Document And Entity Information
Document And Entity Information - shares | 9 Months Ended | |
Nov. 30, 2017 | Jan. 12, 2018 | |
Document and Entity Information [Abstract] | ||
Entity Registrant Name | Educational Development Corp | |
Document Type | 10-Q | |
Current Fiscal Year End Date | --02-28 | |
Entity Common Stock, Shares Outstanding | 4,088,934 | |
Amendment Flag | false | |
Entity Central Index Key | 31,667 | |
Entity Current Reporting Status | Yes | |
Entity Voluntary Filers | No | |
Entity Filer Category | Smaller Reporting Company | |
Entity Well-known Seasoned Issuer | No | |
Document Period End Date | Nov. 30, 2017 | |
Document Fiscal Year Focus | 2,018 | |
Document Fiscal Period Focus | Q3 |
CONDENSED BALANCE SHEETS (UNAUD
CONDENSED BALANCE SHEETS (UNAUDITED) - USD ($) | Nov. 30, 2017 | Feb. 28, 2017 |
CURRENT ASSETS: | ||
Cash and cash equivalents | $ 6,141,300 | $ 699,200 |
Accounts receivable, less allowance for doubtful accounts and sales returns of $637,000 (November 30) and $675,000 (February 28) | 3,834,700 | 2,917,000 |
Inventories—Net | 24,455,900 | 34,253,100 |
Prepaid expenses and other assets | 999,900 | 695,200 |
Total current assets | 35,431,800 | 38,564,500 |
NONCURRENT INVENTORIES —Net | 196,300 | 192,100 |
PROPERTY, PLANT AND EQUIPMENT—Net | 27,453,100 | 27,034,300 |
OTHER ASSETS | 61,400 | 61,400 |
DEFERRED INCOME TAXES | 0 | 128,000 |
TOTAL ASSETS | 63,142,600 | 65,980,300 |
CURRENT LIABILITIES: | ||
Accounts payable | 10,263,600 | 17,565,300 |
Line of credit | 0 | 4,882,900 |
Deferred revenue | 661,700 | 633,100 |
Current maturities of long-term debt | 1,239,500 | 898,500 |
Accrued salaries and commissions | 4,144,900 | 1,379,700 |
Income taxes payable | 1,989,000 | 1,519,400 |
Other current liabilities | 4,432,200 | 3,218,200 |
Total current liabilities | 22,730,900 | 30,097,100 |
LONG-TERM DEBT-Net of current maturities | 20,686,000 | 20,665,800 |
DEFERRED INCOME TAXES | 51,400 | 0 |
OTHER LONG-TERM LIABILITIES | 106,000 | 0 |
Total liabilities | 43,574,300 | 50,762,900 |
COMMITMENTS (Note 8) | ||
SHAREHOLDERS’ EQUITY: | ||
Common stock, $0.20 par value; Authorized 8,000,000 shares; Issued 6,046,040 (November 30) and 6,041,040 (February 28) shares; Outstanding 4,088,934 (November 30) and 4,090,074 (February 28) shares | 1,209,200 | 1,208,200 |
Capital in excess of par value | 8,573,300 | 8,548,000 |
Retained earnings | 20,708,400 | 16,317,800 |
30,490,900 | 26,074,000 | |
Less treasury stock, at cost | (10,922,600) | (10,856,600) |
Total shareholders' equity | 19,568,300 | 15,217,400 |
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY | $ 63,142,600 | $ 65,980,300 |
CONDENSED BALANCE SHEETS (UNAU3
CONDENSED BALANCE SHEETS (UNAUDITED) (Parentheticals) - USD ($) | Nov. 30, 2017 | Feb. 28, 2017 |
Allowance for doubtful accounts and sales returns (in Dollars) | $ 637,000 | $ 675,000 |
Common Stock, par value (in Dollars per share) | $ 0.20 | $ 0.20 |
Common Stock, shares authorized | 8,000,000 | 8,000,000 |
Common Stock, shares issued | 6,041,040 | 6,041,040 |
Common Stock, shares outstanding | 4,088,934 | 4,090,074 |
CONDENSED STATEMENTS OF EARNING
CONDENSED STATEMENTS OF EARNINGS (UNAUDITED) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Nov. 30, 2017 | Nov. 30, 2016 | Nov. 30, 2017 | Nov. 30, 2016 | |
GROSS SALES | $ 41,894,600 | $ 34,397,300 | $ 100,989,500 | $ 91,657,200 |
Less discounts and allowances | (6,762,300) | (6,948,000) | (19,929,300) | (20,581,900) |
Transportation revenue | 3,775,700 | 3,248,300 | 8,959,900 | 8,299,500 |
NET REVENUES | 38,908,000 | 30,697,600 | 90,020,100 | 79,374,800 |
COST OF GOODS SOLD | 10,494,800 | 8,328,100 | 24,579,200 | 22,500,300 |
Gross margin | 28,413,200 | 22,369,500 | 65,440,900 | 56,874,500 |
OPERATING EXPENSES: | ||||
Operating and selling | 7,837,300 | 6,520,300 | 17,549,900 | 16,790,900 |
Sales commissions | 12,510,400 | 9,521,000 | 28,759,300 | 24,802,200 |
General and administrative | 4,735,200 | 4,525,900 | 12,359,600 | 12,237,600 |
Total operating expenses | 25,082,900 | 20,567,200 | 58,668,800 | 53,830,700 |
OTHER INCOME (EXPENSE): | ||||
Interest expense | (287,600) | (265,000) | (863,800) | (730,000) |
Other income | 390,100 | 502,800 | 1,189,400 | 1,251,600 |
Total other income | 102,500 | 237,800 | 325,600 | 521,600 |
EARNINGS BEFORE INCOME TAXES | 3,432,800 | 2,040,100 | 7,097,700 | 3,565,400 |
INCOME TAXES | 1,304,400 | 765,900 | 2,707,100 | 1,352,500 |
NET EARNINGS | $ 2,128,400 | $ 1,274,200 | $ 4,390,600 | $ 2,212,900 |
BASIC AND DILUTED EARNINGS PER SHARE: | ||||
Basic (in Dollars per share) | $ 0.52 | $ 0.31 | $ 1.07 | $ 0.54 |
Diluted (in Dollars per share) | 0.52 | 0.31 | 1.07 | 0.54 |
DIVIDENDS PER SHARE (in Dollars per share) | $ 0 | $ 0.09 | $ 0 | $ 0.27 |
WEIGHTED AVERAGE NUMBER OF COMMON AND EQUIVALENT SHARES OUTSTANDING: | ||||
Basic (in Shares) | 4,087,268 | 4,079,916 | 4,087,686 | 4,074,355 |
Diluted (in Shares) | 4,090,011 | 4,084,863 | 4,090,053 | 4,079,833 |
CONDENSED STATEMENT OF CHANGES
CONDENSED STATEMENT OF CHANGES IN SHAREHOLDERS' EQUITY (UNAUDITED) - 9 months ended Nov. 30, 2017 - USD ($) | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Treasury Stock [Member] | Total |
Balance at Feb. 28, 2017 | $ 1,208,200 | $ 8,548,000 | $ 16,317,800 | $ (10,856,600) | $ 15,217,400 |
Balance (in Shares) at Feb. 28, 2017 | 6,041,040 | 1,950,966 | |||
Exercise of stock options | $ 1,000 | 25,300 | 26,300 | ||
Exercise of stock options (in Shares) | 5,000 | ||||
Purchases of treasury stock | $ (98,000) | (98,000) | |||
Purchases of treasury stock (in Shares) | 10,041 | ||||
Sales of treasury stock | $ 32,000 | 32,000 | |||
Sales of treasury stock (in Shares) | (3,901) | ||||
Net earnings | 4,390,600 | 4,390,600 | |||
Balance at Nov. 30, 2017 | $ 1,209,200 | $ 8,573,300 | $ 20,708,400 | $ (10,922,600) | $ 19,568,300 |
Balance (in Shares) at Nov. 30, 2017 | 6,046,040 | 1,957,106 |
CONDENSED STATEMENTS OF CASH FL
CONDENSED STATEMENTS OF CASH FLOWS (UNAUDITED) - USD ($) | 9 Months Ended | |
Nov. 30, 2017 | Nov. 30, 2016 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | ||
Net earnings | $ 4,390,600 | $ 2,212,900 |
Adjustments to reconcile net earnings to net cash provided by (used in) operating activities | ||
Depreciation | 911,700 | 780,400 |
Deferred income taxes | 179,400 | (35,400) |
Provision for doubtful accounts | 438,000 | 558,900 |
Provision for inventory valuation allowance | 33,000 | (37,300) |
Changes in assets and liabilities: | ||
Accounts receivable | (1,355,700) | (1,994,200) |
Inventories, net | 9,760,000 | (16,775,100) |
Prepaid expenses and other assets | (304,700) | (1,661,300) |
Accounts payable | (7,301,700) | 6,889,100 |
Deferred revenue | 28,600 | 6,632,500 |
Accrued salaries and commissions | 2,765,200 | 375,600 |
Other liabilities | 1,320,000 | 2,307,700 |
Income taxes payable | 469,600 | 576,800 |
Total adjustments | 6,943,400 | (2,382,300) |
Net cash provided by (used in) operating activities | 11,334,000 | (169,400) |
CASH FLOWS FROM INVESTING ACTIVITIES: | ||
Purchases of property, plant and equipment | (1,330,500) | (2,123,600) |
Net cash used in investing activities | (1,330,500) | (2,123,600) |
CASH FLOWS FROM FINANCING ACTIVITIES: | ||
Payments on long-term debt | (657,800) | (530,200) |
Proceeds from long-term debt | 1,019,000 | 4,000,000 |
Cash received from sales of treasury stock | 32,000 | 170,700 |
Cash used to purchase treasury stock | (98,000) | (200) |
Proceeds from the issuance of stock options | 26,300 | 0 |
Net payments under the line of credit | (4,882,900) | (451,800) |
Dividends paid | 0 | (1,099,500) |
Net cash provided by (used in) financing activities | (4,561,400) | 2,089,000 |
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS | 5,442,100 | (204,000) |
CASH AND CASH EQUIVALENTS—BEGINNING OF PERIOD | 699,200 | 1,183,700 |
CASH AND CASH EQUIVALENTS—END OF PERIOD | 6,141,300 | 979,700 |
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION: | ||
Cash paid for interest | 868,900 | 730,000 |
Cash paid for income taxes | $ 2,058,100 | $ 811,100 |
Note 1 - BASIS OF PRESENTATION
Note 1 - BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 9 Months Ended |
Nov. 30, 2017 | |
Disclosure Text Block [Abstract] | |
Business Description and Basis of Presentation [Text Block] | Note 1 – BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation The accompanying Unaudited Condensed Financial Statements have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) for interim condensed financial information and in accordance with the rules and regulations of the Securities and Exchange Commission. The Unaudited Condensed Financial Statements include all adjustments considered necessary for a fair presentation of the financial position and results of operations for the interim periods presented. Such adjustments consist only of normal recurring items, unless otherwise disclosed herein. Accordingly, the Unaudited Condensed Financial Statements do not include all of the information and notes required by GAAP for complete financial statements. However, we believe that the disclosures made are adequate to make the information not misleading. These interim Unaudited Condensed Financial Statements should be read in conjunction with our audited financial statements as of and for the year ended February 28, 2017 included in our Form 10-K. The results of operations for interim periods are not necessarily indicative of the results to be expected for a full year due to the seasonality of our product sales. Reclassifications Certain reclassifications have been made to the fiscal 2017 condensed balance sheet and condensed statement of earnings to conform to the classifications used in fiscal 2018. These reclassifications had no effect on net earnings. Use of Estimates in the Preparation of Financial Statements The preparation of the Unaudited Condensed Financial Statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in these financial statements and accompanying notes. Actual results could differ from those estimates. Significant Accounting Policies Our significant accounting policies are consistent with those disclosed in Note 1 to our audited financial statements as of and for the year ended February 28, 2017, included in our Form 10-K. New Accounting Pronouncements The Financial Accounting Standards Board (“FASB”) periodically issues new accounting standards in a continuing effort to improve standards of financial accounting and reporting. We have reviewed the recently issued accounting standards updates (“ASU”) and concluded that the following recently issued accounting standards apply to us . In May 2014, FASB issued ASU No. 2014-09, and amended with ASU No. 2015-14 “Revenue from Contracts with Customers,” which provides a single revenue recognition model which is intended to improve comparability over a range of industries, companies and geographical boundaries and will also result in enhanced disclosures. The changes are effective for fiscal years, and interim periods within those years, beginning after December 15, 2017, which means the first quarter of our fiscal year 2019. We do not expect the adoption of this ASU will have a significant impact on the Company’s financial position, results of operations and cash flows. In July 2015, FASB issued ASU No. 2015-11 "Inventory - Simplifying the Measurement of Inventory", which is intended to allow measurement of inventory at the lower of cost and net realizable value. Net realizable value is the estimated selling prices in the ordinary course of business, less reasonably predictable costs of completion, disposal, and transportation. This ASU In November 2015, FASB issued ASU No. 2015-17, “Income Taxes - Balance Sheet Classification of Deferred Taxes,” which is intended to improve how deferred taxes are classified on organizations’ balance sheets by eliminating the current requirement for organizations to present deferred tax liabilities and assets as current and noncurrent in a classified balance sheet. Instead, organizations will now be required to classify all deferred tax assets and liabilities as noncurrent. The changes are effective for financial statements issued for annual periods beginning after December 15, 2016, and interim periods within those annual periods, which means the first quarter of our fiscal year 2018. We have retrospectively implemented this new presentation in our condensed financial statements. As such, for the period ending of February 28, 2017, we reclassified $466,000 of current deferred tax assets to noncurrent assets and netted $338,000 of deferred tax liabilities against the balance on the condensed balance sheet. The adoption of this ASU did not affect our statements of earnings. In February 2016, FASB issued ASU No. 2016-02, “Leases,” which is intended to establish a comprehensive new lease accounting model. The new standard clarifies the definition of a lease, requires a dual approach to lease classification similar to current lease classifications, and causes lessees to recognize leases on the balance sheet as a lease liability with a corresponding right-of-use asset. The new standard is effective for interim and annual periods beginning after December 15, 2018, which means the first quarter of our fiscal year 2020. The new standard requires a modified retrospective transition for capital or operating leases existing at or entered into after the beginning of the earliest comparative period presented in the financial statements. We are currently reviewing the ASU and evaluating the potential impact on our financial statements. In March 2016, FASB issued ASU No. 2016-09, “Compensation - Stock Compensation: Improvements to Employee Share-Based Payment Accounting,” which is intended to simplify several aspects of the accounting for share-based payment transactions, including the income tax consequences, classification of awards as either equity or liabilities, and classification on the statement of cash flows. This ASU became effective for the Company on March 1, 2017. The adoption of this ASU did not have a material impact on the Company's financial position, results of operations and cash flows. In June 2016, FASB issued ASU No. 2016-13 "Financial Instruments—Credit Losses", which requires a financial asset (or a group of financial assets) measured at amortized cost basis to be presented at the net amount expected to be collected. The new standard is effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years, which means the first quarter of our fiscal year 2021. We expect the implementation of this ASU will not have a significant impact on our financial statements. In May 2017, FASB issued ASU 2017-09, “Compensation - Stock Compensation (Topic 718): Scope of Modification Accounting.” This update amends the scope of modification accounting surrounding share-based payment arrangements as issued in ASU 2016-09 by providing guidance on the various types of changes which would trigger modification accounting for share-based payment awards. This ASU is effective for annual periods beginning after December 15, 2017, and interim periods within those annual periods, which means the first quarter of our fiscal year 2019. Early adoption is permitted, including adoption in any interim period, for public business entities for reporting periods for which financial statements have not yet been issued. We do not expect the adoption of ASU 2017-09 to have a material effect on our financial position, results of operations and cash flows. |
Note 2 - INVENTORIES
Note 2 - INVENTORIES | 9 Months Ended |
Nov. 30, 2017 | |
Inventory Disclosure [Abstract] | |
Inventory Disclosure [Text Block] | Note 2 Inventories consist of the following: 2017 November 30, February 28, Current: Book inventory $ 24,480,900 $ 34,278,100 Inventory valuation allowance (25,000 ) (25,000 ) Inventories net–current $ 24,455,900 $ 34,253,100 Noncurrent: Book inventory $ 502,200 $ 467,100 Inventory valuation allowance (305,900 ) (275,000 ) Inventories net–noncurrent $ 196,300 $ 192,100 Book inventory quantities in excess of what we expect will be sold within the normal operating cycle, based on 2.5 years of anticipated sales, are included in noncurrent inventory. Significant portions of our inventory purchases are concentrated with an England-based publishing company. Purchases from this company were approximately $6.9 million and $10.9 million for the three months ended November 30, 2017 and 2016, respectively. Total inventory purchases from all suppliers were $10.9 million and $15.2 million for the three months ended November 30, 2017 and 2016, respectively. Purchases from this company were approximately $18.2 million and $29.9 million for the nine months ended November 30, 2017 and 2016, respectively. Total inventory purchases from all suppliers were $27.5 million and $43.7 million for the nine months ended November 30, 2017 and 2016, respectively. |
Note 3 - PROPERTY, PLANT AND EQ
Note 3 - PROPERTY, PLANT AND EQUIPMENT | 9 Months Ended |
Nov. 30, 2017 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment Disclosure [Text Block] | Note 3 – Property, plant and equipment consist of the following: 2017 November 30, February 28, Land $ 4,107,200 $ 4,107,200 Building 20,321,800 20,321,800 Building improvements 1,750,100 1,692,500 Machinery and equipment 6,493,200 5,230,700 Furniture and fixtures 109,000 101,600 32,781,300 31,453,800 Less accumulated depreciation (5,328,200 ) (4,419,500 ) Net property, plant and equipment $ 27,453,100 $ 27,034,300 During fiscal year 2018, the Company purchased and installed new warehouse equipment and made software enhancements to increase its daily shipping capacity. |
Note 4 - DEBT
Note 4 - DEBT | 9 Months Ended |
Nov. 30, 2017 | |
Debt Disclosure [Abstract] | |
Debt Disclosure [Text Block] | Note 4 Debt consists of the following: 2017 November 30, February 28, Line of credit $ - $ 4,882,900 Long-term debt (net of debt issue costs) $ 21,925,500 $ 21,564,300 Less current maturities (1,239,500 ) (898,500 ) LONG-TERM DEBT-net of current maturities $ 20,686,000 $ 20,665,800 We have a Loan Agreement dated as of March 10, 2016 (as amended the “Loan Agreement”) with MidFirst Bank (“the Bank”) which includes multiple loans. Term Loan #1 is comprised of Tranche A totaling $13.4 million and Tranche B totaling $5.0 million, both with the maturity date of December 1, 2025. Tranche A has a fixed interest rate of 4.23% and interest is payable monthly. Tranche B interest is payable monthly at the bank adjusted LIBOR Index plus a tiered pricing rate based on the Company’s Adjusted Funded Debt to EBITDA Ratio (4.41% at November 30, 2017). Term Loan #1 is secured by the primary office, warehouse and land. The outstanding borrowings on Tranche A were $12,566,300 and $12,902,800 at November 30, 2017 and February 28, 2017, respectively. The outstanding borrowings on Tranche B were $4,717,900 and $4,813,800 at November 30, 2017 and February 28, 2017, respectively. We also have Term Loan #2 with the Bank in the amount of $4.0 million with the maturity date of June 28, 2021, and interest payable The Loan Agreement was amended on June 15, 2017 to include an advancing term loan (the “Advancing Term Loan”) of $3.0 million which the Company will use to cover up to ninety percent of the cost of planned fiscal 2018 capital improvements to increase its daily shipping capacity. The Advancing Term Loan accrues interest monthly, at the bank adjusted LIBOR Index plus a tiered pricing rate based on the Company’s Adjusted Funded Debt to EBITDA Ratio (4.41% at November 30, 2017), between June 15 and December 15, 2017, at which time the amount advanced was converted to a term loan and will amortized over a thirty-six-month period. The outstanding borrowings on the Advancing Term Loan was $1,019,100 at November 30, 2017. The Company has capitalized certain debt issue costs associated with amending the Loan Agreement and these costs are being amortized over the term of the respective borrowings. Unamortized debt issues costs were $16,800 at November 30, 2017. The Tranche B, the line of credit, the Term Loan #2 and the Advancing Term Loan all accrue interest at a tiered rate based on our Adjusted Funded Debt to EBITDA ratio which is payable monthly. The current pricing tier is as follows: Pricing Tier Adjusted Funded Debt to EBITDA Ratio LIBOR Margin (bps) I >3.00 350.50 II >2.50 but < 337.50 III >2.00 but < 325.00 IV < 312.50 Adjusted Funded Debt is defined as all long term and short-term bank debt less the outstanding balances of Tranche A and Trance B Term Loans. EBITDA is defined in the Loan Agreement as earnings before interest expense, income tax expense (benefit) and depreciation and amortization expenses. The $15.0 million line of credit is limited to advance rates on eligible receivables and eligible inventory levels. The President and Chief Executive Officer and his wife have executed a Guaranty Agreement obligating them to repay $3,680,000 of any unpaid Term Loans, unpaid accrued interest and any recourse amounts as defined in the Continuing Guaranty Agreement. The Loan Agreement contains a provision for our use of the Bank’s letters of credit. The Bank agrees to issue, or obtain issuance of commercial or stand-by letters of credit provided that no letters of credit will have an expiry date later than June 15, 2018, and that the sum of the line of credit plus the letters of credit would not exceed the borrowing base in effect at the time. For the quarter ended November 30, 2017, we had no letters of credit outstanding. The Loan Agreement also contains provisions that require us to maintain specified financial ratios, restrict transactions with related parties, prohibit mergers or consolidation, disallow additional debt, and limit the amount of compensation, salaries, investments, capital expenditures, leasing transactions we can make on a quarterly basis. Additionally, the Loan Agreement suspends dividends and stock buybacks. |
Note 5 - EARNINGS PER SHARE
Note 5 - EARNINGS PER SHARE | 9 Months Ended |
Nov. 30, 2017 | |
Earnings Per Share [Abstract] | |
Earnings Per Share [Text Block] | Note 5 Basic earnings per share (“EPS”) is computed by dividing net earnings by the weighted average number of common shares outstanding during the period. Diluted EPS is based on the combined weighted average number of common shares outstanding and dilutive potential common shares issuable which include, where appropriate, the assumed exercise of options. In computing diluted EPS we have utilized the treasury stock method. The computation of weighted average common and common equivalent shares used in the calculation of basic and diluted EPS is shown below. Three Months Ended November 30, Nine Months Ended November 30, 2017 2016 2017 2016 Net earnings $ 2,128,400 $ 1,274,200 $ 4,390,600 $ 2,212,900 Shares: Weighted average shares outstanding – basic 4,087,268 4,079,916 4,087,686 4,074,355 Assumed exercise of options 2,743 4,947 2,367 5,478 Weighted average shares outstanding – diluted 4,090,011 4,084,863 4,090,053 4,079,833 Basic Earnings Per Share $ 0.52 $ 0.31 $ 1.07 $ 0.54 Diluted Earnings Per Share $ 0.52 $ 0.31 $ 1.07 $ 0.54 In April 2008, the Board of Directors authorized management to purchase up to an additional 500,000 shares of our common stock under the Stock Purchase Plan (the “Plan”) initiated in 1998. This Plan has no expiration date. During the nine months ended November 30, 2017, the Company purchased 6,497 shares of common stock from terminated employees that elected to withdraw their contributions from the Company’s 401(k) plan. The shares were purchased at the closing price of the stock on the day the employee executed their withdrawal form. In addition, the Company’s 401(k) plan purchased 3,901 shares of common stock held in treasury during the nine months ended November 30, 2017. The remaining maximum number of shares that can be repurchased in the future is 296,632. Additionally at an exercise price of $5.25 per share, |
Note 6 - STOCK-BASED COMPENSATI
Note 6 - STOCK-BASED COMPENSATION | 9 Months Ended |
Nov. 30, 2017 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Disclosure of Compensation Related Costs, Share-based Payments [Text Block] | Note 6 We account for stock-based compensation whereby share-based payment transactions with employees, such as stock options and restricted stock, are measured at estimated fair value at date of grant and recognized as compensation expense over the vesting period. During the quarter ended November 30, 2017, a former employee exercised 5,000 vested stock options. |
Note 7 - SHIPPING AND HANDLING
Note 7 - SHIPPING AND HANDLING COSTS | 9 Months Ended |
Nov. 30, 2017 | |
Disclosure Text Block [Abstract] | |
Other Operating Income and Expense [Text Block] | Note 7 SHIPPING AND HANDLING COSTS Outbound freight and handling costs incurred are included in operating and selling expenses and were $5,328,900 and $4,569,900 for the three months ended November 30, 2017 and 2016, respectively. These costs were $12,200,100 and $12,134,700 for the nine months ended November 30, 2017 and 2016, respectively. |
Note 8 - COMMITMENTS
Note 8 - COMMITMENTS | 9 Months Ended |
Nov. 30, 2017 | |
Leases [Abstract] | |
Leases of Lessee Disclosure [Text Block] | Note 8 – W The lessee pays $107,900 per month, with a 2.0% annual increase adjustment on the anniversary of the lease. The lease terms allow for one five-year extension, which is not a bargain renewal option, at the expiration of the 15-year term. Revenue associated with the lease is being recorded on a straight-line basis over the 15-year lease and is reported in other income on the condensed statement of earnings. The Company executed purchase orders with several vendors during the first two quarters of fiscal 2018 to buy and install equipment that will increase the daily shipping capabilities of its distribution center located in Tulsa, OK. The original purchase orders totaled approximately $1,500,000. The Company received and installed approximately half of the equipment in the second quarter of fiscal 2018 and has approximately $400,000 of remaining commitments on the original purchase orders. The remaining equipment is scheduled to be received and installed in the fourth quarter of the fiscal year. |
Note 9 - BUSINESS SEGMENTS
Note 9 - BUSINESS SEGMENTS | 9 Months Ended |
Nov. 30, 2017 | |
Segment Reporting [Abstract] | |
Segment Reporting Disclosure [Text Block] | Note 9 The Company has two reportable segments: Usborne Books & More (“UBAM”) and Publishing. These reportable segments are business units that offer different methods of distribution to different types of customers. They are managed separately based on the fundamental differences in their operations. The Publishing segment markets its products to retail accounts, which include book, school supply, toy and gift stores and museums, through commissioned sales representatives, trade and specialty wholesalers and an internal tele-sales group. The UBAM segment markets its products through a network of independent sales consultants using a combination of home shows, internet shows and book fairs. The accounting policies of the segments are the same as those described in the summary of significant accounting policies disclosed in the Company’s most recent 10-K annual report for the fiscal year ended February 28, 2017. We evaluate segment performance based on earnings before income taxes of the segments, which is defined as segment net sales reduced by cost of sales and direct expenses. Corporate expenses, depreciation, interest expense and income taxes are not allocated to the segments, but are listed in the “Other” row below. Corporate expenses include the executive department, accounting department, information services department, general office management and building facilities management. Our assets and liabilities are not allocated on a segment basis Information by reporting segment for the three and nine-month periods ended November 30, 2017 and 2016, follows: NET REVENUES Three Months Ended November 30, Nine Months Ended November 30, 2017 2016 2017 2016 Publishing $ 2,439,600 $ 3,075,000 $ 6,538,700 $ 7,244,600 UBAM 36,468,400 27,622,600 83,481,400 72,130,200 Total $ 38,908,000 $ 30,697,600 $ 90,020,100 $ 79,374,800 EARNINGS BEFORE INCOME TAXES Three Months Ended November 30, Nine Months Ended November 30, 2017 2016 2017 2016 Publishing $ 556,800 $ 979,500 $ 1,514,200 $ 2,138,700 UBAM 6,915,400 4,719,800 15,865,200 11,286,200 Other (4,039,400 ) (3,659,200 ) (10,281,700 ) (9,859,500 ) Total $ 3,432,800 $ 2,040,100 $ 7,097,700 $ 3,565,400 |
Note 10 - FAIR VALUE MEASUREMEN
Note 10 - FAIR VALUE MEASUREMENTS | 9 Months Ended |
Nov. 30, 2017 | |
Fair Value Disclosures [Abstract] | |
Fair Value Disclosures [Text Block] | Note 10 The valuation hierarchy included in U.S. GAAP considers the transparency of inputs used to value assets and liabilities as of the measurement date. A financial instrument's classification within the valuation hierarchy is based on the lowest level of input that is significant to its fair value measurement. The three levels of the valuation hierarchy and the classification of our financial assets and liabilities within the hierarchy are as follows: Level 1 - Quoted prices (unadjusted) in active markets for identical assets or liabilities that the reporting entity has the ability to access at the measurement date. Level 2 - Observable inputs other than quoted prices included within Level 1 for the asset or liability, either directly or indirectly. If an asset or liability has a specified term, a Level 2 input must be observable for substantially the full term of the asset or liability. Level 3 - Unobservable inputs for the asset or liability. We do not report any assets or liabilities at fair value in the financial statements. However, the estimated fair value of our line of credit is estimated by management to approximate the carrying value of $0 at November 30, 2017 and February 28, 2017, respectively. The estimated fair value of our term notes payable is estimated by management to approximate $20,812,600 and $20,130,100 at November 30, 2017 and February 28, 2017, respectively. Management's estimates are based on the obligations' characteristics, including floating interest rate, maturity, and collateral. Such valuation inputs are considered a Level 2 measurement in the fair value valuation hierarchy. |
Note 11 - DEFERRED REVENUES
Note 11 - DEFERRED REVENUES | 9 Months Ended |
Nov. 30, 2017 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies Disclosure [Text Block] | Note 11 As of the end of the third quarter, we had received approximately $661,700 in payments for sales orders which were shipped out subsequent to the quarter end. As of November 30, 2017, these prepaid sales orders are included in deferred revenue on the condensed balance sheet. |
Note 12 - SUBSEQUENT EVENT
Note 12 - SUBSEQUENT EVENT | 9 Months Ended |
Nov. 30, 2017 | |
Subsequent Events [Abstract] | |
Subsequent Events [Text Block] | Note 12 On December 22, 2017, the U.S. President signed the Tax Cuts and Jobs Act of 2017 (the “Act”). Financial Accounting Standards Board (“FASB”) Accounting Standards Codification Topic 740, Income Taxes (“ASC 740”) requires that the effects of changes in tax laws or tax rates be recognized in the financial statements in the period in which such changes were enacted. Among other things, changes in tax laws or tax rates can affect the amount of taxes payable for the current period, as well as the amount and timing of deferred tax liabilities and deferred tax assets. The Company is a fiscal year reporting company and as such would be required to account for the impact related to the Act in the financial statements included in the annual report on Form 10-K for February 28, 2018. |
Accounting Policies, by Policy
Accounting Policies, by Policy (Policies) | 9 Months Ended |
Nov. 30, 2017 | |
Accounting Policies [Abstract] | |
Basis of Accounting, Policy [Policy Text Block] | Basis of Presentation The accompanying Unaudited Condensed Financial Statements have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) for interim condensed financial information and in accordance with the rules and regulations of the Securities and Exchange Commission. The Unaudited Condensed Financial Statements include all adjustments considered necessary for a fair presentation of the financial position and results of operations for the interim periods presented. Such adjustments consist only of normal recurring items, unless otherwise disclosed herein. Accordingly, the Unaudited Condensed Financial Statements do not include all of the information and notes required by GAAP for complete financial statements. However, we believe that the disclosures made are adequate to make the information not misleading. These interim Unaudited Condensed Financial Statements should be read in conjunction with our audited financial statements as of and for the year ended February 28, 2017 included in our Form 10-K. The results of operations for interim periods are not necessarily indicative of the results to be expected for a full year due to the seasonality of our product sales. |
Reclassification, Policy [Policy Text Block] | Reclassifications Certain reclassifications have been made to the fiscal 2017 condensed balance sheet and condensed statement of earnings to conform to the classifications used in fiscal 2018. These reclassifications had no effect on net earnings. |
Use of Estimates, Policy [Policy Text Block] | Use of Estimates in the Preparation of Financial Statements The preparation of the Unaudited Condensed Financial Statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in these financial statements and accompanying notes. Actual results could differ from those estimates. |
New Accounting Pronouncements, Policy [Policy Text Block] | New Accounting Pronouncements The Financial Accounting Standards Board (“FASB”) periodically issues new accounting standards in a continuing effort to improve standards of financial accounting and reporting. We have reviewed the recently issued accounting standards updates (“ASU”) and concluded that the following recently issued accounting standards apply to us . In May 2014, FASB issued ASU No. 2014-09, and amended with ASU No. 2015-14 “Revenue from Contracts with Customers,” which provides a single revenue recognition model which is intended to improve comparability over a range of industries, companies and geographical boundaries and will also result in enhanced disclosures. The changes are effective for fiscal years, and interim periods within those years, beginning after December 15, 2017, which means the first quarter of our fiscal year 2019. We do not expect the adoption of this ASU will have a significant impact on the Company’s financial position, results of operations and cash flows. In July 2015, FASB issued ASU No. 2015-11 "Inventory - Simplifying the Measurement of Inventory", which is intended to allow measurement of inventory at the lower of cost and net realizable value. Net realizable value is the estimated selling prices in the ordinary course of business, less reasonably predictable costs of completion, disposal, and transportation. This ASU In November 2015, FASB issued ASU No. 2015-17, “Income Taxes - Balance Sheet Classification of Deferred Taxes,” which is intended to improve how deferred taxes are classified on organizations’ balance sheets by eliminating the current requirement for organizations to present deferred tax liabilities and assets as current and noncurrent in a classified balance sheet. Instead, organizations will now be required to classify all deferred tax assets and liabilities as noncurrent. The changes are effective for financial statements issued for annual periods beginning after December 15, 2016, and interim periods within those annual periods, which means the first quarter of our fiscal year 2018. We have retrospectively implemented this new presentation in our condensed financial statements. As such, for the period ending of February 28, 2017, we reclassified $466,000 of current deferred tax assets to noncurrent assets and netted $338,000 of deferred tax liabilities against the balance on the condensed balance sheet. The adoption of this ASU did not affect our statements of earnings. In February 2016, FASB issued ASU No. 2016-02, “Leases,” which is intended to establish a comprehensive new lease accounting model. The new standard clarifies the definition of a lease, requires a dual approach to lease classification similar to current lease classifications, and causes lessees to recognize leases on the balance sheet as a lease liability with a corresponding right-of-use asset. The new standard is effective for interim and annual periods beginning after December 15, 2018, which means the first quarter of our fiscal year 2020. The new standard requires a modified retrospective transition for capital or operating leases existing at or entered into after the beginning of the earliest comparative period presented in the financial statements. We are currently reviewing the ASU and evaluating the potential impact on our financial statements. In March 2016, FASB issued ASU No. 2016-09, “Compensation - Stock Compensation: Improvements to Employee Share-Based Payment Accounting,” which is intended to simplify several aspects of the accounting for share-based payment transactions, including the income tax consequences, classification of awards as either equity or liabilities, and classification on the statement of cash flows. This ASU became effective for the Company on March 1, 2017. The adoption of this ASU did not have a material impact on the Company's financial position, results of operations and cash flows. In June 2016, FASB issued ASU No. 2016-13 "Financial Instruments—Credit Losses", which requires a financial asset (or a group of financial assets) measured at amortized cost basis to be presented at the net amount expected to be collected. The new standard is effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years, which means the first quarter of our fiscal year 2021. We expect the implementation of this ASU will not have a significant impact on our financial statements. In May 2017, FASB issued ASU 2017-09, “Compensation - Stock Compensation (Topic 718): Scope of Modification Accounting.” This update amends the scope of modification accounting surrounding share-based payment arrangements as issued in ASU 2016-09 by providing guidance on the various types of changes which would trigger modification accounting for share-based payment awards. This ASU is effective for annual periods beginning after December 15, 2017, and interim periods within those annual periods, which means the first quarter of our fiscal year 2019. Early adoption is permitted, including adoption in any interim period, for public business entities for reporting periods for which financial statements have not yet been issued. We do not expect the adoption of ASU 2017-09 to have a material effect on our financial position, results of operations and cash flows. |
Note 2 - INVENTORIES (Tables)
Note 2 - INVENTORIES (Tables) | 9 Months Ended |
Nov. 30, 2017 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventory [Table Text Block] | Inventories consist of the following: 2017 November 30, February 28, Current: Book inventory $ 24,480,900 $ 34,278,100 Inventory valuation allowance (25,000 ) (25,000 ) Inventories net–current $ 24,455,900 $ 34,253,100 Noncurrent: Book inventory $ 502,200 $ 467,100 Inventory valuation allowance (305,900 ) (275,000 ) Inventories net–noncurrent $ 196,300 $ 192,100 |
Note 3 - PROPERTY, PLANT AND 21
Note 3 - PROPERTY, PLANT AND EQUIPMENT (Tables) | 9 Months Ended |
Nov. 30, 2017 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment [Table Text Block] | Property, plant and equipment consist of the following: 2017 November 30, February 28, Land $ 4,107,200 $ 4,107,200 Building 20,321,800 20,321,800 Building improvements 1,750,100 1,692,500 Machinery and equipment 6,493,200 5,230,700 Furniture and fixtures 109,000 101,600 32,781,300 31,453,800 Less accumulated depreciation (5,328,200 ) (4,419,500 ) Net property, plant and equipment $ 27,453,100 $ 27,034,300 |
Note 4 - DEBT (Tables)
Note 4 - DEBT (Tables) | 9 Months Ended |
Nov. 30, 2017 | |
Debt Disclosure [Abstract] | |
Schedule of Debt [Table Text Block] | Debt consists of the following: 2017 November 30, February 28, Line of credit $ - $ 4,882,900 Long-term debt (net of debt issue costs) $ 21,925,500 $ 21,564,300 Less current maturities (1,239,500 ) (898,500 ) LONG-TERM DEBT-net of current maturities $ 20,686,000 $ 20,665,800 |
Schedule of Long-term Debt Instruments [Table Text Block] | The Tranche B, the line of credit, the Term Loan #2 and the Advancing Term Loan all accrue interest at a tiered rate based on our Adjusted Funded Debt to EBITDA ratio which is payable monthly. The current pricing tier is as follows: Pricing Tier Adjusted Funded Debt to EBITDA Ratio LIBOR Margin (bps) I >3.00 350.50 II >2.50 but < 337.50 III >2.00 but < 325.00 IV < 312.50 |
Note 5 - EARNINGS PER SHARE (Ta
Note 5 - EARNINGS PER SHARE (Tables) | 9 Months Ended |
Nov. 30, 2017 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | The computation of weighted average common and common equivalent shares used in the calculation of basic and diluted EPS is shown below. Three Months Ended November 30, Nine Months Ended November 30, 2017 2016 2017 2016 Net earnings $ 2,128,400 $ 1,274,200 $ 4,390,600 $ 2,212,900 Shares: Weighted average shares outstanding – basic 4,087,268 4,079,916 4,087,686 4,074,355 Assumed exercise of options 2,743 4,947 2,367 5,478 Weighted average shares outstanding – diluted 4,090,011 4,084,863 4,090,053 4,079,833 Basic Earnings Per Share $ 0.52 $ 0.31 $ 1.07 $ 0.54 Diluted Earnings Per Share $ 0.52 $ 0.31 $ 1.07 $ 0.54 |
Note 9 - BUSINESS SEGMENTS (Tab
Note 9 - BUSINESS SEGMENTS (Tables) | 9 Months Ended |
Nov. 30, 2017 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information, by Segment [Table Text Block] | Information by reporting segment for the three and nine-month periods ended November 30, 2017 and 2016, follows: NET REVENUES Three Months Ended November 30, Nine Months Ended November 30, 2017 2016 2017 2016 Publishing $ 2,439,600 $ 3,075,000 $ 6,538,700 $ 7,244,600 UBAM 36,468,400 27,622,600 83,481,400 72,130,200 Total $ 38,908,000 $ 30,697,600 $ 90,020,100 $ 79,374,800 EARNINGS BEFORE INCOME TAXES Three Months Ended November 30, Nine Months Ended November 30, 2017 2016 2017 2016 Publishing $ 556,800 $ 979,500 $ 1,514,200 $ 2,138,700 UBAM 6,915,400 4,719,800 15,865,200 11,286,200 Other (4,039,400 ) (3,659,200 ) (10,281,700 ) (9,859,500 ) Total $ 3,432,800 $ 2,040,100 $ 7,097,700 $ 3,565,400 |
Note 2 - INVENTORIES (Details)
Note 2 - INVENTORIES (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Nov. 30, 2017 | Nov. 30, 2016 | Nov. 30, 2017 | Nov. 30, 2016 | |
Note 2 - INVENTORIES (Details) [Line Items] | ||||
Payments for Purchase of Other Assets | $ 10.9 | $ 15.2 | $ 27.5 | $ 43.7 |
England Based Publishing Company [Member] | ||||
Note 2 - INVENTORIES (Details) [Line Items] | ||||
Payments for Purchase of Other Assets | $ 6.9 | $ 10.9 | $ 18.2 | $ 29.9 |
Note 2 - INVENTORIES (Details)
Note 2 - INVENTORIES (Details) - Schedule of Inventory - USD ($) | Nov. 30, 2017 | Feb. 28, 2017 |
Note 2 - INVENTORIES (Details) - Schedule of Inventory [Line Items] | ||
Inventories net–non-current | $ 196,300 | $ 192,100 |
Inventories net–current | 24,455,900 | 34,253,100 |
Inventory, Current [Member] | ||
Note 2 - INVENTORIES (Details) - Schedule of Inventory [Line Items] | ||
Book inventory | 24,480,900 | 34,278,100 |
Inventory valuation allowance | (25,000) | (25,000) |
Inventories net–current | 24,455,900 | 34,253,100 |
Inventory, Noncurrent [Member] | ||
Note 2 - INVENTORIES (Details) - Schedule of Inventory [Line Items] | ||
Book inventory | 502,200 | 467,100 |
Inventory valuation allowance | (305,900) | (275,000) |
Inventories net–non-current | $ 196,300 | $ 192,100 |
Note 3 - PROPERTY, PLANT AND 27
Note 3 - PROPERTY, PLANT AND EQUIPMENT (Details) - Property, Plant and Equipment - USD ($) | Nov. 30, 2017 | Feb. 28, 2017 |
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | $ 32,781,300 | $ 31,453,800 |
Less accumulated depreciation | (5,328,200) | (4,419,500) |
Net Property, Plant and Equipment | 27,453,100 | 27,034,300 |
Land [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | 4,107,200 | 4,107,200 |
Building [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | 20,321,800 | 20,321,800 |
Building Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | 1,750,100 | 1,692,500 |
Machinery and Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | 6,493,200 | 5,230,700 |
Furniture and Fixtures [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | $ 109,000 | $ 101,600 |
Note 4 - DEBT (Details)
Note 4 - DEBT (Details) - USD ($) | Mar. 10, 2016 | Nov. 30, 2017 | Feb. 28, 2017 |
Note 4 - DEBT (Details) [Line Items] | |||
Long-term Debt | $ 21,925,500 | $ 21,564,300 | |
Long-term Line of Credit | 0 | 4,882,900 | |
Line of Credit Facility, Remaining Borrowing Capacity | 9,105,500 | 2,117,100 | |
Loans Payable | 1,019,100 | ||
Debt Instrument, Unamortized Discount | 16,800 | ||
Term Loan #2 [Member] | |||
Note 4 - DEBT (Details) [Line Items] | |||
Guarantor Obligations, Current Carrying Value | 3,639,000 | 3,847,700 | |
Line of Credit [Member] | Term Loan #2 [Member] | |||
Note 4 - DEBT (Details) [Line Items] | |||
Line of Credit Facility, Maximum Borrowing Capacity | $ 15,000,000 | ||
Line of Credit Facility, Expiration Date | Jun. 15, 2018 | ||
Line of Credit Facility, Interest Rate at Period End | 4.41% | ||
Notes Payable to Banks [Member] | Term Loan #1, Tranche A [Member] | |||
Note 4 - DEBT (Details) [Line Items] | |||
Line of Credit Facility, Maximum Borrowing Capacity | $ 13,400,000 | ||
Line of Credit Facility, Expiration Date | Dec. 1, 2025 | ||
Long-term Debt | $ 12,566,300 | 12,902,800 | |
Notes Payable to Banks [Member] | Term Loan #1, Tranche B [Member] | |||
Note 4 - DEBT (Details) [Line Items] | |||
Line of Credit Facility, Maximum Borrowing Capacity | $ 5,000,000 | ||
Debt Instrument, Payment Terms | interest is payable monthly | ||
Long-term Debt | $ 4,717,900 | $ 4,813,800 | |
Notes Payable to Banks [Member] | Term Loan #1, Tranche B [Member] | London Interbank Offered Rate (LIBOR) [Member] | |||
Note 4 - DEBT (Details) [Line Items] | |||
Line of Credit Facility, Interest Rate at Period End | 4.41% | ||
Notes Payable to Banks [Member] | Term Loan #2 [Member] | |||
Note 4 - DEBT (Details) [Line Items] | |||
Debt Instrument, Payment Terms | interest payable monthly | ||
Debt Instrument, Face Amount | $ 4,000,000 | ||
Debt Instrument, Maturity Date | Jun. 28, 2021 | ||
Notes Payable to Banks [Member] | Term Loan #2 [Member] | London Interbank Offered Rate (LIBOR) [Member] | |||
Note 4 - DEBT (Details) [Line Items] | |||
Debt Instrument, Interest Rate During Period | 4.41% | ||
Medium-term Notes [Member] | |||
Note 4 - DEBT (Details) [Line Items] | |||
Line of Credit Facility, Maximum Borrowing Capacity | $ 15,000,000 | ||
Debt Instrument, Face Amount | $ 3,000,000 | ||
Debt Instrument, Interest Rate During Period | 4.41% | ||
Medium-term Notes [Member] | Term Loan #1, Tranche A [Member] | |||
Note 4 - DEBT (Details) [Line Items] | |||
Debt Instrument, Interest Rate, Stated Percentage | 4.23% |
Note 4 - DEBT (Details) - Sched
Note 4 - DEBT (Details) - Schedule of Debt - USD ($) | Nov. 30, 2017 | Feb. 28, 2017 |
Schedule of Debt [Abstract] | ||
Line of credit | $ 0 | $ 4,882,900 |
Long-term debt (net of debt issue costs) | 21,925,500 | 21,564,300 |
Less current maturities | (1,239,500) | (898,500) |
LONG-TERM DEBT-net of current maturities | $ 20,686,000 | $ 20,665,800 |
Note 4 - DEBT (Details) - Sch30
Note 4 - DEBT (Details) - Schedule of Long-term Debt Instruments | 9 Months Ended |
Nov. 30, 2017 | |
Pricing Tier I [Member] | |
Debt Instrument [Line Items] | |
Adjusted Funded Debt to EBITDA Ratio | >3.00 |
Pricing Tier I [Member] | London Interbank Offered Rate (LIBOR) [Member] | |
Debt Instrument [Line Items] | |
LIBOR Margin | 350.50% |
Pricing Teir II [Member] | |
Debt Instrument [Line Items] | |
Adjusted Funded Debt to EBITDA Ratio | >2.50 but <3.00 |
Pricing Teir II [Member] | London Interbank Offered Rate (LIBOR) [Member] | |
Debt Instrument [Line Items] | |
LIBOR Margin | 337.50% |
Pricing Tier III [Member] | |
Debt Instrument [Line Items] | |
Adjusted Funded Debt to EBITDA Ratio | >2.00 but <2.50 |
Pricing Tier III [Member] | London Interbank Offered Rate (LIBOR) [Member] | |
Debt Instrument [Line Items] | |
LIBOR Margin | 325.00% |
Pricing Tier IV [Member] | |
Debt Instrument [Line Items] | |
Adjusted Funded Debt to EBITDA Ratio | <2.00 |
Pricing Tier IV [Member] | London Interbank Offered Rate (LIBOR) [Member] | |
Debt Instrument [Line Items] | |
LIBOR Margin | 312.50% |
Note 5 - EARNINGS PER SHARE (De
Note 5 - EARNINGS PER SHARE (Details) - $ / shares | 9 Months Ended | |
Nov. 30, 2017 | Apr. 30, 2008 | |
Note 5 - EARNINGS PER SHARE (Details) [Line Items] | ||
Treasury Stock, Shares, Acquired | 3,544 | |
Treasury Stock, Exercise Price (in Dollars per share) | $ 5.25 | |
Treasury Stock Acquired, Average Cost Per Share (in Dollars per share) | $ 9.85 | |
Stock Purchase Plan [Member] | ||
Note 5 - EARNINGS PER SHARE (Details) [Line Items] | ||
Stock Repurchase Program, Number of Shares Authorized to be Repurchased | 500,000 | |
Stock Repurchased During Period, Shares | 6,497 | |
Treasury Stock, Shares, Acquired | 3,901 | |
Stock Repurchase Program, Remaining Number of Shares Authorized to be Repurchased | 296,632 |
Note 5 - EARNINGS PER SHARE (D
Note 5 - EARNINGS PER SHARE (Details) - Schedule of Earnings Per Share - USD ($) | 3 Months Ended | 9 Months Ended | ||
Nov. 30, 2017 | Nov. 30, 2016 | Nov. 30, 2017 | Nov. 30, 2016 | |
Schedule of Earnings Per Share [Abstract] | ||||
Net earnings (in Dollars) | $ 2,128,400 | $ 1,274,200 | $ 4,390,600 | $ 2,212,900 |
Shares: | ||||
Weighted average shares outstanding – basic | 4,087,268 | 4,079,916 | 4,087,686 | 4,074,355 |
Assumed exercise of options | 2,743 | 4,947 | 2,367 | 5,478 |
Weighted average shares outstanding – diluted | 4,090,011 | 4,084,863 | 4,090,053 | 4,079,833 |
Basic Earnings Per Share (in Dollars per share) | $ 0.52 | $ 0.31 | $ 1.07 | $ 0.54 |
Diluted Earnings Per Share (in Dollars per share) | $ 0.52 | $ 0.31 | $ 1.07 | $ 0.54 |
Note 6 - STOCK-BASED COMPENSA33
Note 6 - STOCK-BASED COMPENSATION (Details) | 3 Months Ended |
Nov. 30, 2017shares | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period | 5,000 |
Note 7 - SHIPPING AND HANDLIN34
Note 7 - SHIPPING AND HANDLING COSTS (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Nov. 30, 2017 | Nov. 30, 2016 | Nov. 30, 2017 | Nov. 30, 2016 | |
Disclosure Text Block [Abstract] | ||||
Shipping, Handling and Transportation Costs | $ 5,328,900 | $ 4,569,900 | $ 12,200,100 | $ 12,134,700 |
Note 8 - COMMITMENTS (Details)
Note 8 - COMMITMENTS (Details) | 9 Months Ended |
Nov. 30, 2017USD ($)ft² | |
Leases [Abstract] | |
Lessor, Operating Lease, Term of Contract | 15 years |
Area of Real Estate Property (in Square Feet) | ft² | 181,300 |
Area of Real Estate Property, as a Percentage of the Facility | 45.30% |
Description of Lessor Leasing Arrangements, Operating Leases | The lessee pays $107,900 per month, with a 2.0% annual increase adjustment on the anniversary of the lease |
Operating Leases, Income Statement, Minimum Lease Revenue | $ 107,900 |
Lessor, Operating Lease, Renewal Term | 5 years |
Purchase Obligation | $ 1,500,000 |
Purchase Obligation, Future Minimum Payments, Remainder of Fiscal Year | $ 400,000 |
Note 9 - BUSINESS SEGMENTS (Det
Note 9 - BUSINESS SEGMENTS (Details) | 9 Months Ended |
Nov. 30, 2017 | |
Segment Reporting [Abstract] | |
Number of Reportable Segments | 2 |
Note 9 - BUSINESS SEGMENTS (D37
Note 9 - BUSINESS SEGMENTS (Details) - Schedule of Information by Industry Segment - USD ($) | 3 Months Ended | 9 Months Ended | ||
Nov. 30, 2017 | Nov. 30, 2016 | Nov. 30, 2017 | Nov. 30, 2016 | |
Segment Reporting Information [Line Items] | ||||
Net Revenues | $ 38,908,000 | $ 30,697,600 | $ 90,020,100 | $ 79,374,800 |
Earnings (Loss) Before Income Taxes | 3,432,800 | 2,040,100 | 7,097,700 | 3,565,400 |
Publishing [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net Revenues | 2,439,600 | 3,075,000 | 6,538,700 | 7,244,600 |
Earnings (Loss) Before Income Taxes | 556,800 | 979,500 | 1,514,200 | 2,138,700 |
Usborne Books and More [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net Revenues | 36,468,400 | 27,622,600 | 83,481,400 | 72,130,200 |
Earnings (Loss) Before Income Taxes | 6,915,400 | 4,719,800 | 15,865,200 | 11,286,200 |
Other Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Earnings (Loss) Before Income Taxes | $ (4,039,400) | $ (3,659,200) | $ (10,281,700) | $ (9,859,500) |
Note 10 - FAIR VALUE MEASUREM38
Note 10 - FAIR VALUE MEASUREMENTS (Details) - Fair Value, Inputs, Level 2 [Member] - USD ($) | Nov. 30, 2017 | Nov. 30, 2016 |
Note 10 - FAIR VALUE MEASUREMENTS (Details) [Line Items] | ||
Lines of Credit, Fair Value Disclosure | $ 0 | $ 4,882,900 |
Long-term Debt, Fair Value | $ 20,812,600 | $ 20,130,100 |
Note 11 - DEFERRED REVENUES (De
Note 11 - DEFERRED REVENUES (Details) | 9 Months Ended |
Nov. 30, 2017USD ($) | |
Commitments and Contingencies Disclosure [Abstract] | |
Deferred Revenue, Additions | $ 661,700 |