Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Mar. 29, 2018 | Jun. 30, 2017 | |
Document and Entity Information [Abstract] | |||
Entity Registrant Name | OCEAN BIO CHEM INC | ||
Entity Central Index Key | 350,737 | ||
Trading Symbol | OBCI | ||
Amendment Flag | false | ||
Current Fiscal Year End Date | --12-31 | ||
Document Type | 10-K | ||
Document Period End Date | Dec. 31, 2017 | ||
Document Fiscal Year Focus | 2,017 | ||
Document Fiscal Period Focus | FY | ||
Entity Filer Category | Smaller Reporting Company | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Common Stock, Shares Outstanding | 9,254,580 | ||
Entity Public Float | $ 12,234,396 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 |
Current Assets: | ||
Cash | $ 2,418,484 | $ 4,070,445 |
Trade accounts receivable less allowances of approximately $79,000 and $75,000, respectively | 4,963,895 | 4,931,792 |
Receivables due from affiliated companies | 1,584,365 | 1,190,103 |
Restricted cash | 2,747,360 | |
Inventories, net | 9,074,426 | 8,600,689 |
Prepaid expenses and other current assets | 1,013,213 | 1,013,952 |
Total Current Assets | 21,801,743 | 19,806,981 |
Property, plant and equipment, net | 9,291,667 | 4,895,973 |
Intangible assets, net | 897,408 | 967,688 |
Total Assets | 31,990,818 | 25,670,642 |
Current Liabilities: | ||
Current portion of long-term debt, net | 240,017 | 278,392 |
Accounts payable - trade | 1,807,120 | 1,512,020 |
Income taxes payable | 1,447 | |
Accrued expenses payable | 812,062 | 1,099,919 |
Total Current Liabilities | 2,859,199 | 2,891,778 |
Deferred tax liability | 153,895 | 213,367 |
Long-term debt, less current portion and debt issuance costs | 4,081,793 | 50,426 |
Total Liabilities | 7,094,887 | 3,155,571 |
Commitments and contingencies | ||
Shareholders' Equity: | ||
Common stock - $.01 par value, 12,000,000 shares authorized; 9,254,580 shares and 9,146,937 shares issued, respectively | 92,546 | 91,469 |
Additional paid in capital | 9,931,634 | 9,604,634 |
Accumulated other comprehensive loss | (288,051) | (286,555) |
Retained earnings | 15,159,802 | 13,105,523 |
Total Shareholders' Equity | 24,895,931 | 22,515,071 |
Total Liabilities and Shareholders' Equity | $ 31,990,818 | $ 25,670,642 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 |
Consolidated Balance Sheets [Abstract] | ||
Trade accounts receivable less allowances | $ 79,000 | $ 75,000 |
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 12,000,000 | 12,000,000 |
Common stock, shares issued | 9,254,580 | 9,146,937 |
Common stock, shares outstanding | 9,254,580 | 9,146,937 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Condensed Consolidated Statements of Operations [Abstract] | ||
Net sales | $ 38,933,458 | $ 36,205,444 |
Cost of goods sold | 24,436,780 | 22,331,761 |
Gross profit | 14,496,678 | 13,873,683 |
Operating Expenses: | ||
Advertising and promotion | 3,523,710 | 3,117,164 |
Selling and administrative | 7,297,538 | 7,660,377 |
Total operating expenses | 10,821,248 | 10,777,541 |
Operating income | 3,675,430 | 3,096,142 |
Other income (expense) | ||
Interest net, income (expense) | 2,065 | (17,820) |
Income before income taxes | 3,677,495 | 3,078,322 |
Provision for income taxes | (1,073,961) | (983,151) |
Net income | $ 2,603,534 | $ 2,095,171 |
Earnings per common share - basic and diluted | $ 0.28 | $ 0.23 |
Dividends declared per common share | $ 0.06 | $ 0.06 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Condensed Consolidated Statements of Comprehensive Income [Abstract] | ||
Net income | $ 2,603,534 | $ 2,095,171 |
Foreign currency translation adjustment | (1,496) | (2,113) |
Comprehensive income | $ 2,602,038 | $ 2,093,058 |
Consolidated Statements of Shar
Consolidated Statements of Shareholders' Equity - USD ($) | Total | Common Stock | Additional Paid In Capital | Accumulated Other Comprehensive loss | Retained Earnings |
Beginning balance at Dec. 31, 2015 | $ 20,643,588 | $ 89,834 | $ 9,287,313 | $ (284,442) | $ 11,550,883 |
Beginning balance, shares at Dec. 31, 2015 | 8,983,374 | ||||
Net income | 2,095,171 | 2,095,171 | |||
Dividends declared and paid | (540,531) | (540,531) | |||
Options exercised | 21,600 | $ 255 | 21,345 | ||
Options exercised, shares | 25,481 | ||||
Common stock issued, net of shares withheld for employee taxes | 297,356 | $ 1,380 | 295,976 | ||
Common stock issued, net of shares withheld for employee taxes, Shares | 138,082 | ||||
Foreign currency translation adjustment | (2,113) | (2,113) | |||
Ending balance at Dec. 31, 2016 | 22,515,071 | $ 91,469 | 9,604,634 | (286,555) | 13,105,523 |
Ending balance, shares at Dec. 31, 2016 | 9,146,937 | ||||
Net income | 2,603,534 | 2,603,534 | |||
Dividends declared and paid | (549,255) | (549,255) | |||
Options exercised | 26,400 | $ 341 | 26,059 | ||
Options exercised, shares | 34,043 | ||||
Common stock issued, net of shares withheld for employee taxes | 301,677 | $ 736 | 300,941 | ||
Common stock issued, net of shares withheld for employee taxes, Shares | 73,600 | ||||
Foreign currency translation adjustment | (1,496) | (1,496) | |||
Ending balance at Dec. 31, 2017 | $ 24,895,931 | $ 92,546 | $ 9,931,634 | $ (288,051) | $ 15,159,802 |
Ending balance, shares at Dec. 31, 2017 | 9,254,580 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Cash flows from operating activities: | ||
Net income | $ 2,603,534 | $ 2,095,171 |
Adjustment to reconcile net income to net cash provided by operations: | ||
Depreciation and amortization | 955,161 | 974,587 |
Deferred income taxes | (59,472) | (26,310) |
Stock based compensation | 324,145 | 305,780 |
Provision for bad debts | 198,839 | (3,272) |
Other operating noncash items | 4,612 | 14,044 |
Changes in assets and liabilities: | ||
Trade accounts receivable | (230,942) | 163,520 |
Receivables due from affiliated companies | (394,262) | (139,012) |
Inventories | (479,873) | (700,736) |
Prepaid expenses and other current assets | 739 | (71,132) |
Accounts payable | 295,100 | 410,300 |
Income taxes payable | (1,447) | 1,447 |
Accrued expenses payable | (287,857) | 1,198 |
Net cash provided by operating activities | 2,928,277 | 3,025,585 |
Cash flows from investing activities: | ||
Purchases of property, plant and equipment | (5,275,732) | (443,892) |
Increase in cash restricted for plant expansion | (2,747,360) | |
Net cash used in investing activities | (8,023,092) | (443,892) |
Cash flows from financing activities: | ||
Proceeds from long term debt | 4,500,000 | |
Payments on long-term debt | (315,756) | (451,148) |
Borrowings on revolving line of credit | 1,000,000 | |
Repayments on revolving line of credit | (1,000,000) | |
Payments for taxes related to net share settlements of stock awards | (22,468) | (8,424) |
Dividends paid to common shareholders | (549,255) | (540,531) |
Payments for debt issuance costs | (196,095) | |
Proceeds from exercise of stock options | 26,400 | 21,600 |
Net cash provided by (used in) financing activities | 3,442,826 | (978,503) |
Effect of exchange rate on cash | 28 | (1,160) |
Net (decrease) increase in cash | (1,651,961) | 1,602,030 |
Cash at beginning of the year | 4,070,445 | 2,468,415 |
Cash at end of the year | 2,418,484 | 4,070,445 |
Supplemental disclosure of cash transactions: | ||
Cash paid for interest during the year | 29,496 | 19,096 |
Cash paid for income taxes during the year | $ 1,282,400 | $ 993,600 |
Organization and Summary of Sig
Organization and Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2017 | |
Organization and Summary of Significant Accounting Policies [Abstract] | |
Organization and summary of significant accounting policies | Note 1 Organization Basis of presentation Revenue recognition Collectability of accounts receivable Inventories Shipping and handling costs Advertising and promotion expense Property, plant and equipment Research and development costs Stock based compensation Use of estimates Concentration of cash Fair value of financial instruments ASC Topic 820 also sets forth a valuation hierarchy of the inputs (assumptions that market participants would use in pricing an asset or liability) used to measure fair value. The hierarchy prioritizes the three levels of inputs as follows: Level 1: Observable inputs that reflect unadjusted quoted prices for identical assets or liabilities traded in active markets. Level 2: Inputs that include quoted prices for similar assets or liabilities in active markets; quoted prices for identical or similar assets or liabilities in markets that are not active; inputs other than quoted prices that are observable for the asset or liability; and inputs that are derived principally from or corroborated by observable market data through correlation or other means. Level 3: Inputs that are generally unobservable. These inputs may be used with internally developed methodologies that result in management’s best estimate of fair value. The carrying amounts of the Company’s short-term financial instruments, including cash, accounts receivable, accounts payable, certain accrued expenses and revolving line of credit, approximate their fair value due to the relatively short period to maturity for these instruments. The fair value of long-term debt is based on current rates at which the Company could borrow funds with similar remaining maturities; the carrying amount of the long-term debt approximates fair value. Impairment of long-lived assets Income taxes We record a valuation allowance when necessary to reduce our deferred tax assets to the net amount that we believe is more likely than not to be realized. We consider available evidence, both positive and negative, and use judgments regarding past and future events, including operating results and available tax planning strategies, in assessing the need for a valuation allowance. We recognize tax benefits from uncertain tax positions only if we believe that it is more likely than not that the tax positions will be sustained on examination by the taxing authorities based on the technical merits of the positions; otherwise, we establish reserves for uncertain tax positions. We adjust reserves with respect to uncertain tax positions to address developments related to these positions, such as the closing of a tax audit, the expiration of a statute of limitations or the refinement of an estimate. The provision for income taxes includes any reserves with respect to uncertain tax positions that are considered appropriate, as well as the related net interest and penalties. The Company has no uncertain tax positions as of December 31, 2017. The Company is no longer subject to income tax examinations for years before 2014. Intangible assets Foreign currency translation Earnings per share |
Inventories
Inventories | 12 Months Ended |
Dec. 31, 2017 | |
Inventories [Abstract] | |
Inventories | Note 2 The composition of inventories at December 31, 2017 and 2016 are as follows: 2017 2016 Raw materials $ 3,994,624 $ 3,633,641 Finished goods 5,354,097 5,235,207 Inventories, gross 9,348,721 8,868,848 Inventory reserves (274,295 ) (268,159 ) Inventories, net $ 9,074,426 $ 8,600,689 The inventory reserves shown in the table above reflect slow moving and obsolete inventory. The Company operates a vendor managed inventory program with one of its customers to improve the promotion of the Company’s products. The Company manages the inventory levels at this customer’s warehouses and recognizes revenue as the products are sold by the customer. The inventories managed at the customer’s warehouses, which are included in inventories, net, amounted to approximately $494,000 and $551,000 at December 31, 2017 and 2016, respectively. |
Property, Plant and Equipment
Property, Plant and Equipment | 12 Months Ended |
Dec. 31, 2017 | |
Property, Plant and Equipment [Abstract] | |
Property, plant and equipment | Note 3 The Company’s property, plant and equipment at December 31, 2017 and 2016 consisted of the following: Estimated Useful Life 2017 2016 Land $ 278,325 $ 278,325 Building and Improvements 30 years 4,673,409 4,652,669 Manufacturing and warehouse equipment 6-20 years 9,616,086 9,239,876 Office equipment and furniture 3-5 years 1,367,244 1,344,732 Leasehold improvements 10-15 years 567,898 558,666 Vehicles 3 years 10,020 10,020 Construction in process 5,197,780 387,417 Property, plant and equipment, gross 21,710,762 16,471,705 Less accumulated depreciation (12,419,095 ) (11,575,732 ) Property, plant and equipment, net $ 9,291,667 $ 4,895,973 Construction in progress at December 31, 2017 and 2016 includes $5,087,897 and $188,041, respectively, relating to the expansion of the manufacturing, warehouse and distribution facilities of the Company’s wholly-owned subsidiary, KINPAK Inc. (“Kinpak”), in Montgomery, Alabama. The Company estimates that the total cost of this expansion project will be approximately $6.0 million, and the project is expected to be completed and placed into service during 2018. |
Revolving Line of Credit
Revolving Line of Credit | 12 Months Ended |
Dec. 31, 2017 | |
Revolving Line of Credit and Long Term Debt [Abstract] | |
Revolving line of credit | Note 4 On August 31, 2017, the Company and Regions Bank entered into a Business Loan Agreement (the “Business Loan Agreement”), under which the Company was provided a revolving line of credit. Under the Business Loan Agreement, the Company may borrow up to the lesser of (i) $6,000,000 or (ii) a borrowing base equal to 85% of Eligible Accounts (as defined in the Business Loan Agreement) plus 50% of Eligible Inventory (as defined in the Business Loan Agreement). Interest on amounts borrowed under the revolving line of credit is payable monthly at the one month LIBOR rate plus 1.5% per annum, computed on a 365/360 basis. Eligible Accounts do not include, among other things, accounts receivable from affiliated entities. Outstanding amounts under the revolving line of credit are payable on demand. If no demand is made, the Company may repay and reborrow funds from time to time until expiration of the revolving line of credit on August 31, 2018, at which time all outstanding principal and interest will be due and payable. The Company’s obligations under the revolving line of credit are secured by, among other things, the Company’s accounts receivable and inventory . |
Accrued Expenses Payable
Accrued Expenses Payable | 12 Months Ended |
Dec. 31, 2017 | |
Accrued Expenses Payable [Abstract] | |
Accrued expenses payable | Note 5 Accrued expenses payable at December 31, 2017 and 2016 consisted of the following: 2017 2016 Accrued customer promotions $ 343,172 $ 546,127 Accrued payroll, commissions, and benefits 280,783 287,376 Other 188,107 266,416 Total accrued expenses payable $ 812,062 $ 1,099,919 |
Long Term Debt
Long Term Debt | 12 Months Ended |
Dec. 31, 2017 | |
Revolving Line of Credit and Long Term Debt [Abstract] | |
Long-term debt | Note 6 Industrial Development Bond Financing On September 26, 2017, the Company’s wholly-owned subsidiary, KINPAK, Inc. (“Kinpak”) indirectly obtained a $4,500,000 loan from Regions Capital Advantage, Inc. (the “Lender”). The proceeds of the loan are being used principally to pay or reimburse costs of constructing an approximately 85,000 square foot addition to Kinpak’s manufacturing, warehouse and distribution facilities in Montgomery, Alabama, and costs of purchasing and installing associated machinery and equipment (the “Project”). The loan was funded by the Lender’s purchase of a $4,500,000 industrial development bond (the “Bond”) issued by The Industrial Development Board of the City of Montgomery, Alabama (the “IDB”). The Bond is a limited obligation of the IDB and is payable solely out of revenues and receipts derived from the leasing or sale of Kinpak’s facilities. In this regard, Kinpak is obligated to fund the IDB’s payment obligations by providing rental payments under a lease between the IDB and Kinpak (the “Lease”), under which Kinpak leases its facilities from the IDB. Under the Lease, prior to the maturity date of the Bond, Kinpak may repurchase the facilities for $1,000 if the Bond has been redeemed or fully paid. The Bond bears interest at the rate of 3.07% per annum, calculated on the basis of a 360-day year and the actual number of days elapsed (subject to increase to 6.07% per annum upon the occurrence of an event of default), and is payable in 118 monthly installments of $31,324 beginning on November 1, 2017 and ending on August 1, 2027, with a final principal and interest payment to be made on September 1, 2027 in the amount of $1,799,201. The Bond provides that the interest rate will be subject to adjustment if it is determined by the United States Treasury Department, the Internal Revenue Service, or a similar government entity that the interest on the Bond is includable in the gross income of the Lender for federal income tax purposes. Under the Lease, Kinpak is required to make rental payments for the account of the IDB to the Lender in such amounts and at such times as are necessary to enable the payment of all principal and interest due on the Bond and other charges, if any, payable in respect of the Bond. The Lease also provides that Kinpak may redeem the Bond, in whole or in part, by prepaying its rental payment obligations in an amount sufficient to effect the redemption. In addition, the Lease contains provisions relating to the Project, including limitations on utilization of Bond proceeds, deposit of unused proceeds into a custodial account (as described below) and investment of monies held in the custodial account. Payment of amounts due and payable under the Bond and other related agreements are guaranteed by the Company and its other consolidated subsidiaries. In connection with its guarantee, the Company is subject to certain covenants, including financial covenants that effectively are substantially the same as the financial covenants included in the Business Loan Agreement described in Note 4. Through December 31, 2017, of the $4,500,000 proceeds of the Bond sale, approximately $1,699,000 has been applied to reimburse Kinpak for Project expenditures and approximately $54,000 was paid directly to other parties for certain transaction costs. The remaining amount is deposited into a custodial account and will be drawn by Kinpak from time to time to fund additional expenditures related to the Project. Because the Lease contains limitations on the manner in which the Kinpak may utilize funds held in the custodial account, such funds are classified as restricted cash on the Company’s balance sheet. The Company incurred debt financing costs of $196,095 in connection with the financing. These costs are shown as a reduction of the debt balance and are being amortized under the effective interest method. Other Long Term Obligations On July 6, 2011, in connection with a credit agreement among the Company, Kinpak, Regions Bank and Regions Equipment Finance Corporation (“REFCO”), an Equipment Finance Addendum to a previously outstanding credit agreement (the “Addendum”) was entered into by the Company, Kinpak and REFCO. Under the Addendum, REFCO provided to the Company a $2,430,000 term loan with a fixed interest rate of 3.54% per annum. The proceeds of the term loan were used to pay Kinpak’s remaining obligations under a lease agreement relating to industrial revenue bonds used to fund a previous expansion of Kinpak’s facilities and acquisition of related equipment. The term loan matured on July 6, 2017, and the Company paid all remaining principal and interest at maturity. At December 31, 2017 and 2016, the Company was obligated under capital lease agreements covering equipment utilized in the Company’s operations. The capital leases, aggregating approximately $50,000 and $69,000 at December 31, 2017 and 2016, respectively, mature on July 1, 2020 and carry an interest rate of 2%. The following table provides information regarding the Company’s long-term debt at December 31, 2017 and 2016: Current Portion Long Term Portion December 31, December 31, 2016 December 31, December 31, Obligations related to industrial development bond financing $ 240,395 $ --- $ 4,222,241 $ --- Term loan --- 259,503 --- --- Capitalized equipment leases 19,238 18,889 31,188 50,426 Total principal of long term debt 259,633 278,392 4,253,429 50,426 Debt issuance costs (19,616 ) --- (171,636 ) --- Total long term debt $ 240,017 $ 278,392 $ 4,081,793 $ 50,426 Required principal payments under the Company’s term loan and capital lease obligations are set forth below: Year ending December 31, 2018 $ 259,633 2019 267,578 2020 267,066 2021 263,881 2022 272,213 Thereafter 3,182,691 Total $ 4,513,062 |
Intangible Assets
Intangible Assets | 12 Months Ended |
Dec. 31, 2017 | |
Intangible Assets [Abstract] | |
Intangible Assets | Note 7 The Company’s intangible assets at December 31, 2017 and 2016 consisted of the following: December 31, 2017 Intangible Assets Cost Accumulated Net Patents $ 622,733 $ 387,636 $ 235,097 Trade names and trademarks 1,131,125 549,561 581,564 Royalty rights 160,000 79,253 80,747 Total intangible assets $ 1,913,858 $ 1.016,450 $ 897,408 December 31, 2016 Intangible Assets Cost Accumulated Net Patents $ 622,733 $ 335,300 $ 287,433 Trade names and trademarks 1,131,125 549,561 581,564 Royalty rights 160,000 61,309 98,691 Total intangible assets $ 1,913,858 $ 946,170 $ 967,688 At December 31, 2017 and 2016, the trade names and trademarks are considered indefinite-lived. The patents (the most significant of which (the “ClO2 Patents”) relate to a device for producing chlorine dioxide (ClO2) that is incorporated into the Company’s disinfectant, sanitizer and deodorizer products) had a carrying value, net of amortization, of $235,097 at December 31, 2017 (of which $231,515 is attributable to the ClO2 Patents). The ClO2 Patents expire in 2022 and the other patents expire in 2021. The royalty rights (which the Company purchased from an unaffiliated entity that previously owned the ClO2 Patents and retained the royalty rights after selling the patents) expire in December 2021 and are amortized on a straight line basis over their remaining useful lives. Amortization expense related to intangible assets was $70,280 ($52,336 attributable to the patents and $17,944 attributable to the royalty rights) for each of the years ended December 31, 2017 and 2016. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2017 | |
Income Taxes [Abstract] | |
Income taxes | Note 8 The components of the Company’s consolidated provision (benefit) for income taxes are as follows: 2017 2016 Federal – current $ 1,101,503 $ 982,298 Federal – deferred (60,364 ) (25,565 ) State – current 31,930 27,163 State – deferred 892 (745 ) Total provision for income taxes $ 1,073,961 $ 983,151 The reconciliation of the provision for income taxes at the statutory rate to the reported provision for income taxes is as follows: 2017 % 2016 % Income Tax computed at statutory rate $ 1,250,348 34.0 % $ 1,046,629 34.0 % State tax, net of federal benefit 21,074 0.6 % 17,916 0.6 % Share based compensation (6,303 ) (0.2 )% (2,013 ) (0.1 )% Domestic production activities deduction (110,410 ) (3.0 )% (97,645 ) (3.2 )% Effect of tax rate change on deferred taxes (90,980 ) (2.5 )% --- 0.0 % Permanent adjustments 24,202 0.7 % 23,991 0.8 % Tax credits and other (13,970 ) (0.4 )% (5,727 ) (0.2 )% Provision for income taxes $ 1,073,961 29.2 % $ 983,151 31.9 % The Company’s deferred tax asset (liability) consisted of the following at December 31, 2017 and 2016: 2017 2016 Deferred tax asset (liability) Inventory reserves $ 68,631 $ 93,829 Trade accounts receivable allowances 9,017 26,259 Net Operating loss carryforward state 366,176 303,784 Depreciation of property and equipment (231,543 ) (333,455 ) Net deferred tax asset 239,549 90,417 Valuation allowance (366,176 ) (303,784 ) Total net deferred tax (liability) $ (153,895 ) $ (213,367 ) The Tax Cuts and Jobs Act was enacted on December 22, 2017. The legislation significantly changes United States tax law by, among other things, reducing our corporate income tax rates from 34% to 21%, effective January 1, 2018. As a result of the reduction in the corporate income tax rate, the Company revalued its net deferred tax liabilities at December 31, 2017 and recognized a $90,980 tax benefit in the Company’s consolidated statement of operations At December 31, 2017 and 2016, the Company has a net operating loss carryforward with the state of Alabama. The net operating losses of $5,636,482 and $4,676,600 expire between 2020 and 2031. The Company does not expect to be able to utilize these losses and has recorded a valuation allowance for the full amount of the net operating losses. |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2017 | |
Related Party Transactions [Abstract] | |
Related party transactions | Note 9 During 2017, as in previous years, the Company sold products to companies affiliated with Peter G. Dornau, who is the Company’s Chairman, President and Chief Executive Officer. The affiliated companies distribute the products outside of the United States and Canada. The Company also provides administrative services to these companies. Sales to the affiliated companies aggregated approximately $2,070,000 and $1,850,000 during the years ended December 31, 2017 and 2016, respectively, and fees for administrative services aggregated approximately $884,000 and $735,000 (including approximately $120,000 and $115,000 to reimburse the Company for business related expenditures that it made on behalf of the affiliated companies) during the years ended December 31, 2017 and 2016, respectively. The Company had accounts receivable from the affiliated companies in connection with the product sales and administrative services aggregating approximately $1,584,000 and $1,190,000 at December 31, 2017 and 2016, respectively. An entity that is owned by the Company’s Chairman, President and Chief Executive Officer provides several services to the Company. Under this arrangement, the Company paid the entity $42,000 for research and development services for each of the years ended December 31, 2017 and 2016. The research and development expenses are included in the Company’s statements of operations for the years ended December 31, 2017 and 2016 as a selling and administrative expense. In addition, during the year ended December 31, 2017, the Company paid this entity $64,250 for providing charter boat services for marketing events for the Company’s nonaffiliated customers. The charter boat services are included in the Company’s statement of operations for the year ended December 31, 2017 as an advertising and promotion expense. During the year ended December 31, 2016, the Company paid this entity $25,000 for the production of television commercials and $9,000 for providing charter boat services for entertainment of the Company’s nonaffiliated customers. The Company leases office and warehouse facilities in Fort Lauderdale, Florida from an entity controlled by its Chairman, President and Chief Executive Officer. See Note 10 for a description of the lease terms. A director of the Company is Regional Executive Vice President of an insurance broker through which the Company has sourced most of its general and liability insurance and, commencing in 2017, its health insurance. During the years ended December 31, 2017 and 2016, the Company paid an aggregate of approximately $1,235,000 and $697,000, respectively, in insurance premiums on policies obtained through the insurance broker. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2017 | |
Commitments and Contingencies [Abstract] | |
Commitments and contingencies | Note 10 The Company leases its executive offices and warehouse facilities in Fort Lauderdale, Florida from an entity controlled by its Chairman, President and Chief Executive Officer. The lease, as extended, expires on December 31, 2023. The lease requires an annual minimum base rent of $94,800 and provides for a maximum annual 2% increase in subsequent years, although the entity has not raised the minimum rent since the Company entered into a previous lease agreement in 1998. Additionally, the leasing entity is entitled to reimbursement of all taxes, assessments, and any other expenses that arise from ownership. Each of the parties to the lease has agreed to review the terms of the lease every three years at the request of the other party. Rent expense under the lease was approximately $97,000 for each of the years ended December 31, 2017 and 2016. The rent expense is included in the Company’s statements of operations as a selling and administrative expense. The Company also leases a 15,000 square foot warehouse from an unrelated third party in Montgomery, Alabama near its Kinpak manufacturing facility for the purpose of fabricating and assembling brushes used for cleaning boats, automobiles and recreational vehicles. The lease commenced on August 1, 2016 and expires on July 31, 2018. The Company pays monthly rent of $4,375 under the lease. The following is a schedule of minimum future rentals on the Company’s non-cancelable operating leases. Year ending December 31, 2018 $ 126,689 2019 97,985 2020 99,945 2021 101,944 2022 103,983 Thereafter 106,062 Total $ 636,608 |
Stock Options and Awards
Stock Options and Awards | 12 Months Ended |
Dec. 31, 2017 | |
Stock Options and Awards [Abstract] | |
Stock options and awards | Note 11 On May 29, 2015, the Company’s shareholders approved the Ocean Bio-Chem, Inc. 2015 Equity Compensation Plan (the “Plan”). The Plan provides for grants of several types of awards at the discretion of the Equity Grant Committee of the Company’s Board of Directors, including stock options, stock units, stock awards, stock appreciation rights and other stock based awards. The Plan authorizes the issuance of 630,000 shares of Company common stock, subject to anti-dilution adjustments upon the occurrence of certain events affecting the common stock During the years ended December 31, 2017 and 2016, the Company issued stock awards under the Plan aggregating 79,100 and 142,000 shares of common stock, respectively, to officers, key employees, directors and a consultant of an affiliated company. Following the withholding of an aggregate of 5,500 and 3,918 shares of common stock, respectively, in connection with a net exercise feature of the Plan, 73,600 and 138,082 shares were delivered to the award recipients, for the years ended December 31, 2017 and 2016, respectively. At December 31, 2017, 343,400 shares remained available for future issuance under the Plan. The shares vested immediately upon issuance and were fully expensed in the period in which they were awarded. Compensation expense related to the stock awards was $324,145 and $305,780 for the years ended December 31, 2017 and 2016, respectively. The Company withheld shares in 2017 and 2016 that had a value of $22,468 and $8,424, respectively, for income tax withholding related to the awards. As a result of the adoption of the Plan, no further stock awards will be made under the Company’s equity compensation plans previously approved by its shareholders (the “Prior Plans”). Prior to the May 29, 2015 effective date of the Plan, stock options were granted under the Prior Plans. Only non-qualified options granted under the Prior Plans were outstanding on December 31, 2017. Outstanding non-qualified options were granted to outside directors, have a 10-year term from the date of grant and are immediately exercisable. The last tranche of non-qualified options previously granted terminate on April 25, 2020. There was no compensation expense attributable to stock options recognized during the years ended December 31, 2017 and 2016, and at December 31, 2017 and 2016, there was no unrecognized compensation cost related to share based compensation arrangements During 2017, stock options to purchase an aggregate of 40,000 shares were exercised. The Company received a total of $26,400, withheld 5,957 shares in connection with the net exercise feature of the stock options and delivered an aggregate of 34,043 shares to the option holders who exercised their options. During 2016, stock options to purchase an aggregate of 30,000 shares were exercised. The Company received a total of $21,600, withheld 4,519 shares in connection with the net exercise feature of the stock options and delivered an aggregate of 25,481 shares to the option holders who exercised their options. The following tables provide information regarding outstanding options under the Company’s stock option plans at December 31, 2017 and 2016. As used in the table below, “2002 NQ” refers to the Company’s 2002 Non-Qualified Stock Option Plan and “2008 NQ” refers to the Company’s 2008 Non-Qualified Stock Option Plan. At December 31, 2017: Plan Date Options Outstanding Exercisable Exercise Price Expiration Weighted Average 2008 NQ 1/11/09 40,000 40,000 0.69 1/10/19 1.0 2008 NQ 4/26/10 20,000 20,000 2.07 4/25/20 2.4 60,000 60,000 $ 1.15 1.5 At December 31, 2016: Plan Date Options Outstanding Exercisable Exercise Price Expiration Weighted Average 2002 NQ 12/17/07 40,000 40,000 1.32 12/16/17 1.0 2008 NQ 1/11/09 40,000 40,000 0.69 1/10/19 2.1 2008 NQ 4/26/10 20,000 20,000 2.07 4/25/20 3.4 100,000 100,000 $ 1.22 1.9 The following table provides information relating to stock option transactions during the years ended December 31, 2017 and 2016: 2017 2016 Weighted Weighted Average Average Exercise Exercise Shares Price Shares Price Options outstanding beginning of the year 100,000 $ 1.22 130,000 $ 1.19 Options exercised (40,000 ) 1.32 (30,000 ) 1.08 Total 60,000 $ 1.15 100,000 $ 1.22 |
Major Customers
Major Customers | 12 Months Ended |
Dec. 31, 2017 | |
Major Customers [Abstract] | |
Major customers | Note 12 The Company had net sales to each of two major customers that constituted in excess of 10% of the Company’s consolidated net sales for each of the years ended December 31, 2017 and 2016. Net sales to each of these two customers represented approximately 22.4% and 11.6% of consolidated net sales for 2017 and approximately 20.3% and 12.7% of consolidated net sales for 2016, respectively. |
Litigation Expense
Litigation Expense | 12 Months Ended |
Dec. 31, 2017 | |
Litigation Expense [Abstract] | |
Litigation expense | Note 13 During the year ended December 31, 2016, the Company was engaged in litigation with a competitor in which each of the Company and the competitor claimed that the other was engaged in false advertising and related violations of law. Following a trial in which it was determined that neither party was liable to the other, the matter was concluded. The Company incurred professional fees and expenses relating to this matter of $1,146,000 during the year ended December 31, 2016. This amount is included in the Company’s statement of operations for the year ended December 31, 2016 as selling and administrative expenses. The matter concluded in 2016, and no expenses related to this litigation were incurred during the year ended December 31, 2017. |
Earnings Per Share
Earnings Per Share | 12 Months Ended |
Dec. 31, 2017 | |
Earnings Per Share [Abstract] | |
Earnings per share | Note 14 Basic earnings per share are calculated by dividing net income by the weighted average number of shares outstanding during the reporting period. Diluted earnings per share reflect additional dilution from potential common stock issuable upon the exercise of outstanding stock options. The following table sets forth the computation of basic and diluted earnings per common share, as well as a reconciliation of the weighted average number of common shares outstanding to the weighted average number of shares outstanding on a diluted basis. Years Ended 2017 2016 Earnings per common share –Basic Net income $ 2,603,534 $ 2,095,171 Weighted average number of common shares outstanding 9,190,429 9,059,966 Earnings per common share – Basic $ 0.28 $ 0.23 Earnings per common share – Diluted Net income $ 2,603,534 $ 2,095,171 Weighted average number of common shares outstanding 9,190,429 9,059,966 Dilutive effect of employee stock-based awards 63,373 56,550 Weighted average number of common shares outstanding - assuming dilution 9,253,802 9,116,516 Earnings per common share - Diluted $ 0.28 $ 0.23 The Company had no stock options outstanding at December 31, 2017 and 2016, respectively that were anti-dilutive and therefore not included in the diluted earnings per common share calculation. |
Cash Dividends
Cash Dividends | 12 Months Ended |
Dec. 31, 2017 | |
Cash Dividends [Abstract] | |
Cash Dividends | Note 15 On April 13, 2017, the Company’s Board of Directors declared a special cash dividend of $0.06 per common share payable on May 11, 2017 to all shareholders of record on April 27, 2017. On April 27, 2017, there were 9,154,243 shares of common stock outstanding; therefore, dividends aggregating $549,255 were paid on May 11, 2017. On March 25, 2016, the Company’s Board of Directors declared a special cash dividend of $0.06 per common share payable on April 26, 2016 to all shareholders of record on April 12, 2016. On April 12, 2016, there were 9,008,855 shares of common stock outstanding; therefore, dividends aggregating $540,531 were paid on April 26, 2016. |
Recent Accounting Pronouncement
Recent Accounting Pronouncements | 12 Months Ended |
Dec. 31, 2017 | |
Recent Accounting Pronouncements [Abstract] | |
Recent Accounting Pronouncements | Note -16 Accounting Guidance Adopted by the Company In July 2015, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2015-11, “ Inventory” (Topic 330) Accounting Guidance Not Yet Adopted by the Company In May 2014, the FASB issued ASU 2014-09, "Revenue from Contracts with Customers (Topic 606).” ASU 2014-09, which has been modified on several occasions, provides new guidance designed to enhance the comparability of revenue recognition practices across entities, industries, jurisdictions and capital markets. The core principle of the new guidance is that an entity recognizes revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods and services. The new guidance also requires disclosures about the nature, amount, timing and uncertainty of revenue and cash flows arising from contracts with customers. The new guidance is effective for us beginning January 1, 2018. The Company will use the full retrospective method. Management has evaluated our current revenue recognition process and reviewed active customer agreements and assessed that under ASU 2014-09 our performance obligation to our customers is satisfied when the goods are shipped and title of the goods is transferred, or in the case in which our inventory is held in consignment upon sale to a third party, when we are notified of sales by the consignee. The timing of our revenue recognition will not change, however certain allowances given to customers primarily cooperative advertising will be considered a reduction of revenue instead of an advertising and promotion expense. This reclassification will not affect net income. In February 2016, the FASB issued Accounting Standards Update No. 2016-02 (“ASU 2016-02”), “Leases.” Generally, under ASU 2016-02, lessees will be required to recognize, at the commencement date of each lease having a term of more than 12 months, both a lease liability, which is a lessee’s obligation to make lease payments arising from a lease, initially measured at the present value of the lease payments, and a right-to-use asset, which is an asset that represents the lessee’s right to use or control the use of the underlying asset for the lease term. Leases will be classified as either finance or operating; the classification will affect the manner of reporting expenses and cash flows. The new guidance is effective for fiscal years, and interim periods within those years, beginning after December 15, 2018, with early adoption permitted. The guidance must be adopted using a modified retrospective transition approach for leases existing at, or entered into after, the beginning of the earliest comparative period presented in the financial statements. The guidance provides certain practical expedients. The Company is currently evaluating this guidance to determine its impact on the Company’s financial statements. In November 2016, the FASB issued ASU 2016-18, which requires entities to present the changes in total cash, cash equivalents, restricted cash and restricted cash equivalents in the statement of cash flows. The new guidance also requires a reconciliation of the totals in the statement of cash flows to the related captions in the balance sheet if restricted cash and restricted cash equivalents are presented in a different line item in the balance sheet. The amendments of this Update, which should be applied using a retrospective transition method to each period presented, are effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2017. Early adoption is permitted. The adoption of this standard will change the presentation in the consolidated statements of cash flows. In January 2017, the FASB issued ASU No. 2017-04, Intangibles-Goodwill and Other, which simplifies the accounting for goodwill impairments by eliminating step 2 from the goodwill impairment test. Instead, if “the carrying amount of a reporting unit exceeds its fair value, an impairment loss shall be recognized in an amount equal to that excess, limited to the total amount of goodwill allocated to that reporting unit.” The guidance is effective for fiscal years beginning after December 15, 2019. Early adoption is permitted. The Company is currently evaluating the impact the adoption of this new standard will have on its consolidated financial statements. In June 2016, the FASB issued ASU 2016-13 Financial Instruments – Credit Losses which replaces the incurred loss model with a current expected credit loss (“CECL”) model. The CECL model applies to financial assets subject to credit losses and measured at amortized cost and certain off-balance sheet exposures. Under current U.S. GAAP, an entity reflects credit losses on financial assets measured on an amortized cost basis only when losses are probable and have been incurred, generally considering only past events and current conditions in making these determinations. ASU 2016-13 prospectively replaces this approach with a forward-looking methodology that reflects the expected credit losses over the lives of financial assets, starting when such assets are first acquired. Under the revised methodology, credit losses will be measured based on past events, current conditions and reasonable and supportable forecasts that affect the collectability of financial assets. ASU 2016-13 also revises the approach to recognizing credit losses for available-for-sale securities by replacing the direct write-down approach with the allowance approach and limiting the allowance to the amount at which the security’s fair value is less than the amortized cost. In addition, ASU 2016-13 provides that the initial allowance for credit losses on purchased credit impaired financial assets will be recorded as an increase to the purchase price, with subsequent changes to the allowance recorded as a credit loss expense. ASU 2016-13 also expands disclosure requirements regarding an entity’s assumptions, models and methods for estimating the allowance for credit losses. The amendments of this Update are effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019. Early adoption is permitted as of January 1, 2019. The Company is currently evaluating the impact the adoption of this new standard will have on its Consolidated Financial Statement s. |
Subsequent Event
Subsequent Event | 12 Months Ended |
Dec. 31, 2017 | |
Subsequent Event [Abstract] | |
Subsequent Event | Note -17 On March 19, 2018, the Company’s Board of Directors declared a special cash dividend of $0.06 per common share payable on April 16, 2018 to all shareholders of record on April 2, 2018. At the time of the filing of this report there were 9,254,580 shares of common stock outstanding; therefore, dividends aggregating $555,275 will be paid on April 16, 2018. |
Organization and Summary of S25
Organization and Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2017 | |
Organization and Summary of Significant Accounting Policies [Abstract] | |
Organization | Organization |
Basis of presentation | Basis of presentation |
Revenue recognition | Revenue recognition |
Collectability of accounts receivable | Collectability of accounts receivable |
Inventories | Inventories |
Shipping and handling costs | Shipping and handling costs |
Advertising and promotion expense | Advertising and promotion expense |
Property, plant and equipment | Property, plant and equipment |
Research and development costs | Research and development costs |
Stock based compensation | Stock based compensation |
Use of estimates | Use of estimates |
Concentration of cash | Concentration of cash |
Fair value of financial instruments | Fair value of financial instruments ASC Topic 820 also sets forth a valuation hierarchy of the inputs (assumptions that market participants would use in pricing an asset or liability) used to measure fair value. The hierarchy prioritizes the three levels of inputs as follows: Level 1: Observable inputs that reflect unadjusted quoted prices for identical assets or liabilities traded in active markets. Level 2: Inputs that include quoted prices for similar assets or liabilities in active markets; quoted prices for identical or similar assets or liabilities in markets that are not active; inputs other than quoted prices that are observable for the asset or liability; and inputs that are derived principally from or corroborated by observable market data through correlation or other means. Level 3: Inputs that are generally unobservable. These inputs may be used with internally developed methodologies that result in management’s best estimate of fair value. The carrying amounts of the Company’s short-term financial instruments, including cash, accounts receivable, accounts payable, certain accrued expenses and revolving line of credit, approximate their fair value due to the relatively short period to maturity for these instruments. The fair value of long-term debt is based on current rates at which the Company could borrow funds with similar remaining maturities; the carrying amount of the long-term debt approximates fair value. |
Impairment of long-lived assets | Impairment of long-lived assets |
Income taxes | Income taxes We record a valuation allowance when necessary to reduce our deferred tax assets to the net amount that we believe is more likely than not to be realized. We consider available evidence, both positive and negative, and use judgments regarding past and future events, including operating results and available tax planning strategies, in assessing the need for a valuation allowance. We recognize tax benefits from uncertain tax positions only if we believe that it is more likely than not that the tax positions will be sustained on examination by the taxing authorities based on the technical merits of the positions; otherwise, we establish reserves for uncertain tax positions. We adjust reserves with respect to uncertain tax positions to address developments related to these positions, such as the closing of a tax audit, the expiration of a statute of limitations or the refinement of an estimate. The provision for income taxes includes any reserves with respect to uncertain tax positions that are considered appropriate, as well as the related net interest and penalties. The Company has no uncertain tax positions as of December 31, 2017. The Company is no longer subject to income tax examinations for years before 2014. |
Intangible assets | Intangible assets |
Foreign currency translation | Foreign currency translation |
Earnings per share | Earnings per share |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Inventories [Abstract] | |
Summary of composition of inventories | 2017 2016 Raw materials $ 3,994,624 $ 3,633,641 Finished goods 5,354,097 5,235,207 Inventories, gross 9,348,721 8,868,848 Inventory reserves (274,295 ) (268,159 ) Inventories, net $ 9,074,426 $ 8,600,689 |
Property, Plant and Equipment (
Property, Plant and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Property, Plant and Equipment [Abstract] | |
Summary of property plant and equipment | Estimated Useful Life 2017 2016 Land $ 278,325 $ 278,325 Building and Improvements 30 years 4,673,409 4,652,669 Manufacturing and warehouse equipment 6-20 years 9,616,086 9,239,876 Office equipment and furniture 3-5 years 1,367,244 1,344,732 Leasehold improvements 10-15 years 567,898 558,666 Vehicles 3 years 10,020 10,020 Construction in process 5,197,780 387,417 Property, plant and equipment, gross 21,710,762 16,471,705 Less accumulated depreciation (12,419,095 ) (11,575,732 ) Property, plant and equipment, net $ 9,291,667 $ 4,895,973 |
Accrued Expenses Payable (Table
Accrued Expenses Payable (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Accrued Expenses Payable [Abstract] | |
Summary of accrued expenses payable | 2017 2016 Accrued customer promotions $ 343,172 $ 546,127 Accrued payroll, commissions, and benefits 280,783 287,376 Other 188,107 266,416 Total accrued expenses payable $ 812,062 $ 1,099,919 |
Long Term Debt (Tables)
Long Term Debt (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Revolving Line of Credit and Long Term Debt [Abstract] | |
Summary of company's long term debt | Current Portion Long Term Portion December 31, December 31, 2016 December 31, December 31, Obligations related to industrial development bond financing $ 240,395 $ --- $ 4,222,241 $ --- Term loan --- 259,503 --- --- Capitalized equipment leases 19,238 18,889 31,188 50,426 Total principal of long term debt 259,633 278,392 4,253,429 50,426 Debt issuance costs (19,616 ) --- (171,636 ) --- Total long term debt $ 240,017 $ 278,392 $ 4,081,793 $ 50,426 |
Summary of principal payments under long term obligations | Year ending December 31, 2018 $ 259,633 2019 267,578 2020 267,066 2021 263,881 2022 272,213 Thereafter 3,182,691 Total $ 4,513,062 |
Intangible Assets (Tables)
Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Intangible Assets [Abstract] | |
Schedule of intangible assets | December 31, 2017 Intangible Assets Cost Accumulated Net Patents $ 622,733 $ 387,636 $ 235,097 Trade names and trademarks 1,131,125 549,561 581,564 Royalty rights 160,000 79,253 80,747 Total intangible assets $ 1,913,858 $ 1.016,450 $ 897,408 December 31, 2016 Intangible Assets Cost Accumulated Net Patents $ 622,733 $ 335,300 $ 287,433 Trade names and trademarks 1,131,125 549,561 581,564 Royalty rights 160,000 61,309 98,691 Total intangible assets $ 1,913,858 $ 946,170 $ 967,688 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Income Taxes [Abstract] | |
Summary of provision (benefit) for income taxes | 2017 2016 Federal – current $ 1,101,503 $ 982,298 Federal – deferred (60,364 ) (25,565 ) State – current 31,930 27,163 State – deferred 892 (745 ) Total provision for income taxes $ 1,073,961 $ 983,151 |
Summary of reconciliation of the provision for income taxes at the statutory rate to the reported provision for income taxes | 2017 % 2016 % Income Tax computed at statutory rate $ 1,250,348 34.0 % $ 1,046,629 34.0 % State tax, net of federal benefit 21,074 0.6 % 17,916 0.6 % Share based compensation (6,303 ) (0.2 )% (2,013 ) (0.1 )% Domestic production activities deduction (110,410 ) (3.0 )% (97,645 ) (3.2 )% Effect of tax rate change on deferred taxes (90,980 ) (2.5 )% --- 0.0 % Permanent adjustments 24,202 0.7 % 23,991 0.8 % Tax credits and other (13,970 ) (0.4 )% (5,727 ) (0.2 )% Provision for income taxes $ 1,073,961 29.2 % $ 983,151 31.9 % |
Summary of deferred tax asset (liability) | 2017 2016 Deferred tax asset (liability) Inventory reserves $ 68,631 $ 93,829 Trade accounts receivable allowances 9,017 26,259 Net Operating loss carryforward state 366,176 303,784 Depreciation of property and equipment (231,543 ) (333,455 ) Net deferred tax asset 239,549 90,417 Valuation allowance (366,176 ) (303,784 ) Total net deferred tax (liability) $ (153,895 ) $ (213,367 ) |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Commitments and Contingencies [Abstract] | |
Schedule of minimum future rentals on the Company's non-cancelable operating leases | Year ending December 31, 2018 $ 126,689 2019 97,985 2020 99,945 2021 101,944 2022 103,983 Thereafter 106,062 Total $ 636,608 |
Stock Options and Awards (Table
Stock Options and Awards (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Stock Options and Awards [Abstract] | |
Schedule of outstanding stock options under company's stock options plans | At December 31, 2017: Plan Date Options Outstanding Exercisable Exercise Price Expiration Weighted Average 2008 NQ 1/11/09 40,000 40,000 0.69 1/10/19 1.0 2008 NQ 4/26/10 20,000 20,000 2.07 4/25/20 2.4 60,000 60,000 $ 1.15 1.5 At December 31, 2016: Plan Date Options Outstanding Exercisable Exercise Price Expiration Weighted Average 2002 NQ 12/17/07 40,000 40,000 1.32 12/16/17 1.0 2008 NQ 1/11/09 40,000 40,000 0.69 1/10/19 2.1 2008 NQ 4/26/10 20,000 20,000 2.07 4/25/20 3.4 100,000 100,000 $ 1.22 1.9 |
Schedule of information relating to stock option transactions | 2017 2016 Weighted Weighted Average Average Exercise Exercise Shares Price Shares Price Options outstanding beginning of the year 100,000 $ 1.22 130,000 $ 1.19 Options exercised (40,000 ) 1.32 (30,000 ) 1.08 Total 60,000 $ 1.15 100,000 $ 1.22 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Earnings Per Share [Abstract] | |
Summary of computation of basic and diluted earnings per common share | Years Ended 2017 2016 Earnings per common share –Basic Net income $ 2,603,534 $ 2,095,171 Weighted average number of common shares outstanding 9,190,429 9,059,966 Earnings per common share – Basic $ 0.28 $ 0.23 Earnings per common share – Diluted Net income $ 2,603,534 $ 2,095,171 Weighted average number of common shares outstanding 9,190,429 9,059,966 Dilutive effect of employee stock-based awards 63,373 56,550 Weighted average number of common shares outstanding - assuming dilution 9,253,802 9,116,516 Earnings per common share - Diluted $ 0.28 $ 0.23 |
Organization and Summary of S35
Organization and Summary of Significant Accounting Policies (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Organization and Summary of Significant Accounting Policies (Textual) | ||
Trade accounts receivable, allowance for doubtful accounts | $ 79,000 | $ 75,000 |
Bad debt expense | 199,000 | |
Shipping and handling costs | 1,226,000 | 1,120,000 |
Advertising and promotion expense | 3,523,710 | 3,117,164 |
Research and development costs | 42,000 | 46,000 |
Depreciation expense | $ 884,881 | 904,307 |
Bad debt reserve | $ 3,000 |
Inventories (Details)
Inventories (Details) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 |
Summary of inventories | ||
Raw materials | $ 3,994,624 | $ 3,633,641 |
Finished goods | 5,354,097 | 5,235,207 |
Inventories, gross | 9,348,721 | 8,868,848 |
Inventory reserves | (274,295) | (268,159) |
Inventories, net | $ 9,074,426 | $ 8,600,689 |
Inventories (Details Textual)
Inventories (Details Textual) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 |
Inventories (Textual) | ||
Inventories managed at the customer's warehouses | $ 494,000 | $ 551,000 |
Property, Plant and Equipment38
Property, Plant and Equipment (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Summary of property, plant and equipment | ||
Land | $ 278,325 | $ 278,325 |
Building and Improvements | 4,673,409 | 4,652,669 |
Manufacturing and warehouse equipment | 9,616,086 | 9,239,876 |
Office equipment and furniture | 1,367,244 | 1,344,732 |
Leasehold improvements | 567,898 | 558,666 |
Vehicles | 10,020 | 10,020 |
Construction in process | 5,197,780 | 387,417 |
Property, plant and equipment, gross | 21,710,762 | 16,471,705 |
Less accumulated depreciation | (12,419,095) | (11,575,732) |
Property, plant and equipment, net | $ 9,291,667 | $ 4,895,973 |
Building and improvements [Member] | ||
Summary of property, plant and equipment | ||
Estimated Useful Life | 30 years | |
Manufacturing and warehouse equipment [Member] | Minimum [Member] | ||
Summary of property, plant and equipment | ||
Estimated Useful Life | 6 years | |
Manufacturing and warehouse equipment [Member] | Maximum [Member] | ||
Summary of property, plant and equipment | ||
Estimated Useful Life | 20 years | |
Office equipment and furniture [Member] | Minimum [Member] | ||
Summary of property, plant and equipment | ||
Estimated Useful Life | 3 years | |
Office equipment and furniture [Member] | Maximum [Member] | ||
Summary of property, plant and equipment | ||
Estimated Useful Life | 5 years | |
Leasehold improvements [Member] | Minimum [Member] | ||
Summary of property, plant and equipment | ||
Estimated Useful Life | 10 years | |
Leasehold improvements [Member] | Maximum [Member] | ||
Summary of property, plant and equipment | ||
Estimated Useful Life | 15 years | |
Vehicles [Member] | ||
Summary of property, plant and equipment | ||
Estimated Useful Life | 3 years |
Property, Plant and Equipment39
Property, Plant and Equipment (Details Textual) - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Property, Plant and Equipment (Textual) | ||
Construction in process | $ 5,197,780 | $ 387,417 |
Kinpak [Member] | ||
Property, Plant and Equipment (Textual) | ||
Construction in process | 5,087,897 | $ 188,041 |
Total estimate cost of expansion project | $ 6,000,000 |
Revolving Line of Credit (Detai
Revolving Line of Credit (Details) - USD ($) | 1 Months Ended | 12 Months Ended |
Aug. 31, 2017 | Dec. 31, 2017 | |
Revolving Line of Credit (Textual) | ||
Term of revolving line of credit | The Company was provided a revolving line of credit. Under the Business Loan Agreement, the Company may borrow up to the lesser of (i) $6,000,000 or (ii) a borrowing base equal to 85% of Eligible Accounts (as defined in the Business Loan Agreement) plus 50% of Eligible Inventory (as defined in the Business Loan Agreement). | |
Maximum revolving credit line of credit provided in business loan agreement | $ 6,000,000 | |
Percentage of eligible accounts receivables as part of borrowing base | 85.00% | |
Percentage of eligible inventory as part of the borrowing base | 50.00% | |
Description of interest on the revolving line of credit | Interest on amounts borrowed under the revolving line of credit is payable monthly at the one month LIBOR rate plus 1.5% per annum, computed on a 365/360 basis. | |
Due date of outstanding principal and interest borrowed under revolving line of credit | Aug. 31, 2018 | |
Financial covenants under credit agreement | A minimum fixed charge coverage ratio (generally, the ratio of (A) EBITDA for the most recently completed four fiscal quarters minus the sum of Company's distributions to its shareholders, taxes paid and unfunded capital expenditures during such period to (B) current maturities of Company long term debt as of the end of the most recent fiscal quarter plus scheduled interest expense incurred over the most recently completed four fiscal quarters) of 1.20 to 1, tested quarterly, and a maximum "debt to cap" ratio (generally, funded debt divided by the sum of net worth and funded debt) of 0.75 to 1, as of the end of each fiscal quarter. For purposes of computing the fixed charge coverage ratio, "EBITDA" generally is defined as net income before taxes and depreciation expense plus amortization expense, plus interest expense, plus non-recurring and/or non-cash losses and expenses, minus non-recurring and/or non-cash gains and income; "unfunded capital expenditures' generally is defined as capital expenditures made from Company funds other than funds borrowed through term debt incurred to finance such capital expenditures; and long term debt' generally is defined as "debt instruments with a maturity principal due date of one year or more in length," including, among other listed contractual debt instruments, "revolving lines of credit" and "capital leases obligations." For the year ended December 31, 2017, the Company's fixed charge coverage ratio was approximately 7.30 to 1.00, and at December 31, 2017, the Company's debt to capitalization ratio was approximately 0.15 to 1.00. | |
Debt service coverage ratio | 1.20 to 1 | 7.30 to 1.00 |
Debt capitalization ratio | 0.75 to 1 | 0.15 to 1.00 |
Ownership requirement of majority shareholder to prevent default | The revolving line of credit is subject to several events of default, including a decline in the majority shareholder’s ownership below 50% of all outstanding shares. | |
Majority shareholder's ownership, percentage | 50.00% | |
Debt instrument maturity term | 1 year |
Accrued Expenses Payable (Detai
Accrued Expenses Payable (Details) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 |
Summary of accrued expenses payable | ||
Accrued customer promotions | $ 343,172 | $ 546,127 |
Accrued payroll, commissions, and benefits | 280,783 | 287,376 |
Other | 188,107 | 266,416 |
Total accrued expenses payable | $ 812,062 | $ 1,099,919 |
Long Term Debt (Details)
Long Term Debt (Details) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 |
Summary of long term debt | ||
Total principal of long term debt, Current Portion | $ 259,633 | $ 278,392 |
Total principal of long term debt, Long Term Portion | 4,253,429 | 50,426 |
Total long term debt, Current Portion | 240,017 | 278,392 |
Total long term debt, Long Term Portion | 4,081,793 | 50,426 |
Debt issuance costs, Current Portion | (19,616) | |
Debt issuance costs, Long Term Portion | (171,636) | |
Obligations related to industrial development bond financing [Member] | ||
Summary of long term debt | ||
Total principal of long term debt, Current Portion | 240,395 | |
Total principal of long term debt, Long Term Portion | 4,222,241 | |
Term loan [Member] | ||
Summary of long term debt | ||
Total principal of long term debt, Current Portion | 259,503 | |
Total principal of long term debt, Long Term Portion | ||
Capitalized equipment leases [Member] | ||
Summary of long term debt | ||
Capitalized equipment leases, Current Portion | 19,238 | 18,889 |
Capitalized equipment leases, Long Term Portion | $ 31,188 | $ 50,426 |
Long Term Debt (Details 1)
Long Term Debt (Details 1) | Dec. 31, 2017USD ($) |
Summary of principal payments under Company's long term obligations | |
2,018 | $ 259,633 |
2,019 | 267,578 |
2,020 | 267,066 |
2,021 | 263,881 |
2,022 | 272,213 |
Thereafter | 3,182,691 |
Total | $ 4,513,062 |
Long Term Debt (Details Textual
Long Term Debt (Details Textual) | Jul. 06, 2011USD ($) | Sep. 26, 2017USD ($)ft² | Dec. 31, 2017USD ($)Installments | Dec. 31, 2016USD ($) |
Long Term Debt (Textual) | ||||
Area of land | ft² | 85,000 | |||
Aggregate capital lease | $ 50,000 | $ 69,000 | ||
Maturity period for capital lease | Mature on July 1, 2020. | |||
Percentage of interest rates | 2.00% | |||
Term loan description | Of the $4,500,000 proceeds of the Bond sale, approximately $1,699,000 has been applied to reimburse Kinpak for Project expenditures and approximately $54,000 was paid directly to other parties for certain transaction costs. | |||
Lender's purchase of industrial development bond | $ 4,500,000 | |||
Repurchase price of facilities if bond has been redeemed or fully paid | $ 1,000 | |||
Bond redemptions, description | The Bond bears interest at the rate of 3.07% per annum, calculated on the basis of a 360-day year and the actual number of days elapsed (subject to increase to 6.07% per annum upon the occurrence of an event of default), and is payable in 118 monthly installments of $31,324 beginning on November 1, 2017 and ending on August 1, 2027, with a final principal and interest payment to be made on September 1, 2027 in the amount of $1,799,201. | |||
Number of installments | Installments | 118 | |||
Loan obtained from Regions Capital Advantage, Inc. | $ 4,500,000 | |||
Proceeds from sale of Bond | $ 4,500,000 | |||
Incurred debt financing costs | $ 196,095 | |||
REFCO [Member] | ||||
Long Term Debt (Textual) | ||||
Interest rate | 3.54% | |||
Term loan maturity date | Jul. 6, 2017 | |||
Term loan | $ 2,430,000 |
Intangible Assets (Details)
Intangible Assets (Details) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 |
Indefinite-lived Intangible Assets [Line Items] | ||
Intangible assets, Cost | $ 1,913,858 | $ 1,913,858 |
Intangible assets, Accumulated Amortization | 1,016,450 | 946,170 |
Intangible assets, Net | 897,408 | 967,688 |
Patents [Member] | ||
Indefinite-lived Intangible Assets [Line Items] | ||
Intangible assets, Cost | 622,733 | 622,733 |
Intangible assets, Accumulated Amortization | 387,636 | 335,300 |
Intangible assets, Net | 235,097 | 287,433 |
Trade names and trademarks [Member] | ||
Indefinite-lived Intangible Assets [Line Items] | ||
Intangible assets, Cost | 1,131,125 | 1,131,125 |
Intangible assets, Accumulated Amortization | 549,561 | 549,561 |
Intangible assets, Net | 581,564 | 581,564 |
Royalty rights [Member] | ||
Indefinite-lived Intangible Assets [Line Items] | ||
Intangible assets, Cost | 160,000 | 160,000 |
Intangible assets, Accumulated Amortization | 79,253 | 61,309 |
Intangible assets, Net | $ 80,747 | $ 98,691 |
Intangible Assets (Details Text
Intangible Assets (Details Textual) - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Intangible Assets (Textual) | ||
Amortization expense | $ 70,280 | $ 70,280 |
Net of amortization | 897,408 | 967,688 |
Patents [Member] | ||
Intangible Assets (Textual) | ||
Amortization expense | $ 52,336 | 52,336 |
Expiry date of intangible assets | 2,022 | |
Net of amortization | $ 235,097 | 287,433 |
ClO2 Patents [Member] | ||
Intangible Assets (Textual) | ||
Net of amortization | 231,515 | |
Royalty rights [Member] | ||
Intangible Assets (Textual) | ||
Amortization expense | $ 17,944 | 17,944 |
Expiry date of intangible assets | 2,021 | |
Net of amortization | $ 80,747 | $ 98,691 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Summary of provision for income taxes | ||
Federal - current | $ 1,101,503 | $ 982,298 |
Federal - deferred | (60,364) | (25,565) |
State - current | 31,930 | 27,163 |
State - deferred | 892 | (745) |
Total provision for income taxes | $ 1,073,961 | $ 983,151 |
Income Taxes (Details 1)
Income Taxes (Details 1) - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Summary of reconciliation of the provision for income taxes at the statutory rate to the reported provision for income taxes | ||
Income Tax computed at statutory rate | $ 1,250,348 | $ 1,046,629 |
State tax, net of federal benefit | 21,074 | 17,916 |
Share based compensation | (6,303) | (2,013) |
Domestic production activities deduction | (110,410) | (97,645) |
Effect of tax rate change on deferred taxes | (90,980) | |
Permanent adjustments | 24,202 | 23,991 |
Tax credits and other | (13,970) | (5,727) |
Total provision for income taxes | $ 1,073,961 | $ 983,151 |
Income Tax computed at statutory rate, percentage | 34.00% | 34.00% |
State tax, net of federal benefit, percent | 0.60% | 0.60% |
Share based compensation, percent | (0.20%) | (0.10%) |
Domestic production activities deduction, percent | (3.00%) | (3.20%) |
Effect of tax rate change on deferred taxes, percent | (2.50%) | 0.00% |
Permanent adjustments, percent | 0.70% | 0.80% |
Tax credits and other, percent | (0.40%) | (0.20%) |
Effective Income Tax Rate Reconciliation, Percent | 29.20% | 31.90% |
Income Taxes (Details 2)
Income Taxes (Details 2) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 |
Deferred tax asset (liability) | ||
Inventory reserves | $ 68,631 | $ 93,829 |
Trade accounts receivable allowances | 9,017 | 26,259 |
Net Operating loss carryforward state | 366,176 | 303,784 |
Depreciation of property and equipment | (231,543) | (333,455) |
Net deferred tax asset | 239,549 | 90,417 |
Valuation allowance | (366,176) | (303,784) |
Total net deferred tax (liability) | $ (153,895) | $ (213,367) |
Income Taxes (Details Textual)
Income Taxes (Details Textual) - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Income Taxes (Textual) | ||
Net operating losses expired description | Expire between 2020 and 2031. | |
Net operating losses | $ 5,636,482 | $ 4,676,600 |
Income tax rates, description | The legislation significantly changes United States tax law by, among other things, reducing our corporate income tax rates from 34% to 21%, effective January 1, 2018. | |
Deferred tax liabilities, net | $ 90,980 |
Related Party Transactions (Det
Related Party Transactions (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Related Party Transactions (Textual) | ||
Sales to the affiliated companies | $ 2,070,000 | $ 1,850,000 |
Administrative fees | 884,000 | 735,000 |
Receivables due from affiliated companies | 1,584,000 | 1,190,000 |
Amount paid to entity for research and development services | 42,000 | 42,000 |
Insurance premiums paid | 1,235,000 | 697,000 |
Amount paid for the production of television commercials | 25,000 | |
Entertainment of company nonaffiliated customers | 9,000 | |
Reimburse business related expenditures | 120,000 | $ 115,000 |
Services provided for marketing events | $ 64,250 |
Commitments and Contingencies52
Commitments and Contingencies (Details) | Dec. 31, 2017USD ($) |
Schedule of minimum future rentals on the Company's non-cancelable operating leases | |
2,018 | $ 126,689 |
2,019 | 97,985 |
2,020 | 99,945 |
2,021 | 101,944 |
2,022 | 103,983 |
Thereafter | 106,062 |
Total | $ 636,608 |
Commitments and Contingencies53
Commitments and Contingencies (Details Textual) | Aug. 01, 2016USD ($) | Dec. 31, 2017USD ($)ft² | Dec. 31, 2016USD ($) |
Commitments and contingencies (Textual) | |||
Area of rent leases | ft² | 15,000 | ||
Fort Lauderdale Florida Facility [Member] | |||
Commitments and contingencies (Textual) | |||
Extended expiration date of lease | Dec. 31, 2023 | ||
Minimum base rent | $ 94,800 | ||
Maximum annual percentage increase in base rent | 2.00% | ||
Period to review term of lease | 3 years | ||
Rent expense under the lease | $ 97,000 | $ 97,000 | |
Kinpak Manufacturing Facility [Member] | |||
Commitments and contingencies (Textual) | |||
Monthly rent | $ 4,375 | ||
Expiration date | Jul. 31, 2018 |
Stock Options and Awards (Detai
Stock Options and Awards (Details) - $ / shares | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Summary of outstanding options, exercisable options, exercise price, expiration date, weighted average remaining life under company stock option plans | ||
Options Outstanding | 60,000 | 100,000 |
Exercisable Options | 60,000 | 100,000 |
Exercise Price | $ 1.15 | $ 1.22 |
Weighted Average Remaining Life | 1 year 6 months | 1 year 10 months 25 days |
2002NQ [Member] | ||
Summary of outstanding options, exercisable options, exercise price, expiration date, weighted average remaining life under company stock option plans | ||
Date Granted | Dec. 17, 2007 | |
Options Outstanding | 40,000 | |
Exercisable Options | 40,000 | |
Exercise Price | $ 1.32 | |
Expiration Date | Dec. 16, 2017 | |
Weighted Average Remaining Life | 1 year | |
2008NQ One [Member] | ||
Summary of outstanding options, exercisable options, exercise price, expiration date, weighted average remaining life under company stock option plans | ||
Date Granted | Jan. 11, 2009 | Jan. 11, 2009 |
Options Outstanding | 40,000 | 40,000 |
Exercisable Options | 40,000 | 40,000 |
Exercise Price | $ 0.69 | $ 0.69 |
Expiration Date | Jan. 10, 2019 | Jan. 10, 2019 |
Weighted Average Remaining Life | 1 year | 2 years 1 month 6 days |
2008NQ Two [Member] | ||
Summary of outstanding options, exercisable options, exercise price, expiration date, weighted average remaining life under company stock option plans | ||
Date Granted | Apr. 26, 2010 | Apr. 26, 2010 |
Options Outstanding | 20,000 | 20,000 |
Exercisable Options | 20,000 | 20,000 |
Exercise Price | $ 2.07 | $ 2.07 |
Expiration Date | Apr. 25, 2020 | Apr. 25, 2020 |
Weighted Average Remaining Life | 2 years 4 months 24 days | 3 years 4 months 24 days |
Stock Options and Awards (Det55
Stock Options and Awards (Details Textual) - USD ($) | 1 Months Ended | 12 Months Ended | |
May 29, 2015 | Dec. 31, 2017 | Dec. 31, 2016 | |
Stock options and awards (Textual) | |||
Number of shares authorized under equity compensation plan | 630,000 | ||
Stock awards granted | 79,100 | 142,000 | |
Common stock available for future issuance under Equity Compensation Plan | 343,400 | ||
Stock based compensation attributable to stock award | $ 324,145 | $ 305,780 | |
Term of previously non-qualified options granted | 10 years | ||
Termination period of previously non-qualified options | Apr. 25, 2020 | ||
Option exercised | $ 26,400 | $ 21,600 | |
Number of shares withhold in connection with net exercise feature of options | 5,957 | 4,519 | |
Shares issued to option holders shares | 34,043 | 25,481 | |
Payments for taxes related to net share settlements of stock awards | $ 22,468 | $ 8,424 | |
Stock Option [Member] | |||
Stock options and awards (Textual) | |||
Number of shares withhold in connection with net exercise feature of options | 5,500 | 3,918 | |
Shares issued to option holders shares | 73,600 | 138,082 | |
Stock option exercised | 40,000 | 30,000 |
Major Customers (Details)
Major Customers (Details) - Net sales [Member] - Customers | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
One Customers [Member] | ||
Major Customers (Textual) | ||
Percentage of consolidated net sales | 22.40% | 20.30% |
Number of customers with sales in excess of 10% of consolidated net revenues | 1 | 1 |
Two Customers [Member] | ||
Major Customers (Textual) | ||
Percentage of consolidated net sales | 11.60% | 12.70% |
Number of customers with sales in excess of 10% of consolidated net revenues | 2 | 2 |
Litigation Expense (Details)
Litigation Expense (Details) | 12 Months Ended |
Dec. 31, 2016USD ($) | |
Litigation Expense [Abstract] | |
Professional fees and expenses of litigation expense | $ 1,146,000 |
Earnings Per Share (Details)
Earnings Per Share (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Earnings per common share - Basic | ||
Net income | $ 2,603,534 | $ 2,095,171 |
Weighted average number of common shares outstanding | 9,190,429 | 9,059,966 |
Earnings per common share - Basic | $ 0.28 | $ 0.23 |
Earnings per common share - Diluted | ||
Net income | $ 2,603,534 | $ 2,095,171 |
Weighted average number of common shares outstanding | 9,190,429 | 9,059,966 |
Dilutive effect of employee stock-based awards | 63,373 | 56,550 |
Weighted average number of common shares outstanding - assuming dilution | 9,253,802 | 9,116,516 |
Earnings per common share - Diluted | $ 0.28 | $ 0.23 |
Cash Dividends (Details)
Cash Dividends (Details) - USD ($) | May 11, 2017 | Apr. 26, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Apr. 27, 2017 | Apr. 13, 2017 | Apr. 12, 2016 | Mar. 25, 2016 |
Cash Dividends (Textual) | ||||||||
Common stock, shares outstanding | 9,254,580 | 9,146,937 | ||||||
Dividends paid to common shareholders | $ 549,255 | $ 540,531 | ||||||
Shareholders [Member] | ||||||||
Cash Dividends (Textual) | ||||||||
Common stock, shares outstanding | 9,154,243 | 9,008,855 | ||||||
Dividends paid to common shareholders | $ 549,255 | $ 540,531 | ||||||
Dividends declared per common share | $ 0.06 | $ 0.06 |
Subsequent Event (Details)
Subsequent Event (Details) - Subsequent Event [Member] | Mar. 19, 2018USD ($)$ / sharesshares |
Subsequent Event (Textual) | |
Dividends declared per common share | $ / shares | $ 0.06 |
Common stock shares, outstanding | shares | 9,254,580 |
Dividends aggregating amount to be paid | $ | $ 555,275 |
Dividends payable date | Apr. 16, 2018 |