00 per share, for an aggregate cost of $3,000, excluding fees and expenses relating to the tender offer. The shares purchased in the tender offer represented approximately 26.1% of ITEX’s outstanding common shares (including shares of unvested restricted stock).
	The Company has 5,000 shares of preferred stock authorized at $0.01 par value. No preferred shares were issued or outstanding as of April 30, 2015.
	On March 9, 2010, the Company announced a $2,000 stock repurchase program, authorized by the Board of Directors. The program authorizes the repurchase of shares in open market purchases or privately negotiated transactions, has no expiration date and may be modified or discontinued by the Board of Directors at any time. During the nine-month period ended April 30, 2015, the Company repurchased 14 shares of common stock for $42. During the nine-month period ended April 30, 2014, the Company repurchased 83 shares of common stock for $352.

STOCKBASED_PAYMENTS

STOCK-BASED PAYMENTS	9 Months Ended
	Apr. 30, 2015
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Disclosure of Compensation Related Costs, Share-based Payments [Text Block]	NOTE 6 – STOCK-BASED PAYMENTS (in thousands, except per share amounts)
	We account for stock-based compensation in accordance with the related guidance. Under the fair value recognition provisions, we estimate stock-based compensation cost at the grant date based on the fair value of the award. We recognize that expense ratably over the requisite service period of the award and recognized $265 and $309 of stock based compensation expense for the nine-month periods ended April 30, 2015 and 2014, respectively.
	At April 30, 2015, 183 shares of common stock granted under the 2004 Plan remained unvested and 15 under the 2014 plan. At April 30, 2015, the Company had $669 of unrecognized compensation expense, expected to be recognized in the future over a weighted-average period of approximately six years.

SUBSEQUENT_EVENTS

SUBSEQUENT EVENTS	9 Months Ended
	Apr. 30, 2015
Subsequent Events [Abstract]
Subsequent Events [Text Block]	NOTE 7 – SUBSEQUENT EVENTS
	At our Annual Meeting of Stockholders held on May 15, 2015, the stockholders re-elected the incumbent directors for another term and ratified the selection of EKS&H as our independent registered public accounting firm for the fiscal year ending July 31, 2015.
	On May 15, 2015, the Board of Directors of ITEX Corporation declared a cash dividend of $0.05 per share payable on June 19, 2015, to stockholders of record as of the close of business on June 9, 2015.

SUMMARY_OF_SIGNIFICANT_ACCOUNT1

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	9 Months Ended
	Apr. 30, 2015
Accounting Policies [Abstract]
Quarterly Financial Information Policy [Policy Text Block]	Unaudited Interim Financial Information
	We have prepared the accompanying consolidated financial statements pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”) for interim financial reporting. These consolidated financial statements are unaudited and, in our opinion, include all adjustments, consisting of normal recurring adjustments and accruals necessary for a fair presentation of our consolidated balance sheets, operating results, and cash flows for the periods presented. Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) have been omitted in accordance with the rules and regulations of the SEC. The preparation of financial statements in conformity with GAAP requires management to make certain estimates and assumptions that affect the reported amount of assets and liabilities and the disclosure of contingent liabilities as of the date of the financial statements and the reported amount of revenue and expenses during the reporting period. These consolidated financial statements should be read in conjunction with the audited consolidated financial statements and accompanying notes in Item 8 of Part II, “Financial Statements and Supplementary Data,” of our 2014 Annual Report on Form 10-K filed with the SEC on October 15, 2014.
Consolidation, Policy [Policy Text Block]	Principles of Consolidation
	The consolidated financial statements include the accounts of ITEX Corporation and its wholly owned subsidiaries BXI Exchange, Inc and Virtual Currency Systems Corp. All inter-company accounts and transactions have been eliminated in consolidation.
Use of Estimates, Policy [Policy Text Block]	Use of Estimates
	Management has made a number of estimates and assumptions relating to the reporting of revenues, expenses, assets and liabilities and the disclosure of contingent assets and liabilities to prepare these consolidated financial statements. Actual results could differ from these estimates.
Earnings Per Share, Policy [Policy Text Block]	Income per Share
	We prepare our financial statements using both basic and diluted earnings per share. Basic earnings per share excludes potential dilution and is computed by dividing income available to common stockholders by the weighted-average number of common shares outstanding for the period. Diluted earnings per share reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock or resulted in the issuance of common stock that then shared in the earnings of the Company. As of April 30, 2015, we had no contracts to issue common stock. The Company also had 198 unvested shares of restricted stock of which 15 shares were dilutive and resulted in additional 5 shares being included in dilutive earnings per share for the nine-months ended April 30, 2015.
	The following table presents a reconciliation of the denominators used in the computation of net income per common share basic and net income per common share – diluted for the three and nine-month periods ended April 30, 2015 and 2014 (in thousands, except per share data) (unaudited):
		Three-months Ended				Nine-months Ended
		April 30,				April 30,
		2015		2014		2015		2014
	Net income available for shareholders	$	218	$	155	$	481	$	494
	Weighted avg. outstanding shares of common stock		2,527		2,623		2,589		2,618
	Dilutive effect of restricted shares		6		5		5		-
	Common stock and equivalents		2,533		2,628		2,594		2,618
	Earnings per share:
	Basic	$	0.09	$	0.06	$	0.19	$	0.19
	Diluted	$	0.09	$	0.06	$	0.19	$	0.19
New Accounting Pronouncements, Policy [Policy Text Block]	Recent Accounting Pronouncements
	In May 2014, the FASB issued ASU 2014-09, "Revenue from Contracts with Customers," which amended revenue recognition guidance to clarify the principles for recognizing revenue from contracts with customers. The guidance requires an entity to recognize revenue to depict the transfer of goods or services to customers in an amount that reflects the consideration to which an entity expects to be entitled in exchange for those goods or services. The guidance also requires expanded disclosures relating to the nature, amount, timing, and uncertainty of revenue and cash flows arising from contracts with customers. Additionally, qualitative and quantitative disclosures are required about customer contracts, significant judgments and changes in judgments, and assets recognized from the costs to obtain or fulfill a contract. This accounting guidance will be effective for the Company beginning in the first quarter of fiscal year 2018 using one of two prescribed retrospective methods. Early adoption is not permitted. We have not yet selected a transition method, nor have we determined the effect of the standard on our ongoing financial reporting.

SUMMARY_OF_SIGNIFICANT_ACCOUNT2

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)	9 Months Ended
	Apr. 30, 2015
Accounting Policies [Abstract]
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block]	The following table presents a reconciliation of the denominators used in the computation of net income per common share basic and net income per common share – diluted for the three and nine-month periods ended April 30, 2015 and 2014 (in thousands, except per share data) (unaudited):
		Three-months Ended				Nine-months Ended
		April 30,				April 30,
		2015		2014		2015		2014
	Net income available for shareholders	$	218	$	155	$	481	$	494
	Weighted avg. outstanding shares of common stock		2,527		2,623		2,589		2,618
	Dilutive effect of restricted shares		6		5		5		-
	Common stock and equivalents		2,533		2,628		2,594		2,618
	Earnings per share:
	Basic	$	0.09	$	0.06	$	0.19	$	0.19
	Diluted	$	0.09	$	0.06	$	0.19	$	0.19

SUMMARY_OF_SIGNIFICANT_ACCOUNT3

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details) (USD $)	3 Months Ended		9 Months Ended
In Thousands, except Per Share data, unless otherwise specified	Apr. 30, 2015	Apr. 30, 2014	Apr. 30, 2015	Apr. 30, 2014
Earnings Per Share, Diluted, by Common Class, Including Two Class Method [Line Items]
Net income available for shareholders	$218	$155	$481	$494
Weighted avg. outstanding shares of common stock (in shares)	2,527	2,623	2,589	2,618
Dilutive effect of restricted shares (in shares)	6	5	5	0
Common stock and equivalents (in shares)	2,533	2,628	2,594	2,618
Earnings per share:
Basic (in dollars per share)	$0.09	$0.06	$0.19	$0.19
Diluted (in dollars per share)	$0.09	$0.06	$0.19	$0.19

SUMMARY_OF_SIGNIFICANT_ACCOUNT4

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Textual)	9 Months Ended
In Thousands, unless otherwise specified	Apr. 30, 2015
Equity Incentive 2014 Plan [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number	15
Restricted Stock [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	198

COMMITMENTS_Details_Textual

COMMITMENTS (Details Textual) (USD $)	3 Months Ended		9 Months Ended
In Thousands, unless otherwise specified	Apr. 30, 2015	Apr. 30, 2014	Apr. 30, 2015	Apr. 30, 2014
Other Commitments [Line Items]
Operating Leases, Rent Expense	$47	$48	$128	$128

INCOME_TAXES_Details_Textual

INCOME TAXES (Details Textual) (USD $)	3 Months Ended		9 Months Ended
In Thousands, unless otherwise specified	Apr. 30, 2015	Apr. 30, 2014	Apr. 30, 2015	Apr. 30, 2014
Income Taxes [Line Items]
Income Tax Expense (Benefit)	$111	$75	$244	$238
Deferred Income Tax Expense (Benefit)			$3,788

STOCKHOLDERS_EQUITY_Details_Te

STOCKHOLDERS' EQUITY (Details Textual) (USD $)	0 Months Ended	9 Months Ended
In Thousands, except Per Share data, unless otherwise specified	Mar. 16, 2015	Apr. 30, 2015	Apr. 30, 2014
Preferred Stock, Par or Stated Value Per Share (in dollars per share)		$0.01
Preferred Stock, Shares Authorized (in shares)		5,000
Stock Repurchase Program, Authorized Amount		$2,000
Stock Repurchased During Period, Shares		14	83
Stock Repurchased During Period, Value		42	352
Tender Offer To Purchase Common Stock Shares	750
Tender Offer To Purchase Common Stock Price Per Share	$4
Partial Tender Offer Commencement Date	16-Mar-15
Outstanding Shares Purchase By Tender Offer Aggregate Percentage	26.10%
Tender Offer Aggregate Cost	$3,000
Common Stock Tendered	889
Accepted For Purchase Common Stock Including Odd Lots	750
Accepted For Purchase Common Stock Including Odd Lots Price Per Share	$4

STOCKBASED_PAYMENTS_Details_Te

STOCK-BASED PAYMENTS (Details Textual) (USD $)	9 Months Ended
In Thousands, unless otherwise specified	Apr. 30, 2015	Apr. 30, 2014
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based Compensation, Total	$265	$309
Equity Incentive 2014 Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Employee Service Share-based Compensation, Nonvested Awards, Compensation Not yet Recognized, Share-based Awards Other than Options	$669
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition	6 years
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number	183

SUBSEQUENT_EVENTS_Details_Text

SUBSEQUENT EVENTS (Details Textual) (USD $)	9 Months Ended
	Apr. 30, 2015
Subsequent Event [Line Items]
Subsequent Event, Date	15-May-15
Dividends Payable, Amount Per Share (in dollars per share)	$0.05
Dividends Payable, Date to be Paid	19-Jun-15
Dividends Payable, Date of Record	9-Jun-15