Hyperscale Data (GPUS) 10-Q 12 Aug 15 2015 Q2 Quarterly report Financial data

Document And Entity Information

Document And Entity Information - shares	6 Months Ended
	Jun. 30, 2015	Aug. 10, 2015
Entity Registrant Name	DIGITAL POWER CORP
Entity Central Index Key	896,493
Current Fiscal Year End Date	--12-31
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)		6,775,971
Document Type	10-Q
Document Period End Date	Jun. 30, 2015
Document Fiscal Year Focus	2,015
Document Fiscal Period Focus	Q2
Amendment Flag	false

Consolidated Balance Sheets (Cu

Consolidated Balance Sheets (Current Period Unaudited) - USD ($)	Jun. 30, 2015	Dec. 31, 2014
CURRENT ASSETS:
Cash and cash equivalents	$ 1,760,000	$ 2,110,000
Trade receivables	1,047,000	1,548,000
Related parties – trade receivables	36,000
Prepaid expenses and other receivables	224,000	178,000
Inventories (Note 3)	1,906,000	1,653,000
Total current assets	4,973,000	5,489,000
PROPERTY AND EQUIPMENT, NET	605,000	567,000
INTANGIBLE ASSET, NET	18,000	66,000
INVESTMENT IN TELKOOR	102,000	207,000
LONG-TERM DEPOSITS	13,000	13,000
Total assets	5,711,000	6,342,000
CURRENT LIABILITIES:
Accounts payable	1,015,000	1,061,000
Related parties - trade payables		60,000
Advances from customers and deferred revenues	240,000	435,000
Other current liabilities	326,000	345,000
Total current liabilities	1,581,000	1,901,000
SHAREHOLDERS' EQUITY:
Series A Redeemable, Convertible Preferred shares, no par value - 500,000 shares authorized and 0 shares outstanding at June 30, 2015 and December 31, 2014	$ 0	$ 0
Preferred shares, no par value - 1,500,000 shares authorized and 0 shares outstanding at June 30, 2015 and December 31, 2014
Common shares, no par value - 30,000,000 shares authorized; 6,775,971 shares issued and outstanding as of June 30, 2015 and December 31, 2014.
Additional paid-in capital	$ 14,876,000	$ 14,739,000
Accumulated deficit	(10,415,000)	(9,940,000)
Accumulated other comprehensive loss	(331,000)	(358,000)
Total shareholders' equity	4,130,000	4,441,000
Total liabilities and shareholders' equity	$ 5,711,000	$ 6,342,000

Consolidated Balance Sheets (C3

Consolidated Balance Sheets (Current Period Unaudited) (Parentheticals) - $ / shares	Jun. 30, 2015	Dec. 31, 2014
Series A Redeemable, par value (in dollars per share)	$ 0	$ 0
Series A Redeemable, shares authorized (in shares)	500,000	500,000
Series A Redeemable, shares outstanding (in shares)	0	0
Preferred shares, par value (in dollars per share)	$ 0	$ 0
Preferred shares, shares authorized (in shares)	1,500,000	1,500,000
Preferred shares, shares outstanding (in shares)	0	0
Common shares, par value (in dollars per share)	$ 0	$ 0
Common shares, shares authorized (in shares)	30,000,000	30,000,000
Common shares, shares issued (in shares)	6,775,971	6,775,971
Common shares, shares outstanding (in shares)	6,775,971	6,775,971

Consolidated Statements of Oper

Consolidated Statements of Operations (Unaudited) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Total revenues	$ 2,151,000	$ 2,642,000	$ 4,047,000	$ 4,679,000
Cost of revenues	1,350,000	1,559,000	2,533,000	2,834,000
Gross profit	801,000	1,083,000	1,514,000	1,845,000
Engineering and product development	226,000	211,000	460,000	394,000
Selling and marketing	259,000	330,000	519,000	642,000
General and administrative	463,000	391,000	901,000	813,000
Total operating expenses	948,000	932,000	1,880,000	1,849,000
Operating income (loss)	(147,000)	151,000	(366,000)	(4,000)
Financial expense, net	(68,000)	$ (2,000)	(3,000)	$ (5,000)
Impairment of investment	(56,000)		(106,000)
(Loss) income before income taxes	$ (271,000)	$ 149,000	$ (475,000)	$ (9,000)
Income taxes
Net (loss) income	$ (271,000)	$ 149,000	$ (475,000)	$ (9,000)
Basic net income (loss) per share (in dollars per share)	$ (0.04)	$ 0.02	$ (0.07)	$ 0
Diluted net income (loss) per share (in dollars per share)	$ (0.04)	$ 0.02	$ (0.07)	$ 0

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Income (Unaudited) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Net loss	$ (271,000)	$ 149,000	$ (475,000)	$ (9,000)
Other Comprehensive income, net of tax:
Change in net foreign currency translation adjustment	138,000	44,000	27,000	61,000
Other comprehensive income	138,000	44,000	27,000	61,000
Total comprehensive income (loss):	$ (133,000)	$ 193,000	$ (448,000)	$ 52,000

Statement of Changes in Shareho

Statement of Changes in Shareholders' Equity (Current Balance Unaudited) - USD ($)	Common Stock [Member]	Additional Paid-in Capital [Member]	Retained Earnings [Member]	AOCI Attributable to Parent [Member]	Total
Balance as of January 1, 2015 (in shares) at Dec. 31, 2013	6,853,161
Balance as of January 1, 2015 at Dec. 31, 2013		$ 14,582,000	$ (9,282,000)	$ (253,000)	$ 5,047,000
Stock compensation related to options granted to employees		86,000			86,000
Net loss			(9,000)		(9,000)
Change in net foreign currency translation adjustment				61,000	61,000
Balance as of June 30, 2015 (in shares) at Jun. 30, 2014	6,798,510
Balance as of June 30, 2015 at Jun. 30, 2014		14,594,000	(9,291,000)	(192,000)	5,111,000
Stock compensation related to options granted to non- employees		(4,000)			(4,000)
Exercise of employee options (in shares)	39,749
Purchase of treasury stock	$ (94,400,000)	(70,000)			(70,000)
Balance as of January 1, 2015 (in shares) at Dec. 31, 2014	6,775,971
Balance as of January 1, 2015 at Dec. 31, 2014		14,739,000	(9,940,000)	(358,000)	4,441,000
Stock compensation related to options granted to employees		137,000			137,000
Net loss			(475,000)		(475,000)
Change in net foreign currency translation adjustment				27,000	27,000
Balance as of June 30, 2015 (in shares) at Jun. 30, 2015	6,775,971
Balance as of June 30, 2015 at Jun. 30, 2015		$ 14,876,000	$ (10,415,000)	$ (331,000)	$ 4,130,000

Consolidated Statements of Cash

Consolidated Statements of Cash Flows (Unaudited) - USD ($)	6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014
Cash flows from operating activities :
Net loss	$ (475,000)	$ (9,000)
Adjustments required to reconcile net loss to net cash provided by (used in) operating activities:
Depreciation	71,000	69,000
Amortization of intangible asset	48,000	52,000
Stock based compensation related to options granted to employees	137,000	86,000
Stock based compensation related to options granted to Telkoor's employees		(4,000)
Impairment of investment in Telkoor	106,000
Write down of inventory	43,000
Decrease in trade receivables, net	500,000	540,000
Increase in prepaid expenses and other accounts receivable	(43,000)	(61,000)
Decrease (increase) in inventories	(277,000)	328,000
Decrease in accounts payable and related parties- trade payables	(146,000)	(422,000)
Decrease in deferred revenues and other current liabilities	(214,000)	(146,000)
Net cash provided (used by) operating activities	(250,000)	433,000
Cash flows from investing activities :
Purchase of property and equipment	(105,000)	(54,000)
Proceeds from sales of property and equipment		16,000
Net cash used in investing activities	(105,000)	(38,000)
Cash flows from financing activities :
Purchase of treasury stock		(70,000)
Net cash used in financing activities		(70,000)
Effect of exchange rate changes on cash and cash equivalents	5,000	27,000
Increase/(decrease) in cash and cash equivalents	(350,000)	352,000
Cash and cash equivalents at the beginning of the period	2,110,000	1,696,000
Cash and cash equivalents at the end of the period	$ 1,760,000	$ 2,048,000

Note 1 - General

Note 1 - General	6 Months Ended
	Jun. 30, 2015
Notes to Financial Statements
Business Description and Basis of Presentation [Text Block]	NOTE 1:- GENERAL a. Digital Power Corporation (the "Company" or "DPC") was incorporated in 1969, under the General Corporation Law of the State of California. The Company and Digital Power Limited ("DPL"), a wholly owned subsidiary located in the United Kingdom, are currently engaged in the design, manufacture and sale of switching power supplies and converters. The Company has two reportable geographic segments - North America (sales through DPC) and Europe (sales through DPL). b. The Company depends on Telkoor Telecom Ltd. ("Telkoor"), a major shareholder of the Company and one of DPC's third party subcontractors, for manufacturing capabilities in production of the products which DPC sells. If these manufacturers are unable or unwilling to continue manufacturing the Company's products in required volumes on a timely basis, that could lead to loss of sales, and adversely affect the Company's operating results and cash position. The Company also depends on Telkoor's intellectual property and ability to transfer production to third party manufacturers. Failure to obtain new products in a timely manner or delay in delivery of product to customers will have an adverse effect on the Company's ability to meet its customers' expectations. In 2010, the Company purchased a specific intellectual property (IP) fromTelkoor in order to reduce its dependency on Telkoor with respect to a certain line of products.

Note 2 - Basis of Presentation

Note 2 - Basis of Presentation	6 Months Ended
	Jun. 30, 2015
Notes to Financial Statements
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block]	NOTE 2:- BASIS OF PRESENTATION The accompanying unaudited interim consolidated financial statements and footnotes have been prepared in accordance with generally accepted accounting principles in the United States of America (“U.S. GAAP”) and applicable rules and regulations of the U.S. Securities and Exchange Commissions (the “SEC”) regarding unaudited interim financial information. In the opinion of management, the accompanying unaudited interim consolidated financial statements reflect all adjustments, consisting only of normal recurring adjustments, necessary for a fair presentation of the Company’s consolidated balance sheets, statements of operations, comprehensive loss and cash flows for the interim periods presented. Operating results for the interim periods presented are not necessarily indicative of the results of operations to be expected for the full year or the results for any future periods due to seasonal and other factors. Certain information and footnote disclosures normally included in the consolidated financial statements in accordance with U.S. GAAP have been omitted in accordance with the rules and regulations of the SEC. Accordingly, these unaudited interim consolidated financial statements and footnotes should be read in conjunction with the consolidated financial statements and accompanying notes thereto included in the Company’s Form 10-K for the year ended December 31, 2014 filed with the SEC on March 27, 2015.

Note 3 - Inventories

Note 3 - Inventories	6 Months Ended
	Jun. 30, 2015
Notes to Financial Statements
Inventory Disclosure [Text Block]	NOTE 3:- INVENTORIES June 30, December 31, 2015 2014 Unaudited Raw materials, parts and supplies $ 451 $ 287 Work in progress 254 357 Finished products 1,201 1,009 $ 1,906 $ 1,653

Note 4 - Accounting for Stock-b

Note 4 - Accounting for Stock-based Compensation	6 Months Ended
	Jun. 30, 2015
Notes to Financial Statements
Disclosure of Compensation Related Costs, Share-based Payments [Text Block]	NOTE 4:- ACCOUNTING FOR STOCK-BASED COMPENSATION Share Option Plan 1. Under the Company's Digital Power 2012 (as amended) (“Incentive Share Option Plan”), options my be granted o employees, officers, consultants, service providers and directors of the Company or its subsidiary. 2. As of June 30, 2015, the Company has authorized according to the Incentive Share Option Plan, the grant of options to officers, management, other key employees and others of up to 1,372,630 options for the Company’s common shares. The maximum term of the options is ten years from date of grant. As of June 30, 2015, an aggregate of 690,130 shares of the Company’s common stock were still available for future grant. 3. The options granted generally become fully exercisable after four years and expire no later than 10 years from the date of the option grant. Any options that are forfeited or cancelled before expiration become available for future grants. A summary of the Company’s employee share option activity (except options to consultants and service providers) and related information is as follows: Six months ended June 30, 2015 Amount of options Weighted average exercise price Weighted average remaining contractual term (years) Aggregate intrinsic value (*) Outstanding at the beginning of the period 1,262,763 $ 1.57 7.65 $ 40.57 Outstanding at the end of the period 1,227,763 $ 1.57 7.15 $ 9.92 Exercisable options at the end of the period 655,263 $ 1.52 5.85 $ 7.52 (*) Calculation of aggregate intrinsic value is based upon the share price of the Company’s common stock as of June 30, 2015 ($0.92) per share). Under the provisions of ASC 718, the fair value of each option is estimated on the date of grant using a Black-Sholes option valuation model that uses the assumptions such as stock price on the date of the grant, exercise price, risk-free interest rate, expected volatility, expected life and expected dividend yield of the option. Expected volatility is based exclusively on historical volatility of the entity's stock as allowed by ASC 718. The Company uses historical information with respect to the employee options exercised to estimate the expected term of options granted, representing the period of time that options granted are expected to be outstanding. The risk-free interest rate of the period within the contractual life of the option is based on the U.S. Treasury yield curve in effect at the time of grant. No options were granted during the first six months of 2015. The total employee’s equity-based compensation expense related to all of the Company’s equity-based awards recognized for the six months and three months ended June 30, 2015 and 2014 is comprised as follows: Six months ended Three months ended June 30, 2015 June 30, 2014 June 30, 2015 June 30, 2014 Unaudited Unaudited Unaudited Unaudited Cost of goods sold 3 2 2 1 Sales and marketing expenses 6 5 4 4 Research and development 11 6 7 5 General and administrative 117 73 77 54 Total employees equity-based compensation expense 137 86 90 64 As of June 30, 2015, there was $ 581 of total unrecognized compensation cost related to unvested share-based compensation arrangements granted under the share option plans. That cost is expected to be recognized over a period of the next 2.76 years.

Note 5 - Net Income Per Share

Note 5 - Net Income Per Share	6 Months Ended
	Jun. 30, 2015
Notes to Financial Statements
Earnings Per Share [Text Block]	NOTE 5:- NET INCOME (LOSS) PER SHARE The following table sets forth the computation of the basic and diluted net earnings per share: 1. Numerator: Six months ended June 30, Three months ended June 30, 2015 2014 2015 2014 Unaudited Net income (loss) available to Common shareholders $ (475 ) $ (9 ) $ (271 ) $ 149 2. Denominator: Six months ended June 30, Three months ended June 30, 2015 2014 2015 2014 Unaudited Denominator for basic net income per share of weighted average number of common shares 6,775,971 6,828,263 6,775,971 6,815,793 Effect of dilutive securities: Employee stock options -- 26,098 -- 20,396 Denominator for diluted net income per common share 6,775,971 6,854,361 6,775,971 6,836,189 Basic net income (loss) per share $ (0.07 ) $ (0.00 ) $ (0.04 ) $ 0.02 Diluted net income (loss) per share $ (0.07 ) $ (0.00 ) $ (0.04 ) $ 0.02

Note 6 - Investment in Telkoor

Note 6 - Investment in Telkoor	6 Months Ended
	Jun. 30, 2015
Notes to Financial Statements
Business Combination Disclosure [Text Block]	NOTE 6:- INVESTMENT IN TELKOOR On June 16, 2011 the Company acquired 1,136,666 shares of Telkoor, a major shareholder of the Company and an Israeli company listed in the Tel Aviv stock exchange, which represented 8.8% of the outstanding shares of Telkoor. As a result of this transaction, an existing manufacturing agreement between Digital Power and Telkoor was updated and extended. The Company has classified its investment in Telkoor's shares as available-for-sale securities in accordance with ASC 320, "Investment in Debt and Equity Securities". Marketable securities classified as "available for sale securities" are carried at fair value, based on quoted market prices. Unrealized gains and losses are reported in a separate component of shareholders' equity in "accumulated other comprehensive loss". When evaluating the investment for other-than-temporary impairment, the Company reviews factors such as the length of time and extent to which fair value has been below cost basis, the financial condition of the issuer and any changes thereto, and the Company's intent to sell, or whether it is more likely than not that it will be required to sell, the investment before recovery of the investment's amortized cost basis. Equity securities that do not have readily determinable fair values (i.e. non-marketable equity securities) and are not required to be accounted for under the equity method are typically carried at cost(i.e., cost method investments), as described in ASC 325-20. The Company recorded an impairment of its investment in Telkoor of $56 for the three months ended June 30, 2015 and $106 for the six months ended June 30, 2015 based upon a decline in the value of Telkoor's investment in the Company's shares and a reduction of the market value of Telkoor's equity. For the three and six months ended June 30, 2014, the Company did not record an impairment. In the year ended December 31, 2014, an independent appraiser evaluated the holding value of this investment based upon guidelines outlined in ASC 320 and concluded the fair value of the asset had declined by $175 from its value reported in the financial statements for the year ended December 31, 2013. In accordance with ASC 325, Telkoor’s equity shares held by the Company are presented at cost and will be reviewed for impairment in accordance with ASC 320.

Note 7 - Segments, Major Custom

Note 7 - Segments, Major Customers and Geographic Information	6 Months Ended
	Jun. 30, 2015
Notes to Financial Statements
Segment Reporting Disclosure [Text Block]	NOTE 7:- SEGMENTS The Company has two reportable geographic segments (see Note 1 for a brief description of the Company's business). The following data presents the revenues, expenditures and other operating data of the Company's geographic operating segments in accordance with ASC 218 (formerly SFAS No. 131) "Segment Reporting". Six months ended June 30, 2015 (unaudited) DPC DPL Eliminations Total Revenues $ 1,987 $ 2,060 $ - $ 4,047 Intersegment revenues 122 - (122 ) - Total revenues $ 2,109 $ 2,060 $ (122 ) $ 4,047 Depreciation and amortization $ 37 $ 82 $ - $ 119 Operating income (loss) $ (529 ) $ 163 $ - $ (366 ) Financial expense, net $ - $ (3 ) $ - (3 ) Impairment of investment $ - $ (106 ) $ - $ (106 ) Net income (loss) $ (529 ) $ 54 $ - $ (475 ) Expenditures for segment assets, net of retirements $ 50 $ 55 $ - $ 105 Total assets as of June 30, 2015 $ 2,594 $ 3,117 $ - $ 5,711 Six months ended June 30, 2014 (unaudited) DPC DPL Eliminations Total Revenues $ 2,642 $ 2,037 $ - $ 4,679 Intersegment revenues 119 - (119 ) - Total revenues $ 2,761 $ 2,037 $ (119 ) $ 4,679 Depreciation and amortization $ 36 $ 85 $ - $ 121 Operating income (loss) $ (132 ) $ 128 $ - $ (4 ) Financial expense, net $ - $ (5 ) $ - $ (5 ) Impairment of investment $ - $ - $ - $ - Net income (loss) $ (132 ) $ 123 $ - $ (9 ) Expenditures for segment assets, net of retirements $ 52 $ (14 ) $ - $ 38 Total assets as of June 30, 2014 $ 3,330 $ 3,149 $ - $ 6,479 Three months ended June 30, 2015 (unaudited) DPC DPL Eliminations Total Revenues $ 1,063 $ 1,088 $ - $ 2,151 Intersegment revenues 11 0 (11 ) - Total revenues $ 1,074 $ 1,088 $ (11 ) $ 2,151 Depreciation and amortization $ 19 $ 42 $ - $ 61 Operating income (loss) $ (264 ) $ 117 $ - $ (147 ) Financial expense, net $ - (68 ) $ - $ (68 ) Impairment of investment $ - $ (56 ) $ - $ (56 ) Net income (loss) $ (264 ) $ (7 ) $ - $ (271 ) Expenditures for segment assets, net of retirements $ 4 $ 2 $ - $ 6 Total assets as of June 30, 2014 $ 2,594 $ 3,117 $ - $ 5,711 Three months ended June 30, 2014 (unaudited) DPC DPL Eliminations Total Revenues $ 1,476 $ 1,166 $ - $ 2,642 Intersegment revenues 112 0 (112 ) - Total revenues $ 1,588 $ 1,166 $ (112 ) $ 2,642 Depreciation and amortization ` $ 20 $ 40 $ - $ 60 Operating income (loss) $ 16 $ 135 $ - $ 151 Financial expense, net $ - $ (2 ) $ - $ (2 ) Impairment of investment $ - $ - $ - $ - Net income (loss) $ 16 $ 133 $ - $ 149 Expenditures for segment assets, net of retirements $ 14 $ 2 $ - $ 16 Total assets as of June 30, 2014 $ 3,330 $ 3,149 $ - $ 6,479

Note 3 - Inventories (Tables)

Note 3 - Inventories (Tables)	6 Months Ended
	Jun. 30, 2015
Notes Tables
Schedule of Inventory, Current [Table Text Block]	June 30, December 31, 2015 2014 Unaudited Raw materials, parts and supplies $ 451 $ 287 Work in progress 254 357 Finished products 1,201 1,009 $ 1,906 $ 1,653

Note 4 - Accounting for Stock16

Note 4 - Accounting for Stock-based Compensation (Tables)	6 Months Ended
	Jun. 30, 2015
Option Plans [Member]
Notes Tables
Schedule of Share-based Compensation, Stock Options, Activity [Table Text Block]	Six months ended June 30, 2015 Amount of options Weighted average exercise price Weighted average remaining contractual term (years) Aggregate intrinsic value (*) Outstanding at the beginning of the period 1,262,763 $ 1.57 7.65 $ 40.57 Outstanding at the end of the period 1,227,763 $ 1.57 7.15 $ 9.92 Exercisable options at the end of the period 655,263 $ 1.52 5.85 $ 7.52
Schedule of Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Table Text Block]	Six months ended Three months ended June 30, 2015 June 30, 2014 June 30, 2015 June 30, 2014 Unaudited Unaudited Unaudited Unaudited Cost of goods sold 3 2 2 1 Sales and marketing expenses 6 5 4 4 Research and development 11 6 7 5 General and administrative 117 73 77 54 Total employees equity-based compensation expense 137 86 90 64

Note 5 - Net Income Per Share (

Note 5 - Net Income Per Share (Tables)	6 Months Ended
	Jun. 30, 2015
Notes Tables
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block]	Six months ended June 30, Three months ended June 30, 2015 2014 2015 2014 Unaudited Net income (loss) available to Common shareholders $ (475 ) $ (9 ) $ (271 ) $ 149 Six months ended June 30, Three months ended June 30, 2015 2014 2015 2014 Unaudited Denominator for basic net income per share of weighted average number of common shares 6,775,971 6,828,263 6,775,971 6,815,793 Effect of dilutive securities: Employee stock options -- 26,098 -- 20,396 Denominator for diluted net income per common share 6,775,971 6,854,361 6,775,971 6,836,189 Basic net income (loss) per share $ (0.07 ) $ (0.00 ) $ (0.04 ) $ 0.02 Diluted net income (loss) per share $ (0.07 ) $ (0.00 ) $ (0.04 ) $ 0.02

Note 7 - Segments, Major Cust18

Note 7 - Segments, Major Customers and Geographic Information (Tables)	6 Months Ended
	Jun. 30, 2015
Notes Tables
Schedule of Segment Reporting Information, by Segment [Table Text Block]	Six months ended June 30, 2015 (unaudited) DPC DPL Eliminations Total Revenues $ 1,987 $ 2,060 $ - $ 4,047 Intersegment revenues 122 - (122 ) - Total revenues $ 2,109 $ 2,060 $ (122 ) $ 4,047 Depreciation and amortization $ 37 $ 82 $ - $ 119 Operating income (loss) $ (529 ) $ 163 $ - $ (366 ) Financial expense, net $ - $ (3 ) $ - (3 ) Impairment of investment $ - $ (106 ) $ - $ (106 ) Net income (loss) $ (529 ) $ 54 $ - $ (475 ) Expenditures for segment assets, net of retirements $ 50 $ 55 $ - $ 105 Total assets as of June 30, 2015 $ 2,594 $ 3,117 $ - $ 5,711 Six months ended June 30, 2014 (unaudited) DPC DPL Eliminations Total Revenues $ 2,642 $ 2,037 $ - $ 4,679 Intersegment revenues 119 - (119 ) - Total revenues $ 2,761 $ 2,037 $ (119 ) $ 4,679 Depreciation and amortization $ 36 $ 85 $ - $ 121 Operating income (loss) $ (132 ) $ 128 $ - $ (4 ) Financial expense, net $ - $ (5 ) $ - $ (5 ) Impairment of investment $ - $ - $ - $ - Net income (loss) $ (132 ) $ 123 $ - $ (9 ) Expenditures for segment assets, net of retirements $ 52 $ (14 ) $ - $ 38 Total assets as of June 30, 2014 $ 3,330 $ 3,149 $ - $ 6,479 Three months ended June 30, 2015 (unaudited) DPC DPL Eliminations Total Revenues $ 1,063 $ 1,088 $ - $ 2,151 Intersegment revenues 11 0 (11 ) - Total revenues $ 1,074 $ 1,088 $ (11 ) $ 2,151 Depreciation and amortization $ 19 $ 42 $ - $ 61 Operating income (loss) $ (264 ) $ 117 $ - $ (147 ) Financial expense, net $ - (68 ) $ - $ (68 ) Impairment of investment $ - $ (56 ) $ - $ (56 ) Net income (loss) $ (264 ) $ (7 ) $ - $ (271 ) Expenditures for segment assets, net of retirements $ 4 $ 2 $ - $ 6 Total assets as of June 30, 2014 $ 2,594 $ 3,117 $ - $ 5,711 Three months ended June 30, 2014 (unaudited) DPC DPL Eliminations Total Revenues $ 1,476 $ 1,166 $ - $ 2,642 Intersegment revenues 112 0 (112 ) - Total revenues $ 1,588 $ 1,166 $ (112 ) $ 2,642 Depreciation and amortization ` $ 20 $ 40 $ - $ 60 Operating income (loss) $ 16 $ 135 $ - $ 151 Financial expense, net $ - $ (2 ) $ - $ (2 ) Impairment of investment $ - $ - $ - $ - Net income (loss) $ 16 $ 133 $ - $ 149 Expenditures for segment assets, net of retirements $ 14 $ 2 $ - $ 16 Total assets as of June 30, 2014 $ 3,330 $ 3,149 $ - $ 6,479

Note 1 - General (Details Textu

Note 1 - General (Details Textual)	6 Months Ended
	Jun. 30, 2015
Number of Reportable Segments	2

Note 3 - Inventories (Details)

Note 3 - Inventories (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Raw materials, parts and supplies	$ 451	$ 287
Work in progress	254	357
Finished products	1,201	1,009
	$ 1,906	$ 1,653

Note 4 - Accounting for Stock21

Note 4 - Accounting for Stock-based Compensation (Details Textual) - Jun. 30, 2015 - USD ($) $ / shares in Units, $ in Thousands	Total
Officers Management Other Key Employees and Others [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized	1,372,630
Maximum [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period	10 years
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross	0
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant	690,130
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period	4 years
Share Price	$ (0.92)
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized	$ 581
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition	2 years 277 days

Note 4 - Option Activity (Detai

Note 4 - Option Activity (Details) - USD ($)		6 Months Ended	12 Months Ended
		Jun. 30, 2015	Dec. 31, 2014
Amount of options (in shares)		1,227,763	1,262,763
Weighted average exercise price (in dollars per share)		$ 1.57	$ 1.57
Weighted average remaining contractual term (years)		7 years 54 days	7 years 237 days
Aggregate intrinsic value	[1]	$ 9.92	$ 40.57
Amount of options (in shares)		655,263
Weighted average exercise price (in dollars per share)		$ 1.52
Weighted average remaining contractual term (years)		5 years 310 days
Aggregate intrinsic value	[1]	$ 7.52
[1]	Calculation of aggregate intrinsic value is based upon the share price of the Company's common stock as of June 30, 2015 ($0.92) per share).

Note 4 - Equity Based Compensat

Note 4 - Equity Based Compensation Expense (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Cost of Sales [Member]
Share-based compensation expense	$ 2	$ 1	$ 3	$ 2
Selling and Marketing Expense [Member]
Share-based compensation expense	4	4	6	5
Research and Development Expense [Member]
Share-based compensation expense	7	5	11	6
General and Administrative Expense [Member]
Share-based compensation expense	77	54	117	73
Share-based compensation expense	$ 90	$ 64	$ 137	$ 86

Note 5 - Computation of the Bas

Note 5 - Computation of the Basic and Diluted Earnings per Share (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Net income (loss) available to Common shareholders	$ (271)	$ 149	$ (475)	$ (9)
Denominator for basic net income per share of weighted average number of common shares (in shares)	6,775,971	6,815,793	6,775,971	6,828,263
Effect of dilutive securities:
Employee stock options (in shares)		20,396		26,098
Denominator for diluted net income per common share (in shares)	6,775,971	6,836,189	6,775,971	6,854,361
Basic net income (loss) per share (in dollars per share)	$ (0.04)	$ 0.02	$ (0.07)	$ 0
Diluted net income (loss) per share (in dollars per share)	$ (0.04)	$ 0.02	$ (0.07)	$ 0

Note 6 - Investment in Telkoor

Note 6 - Investment in Telkoor (Details Textual) - USD ($) shares in Thousands	1 Months Ended	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 16, 2011	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2013
Telkoor [Member]
Other than Temporary Impairment Losses, Investments, Portion Recognized in Earnings, Net, Available-for-sale Securities		$ 56,000	$ 0	$ 106,000	$ 0	$ 175,000
Business Acquisition Shares Acquired	1,136,666
Business Acquisition, Percentage of Voting Interests Acquired	8.80%
Other than Temporary Impairment Losses, Investments, Portion Recognized in Earnings, Net, Available-for-sale Securities		$ 56,000		$ 106,000

Note 7 - Segments, Major Cust26

Note 7 - Segments, Major Customers and Geographic Information (Details Textual)	6 Months Ended
	Jun. 30, 2015
Number of Reportable Segments	2

Note 7 - Segment Reporting (Det

Note 7 - Segment Reporting (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
DPC [Member] | Operating Segments [Member]
Revenues	$ 1,063,000	$ 1,476,000	$ 1,987,000	$ 2,642,000
Intersegment revenues	11,000	112,000	122,000	119,000
Total revenues	1,074,000	1,588,000	2,109,000	2,761,000
Depreciation and amortization	19,000	20,000	37,000	36,000
Operating income (loss)	$ (264,000)	$ 16,000	$ (529,000)	$ (132,000)
Financial expense, net
Impairment of investment
Net loss	$ (264,000)	$ 16,000	$ (529,000)	$ (132,000)
Expenditures for segment assets, net of retirements	4,000	14,000	50,000	52,000
Total assets as of June 30, 2015	2,594,000	3,330,000	2,594,000	3,330,000
DPL [Member] | Operating Segments [Member]
Revenues	1,088,000	1,166,000	$ 2,060,000	$ 2,037,000
Intersegment revenues	0	0
Total revenues	1,088,000	1,166,000	$ 2,060,000	$ 2,037,000
Depreciation and amortization	42,000	40,000	82,000	85,000
Operating income (loss)	117,000	135,000	163,000	128,000
Financial expense, net	(68,000)	(2,000)	(3,000)	(5,000)
Impairment of investment	(56,000)		(106,000)
Net loss	(7,000)	133,000	54,000	123,000
Expenditures for segment assets, net of retirements	2,000	2,000	55,000	(14,000)
Total assets as of June 30, 2015	$ 3,117,000	$ 3,149,000	$ 3,117,000	$ 3,149,000
Intersegment Eliminations [Member]
Revenues
Intersegment revenues	$ (11,000)	$ (112,000)	$ (122,000)	$ (119,000)
Total revenues	$ (11,000)	$ (112,000)	$ (122,000)	$ (119,000)
Depreciation and amortization
Operating income (loss)
Financial expense, net
Impairment of investment
Net loss
Expenditures for segment assets, net of retirements
Total assets as of June 30, 2015
Revenues	$ 2,151,000	$ 2,642,000	$ 4,047,000	$ 4,679,000
Intersegment revenues
Total revenues	$ 2,151,000	$ 2,642,000	$ 4,047,000	$ 4,679,000
Depreciation and amortization	61,000	60,000	119,000	121,000
Operating income (loss)	(147,000)	151,000	(366,000)	(4,000)
Financial expense, net	(68,000)	$ (2,000)	(3,000)	$ (5,000)
Impairment of investment	(56,000)		(106,000)
Net loss	(271,000)	$ 149,000	(475,000)	$ (9,000)
Expenditures for segment assets, net of retirements	6,000	16,000	105,000	38,000
Total assets as of June 30, 2015	$ 5,711,000	$ 6,479,000	$ 5,711,000	$ 6,479,000