Note 7 - Warranty Reserves

3 Months Ended

Sep. 30, 2022

Notes to Financial Statements

Product Warranty Disclosure [Text Block]

7)     Warranty Reserves

The expected cost associated with warranty obligations on our products is recorded as a component of cost of sales when the revenue is recognized. The Company’s estimate of warranty cost is based on contract terms and historical warranty loss experience that is periodically adjusted for recent actual experience. Since warranty estimates are forecasts based on the best available information, claims costs may differ from amounts provided. Adjustments to initial obligations for warranties are made as changes in the obligations become reasonably estimable.

The change in warranty reserves from continuing operations, which are recorded as a component of accrued liabilities were as follows (in thousands):

	September 30, 2022			June 30, 2022
Balance at beginning of year	$	1,918		$	2,086
Acquisitions and other charges		(27	)		(29	)
Warranty expense		385			1,083
Warranty claims		(340	)		(1,222	)
Balance at end of period	$	1,936		$	1,918