Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Mar. 31, 2016 | May. 15, 2016 | |
Document And Entity Information | ||
Entity Registrant Name | PRECISION OPTICS CORPORATION, INC. | |
Entity Central Index Key | 867,840 | |
Document Type | 10-Q | |
Document Period End Date | Mar. 31, 2016 | |
Amendment Flag | false | |
Current Fiscal Year End Date | --06-30 | |
Is Entity a Well-known Seasoned Issuer? | No | |
Is Entity a Voluntary Filer? | No | |
Is Entity's Reporting Status Current? | Yes | |
Entity Filer Category | Smaller Reporting Company | |
Entity Common Stock, Shares Outstanding | 7,539,582 | |
Document Fiscal Period Focus | Q3 | |
Document Fiscal Year Focus | 2,016 |
CONSOLIDATED BALANCE SHEETS (Un
CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($) | Mar. 31, 2016 | Jun. 30, 2015 |
Current Assets: | ||
Cash and Cash Equivalents | $ 172,269 | $ 241,051 |
Accounts Receivable, net | 607,976 | 588,042 |
Inventories, net | 1,053,302 | 1,073,256 |
Prepaid Expenses | 100,194 | 65,182 |
Total Current Assets | 1,933,741 | 1,967,531 |
Property and Equipment: | ||
Machinery and Equipment | 2,479,471 | 2,431,127 |
Leasehold Improvements | 553,596 | 553,596 |
Furniture and Fixtures | 148,303 | 148,303 |
Vehicles | 19,674 | 19,674 |
Total | 3,201,044 | 3,152,700 |
Less: Accumulated Depreciation and Amortization | (3,115,345) | (3,096,993) |
Net Property and Equipment | 85,699 | 55,707 |
Patents, net | 22,874 | 18,644 |
TOTAL ASSETS | 2,042,314 | 2,041,882 |
Current Liabilities: | ||
Current Portion of Capital Lease Obligation | 7,728 | 0 |
Accounts Payable | 1,025,422 | 912,150 |
Customer Advances | 23,010 | 118,800 |
Accrued Employee Compensation | 176,130 | 222,222 |
Accrued Professional Services | 54,471 | 60,735 |
Accrued Warranty Expense | 25,000 | 25,000 |
Other Accrued Liabilities | 7,200 | 36,087 |
Total Current Liabilities | 1,318,961 | 1,374,994 |
Capital Lease Obligation, net of current portion | 33,968 | 0 |
Stockholders' Equity: | ||
Common Stock, $0.01 par value - Authorized - 50,000,000 shares; Issued and Outstanding - 7,539,582 shares at March 31, 2016 and 6,389,806 shares at June 30, 2015 | 75,396 | 63,898 |
Additional Paid-in Capital | 44,128,796 | 43,232,500 |
Accumulated Deficit | (43,514,807) | (42,629,510) |
Total Stockholders' Equity | 689,385 | 666,888 |
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $ 2,042,314 | $ 2,041,882 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Mar. 31, 2016 | Jun. 30, 2015 |
STOCKHOLDERS' EQUITY | ||
Common Stock par value | $ 0.01 | $ 0.01 |
Common Stock shares authorized | 50,000,000 | 50,000,000 |
Common Stock shares issued | 7,539,582 | 6,389,806 |
Common Stock shares outstanding | 7,539,582 | 6,389,806 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2016 | Mar. 31, 2015 | Mar. 31, 2016 | Mar. 31, 2015 | |
Income Statement [Abstract] | ||||
Revenues | $ 1,140,825 | $ 1,141,892 | $ 2,954,024 | $ 2,949,154 |
Cost of Goods Sold | 867,292 | 828,963 | 2,331,131 | 2,361,575 |
Gross Profit | 273,533 | 312,929 | 622,893 | 587,579 |
Research and Development Expenses, net | 118,285 | 140,177 | 377,199 | 355,782 |
Selling, General and Edministrative Expenses | 407,406 | 410,549 | 1,179,520 | 1,104,466 |
Gain on Sale of Assets | (8,480) | (691) | (26,948) | (17,901) |
Total Operating Expenses | 517,211 | 550,035 | 1,529,771 | 1,442,347 |
Operating Loss | (243,678) | (237,106) | (906,878) | (854,768) |
Interest Expense | (469) | 0 | (469) | 0 |
Other Income | 22,050 | 39,222 | 22,050 | 39,222 |
Net Loss | $ (222,097) | $ (197,884) | $ (885,297) | $ (815,546) |
Loss Per Share: | ||||
Basic | $ (0.03) | $ (0.03) | $ (0.13) | $ (0.13) |
Diluted | $ (0.03) | $ (0.03) | $ (0.13) | $ (0.13) |
Weighted Average Common Shares Outstanding: | ||||
Basic | 7,484,197 | 6,334,757 | 7,033,090 | 6,241,438 |
Diluted | 7,484,197 | 6,334,757 | 7,033,090 | 6,241,438 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) | 9 Months Ended | |
Mar. 31, 2016 | Mar. 31, 2015 | |
Cash Flows from Operating Activities: | ||
Net Loss | $ (885,297) | $ (815,546) |
Adjustments To Reconcile Net Loss to Net Cash Used in Operating Activities - | ||
Depreciation and Amortization | 18,352 | 14,962 |
Gain on Sale of Assets | (26,948) | (17,901) |
Stock-based Compensation Expense | 194,133 | 42,750 |
Non-cash Consulting Expense | 55,050 | 38,625 |
Non-cash Gain on Settlement of Liabilities by Issuing Common Stock | (22,050) | (39,222) |
Changes in Operating Assets and Liabilities - | ||
Accounts Receivable, net | (19,934) | (11,424) |
Inventories | 19,954 | (259,864) |
Prepaid Expenses | (35,012) | 21,096 |
Accounts Payable | 113,272 | 165,514 |
Customer Advances | (95,790) | 74,400 |
Accrued Expenses | (65,943) | 61,770 |
Net Cash Used in Operating Activities | (750,213) | (724,840) |
Cash Flows from Investing Activities: | ||
Additional Patent Costs | (4,230) | (10,972) |
Purchases of Property and Equipment | (4,554) | (59,973) |
Proceeds from Sale of Assets | 26,948 | 17,901 |
Net Cash Provided by (Used in) Investing Activities | 18,164 | (53,044) |
Cash Flows from Financing Activities: | ||
Payment of Capital Lease Obligation | (2,094) | 0 |
Gross Proceeds from Private Placement of Common Stock | 700,000 | 980,291 |
Private Placement Expenses Incurred | (34,639) | (121,512) |
Net Cash Provided by Financing Activities | 663,267 | 858,779 |
Net Increase (Decrease) in Cash and Cash Equivalents | (68,782) | 80,895 |
Cash and Cash Equivalents, Beginning of Period | 241,051 | 202,380 |
Cash and Cash Equivalents, End of Period | 172,269 | 283,275 |
Supplemental Disclosure of Cash Flow Information: | ||
Cash Paid for Income Taxes | 912 | 912 |
Supplemental disclosure of non-cash investing and financing activities | ||
Issuance of Common Stock to Consultants | 48,300 | 93,793 |
Acquisition of Manufacturing Equipment Under Capital Lease | $ 43,790 | $ 0 |
1. SUMMARY OF SIGNIFICANT ACCOU
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 9 Months Ended |
Mar. 31, 2016 | |
Accounting Policies [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | Principles of Consolidation and Operations The accompanying consolidated financial statements include the accounts of Precision Optics Corporation, Inc. and its wholly-owned subsidiaries (the Company). All significant intercompany accounts and transactions have been eliminated in consolidation. These consolidated financial statements have been prepared by the Company, without audit, and reflect normal recurring adjustments which, in the opinion of management, are necessary for a fair statement of the results of the third quarter and nine months of the Companys fiscal year 2016. These consolidated financial statements do not include all disclosures associated with annual consolidated financial statements and, accordingly, should be read in conjunction with footnotes contained in the Companys consolidated financial statements for the year ended June 30, 2015 together with the Report of Independent Registered Public Accounting Firm filed under cover of the Companys 2015 Annual Report on Form 10-K, filed with the Securities and Exchange Commission on October 13, 2015. Use of Estimates The preparation of these consolidated financial statements requires the Company to make estimates and judgments that affect the reported amounts of assets, liabilities, revenues and expenses. The Company bases its estimates on historical experience and on various other assumptions that are believed to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources. Actual results may differ from these estimates under different assumptions or conditions. Income (Loss) Per Share Basic income (loss) per share is computed by dividing net income or net loss by the weighted average number of shares of common stock outstanding during the period. Diluted income (loss) per share is computed by dividing net income or net loss by the weighted average number of shares of common stock outstanding during the period, plus the number of potentially dilutive securities outstanding during the period such as stock options and warrants. For the three and nine months ended March 31, 2016 and 2015, the effect of such securities was antidilutive and not included in the diluted calculation because of the net loss generated in these periods. The following is the calculation of loss per share for the three and nine months ended March 31, 2016 and 2015: Three Months Nine Months 2016 2015 2016 2015 Net Income Loss Basic and Diluted $ (222,097 ) $ (197,884 ) $ (885,297 ) $ (815,546 ) Basic Weighted Average Shares Outstanding 7,484,197 6,334,757 7,033,090 6,241,438 Potentially Dilutive Securities Diluted Weighted Average Shares Outstanding 7,484,197 6,334,757 7,033,090 6,241,438 Loss Per Share Basic $ (0.03 ) $ (0.03 ) $ (0.13 ) $ (0.13 ) Diluted $ (0.03 ) $ (0.03 ) $ (0.13 ) $ (0.13 ) The number of shares issuable upon the exercise of outstanding stock options and warrants that were excluded from the computation as their effect was antidilutive was approximately 4,168,000 and 3,794,000 for the three months ended March 31, 2016 and 2015, respectively, and approximately 4,168,000 and 3,794,000 for the nine months ended March 31, 2016 and 2015, respectively. Income Taxes Income taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating loss and tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. In assessing the likelihood of utilization of existing deferred tax assets, management has considered historical results of operations and the current operating environment. Based on this evaluation, a full valuation reserve has been provided for the deferred tax assets. |
2. INVENTORIES
2. INVENTORIES | 9 Months Ended |
Mar. 31, 2016 | |
Inventory Disclosure [Abstract] | |
INVENTORIES | Inventories are stated at the lower of cost (first-in, first-out) or market and consisted of the following: March 31, June 30, Raw Materials $ 466,062 $ 485,266 Work-In-Progress 351,702 388,503 Finished Goods 235,538 199,487 Total Inventories $ 1,053,302 $ 1,073,256 |
3. CAPITAL LEASE OBLIGATION
3. CAPITAL LEASE OBLIGATION | 9 Months Ended |
Mar. 31, 2016 | |
Debt Disclosure [Abstract] | |
CAPITAL LEASE OBLIGATION | During the quarter ended March 31, 2016, the Company entered into a five-year capital lease obligation for the acquisition of manufacturing equipment totaling $51,252. At March 31, 2016, future minimum lease payments under the capital lease obligation are as follows: Fiscal Year Amount 2016 $ 2,563 2017 10,250 2018 10,250 2019 10,250 2020 10,250 2021 5,126 Total Minimum Payments $ 48,689 Amount Representing Interest 6,993 Present Value of Minimum Lease Payments 41,696 Less current portion 7,728 $ 33,968 |
4. STOCK-BASED COMPENSATION
4. STOCK-BASED COMPENSATION | 9 Months Ended |
Mar. 31, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
STOCK-BASED COMPENSATION | Stock-based compensation costs recognized during the quarters ended March 31, 2016 and 2015 amounted to $51,705 and $2,625 respectively, and the costs were included in the accompanying consolidated statements of operations in: selling, general and administrative expenses (2016 - $33,721; 2015 - $0), research and development expenses (2016 - $9,316; 2015 - $2,625) and cost of goods sold (2016 - $8,668; 2015 - $0). Stock-based compensation costs recognized during the nine month periods ended March 31, 2016 and 2015 amounted to $194,133 and $42,750, respectively, and were included in the accompanying consolidated statements of operations in: selling, general and administrative expenses (2016 - $94,099; 2015 - $27,000), research and development expenses (2016 - $48,023, 2015 - $15,750) and cost of goods sold (2016 - $52,011, 2015 - $0). No compensation has been capitalized because such amounts would have been immaterial. The following tables summarize stock option activity for the nine months ended March 31, 2016: Options Outstanding Number of Shares Weighted Average Exercise Price Weighted Average Contractual Life Outstanding at June 30, 2015 1,079,079 $ 1.43 8.46 years Grants 60,000 0.48 Cancellations (3,800) $ 3.00 Outstanding at March 31, 2016 1,135,279 $ 1.37 7.83 years Information related to the stock options outstanding as of March 31, 2016 is as follows: Range of Exercise Prices Number of Shares Weighted-Average Remaining Contractual Life (years) Weighted-Average Exercise Price Exercisable Number of Shares Exercisable Weighted-Average Exercise Price $ 0.48 60,000 10.00 $ 0.48 20,000 $ 0.48 $ 0.73 316,000 9.14 $ 0.73 165,000 $ 0.73 $ 0.73 330,000 9.14 $ 0.73 132,915 $ 0.73 $ 0.90 35,000 8.28 $ 0.90 23,334 $ 0.90 $ 0.90 30,000 8.28 $ 0.90 30,000 $ 0.90 $ 1.20 207,800 5.92 $ 1.20 207,800 $ 1.20 $ 0.90 9,000 7.76 $ 0.90 9,000 $ 0.90 $ 0.85 9,000 6.76 $ 0.85 9,000 $ 0.85 $ 0.55 44,000 5.92 $ 0.55 44,000 $ 0.55 $ 0.27 40,000 5.29 $ 0.27 40,000 $ 0.27 $ 1.35 1,200 3.65 $ 1.35 1,200 $ 1.35 $ 1.25 1,200 2.65 $ 1.25 1,200 $ 1.25 $ 6.25 1,600 0.66 $ 6.25 1,600 $ 6.25 $ 7.75 1,200 1.66 $ 7.75 1,200 $ 7.75 $ 13.75 49,279 0.11 $ 13.75 49,279 $ 13.75 $ 0.27$13.75 1,135,279 7.83 $ 1.37 735,528 $ 1.73 The aggregate intrinsic value of the Companys in-the-money outstanding and exercisable options as of March 31, 2016 was $8,400. |
5. SALE OF STOCK
5. SALE OF STOCK | 9 Months Ended |
Mar. 31, 2016 | |
Equity [Abstract] | |
SALE OF STOCK | On October 19, 2015, the Company entered into agreements with accredited investors for the sale and purchase of 1,044,776 shares of the Companys common stock, $0.01 par value at a purchase price of $0.67 per share. The Company received $700,000 in gross proceeds from the offering. The Company has used the net proceeds from this placement for general working capital purposes. In conjunction with the placement, the Company also entered into a registration rights agreement with the investors, whereby the Company is obligated to file a registration statement with the Securities Exchange Commission on or before 90 calendar days after October 19, 2015 to register the resale by the investors of the 1,044,776 shares of the Companys common stock purchased in the placement. The registration statement was filed on January 19, 2016 and became effective on February 1, 2016. In conjunction with the offering, certain anti-dilution provisions of the warrants issued in conjunction with the Companys June 25, 2008 and September 28, 2012 financing transactions were triggered. As a result, the number of existing June 25, 2008 warrants increased from 493,398 to 517,222 and the related exercise price of the warrants decreased from $1.03 to $0.98 per share. Also, as a result of the offering, the number of existing September 28, 2012 warrants increased from 2,189,724 to 2,293,013 and 217,322 to 222,559, respectively, and the related exercise price decreased from $1.11 to $1.06 and from $0.85 to $0.83, respectively. |
6. SALE OF ASSETS
6. SALE OF ASSETS | 9 Months Ended |
Mar. 31, 2016 | |
Property, Plant and Equipment Assets Held-for-sale Disclosure [Abstract] | |
SALE OF ASSETS | During the nine months ended March 31, 2016, the Company sold equipment that was previously written off for proceeds totaling $26,948, and recorded a gain of $26,948, which is included within operating expenses in the accompanying consolidated statements of operations. |
7. OTHER INCOME
7. OTHER INCOME | 9 Months Ended |
Mar. 31, 2016 | |
Other Income and Expenses [Abstract] | |
7. OTHER INCOME | Other income in the amount of $22,050 and $39,222 for the quarter and nine months ended March 31, 2016 and 2015, respectively, represents non-cash gains on the settlement of liabilities for services rendered to the Company, by issuing 105,000 shares and 82,222 shares of common stock in February 2016 and January 2015, respectively. The non-cash gain is the difference between the recorded amount of the liabilities and the value of the stock when issued. |
1. SUMMARY OF SIGNIFICANT ACC13
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 9 Months Ended |
Mar. 31, 2016 | |
Accounting Policies [Abstract] | |
Principles of Consolidation and Operations | Principles of Consolidation and Operations The accompanying consolidated financial statements include the accounts of Precision Optics Corporation, Inc. and its wholly-owned subsidiaries (the Company). All significant intercompany accounts and transactions have been eliminated in consolidation. These consolidated financial statements have been prepared by the Company, without audit, and reflect normal recurring adjustments which, in the opinion of management, are necessary for a fair statement of the results of the third quarter and nine months of the Companys fiscal year 2016. These consolidated financial statements do not include all disclosures associated with annual consolidated financial statements and, accordingly, should be read in conjunction with footnotes contained in the Companys consolidated financial statements for the year ended June 30, 2015 together with the Report of Independent Registered Public Accounting Firm filed under cover of the Companys 2015 Annual Report on Form 10-K, filed with the Securities and Exchange Commission on October 13, 2015. |
Use of Estimates | Use of Estimates The preparation of these consolidated financial statements requires the Company to make estimates and judgments that affect the reported amounts of assets, liabilities, revenues and expenses. The Company bases its estimates on historical experience and on various other assumptions that are believed to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources. Actual results may differ from these estimates under different assumptions or conditions. |
Income (Loss) per Share | Income (Loss) Per Share Basic income (loss) per share is computed by dividing net income or net loss by the weighted average number of shares of common stock outstanding during the period. Diluted income (loss) per share is computed by dividing net income or net loss by the weighted average number of shares of common stock outstanding during the period, plus the number of potentially dilutive securities outstanding during the period such as stock options and warrants. For the three and nine months ended March 31, 2016 and 2015, the effect of such securities was antidilutive and not included in the diluted calculation because of the net loss generated in these periods. The following is the calculation of loss per share for the three and nine months ended March 31, 2016 and 2015: Three Months Nine Months 2016 2015 2016 2015 Net Income Loss Basic and Diluted $ (222,097 ) $ (197,884 ) $ (885,297 ) $ (815,546 ) Basic Weighted Average Shares Outstanding 7,484,197 6,334,757 7,033,090 6,241,438 Potentially Dilutive Securities Diluted Weighted Average Shares Outstanding 7,484,197 6,334,757 7,033,090 6,241,438 Loss Per Share Basic $ (0.03 ) $ (0.03 ) $ (0.13 ) $ (0.13 ) Diluted $ (0.03 ) $ (0.03 ) $ (0.13 ) $ (0.13 ) The number of shares issuable upon the exercise of outstanding stock options and warrants that were excluded from the computation as their effect was antidilutive was approximately 4,168,000 and 3,794,000 for the three months ended March 31, 2016 and 2015, respectively, and approximately 4,168,000 and 3,794,000 for the nine months ended March 31, 2016 and 2015, respectively. |
Income Taxes | Income Taxes Income taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating loss and tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. In assessing the likelihood of utilization of existing deferred tax assets, management has considered historical results of operations and the current operating environment. Based on this evaluation, a full valuation reserve has been provided for the deferred tax assets. |
1. SUMMARY OF SIGNIFICANT ACC14
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables) | 9 Months Ended |
Mar. 31, 2016 | |
Accounting Policies [Abstract] | |
Calculation of loss per share | Three Months Nine Months 2016 2015 2016 2015 Net Income Loss Basic and Diluted $ (222,097 ) $ (197,884 ) $ (885,297 ) $ (815,546 ) Basic Weighted Average Shares Outstanding 7,484,197 6,334,757 7,033,090 6,241,438 Potentially Dilutive Securities Diluted Weighted Average Shares Outstanding 7,484,197 6,334,757 7,033,090 6,241,438 Loss Per Share Basic $ (0.03 ) $ (0.03 ) $ (0.13 ) $ (0.13 ) Diluted $ (0.03 ) $ (0.03 ) $ (0.13 ) $ (0.13 ) |
2. INVENTORIES (Tables)
2. INVENTORIES (Tables) | 9 Months Ended |
Mar. 31, 2016 | |
Inventory Disclosure [Abstract] | |
Schedule of inventory | March 31, June 30, Raw Materials $ 466,062 $ 485,266 Work-In-Progress 351,702 388,503 Finished Goods 235,538 199,487 Total Inventories $ 1,053,302 $ 1,073,256 |
3. CAPITAL LEASE OBLIGATION (Ta
3. CAPITAL LEASE OBLIGATION (Tables) | 9 Months Ended |
Mar. 31, 2016 | |
Debt Disclosure [Abstract] | |
Future minimum capital lease payments | Fiscal Year Amount 2016 $ 2,563 2017 10,250 2018 10,250 2019 10,250 2020 10,250 2021 5,126 Total Minimum Payments $ 48,689 Amount Representing Interest 6,993 Present Value of Minimum Lease Payments 41,696 Less current portion 7,728 $ 33,968 |
4. STOCK-BASED COMPENSATION (Ta
4. STOCK-BASED COMPENSATION (Tables) | 9 Months Ended |
Mar. 31, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock option activity | Options Outstanding Number of Shares Weighted Average Exercise Price Weighted Average Contractual Life Outstanding at June 30, 2015 1,079,079 $ 1.43 8.46 years Grants 60,000 0.48 Cancellations (3,800) $ 3.00 Outstanding at March 31, 2016 1,135,279 $ 1.37 7.83 years |
Stock options outstanding by exercise price ranges | Range of Exercise Prices Number of Shares Weighted-Average Remaining Contractual Life (years) Weighted-Average Exercise Price Exercisable Number of Shares Exercisable Weighted-Average Exercise Price $ 0.48 60,000 10.00 $ 0.48 20,000 $ 0.48 $ 0.73 316,000 9.14 $ 0.73 165,000 $ 0.73 $ 0.73 330,000 9.14 $ 0.73 132,915 $ 0.73 $ 0.90 35,000 8.28 $ 0.90 23,334 $ 0.90 $ 0.90 30,000 8.28 $ 0.90 30,000 $ 0.90 $ 1.20 207,800 5.92 $ 1.20 207,800 $ 1.20 $ 0.90 9,000 7.76 $ 0.90 9,000 $ 0.90 $ 0.85 9,000 6.76 $ 0.85 9,000 $ 0.85 $ 0.55 44,000 5.92 $ 0.55 44,000 $ 0.55 $ 0.27 40,000 5.29 $ 0.27 40,000 $ 0.27 $ 1.35 1,200 3.65 $ 1.35 1,200 $ 1.35 $ 1.25 1,200 2.65 $ 1.25 1,200 $ 1.25 $ 6.25 1,600 0.66 $ 6.25 1,600 $ 6.25 $ 7.75 1,200 1.66 $ 7.75 1,200 $ 7.75 $ 13.75 49,279 0.11 $ 13.75 49,279 $ 13.75 $ 0.27$13.75 1,135,279 7.83 $ 1.37 735,528 $ 1.73 |
1. SUMMARY OF SIGNIFICANT ACC18
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details - Loss per share) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2016 | Mar. 31, 2015 | Mar. 31, 2016 | Mar. 31, 2015 | |
Accounting Policies [Abstract] | ||||
Net Income Loss - Basic and Diluted | $ (222,097) | $ (197,884) | $ (885,297) | $ (815,546) |
Basic Weighted Average Shares Outstanding | 7,484,197 | 6,334,757 | 7,033,090 | 6,241,438 |
Potentially Dilutive Securities | 0 | 0 | 0 | 0 |
Diluted Weighted Average Shares Outstanding | 7,484,197 | 6,334,757 | 7,033,090 | 6,241,438 |
Loss Per Share | ||||
Basic | $ (0.03) | $ (0.03) | $ (0.13) | $ (0.13) |
Diluted | $ (0.03) | $ (0.03) | $ (0.13) | $ (0.13) |
1. SUMMARY OF SIGNIFICANT ACC19
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Narrative) - shares | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2016 | Mar. 31, 2015 | Mar. 31, 2016 | Mar. 31, 2015 | |
Accounting Policies [Abstract] | ||||
Outstanding stock options and warrants that were excluded from the computation as their effect was antidilutive | 4,168,000 | 3,794,000 | 4,168,000 | 3,794,000 |
2. INVENTORIES (Details)
2. INVENTORIES (Details) - USD ($) | Mar. 31, 2016 | Jun. 30, 2015 |
Inventory Disclosure [Abstract] | ||
Raw materials | $ 466,062 | $ 485,266 |
Work-in-progress | 351,702 | 388,503 |
Finished goods | 235,538 | 199,487 |
Total inventories | $ 1,053,302 | $ 1,073,256 |
3. CAPITAL LEASE OBLIGATION (De
3. CAPITAL LEASE OBLIGATION (Details) | Mar. 31, 2016USD ($) |
Debt Disclosure [Abstract] | |
2,016 | $ 2,563 |
2,017 | 10,250 |
2,018 | 10,250 |
2,019 | 10,250 |
2,020 | 10,250 |
2,021 | 5,126 |
Total Minimum Payments | 48,689 |
Amount Representing Interest | 6,993 |
Present Value of Minimum Lease Payments | 41,696 |
Less – current portion | 7,728 |
Minimum lease commitment, noncurrent | 33,968 |
Capital lease obligation | $ 51,252 |
4. STOCK-BASED COMPENSATION (De
4. STOCK-BASED COMPENSATION (Details-stock option activity) - Stock Options - $ / shares | 3 Months Ended | 9 Months Ended | 12 Months Ended |
Mar. 31, 2016 | Mar. 31, 2016 | Jun. 30, 2015 | |
Number of Shares | |||
Options outstanding, beginning balance | 1,079,079 | ||
Options granted | 60,000 | ||
Options cancellations | (3,800) | ||
Options outstanding, ending balance | 1,135,279 | 1,135,279 | 1,079,079 |
Weighted Average Exercise Price | |||
Weighted average exercise price, options outstanding, beginning balance | $ 1.43 | ||
Weighted average exercise price, options outstanding, granted | 0.48 | ||
Weighted average exercise price, option cancellations | 3 | ||
Weighted average exercise price, options outstanding, ending balance | $ 1.37 | $ 1.37 | $ 1.43 |
Weighted Average Contractual Life | 7 years 9 months 29 days | 7 years 9 months 29 days | 8 years 5 months 16 days |
4. STOCK-BASED COMPENSATION (23
4. STOCK-BASED COMPENSATION (Details - Exercise price) - $ / shares | 3 Months Ended | 9 Months Ended | 12 Months Ended |
Mar. 31, 2016 | Mar. 31, 2016 | Jun. 30, 2015 | |
Stock Options | |||
Range of exercise prices | $0.27-$13.75 | ||
Number of shares outstanding | 1,135,279 | 1,135,279 | 1,079,079 |
Weighted average contractual life | 7 years 9 months 29 days | 7 years 9 months 29 days | 8 years 5 months 16 days |
Weighted average exercise price | $ 1.37 | $ 1.37 | $ 1.43 |
Exercisable number of shares | 735,528 | 735,528 | |
Exercisable weighted average exercise price | $ 1.73 | $ 1.73 | |
Option 1 | |||
Range of exercise prices | 0.48 | ||
Number of shares outstanding | 60,000 | 60,000 | |
Weighted average contractual life | 10 years | ||
Weighted average exercise price | $ .48 | $ .48 | |
Exercisable number of shares | 20,000 | 20,000 | |
Exercisable weighted average exercise price | $ .48 | $ .48 | |
Option 2 | |||
Range of exercise prices | 0.73 | ||
Number of shares outstanding | 316,000 | 316,000 | |
Weighted average contractual life | 9 years 1 month 21 days | ||
Weighted average exercise price | $ .73 | $ .73 | |
Exercisable number of shares | 165,000 | 165,000 | |
Exercisable weighted average exercise price | $ 0.73 | $ 0.73 | |
Option 3 | |||
Range of exercise prices | 0.73 | ||
Number of shares outstanding | 330,000 | 330,000 | |
Weighted average contractual life | 9 years 1 month 21 days | ||
Weighted average exercise price | $ .73 | $ .73 | |
Exercisable number of shares | 132,915 | 132,915 | |
Exercisable weighted average exercise price | $ .73 | $ .73 | |
Option 4 | |||
Range of exercise prices | 0.90 | ||
Number of shares outstanding | 35,000 | 35,000 | |
Weighted average contractual life | 8 years 3 months 11 days | ||
Weighted average exercise price | $ .90 | $ .90 | |
Exercisable number of shares | 23,334 | 23,334 | |
Exercisable weighted average exercise price | $ 0.90 | $ 0.90 | |
Option 5 | |||
Range of exercise prices | 0.90 | ||
Number of shares outstanding | 30,000 | 30,000 | |
Weighted average contractual life | 8 years 3 months 11 days | ||
Weighted average exercise price | $ .90 | $ .90 | |
Exercisable number of shares | 30,000 | 30,000 | |
Exercisable weighted average exercise price | $ .90 | $ .90 | |
Option 6 | |||
Range of exercise prices | 1.20 | ||
Number of shares outstanding | 207,800 | 207,800 | |
Weighted average contractual life | 5 years 11 months 1 day | ||
Weighted average exercise price | $ 1.20 | $ 1.20 | |
Exercisable number of shares | 207,800 | 207,800 | |
Exercisable weighted average exercise price | $ 1.20 | $ 1.20 | |
Option 7 | |||
Range of exercise prices | 0.90 | ||
Number of shares outstanding | 9,000 | 9,000 | |
Weighted average contractual life | 7 years 9 months 4 days | ||
Weighted average exercise price | $ .90 | $ .90 | |
Exercisable number of shares | 9,000 | 9,000 | |
Exercisable weighted average exercise price | $ .90 | $ .90 | |
Option 8 | |||
Range of exercise prices | 0.85 | ||
Number of shares outstanding | 9,000 | 9,000 | |
Weighted average contractual life | 6 years 9 months 4 days | ||
Weighted average exercise price | $ .85 | $ .85 | |
Exercisable number of shares | 9,000 | 9,000 | |
Exercisable weighted average exercise price | $ .85 | $ .85 | |
Option 9 | |||
Range of exercise prices | 0.55 | ||
Number of shares outstanding | 44,000 | 44,000 | |
Weighted average contractual life | 5 years 11 months 1 day | ||
Weighted average exercise price | $ .55 | $ .55 | |
Exercisable number of shares | 44,000 | 44,000 | |
Exercisable weighted average exercise price | $ .55 | $ .55 | |
Option 10 | |||
Range of exercise prices | 0.27 | ||
Number of shares outstanding | 40,000 | 40,000 | |
Weighted average contractual life | 5 years 3 months 15 days | ||
Weighted average exercise price | $ 0.27 | $ 0.27 | |
Exercisable number of shares | 40,000 | 40,000 | |
Exercisable weighted average exercise price | $ .27 | $ .27 | |
Option 11 | |||
Range of exercise prices | 1.35 | ||
Number of shares outstanding | 1,200 | 1,200 | |
Weighted average contractual life | 3 years 7 months 24 days | ||
Weighted average exercise price | $ 1.35 | $ 1.35 | |
Exercisable number of shares | 1,200 | 1,200 | |
Exercisable weighted average exercise price | $ 1.35 | $ 1.35 | |
Option 12 | |||
Range of exercise prices | 1.25 | ||
Number of shares outstanding | 1,200 | 1,200 | |
Weighted average contractual life | 2 years 7 months 24 days | ||
Weighted average exercise price | $ 1.25 | $ 1.25 | |
Exercisable number of shares | 1,200 | 1,200 | |
Exercisable weighted average exercise price | $ 1.25 | $ 1.25 | |
Option 13 | |||
Range of exercise prices | 6.25 | ||
Number of shares outstanding | 1,600 | 1,600 | |
Weighted average contractual life | 7 months 28 days | ||
Weighted average exercise price | $ 6.25 | $ 6.25 | |
Exercisable number of shares | 1,600 | 1,600 | |
Exercisable weighted average exercise price | $ 6.25 | $ 6.25 | |
Option 14 | |||
Range of exercise prices | 7.75 | ||
Number of shares outstanding | 1,200 | 1,200 | |
Weighted average contractual life | 1 year 7 months 28 days | ||
Weighted average exercise price | $ 7.75 | $ 7.75 | |
Exercisable number of shares | 1,200 | 1,200 | |
Exercisable weighted average exercise price | $ 7.75 | $ 7.75 | |
Option 15 | |||
Range of exercise prices | 13.75 | ||
Number of shares outstanding | 49,279 | 49,279 | |
Weighted average contractual life | 1 month 10 days | ||
Weighted average exercise price | $ 13.75 | $ 13.75 | |
Exercisable number of shares | 49,279 | 49,279 | |
Exercisable weighted average exercise price | $ 13.75 | $ 13.75 |
4. STOCK-BASED COMPENSATION (24
4. STOCK-BASED COMPENSATION (Details Narrative) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2016 | Mar. 31, 2015 | Mar. 31, 2016 | Mar. 31, 2015 | |
Stock-based compensation costs | $ 51,705 | $ 2,625 | $ 194,133 | $ 42,750 |
Aggregate intrinsic value of "in the money" outstanding | 8,400 | 8,400 | ||
Aggregate intrinsic value of "in the money" exercisable | 8,400 | 8,400 | ||
Selling, General and Administrative Expenses | ||||
Stock-based compensation costs | 33,721 | 0 | 94,099 | 27,000 |
Research and Development Expenses | ||||
Stock-based compensation costs | 9,316 | 2,625 | 48,023 | 15,750 |
Cost of Goods Sold | ||||
Stock-based compensation costs | $ 8,668 | $ 0 | $ 52,011 | $ 0 |
5. SALE OF STOCK (Details Narra
5. SALE OF STOCK (Details Narrative) | 9 Months Ended |
Mar. 31, 2016USD ($)$ / sharesshares | |
Stock issued new shares | 1,044,776 |
Proceeds from sale of stock | $ | $ 700,000 |
June 25, 2008 Warrants | |
Warrants outstanding | 517,222 |
Warrant exercise price | $ / shares | $ .98 |
September 28, 2012 Warrants | |
Warrants outstanding | 2,293,013 |
Warrant exercise price | $ / shares | $ 1.06 |
September 28, 2012 Warrants 2 | |
Warrants outstanding | 222,559 |
Warrant exercise price | $ / shares | $ .83 |
6. SALE OF ASSETS (Details Narr
6. SALE OF ASSETS (Details Narrative) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2016 | Mar. 31, 2015 | Mar. 31, 2016 | Mar. 31, 2015 | |
Property, Plant and Equipment Assets Held-for-sale Disclosure [Abstract] | ||||
Proceeds from sale of assets | $ 26,948 | $ 17,901 | ||
Gain on sale of assets | $ 8,480 | $ 691 | $ 26,948 | $ 17,901 |
7. OTHER INCOME (Details Narrat
7. OTHER INCOME (Details Narrative) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2016 | Mar. 31, 2015 | Mar. 31, 2016 | Mar. 31, 2015 | |
Other Income and Expenses [Abstract] | ||||
Gains on settlement of liabilities | $ 22,050 | $ 39,222 | $ 22,050 | $ 39,222 |
Stock issued for settlement of liabilities, shares issued | 105,000 | 82,222 |