SunLink Health Systems (SSY) 10-Q 16 Feb 21 2021 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Dec. 31, 2020	Feb. 12, 2021
Document Information [Line Items]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Dec. 31, 2020
Document Fiscal Year Focus	2021
Document Fiscal Period Focus	Q2
Entity Registrant Name	SUNLINK HEALTH SYSTEMS INC
Entity Central Index Key	0000096793
Current Fiscal Year End Date	--06-30
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Shell Company	false
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Common Stock, Shares Outstanding		6,899,321
Entity File Number	1-12607
Entity Incorporation, State or Country Code	OH
Entity Tax Identification Number	31-0621189
Entity Address, Address Line One	900 Circle 75 Parkway
Entity Address, Address Line Two	Suite 690
Entity Address, City or Town	Atlanta
Entity Address, State or Province	GA
Entity Address, Postal Zip Code	30339
City Area Code	770
Local Phone Number	933-7000
Document Quarterly Report	true
Document Transition Report	false
Common Stock [Member]
Document Information [Line Items]
Trading Symbol	SSY
Title of 12(b) Security	Common Shares without par value
Security Exchange Name	NYSEAMER
Preferred Share Purchase Rights [Member]
Document Information [Line Items]
No Trading Symbol Flag	true
Title of 12(b) Security	Preferred Share Purchase Rights

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Dec. 31, 2020	Jun. 30, 2020
Current Assets:
Cash and cash equivalents	$ 11,241	$ 11,184
Receivables - net	4,074	4,315
Inventory	1,927	1,866
Prepaid expense and other assets	2,288	2,558
Total current assets	19,530	19,923
Property, plant and equipment, at cost	20,218	19,749
Less accumulated depreciation	14,530	14,425
Property, plant and equipment - net	5,688	5,324
Noncurrent Assets:
Intangible assets - net	1,240	1,254
Right of use assets	1,426	970
Other noncurrent assets	638	500
Total noncurrent assets	3,304	2,724
TOTAL ASSETS	28,522	27,971
Current liabilities:
Accounts payable	1,394	872
Current maturities of long-term debt	1,582	1,401
Accrued payroll and related taxes	1,806	1,969
Accrued sales tax	1,676	1,411
Unearned CARES Act Funds	1,507	4,532
Current operating lease liabilities	460	365
Other accrued expenses	636	866
Total current liabilities	9,061	11,416
Long-Term Liabilities
Long-term debt	1,759	1,957
Noncurrent liability for professional liability risks	110	104
Long-term operating lease liabilities	989	607
Other noncurrent liabilities	126	144
Total long-term liabilities	2,984	2,812
Commitment and Contingencies
Shareholders’ Equity
Preferred Shares, authorized and unissued, 2,000 shares	0	0
Common Shares, without par value: Issued and outstanding, 6,899 shares at December 31, 2020 and at June 30, 2020	3,450	3,450
Additional paid-in capital	10,714	10,714
Retained earnings (loss)	2,652	(82)
Accumulated other comprehensive loss	(339)	(339)
Total Shareholders’ Equity	16,477	13,743
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY	$ 28,522	$ 27,971

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares	Dec. 31, 2020	Jun. 30, 2020
Statement Of Financial Position [Abstract]
Preferred shares, authorized	2,000,000	2,000,000
Preferred shares, unissued	2,000,000	2,000,000
Common shares, without par value
Common shares, issued	6,899,000	6,899,000
Common shares, outstanding	6,899,000	6,899,000

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations and Comprehensive Earnings (Loss) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2020	Dec. 31, 2019
Net revenues	$ 10,150	$ 12,805	$ 20,572	$ 24,457
Costs and Expenses
Salaries, wages and benefits	4,226	4,849	8,611	9,758
Supplies	280	334	504	653
Other operating expenses	913	994	1,862	2,097
Rent and lease expense	120	147	290	306
Depreciation and amortization	318	350	618	685
Operating Earnings (Loss)	(254)	281	(577)	61
Other Income (Expense):
Gains on sale of assets	5	86	13	193
Loss on extinguishment of debt	0	(160)	0	(160)
Federal stimulus - Provider relief funds	3,417	0	3,448	0
Interest income (expense), net	(7)	(4)	(14)	(34)
Earnings from Continuing Operations before income taxes	3,161	203	2,870	60
Income Tax Expense	15	0	15	0
Earnings from Continuing Operations	3,146	203	2,855	60
Loss from Discontinued Operations, net of tax	(72)	(245)	(121)	(363)
Net Earnings (Loss)	3,074	(42)	2,734	(303)
Other comprehensive income	0	0	0	0
Comprehensive Earnings (Loss)	$ 3,074	$ (42)	$ 2,734	$ (303)
Continuing Operations:
Basic	$ 0.46	$ 0.03	$ 0.41	$ 0.01
Diluted	0.46	0.03	0.41	0.01
Discontinued Operations:
Basic	(0.01)	(0.04)	(0.02)	(0.05)
Diluted	(0.01)	(0.04)	(0.02)	(0.05)
Net Earnings (Loss):
Basic	0.45	(0.01)	0.40	(0.04)
Diluted	$ 0.45	$ (0.01)	$ 0.40	$ (0.04)
Weighted-Average Common Shares Outstanding:
Basic	6,899	6,986	6,899	6,986
Diluted	6,905	6,992	6,904	7,012
Product [Member]
Costs and Expenses
Cost of goods sold	$ 3,918	$ 5,097	$ 7,988	$ 9,441
Service [Member]
Costs and Expenses
Cost of goods sold	$ 629	$ 753	$ 1,276	$ 1,456

Condensed Consolidated Statem_2

Condensed Consolidated Statements Shareholders' Equity - USD ($) $ in Thousands	Total	Common Shares [Member]	Additional Paid-in Capital [Member]	Retained Earnings (Loss) [Member]	Accumulated Other Comprehensive Loss [Member]
Beginning Balance at Jun. 30, 2019	$ 15,043	$ 3,493	$ 10,745	$ 1,058	$ (253)
Beginning Balance,Shares at Jun. 30, 2019		6,987,000
Net Earnings (loss)	(261)			(261)
Share-based compensation	28		28
Ending Balance at Sep. 30, 2019	14,810	$ 3,493	10,773	797	(253)
Ending Balance, Shares at Sep. 30, 2019		6,987,000
Beginning Balance at Jun. 30, 2019	15,043	$ 3,493	10,745	1,058	(253)
Beginning Balance,Shares at Jun. 30, 2019		6,987,000
Net Earnings (loss)	(303)
Ending Balance at Dec. 31, 2019	14,762	$ 3,492	10,768	755	(253)
Ending Balance, Shares at Dec. 31, 2019		6,983,000
Beginning Balance at Sep. 30, 2019	14,810	$ 3,493	10,773	797	(253)
Beginning Balance,Shares at Sep. 30, 2019		6,987,000
Net Earnings (loss)	(42)			(42)
Repurchase of shares	(6)	$ (1)	(5)
Repurchase of shares, Shares		(4,000)
Ending Balance at Dec. 31, 2019	14,762	$ 3,492	10,768	755	(253)
Ending Balance, Shares at Dec. 31, 2019		6,983,000
Beginning Balance at Jun. 30, 2020	$ 13,743	$ 3,450	10,714	(82)	(339)
Beginning Balance,Shares at Jun. 30, 2020	6,899,000	6,899,000
Net Earnings (loss)	$ (340)			(340)
Ending Balance at Sep. 30, 2020	13,403	$ 3,450	10,714	(422)	(339)
Ending Balance, Shares at Sep. 30, 2020		6,899,000
Beginning Balance at Jun. 30, 2020	$ 13,743	$ 3,450	10,714	(82)	(339)
Beginning Balance,Shares at Jun. 30, 2020	6,899,000	6,899,000
Net Earnings (loss)	$ 2,734
Repurchase of shares, Shares	(3,814)
Ending Balance at Dec. 31, 2020	$ 16,477	$ 3,450	10,714	2,652	(339)
Ending Balance, Shares at Dec. 31, 2020	6,899,000	6,899,000
Beginning Balance at Sep. 30, 2020	$ 13,403	$ 3,450	10,714	(422)	(339)
Beginning Balance,Shares at Sep. 30, 2020		6,899,000
Net Earnings (loss)	3,074			3,074
Ending Balance at Dec. 31, 2020	$ 16,477	$ 3,450	$ 10,714	$ 2,652	$ (339)
Ending Balance, Shares at Dec. 31, 2020	6,899,000	6,899,000

Condensed Consolidated Statem_3

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	6 Months Ended
	Dec. 31, 2020	Dec. 31, 2019
Statement Of Cash Flows [Abstract]
Net Cash Provided by (Used in) Operating Activities	$ 1,034	$ (443)
Cash Flows Provided by (Used in) Investing Activities:
Expenditures for property, plant and equipment - continuing operations	(1,000)	(548)
Proceeds from sale of other assets	40	558
Net Cash Provided by (Used in) Investing Activities	(960)	10
Cash Flows Used in Financing Activities:
Payments on long-term debt	(17)	(2,698)
Repurchase of common shares	0	(4)
Net Cash Used in Financing Activities	(17)	(2,702)
Net Increase (Decrease) in Cash and Cash Equivalents	57	(3,135)
Cash and Cash Equivalents Beginning of Period	11,184	7,742
Cash and Cash Equivalents End of Period	11,241	4,607
Cash Paid (Received) for:
Interest	(1)	61
Income taxes	308	(43)
Non-cash investing and financing activities:
Assets acquired in exchange for note receivable	0	371
Right-of-use assets obtained in exchange for lease liabilities	$ 691	$ 1,448

Basis of Presentation

Basis of Presentation	6 Months Ended
	Dec. 31, 2020
Organization Consolidation And Presentation Of Financial Statements [Abstract]
Basis of Presentation	Note 1. –Basis of Presentation The accompanying unaudited Condensed Consolidated Financial Statements as of December 31, 2020 and for the three and six month periods ended December 31, 2020 and 2019 have been prepared in accordance with Rule 10-01 and Article 8 of Regulation S-X of the Securities and Exchange Commission (“SEC”) and, as such, do not include all information required by accounting principles generally accepted in the United States of America (“GAAP”). The condensed consolidated June 30, 2020 balance sheet included in this interim filing has been derived from the audited financial statements at that date but does not include all the information and related notes required by GAAP for complete financial statements. These Condensed Consolidated Financial Statements should be read in conjunction with the audited consolidated financial statements included in the SunLink Health Systems, Inc. (“SunLink”, “we”, “our”, “ours”, “us” or the “Company”) Annual Report on Form 10-K for the fiscal year ended June 30, 2020, filed with the SEC on September 28, 2020. In the opinion of management, the Condensed Consolidated Financial Statements, which are unaudited, include all adjustments, consisting only of normal recurring adjustments, necessary to present fairly the financial position and results of operations for the periods indicated. The results of operations for the three and six month periods ended December 31, 2020 are not necessarily indicative of the results that may be expected for the entire fiscal year or any other interim period. Throughout these notes to the consolidated financial statements, SunLink Health Systems, Inc., and its consolidated subsidiaries are referred to on a collective basis as “SunLink”, “we”, “our”, “ours”, “us” or the “Company.” This drafting style is not meant to indicate that the publicly traded Company or any subsidiary of the Company owns or operates any particular asset, business or property. Each operation and business described in this filing is owned and operated by a distinct and indirect subsidiary of SunLink Health System, Inc.

Business Operations

Business Operations	6 Months Ended
	Dec. 31, 2020
Organization Consolidation And Presentation Of Financial Statements [Abstract]
Business Operations	Note 2. – Business Operations SunLink Health Systems, Inc., through subsidiaries, owns businesses which are providers of healthcare services in certain markets in the United States. SunLink’s subsidiaries’ businesses are composed of two business segments: Healthcare Services • A subsidiary which owns and operates Trace Regional Hospital and Floy Dyer Nursing Home (“Trace”), an 84 licensed-bed acute care hospital, located in Houston, Mississippi, which includes an 18-bed geriatric psychology unit (“GPU”), and a 66-bed nursing home. This facility focuses primarily on senior healthcare services. • A subsidiary, SunLink Health Systems Technology (“SHS Technology”), which provides information technology (IT) services to outside customers and to SunLink subsidiaries. • A subsidiary which owns approximately five (5) acres of unimproved land in Houston, Mississippi. • A Pharmacy The Pharmacy segment is composed of three operational areas which are conducted primarily in markets in southern Louisiana: • Retail pharmacy products and services, consisting of retail pharmacy sales conducted in Crowley, Louisiana; • Institutional pharmacy services consisting of the provision of specialty and non-specialty pharmaceutical and biological products to institutional clients or to patients in institutional settings, such as nursing homes, assisted living facilities, behavioral and specialty hospitals, hospice, and correctional facilities; and, • Durable medical equipment products and services (“DME”), consisting primarily of the sale and rental of products for institutional clients or to patients in institutional settings and patient-administered home care. SunLink subsidiaries have conducted the Healthcare Services business since 2001 and the Pharmacy operations since 2008. Our Pharmacy segment currently is operated through Carmichael’s Cashway Pharmacy, Inc. (“Carmichael”), a subsidiary of our SunLink ScriptsRx, LLC subsidiary. COVID-19 Pandemic A novel strain of coronavirus (“COVID-19”) was declared a global pandemic by the World Health Organization on March 11, 2020. We have been monitoring the COVID-19 pandemic and its impact on our operations, and we have taken significant steps intended to minimize the risk to our employees and patients. Certain employees have been working remotely, but we believe these remote work arrangements have not materially affected our ability to maintain critical business operations, which are being conducted substantially in accordance with our understanding of applicable government health and safety protocols and guidance issued in response to the COVID-19 pandemic, although such protocols and guidance are recent, rapidly changing and at times, unclear. Nevertheless, as in many healthcare environments, we have experienced COVID-19 illness, including deaths, and some employees have tested positive and were placed on leave or in quarantine. In late December 2020, we began receiving allotments of COVID-19 vaccine and have begun to vaccinate patients, providers, employees, and staff in accordance with the protocols and guidelines in the states where we operate. Not all such individuals have been vaccinated to date and some individuals have not consented to vaccination. In our Healthcare businesses, we have experienced material reductions in demand and net revenues due to the COVID-19 outbreak. There appears to be minimal current demand for nursing home admissions, and clinic visits and hospital services have substantially decreased as well in part due to the abrupt retirement of one physician in the quarter ended June 30, 2020 and reduced capacity of other physicians and providers, all as a result of the effects of the pandemic. The availability and cost of medical supplies have adversely affected our Healthcare businesses, especially with respect to access to personal protective equipment, cleaning supplies and COVID-19 testing materials. We continue to monitor supplies and seek additional sources of many supply items. A reduction in the availability of qualified employees has also occurred and despite good faith efforts to do so, we have not yet been able to rehire or fully replace staff reductions which were previously furloughed, laid off or retired. Since the beginning of the COVID-19 pandemic, our Pharmacy business has experienced reduced sales trends in certain areas, increased costs and reduced staff. Many of our primary physician referral sources have been operating at substantially reduced capacity. Until these referral sources are at full capacity, we believe the COVID-19 pandemic will continue to affect the demand for DME products and Retail and Institutional Pharmacy drugs and products. Reductions in employee hours have been made in response to the lower demand. Nursing homes and other customers of such Institutional Pharmacy services are currently being adversely affected by the continuation of the COVID-19 pandemic, and this may be expected to have a further negative effect on such demand. Our Institutional Pharmacy services have experienced increased costs and operational inefficiencies due to measures taken to protect our employees and by access controls and other restrictions implemented by our institutional customers. The impact of the COVID-19 pandemic has negatively affected our supply processes, especially with respect to access to respiratory equipment and certain personal protective equipment and cleaning products. We believe the effect of the COVID–19 pandemic and public and governmental responses to it negatively affected our last four fiscal quarters results. During the period from April 1, 2020 to December 31, 2020, our Healthcare and Pharmacy segments received $5,008 in general and targeted Provider Relief Fund (“PRF”) distributions. During the quarter ended June 30, 2020, we also received $3,234 in Paycheck Protection Programs (“PPP”) loans, administered by the SBA. Both the PRF and PPP funds are provided for under the CARES Act and we have received a total of $8,242 of such funding. The distributions from the PRF are not subject to repayment provided we are able to attest to and comply with the terms and conditions of the funding, including demonstrating that the funds received have been used for healthcare-related expenses and capital expenditures attributable to COVID-19, and “Lost Revenues” (as defined by HHS). Such funds under the PRF are accounted for as government grants and are recognized on a systematic and rational basis once there is reasonable assurance that the applicable terms and conditions required to retain the funds have been met. HHS has released “CARES Act Provider Relief Fund Frequently Asked Questions (“FAQ”) numerous times since April 3, 2020 through January 28, 2021 to clarify PRF requirements and has provided expansive examples of the reporting requirements in efforts to demonstrate amounts of the PRF received that may be considered to have been earned and which may be retained. The Company continues to review and analyze the FAQ. Of the $5,008 of PRF COVID-19 related distributions received during the period from April 1, 2020 through December 31, 2020, we are reporting $3,417 as other income in our consolidated statement of operations for our fiscal quarter ended December 31, 2020 related to COVID-19 related expenses and Lost Revenues. Our uses of PRF consisted of COVID-19 personal protective equipment, allowable capital expenditures and salary expenses for allowable patient care activities. The lost revenues were calculated as the reduction of patient care revenues in calendar 2020 compared to the calendar 2020 budget and actual patient care revenues of calendar 2019 in accordance with the latest guidance from HHS. The unrecognized amount of the PRF are recorded under the caption “Unearned CARES Act Funds” in our consolidated balance sheets. We will continue to monitor compliance with the terms and conditions of the PRF and the impact of the pandemic on our revenues and expenses. If we are unable to attest to or comply with current or future terms and conditions, and there is no assurance we will be able to do so, our ability to retain some or all of the distributions received may be impacted. We currently are uncertain if we will be able to utilize all of the PRF received under the currently existing interpretations by HHS and may have to return the unutilized portion of those funds, if any, in the future. Forgiveness of PPP loans may be available if the loans were used to pay wages, rent, utilities and interest on certain debt during the eight-week period following receipt of the loan proceeds subject to Federally-established terms and conditions. During July 2020, the allowable period for the use of PPP loan proceeds was amended to allow for a 24-week utilization period. The borrowing subsidiaries must apply for loan forgiveness with the lending bank within ten months after the end of the allowable use period. The forgiveness applications are to be reviewed by both the lender and the SBA and a loan forgiveness amount, if any, will be determined. There can be no assurance, however, that any of the PPP loans to us will be forgiven, or if forgiven, the amount of such forgiveness. Loan proceeds not forgiven are payable over two years at a 1% annual interest rate. The two-year loan repayment begins two months after the loan forgiveness amount is determined by SBA. The Company has not yet applied for forgiveness of any of its PPP loans and recorded no income relating to the PPP loans through December 31, 2020. Going forward, the Company is unable to determine the extent to which the COVID-19 pandemic will continue to affect its assets and operations. Our ability to make estimates of the effect of the COVID-19 pandemic on revenues, expenses or changes in accounting judgments that have had or are reasonably likely to have a material effect on our financial statements is currently limited. The nature and extent of the effect of the COVID-19 pandemic on our balance sheet and results of operations will depend on the severity and length of the pandemic; government actions to mitigate the pandemic’s effect; regulatory changes in response to the pandemic, especially those that affect our hospital, nursing home and pharmacy operations; and existing and potential government assistance that may be provided, including the requirements of PRF receipts and PPP loans. We believe that existing funds, cash generated from operations and additional sources of and access to financing from COVID-19 related government loans and grants will likely be adequate to satisfy our needs for working capital and capital expenditures in the next twelve months. However, if the COVID-19 pandemic continues for an extended period, we expect to experience significant losses and additional financial assistance will likely be required.

Discontinued Operations

Discontinued Operations	6 Months Ended
	Dec. 31, 2020
Discontinued Operations And Disposal Groups [Abstract]
Discontinued Operations	Note 3. – Discontinued Operations All the businesses discussed in the note below are reported as discontinued operations and the condensed consolidated financial statements for all prior periods have been adjusted to reflect this presentation. Results for all the businesses included in discontinued operations are presented in the following table: Three Months Ended Six Months Ended December 31, December 31, 2020 2019 2020 2019 Net Revenues: Sold Hospitals $ (5 ) $ 13 (2 ) 37 $ (5 ) $ 13 $ (2 ) $ 37 Loss before income taxes: Sold Hospitals $ (52 ) $ (202 ) (81 ) (295 ) Life sciences and engineering (20 ) (43 ) (40 ) (68 ) Loss from discontinued operations before income taxes (72 ) (245 ) (121 ) (363 ) Income tax expense 0 0 0 0 Loss from discontinued operations $ (72 ) $ (245 ) $ (121 ) $ (363 ) Sold Hospitals – Subsidiaries of the Company have sold substantially all the assets of five hospitals (“Sold Hospitals”) during the period July 2, 2012 to March 17, 2019. The loss before income taxes of the Sold Hospitals results primarily from the effects of retained professional liability insurance and claims expenses and settlement of a lawsuit. Life Sciences and Engineering Segment —SunLink retained a defined benefit retirement plan which covered substantially all the employees of this segment when the segment was sold in fiscal 1998. Effective February 28, 1997, the plan was amended to freeze participant benefits and close the plan to new participants. Pension expense and related tax benefit or expense is reflected in the results of operations for this segment for the three and six months ended December 31, 2020 and 2019, respectively. The components of pension expense for the three and six months ended December 31, 2020 and 2019, respectively, were as follows: Three Months Ended Six Months Ended December 31, December 31, 2020 2019 2020 2019 Interest Cost $ 10 $ 10 $ 20 $ 24 Expected return on assets (9 ) (8 ) (18 ) (17 ) Amortization of prior service cost 19 41 38 61 Net pension expense $ 20 $ 43 $ 40 $ 68 SunLink contributed $50 to the plan in the six months ended December 31, 2020 and expects to contribute an additional $50 during the remaining two fiscal quarters of the fiscal year ending June 30, 2021.

Shareholders' Equity

Shareholders' Equity	6 Months Ended
	Dec. 31, 2020
Federal Home Loan Banks [Abstract]
Shareholders' Equity	Note 4. – Shareholders’ Equity Stock-Based Compensation – For the three months ended December 31, 2020 and 2019, the Company recognized no stock-based compensation for options issued to employees and directors of the Company. For the six months ended December 31, 2020 and 2019, the Company recognized $0 and $28, respectively, of stock-based compensation for options issued to employees and directors of the Company. The fair value of the share options granted was estimated using the Black-Scholes option-pricing model. There were no share options granted during the three and six months ended December 31, 2020. There were 50,000 share options granted under the 2011 Director Stock Option Plan during the six months ended December 31, 2019. 2019-2020 Common Share Repurchase Program – On October 8, 2019, the Company announced a share repurchase program (“2019-2020 Program”) approved by its Board of Directors which authorizes the Company to purchase up to $750 of its common shares in the open market. As of December 31, 2019, a total of 3,814 shares have been repurchased at a cost of approximately $4. Total Shares Average Price Purchased Per Share Paid November 2019 935 $ 1.17 December 2019 2,879 1.18 3,814 $ 1.17 On March 24, 2020, the Company announced that it had suspended the 2019-2020 Program in light of the COVID-19 pandemic and on June 1, 2020, the Company terminated the 2019-2020 program.

Revenue and Accounts Receivable

Revenue and Accounts Receivables	6 Months Ended
	Dec. 31, 2020
Receivables [Abstract]
Revenue and Accounts Receivable	Note 5. – Revenue and Accounts Receivables Revenues by payor were as follows for the three and six months ended December 31, 2020 and 2019: Three Months Ended Six Months Ended December 31, December 31, 2020 2019 2020 2019 Medicare $ 4,715 $ 5,295 $ 9,248 $ 10,359 Medicaid 2,600 4,061 5,221 7,244 Retail and Institutional Pharmacy 1,395 1,442 3,085 3,141 Managed Care & Other Insurance 1,289 1,877 2,721 3,396 Self-pay 120 90 221 238 Other 31 40 76 79 Total Net Revenues $ 10,150 $ 12,805 $ 20,572 $ 24,457 Settlements of prior year Medicare and Medicaid cost reports of $69 and $107 were recorded in the three and six months ended December 31, 2020 and 2019, respectively.

Intangible Assets

Intangible Assets	6 Months Ended
	Dec. 31, 2020
Goodwill And Intangible Assets Disclosure [Abstract]
Intangible Assets	Note 6. – Intangible Assets Intangibles consist of the following, net of amortization: December 31, 2020 June 30, 2020 Pharmacy Segment Intangibles Trade Name (non-amortizing) $ 1,180 $ 1,180 Customer Relationships 1,089 1,089 Medicare License 623 623 2,892 2,892 Accumulated Amortization (1,652 ) (1,638 ) Net Intangibles $ 1,240 $ 1,254 Amortization expense was $7 and $29 for the three months ended December 31, 2020 and 2019, respectively. Amortization expense was $14 and $58 for the six months ended December 31, 2020 and 2019, respectively.

Long-Term Debt

Long-Term Debt	6 Months Ended
	Dec. 31, 2020
Debt Disclosure [Abstract]
Long-Term Debt	Note 7. – Long-Term Debt Long-term debt consisted of the following: December 31, 2020 June 30, 2020 CARES Act Paycheck Protection Plan Loans $ 3,234 $ 3,234 Capital Lease 107 124 Less current maturities (1,582 ) (1,401 ) Long-term Debt $ 1,759 $ 1,957 CARES Act Paycheck Protection Plan Loans— The CARES Act was enacted by the U.S. government on March 27, 2020. As part of the CARES Act, the PPP loan program is administered by the SBA. In April and May 2020, subsidiaries of the Company received approximately $3,234 of PPP loans through its regular bank. Forgiveness of PPP loans may be available if the loans were used to pay wages, rent, utilities and interest on certain debt during the eight-week period following receipt of the loan proceeds and subject to other Federally-established terms and conditions. During July 2020, the period for the allowable use of loan proceeds was amended from eight week to allow for 24-weeks allowable usage. The borrowing subsidiaries must apply for loan forgiveness with the bank within ten months after the allowable use period. As of the date of this filing, the Company has not applied for loan forgiveness for any PPP loan. The forgiveness applications will be reviewed by both the lending bank and SBA and a loan forgiveness amount, if any, will be determined. There can be no assurance, however, that any of our PPP loans to us will be forgiven, or if forgiven, the amount of such forgiveness. Loan proceeds not forgiven are payable over two years at a 1% annual interest rate.

Income Taxes

Income Taxes	6 Months Ended
	Dec. 31, 2020
Income Tax Disclosure [Abstract]
Income Taxes	Note 8. – Income Taxes Income tax expense of $15 (all state tax expense) was recorded for continuing operations for the three and six months ended December 31, 2020. No income tax expense was recorded for continuing operations for the three and six months ended December 31, 2019. Of the CARES Act provisions, the most material income tax considerations related to the Company are related to the amounts received as general and targeted PRF and amounts received PP loans. Based on the latest published IRS guidance as of the preparation of the December 31, 2020 financial statements, PRF (to the extent the applicable terms and conditions required to retain the funds are met “Retainable PRF”) are fully includable in taxable income in the Company’s tax returns in the fiscal year received. Due to the enactment of the Consolidated Appropriations Act, 2021, on December 27, 2020, Congress specifically allows the deduction of any expenses associated with forgiven PPP loan proceeds. It is the Company’s assumption at December 31, 2020 that all PPP loans will be forgiven and therefore all associated expenses are being treated as deductible. The Company has sufficient federal and state net operating losses for the period to cover the resulting provisional December 31, 2020 taxable income, except in Mississippi, the source of the substantial majority of the Company’s PRF. The three and six months ended December 31, 2020 current tax expense, as booked, represents Mississippi state income tax. Because Retainable PRF is includable in the tax year received, the Company included $4,586 of Retainable PRF in taxable income for its tax year ended June 30, 2020 and is including $423 of the Refundable PRF received during the six months ended December 31, 2020, in taxable income relating to its tax year ended June 30, 2021. The Company is projecting a taxable loss for the period ended June 30, 2021 notwithstanding inclusion of the $423 of Retainable PRF. The Company will continue to monitor the latest available IRS guidance relating to these funds for treatment on the June 30, 2020 tax return filing, which is due April 15, 2021. In accordance with the Financial Accounting Standards Board Accounting Standards Codification (“ASC”) 740, we evaluate our deferred taxes quarterly to determine if adjustments to our valuation allowance are required based on the consideration of available positive and negative evidence using a “more likely than not” standard with respect to whether deferred tax assets will be realized. Our evaluation considers, among other factors, our historical operating results, our expectation of future results of operations, the duration of applicable statuary carryforward periods and conditions of the healthcare industry. The ultimate realization of our deferred tax assets depends primarily on our ability to generate future taxable income during the periods in which the related temporary differences in the financial basis and the tax basis of the assets become deductible. The value of our deferred tax assets will depend on applicable income tax rates. At December 31, 2020, consistent with the above process, we evaluated the need for a valuation against our deferred tax assets and determined that it was more likely than not that none of our deferred tax assets would be realized. As a result, in accordance with ASC 740, we recognized a valuation allowance of $7,669 against the deferred tax asset so that there is no net long-term deferred income tax asset or liability at December 31, 2020. We conducted our evaluation by considering available positive and negative evidence to determine our ability to realize our deferred tax assets. In our evaluation, we gave more significant weight to evidence that was objective in nature as compared to subjective evidence. Also, more significant weight was given to evidence that directly related to our current financial performance as compared to less current evidence and future performance. The principal negative evidence that led us to determine at December 31, 2020 that all the deferred tax assets should have full valuation allowances was the projected current fiscal year tax loss as well as the underlying negative business conditions for rural healthcare businesses in which our Healthcare Services Segment businesses operate and the Federal income tax net operating loss carry-forward of approximately $15,248. The net operating loss carry-forward includes the $5,008 of Retained PRF received through December 31, 2020. For Federal income tax purposes, at December 31, 2020, the Company had approximately $15,248 of estimated net operating loss carry-forwards available for use in future years subject to the limitations of the provisions of Internal Revenue Code Section 382. These net operating loss carryforwards expire primarily in fiscal 2023 through fiscal 2038; however, with the enactment of the Tax Cut and Jobs Act on December 22, 2017, federal net operating loss carryforwards generated in taxable years beginning after December 31, 2017 now have no expiration date. The Company’s returns for the periods prior to the fiscal year ended June 30, 2017 are no longer subject to potential federal and state income tax examination.

Leases

Leases	6 Months Ended
	Dec. 31, 2020
Leases [Abstract]
Leases	Note 9. – Leases The Company has operating leases and a financing lease relating to its pharmacy operations, medical office buildings, certain medical equipment and office equipment. All lease agreements generally require the Company to pay maintenance, repairs, property taxes and insurance costs, which are variable amounts based on actual costs. Variable lease costs also include escalating rent payments that are not fixed at commencement but are based on an index determined in future periods over the lease term based on changes in the Consumer Price Index or other measure of cost inflation. Some leases include one or more options to renew the lease at the end of the initial term, with renewal terms that generally extend the lease at the then market rental rates. Leases may also include an option to buy the underlying asset at or a short time prior to the termination of the lease. All such options are at the Company’s discretion and are evaluated at the commencement of the lease, with only those that are reasonably certain of exercise included in determining the appropriate lease term. The components of lease cost and rent expense for the three and six months ended December 31, 2020 and 2019 are as follows: Three Months Ended Three Months Ended Six Months Ended Six Months Ended Lease Cost December 31, 2020 December 31, 2019 December 31, 2020 December 31, 2019 Operating lease cost: Operating lease cost $ 142 $ 143 $ 260 $ 290 Short-term rent expense (22 ) 4 29 15 Variable lease cost 0 0 1 1 Total operating lease cost $ 120 $ 147 $ 290 $ 306 Finance lease cost: Amortization right-of-use assets $ 9 $ 9 $ 18 $ 18 Interest on finance lease liabilities 2 2 4 5 Total finance lease cost $ 11 $ 11 $ 22 $ 23 Supplemental balance sheet information relating to leases was as follows: As of As of December 31, June 30, 2020 2020 Operating Leases: Balance Sheet Classifications Operating Lease ROU Assets ROU Assets $ 1,426 $ 970 Finance Leases: Finance Lease ROU Assets Property, plant and equipment 203 203 Accumulated amortization Accumulated depreciation 57 43 Current finance lease liabilities Current maturities of long-term debt 35 34 Long-term finance lease liabilities Long-term debt 72 90 Supplemental cash flow and other information related to leases as of and for the three and six months ended December 31, 2020 and 2019 are as follows: Three Months Ended Six Months Ended Other information December 31, 2020 December 31, 2019 December 31, 2020 December 31, 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 141 $ 150 $ 260 $ 289 Operating cash flows from finance leases 2 2 4 5 Financing cash flow from finance leases 9 8 17 16 Right-of-use assets obtained in exchange for new operating lease liabilities 682 9 691 1,448 Weighted-average remaining lease term: Operating leases 2.90 years 3.91 years 2.90 years 3.91 years Finance leases 4.28 years 3.77 years 4.28 years 3.77 years Weighted-average discount rate: Operating leases 3.49 % 6.54 % 3.49 % 6.54 % Finance leases 6.54 % 5.53 % 6.54 % 5.53 % Commitments relating to non-cancellable operating and finance leases as of December 31, 2020 for each of the next five years and thereafter are as follows: Payments due within Operating Leases Finance Leases 1 year $ 498 $ 42 2 years 294 42 3 years 251 36 4 years 242 0 5 years 221 0 Over 5 years 41 0 Total minimum future payments 1,547 120 Less: Imputed interest (98 ) (13 ) Total liabilities 1,449 107 Less: Current portion (460 ) (35 ) Long-term liabilities $ 989 $ 72

Accrued Sales Tax

Accrued Sales Tax	6 Months Ended
	Dec. 31, 2020
Payables And Accruals [Abstract]
Accrued Sales Tax	Note 10. – Accrued Sales Tax During the fiscal year ended June 30, 2019, the Pharmacy segment business amended its sales tax position to claim exemption from sales taxes on any revenue from sales of products and services to beneficiaries of government insurance programs to the extent reimbursed by the administrators of such programs. No such sales taxes for any period subsequent to those covered by such amended returns have been paid on the related reimbursement received with respect to sales of such products and services from the government payers’ insurance programs. The Company has filed amended sales tax returns for periods still open under the applicable statutes of limitations claiming refunds for such sales taxes. Refunds have been received from two taxing authorities in the amounts claimed on amended returns for such authorities. Accordingly, amounts claimed and received from these two taxing authorities were recorded as revenues in the fiscal quarter ended December 31, 2019 in the amount of $359. The Company’s position with respect to such refunds claimed from other local taxing authorities is still uncertain and such claims have not yet been determined probable of collection; therefore, no amount is recorded as a receivable by the Company at December 31, 2020 for such other local taxing authorities. In addition, the Company has continued to accrue the amounts for sales tax estimates from such other taxing authorities in amounts it believes would be payable if its amended returns and continuing position were challenged and the Company were not to prevail. The unpaid sales tax accrued as a liability at December 31 , 2020 is $1,676 compared to $1,411 at June 30, 2020.

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
	Dec. 31, 2020
Commitments And Contingencies Disclosure [Abstract]
Commitments and Contingencies	Note 11. – Commitments and Contingencies Contractual obligations, commitments and contingencies related to outstanding debt and interest in continuing operations at December 31, 2020 were as follows: Payments due within: Long-Term Debt Interest on Outstanding Debt 1 year $ 1,582 $ 54 2 years 1,725 11 3 years 34 1 4 years 0 0 5 years 0 0 $ 3,341 $ 66 Contingencies do not reflect potential amounts for claims, litigation and other uncertainties, which matters are not probable or cannot be estimated, such as for certain professional liabilities and contract matters, including those relating to prior assets sales.

Related Party Transactions

Related Party Transactions	6 Months Ended
	Dec. 31, 2020
Related Party Transactions [Abstract]
Related Party Transactions	Note 12. – Related Party Transactions A director of the Company is a member of a law firm which provides services to SunLink. The Company expensed an aggregate of $16 and $62 for legal services to this law firm in the three months ended December 31, 2020 and 2019, respectively. The Company expensed an aggregate of $71 and $180 for legal services to this law firm in the six months ended December 31, 2020 and 2019, respectively. Included in the Company’s condensed consolidated balance sheets at December 31, 2020 and June 30, 2020 is $15 and $6, respectively, of amounts payable to this law firm.

Asset Sales

Asset Sales	6 Months Ended
	Dec. 31, 2020
Asset Sales [Abstract]
Asset Sales	Note 13. – Asset Sales On September 9, 2019, the Company sold approximately 11.4 acres of undeveloped land in Fulton, MO. After expenses, the Company received net proceeds from the sale of $348, which was retained for working capital and general corporate purposes. The pre-tax gain on the sale of property was $100 and is included in the Company’s results for the six months ended December 31, 2019.

Financial Information by Segmen

Financial Information by Segment	6 Months Ended
	Dec. 31, 2020
Segment Reporting [Abstract]
Financial Information by Segment	Note 14. – Financial Information by Segment Under ASC Topic No. 280, Segment Reporting, operating segments are defined as components of an enterprise about which separate financial information is available that is evaluated regularly by the chief operating decision maker, or decision-making group, in deciding how to allocate resources and in assessing performance. Our chief operating decision-making group is composed of SunLink’s chief executive officer and other members of SunLink’s senior management. Our two reportable operating segments are Healthcare Services and Pharmacy. We evaluate performance of our operating segments based on revenue and operating profit (loss). At the beginning of the current fiscal year, the Company modified the approach to certain assets, and expense allocations to calculate segment assets, operating profit and depreciation and amortization. All prior year amounts have been changed to consistently apply the changed allocation method used in the current year. Segment information as of December 31, 2020 and 2019 and for the three and six months then ended is as follows: Healthcare Services Pharmacy Corporate and Other Total As of and for the three months ended December 31, 2020 Net revenues from external customers $ 3,368 $ 6,782 $ 0 $ 10,150 Operating profit (loss) (35 ) 62 (281 ) (254 ) Depreciation and amortization 85 233 0 318 Assets 8,024 8,546 11,952 28,522 Expenditures for property, plant and equipment 90 315 0 405 As of and for the three months ended December 31, 2019 Net revenues from external customers $ 4,314 $ 8,491 $ 0 $ 12,805 Operating profit (loss) 297 518 (534 ) 281 Depreciation and amortization 89 260 1 350 Assets 7,339 9,892 5,592 22,823 Expenditures for property, plant and equipment 17 280 0 297 As of and for the six months ended December 31, 2020, Net revenues from external customers $ 6,833 $ 13,739 $ 0 $ 20,572 Operating profit (loss) (90 ) 257 (744 ) (577 ) Depreciation and amortization 164 454 0 618 Assets 8,024 8,546 11,952 28,522 Expenditures for property, plant and equipment 325 668 7 1,000 As of and for the six months ended December 31, 2019, Net revenues from external customers $ 8,546 $ 15,911 $ 0 $ 24,457 Operating profit (loss) 465 781 (1,185 ) 61 Depreciation and amortization 177 506 2 685 Assets 7,339 9,892 5,592 22,823 Expenditures for property, plant and equipment 55 493 0 548

Basis of Presentation (Policies

Basis of Presentation (Policies)	6 Months Ended
	Dec. 31, 2020
Organization Consolidation And Presentation Of Financial Statements [Abstract]
Basis of Presentation	The accompanying unaudited Condensed Consolidated Financial Statements as of December 31, 2020 and for the three and six month periods ended December 31, 2020 and 2019 have been prepared in accordance with Rule 10-01 and Article 8 of Regulation S-X of the Securities and Exchange Commission (“SEC”) and, as such, do not include all information required by accounting principles generally accepted in the United States of America (“GAAP”). The condensed consolidated June 30, 2020 balance sheet included in this interim filing has been derived from the audited financial statements at that date but does not include all the information and related notes required by GAAP for complete financial statements. These Condensed Consolidated Financial Statements should be read in conjunction with the audited consolidated financial statements included in the SunLink Health Systems, Inc. (“SunLink”, “we”, “our”, “ours”, “us” or the “Company”) Annual Report on Form 10-K for the fiscal year ended June 30, 2020, filed with the SEC on September 28, 2020. In the opinion of management, the Condensed Consolidated Financial Statements, which are unaudited, include all adjustments, consisting only of normal recurring adjustments, necessary to present fairly the financial position and results of operations for the periods indicated. The results of operations for the three and six month periods ended December 31, 2020 are not necessarily indicative of the results that may be expected for the entire fiscal year or any other interim period. Throughout these notes to the consolidated financial statements, SunLink Health Systems, Inc., and its consolidated subsidiaries are referred to on a collective basis as “SunLink”, “we”, “our”, “ours”, “us” or the “Company.” This drafting style is not meant to indicate that the publicly traded Company or any subsidiary of the Company owns or operates any particular asset, business or property. Each operation and business described in this filing is owned and operated by a distinct and indirect subsidiary of SunLink Health System, Inc.

Discontinued Operations (Tables

Discontinued Operations (Tables)	6 Months Ended
	Dec. 31, 2020
Discontinued Operations And Disposal Groups [Abstract]
Schedule of Discontinued Operations	Results for all the businesses included in discontinued operations are presented in the following table: Three Months Ended Six Months Ended December 31, December 31, 2020 2019 2020 2019 Net Revenues: Sold Hospitals $ (5 ) $ 13 (2 ) 37 $ (5 ) $ 13 $ (2 ) $ 37 Loss before income taxes: Sold Hospitals $ (52 ) $ (202 ) (81 ) (295 ) Life sciences and engineering (20 ) (43 ) (40 ) (68 ) Loss from discontinued operations before income taxes (72 ) (245 ) (121 ) (363 ) Income tax expense 0 0 0 0 Loss from discontinued operations $ (72 ) $ (245 ) $ (121 ) $ (363 )
Components of Pension Expense	The components of pension expense for the three and six months ended December 31, 2020 and 2019, respectively, were as follows: Three Months Ended Six Months Ended December 31, December 31, 2020 2019 2020 2019 Interest Cost $ 10 $ 10 $ 20 $ 24 Expected return on assets (9 ) (8 ) (18 ) (17 ) Amortization of prior service cost 19 41 38 61 Net pension expense $ 20 $ 43 $ 40 $ 68

Shareholders' Equity (Tables)

Shareholders' Equity (Tables)	6 Months Ended
	Dec. 31, 2020
Federal Home Loan Banks [Abstract]
Summary of Total Share Repurchased and Average Price Per Share Paid for the Program	The chart below shows by month the total shares repurchased and average price per share paid for the 2019-2020 Program through December 31, 2019. Total Shares Average Price Purchased Per Share Paid November 2019 935 $ 1.17 December 2019 2,879 1.18 3,814 $ 1.17

Revenue and Accounts Receivab_2

Revenue and Accounts Receivables (Tables)	6 Months Ended
	Dec. 31, 2020
Receivables [Abstract]
Summary of Revenues by Payor	Revenues by payor were as follows for the three and six months ended December 31, 2020 and 2019: Three Months Ended Six Months Ended December 31, December 31, 2020 2019 2020 2019 Medicare $ 4,715 $ 5,295 $ 9,248 $ 10,359 Medicaid 2,600 4,061 5,221 7,244 Retail and Institutional Pharmacy 1,395 1,442 3,085 3,141 Managed Care & Other Insurance 1,289 1,877 2,721 3,396 Self-pay 120 90 221 238 Other 31 40 76 79 Total Net Revenues $ 10,150 $ 12,805 $ 20,572 $ 24,457

Intangible Assets (Tables)

Intangible Assets (Tables)	6 Months Ended
	Dec. 31, 2020
Goodwill And Intangible Assets Disclosure [Abstract]
Intangible Assets	Intangibles consist of the following, net of amortization: December 31, 2020 June 30, 2020 Pharmacy Segment Intangibles Trade Name (non-amortizing) $ 1,180 $ 1,180 Customer Relationships 1,089 1,089 Medicare License 623 623 2,892 2,892 Accumulated Amortization (1,652 ) (1,638 ) Net Intangibles $ 1,240 $ 1,254

Long-Term Debt (Tables)

Long-Term Debt (Tables)	6 Months Ended
	Dec. 31, 2020
Debt Disclosure [Abstract]
Summary of Long-Term Debt	Long-term debt consisted of the following: December 31, 2020 June 30, 2020 CARES Act Paycheck Protection Plan Loans $ 3,234 $ 3,234 Capital Lease 107 124 Less current maturities (1,582 ) (1,401 ) Long-term Debt $ 1,759 $ 1,957

Leases (Tables)

Leases (Tables)	6 Months Ended
	Dec. 31, 2020
Leases [Abstract]
Components of Lease Cost and Rent Expense	The components of lease cost and rent expense for the three and six months ended December 31, 2020 and 2019 are as follows: Three Months Ended Three Months Ended Six Months Ended Six Months Ended Lease Cost December 31, 2020 December 31, 2019 December 31, 2020 December 31, 2019 Operating lease cost: Operating lease cost $ 142 $ 143 $ 260 $ 290 Short-term rent expense (22 ) 4 29 15 Variable lease cost 0 0 1 1 Total operating lease cost $ 120 $ 147 $ 290 $ 306 Finance lease cost: Amortization right-of-use assets $ 9 $ 9 $ 18 $ 18 Interest on finance lease liabilities 2 2 4 5 Total finance lease cost $ 11 $ 11 $ 22 $ 23
Summary of Supplemental Balance Sheet Information	Supplemental balance sheet information relating to leases was as follows: As of As of December 31, June 30, 2020 2020 Operating Leases: Balance Sheet Classifications Operating Lease ROU Assets ROU Assets $ 1,426 $ 970 Finance Leases: Finance Lease ROU Assets Property, plant and equipment 203 203 Accumulated amortization Accumulated depreciation 57 43 Current finance lease liabilities Current maturities of long-term debt 35 34 Long-term finance lease liabilities Long-term debt 72 90
Summary of Supplemental Cash Flow and Other Information Related to Leases	Supplemental cash flow and other information related to leases as of and for the three and six months ended December 31, 2020 and 2019 are as follows: Three Months Ended Six Months Ended Other information December 31, 2020 December 31, 2019 December 31, 2020 December 31, 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 141 $ 150 $ 260 $ 289 Operating cash flows from finance leases 2 2 4 5 Financing cash flow from finance leases 9 8 17 16 Right-of-use assets obtained in exchange for new operating lease liabilities 682 9 691 1,448 Weighted-average remaining lease term: Operating leases 2.90 years 3.91 years 2.90 years 3.91 years Finance leases 4.28 years 3.77 years 4.28 years 3.77 years Weighted-average discount rate: Operating leases 3.49 % 6.54 % 3.49 % 6.54 % Finance leases 6.54 % 5.53 % 6.54 % 5.53 %
Summary of Non-cancellable Operating and Finance Leases	Commitments relating to non-cancellable operating and finance leases as of December 31, 2020 for each of the next five years and thereafter are as follows: Payments due within Operating Leases Finance Leases 1 year $ 498 $ 42 2 years 294 42 3 years 251 36 4 years 242 0 5 years 221 0 Over 5 years 41 0 Total minimum future payments 1,547 120 Less: Imputed interest (98 ) (13 ) Total liabilities 1,449 107 Less: Current portion (460 ) (35 ) Long-term liabilities $ 989 $ 72

Commitments and Contingencies (

Commitments and Contingencies (Tables)	6 Months Ended
	Dec. 31, 2020
Commitments And Contingencies Disclosure [Abstract]
Schedule of Contractual Obligations, Commitments and Contingencies	Contractual obligations, commitments and contingencies related to outstanding debt and interest in continuing operations at December 31, 2020 were as follows: Payments due within: Long-Term Debt Interest on Outstanding Debt 1 year $ 1,582 $ 54 2 years 1,725 11 3 years 34 1 4 years 0 0 5 years 0 0 $ 3,341 $ 66

Financial Information by Segm_2

Financial Information by Segment (Tables)	6 Months Ended
	Dec. 31, 2020
Segment Reporting [Abstract]
Segment Information	Segment information as of December 31, 2020 and 2019 and for the three and six months then ended is as follows: Healthcare Services Pharmacy Corporate and Other Total As of and for the three months ended December 31, 2020 Net revenues from external customers $ 3,368 $ 6,782 $ 0 $ 10,150 Operating profit (loss) (35 ) 62 (281 ) (254 ) Depreciation and amortization 85 233 0 318 Assets 8,024 8,546 11,952 28,522 Expenditures for property, plant and equipment 90 315 0 405 As of and for the three months ended December 31, 2019 Net revenues from external customers $ 4,314 $ 8,491 $ 0 $ 12,805 Operating profit (loss) 297 518 (534 ) 281 Depreciation and amortization 89 260 1 350 Assets 7,339 9,892 5,592 22,823 Expenditures for property, plant and equipment 17 280 0 297 As of and for the six months ended December 31, 2020, Net revenues from external customers $ 6,833 $ 13,739 $ 0 $ 20,572 Operating profit (loss) (90 ) 257 (744 ) (577 ) Depreciation and amortization 164 454 0 618 Assets 8,024 8,546 11,952 28,522 Expenditures for property, plant and equipment 325 668 7 1,000 As of and for the six months ended December 31, 2019, Net revenues from external customers $ 8,546 $ 15,911 $ 0 $ 24,457 Operating profit (loss) 465 781 (1,185 ) 61 Depreciation and amortization 177 506 2 685 Assets 7,339 9,892 5,592 22,823 Expenditures for property, plant and equipment 55 493 0 548

Business Operations - Additiona

Business Operations - Additional Information (Detail) $ in Thousands	3 Months Ended		6 Months Ended	9 Months Ended	12 Months Ended
	Dec. 31, 2020USD ($)	Jun. 30, 2020USD ($)	Dec. 31, 2020SegmentBedaArea	Dec. 31, 2020USD ($)	Jun. 30, 2020USD ($)
Business And Organization [Line Items]
Number of segments | Segment			2
Provider Relief Fund Distributions CARES Act [Member]
Business And Organization [Line Items]
Recognized amount related to provide relief fund as other income	$ 3,417
Paycheck Protection Program, CARES Act [Member]
Business And Organization [Line Items]
Debt instrument maturity period			2 years
Annual interest rate	1.00%		1.00%	1.00%
Healthcare Services Segment [Member] | Mississippi [Member]
Business And Organization [Line Items]
Area of unimproved land owned by subsidiary | a			5
Healthcare Services Segment [Member] | Georgia [Member]
Business And Organization [Line Items]
Area of unimproved land owned by subsidiary | a			25
Healthcare Services Segment [Member] | Acute Care Hospital [Member] | Mississippi [Member]
Business And Organization [Line Items]
Number of licensed-bed owned and operated by a subsidiary | Bed			84
Number of bed in nursing home owned and operated by subsidiary | Bed			66
Number of bed in geriatric psychology subsidiary | Bed			18
Pharmacy Segment [Member] | Louisiana [Member]
Business And Organization [Line Items]
Number of operational areas | Area			3
Healthcare and Pharmacy segments [Member]
Business And Organization [Line Items]
Funds received		$ 8,242
Healthcare and Pharmacy segments [Member] | Provider Relief Fund Distributions CARES Act [Member]
Business And Organization [Line Items]
Proceeds under relief fund distributions				$ 5,008	$ 4,586
Healthcare and Pharmacy segments [Member] | Paycheck Protection Program, CARES Act [Member]
Business And Organization [Line Items]
Proceeds from long-term debt		$ 3,234

Discontinued Operations - Sched

Discontinued Operations - Schedule of Discontinued Operations (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2020	Dec. 31, 2019
Net Revenues:
Net revenues	$ (5)	$ 13	$ (2)	$ 37
Loss before income taxes:
Loss from discontinued operations before income taxes	(72)	(245)	(121)	(363)
Income tax expense	0	0	0	0
Loss from discontinued operations	(72)	(245)	(121)	(363)
Sold Hospitals [Member]
Net Revenues:
Net revenues	(5)	13	(2)	37
Loss before income taxes:
Loss from discontinued operations before income taxes	(52)	(202)	(81)	(295)
Life Sciences and Engineering [Member]
Loss before income taxes:
Loss from discontinued operations before income taxes	$ (20)	$ (43)	$ (40)	$ (68)

Discontinued Operations - Compo

Discontinued Operations - Components of Pension Expense (Detail) - Life Sciences and Engineering [Member] - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2020	Dec. 31, 2019
Defined Benefit Plan Disclosure [Line Items]
Defined Benefit Plan, Type [Extensible List]	us-gaap:PensionPlansDefinedBenefitMember	us-gaap:PensionPlansDefinedBenefitMember	us-gaap:PensionPlansDefinedBenefitMember	us-gaap:PensionPlansDefinedBenefitMember
Interest Cost	$ 10	$ 10	$ 20	$ 24
Expected return on assets	(9)	(8)	(18)	(17)
Amortization of prior service cost	19	41	38	61
Net pension expense	$ 20	$ 43	$ 40	$ 68

Discontinued Operations - Addit

Discontinued Operations - Additional Information (Detail) - Life Sciences and Engineering [Member] $ in Thousands	6 Months Ended
	Dec. 31, 2020USD ($)
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Contribution to pension plan	$ 50
Expected contribution to pension plan during the remaining fiscal year	$ 50

Shareholders' Equity - Addition

Shareholders' Equity - Additional Information (Detail) - USD ($)	3 Months Ended		6 Months Ended
	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2020	Dec. 31, 2019	Oct. 08, 2019
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation, amount recognized	$ 0	$ 0	$ 0	$ 28,000
Options granted	0		0
Stock repurchased during period, value		$ 6,000
Stock repurchased during period, shares			3,814
2019-2020 Common Share Repurchase Program [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock repurchased during period, value				$ 4,000
Stock repurchased during period, shares				3,814
Maximum [Member] | 2019-2020 Common Share Repurchase Program [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Amount of shares authorized to be repurchased					$ 750,000
2011 Director Stock Option Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Options granted				50,000

Shareholders' Equity - Summary

Shareholders' Equity - Summary of Total Share Repurchased and Average Price Per Share Paid for the Program (Detail)	6 Months Ended
	Dec. 31, 2020$ / sharesshares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total Shares Purchased | shares	3,814
Average Price Per Share Paid | $ / shares	$ 1.17
November 2019 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total Shares Purchased | shares	935
Average Price Per Share Paid | $ / shares	$ 1.17
December 2019 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total Shares Purchased | shares	2,879
Average Price Per Share Paid | $ / shares	$ 1.18

Revenue and Accounts Receivab_3

Revenue and Accounts Receivables - Summary of Revenue by Payor (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2020	Dec. 31, 2019
Segment Reporting Revenue Reconciling Item [Line Items]
Net Revenues	$ 10,150	$ 12,805	$ 20,572	$ 24,457
Medicare [Member]
Segment Reporting Revenue Reconciling Item [Line Items]
Net Revenues	4,715	5,295	9,248	10,359
Medicaid [Member]
Segment Reporting Revenue Reconciling Item [Line Items]
Net Revenues	2,600	4,061	5,221	7,244
Retail and Institutional Pharmacy [Member]
Segment Reporting Revenue Reconciling Item [Line Items]
Net Revenues	1,395	1,442	3,085	3,141
Managed Care & Other Insurance [Member]
Segment Reporting Revenue Reconciling Item [Line Items]
Net Revenues	1,289	1,877	2,721	3,396
Self-Pay [Member]
Segment Reporting Revenue Reconciling Item [Line Items]
Net Revenues	120	90	221	238
Other [Member]
Segment Reporting Revenue Reconciling Item [Line Items]
Net Revenues	$ 31	$ 40	$ 76	$ 79

Revenue and Accounts Receivab_4

Revenue and Accounts Receivables - Additional Information (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2020	Dec. 31, 2019
Receivables [Abstract]
Net revenues for settlements and filings of prior year Medicare and Medicaid cost reports	$ 69	$ 107	$ 69	$ 107

Intangible Assets - Intangible

Intangible Assets - Intangible Assets (Detail) - USD ($) $ in Thousands	Dec. 31, 2020	Jun. 30, 2020
Indefinite-lived Intangible Assets [Line Items]
Total	$ 1,240	$ 1,254
Specialty Pharmacy Segment [Member]
Indefinite-lived Intangible Assets [Line Items]
Finite and Indefinite-Lived Intangible Assets, Gross	2,892	2,892
Accumulated Amortization	(1,652)	(1,638)
Total	1,240	1,254
Trade Name [Member] | Specialty Pharmacy Segment [Member]
Indefinite-lived Intangible Assets [Line Items]
Indefinite-Lived Intangible Assets	1,180	1,180
Customer Relationships [Member] | Specialty Pharmacy Segment [Member]
Indefinite-lived Intangible Assets [Line Items]
Finite-Lived Intangible Assets, Gross	1,089	1,089
Medicare License [Member] | Specialty Pharmacy Segment [Member]
Indefinite-lived Intangible Assets [Line Items]
Finite-Lived Intangible Assets, Gross	$ 623	$ 623

Intangible Assets - Additional

Intangible Assets - Additional Information (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2020	Dec. 31, 2019
Goodwill And Intangible Assets Disclosure [Abstract]
Amortization expense	$ 7	$ 29	$ 14	$ 58

Long-Term Debt - Summary of Lon

Long-Term Debt - Summary of Long-Term Debt (Detail) - USD ($) $ in Thousands	Dec. 31, 2020	Jun. 30, 2020
Debt Instrument [Line Items]
Capital Lease	$ 107	$ 124
Less current maturities	(1,582)	(1,401)
Long-term Debt	1,759	1,957
CARES Act Paycheck Protection Plan Loans [Member]
Debt Instrument [Line Items]
Loans	$ 3,234	$ 3,234

Long-Term Debt (CARES Act Paych

Long-Term Debt (CARES Act Paycheck Protection Plan Loans) - Additional Information (Detail) - CARES Act Paycheck Protection Plan Loans [Member] $ in Thousands	2 Months Ended
	May 31, 2020USD ($)
Debt Instrument [Line Items]
PPP loans from bank	$ 3,234
Debt instrument maturity period	2 years
Debt instrument, annual interest rate	1.00%

Income Taxes - Additional Infor

Income Taxes - Additional Information (Detail) - USD ($)	3 Months Ended		6 Months Ended		9 Months Ended	12 Months Ended
	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2020	Jun. 30, 2020
Schedule Of Income Taxes [Line Items]
Income tax expense	$ 15,000	$ 0	$ 15,000	$ 0
Federal tax expense	15,000		15,000
State tax expense	15,000		15,000
Addition to taxable income			423,000
Deferred income tax valuation allowance	7,669,000		7,669,000		$ 7,669,000
Net long-term deferred income tax asset or liability	0		0		0
Net operating loss carry-forward	$ 15,248,000		$ 15,248,000		15,248,000
Net operating loss carryforward expiration year			2023 through fiscal 2038
Healthcare and Pharmacy segments [Member] | Provider Relief Fund Distributions CARES Act [Member]
Schedule Of Income Taxes [Line Items]
Proceeds under relief fund distributions					$ 5,008,000	$ 4,586,000

Lease - Components of Lease Cos

Lease - Components of Lease Cost and Rent Expense (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2020	Dec. 31, 2019
Operating lease cost:
Operating lease cost	$ 142	$ 143	$ 260	$ 290
Short-term rent expense	(22)	4	29	15
Variable lease cost	0	0	1	1
Total operating lease cost	120	147	290	306
Finance lease cost:
Amortization right-of-use assets	9	9	18	18
Interest on finance lease liabilities	2	2	4	5
Total finance lease cost	$ 11	$ 11	$ 22	$ 23

Lease - Summary of Supplemental

Lease - Summary of Supplemental Balance Sheet Information Relating to Leases (Detail) - USD ($) $ in Thousands	Dec. 31, 2020	Jun. 30, 2020
Operating Leases:
Operating Lease ROU Assets	$ 1,426	$ 970
Finance Leases:
Finance Lease ROU Assets	$ 203	$ 203
Finance Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List]	us-gaap:PropertyPlantAndEquipmentNet	us-gaap:PropertyPlantAndEquipmentNet
Accumulated amortization	$ 57	$ 43
Current finance lease liabilities	$ 35	$ 34
Finance Lease, Liability, Current, Statement of Financial Position [Extensible List]	us-gaap:LongTermDebtCurrent	us-gaap:LongTermDebtCurrent
Long-term finance lease liabilities	$ 72	$ 90
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List]	us-gaap:LongTermDebtNoncurrent	us-gaap:LongTermDebtNoncurrent

Lease - Summary of Supplement_2

Lease - Summary of Supplemental Cash Flow and Other Information Related to Leases (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2020	Dec. 31, 2019
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$ 141	$ 150	$ 260	$ 289
Operating cash flows from finance leases	2	2	4	5
Financing cash flow from finance leases	9	8	17	16
Right-of-use assets obtained in exchange for new operating lease liabilities	$ 682	$ 9	$ 691	$ 1,448
Weighted-average remaining lease term:
Operating leases	2 years 10 months 24 days	3 years 10 months 28 days	2 years 10 months 24 days	3 years 10 months 28 days
Finance leases	4 years 3 months 10 days	3 years 9 months 7 days	4 years 3 months 10 days	3 years 9 months 7 days
Weighted-average discount rate:
Operating leases	3.49%	6.54%	3.49%	6.54%
Finance leases	6.54%	5.53%	6.54%	5.53%

Lease - Summary of Non-cancella

Lease - Summary of Non-cancellable Operating and Finance Leases (Detail) - USD ($) $ in Thousands	Dec. 31, 2020	Jun. 30, 2020
Leases [Abstract]
1 year	$ 498
2 years	294
3 years	251
4 years	242
5 years	221
Over 5 years	41
Total minimum future payments	1,547
Less: Imputed interest	(98)
Total liabilities	1,449
Less: Current portion	(460)	$ (365)
Long-term liabilities	989	607
1 year	42
2 years	42
3 years	36
4 years	0
5 years	0
Over 5 years	0
Total minimum future payments	120
Less: Imputed interest	(13)
Total liabilities	107
Less: Current portion	(35)	(34)
Long-term finance lease liabilities	$ 72	$ 90

Accrued Sales Tax - Additional

Accrued Sales Tax - Additional Information (Details) $ in Thousands	6 Months Ended
	Dec. 31, 2020USD ($)Authority	Jun. 30, 2020USD ($)	Dec. 31, 2019USD ($)
Payables And Accruals [Abstract]
Number of taxing authorities | Authority	2
Unpaid sales tax liability	$ 1,676	$ 1,411
Amounts claimed and received			$ 359

Commitments and Contingencies -

Commitments and Contingencies - Schedule of Contractual Obligations, Commitments and Contingencies (Detail) $ in Thousands	Dec. 31, 2020USD ($)
Long-Term Debt [Member]
Commitment And Contingencies [Line Items]
Payments due within 1 year	$ 1,582
Payments due within 2 years	1,725
Payments due within in 3 years	34
Payments due within 4 years	0
Payments due within 5years	0
Contractual obligations, commitments and contingencies	3,341
Interest on Outstanding Debt [Member]
Commitment And Contingencies [Line Items]
Payments due within 1 year	54
Payments due within 2 years	11
Payments due within in 3 years	1
Payments due within 4 years	0
Payments due within 5years	0
Contractual obligations, commitments and contingencies	$ 66

Related Party Transactions - Ad

Related Party Transactions - Additional Information (Detail) - Management [Member] - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2020	Dec. 31, 2019	Jun. 30, 2020
Related Party Transaction [Line Items]
Legal services to these law firms	$ 16	$ 62	$ 71	$ 180
Amount payable to law firms	$ 15		$ 15		$ 6

Asset Sales - Additional Inform

Asset Sales - Additional Information (Detail) $ in Thousands	Sep. 09, 2019USD ($)a	Dec. 31, 2020USD ($)	Dec. 31, 2019USD ($)	Dec. 31, 2020USD ($)	Dec. 31, 2019USD ($)
Asset Sales [Line Items]
Pre-tax gain on the sale of property		$ 5	$ 86	$ 13	$ 193
Undeveloped Land [Member] | Fulton, MO [Member]
Asset Sales [Line Items]
Undeveloped land sold | a	11.4
Proceeds from sale	$ 348
Pre-tax gain on the sale of property					$ 100

Financial Information by Segm_3

Financial Information by Segment - Additional Information (Detail)	6 Months Ended
	Dec. 31, 2020Segment
Segment Reporting [Abstract]
Number of segments	2

Financial Information by Segm_4

Financial Information by Segment - Segment Information (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2020	Dec. 31, 2019	Sep. 30, 2020	Jun. 30, 2020	Sep. 30, 2019
Segment Reporting Information [Line Items]
Net revenues from external customers	$ 10,150	$ 12,805	$ 20,572	$ 24,457
Operating profit (loss)	(254)	281	(577)	61
Depreciation and amortization	318	350	618	685
Assets	28,522	22,823	28,522	22,823	$ 28,522	$ 27,971	$ 22,823
Expenditures for property, plant and equipment	405	297	1,000	548
Operating Segments [Member] | Healthcare Services Segment [Member]
Segment Reporting Information [Line Items]
Net revenues from external customers	3,368	4,314	6,833	8,546
Operating profit (loss)	(35)	297	(90)	465
Depreciation and amortization	85	89	164	177
Assets	8,024	7,339	8,024	7,339	8,024		7,339
Expenditures for property, plant and equipment	90	17	325	55
Operating Segments [Member] | Pharmacy Segment [Member]
Segment Reporting Information [Line Items]
Net revenues from external customers	6,782	8,491	13,739	15,911
Operating profit (loss)	62	518	257	781
Depreciation and amortization	233	260	454	506
Assets	8,546	9,892	8,546	9,892	8,546		9,892
Expenditures for property, plant and equipment	315	280	668	493
Corporate and Other [Member]
Segment Reporting Information [Line Items]
Net revenues from external customers	0	0	0	0
Operating profit (loss)	(281)	(534)	(744)	(1,185)
Depreciation and amortization	0	1	0	2
Assets	11,952	5,592	11,952	5,592	$ 11,952		$ 5,592
Expenditures for property, plant and equipment	$ 0	$ 0	$ 7	$ 0