REVENUE (Tables)

3 Months Ended

Mar. 31, 2018

Schedule of significant changes in the contract assets

Significant changes in the contract assets balance during the three months ended March 31, 2018 was as follows (in thousands):

Outstanding at January 1, 2018	$	6,459
Increase (decrease) attributed to:
Transferred to receivables from contract assets recognized	(5,611		)
Product transferred over time	5,303

Outstanding at the end of period	$	6,151

Schedule of net sales by market

The following table summarizes our net sales by market for the three months ended March 31, 2018 (in thousands):

	Product/ Service Transferred Over Time		Product Transferred at Point in Time		Noncash Consideration		Total Net Sales by Market
Aerospace and Defense	$	4,623	$	48	$	195	$	4,866
Medical	9,434		482		405		10,321
Industrial	9,992		843		425		11,260

Total net sales	$	24,049	$	1,373	$	1,025	$	26,447

Schedule of consolidated statement of operations and comprehensive loss, balance sheet and cash flows, to the pro-forma amounts had the previous guidance been in effect

The following table compares the reported condensed consolidated statement of operations and comprehensive loss, balance sheet and cash flows, as of and for the three months ended March 31, 2018, to the pro-forma amounts had the previous guidance been in effect (in thousands):

	Three Months Ended March 31, 2018
	As Reported			Pro forma as if the previous accounting guidance was in effect
Statement of Operations
Net Sales	$	26,447		$	25,730
Cost of Goods Sold	23,419			22,731

Gross Profit	3,028			2,999

Loss from Operations	(120		)	(149		)

Loss Before Income Taxes	(292		)	(321		)

Income Tax Expense	99			99


Net Loss	$	(391	)	$	(420	)


Loss Per Common Share Basic and Diluted	$	(0.14	)	$	(0.15	)

Consolidated Balance Sheet
Assets
Inventories	$	13,037		$	17,778
Contract Assets	6,151			$	—

Shareholders’ Equity
Retained Earnings	$	4,880		$	3,470

Consolidated Statement of Cash Flows
Net Loss	$	(391	)	$	(420	)
Adjustments to Reconcile Net Loss to Net Cash Provided by Operating Activities
Change in Current Operating Items
Inventories	229			566
Contract Asset	308			—


Net Cash Provided by Operating Activities	$	542		$	542