Uroplasty (UPI) Inactive 10-Q31 Oct 142015 Q2 Quarterly reportFinancial data

Company Profile

Document_and_Entity_Informatio

Document and Entity Information	6 Months Ended
Document and Entity Information	Sep. 30, 2014
Document and Entity Information [Abstract]	'
Entity Registrant Name	'UROPLASTY INC
Entity Central Index Key	'0000890846
Current Fiscal Year End Date	'--03-31
Entity Well-known Seasoned Issuer	'No
Entity Voluntary Filers	'No
Entity Current Reporting Status	'Yes
Entity Filer Category	'Accelerated Filer
Entity Common Stock, Shares Outstanding	22,131,518
Document Fiscal Year Focus	'2015
Document Fiscal Period Focus	'Q2
Document Type	'10-Q
Amendment Flag	'false
Document Period End Date	30-Sep-14

CONDENSED_CONSOLIDATED_BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) (USD $)	Sep. 30, 2014	Mar. 31, 2014
Current assets:	'	'
Cash and cash equivalents	$9,540,168	$8,681,609
Short-term investments	0	3,451,086
Accounts receivable, net	2,663,403	2,875,275
Inventories	526,367	517,217
Other	518,135	507,299
Total current assets	13,248,073	16,032,486
Property, plant, and equipment, net	952,910	997,609
Intangible assets, net	103,428	119,980
Prepaid pension assets	0	855
Deferred tax assets	136,406	150,116
Total assets	14,440,817	17,301,046
Current liabilities:	'	'
Accounts payable	670,832	904,879
Current portion - deferred rent	0	2,917
Income taxes payable	28,017	21,922
Accrued liabilities:	'	'
Compensation	2,105,483	1,999,966
Other	472,771	479,373
Total current liabilities	3,277,103	3,409,057
Deferred rent - less current portion	26,238	171
Accrued pension liability	588,733	678,118
Total liabilities	3,892,074	4,087,346
Commitments and contingencies	'	'
Shareholders' equity:	'	'
Common stock $.01 par value; 40,000,000 shares authorized, 22,131,518 and 21,653,835 shares issued and outstanding at September 30, 2014 and March 31, 2014, respectively	221,315	216,538
Additional paid-in capital	58,368,739	57,655,628
Accumulated deficit	-47,444,650	-44,174,071
Accumulated other comprehensive loss	-596,661	-484,395
Total shareholders' equity	10,548,743	13,213,700
Total liabilities and shareholders' equity	$14,440,817	$17,301,046

CONDENSED_CONSOLIDATED_BALANCE1

CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) (Parenthetical) (USD $)	Sep. 30, 2014	Mar. 31, 2014
Shareholders' equity	'	'
Common stock, par value (in dollars per share)	$0.01	$0.01
Common stock, shares authorized (in shares)	40,000,000	40,000,000
Common stock, shares issued (in shares)	22,131,518	21,653,835
Common stock, shares outstanding (in shares)	22,131,518	21,653,835

CONDENSED_CONSOLIDATED_STATEME

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) (USD $)	3 Months Ended		6 Months Ended
	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) [Abstract]	'	'	'	'
Net sales	$6,454,630	$5,976,875	$12,839,259	$11,817,716
Cost of goods sold	753,225	741,842	1,544,536	1,489,889
Gross profit	5,701,405	5,235,033	11,294,723	10,327,827
Operating expenses	'	'	'	'
General and administrative	1,288,297	2,390,610	2,865,665	3,971,373
Research and development	651,035	428,763	1,560,479	908,423
Selling and marketing	4,818,704	4,323,084	10,091,325	8,950,493
Amortization	8,226	7,826	16,552	14,474
Total operating expenses	6,766,262	7,150,283	14,534,021	13,844,763
Operating loss	-1,064,857	-1,915,250	-3,239,298	-3,516,936
Other income (expense)	'	'	'	'
Interest income	1,833	5,476	4,845	14,740
Foreign currency exchange gain (loss)	-2,190	-1,339	-1,279	-4,034
Total other income (expense)	-357	4,137	3,566	10,706
Loss before income taxes	-1,065,214	-1,911,113	-3,235,732	-3,506,230
Income tax expense	15,032	16,367	34,847	30,542
Net loss	($1,080,246)	($1,927,480)	($3,270,579)	($3,536,772)
Basic and diluted net loss per common share (in dollars per share)	($0.05)	($0.09)	($0.15)	($0.17)
Weighted average common shares outstanding:	'	'	'	'
Basic and diluted (in shares)	21,617,675	21,076,570	21,693,989	20,921,693

CONDENSED_CONSOLIDATED_STATEME1

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS (Unaudited) (USD $)	3 Months Ended		6 Months Ended
	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS (Unaudited) [Abstract]	'	'	'	'
Net loss	($1,080,246)	($1,927,480)	($3,270,579)	($3,536,772)
Other comprehensive income (loss), net of tax:	'	'	'	'
Foreign currency translation adjustments	-135,688	72,811	-136,477	93,419
Unrealized gain (loss) on available-for-sale investments	-32	2,657	-775	2,817
Pension adjustments	25,382	-15,923	24,986	-19,555
Total other comprehensive income (loss), net of tax	-110,338	59,545	-112,266	76,681
Comprehensive loss	($1,190,584)	($1,867,935)	($3,382,845)	($3,460,091)

CONDENSED_CONSOLIDATED_STATEME2

CONDENSED CONSOLIDATED STATEMENT OF SHAREHOLDERS' EQUITY (Unaudited) (USD $)	Common Stock [Member]	Additional Paid-in Capital [Member]	Accumulated Deficit [Member]	Accumulated Other Comprehensive Loss [Member]	Total
Balance at Mar. 31, 2014	$216,538	$57,655,628	($44,174,071)	($484,395)	$13,213,700
Balance (in shares) at Mar. 31, 2014	21,653,835	'	'	'	'
Increase (Decrease) in Stockholders' Equity [Roll Forward]	'	'	'	'	'
Share-based compensation	3,964	656,927	0	0	660,891
Share-based compensation (in shares)	396,413	'	'	'	'
Proceeds from exercise of stock options, net of shares exchanged	813	56,184	0	0	56,997
Proceeds from exercise of stock options, net of shares exchanged (in shares)	81,270	'	'	'	'
Comprehensive loss	0	0	-3,270,579	-112,266	-3,382,845
Balance at Sep. 30, 2014	$221,315	$58,368,739	($47,444,650)	($596,661)	$10,548,743
Balance (in shares) at Sep. 30, 2014	22,131,518	'	'	'	'

CONDENSED_CONSOLIDATED_STATEME3

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) (USD $)	6 Months Ended
	Sep. 30, 2014	Sep. 30, 2013
Cash flows from operating activities:	'	'
Net loss	($3,270,579)	($3,536,772)
Adjustments to reconcile net loss to net cash used in operating activities:	'	'
Depreciation and amortization	139,252	179,123
Loss (gain) loss on disposal of equipment	834	-5,000
Amortization of premium on marketable securities	311	6,070
Share-based compensation expense	660,891	920,729
Deferred income tax expense	1,973	4,979
Deferred rent	23,150	-18,526
Changes in operating assets and liabilities:	'	'
Accounts receivable, net	155,498	197,216
Inventories	-10,822	97,787
Other current assets	-18,093	127,104
Accounts payable	-230,103	51,232
Accrued compensation	113,132	-51,129
Accrued liabilities	-5,669	-78,619
Accrued pension liability	-35,524	-137,089
Net cash used in operating activities	-2,475,749	-2,242,895
Cash flows from investing activities:	'	'
Proceeds from maturity of available-for-sale investments	3,450,000	2,000,000
Proceeds from maturity of held-to-maturity investments	0	3,940,000
Purchases of property, plant and equipment	-128,041	-208,768
Proceeds from sale of property, plant and equipment	1,552	6,773
Payments for intangible assets	0	-41,300
Net cash provided by investing activities	3,323,511	5,696,705
Cash flows from financing activities:	'	'
Proceeds from exercise of stock options	67,850	69,360
Net cash provided by financing activities	67,850	69,360
Effect of exchange rate changes on cash and cash equivalents	-57,053	34,724
Net increase in cash and cash equivalents	858,559	3,557,894
Cash and cash equivalents at beginning of period	8,681,609	3,533,864
Cash and cash equivalents at end of period	9,540,168	7,091,758
Cash paid during the period for income taxes	$42,715	$25,334

Basis_of_Presentation

Basis of Presentation	6 Months Ended
Basis of Presentation	Sep. 30, 2014
Basis of Presentation [Abstract]	'
Basis of Presentation	'
	1. Basis of Presentation

	We have prepared our Condensed Consolidated Financial Statements included in this Quarterly Report on Form 10-Q, without audit, pursuant to the rules and regulations of the Securities and Exchange Commission. Certain information and footnote disclosures normally included in the consolidated financial statements prepared in accordance with accounting principles generally accepted in the United States of America, or GAAP have been condensed or omitted, pursuant to such rules and regulations, although we believe that our disclosures are adequate to make the information not misleading. The consolidated results of operations for any interim period are not necessarily indicative of results for a full year. These Condensed Consolidated Financial Statements, presented herein, should be read in conjunction with the audited consolidated financial statements and related notes included in our annual aeport on Form 10-K for the year ended March 31, 2014.

	The Condensed Consolidated Financial Statements presented herein as of September 30, 2014 and March 31, 2014 and for the three- and six- month periods ended September 30, 2014 and 2013 reflect, in the opinion of management, all material adjustments, consisting only of normal recurring adjustments, necessary for a fair presentation of the consolidated financial position, results of operations and cash flows for the interim periods.

	We have identified certain accounting policies that we consider particularly important for the portrayal of our results of operations and financial position and which may require the application of a higher level of judgment by our management, and as a result are subject to an inherent level of uncertainty. These are characterized as “critical accounting policies” and address revenue recognition, accounts receivable, inventories, foreign currency translation and transactions, impairment of long-lived assets, share-based compensation, defined benefit pension plans and income taxes, each of which is described in our Annual Report on Form 10-K for the year ended March 31, 2014. Based upon our review, we have determined that these policies remain our most critical accounting policies for the six months ended September 30, 2014 and we have made no changes to these policies during fiscal 2015.

Newly_Adopted_Accounting_Prono

Newly Adopted Accounting Pronouncements	6 Months Ended
Newly Adopted Accounting Pronouncements	Sep. 30, 2014
Newly Adopted Accounting Pronouncements [Abstract]	'
Newly Adopted Accounting Pronouncements	'
	2. Newly Adopted Accounting Pronouncements

	In July 2013, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2013-11, “Income Taxes (Topic 740): Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists.” ASU No. 2013-11 provides financial statement presentation guidance on whether an unrecognized tax benefit must be presented as either a reduction to a deferred tax asset or separately as a liability. We adopted ASU No. 2013-11 on April 1, 2014 and the adoption of this update did not have a material impact on our financial statements.

	In April 2014, the FASB issued ASU No. 2014-08, “Presentation of Financial Statements (Topic 205) and Property, Plant, and Equipment (Topic 360): Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity.” The amendments in this ASU change the criteria for reporting discontinued operations while enhancing disclosures in this area. It also addresses sources of confusion and inconsistent application related to financial reporting of discontinued operations guidance in GAAP. Under the new guidance, only disposals representing a strategic shift in operations should be presented as discontinued operations. In addition, the new guidance requires expanded disclosures about discontinued operations that will provide financial statement users with more information about the assets, liabilities, income, and expenses of discontinued operations.

	The new guidance also requires disclosure of the pre-tax income attributable to a disposal of a significant part of an organization that does not qualify for discontinued operations reporting. This disclosure will provide users with information about the ongoing trends in a reporting organization’s results from continuing operations. The amendments in ASU No. 2014-08 are effective for fiscal years and interim periods within those fiscal years, beginning after December 15, 2014. We do not believe the adoption of this update will have a material impact on our financial statements.

	In May 2014, the FASB has issued ASU No. 2014-09, “Revenue from Contracts with Customers (Topic 606). The guidance in this update supersedes the revenue recognition requirements in Topic 605, “Revenue Recognition.” In addition, the existing requirements for the recognition of a gain or loss on the transfer of nonfinancial assets that are not in a contract with a customer (for example, assets within the scope of Topic 360, Property, Plant, and Equipment, and intangible assets within the scope of Topic 350, Intangibles—Goodwill and Other) are amended to be consistent with the guidance on recognition and measurement (including the constraint on revenue) in this update. Under the new guidance, an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The amendments in ASU No, 2014-09 are effective for annual reporting periods beginning after December 15, 2016, including interim periods within that reporting period. Early application is not permitted. We do not believe the adoption of this update will have a material impact on our financial statements.

Fair_Value_Measurements

Fair Value Measurements

6 Months Ended

Sep. 30, 2014

Fair Value Measurements [Abstract]

Fair Value Measurements

3. Fair Value Measurements

Estimates of fair value for financial assets and liabilities are based on the framework established in the accounting guidance for fair value measurements. The framework defines fair value, provides guidance for measuring fair value and requires certain disclosures. The framework prioritizes a fair value hierarchy that requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The following three broad levels of inputs may be used to measure fair value under the fair value hierarchy:

Level 1: Observable inputs such as quoted prices (unadjusted) in active markets for identical assets or liabilities.

Level 2: Inputs other than quoted prices that are observable for the asset or liability, either directly or indirectly. These include quoted prices for similar assets or liabilities in active markets and quoted prices for identical or similar assets or liabilities in markets that are not active.

Level 3: Significant unobservable inputs that cannot be corroborated by observable market data and reflect the use of significant management judgment. These values are generally determined using pricing models for which the assumptions utilize management's estimates of market participant assumptions.

If the inputs used to measure the financial assets and liabilities fall within more than one of the different levels described above, the categorization is based on the lowest level input that is significant to the fair value measurement of the instrument.

The following table provides the assets carried at fair value measured on a recurring basis.

Asset Class

Fair Value

Quoted Prices in Active Markets for Identical Assets

Significant Other Observable Inputs

Significant Unobservable Inputs

(Level 1)

(Level 2)

(Level 3)

30-Sep-14

Short-term investments:

U.S. Government and Agency debt securities

31-Mar-14

Short-term investments:

U.S. Government and Agency debt securities

3,451,000

U.S. Government and U.S. Government Agency debt securities. Our debt securities consist of bonds, notes and treasury bills with risk ratings of AAA/Aaa and maturity dates within two years from date of purchase. The estimated fair value of these securities is based on valuations provided by external investment managers.

The carrying amounts reported in the Condensed Consolidated Balance Sheets for cash and cash equivalents, accounts receivable, inventories, other current assets, accounts payable and accrued liabilities approximate fair market value.

Accounts_Receivable

Accounts Receivable	6 Months Ended
Accounts Receivable	Sep. 30, 2014
Accounts Receivable [Abstract]	'
Accounts Receivable	'
	4. Accounts Receivable

	The allowance for doubtful accounts and sales returns was $35,000 at September 30, 2014 and $44,000 at March 31, 2014.

Inventories

Inventories	6 Months Ended
Inventories	Sep. 30, 2014
Inventories [Abstract]	'
Inventories	'
	5. Inventories

	Inventories are stated at the lower of cost (first-in, first-out method) or market (net realizable value). Inventories consist of the following:

		30-Sep-14		31-Mar-14

	Raw materials	$	128,000	$	136,000
	Work-in-process		17,000		25,000
	Finished goods		381,000		356,000

		$	526,000	$	517,000

Net_Loss_per_Common_Share

Net Loss per Common Share	6 Months Ended
	Sep. 30, 2014
Net Loss per Common Share [Abstract]	'
Net Loss per Common Share	'
	6. Net Loss per Common Share

	The following potentially dilutive options to purchase shares of common stock and unvested restricted common stock at September 30 were excluded from diluted net loss per common share because of their anti-dilutive effect, and therefore, basic net loss per common share equals diluted net loss per common share for all periods presented in our Condensed Consolidated Statements of Operations:

		Number of options		Range of stock
		and unvested		option exercise prices
		restricted stock

	30-Sep-14		1,506,739	$	2.06 to $2.50
	30-Sep-13		1,802,564	$	0.77 to $3.25

Sharebased_Compensation

Share-based Compensation	6 Months Ended
Share-based Compensation	Sep. 30, 2014
Share-based Compensation [Abstract]	'
Share-based Compensation	'
	7. Share-based Compensation

	As of September 30, 2014, we had one active plan for share-based compensation grants. Under the 2006 Amended Stock and Incentive Plan, if we have a change in control, all outstanding grants, including those subject to vesting or other performance targets, fully vest immediately. Under the plan, we reserved 3,450,000 shares of our common stock for share-based grants. As of September 30, 2014, we had 360,531 shares remaining that were available for grant.

	We recognize share-based compensation expense in our Condensed Consolidated Statement of Operations based on the fair value at the time of grant of the share-based payment over the requisite service period. We incurred approximately $661,000 and $921,000 in share-based compensation expense for the six months ended September 30, 2014 and 2013, respectively.

	As of September 30, 2014, we had approximately $1,161,000 of unrecognized share-based compensation expense, net of estimated forfeitures, related to stock options that we expect to recognize over a weighted-average period of 1.9 years. We also had $1,353,000 of unrecognized share-based compensation expense, net of estimated forfeitures, related to restricted shares that we expect to recognize over a weighted-average period of 2.2 years.

	Options. We grant option awards with an exercise price equal to the closing market price of our stock at the date of the grant. Options granted under this plan generally expire over a period ranging from five to seven years from date of grant and vest at varying rates ranging up to three years.

	We determined the fair value of our option awards using the Black-Scholes option pricing model. We used the following weighted-average assumptions to value the options granted during the six months ended September 30:

		2014			2013

	Expected life in years		2.81			4.51
	Risk-free interest rate		1	%		1.35	%
	Expected volatility		66.41	%		89.43	%
	Expected dividend yield		0	%		0	%
	Weighted-average grant date fair value	$	1.21		$	1.65

	The expected life selected for options granted during the six-months represents the period of time that we expect our options to be outstanding based on management’s expectation of option holder exercise and termination behavior for similar grants. The risk-free interest rate for periods within the contractual life of the option is based on the U.S. Treasury rate over the expected life at the time of grant. Expected volatilities are based upon historical volatility of our stock. We estimate the forfeiture rate for stock awards to be approximately zero percent for executive employees and directors and approximately 18% for non-executive employees based on our historical experience.

	The following table summarizes the activity related to our stock options during the six months ended September 30, 2014:

		Number of shares			Weighted average exercise			Weighted average remaining		Aggregate intrinsic
		Number of shares			price			life in years		value

	Outstanding at March 31, 2014		2,328,043		$	3.39			3.85	$	1,781,415
	Options granted		131,300			2.98
	Options exercised		(85,000	)		0.8
	Options surrendered		(163,018	)		5.02

	Outstanding at September 30, 2014		2,211,325		$	3.34			3.75	$	117,780

	Exercisable at September 30, 2014		1,402,997		$	3.74			2.5	$	39,994

	The total fair value of stock options that vested during the six months ended September 30, 2014 and 2013 was $620,000 and $315,000, respectively.

	Restricted Stock. Our 2006 Stock and Incentive Plan also permits our Compensation Committee to grant other stock-based benefits, including restricted shares. Restricted shares are subject to risk of forfeiture for termination of employment. The forfeiture risk generally lapses over a period of three to four years.

	The following table summarizes the activity related to our restricted shares during the six months ended September 30, 2014:

		Number of Shares			Weighted average			Weighted average remaining		Aggregate intrinsic
					grant date			life in years		value
					fair value
	Balance at March 31, 2014		146,262		$	3.38			2.23	$	540,000
	Shares granted		405,625			3.25
	Shares vested		(50,436	)		3.57
	Shares forfeited		(9,212	)		3.94

	Balance at September 30, 2014		492,239		$	3.24			2.2	$	1,230,598

	The aggregate intrinsic value shown above for the restricted shares represents the total pre-tax value based on the closing price of our common stock on the grant date.

Savings_and_Retirement_Plans

Savings and Retirement Plans	6 Months Ended
Savings and Retirement Plans	Sep. 30, 2014
Savings and Retirement Plans [Abstract]	'
Savings and Retirement Plans	'
	8. Savings and Retirement Plans

	We sponsor various retirement plans for eligible employees in the United States, the United Kingdom, and The Netherlands. Our retirement savings plan in the United States conforms to Section 401(k) of the Internal Revenue Code and participation is available to substantially all employees. We may also make discretionary contributions ratably to all eligible employees. We made discretionary contributions to the U.S. plan of $137,000 and $113,000 for the six months ended September 30, 2014, and 2013, respectively.

	Our international subsidiaries have defined benefit retirement plans for eligible employees. These plans provide benefits based on the employee’s years of service and compensation during the years immediately preceding retirement, termination, disability, or death, as defined in the plans.

	The cost for our defined benefit retirement plans in The Netherlands and the United Kingdom includes the following components for the three- and six-month periods ended September:

		Three Months Ended						Six Months Ended
		30-Sep						30-Sep
		2014			2013			2014			2013

	Gross service cost	$	36,000		$	31,000		$	71,000		$	62,000
	Interest cost		35,000			34,000			73,000			69,000
	Expected return on assets		(27,000	)		(20,000	)		(54,000	)		(40,000	)
	Amortization		1,000			2,000			2,000			3,000
	Net periodic retirement cost	$	45,000		$	47,000		$	92,000		$	94,000

Business_Segment_Information

Business Segment Information	6 Months Ended
Business Segment Information	Sep. 30, 2014
Business Segment Information [Abstract]	'
Business Segment Information	'
	9. Business Segment Information

	We aggregate our operating segments into one reportable segment in accordance with the objectives and principles of the applicable guidance.

	Net sales to customers outside the United States for the three months ended September 30, 2014 and 2013 represented 24% and 25%, respectively, of our consolidated net sales. Net sales to customers outside the United States for the six months ended September 30, 2014 and 2013 represented 27% and 26%, respectively, of our consolidated net sales.

	Information regarding net sales to customers by geographic area for the three and six months ended September 30 is as follows:

			United		United		All Other Foreign		Consolidated
			States		Kingdom		Countries (1)		Consolidated

	Three months ended September 30, 2014		$	4,896,000	$	627,000	$	932,000	$	6,455,000

	Three months ended September 30, 2013		$	4,478,000		575,000	$	92,000	$	5,977,000

	Six months ended September 30, 2014		$	9,429,000	$	1,287,000	$	2,123,000	$	12,839,000

	Six months ended September 30, 2013		$	8,763,000		1,122,000	$	1,933,000	$	11,818,000

		-1	No other country accounts for 10% or more of the consolidated net sales.

	Information regarding geographic area in which we maintain long-lived assets is as follows:

			United		All Other Foreign		Consolidated
			States		Countries (1)		Consolidated

	30-Sep-14		$	385,000	$	568,000	$	953,000

	31-Mar-14		$	379,000	$	619,000	$	998,000

		-1	Substantially all maintained in The Netherlands

	Accounting policies of the operations in the various geographic areas are the same as those described in Note 1. Net sales attributed to each geographic area are net of intercompany sales. No single customer represents 10% or more of our consolidated net sales. Long-lived assets consist of property, plant and equipment.

Fair_Value_Measurements_Tables

Fair Value Measurements (Tables)

6 Months Ended

Sep. 30, 2014

Fair Value Measurements [Abstract]

Assets carried at fair value measured on a recurring basis

The following table provides the assets carried at fair value measured on a recurring basis.

Asset Class

Fair Value

Quoted Prices in Active Markets for Identical Assets

Significant Other Observable Inputs

Significant Unobservable Inputs

(Level 1)

(Level 2)

(Level 3)

30-Sep-14

Short-term investments:

U.S. Government and Agency debt securities

31-Mar-14

Short-term investments:

U.S. Government and Agency debt securities

3,451,000

Inventories_Tables

Inventories (Tables)	6 Months Ended
Inventories (Tables)	Sep. 30, 2014
Inventories [Abstract]	'
Inventories	'
	Inventories are stated at the lower of cost (first-in, first-out method) or market (net realizable value). Inventories consist of the following:

		30-Sep-14		31-Mar-14

	Raw materials	$	128,000	$	136,000
	Work-in-process		17,000		25,000
	Finished goods		381,000		356,000

		$	526,000	$	517,000

Net_Loss_per_Common_Share_Tabl

Net Loss per Common Share (Tables)	6 Months Ended
	Sep. 30, 2014
Net Loss per Common Share [Abstract]	'
Anti-dilutive securities excluded from diluted loss per common share	'
	The following potentially dilutive options to purchase shares of common stock and unvested restricted common stock at September 30 were excluded from diluted net loss per common share because of their anti-dilutive effect, and therefore, basic net loss per common share equals diluted net loss per common share for all periods presented in our Condensed Consolidated Statements of Operations:

		Number of options		Range of stock
		and unvested		option exercise prices
		restricted stock

	30-Sep-14		1,506,739	$	2.06 to $2.50
	30-Sep-13		1,802,564	$	0.77 to $3.25

Sharebased_Compensation_Tables

Share-based Compensation (Tables)	6 Months Ended
Share-based Compensation (Tables)	Sep. 30, 2014
Share-based Compensation [Abstract]	'
Weighted-average assumptions used to value the options granted	'
	We determined the fair value of our option awards using the Black-Scholes option pricing model. We used the following weighted-average assumptions to value the options granted during the six months ended September 30:

		2014			2013

	Expected life in years		2.81			4.51
	Risk-free interest rate		1	%		1.35	%
	Expected volatility		66.41	%		89.43	%
	Expected dividend yield		0	%		0	%
	Weighted-average grant date fair value	$	1.21		$	1.65
Stock option activity	'
	The following table summarizes the activity related to our stock options during the six months ended September 30, 2014:

		Number of shares			Weighted average exercise			Weighted average remaining		Aggregate intrinsic
		Number of shares			price			life in years		value

	Outstanding at March 31, 2014		2,328,043		$	3.39			3.85	$	1,781,415
	Options granted		131,300			2.98
	Options exercised		(85,000	)		0.8
	Options surrendered		(163,018	)		5.02

	Outstanding at September 30, 2014		2,211,325		$	3.34			3.75	$	117,780

	Exercisable at September 30, 2014		1,402,997		$	3.74			2.5	$	39,994
Restricted shares activity	'
	The following table summarizes the activity related to our restricted shares during the six months ended September 30, 2014:

		Number of Shares			Weighted average			Weighted average remaining		Aggregate intrinsic
					grant date			life in years		value
					fair value
	Balance at March 31, 2014		146,262		$	3.38			2.23	$	540,000
	Shares granted		405,625			3.25
	Shares vested		(50,436	)		3.57
	Shares forfeited		(9,212	)		3.94

	Balance at September 30, 2014		492,239		$	3.24			2.2	$	1,230,598

Savings_and_Retirement_Plans_T

Savings and Retirement Plans (Tables)	6 Months Ended
Savings and Retirement Plans (Tables)	Sep. 30, 2014
Savings and Retirement Plans [Abstract]	'
Components of benefit costs for defined benefit retirement plans	'
	The cost for our defined benefit retirement plans in The Netherlands and the United Kingdom includes the following components for the three- and six-month periods ended September:

		Three Months Ended						Six Months Ended
		30-Sep						30-Sep
		2014			2013			2014			2013

	Gross service cost	$	36,000		$	31,000		$	71,000		$	62,000
	Interest cost		35,000			34,000			73,000			69,000
	Expected return on assets		(27,000	)		(20,000	)		(54,000	)		(40,000	)
	Amortization		1,000			2,000			2,000			3,000
	Net periodic retirement cost	$	45,000		$	47,000		$	92,000		$	94,000

Business_Segment_Information_T

Business Segment Information (Tables)	6 Months Ended
Business Segment Information (Tables)	Sep. 30, 2014
Business Segment Information [Abstract]	'
Sales to customers and long-lived assets by geographic area	'
	Information regarding net sales to customers by geographic area for the three and six months ended September 30 is as follows:

			United		United		All Other Foreign		Consolidated
			States		Kingdom		Countries (1)		Consolidated

	Three months ended September 30, 2014		$	4,896,000	$	627,000	$	932,000	$	6,455,000

	Three months ended September 30, 2013		$	4,478,000		575,000	$	92,000	$	5,977,000

	Six months ended September 30, 2014		$	9,429,000	$	1,287,000	$	2,123,000	$	12,839,000

	Six months ended September 30, 2013		$	8,763,000		1,122,000	$	1,933,000	$	11,818,000

		-1	No other country accounts for 10% or more of the consolidated net sales.

	Information regarding geographic area in which we maintain long-lived assets is as follows:

			United		All Other Foreign		Consolidated
			States		Countries (1)		Consolidated

	30-Sep-14		$	385,000	$	568,000	$	953,000

	31-Mar-14		$	379,000	$	619,000	$	998,000

Fair_Value_Measurements_Detail

Fair Value Measurements (Details) (Recurring [Member], USD $)	3 Months Ended
	Sep. 30, 2014	Mar. 31, 2014
Assets carried at fair value measured on a recurring basis [Abstract]	'	'
Short-term U.S. government and agency debt securities	$0	$3,451,000
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]	'	'
Assets carried at fair value measured on a recurring basis [Abstract]	'	'
Short-term U.S. government and agency debt securities	0	0
Significant Other Observable Inputs ( Level 2) [Member]	'	'
Assets carried at fair value measured on a recurring basis [Abstract]	'	'
Short-term U.S. government and agency debt securities	0	3,451,000
Maximum period for maturity of debt securities	'2 years	'
Significant Unobservable Inputs (Level 3) [Member]	'	'
Assets carried at fair value measured on a recurring basis [Abstract]	'	'
Short-term U.S. government and agency debt securities	$0	$0

Accounts_Receivable_Details

Accounts Receivable (Details) (USD $)	Sep. 30, 2014	Mar. 31, 2014
Accounts Receivable [Abstract]	'	'
Allowance for doubtful accounts and sales returns	$35,000	$44,000

Inventories_Details

Inventories (Details) (USD $)	Sep. 30, 2014	Mar. 31, 2014
Inventories [Abstract]	'	'
Raw materials	$128,000	$136,000
Work-in-process	17,000	25,000
Finished goods	381,000	356,000
Inventories	$526,367	$517,217

Net_Loss_per_Common_Share_Deta

Net Loss per Common Share (Details) (Options and Unvested Restricted Stock [Member], USD $)	6 Months Ended
	Sep. 30, 2014	Sep. 30, 2013
Options and Unvested Restricted Stock [Member]	'	'
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]	'	'
Number of anti-dilutive shares excluded from computation of diluted loss per common share (in shares)	1,506,739	1,802,564
Range of exercise prices - lower range limit (in dollars per share)	$2.06	$0.77
Range of exercise prices - upper range limit (in dollars per share)	$2.50	$3.25

Sharebased_Compensation_Detail

Share-based Compensation (Details) (USD $)

6 Months Ended

12 Months Ended

3 Months Ended

6 Months Ended

3 Months Ended

6 Months Ended

12 Months Ended

3 Months Ended

6 Months Ended

Sep. 30, 2014

Sep. 30, 2013

Sep. 30, 2014

Sep. 30, 2013

Mar. 31, 2014

Sep. 30, 2014

Mar. 31, 2014

Sep. 30, 2014

Stock Options [Member]

Restricted Stock [Member]

2006 Amended Stock and Incentive Plan [Member]

Executive Employees and Directors [Member]

Non-Executive Employees [Member]

Minimum [Member]

Maximum [Member]

Plan

Stock Options [Member]

Minimum [Member]

Maximum [Member]

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Number of active plans for share-based compensation grants

Number of shares reserved for share-based grants (in shares)

3,450,000

Shares available for grant (in shares)

360,531

Term of share-based payment award

'3 years

'4 years

'5 years

'7 years

Vesting period

'3 years

Share-based compensation expense

$661,000

$921,000

Weighted-average assumptions used to value the options granted [Abstract]

Expected life in years

'2 years 9 months 22 days

'4 years 6 months 4 days

Risk free interest rate (in hundredths)

1.00%

1.35%

Expected volatility (in hundredths)

66.41%

89.43%

Expected dividend yield (in hundredths)

0.00%

Weighted-average grant date fair value (in dollars per share)

$1.21

$1.65

Forfeiture rate (in hundredths)

0.00%

18.00%

Stock options, number of shares [Roll Forward]

Outstanding, beginning of period (in shares)

2,328,043

Options granted (in shares)

131,300

Options exercised (in shares)

-85,000

Options surrendered (in shares)

-163,018

Outstanding, end of period (in shares)

2,211,325

2,328,043

Exercisable, end of period (in shares)

1,402,997

Stock options, weighted average exercise price [Roll Forward]

Outstanding, beginning of period (in dollars per share)

$3.39

Options granted (in dollars per share)

$2.98

Options exercised (in dollars per share)

$0.80

Options surrendered (in dollars per share)

$5.02

Outstanding, end of period (in dollars per share)

$3.34

$3.39

Exercisable, end of period (in dollars per share)

$3.74

Stock options, additional disclosures [Abstract]

Outstanding, weighted average remaining life in years

'3 years 9 months

'3 years 10 months 6 days

Exercisable, Weighted average remaining life in years

'2 years 6 months

Outstanding, aggregate intrinsic value, end of period

117,780

1,781,415

Exercisable, aggregate intrinsic value, end of period

39,994

Fair value of stock options vested

620,000

315,000

Restricted shares, number of shares [Roll Forward]

Balance, beginning of period (in shares)

146,262

Shares granted (in shares)

405,625

Shares vested (in shares)

-50,436

Shares forfeited (in shares)

-9,212

Balance, end of period (in shares)

492,239

146,262

Restricted shares, weighted average grant date fair value [Roll Forward]

Balance, beginning of period (in dollars per share)

$3.38

Shares granted (in dollars per share)

$3.25

Shares vested (in dollars per share)

$3.57

Shares forfeited (in dollars per share)

$3.94

Balance, end of period (in dollars per share)

$3.24

$3.38

Restricted shares, additional disclosures [Abstract]

Weighted average remaining life in years

'2 years 2 months 12 days

'2 years 2 months 23 days

Outstanding, Aggregate intrinsic value

1,230,598

540,000

Unrecognized share-based compensation expense

$1,161,000

$1,353,000

Unrecognized compensation expense, weighted average period of recognition

'1 year 10 months 24 days

'2 years 2 months 12 days

Savings_and_Retirement_Plans_D

Savings and Retirement Plans (Details) (USD $)	3 Months Ended		6 Months Ended
Savings and Retirement Plans (Details) (USD $)	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Savings and Retirement Plans [Abstract]	'	'	'	'
Employer discretionary contribution amount to U.S. plan	'	'	$137,000	$113,000
Defined Benefit Plans, Net Periodic Retirement Cost [Abstract]	'	'	'	'
Gross service cost	36,000	31,000	71,000	62,000
Interest cost	35,000	34,000	73,000	69,000
Expected return on assets	-27,000	-20,000	-54,000	-40,000
Amortization	1,000	2,000	2,000	3,000
Net periodic retirement cost	$45,000	$47,000	$92,000	$94,000

Business_Segment_Information_D

Business Segment Information (Details) (USD $)	3 Months Ended				6 Months Ended
	Sep. 30, 2014		Sep. 30, 2013		Sep. 30, 2014		Sep. 30, 2013		Mar. 31, 2014
					Customer		Customer
					Segment
Business Segment Information [Abstract]	'		'		'		'		'
Number of operating segments	'		'		1		'		'
Revenues from External Customers and Long-Lived Assets [Line Items]	'		'		'		'		'
Revenue by customer (in hundredths)	24.00%		25.00%		27.00%		26.00%		'
Revenues	$6,455,000		$5,977,000		$12,839,000		$11,818,000		'
Long-lived assets	953,000		'		953,000		'		998,000
Number of major customers	'		'		0		0		'
Percentage of sales considered for major customer (in hundredths)	'		'		0.00%		0.00%		'
United States [Member] \| Reportable Geographical Components [Member]	'		'		'		'		'
Revenues from External Customers and Long-Lived Assets [Line Items]	'		'		'		'		'
Revenues	4,896,000		4,478,000		9,429,000		8,763,000		'
Long-lived assets	385,000		'		385,000		'		379,000
United Kingdom [Member] \| Reportable Geographical Components [Member]	'		'		'		'		'
Revenues from External Customers and Long-Lived Assets [Line Items]	'		'		'		'		'
Revenues	627,000		575,000		1,287,000		1,122,000		'
All Other Foreign Countries [Member] \| Reportable Geographical Components [Member]	'		'		'		'		'
Revenues from External Customers and Long-Lived Assets [Line Items]	'		'		'		'		'
Revenues	932,000	[1]	924,000	[1]	2,123,000	[1]	1,933,000	[1]	'
Long-lived assets	$568,000	[2]	'		$568,000	[2]	'		$619,000	[2]

[1]	No country accounts for 10% or more of the consolidated net sales.
[2]	Substantially all maintained in The Netherlands.