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TRT Trio-Tech International

Document and Entity Information

Document and Entity Information - shares6 Months Ended
Dec. 31, 2020Feb. 01, 2021
Document And Entity Information
Entity Registrant NameTRIO-TECH INTERNATIONAL
Entity Central Index Key0000732026
Document Type10-Q
Document Period End DateDec. 31,
2020
Amendment Flagfalse
Current Fiscal Year End Date--06-30
Is Entity's Reporting Status Current?Yes
Entity Filer CategoryNon-accelerated Filer
Entity Emerging Growth Companyfalse
Entity Small Businesstrue
Entity Shell Companyfalse
Entity Interactive Data CurrentYes
Entity Incorporation, State or Country CodeCA
Entity File Number1-14523
Entity Common Stock, Shares Outstanding3,710,555
Document Fiscal Period FocusQ2
Document Fiscal Year Focus2021

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS (IN THOUSANDS, EXCEPT NUMBER OF SHARES) - USD ($) $ in ThousandsDec. 31, 2020Jun. 30, 2020
CURRENT ASSETS:
Cash and cash equivalents $ 4,470 $ 4,150
Short-term deposits6,940 6,838
Trade accounts receivable, less allowance for doubtful accounts of $320 and $314, respectively7,581 5,951
Other receivables670 998
Inventories, less provision for obsolete inventories of $688 and $678, respectively2,147 1,922
Prepaid expenses and other current assets342 341
Total current assets22,150 20,200
NON-CURRENT ASSETS
Deferred tax asset354 247
Investment properties, net712 690
Property, plant and equipment, net10,050 10,310
Operating lease right-of-use assets1,514 944
Other assets1,831 1,609
Restricted term deposits1,752 1,660
Total non-current assets16,213 15,460
Total assets38,363 35,660
CURRENT LIABILITIES:
Lines of credit0 172
Accounts payable3,103 2,590
Accrued expenses3,395 3,005
Income taxes payable341 344
Current portion of bank loans payable443 370
Current portion of finance leases227 231
Current portion of operating leases562 477
Current portion of PPP loan121 54
Total current liabilities8,192 7,243
NON-CURRENT LIABILITIES:
Bank loans payable, net of current portion1,899 1,836
Finance leases, net of current portion353 435
Operating leases, net of current portion952 467
Income taxes payable385 430
PPP loan, net of current portion0 67
Other non-current liabilities34 36
Total non-current liabilities3,623 3,271
Total liabilities11,815 10,514
TRIO-TECH INTERNATIONAL'S SHAREHOLDERS' EQUITY:
Common stock, no par value, 15,000,000 shares authorized; 3,710,555 shares issued and outstanding as at December 31, 2020 and 3,673,055 shares as at June 30, 2020, respectively11,525 11,424
Paid-in capital3,378 3,363
Accumulated retained earnings8,263 8,036
Accumulated other comprehensive gain-translation adjustments2,703 1,143
Total Trio-Tech International shareholders' equity25,869 23,966
Non-controlling interest679 1,180
Total equity26,548 25,146
Total liabilities and equity $ 38,363 $ 35,660

CONDENSED CONSOLIDATED BALANC_2

CONDENSED CONSOLIDATED BALANCE SHEETS (IN THOUSANDS, EXCEPT NUMBER OF SHARES) (Parenthetical) - USD ($) $ in ThousandsDec. 31, 2020Jun. 30, 2020
Statement of Financial Position [Abstract]
Allowance for doubtful accounts $ 320 $ 314
Provision for obsolete inventory $ 688 $ 678
Common stock, no par value $ 0 $ 0
Common stock, authorized15,000,000 15,000,000
Common stock, issued3,710,555 3,673,055
Common stock, outstanding3,710,555 3,673,055

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME/(LOSS) - USD ($) $ in Thousands3 Months Ended6 Months Ended
Dec. 31, 2020Dec. 31, 2019Dec. 31, 2020Dec. 31, 2019
Revenue
Manufacturing $ 3,569 $ 3,045 $ 6,194 $ 6,362
Testing services3,560 3,887 6,514 8,277
Distribution1,065 2,014 2,323 4,113
Real estate7 16 11 33
Total8,201 8,962 15,042 18,785
Cost of Sales
Cost of manufactured products sold2,770 2,383 4,707 4,938
Cost of testing services rendered2,678 2,918 5,000 6,109
Cost of distribution861 1,738 1,908 3,545
Cost of real estate22 18 39 36
Total6,331 7,057 11,654 14,628
Gross margin1,870 1,905 3,388 4,157
Operating Expenses
General and administrative1,662 1,777 3,322 3,565
Selling122 176 233 366
Research and development123 125 198 201
Gain on disposal of property, plant and equipment0 0 (1)(24)
Total operating expenses1,907 2,078 3,752 4,108
(Loss)/income from operations(37)(173)(364)49
Other Income/(Expenses)
Interest expenses(34)(55)(71)(123)
Gain on sale of asset held for sale0 1,172 0 1,172
Other income, net143 40 354 150
Total other income/(expenses)109 1,157 283 1,199
Income/(loss) from continuing operations before income taxes72 984 (81)1,248
Income tax expenses0 120 7 120
Income/(loss) from continuing operations before non-controlling interest, net of tax72 864 (88)1,128
Discontinued Operations
Income/(loss) from discontinued operations, net of tax(21)1 (27)0
Net income/(loss)51 865 (115)1,128
Less: net (loss)/income attributable to non-controlling interest(184)439 (342)429
Net income attributable to Trio-Tech International common shareholders235 426 227 699
Amounts Attributable to Trio-Tech International Common Shareholders:
Income from continuing operations, net of tax246 425 241 699
(Loss)/income from discontinued operations, net of tax(11)1 (14)0
Net income attributable to Trio-Tech International common shareholders $ 235 $ 426 $ 227 $ 699
Basic Earnings per Share:
Basic earnings per share from continuing operations attributable to Trio-Tech International $ 0.06 $ 0.12 $ 0.06 $ 0.19
Basic earnings per share from discontinued operations attributable to Trio-Tech International.00.00.00.00
Basic earnings per share from net income attributable to Trio-Tech International0.060.120.060.19
Diluted Earnings per Share:
Diluted earnings per share from continuing operations attributable to Trio-Tech International0.06.110.060.19
Diluted earnings per share from discontinued operations attributable to Trio-Tech International0 0 0 0
Diluted earnings per share from net income attributable to Trio-Tech International $ 0.06 $ .11 $ 0.06 $ 0.19
Weighted average number of common shares outstanding basic (in thousands)3,710 3,673 3,710 3,673
Dilutive effect of stock options (in thousands)90 52 83 33
Number of shares used to compute earnings per share diluted (in thousands)3,800 3,725 3,793 3,706

CONDENSED CONSOLIDATED STATEM_2

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands3 Months Ended6 Months Ended
Dec. 31, 2020Dec. 31, 2019Dec. 31, 2020Dec. 31, 2019
Comprehensive Income Attributable to Trio-Tech International Common Shareholders:
Net income/(loss) $ 51 $ 865 $ (115) $ 1,128
Foreign currency translation, net of tax943 525 1,583 (38)
Comprehensive income994 1,390 1,468 1,090
Less: comprehensive (loss)/income attributable to the non-controlling interest(197)431 (319)440
Comprehensive income attributable to Trio-Tech International common shareholders $ 1,191 $ 959 $ 1,787 $ 650

CONDENSED CONSOLIDATED STATEM_3

CONDENSED CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY - USD ($) $ in ThousandsCommon StockPaid-in CapitalAccumulated Retained EarningsAccumulated Other Comprehensive IncomeNon-controlling InterestTotal
Beginning balance, shares (in thousands) at Jun. 30, 20193,673
Beginning balance, amount at Jun. 30, 2019 $ 11,424 $ 3,305 $ 7,070 $ 1,867 $ 1,195 $ 24,861
Stock option expenses14 14
Net income/(loss) 699 429 1,128
Dividend declared by subsidiary(120)(120)
Translation adjustment(49)11 (38)
Ending balance, shares (in thousands) at Dec. 31, 20193,673
Ending balance, amount at Dec. 31, 2019 $ 11,424 3,319 7,769 1,818 1,515 25,845
Beginning balance, shares (in thousands) at Jun. 30, 20203,673
Beginning balance, amount at Jun. 30, 2020 $ 11,424 3,363 8,036 1,143 1,180 25,146
Stock option expenses15
Net income/(loss) 227 (342)(115)
Dividend declared by subsidiary(182)(182)
Exercise of options, shares (in thousands)37
Exercise of options, amount $ 101 101
Translation adjustment1,560 23 1,583
Ending balance, shares (in thousands) at Dec. 31, 20203,710
Ending balance, amount at Dec. 31, 2020 $ 11,525 $ 3,378 $ 8,263 $ 2,703 $ 679 $ 26,548

CONDENSED CONSOLIDATED STATEM_4

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (IN THOUSANDS) - USD ($) $ in Thousands6 Months Ended
Dec. 31, 2020Dec. 31, 2019
Cash Flow from Operating Activities
Net (loss)/income $ (115) $ 1,128
Adjustments to reconcile net (loss)/income to net cash flow provided by operating activities
Depreciation and amortization1,469 1,576
Stock compensation15 14
Addition/(reversal) of provision for obsolete inventories10 (5)
Bad debt (recovery) expenses(15)45
Accrued interest expense, net accrued interest income(18)(20)
Payment of interest portion of finance lease(19)(24)
Gain on sale of asset held for sale0 (1,172)
Gain on sale of property, plant and equipment(1)(24)
Dividend income(32)0
Dividend received32 0
Reversal of income tax provision55 0
Deferred tax benefit(83)(47)
Changes in operating assets and liabilities, net of acquisition effect
Trade accounts receivable(1,595)132
Other receivables328 65
Other assets(86)97
Inventories(140)247
Prepaid expenses and other current assets(1)(43)
Accounts payable and accrued expenses1,000 (6)
Income taxes payable(114)(31)
Operating lease liabilities(375)(359)
Net cash provided by operating activities315 1,573
Cash Flow from Investing Activities
Proceeds from disposal of property, plant and equipment0 39
Proceeds from sale of asset held for sale0 1,261
Withdrawal of un-restricted deposit520 0
Investments in restricted and unrestricted deposits(409)(2,672)
Addition to property, plant and equipment(217)(744)
Net cash used in investing activities(106)(2,116)
Cash Flow from Financing Activities
Payment on lines of credit(174)(729)
Payment of bank loans(307)(245)
Payment of principal portion of finance leases0 (127)
Dividends paid to non-controlling interest(182)(120)
Proceeds from exercising stock options101 0
Proceeds from lines of credit0 1,337
Proceeds from bank loans205 0
Proceeds from principal of finance leases0 279
Net cash (used in)/provided by financing activities(357)395
Effect of changes in exchange rate560 38
Net increase/(decrease) in cash, cash equivalents, and restricted cash412 (110)
Cash, cash equivalents, and restricted cash at beginning of period5,810 6,569
Cash, cash equivalents, and restricted cash at end of period6,222 6,459
Supplementary Information of Cash Flows
Interest71 124
Income taxes114 109
Non-Cash Transactions
Finance lease of property, plant and equipment0 279
Reconciliation of Cash, Cash Equivalents, and Restricted Cash
Cash4,470 4,743
Restricted term-deposits in non-current assets1,752 1,716
Total cash, cash equivalents, and restricted cash shown in Statement of Cash Flows $ 6,222 $ 6,459

ORGANIZATION AND BASIS OF PRESE

ORGANIZATION AND BASIS OF PRESENTATION6 Months Ended
Dec. 31, 2020
Organization, Consolidation and Presentation of Financial Statements [Abstract]
ORGANIZATION AND BASIS OF PRESENTATIONTrio-Tech International (“the Company”
or “TTI” hereafter) was incorporated in fiscal year 1958 under the laws of the State of California. TTI provides third-party
semiconductor testing and burn-in services primarily through its laboratories in Southeast Asia. In addition, TTI operates testing
facilities in the United States. The Company also designs, develops, manufactures and markets a broad range of equipment and systems
used in the manufacturing and testing of semiconductor devices and electronic components. In the second quarter of fiscal year 2021,
TTI conducted business in four business segments: Manufacturing, Testing Services, Distribution and Real Estate. TTI has subsidiaries
in the U.S., Singapore, Malaysia, Thailand, Indonesia and China as follows:
Ownership Location
Express Test Corporation (Dormant) 100% Van Nuys, California
Trio-Tech Reliability Services (Dormant) 100% Van Nuys, California
KTS Incorporated, dba Universal Systems (Dormant) 100% Van Nuys, California
European Electronic Test Centre (Dormant) 100% Dublin, Ireland
Trio-Tech International Pte. Ltd. 100% Singapore
Universal (Far East) Pte. Ltd. * 100% Singapore
Trio-Tech International (Thailand) Co. Ltd. * 100% Bangkok, Thailand
Trio-Tech (Bangkok) Co. Ltd. 100% Bangkok, Thailand
Trio-Tech (Malaysia) Sdn. Bhd. (55% owned by Trio-Tech International Pte. Ltd.) 55% Penang and Selangor, Malaysia
Trio-Tech (Kuala Lumpur) Sdn. Bhd. 55% Selangor, Malaysia
(100% owned by Trio-Tech Malaysia Sdn. Bhd.)
Prestal Enterprise Sdn. Bhd. 76% Selangor, Malaysia
(76% owned by Trio-Tech International Pte. Ltd.)
Trio-Tech (SIP) Co., Ltd. * 100% Suzhou, China
Trio-Tech (Chongqing) Co. Ltd. * 100% Chongqing, China
SHI International Pte. Ltd. (Dormant) (55% owned by Trio-Tech International Pte. Ltd) 55% Singapore
PT SHI Indonesia (Dormant) (100% owned by SHI International Pte. Ltd.)
55%
Batam, Indonesia
Trio-Tech (Tianjin) Co., Ltd. * 100% Tianjin, China * 100% owned by Trio-Tech International
Pte. Ltd. The accompanying un-audited condensed
consolidated financial statements have been prepared in accordance with United States Generally Accepted Accounting
Principles (“GAAP”) for interim financial information and with the instructions to Form 10-Q and Article 10 of
Regulation S-X. All significant inter-company accounts and transactions have been eliminated in consolidation. The unaudited
condensed consolidated financial statements are presented in U.S. dollars. The accompanying condensed consolidated financial
statements do not include all the information and footnotes required by GAAP for complete financial statements. In the
opinion of management, all adjustments (consisting of normal recurring adjustments) considered necessary for fair
presentation have been included. Operating results for the three months and six months ended December 31, 2020 are not
necessarily indicative of the results that may be expected for the fiscal year ending June 30, 2021. Certain accounting
matters that generally require consideration of forecasted financial information were assessed regarding impacts from the
COVID-19 pandemic as of December 31, 2020 and through the Quarterly Report dated February 11, 2021 using reasonably
available information as of those dates. Those accounting matters assessed included, but were not limited to, allowance for
doubtful accounts, the carrying value of long-lived tangible assets and the valuation allowances for tax assets. While the
assessments resulted in no material impacts to the consolidated financial statements as of and for the quarter ended December
31, 2020, the Company believes the full impact of the pandemic remains uncertain and the Company will continue to assess if
ongoing developments related to the pandemic may cause future material impacts to our consolidated financial statements. As
of December 31, 2020, the Company had cash and cash equivalents and short-terms deposits totalling $11,410 and unused lines
of credit of $6,187. We finance operations primarily through our existing cash balances, cash collected from operations, bank
borrowings and capital lease financing. We believe these sources are sufficient to fund our operations for the foreseeable
future. For further information, refer to the consolidated financial statements and footnotes thereto included in the
Company's annual report for the fiscal year ended June 30, 2020. The Company’s operating results are presented
based on the translation of foreign currencies using the respective quarter’s average exchange rate. Basis of Presentation and Summary of Significant
Accounting Policies Leases-Lessee Accounting Standards Codification ("ASC")
Topic 842 introduces new requirements to increase transparency and comparability among organizations for leasing transactions for
both lessees and lessors. It requires a lessee to record a right-of-use asset and a lease liability for all leases with terms longer
than 12 months. These leases will be either finance or operating, with classification affecting the pattern of expense recognition. The standard provided an alternative modified
retrospective transition method. Under this method, the cumulative effect adjustment to the opening balance of retained earnings
is recognized on the date of adoption (July 1, 2019). The Company adopted ASC 842 The Company applies the guidance in ASC 842
to individual leases of assets. When the Company receives substantially all the economic benefits from and directs the use of specified
property, plant and equipment, transactions give rise to leases. The Company’s classes of assets include real estate leases. Operating leases are included in operating lease
right-of-use ("ROU") assets, current portion and long-term portion of operating leases in our consolidated balance sheets.
ROU assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to
make lease payments arising from the lease. Finance leases are included in plant and equipment, current portion and long-term portion
of finance leases in our consolidated balance sheets. The Company has elected the practical expedient
within ASC 842 to not separate lease and non-lease components within lease transactions for all classes of assets. Additionally,
the Company has elected the short-term lease exception for all classes of assets, does not apply the recognition requirements for
leases of 12 months or less, and recognizes lease payments for short-term leases as expense either straight-line over the lease
term or as incurred depending on whether the lease payments are fixed or variable. These elections are applied consistently for
all leases. As part of applying the transition method, the
Company has elected to apply the package of transition practical expedients within the new guidance. As required by the new standard,
these expedients have been elected as a package and are consistently applied across the Company’s lease portfolio. Given
this election, the Company need not reassess:
● whether any expired or existing contracts are or contain leases;
● the lease classification for any expired or existing leases;
● treatment of initial direct costs relating to any existing leases. When discount rates implicit in leases cannot
be readily determined, the Company uses the applicable incremental borrowing rate at lease commencement to perform lease classification
tests on lease components and to measure lease liabilities and ROU assets. The incremental borrowing rate used by the Company was
based on baseline rates and adjusted by the credit spreads commensurate with the Company’s secured borrowing rate over a
similar term. At each reporting period when there is a new lease initiated, the rates established for that quarter will be used. In applying the alternative modified retrospective
transition method, the Company measured lease liabilities at the present value of the sum of remaining minimum rental payments
(as defined under ASC Topic 840). The present value of lease liabilities has been measured using the Company’s incremental
borrowing rates as of July 1, 2019 (the date of initial application). Additionally, ROU assets for these operating leases have
been measured as the initial measurement of application lease liabilities adjusted for reinstatement liabilities. Leases-Lessor For the Company as lessor, all our leases will
continue to be classified as operating leases under the new standard. We do not expect the new standard to have a material effect
on our financial statements and we do not expect a significant change in our leasing activities between now and adoption.

NEW ACCOUNTING PRONOUNCEMENTS

NEW ACCOUNTING PRONOUNCEMENTS6 Months Ended
Dec. 31, 2020
Accounting Standards Update and Change in Accounting Principle [Abstract]
NEW ACCOUNTING PRONOUNCEMENTSIn October 2020, FASB issued ASU2020-10: Codification
Improvements. In August 2020, the FASB issued ASU 2020-06:
Debt – Debt with Conversion and Other Options (Subtopic 470-20) and Derivative and Hedging – Contracts in Entity’s
Own Equity (Subtopic 815-40) In December 2019, FASB issued ASU 2019-12 ASC
Topic 740: Income Taxes: Simplifying Accounting for Income Taxes In March 2020, FASB issued ASU 2020-04 ASC Topic
848: Reference Rate Reform: Facilitation of the Effects of Reference Rate Reform on Financial Reporting In June 2016, FASB issued ASU 2016-13 ASC Topic
326: Financial Instruments — Credit Losses Other new pronouncements issued but not yet effective until after
December 31, 2020 are not expected to have a significant effect on the Company’s consolidated financial position or results
of operations.

TERM DEPOSITS

TERM DEPOSITS6 Months Ended
Dec. 31, 2020
Deposits [Abstract]
TERM DEPOSITSDec. 31, 2020 (Unaudited)
June 30, 2020
Short-term deposits $ 6,723 $ 7,028
Currency translation effect on short-term deposits 217 (190 )
Total short-term deposits 6,940 6,838
Restricted term deposits 1,664 1,712
Currency translation effect on restricted term deposits 88 (52 )
Total restricted term deposits 1,752 1,660
Total term deposits $ 8,692 $ 8,498 Restricted deposits represent the amount of
cash pledged to secure loans payable to financial institutions and serve as collateral for public utility agreements such as electricity
and water, and performance bonds related to customs duty payable. Restricted deposits are classified as non-current assets, as
they relate to long-term obligations and will become unrestricted only upon discharge of the obligations. Short-term deposits represent
bank deposits, which do not qualify as cash equivalents.

TRADE ACCOUNTS RECEIVABLE AND A

TRADE ACCOUNTS RECEIVABLE AND ALLOWANCE FOR DOUBTFUL ACCOUNTS6 Months Ended
Dec. 31, 2020
Accounts Receivable, after Allowance for Credit Loss [Abstract]
TRADE ACCOUNTS RECEIVABLE AND ALLOWANCE FOR DOUBTFUL ACCOUNTSAccounts receivable are customer obligations
due under normal trade terms. The Company performs continuing credit evaluations of its customers’ financial conditions,
and although management generally does not require collateral, letters of credit may be required from the customers in certain
circumstances. Senior management reviews accounts receivable
on a periodic basis to determine if any receivables will potentially be uncollectible. Management includes any accounts receivable
balances that are determined to be uncollectible in the allowance for doubtful accounts. After all reasonable attempts to collect
a receivable have failed, the receivable is written off against the allowance. Based on the information available, management
believed the allowance for doubtful accounts as of December 31, 2020 and June 30, 2020 was adequate. The following table represents the changes in the allowance for doubtful
accounts:
Dec. 31, 2020 (Unaudited)
June 30, 2020
Beginning $ 314 $ 263
Additions charged to expenses - 351
Recovered (15 ) (284 )
Write-off - (9 )
Currency translation effect 21 (7 )
Ending $ 320 $ 314

LOANS RECEIVABLE FROM PROPERTY

LOANS RECEIVABLE FROM PROPERTY DEVELOPMENT PROJECTS6 Months Ended
Dec. 31, 2020
Loans and Leases Receivable Disclosure [Abstract]
LOANS RECEIVABLE FROM PROPERTY DEVELOPMENT PROJECTSThe following table presents Trio-Tech (Chongqing)
Co. Ltd (“TTCQ”)’s loan receivable from property development projects in China as of December 31, 2020.
Loan Expiry Date
Loan Amount (RMB)
Loan Amount (U.S. Dollars)
Short-term loan receivables
JiangHuai (Project – Yu Jin Jiang An) May 31, 2013 2,000 307
Less: allowance for doubtful receivables (2,000 ) (307 )
Net loan receivables from property development projects - -
Long-term loan receivables
Jun Zhou Zhi Ye Oct 31, 2016 5,000 767
Less: transfer – down-payment for purchase of investment property (5,000 ) (767 )
Net loan receivables from property development projects - - The short-term loan receivables amounting
to renminbi (“RMB”) 2,000, or approximately $307 arose due to TTCQ entering into a Memorandum Agreement with JiangHuai
Property Development Co. Ltd. (“JiangHuai”) to invest in their property development projects (Project - Yu Jin Jiang
An) located in Chongqing City, China in fiscal 2011. Based on TTI’s financial policy, a provision for doubtful receivables
of $294 on the investment in JiangHuai was recorded during fiscal 2014. TTCQ did not generate other income from JiangHuai for
the quarter ended December 31, 2020 or for the fiscal year ended June 30, 2020. TTCQ is in the legal process of recovering the
outstanding amount of approximately $307. The loan amounting to RMB 5,000, or approximately
$767, arose due to TTCQ entering into a Memorandum Agreement with JiaSheng Property Development Co. Ltd. (“JiaSheng”)
to invest in their property development projects (Project B-48 Phase 2) located in Chongqing City, China in fiscal 2011. The amount
was unsecured and repayable at the end of the term. The book value of the loan receivable approximates its fair value. During fiscal
year 2015, the loan receivable was transferred to down payment for purchase of investment property that is being developed in the
Singapore Themed Resort Project (See Note 8).

INVENTORIES

INVENTORIES6 Months Ended
Dec. 31, 2020
Inventory Disclosure [Abstract]
INVENTORIESInventories consisted of the following:
Dec. 31, 2020 (Unaudited)
June 30, 2020
Raw materials $ 1,153 $ 1,281
Work in progress 1,304 968
Finished goods 282 422
Currency translation effect 96 (71 )
Less: provision for obsolete inventories (688 ) (678 )
$ 2,147 $ 1,922 The following table represents the changes in provision for obsolete
inventories:
Dec. 31, 2020 (Unaudited)
June 30, 2020
Beginning $ 678 $ 673
Additions charged to expenses 10 26
Usage – disposition (23 ) (8 )
Currency translation effect 23 (13 )
Ending $ 688 $ 678

INVESTMENT PROPERTIES

INVESTMENT PROPERTIES6 Months Ended
Dec. 31, 2020
Investments [Abstract]
INVESTMENT PROPERTIESThe following table presents the Company’s
investment in properties in China as of December 31, 2020. The exchange rate is based on the market rate as of December 31, 2020.
Investment Date / Reclassification Date
Investment Amount (RMB)
Investment Amount (U.S. Dollars
Purchase of rental property – Property I – MaoYe Property Jan 04, 2008 5,554 894
Currency translation - (87 )
Reclassification as “Assets held for sale” July 01, 2019 (5,554 ) (807 )
Reclassification from “Assets held for sale” Mar 31, 2020 2,024 301
2,024 301
Purchase of rental property – Property II - JiangHuai Jan 06, 2010 3,600 580
Purchase of rental property – Property III - Fu Li Apr 08, 2010 4,025 648
Currency translation - (50 )
Gross investment in rental property 9,649 1,479
Accumulated depreciation on rental property Sep 30, 2020 (6,799 ) (1,034 )
Reclassified as “Assets held for sale”- Mao Ye Property July 01, 2019 2,822 410
Reclassification from “Assets held for sale”- Mao Ye Property Mar 31, 2020 (1,029 ) (143 )
(5,006 ) (767 )
Net investment in property – China 4,643 712 The following table presents the Company’s
investment in properties in China as of June 30, 2020. The exchange rate is based on the market rate as of June 30, 2020.
Investment Date / Reclassification Date
Investment Amount (RMB)
Investment Amount (U.S. Dollars
Purchase of rental property – Property I – MaoYe Property Jan 04, 2008 5,554 894
Currency translation - (87 )
Reclassification as “Assets held for sale” July 01, 2019 (5,554 ) (807 )
Reclassification from “Assets held for sale” Mar 31, 2020 2,024 301
2,024 301
Purchase of rental property – Property II - JiangHuai Jan 06, 2010 3,600 580
Purchase of rental property – Property III - Fu Li Apr 08, 2010 4,025 648
Currency translation - (166 )
Gross investment in rental property 9,649 1,363
Accumulated depreciation on rental property June 30, 2020 (6,558 ) (940 )
Reclassified as “Assets held for sale”-Mao Ye Property July 01, 2019 2,822 410
Reclassification from “Assets held for sale”- Mao Ye Property Mar 31, 2020 (1,029 ) (143 )
(4,765 ) (673 )
Net investment in property – China 4,884 690 Rental Property I - Mao Ye Property In fiscal 2008, TTCQ purchased an office in
Chongqing, China from MaoYe Property Ltd. (“MaoYe”), for a total cash purchase price of RMB 5,554, or approximately
$894. Property purchased from MaoYe generated a rental
income of $nil and $3 during the three and six months ended December 31, 2020 as compared to $8 and $16 for the same periods, respectively,
in last fiscal year. Depreciation expense for MaoYe was $4 and $8
for the three and six months ended December 31, 2020 and 2019, respectively. Rental Property II - JiangHuai In fiscal year 2010, TTCQ purchased eight units
of commercial property in Chongqing, China from Chongqing JiangHuai Real Estate Development Co. Ltd. (“JiangHuai”)
for a total purchase price of RMB 3,600, or approximately $580. TTCQ has yet to receive the title deed for these properties. TTCQ
was in the legal process of obtaining the title deed until the developer encountered cash flow difficulties in recent years. Since
fiscal year 2018, JiangHuai has been under liquidation and is now undergoing asset distribution. Nonetheless, this is not expected
to affect the property’s market value but, in view of the COVID-19 pandemic and current economic situation, it is likely
to be more tedious and time-consuming for the Court in their execution of the sale. Property purchased from JiangHuai did not generate
any rental income for the three and six months ended December 31, 2020 and 2019. Depreciation expense for JiangHuai was $7 and
$13 for the three and six months ended December 31, 2020 as compared to $7 and $14 for the same period in last fiscal year. Rental Property III – FuLi In fiscal 2010, TTCQ entered into a Memorandum
Agreement with Chongqing FuLi Real Estate Development Co. Ltd. (“FuLi”) to purchase two commercial properties totaling
311.99 square meters (“office space”) located in Jiang Bei District Chongqing. The total purchase price committed and
paid was RMB 4,025, or approximately $648. The development was completed, the property was handed over to TTCQ in April 2013
and the title deed was received during the third quarter of fiscal 2014. One of the two commercial properties was leased
by TTCQ to a third party under a lease providing for a rent increase of 6% every year on May 1, commencing in 2019 until the rental
agreement expires on April 30, 2021. The agreement was terminated in April 2020 due to the current slow and cautious market rental
conditions. Management is still actively looking for a tenant for this property. For the other leased property, TTCQ renewed
the lease agreement to rent out the 161 square meter space at a monthly rate of RMB10, or approximately $1, from November 1, 2019
to October 31, 2020. Properties purchased from Fu Li generated a
rental income of $4 and $7 for the three and six months ended December 31, 2020 as compared to $8 and $17 for the same period in
the last fiscal year. Depreciation expense for Fu Li was $7 and $14
for the three and six months ended December 31, 2020 and 2019, respectively as compared to $6 and $12 for the same period in the
last fiscal year. Summary Total rental income for all investment properties
in China was $7 and $11 for the three and six months ended December 31, 2020 as compared to $16 and $33 for the same periods, respectively,
in the last fiscal year. Depreciation expenses for all investment properties
in China were $18 and $35 for the three and six months ended December 31, 2020, respectively, as compared to $17 and $34 same periods,
respectively, in the last fiscal year.

OTHER ASSETS

OTHER ASSETS6 Months Ended
Dec. 31, 2020
Other Assets [Abstract]
OTHER ASSETSOther assets consisted of the following:
Dec. 31, 2020 (Unaudited)
June 30, 2020
Down payment for purchase of investment properties * $ 1,645 $ 1,645
Down payment for purchase of property, plant and equipment 144 8
Deposits for rental and utilities 122 171
Currency translation effect (80 ) (215 )
Total $ 1,831 $ 1,609 * Down payment for purchase of
investment properties included:
RMB US Dollars
Original Investment (10% of Jun Zhou equity) 10,000 1,606
Less: Management Fee (5,000 ) (803 )
Net Investment 5,000 803
Less: Share of Loss on Joint Venture (137 ) (22 )
Net Investment as Down Payment(Note *a) 4,863 781
Loans Receivable 5,000 814
Interest Receivable 1,250 200
Less: Impairment of Interest (906 ) (150 )
Transferred to Down Payment(Note *b) 5,344 864
10,207 1,645 * Down Payment for Purchase of Investment
Properties a) On December 2, 2010, the Company signed a
Joint Venture agreement (“agreement”) with Jia Sheng Property Development Co. Ltd. (“Developer”) to form
a new company, Jun Zhou Co., Limited (“Joint Venture” or “Jun Zhou”) to joint develop the “Singapore
Themed Park” project (the “project”), where the Company paid RMB 10 million for the 10% investment in the joint
venture. The Developer paid the Company a management fee of RMB5 million in cash upon signing of the agreement with a remaining
fee of RMB5 million payable upon fulfilment of certain conditions in accordance with the agreement. The Company further reduced
its investment by RMB 137, or approximately $22, towards the losses from operations incurred by the joint venture. On October 2, 2013, the Company disposed of
its entire 10% interest in the joint venture. The Company recognized the disposal of its 10% investment in Jun Zhou based on the
recorded net book value of RMB5 million or equivalent to US $803K, from net considerations paid, in accordance with US GAAP under
ASC Topic 845 Non-monetary Consideration b) Amounts of RMB 5,000, or approximately $767,
as disclosed in Note 5, plus the interest receivable on long term loan receivable of RMB 1,250, or approximately $200, and impairment
on interest of RMB 906, or approximately $150. The shop lots are to be delivered to TTCQ upon
completion of the construction of the shop lots in Singapore Themed Resort Project. The initial targeted date of completion was
December 31, 2016. Based on discussion with the developers, the completion date is currently estimated to be December 31, 2022.
The delay was primarily due to the time needed by the developers to work with various parties to inject sufficient funds into this
project.

LINES OF CREDIT

LINES OF CREDIT6 Months Ended
Dec. 31, 2020
Line of Credit Facility [Abstract]
LINES OF CREDITCarrying value of the Company’s lines
of credit approximates its fair value because the interest rates associated with the lines of credit are adjustable in accordance
with market situations when the Company borrowed funds with similar terms and remaining maturities. The Company’s credit rating provides it
with readily and adequate access to funds in global markets. As of December 31, 2020, the Company had certain
lines of credit that are collateralized by restricted deposits.
Entity with Type of Interest Expiration Credit Unused
Facility Facility Rate Date Limitation Credit
Trio-Tech International Pte. Ltd., Singapore Lines of Credit
Ranging from 1.85% to 5.5%, SIBOR rate +1.25% and LIBOR rate +1.30% - $ 5,438 $ 5,438
Trio-Tech International Pte. Ltd., Singapore Lines of Credit Ranging from 1.85% to 5.5% - $ 378 $ 378
Trio-Tech Malaysia Sdn. Bhd. Revolving Credit Cost of Funds Rate +2% - $ 371 $ 371 As of June 30, 2020, the Company had certain lines of credit that
are collateralized by restricted deposits.
Entity with Type of Interest Expiration Credit Unused
Facility Facility Rate Date Limitation Credit
T
Ranging from 1.85% to 5.5%, SIBOR rate +1.25%
and LIBOR rate +1.30% - $ 4,806 $ 4,806
Universal (Far East) Pte. Ltd. Lines of Credit Ranging from 1.85% to 5.5% - $ 359 $ 187
Trio-Tech Malaysia Sdn. Bhd. Revolving Credit Cost of Funds Rate +2% - $ 350 $ 350

ACCRUED EXPENSES

ACCRUED EXPENSES6 Months Ended
Dec. 31, 2020
Payables and Accruals [Abstract]
ACCRUED EXPENSESAccrued expenses consisted of the following:
Dec. 30, 2020 (Unaudited)
June 30, 2020
Payroll and related costs $ 1,118 $ 1,185
Commissions 84 104
Customer deposits 43 30
Legal and audit 230 315
Sales tax 13 19
Utilities 84 80
Warranty 11 12
Accrued purchase of materials and property, plant and equipment 727 186
Provision for re-instatement 376 300
Deferred income 85 88
Contract liabilities 579 476
Other accrued expenses 141 287
Currency translation effect (96 ) (77 )
Total $ 3,395 $ 3,005

WARRANTY ACCRUAL

WARRANTY ACCRUAL6 Months Ended
Dec. 31, 2020
Warranty Accrual
WARRANTY ACCRUALThe Company provides for the estimated costs
that may be incurred under its warranty program at the time the sale is recorded. The warranty period of the products
manufactured by the Company is generally one year or the warranty period agreed with the customer. The Company estimates
the warranty costs based on the historical rates of warranty returns. The Company periodically assesses the adequacy of its
recorded warranty liability and adjusts the amounts as necessary.
Dec. 30, 2020 (Unaudited)
June 30, 2020
Beginning $ 12 $ 39
Additions charged to cost and expenses 1 1
Reversal (2 ) (27 )
Currency translation effect - (1 )
Ending $ 11 $ 12

BANK LOANS PAYABLE

BANK LOANS PAYABLE6 Months Ended
Dec. 31, 2020
Loans Payable [Abstract]
BANK LOANS PAYABLEBank loans payable consisted of the following:
Dec. 31, 2020 (Unaudited) June 30, 2020
Note payable denominated in RM for expansion plans in Malaysia, maturing in August 2028, bearing interest at the bank’s prime rate less 2.00% (3.85% at December 31, 2020 and June 30, 2020, respectively) per annum, with monthly payments of principal plus interest through August 2028, collateralized by the acquired building with a carrying value of $2,982 and $2,543, as at December 31, 2020 and June 30, 2020, respectively. $ 2,015 $ 2,295
Financing arrangement at fixed interest rate 3.2% per annum, with monthly payments of principal plus interest through July 2025. 190 -
Total bank loans payable $ 2,205 $ 2,295
Current portion of bank loans payable $ 418 $ 384
Currency translation effect on current portion of bank loans 25 (14 )
Current portion of bank loans payable 443 370
Long-term portion of bank loans payable 1,787 1,911
Currency translation effect on long-term portion of bank loans 112 (75 )
Long-term portion of bank loans payable $ 1,899 $ 1,836 Future minimum payments (excluding interest) as at December 31, 2020
were as follows:
Remainder of fiscal 2021 $ 443
2022 460
2023 478
2024 341
2025 197
Thereafter 423
Total obligations and commitments $ 2,342 Future minimum payments (excluding interest) as at June 30, 2020
were as follows:
2021 $ 370
2022 384
2023 400
2024 403
2025 158
Thereafter 491
Total obligations and commitments $ 2,206

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES6 Months Ended
Dec. 31, 2020
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS AND CONTINGENCIESThe Company had capital commitments in
China for the purchase of equipment and other related infrastructure costs amounting to RMB 1,856, or approximately $277 as
at December 31, 2020, as compared to no capital commitment as at June 30, 2020. Deposits with banks in China are not insured
by the local government or agency, and are consequently exposed to risk of loss. The Company believes the probability of a bank
failure, causing loss to the Company, is remote. The Company is, from time to time, the subject
of litigation claims and assessments arising out of matters occurring in its normal business operations. In the opinion of management,
resolution of these matters will not have a material adverse effect on the Company’s financial statements.

BUSINESS SEGMENTS

BUSINESS SEGMENTS6 Months Ended
Dec. 31, 2020
Segment Reporting [Abstract]
BUSINESS SEGMENTSThe Company generates revenue primarily from
3 different segments: Manufacturing, Testing and Distribution. The Company accounts for a contract with a customer when there is
approval and commitment from both parties, the rights of the parties are identified, payment terms are identified, the contract
has commercial substance and collectability of consideration is probable. The Company’s revenues are measured based on consideration
stipulated in the arrangement with each customer, net of any sales incentives and amounts collected on behalf of third parties,
such as sales taxes. The revenues are recognized as separate performance obligations that are satisfied by transferring control
of the product or service to the customer. The revenue allocated to individual countries
was based on where the customers were located. The allocation of the cost of equipment, the current year investment in new equipment
and depreciation expense have been made based on the primary purpose for which the equipment was acquired. Significant Judgments The Company’s arrangements with its customers
include various combinations of products and services, which are generally capable of being distinct and accounted for as separate
performance obligations. A product or service is considered distinct if it is separately identifiable from other deliverables in
the arrangement and if a customer can benefit from it on its own or with other resources that are readily available to the customer. The Company allocates the transaction price
to each performance obligation on a relative standalone selling price basis (“SSP”). Determining the SSP for each distinct
performance obligation and allocation of consideration from an arrangement to the individual performance obligations and the appropriate
timing of revenue recognition are significant judgments with respect to these arrangements. The Company typically establishes the
SSP based on observable prices of products or services sold separately in comparable circumstances to similar clients. The Company
may estimate SSP by considering internal costs, profit objectives and pricing practices in certain circumstances. Warranties, discounts and allowances are estimated
using historical and recent data trends. The Company includes estimates in the transaction price only to the extent that a significant
reversal of revenue is not probable in subsequent periods. The Company’s products and services are generally not sold with
a right of return, nor has the Company experienced significant returns from or refunds to its customers. Manufacturing The Company primarily derives revenue from the
sale of both front-end and back-end semiconductor test equipment and related peripherals, maintenance and support of all these
products, installation and training services and the sale of spare parts. The Company’s revenues are measured based on consideration
stipulated in the arrangement with each customer, net of any sales incentives and amounts collected on behalf of third parties,
such as sales taxes. The Company recognizes revenue at a point in
time when the Company has satisfied its performance obligation by transferring control of the product to the customer. The Company
uses judgment to evaluate whether the control has transferred by considering several indicators, including:
● whether the Company has a present right to payment;
● the customer has legal title;
● the customer has physical possession;
● the customer has significant risk and rewards of ownership; and
● the customer has accepted the product, or whether customer acceptance is considered a formality based on history of acceptance of similar products (for example, when the customer has previously accepted the same equipment, with the same specifications, and when we can objectively demonstrate that the tool meets all the required acceptance criteria, and when the installation of the system is deemed perfunctory). Not all indicators need to be met for the Company
to conclude that control has transferred to the customer. In circumstances in which revenue is recognized prior to the product
acceptance, the portion of revenue associated with its performance obligations of product installation and training services are
deferred and recognized upon acceptance. The majority of sales under the Manufacturing
segment include a standard 12-month warranty. The Company has concluded that the warranty provided for standard products are assurance
type warranties and are not separate performance obligations. Warranty provided for customized products are service warranties
and are separate performance obligations. Transaction prices are allocated to this performance obligation using cost plus method.
The portion of revenue associated with warranty service is deferred and recognized as revenue over the warranty period, as the
customer simultaneously receives and consumes the benefits of warranty services provided by the Company. Testing The Company renders testing services to manufacturers
and purchasers of semiconductors and other entities who either lack testing capabilities or whose in-house screening facilities
are insufficient. The Company primarily derives testing revenue from burn-in services, manpower supply and other associated services.
SSP is directly observable from the sales orders. Revenue is allocated to performance obligations satisfied at a point in time
depending upon terms of the sales order. Generally, there is no other performance obligation other than what has been stated inside
the sales order for each of these sales. Terms of contract that may indicate potential
variable consideration include warranty, late delivery penalty and reimbursement to solve non-conformance issues for rejected products.
Based on historical and recent data trends, it is concluded that these terms of the contract do not represent potential variable
consideration. The transaction price is not contingent on the occurrence of any future event. Distribution The Company distributes complementary products,
particularly equipment, industrial products and components by manufacturers mainly from the U.S., Europe, Taiwan and Japan. The
Company recognizes revenue from product sales at a point in time when the Company has satisfied its performance obligation by transferring
control of the product to the customer. The Company uses judgment to evaluate whether control has transferred by considering several
indicators discussed above. The Company recognizes the revenue at a point in time, generally upon shipment or delivery of the products
to the customer or distributors, depending upon terms of the sales order. All inter-segment revenue was from the manufacturing
segment to the testing and distribution segments. Total inter-segment revenue was $375 for the three months ended December 31,
2020, as compared to $36 for the same period in the last fiscal year. Corporate assets mainly consisted of cash and prepaid
expenses. Corporate expenses mainly consisted of stock option expenses, salaries, insurance, professional expenses and directors'
fees. Corporate expenses are allocated to the four segments. The following segment information table includes segment operating
income or loss after including the corporate expenses allocated to the segments, which gets eliminated in the consolidation. The following segment information is un-audited for the six months
ended December 31, 2020 and December 31, 2019: Business Segment Information:
Six Months Ended Dec. 31,
Net Revenue
Operating Income / (Loss)
Total Assets
Depr. and Amort.
Capital Expenditures
Manufacturing 2020 $ 6,194 $ 63 $ 11,739 $ 212 $ 154
2019 $ 6,362 $ (99 ) $ 10,542 $ 196 $ 35
Testing Services 2020 6,514 (673 ) 21,900 1,222 63
2019 8,277 (93 ) 23,314 1,344 709
Distribution 2020 2,323 244 802 - -
2019 4,113 392 802 2 -
Real Estate 2020 11 (61 ) 3,846 35 -
2019 33 (52 ) 3,650 34 -
Fabrication 2020 - - - - -
Services * 2019 - - 27 - -
Corporate & 2020 - 63 76 - -
Unallocated 2019 - (99 ) 120 - -
Total Company 2020 $ 15,042 $ (364 ) $ 38,363 $ 1,469 $ 217
2019 $ 18,785 $ 49 $ 38,455 $ 1,576 $ 744 The following segment information is unaudited for the three months
ended December 31, 2020 and December 31, 2019: Business Segment Information:
Three Months Ended Dec. 31,
Net Revenue
Operating Income / (Loss)
Total Assets
Depr. and Amort.
Capital Expenditures
Manufacturing 2020 $ 3,569 $ 81 $ 11,739 $ 110 $ 87
2019 $ 3,045 $ (87 ) $ 10,542 $ 149 $ 16
Testing Services 2020 3,560 (336 ) 21,900 636 41
2019 3,887 (161 ) 23,314 751 189
Distribution 2020 1,065 120 802 - -
2019 2,014 188 802 1 -
Real Estate 2020 7 (34 ) 3,846 20 -
2019 16 (35 ) 3,650 17 -
Fabrication 2020 - - - - -
Services * 2019 - - 27 - -
Corporate & 2020 - 132 76 - -
Unallocated 2019 - (78 ) 120 - -
Total Company 2020 $ 8,201 $ (37 ) $ 38,363 $ 766 $ 128
2019 $ 8,962 $ (173 ) $ 38,455 $ 918 $ 205 * Fabrication services is a discontinued operation.

OTHER INCOME

OTHER INCOME6 Months Ended
Dec. 31, 2020
Other Income and Expenses [Abstract]
OTHER INCOMEOther income consisted of the following:
Three Months Ended Six Months Ended
Dec. 31, Dec. 31, Dec. 31, Dec. 31,
2020 2019 2020 2019
Unaudited Unaudited Unaudited Unaudited
Interest income $ 30 $ 52 $ 70 $ 84
Other rental income 24 30 45 60
Exchange loss (93 ) (66 ) (137 ) (61 )
Bad debt recovery - - - 11
Dividend income 30 - 32 -
Government grant 106 - 260 -
Other miscellaneous income 46 24 84 56
Total $ 143 $ 40 $ 354 $ 150 The Company received financial assistance in
the form of government grants from the Singapore and Malaysia governments amid the COVID-19 pandemic. The grants amounted to $101
and $243 for the three and six months ended December 31, 2020, respectively.

INCOME TAX

INCOME TAX6 Months Ended
Dec. 31, 2020
Income Tax Disclosure [Abstract]
INCOME TAXThe Company is subject to income taxes in the
U.S. and numerous foreign jurisdictions. Significant judgment is required in determining the provision for income taxes and income
tax assets and liabilities, including evaluating uncertainties in the application of accounting principles and complex tax laws.
The statute of limitations, in general, is open for years 2014 to 2020 for tax authorities in those jurisdictions to audit or examine
income tax returns. The Company is under annual review by the tax authorities of the respective jurisdiction to which the subsidiaries
belong. The Tax Cuts and Jobs Act (the “Tax Act”)
was enacted on December 22, 2017, and reduced the U.S. federal corporate tax rate from 35% to 21%, eliminated corporate Alternative
Minimum Tax, modified rules for expensing capital investment, and limited the deduction of interest expense for certain companies.
The Act is a fundamental change to the taxation of multinational companies, including a shift from a system of worldwide taxation
with some deferral elements to a territorial system, current taxation of certain foreign income, a minimum tax on low tax foreign
earnings, and new measures to curtail base erosion and promote U.S. production. Due to the enactment of the Tax Act, the Company
is subject to a tax on global intangible low-taxed income (“GILTI”). GILTI is a tax on foreign income in
excess of a deemed return on tangible assets of foreign corporations. Companies subject to GILTI have the option to account for
the GILTI tax as a period cost if and when incurred, or to recognize deferred taxes for temporary differences including outside
basis differences expected to reverse as GILTI. The Company has elected to account for GILTI as a period cost. GILTI expense was
$nil for the period ended December 31, 2020. The Company's income tax expense was $nil
and $7 for the 3 months and 6 months ended December 31, 2020, respectively as compared to $120 for both 3 months and 6 months
ended December 31, 2019. Our effective tax rate (“ETR”) from continuing operations was 0% and 12% for the
quarters ended December 31, 2020 and December 31, 2019, respectively. The quarterly ETR is significantly different due to
there was a capital gain tax of $94 arising from the sale of an asset held for sale during the three months ended December
31, 2019. The Company accrues penalties and interest related
to unrecognized tax benefits when necessary as a component of penalties and interest expenses, respectively. The Company had
no unrecognized tax benefits or related accrued penalties or interest expenses at December 31, 2020. In assessing the ability to realize the deferred
tax assets, management considers whether it is more likely than not that some portion or all of the deferred tax assets will not
be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income during the
periods in which those temporary differences become deductible. Management considers the scheduled reversal of deferred tax liabilities,
projected future taxable income, and tax planning strategies in making this assessment. Based on these criteria, management believes
it is more likely than not the Company will not realize the benefits of the federal, state, and foreign deductible differences.
Accordingly, a full valuation allowance has been established.

CONTRACT BALANCES

CONTRACT BALANCES6 Months Ended
Dec. 31, 2020
Contract with Customer, Contract Asset, Contract Liability, and Receivable [Abstract]
CONTRACT BALANCESThe timing of revenue recognition, billings
and collections may result in billed accounts receivable, unbilled receivables (contract assets), and customer advances and deposits
(contract liabilities). The Company’s payment terms and conditions vary by contract type, although terms generally include
a requirement of payment of 70% to 90% of total contract consideration within 30 to 60 days of shipment with the remainder payable
within 30 days of acceptance. In instances where the timing of revenue recognition differs from the timing of invoicing, the Company
has determined that its contracts generally do not include a significant financing component. C The following table is the reconciliation of contract balances.
Dec. 31, 2020 (Unaudited) June 30, 2020
Trade Accounts Receivable 7,581 5,951
Accounts Payable 3,103 2,590
Contract Assets 360 216
Contract Liabilities 579 476 Remaining Performance Obligation As at December 31, 2020, the Company had $696
of remaining performance obligations, which represents our obligation to deliver products and services. Given the profile of contract
terms, approximately 66.7 percent of this amount is expected to be recognized as revenue over the next two years, with the remaining
of the amount expected to be recognized between three and five years. Refer to note 14 “Business Segments”
of the Notes to Condensed Consolidated Financial Statements for information related to revenue.

EARNINGS PER SHARE

EARNINGS PER SHARE6 Months Ended
Dec. 31, 2020
Earnings Per Share [Abstract]
EARNINGS PER SHAREThe Company adopted ASC Topic 260, Earnings
Per Share. Options to purchase 724,500 shares of Common
Stock at exercise prices ranging from $2.53 to $5.98 per share were outstanding as of December 31, 2020. 212,500 stock options
were excluded in the computation of diluted EPS for the three months ended December 31, 2020 because they were anti-dilutive. Options to purchase 623,500 shares of
Common Stock at exercise prices ranging from $2.69 to $5.98 per share were outstanding as of December 31, 2019. 188,125 stock
options were excluded in the computation of diluted EPS for three months ended December 31, 2019, because they were antidilutive. The following table is a reconciliation of the
weighted average shares used in the computation of basic and diluted EPS for the period presented herein:
Three Months Ended Six Months Ended
Dec. 31, Dec. 31, Dec.31 Dec. 31,
2020 2019 2020 2019
(Unaudited) (Unaudited) (Unaudited) (Unaudited)
Income attributable to Trio-Tech International common shareholders from continuing operations, net of tax $ 246 $ 425 $ 241 $ 699
Income / (loss) attributable to Trio-Tech International common shareholders from discontinued operations, net of tax (11 ) 1 (14 ) -
Net income attributable to Trio-Tech International Common Shareholders $ 235 $ 426 $ 227 $ 699
Weighted average number of common shares outstanding - basic 3,710 3,673 3,710 3,673
Dilutive effect of stock options 90 52 83 33
Number of shares used to compute earnings per share - diluted 3,800 3,725 3,793 3,706
Basic earnings per share from continuing operations attributable to Trio-Tech International $ 0.06 0.12 0.06 0.19
Basic earnings per share from discontinued operations attributable to Trio-Tech International - - - -
Basic earnings per share from net income attributable to Trio-Tech International $ 0.06 $ 0.12 $ 0.06 $ 0.19
Diluted earnings per share from continuing operations attributable to Trio-Tech International $ 0.06 0.11 0.06 0.19
Diluted earnings per share from discontinued operations attributable to Trio-Tech International - - - -
Diluted earnings per share from net income attributable to Trio-Tech International $ 0.06 $ 0.11 $ 0.06 $ 0.19

STOCK OPTIONS

STOCK OPTIONS6 Months Ended
Dec. 31, 2020
Share-based Payment Arrangement [Abstract]
STOCK OPTIONSOn September 24, 2007, the Company’s Board
of Directors unanimously adopted the 2007 Employee Stock Option Plan (the “2007 Employee Plan”) and the 2007 Directors
Equity Incentive Plan (the “2007 Directors Plan”), each of which was approved by the shareholders on December 3, 2007.
Each of those plans was amended during the term of such plan to increase the number of shares covered thereby. As of the last amendment
thereof, the 2007 Employee Plan covered an aggregate of 600,000 shares of the Company’s Common Stock and the 2007 Directors
Plan covered an aggregate of 500,000 shares of the Company’s Common Stock. Each of those plans terminated by its respective
terms on September 24, 2017. These two plans were administered by the Board, which also established the terms of the awards. On September 14, 2017, the Company’s Board
of Directors unanimously adopted the 2017 Employee Stock Option Plan (the “2017 Employee Plan”) and the 2017 Directors
Equity Incentive Plan (the “2017 Directors Plan”), each of which was approved by the shareholders on December 4, 2017.
Each of these plans is administered by the Board of Directors of the Company. Assumptions The fair value for the options granted were
estimated using the Black-Scholes option pricing model with the following weighted average assumptions, assuming no expected dividends:
Six Months
Ended December 31,
2020 2019
Expected volatility 45.38%
to 76.85% 45.38%
to 97.48%
Risk-free interest rate 0.14%
to 2.35% 0.30%
to 2.35%
Expected life (years) 0.25 - 4.51 2.5 - 3.25 The expected volatilities are based on the historical
volatility of the Company’s stock. Due to lower volatility, the observation is made on a daily basis for the three months
ended December 31, 2020. The observation period covered is consistent with the expected life of options. The expected life of the
options granted to employees has been determined utilizing the “simplified” method as prescribed by ASC Topic 718 Stock
Based Compensation 2017 Employee Stock Option Plan The Company’s 2017 Employee Plan permits
the grant of stock options to its employees covering up to an aggregate of 300,000 shares of Common Stock. Under the 2017 Employee
Plan, all options must be granted with an exercise price of not less than fair value as of the grant date and the options granted
must be exercisable within a maximum of ten years after the date of grant, or such lesser period of time as is set forth in the
stock option agreements. The options may be exercisable (a) immediately as of the effective date of the stock option agreement
granting the option, or (b) in accordance with a schedule related to the date of the grant of the option, the date of first employment,
or such other date as may be set by the Compensation Committee. Generally, options granted under the 2017 Employee Plan are exercisable
within five years after the date of grant, and vest over the period as follows: 25% vesting on the grant date and the remaining
balance vesting in equal installments on the next three succeeding anniversaries of the grant date. The share-based compensation
will be recognized in terms of the grade method on a straight-line basis for each separately vesting portion of the award. Certain
option awards provide for accelerated vesting if there is a change in control (as defined in the 2017 Employee Plan). During the first two quarters of fiscal year
2021, there were stock options granted under the 2017 Employee Plan covering a total of 11,000 shares of Common Stock. There were
no stock options exercised during the six month period ended December 31, 2020. The Company recognized $15 stock-based compensation
expenses during the six months ended December 31, 2020. During the first two quarters of fiscal year
2020, the Company did not grant any options pursuant to the 2017 Employee Plan. There were no stock options exercised during the
six-month period ended December 31, 2019. The Company recognized $14 stock-based compensation expenses during the six months ended
December 31, 2019. As of December 31, 2020, there were vested stock
options granted under the 2017 Employee Plan covering a total of 104,750 shares of Common Stock. The weighted-average exercise
price was $4.40 and the weighted average remaining contractual term was 2.96 years. As of December 31, 2019, there were vested stock
options granted under the 2017 Employee Plan covering a total of 53,000 shares of Common Stock. The weighted-average exercise price
was $4.88 and the weighted average remaining contractual term was 3.63 years. A summary of option activities under the 2017
Employee Plan during the six months period ended December 31, 2020 is presented as follows:
Options
Weighted Average Exercise Price
Weighted Average Remaining Contractual Term (Years)
Aggregate Intrinsic Value
Outstanding at July 1, 2020 196,000 $ 3.92 3.72 $ 36.00
Granted 11,000 3.73 - -
Exercised - - - -
Forfeited or expired - - - -
Outstanding at December 31, 2020 207,000 $ 3.91 3.31 $ 132.49
Exercisable at December 31, 2020 104,750 $ 4.40 2.96 $ 45.00 A summary of the status of the Company’s non-vested employee
stock options during the six months ended December 31, 2020 is presented below:
Options
Weighted Average Grant-Date Fair Value
Non-vested at July 1, 2020 98,000 $ 3.39
Granted 11,000 -
Vested (6,750 ) -
Forfeited - -
Non-vested at December 31, 2020 102,250 $ 3.40 A summary of option activities under the 2017
Employee Plan during the six months period ended December 31, 2019 is presented as follows:
Options
Weighted Average Exercise Price
Weighted Average Remaining Contractual Term (Years)
Aggregate Intrinsic Value
Outstanding at July 1, 2019 136,000 $ 4.53 4.28 $ -
Granted - - - -
Exercised - - - -
Forfeited or expired - - - -
Outstanding at December 31, 2019 136,000 $ 4.53 3.77 $ 46.44
Exercisable at December 31, 2019 53,000 $ 4.88 3.63 $ 12.57 A summary of the status of the Company’s non-vested employee
stock options during the six months ended December 31, 2019 is presented below:
Options
Weighted Average Grant-Date Fair Value
Non-vested at July 1, 2019 87,000 $ 4.28
Granted - -
Vested (4,000 ) -
Forfeited - -
Non-vested at December 31, 2019 83,000 $ 4.30 2007 Employee Stock Option Plan The 2007 Employee Plan terminated by its terms
on September 24, 2017 and no further options may be granted thereunder. However, the options outstanding thereunder continue to
remain outstanding and in effect in accordance with their terms. The 2007 Employee Plan permitted the issuance of options to employees. As the 2007 Plan has terminated, the Company
did not grant any options pursuant to the 2007 Employee Plan during the six months ended December 31, 2020 and December 31, 2019
respectively. There were no options exercised during the six
months ended December 31, 2020 and December 31, 2019. The Company did not recognize any stock-based compensation expenses during
the six months ended December 31, 2020 and December 31, 2019. As of December 31, 2020, there were vested stock
options granted under the 2007 Employee Plan covering a total of 77,500 shares of Common Stock. The weighted-average exercise price
was $3.69 and the weighted average remaining contractual term was 0.71 years. As of December 31, 2019, there were vested stock
options granted under the 2007 Employee Plan covering a total of 68,125 shares of Common Stock. The weighted-average exercise price
was $3.62 and the weighted average remaining contractual term was 1.64 years. A summary of option activities under the 2007
Employee Plan during the six months ended December 31, 2020 is presented as follows:
Options
Weighted Average Exercise Price
Weighted Average Remaining Contractual Term (Years)
Aggregate Intrinsic Value
Outstanding at July 1, 2020 77,500 $ 3.69 1.22 $ -
Granted - - - -
Exercised - - - -
Forfeited or expired - - - -
Outstanding at December 31, 2020 77,500 $ 3.69 0.71 $ 28.00
Exercisable at December 31, 2020 77,500 $ 3.69 0.71 $ 28.00 There were no non-vested employee stock options
during the six months ended December 31, 2020. A summary of option activities under the 2007
Employee Plan during the six months ended December 31, 2019 is presented as follows:
Options
Weighted Average Exercise Price
Weighted Average Remaining Contractual Term (Years)
Aggregate Intrinsic Value
Outstanding at July 1, 2019 77,500 $ 3.69 2.22 $ -
Granted - - - -
Exercised - - - -
Forfeited or expired - - - -
Outstanding at December 31, 2019 77,500 3.69 1.71 $ 29.20
Exercisable at December 31, 2019 68,125 $ 3.62 1.64 $ 29.20 A summary of the status of the Company’s non-vested employee
stock options under the 2007 Employee Plan during the six months ended December 31, 2019 is presented below:
Options
Weighted Average Grant-Date Fair Value
Non-vested at July 1, 2019 9,375 $ 4.14
Granted - -
Vested - -
Forfeited - -
Non-vested at December 31, 2019 9,375 $ 4.14 2017 Directors Equity Incentive Plan The 2017 Directors Plan initially covered an
aggregate of 300,000 shares of the Company’s common stock. The Company’s board of directors approved an amendment to
the 2017 Directors Plan in September 2020 to increase the shares covered thereby from 300,000 shares to an aggregate of 600,000
shares, which amendment was approved by the Company’s shareholders at the annual meeting held in December 2020. The 2017
Directors Plan permits the grant of options to its directors in the form of non-qualified options and restricted stock. The exercise
price of the non-qualified options is required to be 100% of the fair value of the underlying shares on the grant date. The options
have five-year contractual terms and are exercisable immediately as of the grant date. During the first two quarters of fiscal year
2021, the Company did not grant any options pursuant to the 2017 Directors Plan. There were no stock options exercised during the
six months ended December 31, 2020. The Company did not recognize any stock-based compensation expenses during the six months ended
December 31, 2020. During the first two quarters of fiscal year
2020, the Company did not grant any options pursuant to the 2017 Directors Plan. There were no stock options exercised during the
six months ended December 31, 2019. The Company did not recognize any stock-based compensation expenses during the six months ended
December 31, 2019. As all the stock options granted under the 2017
Directors Plan vest immediately on the date of grant, there were no unvested stock options granted under the 2017 Directors Plan
as of December 31, 2020 or December 31, 2019. As of December 31, 2020, there were vested stock
options granted under the 2017 Directors Plan covering a total of 240,000 shares of Common Stock. The weighted-average exercise
price was $3.93 and the weighted average remaining contractual term was 3.24 years. As of December 31, 2019, there were vested stock
options granted under the 2017 Directors Plan covering a total of 160,000 shares of Common Stock. The weighted-average exercise
price was $4.63 and the weighted average remaining contractual term was 3.75 years. A summary of option activities under the 2017
Directors Plan during the six months ended December 31, 2020 is presented as follows:
Options
Weighted Average Exercise Price
Weighted Average Remaining Contractual Term (Years)
Aggregate Intrinsic Value
Outstanding at July 1, 2020 240,000 $ 3.93 3.75 $ 48.00
Granted - - - -
Exercised - - - -
Forfeited or expired - - - -
Outstanding at December 31, 2020 240,000 $ 3.93 3.24 $ 168.80
Exercisable at December 31, 2020 240,000 $ 3.93 3.24 $ 168.80 A summary of option activities under the 2017
Directors Plan during the six months ended December 31, 2019 is presented as follows:
Options
Weighted Average Exercise Price
Weighted Average Remaining Contractual Term (Years)
Aggregate Intrinsic Value
Outstanding at July 1, 2019 160,000 $ 4.63 4.25 $ -
Granted - - - -
Exercised - - - -
Forfeited or expired - - - -
Outstanding at December 31, 2019 160,000 $ 4.63 3.75 $ 56.80
Exercisable at December 31, 2019 160,000 $ 4.63 3.75 $ 56.80 2007 Directors Equity Incentive Plan The 2007 Directors Plan terminated by its terms
on September 24, 2017 and no further options may be granted thereunder. However, the options outstanding thereunder continue to
remain outstanding and in effect in accordance with their terms. The 2007 Directors Plan permitted the issuance of options to directors. As the 2007 Plan has terminated, the Company
did not grant any options pursuant to the 2007 Directors Plan during the six months ended December 31, 2020 and December 31, 2019. 50,000 shares of stock options were exercised
during the six months ended December 31, 2020. The Company did not recognize any stock-based compensation expenses during the six
months ended December 31, 2020. There were no stock options exercised during
the six months ended December 31, 2019. The Company did not recognize any stock-based compensation expenses during the six months
ended December 31, 2019. As of December 31, 2020, there were vested stock
options granted under the 2007 Directors Plan covering a total of 200,000 shares of Common Stock. The weighted-average exercise
price was $3.48 and the weighted average remaining contractual term was 0.47 years. As of December 31, 2019, there were vested stock
options granted under the 2007 Directors Plan covering a total of 250,000 shares of Common Stock. The weighted-average exercise
price was $3.32 and the weighted average remaining contractual term was 1.33 years. A summary of option activities under the 2007
Directors Plan during the six months ended December 31, 2020 is presented as follows:
Options
Weighted Average Exercise Price
Weighted Average Remaining Contractual Term (Years)
Aggregate Intrinsic Value
Outstanding at July 1, 2020 250,000 $ 3.32 0.83 $ 22.00
Granted - - - -
Exercised (50,000 ) 2.69 - -
Forfeited or expired - - - -
Outstanding at December 31, 2020 200,000 $ 3.48 0.47 $ 105.00
Exercisable at December 31, 2020 200,000 $ 3.48 0.47 $ 105.00 A summary of option activities under the 2007
Directors Plan during the six months ended December 31, 2019 is presented as follows:
Options
Weighted Average Exercise Price
Weighted Average Remaining Contractual Term (Years)
Aggregate Intrinsic Value
Outstanding at July 1, 2019 300,000 $ 3.40 1.58 $ 9.00
Granted - - - -
Exercised - - - -
Forfeited or expired (50,000 ) (3.81 ) - -
Outstanding at December 31, 2019 250,000 $ 3.32 1.33 $ 174.50
Exercisable at December 31, 2019 250,000 $ 3.32 1.33 $ 174.50

LEASES

LEASES6 Months Ended
Dec. 31, 2020
Leases [Abstract]
LEASESCompany as Lessor Operating leases where we are lessor arise from
the leasing of the Company’s commercial and residential real estate investment property. Initial lease terms generally range
from 12 to 60 months. Depreciation expense for assets subject to operating leases is taken into account primarily on the straight-line
method over a period of twenty years in amounts necessary to reduce the carrying amount of the asset to its estimated residual
value. Depreciation expenses relating to the property held as investments in operating leases was $18 Future minimum rental income in China and Thailand
to be received from fiscal year 2021 to fiscal year 2022 on non-cancelable operating leases is contractually due as follows as
of December 31, 2020:
2021 $ 68
2022 110
$ 178 Future minimum rental income in China and Thailand
to be received from fiscal year 2021 to fiscal year 2022 on non-cancelable operating leases is contractually due as follows as
of June 30, 2020:
2021 $ 120
2022 114
$ 234 Company as Lessee The Company is the lessee under operating leases
for corporate offices and research and development facilities with remaining lease terms of 1 year to 3 years and finance leases
for plant and equipment. Supplemental balance sheet information related to leases was as follows
(in thousands):
Dec. 31, 2020 (Unaudited)
June 30, 2020
Finance Leases (Plant and Equipment)
Plant and equipment, at cost $ 1,880 $ 1,372
Accumulated depreciation (864 ) (526 )
Plant and Equipment, Net $ 1,016 $ 846
Current portion of finance leases 227 231
Net of current portion of finance leases 353 435
Total Finance Lease Liabilities $ 580 $ 666
Operating Leases (Corporate Offices, Research and Development Facilities)
Operating lease right-of-use assets 1,514 944
Current portion of operating leases 562 477
Net of current portion of operating leases 952 467
Total Operating Lease Liabilities $ 1,514 $ 944
Three Months Ended Six Months Ended
Dec. 31, Dec. 31, Dec. 31, Dec. 31,
2020 2019 2020 2019
(Unaudited) (Unaudited) (Unaudited) (Unaudited)
Lease Cost
Finance lease cost:
Interest on finance lease $ 8 $ 3 $ 20 $ 24
Amortization of right-of -use assets 63 69 125 136
Total finance lease cost $ 71 $ 72 $ 145 $ 160
Operating Lease Costs $ 189 $ 184 $ 375 $ 359 Other information related to leases was as follows (in thousands
except lease term and discount rate):
Six months ended Six months ended
December 31, December 31,
2020 2019
(Unaudited) (Unaudited)
Cash Paid for Amounts Included in the Measurement of Lease Liabilities
Operating cash flows from finance leases $ 19 $ 24
Operating cash flows from operating leases $ 375 $ 359
Finance cash flows from finance leases $ - $ 127
Right-of-Use Assets Obtained in Exchange for New Operating Lease Liabilities 847 -
Weighted-Average Remaining Lease Term:
Finance leases 3.31 3.67
Operating leases 2.97 0.97
Weighted-Average Discount Rate:
Finance leases 3.36 % 3.43 %
Operating leases 4.72 % 3.25 % As of December 31, 2020, future minimum lease payments under finance
leases and non-cancelable operating leases were as follows:
Operating Lease Liabilities
Finance Lease Liabilities
Fiscal Year
Remainder of 2021 $ 625 $ 137
2022 519 220
2023 235 141
2024 151 114
2025 114 22
Total future minimum lease payments 1,644 634
Less: amount representing interest (130 ) (54 )
Present value of net minimum lease payments $ 1,514 $ 580
Presentation on statement of financial position
Current $ 562 $ 227
Non-current $ 952 $ 353 As of June 30, 2020, future minimum lease payments under finance
leases and non-cancelable operating leases were as follows:
Operating Lease Liabilities
Finance Lease Liabilities
Fiscal Year
2021 $ 509 $ 265
2022 317 211
2023 168 133
2024 - 107
2025 - 20
Total future minimum lease payments 994 736
Less: amount representing interest (50 ) (70 )
Present value of net minimum lease payments $ 944 $ 666
Presentation on statement of financial position
Current $ 477 231
Non-current $ 467 435

FAIR VALUE OF FINANCIAL INSTRUM

FAIR VALUE OF FINANCIAL INSTRUMENTS APPROXIMATE CARRYING VALUE6 Months Ended
Dec. 31, 2020
Fair Value Disclosures [Abstract]
FAIR VALUE OF FINANCIAL INSTRUMENTS APPROXIMATE CARRYING VALUEIn accordance with ASC Topics 825 and 820, the
following presents assets and liabilities measured and carried at fair value and classified by level of fair value measurement
hierarchy: There were no transfers between Levels 1 and
2 during the three months ended December 31, 2020 and 2019. Term deposits (Level 2) – The carrying
amount approximates fair value because of the short maturity of these instruments. Restricted term deposits (Level 2) – The
carrying amount approximates fair value because of the short maturity of these instruments. PPP loan (Level 2) – The carrying amount
approximates its fair value based on similar short-term debt issues available to the Company. Lines of credit (Level 3) – The carrying
value of the lines of credit approximates fair value due to the short-term nature of the obligations. Bank loans payable (Level 3) – The carrying
value of the Company’s bank loans payables approximates its fair value as the interest rates associated with long-term debt
is adjustable in accordance with market situations when the Company borrowed funds with similar terms and remaining maturities.

PAYCHECK PROTECTION PROGRAM LOA

PAYCHECK PROTECTION PROGRAM LOAN6 Months Ended
Dec. 31, 2020
Loans Payable [Abstract]
PAYCHECK PROTECTION PROGRAM LOANThe Coronavirus
Aid, Relief, and Economic Security (CARES) Act created the Paycheck Protection Program (PPP) to provide certain small businesses
with liquidity to support their operations during the COVID-19 pandemic. The PPP is a loan program designed to provide a direct
incentive for small businesses to keep their employees on payroll. The loans have
a 1% fixed interest rate and are due in two years with payment deferred for the first six months. However, they are eligible for
forgiveness (in full or in part, including any accrued interest) under certain conditions and are subject to audit by the U.S.
government. The loans will be forgiven if the loan proceeds were used for eligible purposes, including payroll, benefits, rent
and utilities, and the Company maintained its payroll levels for eight weeks. In May 2020, the
Company received loan proceeds in the amount of approximately $121 under the PPP. The Company accounted for the PPP loan as a
financial liability in accordance with Accounting Standards Codification (ASC) 470 Debt Under ASC 470,
the Company recognizes a liability for the full amount of PPP proceeds received and accrues interest over the term of the loan.
No additional interest was imputed at a market rate because the guidance on imputing interest in ASC 835-30 excludes transactions
where interest rates are prescribed by a government agency. If any amount is ultimately forgiven (i.e., the Company is legally
released from being the loan’s primary obligor in accordance with ASC 405-20), income from the extinguishment of the liability
would be recognized in the income statement as a gain on loan extinguishment. The Company intended to use the proceeds for purposes
consistent with the PPP. Hence, the Company expects that its use of the loan proceeds will meet the conditions for forgiveness
of the loan. In considering the term of the loan and payment deferred portion, the Company determined that the loan would be presented
as a current portion of $121 in the balance sheet.

ORGANIZATION AND BASIS OF PRE_2

ORGANIZATION AND BASIS OF PRESENTATION (Tables)6 Months Ended
Dec. 31, 2020
Organization, Consolidation and Presentation of Financial Statements [Abstract]
SubsidiariesOwnership Location
Express Test Corporation (Dormant) 100% Van Nuys, California
Trio-Tech Reliability Services (Dormant) 100% Van Nuys, California
KTS Incorporated, dba Universal Systems (Dormant) 100% Van Nuys, California
European Electronic Test Centre (Dormant) 100% Dublin, Ireland
Trio-Tech International Pte. Ltd. 100% Singapore
Universal (Far East) Pte. Ltd. * 100% Singapore
Trio-Tech International (Thailand) Co. Ltd. * 100% Bangkok, Thailand
Trio-Tech (Bangkok) Co. Ltd. 100% Bangkok, Thailand
Trio-Tech (Malaysia) Sdn. Bhd. (55% owned by Trio-Tech International Pte. Ltd.) 55% Penang and Selangor, Malaysia
Trio-Tech (Kuala Lumpur) Sdn. Bhd. 55% Selangor, Malaysia
(100% owned by Trio-Tech Malaysia Sdn. Bhd.)
Prestal Enterprise Sdn. Bhd. 76% Selangor, Malaysia
(76% owned by Trio-Tech International Pte. Ltd.)
Trio-Tech (SIP) Co., Ltd. * 100% Suzhou, China
Trio-Tech (Chongqing) Co. Ltd. * 100% Chongqing, China
SHI International Pte. Ltd. (Dormant) (55% owned by Trio-Tech International Pte. Ltd) 55% Singapore
PT SHI Indonesia (Dormant) (100% owned by SHI International Pte. Ltd.)
55%
Batam, Indonesia
Trio-Tech (Tianjin) Co., Ltd. * 100% Tianjin, China * 100% owned by Trio-Tech International
Pte. Ltd.

TERM DEPOSITS (Tables)

TERM DEPOSITS (Tables)6 Months Ended
Dec. 31, 2020
Deposits [Abstract]
Term depositsDec. 31, 2020 (Unaudited)
June 30, 2020
Short-term deposits $ 6,723 $ 7,028
Currency translation effect on short-term deposits 217 (190 )
Total short-term deposits 6,940 6,838
Restricted term deposits 1,664 1,712
Currency translation effect on restricted term deposits 88 (52 )
Total restricted term deposits 1,752 1,660
Total term deposits $ 8,692 $ 8,498

TRADE ACCOUNTS RECEIVABLE AND_2

TRADE ACCOUNTS RECEIVABLE AND ALLOWANCE FOR DOUBTFUL ACCOUNTS (Tables)6 Months Ended
Dec. 31, 2020
Accounts Receivable, after Allowance for Credit Loss [Abstract]
Changes in the allowance for doubtful accountsDec. 31, 2020 (Unaudited)
June 30, 2020
Beginning $ 314 $ 263
Additions charged to expenses - 351
Recovered (15 ) (284 )
Write-off - (9 )
Currency translation effect 21 (7 )
Ending $ 320 $ 314

LOAN RECEIVABLE FROM PROPERTY D

LOAN RECEIVABLE FROM PROPERTY DEVELOPMENT PROJECTS (Tables)6 Months Ended
Dec. 31, 2020
Loans and Leases Receivable Disclosure [Abstract]
Companys loans receivable from property development projectsLoan Expiry Date
Loan Amount (RMB)
Loan Amount (U.S. Dollars)
Short-term loan receivables
JiangHuai (Project – Yu Jin Jiang An) May 31, 2013 2,000 307
Less: allowance for doubtful receivables (2,000 ) (307 )
Net loan receivables from property development projects - -
Long-term loan receivables
Jun Zhou Zhi Ye Oct 31, 2016 5,000 767
Less: transfer – down-payment for purchase of investment property (5,000 ) (767 )
Net loan receivables from property development projects - -

INVENTORIES (Tables)

INVENTORIES (Tables)6 Months Ended
Dec. 31, 2020
Inventory Disclosure [Abstract]
InventoriesDec. 31, 2020 (Unaudited)
June 30, 2020
Raw materials $ 1,153 $ 1,281
Work in progress 1,304 968
Finished goods 282 422
Currency translation effect 96 (71 )
Less: provision for obsolete inventories (688 ) (678 )
$ 2,147 $ 1,922
Changes in provision for obsolete inventoryDec. 31, 2020 (Unaudited)
June 30, 2020
Beginning $ 678 $ 673
Additions charged to expenses 10 26
Usage – disposition (23 ) (8 )
Currency translation effect 23 (13 )
Ending $ 688 $ 678

INVESTMENT PROPERTIES (Tables)

INVESTMENT PROPERTIES (Tables)6 Months Ended
Dec. 31, 2020
Investments [Abstract]
Companys investment in the property based on the exchange rateThe following table presents the Company’s
investment in properties in China as of December 31, 2020. The exchange rate is based on the market rate as of December 31, 2020.
Investment Date / Reclassification Date
Investment Amount (RMB)
Investment Amount (U.S. Dollars
Purchase of rental property – Property I – MaoYe Property Jan 04, 2008 5,554 894
Currency translation - (87 )
Reclassification as “Assets held for sale” July 01, 2019 (5,554 ) (807 )
Reclassification from “Assets held for sale” Mar 31, 2020 2,024 301
2,024 301
Purchase of rental property – Property II - JiangHuai Jan 06, 2010 3,600 580
Purchase of rental property – Property III - Fu Li Apr 08, 2010 4,025 648
Currency translation - (50 )
Gross investment in rental property 9,649 1,479
Accumulated depreciation on rental property Sep 30, 2020 (6,799 ) (1,034 )
Reclassified as “Assets held for sale”- Mao Ye Property July 01, 2019 2,822 410
Reclassification from “Assets held for sale”- Mao Ye Property Mar 31, 2020 (1,029 ) (143 )
(5,006 ) (767 )
Net investment in property – China 4,643 712 The following table presents the Company’s
investment in properties in China as of June 30, 2020. The exchange rate is based on the market rate as of June 30, 2020.
Investment Date / Reclassification Date
Investment Amount (RMB)
Investment Amount (U.S. Dollars
Purchase of rental property – Property I – MaoYe Property Jan 04, 2008 5,554 894
Currency translation - (87 )
Reclassification as “Assets held for sale” July 01, 2019 (5,554 ) (807 )
Reclassification from “Assets held for sale” Mar 31, 2020 2,024 301
2,024 301
Purchase of rental property – Property II - JiangHuai Jan 06, 2010 3,600 580
Purchase of rental property – Property III - Fu Li Apr 08, 2010 4,025 648
Currency translation - (166 )
Gross investment in rental property 9,649 1,363
Accumulated depreciation on rental property June 30, 2020 (6,558 ) (940 )
Reclassified as “Assets held for sale”-Mao Ye Property July 01, 2019 2,822 410
Reclassification from “Assets held for sale”- Mao Ye Property Mar 31, 2020 (1,029 ) (143 )
(4,765 ) (673 )
Net investment in property – China 4,884 690

OTHER ASSETS (Tables)

OTHER ASSETS (Tables)6 Months Ended
Dec. 31, 2020
Other Assets [Abstract]
Other assetsDec. 31, 2020 (Unaudited)
June 30, 2020
Down payment for purchase of investment properties * $ 1,645 $ 1,645
Down payment for purchase of property, plant and equipment 144 8
Deposits for rental and utilities 122 171
Currency translation effect (80 ) (215 )
Total $ 1,831 $ 1,609 * Down payment for purchase of
investment properties included:
RMB US Dollars
Original Investment (10% of Jun Zhou equity) 10,000 1,606
Less: Management Fee (5,000 ) (803 )
Net Investment 5,000 803
Less: Share of Loss on Joint Venture (137 ) (22 )
Net Investment as Down Payment(Note *a) 4,863 781
Loans Receivable 5,000 814
Interest Receivable 1,250 200
Less: Impairment of Interest (906 ) (150 )
Transferred to Down Payment(Note *b) 5,344 864
10,207 1,645 * Down Payment for Purchase of Investment
Properties

LINES OF CREDIT (Tables)

LINES OF CREDIT (Tables)6 Months Ended
Dec. 31, 2020
Line of Credit Facility [Abstract]
Lines of creditAs of December 31, 2020, the Company had certain
lines of credit that are collateralized by restricted deposits.
Entity with Type of Interest Expiration Credit Unused
Facility Facility Rate Date Limitation Credit
Trio-Tech International Pte. Ltd., Singapore Lines of Credit
Ranging from 1.85% to 5.5%, SIBOR rate +1.25% and LIBOR rate +1.30% - $ 5,438 $ 5,438
Trio-Tech International Pte. Ltd., Singapore Lines of Credit Ranging from 1.85% to 5.5% - $ 378 $ 378
Trio-Tech Malaysia Sdn. Bhd. Revolving Credit Cost of Funds Rate +2% - $ 371 $ 371 As of June 30, 2020, the Company had certain lines of credit that
are collateralized by restricted deposits.
Entity with Type of Interest Expiration Credit Unused
Facility Facility Rate Date Limitation Credit
T
Ranging from 1.85% to 5.5%, SIBOR rate +1.25%
and LIBOR rate +1.30% - $ 4,806 $ 4,806
Universal (Far East) Pte. Ltd. Lines of Credit Ranging from 1.85% to 5.5% - $ 359 $ 187
Trio-Tech Malaysia Sdn. Bhd. Revolving Credit Cost of Funds Rate +2% - $ 350 $ 350

ACCRUED EXPENSES (Tables)

ACCRUED EXPENSES (Tables)6 Months Ended
Dec. 31, 2020
Payables and Accruals [Abstract]
Accrued expensesDec. 30, 2020 (Unaudited)
June 30, 2020
Payroll and related costs $ 1,118 $ 1,185
Commissions 84 104
Customer deposits 43 30
Legal and audit 230 315
Sales tax 13 19
Utilities 84 80
Warranty 11 12
Accrued purchase of materials and property, plant and equipment 727 186
Provision for re-instatement 376 300
Deferred income 85 88
Contract liabilities 579 476
Other accrued expenses 141 287
Currency translation effect (96 ) (77 )
Total $ 3,395 $ 3,005

WARRANTY ACCRUAL (Tables)

WARRANTY ACCRUAL (Tables)6 Months Ended
Dec. 31, 2020
Warranty Accrual
Warranty liabilityDec. 30, 2020 (Unaudited)
June 30, 2020
Beginning $ 12 $ 39
Additions charged to cost and expenses 1 1
Reversal (2 ) (27 )
Currency translation effect - (1 )
Ending $ 11 $ 12

BANK LOANS PAYABLE (Tables)

BANK LOANS PAYABLE (Tables)6 Months Ended
Dec. 31, 2020
Loans Payable [Abstract]
Bank loans payableDec. 31, 2020 (Unaudited) June 30, 2020
Note payable denominated in RM for expansion plans in Malaysia, maturing in August 2028, bearing interest at the bank’s prime rate less 2.00% (3.85% at December 31, 2020 and June 30, 2020, respectively) per annum, with monthly payments of principal plus interest through August 2028, collateralized by the acquired building with a carrying value of $2,982 and $2,543, as at December 31, 2020 and June 30, 2020, respectively. $ 2,015 $ 2,295
Financing arrangement at fixed interest rate 3.2% per annum, with monthly payments of principal plus interest through July 2025. 190 -
Total bank loans payable $ 2,205 $ 2,295
Current portion of bank loans payable $ 418 $ 384
Currency translation effect on current portion of bank loans 25 (14 )
Current portion of bank loans payable 443 370
Long-term portion of bank loans payable 1,787 1,911
Currency translation effect on long-term portion of bank loans 112 (75 )
Long-term portion of bank loans payable $ 1,899 $ 1,836
Future minimum paymentsFuture minimum payments (excluding interest) as at December 31, 2020
were as follows:
Remainder of fiscal 2021 $ 443
2022 460
2023 478
2024 341
2025 197
Thereafter 423
Total obligations and commitments $ 2,342 Future minimum payments (excluding interest) as at June 30, 2020
were as follows:
2021 $ 370
2022 384
2023 400
2024 403
2025 158
Thereafter 491
Total obligations and commitments $ 2,206

BUSINESS SEGMENTS (Tables)

BUSINESS SEGMENTS (Tables)6 Months Ended
Dec. 31, 2020
Segment Reporting [Abstract]
Business segmentsBusiness Segment Information:
Six Months Ended Dec. 31,
Net Revenue
Operating Income / (Loss)
Total Assets
Depr. and Amort.
Capital Expenditures
Manufacturing 2020 $ 6,194 $ 63 $ 11,739 $ 212 $ 154
2019 $ 6,362 $ (99 ) $ 10,542 $ 196 $ 35
Testing Services 2020 6,514 (673 ) 21,900 1,222 63
2019 8,277 (93 ) 23,314 1,344 709
Distribution 2020 2,323 244 802 - -
2019 4,113 392 802 2 -
Real Estate 2020 11 (61 ) 3,846 35 -
2019 33 (52 ) 3,650 34 -
Fabrication 2020 - - - - -
Services * 2019 - - 27 - -
Corporate & 2020 - 63 76 - -
Unallocated 2019 - (99 ) 120 - -
Total Company 2020 $ 15,042 $ (364 ) $ 38,363 $ 1,469 $ 217
2019 $ 18,785 $ 49 $ 38,455 $ 1,576 $ 744 Business Segment Information:
Three Months Ended Dec. 31,
Net Revenue
Operating Income / (Loss)
Total Assets
Depr. and Amort.
Capital Expenditures
Manufacturing 2020 $ 3,569 $ 81 $ 11,739 $ 110 $ 87
2019 $ 3,045 $ (87 ) $ 10,542 $ 149 $ 16
Testing Services 2020 3,560 (336 ) 21,900 636 41
2019 3,887 (161 ) 23,314 751 189
Distribution 2020 1,065 120 802 - -
2019 2,014 188 802 1 -
Real Estate 2020 7 (34 ) 3,846 20 -
2019 16 (35 ) 3,650 17 -
Fabrication 2020 - - - - -
Services * 2019 - - 27 - -
Corporate & 2020 - 132 76 - -
Unallocated 2019 - (78 ) 120 - -
Total Company 2020 $ 8,201 $ (37 ) $ 38,363 $ 766 $ 128
2019 $ 8,962 $ (173 ) $ 38,455 $ 918 $ 205 * Fabrication services is a discontinued operation.

OTHER INCOME (Tables)

OTHER INCOME (Tables)6 Months Ended
Dec. 31, 2020
Other Income and Expenses [Abstract]
Other incomeThree Months Ended Six Months Ended
Dec. 31, Dec. 31, Dec. 31, Dec. 31,
2020 2019 2020 2019
Unaudited Unaudited Unaudited Unaudited
Interest income $ 30 $ 52 $ 70 $ 84
Other rental income 24 30 45 60
Exchange loss (93 ) (66 ) (137 ) (61 )
Bad debt recovery - - - 11
Dividend income 30 - 32 -
Government grant 106 - 260 -
Other miscellaneous income 46 24 84 56
Total $ 143 $ 40 $ 354 $ 150

CONTRACT BALANCES (Tables)

CONTRACT BALANCES (Tables)6 Months Ended
Dec. 31, 2020
Contract with Customer, Contract Asset, Contract Liability, and Receivable [Abstract]
Contract assets and liabilitiesDec. 31, 2020 (Unaudited) June 30, 2020
Trade Accounts Receivable 7,581 5,951
Accounts Payable 3,103 2,590
Contract Assets 360 216
Contract Liabilities 579 476

EARNINGS PER SHARE (Tables)

EARNINGS PER SHARE (Tables)6 Months Ended
Dec. 31, 2020
Earnings Per Share [Abstract]
Reconciliation of the weighted average sharesThree Months Ended Six Months Ended
Dec. 31, Dec. 31, Dec.31 Dec. 31,
2020 2019 2020 2019
(Unaudited) (Unaudited) (Unaudited) (Unaudited)
Income attributable to Trio-Tech International common shareholders from continuing operations, net of tax $ 246 $ 425 $ 241 $ 699
Income / (loss) attributable to Trio-Tech International common shareholders from discontinued operations, net of tax (11 ) 1 (14 ) -
Net income attributable to Trio-Tech International Common Shareholders $ 235 $ 426 $ 227 $ 699
Weighted average number of common shares outstanding - basic 3,710 3,673 3,710 3,673
Dilutive effect of stock options 90 52 83 33
Number of shares used to compute earnings per share - diluted 3,800 3,725 3,793 3,706
Basic earnings per share from continuing operations attributable to Trio-Tech International $ 0.06 0.12 0.06 0.19
Basic earnings per share from discontinued operations attributable to Trio-Tech International - - - -
Basic earnings per share from net income attributable to Trio-Tech International $ 0.06 $ 0.12 $ 0.06 $ 0.19
Diluted earnings per share from continuing operations attributable to Trio-Tech International $ 0.06 0.11 0.06 0.19
Diluted earnings per share from discontinued operations attributable to Trio-Tech International - - - -
Diluted earnings per share from net income attributable to Trio-Tech International $ 0.06 $ 0.11 $ 0.06 $ 0.19

STOCK OPTIONS (Tables)

STOCK OPTIONS (Tables)6 Months Ended
Dec. 31, 2020
Fair value weighted average assumptionsSix Months
Ended December 31,
2020 2019
Expected volatility 45.38%
to 76.85% 45.38%
to 97.48%
Risk-free interest rate 0.14%
to 2.35% 0.30%
to 2.35%
Expected life (years) 0.25 - 4.51 2.5 - 3.25
2017 Employee Plan
Option activitiesOptions
Weighted Average Exercise Price
Weighted Average Remaining Contractual Term (Years)
Aggregate Intrinsic Value
Outstanding at July 1, 2020 196,000 $ 3.92 3.72 $ 36.00
Granted 11,000 3.73 - -
Exercised - - - -
Forfeited or expired - - - -
Outstanding at December 31, 2020 207,000 $ 3.91 3.31 $ 132.49
Exercisable at December 31, 2020 104,750 $ 4.40 2.96 $ 45.00
Options
Weighted Average Exercise Price
Weighted Average Remaining Contractual Term (Years)
Aggregate Intrinsic Value
Outstanding at July 1, 2019 136,000 $ 4.53 4.28 $ -
Granted - - - -
Exercised - - - -
Forfeited or expired - - - -
Outstanding at December 31, 2019 136,000 $ 4.53 3.77 $ 46.44
Exercisable at December 31, 2019 53,000 $ 4.88 3.63 $ 12.57
Company's non-vested employee stock optionsOptions
Weighted Average Grant-Date Fair Value
Non-vested at July 1, 2020 98,000 $ 3.39
Granted 11,000 -
Vested (6,750 ) -
Forfeited - -
Non-vested at December 31, 2020 102,250 $ 3.40
Options
Weighted Average Grant-Date Fair Value
Non-vested at July 1, 2019 87,000 $ 4.28
Granted - -
Vested (4,000 ) -
Forfeited - -
Non-vested at December 31, 2019 83,000 $ 4.30
2007 Employee Plan
Option activitiesOptions
Weighted Average Exercise Price
Weighted Average Remaining Contractual Term (Years)
Aggregate Intrinsic Value
Outstanding at July 1, 2020 77,500 $ 3.69 1.22 $ -
Granted - - - -
Exercised - - - -
Forfeited or expired - - - -
Outstanding at December 31, 2020 77,500 $ 3.69 0.71 $ 28.00
Exercisable at December 31, 2020 77,500 $ 3.69 0.71 $ 28.00
Options
Weighted Average Exercise Price
Weighted Average Remaining Contractual Term (Years)
Aggregate Intrinsic Value
Outstanding at July 1, 2019 77,500 $ 3.69 2.22 $ -
Granted - - - -
Exercised - - - -
Forfeited or expired - - - -
Outstanding at December 31, 2019 77,500 3.69 1.71 $ 29.20
Exercisable at December 31, 2019 68,125 $ 3.62 1.64 $ 29.20
Company's non-vested employee stock optionsOptions
Weighted Average Grant-Date Fair Value
Non-vested at July 1, 2019 9,375 $ 4.14
Granted - -
Vested - -
Forfeited - -
Non-vested at December 31, 2019 9,375 $ 4.14
Directors 2017 Equity Incentive Plan
Option activitiesOptions
Weighted Average Exercise Price
Weighted Average Remaining Contractual Term (Years)
Aggregate Intrinsic Value
Outstanding at July 1, 2020 240,000 $ 3.93 3.75 $ 48.00
Granted - - - -
Exercised - - - -
Forfeited or expired - - - -
Outstanding at December 31, 2020 240,000 $ 3.93 3.24 $ 168.80
Exercisable at December 31, 2020 240,000 $ 3.93 3.24 $ 168.80
Options
Weighted Average Exercise Price
Weighted Average Remaining Contractual Term (Years)
Aggregate Intrinsic Value
Outstanding at July 1, 2019 160,000 $ 4.63 4.25 $ -
Granted - - - -
Exercised - - - -
Forfeited or expired - - - -
Outstanding at December 31, 2019 160,000 $ 4.63 3.75 $ 56.80
Exercisable at December 31, 2019 160,000 $ 4.63 3.75 $ 56.80
2007 Directors Equity Incentive Plan
Option activitiesOptions
Weighted Average Exercise Price
Weighted Average Remaining Contractual Term (Years)
Aggregate Intrinsic Value
Outstanding at July 1, 2020 250,000 $ 3.32 0.83 $ 22.00
Granted - - - -
Exercised (50,000 ) 2.69 - -
Forfeited or expired - - - -
Outstanding at December 31, 2020 200,000 $ 3.48 0.47 $ 105.00
Exercisable at December 31, 2020 200,000 $ 3.48 0.47 $ 105.00
Options
Weighted Average Exercise Price
Weighted Average Remaining Contractual Term (Years)
Aggregate Intrinsic Value
Outstanding at July 1, 2019 300,000 $ 3.40 1.58 $ 9.00
Granted - - - -
Exercised - - - -
Forfeited or expired (50,000 ) (3.81 ) - -
Outstanding at December 31, 2019 250,000 $ 3.32 1.33 $ 174.50
Exercisable at December 31, 2019 250,000 $ 3.32 1.33 $ 174.50

LEASES (Tables)

LEASES (Tables)6 Months Ended
Dec. 31, 2020
Leases [Abstract]
Future minimum rental incomeFuture minimum rental income in China and Thailand
to be received from fiscal year 2021 to fiscal year 2022 on non-cancelable operating leases is contractually due as follows as
of December 31, 2020:
2021 $ 68
2022 110
$ 178 Future minimum rental income in China and Thailand
to be received from fiscal year 2021 to fiscal year 2022 on non-cancelable operating leases is contractually due as follows as
of June 30, 2020:
2021 $ 120
2022 114
$ 234
Supplemental lease informationDecember 31, 2020 (Unaudited)
June 30, 2020
Finance Leases (Plant and Equipment)
Plant and equipment, at cost $ 1,880 $ 1,372
Accumulated depreciation (864 ) (526 )
Plant and Equipment, Net $ 1,016 $ 846
Current portion of finance leases 227 231
Net of current portion of finance leases 353 435
Total Finance Lease Liabilities $ 580 $ 666
Operating Leases (Corporate Offices, Research and Development Facilities)
Operating lease right-of-use assets 1,514 944
Current portion of operating leases 562 477
Net of current portion of operating leases 952 467
Total Operating Lease Liabilities $ 1,514 $ 944
Lease costThree Months Ended Six Months Ended
Dec. 31, Dec. 31, Dec. 31, Dec. 31,
2020 2019 2020 2019
(Unaudited) (Unaudited) (Unaudited) (Unaudited)
Lease Cost
Finance lease cost:
Interest on finance lease $ 8 $ 3 $ 20 $ 24
Amortization of right-of -use assets 63 69 125 136
Total finance lease cost $ 71 $ 72 $ 145 $ 160
Operating Lease Costs $ 189 $ 184 $ 375 $ 359
Other information related to leasesSix months ended Six months ended
December 31, December 31,
2020 2019
(Unaudited) (Unaudited)
Cash Paid for Amounts Included in the Measurement of Lease Liabilities
Operating cash flows from finance leases $ 19 $ 24
Operating cash flows from operating leases $ 375 $ 359
Finance cash flows from finance leases $ - $ 127
Right-of-Use Assets Obtained in Exchange for New Operating Lease Liabilities 847 -
Weighted-Average Remaining Lease Term:
Finance leases 3.31 3.67
Operating leases 2.97 0.97
Weighted-Average Discount Rate:
Finance leases 3.36 % 3.43 %
Operating leases 4.72 % 3.25 %
Maturities of lease liabilitiesOperating Lease Liabilities
Finance Lease Liabilities
Fiscal Year
Remainder of 2021 $ 625 $ 137
2022 519 220
2023 235 141
2024 151 114
2025 114 22
Total future minimum lease payments 1,644 634
Less: amount representing interest (130 ) (54 )
Present value of net minimum lease payments $ 1,514 $ 580
Presentation on statement of financial position
Current $ 562 $ 227
Non-current $ 952 $ 353
Future minimum lease payments under finance leases and non-cancelable operating leasesOperating Lease Liabilities
Finance Lease Liabilities
Fiscal Year
2021 $ 509 $ 265
2022 317 211
2023 168 133
2024 - 107
2025 - 20
Total future minimum lease payments 994 736
Less: amount representing interest (50 ) (70 )
Present value of net minimum lease payments $ 944 $ 666
Presentation on statement of financial position
Current $ 477 231
Non-current $ 467 435

ORGANIZATION AND BASIS OF PRE_3

ORGANIZATION AND BASIS OF PRESENTATION (Details)Dec. 31, 2020
Express Test Corporation (Dormant)
Ownership100.00%
Trio-Tech Reliability Services (Dormant)
Ownership100.00%
KTS Incorporated, dba Universal Systems (Dormant)
Ownership100.00%
European Electronic Test Centre (Dormant)
Ownership100.00%
Trio-Tech International Pte. Ltd
Ownership100.00%
Universal (Far East) Pte. Ltd.
Ownership100.00%[1]
Trio-Tech International (Thailand) Co. Ltd.
Ownership100.00%[1]
Trio-Tech (Bangkok) Co. Ltd.
Ownership100.00%
Trio-Tech (Malaysia) Sdn. Bhd. (55% owned by Trio-Tech International Pte. Ltd.)
Ownership55.00%
Trio-Tech (Kuala Lumpur) Sdn. Bhd. (100% owned by Trio-Tech Malaysia Sdn. Bhd.)
Ownership55.00%
Prestal Enterprise Sdn. Bhd. (76% owned by Trio-Tech International Pte. Ltd.)
Ownership76.00%
Trio-Tech (SIP) Co., Ltd.
Ownership100.00%[1]
Trio-Tech (Chongqing) Co. Ltd.
Ownership100.00%[1]
SHI International Pte. Ltd. (Dormant) (55% owned by Trio-Tech International Pte. Ltd)
Ownership55.00%
PT SHI Indonesia (Dormant) (100% owned by SHI International Pte. Ltd.)
Ownership55.00%
Trio-Tech (Tianjin) Co. Ltd.
Ownership100.00%[1]
[1]100% owned by Trio-Tech International Pte. Ltd.

ORGANIZATION AND BASIS OF PRE_4

ORGANIZATION AND BASIS OF PRESENTATION (Details Narrative)Dec. 31, 2020USD ($)
Cash and cash equivalents and short term deposits $ 11,410
Unused lines of credit $ 6,187

TERM DEPOSITS (Details)

TERM DEPOSITS (Details) - USD ($) $ in ThousandsDec. 31, 2020Jun. 30, 2020
Deposits [Abstract]
Short-term deposits $ 6,723 $ 7,028
Currency translation effect on short-term deposits217 (190)
Total short-term deposits6,940 6,838
Restricted term deposits1,664 1,712
Currency translation effect on restricted term deposits88 (52)
Total restricted term deposits1,752 1,660
Total term deposits $ 8,692 $ 8,498

TRADE ACCOUNTS RECEIVABLE AND_3

TRADE ACCOUNTS RECEIVABLE AND ALLOWANCE FOR DOUBTFUL ACCOUNTS (Details) - USD ($) $ in Thousands6 Months Ended12 Months Ended
Dec. 31, 2020Jun. 30, 2020
Accounts Receivable, after Allowance for Credit Loss [Abstract]
Beginning $ 314 $ 263
Additions charged to expenses0 351
Recovered(15)(284)
Written off0 (9)
Currency translation effect21 (7)
Ending $ 320 $ 314

LOANS RECEIVABLE FROM PROPERT_2

LOANS RECEIVABLE FROM PROPERTY DEVELOPMENT PROJECTS (Details) $ in ThousandsDec. 31, 2020USD ($)
Jiang Huai | Yuan RMB
Short-term loan receivables
Short-term $ 2,000
Less: allowance for doubtful receivables(2,000)
Short-term loan receivables, net0
Jiang Huai | USD
Short-term loan receivables
Short-term307
Less: allowance for doubtful receivables(307)
Short-term loan receivables, net0
Jun Zhou Zhi Ye | Yuan RMB
Long-term loan receivables
Long-term5,000
Less: transfer - down-payment for purchase of property(5,000)
Long-term loan receivables, net0
Jun Zhou Zhi Ye | USD
Long-term loan receivables
Long-term767
Less: transfer - down-payment for purchase of property(767)
Long-term loan receivables, net $ 0

INVENTORIES (Details)

INVENTORIES (Details) - USD ($) $ in ThousandsDec. 31, 2020Jun. 30, 2020Jun. 30, 2019
Inventory Disclosure [Abstract]
Raw materials $ 1,153 $ 1,281
Work in progress1,304 968
Finished goods282 422
Currency translation effect96 (71)
Less: provision for obsolete inventory(688)(678) $ (673)
Inventory net $ 2,147 $ 1,922

INVENTORIES (Details 1)

INVENTORIES (Details 1) - USD ($) $ in Thousands6 Months Ended12 Months Ended
Dec. 31, 2020Jun. 30, 2020
Inventory Disclosure [Abstract]
Beginning $ 678 $ 673
Additions charged to expenses10 26
Usage - disposition(23)(8)
Currency translation effect23 (13)
Ending $ 688 $ 678

INVESTMENT PROPERTIES (Details)

INVESTMENT PROPERTIES (Details) - USD ($) $ in ThousandsDec. 31, 2020Jun. 30, 2020
MaoYe
Investment amount $ 894 $ 894
Currency translation(87)(87)
Reclassified as "assets held for sale"(807)(807)
Reclassification from "assets held for sale"301 301
Net investment in property301 301
MaoYe | Yuan RMB
Investment amount5,554 5,554
Currency translation0 0
Reclassified as "assets held for sale"(5,554)(5,554)
Reclassification from "assets held for sale"2,024 2,024
Net investment in property2,024 2,024
Jiang Huai
Investment amount580
Jiang Huai | Yuan RMB
Investment amount3,600 3,600
Jiang Huai | USD
Investment amount580
FuLi
Investment amount648 648
FuLi | Yuan RMB
Investment amount4,025 4,025
China
Currency translation(50)(166)
Gross investment in rental property1,479 1,363
Accumulated depreciation on rental property(1,034)(940)
Reclassified as "assets held for sale"(410)(410)
Reclassification from "assets held for sale"(143)(143)
Net investment in property712 690
China | Yuan RMB
Currency translation0 0
Gross investment in rental property9,649 9,649
Accumulated depreciation on rental property(6,799)(6,558)
Reclassified as "assets held for sale"(2,822)(2,822)
Reclassification from "assets held for sale"(1,029)(1,029)
Net investment in property $ 4,643 $ 4,844

INVESTMENT PROPERTIES (Details

INVESTMENT PROPERTIES (Details Narrative) - USD ($) $ in Thousands3 Months Ended6 Months Ended
Dec. 31, 2020Dec. 31, 2019Dec. 31, 2020Dec. 31, 2019
MaoYe
Rental income $ 0 $ 8 $ 3 $ 16
Depreciation expense4 4 8 8
Jiang Huai
Rental income0 0 0 0
Depreciation expense7 7 13 14
FuLi
Rental income4 8 7 17
Depreciation expense7 6 14 12
China
Rental income7 16 11 33
Depreciation expense $ 18 $ 17 $ 35 $ 34

OTHER ASSETS (Details)

OTHER ASSETS (Details) - USD ($) $ in ThousandsDec. 31, 2020Jun. 30, 2020
Other Assets [Abstract]
Down payment for purchase of investment properties $ 1,645 $ 1,645
Down payment for purchase of property, plant and equipment144 8
Deposit for rental and utilities122 171
Currency translation effect(80)(215)
Ending balance $ 1,831 $ 1,609

OTHER ASSETS (Details 1)

OTHER ASSETS (Details 1) $ in ThousandsDec. 31, 2020USD ($)
RMB
Original investment $ 10,000
Less: management fee(5,000)
Net investment5,000
Less: share of loss on joint venture(137)
Net investment as down payment4,863
Loans receivable5,000
Interest receivable1,250
Less: impairment of interest(906)
Transferred to down payment5,344
Down payment for purchase of investment properties10,207
USD
Original investment1,606
Less: management fee(803)
Net investment803
Less: share of loss on joint venture(22)
Net investment as down payment781
Loans receivable814
Interest receivable200
Less: impairment of interest(150)
Transferred to down payment864
Down payment for purchase of investment properties $ 1,645

LINES OF CREDIT (Details)

LINES OF CREDIT (Details) - USD ($) $ in Thousands6 Months Ended12 Months Ended
Dec. 31, 2020Jun. 30, 2020
TrioTech Intl Credit Facility
Type of facilityLines of CreditLines of Credit
Credit limitation $ 5,438 $ 4,806
Unused credit $ 5,438 $ 4,806
TrioTech Intl Credit Facility | Minimum
Interest rate1.85%1.85%
TrioTech Intl Credit Facility | Maximum
Interest rate5.50%5.50%
TrioTech Intl Credit Facility
Type of facilityLines of Credit
Credit limitation $ 378
Unused credit $ 378
TrioTech Intl Credit Facility | Minimum
Interest rate1.85%
TrioTech Intl Credit Facility | Maximum
Interest rate5.50%
TrioTech Malaysia Sdn Bhd Credit Facility
Type of facilityRevolving CreditRevolving Credit
Interest rate2.00%2.00%
Credit limitation $ 371 $ 350
Unused credit $ 371 $ 350
Universal (Far East) Pte. Ltd.
Type of facilityLines of Credit
Credit limitation $ 359
Unused credit $ 187
Universal (Far East) Pte. Ltd. | Minimum
Interest rate1.85%
Universal (Far East) Pte. Ltd. | Maximum
Interest rate5.50%

ACCRUED EXPENSES (Details)

ACCRUED EXPENSES (Details) - USD ($) $ in ThousandsDec. 31, 2020Jun. 30, 2020
Payables and Accruals [Abstract]
Payroll and related costs $ 1,118 $ 1,185
Commissions84 104
Customer deposits43 30
Legal and audit230 315
Sales tax13 19
Utilities84 80
Warranty11 12
Accrued purchase of materials and property, plant and equipment727 186
Provision for re-instatement376 300
Deferred income85 88
Contract liabilities579 476
Other accrued expenses141 287
Currency translation effect(96)(77)
Total $ 3,395 $ 3,005

WARRANTY ACCRUAL (Details)

WARRANTY ACCRUAL (Details) - USD ($) $ in Thousands6 Months Ended12 Months Ended
Dec. 31, 2020Jun. 30, 2020
Warranty Accrual
Beginning $ 12 $ 31
Additions charged to cost and expenses1 1
Reversal(2)(27)
Currency translation effect0 (1)
Ending $ 11 $ 12

BANK LOANS PAYABLE (Details)

BANK LOANS PAYABLE (Details) - USD ($) $ in ThousandsDec. 31, 2020Jun. 30, 2020
Bank loan payable $ 2,205 $ 2,295
Current portion of bank loan payable418 384
Currency translation effect on short-term portion of bank loan25 (14)
Current portion of bank loan payable443 370
Long term portion of bank loan payable1,787 1,911
Currency translation effect on long-term portion of bank loan112 (75)
Long term portion of bank loans payable1,899 1,836
Bank Note 1
Bank loan payable2,015 2,295
Bank Note 2
Bank loan payable $ 190 $ 0

BANK LOANS PAYABLE (Details 1)

BANK LOANS PAYABLE (Details 1) - USD ($) $ in ThousandsDec. 31, 2020Jun. 30, 2020
Loans Payable [Abstract]
Remainder of fiscal 2021 $ 443 $ 370
2022460 384
2023478 400
2024341 403
2025197 158
Thereafter423 491
Total obligations and commitments $ 2,342 $ 2,206

COMMITMENTS AND CONTINGENCIES (

COMMITMENTS AND CONTINGENCIES (Details Narrative) - USD ($) $ in ThousandsDec. 31, 2020Jun. 30, 2020
Malaysia
Capital commitments for the purchase of equipment and other related infrastructure costs $ 0 $ 0
Malaysia | Ringgit RM
Capital commitments for the purchase of equipment and other related infrastructure costs0 0
Tianjin
Capital commitments for the purchase of equipment and other related infrastructure costs277 0
Tianjin | Yuan RMB
Capital commitments for the purchase of equipment and other related infrastructure costs $ 1,856 $ 0

BUSINESS SEGMENTS (Details)

BUSINESS SEGMENTS (Details) - USD ($) $ in Thousands3 Months Ended6 Months Ended
Dec. 31, 2020Dec. 31, 2019Dec. 31, 2020Dec. 31, 2019
Net revenue $ 8,201 $ 8,962 $ 15,042 $ 18,785
Operating income (loss)(37)(173)(364)49
Total assets38,363 38,455 38,363 38,455
Depreciation and amortization766 918 1,469 1,576
Capital expenditures128 205 215 744
Manufacturing
Net revenue3,569 3,045 6,194 6,362
Operating income (loss)81 (87)63 (99)
Total assets11,739 10,542 11,739 10,542
Depreciation and amortization110 149 212 196
Capital expenditures87 16 154 35
Testing Services
Net revenue3,560 3,887 6,514 8,277
Operating income (loss)(336)(161)(673)(93)
Total assets21,900 23,314 21,900 23,314
Depreciation and amortization636 751 1,222 1,344
Capital expenditures41 189 63 709
Distribution
Net revenue1,065 2,014 2,323 4,113
Operating income (loss)120 188 244 392
Total assets802 802 802 802
Depreciation and amortization0 1 1 2
Capital expenditures0 0 0 0
Real Estate
Net revenue7 16 11 33
Operating income (loss)(34)(35)(61)(52)
Total assets3,846 3,650 3,846 3,650
Depreciation and amortization20 17 35 34
Capital expenditures0 0 0 0
Fabrication Services
Net revenue[1]0 0 0 0
Operating income (loss)[1]0 0 0 0
Total assets[1]0 27 0 27
Depreciation and amortization[1]0 0 0 0
Capital expenditures[1]0 0 0 0
Corporate And Unallocated
Net revenue0 0 0 0
Operating income (loss)132 (78)63 (99)
Total assets76 120 76 120
Depreciation and amortization0 0 0 0
Capital expenditures $ 0 $ 0 $ 0 $ 0
[1]Fabrication services is a discontinued operation.

OTHER INCOME (Details)

OTHER INCOME (Details) - USD ($) $ in Thousands3 Months Ended6 Months Ended
Dec. 31, 2020Dec. 31, 2019Dec. 31, 2020Dec. 31, 2019
Other Income and Expenses [Abstract]
Interest income $ 30 $ 52 $ 70 $ 84
Other rental income24 30 45 60
Exchange loss(93)(66)(137)(61)
Bad debt recovery0 0 0 11
Dividend income30 0 32 0
Government grant106 0 260 0
Other miscellaneous income46 24 84 56
Total $ 143 $ 40 $ 354 $ 150

INCOME TAX (Details Narrative)

INCOME TAX (Details Narrative) - USD ($) $ in Thousands3 Months Ended6 Months Ended
Dec. 31, 2020Dec. 31, 2019Dec. 31, 2020Dec. 31, 2019
Income Tax Disclosure [Abstract]
Income tax expenses $ 0 $ 120 $ 7 $ 120
Effective tax rate0.00%12.00%
Capital Gain Tax $ 94

CONTRACT BALANCES (Details)

CONTRACT BALANCES (Details) - USD ($) $ in ThousandsDec. 31, 2020Jun. 30, 2020
Contract with Customer, Contract Asset, Contract Liability, and Receivable [Abstract]
Trade accounts receivable $ 7,581 $ 5,951
Accounts payable3,103 2,590
Contract assets360 216
Contract liabilities $ 579 $ 476

CONTRACT BALANCES (Details Narr

CONTRACT BALANCES (Details Narrative) $ in ThousandsDec. 31, 2020USD ($)
Contract with Customer, Contract Asset, Contract Liability, and Receivable [Abstract]
Remaining performance obligations $ 696

EARNINGS PER SHARE (Details)

EARNINGS PER SHARE (Details) - USD ($) $ / shares in Units, $ in Thousands3 Months Ended6 Months Ended
Dec. 31, 2020Dec. 31, 2019Dec. 31, 2020Dec. 31, 2019
Earnings Per Share [Abstract]
Income attributable to Trio-Tech International common shareholders from continuing operations, net of tax $ 246 $ 425 $ 241 $ 699
Income/(loss) attributable to Trio-Tech International common shareholders from discontinued operations, net of tax(11)1 (14)0
Net income attributable to Trio-Tech International common shareholders $ 235 $ 426 $ 227 $ 699
Weighted average number of common shares outstanding - basic (in thousands)3,710 3,673 3,710 3,673
Dilutive effect of stock options (in thousands)90 52 83 33
Number of shares used to compute earnings per share - diluted (in thousands)3,800 3,725 3,793 3,706
Basic earnings per share from continuing operations attributable to Trio-Tech International $ 0.06 $ 0.12 $ 0.06 $ 0.19
Basic earnings per share from discontinued operations attributable to Trio-Tech International.00.00.00.00
Basic Earnings per Share from Net Income Attributable to Trio-Tech International0.060.120.060.19
Diluted earnings per share from continuing operations attributable to Trio-Tech International0.06.110.060.19
Diluted earnings per share from discontinued operations attributable to Trio-Tech International0 0 0 0
Diluted Earnings per Share from Net Income Attributable to Trio-Tech International $ 0.06 $ .11 $ 0.06 $ 0.19

STOCK OPTIONS (Details)

STOCK OPTIONS (Details)6 Months Ended
Dec. 31, 2020Dec. 31, 2019
Minimum
Expected volatility45.38%45.38%
Risk-free interest rate0.14%0.30%
Expected life (years)3 months2 years 6 months
Maximum
Expected volatility76.85%97.48%
Risk-free interest rate2.35%2.35%
Expected life (years)4 years 6 months 4 days3 years 3 months

STOCK OPTIONS (Details 1)

STOCK OPTIONS (Details 1) - USD ($)6 Months Ended
Dec. 31, 2020Dec. 31, 2019
2017 Employee Plan
Options outstanding, beginning196,000 136,000
Granted11,000 0
Exercised0 0
Forfeited or expired0 0
Options outstanding, ending207,000 136,000
Options exercisable104,750 53,000
Weighted average exercise price outstanding, beginning $ 3.92 $ 4.53
Granted3.73.00
Exercised.00.00
Forfeited or expired(.00)(.00)
Weighted average exercise price outstanding, ending3.914.53
Weighted average exercise price exercisable $ 4.40 $ 4.88
Weighted average remaining contractual term outstanding, beginning3 years 8 months 19 days4 years 3 months 11 days
Weighted average remaining contractual term outstanding, ending3 years 3 months 22 days3 years 9 months 7 days
Weighted average remaining contractual term exercisable2 years 11 months 16 days3 years 7 months 17 days
Aggregate intrinsic value outstanding, beginning $ 36,000 $ 0
Granted0 0
Exercised0 0
Forfeited or expired0 0
Aggregate intrinsic value outstanding, ending132,490 46,440
Aggregate intrinsic value exercisable $ 45,000 $ 12,570
2007 Employee Plan
Options outstanding, beginning77,500 77,500
Granted0 0
Exercised0 0
Forfeited or expired0 0
Options outstanding, ending77,500 77,500
Options exercisable77,500 68,125
Weighted average exercise price outstanding, beginning $ 3.69 $ 3.69
Granted.000
Exercised.000
Forfeited or expired(.00)0
Weighted average exercise price outstanding, ending3.693.69
Weighted average exercise price exercisable $ 3.69 $ 3.62
Weighted average remaining contractual term outstanding, beginning1 year 2 months 19 days2 years 2 months 19 days
Weighted average remaining contractual term outstanding, ending8 months 16 days1 year 8 months 16 days
Weighted average remaining contractual term exercisable8 months 16 days1 year 7 months 20 days
Aggregate intrinsic value outstanding, beginning $ 0 $ 0
Granted0 0
Exercised0 0
Forfeited or expired0 0
Aggregate intrinsic value outstanding, ending28,000 29,200
Aggregate intrinsic value exercisable $ 28,000 $ 29,200
Directors 2017 Equity Incentive Plan
Options outstanding, beginning240,000 160,000
Granted0 0
Exercised0 0
Forfeited or expired0 0
Options outstanding, ending240,000 160,000
Options exercisable240,000 160,000
Weighted average exercise price outstanding, beginning $ 3.93 $ 4.63
Granted0 0
Exercised0 0
Forfeited or expired0 0
Weighted average exercise price outstanding, ending3.934.63
Weighted average exercise price exercisable $ 3.93 $ 4.63
Weighted average remaining contractual term outstanding, beginning3 years 9 months4 years 3 months
Weighted average remaining contractual term outstanding, ending3 years 2 months 26 days3 years 9 months
Weighted average remaining contractual term exercisable3 years 2 months 26 days3 years 9 months
Aggregate intrinsic value outstanding, beginning $ 48,000 $ 0
Granted0 0
Exercised0 0
Forfeited or expired0 0
Aggregate intrinsic value outstanding, ending168,800 56,800
Aggregate intrinsic value exercisable $ 168,800 $ 56,800
2007 Directors Equity Incentive Plan
Options outstanding, beginning250,000 300,000
Granted0 0
Exercised(50,000)0
Forfeited or expired0 (50,000)
Options outstanding, ending200,000 250,000
Options exercisable200,000 250,000
Weighted average exercise price outstanding, beginning $ 3.32 $ 3.40
Granted.000
Exercised2.690
Forfeited or expired(.00)(3.81)
Weighted average exercise price outstanding, ending3.483.32
Weighted average exercise price exercisable $ 3.48 $ 3.32
Weighted average remaining contractual term outstanding, beginning9 months 29 days1 year 6 months 29 days
Weighted average remaining contractual term outstanding, ending5 months 19 days1 year 3 months 29 days
Weighted average remaining contractual term exercisable5 months 19 days1 year 3 months 29 days
Aggregate intrinsic value outstanding, beginning $ 22,000 $ 9,000
Granted0 0
Exercised0 0
Forfeited or expired0 0
Aggregate intrinsic value outstanding, ending105,000 174,500
Aggregate intrinsic value exercisable $ 105,000 $ 174,500

STOCK OPTIONS (Details 2)

STOCK OPTIONS (Details 2) - $ / shares6 Months Ended
Dec. 31, 2020Dec. 31, 2019
2017 Employee Plan
Non-vested options outstanding, beginning98,000 87,000
Granted11,000 0
Vested(6,750)(4,000)
Forfeited0 0
Non-vested options outstanding, ending102,250 83,000
Weighted average grant-date fair value outstanding, beginning $ 3.39 $ 4.28
Granted.00.00
Vested(.00)(.00)
Forfeited.00.00
Weighted average grant-date fair value outstanding, ending $ 3.40 $ 4.28
2007 Employee Plan
Non-vested options outstanding, beginning9,375
Granted0
Vested0
Forfeited0
Non-vested options outstanding, ending9,375
Weighted average grant-date fair value outstanding, beginning $ 4.14
Granted0
Vested0
Forfeited0
Weighted average grant-date fair value outstanding, ending $ 4.14

STOCK OPTIONS (Details Narrativ

STOCK OPTIONS (Details Narrative) - USD ($) $ / shares in Units, $ in Thousands6 Months Ended
Dec. 31, 2020Dec. 31, 2019
Stock-based compensation expense $ 15 $ 14
2017 Employee Plan
Stock-based compensation expense $ 15 $ 14
Vested stock options104,750 53,000
Weighted-average exercise price, vested options $ 4.40 $ 4.88
Weighted average contractual term2 years 11 months 16 days3 years 7 months 17 days
2007 Employee Plan
Stock-based compensation expense $ 0 $ 0
Vested stock options77,500 68,125
Weighted-average exercise price, vested options $ 3.69 $ 3.62
Weighted average contractual term8 months 16 days1 year 7 months 20 days
Directors 2017 Equity Incentive Plan
Stock-based compensation expense $ 0 $ 0
Vested stock options240,000 160,000
Weighted-average exercise price, vested options $ 3.93 $ 4.63
Weighted average contractual term3 years 2 months 26 days3 years 9 months
2007 Directors Equity Incentive Plan
Stock-based compensation expense $ 0 $ 0
Vested stock options200,000 250,000
Weighted-average exercise price, vested options $ 3.48 $ 3.32
Weighted average contractual term5 months 19 days1 year 3 months 29 days

LEASES (Details)

LEASES (Details) - USD ($) $ in ThousandsDec. 31, 2020Jun. 30, 2020
Leases [Abstract]
2021 $ 68 $ 120
2022110 114
Total $ 178 $ 234

LEASES (Details 1)

LEASES (Details 1) - USD ($) $ in ThousandsDec. 31, 2020Jun. 30, 2020
Finance Leases
Property and equipment, at cost $ 1,880 $ 1,372
Accumulated depreciation(864)(526)
Property and equipment, net1,016 846
Current portion of finance leases227 231
Net of current portion of finance leases353 435
Total finance lease liabilities580 666
Operating Leases
Operating lease right-of-use assets1,514 944
Current portion of operating leases562 477
Net of current portion of operating leases952 467
Total operating lease liabilities $ 1,514 $ 944

LEASES (Details 2)

LEASES (Details 2) - USD ($) $ in Thousands3 Months Ended6 Months Ended
Dec. 31, 2020Dec. 31, 2019Dec. 31, 2020Dec. 31, 2019
Lease Cost
Interest on finance lease $ 8 $ 3 $ 20 $ 24
Amortization of right-of -use assets63 69 125 136
Total finance lease cost71 72 145 160
Operating lease costs $ 189 $ 184 $ 375 $ 359

LEASES (Details 3)

LEASES (Details 3) - USD ($) $ in Thousands6 Months Ended
Dec. 31, 2020Dec. 31, 2019
Leases [Abstract]
Operating cash flows from finance lease $ 19 $ 24
Finance cash flows from finance leases375 359
Finance cash flows from operating leases0 127
Right-of-use assets obtained in exchange for new operating lease liabilities $ 847 $ 0
Weighted-average remaining lease term: finance leases3 years 3 months 22 days3 years 8 months 1 day
Weighted-average remaining lease term: operating leases2 years 11 months 19 days11 months 19 days
Weighted-average discount rate: finance leases3.36%3.43%
Weighted-average discount rate: operating leases4.72%3.25%

LEASES (Details 4)

LEASES (Details 4) - USD ($) $ in ThousandsDec. 31, 2020Jun. 30, 2020
Operating Lease Liabilities
Remainder of 2021 $ 625 $ 509
2022519 317
2023235 169
2024151 0
2025114 0
Total future minimum lease payments1,644 994
Less: amount representing interest(130)(50)
Present value of net minimum lease payments1,514 944
Current562 477
Non-current952 467
Finance Leases Liabilities
Remainder of 2021137 265
2022220 211
2023141 133
2024114 103
202522 20
Total future minimum lease payments634 736
Less: amount representing interest(54)(70)
Present value of net minimum lease payments580 666
Current227 231
Non-current $ 353 $ 435