Document And Entity Information
Document And Entity Information - shares | 6 Months Ended | |
Dec. 31, 2021 | Feb. 09, 2022 | |
Document Information Line Items | ||
Entity Registrant Name | AMERITYRE CORPORATION | |
Trading Symbol | N/A | |
Document Type | 10-Q | |
Current Fiscal Year End Date | --06-30 | |
Entity Common Stock, Shares Outstanding | 74,667,868 | |
Amendment Flag | false | |
Entity Central Index Key | 0000945828 | |
Entity Current Reporting Status | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Document Period End Date | Dec. 31, 2021 | |
Document Fiscal Year Focus | 2022 | |
Document Fiscal Period Focus | Q2 | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Entity File Number | 000-50053 | |
Entity Incorporation, State or Country Code | NV | |
Entity Tax Identification Number | 87-0535207 | |
Entity Address, Address Line One | 1501 INDUSTRIAL ROAD | |
Entity Address, City or Town | BOULDER CITY | |
Entity Address, State or Province | NV | |
Entity Address, Postal Zip Code | 89005 | |
City Area Code | 702 | |
Local Phone Number | 293-1930 | |
Title of 12(b) Security | N/A | |
Security Exchange Name | NONE | |
Entity Interactive Data Current | Yes |
Balance Sheets
Balance Sheets - USD ($) | Dec. 31, 2021 | Jun. 30, 2021 |
CURRENT ASSETS | ||
Cash | $ 542,857 | $ 516,192 |
Accounts receivable | 292,161 | 728,315 |
Current inventory - net | 905,562 | 659,333 |
Prepaid and other current assets | 149,144 | 94,483 |
Total Current Assets | 1,889,724 | 1,998,323 |
RIGHT TO USE LEASE ASSETS, OPERATING, NET | 466,104 | 544,070 |
PROPERTY AND EQUIPMENT | ||
Molds and models | 583,611 | 583,611 |
Equipment | 3,094,067 | 2,910,018 |
Furniture and fixtures | 73,423 | 73,423 |
Software | 233,528 | 233,528 |
Less - accumulated depreciation | (3,719,968) | (3,690,515) |
Property and Equipment - net | 264,661 | 110,065 |
OTHER ASSETS | ||
Patents and trademarks - net | 66,221 | 75,977 |
Non-current inventory | 185,672 | 163,289 |
Deposits | 11,000 | 11,000 |
Total Other Assets | 262,893 | 250,266 |
TOTAL ASSETS | 2,883,382 | 2,902,724 |
CURRENT LIABILITIES | ||
Accounts payable and accrued expenses | 681,427 | 767,193 |
Current portion of long-term debt | 2,000 | 2,000 |
Current portion of lease liability | 148,500 | 147,600 |
Deferred revenue | 20,124 | 25,892 |
Total Current Liabilities | 852,051 | 942,685 |
Long-term debt | 60,878 | 61,326 |
Long-term lease liability | 225,900 | 300,600 |
TOTAL LIABILITIES | 1,138,829 | 1,304,611 |
STOCKHOLDERS’ EQUITY | ||
Common Stock: 100,000,000 shares authorized of $0.001 par value, 73,047,868 and 74,667,868 shares issued and outstanding, respectively | 74,668 | 73,048 |
Additional paid-in capital | 62,866,097 | 62,805,404 |
Accumulated deficit | (61,196,212) | (61,280,339) |
Total Stockholders’ Equity | 1,744,553 | 1,598,113 |
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY | $ 2,883,382 | $ 2,902,724 |
Balance Sheets (Parentheticals)
Balance Sheets (Parentheticals) - $ / shares | Dec. 31, 2021 | Jun. 30, 2021 |
Statement of Financial Position [Abstract] | ||
Common stock par value (in Dollars per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 100,000,000 | 100,000,000 |
Common stock, shares issued | 74,667,868 | 73,047,868 |
Common stock, shares outstanding | 74,667,868 | 73,047,868 |
Statements of Operations
Statements of Operations - USD ($) | 3 Months Ended | 6 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2021 | Dec. 31, 2020 | |
Income Statement [Abstract] | ||||
NET SALES | $ 1,453,499 | $ 1,204,990 | $ 2,849,113 | $ 2,256,276 |
COST OF SALES | 1,123,434 | 903,543 | 2,134,276 | 1,611,109 |
GROSS PROFIT | 330,065 | 301,447 | 714,837 | 645,167 |
EXPENSES | ||||
Research and development | 24,399 | 30,507 | 45,966 | 50,978 |
Sales and marketing | 74,048 | 51,102 | 142,421 | 110,902 |
General and administrative | 213,392 | 186,014 | 446,240 | 396,500 |
Total Expenses | 311,839 | 267,623 | 634,627 | 558,380 |
INCOME FROM OPERATIONS | 18,226 | 33,824 | 80,210 | 86,787 |
OTHER INCOME (EXPENSE) | ||||
Interest income | 294 | 423 | 660 | 841 |
Gain on debt extinguishment | 0 | 149,570 | 0 | 149,570 |
Loss on asset disposal | 0 | (17,225) | 0 | (20,078) |
Other income | 507 | 10,260 | 3,257 | 13,515 |
Total Other Income, net | 801 | 143,028 | 3,917 | 143,848 |
NET INCOME | $ 19,027 | $ 176,852 | $ 84,127 | $ 230,635 |
BASIC AND DILUTED INCOME PER SHARE (in Dollars per share) | $ 0 | $ 0 | $ 0 | $ 0 |
WEIGHTED AVERAGE NUMBER OF SHARES OUTSTANDING (in Shares) | 73,452,868 | 70,566,890 | 73,250,368 | 70,369,879 |
Statements of Stockholders_ Equ
Statements of Stockholders’ Equity (Unaudited) - USD ($) | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Stock Payable [Member] | Total |
Balance at Jun. 30, 2020 | $ 70,173 | $ (61,538,675) | $ 1,250,971 | ||
Balance (in Shares) at Jun. 30, 2020 | 70,172,868 | 62,719,473 | |||
Stock option based compensation expense – options | $ 12,323 | 12,323 | |||
Net income (loss) for the quarter | 53,783 | 53,783 | |||
Balance at Sep. 30, 2020 | $ 70,173 | (61,484,892) | 12,323 | 1,317,077 | |
Balance (in Shares) at Sep. 30, 2020 | 70,172,868 | 62,719,473 | |||
Balance at Jun. 30, 2020 | $ 70,173 | (61,538,675) | 1,250,971 | ||
Balance (in Shares) at Jun. 30, 2020 | 70,172,868 | 62,719,473 | |||
Net income (loss) for the quarter | 230,635 | ||||
Balance at Dec. 31, 2020 | $ 71,423 | (61,308,040) | 1,505,416 | ||
Balance (in Shares) at Dec. 31, 2020 | 71,422,868 | 62,742,033 | |||
Balance at Sep. 30, 2020 | $ 70,173 | (61,484,892) | 12,323 | 1,317,077 | |
Balance (in Shares) at Sep. 30, 2020 | 70,172,868 | 62,719,473 | |||
Stock option based compensation expense – options | (12,323) | (12,323) | |||
Stock based compensation expense for employee and Board of Director service | $ 1,250 | 23,810 | |||
Stock based compensation expense for employee and Board of Director service (in Shares) | 1,250,000 | 22,560 | |||
Net income (loss) for the quarter | 176,852 | 176,852 | |||
Balance at Dec. 31, 2020 | $ 71,423 | (61,308,040) | 1,505,416 | ||
Balance (in Shares) at Dec. 31, 2020 | 71,422,868 | 62,742,033 | |||
Stock option based compensation expense – options | 31,590 | 31,590 | |||
Net income (loss) for the quarter | 80,651 | 80,651 | |||
Balance at Mar. 31, 2021 | $ 71,423 | (61,227,389) | 31,590 | 1,617,657 | |
Balance (in Shares) at Mar. 31, 2021 | 71,422,868 | 62,742,033 | |||
Stock option based compensation expense – options | 33,406 | 33,406 | |||
Stock based compensation expense for employee and Board of Director service | $ 1,625 | (64,996) | |||
Stock based compensation expense for employee and Board of Director service (in Shares) | 1,625,000 | 63,371 | |||
Net income (loss) for the quarter | (52,950) | (52,950) | |||
Balance at Jun. 30, 2021 | $ 73,048 | (61,280,339) | 1,598,113 | ||
Balance (in Shares) at Jun. 30, 2021 | 73,047,868 | 62,805,404 | |||
Stock based compensation expense for employee and Board of Director service | 33,156 | 33,156 | |||
Net income (loss) for the quarter | 65,100 | 65,100 | |||
Balance at Sep. 30, 2021 | $ 73,048 | (61,215,239) | 33,156 | 1,696,369 | |
Balance (in Shares) at Sep. 30, 2021 | 73,047,868 | 62,805,404 | |||
Balance at Jun. 30, 2021 | $ 73,048 | (61,280,339) | 1,598,113 | ||
Balance (in Shares) at Jun. 30, 2021 | 73,047,868 | 62,805,404 | |||
Net income (loss) for the quarter | 84,127 | ||||
Balance at Dec. 31, 2021 | $ 74,668 | (61,196,212) | 1,744,553 | ||
Balance (in Shares) at Dec. 31, 2021 | 74,667,868 | 62,866,097 | |||
Balance at Sep. 30, 2021 | $ 73,048 | (61,215,239) | 33,156 | 1,696,369 | |
Balance (in Shares) at Sep. 30, 2021 | 73,047,868 | 62,805,404 | |||
Stock based compensation expense for employee and Board of Director service | $ 1,620 | $ (33,156) | 29,157 | ||
Stock based compensation expense for employee and Board of Director service (in Shares) | 1,620,000 | 60,693 | |||
Net income (loss) for the quarter | 19,027 | 19,027 | |||
Balance at Dec. 31, 2021 | $ 74,668 | $ (61,196,212) | $ 1,744,553 | ||
Balance (in Shares) at Dec. 31, 2021 | 74,667,868 | 62,866,097 |
Statements of Cash Flows (Unaud
Statements of Cash Flows (Unaudited) - USD ($) | 6 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
CASH FLOWS FROM OPERATING ACTIVITIES | ||
Net income | $ 84,127 | $ 230,635 |
Adjustments to reconcile net income to net cash provided (used) by operating activities: | ||
Depreciation and amortization expense | 119,925 | 108,161 |
Stock based compensation | 62,313 | 23,810 |
Gain on debt extinguishment | 0 | (149,570) |
Loss on asset disposal | 0 | 20,078 |
Accounts receivable | 436,154 | 10,060 |
Prepaid and other current assets | (90,988) | 21,195 |
Inventory and any change in inventory reserve | (268,612) | (42,890) |
Accounts payable and accrued expenses | (85,766) | (166,270) |
Deferred revenue | (5,768) | (11,351) |
Lease liability payable, operating lease | (73,800) | (72,900) |
Net Cash Provided/Used by Operating Activities | 177,585 | (29,042) |
Purchase of property and equipment | (147,722) | 0 |
Cash paid for leasehold improvements of an operating lease | (2,750) | (10,785) |
Net Cash Used by Investing Activities | (150,472) | (10,785) |
Payments on notes payable | (448) | (315) |
Net Cash Used by Financing Activities | (448) | (315) |
NET INCREASE (DECREASE) IN CASH | 26,665 | (40,142) |
CASH AT BEGINNING OF PERIOD | 516,192 | 666,756 |
CASH AT END OF PERIOD | 542,857 | 626,614 |
Income taxes paid | 0 | 0 |
Write off of fully depreciated and disposed fixed assets | 0 | 124,287 |
Use of store inventory, capitalized as fixed asset | 36,327 | 6,600 |
Interest paid | $ 0 | $ 776 |
BASIS OF FINANCIAL STATEMENT PR
BASIS OF FINANCIAL STATEMENT PRESENTATION | 6 Months Ended |
Dec. 31, 2021 | |
Accounting Policies [Abstract] | |
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block] | NOTE 1 BASIS OF FINANCIAL STATEMENT PRESENTATION The accompanying unaudited condensed financial statements have been prepared by us pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America have been condensed or omitted in accordance with such rules and regulations. The information furnished in the interim condensed financial statements includes normal recurring adjustments and reflects all adjustments, which, in the opinion of management, are necessary for a fair presentation of such financial statements. We believe the disclosures and information presented are adequate to make the information not misleading. These interim condensed financial statements should be read in conjunction with our most recent audited financial statements and notes thereto included in our Annual Report on Form 10-K for the fiscal year ended June 30, 2021 (the “2021 Annual Report”). Operating results for the fiscal quarter ended December 31, 2021 are not necessarily indicative of the results that may be expected for the current fiscal year ending June 30, 2022. COVID-19 Update Despite our revenue gains the past 2 quarters, the COVID-19 pandemic affected the Company’s overall financial results for the three and six months ended December 31, 2021. We continue to experience supply chain delays and increased costs from our raw material suppliers, many which are being attributed to COVID-19 effects in the marketplace. This has resulted in downward pressure on our Gross Profit margins. We continue to see strong demand for our products from our customers, and we continue to be diligent in minimizing COVID-19 exposure risk in our facility. We have implemented price increases on our tire products where possible to reduce the negative impact of increasing costs. |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 6 Months Ended |
Dec. 31, 2021 | |
Accounting Policies [Abstract] | |
Significant Accounting Policies [Text Block] | NOTE 2 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Significant accounting policies disclosed herein have not changed since our audited financial statements and notes thereto included in our June 30, 2021 Annual Report on Form 10-K, except as noted below. Revenue Recognition The majority of our revenue is derived from short-term sales contracts. We account for revenue in accordance with Accounting Standards Codification (“ASC”) Topic 606, “Revenue from Contracts with Customers”. Revenue for our products is recognized at the time in which our performance obligation is satisfied which we have defined as “control” of the product by the customer. “Control” is defined as a customer having “rights/obligations of physical control over the product or has the rights and intention to control the product.” Based on the terms of our contracts, a customer’s “control” is based on analysis of the following: (i) when a customer arranges shipment of product themselves, and once the product has left our dock, Amerityre Corporation (the “Company” or “Amerityre”), recognizes revenue for the product. In effect by arranging their own freight, the customer is “taking control” of the product when it leaves our warehouse; or (ii) when a customer does not arrange shipment of product themselves, we cannot recognize revenue until it is delivered and the customer takes “control” of the product. This establishes a “deferred revenue” event until such time as delivery of the product has been completed and we have proof from the shipper of the delivery (and change in control). Deferred revenue was $20,124, inclusive of $2,294 of shipping and handling revenue (see below), as of December 31, 2021. Deferred revenue was $841, inclusive of $122 of shipping and handling revenue (see below), as of December 31, 2020. Shipping and Handling Shipping and Handling Fees require that freight costs charged to customers be classified as revenues. Freight expenses are included in costs of sales and are recognized as incurred. Due to our adoption of ASC 606 as discussed above, we defer the revenues of shipping and handling until the related revenue is also recognized. The result of this accounting is a deferral of $2,294 as of December 31, 2021 and $122 as of December 31, 2020. Basic and Fully Diluted Net Income (Loss) Per Share Basic and Fully Diluted net income (loss) per share is computed using the weighted-average number of common shares outstanding during the period. Our outstanding stock options have been excluded from the basic and fully diluted net loss per share calculation. We excluded 0 and 1,030,000 common stock equivalents for the periods ended December 31, 2021 and 2020, respectively, because they are anti-dilutive. All options expired as of December 31, 2021. Recent Accounting Pronouncements Other recent accounting pronouncements issued by the Financial Accounting Standards Board (“FASB”) (including its Emerging Issues Task Force), the American Institute of Certified Public Accountants, and the SEC, did not, or are not believed by management to, have a material impact on the Company's present or future financial position, results of operations or cash flows. |
INVENTORY
INVENTORY | 6 Months Ended |
Dec. 31, 2021 | |
Inventory Disclosure [Abstract] | |
Inventory Disclosure [Text Block] | NOTE 3 INVENTORY Inventory is stated at the lower of cost (computed on a first-in, first-out basis) or net realizable value. The inventory consists primarily of chemicals, finished goods produced in our plant and products purchased for resale. December 31, 2021 June 30, 2021 (Unaudited) Raw Materials $ 460,164 $ 416,709 Finished Goods 743,747 525,565 Inventory reserve (112,677 ) (119,652 ) Inventory – net (Current and long term) $ 1,091,234 822,622 Our inventory reserve reflects items that were deemed to be defective or obsolete based on an analysis of all inventories on hand. The Company critically reviews all slow-moving inventory to determine if it is defective or obsolete. If not defective or obsolete we presented these items as non-current inventory, although all inventory is ready and available for immediate sale. Finished good inventory levels were higher on December 31, 2021 due to the timing of the shipment of a large customer order. This order was expected to ship in mid-December but was delayed until early January 2022. We continue to maintain higher than normal raw material inventories as we execute our strategy of strategic raw material purchases when they are available. |
RIGHT TO USE LEASE ASSETS
RIGHT TO USE LEASE ASSETS | 6 Months Ended |
Dec. 31, 2021 | |
Disclosure Text Block [Abstract] | |
Lessee, Operating Leases [Text Block] | NOTE 4 RIGHT TO USE LEASE ASSETS Based on our lease accounting policy, we have identified the following operating leases. As of December 31, 2021, we have no financing leases: December 31, 2021 June 30, 2021 (Unaudited) Facility lease $ 374,400 $ 448,200 Leasehold improvements related to our facility 289,604 286,854 Accumulated amortization – leasehold improvements (197,900 ) (190,984 ) Right to use leased assets, operating, net $ 466,104 $ 544,070 In March 2019 we negotiated a five |
DEBT
DEBT | 6 Months Ended |
Dec. 31, 2021 | |
Debt Disclosure [Abstract] | |
Debt Disclosure [Text Block] | NOTE 5 DEBT A former board member, Silas O. Kines, was the principal owner of Forklift Tire of Florida and K-2 Industrial Tire, Inc. In accordance with the Commission Agreement with Forklift Tire of Florida, dated February 2, 2011, between Amerityre Corporation and K-2 Industrial Tire, Inc., K-2 is due a five percent (5%) commission on all forklift tire sales. In exchange for the forklift models transferred to Amerityre under that agreement, the first $96,000 in commission payments will be used to extinguish the long-term liability recorded on the transaction. As of December 31, 2021, $2,000 and $60,878 (June 30, 2021, $2,000 and $61,326) were recorded for the current and long-term portion, respectively, of the related liability. In April 2020, the Company secured a loan from the Small Business Administration Paycheck Protection Program. The loan amount was $149,570 and had a term of 2 years at 1% interest. In November 2020, the Company received full forgiveness by the Small Business Administration. |
STOCK TRANSACTIONS, OPTIONS AND
STOCK TRANSACTIONS, OPTIONS AND WARRANTS | 6 Months Ended |
Dec. 31, 2021 | |
Disclosure Text Block Supplement [Abstract] | |
Shareholders' Equity and Share-based Payments [Text Block] | NOTE 6 STOCK OPTIONS AND WARRANTS On July 22, 2020, the Board of Directors adopted the 2020 Equity Incentive Plan (the “2020 Plan”) which contains provisions for up to 5,000,000 stock-based instruments to be granted to employees, consultants and directors. On October 26, 2021, the Board of Directors adopted the 2022 Equity Incentive Plan (the “2022 Plan”) which contains provisions for up to 10,000,000 stock-based instruments to be granted to employees, consultants and directors. Effective September 24, 2020, the Company filed a Certificate of Withdrawal of the Certificate of Designation related to the Company’s 2013 Series Convertible Preferred Stock. In doing so, the 2,000,000 shares of preferred stock previously designated as 2013 Series Convertible Preferred Stock returned to the status of authorized and unissued shares of “blank check” preferred stock, and as a result we now have a total of 5,000,000 shares of preferred stock under our Articles of Incorporation which may be designated in one or more series with such relative rights, preferences and limitations as the Board of Directors may determine. The Company may file one or more new designations authorizing the issuance of preferred shares should this be needed in the future as may be determined by the Board of Directors. All previously granted stock options expired as of December 31, 2021; no stock options have been granted as of December 31, 2021 or thus far in fiscal year 2022. A summary of the status of our outstanding stock options as of December 31, 2021 and June 30, 2021 and changes during the periods then ended is presented below: December 31, 2021 June 30, 2021 Weight Average Intrinsic Weight Average Intrinsic Shares Exercise Price Value Shares Exercise Price Value Outstanding beginning of period 1,030,000 $ 0.12 2,870,000 $ 0.12 Granted - $ 0.00 - $ 0.00 Expired/Cancelled (1,030,000 ) $ (0.12 ) (1,840,000 ) $ (0.12 ) Exercised - $ 0.00 - $ 0.00 Outstanding end of period - $ 0. 00 $ - 1,030,000 $ 0.12 $ - Exercisable - $ 0. 00 $ - 1,030,000 $ 0.12 $ - |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 6 Months Ended |
Dec. 31, 2021 | |
Subsequent Events [Abstract] | |
Subsequent Events [Text Block] | NOTE 7 SUBSEQUENT EVENTS Effective January 1, 2022, the Company renewed the Chief Executive Officer’s Employment Agreement. The new Agreement extends his term of employment to December 31, 2022. Inclusive in this new Agreement is a stock award of 1.68 million shares of the Company’s common stock vesting ratably over 12 months (January 2022 – December 2022), valued at a fixed rate of $0.049 per share, the average price per share of the Company’s common stock for the period December 27, 2021 to December 31, 2021. On January 1, 2022, 60,000 shares of common stock were granted to the Company’s Chief Financial Officer as part of her employment renewal. These shares of the Company’s common stock vest ratably over 12 months (January 2022 – December 2022), and are valued at a fixed rate of $0.049 per share, the average price per share of the Company’s common stock for the period December 27, 2021 to December 31, 2021. |
Accounting Policies, by Policy
Accounting Policies, by Policy (Policies) | 6 Months Ended |
Dec. 31, 2021 | |
Accounting Policies [Abstract] | |
Revenue [Policy Text Block] | Revenue Recognition The majority of our revenue is derived from short-term sales contracts. We account for revenue in accordance with Accounting Standards Codification (“ASC”) Topic 606, “Revenue from Contracts with Customers”. Revenue for our products is recognized at the time in which our performance obligation is satisfied which we have defined as “control” of the product by the customer. “Control” is defined as a customer having “rights/obligations of physical control over the product or has the rights and intention to control the product.” Based on the terms of our contracts, a customer’s “control” is based on analysis of the following: (i) when a customer arranges shipment of product themselves, and once the product has left our dock, Amerityre Corporation (the “Company” or “Amerityre”), recognizes revenue for the product. In effect by arranging their own freight, the customer is “taking control” of the product when it leaves our warehouse; or (ii) when a customer does not arrange shipment of product themselves, we cannot recognize revenue until it is delivered and the customer takes “control” of the product. This establishes a “deferred revenue” event until such time as delivery of the product has been completed and we have proof from the shipper of the delivery (and change in control). Deferred revenue was $20,124, inclusive of $2,294 of shipping and handling revenue (see below), as of December 31, 2021. Deferred revenue was $841, inclusive of $122 of shipping and handling revenue (see below), as of December 31, 2020. |
Shipping and Handling Cost, Policy [Policy Text Block] | Shipping and Handling Shipping and Handling Fees require that freight costs charged to customers be classified as revenues. Freight expenses are included in costs of sales and are recognized as incurred. Due to our adoption of ASC 606 as discussed above, we defer the revenues of shipping and handling until the related revenue is also recognized. The result of this accounting is a deferral of $2,294 as of December 31, 2021 and $122 as of December 31, 2020. |
Earnings Per Share, Policy [Policy Text Block] | Basic and Fully Diluted Net Income (Loss) Per Share Basic and Fully Diluted net income (loss) per share is computed using the weighted-average number of common shares outstanding during the period. Our outstanding stock options have been excluded from the basic and fully diluted net loss per share calculation. We excluded 0 and 1,030,000 common stock equivalents for the periods ended December 31, 2021 and 2020, respectively, because they are anti-dilutive. All options expired as of December 31, 2021. |
New Accounting Pronouncements, Policy [Policy Text Block] | Recent Accounting Pronouncements Other recent accounting pronouncements issued by the Financial Accounting Standards Board (“FASB”) (including its Emerging Issues Task Force), the American Institute of Certified Public Accountants, and the SEC, did not, or are not believed by management to, have a material impact on the Company's present or future financial position, results of operations or cash flows. |
INVENTORY (Tables)
INVENTORY (Tables) | 6 Months Ended |
Dec. 31, 2021 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventory [Table Text Block] | Inventory is stated at the lower of cost (computed on a first-in, first-out basis) or net realizable value. The inventory consists primarily of chemicals, finished goods produced in our plant and products purchased for resale. December 31, 2021 June 30, 2021 (Unaudited) Raw Materials $ 460,164 $ 416,709 Finished Goods 743,747 525,565 Inventory reserve (112,677 ) (119,652 ) Inventory – net (Current and long term) $ 1,091,234 822,622 |
RIGHT TO USE LEASE ASSETS (Tabl
RIGHT TO USE LEASE ASSETS (Tables) | 6 Months Ended |
Dec. 31, 2021 | |
Disclosure Text Block [Abstract] | |
Property, Plant, and Equipment, Lessor Asset under Operating Lease [Table Text Block] | Based on our lease accounting policy, we have identified the following operating leases. As of December 31, 2021, we have no financing leases: December 31, 2021 June 30, 2021 (Unaudited) Facility lease $ 374,400 $ 448,200 Leasehold improvements related to our facility 289,604 286,854 Accumulated amortization – leasehold improvements (197,900 ) (190,984 ) Right to use leased assets, operating, net $ 466,104 $ 544,070 |
STOCK TRANSACTIONS, OPTIONS A_2
STOCK TRANSACTIONS, OPTIONS AND WARRANTS (Tables) | 6 Months Ended |
Dec. 31, 2021 | |
Disclosure Text Block Supplement [Abstract] | |
Share-based Payment Arrangement, Option, Activity [Table Text Block] | A summary of the status of our outstanding stock options as of December 31, 2021 and June 30, 2021 and changes during the periods then ended is presented below: December 31, 2021 June 30, 2021 Weight Average Intrinsic Weight Average Intrinsic Shares Exercise Price Value Shares Exercise Price Value Outstanding beginning of period 1,030,000 $ 0.12 2,870,000 $ 0.12 Granted - $ 0.00 - $ 0.00 Expired/Cancelled (1,030,000 ) $ (0.12 ) (1,840,000 ) $ (0.12 ) Exercised - $ 0.00 - $ 0.00 Outstanding end of period - $ 0. 00 $ - 1,030,000 $ 0.12 $ - Exercisable - $ 0. 00 $ - 1,030,000 $ 0.12 $ - |
SUMMARY OF SIGNIFICANT ACCOUN_2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2021 | Dec. 31, 2020 | Jun. 30, 2021 | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details) [Line Items] | |||||
Deferred Revenue, Current | $ 20,124 | $ 841 | $ 20,124 | $ 841 | $ 25,892 |
Revenues | $ 1,453,499 | $ 1,204,990 | $ 2,849,113 | $ 2,256,276 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount (in Shares) | 0 | 1,030,000 | |||
Shipping and Handling Revenue [Member] | |||||
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details) [Line Items] | |||||
Revenues | $ 2,294 | $ 122 |
INVENTORY (Details) - Schedule
INVENTORY (Details) - Schedule of Inventory - USD ($) | Dec. 31, 2021 | Jun. 30, 2021 |
Schedule of Inventory [Abstract] | ||
Raw Materials | $ 460,164 | $ 416,709 |
Finished Goods | 743,747 | 525,565 |
Inventory reserve | (112,677) | (119,652) |
Inventory – net (Current and long term) | $ 1,091,234 | $ 822,622 |
RIGHT TO USE LEASE ASSETS (Deta
RIGHT TO USE LEASE ASSETS (Details) | 6 Months Ended | |
Dec. 31, 2021USD ($) | Mar. 31, 2019ft²a | |
RIGHT TO USE LEASE ASSETS (Details) [Line Items] | ||
Area of Real Estate Property (in Square Feet) | ft² | 49,200 | |
Area of Land (in Acres) | a | 4.15 | |
Operating Lease, Liability | $ 374,400 | |
Lessee, Operating Lease, Renewal Term | 5 years | |
Building [Member] | ||
RIGHT TO USE LEASE ASSETS (Details) [Line Items] | ||
Area of Real Estate Property (in Square Feet) | ft² | 5,500 | |
Minimum [Member] | ||
RIGHT TO USE LEASE ASSETS (Details) [Line Items] | ||
Operating Lease, Expense | 12,450 | |
Maximum [Member] | ||
RIGHT TO USE LEASE ASSETS (Details) [Line Items] | ||
Operating Lease, Expense | $ 12,600 |
RIGHT TO USE LEASE ASSETS (De_2
RIGHT TO USE LEASE ASSETS (Details) - Schedule of Property Subject to or Available for Operating Lease - USD ($) | Dec. 31, 2021 | Jun. 30, 2021 |
Schedule of Property Subject to or Available for Operating Lease [Abstract] | ||
Facility lease | $ 374,400 | $ 448,200 |
Leasehold improvements related to our facility | 289,604 | 286,854 |
Accumulated amortization – leasehold improvements | (197,900) | (190,984) |
Inventory - net | $ 466,104 | $ 544,070 |
DEBT (Details)
DEBT (Details) - USD ($) | 1 Months Ended | 6 Months Ended | |
Apr. 30, 2020 | Dec. 31, 2021 | Jun. 30, 2021 | |
DEBT (Details) [Line Items] | |||
Debt Instrument, Face Amount | $ 149,570 | ||
Long-term Debt, Current Maturities | $ 2,000 | $ 2,000 | |
Long-term Debt, Excluding Current Maturities | $ 60,878 | 61,326 | |
Debt Instrument, Term | 2 years | ||
Debt Instrument, Interest Rate, Stated Percentage | 1.00% | ||
Notes Payable, Other Payables [Member] | |||
DEBT (Details) [Line Items] | |||
Sales Commission, Percentage | 5.00% | ||
Debt Instrument, Face Amount | $ 96,000 | ||
Long-term Debt, Current Maturities | 2,000 | 2,000 | |
Long-term Debt, Excluding Current Maturities | $ 60,878 | $ 61,326 |
STOCK TRANSACTIONS, OPTIONS A_3
STOCK TRANSACTIONS, OPTIONS AND WARRANTS (Details) - shares | Oct. 26, 2021 | Sep. 24, 2020 | Jul. 22, 2020 |
STOCK TRANSACTIONS, OPTIONS AND WARRANTS (Details) [Line Items] | |||
Preferred Stock, Shares Authorized | 5,000,000 | ||
2020 Equity Incentive Plan (the “2020 Plan”) [Member] | |||
STOCK TRANSACTIONS, OPTIONS AND WARRANTS (Details) [Line Items] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 5,000,000 | ||
2022 Equity Incentive Plan (the “2022 Plan”) [Member] | |||
STOCK TRANSACTIONS, OPTIONS AND WARRANTS (Details) [Line Items] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 10,000,000 |
STOCK TRANSACTIONS, OPTIONS A_4
STOCK TRANSACTIONS, OPTIONS AND WARRANTS (Details) - Schedule of Share-based Compensation, Stock Options, Activity - USD ($) | 6 Months Ended | 12 Months Ended |
Dec. 31, 2021 | Jun. 30, 2021 | |
Schedule of Share-based Compensation, Stock Options, Activity [Abstract] | ||
Outstanding beginning of period (in Shares) | 1,030,000 | 2,870,000 |
Outstanding beginning of period | $ 0.12 | $ 0.12 |
Granted (in Shares) | 0 | 0 |
Granted | $ 0 | $ 0 |
Expired/Cancelled (in Shares) | (1,030,000) | (1,840,000) |
Expired/Cancelled | $ (0.12) | $ (0.12) |
Exercised (in Shares) | 0 | 0 |
Exercised | $ 0 | $ 0 |
Outstanding end of period (in Shares) | 1,030,000 | |
Outstanding end of period | $ 0 | $ 0.12 |
Outstanding end of period (in Dollars) | $ 0 | $ 0 |
Exercisable (in Shares) | 1,030,000 | |
Exercisable | $ 0 | $ 0.12 |
Exercisable (in Dollars) | $ 0 | $ 0 |
SUBSEQUENT EVENTS (Details)
SUBSEQUENT EVENTS (Details) - Subsequent Event [Member] | Jan. 01, 2022$ / sharesshares |
Chief Executive Officer [Member] | |
SUBSEQUENT EVENTS (Details) [Line Items] | |
Shares Issued, Shares, Share-based Payment Arrangement, after Forfeiture | shares | 1,680,000 |
Shares Issued, Price Per Share | $ / shares | $ 0.049 |
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights | vesting ratably over 12 months |
Chief Financial Officer [Member] | |
SUBSEQUENT EVENTS (Details) [Line Items] | |
Shares Issued, Shares, Share-based Payment Arrangement, after Forfeiture | shares | 60,000 |
Shares Issued, Price Per Share | $ / shares | $ 0.049 |
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights | vest ratably over 12 months |