Segment, Customer and Geographical Reporting

9 Months Ended

Jun. 30, 2011

Segment Reporting [Abstract]

Segment Reporting Disclosure [Text Block]

Note 9 – Segment, Customer and Geographical Reporting

Segment Financial Information

Dynasil’s business breaks down into two segments: optics/photonics products and instruments (“Products and Instruments”) and contract research (“Contract Research”).  Within these segments, there is a segregation of reportable units based upon the organizational structure used to evaluate performance and make decisions on resource allocation, as well as availability and materiality of separate financial results consistent with that structure.  The Products and Instruments segment manufactures optical materials, components, coatings and specialized instruments used in various applications in the medical, industrial, and homeland security/defense sectors.  Dynasil’s Contract Research segment is one of the largest small business participants in U.S. government-funded research.  Our recent new business venture, Dynasil Biomedical Corp. (“Dynasil Biomedical”) will be reported within this segment.  This unit will also be pursuing contract research opportunities – in the medical field – that may yield additional commercialization opportunities in the future, though there can be no assurances that any of these opportunities will become successfully commercialized.  The Company’s segment information is summarized below:

	Nine Months Ended
	June 30,			June 30,
Segment	2011			2010
Contract Research
Revenue	$	18,729,027		$	17,369,196
Income from Operations		561,240			1,144,596
Income as a percent of revenue		3.0	%		6.6	%
Products and Instruments
Revenue	$	17,167,003		$	14,125,764
Income from Operations		1,220,407			2,369,323
Income as a percent of revenue		7.1	%		16.8	%
Total
Revenue	$	35,896,030		$	31,494,960
Income from Operations		1,781,647			3,513,919
Income as a percent of revenue		5.0	%		11.2	%
Goodwill
Contract Research	$	5,054,825		$	4,754,825
Products and Instruments	$	8,391,557		$	6,299,571

Customer Financial Information

For the three months ended June 30, 2011, the top three customers for the Contract Research segment were each various agencies of the U.S. Government.  For the three months ended June 30, 2011, these customers made up 78% of Contract Research revenue.  For the nine months ended June 30, 2011, the top three customers for the Contract Research segment were each various agencies of the U.S. Government.  For the nine months ended June 30, 2011, these customers made up 80% of Contract Research revenue.

For the Products and Instruments segment, there was no customer whose revenue represented more than 10% of the total segment revenue for the three months or the nine months ended June 30, 2011.

Geographic Financial Information

Revenue by geographic location in total and as a percentage of total revenue, for the three months ended June 30, 2011 and 2010 are as follows:

	Three Months Ended					Three Months Ended
	June 30, 2011					June 30, 2010
Geographic Location	Revenue		% of Total			Revenue		% of Total
United States	$	10,022,392		82.5	%	$	9,738,147		86.3	%
Europe		1,288,494		10.6	%		603,072		5.3	%
Other		842,289		6.9	%		953,649		8.4	%
	$	12,153,175		100.0	%	$	11,294,868		100.0	%

Revenue by geographic location in total and as a percentage of total revenue, for the nine months ended June 30, 2011 and 2010 are as follows:

	Nine Months Ended					Nine Months Ended
	June 30, 2011					June 30, 2010
Geographic Location	Revenue		% of Total			Revenue		% of Total
United States	$	29,580,144		82.4	%	$	27,288,686		86.6	%
Europe		3,917,052		10.9	%		2,348,835		7.5	%
Other		2,398,834		6.7	%		1,857,439		5.9	%
	$	35,896,030		100.0	%	$	31,494,960		100.0	%