Cover Page
Cover Page - USD ($) | 12 Months Ended | |
Sep. 30, 2022 | Dec. 09, 2022 | |
Document Information [Line Items] | ||
Document Type | 10-K | |
Amendment Flag | false | |
Document Period End Date | Sep. 30, 2022 | |
Document Fiscal Year Focus | 2022 | |
Document Fiscal Period Focus | FY | |
Entity Registrant Name | GENCOR INDUSTRIES, INC. | |
Entity File Number | 001-11703 | |
Entity Tax Identification Number | 59-0933147 | |
Trading Symbol | GENC | |
Entity Central Index Key | 0000064472 | |
Current Fiscal Year End Date | --09-30 | |
Document Annual Report | true | |
Document Transition Report | false | |
Entity Well-known Seasoned Issuer | No | |
Entity Voluntary Filers | No | |
Entity Current Reporting Status | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Interactive Data Current | Yes | |
City Area Code | 407 | |
Local Phone Number | 290-6000 | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Address, Address Line One | 5201 North Orange Blossom Trail | |
Entity Shell Company | false | |
Title of 12(b) Security | Common Stock | |
Security Exchange Name | NYSEAMER | |
Entity Address, State or Province | FL | |
Entity Address, City or Town | Orlando | |
Entity Address, Postal Zip Code | 32810 | |
Entity Incorporation, State or Country Code | DE | |
Entity Public Float | $ 108,446,000 | |
ICFR Auditor Attestation Flag | false | |
Auditor Name | MSL, P.A. | |
Auditor Firm ID | 569 | |
Auditor Location | Orlando, Florida | |
Common Stock [Member] | ||
Document Information [Line Items] | ||
Entity Common Stock, Shares Outstanding | 12,338,845 | |
Class B Stock [Member] | ||
Document Information [Line Items] | ||
Entity Common Stock, Shares Outstanding | 2,318,857 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) | Sep. 30, 2022 | Sep. 30, 2021 |
Current assets: | ||
Cash and cash equivalents | $ 9,581,000 | $ 23,232,000 |
Marketable securities at fair value (cost of $94,879,000 at September 30, 2022 and $93,690,000 at September 30, 2021) | 89,300,000 | 94,976,000 |
Accounts receivable, less allowance for doubtful accounts of $370,000 at September 30, 2022 and $321,000 at September 30, 2021 | 2,996,000 | 2,622,000 |
Costs and estimated earnings in excess of billings | 2,118,000 | 1,903,000 |
Inventories, net | 55,815,000 | 41,888,000 |
Prepaid expenses | 2,669,000 | 2,202,000 |
Total current assets | 162,479,000 | 166,823,000 |
Property and equipment, net | 13,491,000 | 11,801,000 |
Deferred and other income taxes | 2,893,000 | 0 |
Other long-term assets | 450,000 | 838,000 |
Total Assets | 179,313,000 | 179,462,000 |
Current liabilities: | ||
Accounts payable | 4,251,000 | 3,105,000 |
Customer deposits | 5,864,000 | 5,244,000 |
Accrued expenses | 1,885,000 | 2,645,000 |
Current operating lease liabilities | 390,000 | 393,000 |
Total current liabilities | 12,390,000 | 11,387,000 |
Deferred and other income taxes | 0 | 394,000 |
Non-current operating lease liabilities | 6,000 | 392,000 |
Total liabilities | 12,396,000 | 12,173,000 |
Commitments and contingencies | ||
Shareholders' equity: | ||
Preferred stock, par value $.10 per share; 300,000 shares authorized; none issued | 0 | 0 |
Capital in excess of par value | 12,590,000 | 12,590,000 |
Retained earnings | 152,861,000 | 153,233,000 |
Total shareholders' equity | 166,917,000 | 167,289,000 |
Total Liabilities and Shareholders' Equity | 179,313,000 | 179,462,000 |
Common Stock [Member] | ||
Shareholders' equity: | ||
Common stock | 1,234,000 | 1,234,000 |
Class B Stock [Member] | ||
Shareholders' equity: | ||
Common stock | $ 232,000 | $ 232,000 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) | Sep. 30, 2022 | Sep. 30, 2021 |
Marketable securities, cost | $ 94,879,000 | $ 93,690,000 |
Accounts receivable, allowance for doubtful accounts | $ 370,000 | $ 321,000 |
Preferred stock, par value | $ 10 | $ 10 |
Preferred stock, shares authorized | 300,000 | 300,000 |
Preferred stock, shares issued | 0 | 0 |
Common Stock [Member] | ||
Common stock, par value | $ 10 | $ 10 |
Common stock, shares authorized | 15,000,000 | 15,000,000 |
Common stock, shares issued | 12,338,845 | 12,338,845 |
Common stock, shares outstanding | 12,338,845 | 12,338,845 |
Class B Stock [Member] | ||
Common stock, par value | $ 10 | $ 10 |
Common stock, shares authorized | 6,000,000 | 6,000,000 |
Common stock, shares issued | 2,318,857 | 2,318,857 |
Common stock, shares outstanding | 2,318,857 | 2,318,857 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) | 12 Months Ended | |
Sep. 30, 2022 | Sep. 30, 2021 | |
Income Statement [Abstract] | ||
Net revenue | $ 103,479,000 | $ 85,278,000 |
Cost of goods sold | 82,935,000 | 67,100,000 |
Gross profit | 20,544,000 | 18,178,000 |
Operating expenses: | ||
Product engineering and development | 4,325,000 | 4,278,000 |
Selling, general and administrative | 12,052,000 | 13,199,000 |
Total operating expenses | 16,377,000 | 17,477,000 |
Operating income | 4,167,000 | 701,000 |
Other income (expense), net: | ||
Interest and dividend income, net of fees | 1,305,000 | 1,762,000 |
Realized and unrealized gains (losses) on marketable securities, net | (7,009,000) | 4,171,000 |
Other | (156,000) | 0 |
Other income (expense),net | (5,860,000) | 5,933,000 |
Income (loss) before income tax expense (benefit) | (1,693,000) | 6,634,000 |
Income tax expense (benefit) | (1,321,000) | 829,000 |
Net income (loss) | $ (372,000) | $ 5,805,000 |
Basic earnings (loss) per common share | $ (0.03) | $ 0.4 |
Basic earnings (loss) per common share | $ (0.03) | $ 0.39 |
Consolidated Statements of Shar
Consolidated Statements of Shareholders' Equity - USD ($) | Total | Capital in Excess of Par Value [Member] | Retained Earnings [Member] | Common Stock [Member] Common Stock [Member] | Class B Stock [Member] Common Stock [Member] |
Beginning balance at Sep. 30, 2020 | $ 161,220,000 | $ 12,331,000 | $ 147,428,000 | $ 1,229,000 | $ 232,000 |
Beginning balance, shares at Sep. 30, 2020 | 12,287,337 | 2,318,857 | |||
Net income (loss) | 5,805,000 | 5,805,000 | |||
Stock options exercised | $ 264,000 | 259,000 | $ 5,000 | $ 0 | |
Stock options exercised, shares | 51,508 | 51,508 | 0 | ||
Ending balance at Sep. 30, 2021 | $ 167,289,000 | 12,590,000 | 153,233,000 | $ 1,234,000 | $ 232,000 |
Ending balance, shares at Sep. 30, 2021 | 12,338,845 | 2,318,857 | |||
Net income (loss) | (372,000) | (372,000) | |||
Ending balance at Sep. 30, 2022 | $ 166,917,000 | $ 12,590,000 | $ 152,861,000 | $ 1,234,000 | $ 232,000 |
Ending balance, shares at Sep. 30, 2022 | 12,338,845 | 2,318,857 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) | 12 Months Ended | |
Sep. 30, 2022 | Sep. 30, 2021 | |
Cash flows from operating activities: | ||
Net income (loss) | $ (372,000) | $ 5,805,000 |
Adjustments to reconcile net income (loss) to cash (used in) provided by operating activities: | ||
Purchase of marketable securities | (135,551,000) | (136,651,000) |
Proceeds from sale and maturity of marketable securities | 133,966,000 | 134,866,000 |
Change in value of marketable securities | 7,261,000 | (3,693,000) |
Deferred and other income taxes | (3,287,000) | (451,000) |
Depreciation and amortization | 2,823,000 | 2,591,000 |
Provision for doubtful accounts | 194,000 | 50,000 |
Changes in assets and liabilities, excluding the initial effects of business combinations: | ||
Accounts receivable | (568,000) | (680,000) |
Costs and estimated earnings in excess of billings | (215,000) | 4,502,000 |
Inventories | (13,927,000) | (4,413,000) |
Prepaid expenses | (467,000) | (1,013,000) |
Accounts payable | 1,146,000 | 1,377,000 |
Customer deposits | 620,000 | 1,391,000 |
Accrued expenses and other | (758,000) | 139,000 |
Total adjustments | (8,763,000) | (1,985,000) |
Cash flows (used in) provided by operating activities | (9,135,000) | 3,820,000 |
Cash flows used in investing activities: | ||
Acquisition of Blaw-Knox assets | (13,777,000) | |
Capital expenditures | (4,516,000) | (2,659,000) |
Cash flows used in investing activities | (4,516,000) | (16,436,000) |
Cash flows from financing activities: | ||
Proceeds from stock option exercises | 264,000 | |
Cash flows provided by financing activities | 264,000 | |
Net increase in cash and cash equivalents | (13,651,000) | (12,352,000) |
Cash and cash equivalents at: | ||
Beginning of year | 23,232,000 | 35,584,000 |
End of year | $ 9,581,000 | 23,232,000 |
Non-cash investing and financing activities: | ||
Operating lease right-of-use assets | 248,000 | |
Operating lease liabilities | $ 248,000 |
Nature of Operations and Summar
Nature of Operations and Summary of Significant Accounting Policies | 12 Months Ended |
Sep. 30, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Nature of Operations and Summary of Significant Accounting Policies | NOTE 1 – NATURE OF OPERATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Gencor Industries, Inc. and its subsidiaries (collectively, the “Company”) is a diversified, heavy machinery manufacturer for the production of highway construction materials and environmental control machinery and equipment. The Company’s core products include asphalt plants, combustion systems, fluid heat transfer systems and asphalt pavers. The Company’s products are manufactured at three facilities in the United States. These consolidated financial statements include the accounts of Gencor Industries, Inc. and its subsidiaries. All significant intercompany accounts and transactions have been eliminated in consolidation. On October 1, 2020, the Company acquired the Blaw-Knox paver line and associated assets, including inventory, fixed assets and related intellectual property, from Volvo CE. The acquisition provided the Company entry into the asphalt paver sector of the asphalt industry. The acquisition was accounted for as a business combination under ASC 805, “Business Combinations.” The initial purchase price of approximately $14.4 million, which was subject to post-closing adjustments, was funded by cash on hand. After post-closing adjustments transacted during quarter ended March 31, 2021, the final purchase price was $13.8 million, including $10.4 million in inventory and $3.4 million in fixed assets. There were no liabilities assumed. The accompanying consolidated financial statements as of September 30, 2022 and September 30, 2021, and for the years then ended, include the assets, liabilities and operating results of the paver line. Accounting Pronouncements and Policies In August 2018, the FASB issued ASU 2018-13, 2018-13). 2018-13 No other accounting pronouncements recently issued or newly effective have had, or are expected to have, a material impact on the Company’s consolidated financial statements. Use of Estimates The preparation of the consolidated financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Earnings per Share The consolidated financial statements include basic and diluted earnings (loss) per share (“EPS”) information. Basic EPS is based on the weighted-average number of shares outstanding. Diluted EPS is based on the sum of the weighted-average number of shares outstanding plus common stock equivalents. There were no weighted-average shares issuable upon the exercise of stock options included in the diluted EPS calculation at September 30, 2022. For the year ended September 30, 2021, the weighted-average shares issuable upon the exercise of stock options included in the diluted EPS calculation were 236,000, which equates to 116,000 dilutive common stock equivalents. Weighted-average shares issuable upon the exercise of stock options, which were not included in the diluted EPS calculation because they were anti-dilutive, were zero in 2022 and 2021. The following presents the calculation of the basic and diluted EPS for the years ended September 30, 2022 and 2021: 2022 2021 Net Loss Shares EPS Net Income Shares EPS Basic EPS $ (372,000 ) 14,658,000 $ (0.03 ) $ 5,805,000 14,614,000 $ 0.40 Common stock equivalents — 116,000 Diluted EPS $ (372,000 ) 14,658,000 $ (0.03 ) $ 5,805,000 14,730,000 $ 0.39 Cash Equivalents Cash equivalents consist of short-term certificates of deposit and deposits in money market accounts with original maturities of three months or less. Marketable Securities and Fair Value Measurements Marketable debt and equity securities are categorized as trading securities and are thus marked to market and stated at fair value. Fair value is determined using the quoted closing or latest bid prices for Level 1 investments and market standard valuation methodologies for Level 2 investments. Realized gains and losses on investment transactions are determined by specific identification and are recognized as incurred in the consolidated statements of operations. Net changes in unrealized gains and losses are reported in the consolidated statements of operations in the current period. Fair Value Measurements The fair value of financial instruments is presented based upon a hierarchy of levels that prioritizes the inputs of valuation techniques used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). A financial instrument’s level within the fair value hierarchy is based on the lowest level of any input that is significant to the fair value measurement. The fair value of marketable equity securities (stocks), mutual funds, exchange-traded funds, government securities, and cash and money funds, are substantially based on quoted market prices (Level 1). Corporate bonds are valued using market standard valuation methodologies, including: discounted cash flow methodologies, and matrix pricing or other similar techniques. The inputs to these market standard valuation methodologies include, but are not limited to: interest rates, credit standing of the issuer or counterparty, industry sector of the issuer, coupon rate, call provisions, maturity, estimated duration and assumptions regarding liquidity and estimated future cash flows. In addition to bond characteristics, the valuation methodologies incorporate market data, such as actual trades completed, bids and actual dealer quotes, where such information is available. Accordingly, the estimated fair values are based on available market information and judgments about financial instruments (Level 2). Fair values of the Level 2 investments are provided by the Company’s professional investment management firms. From time to time the Company may transfer cash between its marketable securities portfolio and operating cash and cash equivalents. The following table sets forth by level, within the fair value hierarchy, the Company’s assets measured at fair value as of September 30, 2022: Fair Value Measurements Level 1 Level 2 Level 3 Total Equities $ 12,149,000 $ — $ — $ 12,149,000 Mutual Funds 5,337,000 — — 5,337,000 Exchange-Traded Funds 4,794,000 — — 4,794,000 Corporate Bonds — 37,339,000 — 37,339,000 Government Securities 29,327,000 — — 29,327,000 Cash and Money Funds 354,000 — — 354,000 Total $ 51,961,000 $ 37,339,000 $ — $ 89,300,000 Net unrealized losses reported during fiscal 2022 on trading securities still held as of September 30, 2022, were $(6,864,000). There were no transfers of investments between Level 1 and Level 2 during the year ended September 30, 2022. The following table sets forth by level, within the fair value hierarchy, the Company’s assets measured at fair value as of September 30, 2021: Fair Value Measurements Level 1 Level 2 Level 3 Total Equities $ 14,734,000 $ — $ — $ 14,734,000 Mutual Funds 10,357,000 — — 10,357,000 Exchange-Traded Funds 9,458,000 — — 9,458,000 Corporate Bonds — 24,853,000 — 24,853,000 Government Securities 30,999,000 — — 30,999,000 Cash and Money Funds 4,575,000 — — 4,575,000 Total $ 70,123,000 $ 24,853,000 $ — $ 94,976,000 Net unrealized gains reported during fiscal 2021 on trading securities still held as of September 30, 2021, were $1,302,000. There were no transfers of investments between Level 1 and Level 2 during the year ended September 30, 2021. The carrying amounts of cash and cash equivalents, accounts receivable, accounts payable, customer deposits and accrued expenses approximate fair value because of the short-term nature of these items. Foreign Currency Transactions Gains and losses resulting from foreign currency transactions are included in income and were not significant during the years ended September 30, 2022 and 2021. Risk Management Financial instruments that potentially subject the Company to concentrations of credit risk primarily consist of cash and cash equivalents, marketable securities, and accounts receivable. The Company maintains its cash accounts in various domestic financial institutions which may from time to time exceed federally insured limits. Operating cash is retained in overnight sweep accounts which allow for offsets to treasury service charges. The marketable securities include investments in cash and money funds, mutual funds, exchange traded funds (“ETF’s”), corporate bonds, government securities and stocks through professional investment management firms. Investment securities are exposed to various risks, such as interest rate, market and credit risks. The Company’s customers are not concentrated in any specific geographic region, but are concentrated in the road and highway construction industry. The Company extends limited credit on parts sales to its customers based upon their credit-worthiness. Generally, the Company requires a significant up-front Inventories Inventories are valued at the lower of cost or net realizable value, with cost being determined under the FIFO method and net realizable value defined as the estimated selling price of goods less reasonable costs of completion and delivery. Appropriate consideration is given to obsolescence, excessive levels, deterioration, possible alternative uses and other factors in determining net realizable value. The cost of work in process and finished goods includes materials, direct labor, variable costs and overhead. The Company evaluates the need to record inventory adjustments on all inventories, including raw material, work in process, finished goods, spare parts and used equipment. Used equipment acquired by the Company on trade-in specific circumstances warrant different treatment regarding inventory obsolescence, an allowance is established to reduce the cost basis of inventories three four Changes in the allowance for slow-moving and obsolete inventories are as follows: 2022 2021 Balance, beginning of year $ 5,397,000 $ 4,617,000 Charged to cost of sales 2,966,000 1,355,000 Disposal of inventory, net of recoveries (171,000 ) (575,000 ) Balance, end of year $ 8,192,000 $ 5,397,000 Property and Equipment Property and equipment are stated at cost (see Note 4). Depreciation of property and equipment is computed using the straight-line method over the estimated useful lives of the related assets, as follows: Years Land improvements 15 Buildings & improvements 6-40 Equipment 2-10 Impairments Property and equipment, and intangible assets subject to amortization, are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset (or asset group) may not be recoverable. An impairment loss would be recognized when the carrying amount of an asset exceeds the estimated undiscounted cash flows expected to result from the use of the asset and its eventual disposition. The amount of the impairment loss to be recorded is calculated by the excess of the asset’s carrying value over its fair value. Fair value is generally determined using a discounted cash flow analysis. No such impairment losses were recorded during the years ended September 30, 2022 and 2021. Revenues and Expenses The Company accounts for revenues and related expenses under the provisions of ASU No. 2014-09. The following table disaggregates the Company’s net revenue by major source for the years ended September 30, 2022 and 2021: 2022 2021 Equipment sales recognized over time $ 37,572,000 $ 24,093,000 Equipment sales recognized at a point in time 36,898,000 36,671,000 Parts and component sales 23,856,000 21,017,000 Freight revenue 4,709,000 3,497,000 Other 444,000 — Net revenue $ 103,479,000 $ 85,278,000 Revenues from contracts with customers for the design, manufacture and sale of custom equipment are recognized over time when the performance obligation is satisfied by transferring control of the equipment. Control of the equipment transfers over time, as the equipment is unique to the specific contract and thus does not create an asset with an alternative use to the Company. Revenues and costs are recognized in proportion to actual labor costs incurred, as compared with total estimated labor costs expected to be incurred, during the entire contract. All incremental costs related to obtaining a contract are expensed as incurred, as the amortization period is less than one year. Changes to total estimated contract costs or losses, if any, are recognized in the period in which they are determined. Contract assets (excluding accounts receivable) under contracts with customers represent revenue recognized in excess of amounts billed on equipment sales recognized over time. These contract assets were $2,118,000 and $1,903,000 at September 30, 2022 and 2021, respectively, and are included in current assets as costs and estimated earnings in excess of billings on the Company’s consolidated balance sheets. The Company anticipates that all of the contract assets at September 30, 2022, will be billed and collected within one year. Revenues from all other contracts for the design and manufacture of equipment, for service and for parts sales, net of any discounts and return allowances, are recorded at a point in time when control of the goods or services has been transferred. Control of the goods or service typically transfers at time of shipment or upon completion of the service. Payment for equipment under contract with customers is typically due prior to shipment. Payment for services under contract with customers is due as services are completed. Accounts receivable related to contracts with customers for equipment sales were $142,000 and $210,000 at September 30, 2022 and September 30, 2021, respectively. Product warranty costs are estimated using historical experience and known issues and are charged to production costs as revenue is recognized. Changes in the accrual for warranty and related costs are composed of the following: 2022 2021 Balance, beginning of year $ 291,000 $ 299,000 Warranties issued 110,000 280,000 Warranties settled (157,000 ) (288,000 ) Balance, end of year $ 244,000 $ 291,000 Provisions for estimated returns and allowances, and other adjustments are provided for in the same period the related sales are recorded. Returns and allowances, which reduce product revenue, are estimated using historical experience. Under certain contracts with customers, recognition of a portion of the consideration received may be deferred and recorded as a contract liability if the Company has to satisfy a future obligation, such as to provide installation assistance. There were no contract liabilities other than customer deposits at September 30, 2022 and September 30, 2021. Customer deposits related to contracts with customers were $5,864,000 and $5,244,000 at September 30, 2022 and 2021, respectively, and are included in current liabilities on the Company’s consolidated balance sheets. The Company records revenues earned for shipping and handling as freight revenue at the time of shipment, regardless of whether or not it is identified as a separate performance obligation. The cost of shipping and handling is classified as production costs concurrently with the revenue recognition. All product engineering and development costs, and selling, general and administrative expenses are charged to operations as incurred. Provision is made for any anticipated contract losses in the period that the loss becomes evident. The allowance for doubtful accounts is determined by performing a specific review of all account balances greater than 90 days past due and other higher risk amounts to determine collectability, and also adjusting for any known customer payment issues with account balances in the less-than-90-day Changes in the allowance for doubtful acc o u 2022 2021 Balance, beginning of year $ 321,000 $ 442,000 Provision for doubtful accounts 194,000 50,000 Provision for estimated returns and allowances 267,000 175,000 Uncollectible accounts written off (81,000 ) (60,000 ) Returns and allowances issued (331,000 ) (286,000 ) Balance, end of year $ 370,000 $ 321,000 Shipping and Handling Costs Shipping and handling costs are included in production costs in the consolidated statements of operations. Income Taxes Income taxes are provided for the tax effects of transactions reported in the consolidated financial statements and primarily consist of taxes currently due, plus deferred taxes (see Note 6 – Income Taxes). The Company recognizes deferred tax liabilities and assets for the expected future tax consequences of events that have been included in the consolidated financial statements or tax returns using current tax rates. The Company and its domestic subsidiaries file a consolidated federal income tax return. Deferred tax assets and liabilities are measured using the rates expected to apply to taxable income in the years in which the temporary differences are expected to reverse and the credits are expected to be used. The effect on deferred tax assets and liabilities of the change in tax rates is recognized in income in the period that includes the enactment date. All available evidence, both positive and negative, is considered to determine whether, based on the weight of that evidence, the Company is more likely than not to realize the benefit of a deferred tax asset and whether a valuation allowance is needed for some portion or all of a deferred tax asset. No such valuation allowances were recorded as of September 30, 2022 and 2021. The Company’s income tax provision is based on management’s estimate of the effective tax rate for the full year. The tax provision in any period will be affected by, among other things, permanent, as well as temporary differences in the deductibility of certain items, in addition to changes in tax legislation. As a result, the Company may experience significant fluctuations in the effective book tax rate (that is, its tax expense divided by pre-tax Comprehensive Income For the years ended September 30, 2022 and 2021, other comprehensive income is equal to net income. Reporting Segments and Geographic Areas The Company has one reporting segment, equipment for the highway construction industry. Based on evaluation of the criteria of ASC 280 – Segment Reporting, including the nature of products and services, the nature of the production processes, the type of customers and the methods used to distribute products and services, the Company determined that its operating segments meet the requirements for aggregation. The Company designs, manufactures and sells asphalt plants and pavers, combustion systems and fluid heat transfer systems, for the highway construction industry and environmental and petrochemical markets. The Company’s products are manufactured at three facilities in the United States. The Company also services and sells spare parts for its equipment. For fiscal 2022 and 2021, total revenues of $103,479,000 and $85,278,000, and total long-term assets of $16,834,000 and $12,639,000, respectively, were attributed to the United States. Revenues are attributed to geographic areas based on the location of the assets producing the revenues. Customers with 10% (or greater) of Net Revenues No customer accounted for 10% or more of fiscal 2022 or 2021 net revenues. Subsequent Events Management has evaluated events occurring from September 30, 2022 through the date these consolidated financial statements were filed with the Securities and Exchange Commission for proper recording and disclosure herein. |
Inventories
Inventories | 12 Months Ended |
Sep. 30, 2022 | |
Inventory Disclosure [Abstract] | |
Inventories | NOTE 2 - INVENTORIES Inventories are valued at the lower of cost or net realizable value. Net inventories consist of the following: September 30, 2022 2021 Raw materials $ 31,975,000 $ 25,858,000 Work in process 13,903,000 6,280,000 Finished goods 9,937,000 9,730,000 Used equipment — 20,000 Inventories, net $ 55,815,000 $ 41,888,000 Slow-moving and obsolete inventory reserves were $8,192,000 and $5,397,000 at September 30, 2022 and 2021, respectively. |
Costs and Estimated Earnings in
Costs and Estimated Earnings in Excess of Billings | 12 Months Ended |
Sep. 30, 2022 | |
Text Block [Abstract] | |
Costs and Estimated Earnings in Excess of Billings | NOTE 3 - COSTS AND ESTIMATED EARNINGS IN EXCESS OF BILLINGS Costs and estimated earnings in excess of billings on uncompleted contracts as of September 30, 2022 and 2021 consisted of the following: September 30, 2022 2021 Costs incurred on uncompleted contracts $ 12,660,000 $ 11,483,000 Estimated earnings 4,780,000 4,395,000 17,440,000 15,878,000 Billings to date 15,322,000 13,975,000 Costs and estimated earnings in excess of billings $ 2,118,000 $ 1,903,000 |
Property and Equipment
Property and Equipment | 12 Months Ended |
Sep. 30, 2022 | |
Property, Plant and Equipment [Abstract] | |
Property and Equipment | NOTE 4 - PROPERTY AND EQUIPMENT Property and equipment consist of the following as of September 30, 2022 and 2021: September 30, 2022 2021 Land and improvements $ 3,329,000 $ 3,329,000 Buildings and improvements 13,578,000 13,830,000 Equipment 26,521,000 21,765,000 43,428,000 38,924,000 Less: Accumulated depreciation and amortization (29,937,000 ) (27,123,000 ) Property and equipment, net $ 13,491,000 $ 11,801,000 Property and equipment includes approximately $20,467,000 and $19,374,000 of fully depreciated assets, which remained in service during fiscal 2022 and 2021, respectively. Included in equipment as of September 30, 2022 and 2021 is approximately $1,702,000 and $458,000, respectively, of assets not yet placed in operation and, therefore, not subject to depreciation during the years ended September 30, 2022 and 2021, respectively. |
Accrued Expenses
Accrued Expenses | 12 Months Ended |
Sep. 30, 2022 | |
Payables and Accruals [Abstract] | |
Accrued Expenses | NOTE 5 - ACCRUED EXPENSES Accrued expenses consist of the following as of September 30, 2022 and 2021: September 30, 2022 2021 Payroll and related accruals $ 1,083,000 $ 1,735,000 Warranty and related accruals 244,000 291,000 Property tax accruals 233,000 223,000 Income tax accruals — 224,000 Professional fees 243,000 105,000 Other 82,000 67,000 Accrued expenses $ 1,885,000 $ 2,645,000 |
Income Taxes
Income Taxes | 12 Months Ended |
Sep. 30, 2022 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | NOTE 6 - INCOME TAXES The provision for income tax expense (benefit) consists of: Year Ended September 30, 2022 2021 Current: Federal $ 1,680,000 $ 992,000 State 317,000 189,000 Total current 1,997,000 1,181,000 Deferred: Federal (2,701,000 ) (269,000 ) State (617,000 ) (83,000 ) Total deferred (3,318,000 ) (352,000 ) Income tax expense (benefit) $ (1,321,000 ) $ 829,000 A reconciliation of the federal statutory tax rate to the total tax provision (benefit) is as follows: Year Ended September 30, 2022 2021 Federal income taxes computed at the statutory rate (21.0 % ) 21.0 % State income taxes, net of federal benefit (11.8 % ) 1.6 % Research & development tax refunds & credits (28.8 %) (5.1 %) Dividend received deduction (6.4 %) (1.9 %) Other, net (10.0 %) (3.1 %) Effective income tax rate (78.0 % ) 12.5 % Deferred income tax assets and liabilities consist of the following: September 30, 2022 2021 Deferred Tax Assets: Accrued liabilities and reserves $ 155,000 $ 276,000 Allowance for doubtful accounts 83,000 72,000 Inventory 3,197,000 1,783,000 Stock-based compensation — 79,000 Unrealized loss on investments 1,272,000 — Net operating losses carryforwards 352,000 20,000 Gross Deferred Income Tax Assets 5,059,000 2,230,000 Deferred and Other Tax Liabilities: Domestic international sales corporation (136,000 ) (236,000 ) Property and equipment (1,868,000 ) (1,943,000 ) Unrealized gain on investments — (295,000 ) Unrecognized tax benefits (131,000 ) (150,000 ) Gross Deferred and Other Income Tax Liabilities (2,135,000 ) (2,624,000 ) Net Deferred and Other Income Tax Assets (Liabilities) $ 2,924,000 $ (394,000 ) Total income taxes paid in fiscal 2022 and 2021 were $2,839,000 and $1,963,000, respectively. GAAP prescribes a comprehensive model for the financial recognition, measurement, classification, and disclosure of two-step Significant judgment is required in evaluating the Company’s uncertain tax position and determining the Company’s provision for taxes. Although the Company believes the reserves of unrecognized tax benefits (“UTB’s”) are reasonable, no assurance can be given that the final outcome of these matters will not be different from that which is reflected in the Company’s historical income tax provision and accruals. The Company adjusts these reserves in light of changing facts and circumstances. As of September 30, 2022 and 2021, the Company had UTB’s of $ 131,000 and $ 150,000 , respectively. In the fiscal year ended September 30, 2022, the Company used all $150,000 of accrued UTB’s and accrued an additional $131,000 of UTB’s. There were no additional accruals of UTB’s during the fiscal year ended September 30, 2021. The Company recognizes interest and penalties accrued related to UTB’s as a component of income tax expense. There were no additional accruals of interest expense nor penalties of significance during fiscal years ended September 30, 2022 and 2021. It is reasonably possible that the amount of the UTB’s with respect to certain unrecognized tax positions will increase or decrease during the next 12 months. The Company does not expect the change to have a material effect on its results of operations or its financial position. The only expected potential reason for change would be the ultimate results stemming from any examinations by taxing authorities. If recognized, the entire amount of UTB’s would have an impact on the Company’s effective income tax rate. The effective income tax rate for fiscal 2022 was a benefit of ( ) In fiscal 2022, the Company generated $475,000 of federal research and development tax credits (“R&D Credits”), all of which were used in fiscal 2022. In fiscal 2021, the Company generated $335,000 of R&D Credits, all of which were used in fiscal 2021. There were no R&D Credits carryforwards as of September |
Retirement Benefits
Retirement Benefits | 12 Months Ended |
Sep. 30, 2022 | |
Retirement Benefits [Abstract] | |
Retirement Benefits | NOTE 7 - RETIREMENT BENEFITS The Company has a voluntary 401(k) employee benefit plan, which covers all eligible, domestic employees. The Company makes discretionary matching contributions subject to a maximum level, in accordance with the terms of the plan. The Company charged approximately $425,000 and $365,000 to expense under the provisions of the plan during the years ended September 30, 2022 and 2021, respectively. |
Long-Term Debt and Arrangements
Long-Term Debt and Arrangements with Financial Institutions | 12 Months Ended |
Sep. 30, 2022 | |
Debt Disclosure [Abstract] | |
Long-Term Debt and Arrangements with Financial Institutions | NOTE 8 - LONG-TERM DEBT AND ARRANGEMENTS WITH FINANCIAL INSTITUTIONS The Company had no long-term debt outstanding at September 30, 2022 or 2021. The Company does not currently require a credit facility. As of September 30, 2022, total cash deposits with insurance companies covering collateral needs were $85,000. In April 2020, a financial institution issued an irrevocable standby letter of credit (“letter of credit”) on behalf of the Company for the benefit of one of the Company’s insurance carriers. The maximum amount that can be drawn by the beneficiary under the letter of credit is $150,000. The letter of credit expires in April 2023, unless terminated earlier, and can be extended, as provided by the agreement. The Company intends to renew the letter of credit for as long as the Company does business with the beneficiary insurance carrier. The letter is collateralized by restricted cash of the same amount on any outstanding drawings. To date, no amounts have been drawn under the letter of credit. |
Leases
Leases | 12 Months Ended |
Sep. 30, 2022 | |
Leases [Abstract] | |
Leases | NOTE 9 - LEASES The Company leases certain equipment under non-cancelable On August 28, 2020, the Company entered into a three-year operating lease for property related to the manufacturing and warehousing of the Blaw-Knox assets. The lease term is for the period beginning on September 1, 2020 through August 31, 2023. In accordance with ASU 2016-02, one-year 2016-02, For the year ended September 30, 2022, operating lease costs were $425,000 and cash payments related to these operating leases were $396,000. For the year ended September 30, 2021, operating lease costs were $440,000 and cash payments related to these operating leases were $468,000. Other information concerning the Company’s operating lease accounted for under ASC 842 guidelines as of September 30, 2022 and September 30, 2021, is as follows: September 30, 2022 September 30, 2021 Operating lease ROU asset included in other long-term assets $ 396,000 $ 785,000 Current operating lease liability 390,000 393,000 Non-current 6,000 392,000 Weighted average remaining lease term (in years) 1.00 2.00 Weighted average discount rate used in calculating ROU asset 4.0 % 4.0 % Future annual minimum lease payments as of September 30, 2022 are as follows: Fiscal Year Annual Lease Payments 2023 $ 398,000 2024 6,000 Total 404,000 Less interest (8,000 ) Present value of lease liabilities $ 396,000 |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Sep. 30, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | NOTE 10 - COMMITMENTS AND CONTINGENCIES Litigation The Company is involved in legal proceedings arising out of the normal course of business, none of which we believe will have a material adverse effect on our business, financial condition or results of operations. Claims made in the ordinary course of business may be covered in whole or in part by insurance. COVID-19 The Company continues to monitor and evaluate the risks to public health and the slowdown in overall business activity related to the novel coronavirus (“COVID-19”) COVID-19 COVID-19 COVID-19 COVID-19. |
Shareholders' Equity and Stock-
Shareholders' Equity and Stock-Based Compensation | 12 Months Ended |
Sep. 30, 2022 | |
Equity [Abstract] | |
Shareholders' Equity and Stock-Based Compensation | NOTE 11 - SHAREHOLDERS’ EQUITY AND STOCK-BASED COMPENSATION Shareholders’ Equity Under the Company’s Certificate of Incorporation, as amended, certain rights of the holders of the Company’s common stock are modified by shares of Class B stock for as long as such shares shall remain outstanding. During that period, holders of common stock will have the right to elect approximately 25% of the Company’s Board of Directors, and conversely, holders of Class B stock will be entitled to elect approximately 75% of the Company’s Board of Directors. During the period when shares of common stock and Class B stock are outstanding, certain matters submitted to a vote of shareholders will also require approval of the holders of common stock and Class B stock, each voting separately as a class. Common stock and Class B shareholders have equal rights with respect to dividends, preferences, and rights, including rights in liquidation. Stock-Based Compensation On March 17, 2009, the shareholders of the Company approved the 2009 Incentive Compensation Plan (the “2009 Plan”). On September 30, 2021, 125,984 fully vested common stock options issued under the 2009 Plan expired. On September 30, 2021, fully vested Class B stock options issued under the 2009 Plan also expired. An additional 30,000 vested Class B stock options issued under the 2009 Plan expire on . As of September 30, 2022 and 2021, no option s The following table summarizes option activity under the 2009 Plan: Number of Average Options outstanding at September 30, 2020 252,492 $ 6.205 Options exercised during fiscal 2021 (51,508 ) $ 5.126 Options expired on September 30, 2021 (170,984 ) $ 5.623 Options outstanding at September 30, 2021 30,000 $ 11.380 Options cancelled on November 1, 2021 (30,000 ) $ 11.380 Options outstanding at September 30, 2022 — $ — No options were granted or forfeited during the year ended September 30, 2022. On November 1, 2021, by unanimous vote of the Board of Directors of the Company and pursuant to the Company’s By-Laws, John |
Nature of Operations and Summ_2
Nature of Operations and Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Sep. 30, 2022 | |
Accounting Policies [Abstract] | |
Accounting Pronouncements and Policies | Accounting Pronouncements and Policies In August 2018, the FASB issued ASU 2018-13, 2018-13). 2018-13 No other accounting pronouncements recently issued or newly effective have had, or are expected to have, a material impact on the Company’s consolidated financial statements. |
Use of Estimates | Use of Estimates The preparation of the consolidated financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. |
Earnings per Share | Earnings per Share The consolidated financial statements include basic and diluted earnings (loss) per share (“EPS”) information. Basic EPS is based on the weighted-average number of shares outstanding. Diluted EPS is based on the sum of the weighted-average number of shares outstanding plus common stock equivalents. There were no weighted-average shares issuable upon the exercise of stock options included in the diluted EPS calculation at September 30, 2022. For the year ended September 30, 2021, the weighted-average shares issuable upon the exercise of stock options included in the diluted EPS calculation were 236,000, which equates to 116,000 dilutive common stock equivalents. Weighted-average shares issuable upon the exercise of stock options, which were not included in the diluted EPS calculation because they were anti-dilutive, were zero in 2022 and 2021. The following presents the calculation of the basic and diluted EPS for the years ended September 30, 2022 and 2021: 2022 2021 Net Loss Shares EPS Net Income Shares EPS Basic EPS $ (372,000 ) 14,658,000 $ (0.03 ) $ 5,805,000 14,614,000 $ 0.40 Common stock equivalents — 116,000 Diluted EPS $ (372,000 ) 14,658,000 $ (0.03 ) $ 5,805,000 14,730,000 $ 0.39 |
Cash Equivalents | Cash Equivalents Cash equivalents consist of short-term certificates of deposit and deposits in money market accounts with original maturities of three months or less. |
Marketable Securities and Fair Value Measurements | Marketable Securities and Fair Value Measurements Marketable debt and equity securities are categorized as trading securities and are thus marked to market and stated at fair value. Fair value is determined using the quoted closing or latest bid prices for Level 1 investments and market standard valuation methodologies for Level 2 investments. Realized gains and losses on investment transactions are determined by specific identification and are recognized as incurred in the consolidated statements of operations. Net changes in unrealized gains and losses are reported in the consolidated statements of operations in the current period. Fair Value Measurements The fair value of financial instruments is presented based upon a hierarchy of levels that prioritizes the inputs of valuation techniques used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). A financial instrument’s level within the fair value hierarchy is based on the lowest level of any input that is significant to the fair value measurement. The fair value of marketable equity securities (stocks), mutual funds, exchange-traded funds, government securities, and cash and money funds, are substantially based on quoted market prices (Level 1). Corporate bonds are valued using market standard valuation methodologies, including: discounted cash flow methodologies, and matrix pricing or other similar techniques. The inputs to these market standard valuation methodologies include, but are not limited to: interest rates, credit standing of the issuer or counterparty, industry sector of the issuer, coupon rate, call provisions, maturity, estimated duration and assumptions regarding liquidity and estimated future cash flows. In addition to bond characteristics, the valuation methodologies incorporate market data, such as actual trades completed, bids and actual dealer quotes, where such information is available. Accordingly, the estimated fair values are based on available market information and judgments about financial instruments (Level 2). Fair values of the Level 2 investments are provided by the Company’s professional investment management firms. From time to time the Company may transfer cash between its marketable securities portfolio and operating cash and cash equivalents. The following table sets forth by level, within the fair value hierarchy, the Company’s assets measured at fair value as of September 30, 2022: Fair Value Measurements Level 1 Level 2 Level 3 Total Equities $ 12,149,000 $ — $ — $ 12,149,000 Mutual Funds 5,337,000 — — 5,337,000 Exchange-Traded Funds 4,794,000 — — 4,794,000 Corporate Bonds — 37,339,000 — 37,339,000 Government Securities 29,327,000 — — 29,327,000 Cash and Money Funds 354,000 — — 354,000 Total $ 51,961,000 $ 37,339,000 $ — $ 89,300,000 Net unrealized losses reported during fiscal 2022 on trading securities still held as of September 30, 2022, were $(6,864,000). There were no transfers of investments between Level 1 and Level 2 during the year ended September 30, 2022. The following table sets forth by level, within the fair value hierarchy, the Company’s assets measured at fair value as of September 30, 2021: Fair Value Measurements Level 1 Level 2 Level 3 Total Equities $ 14,734,000 $ — $ — $ 14,734,000 Mutual Funds 10,357,000 — — 10,357,000 Exchange-Traded Funds 9,458,000 — — 9,458,000 Corporate Bonds — 24,853,000 — 24,853,000 Government Securities 30,999,000 — — 30,999,000 Cash and Money Funds 4,575,000 — — 4,575,000 Total $ 70,123,000 $ 24,853,000 $ — $ 94,976,000 Net unrealized gains reported during fiscal 2021 on trading securities still held as of September 30, 2021, were $1,302,000. There were no transfers of investments between Level 1 and Level 2 during the year ended September 30, 2021. The carrying amounts of cash and cash equivalents, accounts receivable, accounts payable, customer deposits and accrued expenses approximate fair value because of the short-term nature of these items. |
Foreign Currency Transactions | Foreign Currency Transactions Gains and losses resulting from foreign currency transactions are included in income and were not significant during the years ended September 30, 2022 and 2021. |
Risk Management | Risk Management Financial instruments that potentially subject the Company to concentrations of credit risk primarily consist of cash and cash equivalents, marketable securities, and accounts receivable. The Company maintains its cash accounts in various domestic financial institutions which may from time to time exceed federally insured limits. Operating cash is retained in overnight sweep accounts which allow for offsets to treasury service charges. The marketable securities include investments in cash and money funds, mutual funds, exchange traded funds (“ETF’s”), corporate bonds, government securities and stocks through professional investment management firms. Investment securities are exposed to various risks, such as interest rate, market and credit risks. The Company’s customers are not concentrated in any specific geographic region, but are concentrated in the road and highway construction industry. The Company extends limited credit on parts sales to its customers based upon their credit-worthiness. Generally, the Company requires a significant up-front |
Inventories | Inventories Inventories are valued at the lower of cost or net realizable value, with cost being determined under the FIFO method and net realizable value defined as the estimated selling price of goods less reasonable costs of completion and delivery. Appropriate consideration is given to obsolescence, excessive levels, deterioration, possible alternative uses and other factors in determining net realizable value. The cost of work in process and finished goods includes materials, direct labor, variable costs and overhead. The Company evaluates the need to record inventory adjustments on all inventories, including raw material, work in process, finished goods, spare parts and used equipment. Used equipment acquired by the Company on trade-in specific circumstances warrant different treatment regarding inventory obsolescence, an allowance is established to reduce the cost basis of inventories three four Changes in the allowance for slow-moving and obsolete inventories are as follows: 2022 2021 Balance, beginning of year $ 5,397,000 $ 4,617,000 Charged to cost of sales 2,966,000 1,355,000 Disposal of inventory, net of recoveries (171,000 ) (575,000 ) Balance, end of year $ 8,192,000 $ 5,397,000 |
Property and Equipment | Property and Equipment Property and equipment are stated at cost (see Note 4). Depreciation of property and equipment is computed using the straight-line method over the estimated useful lives of the related assets, as follows: Years Land improvements 15 Buildings & improvements 6-40 Equipment 2-10 |
Impairments | Impairments Property and equipment, and intangible assets subject to amortization, are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset (or asset group) may not be recoverable. An impairment loss would be recognized when the carrying amount of an asset exceeds the estimated undiscounted cash flows expected to result from the use of the asset and its eventual disposition. The amount of the impairment loss to be recorded is calculated by the excess of the asset’s carrying value over its fair value. Fair value is generally determined using a discounted cash flow analysis. No such impairment losses were recorded during the years ended September 30, 2022 and 2021. |
Revenues and Expenses | Revenues and Expenses The Company accounts for revenues and related expenses under the provisions of ASU No. 2014-09. The following table disaggregates the Company’s net revenue by major source for the years ended September 30, 2022 and 2021: 2022 2021 Equipment sales recognized over time $ 37,572,000 $ 24,093,000 Equipment sales recognized at a point in time 36,898,000 36,671,000 Parts and component sales 23,856,000 21,017,000 Freight revenue 4,709,000 3,497,000 Other 444,000 — Net revenue $ 103,479,000 $ 85,278,000 Revenues from contracts with customers for the design, manufacture and sale of custom equipment are recognized over time when the performance obligation is satisfied by transferring control of the equipment. Control of the equipment transfers over time, as the equipment is unique to the specific contract and thus does not create an asset with an alternative use to the Company. Revenues and costs are recognized in proportion to actual labor costs incurred, as compared with total estimated labor costs expected to be incurred, during the entire contract. All incremental costs related to obtaining a contract are expensed as incurred, as the amortization period is less than one year. Changes to total estimated contract costs or losses, if any, are recognized in the period in which they are determined. Contract assets (excluding accounts receivable) under contracts with customers represent revenue recognized in excess of amounts billed on equipment sales recognized over time. These contract assets were $2,118,000 and $1,903,000 at September 30, 2022 and 2021, respectively, and are included in current assets as costs and estimated earnings in excess of billings on the Company’s consolidated balance sheets. The Company anticipates that all of the contract assets at September 30, 2022, will be billed and collected within one year. Revenues from all other contracts for the design and manufacture of equipment, for service and for parts sales, net of any discounts and return allowances, are recorded at a point in time when control of the goods or services has been transferred. Control of the goods or service typically transfers at time of shipment or upon completion of the service. Payment for equipment under contract with customers is typically due prior to shipment. Payment for services under contract with customers is due as services are completed. Accounts receivable related to contracts with customers for equipment sales were $142,000 and $210,000 at September 30, 2022 and September 30, 2021, respectively. Product warranty costs are estimated using historical experience and known issues and are charged to production costs as revenue is recognized. Changes in the accrual for warranty and related costs are composed of the following: 2022 2021 Balance, beginning of year $ 291,000 $ 299,000 Warranties issued 110,000 280,000 Warranties settled (157,000 ) (288,000 ) Balance, end of year $ 244,000 $ 291,000 Provisions for estimated returns and allowances, and other adjustments are provided for in the same period the related sales are recorded. Returns and allowances, which reduce product revenue, are estimated using historical experience. Under certain contracts with customers, recognition of a portion of the consideration received may be deferred and recorded as a contract liability if the Company has to satisfy a future obligation, such as to provide installation assistance. There were no contract liabilities other than customer deposits at September 30, 2022 and September 30, 2021. Customer deposits related to contracts with customers were $5,864,000 and $5,244,000 at September 30, 2022 and 2021, respectively, and are included in current liabilities on the Company’s consolidated balance sheets. The Company records revenues earned for shipping and handling as freight revenue at the time of shipment, regardless of whether or not it is identified as a separate performance obligation. The cost of shipping and handling is classified as production costs concurrently with the revenue recognition. All product engineering and development costs, and selling, general and administrative expenses are charged to operations as incurred. Provision is made for any anticipated contract losses in the period that the loss becomes evident. The allowance for doubtful accounts is determined by performing a specific review of all account balances greater than 90 days past due and other higher risk amounts to determine collectability, and also adjusting for any known customer payment issues with account balances in the less-than-90-day Changes in the allowance for doubtful acc o u 2022 2021 Balance, beginning of year $ 321,000 $ 442,000 Provision for doubtful accounts 194,000 50,000 Provision for estimated returns and allowances 267,000 175,000 Uncollectible accounts written off (81,000 ) (60,000 ) Returns and allowances issued (331,000 ) (286,000 ) Balance, end of year $ 370,000 $ 321,000 |
Shipping and Handling Costs | Shipping and Handling Costs Shipping and handling costs are included in production costs in the consolidated statements of operations. |
Income Taxes | Income Taxes Income taxes are provided for the tax effects of transactions reported in the consolidated financial statements and primarily consist of taxes currently due, plus deferred taxes (see Note 6 – Income Taxes). The Company recognizes deferred tax liabilities and assets for the expected future tax consequences of events that have been included in the consolidated financial statements or tax returns using current tax rates. The Company and its domestic subsidiaries file a consolidated federal income tax return. Deferred tax assets and liabilities are measured using the rates expected to apply to taxable income in the years in which the temporary differences are expected to reverse and the credits are expected to be used. The effect on deferred tax assets and liabilities of the change in tax rates is recognized in income in the period that includes the enactment date. All available evidence, both positive and negative, is considered to determine whether, based on the weight of that evidence, the Company is more likely than not to realize the benefit of a deferred tax asset and whether a valuation allowance is needed for some portion or all of a deferred tax asset. No such valuation allowances were recorded as of September 30, 2022 and 2021. The Company’s income tax provision is based on management’s estimate of the effective tax rate for the full year. The tax provision in any period will be affected by, among other things, permanent, as well as temporary differences in the deductibility of certain items, in addition to changes in tax legislation. As a result, the Company may experience significant fluctuations in the effective book tax rate (that is, its tax expense divided by pre-tax |
Comprehensive Income | Comprehensive Income For the years ended September 30, 2022 and 2021, other comprehensive income is equal to net income. |
Reporting Segments and Geographic Areas | Reporting Segments and Geographic Areas The Company has one reporting segment, equipment for the highway construction industry. Based on evaluation of the criteria of ASC 280 – Segment Reporting, including the nature of products and services, the nature of the production processes, the type of customers and the methods used to distribute products and services, the Company determined that its operating segments meet the requirements for aggregation. The Company designs, manufactures and sells asphalt plants and pavers, combustion systems and fluid heat transfer systems, for the highway construction industry and environmental and petrochemical markets. The Company’s products are manufactured at three facilities in the United States. The Company also services and sells spare parts for its equipment. For fiscal 2022 and 2021, total revenues of $103,479,000 and $85,278,000, and total long-term assets of $16,834,000 and $12,639,000, respectively, were attributed to the United States. Revenues are attributed to geographic areas based on the location of the assets producing the revenues. |
Customers with 10% (or greater) of Net Revenues | Customers with 10% (or greater) of Net Revenues No customer accounted for 10% or more of fiscal 2022 or 2021 net revenues. |
Subsequent Events | Subsequent Events Management has evaluated events occurring from September 30, 2022 through the date these consolidated financial statements were filed with the Securities and Exchange Commission for proper recording and disclosure herein. |
Nature of Operations and Summ_3
Nature of Operations and Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Sep. 30, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basic and Diluted EPS | The following presents the calculation of the basic and diluted EPS for the years ended September 30, 2022 and 2021: 2022 2021 Net Loss Shares EPS Net Income Shares EPS Basic EPS $ (372,000 ) 14,658,000 $ (0.03 ) $ 5,805,000 14,614,000 $ 0.40 Common stock equivalents — 116,000 Diluted EPS $ (372,000 ) 14,658,000 $ (0.03 ) $ 5,805,000 14,730,000 $ 0.39 |
Company's Assets Measured at Fair Value | The following table sets forth by level, within the fair value hierarchy, the Company’s assets measured at fair value as of September 30, 2022: Fair Value Measurements Level 1 Level 2 Level 3 Total Equities $ 12,149,000 $ — $ — $ 12,149,000 Mutual Funds 5,337,000 — — 5,337,000 Exchange-Traded Funds 4,794,000 — — 4,794,000 Corporate Bonds — 37,339,000 — 37,339,000 Government Securities 29,327,000 — — 29,327,000 Cash and Money Funds 354,000 — — 354,000 Total $ 51,961,000 $ 37,339,000 $ — $ 89,300,000 The following table sets forth by level, within the fair value hierarchy, the Company’s assets measured at fair value as of September 30, 2021: Fair Value Measurements Level 1 Level 2 Level 3 Total Equities $ 14,734,000 $ — $ — $ 14,734,000 Mutual Funds 10,357,000 — — 10,357,000 Exchange-Traded Funds 9,458,000 — — 9,458,000 Corporate Bonds — 24,853,000 — 24,853,000 Government Securities 30,999,000 — — 30,999,000 Cash and Money Funds 4,575,000 — — 4,575,000 Total $ 70,123,000 $ 24,853,000 $ — $ 94,976,000 |
Schedule of Changes in Allowance for Slow Moving and Obsolete Inventories | Changes in the allowance for slow-moving and obsolete inventories are as follows: 2022 2021 Balance, beginning of year $ 5,397,000 $ 4,617,000 Charged to cost of sales 2,966,000 1,355,000 Disposal of inventory, net of recoveries (171,000 ) (575,000 ) Balance, end of year $ 8,192,000 $ 5,397,000 |
Estimated Useful Lives of Assets | Property and equipment are stated at cost (see Note 4). Depreciation of property and equipment is computed using the straight-line method over the estimated useful lives of the related assets, as follows: Years Land improvements 15 Buildings & improvements 6-40 Equipment 2-10 |
Disaggregation of Company's Net Revenue by Major Source | The following table disaggregates the Company’s net revenue by major source for the years ended September 30, 2022 and 2021: 2022 2021 Equipment sales recognized over time $ 37,572,000 $ 24,093,000 Equipment sales recognized at a point in time 36,898,000 36,671,000 Parts and component sales 23,856,000 21,017,000 Freight revenue 4,709,000 3,497,000 Other 444,000 — Net revenue $ 103,479,000 $ 85,278,000 |
Schedule of Changes in Accrual for Warranty and Related Costs | Changes in the accrual for warranty and related costs are composed of the following: 2022 2021 Balance, beginning of year $ 291,000 $ 299,000 Warranties issued 110,000 280,000 Warranties settled (157,000 ) (288,000 ) Balance, end of year $ 244,000 $ 291,000 |
Schedule of Changes in Allowance for Doubtful Accounts | Changes in the allowance for doubtful acc o u 2022 2021 Balance, beginning of year $ 321,000 $ 442,000 Provision for doubtful accounts 194,000 50,000 Provision for estimated returns and allowances 267,000 175,000 Uncollectible accounts written off (81,000 ) (60,000 ) Returns and allowances issued (331,000 ) (286,000 ) Balance, end of year $ 370,000 $ 321,000 |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Sep. 30, 2022 | |
Inventory Disclosure [Abstract] | |
Net Inventories | Net inventories consist of the following: September 30, 2022 2021 Raw materials $ 31,975,000 $ 25,858,000 Work in process 13,903,000 6,280,000 Finished goods 9,937,000 9,730,000 Used equipment — 20,000 Inventories, net $ 55,815,000 $ 41,888,000 |
Costs and Estimated Earnings _2
Costs and Estimated Earnings in Excess of Billings (Tables) | 12 Months Ended |
Sep. 30, 2022 | |
Text Block [Abstract] | |
Costs and Estimated Earnings in Excess of Billings on Uncompleted Contracts | Costs and estimated earnings in excess of billings on uncompleted contracts as of September 30, 2022 and 2021 consisted of the following: September 30, 2022 2021 Costs incurred on uncompleted contracts $ 12,660,000 $ 11,483,000 Estimated earnings 4,780,000 4,395,000 17,440,000 15,878,000 Billings to date 15,322,000 13,975,000 Costs and estimated earnings in excess of billings $ 2,118,000 $ 1,903,000 |
Property and Equipment (Tables)
Property and Equipment (Tables) | 12 Months Ended |
Sep. 30, 2022 | |
Property, Plant and Equipment [Abstract] | |
Property and Equipment | Property and equipment consist of the following as of September 30, 2022 and 2021: September 30, 2022 2021 Land and improvements $ 3,329,000 $ 3,329,000 Buildings and improvements 13,578,000 13,830,000 Equipment 26,521,000 21,765,000 43,428,000 38,924,000 Less: Accumulated depreciation and amortization (29,937,000 ) (27,123,000 ) Property and equipment, net $ 13,491,000 $ 11,801,000 |
Accrued Expenses (Tables)
Accrued Expenses (Tables) | 12 Months Ended |
Sep. 30, 2022 | |
Payables and Accruals [Abstract] | |
Accrued Expenses | Accrued expenses consist of the following as of September 30, 2022 and 2021: September 30, 2022 2021 Payroll and related accruals $ 1,083,000 $ 1,735,000 Warranty and related accruals 244,000 291,000 Property tax accruals 233,000 223,000 Income tax accruals — 224,000 Professional fees 243,000 105,000 Other 82,000 67,000 Accrued expenses $ 1,885,000 $ 2,645,000 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Sep. 30, 2022 | |
Income Tax Disclosure [Abstract] | |
Provision for Income Tax Expense (Benefit) | The provision for income tax expense (benefit) consists of: Year Ended September 30, 2022 2021 Current: Federal $ 1,680,000 $ 992,000 State 317,000 189,000 Total current 1,997,000 1,181,000 Deferred: Federal (2,701,000 ) (269,000 ) State (617,000 ) (83,000 ) Total deferred (3,318,000 ) (352,000 ) Income tax expense (benefit) $ (1,321,000 ) $ 829,000 |
Reconciliation of the Federal Statutory Tax Rate to the Total Tax Provision (Benefit) | A reconciliation of the federal statutory tax rate to the total tax provision (benefit) is as follows: Year Ended September 30, 2022 2021 Federal income taxes computed at the statutory rate (21.0 % ) 21.0 % State income taxes, net of federal benefit (11.8 % ) 1.6 % Research & development tax refunds & credits (28.8 %) (5.1 %) Dividend received deduction (6.4 %) (1.9 %) Other, net (10.0 %) (3.1 %) Effective income tax rate (78.0 % ) 12.5 % |
Deferred Income Tax Assets and Liabilities | Deferred income tax assets and liabilities consist of the following: September 30, 2022 2021 Deferred Tax Assets: Accrued liabilities and reserves $ 155,000 $ 276,000 Allowance for doubtful accounts 83,000 72,000 Inventory 3,197,000 1,783,000 Stock-based compensation — 79,000 Unrealized loss on investments 1,272,000 — Net operating losses carryforwards 352,000 20,000 Gross Deferred Income Tax Assets 5,059,000 2,230,000 Deferred and Other Tax Liabilities: Domestic international sales corporation (136,000 ) (236,000 ) Property and equipment (1,868,000 ) (1,943,000 ) Unrealized gain on investments — (295,000 ) Unrecognized tax benefits (131,000 ) (150,000 ) Gross Deferred and Other Income Tax Liabilities (2,135,000 ) (2,624,000 ) Net Deferred and Other Income Tax Assets (Liabilities) $ 2,924,000 $ (394,000 ) |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Sep. 30, 2022 | |
Leases [Abstract] | |
Summary of Other Information Concerning the Company's Operating Lease | Other information concerning the Company’s operating lease accounted for under ASC 842 guidelines as of September 30, 2022 and September 30, 2021, is as follows: September 30, 2022 September 30, 2021 Operating lease ROU asset included in other long-term assets $ 396,000 $ 785,000 Current operating lease liability 390,000 393,000 Non-current 6,000 392,000 Weighted average remaining lease term (in years) 1.00 2.00 Weighted average discount rate used in calculating ROU asset 4.0 % 4.0 % |
Summary of Future Annual Minimum Lease Payments | Future annual minimum lease payments as of September 30, 2022 are as follows: Fiscal Year Annual Lease Payments 2023 $ 398,000 2024 6,000 Total 404,000 Less interest (8,000 ) Present value of lease liabilities $ 396,000 |
Shareholders' Equity and Stoc_2
Shareholders' Equity and Stock-Based Compensation (Tables) | 12 Months Ended |
Sep. 30, 2022 | |
2009 Plan [Member] | |
Summary of Option Activity under Stock-Based Compensation Plan | The following table summarizes option activity under the 2009 Plan: Number of Average Options outstanding at September 30, 2020 252,492 $ 6.205 Options exercised during fiscal 2021 (51,508 ) $ 5.126 Options expired on September 30, 2021 (170,984 ) $ 5.623 Options outstanding at September 30, 2021 30,000 $ 11.380 Options cancelled on November 1, 2021 (30,000 ) $ 11.380 Options outstanding at September 30, 2022 — $ — |
Nature of Operations and Summ_4
Nature of Operations and Summary of Significant Accounting Policies - Basic and Diluted EPS (Detail) - USD ($) | 12 Months Ended | |
Sep. 30, 2022 | Sep. 30, 2021 | |
Earnings Per Share [Abstract] | ||
Net income (loss) | $ (372,000) | $ 5,805,000 |
Basic shares outstanding | 14,658,000 | 14,614,000 |
Common Stock Equivalents | 0 | 116,000 |
Diluted shares outstanding | 14,658,000 | 14,730,000 |
Basic earnings per common share: | ||
Basic earnings per share | $ (0.03) | $ 0.4 |
Diluted earnings per common share: | ||
Diluted earnings per share | $ (0.03) | $ 0.39 |
Nature of Operations and Summ_5
Nature of Operations and Summary of Significant Accounting Policies - Company's Assets Measured at Fair Value (Detail) - USD ($) | Sep. 30, 2022 | Sep. 30, 2021 |
Investment Holdings [Line Items] | ||
Total | $ 89,300,000 | $ 94,976,000 |
Level 1 [Member] | ||
Investment Holdings [Line Items] | ||
Total | 51,961,000 | 70,123,000 |
Level 2 [Member] | ||
Investment Holdings [Line Items] | ||
Total | 37,339,000 | 24,853,000 |
Equities [Member] | ||
Investment Holdings [Line Items] | ||
Total | 12,149,000 | 14,734,000 |
Equities [Member] | Level 1 [Member] | ||
Investment Holdings [Line Items] | ||
Total | 12,149,000 | 14,734,000 |
Mutual Funds [Member] | ||
Investment Holdings [Line Items] | ||
Total | 5,337,000 | 10,357,000 |
Mutual Funds [Member] | Level 1 [Member] | ||
Investment Holdings [Line Items] | ||
Total | 5,337,000 | 10,357,000 |
Exchange Traded Funds [Member] | ||
Investment Holdings [Line Items] | ||
Total | 4,794,000 | 9,458,000 |
Exchange Traded Funds [Member] | Level 1 [Member] | ||
Investment Holdings [Line Items] | ||
Total | 4,794,000 | 9,458,000 |
Corporate Bonds [Member] | ||
Investment Holdings [Line Items] | ||
Total | 37,339,000 | 24,853,000 |
Corporate Bonds [Member] | Level 2 [Member] | ||
Investment Holdings [Line Items] | ||
Total | 37,339,000 | 24,853,000 |
Government Securities [Member] | ||
Investment Holdings [Line Items] | ||
Total | 29,327,000 | 30,999,000 |
Government Securities [Member] | Level 1 [Member] | ||
Investment Holdings [Line Items] | ||
Total | 29,327,000 | 30,999,000 |
Cash and Money Funds [Member] | ||
Investment Holdings [Line Items] | ||
Total | 354,000 | 4,575,000 |
Cash and Money Funds [Member] | Level 1 [Member] | ||
Investment Holdings [Line Items] | ||
Total | $ 354,000 | $ 4,575,000 |
Nature of Operations and Summ_6
Nature of Operations and Summary of Significant Accounting Policies - Schedule of Changes in Allowance for Slow Moving and Obsolete Inventories (Detail) - USD ($) | 12 Months Ended | |
Sep. 30, 2022 | Sep. 30, 2021 | |
Inventory Disclosure [Abstract] | ||
Balance, beginning of year | $ 5,397,000 | $ 4,617,000 |
Charged to cost of sales | 2,966,000 | 1,355,000 |
Disposal of inventory, net of recoveries | (171,000) | (575,000) |
Balance, end of year | $ 8,192,000 | $ 5,397,000 |
Nature of Operations and Summ_7
Nature of Operations and Summary of Significant Accounting Policies - Estimated Useful Lives of Assets (Detail) | 12 Months Ended |
Sep. 30, 2022 | |
Land Improvements [Member] | |
Estimated useful lives of assets | 15 years |
Buildings and Improvements [Member] | Maximum [Member] | |
Estimated useful lives of assets | 40 years |
Buildings and Improvements [Member] | Minimum [Member] | |
Estimated useful lives of assets | 6 years |
Equipment [Member] | Maximum [Member] | |
Estimated useful lives of assets | 10 years |
Equipment [Member] | Minimum [Member] | |
Estimated useful lives of assets | 2 years |
Nature of Operations and Summ_8
Nature of Operations and Summary of Significant Accounting Policies - Disaggregation of Company's Net Revenue by Major Source (Detail) - USD ($) | 12 Months Ended | |
Sep. 30, 2022 | Sep. 30, 2021 | |
Disaggregation of Revenue [Line Items] | ||
Net revenue | $ 103,479,000 | $ 85,278,000 |
Equipment Sales [Member] | Transferred over Time [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Net revenue | 37,572,000 | 24,093,000 |
Equipment Sales [Member] | Transferred at Point in Time [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Net revenue | 36,898,000 | 36,671,000 |
Parts and Component Sales [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Net revenue | 23,856,000 | 21,017,000 |
Freight Revenue [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Net revenue | 4,709,000 | 3,497,000 |
Other [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Net revenue | $ 444,000 | $ 0 |
Nature of Operations and Summ_9
Nature of Operations and Summary of Significant Accounting Policies - Schedule of Changes in Accrual for Warranty and Related Costs (Detail) - USD ($) | 12 Months Ended | |
Sep. 30, 2022 | Sep. 30, 2021 | |
Product Warranty Liability [Abstract] | ||
Balance, beginning of year | $ 291,000 | $ 299,000 |
Warranties issued | 110,000 | 280,000 |
Warranties settled | (157,000) | (288,000) |
Balance, end of year | $ 244,000 | $ 291,000 |
Nature of Operations and Sum_10
Nature of Operations and Summary of Significant Accounting Policies - Schedule of Changes in Allowance for Doubtful Accounts (Detail) - USD ($) | 12 Months Ended | |
Sep. 30, 2022 | Sep. 30, 2021 | |
Receivables [Abstract] | ||
Balance, beginning of year | $ 321,000 | $ 442,000 |
Provision for doubtful accounts | 194,000 | 50,000 |
Provision for estimated returns and allowances | 267,000 | 175,000 |
Uncollectible accounts written off | (81,000) | (60,000) |
Returns and allowances issued | (331,000) | (286,000) |
Balance, end of year | $ 370,000 | $ 321,000 |
Nature of Operations and Sum_11
Nature of Operations and Summary of Significant Accounting Policies - Additional Information (Detail) | 12 Months Ended | ||
Oct. 01, 2020 USD ($) | Sep. 30, 2022 USD ($) shares | Sep. 30, 2021 USD ($) shares | |
Nature Of Operations And Summary Of Significant Accounting Policies [Line Items] | |||
Exercisable stock options, included in the diluted EPS calculation | shares | 236,000 | ||
Effect of dilutive stock options | shares | 0 | 116,000 | |
Anti-dilutive exercisable stock options, not included in the diluted EPS calculation | shares | 0 | 0 | |
Net unrealized gains (losses) | $ (6,864,000) | $ 1,302,000 | |
Transfers of investments between Level 1 and Level 2 | 0 | 0 | |
Impairment loss recognized on an asset group | 0 | 0 | |
Valuation allowance | 0 | 0 | |
Costs and estimated earnings in excess of billings | 2,118,000 | 1,903,000 | |
Net revenue | 103,479,000 | 85,278,000 | |
Accounts receivable related to contracts with customers | 142,000 | 210,000 | |
Total long-term assets | $ 16,834,000 | 12,639,000 | |
Blawknox Paver Member [Member] | |||
Nature Of Operations And Summary Of Significant Accounting Policies [Line Items] | |||
Business Combination, Consideration Transferred | $ 14,400,000 | 13,800,000 | |
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Inventory | 10,400,000 | ||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Property, Plant, and Equipment | 3,400,000 | ||
Maximum [Member] | |||
Nature Of Operations And Summary Of Significant Accounting Policies [Line Items] | |||
Contract assets collection period | 1 year | ||
Current Liabilities [Member] | |||
Nature Of Operations And Summary Of Significant Accounting Policies [Line Items] | |||
Customer deposits related to contracts with customers | $ 5,864,000 | $ 5,244,000 | |
Revenue [Member] | |||
Nature Of Operations And Summary Of Significant Accounting Policies [Line Items] | |||
Number of customers | 0 | 0 | |
Entities Owned by One Global Company [Member] | Revenue [Member] | No Customer [Member] | |||
Nature Of Operations And Summary Of Significant Accounting Policies [Line Items] | |||
Percentage of concentration | 10% | 10% | |
Three to Four Years Old Inventory [Member] | |||
Nature Of Operations And Summary Of Significant Accounting Policies [Line Items] | |||
Inventory, minimum time period on the shelf, years | 3 years | ||
Inventory, maximum time period on the shelf, years | 4 years | ||
Cost basis reduction in inventory, percentage | 50% | ||
Four to Five Years Old Inventory [Member] | |||
Nature Of Operations And Summary Of Significant Accounting Policies [Line Items] | |||
Inventory, minimum time period on the shelf, years | 4 years | ||
Inventory, maximum time period on the shelf, years | 5 years | ||
Cost basis reduction in inventory, percentage | 75% | ||
Greater Than Five Years Old Inventory [Member] | |||
Nature Of Operations And Summary Of Significant Accounting Policies [Line Items] | |||
Inventory, minimum time period on the shelf, years | 5 years | ||
Inventory valuation estimate | $ 0 |
Inventories - Net Inventories (
Inventories - Net Inventories (Detail) - USD ($) | Sep. 30, 2022 | Sep. 30, 2021 |
Inventory, Net [Abstract] | ||
Raw materials | $ 31,975,000 | $ 25,858,000 |
Work in process | 13,903,000 | 6,280,000 |
Finished goods | 9,937,000 | 9,730,000 |
Used equipment | 0 | 20,000 |
Inventories, net | $ 55,815,000 | $ 41,888,000 |
Inventories - Additional Inform
Inventories - Additional Information (Detail) - USD ($) | Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2020 |
Inventory [Line Items] | |||
Slow moving and obsolete inventory reserve | $ 8,192,000 | $ 5,397,000 | $ 4,617,000 |
Costs and Estimated Earnings _3
Costs and Estimated Earnings in Excess of Billings - Costs and Estimated Earnings in Excess of Billings on Uncompleted Contracts (Detail) - USD ($) | Sep. 30, 2022 | Sep. 30, 2021 |
Costs in Excess of Billings on Uncompleted Contracts or Programs [Abstract] | ||
Costs incurred on uncompleted contracts | $ 12,660,000 | $ 11,483,000 |
Estimated earnings | 4,780,000 | 4,395,000 |
Costs and estimated earnings on uncompleted contracts | 17,440,000 | 15,878,000 |
Billings to date | 15,322,000 | 13,975,000 |
Costs and estimated earnings in excess of billings | $ 2,118,000 | $ 1,903,000 |
Property and Equipment - Proper
Property and Equipment - Property and Equipment (Detail) - USD ($) | Sep. 30, 2022 | Sep. 30, 2021 |
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | $ 43,428,000 | $ 38,924,000 |
Less: Accumulated depreciation and amortization | (29,937,000) | (27,123,000) |
Property and equipment, net | 13,491,000 | 11,801,000 |
Land and Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 3,329,000 | 3,329,000 |
Buildings and Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 13,578,000 | 13,830,000 |
Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | $ 26,521,000 | $ 21,765,000 |
Property and Equipment - Additi
Property and Equipment - Additional Information (Detail) - USD ($) | 12 Months Ended | |
Sep. 30, 2022 | Sep. 30, 2021 | |
Property, Plant and Equipment [Abstract] | ||
Property and equipment (fully depreciated assets) | $ 20,467,000 | $ 19,374,000 |
Property plant and equipment not yet placed in operation | $ 1,702,000 | $ 458,000 |
Accrued Expenses - Accrued Expe
Accrued Expenses - Accrued Expenses (Detail) - USD ($) | Sep. 30, 2022 | Sep. 30, 2021 |
Payables and Accruals [Abstract] | ||
Payroll and related accruals | $ 1,083,000 | $ 1,735,000 |
Warranty and related accruals | 244,000 | 291,000 |
Property tax accruals | 233,000 | 223,000 |
Income tax accruals | 0 | 224,000 |
Professional fees | 243,000 | 105,000 |
Other | 82,000 | 67,000 |
Accrued expenses | $ 1,885,000 | $ 2,645,000 |
Income Taxes - Provision for In
Income Taxes - Provision for Income Tax Expense (Benefit) (Detail) - USD ($) | 12 Months Ended | |
Sep. 30, 2022 | Sep. 30, 2021 | |
Current: | ||
Federal | $ 1,680,000 | $ 992,000 |
State | 317,000 | 189,000 |
Total current | 1,997,000 | 1,181,000 |
Deferred: | ||
Federal | (2,701,000) | (269,000) |
State | (617,000) | (83,000) |
Total deferred | (3,318,000) | (352,000) |
Income tax expense (benefit) | $ (1,321,000) | $ 829,000 |
Income Taxes - Reconciliation o
Income Taxes - Reconciliation of the Federal Statutory Tax Rate to the Total Tax Provision (Benefit) (Detail) | 12 Months Ended | |
Sep. 30, 2022 | Sep. 30, 2021 | |
Income Tax Disclosure [Abstract] | ||
Federal income taxes computed at the statutory rate | 21% | 21% |
State income taxes, net of federal benefit | 11.80% | 1.60% |
Research & development tax refunds & credits | 28.80% | (5.10%) |
Dividend received deduction | 6.40% | (1.90%) |
Other, net | 10% | (3.10%) |
Effective income tax rate | 78% | 12.50% |
Income Taxes - Deferred Income
Income Taxes - Deferred Income Tax Assets and Liabilities (Detail) - USD ($) | Sep. 30, 2022 | Sep. 30, 2021 |
Deferred Tax Assets: | ||
Accrued liabilities and reserves | $ 155,000 | $ 276,000 |
Allowance for doubtful accounts | 83,000 | 72,000 |
Inventory | 3,197,000 | 1,783,000 |
Stock-based compensation | 0 | 79,000 |
Unrealized loss on investments | 1,272,000 | 0 |
Net operating losses carryforwards | 352,000 | 20,000 |
Gross Deferred Income Tax Assets | 5,059,000 | 2,230,000 |
Deferred and Other Tax Liabilities: | ||
Domestic international sales corporation | (136,000) | (236,000) |
Property and equipment | (1,868,000) | (1,943,000) |
Unrealized gain on investments | 0 | (295,000) |
Unrecognized tax benefits | (131,000) | (150,000) |
Gross Deferred and Other Income Tax Liabilities | (2,135,000) | (2,624,000) |
Gross Deferred and Other Income Tax Liabilities | $ 2,924,000 | $ (394,000) |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) | 12 Months Ended | |
Sep. 30, 2022 | Sep. 30, 2021 | |
IncomeTaxes [Line Items] | ||
Total incomes taxes paid | $ 2,839,000 | $ 1,963,000 |
Unrecognized tax benefits | 131,000 | 150,000 |
Additional accruals of UTB's | 0 | 0 |
Additional accruals of interest expense nor penalties | $ 0 | $ 0 |
Effective income tax rate | 78% | 12.50% |
Income Tax Examination, Penalties and Interest Accrued | $ 150,000 | |
Unrecognized Tax Benefits, Income Tax Penalties and Interest Accrued | 131,000 | |
Federal [Member] | ||
IncomeTaxes [Line Items] | ||
R&D tax credits carryforwards | 0 | $ 0 |
R&D Credits | $ 475,000 | $ 335,000 |
Retirement Benefits - Additiona
Retirement Benefits - Additional Information (Detail) - USD ($) | 12 Months Ended | |
Sep. 30, 2022 | Sep. 30, 2021 | |
Retirement Benefits [Abstract] | ||
Retirement benefits expense under the provisions of the plan | $ 425,000 | $ 365,000 |
Long-Term Debt and Arrangemen_2
Long-Term Debt and Arrangements with Financial Institutions - Additional Information (Detail) - USD ($) | Sep. 30, 2022 | Sep. 30, 2021 | Apr. 30, 2020 |
Debt Disclosure [Abstract] | |||
Long term debt outstanding | $ 0 | $ 0 | |
Total cash deposits with insurance companies covering collateral needs | $ 85,000 | ||
Proceeds from lines of credit | $ 150,000 |
Leases - Summary of Other Infor
Leases - Summary of Other Information Concerning the Company's Operating Lease (Detail) - USD ($) | Sep. 30, 2022 | Sep. 30, 2021 | Oct. 09, 2020 | Aug. 28, 2020 |
Lessee, Lease, Description [Line Items] | ||||
Current operating lease liability | $ 390,000 | $ 393,000 | ||
Non-current operating lease liability | 6,000 | 392,000 | ||
New Lease Agreement [Member] | ||||
Lessee, Lease, Description [Line Items] | ||||
Operating lease ROU asset included in other long-term assets | 396,000 | 785,000 | $ 254,000 | $ 970,000 |
Blaw Knox Product Line From Volvo CE [Member] | New Lease Agreement [Member] | ||||
Lessee, Lease, Description [Line Items] | ||||
Current operating lease liability | 390,000 | 393,000 | ||
Non-current operating lease liability | $ 6,000 | $ 392,000 | ||
Weighted average remaining lease term (in years) | 1 year | 2 years | ||
Weighted average discount rate used in calculating ROU asset | 4% | 4% |
Leases - Summary of Future Annu
Leases - Summary of Future Annual Minimum Lease Payments (Detail) | Sep. 30, 2022 USD ($) |
Minimum Lease Payments, Sale Leaseback Transactions, Fiscal Year Maturity [Abstract] | |
2023 | $ 398,000 |
2024 | 6,000 |
Total | 404,000 |
Less interest | (8,000) |
Present value of lease liabilities | $ 396,000 |
Leases - Additional Information
Leases - Additional Information (Detail) - USD ($) | 12 Months Ended | |||
Aug. 28, 2020 | Sep. 30, 2022 | Sep. 30, 2021 | Oct. 09, 2020 | |
Lessee, Lease, Description [Line Items] | ||||
Total rental expense | $ 57,000 | $ 78,000 | ||
Operating Lease, Expense | 425,000 | 440,000 | ||
Operating lease term | 3 years | |||
Operating leases paid in cash | 396,000 | 468,000 | ||
New Lease Agreement [Member] | ||||
Lessee, Lease, Description [Line Items] | ||||
Assets | $ 970,000 | $ 396,000 | $ 785,000 | $ 254,000 |
Blaw Knox Product Line From Volvo CE [Member] | New Lease Agreement [Member] | ||||
Lessee, Lease, Description [Line Items] | ||||
Operating lease term | 1 year | |||
Operating lease liability date of expiry | Aug. 31, 2023 |
Shareholders' Equity and Stoc_3
Shareholders' Equity and Stock-Based Compensation - Additional Information (Detail) - shares | 12 Months Ended | ||
Nov. 01, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Class of Stock [Line Items] | |||
Number of options, forfeited or cancelled | 30,000 | ||
Number of shares, options expired | 170,984 | ||
2009 Plan [Member] | |||
Class of Stock [Line Items] | |||
Shares available for granting | 0 | 0 | |
Remaining contractual life on the options outstanding | 5 years | ||
Number of options, forfeited or cancelled | 0 | 0 | |
2009 Incentive Compensation Plan | |||
Class of Stock [Line Items] | |||
Share based payments, options, expiration date | Oct. 01, 2021 | ||
Common Stock [Member] | 2009 Plan [Member] | Share-based Compensation Award, Tranche One [Member] | |||
Class of Stock [Line Items] | |||
Number of shares, options expired | 125,984 | ||
Common Stock [Member] | |||
Class of Stock [Line Items] | |||
Right of holders to elect company's board of directors | 25% | ||
Class B Stock [Member] | |||
Class of Stock [Line Items] | |||
Right of holders to elect company's board of directors | 75% | ||
Class B Stock [Member] | 2009 Plan [Member] | |||
Class of Stock [Line Items] | |||
Number of shares, options expired | 30,000 | ||
Class B Stock [Member] | 2009 Plan [Member] | Share-based Compensation Award, Tranche One [Member] | |||
Class of Stock [Line Items] | |||
Share based payments, options, expiration date | Sep. 30, 2021 | ||
Number of shares, options expired | 45,000 | ||
Class B Stock [Member] | 2009 Plan [Member] | Share-based Compensation Award, Tranche Two [Member] | |||
Class of Stock [Line Items] | |||
Share based payments, options, expiration date | Sep. 26, 2026 | ||
Number of shares, options expired | 30,000 |
Shareholders' Equity and Stoc_4
Shareholders' Equity and Stock-Based Compensation - Summary of Option Activity under Stock-Based Compensation Plan (Detail) - $ / shares | 12 Months Ended | |||
Nov. 01, 2021 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2020 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of Shares, Options exercised | (51,508) | |||
Number of Shares, Options outstanding | 30,000 | 0 | 252,492 | |
Number of Shares, Options expired | (170,984) | |||
Number of Shares, Options cancelled | (30,000) | |||
Average Exercise Price Per Share, Options exercised | $ 5.126 | |||
Average Exercise Price Per Share, Options outstanding | 11.38 | $ 0 | $ 6.205 | |
Average Exercise Price Per Share, Options expired | $ 5.623 | |||
Average Exercise Price Per Share, Options cancelled | $ 11.38 |