Segment, Customer and Geographical Reporting

6 Months Ended

Mar. 31, 2012

Segment Reporting [Abstract]

Segment Reporting Disclosure [Text Block]

Note 8 – Segment, Customer and Geographical Reporting

Segment Financial Information

Dynasil’s business breaks down into two segments: products and technology (“Products and Technology”) 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 Technology segment manufactures optical materials, components, coatings and specialized instruments used in various applications in the medical, industrial, and homeland security/defense sectors. The Company’s most recent new business venture, Dynasil Biomedical Corp. (“Dynasil Biomedical”) is reported within this segment. It has been determined that this new business venture will primarily pursue product commercialization of technologies and technology licensing opportunities, though there can be no assurances that any of these opportunities will become successfully commercialized. Dynasil’s Contract Research segment is one of the largest small business participants in U.S. government-funded research.

The Company’s segment information for the three months ended March 31, 2012 is summarized below:

	Three Months Ended
	March 31,
Segment	2012			2011
Contract Research
Revenue	$	6,948,634		$	6,388,804
Income from Operations		378,429			234,162
Income as a percent of revenue		5.4	%		3.7	%
Products and Technology
Revenue	$	5,517,147		$	5,727,545
Income (loss) from Operations		(723,091	)		582,697
Income (loss) as a percent of revenue		-13.1	%		10.2	%
Total
Revenue	$	12,465,781		$	12,116,349
Income (loss) from Operations		(344,662	)		816,858
Income (loss) as a percent of revenue		-2.8	%		6.7	%

The Company’s segment information for the six months ended March 31, 2012 is summarized below:

	Six Months Ended
	March 31,
Segment	2012			2011
Contract Research
Revenue	$	13,164,434		$	12,455,923
Income from Operations		447,383			427,108
Income as a percent of revenue		3.4	%		3.4	%
Products and Technology
Revenue	$	11,699,602		$	11,286,933
Income (loss) from Operations		(546,168	)		1,125,465
Income (loss) as a percent of revenue		-4.7	%		10.0	%
Total
Revenue	$	24,864,036		$	23,742,856
Income (loss) from Operations		(98,785	)	$	1,552,573
Income (loss) as a percent of revenue		-0.4	%		6.5	%

Customer Financial Information

For the three and six months ended March 31, 2012 and 2011, the top three customers for the Contract Research segment were each various agencies of the U.S. Government. For the three months ended March 31, 2012 and 2011, these customers made up 72% and 77%, respectively, of Contract Research revenue. For the six months ended March 31, 2012 and 2011, these customers made up 76% and 77%, respectively, of Contract Research revenue.

For the Products and Technology segment, there was no customer whose revenue represented more than 10% of the total segment revenue for the three months or the six months ended March 31, 2012 and 2011.

Geographic Financial Information

Revenue by geographic location in total and as a percentage of total revenue, for the three months ended March 31, 2012 and 2011 are as follows:

	Three Months Ended					Three Months Ended
	March 31, 2012					March 31, 2011
Geographic Location	Revenue		% of Total			Revenue		% of Total
United States		10,454,168		83.9	%	$	10,152,116		83.8	%
Europe		1,103,021		8.8	%		1,114,272		9.2	%
Other		908,592		7.3	%		849,961		7.0	%
	$	12,465,781		100.0	%	$	12,116,349		100.0	%

Revenue by geographic location in total and as a percentage of total revenue, for the six months ended March 31, 2012 and 2011 are as follows:

	Six Months Ended					Six Months Ended
	March 31, 2012					March 31, 2011
Geographic Location	Revenue		% of Total			Revenue		% of Total
United States		20,482,647		82.4	%	$	19,557,753		82.4	%
Europe		2,495,332		10.0	%		2,628,558		11.1	%
Other		1,886,056		7.6	%		1,556,545		6.6	%
	$	24,864,036		100.0	%	$	23,742,856		100.0	%