Sharps Compliance (SMED) 10-Q 7 Nov 13 2014 Q1 Quarterly report Financial data

Document_and_Entity_Informatio

Document and Entity Information	3 Months Ended
	Sep. 30, 2013	Nov. 04, 2013
Document and Entity Information [Abstract]	'	'
Entity Registrant Name	'SHARPS COMPLIANCE CORP	'
Entity Central Index Key	'0000898770	'
Current Fiscal Year End Date	'--06-30	'
Entity Well-known Seasoned Issuer	'No	'
Entity Voluntary Filers	'No	'
Entity Current Reporting Status	'Yes	'
Entity Filer Category	'Smaller Reporting Company	'
Entity Common Stock, Shares Outstanding	'	15,333,359
Document Fiscal Year Focus	'2014	'
Document Fiscal Period Focus	'Q1	'
Document Type	'10-Q	'
Amendment Flag	'false	'
Document Period End Date	30-Sep-13	'

CONDENSED_CONSOLIDATED_BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) (USD $)	Sep. 30, 2013		Jun. 30, 2013
In Thousands, unless otherwise specified
CURRENT ASSETS	'		'
Cash and cash equivalents	$15,337		$15,503
Restricted cash	111		111
Accounts receivable, net of allowance for doubtful accounts of $26 and $26, respectively	3,695		2,595
Inventory	1,523		1,632
Prepaid and other current assets	640		583
TOTAL CURRENT ASSETS	21,306		20,424
PROPERTY, PLANT AND EQUIPMENT, net	4,382		4,440
INTANGIBLE ASSETS, net of accumulated amortization of $288 and $275, respectively	723		668
TOTAL ASSETS	26,411		25,532
CURRENT LIABILITIES	'		'
Accounts payable	1,667		1,085
Accrued liabilities	1,293		1,345
Deferred revenue	1,637		1,351
TOTAL CURRENT LIABILITIES	4,597		3,781
LONG-TERM DEFERRED REVENUE	582		579
OTHER LONG-TERM LIABILITIES	11		102
TOTAL LIABILITIES	5,190		4,462
COMMITMENTS AND CONTINGENCIES	'		'
STOCKHOLDERS' EQUITY	'		'
Common stock, $0.01 par value per share; 20,000,000 shares authorized; 15,385,819 and 15,370,320 shares issued and outstanding, respectively	154		154
Treasury stock, at cost, 44,360 and 25,360 shares repurchased, respectively	-126		-74
Additional paid-in capital	23,292		23,211
Accumulated deficit	-2,099		-2,221
TOTAL STOCKHOLDERS' EQUITY	21,221	[1]	21,070
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY	$26,411		$25,532
[1]	unaudited

CONDENSED_CONSOLIDATED_BALANCE1

CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) (Parenthetical) (USD $)	Sep. 30, 2013	Jun. 30, 2013
In Thousands, except Share data, unless otherwise specified
CURRENT ASSETS	'	'
Accounts receivable, allowance for doubtful accounts	$26	$26
INTANGIBLE ASSETS, accumulated amortization	$288	$275
STOCKHOLDERS' EQUITY	'	'
Common stock, par value (in dollars per share)	$0.01	$0.01
Common stock, shares authorized (in shares)	20,000,000	20,000,000
Common stock, shares issued (in shares)	15,385,819	15,370,320
Common stock, shares outstanding (in shares)	15,385,819	15,370,320
Treasury stock, shares repurchased (in shares)	44,360	25,360

CONDENSED_CONSOLIDATED_STATEME

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) (USD $)	3 Months Ended
In Thousands, except Per Share data, unless otherwise specified	Sep. 30, 2013		Sep. 30, 2012
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) [Abstract]	'		'
REVENUES	$6,273		$5,153
Cost of revenues	3,948		3,601
GROSS PROFIT	2,325		1,552
Selling, general and administrative	2,079		2,080
Depreciation and amortization	116		113
OPERATING INCOME (LOSS)	130		-641
OTHER INCOME	'		'
Interest income	5		8
TOTAL OTHER INCOME	5		8
INCOME (LOSS) BEFORE INCOME TAXES	135		-633
INCOME TAX EXPENSE	'		'
Current	13		5
Deferred	0		1
TOTAL INCOME TAX EXPENSE	13		6
NET INCOME (LOSS)	$122	[1]	($639)
NET INCOME (LOSS) PER COMMON SHARE	'		'
Basic (in dollars per share)	$0.01		($0.04)
Diluted (in dollars per share)	$0.01		($0.04)
WEIGHTED AVERAGE SHARES USED IN COMPUTING NET INCOME (LOSS) PER COMMON SHARE:	'		'
Basic (in shares)	15,343		15,209
Diluted (in shares)	15,366		15,209
[1]	unaudited

CONDENSED_CONSOLIDATED_STATEME1

CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (Unaudited) (USD $)		Common Stock [Member]		Treasury Stock [Member]		Additional Paid-in Capital [Member]	Retained Earnings (Accumulated Deficit) [Member]	Total
In Thousands, except Share data
Balances at Jun. 30, 2012		$152		$0		$22,537	$491	$23,180
Balances (in shares) at Jun. 30, 2012		15,206,127		0		'	'	'
Exercise of stock options		1		0		161	0	162
Exercise of stock options (in shares)		100,445		0		'	'	'
Stock-based compensation		0		0		514	0	514
Issuance of restricted stock		1		0		-1	0	0
Issuance of restricted stock (in shares)		63,748		0		'	'	'
Stock repurchased		0		-74		0	0	-74
Stock repurchased (in shares)		0		-25,360		'	'	'
Net income (loss)		0		0		0	-2,712	-2,712
Balances at Jun. 30, 2013		154		-74		23,211	-2,221	21,070
Balances (in shares) at Jun. 30, 2013		15,370,320		-25,360		'	'	15,370,320
Exercise of stock options (in shares)		'		'		'	'	0
Stock-based compensation	[1]	0		0		81	0	81
Issuance of restricted stock	[1]	0		0		0	0	0
Issuance of restricted stock (in shares)	[1]	15,499		0		'	'	'
Stock repurchased		0		-52		0	0	-52
Stock repurchased (in shares)		0		-19,000		'	'	-19,000
Net income (loss)	[1]	0		0		0	122	122
Balances at Sep. 30, 2013	[1]	$154		($126)		$23,292	($2,099)	$21,221
Balances (in shares) at Sep. 30, 2013		15,385,819	[1]	-44,360	[1]	'	'	15,385,819
[1]	unaudited

CONDENSED_CONSOLIDATED_STATEME2

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2013		Sep. 30, 2012
CASH FLOWS FROM OPERATING ACTIVITIES	'		'
Net income (loss)	$122	[1]	($639)
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities	'		'
Depreciation and amortization	272		276
Stock-based compensation expense	81		173
Deferred tax expense	0		1
Changes in operating assets and liabilities:	'		'
Accounts receivable	-1,100		-982
Inventory	109		178
Prepaid and other current assets	-57		-41
Accounts payable and accrued liabilities	439		384
Deferred revenue	289		272
NET CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES	155		-378
CASH FLOWS FROM INVESTING ACTIVITIES	'		'
Purchase of property, plant and equipment	-201		-201
Additions to intangible assets	-68		-78
NET CASH USED IN INVESTING ACTIVITIES	-269		-279
CASH FLOWS FROM FINANCING ACTIVITIES	'		'
Proceeds from exercise of stock options	0		2
Shares repurchased	-52		0
NET CASH (USED IN) PROVIDED BY FINANCING ACTIVITIES	-52		2
NET DECREASE IN CASH AND CASH EQUIVALENTS	-166		-655
CASH AND CASH EQUIVALENTS, beginning of period	15,503		17,498
CASH AND CASH EQUIVALENTS, end of period	15,337		16,843
SUPPLEMENTAL CASH FLOW DISCLOSURES:	'		'
Income taxes paid	$8		$0
[1]	unaudited

ORGANIZATION_AND_BACKGROUND

ORGANIZATION AND BACKGROUND	3 Months Ended
	Sep. 30, 2013
ORGANIZATION AND BACKGROUND [Abstract]	'
ORGANIZATION AND BACKGROUND	'
	NOTE 1 - ORGANIZATION AND BACKGROUND
	The accompanying unaudited condensed consolidated financial statements include the financial transactions and accounts of Sharps Compliance Corp. and its wholly owned subsidiaries, Sharps Compliance, Inc. of Texas (dba Sharps Compliance, Inc.), Sharps e-Tools.com, Inc. (“Sharps e-Tools”), Sharps Manufacturing, Inc., Sharps Environmental Services, Inc. (dba Sharps Environmental Services of Texas, Inc.) and Sharps Safety, Inc. (collectively, “Sharps” or the “Company”).  All significant intercompany accounts and transactions have been eliminated upon consolidation.

BASIS_OF_PRESENTATION

BASIS OF PRESENTATION	3 Months Ended
	Sep. 30, 2013
BASIS OF PRESENTATION [Abstract]	'
BASIS OF PRESENTATION	'
	NOTE 2 - BASIS OF PRESENTATION
	The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with the rules and regulations of the Securities and Exchange Commission (“SEC”) for interim financial information and with instructions to Form 10-Q and, accordingly, do not include all information and footnotes required under accounting principles generally accepted in the United States of America for complete financial statements.  In the opinion of management, these interim condensed consolidated financial statements contain all adjustments (consisting of normal recurring adjustments) considered necessary for a fair presentation of the consolidated financial position of the Company as of September 30, 2013, the results of its operations and cash flows for the three months ended September 30, 2013 and 2012 and stockholders’ equity for the year ended June 30, 2013 and three months ended September 30, 2013. The results of operations for the three months ended September 30, 2013 are not necessarily indicative of the results to be expected for the entire fiscal year ending June 30, 2014.  These unaudited condensed consolidated financial statements should be read in conjunction with the Company’s Annual Report on Form 10-K for the year ended June 30, 2013.

SIGNIFICANT_ACCOUNTING_POLICIE

SIGNIFICANT ACCOUNTING POLICIES	3 Months Ended
	Sep. 30, 2013
SIGNIFICANT ACCOUNTING POLICIES [Abstract]	'
SIGNIFICANT ACCOUNTING POLICIES	'
	NOTE 3 - SIGNIFICANT ACCOUNTING POLICIES
	Revenue Recognition:  The Company recognizes revenue from product sales when goods are shipped or delivered, and title and risk of loss pass to the customer except for those sales via multiple-deliverable arrangements. Provisions for certain rebates, product returns and discounts to customers are accounted for as reductions in sales in the same period the related sales are recorded. Product discounts granted are based on the terms of arrangements with direct, indirect and other market participants, as well as market conditions, including prices charged by competitors. Rebates are estimated based on contractual terms, historical experience, trend analysis and projected market conditions in the various markets served.
	The Company recognizes revenue in accordance with guidance on revenue recognition of multiple-deliverable arrangements. Under this guidance, certain products offered by the Company have revenue producing components that are recognized over multiple delivery points (Sharps Recovery System™ (formerly the Sharps Disposal by Mail Systems®) and various TakeAway Environmental Return Systems™ referred to as “Mailbacks” and Sharps® Pump and Asset Return Boxes, referred to as “Pump Returns”) and can consist of up to three separate elements, or units of measure, as follows: (1) the sale of the compliance and container system, (2) return transportation  and (3) treatment service.
	In accordance with the relative selling price methodology, an estimated selling price is determined for all deliverables that qualify for separate units of accounting.  The actual consideration received in a multiple-deliverable arrangement is then allocated to the units based on their relative sales price.  The selling price for the transportation revenue and the treatment revenue utilizes third party evidence. The Company estimates the selling price of the compliance and container system based on the product and services provided including compliance with local, state and Federal laws, adherence to stringent manufacturing and testing requirements, safety to the patient and the community as well as storage and containment capabilities.
	Revenue for the sale of the compliance and container is recognized upon delivery to the customer, at which time the customer takes title and assumes risk of ownership.  Transportation revenue is recognized when the customer returns the compliance and container system and the container has been received at the Company’s owned or contracted facilities. The compliance and container system is mailed or delivered by an alternative logistics provider to the Company’s owned or contracted facilities. Treatment revenue is recognized upon the destruction or conversion and proof of receipt and treatment having been performed on the container.  Since the transportation element and the treatment elements are undelivered services at the point of initial sale of the compliance and container, transportation and treatment revenue is deferred until the services are performed.  The current and long-term portions of deferred revenues are determined through regression analysis and historical trends.  Furthermore, through regression analysis of historical data, the Company has determined that a certain percentage of all compliance and container systems sold may not be returned.  Accordingly, a portion of the transportation and treatment elements are recognized at the point of sale.
	Income Taxes:  The liability method is used in accounting for deferred income taxes. Under this method, deferred tax assets and liabilities are determined based on differences between financial reporting and tax bases of assets and liabilities and are measured using the enacted tax rates and laws that will be in effect when the differences are expected to reverse. A valuation allowance is established when it is more likely than not that some portion or all of the deferred tax assets will not be realized. The establishment of valuation allowances and development of projected annual effective tax rates requires significant judgment and is impacted by various estimates. Both positive and negative evidence, as well as the objectivity and verifiability of that evidence, is considered in determining the appropriateness of recording a valuation allowance on deferred tax assets.
	Accounts Receivable:  Accounts receivable consist primarily of amounts due to the Company from our normal business activities.   Accounts receivable balances are determined to be delinquent when the amount is past due based on the contractual terms with the customer.  The Company maintains an allowance for doubtful accounts to reflect the expected uncollectibility of accounts receivable based on past collection history and specific risks identified among uncollected accounts.  Accounts receivable are charged to the allowance for doubtful accounts when the Company determines that the receivable will not be collected and/or when the account has been referred to a third party collection agency. The Company has a history of minimal uncollectible accounts.

RECENTLY_ISSUED_ACCOUNTING_STA

RECENTLY ISSUED ACCOUNTING STANDARDS	3 Months Ended
	Sep. 30, 2013
RECENTLY ISSUED ACCOUNTING STANDARDS [Abstract]	'
RECENTLY ISSUED ACCOUNTING STANDARDS	'
	NOTE 4 – RECENTLY ISSUED ACCOUNTING STANDARDS
	There are no recently issued accounting pronouncements that will impact the Company’s condensed consolidated financial statements as of September 30, 2013.

INCOME_TAXES

INCOME TAXES	3 Months Ended
	Sep. 30, 2013
INCOME TAXES [Abstract]	'
INCOME TAXES	'
	NOTE 5 - INCOME TAXES
	The establishment of valuation allowances and development of projected annual effective tax rates requires significant judgment and is impacted by various estimates. Both positive and negative evidence, as well as the objectivity and verifiability of that evidence, is considered in determining the appropriateness of recording a valuation allowance on deferred tax assets. Under generally accepted accounting principles, the valuation allowance has been recorded to reduce the Company's net deferred tax asset to an amount that is more likely than not to be realized and is based upon the uncertainty of the realization of certain federal and state deferred assets related to net operating loss carryforwards and other tax attributes.  The Company's net deferred tax assets have been fully reserved by a tax valuation allowance.
	The Company's effective tax rate for the three months ended September 30, 2013 and 2012 was 9.6% and less than 1%, respectively, reflecting estimated state income taxes. The Company's tax expense associated with taxable income during the three months ended September 30, 2013 was offset by utilization of net operating loss carryforwards.  The Company's tax benefit associated with taxable losses during the year ended June 30, 2013 was offset by a deferred tax valuation allowance of $0.9 million.

NOTES_PAYABLE_AND_LONGTERM_DEB

NOTES PAYABLE AND LONG-TERM DEBT	3 Months Ended
	Sep. 30, 2013
NOTES PAYABLE AND LONG-TERM DEBT [Abstract]	'
NOTES PAYABLE AND LONG-TERM DEBT	'
	NOTE 6 - NOTES PAYABLE AND LONG-TERM DEBT
	Effective April 30, 2013, the Company executed a Credit Agreement (the “Restated Credit Agreement”) with Wells Fargo, National Association (the “Bank”) which extended the maturity date of the Credit Agreement executed on July 15, 2010 (“Prior Agreement”) from July 15, 2014 to July 15, 2015 and reduced the line from $5 million to $200,000 due to its lack of need for borrowings. The Company’s Restated Credit Agreement with the Bank provides for a two-year, cash-collateralized $200,000 line of credit facility, the proceeds of which may be utilized for: (i) working capital, (ii) capital expenditures and (iii) letters of credit (up to $200,000). As of September 30, 2013, the Company had no outstanding borrowings and $110 thousand in letters of credit outstanding. The Company has no borrowings under the Restated Credit Agreement as a result of its strong cash position and lack of need for borrowings.
	Borrowings bear interest at either (i) a fluctuating rate per annum equal to LIBOR plus a margin of 250 basis points or (ii) at the Company’s option, a fixed rate for a 30, 60, or 90 day period set at the option date’s LIBOR plus a margin of 250 basis points. Any outstanding revolving loans, and accrued and unpaid interest, will be due and payable on July 15, 2015, the maturity date set under the Restated Credit Agreement. The Company pays a fee of 0.2% per annum on the unused amount of the line of credit. Sharps estimates that the interest rate applicable to the borrowings under the Restated Credit Agreement would be approximately 2.8% as of September 30, 2013.
	The Restated Credit Agreement also contains customary events of default. Upon the occurrence of an event of default that remains uncured after any applicable cure period, the lender’s commitment to make further loans may terminate and the Company may be required to make immediate repayment of all indebtedness to the lender.

STOCKBASED_COMPENSATION

STOCK-BASED COMPENSATION	3 Months Ended
	Sep. 30, 2013
STOCK-BASED COMPENSATION [Abstract]	'
STOCK-BASED COMPENSATION	'
	NOTE 7 – STOCK-BASED COMPENSATION
	Stock-based compensation cost is measured at the grant date, based on the calculated fair value of the award, and is recognized as an expense over the employee’s requisite service period (generally the vesting period of the equity grant).  Reductions in taxes payable resulting from tax deductions that exceed the recognized tax benefit associated with compensation expense (excess tax benefits) are classified as financing cash flows and as an increase to additional paid in capital.   During the three months ended September 30, 2013 and 2012, stock-based compensation amounts are as follows (in thousands):
		Three-Months Ended
		September 30,
		2013		2012
		(Unaudited)
	Stock-based compensation expense included in:
	Cost of revenue	$	6	$	1
	General and administrative expense		75		172
	Total	$	81	$	173
	For the year ended June 30, 2013 and for the three months ended September 30, 2013, excess tax benefits have been eliminated by the valuation allowance on the deferred tax assets.

EARNINGS_PER_SHARE

EARNINGS PER SHARE	3 Months Ended
	Sep. 30, 2013
EARNINGS PER SHARE [Abstract]	'
EARNINGS PER SHARE	'
	NOTE 8 - EARNINGS PER SHARE
	Earnings per share are measured at two levels: basic per share and diluted per share. Basic per share is computed by dividing net income by the weighted average number of common shares outstanding during the period. Diluted per share is computed by dividing net income by the weighted average number of common shares after considering the additional dilution related to common stock options and restricted stock. In computing diluted earnings per share, the outstanding common stock options are considered dilutive using the treasury stock method. Vested restricted shares are included in basic common shares outstanding, and unvested restricted shares are included in the diluted common shares outstanding, if the effect is dilutive.
	The following information is necessary to calculate earnings per share for the periods presented (in thousands, except per-share data):
		Three-Months Ended
		September 30,
		2013		2012
		(Unaudited)
	Net income (loss), as reported	$	122	$	(639	)
	Weighted average common shares outstanding		15,343		15,209
	Effect of dilutive stock options		23		-
	Weighted average diluted common shares outstanding		15,366		15,209
	Net income (loss) per common share
	Basic	$	0.01	$	(0.04	)
	Diluted	$	0.01	$	(0.04	)
	Employee stock options excluded from computation of dilutive income (loss) per share amounts because their  effect would be anti-dilutive		769		785

EQUITY_TRANSACTIONS

EQUITY TRANSACTIONS	3 Months Ended
	Sep. 30, 2013
EQUITY TRANSACTIONS [Abstract]	'
EQUITY TRANSACTIONS	'
	NOTE 9 - EQUITY TRANSACTIONS
	During the three months ended September 30, 2013 and 2012, stock options to purchase shares of the Company’s common stock were exercised as follows:
		Three-Months Ended
		September 30,
		2013		2012
		(Unaudited)
	Options exercised		-		3,500
	Proceeds (in thousands)	$	-	$	2
	Average exercise price per share	$	-	$	0.68
	As of September 30, 2013, there was $293 thousand of stock option and restricted stock compensation expense related to non-vested awards which is expected to be recognized over a weighted average period of 2.79 years.
	On January 7, 2013, the Company announced that its Board of Directors approved a stock repurchase program effective January 3, 2013, authorizing the Company to repurchase in the aggregate up to $3 million of its outstanding common stock over a two-year period.During the three months ended September 30, 2013 and 2012, shares were repurchased as follows:
		Three-Months Ended
		September 30,
		2013		2012
		(Unaudited)
	Shares repurchased		19,000		-
	Cash paid for shares repurchased (in thousands)	$	52	$	-
	Average price paid per share	$	2.71	$	-
	Total shares repurchased under the program are 44,360 shares at a cost of $0.1 million.  As of September 30, 2013, approximately $2.9 million remained of the Company’s $3.0 million repurchase program.  Sharps purchased all shares with cash resources.

INVENTORY

INVENTORY	3 Months Ended
	Sep. 30, 2013
INVENTORY [Abstract]	'
INVENTORY	'
	NOTE 10 – INVENTORY
	The components of inventory are as follows (in thousands):
		September 30,		June 30,
		2013		2013
		(Unaudited)
	Raw materials	$	871	$	887
	Finished goods		652		745
	Total	$	1,523	$	1,632

FAIR_VALUE_OF_FINANCIAL_INSTRU

FAIR VALUE OF FINANCIAL INSTRUMENTS	3 Months Ended
	Sep. 30, 2013
FAIR VALUE OF FINANCIAL INSTRUMENTS [Abstract]	'
FAIR VALUE OF FINANCIAL INSTRUMENTS	'
	NOTE 11 – FAIR VALUE OF FINANCIAL INSTRUMENTS
	The Company considers the fair value of all financial instruments, including cash and cash equivalents, accounts receivable, accounts payable and accrued liabilities, not to be materially different from their carrying values at September 30, 2013 due to their short-term nature.

SIGNIFICANT_ACCOUNTING_POLICIE1

SIGNIFICANT ACCOUNTING POLICIES (Policies)	3 Months Ended
	Sep. 30, 2013
SIGNIFICANT ACCOUNTING POLICIES [Abstract]	'
Revenue Recognition	'
	Revenue Recognition:  The Company recognizes revenue from product sales when goods are shipped or delivered, and title and risk of loss pass to the customer except for those sales via multiple-deliverable arrangements. Provisions for certain rebates, product returns and discounts to customers are accounted for as reductions in sales in the same period the related sales are recorded. Product discounts granted are based on the terms of arrangements with direct, indirect and other market participants, as well as market conditions, including prices charged by competitors. Rebates are estimated based on contractual terms, historical experience, trend analysis and projected market conditions in the various markets served.
	The Company recognizes revenue in accordance with guidance on revenue recognition of multiple-deliverable arrangements. Under this guidance, certain products offered by the Company have revenue producing components that are recognized over multiple delivery points (Sharps Recovery System™ (formerly the Sharps Disposal by Mail Systems®) and various TakeAway Environmental Return Systems™ referred to as “Mailbacks” and Sharps® Pump and Asset Return Boxes, referred to as “Pump Returns”) and can consist of up to three separate elements, or units of measure, as follows: (1) the sale of the compliance and container system, (2) return transportation  and (3) treatment service.
	In accordance with the relative selling price methodology, an estimated selling price is determined for all deliverables that qualify for separate units of accounting.  The actual consideration received in a multiple-deliverable arrangement is then allocated to the units based on their relative sales price.  The selling price for the transportation revenue and the treatment revenue utilizes third party evidence. The Company estimates the selling price of the compliance and container system based on the product and services provided including compliance with local, state and Federal laws, adherence to stringent manufacturing and testing requirements, safety to the patient and the community as well as storage and containment capabilities.
	Revenue for the sale of the compliance and container is recognized upon delivery to the customer, at which time the customer takes title and assumes risk of ownership.  Transportation revenue is recognized when the customer returns the compliance and container system and the container has been received at the Company’s owned or contracted facilities. The compliance and container system is mailed or delivered by an alternative logistics provider to the Company’s owned or contracted facilities. Treatment revenue is recognized upon the destruction or conversion and proof of receipt and treatment having been performed on the container.  Since the transportation element and the treatment elements are undelivered services at the point of initial sale of the compliance and container, transportation and treatment revenue is deferred until the services are performed.  The current and long-term portions of deferred revenues are determined through regression analysis and historical trends.  Furthermore, through regression analysis of historical data, the Company has determined that a certain percentage of all compliance and container systems sold may not be returned.  Accordingly, a portion of the transportation and treatment elements are recognized at the point of sale.
Income Taxes	'
	Income Taxes:  The liability method is used in accounting for deferred income taxes. Under this method, deferred tax assets and liabilities are determined based on differences between financial reporting and tax bases of assets and liabilities and are measured using the enacted tax rates and laws that will be in effect when the differences are expected to reverse. A valuation allowance is established when it is more likely than not that some portion or all of the deferred tax assets will not be realized. The establishment of valuation allowances and development of projected annual effective tax rates requires significant judgment and is impacted by various estimates. Both positive and negative evidence, as well as the objectivity and verifiability of that evidence, is considered in determining the appropriateness of recording a valuation allowance on deferred tax assets.
Accounts Receivable	'
	Accounts Receivable:  Accounts receivable consist primarily of amounts due to the Company from our normal business activities.   Accounts receivable balances are determined to be delinquent when the amount is past due based on the contractual terms with the customer.  The Company maintains an allowance for doubtful accounts to reflect the expected uncollectibility of accounts receivable based on past collection history and specific risks identified among uncollected accounts.  Accounts receivable are charged to the allowance for doubtful accounts when the Company determines that the receivable will not be collected and/or when the account has been referred to a third party collection agency. The Company has a history of minimal uncollectible accounts.

STOCKBASED_COMPENSATION_Tables

STOCK-BASED COMPENSATION (Tables)	3 Months Ended
	Sep. 30, 2013
STOCK-BASED COMPENSATION [Abstract]	'
Allocated cost of share based compensation	'
	During the three months ended September 30, 2013 and 2012, stock-based compensation amounts are as follows (in thousands):
		Three-Months Ended
		September 30,
		2013		2012
		(Unaudited)
	Stock-based compensation expense included in:
	Cost of revenue	$	6	$	1
	General and administrative expense		75		172
	Total	$	81	$	173

EARNINGS_PER_SHARE_Tables

EARNINGS PER SHARE (Tables)	3 Months Ended
	Sep. 30, 2013
EARNINGS PER SHARE [Abstract]	'
Earnings per share	'
	The following information is necessary to calculate earnings per share for the periods presented (in thousands, except per-share data):
		Three-Months Ended
		September 30,
		2013		2012
		(Unaudited)
	Net income (loss), as reported	$	122	$	(639	)
	Weighted average common shares outstanding		15,343		15,209
	Effect of dilutive stock options		23		-
	Weighted average diluted common shares outstanding		15,366		15,209
	Net income (loss) per common share
	Basic	$	0.01	$	(0.04	)
	Diluted	$	0.01	$	(0.04	)
	Employee stock options excluded from computation of dilutive income (loss) per share amounts because their  effect would be anti-dilutive		769		785

EQUITY_TRANSACTIONS_Tables

EQUITY TRANSACTIONS (Tables)	3 Months Ended
	Sep. 30, 2013
EQUITY TRANSACTIONS [Abstract]	'
Stock options exercised to purchase common stock	'
	During the three months ended September 30, 2013 and 2012, stock options to purchase shares of the Company’s common stock were exercised as follows:
		Three-Months Ended
		September 30,
		2013		2012
		(Unaudited)
	Options exercised		-		3,500
	Proceeds (in thousands)	$	-	$	2
	Average exercise price per share	$	-	$	0.68
Schedule of share repurchases	'
	During the three months ended September 30, 2013 and 2012, shares were repurchased as follows:
		Three-Months Ended
		September 30,
		2013		2012
		(Unaudited)
	Shares repurchased		19,000		-
	Cash paid for shares repurchased (in thousands)	$	52	$	-
	Average price paid per share	$	2.71	$	-

INVENTORY_Tables

INVENTORY (Tables)	3 Months Ended
	Sep. 30, 2013
INVENTORY [Abstract]	'
Components of inventory	'
	The components of inventory are as follows (in thousands):
		September 30,		June 30,
		2013		2013
		(Unaudited)
	Raw materials	$	871	$	887
	Finished goods		652		745
	Total	$	1,523	$	1,632

INCOME_TAXES_Details

INCOME TAXES (Details) (USD $)	3 Months Ended		12 Months Ended
In Millions, unless otherwise specified	Sep. 30, 2013	Sep. 30, 2012	Jun. 30, 2013
Effective income tax rate reconciliation [Abstract]	'	'	'
Effective income tax rate (in hundredths)	9.60%	1.00%	'
Deferred tax valuation allowance on net deferred tax assets	'	'	$0.90

NOTES_PAYABLE_AND_LONGTERM_DEB1

NOTES PAYABLE AND LONG-TERM DEBT (Details) (USD $)	3 Months Ended
	Sep. 30, 2013
Line of Credit Facility [Line Items]	'
Maximum borrowing capacity	$200,000
Period of line of credit	'2 years
Restated Credit Agreement [Member]	'
Line of Credit Facility [Line Items]	'
Maximum borrowing capacity	200,000
Amount outstanding	0
Description of variable rate basis	'LIBOR
Basis spread on variable rate (in hundredths)	2.50%
Entity's option to set a fixed rate of interest in days	'fixed rate for a 30, 60, or 90 day period
Maturity date	15-Jul-15
Unused capacity, commitment fee percentage (in hundredths)	0.20%
Interest rate (in hundredths)	2.80%
Letters of Credit [Member]	'
Line of Credit Facility [Line Items]	'
Maximum borrowing capacity	200,000
Amount outstanding	$110,000

STOCKBASED_COMPENSATION_Detail

STOCK-BASED COMPENSATION (Details) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2013	Sep. 30, 2012
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]	'	'
Stock-based compensation expense	$81	$173
Cost of Revenue [Member]	'	'
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]	'	'
Stock-based compensation expense	6	1
General and Administrative Expense [Member]	'	'
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]	'	'
Stock-based compensation expense	$75	$172

EARNINGS_PER_SHARE_Details

EARNINGS PER SHARE (Details) (USD $)	3 Months Ended			12 Months Ended
In Thousands, except Per Share data, unless otherwise specified	Sep. 30, 2013		Sep. 30, 2012	Jun. 30, 2013
EARNINGS PER SHARE [Abstract]	'		'	'
Net income (loss), as reported	$122	[1]	($639)	($2,712)
Weighted average common shares outstanding (in shares)	15,343		15,209	'
Effect of dilutive stock options (in shares)	23		0	'
Weighted average diluted common shares outstanding (in shares)	15,366		15,209	'
Net income (loss) per common share [Abstract]	'		'	'
Basic (in dollars per share)	$0.01		($0.04)	'
Diluted (in dollars per share)	$0.01		($0.04)	'
Employee stock options excluded from computation of dilutive income (loss) per share amounts because their effect would be anti-dilutive (in shares)	769		785	'
[1]	unaudited

EQUITY_TRANSACTIONS_Details

EQUITY TRANSACTIONS (Details) (USD $)	3 Months Ended
	Sep. 30, 2013	Sep. 30, 2012	Jun. 30, 2013
Stock options exercised [Abstract]	'	'	'
Options exercised (in shares)	0	3,500	'
Proceeds	$0	$2,000	'
Average exercise price per share (in dollars per share)	$0	$0.68	'
Compensation expense related to non-vested awards	293,000	'	'
Weighted average period	'2 years 9 months 14 days	'	'
Stock repurchase program, authorized amount	3,000,000	'	'
Stock repurchase program, period	'2 years	'	'
Shares repurchased [Abstract]	'	'	'
Shares repurchased (in shares)	19,000	0	'
Cash paid for shares repurchased	52,000	0	'
Average price paid per share (in dollars per share)	$2.71	$0	'
Total shares repurchased under the program (in shares)	44,360	'	25,360
Total shares repurchased under the program, at cost	126,000	'	74,000
Amount remaining under repurchase program	$2,900,000	'	'

INVENTORY_Details

INVENTORY (Details) (USD $)	Sep. 30, 2013	Jun. 30, 2013
In Thousands, unless otherwise specified
Components of inventory [Abstract]	'	'
Raw materials	$871	$887
Finished goods	652	745
Total	$1,523	$1,632