Retractable (RVP) 10-Q16 Nov 202020 Q3 Quarterly reportFinancial data

Company Profile

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
Document and Entity Information - shares	Sep. 30, 2020	Nov. 02, 2020
Cover
Entity Registrant Name	RETRACTABLE TECHNOLOGIES INC
Entity Central Index Key	0000946563
Document Type	10-Q
Document Period End Date	Sep. 30, 2020
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		33,816,604
Document Fiscal Year Focus	2020
Document Fiscal Period Focus	Q3
Trading Symbol	RVP
Title of 12(b) Security	Common Stock
Security Exchange Name	NYSE

CONDENSED BALANCE SHEETS

CONDENSED BALANCE SHEETS - USD ($)	Sep. 30, 2020	Dec. 31, 2019
Current assets:
Cash and cash equivalents	$ 15,716,798	$ 5,934,749
Accounts receivable, net	15,860,937	6,564,371
Investments in debt and equity securities, at fair value	6,703,449	7,771,660
Inventories, net	7,752,543	7,450,592
Income taxes receivable	100,785	50,392
Other current assets	653,254	635,201
Total current assets	46,787,766	28,406,965
Property, plant, and equipment, net	19,485,242	10,632,057
Income taxes receivable	0	50,393
Deferred taxes	804,357	0
Other assets	78,190	88,315
Total assets	67,155,555	39,177,730
Current liabilities:
Accounts payable	7,279,907	5,007,604
Current portion of long-term debt	1,101,864	260,939
Accrued compensation	974,438	607,339
Dividends payable	52,242	54,800
Accrued royalties to shareholder	1,681,885	921,445
Other accrued liabilities	3,032,030	1,387,149
Income taxes payable	671,149	17,944
Total current liabilities	14,793,515	8,257,220
Other long-term liabilities	10,533,161	0
Long-term debt, net of current maturities	2,705,865	2,378,055
Total liabilities	28,032,541	10,635,275
Commitments and contingencies - see Note 8
Preferred stock, $1 par value:
Common stock, no par value
Additional paid-in capital	59,851,666	61,660,744
Accumulated deficit	(21,176,597)	(33,891,234)
Total stockholders' equity	39,123,014	28,542,455
Total liabilities and stockholders' equity	67,155,555	39,177,730
Series I, Class B
Preferred stock, $1 par value:
Preferred stock	96,000	96,000
Series II, Class B
Preferred stock, $1 par value:
Preferred stock	156,200	171,200
Series III, Class B
Preferred stock, $1 par value:
Preferred stock	126,745	129,245
Series IV Preferred Stock
Preferred stock, $1 par value:
Preferred stock	35,000	342,500
Series V Preferred Stock
Preferred stock, $1 par value:
Preferred stock	$ 34,000	$ 34,000

CONDENSED BALANCE SHEETS (Paren

CONDENSED BALANCE SHEETS (Parenthetical) - $ / shares	Jun. 30, 2020	Dec. 31, 2019
CONDENSED BALANCE SHEETS
Preferred stock, par value (in dollars per share)	$ 1	$ 1
Common stock, par value (in dollars per share)	$ 0	$ 0

CONDENSED STATEMENTS OF OPERATI

CONDENSED STATEMENTS OF OPERATIONS - USD ($)	3 Months Ended		9 Months Ended
CONDENSED STATEMENTS OF OPERATIONS - USD ($)	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Sales, net	$ 27,091,064	$ 11,639,586	$ 49,867,126	$ 29,167,950
Cost of sales
Total cost of sales	13,262,559	7,871,727	28,834,441	19,978,415
Gross profit	13,828,505	3,767,859	21,032,685	9,189,535
Operating expenses
Sales and marketing	1,160,412	1,007,831	3,148,290	2,862,991
Research and development	134,575	134,919	399,367	377,881
General and administrative	2,185,980	1,646,685	5,696,901	4,816,214
Total operating expenses	3,480,967	2,789,435	9,244,558	8,057,086
Income from operations	10,347,538	978,424	11,788,127	1,132,449
Interest and other income (loss)	(87,483)	91,105	881,316	292,476
Interest expense	(36,124)	(40,701)	(105,959)	(130,085)
Income before income taxes	10,223,931	1,028,828	12,563,484	1,294,840
Provision (benefit) for income taxes	1,598,180	4,394	(151,153)	7,875
Net income	8,625,751	1,024,434	12,714,637	1,286,965
Preferred Stock dividend requirements	(145,535)	(175,456)	(493,826)	(527,162)
Deemed contribution on extinguishment of preferred stock	2,525,848	0	2,519,124	0
Income applicable to common shareholders	$ 11,006,064	$ 848,978	$ 14,739,935	$ 759,803
Basic earnings per share	$ 0.33	$ 0.03	$ 0.45	$ 0.02
Diluted earnings per share	$ 0.33	$ 0.03	$ 0.45	$ 0.02
Weighted average common shares outstanding:
Basic (in shares)	33,371,471	32,674,954	32,947,241	32,671,648
Diluted (in shares)	33,984,934	32,674,954	33,071,652	32,671,648
Costs of manufactured product
Cost of sales
Total cost of sales	$ 11,580,674	$ 6,935,269	$ 25,331,916	$ 17,450,038
Royalty expense to shareholder
Cost of sales
Total cost of sales	$ 1,681,885	$ 936,458	$ 3,502,525	$ 2,528,377

CONDENSED STATEMENTS OF CASH FL

CONDENSED STATEMENTS OF CASH FLOWS - USD ($)	9 Months Ended
CONDENSED STATEMENTS OF CASH FLOWS - USD ($)	Sep. 30, 2020	Sep. 30, 2019
Cash flows from operating activities
Net income	$ 12,714,637	$ 1,286,965
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	624,998	641,224
Net unrealized gain on investments	(559,543)	(129,728)
Realized gains on investments	(162,595)	(7,925)
Allowance for doubtful accounts	125,000	0
Deferred taxes	(804,357)	0
(Increase) decrease in operating assets:
Accounts receivable	(7,542,375)	(1,384,383)
Inventories	(301,951)	798,980
Other current assets	(18,053)	(50,677)
Other assets	10,125	56,661
Increase (decrease) in operating liabilities:
Accounts payable	2,272,302	317,084
Accrued liabilities	1,803,433	(54,904)
Income taxes payable	670,531	7,919
Net cash provided (used) by operating activities	8,832,152	1,481,216
Cash flows from investing activities
Purchase of property, plant, and equipment	(9,478,182)	(487,256)
Purchase of debt and equity securities	(2,174,980)	(6,969,552)
Proceeds from the sales of investments	3,965,329	2,362,134
Net cash used by investing activities	(7,687,833)	(5,094,674)
Cash flows from financing activities
Proceeds of long-term debt	1,363,000	0
Repayments of long-term debt	(194,985)	(313,949)
Proceeds from TIA	6,883,103	0
Repurchase of preferred stock	(100,000)	0
Proceeds from the exercise of stock options	851,012	0
Payment of preferred stock dividends	(164,400)	(165,026)
Net cash provided (used) by financing activities	8,637,730	(478,975)
Net increase (decrease) in cash and cash equivalents	9,782,049	(4,092,433)
Cash and cash equivalents at:
Beginning of period	5,934,749	9,647,292
End of period	15,716,798	5,554,859
Supplemental schedule of cash flow information:
Interest paid	105,959	130,085
Supplemental schedule of noncash investing and financing activities:
Preferred dividends declared, not paid	52,242	54,800
Conversion of preferred stock to common stock	15,000	8,500
Preferred stock repurchase payable	$ 2,723,248	$ 0

CONDENSED STATEMENTS OF CHANGES

CONDENSED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY - USD ($)	Common Stock	Preferred StockSeries I, Class B	Preferred StockSeries II, Class B	Preferred StockSeries III, Class B	Preferred StockSeries IV Preferred Stock	Preferred StockSeries V Preferred Stock	Additional Paid-in Capital	Accumulated Deficit	Series II, Class B	Total
Balance at Dec. 31, 2018	$ 0	$ 98,500	$ 171,200	$ 129,245	$ 342,500	$ 40,000	$ 61,871,756	$ (37,039,468)		$ 25,613,733
Increase (Decrease) in Stockholders' Equity
Dividends							(164,712)			(164,712)
Conversion		(2,500)				(6,000)	8,500
Net Income								1,286,965		1,286,965
Balance at Sep. 30, 2019	0	96,000	171,200	129,245	342,500	34,000	61,715,544	(35,752,503)		26,735,986
Balance at Jun. 30, 2019	0	96,000	171,200	129,245	342,500	34,000	61,770,344	(36,776,937)		25,766,352
Increase (Decrease) in Stockholders' Equity
Dividends							(54,800)			(54,800)
Net Income								1,024,434		1,024,434
Balance at Sep. 30, 2019	0	96,000	171,200	129,245	342,500	34,000	61,715,544	(35,752,503)		26,735,986
Balance at Dec. 31, 2019	0	96,000	171,200	129,245	342,500	34,000	61,660,744	(33,891,234)		28,542,455
Increase (Decrease) in Stockholders' Equity
Exchange of Preferred Stock for Common Stock				(2,500)	(307,500)		(2,513,248)			(2,823,248)
Stock Option Exercises							851,012			851,012
Dividends							(161,842)			(161,842)
Conversion			(15,000)				15,000
Net Income								12,714,637		12,714,637
Balance at Sep. 30, 2020	0	96,000	156,200	126,745	35,000	34,000	59,851,666	(21,176,597)		39,123,014
Balance at Jun. 30, 2020	0	96,000	171,200	126,745	335,000	34,000	62,087,831	(29,802,348)		33,048,428
Increase (Decrease) in Stockholders' Equity
Exchange of Preferred Stock for Common Stock					(300,000)		(2,423,248)			(2,723,248)
Stock Option Exercises							224,325			224,325
Conversion of Preferred Stock into Common Stock (in Shares)									15,000
Dividends							(52,242)			(52,242)
Conversion			(15,000)				15,000
Net Income								8,625,751		8,625,751
Balance at Sep. 30, 2020	$ 0	$ 96,000	$ 156,200	$ 126,745	$ 35,000	$ 34,000	$ 59,851,666	$ (21,176,597)		$ 39,123,014

BUSINESS OF THE COMPANY AND BAS

BUSINESS OF THE COMPANY AND BASIS OF PRESENTATION	9 Months Ended
BUSINESS OF THE COMPANY AND BASIS OF PRESENTATION	Sep. 30, 2020
BUSINESS OF THE COMPANY AND BASIS OF PRESENTATION
BUSINESS OF THE COMPANY AND BASIS OF PRESENTATION	1. BUSINESS OF THE COMPANY AND BASIS OF PRESENTATION Business of the Company Retractable Technologies, Inc. (the “Company”) was incorporated in Texas on May 9, 1994, and designs, develops, manufactures, and markets safety syringes and other safety medical products for the healthcare profession. The Company began to develop its manufacturing operations in 1995. The Company’s manufacturing and administrative facilities are located in Little Elm, Texas. The Company’s products are the VanishPoint ® 0.5mL insulin syringe; 1mL tuberculin, insulin, and allergy antigen syringes; 0.5mL, 1mL, 2mL, 3mL, 5mL, and 10mL syringes; the blood collection tube holder; the small diameter tube adapter; the allergy tray; the IV safety catheter; the Patient Safe ® syringes; the Patient Safe ® Luer Cap; the VanishPoint ® Blood Collection Set; and the EasyPoint ® needle as well as a standard 3mL syringe packaged with an EasyPoint (R) needle. The Company also sells VanishPoint ® autodisable syringes in the international market in addition to the Company’s other products . Basis of presentation The accompanying condensed financial statements are unaudited and, in the opinion of Management, reflect all adjustments that are necessary for a fair presentation of the financial position and results of operations for the periods presented. All such adjustments are of a normal and recurring nature. The results of operations for the periods presented are not necessarily indicative of the results to be expected for the entire year. The unaudited condensed financial statements should be read in conjunction with the financial statement disclosures contained in the Company’s audited financial statements incorporated into its Form 10-K filed on March 30, 2020 for the year ended December 31, 2019.

SUMMARY OF SIGNIFICANT ACCOUNTI

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	9 Months Ended
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	Sep. 30, 2020
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Accounting estimates The preparation of financial statements in conformity with U.S. generally accepted accounting principles (“GAAP”) requires Management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ significantly from those estimates. Cash and cash equivalents For purposes of reporting cash flows, cash and cash equivalents include cash, money market accounts, and investments with original maturities of three months or less. Accounts receivable The Company records trade receivables when revenue is recognized. No product has been consigned to customers. The Company’s allowance for doubtful accounts is primarily determined by review of specific trade receivables. Those accounts that are doubtful of collection are included in the allowance. This provision is reviewed to determine the adequacy of the allowance for doubtful accounts. Trade receivables are charged off when there is certainty as to their being uncollectible. Trade receivables are considered delinquent when payment has not been made within contract terms. The Allowance for bad debt was $271 thousand and $147 thousand as of September 30, 2020 and December 31, 2019, respectively. The Company requires certain customers to make a prepayment prior to beginning production or shipment of their order. Customers may apply such prepayments to their outstanding invoices or pay the invoice and continue to carry forward the deposit for future orders. Such amounts are included in Other accrued liabilities on the Condensed Balance Sheets and are shown in Note 6, Other Accrued Liabilities. The Company records an allowance for estimated returns as a reduction to Accounts receivable and Gross sales. Historically, returns have been insignificant. Inventories Inventories are valued at the lower of cost or net realizable value, with cost being determined using actual average cost. The Company compares the average cost to the net realizable value and records the lower value. Net realizable value is the estimated selling price in the ordinary course of business, less reasonably predictable costs of completion, disposal, and transportation. Management considers such factors as the amount of inventory on hand and in the distribution channel, estimated time to sell such inventory, the shelf life of inventory, and current market conditions when determining excess or obsolete inventories. A reserve is established for any excess or obsolete inventories or they may be written off. Investments in debt and equity securities The Company holds high-grade exchange-traded and closed-end funds (ETFs), mutual funds, equity securities, and debt securities as investments. These assets are readily marketable and are carried at fair value as of the date of the Condensed Balance Sheets. Net unrealized and realized gains or losses on investments in debt and equity securities are reflected as a component of Interest and other income. Realized gains or losses on investments in debt and equity securities are recognized using the specific identification method. Property, plant, and equipment Property, plant, and equipment are stated at cost. Expenditures for maintenance and repairs are charged to operations as incurred. Cost includes major expenditures for improvements and replacements which extend useful lives or increase capacity and interest cost associated with significant capital additions. Gains or losses from disposals are included in operations. The Company's property, plant, and equipment primarily consist of buildings, land, assembly equipment, molding machines, molds, office equipment, furniture, and fixtures. Depreciation and amortization are calculated using the straight-line method over the following useful lives: Production equipment 3 to 13 years Office furniture and equipment 3 to 10 years Buildings 39 years Building improvements 15 years Long-lived assets The Company assesses the recoverability of long-lived assets using an assessment of the estimated undiscounted future cash flows related to such assets. In the event that assets are found to be carried at amounts which are in excess of estimated gross future cash flows, the assets will be adjusted for impairment to a level commensurate with fair value determined using a discounted cash flow analysis or appraised values of the underlying assets. Fair value measurements For assets and liabilities that are measured using quoted prices in active markets, total fair value is the published market price per unit multiplied by the number of units held without consideration of transaction costs. Assets and liabilities that are measured using significant other observable inputs are valued by reference to similar assets or liabilities, adjusted for contract restrictions and other terms specific to that asset or liability. For these items, a significant portion of fair value is derived by reference to quoted prices of similar assets or liabilities in active markets. For all remaining assets and liabilities, fair value is derived using a fair value model, such as a discounted cash flow model or Black-Scholes model. Financial instruments The Company estimates the fair value of financial instruments through the use of public market prices, quotes from financial institutions, and other available information. Judgment is required in interpreting data to develop estimates of fair value and, accordingly, amounts are not necessarily indicative of the amounts that could be realized in a current market exchange. Short-term financial instruments, including cash and cash equivalents, accounts receivable, accounts payable, and other liabilities, consist primarily of instruments without extended maturities, the fair value of which, based on Management's estimates, equals their recorded values. Investments in equity securities consist primarily of individual equity securities, exchange-traded and closed-end funds, and mutual funds and are reported at their fair value based upon quoted prices in active markets. Investments in U.S. Treasury Notes are reported at their fair value based upon quoted prices in active markets. Investments in certificates of deposit (CD) with original maturities of greater than three months are reported at their estimated fair value based upon the duration of the CD and the interest rate earned on the CD versus current interest rates of similar duration CDs. The fair value of long-term liabilities, based on Management’s estimates, approximates their reported values. Concentration risks The Company’s financial instruments exposed to concentrations of credit risk consist primarily of cash, cash equivalents, certificates of deposit, U.S. Treasury Notes, exchange-traded and closed-end funds, mutual funds, equity securities, and accounts receivable. Cash balances, some of which exceed federally insured limits, are maintained in financial institutions; however, Management believes the institutions are of high credit quality. The Company assesses market risk in debt and equity securities through consultation with its outside investment advisors. Management is responsible for directing investment activity based on current economic conditions. The majority of accounts receivable are due from companies which are well-established entities. In the third quarter of 2020, a significant portion of the Company’s sales were to the U.S. government, which Management does not consider a credit risk. As a consequence, Management considers any exposure from concentrations of credit risks to be limited. The following table reflects significant customers for the three- and nine-month periods ending September 30,2020 and 2019, respectively: Three Months ended Three Months ended Nine Months ended Nine Months ended September 30, 2020 September 30, 2019 September 30, 2020 September 30, 2019 Number of significant customers 2 3 2 3 Aggregate dollar amount of net sales to significant customers $ 16.4 million $ 5.0 million $ 21.7 million $ 12.6 million Percentage of net sales to significant customers 60.6 % 43.2 % 43.6 % 43.3 % In the third quarter of 2020, approximately $12.9 million of the Company's sales were to the Department of Health and Human Services of the United States in partial fulfillment of a recent $83.8 million delivery order to supply automated retraction safety syringes (the “HHS Order”). Management expects the U.S. government to remain a significant customer through the remainder of 2020, and sales under the HHS Order to increase quarterly through May 2021. The Company manufactures some of its products in Little Elm, Texas as well as utilizing manufacturers in China. The Company obtained roughly 82.2% and 82.1% of its products in the first nine months of 2020 and 2019, respectively, from its Chinese manufacturers. Purchases from Chinese manufacturers aggregated 80.5% and 84.2% of products in the three-month periods ended September 30, 2020 and 2019, respectively. In the event that the Company becomes unable to purchase products from its Chinese manufacturers, the Company would need to find an alternate manufacturer for its blood collection set, IV catheter, Patient Safe ® syringe, 0.5mL insulin syringe, 0.5mL autodisable syringe, and 2mL, 5mL, and 10mL syringes, and would increase domestic production for the 1mL and 3mL syringes and EasyPoint ® needles. Regardless of vendor availability, the Company expects to increase its domestic syringe production capacity at its facilities pursuant to the plans outlined in the TIA as hereinafter defined. Revenue recognition The Company recognizes revenue when it has satisfied all performance obligations to the customer, generally when title and risk of loss pass to the customer. Payments from customers with approved credit terms are typically due 30 days from the invoice date. Under certain contracts, revenue is recorded on the basis of sales price to distributors, less contractual pricing allowances. Contractual pricing allowances consist of: (i) rebates granted to distributors who provide tracking reports which show, among other things, the facility that purchased the products, and (ii) a provision for estimated contractual pricing allowances for products for which the Company has not received tracking reports. Rebates are recorded when issued and are applied against the customer’s receivable balance. Distributors receive a rebate for the difference between the Wholesale Acquisition Cost and the appropriate contract price as reflected on a tracking report provided by the distributor to the Company. If product is sold by a distributor to an entity that has no contract, there is a standard rebate (lower than a contracted rebate) given to the distributor. One of the purposes of the rebate is to encourage distributors to submit tracking reports to the Company. The provision for contractual pricing allowances is recognized in the period the related sales are recognized and is reviewed at the end of each quarter and adjusted for changes in levels of products for which there is no tracking report. Additionally, if it becomes clear that tracking reports will not be provided by individual distributors, the provision is further adjusted. The estimated contractual allowance is included in Accounts payable in the Condensed Balance Sheets and deducted from Revenues in the Condensed Statements of Operations. Accounts payable included estimated contractual allowances for $3,714,002 and $3,586,726 as of September 30, 2020 and December 31, 2019, respectively. The terms and conditions of contractual pricing allowances are governed by contracts between the Company and its distributors. Revenue for shipments directly to end-users is recognized when title and risk of ownership pass from the Company. End-users do not receive any contractual allowances on their purchases. Any product shipped or distributed for evaluation purposes is expensed. The Company provides product warranties that: i) the products are fit for medical use as generally defined within the boundaries of United States FDA approval; ii) the products are not defective; and iii) the products will conform to the descriptions set forth in their respective labeling, provided that they are used in accordance with such labeling and the Company’s written directions for use. The Company has historically not incurred significant warranty claims. The Company’s domestic return policy provides that a customer may return incorrect shipments within 10 days following arrival at the distributor’s facility. In all such cases, the distributor must obtain an authorization code from the Company and affix the code to the returned product. The Company’s domestic return policy also generally provides that a customer may return product that is overstocked. Overstocking returns are limited to two times in each 12-month period up to 1% of distributor’s total purchase of products for the prior 12-month period. All product overstocks and returns are subject to inspection and acceptance by the Company. The Company’s international distribution agreements generally do not provide for any returns. The Company requires certain customers to pay in advance of product shipment. Such prepayments from customers are recorded in Other accrued liabilities and are generally recognized as revenue within 30 to 60 days of shipment of the product. The Company recognizes revenue from licensing agreements when collection of such amounts from third parties is reasonably assured. If the Company licenses its products for sale, the Company is obligated to pay Thomas J. Shaw, the owner of certain patented technology, a certain percentage of such revenue pursuant to the terms of the Technology License Agreement between the Company and Mr. Shaw. Disaggregated information of revenue recognized from contracts with customers and licensing fees recognized are as follows: For the three months ended September 30, 2020 Blood Total Collection EasyPoint ® Other Product Geographic Segment Syringes Products Needles Products Sales U.S. sales (excluding HHS Order) $ 8,241,161 $ 791,961 $ 3,581,723 $ 9,210 $ 12,624,055 HHS Order sales to U.S. Government 12,898,080 — — — 12,898,080 North and South America sales (excluding U.S.) 1,295,080 450 — — 1,295,530 Other international sales 198,440 73,019 235 1,705 273,399 Total $ 22,632,761 $ 865,430 $ 3,581,958 $ 10,915 $ 27,091,064 For the three months ended September 30, 2019: Blood Total Collection EasyPoint ® Other Product Geographic Segment Syringes Products Needles Products Sales U.S. sales $ 7,356,305 $ 462,096 $ 1,197,176 $ 23,631 $ 9,039,208 North and South America sales (excluding U.S.) 2,344,956 1,150 528 86,100 2,432,734 Other international sales 162,296 2,006 396 2,946 167,644 Total $ 9,863,557 $ 465,252 $ 1,198,100 $ 112,677 $ 11,639,586 For the nine months ended September 30, 2020: Blood Total Collection EasyPoint ® Other Product Geographic Segment Syringes Products Needles Products Sales U.S. sales (excluding HHS Order) $ 21,538,941 $ 1,607,804 $ 6,004,295 $ 52,065 $ 29,203,105 HHS Order sales to U.S. Government 14,065,623 — — — 14,065,623 North and South America sales (excluding U.S.) 4,911,106 8,450 1,496 1,064,768 5,985,820 Other international sales 529,430 76,609 235 6,304 612,578 Total $ 41,045,100 $ 1,692,863 $ 6,006,026 $ 1,123,137 $ 49,867,126 For the nine months ended September 30, 2019: Blood Total Collection EasyPoint ® Other Product Geographic Segment Syringes Products Needles Products Sales U.S. sales $ 19,150,535 $ 1,389,943 $ 2,439,139 $ 51,605 $ 23,031,222 North and South America sales (excluding U.S.) 4,867,104 5,313 1,044 87,025 4,960,486 Other international sales 622,945 374,498 543 178,256 1,176,242 Total $ 24,640,584 $ 1,769,754 $ 2,440,726 $ 316,886 $ 29,167,950 Income taxes The Company evaluates tax positions taken or expected to be taken in a tax return for recognition in the financial statements based on whether it is “more-likely-than-not” that a tax position will be sustained based upon the technical merits of the position. Measurement of the tax position is based upon the largest amount of benefit that is greater than 50% likely of being realized upon ultimate settlement. The Company provides for deferred income taxes through utilizing an asset and liability approach for financial accounting and reporting based on the tax effects of differences between the financial statement and tax bases of assets and liabilities, based on enacted rates expected to be in effect when such differences reverse in future periods. Deferred tax assets are periodically reviewed for realizability. In prior periods, the Company established a valuation allowance for its net deferred tax asset as future taxable income which could not be reasonably assured. During the quarter ended June 30, 2020, the Company released its valuation allowance based on available evidence supporting that its deferred tax assets will be realized in full. Earnings per share The Company computes basic earnings or loss per share (“EPS”) by dividing net earnings for the period (adjusted for any cumulative dividends for the period) by the weighted average number of common shares outstanding during the period. Diluted EPS includes the determinants of basic EPS and, in addition, reflects the dilutive effect, if any, of the common stock deliverable pursuant to stock options or common stock issuable upon the conversion of convertible preferred stock. The calculation of diluted EPS included 226,150 shares of Common Stock underlying issued and outstanding stock options for both the three and nine months ended September 30, 2020. Common Stock issuable upon the conversion of convertible preferred stock is excluded from the calculation of diluted EPS for the three months ended September 30, 2019 and for the nine months ended September 30, 2020 and 2019 as their effect was antidilutive for those periods. Common Stock issuable upon the conversion of convertible preferred stock is included in the calculation of diluted EPS for the three months ended September 30, 2020 as their effect was dilutive for the period. The potential dilution, if any, is shown on the following schedule: Three Months Ended Three Months Ended Nine Months Ended Nine Months Ended September 30, 2020 September 30, 2019 September 30, 2020 September 30, 2019 Net income $ 8,625,751 $ 1,024,434 $ 12,714,637 $ 1,286,965 Preferred stock dividend requirements (145,535) (175,456) (493,826) (527,162) Deemed contribution on extinguishment of preferred stock 2,525,848 — 2,519,124 — Income applicable to common shareholders $ 11,006,064 $ 848,978 $ 14,739,935 $ 759,803 Average common shares outstanding 33,371,471 32,674,954 32,947,241 32,671,648 Average common and common equivalent shares outstanding — assuming dilution 33,984,934 32,674,954 33,071,652 32,671,648 Basic earnings per share $ 0.33 $ 0.03 $ $ Diluted earnings per share $ 0.33 $ 0.03 $ $ The FASB Codification 260-10-S99-2, Effect on the Calculation of Earnings per Share for the Redemption or Induced Conversion of Preferred Stock , requires the gain or loss on extinguishment of equity-classified preferred stock to be included in the net income per common stockholder used to calculate earnings per share (similar to the treatment of dividends paid on preferred stock). The difference between (1) the fair value of the consideration transferred to the holders of the preferred stock and (2) the carrying amount of the preferred stock (net of issuance costs) is subtracted from (or added to) net income to arrive at income available to common stockholders in the calculation of earnings per share. The Company has determined to apply this guidance to its accounting treatment of the preferred stock transactions described in Note 12. Shipping and handling costs The Company classifies shipping and handling costs as part of Cost of sales in the Condensed Statements of Operations. Research and development costs Research and development costs are expensed as incurred. Leases The Company determines if an arrangement is a lease at inception. Operating and finance leases are included in Other assets, Other accrued liabilities, and Other long-term liabilities on the Condensed Balance Sheets. Right-of-use (“ROU”) assets represent the Company’s right to use an underlying asset for the lease term and lease liabilities represent the obligation to make lease payments arising from the lease. Operating lease ROU assets and liabilities are recognized at the commencement date based on the present value of lease payments over the lease term. As the Company’s leases do not provide an implicit rate, the incremental borrowing rate based on information available at the commencement date was used in determining the present value of lease payments. The operating lease ROU asset also includes any lease payments made and excludes lease incentives. Lease terms may include options to extend or terminate the lease when it is reasonably certain that the Company will exercise that option. Lease expense for lease payments is recognized on a straight-line basis over the lease term. Leases with an initial term of twelve months or less are not recorded on the Condensed Balance Sheets; however, rent expense is recognized on a straight-line basis over the lease term. Technology Investment Agreement (TIA) Effective July 1, 2020, the Company entered into a Technology Investment Agreement (“TIA”) with the United States Government Department of Defense, U.S. Army Contracting Command-Aberdeen Proving Ground, Natick Contracting Division & Edgewood Contracting Division (ACC-APG, NCD & ECD) on behalf of the Biomedical Advanced Research and Development Authority (BARDA) (“Government”) for $53,664,286 in Government funding for expanding the Company’s domestic production of needles and syringes. Pursuant to the terms of the TIA, the Company is expected to make significant additions to its facilities which should allow the Company to increase domestic production. As reimbursements are received from the Government for such expenditures, the Company records a deferred liability. The deferred liability will be systematically amortized as a gain over the life of the related property, plant, and equipment as to offset the related depreciation expense of the assets acquired. The amortization will be presented separately from the depreciation expense on the Condensed Statements of Operations. Recently Adopted Pronouncements The Company adopted ASU 2016-13, “Financial Instruments — Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments,” as well as subsequent clarifying amendments on January 1, 2020. Among other things, these amendments require the measurement of all expected credit losses for financial assets held at the reporting date based on historical experience, current conditions, and reasonable and supportable forecasts. Many of the loss estimation techniques applied previously will still be permitted, although the inputs to those techniques will change to reflect the full amount of expected credit losses. The adoption of ASU 2016-13, as well as the Targeted Transition Relief as provided by ASU 2019-05, “Financial Instruments – Credit Losses (Topic 326) – Targeted Transition Relief” did not have a significant impact on the Company’s financial statements. The Company adopted ASU 2018-15, “Intangibles—Goodwill and Other—Internal-Use Software (Subtopic 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That is a Service Contract (a Consensus of the FASB Emerging Issues Task Force)" on January 1, 2020. This amendment requires that implemented costs incurred in a hosting arrangement that is a service contract should be accounted for in accordance with ASC 350-40 Internal-Use Software. Accordingly, costs incurred during the preliminary project and post-implementation stages are expensed and costs associated with the application development phase are capitalized. The amendment also requires that capitalized costs be amortized over the term of the hosting arrangement and that capitalized costs should be evaluated for impairment. The adoption of this ASU did not have a significant impact on the Company's financial statements or disclosures. In August 2018, the FASB issued ASU 2018-13 "Fair Value Measurement (Topic 820): Disclosure Framework - Changes to the Disclosure Requirements for Fair Value Measurement." The amendment modifies, among other things, disclosure requirements on fair value measurements and eliminates certain disclosures related to transfers and valuation levels of Level 3 fair value measurements. Additionally, the amendment requires disclosure of changes in unrealized gains and losses in other comprehensive income for Level 3 fair value measurements and certain qualitative factors related to significant unobservable inputs used in Level 3 valuations. The amendment is effective for annual periods beginning after December 15, 2019 and interim periods within the annual period. The adoption of ASU 2018-13 did not have a significant effect on the Company's financial statements , as the Company does not currently have any investments classified as Level 3 fair value measurements. Recently Issued Pronouncements In December 2019, the FASB issued ASU 2019-12, “Income Taxes: Simplifying the Accounting for Income Taxes”. The new standard is intended to simplify the accounting for income taxes by eliminating certain exceptions related to the approach for intraperiod tax allocation, the methodology for calculating income taxes in an interim period and the recognition of deferred tax liabilities for outside basis differences. The new guidance also simplifies aspects of the accounting for franchise taxes and enacted changes in tax laws or rates and clarifies the accounting for transactions that result in a step-up in the tax basis of goodwill. The standard is effective for annual periods beginning after December 15, 2020 and interim periods within the annual period, with early adoption permitted. Adoption of the standard requires certain changes primarily be made prospectively, with some changes to be made retrospectively. The Company has determined that the adoption of ASU 2019-12 will not have a material impact on its financial statements. In March 2020, the FASB issued ASU No. 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting, to ease the potential burden in accounting for reference rate reform. The new guidance provides optional expedients for contracts that reference LIBOR, if certain criteria are met, that can be applied through December 31, 2022. As reference rate reform is still an ongoing process, the Company will continue to evaluate the timing and potential impact of adoption for optional expedients when deemed necessary.

INVENTORIES

INVENTORIES	9 Months Ended
INVENTORIES	Sep. 30, 2020
INVENTORIES
INVENTORIES	3. INVENTORIES Inventories consist of the following: September 30, 2020 December 31, 2019 Raw materials $ 1,604,051 $ 1,254,313 Finished goods 6,445,700 6,493,487 8,049,751 7,747,800 Inventory reserve (297,208) (297,208) $ 7,752,543 $ 7,450,592

FAIR VALUE OF FINANCIAL INSTRUM

FAIR VALUE OF FINANCIAL INSTRUMENTS	9 Months Ended
FAIR VALUE OF FINANCIAL INSTRUMENTS	Sep. 30, 2020
FAIR VALUE OF FINANCIAL INSTRUMENTS
FAIR VALUE OF FINANCIAL INSTRUMENTS	4. FAIR VALUE OF FINANCIAL INSTRUMENTS ASC 820, Fair Value Measurements, defines fair value, establishes a framework for measuring fair value and requires additional disclosures regarding certain fair value measurements. ASC 820 establishes a three-tier hierarchy for measuring fair value, as follows: · Level 1 – quoted market prices in active markets for identical assets and liabilities · Level 2 – inputs other than quoted prices that are directly or indirectly observable · Level 3 - unobservable inputs where there is little or no market activity The following tables summarize the values of assets designated as Investments in debt and equity securities: September 30, 2020 Level 1 Level 2 Level 3 Total Equity securities $ 2,723,410 $ — $ — $ 2,723,410 Mutual funds and exchange traded funds 3,902,118 — — 3,902,118 Certificates of deposit — 77,921 — 77,921 $ 6,625,528 $ 77,921 $ — $ 6,703,449 December 31, 2019 Level 1 Level 2 Level 3 Total Equity securities $ — $ — $ — $ — Mutual funds and exchange traded funds 6,708,746 — — 6,708,746 Certificates of deposit — 1,062,914 — 1,062,914 $ 6,708,746 $ 1,062,914 $ — $ 7,771,660 The Company holds high-grade ETFs, mutual funds, individual equity stocks (predominately in the energy sector), and debt securities as investments. These assets are readily marketable and are carried at fair value as of the date of the Condensed Balance Sheets. The Company intends to hold these assets for possible future operating requirements. The following table summarizes gross unrealized gains and losses from Investments in debt and equity securities: September 30, 2020 Gross Unrealized Aggregate Cost Gains Losses Fair Value Equity securities $ 2,068,405 $ 655,005 $ — $ 2,723,410 Mutual funds and exchange traded funds 3,871,186 30,932 — 3,902,118 Certificates of deposit 75,000 2,921 — 77,921 $ 6,014,591 $ 688,858 — $ 6,703,449 December 31, 2019 Gross Unrealized Aggregate Cost Gains Losses Fair Value Equity securities $ — $ — $ — $ — Mutual funds and exchange traded funds 6,592,345 116,401 — 6,708,746 Certificates of deposit 1,050,000 12,914 — 1,062,914 $ 7,642,345 $ 129,315 — $ 7,771,660 Unrealized gains (losses) on investments in debt and equity securities were $559,543 and $129,728 for the nine months ended September 30, 2020 and 2019, respectively.

INCOME TAXES

INCOME TAXES	9 Months Ended
INCOME TAXES	Sep. 30, 2020
INCOME TAXES
INCOME TAXES	5. INCOME TAXES The Company’s effective tax rate on the net income before income taxes was 15.63% and (1.2)% for the three and nine months ended September 30, 2020, respectively, and 0.4% and 0.6% for each of the three- and nine-month periods ended September 30, 2019. For the three and nine months ended September 30, 2020 and 2019, the Company's effective tax rate was determined based on the estimated annual effective income tax rate. The effective tax rate for the three and nine months ended September 30, 2020 was different from the federal statutory rate due primarily to the income tax benefit recorded in connection with the release of the valuation allowance on deferred tax assets.

OTHER ACCRUED LIABILITIES

OTHER ACCRUED LIABILITIES	9 Months Ended
OTHER ACCRUED LIABILITIES	Sep. 30, 2020
OTHER ACCRUED LIABILITIES
OTHER ACCRUED LIABILITIES	6. OTHER ACCRUED LIABILITIES Other accrued liabilities consist of the following: September 30, 2020 December 31, 2019 Prepayments from customers $ 1,387,491 $ 998,601 Accrued property taxes 351,000 — Accrued professional fees 202,979 263,757 Current portion — preferred stock repurchase 952,381 — Other accrued expenses 138,179 124,791 $ 3,032,030 $

OTHER LONG-TERM LIABILITIES

OTHER LONG-TERM LIABILITIES	9 Months Ended
OTHER LONG-TERM LIABILITIES	Sep. 30, 2020
OTHER LONG-TERM LIABILITIES
OTHER LONG-TERM LIABILITIES	7. OTHER LONG-TERM LIABILITIES Other long-term liabilities consist of the following: September 30, 2020 December 31, 2019 Long-term deferred liability - TIA $ 8,762,294 $ — Long-term deferred liability - preferred stock repurchase 1,770,867 — $ 10,533,161 $ —

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	9 Months Ended
COMMITMENTS AND CONTINGENCIES	Sep. 30, 2020
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES	8. COMMITMENTS AND CONTINGENCIES On November 7, 2019, the Company filed a lawsuit in the 44 th District Court of Dallas County, Texas (No. DC-19-17946) against Locke Lord, LLP and Roy Hardin in connection with their legal representation of the Company in its previous litigation against Becton, Dickinson and Company ("BD"). The Company alleges that the defendants breached their fiduciary duties, committed malpractice, and were negligent in their representation of the Company. The Company seeks actual and exemplary damages, disgorgement, costs, and interest. On October 6, 2020, the Court dismissed Defendants’ motion to dismiss, which order was appealed by the Defendants on October 9, 2020 to the Court of Appeals, Fifth District of Texas at Dallas.

BUSINESS SEGMENT

BUSINESS SEGMENT	9 Months Ended
BUSINESS SEGMENT	Sep. 30, 2020
BUSINESS SEGMENT
BUSINESS SEGMENT	9. BUSINESS SEGMENT The Company does not operate in separate reportable segments. Shipments to international customers generally require a prepayment either by wire transfer or an irrevocable confirmed letter of credit. The Company does extend credit to international customers on some occasions depending upon certain criteria, including, but not limited to, the credit worthiness of the customer, the stability of the country, banking restrictions, and the size of the order. All transactions are in U.S. currency. Revenues by geography are as follows: Three Months Ended Three Months Ended Nine Months Ended Nine Months Ended September 30, 2020 September 30, 2019 September 30, 2020 September 30, 2019 U.S. sales (excluding HHS Order) $ 12,624,055 $ 9,039,208 $ 29,203,105 $ 23,031,222 HHS Order sales to U.S. Government 12,898,080 — 14,065,623 — North and South America sales (excluding U.S.) 1,295,530 2,432,734 5,985,820 4,960,486 Other international sales 273,399 167,644 612,578 1,176,242 Total sales $ 27,091,064 $ 11,639,586 $ 49,867,126 $ 29,167,950 Long-lived assets by geography are as follows: September 30, 2020 December 31, 2019 Long-lived assets U.S. $ 19,413,966 $ 10,542,688 International 71,276 89,369 Total $ 19,485,242 $ 10,632,057

DIVIDENDS

DIVIDENDS	9 Months Ended
DIVIDENDS	Sep. 30, 2020
DIVIDENDS
DIVIDENDS	10. The Board declared and the Company paid dividends to Series I and Series II Class B Preferred Shareholders in the following amounts: $12,313 and $42,800, respectively, on January 18, 2019 and April 22, 2019. The Board declared and the Company paid dividends to Series I and Series II Class B Preferred Shareholders in the following amounts: $12,000 and $42,800, respectively, on July 19, 2019, October 21, 2019, January 22, 2020, April 20, 2020, and July 20, 2020. The Board declared and the Company paid dividends on October 22, 2020 to Series I and Series II Class B Preferred Shareholders in the following amounts: $12,000 and $40,242. In the third quarter of 2020, a shareholder converted 15,000 shares of Series II Class B Preferred Stock into the same number of shares of Common Stock.

LEASES

LEASES	9 Months Ended
LEASES	Sep. 30, 2020
LEASES
LEASES	11. LEASES The Company has operating leases for a corporate office and warehouse space. The leases have a remaining lease term of less than one year. The Company currently has no finance leases. The right-of-use (" ROU") asset is determined based on the lease liability adjusted for lease incentives received. Lease expense is recognized on a straight-line basis over the lease term. The leases may include various expenses incidental to the use of the property, such as common area maintenance, property taxes and insurance. These costs are separate from the minimum rent payment and are not considered in the determination of the lease liability and ROU asset. The Company has not noted any material instances in its leases where these costs were combined with the minimum rent payment and has therefore elected the policy to not separate lease from non-lease components if they are combined with the minimum rent payment. The option periods are not included in the determination of the lease liability and right-of-use asset as the Company is not reasonably certain if it will extend at the time of lease commencement. The operating lease cost component of the lease expense was $69,689 for the nine-month period ended September 30, 2020. The cash paid for amounts included in the measurement of lease liabilities as a component of cash flows related to leases was $69,689 for the nine months ended September 30, 2020. The operating lease cost component of the lease expense was $60,175 for the nine months ended September 30, 2019. The cash paid for amounts included in the measurement of lease liabilities as a component of cash flows related to leases was $60,175 for the nine months ended September 30, 2019. Assets and liabilities associated with these leases included in the Condensed Balance Sheets are as follows: September 30, 2020 December 31, 2019 OPERATING LEASES Other assets $ 72,515 $ 82,359 Other accrued liabilities $ 72,515 $ 82,359 Other long-term liabilities — — Total operating lease liabilities $ 72,515 $ 82,359 The weighted average remaining lease term is 9.4 months and the weighted average discount rate is 3.82%. Future minimum payments under non-cancelable operating leases and financing leases consist of the following at September 30, 2020: Year ending December 31, 2020 $ 73,709 Less imputed interest (1,194) Total $ 72,515

EXCHANGE OF COMMON STOCK FOR PR

EXCHANGE OF COMMON STOCK FOR PREFERRED STOCK	9 Months Ended
EXCHANGE OF COMMON STOCK FOR PREFERRED STOCK	Sep. 30, 2020
EXCHANGE OF COMMON STOCK FOR PREFERRED STOCK
EXCHANGE OF COMMON STOCK FOR PREFERRED STOCK	12. EXCHANGE OF COMMON STOCK FOR PREFERRED STOCK Effective January 13, 2020, the Company purchased outstanding Class B Convertible Preferred Stock (the "Preferred Stock") from preferred shareholders for cash and Common Stock. Such preferred stockholders tendered to the Company a total of 2,500 shares of Series III Preferred Stock and 5,000 shares of Series IV Preferred Stock. A total of $75,000 and 7,500 shares of Common Stock were issued as consideration therefor. In accordance with the terms of the agreements, the preferred stockholders agreed to waive all unpaid dividends in arrears associated with their Preferred Stock, which resulted in a waiver of a total of $149,795 in unpaid dividends in arrears. Effective May 18, 2020, the Company purchased 2,500 shares of Series IV Preferred Stock from one shareholder for $25,000 and 2,500 shares of Common Stock. Such preferred stockholder agreed to waive all unpaid dividends in arrears associated with its Preferred Stock, which resulted in a waiver of a total of $50,370 in unpaid dividends in arrears. On September 30, 2020, the Company purchased 300,000 shares of Series IV Preferred Stock from a shareholder for $3,000,000 in cash, with a net present value of $2,723,248, to be paid over a three-year period beginning February 2021 and 600,000 shares of Common Stock. Such preferred stockholder agreed to waive all unpaid dividends in arrears associated with its Preferred Stock, which resulted in a waiver of a total of $6,091,233 in unpaid dividends in arrears.

STOCK OPTIONS

STOCK OPTIONS	9 Months Ended
STOCK OPTIONS	Sep. 30, 2020
STOCK OPTIONS
STOCK OPTIONS	13. STOCK OPTIONS Stock options were exercised by the Company’s employees and directors at various dates during the quarter ended September 30, 2020, and, consequently, a total of 121,800 shares of Common Stock were issued for an aggregate payment to the Company of $224,325 to exercise such options. For the nine months ended September 30, 2020, as a result of exercised stock options, a total of 406,650 shares of Common Stock were issued for an aggregate payment to the Company of $851,012.

COVID-19

COVID-19	9 Months Ended
COVID-19	Sep. 30, 2020
COVID-19
COVID-19	14. COVID-19 To date, the Company's manufacturing facility in Little Elm, Texas has continued to operate due to its status as an essential business. As a result of the COVID-19 pandemic, the Company has implemented certain safety precautions at its facility to reduce the risk of the potential spread of the novel coronavirus. The Company has implemented arrangements to reduce the number of office staff employees working on-site at the production facility, as well as instituting personal distancing policies and monitoring of essential production staff to minimize the risk of infection. The Company continues to monitor the evolving situation and will work to further mitigate risks to staff and to customers. The Company is continuing to evaluate the ever-changing circumstances surrounding this pandemic as it relates to its ability to continue to source materials and products, maintain a workforce, and operate its business effectively and efficiently. Despite the global disruption of the coronavirus pandemic, the Company has not experienced a significant disruption to its supply chain. During 2020, the Company has experienced an increase in demand for its products and has been able to meet such demand with increased volumes despite the pandemic. The Company is unable to predict with certainty its ability to maintain its current operational functionality.

PAYCHECK PROTECTION PROGRAM LOA

PAYCHECK PROTECTION PROGRAM LOAN	9 Months Ended
PAYCHECK PROTECTION PROGRAM LOAN	Sep. 30, 2020
PAYCHECK PROTECTION PROGRAM LOAN
PAYCHECK PROTECTION PROGRAM LOAN	15. PAYCHECK PROTECTION PROGRAM LOAN On April 17, 2020, the Company entered into a promissory note in the principal amount of $1,363,000 (the “PPP Loan”) in favor of Independent Bank (the “Lender”) pursuant to the Paycheck Protection Program (the “PPP”) of the Coronavirus Aid, Relief, and Economic Security Act (the “CARES Act”), administered by the U.S. Small Business Administration (“SBA”). The PPP Loan matures on April 17, 2022 and bears interest at a rate of 1.0% per annum. Commencing November 17, 2020, the Company is required to pay the Lender equal monthly payments of principal and interest as necessary to fully amortize the principal amount outstanding by the maturity date. The PPP Loan may be prepaid by the Company at any time prior to maturity with no prepayment penalties. The PPP Loan is unsecured and is a non-recourse obligation. PPP loan recipients can apply for and be granted forgiveness for all or a portion of the loan granted under the PPP, with such forgiveness to be determined, subject to limitations, based on the use of the loan proceeds for payment of payroll costs, rent, utilities, and interest on debt. The terms of any forgiveness may also be subject to further requirements in any regulations and guidelines the SBA may adopt. As of September 30, 2020, the Company believes it has incurred qualifying expenses equal to or greater than the principal amount of the PPP Loan; however, the Company is not able to determine the amount, if any, that might be forgiven. On June 5, 2020, the PPP Flexibility Act was signed into law which, among other things, (i) extended the covered period from 8 weeks after the date of PPP funding to 24 weeks after the date of PPP funding, (ii) reduced the required amount of payroll expenditures from 75% to 60%, (iii) removed the prior ban on borrowers taking advantage of payroll tax deferral after loan forgiveness and (iv) extended the repayment deferral period to be the earlier of (a) the date forgiveness funds are received or (b) ten months from the end of the covered period. The Company is evaluating the impact of these changes on the PPP Loan, including the payment date and the amounts available for forgiveness. Assuming the PPP Loan is not forgiven, the Company’s obligations thereunder are as follows as of September 30, 2020 for years ending December 31: 2020 $ 151,244 2021 912,826 2022 298,930 $ 1,363,000

TECHNOLOGY INVESTMENT AGREEMENT

TECHNOLOGY INVESTMENT AGREEMENT	9 Months Ended
TECHNOLOGY INVESTMENT AGREEMENT	Sep. 30, 2020
TECHNOLOGY INVESTMENT AGREEMENT
TECHNOLOGY INVESTMENT AGREEMENT	16. TECHNOLOGY INVESTMENT AGREEMENT Effective July 1, 2020, the Company entered into the TIA with the Government. The principle purpose of the TIA is to fund the expansion of the Company’s manufacturing capacity for hypodermic safety needles and corresponding syringes in response to the worldwide COVID-19 global pandemic. The Government award is an expenditure-type TIA, whereby the Government will make payments to the Company for the Company’s expenditures for equipment and supplies in carrying out the expansion of the Company’s domestic production. The Company’s contributions under the terms of the TIA to enhance domestic capacity of pandemic-essential technology include providing facilities, technical expertise, labor, and maintenance of the TIA-funded equipment for a ten-year term. As of early November 2020, the Company has negotiated contracts for the purchase of automated assembly equipment, molds, and molding equipment, as well as portions of auxiliary equipment, for approximately $38 million. The Company has engaged architects and general construction contractors for the completion of new controlled environment facilities and additional warehousing facilities. The expanded facilities consist of approximately 27,800 square feet of additional controlled environment within existing properties and new construction of approximately 55,000 square feet of new warehouse space in conjunction with the overall production capacity expansion. The estimated cost of the controlled environment within existing properties is $6 million, and construction of the new warehouse is estimated to be $5.8 million. The cost of the controlled environment will be funded by the Government under the TIA, while the cost of the new warehouse will be funded by the Company. Building permits were obtained for both buildings in October 2020. The scheduled completion dates for the construction are within the second quarter of 2021.

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS	9 Months Ended
SUBSEQUENT EVENTS	Sep. 30, 2020
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS	17. SUBSEQUENT EVENTS In October 2020, the Company purchased a total of 30,000 shares of Series IV Preferred Stock and 25,000 shares of Series V Preferred Stock from six shareholders in exchange for a total of $400,000 (of which $303,330 is to be paid over a three-year period beginning February 2021) and 110,000 shares of Common Stock. Such preferred shareholders agreed to waive all unpaid dividends in arrears associated with its Preferred Stock, which resulted in a waiver of a total of $757,759 in unpaid dividends in arrears.

SUMMARY OF SIGNIFICANT ACCOUN_2

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	9 Months Ended
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	Sep. 30, 2020
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Accounting estimates	Accounting estimates The preparation of financial statements in conformity with U.S. generally accepted accounting principles (“GAAP”) requires Management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ significantly from those estimates.
Cash and cash equivalents	Cash and cash equivalents For purposes of reporting cash flows, cash and cash equivalents include cash, money market accounts, and investments with original maturities of three months or less.
Accounts receivable	Accounts receivable The Company records trade receivables when revenue is recognized. No product has been consigned to customers. The Company’s allowance for doubtful accounts is primarily determined by review of specific trade receivables. Those accounts that are doubtful of collection are included in the allowance. This provision is reviewed to determine the adequacy of the allowance for doubtful accounts. Trade receivables are charged off when there is certainty as to their being uncollectible. Trade receivables are considered delinquent when payment has not been made within contract terms. The Allowance for bad debt was $271 thousand and $147 thousand as of September 30, 2020 and December 31, 2019, respectively. The Company requires certain customers to make a prepayment prior to beginning production or shipment of their order. Customers may apply such prepayments to their outstanding invoices or pay the invoice and continue to carry forward the deposit for future orders. Such amounts are included in Other accrued liabilities on the Condensed Balance Sheets and are shown in Note 6, Other Accrued Liabilities. The Company records an allowance for estimated returns as a reduction to Accounts receivable and Gross sales. Historically, returns have been insignificant.
Inventories	Inventories Inventories are valued at the lower of cost or net realizable value, with cost being determined using actual average cost. The Company compares the average cost to the net realizable value and records the lower value. Net realizable value is the estimated selling price in the ordinary course of business, less reasonably predictable costs of completion, disposal, and transportation. Management considers such factors as the amount of inventory on hand and in the distribution channel, estimated time to sell such inventory, the shelf life of inventory, and current market conditions when determining excess or obsolete inventories. A reserve is established for any excess or obsolete inventories or they may be written off.
Investments in debt and equity securities	Investments in debt and equity securities The Company holds high-grade exchange-traded and closed-end funds (ETFs), mutual funds, equity securities, and debt securities as investments. These assets are readily marketable and are carried at fair value as of the date of the Condensed Balance Sheets. Net unrealized and realized gains or losses on investments in debt and equity securities are reflected as a component of Interest and other income. Realized gains or losses on investments in debt and equity securities are recognized using the specific identification method.
Property, plant, and equipment	Property, plant, and equipment Property, plant, and equipment are stated at cost. Expenditures for maintenance and repairs are charged to operations as incurred. Cost includes major expenditures for improvements and replacements which extend useful lives or increase capacity and interest cost associated with significant capital additions. Gains or losses from disposals are included in operations. The Company's property, plant, and equipment primarily consist of buildings, land, assembly equipment, molding machines, molds, office equipment, furniture, and fixtures. Depreciation and amortization are calculated using the straight-line method over the following useful lives: Production equipment 3 to 13 years Office furniture and equipment 3 to 10 years Buildings 39 years Building improvements 15 years
Long-lived assets	Long-lived assets The Company assesses the recoverability of long-lived assets using an assessment of the estimated undiscounted future cash flows related to such assets. In the event that assets are found to be carried at amounts which are in excess of estimated gross future cash flows, the assets will be adjusted for impairment to a level commensurate with fair value determined using a discounted cash flow analysis or appraised values of the underlying assets.
Fair value measurements	Fair value measurements For assets and liabilities that are measured using quoted prices in active markets, total fair value is the published market price per unit multiplied by the number of units held without consideration of transaction costs. Assets and liabilities that are measured using significant other observable inputs are valued by reference to similar assets or liabilities, adjusted for contract restrictions and other terms specific to that asset or liability. For these items, a significant portion of fair value is derived by reference to quoted prices of similar assets or liabilities in active markets. For all remaining assets and liabilities, fair value is derived using a fair value model, such as a discounted cash flow model or Black-Scholes model.
Financial instruments	Financial instruments The Company estimates the fair value of financial instruments through the use of public market prices, quotes from financial institutions, and other available information. Judgment is required in interpreting data to develop estimates of fair value and, accordingly, amounts are not necessarily indicative of the amounts that could be realized in a current market exchange. Short-term financial instruments, including cash and cash equivalents, accounts receivable, accounts payable, and other liabilities, consist primarily of instruments without extended maturities, the fair value of which, based on Management's estimates, equals their recorded values. Investments in equity securities consist primarily of individual equity securities, exchange-traded and closed-end funds, and mutual funds and are reported at their fair value based upon quoted prices in active markets. Investments in U.S. Treasury Notes are reported at their fair value based upon quoted prices in active markets. Investments in certificates of deposit (CD) with original maturities of greater than three months are reported at their estimated fair value based upon the duration of the CD and the interest rate earned on the CD versus current interest rates of similar duration CDs. The fair value of long-term liabilities, based on Management’s estimates, approximates their reported values.
Concentration risks	Concentration risks The Company’s financial instruments exposed to concentrations of credit risk consist primarily of cash, cash equivalents, certificates of deposit, U.S. Treasury Notes, exchange-traded and closed-end funds, mutual funds, equity securities, and accounts receivable. Cash balances, some of which exceed federally insured limits, are maintained in financial institutions; however, Management believes the institutions are of high credit quality. The Company assesses market risk in debt and equity securities through consultation with its outside investment advisors. Management is responsible for directing investment activity based on current economic conditions. The majority of accounts receivable are due from companies which are well-established entities. In the third quarter of 2020, a significant portion of the Company’s sales were to the U.S. government, which Management does not consider a credit risk. As a consequence, Management considers any exposure from concentrations of credit risks to be limited. The following table reflects significant customers for the three- and nine-month periods ending September 30,2020 and 2019, respectively: Three Months ended Three Months ended Nine Months ended Nine Months ended September 30, 2020 September 30, 2019 September 30, 2020 September 30, 2019 Number of significant customers 2 3 2 3 Aggregate dollar amount of net sales to significant customers $ 16.4 million $ 5.0 million $ 21.7 million $ 12.6 million Percentage of net sales to significant customers 60.6 % 43.2 % 43.6 % 43.3 % In the third quarter of 2020, approximately $12.9 million of the Company's sales were to the Department of Health and Human Services of the United States in partial fulfillment of a recent $83.8 million delivery order to supply automated retraction safety syringes (the “HHS Order”). Management expects the U.S. government to remain a significant customer through the remainder of 2020, and sales under the HHS Order to increase quarterly through May 2021. The Company manufactures some of its products in Little Elm, Texas as well as utilizing manufacturers in China. The Company obtained roughly 82.2% and 82.1% of its products in the first nine months of 2020 and 2019, respectively, from its Chinese manufacturers. Purchases from Chinese manufacturers aggregated 80.5% and 84.2% of products in the three-month periods ended September 30, 2020 and 2019, respectively. In the event that the Company becomes unable to purchase products from its Chinese manufacturers, the Company would need to find an alternate manufacturer for its blood collection set, IV catheter, Patient Safe ® syringe, 0.5mL insulin syringe, 0.5mL autodisable syringe, and 2mL, 5mL, and 10mL syringes, and would increase domestic production for the 1mL and 3mL syringes and EasyPoint ® needles. Regardless of vendor availability, the Company expects to increase its domestic syringe production capacity at its facilities pursuant to the plans outlined in the TIA as hereinafter defined.
Revenue recognition	Revenue recognition The Company recognizes revenue when it has satisfied all performance obligations to the customer, generally when title and risk of loss pass to the customer. Payments from customers with approved credit terms are typically due 30 days from the invoice date. Under certain contracts, revenue is recorded on the basis of sales price to distributors, less contractual pricing allowances. Contractual pricing allowances consist of: (i) rebates granted to distributors who provide tracking reports which show, among other things, the facility that purchased the products, and (ii) a provision for estimated contractual pricing allowances for products for which the Company has not received tracking reports. Rebates are recorded when issued and are applied against the customer’s receivable balance. Distributors receive a rebate for the difference between the Wholesale Acquisition Cost and the appropriate contract price as reflected on a tracking report provided by the distributor to the Company. If product is sold by a distributor to an entity that has no contract, there is a standard rebate (lower than a contracted rebate) given to the distributor. One of the purposes of the rebate is to encourage distributors to submit tracking reports to the Company. The provision for contractual pricing allowances is recognized in the period the related sales are recognized and is reviewed at the end of each quarter and adjusted for changes in levels of products for which there is no tracking report. Additionally, if it becomes clear that tracking reports will not be provided by individual distributors, the provision is further adjusted. The estimated contractual allowance is included in Accounts payable in the Condensed Balance Sheets and deducted from Revenues in the Condensed Statements of Operations. Accounts payable included estimated contractual allowances for $3,714,002 and $3,586,726 as of September 30, 2020 and December 31, 2019, respectively. The terms and conditions of contractual pricing allowances are governed by contracts between the Company and its distributors. Revenue for shipments directly to end-users is recognized when title and risk of ownership pass from the Company. End-users do not receive any contractual allowances on their purchases. Any product shipped or distributed for evaluation purposes is expensed. The Company provides product warranties that: i) the products are fit for medical use as generally defined within the boundaries of United States FDA approval; ii) the products are not defective; and iii) the products will conform to the descriptions set forth in their respective labeling, provided that they are used in accordance with such labeling and the Company’s written directions for use. The Company has historically not incurred significant warranty claims. The Company’s domestic return policy provides that a customer may return incorrect shipments within 10 days following arrival at the distributor’s facility. In all such cases, the distributor must obtain an authorization code from the Company and affix the code to the returned product. The Company’s domestic return policy also generally provides that a customer may return product that is overstocked. Overstocking returns are limited to two times in each 12-month period up to 1% of distributor’s total purchase of products for the prior 12-month period. All product overstocks and returns are subject to inspection and acceptance by the Company. The Company’s international distribution agreements generally do not provide for any returns. The Company requires certain customers to pay in advance of product shipment. Such prepayments from customers are recorded in Other accrued liabilities and are generally recognized as revenue within 30 to 60 days of shipment of the product. The Company recognizes revenue from licensing agreements when collection of such amounts from third parties is reasonably assured. If the Company licenses its products for sale, the Company is obligated to pay Thomas J. Shaw, the owner of certain patented technology, a certain percentage of such revenue pursuant to the terms of the Technology License Agreement between the Company and Mr. Shaw. Disaggregated information of revenue recognized from contracts with customers and licensing fees recognized are as follows: For the three months ended September 30, 2020 Blood Total Collection EasyPoint ® Other Product Geographic Segment Syringes Products Needles Products Sales U.S. sales (excluding HHS Order) $ 8,241,161 $ 791,961 $ 3,581,723 $ 9,210 $ 12,624,055 HHS Order sales to U.S. Government 12,898,080 — — — 12,898,080 North and South America sales (excluding U.S.) 1,295,080 450 — — 1,295,530 Other international sales 198,440 73,019 235 1,705 273,399 Total $ 22,632,761 $ 865,430 $ 3,581,958 $ 10,915 $ 27,091,064 For the three months ended September 30, 2019: Blood Total Collection EasyPoint ® Other Product Geographic Segment Syringes Products Needles Products Sales U.S. sales $ 7,356,305 $ 462,096 $ 1,197,176 $ 23,631 $ 9,039,208 North and South America sales (excluding U.S.) 2,344,956 1,150 528 86,100 2,432,734 Other international sales 162,296 2,006 396 2,946 167,644 Total $ 9,863,557 $ 465,252 $ 1,198,100 $ 112,677 $ 11,639,586 For the nine months ended September 30, 2020: Blood Total Collection EasyPoint ® Other Product Geographic Segment Syringes Products Needles Products Sales U.S. sales (excluding HHS Order) $ 21,538,941 $ 1,607,804 $ 6,004,295 $ 52,065 $ 29,203,105 HHS Order sales to U.S. Government 14,065,623 — — — 14,065,623 North and South America sales (excluding U.S.) 4,911,106 8,450 1,496 1,064,768 5,985,820 Other international sales 529,430 76,609 235 6,304 612,578 Total $ 41,045,100 $ 1,692,863 $ 6,006,026 $ 1,123,137 $ 49,867,126 For the nine months ended September 30, 2019: Blood Total Collection EasyPoint ® Other Product Geographic Segment Syringes Products Needles Products Sales U.S. sales $ 19,150,535 $ 1,389,943 $ 2,439,139 $ 51,605 $ 23,031,222 North and South America sales (excluding U.S.) 4,867,104 5,313 1,044 87,025 4,960,486 Other international sales 622,945 374,498 543 178,256 1,176,242 Total $ 24,640,584 $ 1,769,754 $ 2,440,726 $ 316,886 $ 29,167,950
Income taxes	Income taxes The Company evaluates tax positions taken or expected to be taken in a tax return for recognition in the financial statements based on whether it is “more-likely-than-not” that a tax position will be sustained based upon the technical merits of the position. Measurement of the tax position is based upon the largest amount of benefit that is greater than 50% likely of being realized upon ultimate settlement. The Company provides for deferred income taxes through utilizing an asset and liability approach for financial accounting and reporting based on the tax effects of differences between the financial statement and tax bases of assets and liabilities, based on enacted rates expected to be in effect when such differences reverse in future periods. Deferred tax assets are periodically reviewed for realizability. In prior periods, the Company established a valuation allowance for its net deferred tax asset as future taxable income which could not be reasonably assured. During the quarter ended June 30, 2020, the Company released its valuation allowance based on available evidence supporting that its deferred tax assets will be realized in full.
Earnings per share	Earnings per share The Company computes basic earnings or loss per share (“EPS”) by dividing net earnings for the period (adjusted for any cumulative dividends for the period) by the weighted average number of common shares outstanding during the period. Diluted EPS includes the determinants of basic EPS and, in addition, reflects the dilutive effect, if any, of the common stock deliverable pursuant to stock options or common stock issuable upon the conversion of convertible preferred stock. The calculation of diluted EPS included 226,150 shares of Common Stock underlying issued and outstanding stock options for both the three and nine months ended September 30, 2020. Common Stock issuable upon the conversion of convertible preferred stock is excluded from the calculation of diluted EPS for the three months ended September 30, 2019 and for the nine months ended September 30, 2020 and 2019 as their effect was antidilutive for those periods. Common Stock issuable upon the conversion of convertible preferred stock is included in the calculation of diluted EPS for the three months ended September 30, 2020 as their effect was dilutive for the period. The potential dilution, if any, is shown on the following schedule: Three Months Ended Three Months Ended Nine Months Ended Nine Months Ended September 30, 2020 September 30, 2019 September 30, 2020 September 30, 2019 Net income $ 8,625,751 $ 1,024,434 $ 12,714,637 $ 1,286,965 Preferred stock dividend requirements (145,535) (175,456) (493,826) (527,162) Deemed contribution on extinguishment of preferred stock 2,525,848 — 2,519,124 — Income applicable to common shareholders $ 11,006,064 $ 848,978 $ 14,739,935 $ 759,803 Average common shares outstanding 33,371,471 32,674,954 32,947,241 32,671,648 Average common and common equivalent shares outstanding — assuming dilution 33,984,934 32,674,954 33,071,652 32,671,648 Basic earnings per share $ 0.33 $ 0.03 $ $ Diluted earnings per share $ 0.33 $ 0.03 $ $ The FASB Codification 260-10-S99-2, Effect on the Calculation of Earnings per Share for the Redemption or Induced Conversion of Preferred Stock , requires the gain or loss on extinguishment of equity-classified preferred stock to be included in the net income per common stockholder used to calculate earnings per share (similar to the treatment of dividends paid on preferred stock). The difference between (1) the fair value of the consideration transferred to the holders of the preferred stock and (2) the carrying amount of the preferred stock (net of issuance costs) is subtracted from (or added to) net income to arrive at income available to common stockholders in the calculation of earnings per share. The Company has determined to apply this guidance to its accounting treatment of the preferred stock transactions described in Note 12.
Shipping and handling costs	Shipping and handling costs The Company classifies shipping and handling costs as part of Cost of sales in the Condensed Statements of Operations.
Research and development costs	Research and development costs Research and development costs are expensed as incurred.
Leases	Leases The Company determines if an arrangement is a lease at inception. Operating and finance leases are included in Other assets, Other accrued liabilities, and Other long-term liabilities on the Condensed Balance Sheets. Right-of-use (“ROU”) assets represent the Company’s right to use an underlying asset for the lease term and lease liabilities represent the obligation to make lease payments arising from the lease. Operating lease ROU assets and liabilities are recognized at the commencement date based on the present value of lease payments over the lease term. As the Company’s leases do not provide an implicit rate, the incremental borrowing rate based on information available at the commencement date was used in determining the present value of lease payments. The operating lease ROU asset also includes any lease payments made and excludes lease incentives. Lease terms may include options to extend or terminate the lease when it is reasonably certain that the Company will exercise that option. Lease expense for lease payments is recognized on a straight-line basis over the lease term. Leases with an initial term of twelve months or less are not recorded on the Condensed Balance Sheets; however, rent expense is recognized on a straight-line basis over the lease term.
Technology Investment Agreement (TIA)	Technology Investment Agreement (TIA) Effective July 1, 2020, the Company entered into a Technology Investment Agreement (“TIA”) with the United States Government Department of Defense, U.S. Army Contracting Command-Aberdeen Proving Ground, Natick Contracting Division & Edgewood Contracting Division (ACC-APG, NCD & ECD) on behalf of the Biomedical Advanced Research and Development Authority (BARDA) (“Government”) for $53,664,286 in Government funding for expanding the Company’s domestic production of needles and syringes. Pursuant to the terms of the TIA, the Company is expected to make significant additions to its facilities which should allow the Company to increase domestic production. As reimbursements are received from the Government for such expenditures, the Company records a deferred liability. The deferred liability will be systematically amortized as a gain over the life of the related property, plant, and equipment as to offset the related depreciation expense of the assets acquired. The amortization will be presented separately from the depreciation expense on the Condensed Statements of Operations.
Recently Adopted Pronouncements and Recently Issued Pronouncements	Recently Adopted Pronouncements The Company adopted ASU 2016-13, “Financial Instruments — Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments,” as well as subsequent clarifying amendments on January 1, 2020. Among other things, these amendments require the measurement of all expected credit losses for financial assets held at the reporting date based on historical experience, current conditions, and reasonable and supportable forecasts. Many of the loss estimation techniques applied previously will still be permitted, although the inputs to those techniques will change to reflect the full amount of expected credit losses. The adoption of ASU 2016-13, as well as the Targeted Transition Relief as provided by ASU 2019-05, “Financial Instruments – Credit Losses (Topic 326) – Targeted Transition Relief” did not have a significant impact on the Company’s financial statements. The Company adopted ASU 2018-15, “Intangibles—Goodwill and Other—Internal-Use Software (Subtopic 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That is a Service Contract (a Consensus of the FASB Emerging Issues Task Force)" on January 1, 2020. This amendment requires that implemented costs incurred in a hosting arrangement that is a service contract should be accounted for in accordance with ASC 350-40 Internal-Use Software. Accordingly, costs incurred during the preliminary project and post-implementation stages are expensed and costs associated with the application development phase are capitalized. The amendment also requires that capitalized costs be amortized over the term of the hosting arrangement and that capitalized costs should be evaluated for impairment. The adoption of this ASU did not have a significant impact on the Company's financial statements or disclosures. In August 2018, the FASB issued ASU 2018-13 "Fair Value Measurement (Topic 820): Disclosure Framework - Changes to the Disclosure Requirements for Fair Value Measurement." The amendment modifies, among other things, disclosure requirements on fair value measurements and eliminates certain disclosures related to transfers and valuation levels of Level 3 fair value measurements. Additionally, the amendment requires disclosure of changes in unrealized gains and losses in other comprehensive income for Level 3 fair value measurements and certain qualitative factors related to significant unobservable inputs used in Level 3 valuations. The amendment is effective for annual periods beginning after December 15, 2019 and interim periods within the annual period. The adoption of ASU 2018-13 did not have a significant effect on the Company's financial statements , as the Company does not currently have any investments classified as Level 3 fair value measurements. Recently Issued Pronouncements In December 2019, the FASB issued ASU 2019-12, “Income Taxes: Simplifying the Accounting for Income Taxes”. The new standard is intended to simplify the accounting for income taxes by eliminating certain exceptions related to the approach for intraperiod tax allocation, the methodology for calculating income taxes in an interim period and the recognition of deferred tax liabilities for outside basis differences. The new guidance also simplifies aspects of the accounting for franchise taxes and enacted changes in tax laws or rates and clarifies the accounting for transactions that result in a step-up in the tax basis of goodwill. The standard is effective for annual periods beginning after December 15, 2020 and interim periods within the annual period, with early adoption permitted. Adoption of the standard requires certain changes primarily be made prospectively, with some changes to be made retrospectively. The Company has determined that the adoption of ASU 2019-12 will not have a material impact on its financial statements. In March 2020, the FASB issued ASU No. 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting, to ease the potential burden in accounting for reference rate reform. The new guidance provides optional expedients for contracts that reference LIBOR, if certain criteria are met, that can be applied through December 31, 2022. As reference rate reform is still an ongoing process, the Company will continue to evaluate the timing and potential impact of adoption for optional expedients when deemed necessary.

SUMMARY OF SIGNIFICANT ACCOUN_3

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)	9 Months Ended
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)	Sep. 30, 2020
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Schedule of estimated useful lives of property, plant and equipment	Production equipment 3 to 13 years Office furniture and equipment 3 to 10 years Buildings 39 years Building improvements 15 years
Schedule of significant customers	Three Months ended Three Months ended Nine Months ended Nine Months ended September 30, 2020 September 30, 2019 September 30, 2020 September 30, 2019 Number of significant customers 2 3 2 3 Aggregate dollar amount of net sales to significant customers $ 16.4 million $ 5.0 million $ 21.7 million $ 12.6 million Percentage of net sales to significant customers 60.6 % 43.2 % 43.6 % 43.3 %
Schedule of disaggregated information of revenue recognized from contracts with customers and licensing fees	For the three months ended September 30, 2020 Blood Total Collection EasyPoint ® Other Product Geographic Segment Syringes Products Needles Products Sales U.S. sales (excluding HHS Order) $ 8,241,161 $ 791,961 $ 3,581,723 $ 9,210 $ 12,624,055 HHS Order sales to U.S. Government 12,898,080 — — — 12,898,080 North and South America sales (excluding U.S.) 1,295,080 450 — — 1,295,530 Other international sales 198,440 73,019 235 1,705 273,399 Total $ 22,632,761 $ 865,430 $ 3,581,958 $ 10,915 $ 27,091,064 For the three months ended September 30, 2019: Blood Total Collection EasyPoint ® Other Product Geographic Segment Syringes Products Needles Products Sales U.S. sales $ 7,356,305 $ 462,096 $ 1,197,176 $ 23,631 $ 9,039,208 North and South America sales (excluding U.S.) 2,344,956 1,150 528 86,100 2,432,734 Other international sales 162,296 2,006 396 2,946 167,644 Total $ 9,863,557 $ 465,252 $ 1,198,100 $ 112,677 $ 11,639,586 For the nine months ended September 30, 2020: Blood Total Collection EasyPoint ® Other Product Geographic Segment Syringes Products Needles Products Sales U.S. sales (excluding HHS Order) $ 21,538,941 $ 1,607,804 $ 6,004,295 $ 52,065 $ 29,203,105 HHS Order sales to U.S. Government 14,065,623 — — — 14,065,623 North and South America sales (excluding U.S.) 4,911,106 8,450 1,496 1,064,768 5,985,820 Other international sales 529,430 76,609 235 6,304 612,578 Total $ 41,045,100 $ 1,692,863 $ 6,006,026 $ 1,123,137 $ 49,867,126 For the nine months ended September 30, 2019: Blood Total Collection EasyPoint ® Other Product Geographic Segment Syringes Products Needles Products Sales U.S. sales $ 19,150,535 $ 1,389,943 $ 2,439,139 $ 51,605 $ 23,031,222 North and South America sales (excluding U.S.) 4,867,104 5,313 1,044 87,025 4,960,486 Other international sales 622,945 374,498 543 178,256 1,176,242 Total $ 24,640,584 $ 1,769,754 $ 2,440,726 $ 316,886 $ 29,167,950
Schedule of earnings per share	Three Months Ended Three Months Ended Nine Months Ended Nine Months Ended September 30, 2020 September 30, 2019 September 30, 2020 September 30, 2019 Net income $ 8,625,751 $ 1,024,434 $ 12,714,637 $ 1,286,965 Preferred stock dividend requirements (145,535) (175,456) (493,826) (527,162) Deemed contribution on extinguishment of preferred stock 2,525,848 — 2,519,124 — Income applicable to common shareholders $ 11,006,064 $ 848,978 $ 14,739,935 $ 759,803 Average common shares outstanding 33,371,471 32,674,954 32,947,241 32,671,648 Average common and common equivalent shares outstanding — assuming dilution 33,984,934 32,674,954 33,071,652 32,671,648 Basic earnings per share $ 0.33 $ 0.03 $ $ Diluted earnings per share $ 0.33 $ 0.03 $ $

INVENTORIES (Tables)

INVENTORIES (Tables)	9 Months Ended
INVENTORIES (Tables)	Sep. 30, 2020
INVENTORIES
Schedule of inventories	September 30, 2020 December 31, 2019 Raw materials $ 1,604,051 $ 1,254,313 Finished goods 6,445,700 6,493,487 8,049,751 7,747,800 Inventory reserve (297,208) (297,208) $ 7,752,543 $ 7,450,592

FAIR VALUE OF FINANCIAL INSTR_2

FAIR VALUE OF FINANCIAL INSTRUMENTS (Tables)	9 Months Ended
FAIR VALUE OF FINANCIAL INSTRUMENTS (Tables)	Sep. 30, 2020
FAIR VALUE OF FINANCIAL INSTRUMENTS
Summary of value of assets designated as investments in debt and equity securities	September 30, 2020 Level 1 Level 2 Level 3 Total Equity securities $ 2,723,410 $ — $ — $ 2,723,410 Mutual funds and exchange traded funds 3,902,118 — — 3,902,118 Certificates of deposit — 77,921 — 77,921 $ 6,625,528 $ 77,921 $ — $ 6,703,449 December 31, 2019 Level 1 Level 2 Level 3 Total Equity securities $ — $ — $ — $ — Mutual funds and exchange traded funds 6,708,746 — — 6,708,746 Certificates of deposit — 1,062,914 — 1,062,914 $ 6,708,746 $ 1,062,914 $ — $ 7,771,660
Schedule of unrealized gains (losses) on investments in equity securities	September 30, 2020 Gross Unrealized Aggregate Cost Gains Losses Fair Value Equity securities $ 2,068,405 $ 655,005 $ — $ 2,723,410 Mutual funds and exchange traded funds 3,871,186 30,932 — 3,902,118 Certificates of deposit 75,000 2,921 — 77,921 $ 6,014,591 $ 688,858 — $ 6,703,449 December 31, 2019 Gross Unrealized Aggregate Cost Gains Losses Fair Value Equity securities $ — $ — $ — $ — Mutual funds and exchange traded funds 6,592,345 116,401 — 6,708,746 Certificates of deposit 1,050,000 12,914 — 1,062,914 $ 7,642,345 $ 129,315 — $ 7,771,660

OTHER ACCRUED LIABILITIES (Tabl

OTHER ACCRUED LIABILITIES (Tables)	9 Months Ended
OTHER ACCRUED LIABILITIES (Tables)	Sep. 30, 2020
OTHER ACCRUED LIABILITIES
Schedule of other accrued liabilities	September 30, 2020 December 31, 2019 Prepayments from customers $ 1,387,491 $ 998,601 Accrued property taxes 351,000 — Accrued professional fees 202,979 263,757 Current portion — preferred stock repurchase 952,381 — Other accrued expenses 138,179 124,791 $ 3,032,030 $

OTHER LONG-TERM LIABILITIES (Ta

OTHER LONG-TERM LIABILITIES (Tables)	9 Months Ended
OTHER LONG-TERM LIABILITIES (Tables)	Sep. 30, 2020
OTHER LONG-TERM LIABILITIES
Schedule of other long-term liabilities	September 30, 2020 December 31, 2019 Long-term deferred liability - TIA $ 8,762,294 $ — Long-term deferred liability - preferred stock repurchase 1,770,867 — $ 10,533,161 $ —

BUSINESS SEGMENT (Tables)

BUSINESS SEGMENT (Tables)	9 Months Ended
BUSINESS SEGMENT (Tables)	Sep. 30, 2020
BUSINESS SEGMENT
Schedule of company's sales and long-lived assets by geography	Revenues by geography are as follows: Three Months Ended Three Months Ended Nine Months Ended Nine Months Ended September 30, 2020 September 30, 2019 September 30, 2020 September 30, 2019 U.S. sales (excluding HHS Order) $ 12,624,055 $ 9,039,208 $ 29,203,105 $ 23,031,222 HHS Order sales to U.S. Government 12,898,080 — 14,065,623 — North and South America sales (excluding U.S.) 1,295,530 2,432,734 5,985,820 4,960,486 Other international sales 273,399 167,644 612,578 1,176,242 Total sales $ 27,091,064 $ 11,639,586 $ 49,867,126 $ 29,167,950 Long-lived assets by geography are as follows: September 30, 2020 December 31, 2019 Long-lived assets U.S. $ 19,413,966 $ 10,542,688 International 71,276 89,369 Total $ 19,485,242 $ 10,632,057

LEASES (Tables)

LEASES (Tables)	9 Months Ended
LEASES (Tables)	Sep. 30, 2020
LEASES
Schedule of assets and liabilities relating to leases included in the Condensed Balance Sheets	September 30, 2020 December 31, 2019 OPERATING LEASES Other assets $ 72,515 $ 82,359 Other accrued liabilities $ 72,515 $ 82,359 Other long-term liabilities — — Total operating lease liabilities $ 72,515 $ 82,359
Schedule of future minimum payments under non-cancelable operating leases and financing leases	Future minimum payments under non-cancelable operating leases and financing leases consist of the following at September 30, 2020: Year ending December 31, 2020 $ 73,709 Less imputed interest (1,194) Total $ 72,515

PAYCHECK PROTECTION PROGRAM L_2

PAYCHECK PROTECTION PROGRAM LOAN (Tables)	9 Months Ended
PAYCHECK PROTECTION PROGRAM LOAN (Tables)	Sep. 30, 2020
PAYCHECK PROTECTION PROGRAM LOAN
Schedule of future payments of long term debt	2020 $ 151,244 2021 912,826 2022 298,930 $ 1,363,000

SUMMARY OF SIGNIFICANT ACCOUN_4

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Accounts receivable (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Accounts receivable
Allowance for bad debt	$ 271	$ 147

SUMMARY OF SIGNIFICANT ACCOUN_5

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Property, plant and equipment (Details)	9 Months Ended
	Sep. 30, 2020
Production equipment \| Minimum
Property, plant, and equipment
Useful lives (in years)	3 years
Production equipment \| Maximum
Property, plant, and equipment
Useful lives (in years)	13 years
Office furniture and equipment \| Minimum
Property, plant, and equipment
Useful lives (in years)	3 years
Office furniture and equipment \| Maximum
Property, plant, and equipment
Useful lives (in years)	10 years
Buildings
Property, plant, and equipment
Useful lives (in years)	39 years
Building Improvements
Property, plant, and equipment
Useful lives (in years)	15 years

SUMMARY OF SIGNIFICANT ACCOUN_6

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Concentration risks (Details)	3 Months Ended		9 Months Ended
	Sep. 30, 2020USD ($)customer	Sep. 30, 2019USD ($)customer	Sep. 30, 2020USD ($)customer	Sep. 30, 2019USD ($)customer
Concentration risks
Sales, net	$ 27,091,064	$ 11,639,586	$ 49,867,126	$ 29,167,950
Customer Concentration Risk
Concentration risks
Number of significant customers \| customer	2	3	2	3
Sales, net	$ 16,400,000	$ 5,000,000	$ 21,700,000	$ 12,600,000
Concentration risk, revenue	60.60%	43.20%	43.60%	43.30%
Supplier Concentration Risk \| China
Concentration risks
Concentration risk, geographic	80.5%	84.2%	82.2%	82.1%
Department of health and human services
Concentration risks
Sales, net	$ 12,900,000
Contract receivables	$ 83,800,000		$ 83,800,000

SUMMARY OF SIGNIFICANT ACCOUN_7

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Revenue recognition (Details)	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2020USD ($)	Sep. 30, 2019USD ($)	Sep. 30, 2020USD ($)item	Sep. 30, 2019USD ($)	Dec. 31, 2019USD ($)
Revenue recognition
Estimated contractual allowance			$ 3,714,002		$ 3,586,726
Period for return of incorrect shipments			10 days
Number of times overstocking returns are limited \| item			2
Period for return of product due to overstock			12 months
Maximum percentage of distributor's total purchase for the prior 12-month period			1.00%
Sales, net	$ 27,091,064	$ 11,639,586	$ 49,867,126	$ 29,167,950
Minimum
Revenue recognition
Period of revenue recognition			30 days
Maximum
Revenue recognition
Period of revenue recognition			60 days
Syringes
Revenue recognition
Sales, net	22,632,761	9,863,557	$ 41,045,100	24,640,584
Blood Collection Products
Revenue recognition
Sales, net	865,430	465,252	1,692,863	1,769,754
Easy Point Needles
Revenue recognition
Sales, net	3,581,958	1,198,100	6,006,026	2,440,726
Other Products
Revenue recognition
Sales, net	10,915	112,677	1,123,137	316,886
U.S.
Revenue recognition
Sales, net	12,624,055	9,039,208	29,203,105	23,031,222
U.S. \| Syringes
Revenue recognition
Sales, net	8,241,161	7,356,305	21,538,941	19,150,535
U.S. \| Blood Collection Products
Revenue recognition
Sales, net	791,961	462,096	1,607,804	1,389,943
U.S. \| Easy Point Needles
Revenue recognition
Sales, net	3,581,723	1,197,176	6,004,295	2,439,139
U.S. \| Other Products
Revenue recognition
Sales, net	9,210	23,631	52,065	51,605
U.S. government \| Department of health and human
Revenue recognition
Sales, net	12,898,080		14,065,623
U.S. government \| Department of health and human \| Syringes
Revenue recognition
Sales, net	12,898,080		14,065,623
North and South America sales (excluding U.S.)
Revenue recognition
Sales, net	1,295,530	2,432,734	5,985,820	4,960,486
North and South America sales (excluding U.S.) \| Syringes
Revenue recognition
Sales, net	1,295,080	2,344,956	4,911,106	4,867,104
North and South America sales (excluding U.S.) \| Blood Collection Products
Revenue recognition
Sales, net	450	1,150	8,450	5,313
North and South America sales (excluding U.S.) \| Easy Point Needles
Revenue recognition
Sales, net		528	1,496	1,044
North and South America sales (excluding U.S.) \| Other Products
Revenue recognition
Sales, net		86,100	1,064,768	87,025
Other international sales
Revenue recognition
Sales, net	273,399	167,644	612,578	1,176,242
Other international sales \| Syringes
Revenue recognition
Sales, net	198,440	162,296	529,430	622,945
Other international sales \| Blood Collection Products
Revenue recognition
Sales, net	73,019	2,006	76,609	374,498
Other international sales \| Easy Point Needles
Revenue recognition
Sales, net	235	396	235	543
Other international sales \| Other Products
Revenue recognition
Sales, net	$ 1,705	$ 2,946	$ 6,304	$ 178,256

SUMMARY OF SIGNIFICANT ACCOUN_8

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Earnings per share (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Earnings per share
Additional stock options included in calculation of diluted EPS	226,150		226,150
Net Income	$ 8,625,751	$ 1,024,434	$ 12,714,637	$ 1,286,965
Preferred dividend requirements	(145,535)	(175,456)	(493,826)	(527,162)
Deemed contribution on extinguishment of preferred stock	2,525,848	0	2,519,124	0
Income applicable to common shareholders	$ 11,006,064	$ 848,978	$ 14,739,935	$ 759,803
Average common shares outstanding	33,371,471	32,674,954	32,947,241	32,671,648
Average common and common equivalent shares outstanding - assuming dilution	33,984,934	32,674,954	33,071,652	32,671,648
Basic earnings per share	$ 0.33	$ 0.03	$ 0.45	$ 0.02
Diluted earnings per share	$ 0.33	$ 0.03	$ 0.45	$ 0.02

SUMMARY OF SIGNIFICANT ACCOUN_9

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Technology Investment Agreement (TIA) (Details)	3 Months Ended
	Sep. 30, 2020USD ($)
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Research and development agreement with government funding amount	$ 53,664,286

INVENTORIES (Details)

INVENTORIES (Details) - USD ($)	Sep. 30, 2020	Dec. 31, 2019
INVENTORIES
Raw materials	$ 1,604,051	$ 1,254,313
Finished goods	6,445,700	6,493,487
Inventory, gross	8,049,751	7,747,800
Inventory reserve	(297,208)	(297,208)
Inventory, net	$ 7,752,543	$ 7,450,592

FAIR VALUE OF FINANCIAL INSTR_3

FAIR VALUE OF FINANCIAL INSTRUMENTS (Details) - USD ($)	9 Months Ended		12 Months Ended
FAIR VALUE OF FINANCIAL INSTRUMENTS (Details) - USD ($)	Sep. 30, 2020	Sep. 30, 2019	Dec. 31, 2019
Investments in equity securities
Investments in debt and equity securities, at fair value	$ 6,703,449		$ 7,771,660
Gross Unrealized
Cost	6,014,591		7,642,345
Gross Unrealized Gains	688,858		129,315
Gross Unrealized Losses	0		0
Unrealized gains (loss) on investments in debt and equity securities	559,543	$ 129,728
Level 1
Investments in equity securities
Investments in debt and equity securities, at fair value	6,625,528		6,708,746
Level 2
Investments in equity securities
Investments in debt and equity securities, at fair value	77,921		1,062,914
Level 3
Investments in equity securities
Investments in debt and equity securities, at fair value	0		0
Equity securities
Investments in equity securities
Investments in debt and equity securities, at fair value	2,723,410		0
Gross Unrealized
Cost	2,068,405		0
Gross Unrealized Gains	655,005		0
Gross Unrealized Losses	0		0
Equity securities \| Level 1
Investments in equity securities
Investments in debt and equity securities, at fair value	2,723,410		0
Equity securities \| Level 2
Investments in equity securities
Investments in debt and equity securities, at fair value	0		0
Equity securities \| Level 3
Investments in equity securities
Investments in debt and equity securities, at fair value	0		0
Mutual funds and exchange traded funds
Investments in equity securities
Investments in debt and equity securities, at fair value	3,902,118		6,708,746
Gross Unrealized
Cost	3,871,186		6,592,345
Gross Unrealized Gains	30,932		116,401
Gross Unrealized Losses	0		0
Mutual funds and exchange traded funds \| Level 1
Investments in equity securities
Investments in debt and equity securities, at fair value	3,902,118		6,708,746
Mutual funds and exchange traded funds \| Level 2
Investments in equity securities
Investments in debt and equity securities, at fair value	0		0
Mutual funds and exchange traded funds \| Level 3
Investments in equity securities
Investments in debt and equity securities, at fair value	0		0
Certificates of deposit
Investments in equity securities
Investments in debt and equity securities, at fair value	77,921		1,062,914
Gross Unrealized
Cost	75,000		1,050,000
Gross Unrealized Gains	2,921		12,914
Gross Unrealized Losses	0		0
Certificates of deposit \| Level 1
Investments in equity securities
Investments in debt and equity securities, at fair value	0		0
Certificates of deposit \| Level 2
Investments in equity securities
Investments in debt and equity securities, at fair value	77,921		1,062,914
Certificates of deposit \| Level 3
Investments in equity securities
Investments in debt and equity securities, at fair value	$ 0		$ 0

INCOME TAXES (Details)

INCOME TAXES (Details)	3 Months Ended		9 Months Ended
INCOME TAXES (Details)	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Reconciliation of income taxes based on the federal statutory rate and the effective income tax rate
Effective tax rate (as a percent)	15.63%	0.40%	(1.20%)	0.60%

OTHER ACCRUED LIABILITIES (Deta

OTHER ACCRUED LIABILITIES (Details) - USD ($)	Sep. 30, 2020	Dec. 31, 2019
OTHER ACCRUED LIABILITIES
Prepayments from customers	$ 1,387,491	$ 998,601
Accrued property taxes	351,000
Accrued professional fees	202,979	263,757
Current portion - preferred stock repurchase	952,381
Other accrued expenses	138,179	124,791
Total	$ 3,032,030	$ 1,387,149

OTHER LONG-TERM LIABILITIES (De

OTHER LONG-TERM LIABILITIES (Details) - USD ($)	Sep. 30, 2020	Dec. 31, 2019
OTHER LONG-TERM LIABILITIES
Long-term deferred liability - TIA	$ 8,762,294
Long-term deferred liability - preferred stock repurchase	1,770,867
Other long-term liabilities	$ 10,533,161	$ 0

BUSINESS SEGMENT (Details)

BUSINESS SEGMENT (Details) - USD ($)	3 Months Ended		9 Months Ended
BUSINESS SEGMENT (Details) - USD ($)	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019	Dec. 31, 2019
Sales by geography
Aggregate dollar amount of net sales to significant customers	$ 27,091,064	$ 11,639,586	$ 49,867,126	$ 29,167,950
Long-lived assets
Long-lived assets	19,485,242		19,485,242		$ 10,632,057
U.S.
Sales by geography
Aggregate dollar amount of net sales to significant customers	12,624,055	9,039,208	29,203,105	23,031,222
Long-lived assets
Long-lived assets	19,413,966		19,413,966		10,542,688
U.S. \| Customers excluding HHS Order
Sales by geography
Aggregate dollar amount of net sales to significant customers	12,624,055	9,039,208	29,203,105	23,031,222
U.S. \| HHS Order
Sales by geography
Aggregate dollar amount of net sales to significant customers	12,898,080		14,065,623
North and South America sales (excluding U.S.)
Sales by geography
Aggregate dollar amount of net sales to significant customers	1,295,530	2,432,734	5,985,820	4,960,486
Other international sales
Sales by geography
Aggregate dollar amount of net sales to significant customers	273,399	$ 167,644	612,578	$ 1,176,242
International
Long-lived assets
Long-lived assets	$ 71,276		$ 71,276		$ 89,369

DIVIDENDS (Details)

DIVIDENDS (Details) - USD ($)	Oct. 22, 2020	Jul. 20, 2020	Apr. 20, 2020	Jan. 22, 2020	Oct. 21, 2019	Jul. 19, 2019	Apr. 22, 2019	Jan. 18, 2019	Sep. 30, 2020	Sep. 30, 2020	Sep. 30, 2019
Dividends
Preferred dividends declared										$ 52,242	$ 54,800
Series I, Class B
Dividends
Preferred dividends declared	$ 12,000	$ 12,000	$ 12,000	$ 12,000	$ 12,000	$ 12,000	$ 12,313	$ 12,313
Series II, Class B
Dividends
Preferred dividends declared	$ 40,242	$ 42,800	$ 42,800	$ 42,800	$ 42,800	$ 42,800	$ 42,800	$ 42,800
Number of shares of preferred stock converted into common stock									15,000

LEASES (Details)

LEASES (Details) - USD ($)	6 Months Ended	9 Months Ended
LEASES (Details) - USD ($)	Jun. 30, 2019	Sep. 30, 2020	Sep. 30, 2019	Dec. 31, 2019
LEASES
Operating lease cost		$ 69,689	$ 60,175
Cash outflows related to leases	$ 60,175	69,689
Assets and liabilities associated with these leases in Balance Sheets
Other assets		$ 72,515		$ 82,359
Other assets [Extensible List]		us-gaap:OtherAssets
Other accrued liabilities		$ 72,515		82,359
Other accrued liabilities [Extensible List]		us-gaap:OtherAccruedLiabilitiesCurrent
Other long-term liabilities [Extensible List]		us-gaap:OtherLiabilitiesNoncurrent
Total operating lease liabilities		$ 72,515		$ 82,359
Weighted average remaining lease term		9 months 12 days
Weighted average discount rate		3.82%
Maximum
LEASES
Remaining lease term		1 year

LEASES - Future minimum payment

LEASES - Future minimum payments (Details) - USD ($)	Sep. 30, 2020	Dec. 31, 2019
Future minimum payments under non-cancelable operating leases and financing leases
Remainder of 2020	$ 73,709
Less imputed interest	(1,194)
Total	$ 72,515	$ 82,359

EXCHANGE OF COMMON STOCK FOR _2

EXCHANGE OF COMMON STOCK FOR PREFERRED STOCK (Details) - USD ($)	Sep. 30, 2020	May 18, 2020	Jan. 13, 2020
Class of Stock
Cash consideration	$ 3,000,000	$ 25,000	$ 75,000
Net present value of shares repurchased	$ 2,723,248
Common Stock were issued as consideration	600,000	2,500	7,500
Unpaid dividends in arrears waived	$ 6,091,233	$ 50,370	$ 149,795
Cash consideration payment period	3 years
Series III, Class B
Class of Stock
Total shares of preferred stockholders			2,500
Series IV Preferred Stock
Class of Stock
Total shares of preferred stockholders	300,000	2,500	5,000

STOCK OPTIONS (Details)

STOCK OPTIONS (Details) - USD ($)	3 Months Ended	9 Months Ended
STOCK OPTIONS (Details) - USD ($)	Sep. 30, 2020	Sep. 30, 2020	Sep. 30, 2019
STOCK OPTIONS
Shares of Common Stock issued for exercises	121,800	406,650
Proceeds from the exercise of stock options	$ 224,325	$ 851,012	$ 0

PAYCHECK PROTECTION PROGRAM L_3

PAYCHECK PROTECTION PROGRAM LOAN (Details) - USD ($)	Jun. 05, 2020	Apr. 17, 2020
Paycheck Protection Program
Principal amount, COVID-19		$ 1,363,000
Interest rate (as a percent)		1.00%
Maximum
Paycheck Protection Program
Debt instrument term	168 days
Percentage of payroll expenditure	75.00%
Minimum
Paycheck Protection Program
Debt instrument term	56 days
Percentage of payroll expenditure	60.00%

PAYCHECK PROTECTION PROGRAM L_4

PAYCHECK PROTECTION PROGRAM LOAN - Future payments (Details) - Paycheck Protection Program, CARES Act	Sep. 30, 2020USD ($)
Debt Instrument [Line Items]
2020	$ 151,244
2021	912,826
2022	298,930
Long term debt total	$ 1,363,000

TECHNOLOGY INVESTMENT AGREEME_2

TECHNOLOGY INVESTMENT AGREEMENT (Details) $ in Millions	Jul. 01, 2020	Nov. 30, 2020USD ($)ft²	Sep. 30, 2020USD ($)
TECHNOLOGY INVESTMENT AGREEMENT
Technology investment agreement term	10 years
Purchase of automated assembly and auxiliary equipment		$ 38
Area of land for existing properties \| ft²		27,800
Area of land for new warehouse \| ft²		55,000
Estimated cost of the controlled environment within existing properties			$ 6
Estimated cost of the construction of the new warehouse			$ 5.8

SUBSEQUENT EVENTS (Details)

SUBSEQUENT EVENTS (Details)	Sep. 30, 2020USD ($)shares	May 18, 2020USD ($)shares	Jan. 13, 2020USD ($)shares	Oct. 31, 2020USD ($)stockholdershares
SUBSEQUENT EVENTS
Cash consideration \| $	$ 3,000,000	$ 25,000	$ 75,000
Common Stock were issued as consideration \| shares	600,000	2,500	7,500
Unpaid dividends in arrears waived \| $	$ 6,091,233	$ 50,370	$ 149,795
Series IV Preferred Stock
SUBSEQUENT EVENTS
Total shares of preferred stockholders \| shares	300,000	2,500	5,000
Subsequent Events
SUBSEQUENT EVENTS
Number of shareholders from whom shares of preferred stock were repurchased \| stockholder				6
Cash consideration \| $				$ 400,000
Cash consideration to be paid annually \| $				$ 303,330
Annual cash consideration payment period				3 years
Common Stock were issued as consideration \| shares				110,000
Unpaid dividends in arrears waived \| $				$ 757,759
Subsequent Events \| Series IV Preferred Stock
SUBSEQUENT EVENTS
Total shares of preferred stockholders \| shares				30,000
Subsequent Events \| Series V Preferred Stock
SUBSEQUENT EVENTS
Total shares of preferred stockholders \| shares				25,000