Document And Entity Information
Document And Entity Information - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Mar. 16, 2018 | Jun. 30, 2017 | |
Document Information [Line Items] | |||
Entity Registrant Name | PSYCHEMEDICS CORP | ||
Entity Central Index Key | 806,517 | ||
Trading Symbol | pmd | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Filer Category | Accelerated Filer | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Common Stock, Shares Outstanding (in shares) | 5,492,053 | ||
Entity Public Float | $ 107 | ||
Document Type | 10-K | ||
Document Period End Date | Dec. 31, 2017 | ||
Document Fiscal Year Focus | 2,017 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Current Assets: | ||
Cash and cash equivalents | $ 8,165 | $ 3,938 |
Accounts receivable, net of allowance for doubtful accounts of $64 in 2017 and $50 in 2016 | 4,488 | 5,837 |
Prepaid expenses and other current assets | 1,212 | 1,079 |
Total Current Assets | 13,865 | 10,854 |
Property and equipment: | ||
Computer software | 3,614 | 3,085 |
Office furniture and equipment | 1,961 | 1,680 |
Laboratory equipment | 15,504 | 15,182 |
Leasehold improvements | 2,402 | 2,311 |
Property and equipment - gross | 23,481 | 22,258 |
Less–accumulated depreciation and amortization | (11,670) | (8,900) |
Property and equipment - net | 11,811 | 13,358 |
Other assets | 832 | 820 |
Total Assets | 26,508 | 25,032 |
Current Liabilities: | ||
Accounts payable | 398 | 1,363 |
Accrued expenses | 2,870 | 1,988 |
Current portion of long-term debt | 957 | 1,144 |
Total Current Liabilities | 4,225 | 4,495 |
Long-term debt | 2,420 | 2,237 |
Deferred tax liabilities, long-term | 1,243 | 2,693 |
Total Liabilities | 7,888 | 9,425 |
Commitments and Contingencies (Note 9) | ||
Shareholders' Equity: | ||
Preferred stock, $0.005 par value, 873 shares authorized, no shares issued or outstanding | ||
Common stock, $0.005 par value; 50,000 shares authorized 6,160 shares issued in 2017 and 6,128 shares issued 2016, 5,492 shares outstanding in 2017 and 5,460 shares outstanding in 2016 | 31 | 31 |
Accumulated other comprehensive loss | (238) | |
Additional paid-in capital | 31,022 | 30,603 |
Less - Treasury stock, at cost, 668 shares | (10,082) | (10,082) |
Accumulated deficit | (2,113) | (4,945) |
Total Shareholders' Equity | 18,620 | 15,607 |
Total Liabilities and Shareholders' Equity | $ 26,508 | $ 25,032 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parentheticals) - USD ($) shares in Thousands, $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Allowance for doubtful accounts | $ 64 | $ 50 |
Preferred stock, par value (in dollars per share) | $ 0.005 | $ 0.005 |
Preferred stock, shares authorized (in shares) | 873 | 873 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Preferred stock, shares outstanding (in shares) | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.005 | $ 0.005 |
Common stock, shares authorized (in shares) | 50,000 | 50,000 |
Common stock, share issued (in shares) | 6,160 | 6,128 |
Common stock, shares outstanding (in shares) | 5,492 | 5,460 |
Treasury stock, shares (in shares) | 668 | 668 |
Consolidated Statements of Inco
Consolidated Statements of Income and Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Revenues | $ 39,701 | $ 38,980 | $ 26,975 |
Cost of revenues | 19,879 | 17,530 | 14,258 |
Gross profit | 19,822 | 21,450 | 12,717 |
Operating Expenses: | |||
General & administrative | 5,642 | 4,965 | 4,561 |
Marketing & selling | 4,666 | 4,960 | 5,053 |
Research & development | 1,357 | 1,415 | 1,632 |
Total Operating Expenses | 11,665 | 11,340 | 11,246 |
Operating income | 8,157 | 10,110 | 1,471 |
Other income (expense) | 20 | (134) | (124) |
Net income before provision for income taxes | 8,177 | 9,976 | 1,347 |
Provision for / (benefit from) income taxes | 2,056 | 3,298 | (164) |
Net income | 6,121 | 6,678 | 1,511 |
Other Comprehensive Income (Loss): | |||
Foreign currency translation | (238) | ||
Total Comprehensive Income (Loss) | $ 5,883 | $ 6,678 | $ 1,511 |
Basic net income per share (in dollars per share) | $ 1.12 | $ 1.23 | $ 0.28 |
Diluted net income per share (in dollars per share) | 1.10 | 1.22 | 0.28 |
Dividends declared per share (in dollars per share) | $ 0.60 | $ 0.60 | $ 0.60 |
Consolidated Statements of Shar
Consolidated Statements of Shareholders' Equity - USD ($) shares in Thousands, $ in Thousands | Common Stock [Member] | Additional Paid-in Capital [Member] | Treasury Stock [Member] | Retained Earnings [Member] | AOCI Attributable to Parent [Member] | Total |
Balance (in shares) at Dec. 31, 2014 | 6,043 | 668 | ||||
Balance at Dec. 31, 2014 | $ 30 | $ 29,454 | $ (10,082) | $ (6,566) | $ 12,836 | |
Shares issued – vested (in shares) | 40 | |||||
Exercise of stock options (in shares) | 8 | |||||
Exercise of stock options | 61 | 61 | ||||
Tax withholding related to vested shares from employee stock plans | (227) | (227) | ||||
Stock compensation expense | 674 | 674 | ||||
Excess tax benefit from stock-based compensation plans | 60 | 60 | ||||
Cash dividends declared ($0.60 per share) | (3,241) | (3,241) | ||||
Net income | 1,511 | 1,511 | ||||
Other comprehensive loss | ||||||
Balance (in shares) at Dec. 31, 2015 | 6,091 | 668 | ||||
Balance at Dec. 31, 2015 | $ 30 | 30,022 | $ (10,082) | (8,296) | 11,674 | |
Shares issued – vested (in shares) | 37 | |||||
Tax withholding related to vested shares from employee stock plans | (202) | (202) | ||||
Stock compensation expense | 671 | 671 | ||||
Excess tax benefit from stock-based compensation plans | 113 | (60) | 53 | |||
Cash dividends declared ($0.60 per share) | (3,267) | (3,267) | ||||
Net income | 6,678 | 6,678 | ||||
Shares issued – vested | $ 1 | (1) | ||||
Other comprehensive loss | ||||||
Balance (in shares) at Dec. 31, 2016 | 6,128 | 668 | ||||
Balance at Dec. 31, 2016 | $ 31 | 30,603 | $ (10,082) | (4,945) | $ 15,607 | |
Shares issued – vested (in shares) | 32 | |||||
Exercise of stock options (in shares) | 2 | |||||
Exercise of stock options | 35 | $ 35 | ||||
Tax withholding related to vested shares from employee stock plans | (198) | (198) | ||||
Stock compensation expense | 582 | 582 | ||||
Cash dividends declared ($0.60 per share) | (3,289) | (3,289) | ||||
Net income | 6,121 | 6,121 | ||||
Other comprehensive loss | $ (238) | (238) | ||||
Balance (in shares) at Dec. 31, 2017 | 6,160 | 668 | ||||
Balance at Dec. 31, 2017 | $ 31 | $ 31,022 | $ (10,082) | $ (2,113) | $ (238) | $ 18,620 |
Consolidated Statements of Sha6
Consolidated Statements of Shareholders' Equity (Parentheticals) - $ / shares | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Common Stock [Member] | |||
Dividends declared per share (in dollars per share) | $ 0.60 | $ 0.60 | $ 0.60 |
Dividends declared per share (in dollars per share) | $ 0.60 | $ 0.60 | $ 0.60 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Cash flows from operating activities: | |||
Net income | $ 6,121 | $ 6,678 | $ 1,511 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Depreciation and amortization | 2,807 | 2,294 | 1,731 |
Deferred income taxes | (1,450) | 168 | 105 |
Stock compensation expense | 582 | 671 | 674 |
Changes in operating assets and liabilities: | |||
Accounts receivable | 1,316 | (2,298) | 539 |
Prepaid expenses, other current assets and income tax receivable | (133) | 822 | 609 |
Accounts payable | (990) | 144 | (98) |
Accrued expenses | 893 | 790 | (491) |
Net cash provided by operating activities | 9,146 | 9,269 | 4,580 |
Cash flows from investing activities: | |||
Increase in long-term assets; capitalized patent costs | (49) | (82) | (46) |
Purchases of property and equipment and capitalized software development costs | (1,197) | (2,012) | (1,752) |
Net cash used in investing activities | (1,246) | (2,094) | (1,798) |
Cash flows from financing activities: | |||
Dividends paid | (3,289) | (3,267) | (3,241) |
Proceeds from stock options and tax withholding related to vested shares from employee stock plans | (163) | (149) | (106) |
Proceeds from equipment financing | 2,078 | 610 | 1,097 |
Payments of equipment financing | (2,082) | (3,120) | (1,455) |
Net cash used in financing activities | (3,456) | (5,926) | (3,705) |
Effect of exchange rate changes on cash and cash equivalents | (217) | ||
Net increase (decrease) in cash and cash equivalents | 4,227 | 1,249 | (923) |
Cash and cash equivalents, beginning of year | 3,938 | 2,689 | 3,612 |
Cash and cash equivalents, end of year | 8,165 | 3,938 | 2,689 |
Supplemental disclosures of cash flow information: | |||
Cash paid for income taxes | 2,824 | 1,814 | 40 |
Cash paid for interest | 70 | 134 | 128 |
Non-cash investing and financing activities: | |||
Purchases of equipment through accounts payable and accrued liabilities | $ 25 | $ 472 | $ 338 |
Note 1 - Nature of Business
Note 1 - Nature of Business | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block] | 1. Psychemedics Corporation (the “Company”) provides hair testing for drugs of abuse, utilizing a patented hair analysis method involving digestion of hair, enzyme immunoassay and mass spectrometry to analyze hair to detect abused substances. The Company’s customers include Fortune 500 |
Note 2 - Summary of Significant
Note 2 - Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Significant Accounting Policies [Text Block] | 2. Risks and Uncertainties The Company is subject to a number of risks and uncertainties similar to those of other companies, such as those associated with the continued expansion of the Company’s sales and marketing network, technological developments, intellectual property protection, development of markets for new products and services offered by the Company, the economic health of principal customers of the Company, financial and operational risks associated with expansion of testing facilities used by the Company, government regulation (including, but not Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States requires management to make estimates, including those related to bad debts, long-lived asset lives, income tax valuation and share based compensation, and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Changes in estimates are recorded in the period in which they become known. Cash Equivalents All highly liquid investments with original maturities of 90 December 31, 2017, $4.6 December 31, 2016 2015, no Fair Value Measurements The Company follows the provisions of Accounting Standards Codification (ASC) 820, Fair Value Measurements and Disclosures 820” 820 820 three first two may Level 1 Level 2 1 Level 3 no A financial instrument’s level is based on the lowest level of any input that is significant to the fair value measurement. Inventory Some materials used in the provision of services to our customers are included in prepaid expenses and recorded to cost of revenues upon use. Most consumables such as chemicals, antibodies and tubes are expensed as purchased. Property and Equipment Property and equipment are stated at cost. Depreciation and amortization are provided over the estimated useful lives of the assets, using the straight-line method. Repair and maintenance costs are expensed as incurred. The estimated useful lives of the assets are: Computer software (in years) 3 to 5 Office furniture and equipment (in years) 3 to 7 Laboratory equipment (in years) 5 to 7 Leasehold improvements (in years) Lesser of estimated useful life or lease term The Company recorded depreciation and amortization related to property and equipment and capitalized software of $2.8 $2.3 $1.7 2017, 2016 2015 December 31, 2017 2016, $0.5 $1.2 not Capitalized Software Development Costs We capitalize costs related to significant software projects developed or obtained for internal use. Costs incurred during the preliminary project work stage or conceptual stage, such as determining the performance requirements, system requirements and data conversion, are expensed as incurred. Costs incurred in the application development phase, such as coding, testing for new software and upgrades that result in additional functionality, are capitalized and are amortized using the straight-line method over the useful life of the software for 5 December 31, 2017, 2016 2015, $511, $315 $364, $418, $435 $422 2017, 2016, 2015, may Other Assets Other assets primarily consist of capitalized legal costs relating to patent applications. The Company amortizes these costs over the lesser of the legal life or estimated useful life of the patent from the date of grant of the applicable patent. The typical life is twenty December 31, 2017, 2016, 2015 $711, $715 $670, $37, $36, $32 2017, 2016 2015, $50 five Revenue Recognition The Company is in the business of performing drug testing services and reporting the results thereof. The Company’s services are primarily drug and alcohol testing for its customers for an agreed-upon fee per unit tested. The revenues are recognized when the drug test is performed and reported to the customer. The Company records revenue for the shipping of samples from the customer or independent hair collection facility to the laboratory for customers that choose to use the Company’s shipping account. The Company also records revenue for the collection of the hair sample for customers that choose to have the Company manage this process at the same time the sample test is completed and results reported to the customer. The associated costs incurred in connection with these services is recorded as costs of revenue. The Company records revenue for these services on a gross basis as it has determined it is the principal under these arrangements. The Company also provides expert testimony, when and if necessary, to support the results of the tests, which is generally billed separately and recognized as the services are provided. Research and Development Expenses The Company expenses all research and development costs as incurred. Income Taxes The Company accounts for income taxes using the liability method pursuant to ASC 740, “Income Taxes” December 31, 2016, 2015 17, Income Taxes - Balance Sheet Classification of Deferred Taxes Concentration of Credit Risk and Off-Balance Sheet Risk The Company has no may not not not Significant Customers The Company had one 10% December 31, 2017 2016. no 10% December 31, 2015. one 23%, 34% 11% December 31, 2017, 2016 2015 Comprehensive Income The Company’s comprehensive income was $5.9 December 31, 2017 December 31, 2016 2015. Stock-Based Compensation The Company accounts for equity awards in accordance with ASC 718, Compensation — Stock Compensation” 718” 718 one not 2016, 2016 09, Improvements to Employee Share-Based Payment Accounting no Stock compensation expense by income statement account is as follows: Year Ended December 31, 2017 2016 2015 Cost of revenues $ 71 $ 88 $ 101 General & administrative 398 420 433 Marketing and selling 55 116 108 Research and development 58 47 32 Total stock compensation $ 582 $ 671 $ 674 See Note 7 Basic and Diluted Net Income per Share Basic net income per share is computed by dividing net income available to common shareholders by the weighted average number of common shares outstanding during the period. Diluted net income per share is computed by dividing net income available to common shareholders by the weighted average number of common shares and dilutive common stock equivalents outstanding during the period. The number of dilutive common stock equivalents outstanding during the period has been determined in accordance with the treasury-stock method. Common equivalent shares consist of common stock issuable upon the exercise of outstanding options and the unvested portion of stock unit awards (“SUAs”). Basic and diluted weighted average common shares outstanding are as follows: 2017 2016 2015 Weighted average common shares outstanding, basic 5,480 5,447 5,405 Dilutive common equivalent shares 60 28 7 Weighted average common shares outstanding, assuming dilution 5,540 5,475 5,412 There were no December 31, 2017 2016. December 31, 2015, 81 not Financial Instruments Financial instruments include cash and accounts receivable and accounts payable. Estimated fair values of these financial instruments approximate carrying values due to their short-term nature. The Company has three 30 2.00%, one 30 1.75%. Basis of Preparation and Consolidation The consolidated financial statements, include the financial statements of the Company and its subsidiaries have been prepared using accounting principles generally accepted in the United States (“U.S. GAAP”). The financial statements of the Company and its subsidiary companies have been consolidated on a line-by-line basis by adding together like items of assets, liabilities, income and expenses. All intercompany transactions and balances have been eliminated. Foreign Currency Translation The functional currency of our Brazil subsidiary is the Brazilian Real. Foreign currency denominated assets and liabilities are translated into U.S. dollars using the exchange rates in effect at the consolidated balance sheet date. Results of operations and cash flows are translated using the average exchange rates throughout the period. The effect of exchange rate fluctuations on translation of assets and liabilities that are in the functional currency is included as a component of shareholders’ equity in accumulated other comprehensive income (loss). The total change in foreign currency translation adjustment for the year ended December 31, 2017 $238 $157 Segment Reporting The Company manages its operations as one 12 Subsequent Events On March 7, 2018, $0.15 $824, March 29, 2018 March 19, 2018. Recent Accounting Pronouncements In February 2016, 2016 02, Leases 12 December 15, 2018 In May 2014, 2014 09, Revenue from Contracts with Customers 2014 09 2014 09 five may The standard’s implementation date, as amended by ASU 2015 14, December 15, 2017, 2014 09 2014 09 not |
Note 3 - Accounts Recievable
Note 3 - Accounts Recievable | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Loans, Notes, Trade and Other Receivables Disclosure [Text Block] | 3. The Company maintains an allowance for uncollectible accounts receivable based on management’s assessment of the collectability of its customer accounts by reviewing customer payment patterns and other relevant factors. The Company reviews the adequacy of the allowance for uncollectible accounts on a quarterly basis and adjusts the balance as determined necessary. Write-offs are recorded at the time a customer account is deemed uncollectable. The following is a rollforward of the Company’s allowance for doubtful accounts: As of December 31, 2017 2016 Balance, beginning of period $ 50 $ 59 Provision for (recoveries of) doubtful accounts 30 16 Write-offs (16 ) (25 ) Balance, end of period $ 64 $ 50 |
Note 4 - Accrued Expenses
Note 4 - Accrued Expenses | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Accounts Payable and Accrued Liabilities Disclosure [Text Block] | 4. Accrued expenses consist of the following: As of December 31, 2017 2016 Accrued payroll and employee benefits $ 291 $ 311 Accrued bonus expense 290 407 Accrued vacation expense 481 431 Accrued taxes 1,086 288 Accrued shipping expense 364 - Deferred revenue 78 125 Other accrued expenses 280 426 Total Accrued Expenses $ 2,870 $ 1,988 |
Note 5 - Income Taxes
Note 5 - Income Taxes | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Income Tax Disclosure [Text Block] | 5. The income tax provision consists of the following: As of December 31, 2017 2016 2015 Current – Federal $ 2,507 $ 3,016 $ (214 ) State 101 114 (55 ) Foreign 898 - - 3,506 3,130 (269 ) Deferred – Federal (1,326 ) 279 544 State (124 ) (111 ) (439 ) Foreign - - - (1,450 ) 168 105 Income Tax Provision $ 2,056 $ 3,298 $ (164 ) A reconciliation of the effective rate with the federal statutory rate is as follows: 2017 2016 2015 Federal statutory rate 34.0 % 34.0 % 34.0 % State income taxes, net of federal benefit -0.2 % 0.1 % -22.0 % Permanent differences 0.4 % 0.1 % 1.3 % Stock based compensation -0.7 % 0.0 % 3.9 % Federal R&D Credits -1.3 % -1.1 % -29.4 % Foreign Taxes 7.1 % 0.0 % 0.0 % Federal Deferred Rate Decrease -14.2 % 0.0 % 0.0 % Effective tax rate 25.1 % 33.1 % -12.2 % On December 22, 2017, 2017, not 2018 35% 21%. 21%. $1.2 14.2 7.1% December 31, 2015, 12.2% December 31, 2017, no 2016. December 31, 2017, $731 2012 2017 On December 22, 2017, No. 118, 118” not At December 31, 2017, not one December 31, 2017, no may The components of the net deferred tax liabilities included in the accompanying balance sheets are as follows: Year Ended December 31, 2017 2016 Net deferred tax liability: Excess of tax over book depreciation and amortization $ (1,980 ) $ (3,321 ) Prepaid expenses (39 ) (55 ) Allowance for doubtful accounts 14 18 Accrued expenses 105 133 Stock-based compensation 79 135 R&D tax credits 578 397 Net deferred tax liabilities $ (1,243 ) $ (2,693 ) ASC 740 two first not second 50% may may not 2016, No 2015 17, Income Taxes - Balance Sheet Classification of Deferred Taxes The Company operates within multiple taxing jurisdictions and could be subject to audit in these jurisdictions. These audits may may not December 31, 2017 2016. December 31, 2014 December 31, 2017 |
Note 6 - Preferred Stock
Note 6 - Preferred Stock | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Preferred Stock [Text Block] | 6. The Board of Directors has the authority to designate authorized preferred shares in one no |
Note 7 - Stock-based Awards
Note 7 - Stock-based Awards | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Disclosure of Compensation Related Costs, Share-based Payments [Text Block] | 7. The 2006 2006, 2011, ten 2016, 2006 500 850 December 31, 2017, 199 2006 The fair value of the SUAs is determined by the closing price on the date of grant. The fair value of options is determined using a Black-Scholes model. The SUAs vest over a period of two four 2016 09 2016, no On May 4, 2017, 12.5 121 two four two four September 15, 2015 five 10 No 2006 The following table represents all shares granted by the Company under the 2006 three Grant Date Type Shares Fair Value (1) May 4, 2017 Options 121 $ 4.46 May 4, 2017 SUA 13 $ 18.87 May 12, 2016 Options 121 $ 2.34 May 12, 2016 SUA 17 $ 13.82 September 15, 2015 Options 47 $ 1.91 September 15, 2015 SUA 1 $ 10.21 April 29, 2015 SUA 44 $ 16.10 ( 1 The fair value for the SUA’s is the closing price of the Company’s stock on that date. The fair value for options represents the fair value calculated using the Black-Scholes model. Options have contractual lives of 10 September 15, 2015 $1.91 $10.21 6.5 36% 2.2% 6.0% May 12, 2016 $2.34 $13.82 6.25 33% 1.75% 5.6% May 4, 2017 $4.46 $18.87 6.25 37% 2.75% 4.7% A summary of the Company’s stock option activity is as follows: Number of Weighted Ave. Aggregate (2) Outstanding, December 31, 2016 160 $ 12.76 $ 1,907 Granted 121 $ 18.87 Exercised (2 ) $ 13.82 Forfeited - $ - Outstanding, December 31, 2017 279 $ 15.40 $ 1,436 Exercisable, December 31, 2017 56 $ 446 ( 2 The aggregate intrinsic value on this table was calculated based on the amount, if any, by which the closing market price of the Company’s stock on December 31 December 31, 2017 2016 $20.56 $24.68, There were 2.5 2006 December 31, 2017. no 2006 December 31, 2016 2015. 134 41 December 31, 2016 2015, 56 December 31, 2017 9 December 31, 2016. A summary of the Company’s stock unit award activity is as follows: Weighted Weighted Number of Average Price Average Fair Shares per Share (3) Value (3) Outstanding & Unvested, December 31, 2016 74 $ 14.62 $ 1,077 Granted 13 $ 18.87 $ 236 Converted to common stock (10 ) $ 13.84 $ (138 ) Cancelled (15 ) $ 16.15 $ (241 ) Forfeited (29 ) $ 14.25 $ (418 ) Outstanding & Unvested, December 31, 2017 33 $ 16.08 $ 516 ( 3 Weighted average price per share is the weighted grant price based on the closing market price of each of the stock grants related to each transaction type. The Weighted average fair value is the weighted average share price times the number of shares. The fair value of stock unit award vesting was $677 $691 $641 December 31, 2017, 2016 2015, $776 $727 $824 December 31, 2017, 2016 2015, As of December 31, 2017, 508 2006 December 31, 2017, $938 2.8 |
Note 8 - Employee Benefit Plan
Note 8 - Employee Benefit Plan | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Compensation and Employee Benefit Plans [Text Block] | 8. The Psychemedics Corporation 401 401 401 21 401 may, not $246 $246 $242 December 31, 2017, 2016 2015, |
Note 9 - Commitments and Contin
Note 9 - Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Commitments and Contingencies Disclosure [Text Block] | 9. Commitments The Company leases certain of its facilities and equipment under operating lease agreements expiring on various dates through February 2023. $0.9 $0.9 $1.0 2017, 2016 2015, At December 31, 2017, Years Ending December 31: 2018 $ 928 2019 574 2020 485 2021 108 2022 108 2023 18 Total $ 2,221 Contingencies The Company is subject legal proceedings and claims in the ordinary course of its business. The Company believes that although there can be no not |
Note 10 - Debt and Other Financ
Note 10 - Debt and Other Financing Agreements | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Debt Disclosure [Text Block] | 10. On March 20, 2014, August 8, 2014, September 15, 2015 October 30, 2017, $12.8 60 30 2.00% October 2017 30 1.75% October 2017. 60 first December 31, 2017. December 31, 2017 $6.9 Under the Equipment Loan Arrangement, the Company executed notes on March 24, 2014, May 22, 2014, June 13, 2014, August 8, 2014, September 15, 2015, March 23, 2016 November 10, 2017 $1.1 $1.9 $3.0 $1.0 $1.1 $610 $2.1 $10.8 $2.1 $3.1 2017 2016, December 31, 2017, $1.9 December 31, 2017 3.0% $72 December 31, 2017, 3.3%. The annual principal repayment requirements for debt obligations as of December 31, 2017 2018 $ 957 2019 891 2020 702 2021 446 2022 381 Total long-term debt 3,377 Less current portion of long-term debt (957 ) Total long-term debt, net of current portion $ 2,420 |
Note 11 - Selected Quarterly Fi
Note 11 - Selected Quarterly Financial Data (Unaudited) | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Quarterly Financial Information [Text Block] | 11. The following are selected quarterly financial data for the years ended December 31, 2017 2016: Quarter Ended - 2017 MAR 31 JUN 30 SEP 30 DEC 31 Revenues $ 10,209 $ 9,684 $ 10,049 $ 9,760 Gross profit 5,316 4,609 5,121 4,777 Income from operations 2,268 1,710 2,232 1,947 Net income 1,500 907 1,364 2,350 Basic net income per share $ 0.27 $ 0.17 $ 0.25 $ 0.43 Diluted net income per share $ 0.27 $ 0.16 $ 0.25 $ 0.42 Quarter Ended - 2016 MAR 31 JUN 30 SEP 30 DEC 31 Revenues $ 6,667 $ 9,700 $ 11,849 $ 10,764 Gross profit 2,738 5,209 7,105 6,398 Income (loss) from operations (2 ) 2,371 4,104 3,637 Net income (loss) (23 ) 1,633 2,708 2,360 Basic net income per share $ 0.00 $ 0.30 $ 0.49 $ 0.44 Diluted net income per share $ 0.00 $ 0.30 $ 0.49 $ 0.43 |
Note 12 - Business Segment Repo
Note 12 - Business Segment Reporting | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Segment Reporting Disclosure [Text Block] | 12. The Company manages its operations as one one 10% Year Ended December 31, 2017 2016 2015 Consolidated Revenue: United States $ 26,327 $ 25,608 $ 25,836 Brazil 13,069 13,083 746 Other Foreign Countries 305 289 393 Total Revenue $ 39,701 $ 38,980 $ 26,975 |
Significant Accounting Policies
Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Policies [Abstract] | |
Risks and Uncertainties [Policy Text Block] | Risks and Uncertainties The Company is subject to a number of risks and uncertainties similar to those of other companies, such as those associated with the continued expansion of the Company’s sales and marketing network, technological developments, intellectual property protection, development of markets for new products and services offered by the Company, the economic health of principal customers of the Company, financial and operational risks associated with expansion of testing facilities used by the Company, government regulation (including, but not |
Use of Estimates, Policy [Policy Text Block] | Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States requires management to make estimates, including those related to bad debts, long-lived asset lives, income tax valuation and share based compensation, and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Changes in estimates are recorded in the period in which they become known. |
Cash and Cash Equivalents, Policy [Policy Text Block] | Cash Equivalents All highly liquid investments with original maturities of 90 December 31, 2017, $4.6 December 31, 2016 2015, no |
Fair Value Measurement, Policy [Policy Text Block] | Fair Value Measurements The Company follows the provisions of Accounting Standards Codification (ASC) 820, Fair Value Measurements and Disclosures 820” 820 820 three first two may Level 1 Level 2 1 Level 3 no A financial instrument’s level is based on the lowest level of any input that is significant to the fair value measurement. |
Inventory, Policy [Policy Text Block] | Inventory Some materials used in the provision of services to our customers are included in prepaid expenses and recorded to cost of revenues upon use. Most consumables such as chemicals, antibodies and tubes are expensed as purchased. |
Property, Plant and Equipment, Policy [Policy Text Block] | Property and Equipment Property and equipment are stated at cost. Depreciation and amortization are provided over the estimated useful lives of the assets, using the straight-line method. Repair and maintenance costs are expensed as incurred. The estimated useful lives of the assets are: Computer software (in years) 3 to 5 Office furniture and equipment (in years) 3 to 7 Laboratory equipment (in years) 5 to 7 Leasehold improvements (in years) Lesser of estimated useful life or lease term The Company recorded depreciation and amortization related to property and equipment and capitalized software of $2.8 $2.3 $1.7 2017, 2016 2015 December 31, 2017 2016, $0.5 $1.2 not |
Research, Development, and Computer Software, Policy [Policy Text Block] | Capitalized Software Development Costs We capitalize costs related to significant software projects developed or obtained for internal use. Costs incurred during the preliminary project work stage or conceptual stage, such as determining the performance requirements, system requirements and data conversion, are expensed as incurred. Costs incurred in the application development phase, such as coding, testing for new software and upgrades that result in additional functionality, are capitalized and are amortized using the straight-line method over the useful life of the software for 5 December 31, 2017, 2016 2015, $511, $315 $364, $418, $435 $422 2017, 2016, 2015, may |
Other Assets [Policy Text Block] | Other Assets Other assets primarily consist of capitalized legal costs relating to patent applications. The Company amortizes these costs over the lesser of the legal life or estimated useful life of the patent from the date of grant of the applicable patent. The typical life is twenty December 31, 2017, 2016, 2015 $711, $715 $670, $37, $36, $32 2017, 2016 2015, $50 five |
Revenue Recognition, Policy [Policy Text Block] | Revenue Recognition The Company is in the business of performing drug testing services and reporting the results thereof. The Company’s services are primarily drug and alcohol testing for its customers for an agreed-upon fee per unit tested. The revenues are recognized when the drug test is performed and reported to the customer. The Company records revenue for the shipping of samples from the customer or independent hair collection facility to the laboratory for customers that choose to use the Company’s shipping account. The Company also records revenue for the collection of the hair sample for customers that choose to have the Company manage this process at the same time the sample test is completed and results reported to the customer. The associated costs incurred in connection with these services is recorded as costs of revenue. The Company records revenue for these services on a gross basis as it has determined it is the principal under these arrangements. The Company also provides expert testimony, when and if necessary, to support the results of the tests, which is generally billed separately and recognized as the services are provided. |
Research and Development Expense, Policy [Policy Text Block] | Research and Development Expenses The Company expenses all research and development costs as incurred. |
Income Tax, Policy [Policy Text Block] | Income Taxes The Company accounts for income taxes using the liability method pursuant to ASC 740, “Income Taxes” December 31, 2016, 2015 17, Income Taxes - Balance Sheet Classification of Deferred Taxes |
Concentration Risk, Credit Risk, Policy [Policy Text Block] | Concentration of Credit Risk and Off-Balance Sheet Risk The Company has no may not not not |
Major Customers, Policy [Policy Text Block] | Significant Customers The Company had one 10% December 31, 2017 2016. no 10% December 31, 2015. one 23%, 34% 11% December 31, 2017, 2016 2015 |
Comprehensive Income, Policy [Policy Text Block] | Comprehensive Income The Company’s comprehensive income was $5.9 December 31, 2017 December 31, 2016 2015. |
Share-based Compensation, Option and Incentive Plans Policy [Policy Text Block] | Stock-Based Compensation The Company accounts for equity awards in accordance with ASC 718, Compensation — Stock Compensation” 718” 718 one not 2016, 2016 09, Improvements to Employee Share-Based Payment Accounting no Stock compensation expense by income statement account is as follows: Year Ended December 31, 2017 2016 2015 Cost of revenues $ 71 $ 88 $ 101 General & administrative 398 420 433 Marketing and selling 55 116 108 Research and development 58 47 32 Total stock compensation $ 582 $ 671 $ 674 See Note 7 |
Earnings Per Share, Policy [Policy Text Block] | Basic and Diluted Net Income per Share Basic net income per share is computed by dividing net income available to common shareholders by the weighted average number of common shares outstanding during the period. Diluted net income per share is computed by dividing net income available to common shareholders by the weighted average number of common shares and dilutive common stock equivalents outstanding during the period. The number of dilutive common stock equivalents outstanding during the period has been determined in accordance with the treasury-stock method. Common equivalent shares consist of common stock issuable upon the exercise of outstanding options and the unvested portion of stock unit awards (“SUAs”). Basic and diluted weighted average common shares outstanding are as follows: 2017 2016 2015 Weighted average common shares outstanding, basic 5,480 5,447 5,405 Dilutive common equivalent shares 60 28 7 Weighted average common shares outstanding, assuming dilution 5,540 5,475 5,412 There were no December 31, 2017 2016. December 31, 2015, 81 not |
Fair Value of Financial Instruments, Policy [Policy Text Block] | Financial Instruments Financial instruments include cash and accounts receivable and accounts payable. Estimated fair values of these financial instruments approximate carrying values due to their short-term nature. The Company has three 30 2.00%, one 30 1.75%. |
Basis of Presentation and Consolidation, Policy [Policy Text Block] | Basis of Preparation and Consolidation The consolidated financial statements, include the financial statements of the Company and its subsidiaries have been prepared using accounting principles generally accepted in the United States (“U.S. GAAP”). The financial statements of the Company and its subsidiary companies have been consolidated on a line-by-line basis by adding together like items of assets, liabilities, income and expenses. All intercompany transactions and balances have been eliminated. |
Foreign Currency Transactions and Translations Policy [Policy Text Block] | Foreign Currency Translation The functional currency of our Brazil subsidiary is the Brazilian Real. Foreign currency denominated assets and liabilities are translated into U.S. dollars using the exchange rates in effect at the consolidated balance sheet date. Results of operations and cash flows are translated using the average exchange rates throughout the period. The effect of exchange rate fluctuations on translation of assets and liabilities that are in the functional currency is included as a component of shareholders’ equity in accumulated other comprehensive income (loss). The total change in foreign currency translation adjustment for the year ended December 31, 2017 $238 $157 |
Segment Reporting, Policy [Policy Text Block] | Segment Reporting The Company manages its operations as one 12 |
Subsequent Events, Policy [Policy Text Block] | Subsequent Events On March 7, 2018, $0.15 $824, March 29, 2018 March 19, 2018. |
New Accounting Pronouncements, Policy [Policy Text Block] | Recent Accounting Pronouncements In February 2016, 2016 02, Leases 12 December 15, 2018 In May 2014, 2014 09, Revenue from Contracts with Customers 2014 09 2014 09 five may The standard’s implementation date, as amended by ASU 2015 14, December 15, 2017, 2014 09 2014 09 not |
Note 2 - Summary of Significa21
Note 2 - Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Property, Plant and Equipment [Table Text Block] | Computer software (in years) 3 to 5 Office furniture and equipment (in years) 3 to 7 Laboratory equipment (in years) 5 to 7 Leasehold improvements (in years) Lesser of estimated useful life or lease term |
Schedule of Stock Based Compensation Expense [Table Text Block] | Year Ended December 31, 2017 2016 2015 Cost of revenues $ 71 $ 88 $ 101 General & administrative 398 420 433 Marketing and selling 55 116 108 Research and development 58 47 32 Total stock compensation $ 582 $ 671 $ 674 |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | 2017 2016 2015 Weighted average common shares outstanding, basic 5,480 5,447 5,405 Dilutive common equivalent shares 60 28 7 Weighted average common shares outstanding, assuming dilution 5,540 5,475 5,412 |
Note 3 - Accounts Recievable (T
Note 3 - Accounts Recievable (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Schedule of Credit Losses for Financing Receivables, Current [Table Text Block] | As of December 31, 2017 2016 Balance, beginning of period $ 50 $ 59 Provision for (recoveries of) doubtful accounts 30 16 Write-offs (16 ) (25 ) Balance, end of period $ 64 $ 50 |
Note 4 - Accrued Expenses (Tabl
Note 4 - Accrued Expenses (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Schedule of Accrued Liabilities [Table Text Block] | As of December 31, 2017 2016 Accrued payroll and employee benefits $ 291 $ 311 Accrued bonus expense 290 407 Accrued vacation expense 481 431 Accrued taxes 1,086 288 Accrued shipping expense 364 - Deferred revenue 78 125 Other accrued expenses 280 426 Total Accrued Expenses $ 2,870 $ 1,988 |
Note 5 - Income Taxes (Tables)
Note 5 - Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Schedule of Components of Income Tax Expense (Benefit) [Table Text Block] | As of December 31, 2017 2016 2015 Current – Federal $ 2,507 $ 3,016 $ (214 ) State 101 114 (55 ) Foreign 898 - - 3,506 3,130 (269 ) Deferred – Federal (1,326 ) 279 544 State (124 ) (111 ) (439 ) Foreign - - - (1,450 ) 168 105 Income Tax Provision $ 2,056 $ 3,298 $ (164 ) |
Schedule of Effective Income Tax Rate Reconciliation [Table Text Block] | 2017 2016 2015 Federal statutory rate 34.0 % 34.0 % 34.0 % State income taxes, net of federal benefit -0.2 % 0.1 % -22.0 % Permanent differences 0.4 % 0.1 % 1.3 % Stock based compensation -0.7 % 0.0 % 3.9 % Federal R&D Credits -1.3 % -1.1 % -29.4 % Foreign Taxes 7.1 % 0.0 % 0.0 % Federal Deferred Rate Decrease -14.2 % 0.0 % 0.0 % Effective tax rate 25.1 % 33.1 % -12.2 % |
Schedule of Deferred Tax Assets and Liabilities [Table Text Block] | Year Ended December 31, 2017 2016 Net deferred tax liability: Excess of tax over book depreciation and amortization $ (1,980 ) $ (3,321 ) Prepaid expenses (39 ) (55 ) Allowance for doubtful accounts 14 18 Accrued expenses 105 133 Stock-based compensation 79 135 R&D tax credits 578 397 Net deferred tax liabilities $ (1,243 ) $ (2,693 ) |
Note 7 - Stock-based Awards (Ta
Note 7 - Stock-based Awards (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Weighted Average Grant Date Fair Value [Table Text Block] | Grant Date Type Shares Fair Value (1) May 4, 2017 Options 121 $ 4.46 May 4, 2017 SUA 13 $ 18.87 May 12, 2016 Options 121 $ 2.34 May 12, 2016 SUA 17 $ 13.82 September 15, 2015 Options 47 $ 1.91 September 15, 2015 SUA 1 $ 10.21 April 29, 2015 SUA 44 $ 16.10 |
Share-based Compensation, Stock Options, Activity [Table Text Block] | Number of Weighted Ave. Aggregate (2) Outstanding, December 31, 2016 160 $ 12.76 $ 1,907 Granted 121 $ 18.87 Exercised (2 ) $ 13.82 Forfeited - $ - Outstanding, December 31, 2017 279 $ 15.40 $ 1,436 Exercisable, December 31, 2017 56 $ 446 |
Schedule of Nonvested Restricted Stock Units Activity [Table Text Block] | Weighted Weighted Number of Average Price Average Fair Shares per Share (3) Value (3) Outstanding & Unvested, December 31, 2016 74 $ 14.62 $ 1,077 Granted 13 $ 18.87 $ 236 Converted to common stock (10 ) $ 13.84 $ (138 ) Cancelled (15 ) $ 16.15 $ (241 ) Forfeited (29 ) $ 14.25 $ (418 ) Outstanding & Unvested, December 31, 2017 33 $ 16.08 $ 516 |
Note 9 - Commitments and Cont26
Note 9 - Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Schedule of Future Minimum Rental Payments for Operating Leases [Table Text Block] | Years Ending December 31: 2018 $ 928 2019 574 2020 485 2021 108 2022 108 2023 18 Total $ 2,221 |
Note 10 - Debt and Other Fina27
Note 10 - Debt and Other Financing Agreements (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Schedule of Long-term Debt Instruments [Table Text Block] | 2018 $ 957 2019 891 2020 702 2021 446 2022 381 Total long-term debt 3,377 Less current portion of long-term debt (957 ) Total long-term debt, net of current portion $ 2,420 |
Note 11 - Selected Quarterly 28
Note 11 - Selected Quarterly Financial Data (Unaudited) (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Quarterly Financial Information [Table Text Block] | Quarter Ended - 2017 MAR 31 JUN 30 SEP 30 DEC 31 Revenues $ 10,209 $ 9,684 $ 10,049 $ 9,760 Gross profit 5,316 4,609 5,121 4,777 Income from operations 2,268 1,710 2,232 1,947 Net income 1,500 907 1,364 2,350 Basic net income per share $ 0.27 $ 0.17 $ 0.25 $ 0.43 Diluted net income per share $ 0.27 $ 0.16 $ 0.25 $ 0.42 Quarter Ended - 2016 MAR 31 JUN 30 SEP 30 DEC 31 Revenues $ 6,667 $ 9,700 $ 11,849 $ 10,764 Gross profit 2,738 5,209 7,105 6,398 Income (loss) from operations (2 ) 2,371 4,104 3,637 Net income (loss) (23 ) 1,633 2,708 2,360 Basic net income per share $ 0.00 $ 0.30 $ 0.49 $ 0.44 Diluted net income per share $ 0.00 $ 0.30 $ 0.49 $ 0.43 |
Note 12 - Business Segment Re29
Note 12 - Business Segment Reporting (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Revenue from External Customers by Geographic Areas [Table Text Block] | Year Ended December 31, 2017 2016 2015 Consolidated Revenue: United States $ 26,327 $ 25,608 $ 25,836 Brazil 13,069 13,083 746 Other Foreign Countries 305 289 393 Total Revenue $ 39,701 $ 38,980 $ 26,975 |
Note 2 - Summary of Significa30
Note 2 - Summary of Significant Accounting Policies (Details Textual) $ / shares in Units, shares in Thousands, $ in Thousands | Feb. 14, 2018USD ($)$ / shares | Dec. 31, 2017USD ($)$ / sharesshares | Dec. 31, 2016USD ($)$ / sharesshares | Dec. 31, 2015USD ($)$ / sharesshares |
Certificates of Deposit, at Carrying Value | $ 4,600 | |||
Depreciation, Depletion and Amortization, Nonproduction | 2,800 | $ 2,300 | $ 1,700 | |
Public Utilities, Property, Plant and Equipment, Equipment | 500 | $ 1,200 | ||
Other Comprehensive Income (Loss), before Tax, Portion Attributable to Parent | $ 5,900 | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | shares | 0 | 0 | 81 | |
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, before Tax, Portion Attributable to Parent | $ (238) | |||
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Gain (Loss) Arising During Period, Net of Tax | $ (157) | |||
Number of Operating Segments | 1 | |||
Common Stock, Dividends, Per Share, Declared | $ / shares | $ 0.60 | $ 0.60 | $ 0.60 | |
Subsequent Event [Member] | ||||
Common Stock, Dividends, Per Share, Declared | $ / shares | $ 0.15 | |||
Dividends Payable | $ 824 | |||
Dividends Payable, Date to be Paid | Mar. 9, 2018 | |||
Dividends Payable, Date of Record | Feb. 26, 2018 | |||
Credit Concentration Risk [Member] | Accounts Receivable [Member] | Customer One [Member] | ||||
Concentration Risk, Percentage | 23.00% | 34.00% | 11.00% | |
Credit Concentration Risk [Member] | Sales Revenue, Net [Member] | Customer One [Member] | ||||
Concentration Risk, Percentage | 10.00% | |||
Customer Concentration Risk [Member] | Sales Revenue, Net [Member] | ||||
Number of Major Customers | 1 | 1 | ||
Patents [Member] | ||||
Amortization | $ 37 | $ 36 | $ 32 | |
Finite-Lived Intangible Asset, Useful Life | 20 years | |||
Legal Cost Capitalized | $ 711 | 715 | 670 | |
Patents [Member] | Maximum [Member] | ||||
Finite-Lived Intangible Assets, Amortization Expense, Next Twelve Months | 50 | |||
Finite-Lived Intangible Assets, Amortization Expense, Year Two | 50 | |||
Finite-Lived Intangible Assets, Amortization Expense, Year Three | 50 | |||
Finite-Lived Intangible Assets, Amortization Expense, Year Four | 50 | |||
Finite-Lived Intangible Assets, Amortization Expense, Year Five | $ 50 | |||
Software Development [Member] | ||||
Property, Plant and Equipment, Useful Life | 5 years | |||
Software Development Cost Capitalized | $ 511 | 315 | 364 | |
Amortization | $ 418 | $ 435 | $ 422 |
Note 2 - Summary of Significa31
Note 2 - Summary of Significant Accounting Policies - Summary of Useful Lives of Assets (Details) | 12 Months Ended |
Dec. 31, 2017 | |
Minimum [Member] | Office Equipment [Member] | |
Computer software (in years) (Year) | 3 years |
Minimum [Member] | Laboratory Equipment [Member] | |
Computer software (in years) (Year) | 5 years |
Minimum [Member] | Computer Software, Intangible Asset [Member] | |
Computer software (in years) (Year) | 3 years |
Maximum [Member] | Office Equipment [Member] | |
Computer software (in years) (Year) | 7 years |
Maximum [Member] | Laboratory Equipment [Member] | |
Computer software (in years) (Year) | 7 years |
Maximum [Member] | Computer Software, Intangible Asset [Member] | |
Computer software (in years) (Year) | 5 years |
Note 2 - Summary of Significa32
Note 2 - Summary of Significant Accounting Policies - Summary of Stock Compensation Expense by Income Statement Account (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Stock compensation expense | $ 582 | $ 671 | $ 674 |
Cost of Sales [Member] | |||
Stock compensation expense | 71 | 88 | 101 |
General and Administrative Expense [Member] | |||
Stock compensation expense | 398 | 420 | 433 |
Selling and Marketing Expense [Member] | |||
Stock compensation expense | 55 | 116 | 108 |
Research and Development Expense [Member] | |||
Stock compensation expense | $ 58 | $ 47 | $ 32 |
Note 2 - Summary of Significa33
Note 2 - Summary of Significant Accounting Policies - Basic and Diluted Weighted Average Common Shares Outstanding (Details) - shares shares in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Weighted average common shares outstanding, basic (in shares) | 5,480 | 5,447 | 5,405 |
Dilutive common equivalent shares (in shares) | 60 | 28 | 7 |
Weighted average common shares outstanding, assuming dilution (in shares) | 5,540 | 5,475 | 5,412 |
Note 3 - Accounts Receivable -
Note 3 - Accounts Receivable - Summary of the Allowance for Doubtful Accounts (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Balance, beginning of period | $ 50 | $ 59 |
Provision for (recoveries of) doubtful accounts | 30 | 16 |
Write-offs | (16) | (25) |
Balance, end of period | $ 64 | $ 50 |
Note 4 - Accrued Expenses - Sum
Note 4 - Accrued Expenses - Summary of Accrued Expenses (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Accrued payroll and employee benefits | $ 291 | $ 311 |
Accrued bonus expense | 290 | 407 |
Accrued vacation expense | 481 | 431 |
Accrued taxes | 1,086 | 288 |
Accrued shipping expense | 364 | |
Deferred revenue | 78 | 125 |
Other accrued expenses | 280 | 426 |
Total Accrued Expenses | $ 2,870 | $ 1,988 |
Note 5 - Income Taxes (Details
Note 5 - Income Taxes (Details Textual) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent | 34.00% | 34.00% | 34.00% | |
Income Tax Expense (Benefit), Continuing Operations, Adjustment of Deferred Tax (Asset) Liability | $ (1,200) | |||
Effective Income Tax Rate Reconciliation, Change in Enacted Tax Rate, Percent | (14.20%) | 0.00% | 0.00% | |
Income Tax Reconciliation, Foreign Income Tax Witholdings | 7.10% | 0.00% | 0.00% | |
Effective Income Tax Rate Reconciliation, Percent | 25.10% | 33.10% | (12.20%) | |
Income Tax Examination, Penalties and Interest Accrued | $ 0 | $ 0 | ||
Internal Revenue Service (IRS) [Member] | Domestic Tax Authority [Member] | ||||
Tax Credit Carryforward, Amount | 0 | |||
California Franchise Tax Board [Member] | State and Local Jurisdiction [Member] | ||||
Tax Credit Carryforward, Amount | $ 731 | |||
Maximum [Member] | ||||
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent | 35.00% | |||
Minimum [Member] | Scenario, Forecast [Member] | ||||
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent | 21.00% |
Note 5 - Income Taxes - Summary
Note 5 - Income Taxes - Summary of Income Tax Provision (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Federal | $ 2,507 | $ 3,016 | $ (214) |
State | 101 | 114 | (55) |
Foreign | 898 | ||
Total Current | 3,506 | 3,130 | (269) |
Federal | (1,326) | 279 | 544 |
State | (124) | (111) | (439) |
Foreign | |||
Total Deffered | (1,450) | 168 | 105 |
Income Tax Provision | $ 2,056 | $ 3,298 | $ (164) |
Note 5 - Income Taxes - Reconci
Note 5 - Income Taxes - Reconciliation of Effective Rate with Federal Statutory Rate (Details) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Federal statutory rate | 34.00% | 34.00% | 34.00% |
State income taxes, net of federal benefit | (0.20%) | 0.10% | (22.00%) |
Permanent differences | 0.40% | 0.10% | 1.30% |
Stock based compensation | (0.70%) | 0.00% | 3.90% |
Federal R&D Credits | (1.30%) | (1.10%) | (29.40%) |
Foreign Taxes | 7.10% | 0.00% | 0.00% |
Federal Deferred Rate Decrease | 14.20% | 0.00% | 0.00% |
Federal Deferred Rate Decrease | (14.20%) | 0.00% | 0.00% |
Effective tax rate | 25.10% | 33.10% | (12.20%) |
Note 5 - Income Taxes - Compone
Note 5 - Income Taxes - Components of Net Deferred Tax Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Net deferred tax liability: | ||
Excess of tax over book depreciation and amortization | $ (1,980) | $ (3,321) |
Prepaid expenses | (39) | (55) |
Allowance for doubtful accounts | 14 | 18 |
Accrued expenses | 105 | 133 |
Stock-based compensation | 79 | 135 |
R&D tax credits | 578 | 397 |
Net deferred tax liabilities | $ (1,243) | $ (2,693) |
Note 7 - Stock-based Awards (De
Note 7 - Stock-based Awards (Details Textual) - USD ($) $ / shares in Units, $ in Thousands | May 04, 2017 | May 12, 2016 | Sep. 15, 2015 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant | 199,000 | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 121,000 | 121,000 | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period | 10 years | |||||
Share Price | $ 4.46 | $ 2.34 | $ 1.91 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Weighted Average Grant Date Fair Value | $ 18.87 | $ 13.82 | $ 10.21 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Term | 6 years 91 days | 6 years 91 days | 6 years 182 days | |||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Volatility Rate | 37.00% | 33.00% | 36.00% | |||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Risk Free Interest Rate | 2.75% | 1.75% | 2.20% | |||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Dividend Rate | 4.70% | 5.60% | 6.00% | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period | 2,000 | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercisable, Number | 56,000 | 9,000 | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested in Period, Fair Value | $ 677 | $ 691 | $ 641 | |||
Conversion of Stock, Amount Issued | $ 776 | $ 727 | $ 824 | |||
Non-Employee Board Members [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 2 years | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period | 2 years | |||||
Employees [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 4 years | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period | 4 years | |||||
Stock Unit Awards [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 12,500 | |||||
Employee Stock Option [Member] | ||||||
Share Price | $ 20.56 | $ 24.68 | ||||
Incentive Plan 2006 [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period | 2,500 | 0 | 0 | |||
Common Stock, Capital Shares Reserved for Future Issuance | 508,000 | |||||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Not yet Recognized, Stock Options | $ 938 | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Remaining Contractual Term | 2 years 292 days | |||||
Expired Stock Option [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period | 134,000 | 41,000 | ||||
Minimum [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant | 500,000 | |||||
Maximum [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant | 850,000 |
Note 7 - Stock-based Awards - S
Note 7 - Stock-based Awards - Summary of Shares Granted Under the 2006 Incentive Plan (Details) - $ / shares | May 04, 2017 | Dec. 31, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 121,000 | 121,000 | |
Fair value per share (in dollars per share) | $ 18.87 | ||
May 4, 2017 [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 121,000 | ||
Fair value per share (in dollars per share) | [1] | $ 4.46 | |
May 4, 2017 [Member] | Stock Unit Award [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 13,000 | ||
Fair value per share (in dollars per share) | [1] | $ 18.87 | |
May 12, 2016 [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 121,000 | ||
Fair value per share (in dollars per share) | [1] | $ 2.34 | |
May 12, 2016 [Member] | Stock Unit Award [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 17,000 | ||
Fair value per share (in dollars per share) | [1] | $ 13.82 | |
September 15, 2015 [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 47,000 | ||
Fair value per share (in dollars per share) | [1] | $ 1.91 | |
September 15, 2015 [Member] | Stock Unit Award [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 1,000 | ||
Fair value per share (in dollars per share) | [1] | $ 10.21 | |
April 29, 2015 [Member] | Stock Unit Award [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 44,000 | ||
Fair value per share (in dollars per share) | [1] | $ 16.10 | |
[1] | The fair value for the SUA's is the closing price of the Company's stock on that date. The fair value for options represents the fair value calculated using the Black-Scholes model. Options have contractual lives of 10 years and the fair value calculated using a Black-Scholes model. The options granted on September 15, 2015 have a fair value of $1.91 per share based on the $10.21 grant date and exercise prices and assuming a 6.5 year estimated term, 36% volatility, 2.2% interest rate and a 6.0% dividend yield rate. The options granted on May 12, 2016 have a fair value of $2.34 per share based on the $13.82 grant date and exercise prices and assuming a 6.25 year estimated term, 33% volatility, 1.75% interest rate and a 5.6% dividend yield rate. The options granted on May 4, 2017 have a fair value of $4.46 per share based on the $18.87 grant date and exercise prices and assuming a 6.25 year estimated term, 37% volatility, 2.75% interest rate and a 4.7% dividend yield rate. |
Note 7 - Stock-based Compensati
Note 7 - Stock-based Compensation - Stock Option Activity (Details) - USD ($) $ / shares in Units, $ in Thousands | May 04, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | |
Outstanding (in shares) | 160,000 | |||
Outstanding, weighted average exercise price (in dollars per share) | $ 12.76 | |||
Outstanding, aggregate intrinsic value | [1] | $ 1,436 | $ 1,907 | |
Granted (in shares) | 121,000 | 121,000 | ||
Granted, weighted average exercise price (in dollars per share) | $ 18.87 | |||
Exercised (in shares) | (2,000) | |||
Exercised, weighted average exercise price (in dollars per share) | $ 13.82 | |||
Forfeited (in shares) | ||||
Forfeited, weighted average exercise price (in dollars per share) | ||||
Outstanding (in shares) | 279,000 | 160,000 | ||
Outstanding, weighted average exercise price (in dollars per share) | $ 15.40 | $ 12.76 | ||
Exercisable (in shares) | 56,000 | 9,000 | ||
Exercisable, weighted average exercise price (in dollars per share) | ||||
Exercisable, aggregate intrinsic value | [1] | $ 446 | ||
[1] | The aggregate intrinsic value on this table was calculated based on the amount, if any, by which the closing market price of the Company's stock on December 31 of the applicable year exceeded the exercise price of any of the underlying options, multiplied by the number of shares subject to each such option. The closing stock price as of December 31, 2017 and 2016 was $20.56 and $24.68, respectively. |
Note 7 - Share-based Compensati
Note 7 - Share-based Compensation - Nonvested Award Activity (Details) - Stock Unit Award [Member] - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | ||
Outstanding & Unvested (in shares) | 74 | ||
Outstanding & Unvested, weighted average price per share (in dollars per share) | [1] | $ 14.62 | |
Outstanding & Unvested, weighted average fair value | [1] | $ 516 | $ 1,077 |
Granted (in shares) | 13 | ||
Granted, weighted average price per share (in dollars per share) | [1] | $ 18.87 | |
Granted, weighted average fair value | [1] | $ 236 | |
Converted to common stock (in shares) | (10) | ||
Converted to common stock, weighted average price per share (in dollars per share) | $ 13.84 | ||
Converted to common stock, weighted average fair value | [1] | $ (138) | |
Cancelled (in shares) | (15) | ||
Cancelled, weighted average price per share (in dollars per share) | $ 16.15 | ||
Cancelled, weighted average fair value | [1] | $ (241) | |
Forfeited (in shares) | (29) | ||
Forfeited, weighted average price per share (in dollars per share) | $ 14.25 | ||
Forfeited, weighted average fair value | [1] | $ (418) | |
Outstanding & Unvested (in shares) | 33 | ||
Outstanding & Unvested, weighted average price per share (in dollars per share) | [1] | $ 16.08 | |
[1] | Weighted average price per share is the weighted grant price based on the closing market price of each of the stock grants related to each transaction type. The Weighted average fair value is the weighted average share price times the number of shares. |
Note 8 - Employee Benefit Plan
Note 8 - Employee Benefit Plan (Details Textual) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Defined Contribution Plan, Employer Discretionary Contribution Amount | $ 246 | $ 246 | $ 242 |
Note 9 - Commitments and Cont45
Note 9 - Commitments and Contingencies (Details Textual) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Operating Leases, Rent Expense | $ 0.9 | $ 0.9 | $ 1 |
Note 9 - Commitments and Cont46
Note 9 - Commitments and Contingencies - Future Minimum Payments Due (Details) $ in Thousands | Dec. 31, 2017USD ($) |
2,018 | $ 928 |
2,019 | 574 |
2,020 | 485 |
2,021 | 108 |
2,022 | 108 |
2,023 | 18 |
Total | $ 2,221 |
Note 10 - Debt and Other Fina47
Note 10 - Debt and Other Financing Agreements (Details Textual) - USD ($) $ in Thousands | Nov. 10, 2017 | Mar. 23, 2016 | Sep. 15, 2015 | Aug. 08, 2014 | Jun. 13, 2014 | May 22, 2014 | Mar. 24, 2014 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2017 |
Proceeds from Issuance of Long-term Debt | $ 2,078 | $ 610 | $ 1,097 | ||||||||
Repayments of Long-term Debt | 2,082 | 3,120 | $ 1,455 | ||||||||
Banc of America Leasing and Capital [Member] | Equipment Loan Arrangement [Member] | Line of Credit [Member] | |||||||||||
Line of Credit Facility, Maximum Borrowing Capacity | 12,800 | $ 12,800 | |||||||||
Debt Instrument, Collateral Amount | 6,900 | 6,900 | |||||||||
Proceeds from Issuance of Long-term Debt | $ 2,100 | $ 610 | $ 1,100 | $ 1,000 | $ 3,000 | $ 1,900 | $ 1,100 | 10,800 | |||
Repayments of Long-term Debt | 2,100 | $ 3,100 | |||||||||
Line of Credit Facility, Remaining Borrowing Capacity | $ 1,900 | $ 1,900 | |||||||||
Debt Instrument, Interest Rate During Period | 3.00% | ||||||||||
Interest Expense | $ 72 | ||||||||||
Debt, Weighted Average Interest Rate | 3.30% | 3.30% | |||||||||
Banc of America Leasing and Capital [Member] | Equipment Loan Arrangement, Loans prior to 2017 [Member] | Line of Credit [Member] | London Interbank Offered Rate (LIBOR) [Member] | |||||||||||
Debt Instrument, Basis Spread on Variable Rate | 2.00% | ||||||||||
Banc of America Leasing and Capital [Member] | Equipment Loan Arrangement, Loan Made After October 2017 [Member] | Line of Credit [Member] | London Interbank Offered Rate (LIBOR) [Member] | |||||||||||
Debt Instrument, Basis Spread on Variable Rate | 1.75% |
Note 10 - Debt and Other Fina48
Note 10 - Debt and Other Financing Arrangements - Schedule of Debt Repayments (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
2,018 | $ 957 | |
2,019 | 891 | |
2,020 | 702 | |
2,021 | 446 | |
2,022 | 381 | |
Total long-term debt | 3,377 | |
Less current portion of long-term debt | (957) | $ (1,144) |
Total long-term debt, net of current portion | $ 2,420 | $ 2,237 |
Note 11 - Selected Quarterly 49
Note 11 - Selected Quarterly Financial Data (Unaudited) - Selected Quarterly Financial Information (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Revenues | $ 9,760 | $ 10,049 | $ 9,684 | $ 10,209 | $ 10,764 | $ 11,849 | $ 9,700 | $ 6,667 | $ 39,701 | $ 38,980 | $ 26,975 |
Gross profit | 4,777 | 5,121 | 4,609 | 5,316 | 6,398 | 7,105 | 5,209 | 2,738 | 19,822 | 21,450 | 12,717 |
Income from operations | 1,947 | 2,232 | 1,710 | 2,268 | 3,637 | 4,104 | 2,371 | (2) | 8,157 | 10,110 | 1,471 |
Net income | $ 2,350 | $ 1,364 | $ 907 | $ 1,500 | $ 2,360 | $ 2,708 | $ 1,633 | $ (23) | $ 6,121 | $ 6,678 | $ 1,511 |
Basic net income per share (in dollars per share) | $ 0.43 | $ 0.25 | $ 0.17 | $ 0.27 | $ 0.44 | $ 0.49 | $ 0.30 | $ 0 | $ 1.12 | $ 1.23 | $ 0.28 |
Diluted net income per share (in dollars per share) | $ 0.42 | $ 0.25 | $ 0.16 | $ 0.27 | $ 0.43 | $ 0.49 | $ 0.30 | $ 0 | $ 1.10 | $ 1.22 | $ 0.28 |
Note 12 - Business Segment Re50
Note 12 - Business Segment Reporting (Details Textual) | 12 Months Ended |
Dec. 31, 2017 | |
Number of Operating Segments | 1 |
Credit Concentration Risk [Member] | Sales Revenue, Net [Member] | Customer One [Member] | |
Concentration Risk, Percentage | 10.00% |
Note 12 - Business Segment Re51
Note 12 - Business Segment Reporting - Summary of Revenues by Geographic Region (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Revenues | $ 39,701 | $ 38,980 | $ 26,975 |
UNITED STATES | |||
Revenues | 26,327 | 25,608 | 25,836 |
BRAZIL | |||
Revenues | 13,069 | 13,083 | 746 |
Other Foreign Countries [Member] | |||
Revenues | $ 305 | $ 289 | $ 393 |