Document And Entity Information
Document And Entity Information - shares | 3 Months Ended | |
Sep. 30, 2018 | Nov. 01, 2018 | |
Document Information [Line Items] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Sep. 30, 2018 | |
Document Fiscal Year Focus | 2,019 | |
Document Fiscal Period Focus | Q1 | |
Entity Registrant Name | ALLIED HEALTHCARE PRODUCTS INC | |
Entity Central Index Key | 874,710 | |
Current Fiscal Year End Date | --06-30 | |
Entity Filer Category | Non-accelerated Filer | |
Trading Symbol | AHPI | |
Entity Common Stock, Shares Outstanding | 4,013,537 | |
Entity Emerging Growth Company | false | |
Entity Small Business | true |
STATEMENT OF OPERATIONS
STATEMENT OF OPERATIONS - USD ($) | 3 Months Ended | |
Sep. 30, 2018 | Sep. 30, 2017 | |
Net sales | $ 7,268,897 | $ 7,896,853 |
Cost of sales | 6,390,071 | 6,539,784 |
Gross profit | 878,826 | 1,357,069 |
Selling, general and administrative expenses | 2,105,143 | 2,124,468 |
Loss from operations | (1,226,317) | (767,399) |
Other (income) expenses: | ||
Interest expense | 8,288 | 0 |
Interest income | (30) | (215) |
Other, net | 0 | 52 |
Nonoperating Income (Expense) | 8,258 | (163) |
Loss before benefit from income taxes | (1,234,575) | (767,236) |
Benefit from income taxes | 0 | 0 |
Net loss | $ (1,234,575) | $ (767,236) |
Basic and diluted loss per share | $ (0.31) | $ (0.19) |
Weighted average shares outstanding - basic and diluted | 4,013,537 | 4,013,537 |
BALANCE SHEET
BALANCE SHEET - USD ($) | Sep. 30, 2018 | Jun. 30, 2018 |
Current assets: | ||
Cash and cash equivalents | $ 800 | $ 136,112 |
Accounts receivable, net of allowances of $163,916 and $170,000, respectively | 3,203,422 | 3,747,993 |
Inventories, net | 8,551,678 | 7,830,541 |
Income tax receivable | 20,098 | 12,178 |
Other current assets | 210,347 | 250,605 |
Total current assets | 11,986,345 | 11,977,429 |
Property, plant and equipment, net | 4,604,046 | 4,823,149 |
Deferred income taxes | 520,663 | 520,663 |
Total assets | 17,111,054 | 17,321,241 |
Current liabilities: | ||
Revolving credit facility | 377,960 | 0 |
Accounts payable | 2,030,059 | 1,473,618 |
Other accrued liabilities | 1,939,930 | 1,850,683 |
Total current liabilities | 4,347,949 | 3,324,301 |
Commitments and contingencies | ||
Stockholders' equity: | ||
Preferred stock | 0 | 0 |
Common stock; $0.01 par value; 30,000,000 shares authorized; 5,213,902 shares issued at September 30, 2018 and June 30, 2018; 4,013,537 shares outstanding at September 30, 2018 and June 30, 2018 | 52,139 | 52,139 |
Additional paid-in capital | 48,488,960 | 48,488,220 |
Accumulated deficit | (14,797,206) | (13,562,631) |
Less treasury stock, at cost; 1,200,365 shares at September 30, 2018 and June 30, 2018 | (20,980,788) | (20,980,788) |
Total stockholders' equity | 12,763,105 | 13,996,940 |
Total liabilities and stockholders' equity | 17,111,054 | 17,321,241 |
Series A Preferred Stock [Member] | ||
Stockholders' equity: | ||
Preferred stock | $ 0 | $ 0 |
BALANCE SHEET _Parenthetical_
BALANCE SHEET [Parenthetical] - USD ($) | Sep. 30, 2018 | Jun. 30, 2018 |
Allowances for accounts receivable (in dollars) | $ 163,916 | $ 170,000 |
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 1,500,000 | 1,500,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 30,000,000 | 30,000,000 |
Common stock, shares issued | 5,213,902 | 5,213,902 |
Common stock, shares outstanding | 4,013,537 | 4,013,537 |
Treasury stock, at cost | 1,200,365 | 1,200,365 |
Series A Preferred Stock [Member] | ||
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 200,000 | 200,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
STATEMENT OF CASH FLOWS
STATEMENT OF CASH FLOWS - USD ($) | 3 Months Ended | |
Sep. 30, 2018 | Sep. 30, 2017 | |
Cash flows from operating activities: | ||
Net loss | $ (1,234,575) | $ (767,236) |
Adjustments to reconcile net loss to net cash used in operating activities: | ||
Depreciation and amortization | 219,103 | 240,553 |
Stock based compensation | 740 | 645 |
Provision for doubtful accounts and sales returns and allowances | 986 | 1,090 |
Changes in operating assets and liabilities: | ||
Accounts receivable | 543,585 | (73,034) |
Inventories | (721,137) | (621,959) |
Income tax receivable | (7,920) | (900) |
Other current assets | 40,258 | (16,331) |
Accounts payable | 556,441 | 128,404 |
Other accrued liabilities | 89,247 | 357,314 |
Net cash used in operating activities | (513,272) | (751,454) |
Cash flows from financing activities: | ||
Borrowings under revolving credit agreement | 8,140,086 | 0 |
Payments under revolving credit agreement | (7,762,126) | 0 |
Net cash used in financing activities | 377,960 | 0 |
Net decrease in cash and cash equivalents | (135,312) | (751,454) |
Cash and cash equivalents at beginning of period | 136,112 | 995,704 |
Cash and cash equivalents at end of period | $ 800 | $ 244,250 |
Summary of Significant Accounti
Summary of Significant Accounting and Reporting Policies | 3 Months Ended |
Sep. 30, 2018 | |
Accounting Policies [Abstract] | |
Significant Accounting Policies [Text Block] | 1. Summary of Significant Accounting and Reporting Policies Basis of Presentation The accompanying unaudited financial statements of Allied Healthcare Products, Inc. (the “Company”) have been prepared in accordance with the instructions for Form 10-Q and do not include all of the information and disclosures required by accounting principles generally accepted in the United States of America for complete financial statements. In the opinion of management, all adjustments, consisting only of normal recurring adjustments considered necessary for a fair presentation, have been included. Operating results for any quarter are not necessarily indicative of the results for any other quarter or for the full year. These statements should be read in conjunction with the financial statements and notes to the financial statements thereto included in the Company’s Annual Report on Form 10-K for the year ended June 30, 2018. Adoption of new revenue recognition standard In May 2014, the Financial Accounting Standards Board (FASB) issued a new accounting standard that amends the guidance for the recognition of revenue from contracts with customers to transfer goods and services. The FASB subsequently issued additional, clarifying standards to address issues arising from implementation of the new revenue recognition standard. The new revenue recognition standard and clarifying standards require an entity to recognize revenue when control of promised goods or services is transferred to the customer at an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The Company adopted this new standard as of July 1, 2018, by applying the modified-retrospective method to those contracts that were not completed as of that date. The results for reporting periods beginning after July 1, 2018, are presented in accordance with the new standard, although comparative information has not been restated and continues to be reported under the accounting standards and policies in effect for those periods. See Note 2, Summary of Significant Accounting Policies, to the financial statements in our Annual Report on Form 10-K for the year ended June 30, 2018. The cumulative impact on accumulated deficit as a result of the adoption of this standard did not have a material impact on the Company’s historical net losses and, therefore, no adjustment was made to the opening balance of accumulated deficit. In addition, the impact on reported total revenues and operating income as compared to what reported amounts would have been under the prior standard was also immaterial. The Company expects the impact of adoption in future periods to also be immaterial. The accounting policies under the new standard were applied prospectively and are described below. See Note 2, Revenues. Recently Issued Accounting Guidance In February 2016, the FASB issued ASU 2016-02, “Leases (Topic 842)” (“ASU 2016-02”), which requires lessees to recognize assets and liabilities for leases with lease terms of more than 12 months and disclose key information about leasing arrangements. Consistent with current U.S. GAAP, the recognition, measurement, and presentation of expenses and cash flows arising from a lease by a lessee primarily will depend on its classification as a finance or operating lease. The update is effective for reporting periods beginning after December 15, 2018. Early adoption is permitted. The Company is in the process of evaluating the impact of this update on its financial statements. Fair Value of Financial Instruments The Company’s financial instruments consist of cash and cash equivalents, accounts receivable, accounts payable and the revolving credit facility. The carrying amounts for cash and cash equivalents, accounts receivable and accounts payable approximate their fair value due to the short maturity of these instruments. The carrying amount of the revolving credit facility approximates fair value due to the debt having a variable interest rate. |
Revenues
Revenues | 3 Months Ended |
Sep. 30, 2018 | |
Revenue Recognition and Deferred Revenue [Abstract] | |
Revenue [Text Block] | 2. Revenues The Company’s revenues are derived primarily from the sales of respiratory products, medical gas equipment and emergency medical products. The products are generally sold directly to distributors, customers affiliated with buying groups, individual customers and construction contractors, throughout the world. The Company recognizes revenue from product sales upon the transfer of control, which is generally upon shipment or delivery, depending on the delivery terms set forth in the customer contract. Payment terms between Allied and its customers vary by the type of customer, country of sale, and the products offered. The term between invoicing and the payment due date is not significant. Management exercises judgment in estimating variable consideration. Provisions for early payment discounts, rebates and returns and other adjustments are provided for in the period the related sales are recorded. Historical data is readily available and reliable, and is used for estimating the amount of the reduction in gross sales. The Company provides rebates to wholesalers. Rebate amounts are based upon purchases using contractual amount for each product sold. Factors used in the rebate calculations include the identification of which products have been sold subject to a rebate and the customer or price terms that apply. Using known contractual allowances, the Company estimates the amount of the rebate that will be paid, and records the liability as a reduction of gross sales when it records the sale of the product. Settlement of the rebate generally occurs in the month following the sale. The Company regularly analyzes the historical rebate trends and makes adjustments to reserves for changes in trends and terms of rebate programs. Historically, adjustments to prior years’ rebate accruals have not been material to net income. Other allowances charged against gross sales include cash discounts and returns, which are not significant. Cash discounts are known within 15 to 30 days of sale, and therefore can be reliably estimated. Returns can be reliably estimated because the Company’s historical returns are low, and because sales return terms and other sales terms have remained relatively unchanged for several periods. Product warranties are also not significant. The Company does not allocate transaction price as the Company has only one performance obligation and its contracts do not span multiple periods. The Company operates in one segment consisting of the manufacturing, marketing and distribution of a variety of respiratory products used in the health care industry to hospitals, hospital equipment dealers, hospital construction contractors, home health care dealers and emergency medical product dealers. The Company’s product lines include respiratory care products, medical gas equipment and emergency medical products. The Company does not have any one single customer that represents more than 10 percent of total sales. Sales by region, and by product, are as follows: Sales by Region Three months ended September 30, 2018 2017 Domestic United States $ 5,777,984 $ 5,962,687 Europe 113,156 126,961 Canada 158,160 163,283 Latin America 509,713 641,768 Middle East 92,595 117,908 Far East 615,867 883,149 Other International 1,422 1,097 $ 7,268,897 $ 7,896,853 Sales by Product Three months ended September 30, 2018 2017 Respiratory care products $ 2,076,304 $ 2,053,357 Medical gas equipment 3,672,592 4,220,397 Emergency medical products 1,520,001 1,623,099 $ 7,268,897 $ 7,896,853 |
Inventories
Inventories | 3 Months Ended |
Sep. 30, 2018 | |
Inventory, Net [Abstract] | |
Inventory Disclosure [Text Block] | 3. Inventories Inventories are comprised as follows: September 30, 2018 June 30, 2018 Work-in progress $ 516,965 $ 388,252 Component parts 7,434,538 6,775,870 Finished goods 2,219,592 2,285,836 Reserve for obsolete and excess inventories (1,619,417 ) (1,619,417 ) $ 8,551,678 $ 7,830,541 |
Earnings per share
Earnings per share | 3 Months Ended |
Sep. 30, 2018 | |
Earnings Per Share [Abstract] | |
Earnings Per Share [Text Block] | 4. Earnings per share Basic earnings per share are based on the weighted average number of shares of all common stock outstanding during the period. Diluted earnings per share are based on the sum of the weighted average number of shares of common stock and common stock equivalents outstanding during the period. The number of basic and diluted shares outstanding for the three months ended September 30, 2018 and 2017 were 4,013,537. |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended |
Sep. 30, 2018 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies Disclosure [Text Block] | 5. Commitments and Contingencies Legal Claims The Company is subject to various investigations, claims and legal proceedings covering a wide range of matters that arise in the ordinary course of its business activities. The Company intends to continue to conduct business in such a manner as to avert any FDA action seeking to interrupt or suspend manufacturing or require any recall or modification of products. The Company has recognized the costs and associated liabilities only for those investigations, claims and legal proceedings for which, in its view, it is probable that liabilities have been incurred and the related amounts are estimable. Based upon information currently available, management believes that existing accrued liabilities are sufficient. Stuyvesant Falls Power Litigation The Company filed a Motion for Summary Judgment on March 14, 2014, seeking dismissal of Niagara’s claims and oral arguments on the motions were held on June 13, 2014. On October 1, 2014, the Court granted the Company’s motion, denied Niagara’s motion and ruled that the Company is entitled to receive electrical power pursuant to the power covenants. On October 26 and October 30, 2014, Niagara and the other party filed separate notices of appeal of the Court’s decision. On March 31, 2016 the Supreme Court of New York, Appellate Division, Third Department reversed the trial court decision and held that the free power covenants are no longer enforceable. The Company’s application for leave to appeal this ruling was dismissed as premature by the New York Court of Appeals on September 20, 2016. On May 26, 2017 the Company again moved for leave to appeal the March 31, 2016 decision. That motion was granted on October 7, 2017 by the New York State Court of Appeals. The Company filed its brief and record on January 26, 2018. Niagara and the other party to the lawsuit, Albany Engineering Corporation, filed their responses on July 16, 2018 and the Company filed its reply on August 14, 2018. The matter will next be scheduled for argument, most likely in 2019. The appellate decision terminated the enforceability of the free power covenants as of March 31, 2016. The appellate decision did not order the Company to pay any amounts for power consumed prior to such date and the Company believes that it is not liable for any such damages as a result of the appellate decision. On December 21, 2016, Niagara filed a motion to the trial court asking that it hold additional proceedings to establish what damages, if any, are owed to Niagara as the result of the appellate decision. The Company filed its response on January 23, 2017. On April 25, 2017, the court denied Niagara’s motion in its entirety finding that no damages could be awarded based on the Appellate Division’s decision. Niagara has filed a Notice of Appeal from that decision, but to date, has not filed the appeal. As of September 30, 2018, the Company has not recorded a provision for this matter. The Company commenced paying for power at the Stuyvesant Falls facility in April 2016. Employment Contract The Company has entered into an employment contract with its chief executive officer with annual renewals. The contract includes termination without cause and change of control provisions, under which the chief executive officer is entitled to receive specified severance payments generally equal to two times ending annual salary if the Company terminates his employment without cause or he voluntarily terminates his employment with “good reason.” “Good Reason” generally includes changes in the scope of his duties or location of employment but also includes (i) the Company’s written election not to renew the Employment Agreement and (ii) certain voluntary resignations by the chief executive officer following a “Change of Control” as defined in the Agreement. |
Financing
Financing | 3 Months Ended |
Sep. 30, 2018 | |
Debt Disclosure [Abstract] | |
Debt Disclosure [Text Block] | 6. Financing The Company is party to a Loan and Security Agreement with Summit Financial Resources, L.P. (“Summit”), dated effective February 27, 2017, as amended April 16, 2018 (as amended, the “Credit Agreement”). Pursuant to the Credit Agreement, the Company obtained a secured revolving credit facility (the “Credit Facility”). The Company’s obligations under the Credit Facility are secured by all of the Company’s personal property, both tangible and intangible, pursuant to the terms and subject to the conditions set forth in the Credit Agreement. Availability of funds under the Credit Agreement is based on the Company’s accounts receivable and inventory but will not exceed $2,000,000. At September 30, 2018 availability under the agreement was $1,622,040. The Credit Facility will be available, subject to its terms, on a revolving basis until it expires on February 27, 2020, at which time all amounts outstanding under the Credit Facility will be due and payable. Advances will bear interest at a rate equal to 2.00% in excess of the prime rate as reported in the Wall Street Journal. Interest is computed based on the actual number of days elapsed over a year of 360 days. In addition to interest, the Credit facility requires that the Company pay the lender a monthly administration fee in an amount equal to forty-seven hundredths percent (0.47%) of the average outstanding daily principal amount of loan advances for the each calendar month, or portion thereof. Regardless of the amount borrowed under the Credit Facility, the Company will pay a minimum amount of .25% (25 basis points) per month on the maximum availability $(5,000 per month). In the event the Company prepays or terminates the Credit Facility prior to February 27, 2020, the Company will be obligated to pay an amount equal to the minimum monthly payment multiplied by the number of months remaining between February 27, 2020 and the date of such prepayment or termination. Under the Credit Agreement, advances are generally subject to customary borrowing conditions and to Summit’s sole discretion to fund the advances. The Credit Agreement also contains covenants with which the Company must comply during the term of the Credit Facility. Among other things, such covenants require the Company to maintain insurance on the collateral, operate in the ordinary course and not engage in a change of control, dissolve or wind up the Company. The Credit Agreement also contains certain events of default including, without limitation: the failure to make payments when due; the material breach of representations or warranties contained in the Credit Agreement or other loan documents; cross-default with other indebtedness of the Company; the entry of judgments or fines that may have a material adverse effect on the Company; failure to comply with the observance or performance of covenants contained in the Credit Agreement or other loan documents; insolvency of the Company, appointment of a receiver, commencement of bankruptcy or other insolvency proceedings; dissolution of the Company; the attachment of any state or federal tax lien; attachment or levy upon or seizure of the Company’s property; or any change in the Company’s condition that may have a material adverse effect. After an event of default, and upon the continuation thereof, the principal amount of all loans made under the Credit Facility would bear interest at a rate per annum equal to 20.00% above the otherwise applicable interest rate (provided, that the interest rate may not exceed the highest rate permissible under law), and Summit would have the option to accelerate maturity and payment of the Company’s obligations under the Credit Facility. At September 30, 2018, the Company had $377,960 of indebtedness, including capital lease obligations, short-term debt and long term debt. The prime rate as reported in the Wall Street Journal was 5.25% on September 30, 2018. The Company was in compliance with all of the covenants associated with the Credit Facility at September 30, 2018. |
Income Taxes
Income Taxes | 3 Months Ended |
Sep. 30, 2018 | |
Income Tax Disclosure [Abstract] | |
Income Tax Disclosure [Text Block] | 7. Income Taxes The Company accounts for income taxes under ASC Topic 740: “Income Taxes.” Under ASC 740, the deferred tax provision is determined using the liability method, whereby deferred tax assets and liabilities are recognized based upon temporary differences between the financial statement and income tax bases of assets and liabilities using presently enacted tax rates. Valuation allowances are established when necessary to reduce deferred tax assets to the amounts expected to be realized. In the quarter ended September 30, 2018 the Company recorded the tax benefit of losses incurred during the current quarter in the amount of approximately $305,000. As the realization of the tax benefit of the net operating loss is not assured an additional valuation allowance of approximately $305,000 was recorded. In the quarter ended September 30, 2017 the Company recorded the tax benefit of losses incurred in the amount of approximately $292,000. As the realization of the tax benefit of the net operating loss is not assured an additional valuation allowance of approximately $292,000 was recorded. The total valuation allowance recorded by the Company as of September 30, 2018 and 2017 was approximately $2,505,000 and $2,845,000, respectively. The Tax Cuts and Jobs Act (“TCJA”) was enacted in the U.S. on December 22, 2017. The TCJA reduces the U.S. federal corporate tax rate from 35% to 21%. As a result of this reduction in rate in the second quarter of the fiscal year ended 2018 the Company recorded a reduction in its recognized deferred tax assets along with a reduction in the valuation allowance. The impact of these adjustments resulted in a net reduction of recognized deferred tax assets and a resultant income tax expense in the amount of $136,386. To the extent that the Company’s losses continue in future quarters, the tax benefit of those losses will be subject to a valuation allowance. |
Summary of Significant Accoun_2
Summary of Significant Accounting and Reporting Policies (Policies) | 3 Months Ended |
Sep. 30, 2018 | |
Accounting Policies [Abstract] | |
Basis of Accounting, Policy [Policy Text Block] | Basis of Presentation The accompanying unaudited financial statements of Allied Healthcare Products, Inc. (the “Company”) have been prepared in accordance with the instructions for Form 10-Q and do not include all of the information and disclosures required by accounting principles generally accepted in the United States of America for complete financial statements. In the opinion of management, all adjustments, consisting only of normal recurring adjustments considered necessary for a fair presentation, have been included. Operating results for any quarter are not necessarily indicative of the results for any other quarter or for the full year. These statements should be read in conjunction with the financial statements and notes to the financial statements thereto included in the Company’s Annual Report on Form 10-K for the year ended June 30, 2018. |
Revenue Recognition, Policy [Policy Text Block] | Adoption of new revenue recognition standard In May 2014, the Financial Accounting Standards Board (FASB) issued a new accounting standard that amends the guidance for the recognition of revenue from contracts with customers to transfer goods and services. The FASB subsequently issued additional, clarifying standards to address issues arising from implementation of the new revenue recognition standard. The new revenue recognition standard and clarifying standards require an entity to recognize revenue when control of promised goods or services is transferred to the customer at an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The Company adopted this new standard as of July 1, 2018, by applying the modified-retrospective method to those contracts that were not completed as of that date. The results for reporting periods beginning after July 1, 2018, are presented in accordance with the new standard, although comparative information has not been restated and continues to be reported under the accounting standards and policies in effect for those periods. See Note 2, Summary of Significant Accounting Policies, to the financial statements in our Annual Report on Form 10-K for the year ended June 30, 2018. The cumulative impact on accumulated deficit as a result of the adoption of this standard did not have a material impact on the Company’s historical net losses and, therefore, no adjustment was made to the opening balance of accumulated deficit. In addition, the impact on reported total revenues and operating income as compared to what reported amounts would have been under the prior standard was also immaterial. The Company expects the impact of adoption in future periods to also be immaterial. The accounting policies under the new standard were applied prospectively and are described below. See Note 2, Revenues. |
New Accounting Pronouncements, Policy [Policy Text Block] | Recently Issued Accounting Guidance In February 2016, the FASB issued ASU 2016-02, “Leases (Topic 842)” (“ASU 2016-02”), which requires lessees to recognize assets and liabilities for leases with lease terms of more than 12 months and disclose key information about leasing arrangements. Consistent with current U.S. GAAP, the recognition, measurement, and presentation of expenses and cash flows arising from a lease by a lessee primarily will depend on its classification as a finance or operating lease. The update is effective for reporting periods beginning after December 15, 2018. Early adoption is permitted. The Company is in the process of evaluating the impact of this update on its financial statements. |
Fair Value of Financial Instruments, Policy [Policy Text Block] | Fair Value of Financial Instruments The Company’s financial instruments consist of cash and cash equivalents, accounts receivable, accounts payable and the revolving credit facility. The carrying amounts for cash and cash equivalents, accounts receivable and accounts payable approximate their fair value due to the short maturity of these instruments. The carrying amount of the revolving credit facility approximates fair value due to the debt having a variable interest rate. |
Revenues (Tables)
Revenues (Tables) | 3 Months Ended |
Sep. 30, 2018 | |
Revenue Recognition and Deferred Revenue [Abstract] | |
Revenue from External Customers by Geographic Areas [Table Text Block] | The Company does not have any one single customer that represents more than 10 percent of total sales. Sales by region, and by product, are as follows: Sales by Region Three months ended September 30, 2018 2017 Domestic United States $ 5,777,984 $ 5,962,687 Europe 113,156 126,961 Canada 158,160 163,283 Latin America 509,713 641,768 Middle East 92,595 117,908 Far East 615,867 883,149 Other International 1,422 1,097 $ 7,268,897 $ 7,896,853 |
Revenue from External Customers by Products and Services [Table Text Block] | Sales by Product Three months ended September 30, 2018 2017 Respiratory care products $ 2,076,304 $ 2,053,357 Medical gas equipment 3,672,592 4,220,397 Emergency medical products 1,520,001 1,623,099 $ 7,268,897 $ 7,896,853 |
Inventories (Tables)
Inventories (Tables) | 3 Months Ended |
Sep. 30, 2018 | |
Inventory, Net [Abstract] | |
Schedule of Inventory, Current [Table Text Block] | Inventories are comprised as follows: September 30, 2018 June 30, 2018 Work-in progress $ 516,965 $ 388,252 Component parts 7,434,538 6,775,870 Finished goods 2,219,592 2,285,836 Reserve for obsolete and excess inventories (1,619,417 ) (1,619,417 ) $ 8,551,678 $ 7,830,541 |
Revenues (Details)
Revenues (Details) - USD ($) | 3 Months Ended | |
Sep. 30, 2018 | Sep. 30, 2017 | |
Revenues | $ 7,268,897 | $ 7,896,853 |
Domestic United States | ||
Revenues | 5,777,984 | 5,962,687 |
Europe | ||
Revenues | 113,156 | 126,961 |
Canada | ||
Revenues | 158,160 | 163,283 |
Latin America | ||
Revenues | 509,713 | 641,768 |
Middle East | ||
Revenues | 92,595 | 117,908 |
Far East | ||
Revenues | 615,867 | 883,149 |
Other International | ||
Revenues | $ 1,422 | $ 1,097 |
Revenues (Details 1)
Revenues (Details 1) - USD ($) | 3 Months Ended | |
Sep. 30, 2018 | Sep. 30, 2017 | |
Revenues | $ 7,268,897 | $ 7,896,853 |
Respiratory care products | ||
Revenues | 2,076,304 | 2,053,357 |
Medical gas equipment | ||
Revenues | 3,672,592 | 4,220,397 |
Emergency medical products | ||
Revenues | $ 1,520,001 | $ 1,623,099 |
Inventories (Details)
Inventories (Details) - USD ($) | Sep. 30, 2018 | Jun. 30, 2018 |
Inventory [Line Items] | ||
Work-in progress | $ 516,965 | $ 388,252 |
Component parts | 7,434,538 | 6,775,870 |
Finished goods | 2,219,592 | 2,285,836 |
Reserve for obsolete and excess inventories | (1,619,417) | (1,619,417) |
Inventory, Net | $ 8,551,678 | $ 7,830,541 |
Earnings per share (Details Tex
Earnings per share (Details Textual) - shares | 3 Months Ended | |
Sep. 30, 2018 | Sep. 30, 2017 | |
Earnings Per Share [Line Items] | ||
Weighted Average Number of Shares Outstanding, Basic and Diluted | 4,013,537 | 4,013,537 |
Commitments and Contingencies (
Commitments and Contingencies (Details Textual) - USD ($) | Mar. 14, 2014 | Feb. 06, 2012 | Mar. 31, 2015 |
Commitments and Contingencies [Line Items] | |||
Loss Contingency, Damages Sought, Value | $ 492,000 | $ 469,000 | $ 696,000 |
Financing (Details Textual)
Financing (Details Textual) - USD ($) | 1 Months Ended | 3 Months Ended | |
Feb. 27, 2017 | Sep. 30, 2018 | Jun. 30, 2018 | |
Debt Instrument [Line Items] | |||
Debt Instrument, Interest Rate, Stated Percentage | 20.00% | ||
Line of Credit Facility, Expiration Date | Feb. 27, 2020 | ||
Line of Credit Facility, Frequency of Payment and Payment Terms | the Company will pay a minimum amount of .25% (25 basis points) per month on the maximum availability $(5,000 per month). | ||
Line of Credit, Current | $ 377,960 | $ 0 | |
Summit Financial Resources Lp [Member] | Revolving Credit Facility [Member] | |||
Debt Instrument [Line Items] | |||
Line Of Credit Facility, Maximum Borrowing Capacity | $ 2,000,000 | ||
Debt Instrument, Basis Spread on Variable Rate | 2.00% | ||
Line of Credit Facility, Remaining Borrowing Capacity | $ 1,622,040 | ||
Line of Credit Facility, Unused Capacity, Commitment Fee Percentage | 0.47% | ||
Summit Financial Resources Lp [Member] | Revolving Credit Facility [Member] | Prime Rate [Member] | |||
Debt Instrument [Line Items] | |||
Debt Instrument, Interest Rate, Effective Percentage | 5.25% |
Income Taxes (Details Textual)
Income Taxes (Details Textual) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Dec. 31, 2017 | |
Schedule Of Income Tax Disclosure [Line Items] | ||||
Deferred Other Tax Expense (Benefit) | $ 305,000 | $ 292,000 | ||
Effective Income Tax Rate Reconciliation, Percent | 21.00% | 35.00% | ||
Deferred Tax Assets, Valuation Allowance | 2,505,000 | 2,845,000 | $ 2,505,000 | |
DeferredTaxAssetsValuationAllowanceAdditionAmount | 305,000 | $ 292,000 | ||
Increase Or Decrease In Deferred Tax Assets Income Tax Expense | $ 136,386 |