Hyperscale Data (GPUS) 10-Q 15 Aug 16 2016 Q2 Quarterly report Financial data

Document And Entity Information

Document And Entity Information - shares	6 Months Ended
	Jun. 30, 2016	Aug. 12, 2016
Document Information [Line Items]
Entity Registrant Name	DIGITAL POWER CORP
Entity Central Index Key	896,493
Trading Symbol	dpw
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, 2016
Document Fiscal Year Focus	2,016
Document Fiscal Period Focus	Q2
Amendment Flag	false

Consolidated Balance Sheets (Cu

Consolidated Balance Sheets (Current Period Unaudited) - USD ($)	Jun. 30, 2016	Dec. 31, 2015
CURRENT ASSETS:
Cash and cash equivalents	$ 1,212,000	$ 1,241,000
Trade receivables	1,205,000	1,240,000
Related parties – trade receivables	52,000	77,000
Prepaid expenses and other accounts receivable	127,000	187,000
Inventories (Note 3)	1,203,000	1,542,000
Total current assets	3,799,000	4,287,000
PROPERTY AND EQUIPMENT, NET	662,000	709,000
INVESTMENT IN TELKOOR	90,000	90,000
LONG-TERM DEPOSITS	13,000	13,000
Total Non- current assets	765,000	812,000
Total assets	4,564,000	5,099,000
CURRENT LIABILITIES:
Accounts payable	876,000	937,000
Advances from customers and deferred revenue	10,000	211,000
Other current liabilities	457,000	480,000
Total current liabilities	1,343,000	1,628,000
SHAREHOLDERS' EQUITY:
Series A Redeemable Convertible Preferred shares, no par value - 500,000 shares authorized; 0 shares issued and outstanding at June 30, 2016 and December 31, 2015	0	0
Preferred shares, no par value - 1,500,000 shares authorized; 0 shares issued and outstanding at June 30, 2016 and December 31, 2015	0	0
Common shares, no par value - 30,000,000 shares authorized; 6,775,971 shares issued and outstanding as of June 30, 2016 and December 31, 2015
Additional paid-in capital	15,052,000	14,965,000
Accumulated deficit	(11,163,000)	(11,036,000)
Accumulated other comprehensive loss	(668,000)	(458,000)
Total shareholders' equity	3,221,000	3,471,000
Total liabilities and shareholders' equity	$ 4,564,000	$ 5,099,000

Consolidated Balance Sheets (C3

Consolidated Balance Sheets (Current Period Unaudited) (Parentheticals) - $ / shares	Jun. 30, 2016	Dec. 31, 2015
Series A Redeemable Convertible Preferred shares, par value (in dollars per share)	$ 0	$ 0
Series A Redeemable Convertible Preferred shares, shares authorized (in shares)	500,000	500,000
Series A Redeemable Convertible Preferred shares, shares issued (in shares)	0	0
Series A Redeemable Convertible Preferred shares, 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 issued (in shares)	0	0
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 ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Revenues	$ 2,064	$ 2,151	$ 3,777	$ 4,047
Cost of revenues	1,310	1,350	2,403	2,533
Gross profit	754	801	1,374	1,514
Operating expenses:
Engineering and product development	170	226	364	460
Selling and marketing	233	259	488	519
General and administrative	340	463	711	901
Total operating expenses	743	948	1,563	1,880
Operating income (loss)	11	(147)	(189)	(366)
Financial income (expense), net	55	(68)	62	(3)
Impairment of investment		(56)		(106)
Income (Loss) before income taxes	66	(271)	(127)	(475)
Income taxes
Net (loss) income	$ 66	$ (271)	$ (127)	$ (475)
Basic net income (loss) per share (in dollars per share)	$ 0.01	$ (0.04)	$ (0.02)	$ (0.07)
Diluted net income (loss) per share (in dollars per share)	$ 0.01	$ (0.04)	$ (0.02)	$ (0.07)

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Loss (Unaudited) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Net (loss) income	$ 66	$ (271)	$ (127)	$ (475)
Other Comprehensive income, net of tax:
Change in net foreign currency translation adjustment	(152)	138	(210)	27
Other comprehensive income	(152)	138	(210)	27
Total comprehensive income (loss):	$ (86)	$ (133)	$ (337)	$ (448)

Statement of Changes in Shareho

Statement of Changes in Shareholders' Equity - USD ($) $ in Thousands	Common Stock [Member]	Additional Paid-in Capital [Member]	Retained Earnings [Member]	AOCI Attributable to Parent [Member]	Total
Balance (in shares) at Dec. 31, 2014	6,775,971
Balance at Dec. 31, 2014		$ 14,739	$ (9,940)	$ (358)	$ 4,441
Net loss			(475)		(475)
Foreign currency translation adjustments				27	27
Balance (in shares) at Jun. 30, 2015	6,775,971
Balance at Jun. 30, 2015		14,876	(10,415)	(331)	4,130
Stock compensation related to options granted to employees		137			137
Balance (in shares) at Dec. 31, 2015	6,775,971
Balance at Dec. 31, 2015		14,965	(11,036)	(458)	3,471
Stock compensation related to options granted to employees		87			87
Net loss			(127)		(127)
Foreign currency translation adjustments				(210)	(210)
Balance (in shares) at Jun. 30, 2016	6,775,971
Balance at Jun. 30, 2016		$ 15,052	$ (11,163)	$ (668)	$ 3,221

Consolidated Statements of Cash

Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015
Cash flows from operating activities:
Net loss	$ (127)	$ (475)
Adjustments required to reconcile net income to net cash provided by operating activities:
Depreciation	84	71
Amortization of intangible asset		48
Stock compensation related to options granted to employees	87	137
Impairment of investment in Telkoor		106
Write down of inventory		43
Decrease ( Increase) in trade receivables, net	4	500
Decrease (Increase) in prepaid expenses and other accounts receivable	53	(43)
Decrease (increase) in inventories	256	(277)
Decrease in accounts payable and related parties- trade payables	(25)	(146)
Increase (decrease) in deferred revenues and other current liabilities	(198)	(214)
Net cash provided by operating activities	134	(250)
Cash flows from investing activities:
Purchase of property and equipment	(74)	(105)
Net cash used in investing activities	(74)	(105)
Cash flows from financing activities:
Effect of exchange rate changes on cash and cash equivalents	(89)	5
Decrease in cash and cash equivalents	(29)	(350)
Cash and cash equivalents at the beginning of the period	1,241	2,110
Cash and cash equivalents at the end of the period	$ 1,212	$ 1,760

Note 1 - General

Note 1 - General	6 Months Ended
	Jun. 30, 2016
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. In January 2016, Telkoor Telecom Ltd. (“Telkoor”) sold its entire commercial assets to Advice Ltd. (“Advice”). Consequently, the Company depends on Advice for design, to retain product technology up-to-date and manufacturing capabilities for certain of the products that the Company sells. If Advice is unable or unwilling to continue designing or manufacturing the Company's products in required volumes and with a certain level of quality 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 Advice'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 products to customers will have an adverse effect on the Company's ability to meet its customers’ expectations. In addition, the Company operates in highly competitive markets where the ability to sell Advice’s products could be adversely affected by Advice's agreements with other companies, long lead-times and the high cost of Advice’s products. In 2010, the Company purchased specific IP from Telkoor in order to reduce its dependency on Telkoor with respect to a certain line of products.

Note 2 - Significant Accounting

Note 2 - Significant Accounting Policies	6 Months Ended
	Jun. 30, 2016
Notes to Financial Statements
Significant Accounting Policies [Text Block]	NOTE 2:- SIGNIFICANT ACCOUNTING POLICIES The accompanying unaudited consolidated financial statements as of June 30, 2016 and for the three and six months ended June 30, 2016 and 2015 are unaudited and reflect all adjustments (consisting only of normal recurring adjustments) which are, in the opinion of management, necessary for a fair presentation of the financial position and operating results for the interim periods. The condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto, together with management's discussion and analysis of the financial condition and results of operations, contained in the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2015. The results of operations for the three and six months ended June 30, 2016 are not necessarily indicative of the results for the entire fiscal year ending December 31, 2016. The significant accounting policies applied in the annual financial statements of the Company as of December 31, 2015 are applied consistently in these financial statements.

Note 3 - Inventories

Note 3 - Inventories	6 Months Ended
	Jun. 30, 2016
Notes to Financial Statements
Inventory Disclosure [Text Block]	NOTE 3:- INVENTORIES June 30, 2016 December 31, 2015 Unaudited Raw materials, parts and supplies $ 287 $ 336 Work in progress 224 191 Finished products 692 1,015 $ 1,203 $ 1,542

Note 4 - Accounting for Stock-b

Note 4 - Accounting for Stock-based Compensation	6 Months Ended
	Jun. 30, 2016
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 may be granted to employees, officers, consultants, service providers and directors of the Company or its subsidiary. 2. As of June 30, 2016, the Company had 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, 2016, an aggregate of 761,130 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. 4. 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, 2016 Amount of options Weighted average exercise price Weighted average remaining contractual term (years) Aggregate intrinsic value (*) Outstanding at the beginning of the period 1,146,000 $ 1.52 6.74 $ - Expire 40,000 $ 1.16 Outstanding at the end of the period 1,106,000 $ 1.53 6.47 $ - Exercisable options at the end of the period 736,000 $ 1.58 5.67 $ - (*) Calculation of aggregate intrinsic value is based upon the share price of the Company’s common stock as on June 30, 2016 ($0.40) per share). DIGITAL POWER CORPORATION AND ITS SUBSIDIARY NOTES TO CONSOLIDATED FINANCIAL STATEMENTS U.S. dollars in thousands, except share and per share data NOTE 4:- ACCOUNTING FOR STOCK-BASED COMPENSATION (Cont.) 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 2016. The total employee’s equity-based compensation expense related to all of the Company’s equity-based awards recognized for the three and six months ended June 30, 2016 and 2015 is comprised as follows: Six months ended Three months ended June 30, 2016 June 30, 2015 June 30, 2016 June 30, 2015 Unaudited Unaudited Unaudited Unaudited Cost of goods sold 4 3 2 2 Sales and marketing expenses 2 6 1 4 Research and development 8 11 4 7 General and administrative 73 117 36 77 Total employees equity-based compensation expense 87 137 43 90 As of June 30, 2016, there was $327 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 1.94 years.

Note 5 - Income (Loss) Per Shar

Note 5 - Income (Loss) Per Share	6 Months Ended
	Jun. 30, 2016
Notes to Financial Statements
Earnings Per Share [Text Block]	NOTE 5:- INCOME (LOSS) PER SHARE -The following table sets forth the computation of the basic and diluted net income (loss) per share: Six months ended June 30, Three months ended June 30, 2016 2015 2016 2015 Unaudited Denominator for basic net income per share of weighted average number of common shares 6,775,971 6,775,971 6,775,971 6,775,971 Effect of dilutive securities: Employee stock options -- - -- - Denominator for diluted net income per common share 6,775,971 6,775,971 6,775,971 6,775,971 Basic net income (loss) per share $ (0.02 ) $ (0.07 ) $ 0.01 $ (0.04 ) Diluted net income (loss) per share $ (0.02 ) $ (0.07 ) $ 0.01 $ (0.04 )

Note 6 - Investment in Telkoor

Note 6 - Investment in Telkoor	6 Months Ended
	Jun. 30, 2016
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% (8.4% as of June 30, 2016) 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. 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 has classified its investment in Telkoor's shares using the cost method in accordance with ASC 325-20 "Investments in Other". Paragraphs 320-10-35-17 through 35-35 discuss the methodology for determining impairment and evaluate whether the impairment is other than temporary and therefore should be recognized . The Company recorded an impairment of its investment in Telkoor of $0 for the six months ended June 30, 2016 compared to $106 for the six months ended June 30, 2015 and $110 for the year ended December 31, 2015.

Note 7 - Segments, Major Custom

Note 7 - Segments, Major Customers and Geographic Information	6 Months Ended
	Jun. 30, 2016
Notes to Financial Statements
Segment Reporting Disclosure [Text Block]	NOTE 7:- SEGMENTS, MAJOR CUSTOMERS AND GEOGRAPHIC INFORMATION 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 "Segment Reporting" ("ASC 218"). Six months ended June 30, 2016 (unaudited) DPC DPL Eliminations Total Revenues $ 2,160 $ 1,617 $ - $ 3,777 Intersegment revenues 62 - (62 ) - Total revenues $ 2,222 $ 1,617 $ (62 ) $ 3,777 Depreciation and amortization expense $ 38 $ 45 $ - $ 83 Operating income (loss) $ (181 ) $ (8 ) $ - $ (189 ) Impairment of investment - Financial expense, net (10 ) 72 62 Net income (loss) $ (191 ) $ 64 $ - $ (127 ) Expenditures for segment assets, as of June 30, 2016 $ 23 $ 51 $ - $ 74 Total assets as of June 30, 2016 $ 2,157 $ 2,407 $ - $ 4,564 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 expense $ 37 $ 82 $ - $ 119 Operating income (loss) $ (529 ) $ 163 $ - $ (366 ) Impairment of investment (106 ) (106 ) Financial expense, net (3 ) (3 ) Net income (loss) $ (529 ) $ 54 $ - $ (475 ) Expenditures for segment assets, as of June 30, 2015 $ 50 $ 55 $ - $ 105 Total assets as of June 30, 2015 $ 2,594 $ 3,117 $ - $ 5,711 Three months ended June 30, 2016 (unaudited) DPC DPL Eliminations Total Revenues $ 1,212 $ 852 $ - $ 2,064 Intersegment revenues 56 - (56 ) - Total revenues $ 1,268 $ 852 $ (56 ) $ 2,064 Depreciation and amortization expense $ 19 $ 24 $ - $ 43 Operating income (loss) $ 33 $ (22 ) $ - $ 11 Impairment of investment - - - Financial income (expense), net (3 ) 58 55 Net income (loss) $ 30 $ 36 $ - $ 66 Expenditures for segment assets, as of June 30, 2016 $ - $ 3 $ - $ 3 Total assets as of 30, 2016 $ 2,157 $ 2,407 $ - $ 4,564 Three months ended June 30, 2015 (unaudited) DPC DPL Eliminations Total Revenues $ 1,063 $ 1,088 $ - $ 2,151 Intersegment revenues 11 - (11 ) - Total revenues $ 1,074 $ 1,088 $ (11 ) $ 2,151 Depreciation and amortization expense $ 19 $ 42 $ - $ 61 Operating income (loss) $ (264 ) $ 117 $ - $ (147 ) Impairment of investment (56 ) (56 ) Financial expense, net (68 ) (68 ) Net income (loss) $ (264 ) $ (7 ) $ - $ (271 ) Expenditures for segment assets, as of June 30, 2015 $ 4 $ 2 $ - $ 6 Total assets as of June 30, 2015 $ 2,594 $ 3,117 $ - $ 5,711 DIGITAL POWER CORPORATION AND SUBSIDIARY NOTES TO INTERIM CONSOLIDATED FINANCIAL STATEMENTS Major customer data as a percentage of total revenues: The following table sets forth the customers that represented 10% or more of the Company’s total revenues in the period of six months ended June 30, 2016. Total Revenues by Major Customer (in thousands) Percentage of Total Company Revenues Customer A 768 20 % Revenue from customer A was attributable to DPC .

Note 3 - Inventories (Tables)

Note 3 - Inventories (Tables)	6 Months Ended
	Jun. 30, 2016
Notes Tables
Schedule of Inventory, Current [Table Text Block]	June 30, 2016 December 31, 2015 Unaudited Raw materials, parts and supplies $ 287 $ 336 Work in progress 224 191 Finished products 692 1,015 $ 1,203 $ 1,542

Note 4 - Accounting for Stock16

Note 4 - Accounting for Stock-based Compensation (Tables)	6 Months Ended
	Jun. 30, 2016
Notes Tables
Schedule of Share-based Compensation, Stock Options, Activity [Table Text Block]	Six months ended June 30, 2016 Amount of options Weighted average exercise price Weighted average remaining contractual term (years) Aggregate intrinsic value (*) Outstanding at the beginning of the period 1,146,000 $ 1.52 6.74 $ - Expire 40,000 $ 1.16 Outstanding at the end of the period 1,106,000 $ 1.53 6.47 $ - Exercisable options at the end of the period 736,000 $ 1.58 5.67 $ -
Schedule of Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Table Text Block]	Six months ended Three months ended June 30, 2016 June 30, 2015 June 30, 2016 June 30, 2015 Unaudited Unaudited Unaudited Unaudited Cost of goods sold 4 3 2 2 Sales and marketing expenses 2 6 1 4 Research and development 8 11 4 7 General and administrative 73 117 36 77 Total employees equity-based compensation expense 87 137 43 90

Note 5 - Income (Loss) Per Sh17

Note 5 - Income (Loss) Per Share (Tables)	6 Months Ended
	Jun. 30, 2016
Notes Tables
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block]	Six months ended June 30, Three months ended June 30, 2016 2015 2016 2015 Unaudited Denominator for basic net income per share of weighted average number of common shares 6,775,971 6,775,971 6,775,971 6,775,971 Effect of dilutive securities: Employee stock options -- - -- - Denominator for diluted net income per common share 6,775,971 6,775,971 6,775,971 6,775,971 Basic net income (loss) per share $ (0.02 ) $ (0.07 ) $ 0.01 $ (0.04 ) Diluted net income (loss) per share $ (0.02 ) $ (0.07 ) $ 0.01 $ (0.04 )

Note 7 - Segments, Major Cust18

Note 7 - Segments, Major Customers and Geographic Information (Tables)	6 Months Ended
	Jun. 30, 2016
Notes Tables
Schedule of Segment Reporting Information, by Segment [Table Text Block]	Six months ended June 30, 2016 (unaudited) DPC DPL Eliminations Total Revenues $ 2,160 $ 1,617 $ - $ 3,777 Intersegment revenues 62 - (62 ) - Total revenues $ 2,222 $ 1,617 $ (62 ) $ 3,777 Depreciation and amortization expense $ 38 $ 45 $ - $ 83 Operating income (loss) $ (181 ) $ (8 ) $ - $ (189 ) Impairment of investment - Financial expense, net (10 ) 72 62 Net income (loss) $ (191 ) $ 64 $ - $ (127 ) Expenditures for segment assets, as of June 30, 2016 $ 23 $ 51 $ - $ 74 Total assets as of June 30, 2016 $ 2,157 $ 2,407 $ - $ 4,564 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 expense $ 37 $ 82 $ - $ 119 Operating income (loss) $ (529 ) $ 163 $ - $ (366 ) Impairment of investment (106 ) (106 ) Financial expense, net (3 ) (3 ) Net income (loss) $ (529 ) $ 54 $ - $ (475 ) Expenditures for segment assets, as of June 30, 2015 $ 50 $ 55 $ - $ 105 Total assets as of June 30, 2015 $ 2,594 $ 3,117 $ - $ 5,711 Three months ended June 30, 2016 (unaudited) DPC DPL Eliminations Total Revenues $ 1,212 $ 852 $ - $ 2,064 Intersegment revenues 56 - (56 ) - Total revenues $ 1,268 $ 852 $ (56 ) $ 2,064 Depreciation and amortization expense $ 19 $ 24 $ - $ 43 Operating income (loss) $ 33 $ (22 ) $ - $ 11 Impairment of investment - - - Financial income (expense), net (3 ) 58 55 Net income (loss) $ 30 $ 36 $ - $ 66 Expenditures for segment assets, as of June 30, 2016 $ - $ 3 $ - $ 3 Total assets as of 30, 2016 $ 2,157 $ 2,407 $ - $ 4,564 Three months ended June 30, 2015 (unaudited) DPC DPL Eliminations Total Revenues $ 1,063 $ 1,088 $ - $ 2,151 Intersegment revenues 11 - (11 ) - Total revenues $ 1,074 $ 1,088 $ (11 ) $ 2,151 Depreciation and amortization expense $ 19 $ 42 $ - $ 61 Operating income (loss) $ (264 ) $ 117 $ - $ (147 ) Impairment of investment (56 ) (56 ) Financial expense, net (68 ) (68 ) Net income (loss) $ (264 ) $ (7 ) $ - $ (271 ) Expenditures for segment assets, as of June 30, 2015 $ 4 $ 2 $ - $ 6 Total assets as of June 30, 2015 $ 2,594 $ 3,117 $ - $ 5,711
Schedules of Concentration of Risk, by Risk Factor [Table Text Block]	Total Revenues by Major Customer (in thousands) Percentage of Total Company Revenues Customer A 768 20 %

Note 1 - General (Details Textu

Note 1 - General (Details Textual)	3 Months Ended
	Jun. 30, 2016
Number of Reportable Segments	2

Note 3 - Summary of Inventories

Note 3 - Summary of Inventories (Details) - USD ($) $ in Thousands	Jun. 30, 2016	Dec. 31, 2015
Raw materials, parts and supplies	$ 287	$ 336
Work in progress	224	191
Finished products	692	1,015
	$ 1,203	$ 1,542

Note 4 - Accounting for Stock21

Note 4 - Accounting for Stock-based Compensation (Details Textual) $ / shares in Units, $ in Thousands	3 Months Ended	6 Months Ended
	Jun. 30, 2016USD ($)$ / sharesshares	Jun. 30, 2016USD ($)$ / sharesshares
Officer [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized	1,372,630	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, Number of Shares Available for Grant	761,130	761,130
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period	4 years
Share Price | $ / shares	$ 0.40	$ 0.40
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross		0
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized | $	$ 327	$ 327
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition	1 year 343 days

Note 4 - Option Activity (Detai

Note 4 - Option Activity (Details) - USD ($)		6 Months Ended	12 Months Ended
		Jun. 30, 2016	Dec. 31, 2015
Outstanding (in shares)		1,146,000
Outstanding (in dollars per share)		$ 1.52
Outstanding at the beginning of the period		6 years 171 days	6 years 270 days
Outstanding	[1]
Expire (in shares)		40,000
Expire (in dollars per share)		$ 1.16
Outstanding (in shares)		1,106,000	1,146,000
Outstanding (in dollars per share)		$ 1.53	$ 1.52
Outstanding	[1]
Exercisable options at the end of the period (in shares)		736,000
Exercisable options at the end of the period (in dollars per share)		$ 1.58
Exercisable options at the end of the period		5 years 244 days
Exercisable options at the end of the period	[1]
[1]	Calculation of aggregate intrinsic value is based upon the share price of the Company's common stock as of March 31, 2016 ($0.41) 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, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Cost of Sales [Member]
Allocated share-based compensation expense	$ 2	$ 2	$ 4	$ 3
Selling and Marketing Expense [Member]
Allocated share-based compensation expense	1	4	2	6
Research and Development Expense [Member]
Allocated share-based compensation expense	4	7	8	11
General and Administrative Expense [Member]
Allocated share-based compensation expense	36	77	73	117
Allocated share-based compensation expense	$ 43	$ 90	$ 87	$ 137

Note 5 - Computation of Basic a

Note 5 - Computation of Basic and Diluted Net Loss Per Share (Details) - $ / shares	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Denominator for basic net income per share of weighted average number of common shares (in shares)	6,775,971	6,775,971	6,775,971	6,775,971
Denominator for diluted net income per common share (in shares)	6,775,971	6,775,971	6,775,971	6,775,971
Basic net income (loss) per share (in dollars per share)	$ 0.01	$ (0.04)	$ (0.02)	$ (0.07)
Diluted net income (loss) per share (in dollars per share)	$ 0.01	$ (0.04)	$ (0.02)	$ (0.07)

Note 6 - Investment in Telkoor

Note 6 - Investment in Telkoor (Details Textual) - USD ($)	1 Months Ended	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 16, 2011	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015	Dec. 31, 2015
Telkoor [Member]
Business Acquisition Shares Acquired	1,136,666
Business Acquisition, Percentage of Voting Interests Acquired	8.80%	8.40%		8.40%
Other than Temporary Impairment Losses, Investments, Portion Recognized in Earnings, Net, Available-for-sale Securities				$ 0	$ 106,000	$ 110,000
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)	3 Months Ended
	Jun. 30, 2016
Number of Reportable Segments	2

Note 7 - Segment Reporting (Det

Note 7 - Segment Reporting (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015	Dec. 31, 2015
Operating Segments [Member] | DPC [Member]
Revenues	$ 1,212,000	$ 1,063,000	$ 2,160,000	$ 1,987,000
Intersegment revenues	56,000	11,000	62,000	122,000
Total Revenues by Major Customer	1,268,000	1,074,000	2,222,000	2,109,000
Depreciation and amortization expense	19,000	19,000	38,000	37,000
Operating income (loss)	33,000	(264,000)	(181,000)	(529,000)
Impairment of investment
Financial income (expense), net	(3,000)		(10,000)
Net loss	30,000	(264,000)	(191,000)	(529,000)
Expenditures for segment assets		4,000	23,000	50,000
Total assets	2,157,000	2,594,000	2,157,000	2,594,000
Operating Segments [Member] | DPL [Member]
Revenues	852,000	1,088,000	1,617,000	2,060,000
Intersegment revenues
Total Revenues by Major Customer	852,000	1,088,000	1,617,000	2,060,000
Depreciation and amortization expense	24,000	42,000	45,000	82,000
Operating income (loss)	(22,000)	117,000	(8,000)	163,000
Impairment of investment		(56,000)		(106,000)
Financial income (expense), net	58,000	(68,000)	72,000	(3,000)
Net loss	36,000	(7,000)	64,000	54,000
Expenditures for segment assets	3,000	2,000	51,000	55,000
Total assets	2,407,000	3,117,000	2,407,000	3,117,000
Intersegment Eliminations [Member]
Revenues
Intersegment revenues	(56,000)	(11,000)	(62,000)	(122,000)
Total Revenues by Major Customer	(56,000)	(11,000)	(62,000)	(122,000)
Depreciation and amortization expense
Operating income (loss)
Impairment of investment
Financial income (expense), net
Net loss
Expenditures for segment assets
Total assets
Revenues	2,064,000	2,151,000	3,777,000	4,047,000
Intersegment revenues
Total Revenues by Major Customer	2,064,000	2,151,000	3,777,000	4,047,000
Depreciation and amortization expense	43,000	61,000	83,000	119,000
Operating income (loss)	11,000	(147,000)	(189,000)	(366,000)
Impairment of investment		(56,000)		(106,000)
Financial income (expense), net	55,000	(68,000)	62,000	(3,000)
Net loss	66,000	(271,000)	(127,000)	(475,000)
Expenditures for segment assets	3,000	6,000	74,000	105,000
Total assets	$ 4,564,000	$ 5,711,000	$ 4,564,000	$ 5,711,000	$ 5,099,000

Note 7 - Customer Concentration

Note 7 - Customer Concentration Risk (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Customer Concentration Risk [Member] | Sales Revenue, Net [Member] | Customer A [Member]
Total Revenues by Major Customer			$ 768
Percentage of Total Company Revenues			20.00%
Total Revenues by Major Customer	$ 2,064	$ 2,151	$ 3,777	$ 4,047