ADDvantage Technologies (AEYGQ) 10-Q 14 Aug 18 2018 Q3 Quarterly report Financial data

Document And Entity Information

Document And Entity Information - shares	9 Months Ended
	Jun. 30, 2018	Jul. 31, 2018
Document Information [Line Items]
Entity Registrant Name	ADDVANTAGE TECHNOLOGIES GROUP INC
Entity Central Index Key	874,292
Trading Symbol	aey
Current Fiscal Year End Date	--09-30
Entity Filer Category	Smaller Reporting Company
Entity Current Reporting Status	Yes
Entity Voluntary Filers	No
Entity Well-known Seasoned Issuer	No
Entity Common Stock, Shares Outstanding (in shares)		10,306,145
Document Type	10-Q
Document Period End Date	Jun. 30, 2018
Document Fiscal Year Focus	2,018
Document Fiscal Period Focus	Q3
Amendment Flag	false

Consolidated Condensed Balance

Consolidated Condensed Balance Sheets (Current Period Unaudited) - USD ($)	Jun. 30, 2018	Sep. 30, 2017
Assets
Cash and cash equivalents	$ 2,141,434	$ 3,972,723
Accounts receivable, net of allowance for doubtful accounts of $150,000	5,078,143	5,567,005
Income tax receivable	197,418	247,186
Inventories, net of allowance for excess and obsolete inventory of $3,500,000 and $2,939,289, respectively	20,045,232	22,333,820
Prepaid expenses	274,605	298,152
Total current assets	27,736,832	32,418,886
Land and buildings	7,211,190	7,218,678
Machinery and equipment	3,792,933	3,995,668
Leasehold improvements	200,617	202,017
Total property and equipment, at cost	11,204,740	11,416,363
Less: Accumulated depreciation	(5,522,693)	(5,395,791)
Net property and equipment	5,682,047	6,020,572
Investment in and loans to equity method investee	89,500	98,704
Intangibles, net of accumulated amortization	7,607,554	8,547,487
Goodwill	4,820,185	5,970,244
Deferred income taxes	1,731,000	1,653,000
Other assets	134,443	138,712
Total assets	47,801,561	54,847,605
Current liabilities:
Accounts payable	2,665,043	3,392,725
Accrued expenses	1,346,663	1,406,722
Notes payable – current portion	2,976,044	4,189,605
Other current liabilities	657,498	664,325
Total current liabilities	7,645,248	9,653,377
Notes payable, less current portion		2,094,246
Other liabilities	792,896	1,401,799
Total liabilities	8,438,144	13,149,422
Shareholders’ equity:
Common stock, $.01 par value; 30,000,000 shares authorized;10,806,803 and 10,726,653 shares issued, respectively; 10,306,145 and 10,225,995 shares outstanding, respectively	108,068	107,267
Paid in capital	(4,608,875)	(4,746,466)
Retained earnings	44,864,238	47,337,396
Total shareholders’ equity before treasury stock	40,363,431	42,698,197
Less: Treasury stock, 500,658 shares, at cost	(1,000,014)	(1,000,014)
Total shareholders’ equity	39,363,417	41,698,183
Total liabilities and shareholders’ equity	$ 47,801,561	$ 54,847,605

Consolidated Condensed Balance3

Consolidated Condensed Balance Sheets (Current Period Unaudited) (Parentheticals) - USD ($)	Jun. 30, 2018	Sep. 30, 2017
Accounts receivable, allowance for doubtful accounts	$ 150,000	$ 150,000
Inventories, allowance for excess and obsolete inventory	$ 3,500,000	$ 2,939,289
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	30,000,000	30,000,000
Common stock, shares issued (in shares)	10,806,803	10,726,653
Common stock, shares outstanding (in shares)	10,306,145	10,225,995
Treasury stock, shares (in shares)	500,658	500,658

Consolidated Condensed Statemen

Consolidated Condensed Statements of Operations (Unaudited) - USD ($)	3 Months Ended		9 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Sales	$ 12,573,899	$ 12,989,990	$ 36,508,192	$ 36,380,572
Cost of sales	9,490,966	9,234,039	26,699,039	24,836,563
Gross profit	3,082,933	3,755,951	9,809,153	11,544,009
Operating, selling, general and administrative expenses	3,641,434	3,757,027	10,717,539	11,031,276
Goodwill impairment charge	1,150,059		1,150,059
Income (loss) from operations	(1,708,560)	(1,076)	(2,058,445)	512,733
Other income (expense):
Loss from equity method investment			(258,558)
Interest expense	(45,139)	(85,787)	(187,155)	(279,764)
Total other expense, net	(45,139)	(85,787)	(445,713)	(279,764)
Income (loss) before income taxes	(1,753,699)	(86,863)	(2,504,158)	232,969
Provision (benefit) for income taxes	(247,000)	(20,000)	(31,000)	72,000
Net income (loss)	$ (1,506,699)	$ (66,863)	$ (2,473,158)	$ 160,969
Earnings (loss) per share:
Basic (in dollars per share)	$ (0.15)	$ (0.01)	$ (0.24)	$ 0.02
Diluted (in dollars per share)	$ (0.15)	$ (0.01)	$ (0.24)	$ 0.02
Shares used in per share calculation:
Basic (in shares)	10,306,145	10,192,244	10,261,617	10,160,017
Diluted (in shares)	10,306,145	10,192,244	10,261,617	10,160,582

Consolidated Condensed Stateme5

Consolidated Condensed Statements of Cash Flows (Unaudited) - USD ($)	9 Months Ended
	Jun. 30, 2018	Jun. 30, 2017
Operating Activities
Net income (loss)	$ (2,473,158)	$ 160,969
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
Depreciation	289,104	328,673
Amortization	939,933	953,871
Provision for excess and obsolete inventories	560,711	433,579
Charge for lower of cost or net realizable value for inventories	219,846	119,257
Loss on disposal of property and equipment	41,354
Deferred income tax benefit	(78,000)	(157,000)
Share based compensation expense	122,142	130,390
Goodwill impairment charge	1,150,059
Loss from equity method investment	258,558
Changes in assets and liabilities:
Accounts receivable	682,708	(629,035)
Income tax receivable\payable	49,768	379,083
Inventories	1,322,302	(539,594)
Prepaid expenses	39,797	14,078
Other assets	4,269	(424)
Accounts payable	(727,682)	908,972
Accrued expenses	(48,678)	93,613
Other liabilities	51,270	88,312
Net cash provided by operating activities	2,404,303	2,284,744
Investing Activities
Acquisition of net operating assets		(6,643,540)
Guaranteed payments for acquisition of business	(667,000)	(1,000,000)
Loan repayments from (loans to) equity method investee	(249,354)	2,299,921
Purchases of property and equipment	(35,331)	(169,560)
Disposals of property and equipment	23,900	1,817
Net cash used in investing activities	(927,785)	(5,511,362)
Financing Activities
Net change in bank revolving line of credit	500,000
Proceeds from notes payable		4,000,000
Debt issuance costs		(16,300)
Payments on notes payable	(3,807,807)	(1,520,700)
Net cash provided by (used in) financing activities	(3,307,807)	2,463,000
Net decrease in cash and cash equivalents	(1,831,289)	(763,618)
Cash and cash equivalents at beginning of period	3,972,723	4,508,126
Cash and cash equivalents at end of period	2,141,434	3,744,508
Supplemental cash flow information:
Cash paid for interest	173,282	256,882
Cash paid for (received from) income taxes	5,146	(200,000)
Supplemental noncash investing activities:
Deferred guaranteed payments for acquisition of business		(1,836,105)
Note receivable from disposition of net operating assets	$ 225,000

Note 1 - Basis of Presentation

Note 1 - Basis of Presentation and Accounting Policies	9 Months Ended
	Jun. 30, 2018
Notes to Financial Statements
Basis of Presentation and Significant Accounting Policies [Text Block]	Note 1 Basis of Presentation and Accounting Policies Basis of presentation The consolidated condensed financial statements include the accounts of ADDvantage Technologies Group, Inc. and its subsidiaries, all of which are wholly owned (collectively, the “Company” or “we”). Intercompany balances and transactions have been eliminated in consolidation. The Company’s reportable segments are Cable Television (“Cable TV”) and Telecommunications (“Telco”). The accompanying unaudited consolidated condensed financial statements have been prepared in accordance with accounting principles generally accepted in the United States for interim financial statements and do not not 10 September 30, 2017. Reclassification Certain prior year amounts have been reclassified to conform to the current year presentation. These reclassifications had no Recently Issued Accounting Standards In May 2014, 2014 09: 606 August 2015, 2015 14: 606 2014 09 one 2014 09 December 15, 2017. 2014 09, not 2014 09 In February 2016, 2016 02: 842 twelve December 15, 2018 2016 02 not $3 In March 2016, 2016 09: 718 December 15, 2016 2016 09 not not 2016 09 October 1, 2017. In June 2016, 2016 13: 326 2016 13 December 15, 2019, may December 15, 2018, In August 2016, 2016 15: 230 eight December 15, 2017, 2016 15, In January 2017, 2017 04: 350 second not December 15, 2019, 2017 04 June 30, 2018 June 30, 2018 ( 4

Note 2 - Inventories

Note 2 - Inventories	9 Months Ended
	Jun. 30, 2018
Notes to Financial Statements
Inventory Disclosure [Text Block]	Note 2 Inventories Inventories at June 30, 2018 September 30, 2017 June 30, 2018 September 30, 2017 New: Cable TV $ 12,325,608 $ 14,014,188 Telco 936,404 990,218 Refurbished and used: Cable TV 3,087,361 3,197,426 Telco 7,195,859 7,071,277 Allowance for excess and obsolete inventory: Cable TV (2,800,000 ) (2,300,000 ) Telco (700,000 ) (639,289 ) $ 20,045,232 $ 22,333,820 New inventory includes products purchased from manufacturers plus “surplus-new”, which are unused products purchased from other distributors or multiple system operators. Refurbished inventory includes factory refurbished, Company refurbished and used products. Generally, the Company does not The Company regularly reviews the Cable TV segment inventory quantities on hand, and an adjustment to cost is recognized when the loss of usefulness of an item or other factors, such as obsolete and excess inventories, indicate that cost will not $0.5 nine June 30, 2018, $2.8 June 30, 2018. For the Telco segment, any obsolete or excess telecommunications inventory is generally processed through its recycling program when it is identified. However, the Telco segment has identified certain inventory that more than likely will not not not $0.7 June 30, 2018. nine June 30, 2018, $0.1 nine June 30, 2018 June 30, 2017 $0.2 $0.1

Note 3 - Intangible Assets

Note 3 - Intangible Assets	9 Months Ended
	Jun. 30, 2018
Notes to Financial Statements
Intangible Assets Disclosure [Text Block]	Note 3 – Intangible Assets The intangible assets with their associated accumulated amortization amounts at June 30, 2018 September 30, 2017 June 30, 2018 Gross Accumulated Amortization Net Intangible assets: Customer relationships – 10 years $ 8,152,000 $ (2,510,092 ) $ 5,641,908 Technology – 7 years 1,303,000 (806,616 ) 496,384 Trade name – 10 years 2,119,000 (701,405 ) 1,417,595 Non-compete agreements – 3 years 374,000 (322,333 ) 51,667 Total intangible assets $ 11,948,000 $ (4,340,446 ) $ 7,607,554 September 30, 2017 Gross Accumulated Amortization Net Intangible assets: Customer relationships – 10 years $ 8,152,000 $ (1,898,691 ) $ 6,253,309 Technology – 7 years 1,303,000 (667,009 ) 635,991 Trade name – 10 years 2,119,000 (542,480 ) 1,576,520 Non-compete agreements – 3 years 374,000 (292,333 ) 81,667 Total intangible assets $ 11,948,000 $ (3,400,513 ) $ 8,547,487

Note 4 - Goodwill

Note 4 - Goodwill	9 Months Ended
	Jun. 30, 2018
Notes to Financial Statements
Goodwill Disclosure [Text Block]	Note 4 The Company performs its annual analysis in the fourth third As a result of these indicators, the Company determined that it was necessary to perform the goodwill impairment analysis for the Cable TV segment. This analysis compares a calculation of the estimated fair value for the Cable TV segment utilizing a discounted cash flow analysis and compares it to the carrying value of the Cable TV segment. The Company determined that the carrying value of the Cable TV segment exceeded the fair value. In accordance with ASU 2017 04, June 30, 2018, not $1.2 three June 30, 2018,

Note 5 - Income Taxes

Note 5 - Income Taxes	9 Months Ended
	Jun. 30, 2018
Notes to Financial Statements
Income Tax Disclosure [Text Block]	Note 5 – In come Taxes The Tax Cuts and Jobs Act was enacted on December 22, 2017. 34% 21% January 1, 2018. October 1, 2018 24.3%. nine $0.4 no

Note 6 - Notes Payable and Line

Note 6 - Notes Payable and Line of Credit	9 Months Ended
	Jun. 30, 2018
Notes to Financial Statements
Debt Disclosure [Text Block]	Note 6 – Notes Payable and Line of Credit Notes Payable On May 31, 2018, March 31, 2018 10 May 15, 2018, not March 31, 2018 Under the forbearance agreement, which is Amendment Ten to the Credit and Term Loan Agreement, Lender agrees to delete the fixed charge ratio covenant from the Credit and Term Loan Agreement and to forbear from exercising its rights and remedies under the Credit and Term Loan Agreement through October 31, 2018 ● Reduce the revolving line commitment from $5.0 $3.0 ● Lender is not ● Limit the Company’s capital expenditure to $100,000 ● Require semi-monthly reporting of its borrowing base calculation; ● The Company must remain in compliance with the terms of the amended Credit and Term Loan Agreement. The Company believes that it will be able to secure funding from a different lender based on its continued ability to service the existing debt, its available assets, and the sales strategy and operational improvements it is implementing within its segments. Revolving credit and term loans created under the Credit and Term Loan Agreement are collateralized by inventory, accounts receivable, equipment and fixtures, general intangibles and a mortgage on certain property. Among other financial covenants, the Credit and Term Loan Agreement provides that the Company maintain a leverage ratio (total funded debt to EBITDA) of not 2.50 1.0. At June 30, 2018, two first $0.6 June 30, 2018 October 31, 2018, $15,334 30 1.4% 3.40% June 30, 2018) The second $1.8 June 30, 2018 October 31, 2018, $118,809. 4.40%. On December 6, 2017, one $2.7 $25,000. Line of Credit On May 31, 2018, October 31, 2018 $3.0 $5.0 June 30, 2018, $0.5 – 30 2.75% 4.82% June 30, 2018), October 31, 2018. $3.0 80% 50% $3.0 June 30, 2018. Fair Value of Debt FASB ASC 820, Fair Value Measurements and Disclosures, three ● Level 1 ● Level 2 1 ● Level 3 not The Company has determined the carrying value of its variable-rate term loan approximates its fair value since the interest rate fluctuates periodically based on a floating interest rate. The Company has determined the fair value of its fixed-rate term loan utilizing the Level 2 $1.8 June 30, 2018.

Note 7 - Earnings Per Share

Note 7 - Earnings Per Share	9 Months Ended
	Jun. 30, 2018
Notes to Financial Statements
Earnings Per Share [Text Block]	Note 7 – Earnings Per Share Basic earnings per share are based on the sum of the average number of common shares outstanding and issuable, restricted and deferred shares. Diluted earnings per share include any dilutive effect of stock options and restricted stock. In computing the diluted weighted average shares, the average share price for the period is used in determining the number of shares assumed to be reacquired under the treasury stock method from the exercise of options. Basic and diluted earnings (loss) per share for the three nine June 30, 2018 2017 Three Months Ended June 30, Nine Months Ended June 30, 2018 2017 2018 2017 Net income (loss) attributable to common shareholders $ (1,506,699 ) $ (66,863 ) $ (2,473,158 ) $ 160,969 Basic weighted average shares 10,306,145 10,192,244 10,261,617 10,160,017 Effect of dilutive securities: Stock options – – – 565 Diluted weighted average shares 10,306,145 10,192,244 10,261,617 10,160,582 Earnings (loss) per common share: Basic $ (0.15 ) $ (0.01 ) $ (0.24 ) $ 0.02 Diluted $ (0.15 ) $ (0.01 ) $ (0.24 ) $ 0.02 The table below includes information related to stock options that were outstanding at the end of each respective three nine June 30, three nine June 30, Three Months Ended June 30, Nine Months Ended June 30, 2018 2017 2018 2017 Stock options excluded 645,000 700,000 645,000 650,000 Weighted average exercise price of stock options $ 2.59 $ 2.54 $ 2.59 $ 2.60 Average market price of common stock $ 1.29 $ 1.72 $ 1.38 $ 1.77

Note 8 - Stock-based Compensati

Note 8 - Stock-based Compensation	9 Months Ended
	Jun. 30, 2018
Notes to Financial Statements
Disclosure of Compensation Related Costs, Share-based Payments [Text Block]	Note 8 Plan Information The 2015 may not At June 30, 2018, 1,100,415 187,301 Stock Options All share-based payments to employees, including grants of employee stock options, are recognized in the financial statements based on their grant date fair value over the requisite service period. Compensation expense for share-based awards is included in the operating, selling, general and administrative expense section of the Company’s consolidated condensed statements of operations. Stock options are valued at the date of the award, which does not four five ten ten A summary of the status of the Company's stock options at June 30, 2018 nine Shares Wtd. Avg. Ex. Price Outstanding at September 30, 2017 700,000 $ 2.54 Granted – – Exercised – – Expired – – Forfeited (55,000 ) $ 1.86 Outstanding at June 30, 2018 645,000 $ 2.59 Exercisable at June 30, 2018 551,667 $ 2.73 No nine June 30, 2018. zero not zero Compensation expense related to unvested stock options recorded for the nine June 30, 2018 Nine Months Ended June 30, 2018 Fiscal year 2016 grant $ 1,789 Fiscal year 2017 grant $ 31,603 The Company records compensation expense over the vesting term of the related options. At June 30, 2018, not $33,999. Restricted Stock The Company granted restricted stock in March 2018 80,150 12 12 $105,000, 12

Note 9 - Segment Reporting

Note 9 - Segment Reporting	9 Months Ended
	Jun. 30, 2018
Notes to Financial Statements
Segment Reporting Disclosure [Text Block]	Note 9 – Segment Reporting The Company is reporting its financial performance based on its external reporting segments: Cable Television and Telecommunications. These reportable segments are described below. Cable Television (“Cable TV”) The Company’s Cable TV segment sells new, surplus and re-manufactured cable television equipment throughout North America, Central America, South America and, to a substantially lesser extent, other international regions that utilize the same technology. In addition, this segment repairs cable television equipment for various cable companies. Telecommunications (“Telco”) The Company’s Telco segment sells new and used telecommunications networking equipment, including both central office and customer premise equipment, to its customer base of telecommunications providers, enterprise customers and resellers located primarily in North America. In addition, this segment offers its customers decommissioning services for surplus and obsolete equipment, which it in turn processes through its recycling program. The Company evaluates performance and allocates its resources based on operating income. The accounting policies of its reportable segments are the same as those described in the summary of significant accounting policies. Segment assets consist primarily of cash and cash equivalents, accounts receivable, inventory, property and equipment, goodwill and intangible assets. Three Months Ended Nine Months Ended June 30, 2018 June 30, 2017 June 30, 2018 June 30, 2017 Sales Cable TV $ 4,898,902 $ 6,037,503 $ 15,370,405 $ 17,609,293 Telco 7,680,559 6,954,787 21,145,659 18,858,229 Intercompany (5,562 ) (2,300 ) (7,872 ) (86,950 ) Total sales $ 12,573,899 $ 12,989,990 $ 36,508,192 $ 36,380,572 Gross profit Cable TV $ 1,089,582 $ 1,874,513 $ 3,830,092 $ 6,029,913 Telco 1,993,351 1,881,438 5,979,061 5,514,096 Total gross profit $ 3,082,933 $ 3,755,951 $ 9,809,153 $ 11,544,009 Income (loss) from operations Cable TV $ (1,355,387 ) $ 414,383 $ (1,247,733 ) $ 1,586,013 Telco (353,173 ) (415,459 ) (810,712 ) (1,073,280 ) Total income (loss) from operations $ (1,708,560 ) $ (1,076 ) $ (2,058,445 ) $ 512,733 June 30, 2018 September 30, 2017 Segment assets Cable TV $ 19,743,820 $ 24,116,395 Telco 23,328,865 24,135,091 Non-allocated 4,728,876 6,596,119 Total assets $ 47,801,561 $ 54,847,605

Significant Accounting Policies

Significant Accounting Policies (Policies)	9 Months Ended
	Jun. 30, 2018
Accounting Policies [Abstract]
Basis of Accounting, Policy [Policy Text Block]	Basis of presentation The consolidated condensed financial statements include the accounts of ADDvantage Technologies Group, Inc. and its subsidiaries, all of which are wholly owned (collectively, the “Company” or “we”). Intercompany balances and transactions have been eliminated in consolidation. The Company’s reportable segments are Cable Television (“Cable TV”) and Telecommunications (“Telco”). The accompanying unaudited consolidated condensed financial statements have been prepared in accordance with accounting principles generally accepted in the United States for interim financial statements and do not not 10 September 30, 2017.
Reclassification, Policy [Policy Text Block]	Reclassification Certain prior year amounts have been reclassified to conform to the current year presentation. These reclassifications had no
New Accounting Pronouncements, Policy [Policy Text Block]	Recently Issued Accounting Standards In May 2014, 2014 09: 606 August 2015, 2015 14: 606 2014 09 one 2014 09 December 15, 2017. 2014 09, not 2014 09 In February 2016, 2016 02: 842 twelve December 15, 2018 2016 02 not $3 In March 2016, 2016 09: 718 December 15, 2016 2016 09 not not 2016 09 October 1, 2017. In June 2016, 2016 13: 326 2016 13 December 15, 2019, may December 15, 2018, In August 2016, 2016 15: 230 eight December 15, 2017, 2016 15, In January 2017, 2017 04: 350 second not December 15, 2019, 2017 04 June 30, 2018 June 30, 2018 ( 4

Note 2 - Inventories (Tables)

Note 2 - Inventories (Tables)	9 Months Ended
	Jun. 30, 2018
Notes Tables
Schedule of Inventory, Current [Table Text Block]	June 30, 2018 September 30, 2017 New: Cable TV $ 12,325,608 $ 14,014,188 Telco 936,404 990,218 Refurbished and used: Cable TV 3,087,361 3,197,426 Telco 7,195,859 7,071,277 Allowance for excess and obsolete inventory: Cable TV (2,800,000 ) (2,300,000 ) Telco (700,000 ) (639,289 ) $ 20,045,232 $ 22,333,820

Note 3 - Intangible Assets (Tab

Note 3 - Intangible Assets (Tables)	9 Months Ended
	Jun. 30, 2018
Notes Tables
Schedule of Intangible Assets and Goodwill [Table Text Block]	June 30, 2018 Gross Accumulated Amortization Net Intangible assets: Customer relationships – 10 years $ 8,152,000 $ (2,510,092 ) $ 5,641,908 Technology – 7 years 1,303,000 (806,616 ) 496,384 Trade name – 10 years 2,119,000 (701,405 ) 1,417,595 Non-compete agreements – 3 years 374,000 (322,333 ) 51,667 Total intangible assets $ 11,948,000 $ (4,340,446 ) $ 7,607,554 September 30, 2017 Gross Accumulated Amortization Net Intangible assets: Customer relationships – 10 years $ 8,152,000 $ (1,898,691 ) $ 6,253,309 Technology – 7 years 1,303,000 (667,009 ) 635,991 Trade name – 10 years 2,119,000 (542,480 ) 1,576,520 Non-compete agreements – 3 years 374,000 (292,333 ) 81,667 Total intangible assets $ 11,948,000 $ (3,400,513 ) $ 8,547,487

Note 7 - Earnings Per Share (Ta

Note 7 - Earnings Per Share (Tables)	9 Months Ended
	Jun. 30, 2018
Notes Tables
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block]	Three Months Ended June 30, Nine Months Ended June 30, 2018 2017 2018 2017 Net income (loss) attributable to common shareholders $ (1,506,699 ) $ (66,863 ) $ (2,473,158 ) $ 160,969 Basic weighted average shares 10,306,145 10,192,244 10,261,617 10,160,017 Effect of dilutive securities: Stock options – – – 565 Diluted weighted average shares 10,306,145 10,192,244 10,261,617 10,160,582 Earnings (loss) per common share: Basic $ (0.15 ) $ (0.01 ) $ (0.24 ) $ 0.02 Diluted $ (0.15 ) $ (0.01 ) $ (0.24 ) $ 0.02
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share [Table Text Block]	Three Months Ended June 30, Nine Months Ended June 30, 2018 2017 2018 2017 Stock options excluded 645,000 700,000 645,000 650,000 Weighted average exercise price of stock options $ 2.59 $ 2.54 $ 2.59 $ 2.60 Average market price of common stock $ 1.29 $ 1.72 $ 1.38 $ 1.77

Note 8 - Stock-based Compensa19

Note 8 - Stock-based Compensation (Tables)	9 Months Ended
	Jun. 30, 2018
Notes Tables
Share-based Compensation, Stock Options, Activity [Table Text Block]	Shares Wtd. Avg. Ex. Price Outstanding at September 30, 2017 700,000 $ 2.54 Granted – – Exercised – – Expired – – Forfeited (55,000 ) $ 1.86 Outstanding at June 30, 2018 645,000 $ 2.59 Exercisable at June 30, 2018 551,667 $ 2.73
Schedule of Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Table Text Block]	Nine Months Ended June 30, 2018 Fiscal year 2016 grant $ 1,789 Fiscal year 2017 grant $ 31,603

Note 9 - Segment Reporting (Tab

Note 9 - Segment Reporting (Tables)	9 Months Ended
	Jun. 30, 2018
Notes Tables
Schedule of Segment Reporting Information, by Segment [Table Text Block]	Three Months Ended Nine Months Ended June 30, 2018 June 30, 2017 June 30, 2018 June 30, 2017 Sales Cable TV $ 4,898,902 $ 6,037,503 $ 15,370,405 $ 17,609,293 Telco 7,680,559 6,954,787 21,145,659 18,858,229 Intercompany (5,562 ) (2,300 ) (7,872 ) (86,950 ) Total sales $ 12,573,899 $ 12,989,990 $ 36,508,192 $ 36,380,572 Gross profit Cable TV $ 1,089,582 $ 1,874,513 $ 3,830,092 $ 6,029,913 Telco 1,993,351 1,881,438 5,979,061 5,514,096 Total gross profit $ 3,082,933 $ 3,755,951 $ 9,809,153 $ 11,544,009 Income (loss) from operations Cable TV $ (1,355,387 ) $ 414,383 $ (1,247,733 ) $ 1,586,013 Telco (353,173 ) (415,459 ) (810,712 ) (1,073,280 ) Total income (loss) from operations $ (1,708,560 ) $ (1,076 ) $ (2,058,445 ) $ 512,733 June 30, 2018 September 30, 2017 Segment assets Cable TV $ 19,743,820 $ 24,116,395 Telco 23,328,865 24,135,091 Non-allocated 4,728,876 6,596,119 Total assets $ 47,801,561 $ 54,847,605

Note 1 - Basis of Presentatio21

Note 1 - Basis of Presentation and Accounting Policies (Details Textual) $ in Millions	Oct. 01, 2018USD ($)
Accounting Standards Update 2016-02 [Member] | Scenario, Forecast [Member]
Operating Lease, Right-of-Use Asset	$ 3

Note 2 - Inventories (Details T

Note 2 - Inventories (Details Textual) - USD ($)	9 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Sep. 30, 2017
Inventory Write-down	$ 560,711	$ 433,579
Inventory Valuation Reserves, Ending Balance	3,500,000		$ 2,939,289
Cable TV [Member]
Inventory Write-down	500,000
Inventory Valuation Reserves, Ending Balance	2,800,000		2,300,000
Telco [Member]
Inventory Write-down	700,000
Inventory Valuation Reserves, Ending Balance	700,000		$ 639,289
Inventory, Lower of Cost or Market Reserve	200,000	$ 100,000
Telco [Member] | SEC Schedule, 12-09, Reserve, Inventory [Member]
SEC Schedule, 12-09, Valuation Allowances and Reserves, Increase (Decrease) Adjustment	$ 100,000

Note 2 - Inventories - Schedule

Note 2 - Inventories - Schedule of Inventory (Details) - USD ($)	Jun. 30, 2018	Sep. 30, 2017
Refurbished and used:
Inventory Valuation Reserve	$ (3,500,000)	$ (2,939,289)
	20,045,232	22,333,820
Cable TV [Member]
Refurbished and used:
Inventory Valuation Reserve	(2,800,000)	(2,300,000)
Cable TV [Member] | New Inventory [Member]
New:
Inventory Gross	12,325,608	14,014,188
Refurbished and used:
Inventory Gross	12,325,608	14,014,188
Cable TV [Member] | Refurbished and Used Inventory [Member]
New:
Inventory Gross	3,087,361	3,197,426
Refurbished and used:
Inventory Gross	3,087,361	3,197,426
Telco [Member]
Refurbished and used:
Inventory Valuation Reserve	(700,000)	(639,289)
Telco [Member] | New Inventory [Member]
New:
Inventory Gross	936,404	990,218
Refurbished and used:
Inventory Gross	936,404	990,218
Telco [Member] | Refurbished and Used Inventory [Member]
New:
Inventory Gross	7,195,859	7,071,277
Refurbished and used:
Inventory Gross	$ 7,195,859	$ 7,071,277

Note 3 - Intangible Assets - Sc

Note 3 - Intangible Assets - Schedule of Intangible Assets (Details) - USD ($)	Jun. 30, 2018	Sep. 30, 2017
Gross	$ 11,948,000	$ 11,948,000
Accumulated Amortization	(4,340,446)	(3,400,513)
Net	7,607,554	8,547,487
Customer Relationships [Member]
Gross	8,152,000	8,152,000
Accumulated Amortization	(2,510,092)	(1,898,691)
Net	5,641,908	6,253,309
Technology-Based Intangible Assets [Member]
Gross	1,303,000	1,303,000
Accumulated Amortization	(806,616)	(667,009)
Net	496,384	635,991
Trade Names [Member]
Gross	2,119,000	2,119,000
Accumulated Amortization	(701,405)	(542,480)
Net	1,417,595	1,576,520
Noncompete Agreements [Member]
Gross	374,000	374,000
Accumulated Amortization	(322,333)	(292,333)
Net	$ 51,667	$ 81,667

Note 3 - Intangible Assets - 25

Note 3 - Intangible Assets - Schedule of Intangible Assets (Details) (Parentheticals)	9 Months Ended	12 Months Ended
	Jun. 30, 2018	Sep. 30, 2017
Customer Relationships [Member]
Finite-lived intangible asset, useful life (Year)	10 years	10 years
Technology-Based Intangible Assets [Member]
Finite-lived intangible asset, useful life (Year)	7 years	7 years
Trade Names [Member]
Finite-lived intangible asset, useful life (Year)	10 years	10 years
Noncompete Agreements [Member]
Finite-lived intangible asset, useful life (Year)	3 years	3 years

Note 4 - Goodwill (Details Text

Note 4 - Goodwill (Details Textual) - USD ($)	3 Months Ended		9 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Goodwill, Impairment Loss	$ 1,150,059		$ 1,150,059

Note 5 - Income Taxes (Details

Note 5 - Income Taxes (Details Textual) - USD ($) $ in Millions	3 Months Ended	9 Months Ended	12 Months Ended
	Dec. 31, 2017	Jun. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent	34.00%
Income Tax Expense (Benefit), Continuing Operations, Adjustment of Deferred Tax (Asset) Liability		$ 0.4
Scenario, Forecast [Member]
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent			21.00%	24.30%

Note 6 - Notes Payable and Li28

Note 6 - Notes Payable and Line of Credit (Details Textual)	Dec. 06, 2017USD ($)	Oct. 14, 2016USD ($)	Jun. 30, 2018USD ($)	Jun. 29, 2018USD ($)
Line of Credit Facility, Maximum Capital Expenditure, Forbearance Period			$ 100,000
Number of Term Loans Outstanding			2
Term Loan 3 [Member]
Payments for Loans	$ 2,700,000
Prepayment Penalty	$ 25,000
Credit and Term Loan Agreement [Member]
Fixed Charge Leverage Ratio, Maximum Requirement			2.5
Credit and Term Loan Agreement [Member] | Term Loan 1 [Member]
Loans Payable, Total			$ 600,000
Debt Instrument, Periodic Payment, Principal			$ 15,334
Debt Instrument, Interest Rate, Effective Percentage			3.40%
Credit and Term Loan Agreement [Member] | Term Loan 1 [Member] | London Interbank Offered Rate (LIBOR) [Member]
Debt Instrument, Basis Spread on Variable Rate			1.40%
Credit and Term Loan Agreement [Member] | Term Loan 2 [Member]
Loans Payable, Total			$ 1,800,000
Debt Instrument, Periodic Payment, Total		$ 118,809
Debt Instrument, Interest Rate, Stated Percentage		4.40%
Credit and Term Loan Agreement [Member] | Revolving Credit Facility [Member]
Line of Credit Facility, Maximum Borrowing Capacity			3,000,000	$ 5,000,000
Line of Credit Facility, Current Borrowing Capacity			$ 3,000,000
Percentage of Qualified Accounts Receivable Used in Determination of Maximum Borrowing Capacity of Line of Credit			80.00%
Percentage of Qualified Inventory Used in Determination of Maximum Borrowing Capacity of Line of Credit			50.00%
Credit and Term Loan Agreement [Member] | Revolving Credit Facility [Member] | Line of Credit [Member]
Debt Instrument, Interest Rate, Effective Percentage			4.82%
Credit and Term Loan Agreement [Member] | Revolving Credit Facility [Member] | London Interbank Offered Rate (LIBOR) [Member] | Line of Credit [Member]
Debt Instrument, Basis Spread on Variable Rate			2.75%
Credit and Term Loan Agreement [Member] | Revolving Line Of Credit [Member]
Line of Credit Facility, Fair Value of Amount Outstanding			$ 500,000

Note 7 - Earnings Per Share - B

Note 7 - Earnings Per Share - Basic and Diluted Earnings Per Share (Details) - USD ($)	3 Months Ended		9 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Net income (loss) attributable to common shareholders	$ (1,506,699)	$ (66,863)	$ (2,473,158)	$ 160,969
Basic weighted average shares (in shares)	10,306,145	10,192,244	10,261,617	10,160,017
Effect of dilutive securities:
Stock options (in shares)				565
Diluted weighted average shares (in shares)	10,306,145	10,192,244	10,261,617	10,160,582
Earnings (loss) per common share:
Basic (in dollars per share)	$ (0.15)	$ (0.01)	$ (0.24)	$ 0.02
Diluted (in dollars per share)	$ (0.15)	$ (0.01)	$ (0.24)	$ 0.02

Note 7 - Earnings Per Share - A

Note 7 - Earnings Per Share - Anti-dilutive Securities (Details) - $ / shares	3 Months Ended		9 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Stock options excluded (in shares)	645,000	700,000	645,000	650,000
Weighted average exercise price of stock options (in dollars per share)	$ 2.59	$ 2.54	$ 2.59	$ 2.60
Average market price of common stock (in dollars per share)	$ 1.29	$ 1.72	$ 1.38	$ 1.77

Note 8 - Stock-based Compensa31

Note 8 - Stock-based Compensation (Details Textual) xbrli-pure in Thousands	9 Months Ended
	Jun. 30, 2018USD ($)shares
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross	0
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Total | $	$ 33,999
Nonqualified Stock Options [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Dividend Rate	0.00%
Employees [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period	4 years
Employees [Member] | Employee Stock Option [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period	10 years
Employees [Member] | Maximum [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period	5 years
Board Of Directors [Member] | Employee Stock Option [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period	10 years
Board of Directors and Officer [Member]
Stock Issued During Period, Shares, Restricted Stock Award, Gross	80,150
Restricted Stock Holding Period	1 year
Fair Value Of Restricted Shares Upon Issuance | $	$ 105,000
The 2015 Incentive Stock Plan [Member]
Common Stock, Capital Shares Reserved for Future Issuance	1,100,415
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant	187,301

Note 8 - Stock-based Compensa32

Note 8 - Stock-based Compensation - Summary of the Status of the Company's Stock Options (Details)	9 Months Ended
	Jun. 30, 2018$ / sharesshares
Outstanding (in shares) | shares	700,000
Outstanding, weighted average exercise price (in dollars per share) | $ / shares	$ 2.54
Granted (in shares) | shares	0
Granted, weighted average exercise price (in dollars per share) | $ / shares
Exercised (in shares) | shares
Exercised, weighted average exercise price (in dollars per share) | $ / shares
Expired (in shares) | shares
Expired, weighted average exercise price (in dollars per share) | $ / shares
Forfeited (in shares) | shares	(55,000)
Forfeited, weighted average exercise price (in dollars per share) | $ / shares	$ 1.86
Outstanding (in shares) | shares	645,000
Outstanding, weighted average exercise price (in dollars per share) | $ / shares	$ 2.59
Exercisable (in shares) | shares	551,667
Exercisable, weighted average exercise price (in dollars per share) | $ / shares	$ 2.73

Note 8 - Stock-based Compensa33

Note 8 - Stock-based Compensation - Compensation Expense Related to Stock Options (Details) - Employee Stock Option [Member]	9 Months Ended
	Jun. 30, 2018USD ($)
Fiscal Year 2016 [Member]
Compensation expense	$ 1,789
Fiscal Year 2017 [Member]
Compensation expense	$ 31,603

Note 9 - Segment Reporting - Se

Note 9 - Segment Reporting - Segment Reporting Information (Details) - USD ($)	3 Months Ended		9 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017	Sep. 30, 2017
Sales	$ 12,573,899	$ 12,989,990	$ 36,508,192	$ 36,380,572
Gross profit	3,082,933	3,755,951	9,809,153	11,544,009
Operating income (loss)	(1,708,560)	(1,076)	(2,058,445)	512,733
Segment assets	47,801,561		47,801,561		$ 54,847,605
Operating Segments [Member] | Cable TV [Member]
Sales	4,898,902	6,037,503	15,370,405	17,609,293
Gross profit	1,089,582	1,874,513	3,830,092	6,029,913
Operating income (loss)	(1,355,387)	414,383	(1,247,733)	1,586,013
Segment assets	19,743,820		19,743,820		24,116,395
Operating Segments [Member] | Telco [Member]
Sales	7,680,559	6,954,787	21,145,659	18,858,229
Gross profit	1,993,351	1,881,438	5,979,061	5,514,096
Operating income (loss)	(353,173)	(415,459)	(810,712)	(1,073,280)
Segment assets	23,328,865		23,328,865		24,135,091
Intersegment Eliminations [Member]
Sales	(5,562)	(2,300)	(7,872)	(86,950)
Gross profit	3,082,933	$ 3,755,951	9,809,153	$ 11,544,009
Segment Reconciling Items [Member]
Segment assets	$ 4,728,876		$ 4,728,876		$ 6,596,119