Document And Entity Information
Document And Entity Information - shares | 9 Months Ended | |
Mar. 31, 2017 | May 10, 2017 | |
Document and Entity Information [Abstract] | ||
Entity Registrant Name | Amerityre Corp | |
Document Type | 10-Q | |
Current Fiscal Year End Date | --06-30 | |
Entity Common Stock, Shares Outstanding | 42,647,868 | |
Amendment Flag | false | |
Entity Central Index Key | 945,828 | |
Entity Current Reporting Status | Yes | |
Entity Voluntary Filers | No | |
Entity Filer Category | Smaller Reporting Company | |
Entity Well-known Seasoned Issuer | No | |
Document Period End Date | Mar. 31, 2017 | |
Document Fiscal Year Focus | 2,017 | |
Document Fiscal Period Focus | Q3 |
Balance Sheets
Balance Sheets - USD ($) | Mar. 31, 2017 | Jun. 30, 2016 |
CURRENT ASSETS | ||
Cash | $ 510,807 | $ 267,302 |
Accounts receivable | 259,378 | 293,358 |
Inventory - net | 547,194 | 614,895 |
Prepaid and other current assets | 129,761 | 103,803 |
Total Current Assets | 1,447,140 | 1,279,358 |
PROPERTY AND EQUIPMENT | ||
Leasehold improvements | 196,223 | 153,543 |
Molds and models | 577,549 | 577,549 |
Equipment | 2,988,844 | 2,960,246 |
Furniture and fixtures | 74,921 | 74,921 |
Construction in progress | 49,732 | 10,198 |
Software | 305,924 | 305,924 |
Less - accumulated depreciation | (3,906,635) | (3,849,937) |
Total Property and Equipment | 286,558 | 232,444 |
OTHER ASSETS | ||
Patents and trademarks - net | 154,906 | 175,379 |
Non-current inventory | 194,066 | 180,050 |
Deposits | 11,000 | 11,000 |
Total Other Assets | 359,972 | 366,429 |
TOTAL ASSETS | 2,093,670 | 1,878,231 |
CURRENT LIABILITIES | ||
Accounts payable and accrued expenses | 473,752 | 348,499 |
Current portion of long-term debt | 19,141 | 20,518 |
Current portion of lease liability | 7,285 | 6,249 |
Total Current Liabilities | 500,178 | 375,266 |
Long-term debt | 129,111 | 100,142 |
Long-term lease liability | 2,792 | 8,394 |
TOTAL LIABILITIES | 632,081 | 483,802 |
STOCKHOLDERS’ EQUITY | ||
Preferred stock: 5,000,000 shares authorized of $0.001 par value, 2,000,000 shares issued and outstanding, respectively | 2,000 | 2,000 |
Common stock: 75,000,000 shares authorized of $0.001 par value, 42,647,868 and 42,175,287 shares Issued and outstanding, respectively | 42,647 | 42,175 |
Additional paid-in capital | 62,604,245 | 62,579,558 |
Stock payable | 5,047 | 4,500 |
Accumulated deficit | (61,192,350) | (61,233,804) |
Total Stockholders’ Equity | 1,461,589 | 1,394,429 |
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY | $ 2,093,670 | $ 1,878,231 |
Balance Sheets (Parentheticals)
Balance Sheets (Parentheticals) - $ / shares | Mar. 31, 2017 | Jun. 30, 2016 |
Preferred stock par value (in Dollars per share) | $ 0.001 | $ 0.001 |
Preferred stock, shares authorized | 5,000,000 | 5,000,000 |
Preferred stock, shares issued | 2,000,000 | 2,000,000 |
Preferred stock, shares outstanding | 2,000,000 | 2,000,000 |
Common stock par value (in Dollars per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 75,000,000 | 75,000,000 |
Common stock, shares issued | 42,647,868 | 42,175,287 |
Common stock, shares outstanding | 42,647,868 | 42,175,287 |
Statements of Operations (Unaud
Statements of Operations (Unaudited) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Mar. 31, 2017 | Mar. 31, 2016 | |
NET SALES | $ 1,133,610 | $ 936,612 | $ 2,849,370 | $ 2,865,433 |
COST OF GOODS SOLD | 693,500 | 618,366 | 1,861,288 | 2,081,813 |
GROSS PROFIT | 440,110 | 318,246 | 988,082 | 783,620 |
EXPENSES | ||||
Research and development | 54,130 | 56,839 | 163,174 | 166,406 |
Sales and marketing | 65,000 | 53,639 | 191,191 | 219,898 |
General and administrative | 170,813 | 172,270 | 510,596 | 666,910 |
Total Expenses | 289,943 | 282,748 | 864,961 | 1,053,214 |
INCOME (LOSS) FROM OPERATIONS | 150,167 | 35,498 | 123,121 | (269,594) |
OTHER INCOME/(EXPENSE) | ||||
Interest expense | (1,773) | (870) | (6,837) | (2,404) |
Interest income | 70 | 28 | 170 | 137 |
Total Other Income/(Expense) | (1,703) | (842) | (6,667) | (2,267) |
NET INCOME (LOSS) | 148,464 | 34,656 | 116,454 | (271,861) |
Preferred Stock Dividend | (25,000) | (25,000) | (75,000) | (75,000) |
NET INCOME (LOSS) ATTRIBUTABLE TO COMMON SHAREHOLDERS | $ 123,464 | $ 9,656 | $ 41,454 | $ (346,861) |
BASIC AND DILUTED INCOME (LOSS) PER SHARE (in Dollars per share) | $ 0 | $ 0 | $ 0 | $ (0.01) |
WEIGHTED AVERAGE NUMBER OF SHARES OUTSTANDING (in Shares) | 42,382,635 | 41,951,935 | 42,336,460 | 41,770,978 |
Statements of Cash Flows (Unaud
Statements of Cash Flows (Unaudited) - USD ($) | 9 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
CASH FLOWS FROM OPERATING ACTIVITIES | ||
Net income (loss) | $ 116,454 | $ (271,861) |
Adjustments to reconcile net income (loss) to net cash provided (used) by operating activities: | ||
Depreciation and amortization expense | 77,171 | 116,338 |
Change in allowance for bad debt (recovery) | 0 | (289) |
Stock based compensation related to consultant, employee and director options | 20,706 | 56,238 |
Changes in operating assets and liabilities: | ||
Accounts receivable | 33,980 | (165,609) |
Inventory and inventory reserve | 53,685 | 25,318 |
Prepaid and other current assets | (83,951) | (38,339) |
Accounts payable and accrued expenses | 55,253 | 5,731 |
Net Cash Provided (Used) by Operating Activities | 273,298 | (272,473) |
CASH FLOWS FROM INVESTING ACTIVITIES | ||
Purchase of property and equipment | (15,187) | 0 |
Net Cash Used by Investing Activities | (15,187) | 0 |
CASH FLOWS FROM FINANCING ACTIVITIES | ||
Payments on lease liability | (4,566) | (3,322) |
Payments on notes payable | (10,040) | (1,603) |
Preferred stock dividends | 0 | (75,000) |
Net Cash Used by Financing Activities | (14,606) | (79,925) |
NET INCREASE (DECREASE) IN CASH | 243,505 | (352,398) |
CASH AT BEGINNING OF PERIOD | 267,302 | 455,717 |
CASH AT END OF PERIOD | 510,807 | 103,319 |
SUPPLEMENTAL SCHEDULE OF CASH FLOW ACTIVITIES | ||
Interest paid | 6,837 | 2,404 |
Income taxes paid | 0 | 0 |
NON-CASH INVESTING AND FINANCING ACTIVITIES | ||
Capitalized lease | 0 | 19,337 |
Reclassification of accounts receivable – related party to accounts receivable | 0 | 6,312 |
Equipment purchase accrued for, not paid in cash | 0 | 7,641 |
Write off of previously reserved forklift tires | 81,224 | 0 |
Purchase of fixed assets through debt | 95,625 | 0 |
Accrued preferred stock dividends | 75,000 | 0 |
Issuance of stock for stock payable | 4,500 | 0 |
Issuance of stock for accrued expense | $ 5,000 | $ 0 |
NOTE 1 - BASIS OF FINANCIAL STA
NOTE 1 - BASIS OF FINANCIAL STATEMENT PRESENTATION | 9 Months Ended |
Mar. 31, 2017 | |
Disclosure Text Block [Abstract] | |
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block] | NOTE 1 - BASIS OF FINANCIAL STATEMENT PRESENTATION The accompanying unaudited condensed financial statements have been prepared by us pursuant to the rules and regulations of the Securities and Exchange Commission. Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America have been condensed or omitted in accordance with such rules and regulations. The information furnished in the interim condensed financial statements includes normal recurring adjustments and reflects all adjustments, which, in the opinion of management, are necessary for a fair presentation of such financial statements. We believe the disclosures and information presented are adequate to make the information not misleading. These interim condensed financial statements should be read in conjunction with our most recent audited financial statements and notes thereto included in our June 30, 2016 Annual Report on Form 10-K. Operating results for the nine months ended March 31, 2017 are not necessarily indicative of the results that may be expected for the current fiscal year ending June 30, 2017. |
NOTE 2 - SUMMARY OF SIGNIFICANT
NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 9 Months Ended |
Mar. 31, 2017 | |
Accounting Policies [Abstract] | |
Significant Accounting Policies [Text Block] | NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Significant accounting policies disclosed therein have not changed since our audited financial statements and notes thereto included in our June 30, 2016 Annual Report on Form 10-K, except as noted below. Reclassifications Certain reclassifications, which have no effect on net loss, have been made in the prior period financial statements to conform to the current presentation, specifically the separation of “store” inventory as part of other current assets at March 31, 2016. Basic and Fully Diluted Net Loss Per Share Basic and Fully Diluted net income (loss) per share is computed using the weighted-average number of common shares outstanding during the period. Our outstanding stock options and warrants have been excluded from the basic and fully diluted net income per share calculation. We excluded 4,280,000 and 4,300,000 common stock equivalents for the quarters ended March 31, 2017 and 2016, respectively, because they are anti-dilutive with strike prices above market value at period end. Recent Accounting Pronouncements Recently Adopted and Recently Issued Accounting Guidance Issued In August 2016, the FASB issued ASU No. 2016-15, “ Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments (consensus of Emerging Issues Task Force) This Accounting Standards Update addresses the following eight specific cash flow issues: Debt prepayment or debt extinguishment costs; settlement of zero-coupon debt instruments or other debt instruments with coupon interest rates that are insignificant in relation to the effective interest rate of the borrowing; contingent consideration payments made after a business combination; proceeds from the settlement of insurance claims; proceeds from the settlement of corporate-owned life insurance policies (COLIs) (including bank-owned life insurance policies (BOLIs)); distributions received from equity method investees; beneficial interests in securitization transactions; and separately identifiable cash flows and application of the predominance principle. |
NOTE 3 - INVENTORY
NOTE 3 - INVENTORY | 9 Months Ended |
Mar. 31, 2017 | |
Inventory Disclosure [Abstract] | |
Inventory Disclosure [Text Block] | NOTE 3 - INVENTORY Inventory is stated at the lower of cost (computed on a first-in, first-out basis) or net realizable value. The inventory consists primarily of chemicals, finished goods produced in our plant and products purchased for resale. March 31, 2017 June 30, 2016 (Unaudited) Raw Materials $ 216,436 $ 257,260 Finished Goods 570,441 663,666 Inventory reserve (45,617 ) (125,981 ) Inventory - net $ 741,260 794,945 Our inventory reserve reflects items that were deemed to be defective or obsolete based on an analysis of all inventories on hand. In fiscal years 2017 and 2016, the Company critically reviewed all slow moving inventory to determine if defective or obsolete. If not defective or obsolete we presented these items as non-current inventory because all inventory is ready and available for sale at any moment. For those items that are spare maintenance materials or parts kept on hand as backup components of major production equipment, or “store inventories”, the Company capitalizes the amount if above our capitalization policy for property and equipment. In the past the Company included these items as part of its raw materials inventory. As of March 31, 2016 these items, amounting to $10,815, have been reclassified into other current assets. |
NOTE 4 - DEBT
NOTE 4 - DEBT | 9 Months Ended |
Mar. 31, 2017 | |
Debt Disclosure [Abstract] | |
Debt Disclosure [Text Block] | NOTE 4 - DEBT A former board member, Silas O. Kines, who passed away on January 11, 2012, was also the principal owner of Forklift Tire of Florida and K-2 Industrial Tire, Inc. In accordance with the Commission Agreement with Forklift Tire of Florida, dated February 2, 2011, between Amerityre Corporation and K-2 Industrial Tire, Inc., K-2 is due a five percent (5%) commission on all forklift tire sales. In exchange for the forklift models transferred to Amerityre under that agreement, the first $96,000 in commission payments will be used to extinguish the long term liability recorded on the transaction. As of March 31, 2017, $2,000 and $63,133 (June 30, 2016, $11,752 and $53,840) were recorded for the current and long-term portion, respectively, of the related liability. In June 2016, the Company executed a term note with U.S. Bank to finance critical manufacturing equipment and operating enhancements. Manufacturing equipment of approximately $29,000 was placed into service in July 2016. The remaining operating enhancements are expected to be in service at the end of fiscal 2017. Total amount financed was $55,068, at 5.59% interest, with payments of $1,059 due for 60 months starting July 2016. In July 2016, the Company executed a term note with U.S. Bank to finance critical plant facility equipment which was placed into service in July 2016. The total amount financed was $37,666 at 5.59% interest, with payments of $720 due for 60 months starting October 2016. Payments due by period Total Less than 1 year 1 to 3 years 3 to 5 years After 5 years Bank debt (both US Bank facilities above) $ 83,119 $ 17,141 $ 59,726 $ 6,252 $ - Total cash obligations $ 83,119 $ 17,141 $ 59,726 $ 6,252 $ - |
NOTE 5 - CAPITAL LEASE
NOTE 5 - CAPITAL LEASE | 9 Months Ended |
Mar. 31, 2017 | |
Disclosure Text Block Supplement [Abstract] | |
Debt and Capital Leases Disclosures [Text Block] | NOTE 5 - CAPITAL LEASE In July 2015, the Company entered into a capital lease for research and development equipment for $19,337. The following is a schedule by years of future minimum lease payments under capital leases together with present value of the net minimum lease payments as of March 31, 2017: 2017 $ 2,174 2018 8,697 2019 725 2020 - 2021 - Total minimum lease payments 11,596 Less: executory costs - Net minimum lease payments 11,596 Less: amount representing interest (1,533 ) Present value of net minimum payments $ 10,063 |
NOTE 6 - STOCK OPTIONS AND WARR
NOTE 6 - STOCK OPTIONS AND WARRANTS | 9 Months Ended |
Mar. 31, 2017 | |
Disclosure Text Block Supplement [Abstract] | |
Shareholders' Equity and Share-based Payments [Text Block] | NOTE 6 - STOCK OPTIONS AND WARRANTS Prior Issuances of options On December 1, 2015, 480,000 options were granted to the Company’s Chief Executive Officer (then our Chief Operating Officer) as part of his employment offer. The options have a strike price of $0.10, vest December 1, 2016 and expire December 1, 2020. On January 19, 2016, the Board granted all non-executive Board members 100,000 options, with the audit committee chair receiving an additional 50,000 options, for Board services rendered for the Board term ending December 2016. The options have a strike price of $0.10, vest at the end of the Board term in December 2016 and expire December 2019. On January 19, 2016, 50,000 options were granted to the Company’s Chief Financial Officer as part of renewal of her employment agreement. The options have a strike price of $0.10, vest ratably January 21, 2016 to December 1, 2016 and expire December 1, 2019. Option issuances and vesting during the nine month period ending March 31, 2017 On December 1, 2016, 480,000 options were granted to the Company’s Chief Executive Officer as part of his employment offer. The options have a strike price of $0.10, vest December 1, 2017 and expire December 1, 2020. Year to date expense related to these options is $583 as of March 31, 2017. As of March 31, 2017, there was $ 1,021 of unrecognized stock-based compensation expense related to stock options that will be recognized over the vest period of the underlying option. We estimated the fair value of the stock options granted in the current fiscal year above at the grant date based on the following weighted average assumptions: Risk free interest rate 1.450 % Expected life 3.0 years Expected volatility 126.36 % Dividend yield 0.00 % Year to date expense related to these options is $15,660 as of March 31, 2017. A summary of the status of our outstanding stock options as of March 31, 2017 and June 30, 2016, and changes during the periods then ended is presented below: March 31, 2017 June 30, 2016 Weight Average Intrinsic Weight Average Intrinsic Shares Exercise Price Value Shares Exercise Price Value Outstanding beginning of period 3,800,000 $ 0.13 2,270,000 $ 0.14 Granted 480,000 $ 0.10 1,530,000 $ 0.10 Expired/Cancelled - $ 0.00 - $ 0.00 Exercised - $ 0.00 - $ 0.00 Outstanding end of period 4,280,000 $ 0.12 $ - 3,800,000 $ 0.13 $ - Exercisable 3,960,000 $ 0.12 $ - 3,070,000 $ 0.13 $ - The following table summarizes the range of outstanding and exercisable options as of March 31, 2017: Outstanding Exercisable Range of Exercise Prices Number Outstanding at March 31, 2017 Weighted Average Remaining Contractual Life Weighted Average Exercise Price Number Exercisable at March 31, 2017 Weighted Average Remaining Contractual Life $ 0.08 150,000 4.67 $ 0.08 150,000 4.67 $ 0.10 2,680,000 2.35 $ 0.10 2,360,000 2.35 $ 0.17 1,450,000 3.67 $ 0.17 1,450,000 3.67 4,280,000 3,960,000 General Warrant Information In September 2013, the Company obtained an extension on the remaining $100,000 secured convertible promissory note that was issued in the private placement that closed in September 2010. This note was paid off as of June 30, 2015. In exchange for the extension, the note holder received 500,000 common stock warrants and $6,500 in accrued interest and fees. The common stock warrants expire three years from the date of issuance, are exercisable at $0.13 per share, and vest on the next date the value of Amerityre common stock reaches $0.25 per share. As of September 30, 2016 the warrants expired. |
NOTE 7 - STOCK AWARDS AND ISSUA
NOTE 7 - STOCK AWARDS AND ISSUANCES | 9 Months Ended |
Mar. 31, 2017 | |
Stockholders' Equity Note [Abstract] | |
Stockholders' Equity Note Disclosure [Text Block] | NOTE 7 – STOCK AWARDS AND ISSUANCES On January 21, 2017, 60,000 shares were granted to the Company’s Chief Financial Officer as part of her employment renewal. The shares are valued as of January 20, 2017 ($0.04) and vest ratably through December 2017. As of January 31, 2017, 225,000 shares were granted to the Company’s Board of Director’s as Board compensation for the term ending November 2017. Each non-executive Board member receives 50,000 shares, with the Audit Committee Chair receiving 75,000 shares. The shares vest ratably January – December 2017, valued at a fixed rate of $0.0155, the closing stock price on January 31, 2017. On March 23, 2017, the Company’s Chief Executive Officer, finalized the negotiation of the replacement and extension of his employment contract. While all material compensation terms were finalized February 23, 2017 other items within the agreement, filed via Form 8-k on March 27, 2017, were finalized as of March 23, 2017. The Agreement replaces the current employment agreement and extends his term of employment to December 31, 2018. Inclusive in this new agreement is a stock award of 2.4 million shares of the Company’s common stock vesting ratably over twenty-three months (February 2017 – December 2018), valued at a fixed rate of $0.0168, the closing stock price on February 22, 2017. As all of the above awards may be issued once vested, the Company is accounting for the above in stock payable. As of March 31, 2017 stock payable is $5,047. On February 23, 2017 the Board of Director’s approved a partial payment of Mr. Sullivan’s 2016 bonus in stock. This partial payment of $5,000 resulted in the issuance of 322,581 shares of stock. |
NOTE 8 - INCOME TAXES
NOTE 8 - INCOME TAXES | 9 Months Ended |
Mar. 31, 2017 | |
Income Tax Disclosure [Abstract] | |
Income Tax Disclosure [Text Block] | NOTE 8 – INCOME TAXES As of March 31, 2017 the Company has net income year to date. As such, the Company is working with its tax professionals to utilize available net operating loss carryforwards. Due to the difference between our taxed effected net income as of this period end and the net operating loss of approximately $17,300,000 as of June 30, 2016, the Company continues to apply a 100% valuation allowance on any remaining deferred tax asset. |
NOTE 9 - SUBSEQUENT EVENTS
NOTE 9 - SUBSEQUENT EVENTS | 9 Months Ended |
Mar. 31, 2017 | |
Subsequent Events [Abstract] | |
Subsequent Events [Text Block] | NOTE 9 - SUBSEQUENT EVENTS In April 2017, the Board of Directors closed the Amerityre Corporation 2015 Omnibus Stock Option and Award Plan as all units under the plan had been expended. Contemporaneous with this, the Board approved the Amerityre Corporation 2017 Omnibus Stock Option and Award Plan for a total of 3,000,000 shares of the Company’s common stock. |
Accounting Policies, by Policy
Accounting Policies, by Policy (Policies) | 9 Months Ended |
Mar. 31, 2017 | |
Accounting Policies [Abstract] | |
Reclassification, Policy [Policy Text Block] | Reclassifications Certain reclassifications, which have no effect on net loss, have been made in the prior period financial statements to conform to the current presentation, specifically the separation of “store” inventory as part of other current assets at March 31, 2016. |
Earnings Per Share, Policy [Policy Text Block] | Basic and Fully Diluted Net Loss Per Share Basic and Fully Diluted net income (loss) per share is computed using the weighted-average number of common shares outstanding during the period. Our outstanding stock options and warrants have been excluded from the basic and fully diluted net income per share calculation. We excluded 4,280,000 and 4,300,000 common stock equivalents for the quarters ended March 31, 2017 and 2016, respectively, because they are anti-dilutive with strike prices above market value at period end. |
New Accounting Pronouncements, Policy [Policy Text Block] | Recent Accounting Pronouncements Recently Adopted and Recently Issued Accounting Guidance Issued In August 2016, the FASB issued ASU No. 2016-15, “ Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments (consensus of Emerging Issues Task Force) This Accounting Standards Update addresses the following eight specific cash flow issues: Debt prepayment or debt extinguishment costs; settlement of zero-coupon debt instruments or other debt instruments with coupon interest rates that are insignificant in relation to the effective interest rate of the borrowing; contingent consideration payments made after a business combination; proceeds from the settlement of insurance claims; proceeds from the settlement of corporate-owned life insurance policies (COLIs) (including bank-owned life insurance policies (BOLIs)); distributions received from equity method investees; beneficial interests in securitization transactions; and separately identifiable cash flows and application of the predominance principle. |
NOTE 3 - INVENTORY (Tables)
NOTE 3 - INVENTORY (Tables) | 9 Months Ended |
Mar. 31, 2017 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventory [Table Text Block] | Inventory is stated at the lower of cost (computed on a first-in, first-out basis) or net realizable value. The inventory consists primarily of chemicals, finished goods produced in our plant and products purchased for resale. March 31, 2017 June 30, 2016 (Unaudited) Raw Materials $ 216,436 $ 257,260 Finished Goods 570,441 663,666 Inventory reserve (45,617 ) (125,981 ) Inventory - net $ 741,260 794,945 |
NOTE 4 - DEBT (Tables)
NOTE 4 - DEBT (Tables) | 9 Months Ended |
Mar. 31, 2017 | |
Debt Disclosure [Abstract] | |
Schedule of Maturities of Long-term Debt [Table Text Block] | Payments due by period Total Less than 1 year 1 to 3 years 3 to 5 years After 5 years Bank debt (both US Bank facilities above) $ 83,119 $ 17,141 $ 59,726 $ 6,252 $ - Total cash obligations $ 83,119 $ 17,141 $ 59,726 $ 6,252 $ - |
NOTE 5 - CAPITAL LEASE (Tables)
NOTE 5 - CAPITAL LEASE (Tables) | 9 Months Ended |
Mar. 31, 2017 | |
Disclosure Text Block Supplement [Abstract] | |
Schedule of Capital Leased Assets [Table Text Block] | The following is a schedule by years of future minimum lease payments under capital leases together with present value of the net minimum lease payments as of March 31, 2017: 2017 $ 2,174 2018 8,697 2019 725 2020 - 2021 - Total minimum lease payments 11,596 Less: executory costs - Net minimum lease payments 11,596 Less: amount representing interest (1,533 ) Present value of net minimum payments $ 10,063 |
NOTE 6 - STOCK OPTIONS AND WA19
NOTE 6 - STOCK OPTIONS AND WARRANTS (Tables) | 9 Months Ended |
Mar. 31, 2017 | |
Disclosure Text Block Supplement [Abstract] | |
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions [Table Text Block] | We estimated the fair value of the stock options granted in the current fiscal year above at the grant date based on the following weighted average assumptions: Risk free interest rate 1.450 % Expected life 3.0 years Expected volatility 126.36 % Dividend yield 0.00 % |
Schedule of Share-based Compensation, Stock Options, Activity [Table Text Block] | A summary of the status of our outstanding stock options as of March 31, 2017 and June 30, 2016, and changes during the periods then ended is presented below: March 31, 2017 June 30, 2016 Weight Average Intrinsic Weight Average Intrinsic Shares Exercise Price Value Shares Exercise Price Value Outstanding beginning of period 3,800,000 $ 0.13 2,270,000 $ 0.14 Granted 480,000 $ 0.10 1,530,000 $ 0.10 Expired/Cancelled - $ 0.00 - $ 0.00 Exercised - $ 0.00 - $ 0.00 Outstanding end of period 4,280,000 $ 0.12 $ - 3,800,000 $ 0.13 $ - Exercisable 3,960,000 $ 0.12 $ - 3,070,000 $ 0.13 $ - |
Schedule of Share-based Compensation, Shares Authorized under Stock Option Plans, by Exercise Price Range [Table Text Block] | The following table summarizes the range of outstanding and exercisable options as of March 31, 2017: Outstanding Exercisable Range of Exercise Prices Number Outstanding at March 31, 2017 Weighted Average Remaining Contractual Life Weighted Average Exercise Price Number Exercisable at March 31, 2017 Weighted Average Remaining Contractual Life $ 0.08 150,000 4.67 $ 0.08 150,000 4.67 $ 0.10 2,680,000 2.35 $ 0.10 2,360,000 2.35 $ 0.17 1,450,000 3.67 $ 0.17 1,450,000 3.67 4,280,000 3,960,000 |
NOTE 2 - SUMMARY OF SIGNIFICA20
NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details) - shares | 9 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Accounting Policies [Abstract] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 4,280,000 | 4,300,000 |
NOTE 3 - INVENTORY (Details)
NOTE 3 - INVENTORY (Details) | 9 Months Ended |
Mar. 31, 2017USD ($) | |
Inventory Disclosure [Abstract] | |
Prior Period Reclassification Adjustment | $ 10,815 |
NOTE 3 - INVENTORY (Details) -
NOTE 3 - INVENTORY (Details) - Schedule of Inventory - USD ($) | Mar. 31, 2017 | Jun. 30, 2016 |
Schedule of Inventory [Abstract] | ||
Raw Materials | $ 216,436 | $ 257,260 |
Finished Goods | 570,441 | 663,666 |
Inventory reserve | (45,617) | (125,981) |
Inventory - net | $ 741,260 | $ 794,945 |
NOTE 4 - DEBT (Details)
NOTE 4 - DEBT (Details) - USD ($) | 1 Months Ended | 9 Months Ended | |
Jul. 31, 2016 | Jun. 30, 2016 | Mar. 31, 2017 | |
NOTE 4 - DEBT (Details) [Line Items] | |||
Long-term Debt, Current Maturities | $ 20,518 | $ 19,141 | |
Long-term Debt, Excluding Current Maturities | 100,142 | $ 129,111 | |
Property, Plant and Equipment, Transfers and Changes | $ 29,000 | ||
Notes Payable, Other Payables [Member] | |||
NOTE 4 - DEBT (Details) [Line Items] | |||
Sales Commission, Percentage | 5.00% | ||
Debt Instrument, Face Amount | $ 96,000 | ||
Long-term Debt, Current Maturities | 11,752 | 2,000 | |
Long-term Debt, Excluding Current Maturities | 53,840 | $ 63,133 | |
Notes Payable to Banks [Member] | |||
NOTE 4 - DEBT (Details) [Line Items] | |||
Debt Instrument, Face Amount | $ 37,666 | $ 55,068 | |
Debt Instrument, Interest Rate, Stated Percentage | 5.59% | 5.59% | |
Debt Instrument, Periodic Payment | $ 720 | $ 1,059 | |
Debt Instrument, Term | 60 months | 60 months |
NOTE 4 - DEBT (Details) - Sched
NOTE 4 - DEBT (Details) - Schedule of Maturities of Long-term Debt | Mar. 31, 2017USD ($) |
NOTE 4 - DEBT (Details) - Schedule of Maturities of Long-term Debt [Line Items] | |
Total | $ 83,119 |
Less than 1 year | 17,141 |
1 to 3 years | 59,726 |
3 to 5 years | 6,252 |
After 5 years | 0 |
Notes Payable to Banks [Member] | |
NOTE 4 - DEBT (Details) - Schedule of Maturities of Long-term Debt [Line Items] | |
Total | 83,119 |
Less than 1 year | 17,141 |
1 to 3 years | 59,726 |
3 to 5 years | 6,252 |
After 5 years | $ 0 |
NOTE 5 - CAPITAL LEASE (Details
NOTE 5 - CAPITAL LEASE (Details) - USD ($) | Mar. 31, 2017 | Jul. 31, 2015 |
Disclosure Text Block Supplement [Abstract] | ||
Capital Leases, Future Minimum Payments Due | $ 11,596 | $ 19,337 |
NOTE 5 - CAPITAL LEASE (Detai26
NOTE 5 - CAPITAL LEASE (Details) - Schedule of Capital Leased Assets - USD ($) | Mar. 31, 2017 | Jul. 31, 2015 |
Schedule of Capital Leased Assets [Abstract] | ||
2,017 | $ 2,174 | |
2,018 | 8,697 | |
2,019 | 725 | |
2,020 | 0 | |
2,021 | 0 | |
Total minimum lease payments | 11,596 | $ 19,337 |
Less: executory costs | 0 | |
Net minimum lease payments | 11,596 | |
Less: amount representing interest | (1,533) | |
Present value of net minimum payments | $ 10,063 |
NOTE 6 - STOCK OPTIONS AND WA27
NOTE 6 - STOCK OPTIONS AND WARRANTS (Details) - USD ($) | Dec. 01, 2016 | Jan. 19, 2016 | Dec. 01, 2015 | Sep. 30, 2013 | Mar. 31, 2017 | Mar. 31, 2016 | Jun. 30, 2016 | Feb. 22, 2017 |
NOTE 6 - STOCK OPTIONS AND WARRANTS (Details) [Line Items] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 480,000 | 1,530,000 | ||||||
Allocated Share-based Compensation Expense | $ 15,660 | |||||||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Not yet Recognized, Stock Options | 1,021 | |||||||
Interest Paid | 6,837 | $ 2,404 | ||||||
Convertible Debt [Member] | ||||||||
NOTE 6 - STOCK OPTIONS AND WARRANTS (Details) [Line Items] | ||||||||
Convertible Notes Payable, Current | $ 100,000 | |||||||
Class of Warrant or Rights, Granted | 500,000 | |||||||
Interest Paid | $ 6,500 | |||||||
Warrants, Term of Warrants | 3 years | |||||||
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ 0.13 | |||||||
Share Price | $ 0.25 | |||||||
Chief Executive Officer [Member] | ||||||||
NOTE 6 - STOCK OPTIONS AND WARRANTS (Details) [Line Items] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 480,000 | |||||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Option Exercise Price | $ 0.10 | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Vesting Date | Dec. 1, 2017 | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Date | Dec. 1, 2020 | |||||||
Allocated Share-based Compensation Expense | $ 583 | |||||||
Share Price | $ 0.0168 | |||||||
Chief Executive Officer [Member] | Options Granted December 1, 2015 [Member] | ||||||||
NOTE 6 - STOCK OPTIONS AND WARRANTS (Details) [Line Items] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 480,000 | |||||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Option Exercise Price | $ 0.10 | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Vesting Date | Dec. 1, 2016 | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Date | Dec. 1, 2020 | |||||||
Board member [Member] | Options Granted January 19, 2016 [Member] | ||||||||
NOTE 6 - STOCK OPTIONS AND WARRANTS (Details) [Line Items] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 100,000 | |||||||
Audit Committee Chair [Member] | Options Granted January 19, 2016 [Member] | ||||||||
NOTE 6 - STOCK OPTIONS AND WARRANTS (Details) [Line Items] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 50,000 | |||||||
Board Members and Audito Committe Chair [Member] | Options Granted January 19, 2016 [Member] | ||||||||
NOTE 6 - STOCK OPTIONS AND WARRANTS (Details) [Line Items] | ||||||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Option Exercise Price | $ 0.10 | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Vesting Date | December 2,016 | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Date | December 2,019 | |||||||
Chief Financial Officer [Member] | Options Granted January 19, 2016 [Member] | ||||||||
NOTE 6 - STOCK OPTIONS AND WARRANTS (Details) [Line Items] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 50,000 | |||||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Option Exercise Price | $ 0.10 | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Date | Dec. 1, 2019 | |||||||
Minimum [Member] | Chief Financial Officer [Member] | Options Granted January 19, 2016 [Member] | ||||||||
NOTE 6 - STOCK OPTIONS AND WARRANTS (Details) [Line Items] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Vesting Date | Jan. 21, 2016 | |||||||
Maximum [Member] | Chief Financial Officer [Member] | Options Granted January 19, 2016 [Member] | ||||||||
NOTE 6 - STOCK OPTIONS AND WARRANTS (Details) [Line Items] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Vesting Date | Dec. 1, 2016 |
NOTE 6 - STOCK OPTIONS AND WA28
NOTE 6 - STOCK OPTIONS AND WARRANTS (Details) - Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions | 9 Months Ended |
Mar. 31, 2017 | |
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions [Abstract] | |
Risk free interest rate | 1.45% |
Expected life | 3 years |
Expected volatility | 126.36% |
Dividend yield | 0.00% |
NOTE 6 - STOCK OPTIONS AND WA29
NOTE 6 - STOCK OPTIONS AND WARRANTS (Details) - Schedule of Share-based Compensation, Stock Options, Activity - USD ($) | 9 Months Ended | 12 Months Ended |
Mar. 31, 2017 | Jun. 30, 2016 | |
Schedule of Share-based Compensation, Stock Options, Activity [Abstract] | ||
Outstanding beginning of period | 3,800,000 | 2,270,000 |
Outstanding beginning of period | $ 0.13 | $ 0.14 |
Granted | 480,000 | 1,530,000 |
Granted | $ 0.10 | $ 0.10 |
Expired/Cancelled | 0 | 0 |
Expired/Cancelled | $ 0 | $ 0 |
Exercised | 0 | 0 |
Exercised | $ 0 | $ 0 |
Outstanding end of period | 4,280,000 | 3,800,000 |
Outstanding end of period | $ 0.12 | $ 0.13 |
Outstanding end of period | $ 0 | $ 0 |
Exercisable | 3,960,000 | 3,070,000 |
Exercisable | $ 0.12 | $ 0.13 |
Exercisable | $ 0 | $ 0 |
NOTE 6 - STOCK OPTIONS AND WA30
NOTE 6 - STOCK OPTIONS AND WARRANTS (Details) - Schedule of Share-based Compensation, Shares Authorized under Stock Option Plans, by Exercise Price Range - $ / shares | 9 Months Ended | ||
Mar. 31, 2017 | Jun. 30, 2016 | Jun. 30, 2015 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |||
Number of Options Outstanding | 4,280,000 | 3,800,000 | 2,270,000 |
Weighted Average Exercise Price of Outstanding Options (in Dollars per share) | $ 0.12 | $ 0.13 | $ 0.14 |
Number of Exercisable Options | 3,960,000 | 3,070,000 | |
Options at $0.08 [Member] | |||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |||
Exercise Price of Options (in Dollars per share) | $ 0.08 | ||
Number of Options Outstanding | 150,000 | ||
Weighted Average Remaining Contractual Life of Outstanding Options | 4 years 8 months 1 day | ||
Weighted Average Exercise Price of Outstanding Options (in Dollars per share) | $ 0.08 | ||
Number of Exercisable Options | 150,000 | ||
Weighted Average Remaining Contractual Life of Exercisable Options | 4 years 8 months 1 day | ||
Options at $0.10 [Member] | |||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |||
Exercise Price of Options (in Dollars per share) | $ 0.10 | ||
Number of Options Outstanding | 2,680,000 | ||
Weighted Average Remaining Contractual Life of Outstanding Options | 2 years 4 months 6 days | ||
Weighted Average Exercise Price of Outstanding Options (in Dollars per share) | $ 0.10 | ||
Number of Exercisable Options | 2,360,000 | ||
Weighted Average Remaining Contractual Life of Exercisable Options | 2 years 4 months 6 days | ||
Options at $0.17 [Member] | |||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |||
Exercise Price of Options (in Dollars per share) | $ 0.17 | ||
Number of Options Outstanding | 1,450,000 | ||
Weighted Average Remaining Contractual Life of Outstanding Options | 3 years 8 months 1 day | ||
Weighted Average Exercise Price of Outstanding Options (in Dollars per share) | $ 0.17 | ||
Number of Exercisable Options | 1,450,000 | ||
Weighted Average Remaining Contractual Life of Exercisable Options | 3 years 8 months 1 day |
NOTE 7 - STOCK AWARDS AND ISS31
NOTE 7 - STOCK AWARDS AND ISSUANCES (Details) - USD ($) | Mar. 23, 2017 | Feb. 23, 2017 | Jan. 31, 2017 | Jan. 21, 2017 | Mar. 31, 2017 | Feb. 22, 2017 | Jun. 30, 2016 |
NOTE 7 - STOCK AWARDS AND ISSUANCES (Details) [Line Items] | |||||||
Stock Issued During Period, Shares, Share-based Compensation, Gross | 322,581 | 225,000 | 60,000 | ||||
Shares Issued, Price Per Share (in Dollars per share) | $ 0.0155 | $ 0.04 | |||||
Common Stock, Value, Subscriptions (in Dollars) | $ 5,047 | $ 4,500 | |||||
Stock Issued During Period, Value, Share-based Compensation, Gross (in Dollars) | $ 5,000 | ||||||
Board member [Member] | |||||||
NOTE 7 - STOCK AWARDS AND ISSUANCES (Details) [Line Items] | |||||||
Stock Issued During Period, Shares, Share-based Compensation, Gross | 50,000 | ||||||
Board Members and Audito Committe Chair [Member] | |||||||
NOTE 7 - STOCK AWARDS AND ISSUANCES (Details) [Line Items] | |||||||
Stock Issued During Period, Shares, Share-based Compensation, Gross | 75,000 | ||||||
Chief Executive Officer [Member] | |||||||
NOTE 7 - STOCK AWARDS AND ISSUANCES (Details) [Line Items] | |||||||
Stock Issued During Period, Shares, Share-based Compensation, Gross | 2,400,000 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 23 months | ||||||
Share Price (in Dollars per share) | $ 0.0168 |
NOTE 8 - INCOME TAXES (Details)
NOTE 8 - INCOME TAXES (Details) | 12 Months Ended |
Jun. 30, 2016USD ($) | |
Income Tax Disclosure [Abstract] | |
Operating Loss Carryforwards | $ 17,300,000 |
Effective Income Tax Rate Reconciliation, Change in Deferred Tax Assets Valuation Allowance, Percent | 100.00% |
NOTE 9 - SUBSEQUENT EVENTS (Det
NOTE 9 - SUBSEQUENT EVENTS (Details) | Apr. 30, 2017shares |
Subsequent Event [Member] | |
NOTE 9 - SUBSEQUENT EVENTS (Details) [Line Items] | |
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 3,000,000 |