10-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended September 30, 2015

or

¨ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from __________ to __________

Commission File Number: 000-13150

CONCURRENT COMPUTER CORPORATION

(Exact name of registrant as specified in its charter)

Delaware	04-2735766
(State or other jurisdiction of incorporation or organization)	(I.R.S. Employer Identification No.)

4375 River Green Parkway, Suite 100, Duluth, GA 30096

(Address of principal executive offices) (Zip Code)

Telephone: (678) 258-4000

(Registrant’s telephone number, including area code)

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.

Yes    þ No    ¨

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).

Yes    þ No    ¨

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See the definitions of “large accelerated filer”, “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer  ¨	Accelerated filer  ¨
Non-accelerated filer  ¨ (Do not check if smaller reporting company)	Smaller reporting company  þ

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).

Yes    þ No    ¨

Number of shares of the Registrant's Common Stock, par value $0.01 per share, outstanding as of November 9, 2015 was 9,206,593.

Concurrent Computer Corporation

Form 10-Q

For the Three Months Ended September 30, 2015

Table of Contents

		Page
	Part I – Financial Information
Item 1.	Condensed Consolidated Financial Statements
	Condensed Consolidated Balance Sheets (Unaudited)	2
	Condensed Consolidated Statements of Operations (Unaudited)	3
	Condensed Consolidated Statements of Comprehensive Income (Loss) (Unaudited)	4
	Condensed Consolidated Statements of Stockholders’ Equity (Unaudited)	5
	Condensed Consolidated Statements of Cash Flows (Unaudited)	6
	Notes to Condensed Consolidated Financial Statements (Unaudited)	7
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	23
Item 3.	Quantitative and Qualitative Disclosures About Market Risk	29
Item 4.	Controls and Procedures	30
	Part II – Other Information
Item 1.	Legal Proceedings	31
Item 1A.	Risk Factors	31
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	31
Item 3.	Defaults Upon Senior Securities	31
Item 4.	Mine Safety Disclosures	31
Item 5.	Other Information	31
Item 6.	Exhibits	32

1

Part I - Financial Information

Item 1. Condensed Consolidated Financial Statements

Concurrent Computer Corporation

Condensed Consolidated Balance Sheets

(Amounts in thousands, except share and per share data)

	September 30, 2015			June 30, 2015
	(Unaudited)
ASSETS
Current assets:
Cash and cash equivalents	$	24,462		$	25,451
Accounts receivable, net of allowance for doubtful accounts of $13 and $18 at September 30, 2015 and June 30, 2015, respectively		10,427			10,174
Inventories		2,963			3,428
Deferred income taxes - current, net		1,060			1,422
Prepaid expenses and other current assets		1,910			738
Total current assets		40,822			41,213
Property and equipment, net		2,779			2,448
Deferred income taxes, net		13,257			12,618
Other long-term assets, net		1,350			1,501
Total assets	$	58,208		$	57,780
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable and accrued expenses	$	6,163		$	6,320
Deferred revenue		6,834			8,362
Total current liabilities		12,997			14,682
Long-term liabilities:
Deferred revenue		1,518			1,658
Pension liability		3,251			3,189
Other long-term liabilities		1,711			1,694
Total liabilities		19,477			21,223
Commitments and contingencies (Note 17)
Stockholders' equity:
Shares of series preferred stock, par value $.01; 1,250,000 authorized; none issued		-			-
Shares of class A preferred stock, par value $100; 20,000 authorized; none issued		-			-
Shares of common stock, par value $.01; 14,000,000 authorized; 9,167,992 and 9,136,793 issued and outstanding at September 30, 2015  and June 30, 2015, respectively		92			91
Capital in excess of par value		210,373			210,207
Accumulated deficit		(171,491	)		(173,595	)
Treasury stock, at cost;  37,788 shares		(255	)		(255	)
Accumulated other comprehensive income (loss)		12			109
Total stockholders' equity		38,731			36,557
Total liabilities and stockholders' equity	$	58,208		$	57,780

The accompanying notes are an integral part of the condensed consolidated financial statements.

2

Concurrent Computer Corporation

Condensed Consolidated STATEMENTS OF OPERATIONS (Unaudited)

(Amounts in thousands, except share and per share data)

	Three Months Ended September 30,
	2015			2014
Revenues:
Product	$	8,494		$	12,478
Service		4,857			5,062
Total revenues		13,351			17,540
Cost of sales:
Product		3,453			5,540
Service		2,041			2,302
Total cost of sales		5,494			7,842
Gross margin		7,857			9,698
Operating expenses:
Sales and marketing		3,394			3,966
Research and development		3,837			3,268
General and administrative		1,778			1,954
Gain on sale of product line, net		(4,116	)		-
Gain on sale of intangible assets, net		-			(339	)
Total operating expenses		4,893			8,849
Operating income		2,964			849
Interest income		3			4
Interest expense		-			(1	)
Other income (expense), net		123			(288	)
Income before income taxes		3,090			564
Provision (benefit) for income taxes		(117	)		177
Net income	$	3,207		$	387
Net income per share
Basic	$	0.35		$	0.04
Diluted	$	0.35		$	0.04
Weighted average shares outstanding - basic		9,112,891			8,989,751
Weighted average shares outstanding - diluted		9,176,877			9,115,365
Cash dividends declared per common share	$	0.12		$	0.12

The accompanying notes are an integral part of the condensed consolidated financial statements.

3

Concurrent Computer Corporation

Condensed Consolidated STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (Unaudited)

(Amounts in thousands)

	Three Months Ended September 30,
	2015			2014
Net income	$	3,207		$	387
Other comprehensive income (loss):
Foreign currency translation adjustment		(94	)		211
Pension and post-retirement benefits, net of tax		(3	)		10
Other comprehensive income (loss)		(97	)		221
Comprehensive income	$	3,110		$	608

The accompanying notes are an integral part of the condensed consolidated financial statements.

4

CONCURRENT COMPUTER CORPORATION

CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY (Unaudited)

For the three month period ended September 30, 2015

(Amounts in thousands, except share data)

											Accumulated
	Common Stock				Capital In						Other
			Par		Excess Of			Accumulated			Comprehensive			Treasury Stock
	Shares		Value		Par Value			Deficit			Income (Loss)			Shares			Cost			Total
Balance at June 30, 2015		9,136,793	$	91	$	210,207		$	(173,595	)	$	109			(37,788	)	$	(255	)	$	36,557
Dividends declared									(1,146	)											(1,146	)
Dividends forfeited with restricted stock forfeitures									43												43
Share-based compensation expense						167															167
Lapse of restriction on restricted stock		31,199		1		(1	)														-
Other comprehensive income (loss), net of taxes:
Net income									3,207												3,207
Foreign currency translation adjustment												(94	)								(94	)
Pension plan												(3	)								(3	)
Total comprehensive loss																					3,110
Balance at September 30, 2015		9,167,992	$	92	$	210,373		$	(171,491	)	$	12			(37,788	)	$	(255	)	$	38,731

The accompanying notes are an integral part of the condensed consolidated financial statements

5

Concurrent Computer Corporation

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited)

(Amounts in thousands)

	Three Months Ended September 30,
	2015			2014
Cash flows provided by (used in) operating activities:
Net income	$	3,207		$	387
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization		431			420
Share-based compensation		167			226
Deferred income taxes, net		(257	)		-
Provision for excess and obsolete inventories		23			91
Foreign currency exchange (gains) losses		(120	)		303
Other non-cash expenses		-			(4	)
Gain on sale of product line, net		(4,116	)		-
Gain on sale of intangible assets, net		-			(339	)
Decrease (increase) in assets:
Accounts receivable		(219	)		(1,621	)
Inventories		499			105
Prepaid expenses and other current assets		(510	)		(230	)
Other long-term assets		(63	)		(110	)
Increase (decrease) in liabilities:
Accounts payable and accrued expenses		(667	)		(1,132	)
Deferred revenue		(571	)		1,299
Pension and other long-term liabilities		51			15
Net cash used in operating activities		(2,145	)		(590	)
Cash flows provided by (used in) investing activities:
Additions to property and equipment		(448	)		(282	)
Purchase of domain name		(35	)		-
Proceeds from sale of product line		2,750			-
Proceeds from sale of intangible assets		-			301
Net cash provided by investing activities		2,267			19
Cash flows used in financing activities:
Dividends paid		(1,143	)		(1,190	)
Net cash used in financing activities		(1,143	)		(1,190	)
Effect of exchange rates on cash and cash equivalents		32			(91	)
Decrease in cash and cash equivalents		(989	)		(1,852	)
Cash and cash equivalents - beginning of year		25,451			28,074
Cash and cash equivalents - end of year	$	24,462		$	26,222
Cash paid during the period for:
Interest	$	1		$	2
Income taxes (net of refunds)	$	225		$	398

The accompanying notes are an integral part of the condensed consolidated financial statements

6

Concurrent Computer Corporation

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)

(Amounts in thousands, except for share and per share data)

1. Overview of Business and Basis of Presentation

References herein to “Concurrent,” the “Company,” “we,” “our,” or “us” refer to Concurrent Computer Corporation and its subsidiaries unless the context specifically indicates otherwise.

We provide software, hardware and professional services for the content delivery market and the high-performance, real-time market. Our business is comprised of two segments for financial reporting purposes, products and services, which we provide for each of these markets.

Our content delivery solutions consist of software, hardware and services for intelligently streaming video content to a variety of consumer devices and storing and managing content in the network. Our streaming video and storage products and services are deployed by service providers to support consumer-facing video services including live broadcast video, video-on-demand and time-shifted video applications such as cloud-based digital video recording. In September 2015, we sold our multi-screen video analytics product line for collecting and analyzing data related to content delivery applications (see Note 6 –Sale of Product Line).

Our real-time solutions consist of real-time Linux^® operating system versions, development and performance optimization tools, simulation software and other system software combined, in many cases, with computer platforms and services. These real-time products are sold to a wide variety of companies seeking high performance, real-time computer solutions in the military, aerospace, financial and automotive markets around the world.

The June 30, 2015 condensed consolidated balance sheet data was derived from audited financial statements, but does not include all disclosures required by accounting principles generally accepted in the U.S. (“U.S. GAAP”). Our condensed consolidated interim financial statements are unaudited and reflect all adjustments (consisting of only normal recurring adjustments) that are, in the opinion of management, necessary for a fair statement of our consolidated financial position, consolidated results of operations and consolidated cash flows at the dates and for the periods indicated. These financial statements should be read in conjunction with our Annual Report on Form 10-K for the year ended June 30, 2015 filed with the Securities and Exchange Commission (“SEC”) on August 26, 2015.

There have been no changes to our Significant Accounting Policies as disclosed in Note 2 of the consolidated financial statements included in our Annual Report on Form 10-K for the year ended June 30, 2015. The results reported in these condensed consolidated financial statements should not be regarded as necessarily indicative of results that may be expected for the entire year.

Smaller Reporting Company

We meet the SEC’s definition of a “Smaller Reporting Company,” and therefore qualify for the SEC’s reduced disclosure requirements for smaller reporting companies.

Use of Estimates

The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

7

Concurrent Computer Corporation

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) - continued

(Amounts in thousands, except for share and per share data)

2. Immaterial Restatement of Previously Issued Financial Statements and Reclassification

Subsequent to the issuance of our fiscal year 2015 consolidated financial statements, we identified an error relating to the grant of 120,000 restricted stock awards (“RSAs”) to our president and chief executive officer (“CEO”) upon his commencement of employment in November 2014 (see Note 18 – Subsequent Events). Because the grant was determined to be non-compliant under the terms of the 2011 Stock Incentive Plan (the “Plan”) under which it was granted, in October 2015, the grant was retroactively rescinded. As a result of this error, stock compensation expense was overstated by $249 ($156 net of the related income tax effect of $93) and $44 of related accrued dividends were overstated for the year ended June 30, 2015. Since the grant occurred in the second quarter of the year ended June 30, 2015, there is no impact of this error on the three months ended September 30, 2014. The accompanying condensed consolidated balance sheet as of June 30, 2015 has been corrected for the effect of this error. The effects of this error correction on other periods in the year ended June 30, 2015 will be reflected prospectively. We have evaluated the effects of this misstatement for the year ended June 30, 2015, and the previously presented interim periods, and concluded that these periods are not materially misstated.

The impact of this misstatement on our previously issued condensed consolidated balance sheet as of June 30, 2015 is presented below:

	Consolidated Balance Sheet as of June 30, 2015
	As Previously Reported			Adjustments			As Restated
ASSETS
Current assets:
Cash and cash equivalents	$	25,451					$	25,451
Accounts receivable, net		10,174						10,174
Inventories		3,428						3,428
Deferred income taxes - current, net		1,422						1,422
Prepaid expenses and other current assets		738						738
Total current assets		41,213			-			41,213
Property and equipment, net		2,448						2,448
Deferred income taxes, net		12,711			(93	)		12,618
Other long-term assets, net		1,501						1,501
Total assets	$	57,873		$	(93	)	$	57,780
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable and accrued expenses	$	6,342		$	(22	)	$	6,320
Deferred revenue		8,362						8,362
Total current liabilities		14,704			(22	)		14,682
Long-term liabilities:
Deferred revenue		1,658						1,658
Pension liability		3,189						3,189
Other long-term liabilities		1,716			(22	)		1,694
Total liabilities		21,267			(44	)		21,223
Commitments and contingencies
Stockholders' equity:
Shares of series preferred stock, par value $.01		-						-
Shares of class A preferred stock, par value $100		-						-
Common stock, par value $.01		91						91
Capital in excess of par value		210,456			(249	)		210,207
Accumulated deficit		(173,795	)		200			(173,595	)
Treasury stock, at cost		(255	)					(255	)
Accumulated other comprehensive income (loss)		109						109
Total stockholders' equity		36,606			(49	)		36,557
Total liabilities and stockholders' equity	$	57,873		$	(93	)	$	57,780

8

Concurrent Computer Corporation

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) - continued

(Amounts in thousands, except for share and per share data)

Subsequent to the issuance of our fiscal year 2014 consolidated financial statements, we identified an error in the consolidated statements of cash flows relating to the presentation of spare parts purchases used to support our obligations under customer contracts. Cash outflows of $106 for the three months ended September 30, 2014 were improperly classified as investing activities rather than as operating activities in our condensed consolidated statements of cash flows. We have evaluated the effects of these misstatements for this period and concluded that this period is not materially misstated. Notwithstanding, we have corrected the accompanying condensed consolidated cash flow presentation for the three months ended September 30, 2014.

The impact of this misstatement on our previously issued condensed consolidated statements of cash flows for the three months ended September 30, 2014 is presented below:

	Consolidated Statements of Cash Flows for the Three months Ended Ended September 30, 2014
	As Previously Reported			Adjustments			As Restated
Depreciation and amortization	$	501		$	(81	)	$	420
Provision for excess and obsolete inventories		10			81			91
Other long-term assets, net		(4	)		(106	)		(110	)
All other operating activities, net		(991	)		-			(991	)
Net cash provided by (used in) operating activities	$	(484	)	$	(106	)	$	(590	)
Additions to property and equipment	$	(388	)	$	106		$	(282	)
All other investing activities, net		301			-			301
Net cash Provided by (used in) investing activities	$	(87	)	$	106		$	19

The notes to the condensed consolidated financial statements have been corrected to give effect to the above items.

Reclassification

Certain prior year amounts in the consolidated financial statements have been reclassified to conform to the current year presentation. Specifically, we have reclassified our intangible assets, net with balances of $139 and $323 into other long-term assets, net in our consolidated balance sheets as of September 30, 2015 and June 30, 2015, respectively. Intangible assets at September 30, 2015 includes an internet domain name (www.concurrent.com) acquired during the three months ended September 30, 2015 for $35. The domain name is considered an indefinite-lived intangible asset and is not amortizable.

Additionally, amortization expense related to finite-lived intangible assets was $36 and $46 for the three months ended September 30, 2015 and 2014, respectively.

3. Recent Accounting Guidance

Recently Adopted Accounting Guidance

In April 2014, the FASB issued ASU No. 2014-08, Presentation of Financial Statements (Topic 205) and Property, Plant, and Equipment (Topic 360): Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity (“ASU 2014-08”). ASU 2014-08 requires that a disposal representing a strategic shift that has (or will have) a major effect on an entity’s financial results or a business activity classified as held for sale should be reported as discontinued operations. ASU 2014-08 also expands the disclosure requirements for discontinued operations and adds new disclosures for individually significant dispositions that do not qualify as discontinued operations. ASU 2014-08 was effective for us beginning July 1, 2015. The adoption of ASU 2014-08 was considered in regards to the sale our multi-screen video analytics product line in September 2015 (see Note 6 – Sale of Product Line).

9

Concurrent Computer Corporation

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) - continued

(Amounts in thousands, except for share and per share data)

Recent Accounting Guidance Not Yet Adopted

In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606) (“ASU 2014-09”), as part of its ongoing efforts to assist in the convergence of U.S. GAAP and International Financial Reporting Standards, the FASB issued a new standard related to revenue recognition. Under ASU 2014-09, recognition of revenue occurs when a customer obtains control of promised goods or services in an amount that reflects the consideration to which the entity expects to receive in exchange for those goods or services. In addition, the standard requires disclosure of the nature, amount, timing and uncertainty of revenue and cash flows arising from contracts with customers. In July 2015, the FASB agreed to defer the original effective date of ASU 2014-09 by one year, and as a result, ASU 2014-09 will be effective for us beginning July 1, 2018. Early adoption is not permitted. We anticipate that ASU 2014-09 may have a material impact, and we are currently evaluating the impact this standard will have on our consolidated financial statements.

In August 2014, the FASB issued ASU No. 2014-15, Presentation of Financial Statements – Going Concern (Subtopic 205-40): Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern (“ASU 2014-15”), which provides guidance on determining when and how to disclose going concern uncertainties in the financial statements. ASU 2014-15 requires management to perform interim period and annual assessments of an entity’s ability to continue as a going concern within one year of the date the financial statements are issued. An entity must provide certain disclosures if “conditions or events raise substantial doubt about the entity’s ability to continue as a going concern.” ASU 2014-15 applies to all entities and is effective for annual periods ending after December 15, 2016, and interim periods thereafter, with early adoption permitted. We do not expect ASU 2014-15 to have a material impact on our consolidated financial statements or disclosures.

In July 2015, the FASB issued ASU No. 2015-11, Inventory (Topic 330): Simplifying the Measurement of Inventory (“ASU 2015-11”). This amendment requires that an entity measure its inventory at the “lower of cost and net realizable value.” Net realizable value is the estimated selling price in the ordinary course of business, less reasonably predictable costs of completion, disposal and transportation. Current literature requires measurement of inventory at “lower of cost or market.” Market could be replacement cost, net realizable value, or net realizable value less an approximate normal profit margin. ASU 2015-11 applies to all entities and is effective for annual periods beginning after December 15, 2016, and interim periods thereafter, with early adoption permitted. We do not expect ASU 2015-11 to have a material impact on our consolidated financial statements or disclosures.

4. Basic and Diluted Net Income per Share

Basic net income per share is computed by dividing net income by the weighted average number of common shares outstanding during each year. Diluted net income per share is computed by dividing net income by the weighted average number of shares including dilutive common share equivalents. Under the treasury stock method, incremental shares representing the number of additional common shares that would have been outstanding if the dilutive potential common shares had been issued are included in the computation. Common share equivalents of 127,190 and 103,437 for the three months ended September 30, 2015 and 2014, respectively, were excluded from the calculation as their effect was anti-dilutive.

10

Concurrent Computer Corporation

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) - continued

(Amounts in thousands, except for share and per share data)

The following table presents a reconciliation of the numerators and denominators of basic and diluted net income per share for the periods indicated:

	Three Months Ended September 30,
	2015		2014
Basic and diluted EPS calculation:
Net income	$	3,207	$	387
Basic weighted average number of shares outstanding		9,112,891		8,989,751
Effect of dilutive securities:
Employee stock options		-		8,722
Restricted shares		63,821		116,892
Diluted weighted average number of shares outstanding		9,176,712		9,115,365
Basic EPS	$	0.35	$	0.04
Diluted EPS	$	0.35	$	0.04

5. Fair Value Measurements

Fair value is defined as the price that would be received from selling an asset or paid to transfer a liability in an orderly fashion between market participants at the measurements date. When determining the fair value measurements for assets and liabilities required or permitted to be either recorded or disclosed at fair value, we consider the most advantageous market in which it would transact and assumptions that market participants would use when pricing the asset of liability.

The Accounting Standards Codification requires certain disclosures around fair value and establishes a fair value hierarchy for valuation inputs. The hierarchy prioritizes the inputs into three levels based on the extent to which inputs used in measuring fair value are observable in the market. Each fair value measurement is reported in one of the three levels which are determined by the lowest level input that is significant to the fair value measurement in its entirety. These levels are:

· Level 1  Quoted prices (unadjusted) in active markets for identical assets or liabilities;

· Level 2  Inputs other than quoted prices included within Level 1 that are either directly or indirectly observable; and

· Level 3  Assets or liabilities for which fair value is based on valuation models with significant unobservable pricing inputs and which result in the use of management estimates.

We have money market funds that are highly liquid and have a maturity of three months or less, and as such, are considered cash equivalents and fall within Level 1 of the fair value hierarchy. We have no financial assets that are measured on a recurring basis that fall within Level 2 or Level 3 of the fair value hierarchy.

11

Concurrent Computer Corporation

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) - continued

(Amounts in thousands, except for share and per share data)

Our financial assets that are measured at fair value on a recurring basis as of September 30, 2015 are as follows:

	Total Fair Value		Quoted Prices in Active Markets (Level 1)		Observable Inputs (Level 2)		Unobservable Inputs (Level 3)
Cash	$	14,416	$	14,416	$	-	$	-
Money market funds		10,046		10,046		-		-
Cash and cash equivalents	$	24,462	$	24,462	$	-	$	-

Our financial assets that are measured at fair value on a recurring basis as of June 30, 2015 are as follows:

	Total Fair Value		Quoted Prices in Active Markets (Level 1)		Observable Inputs (Level 2)		Unobservable Inputs (Level 3)
Cash	$	15,406	$	15,406	$	-	$	-
Money market funds		10,045		10,045		-		-
Cash and cash equivalents	$	25,451	$	25,451	$	-	$	-

6. Sale of Product Line

On September 9, 2015, we sold the customer contracts and intellectual property related to our multi-screen video analytics product line for $3,500 pursuant to an Asset Purchase Agreement (“APA”) dated August 31, 2015 with Verimatrix, Inc. (“Verimatrix”), a privately-held video revenue security company based in San Diego, California. The APA includes customary terms and conditions, including provisions that require the Company to indemnify Verimatrix for certain losses that it incurs as a result of a breach by the Company of its representations and warranties in the APA and certain other matters. Proceeds from the sale are payable to the Company as follows: (1) a $2,750 payment to the Company in cash (received on September 10, 2015), (2) a $375 deferred payment which will be paid to the Company by Verimatrix on or before June 30, 2016 (less any portion used to make indemnification payments, if necessary) and (3) $375 placed in escrow which amount will be released to the Company on or before June 30, 2016 (less any portion used to make indemnification payments to Verimatrix after exhaustion of the deferred payment).

The customer contracts and intellectual property sold had a net book value of $188 (which was included in intangible assets, net in our consolidated balance sheet). As a result of the sale, we also included $1,016 (net liability, consisting primarily of unearned deferred revenue) of related assets and liabilities not sold or transferred in the transaction in the calculation of the recorded gain. Additionally, we incurred $212 in legal, accounting and other expenses that would not have been incurred otherwise. As a result, we recorded a net gain of $4,116 in our condensed consolidated statement of operations for the three months ended September 30, 2015.

As noted above, on July 1, 2015, we adopted ASU 2014-08 regarding discontinued operations. As a result, we evaluated the sale of our multi-screen video analytics product line in light of this new standard. We concluded that the sale of our multi-screen video analytics product line in September 2015 was not a “material shift” (as defined in ASU 2014-08) for us and therefore, is not considered a discontinued operation. In accordance with ASU 2014-08, the following information is being provided:

12

Concurrent Computer Corporation

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) - continued

(Amounts in thousands, except for share and per share data)

	Three Months Ended September 30,
	2015			2014
Operating profit (loss) related to multi-screen video analytics product line	$	178	1	$	(191	)

¹Through date of sale on September 9, 2015

7. Income Taxes

Components of Provision (Benefit) for Income Taxes

The domestic and foreign components of income before the provision (benefit) for income taxes are as follows:

	Three Months Ended September 30,
	2015		2014
United States	$	2,755	$	377
Foreign		335		187
Income before income taxes		3,090		564

We recorded an income tax benefit for our domestic and foreign subsidiaries of $117 and income tax expense of $177 during the three months ended September 30, 2015 and 2014, respectively. The components of the provision (benefit) for income taxes are as follows:

	Three Months Ended September 30,
	2015			2014
United States	$	(251	)	$	150
Foreign		134			27
Provision (benefit) for income taxes	$	(117	)	$	177

The domestic tax expense is lower than the prior year primarily due to the release of valuation allowance attributable to the tax impact of the gain on sale of our multi-screen video analytics product line. Any other domestic differences are due to differences in projected pretax book income and permanent book/tax differences between the two periods. The foreign tax expense is higher as compared to the prior year, primarily due to higher Japanese pretax book income for the three months ended September 30, 2015 as compared to the same period for the prior year.

Net Operating Losses

As of June 30, 2015, we had U.S. federal net operating loss carryforwards of approximately $92,826 for income tax purposes, of which none expire in fiscal year 2016, and the remainder expire at various dates through 2034. We completed an evaluation of the potential effect of Section 382 of the Internal Revenue Code of 1986 (the “Code”) on our ability to utilize these net operating losses. The study concluded that we have not had an ownership change for the period from July 22, 1993 to June 30, 2015.

As of June 30, 2015, we have state NOLs of $52,310 and foreign NOLs of $28,153.  The state NOLs expire between fiscal year 2015 and fiscal year 2035.  The foreign NOLs expire according to the rules of each country and have an indefinite carryforward period.

13

Concurrent Computer Corporation

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) - continued

(Amounts in thousands, except for share and per share data)

Valuation Allowance

Realization of our deferred tax assets is dependent primarily on the generation of future taxable income. In considering the need for a valuation allowance, we consider our historical and future projected operations along with other positive and negative evidence in assessing if sufficient future taxable income will be generated to use the existing deferred tax assets. The following summarizes our conclusions on the need for a valuation allowance in each jurisdiction as of September 30, 2015:

U.S. - For the three months ended September 30, 2015, we sold the assets associated with our multi-screen video analytics product line, generating a gain of $4,116. This realized gain will now allow us to utilize an additional amount of valuation allowance that we were unable to consider in our estimate of future earnings at the end of fiscal year 2015. We are recognizing a release of $1,355 of the valuation allowance on federal and state NOLs that will be used to offset this gain. Other than this discrete item in fiscal year 2016, we do not believe that there has been a significant change in our business in the U.S. that would require a reassessment of our conclusion at the end of fiscal year 2015 with regard to the valuation allowance. We will continue to evaluate our assumptions each quarter regarding the need for a valuation allowance and will make appropriate adjustments as necessary.

U.K. - During our fiscal year 2014, a change in U.K. tax law relative to treatment of research and development expenses allowed us to release $214 of valuation allowances against deferred tax assets that we believe are now realizable as a result of the current period tax law change. We believe that in light of this law change, we will now generate sufficient taxable income to fully utilize our net deferred tax assets in the U.K.

Japan - Our subsidiary in Japan has a long history of profitable operations, and we continue to project profitability in Japan for the foreseeable future. Therefore, we continue to believe that we will fully realize the net deferred tax assets in Japan, and no valuation allowance is needed.

Other Foreign Jurisdictions - We also evaluated the need for a continued full valuation allowance against our foreign deferred tax assets in other jurisdictions. We concluded that a full valuation allowance against our deferred tax assets for other foreign jurisdictions was warranted due to, among other reasons, (i) the realized cumulative accounting losses, (ii) our long history of taxable losses and (iii) our uncertainty with respect to generating future taxable income in the near term given our recently completed projections and other inherent uncertainties in our business.

Each quarter, we assess the total weight of positive and negative evidence and evaluate whether release of all or any portion of the valuation allowance is appropriate. Should we come to the conclusion that a release of our valuation allowances is required, or that additional valuation allowance is required, there could be a significant increase or decrease in net income and earnings per share in the period of release, or the additional valuation allowance, due to the impact on the tax rate.

Unrecognized Tax Benefits

The Company has evaluated its unrecognized tax benefits and determined that there has not been a material change in the amount of such benefits for the three months ended September 30, 2015.

8. Share-Based Compensation

As of September 30, 2015, we had share-based compensation plans which are described in Note 11 of the consolidated financial statements included in our Annual Report on Form 10-K for the year ended June 30, 2015. We recognize stock compensation expense over the requisite service period of the individual grantees, which generally equals the vesting period. As of September 30, 2015, we had 89,447 stock options outstanding and 422,303 restricted shares outstanding (after giving effect to the retroactive rescission of 120,000 RSAs previously granted to our CEO as described in Note 2 - Immaterial Restatement of Previously Issued Financial Statements and Reclassification). No stock options were granted, exercised, or cancelled during the three months ended September 30, 2015. We recorded share-based compensation related to the issuance of restricted stock to employees and board members as follows:

14

Concurrent Computer Corporation

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) - continued

(Amounts in thousands, except for share and per share data)

	Three Months Ended September 30,
	2015		2014
Share-based compensation expense included in the consolidated statement of operations:
Cost of sales	$	1	$	14
Sales and marketing		30		40
Research and development		31		28
General and administrative		105		144
Total		167		226

A summary of the activity of our time-based, service condition restricted shares during the three months ended September 30, 2015, is presented below:

Restricted Stock Awards	Shares			Weighted- Average Grant Date Fair Value
Non-vested at July 1, 2015(1)		250,690		$	6.61
Granted		212,500			4.68
Vested		(31,199	)		5.83
Forfeited		(15,075	)		6.72
Non-vested at September 30, 2015		416,916		$	5.68

⁽¹⁾Reflects the retroactive rescission of 120,000 restricted stock awards previously granted to the Company's president and CEO.

During the three months ended September 30, 2015, 20,500 previously granted performance-based restricted shares were forfeited due to a failure to meet performance goals associated with our fiscal year 2015 financial results. A summary of the activity of our performance-based restricted shares during the three months ended September 30, 2015, is presented below:

Performance Stock Awards	Shares			Weighted- Average Grant Date Fair Value
Non-vested at July 1, 2015		25,887		$	5.84
Granted		-			-
Vested		-			-
Forfeited		(20,500	)		6.93
Non-vested at September 30, 2015		5,387		$	5.14

15

Concurrent Computer Corporation

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) - continued

(Amounts in thousands, except for share and per share data)

9. Inventories

Inventories consist of the following:

	September 30, 2015		June 30, 2015
Raw materials	$	1,138	$	1,403
Work-in-process		266		271
Finished goods		1,559		1,754
	$	2,963	$	3,428

10. Property and Equipment, net

Property and equipment consists of the following:

	September 30, 2015			June 30, 2015
Leasehold improvements	$	2,663		$	2,723
Machinery and equipment		14,556			14,075
		17,219			16,798
Less: Accumulated depreciation		(14,440	)		(14,350	)
	$	2,779		$	2,448

During the three months ended September 30, 2015, the Company wrote-off fully-depreciated property and equipment related to the sale of its multi-screen video analytics product line with an original cost of $260.

Depreciation expense for property and equipment was $395 and $384 for the three months ended September 30, 2015 and 2014, respectively.

11. Accounts Payable and Accrued Expenses

Accounts payable and accrued expenses consist of the following:

	September 30, 2015		June 30, 2015
Accounts payable, trade	$	2,875	$	2,682
Accrued payroll, vacation and other employee expenses		2,066		2,332
Accrued income taxes		119		23
Dividend payable		68		71
Other accrued expenses		1,035		1,212
	$	6,163	$	6,320

16

Concurrent Computer Corporation

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) - continued

(Amounts in thousands, except for share and per share data)

12. Pensions and Other Postretirement Benefits

Defined Contribution Plans

We maintain a retirement savings plan available to U.S. employees that qualifies as a defined contribution plan under Section 401(k) of the Internal Revenue Code. We match 50% of the first 5% of the participants’ compensation invested by the employee in the 401(k) plan. For the three months ended September 30, 2015 and 2014, we made matching contributions of $124 and $137, respectively.

We also maintain a defined contribution plan (the “Stakeholder Plan”) for our U.K. based employees. The Stakeholder Plan provides for discretionary matching contributions of between 4% and 7% of the employee’s salary. We contributed $14 and $13 to the Stakeholder Plan for the three months ended September 30, 2015 and 2014, respectively.

Defined Benefit Plans

The following table provides the components of net periodic pension cost of our German defined benefit pension plans recognized in earnings for the three months ended September 30, 2015 and 2014:

	Three Months Ended September 30,
	2015			2014
Net Periodic Benefit Cost
Service cost	$	-		$	-
Interest cost		24			35
Expected return on plan assets		(5	)		(16	)
Recognized actuarial loss		12			11
Net periodic benefit cost	$	31		$	30

We contributed $4 (paid in October 2015) and $6 to our German defined benefit pension plans for the three months ended September 30, 2015 and 2014, respectively, and expect to make additional, similar, quarterly contributions during the remaining quarters of our fiscal year 2016.

17

Concurrent Computer Corporation

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) - continued

(Amounts in thousands, except for share and per share data)

13. Segment Information

We operate in two segments, products and services, as disclosed within our consolidated statements of operations. We evaluate segment results using revenues and gross margin as the performance measures. Such information is shown on the face of the accompanying consolidated statements of operations. We do not identify assets on a segment basis. We attribute revenues to individual countries and geographic areas based upon location of our customers and long-lived assets based upon location of the assets. As presented below, long-lived assets exclude intangible assets, net.

A summary of our revenue and long-lived assets by geographic area is as follows:

	Three Months Ended September 30,
	2015		2014
United States	$	8,607	$	10,880
Canada		1,116		903
Total North America		9,723		11,783
Japan		2,097		1,863
Other Asia-Pacific		301		218
Total Asia-Pacific		2,398		2,081
Europe		1,224		3,673
South America		6		3
Total revenue	$	13,351	$	17,540

	September 30, 2015		June 30, 2015
Long-lived assets:
United States	$	16,246	$	15,229
Europe		282		301
Japan		699		691
Other Asia-Pacific		20		23
Total long-lived assets	$	17,247	$	16,244

14. Concentration of Risk

The following table summarizes revenues by significant customer where such revenue accounted for 10% or more of total revenues for any one of the indicated periods:

	Three Months Ended
	September 30,
	2015			2014
Customer A		22	%		<10	%
Customer B		<10	%		15	%
Customer C		<10	%		11	%

18

Concurrent Computer Corporation

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) - continued

(Amounts in thousands, except for share and per share data)

We assess credit risk through ongoing credit evaluations of customers’ financial condition, and collateral is generally not required. The following summarizes accounts receivable by significant customers for whom accounts receivable were 10% or more of total accounts receivables for any one of the indicated periods:

	September 30,			June 30,
	2015			2015
Customer D		30	%		<10	%
Customer E		14	%		<10	%
Customer F		12	%		<10	%
Customer G		<10	%		37	%

There were no other customers representing 10% or more of our trade receivables at September 30, 2015 and June 30, 2015.

The following summarizes purchases from significant vendors where such purchases accounted for 10% or more of total purchases for any one of the indicated periods:

	Three Months Ended
	September 30,
	2015			2014
Vendor A		19	%		19	%
Vendor B		15	%		<10	%
Vendor C		13	%		16	%
Vendor D		<10	%		15	%
Vendor E		<10	%		15	%

15. Dividends

During the three months ended September 30, 2015, our Board of Directors approved a quarterly cash dividend as follows:

			Dividends Declared
Record Date	Payment Date	Type	Per Share		Total
September 15, 2015	September 29, 2015	Quarterly	$	0.12	$	1,146

As of September 30, 2015, we recorded $148 of dividends payable to holders of restricted common stock who held restricted shares at the time of the dividend record dates and still hold those restricted shares as of September 30, 2015. Such dividends will be paid when the restrictions on a holder’s restricted common shares lapse. This dividend payable is divided between current payable and non-current payable in the amounts of $68 and $80, respectively, based upon the expected vesting date of the underlying shares. These holders of restricted common stock will receive the dividend payments as long as they remain eligible at the vesting date of the shares. Dividends payable at September 30, 2015 reflect the rescission of 120,000 RSAs as described in Note 2 – Immaterial Restatement of Previously Issued Financial Statements and Reclassification. For the three months ended September 30, 2015, $43 of dividends payable were forfeited and returned to capital for restricted shares that were forfeited prior to meeting vesting requirements. Because the participants are not entitled to these dividends unless they complete the requisite service period for the shares to vest, they are not “participating dividends” as defined under ASC Topic 260-10, Earnings per Share.

19

Concurrent Computer Corporation

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) - continued

(Amounts in thousands, except for share and per share data)

16. Accumulated Other Comprehensive Income (Loss)

The following table summarizes the changes in accumulated other comprehensive income (loss) by component, net of taxes, for the three months ended September 30, 2015:

	Pension and Postretirement Benefit Plans			Currency Translation Adjustments			Total
Balance at June 30, 2015	$	(1,214	)	$	1,323		$	109
Other comprehensive income  before reclassifications		-			(94	)		(94	)
Amounts reclassified from accumulated other comprehensive income (loss)		(3	)		-			(3	)
Net current period other comprehensive income (loss)		(3	)		(94	)		(97	)
Balance at September 30, 2015	$	(1,217	)	$	1,229		$	12

17. Commitments and Contingencies

From time to time, we are involved in litigation incidental to the conduct of our business. We believe that such pending litigation will not have a material adverse effect on our results of operations or financial condition.

We enter into agreements in the ordinary course of business with customers that often require us to defend and/or indemnify the customer against intellectual property infringement claims brought by a third-party with respect to our products. For example, we were notified that certain of our customers have settled with or been sued by the following companies, in the noted jurisdictions, regarding the listed patents:

Asserting Party	Jurisdiction	Patents at Issue
Constellation Technologies, LLC	U.S. District Court Eastern District of Texas	U.S. Patent Nos. 6,128,649, 6,901,048, 7,154,879 and 6,845,389
Trans Video Electronics Ltd.	U.S. District Court of Delaware	U.S. Patent Nos. 5,594,936 and 5,991,801
Broadband iTV, Inc.	U.S. District Court of Hawaii	U.S. Patent No. 7,361,336
Sprint Communications Company, L.P.	U.S. District Court Eastern District of Pennsylvania	U.S. Patent Nos. 6,754,907 and 6,757,907
FutureVision.com LLC	U.S. District Court Eastern District of Texas	U.S. Patent No. 5,877,755

20

Concurrent Computer Corporation

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) - continued

(Amounts in thousands, except for share and per share data)

We continue to review our potential obligations under our indemnification agreements with these customers and the indemnity obligations to these customers from other vendors that also provided systems and services to these customers. From time to time, we also indemnify customers and business partners for damages, losses and liabilities they may suffer or incur relating to personal injury, personal property damage, product liability, and environmental claims relating to the use of our products and services or resulting from our acts or omissions, our employees, authorized agents or subcontractors. We have not accrued any material liabilities related to such indemnifications in our financial statements and do not expect any other material costs as a result of such obligations. The maximum potential amount of future payments that we could be required to make is unlimited, and we are unable to estimate any possible loss or range of possible loss.

Severance Arrangements

Pursuant to the terms of the employment agreements with our executive officers and certain other employees, employment may be terminated by either the respective executive officer or us at any time. In the event the employee voluntarily resigns (except as described below) or is terminated for cause, compensation under the employment agreement will end. In the event an agreement is terminated by us without cause or in certain circumstances constructively by us, the terminated employee will receive severance compensation for a period from 6 to 12 months, depending on the officer, in an annualized amount equal to the respective employee's base salary then in effect. In the event our CEO resigns within three months of a change in control or the CEO’s agreement is terminated by us within one year of a change of control other than for due cause, disability or non-renewal by our CEO, our CEO will be entitled to severance compensation multiplied by two, as well as incremental medical costs. Additionally, if terminated, our CEO and chief financial officer may be entitled to bonuses during the severance period. At September 30, 2015, the maximum contingent liability under these agreements is $2,060. Our employment agreements with certain of our employees contain certain offset provisions, as defined in their respective agreements.

Shareholder Demand Letter

As previously disclosed in our Form 8-K filed on October 15, 2015, on October 5, 2015, our Board of Directors received a demand letter from a law firm on behalf of a purported shareholder of the Company alleging that the grant of 120,000 RSAs pursuant to our November 18, 2014 employment agreement with our CEO exceeded the limits set forth in the Plan. In response to the demand letter, our Board of Directors formed a special committee to investigate the allegations and take corrective action should any be necessary. As more fully described in our Form 8-K filed on October 15, 2015, we also took actions to, among other things, amend the employment agreement to rescind the grant of 120,000 RSAs to our CEO (see Note 18 – Subsequent Events).

Assessments of claims exposures are difficult because they involve inherently unpredictable factors, particularly for matters such as this which are at a very early stage of proceeding. As a result, we are currently unable to estimate any reasonably possible losses which may result from this matter, but our management is currently of the opinion that it will not have a material effect on our business, consolidated financial position, results of operations or cash flows.

18. Subsequent Events

On October 15, 2015, the Company entered into an amendment (the “Amendment”) to its initial employment agreement with its president and CEO dated November 18, 2014. Pursuant to the terms of the Amendment, the Company and its CEO agreed to rescind the 120,000 RSAs initially granted under the Plan to its CEO pursuant to the terms of the initial employment agreement. This rescission was effective as of the date the RSAs were initially granted.

In connection with the execution of the Amendment, on October 15, 2015, the Company awarded its CEO a cash bonus of $332 and granted him 45,000 RSAs under the Plan that will vest in equal installments over three years on each anniversary of the grant date, provided that the CEO remains employed by the Company on each such date.

21

Concurrent Computer Corporation

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) - continued

(Amounts in thousands, except for share and per share data)

As part of the Amendment, the Company also committed that, subject to approval both by the Board and by the Compensation Committee of the Board, in January 2016 the Company will grant its CEO 15,000 RSAs under the Plan that will vest in substantially equal installments over three years on each anniversary of the grant date and 40,000 RSAs under the Plan that will vest on the third anniversary of the grant date, in each case provided that the CEO remains employed by the Company on each such date.

We have evaluated subsequent events through the date these financial statements were issued and determined that there were no other material subsequent events that require recognition or additional disclosure in our consolidated financial statements.

22

Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations

The following Management’s Discussion and Analysis of Financial Condition and Results of Operations should be read in conjunction with the condensed consolidated financial statements and the related notes thereto which appear elsewhere herein. Except for the historical financial information, many of the matters discussed in this Item 2 may be considered “forward-looking” statements that reflect our plans, estimates and beliefs. Actual results could differ materially from those discussed in the forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to, those discussed in the section below entitled “Cautionary Note Regarding Forward-Looking Statements,” elsewhere herein and in other filings made with the Securities and Exchange Commission (“SEC”), including our Annual Report on Form 10-K for the year ended June 30, 2015.

References herein to “Concurrent,” the “Company,” “we,” “our” or “us” refer to Concurrent Computer Corporation and its subsidiaries unless the context specifically indicates otherwise.

References to our Form 10-K made throughout this document refer to our Annual Report on Form 10-K for the fiscal year ended June 30, 2015 as filed with the SEC on August 26, 2015

Overview

We provide software, hardware and professional services for the content delivery market and the high performance, real-time market. Our business is comprised of two segments for financial reporting purposes, products and services, which we provide for each of these markets.

Our content delivery solutions consist of software, hardware and services for intelligently streaming video content to a variety of consumer devices and storing and managing content in the network. Our streaming video and storage products and services are deployed by service providers to support consumer-facing video services including live broadcast video, video-on-demand and time-shifted video applications such as cloud-based digital video recording. In September 2015, we sold our multi-screen video analytics product line for collecting and analyzing data related to content delivery applications.

Our real-time solutions consist of real-time Linux operating system versions, development and performance optimization tools, simulation software and other system software combined, in many cases, with computer platforms and services. These real-time products are sold to a wide variety of companies seeking high-performance, real-time computer solutions in the military, aerospace, financial and automotive markets around the world.

23

Results of Operations for the Three Months Ended September 30, 2015 Compared to the Three Months Ended September 30, 2014

The following table sets forth summarized consolidated financial information for the three months ended September 30, 2015 and 2014, as well as comparative data showing increases and decreases between periods (dollars in thousands):

	Three Months Ended September 30,						$			%
	2015			2014			Change			Change
Product revenue	$	8,494		$	12,478		$	(3,984	)		(31.9	)%
Service revenue		4,857			5,062			(205	)		(4.0	)%
Total revenue		13,351			17,540			(4,189	)		(23.9	)%
Product cost of sales		3,453			5,540			(2,087	)		(37.7	)%
Service cost of sales		2,041			2,302			(261	)		(11.3	)%
Total cost of sales		5,494			7,842			(2,348	)		(29.9	)%
Product gross margin		5,041			6,938			(1,897	)		(27.3	)%
Service gross margin		2,816			2,760			56			2.0	%
Total gross margin		7,857			9,698			(1,841	)		(19.0	)%
Operating expenses:
Sales and marketing		3,394			3,966			(572	)		(14.4	)%
Research and development		3,837			3,268			569			17.4	%
General and administrative		1,778			1,954			(176	)		(9.0	)%
Gain on sale of product line, net		(4,116	)		-			(4,116	)		NM	(1)
Gain on sale of intangible assets, net		-			(339	)		339			(100.0	)%
Total operating expenses		4,893			8,849			(3,956	)		(44.7	)%
Operating income		2,964			849			2,115			249.1	%
Interest income, net		3			3			-			0.0	%
Other income (expense), net		123			(288	)		411			(142.7	)%
Income before income taxes		3,090			564			2,526			447.9	%
Provision (benefit) for income taxes		(117	)		177			(294	)		(166.1	)%
Net income	$	3,207		$	387		$	2,820			728.7	%

⁽¹⁾ NM denotes percentage is not meaningful

Product Revenue. Total product revenue for three months ended September 30, 2015 was $8.5 million, a decrease of $4.0 million, or 31.9%, from $12.5 million for three months ended September 30, 2014. The decrease in product revenue resulted from a $2.1 million, or 35.4%, decrease in content delivery product revenue for three months ended September 30, 2015 compared to the prior year. The period-over-period decline in content delivery product revenue resulted from the following:

· North American content delivery product revenue decreased by $0.4 million, or 10.9%. Current period North American video system sales were more evenly spread among numerous customers; however, we experienced lower overall purchasing volume from our domestic content delivery customers in the current period, especially two of our larger North American customers, as we continue to see consolidation in the cable and telecommunications industries.

· European content delivery product revenue decreased by $1.7 million, or 76.8%. European content delivery product revenue fluctuates from period to period primarily due to the product upgrade and expansion patterns of our customers. In the prior year period, we delivered our network DVR technology as part of an existing European customer’s expansion of its existing system.

24

Fluctuation in content delivery product revenue is often due to the fact that we have a small number of customers making periodic large purchases that account for a significant percentage of revenue. Our content delivery product revenue is also subject to customers’ capital spending cycles and may be impacted in the future by consolidation of the industry in which our customers operate.

The decrease in product revenue also resulted from a $1.8 million, or 28.6%, decrease in real-time product revenue for three months ended September 30, 2015 compared to the prior year. The period-over-period decline in real-time product revenue resulted primarily from the following:

· North American real-time product revenue decreased $1.9 million due to the one-time sale of a custom simulator system to one of our U.S. defense department affiliated customers during the three months ended September 30, 2014.

Revenue from defense contractors and the government tend to vary by quarter and year, and are dependent upon government initiatives and funding availability.

Service Revenue. Total service revenue for three months ended September 30, 2015 was $4.9 million, a decrease of $0.2 million, or 4.0%, from $5.1 million for three months ended September 30, 2014. This decrease was primarily due to a $0.3 million, or 11.4%, decrease in content delivery service revenue. The remainder of fiscal year 2016 will continue to show lower service revenues due to the sale of our multi-screen video analytics product line in early September 2015.

Product Gross Margin. Product gross margin was $5.0 million for three months ended September 30, 2015, a decrease of $1.9 million, or 27.3%, from $6.9 million for three months ended September 30, 2014. Product gross margin as a percentage of product revenue improved to 59.3% for three months ended September 30, 2015 from 55.6% for three months ended September 30, 2014 primarily due to (1) a favorable product mix and (2) a lower than average gross margin recognized on the real-time one-time sale to one of our U.S. defense department customers in the prior year period, as noted above. Product gross margin decreased in terms of dollars during three months ended September 30, 2015, compared to the same period in the prior year, due to the lower volume of our product sales to both content delivery and real-time customers.

Service Gross Margin. Service gross margin was $2.8 million for each of three months ended September 30, 2015 and 2014. Gross margin on service revenue increased to 58.0% of service revenue for three months ended September 30, 2015 from 54.5% of service revenue for three months ended September 30, 2014. The increase in service margin as a percentage of service revenue was primarily due the elimination of fixed costs used to support our service organization. Additionally, the $0.3 million decrease in service cost of sales primarily resulted from (1) a $0.2 million decrease in customer service personnel costs due to lower headcount primarily in the U.S as a result of the sale of our multi-screen video analytics product line in early September 2015 as well as lower service personnel costs in Europe as a result of lower headcount and (2) a $0.1 million decrease due to lower travel costs, partially offset by (3) $0.1 million in severance costs related to customer support personnel that were terminated in the three months ended September 30, 2015.

Sales and Marketing. Sales and marketing expenses decreased approximately $0.6 million, or 14.4%, to $3.4 million for three months ended September 30, 2015 from $4.0 million for three months ended September 30, 2014. This period-over-period decrease primarily resulted from (1) a $0.4 million decrease in sales commissions due to lower sales in the three months ended September 30, 2015, (2) a $0.1 million decrease due to the favorable effect of foreign currency rate changes primarily in Japan and (3) a $0.1 million decrease in recruiting fees compared to the prior year period.

Research and Development. Research and development expenses increased approximately $0.6 million, or 17.4%, to $3.9 million for three months ended September 30, 2015, from $3.3 million for three months ended September 30, 2014. This increase was primarily due to a $0.6 million increase in personnel costs during three months ended September 30, 2015 resulting from an increase in development personnel to support our product and strategic growth initiatives.

General and Administrative. General and administrative expenses decreased approximately $0.2 million, or 9.0%, to $1.8 million for three months ended September 30, 2015 from $2.0 million for three months ended September 30, 2014. This decrease was primarily due $0.2 million in chief executive officer transition costs incurred during three months ended September 30, 2014.

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Gain on Sale of Product Line, net. During three months ended September 30, 2015, we sold the customer contracts and intellectual property related to our multi-screen video analytics product line for $3.5 million. The recorded net gain of $4.1 million included (1) customer contracts and intellectual property with a net book value of $0.2 million, (2) related assets and liabilities not sold or transferred in the transaction of $1.0 million (net liability, consisting primarily of unearned deferred revenue) and (3) legal, accounting and other expenses of $0.2 million that would not have been incurred otherwise.

Gain on Sale of Intangible Assets, net. During three months ended September 30, 2014, we sold a block of IPv4 addresses to a single buyer for cash. This block of non-strategic IPv4 addresses, which was recorded at a $0 book value, had not been a material part of our ongoing operations. The $0.3 million gain on the sale of this IPv4 address is net of broker fees incurred to consummate the transaction.

Other Income (Expense), net. During three months ended September 30, 2015, we recognized approximately $0.1 million of realized currency translation gains compared to $0.3 million of realized currency translation losses in three months ended September 30, 2014. These gains and losses result from the impact of the changes in value of both the British pound, euro and Japanese yen, relative to the U.S. dollar, on foreign currency transactions related to short-term intercompany accounts which are settled in the normal course of business by our European and Japanese subsidiaries for which the British pound, euro and yen are the functional currencies.

Provision (Benefit) for Income Taxes. We recorded a $0.1 million income tax benefit for three months ended September 30, 2015 compared to $0.2 million income tax expense for three months ended September 30, 2014. Our tax benefit recorded during three months ended September 30, 2015 was primarily attributable to an income tax benefit in the U.S. partially offset by an income tax provisions on profitable operations in Japan. The U.S tax expense is lower than the prior year primarily due to the release of valuation allowance attributable to the tax impact of the gain on sale of our multi-screen video analytics product line. The international tax expense is higher as compared to the prior year, primarily due to higher Japanese pretax book income for the three months ended September 30, 2015 as compared to the same period for the prior year.

Our tax provision recorded in the prior year was primarily attributable to taxable income earned in the U.S. The prior year U.S. tax provision is comprised primarily of non-cash deferred income tax expense, as we will be able to utilize net operating losses to offset nearly all cash taxes.

In jurisdictions other than the U.S., U.K. and Japan, we either generate net operating losses or occasionally utilize some of the net operating loss carryforward amounts. However, because of the cumulative accounting losses in those jurisdictions, we maintain a full valuation allowance on those losses. This results in no net income tax provision impact in those jurisdictions as of September 30, 2015.

Net Income. Our net income for three months ended September 30, 2015 was $3.2 million, or $0.35 of income per basic and diluted share, compared to net income for three months ended September 30, 2014 of $0.4 million, or $0.04 per basic and diluted share.

Liquidity and Capital Resources

Our liquidity is dependent upon many factors, including sales volume, product and service costs, operating results and the efficiency of asset use and turnover. Our future liquidity will be affected by, among other things:

· our reliance on a small customer base, typically represented by a small number of large, concentrated orders (the largest three customers accounted for 38% and 35% of total revenue for the three months ended September 30, 2015 and 2014, respectively);

· our content delivery product revenue is subject to customers’ capital spending cycles and may be impacted in the future by consolidation of the industry in which our customers operate;

· the rate of growth or decline or change in market, if any, of content delivery market expansions and the pace that video service companies implement, upgrade or replace content delivery technology;

· the impact of the global economic conditions on our business and our customers, including European Union austerity measures;

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· our ability to renew maintenance and support service agreements with customers and retain existing customers;

· the impact of U.S. Government sequestration on our business and our customers;

· the rate of growth or decline, if any, of deployment of our real-time products;

· the actual versus anticipated decline in revenue from maintenance and product sales of real-time proprietary systems;

· our future access to capital;

· our ability to manage expenses consistent with the rate of growth or decline in our markets;

· ongoing cost control actions and expenses, including capital expenditures;

· the margins on our product and service sales;

· timing of product shipments, which typically occur during the last month of the quarter;

· the impact of delays of product acceptance from our customers;

· the percentage of sales derived from outside the U.S. where there are generally longer accounts receivable collection cycles;

· the number of countries in which we operate, which may require maintenance of minimum cash levels in each country and, in certain cases, may restrict the repatriation of cash, by requiring us to maintain levels of capital;

· the rate of growth or decline, if any, of sales to the government and government related entities; and

· the use of cash to pay quarterly and special dividends.

Uses and Sources of Cash

We used $2.1 million and $0.6 million of cash from operating activities during the three months ended September 30, 2015 and 2014, respectively. Operating cash outflows during the three months ended September 30, 2015 were primarily attributable to the timing of payments made against our accounts payable subsequent to our last fiscal year end to settle that quarter’s inventory purchase obligations. Operating cash flows during the three months ended September 30, 2014 were primarily attributable to the timing of accounts receivable collection during the period, as that quarter’s sales were higher.

We invested $0.4 million and $0.3 million in property and equipment during the three months ended September 30, 2015 and 2014, respectively. Capital additions during each of these periods were primarily related to: (1) development and test equipment for our development group, (2) demonstration systems used by our sales and marketing group and (3) facilities improvements. We expect capital additions to increase during the remainder of our fiscal year.

During the three months ended September 30, 2015, we sold the customer contracts and intellectual property related to our multi-screen video analytics product line for $3.5 million. Cash proceeds from the transaction consisted of $2.8 million paid immediately after closing. The balance of the sales price is payable in cash by June 30, 2016 less any portion used to make indemnification payments in connection with the sale.

During the three months ended September 30, 2014, we sold a block of IPv4 addresses to a single buyer for cash. This block of non-strategic IPv4 addresses, which was recorded at $0 book value, had not been a material part of our ongoing operations. The proceeds of $0.3 million on the sale of these IPv4 addresses are net of broker fees incurred to consummate the transaction.

We paid a quarterly cash dividend of $0.12 per share, during each of three months ended September 30, 2015 and 2014. We intend to pay a regular quarterly cash dividend on our common shares subject to, among other things, our results of operations, cash balances, future cash requirements, financial condition, statutory requirements of Delaware law, and other factors that the Board of Directors may deem relevant. We believe that a portion of our dividends may be treated as a return of capital to stockholders, rather than dividend income, as we believe dividend payments may exceed our cumulative earnings and profits.

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Our credit line with our bank expired on December 31, 2013. We are currently evaluating whether or not to enter into a new credit arrangement, but based upon our existing cash balances, historical cash usage, and anticipated operating cash flow in the near term, we believe that existing cash balances will be sufficient to meet our anticipated working capital, capital expenditure requirements and any dividend payments for at least the next twelve months. We are no longer subject to the covenants associated with the credit line.

At September 30, 2015, we had working capital (current assets less current liabilities) of $27.8 million including cash and cash equivalents of $24.5 million. At June 30, 2015, we had working capital of $26.5 million, including cash and cash equivalents of $25.5 million. At September 30, 2015, we had no material commitments for capital expenditures.

As of September 30, 2015, approximately $1.9 million, or 7.8% of our cash is in foreign accounts and there is no expectation that any foreign cash would need to be transferred from these foreign accounts to cover operations in the next 12 months. Based upon our existing cash balances and short-term investments, historical cash usage, and anticipated operating cash flow in the current fiscal year, we believe that existing cash balances will be sufficient to meet our anticipated working capital, dividend payments and capital expenditure requirements for at least the next 12 months.

Off-Balance Sheet Arrangements

We provide indemnifications of varying scope and size to certain customers against claims of intellectual property infringement made by third parties arising from the use of our products and certain other matters. In evaluating estimated losses on these indemnifications, we consider factors such as the degree of probability of an unfavorable outcome and our ability to make a reasonable estimate of the amount of loss. These obligations did not have a material impact on our financial statements during the periods presented. See Note 17 – Commitments and Contingencies to the condensed consolidated financial statements for the additional disclosures regarding indemnification.

Critical Accounting Policies and Estimates

The SEC defines “critical accounting estimates” as those that require application of management’s most difficult, subjective or complex judgments, often as a result of the need to make estimates about the effect of matters that are inherently uncertain and may change in subsequent periods. Our critical accounting policies and estimates are disclosed under the section “Application of Critical Accounting Policies” in our Annual Report on Form 10-K for the fiscal year ended June 30, 2015. Our critical accounting estimates have not changed in any material respect during the three months ended September 30, 2015.

Recent Accounting Guidance

See Note 3 – Recent Accounting Guidance to our accompanying condensed consolidated financial statements for a full description of recent accounting pronouncements including the respective expected dates of adoption and the expected effects on our consolidated results of operations and financial condition.

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Cautionary Statement Regarding Forward-Looking Statements

Certain statements made or incorporated by reference in this quarterly report may constitute “forward-looking statements” within the meaning of the federal securities laws. When used or incorporated by reference in this report, the words “believes,” “expects,” “estimates,” “anticipates,” and similar expressions, are intended to identify forward-looking statements. Statements regarding future events and developments, our future performance, market share, new market growth, payment of dividends, ability to utilize our net deferred tax assets and availability of earnings and profits with respect to dividend income, as well as our expectations, beliefs, plans, estimates or projections relating to the future, are forward-looking statements within the meaning of these laws. Examples of our forward-looking statements in this report include, but are not limited to” the impact of our content delivery strategy on our business; the impact of our tax valuation allowance release on future income tax provisions and income taxes paid; expected level of capital additions; our expected cash position; the impact of interest rate changes and fluctuation in currency exchange rates; our sufficiency of cash; the impact of litigation and the payment of dividends. These statements are based on beliefs and assumptions of our management, which are based on currently available information. All forward-looking statements are subject to certain risks and uncertainties that could cause actual events to differ materially from those projected. The risks and uncertainties which could affect our financial condition or results of operations include, without limitation: the potential consolidation of the markets that we serve; U.S. Government sequestration; European austerity measures; delays or cancellations of customer orders; non-renewal of maintenance and support service agreements with customers; changes in product demand; economic conditions; various inventory risks due to changes in market conditions; margins of the content delivery business to capture new business; fluctuations and timing of large content delivery orders; doing business in the People’s Republic of China; uncertainties relating to the development and ownership of intellectual property; uncertainties relating to our ability and the ability of other companies to enforce their intellectual property rights; the pricing and availability of equipment, materials and inventories; the concentration of our customers; failure to effectively manage change; delays in testing and introductions of new products; the impact of reductions in force on our operations; rapid technology changes; system errors or failures; reliance on a limited number of suppliers and failure of components provided by those suppliers; uncertainties associated with international business activities, including foreign regulations, trade controls, taxes and currency fluctuations; the impact of competition on the pricing of content delivery products; failure to effectively service the installed base; the entry of new, well-capitalized competitors into our markets; the success of new content delivery; the success of our relationships with technology and channel partners; capital spending patterns by a limited customer base; the current challenging macroeconomic environment; continuing unevenness of the global economic recovery; privacy concerns over data collection; our ability to utilize net operating losses to offset cash taxes in the event of an ownership change as defined by the Internal Revenue Service; earthquakes, tsunamis, floods and other natural disasters in areas in which our customers and suppliers operate; and the availability of debt or equity financing to support our liquidity needs.

Other important risk factors are discussed in Part I, Item 1A. of our Annual Report on Form 10-K for the fiscal year ended June 30, 2015.

Our forward-looking statements are based on current expectations and speak only as of the date of such statements. We undertake no obligation to publicly update or revise any forward-looking statement, whether as a result of future events, new information or otherwise.

Item 3. Quantitative and Qualitative Disclosures About Market Risk

Pursuant to Item 305(e) of Regulation S-K (Section 229.305(e)), the Company is not required to provide the information required by this Item as it is a “smaller reporting company” as defined by Rule 229.10(f)(1).

We are exposed to market risk from changes in interest rates and foreign currency exchange rates. We are exposed to the impact of interest rate changes on our short-term cash investments. We conduct business in the United States and around the world. Our most significant foreign currency transaction exposure relates to the United Kingdom, certain European countries that use the euro as a common currency, and Japan. We do not hedge against fluctuations in exchange rates.

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Item 4. Controls and Procedures

Evaluation of Controls and Procedures

We conducted an evaluation as of September 30, 2015, under the supervision and with the participation of our management, including our Chief Executive Officer and Chief Financial Officer, of the effectiveness of the design and operation of our disclosure controls and procedures. The term “disclosure controls and procedures,” as defined in Rules 13a-15(e) and 15d-15(e) under the Exchange Act, means controls and other procedures of a company that are designed to ensure that information required to be disclosed by a company in the reports that it files or submits under the Exchange Act is recorded, processed, summarized and reported, within the time periods specified in the SEC’s rules and forms. Disclosure controls and procedures include, without limitation, controls and procedures designed to ensure that information required to be disclosed by a company in the reports that it files or submits under the Exchange Act is accumulated and communicated to the company’s management, including its principal executive and principal financial officers, as appropriate to allow timely decisions regarding required disclosure.

In connection with our evaluation of the immaterial errors in our consolidated balance sheet, consolidated statement of operations and consolidated statement of cash flows as of and for the year ended June 30, 2015 discussed in Note 2 to our condensed consolidated financial statements included herein, management concluded that because of the material weakness identified in our internal control over financial reporting discussed below, our disclosures controls and procedures were not effective as of September 30, 2015.

A material weakness is a deficiency, or a combination of deficiencies, in internal control over financial reporting, such that there is a reasonable possibility that a material misstatement of our annual or interim financial statements will not be prevented or detected on a timely basis.

We identified a material weakness in internal control over financial reporting during the first quarter of our fiscal year relating to the grant of 120,000 restricted stock awards to our president and chief executive officer upon his commencement of employment in November 2014. Because the grant was determined to be non-compliant under the terms of the 2011 Stock Incentive Plan under which it was granted, in October 2015, the grant was retroactively rescinded as of the date it was granted. As a result, we determined that a material weakness existed in the operation of its internal controls over financial reporting, specifically involving those controls relating to the identification of applicable limitations on equity awards issued under our stock incentive plans. A material weakness was determined to be present due to the following factors: (1) the error was identified in connection with issues raised in a third-party demand letter and (2) had the error not been identified, the potential for a material error at a point in the future was a reasonable possibility. Management has concluded that our controls were not properly operating related to the preparation and review of our consolidated balance sheet, consolidated statement of operations and consolidated statement of cash flows as of and for the year ended June 30, 2015, including interim periods within that year.

Notwithstanding the material weakness identified, management believes the condensed consolidated financial statements included in this Quarterly Report on Form 10-Q fairly represent in all material respects our consolidated financial condition, results of operations and cash flows as of and for the periods presented.

Remediation of Identified Material Weakness

In response to the material weakness described above, we are currently exploring remediation actions.

Changes in Internal Control

Except for the material weakness in regards to the restricted stock grant for which we are currently exploring remediation actions, there were no changes to our internal controls over financial reporting during the quarter ended June 30, 2015 that materially affected, or are reasonably likely to materially affect, our internal controls over financial reporting.

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Part II - Other Information

Item 1. Legal Proceedings

We are not presently involved in any material litigation. However, we are, from time to time, party to various routine legal proceedings arising out of our business. See Note 17 – Commitments and Contingencies to our condensed consolidated financial statements for additional information about legal proceedings.

Item 1A. Risk Factors

Additional risk factors are discussed in Part I, Item 1A. of our Annual Report on Form 10-K for the fiscal year ended June 30, 2015. There have been no material changes to our risk factors as previously disclosed.

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds

None.

Item 3. Defaults Upon Senior Securities

None.

Item 4. Mine Safety Disclosures

Not applicable.

Item 5. Other Information

None.

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Item 6. Exhibits

Exhibit	Description of Document
3.1	Restated Certificate of Incorporation of the Registrant (incorporated by reference to the Registrant's Registration Statement on Form S-2 (No. 33-62440)).
3.2	Certificate of Amendment of the Restated Certificate of Incorporation of the Registrant (incorporated by reference to the Registrant’s Proxy on Form DEFR14A filed on June 2, 2008).
3.3	Certificate of Amendment to its Restated Certificate of Incorporation of the Registrant (incorporated by reference to the Registrant’s Current Report on Form 8-K filed on June 30, 2011).
3.4	Amended and Restated Bylaws of the Registrant (incorporated by reference to the Registrant’s Current Report on Form 8-K filed on September 9, 2011).
3.5	Certificate of Correction to Restated Certificate of Incorporation of the Registrant (incorporated by reference to the Registrant’s Annual Report on Form 10-K for the fiscal year ended June 30, 2002).
3.6	Amended Certificate of Designations of Series A Participating Cumulative Preferred Stock (incorporated by reference to the Form 8-A/A, dated August 9, 2002).
3.7	Amendment to Amended Certificate of Designations of Series A Participating Cumulative Preferred Stock (incorporated by reference to the Form 8-A/A, dated August 9, 2002).
4.1	Form of Common Stock Certificate (incorporated by reference to the Registrant’s Quarterly Report on Form 10-Q for the period ended March 31, 2003).
10.1	Amendment to Employment Agreement dated October 15, 2015 between Concurrent Computer Corporation and Derek Elder (incorporated by reference to Exhibit 10.1 to the Registrant’s Current Report on Form 8-K filed on October 15, 2015 (no. 001-13150)).
11.1*	Statement Regarding Computation of Per Share Earnings
31.1**	Certification of Chief Executive Officer, pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
31.2**	Certification of Chief Financial Officer, pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
32.1**	Certification of Chief Executive Officer, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
32.2**	Certification of Chief Financial Officer, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
101.INS	XBRL Instance Document.
101.SCH	XBRL Schema Document.
101.CAL	XBRL Calculation Linkbase Document.
101.DEF	XBRL Definition Linkbase Document.
101.LAB	XBRL Labels Linkbase Document.
101.PRE	XBRL Presentation Linkbase Document.

* Required earnings per share data is provided in the Notes to the condensed consolidated financial statements in this report.

** Included herewith.

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SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

Date:  November 12, 2015 CONCURRENT COMPUTER CORPORATION

By:	/s/ Emory O. Berry
	Emory O. Berry
	Chief Financial Officer and Executive Vice President of Operations
	(Principal Financial and Accounting Officer)

33

Exhibit Index

Exhibit	Description of Document
3.1	Restated Certificate of Incorporation of the Registrant (incorporated by reference to the Registrant's Registration Statement on Form S-2 (No. 33-62440)).
3.2	Certificate of Amendment of the Restated Certificate of Incorporation of the Registrant (incorporated by reference to the Registrant’s Proxy on Form DEFR14A filed on June 2, 2008).
3.3	Certificate of Amendment to its Restated Certificate of Incorporation of the Registrant (incorporated by reference to the Registrant’s Current Report on Form 8-K filed on June 30, 2011).
3.4	Amended and Restated Bylaws of the Registrant (incorporated by reference to the Registrant’s Current Report on Form 8-K filed on September 9, 2011).
3.5	Certificate of Correction to Restated Certificate of Incorporation of the Registrant (incorporated by reference to the Registrant’s Annual Report on Form 10-K for the fiscal year ended June 30, 2002).
3.6	Amended Certificate of Designations of Series A Participating Cumulative Preferred Stock (incorporated by reference to the Form 8-A/A, dated August 9, 2002).
3.7	Amendment to Amended Certificate of Designations of Series A Participating Cumulative Preferred Stock (incorporated by reference to the Form 8-A/A, dated August 9, 2002).
4.1	Form of Common Stock Certificate (incorporated by reference to the Registrant’s Quarterly Report on Form 10-Q for the period ended March 31, 2003).
10.1	Amendment to Employment Agreement dated October 15, 2015 between Concurrent Computer Corporation and Derek Elder (incorporated by reference to Exhibit 10.1 to the Registrant’s Current Report on Form 8-K filed on October 15, 2015 (no. 001-13150)).
11.1*	Statement Regarding Computation of Per Share Earnings
31.1**	Certification of Chief Executive Officer, pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
31.2**	Certification of Chief Financial Officer, pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
32.1**	Certification of Chief Executive Officer, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
32.2**	Certification of Chief Financial Officer, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
101.INS	XBRL Instance Document.
101.SCH	XBRL Schema Document.
101.CAL	XBRL Calculation Linkbase Document.
101.DEF	XBRL Definition Linkbase Document.
101.LAB	XBRL Labels Linkbase Document.
101. PRE	XBRL Presentation Linkbase Document.

* Required earnings per share data is provided in the Notes to the condensed consolidated financial statements in this report.

** Included herewith.

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EX-31.1

Exhibit 31.1

CERTIFICATION OF CHIEF EXECUTIVE OFFICER

PURSUANT TO SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002

I, Derek J. Elder, certify that:

1. I have reviewed this quarterly report on Form 10-Q of Concurrent Computer Corporation;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: November 12, 2015

By:	/s/ Derek J. Elder
	Derek J. Elder
	President and Chief Executive Officer
	(Principal Executive Officer)

EX-31.2

Exhibit 31.2

CERTIFICATION OF CHIEF FINANCIAL OFFICER

PURSUANT TO SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002

I, Emory O. Berry, certify that:

1. I have reviewed this quarterly report on Form 10-Q of Concurrent Computer Corporation;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: November 12, 2015

By:	/s/ Emory O. Berry
	Emory O. Berry
	Chief Financial Officer and Executive Vice President of Operations
	(Principal Financial And Accounting Officer)

EX-32.1

Exhibit 32.1

CERTIFICATE PURSUANT TO 18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 and in connection with the Quarterly Report on Form 10-Q of Concurrent Computer Corporation (the “Corporation”) for the quarter ended September 30, 2015, as filed with the Securities and Exchange Commission on the date hereof (the “Report”), the undersigned, the President and Chief Executive Officer of the Corporation certifies that:

(1) The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

(2) The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Corporation.

Date: November 12, 2015

By:	/s/ Derek J. Elder
	Derek J. Elder
	President and Chief Executive Officer
	(Principal Executive Officer)

EX-32.2

Exhibit 32.2

CERTIFICATE PURSUANT TO 18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 and in connection with the Quarterly Report on Form 10-Q of Concurrent Computer Corporation (the “Corporation”) for the quarter ended September 30, 2015, as filed with the Securities and Exchange Commission on the date hereof (the “Report”), the undersigned, the Chief Financial Officer of the Corporation certifies that:

(1) The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

(2) The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Corporation.

Date: November 12, 2015

By:	/s/ Emory O. Berry
	Emory O. Berry
	Chief Financial Officer and Executive Vice President of Operations
	(Principal Financial And Accounting Officer)

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Accumulated Other Comprehensive Income (Loss) (Tables)

3 Months Ended

Sep. 30, 2015

Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]

Schedule of Accumulated Other Comprehensive Income (Loss)

The following table summarizes the changes in accumulated other comprehensive income (loss) by component, net of taxes, for the three months ended September 30, 2015:

	Pension and
	Postretirement		Currency
	Benefit		Translation
	Plans		Adjustments		Total
Balance at June 30, 2015	$	(1,214)	$	1,323	$	109
Other comprehensive income before reclassifications		-		(94)		(94)
Amounts reclassified from accumulated other comprehensive income (loss)		(3)		-		(3)
Net current period other comprehensive income (loss)		(3)		(94)		(97)
Balance at September 30, 2015	$	(1,217)	$	1,229	$	12

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Inventories (Details) - USD ($) $ in Thousands	Sep. 30, 2015	Jun. 30, 2015
Inventory [Line Items]
Raw materials	$ 1,138	$ 1,403
Work-in-process	266	271
Finished goods	1,559	1,754
Total inventory	$ 2,963	$ 3,428

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Income Taxes (Details) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
United States	$ 2,755	$ 377
Foreign	335	187
Income before income taxes	$ 3,090	$ 564

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Subsequent Events (Details Textual) - USD ($) $ in Thousands		1 Months Ended	3 Months Ended
	Oct. 15, 2015	Jan. 31, 2016	Sep. 30, 2015
Subsequent Event [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Options, Forfeitures in Period			20,500
Restricted Stock [Member]
Subsequent Event [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Options, Forfeitures in Period			120,000
Chief Executive Officer [Member]
Subsequent Event [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Options, Forfeitures in Period			120,000
Subsequent Event [Member] | Chief Executive Officer [Member]
Subsequent Event [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Options, Forfeitures in Period	120,000
Subsequent Event [Member] | Chief Executive Officer [Member] | Restricted Stock [Member]
Subsequent Event [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Options, Forfeitures in Period	120,000
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross	45,000	15,000
Deferred Compensation Arrangement with Individual, Cash Award Granted, Amount	$ 332
Share-based Compensation Arrangement by Share-based Payment Award, Terms of Award		40,000 RSAs under the Plan that will vest on the third anniversary of the grant date, in each case provided that the CEO remains employed by the Company on each such date.
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period		3 years

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Property and Equipment, net (Details) - USD ($) $ in Thousands	Sep. 30, 2015	Jun. 30, 2015
Property, Plant and Equipment [Line Items]
Leasehold improvements	$ 2,663	$ 2,723
Machinery and equipment	14,556	14,075
Property, Plant and Equipment, Gross, Total	17,219	16,798
Less: Accumulated depreciation	(14,440)	(14,350)
Property, Plant and Equipment, Net, Total	$ 2,779	$ 2,448

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Sale of Product Line (Details) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2015		Sep. 30, 2014
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Operating profit (loss) related to multi-screen video analytics product line	$ 178	[1]	$ (191)

[1] Through date of sale on September 9, 2015

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Property and Equipment, net (Tables)

3 Months Ended

Sep. 30, 2015

Property, Plant and Equipment [Abstract]

Property and Equipment, net

Property and equipment consists of the following:

	September 30,		June 30,
	2015		2015
Leasehold improvements	$	2,663	$	2,723
Machinery and equipment		14,556		14,075
		17,219		16,798
Less: Accumulated depreciation		(14,440)		(14,350)
	$	2,779	$	2,448

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Accounts Payable and Accrued Expenses (Details) - USD ($) $ in Thousands	Sep. 30, 2015	Jun. 30, 2015
Accounts payable, trade	$ 2,875	$ 2,682
Accrued payroll, vacation and other employee expenses	2,066	2,332
Accrued income taxes	119	23
Dividend payable	68	71
Other accrued expenses	1,035	1,212
Accrued Liabilities and Other Liabilities, Total	$ 6,163	$ 6,320

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Subsequent Events

3 Months Ended

Sep. 30, 2015

Subsequent Events [Abstract]

Subsequent Events

18. Subsequent Events

On October 15, 2015, the Company entered into an amendment (the “Amendment”) to its initial employment agreement with its president and CEO dated November 18, 2014. Pursuant to the terms of the Amendment, the Company and its CEO agreed to rescind the 120,000 RSAs initially granted under the Plan to its CEO pursuant to the terms of the initial employment agreement. This rescission was effective as of the date the RSAs were initially granted.

In connection with the execution of the Amendment, on October 15, 2015, the Company awarded its CEO a cash bonus of $332 and granted him 45,000 RSAs under the Plan that will vest in equal installments over three years on each anniversary of the grant date, provided that the CEO remains employed by the Company on each such date.

As part of the Amendment, the Company also committed that, subject to approval both by the Board and by the Compensation Committee of the Board, in January 2016 the Company will grant its CEO 15,000 RSAs under the Plan that will vest in substantially equal installments over three years on each anniversary of the grant date and 40,000 RSAs under the Plan that will vest on the third anniversary of the grant date, in each case provided that the CEO remains employed by the Company on each such date.

We have evaluated subsequent events through the date these financial statements were issued and determined that there were no other material subsequent events that require recognition or additional disclosure in our consolidated financial statements.

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Income Taxes (Details Textual) - USD ($) $ in Thousands	3 Months Ended		12 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Jun. 30, 2014	Jun. 30, 2015
Operating Loss Carryforwards [Line Items]
Deferred Tax Assets, Operating Loss Carryforwards, Domestic				$ 92,826
Income Tax Expense (Benefit)	$ (117)	$ 177
Deferred Tax Assets, Operating Loss Carryforwards, State and Local	52,310
Deferred Tax Assets, Operating Loss Carryforwards, Foreign	$ 28,153
Operating Loss Carryforwards Expiration Date Description	The state NOLs expire between fiscal year 2015 and fiscal year 2035
Foreign Tax Authority [Member]
Operating Loss Carryforwards [Line Items]
Decrease Due To Release Of Valuation Allowance Deferred Tax Asset In State And Foreign Earnings			$ 214
State and Local Jurisdiction [Member]
Operating Loss Carryforwards [Line Items]
Valuation Allowance Deferred Tax Asset Change In Amount Increase Decrease Due To Exchange Rate Changes And Effect Of Unrealized Gains Losses	$ 4,116
Decrease Due To Release Of Valuation Allowance Deferred Tax Asset In State And Foreign Earnings	$ 1,355

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Immaterial Restatement of Previously Issued Financial Statements and Reclassification (Details Textual) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Jun. 30, 2015
Error Corrections and Prior Period Adjustments Restatement [Line Items]
Error Corrections and Prior Period Adjustments, Interim Periods of Fiscal Year	relating to the grant of 120,000 restricted stock awards (“RSAs”) to our president and chief executive officer (“CEO”) upon his commencement of employment in November 2014 (see Note 18 – Subsequent Events). Because the grant was determined to be non-compliant under the terms of the 2011 Stock Incentive Plan (the “Plan”) under which it was granted, in October 2015, the grant was retroactively rescinded. As a result of this error, stock compensation expense was overstated by $249 ($156 net of the related income tax effect of $93) and $44 of related accrued dividends were overstated for the year ended June 30, 2015. Since the grant occurred in the second quarter of the year ended June 30, 2015, there is no impact of this error on the three months ended September 30, 2014. The accompanying condensed consolidated balance sheet as of June 30, 2015 has been corrected for the effect of this error. The effects of this error correction on other periods in the year ended June 30, 2015 will be reflected prospectively. We have evaluated the effects of this misstatement for the year ended June 30, 2015, and the previously presented interim periods, and concluded that these periods are not materially misstated.
Common Stock, Par or Stated Value Per Share	$ 0.01		$ 0.01
Finite-Lived Intangible Assets, Net, Total	$ 139		$ 323
Amortization of Intangible Assets	36	$ 46
Internet Domain [Member]
Error Corrections and Prior Period Adjustments Restatement [Line Items]
Indefinite-lived Intangible Assets Acquired	$ 35
Series A Preferred Stock [Member]
Error Corrections and Prior Period Adjustments Restatement [Line Items]
Preferred Stock, Par or Stated Value Per Share	$ 0.01		$ 0.01
Preferred Class A [Member]
Error Corrections and Prior Period Adjustments Restatement [Line Items]
Preferred Stock, Par or Stated Value Per Share	$ 100		$ 100

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Concentration of Risk (Tables)

3 Months Ended

Sep. 30, 2015

Risks and Uncertainties [Abstract]

Summary of Revenues by Significant Customers

The following table summarizes revenues by significant customer where such revenue accounted for 10% or more of total revenues for any one of the indicated periods:

	Three Months Ended
	September 30,
	2015		2014
Customer A	22	%	<10	%
Customer B	<10	%	15	%
Customer C	<10	%	11	%

Summary of Significant Accounts Receivable

We assess credit risk through ongoing credit evaluations of customers’ financial condition, and collateral is generally not required. The following summarizes accounts receivable by significant customers for whom accounts receivable were 10% or more of total accounts receivables for any one of the indicated periods:

	September 30,		June 30,
	2015		2015
Customer D	30	%	<10	%
Customer E	14	%	<10	%
Customer F	12	%	<10	%
Customer G	<10	%	37	%

Summary of Purchases by Significant Vendor

The following summarizes purchases from significant vendors where such purchases accounted for 10% or more of total purchases for any one of the indicated periods:

	Three Months Ended
	September 30,
	2015		2014
Vendor A	19	%	19	%
Vendor B	15	%	<10	%
Vendor C	13	%	16	%
Vendor D	<10	%	15	%
Vendor E	<10	%	15	%

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Share-Based Compensation (Details 1)	3 Months Ended
	Sep. 30, 2015 $ / shares shares
Restricted Stock Awards [Member]
Non-vested, Shares (in shares)	250,690	[1]
Granted, Shares (in shares)	212,500
Vested, Shares (in shares)	(31,199)
Forfeited, Shares (in shares)	(15,075)
Non-vested, Shares (in shares)	416,916
Non-vested, Weighted Average Grant Date Fair Value (in dollars per share) | $ / shares	$ 6.61	[1]
Granted, Weighted Average Grant Date Fair Value (in dollars per share) | $ / shares	4.68
Vested, Weighted Average Grant Date Fair Value (in dollars per share) | $ / shares	5.83
Forfeited, Weighted Average Grant Date Fair Value (in dollars per share) | $ / shares	6.72
Non-vested at, Weighted Average Grant Date Fair Value (in dollars per share) | $ / shares	$ 5.68
Performance Stock Awards [Member]
Non-vested, Shares (in shares)	25,887
Granted, Shares (in shares)	0
Vested, Shares (in shares)	0
Forfeited, Shares (in shares)	(20,500)
Non-vested, Shares (in shares)	5,387
Non-vested, Weighted Average Grant Date Fair Value (in dollars per share) | $ / shares	$ 5.84
Granted, Weighted Average Grant Date Fair Value (in dollars per share) | $ / shares	0
Vested, Weighted Average Grant Date Fair Value (in dollars per share) | $ / shares	0
Forfeited, Weighted Average Grant Date Fair Value (in dollars per share) | $ / shares	6.93
Non-vested at, Weighted Average Grant Date Fair Value (in dollars per share) | $ / shares	$ 5.14

[1] Reflects the retroactive rescission of 120,000 restricted stock awards previously granted to the Company's president and CEO.

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Accumulated Other Comprehensive Income (Loss) (Details) $ in Thousands	3 Months Ended
	Sep. 30, 2015 USD ($)
Accumulated Other Comprehensive Income (Loss) [Line Items]
Balance at June 30, 2015	$ 109
Other comprehensive income before reclassifications	(94)
Amounts reclassified from accumulated other comprehensive income (loss)	(3)
Net current period other comprehensive income (loss)	(97)
Balance at September 30, 2015	12
Pension and Postretirement Benefit Plans [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Balance at June 30, 2015	(1,214)
Other comprehensive income before reclassifications	0
Amounts reclassified from accumulated other comprehensive income (loss)	(3)
Net current period other comprehensive income (loss)	(3)
Balance at September 30, 2015	(1,217)
Currency Translation Adjustments [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Balance at June 30, 2015	1,323
Other comprehensive income before reclassifications	(94)
Amounts reclassified from accumulated other comprehensive income (loss)	0
Net current period other comprehensive income (loss)	(94)
Balance at September 30, 2015	$ 1,228

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Segment Information (Details Textual)	3 Months Ended
	Sep. 30, 2015
Segment Reporting Information [Line Items]
Number of Operating Segments	2

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Sale of Product Line (Details Textual) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
Product Information [Line Items]
Sales Revenue, Goods, Net, Total	$ 8,494	$ 12,478
Proceeds from Divestiture of Businesses	2,750	0
Disposal Group, Including Discontinued Operation, Assets, Current, Total	188
Financial Guarantee Insurance Contracts, Unearned Premium Revenue, Total	1,016
Legal Fees	212
Disposal Group, Not Discontinued Operation, Gain (Loss) on Disposal	4,116	$ 0
Product [Member] | Assets Purchase Agreement [Member]
Product Information [Line Items]
Sales Revenue, Goods, Net, Total	3,500
Proceeds from Divestiture of Businesses	2,750
Replacement Reserve Escrow	375
Deferred Payment After Exhaustion Of Escrow	$ 375

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Immaterial Restatement of Previously Issued Financial Statements and Reclassification

3 Months Ended

Sep. 30, 2015

Accounting Changes and Error Corrections [Abstract]

Immaterial Restatement of Previously Issued Financial Statements and Reclassification

2. Immaterial Restatement of Previously Issued Financial Statements and Reclassification

Subsequent to the issuance of our fiscal year 2015 consolidated financial statements, we identified an error relating to the grant of 120,000 restricted stock awards (“RSAs”) to our president and chief executive officer (“CEO”) upon his commencement of employment in November 2014 (see Note 18 – Subsequent Events). Because the grant was determined to be non-compliant under the terms of the 2011 Stock Incentive Plan (the “Plan”) under which it was granted, in October 2015, the grant was retroactively rescinded. As a result of this error, stock compensation expense was overstated by $249 ($156 net of the related income tax effect of $93) and $44 of related accrued dividends were overstated for the year ended June 30, 2015. Since the grant occurred in the second quarter of the year ended June 30, 2015, there is no impact of this error on the three months ended September 30, 2014. The accompanying condensed consolidated balance sheet as of June 30, 2015 has been corrected for the effect of this error. The effects of this error correction on other periods in the year ended June 30, 2015 will be reflected prospectively. We have evaluated the effects of this misstatement for the year ended June 30, 2015, and the previously presented interim periods, and concluded that these periods are not materially misstated.

The impact of this misstatement on our previously issued condensed consolidated balance sheet as of June 30, 2015 is presented below:

	Consolidated Balance Sheet as of June 30, 2015
	As
	Previously				As
	Reported		Adjustments		Restated
ASSETS
Current assets:
Cash and cash equivalents	$	25,451			$	25,451
Accounts receivable, net		10,174				10,174
Inventories		3,428				3,428
Deferred income taxes - current, net		1,422				1,422
Prepaid expenses and other current assets		738				738
Total current assets		41,213		-		41,213
Property and equipment, net		2,448				2,448
Deferred income taxes, net		12,711		(93)		12,618
Other long-term assets, net		1,501				1,501
Total assets	$	57,873	$	(93)	$	57,780
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable and accrued expenses	$	6,342	$	(22)	$	6,320
Deferred revenue		8,362				8,362
Total current liabilities		14,704		(22)		14,682
Long-term liabilities:
Deferred revenue		1,658				1,658
Pension liability		3,189				3,189
Other long-term liabilities		1,716		(22)		1,694
Total liabilities		21,267		(44)		21,223
Commitments and contingencies
Stockholders' equity:
Shares of series preferred stock, par value $.01		-				-
Shares of class A preferred stock, par value $100		-				-
Common stock, par value $.01		91				91
Capital in excess of par value		210,456		(249)		210,207
Accumulated deficit		(173,795)		200		(173,595)
Treasury stock, at cost		(255)				(255)
Accumulated other comprehensive income (loss)		109				109
Total stockholders' equity		36,606		(49)		36,557
Total liabilities and stockholders' equity	$	57,873	$	(93)	$	57,780

Subsequent to the issuance of our fiscal year 2014 consolidated financial statements, we identified an error in the consolidated statements of cash flows relating to the presentation of spare parts purchases used to support our obligations under customer contracts. Cash outflows of $106 for the three months ended September 30, 2014 were improperly classified as investing activities rather than as operating activities in our condensed consolidated statements of cash flows. We have evaluated the effects of these misstatements for this period and concluded that this period is not materially misstated. Notwithstanding, we have corrected the accompanying condensed consolidated cash flow presentation for the three months ended September 30, 2014.

The impact of this misstatement on our previously issued condensed consolidated statements of cash flows for the three months ended September 30, 2014 is presented below:

	Consolidated Statements of Cash Flows
	for the Three months Ended Ended September 30, 2014
	As
	Previously				As
	Reported		Adjustments		Restated
Depreciation and amortization	$	501	$	(81)	$	420
Provision for excess and obsolete inventories		10		81		91
Other long-term assets, net		(4)		(106)		(110)
All other operating activities, net		(991)		-		(991)
Net cash provided by (used in) operating activities	$	(484)	$	(106)	$	(590)
Additions to property and equipment	$	(388)	$	106	$	(282)
All other investing activities, net		301		-		301
Net cash Provided by (used in) investing activities	$	(87)	$	106	$	19

The notes to the condensed consolidated financial statements have been corrected to give effect to the above items.

Reclassification

Certain prior year amounts in the consolidated financial statements have been reclassified to conform to the current year presentation. Specifically, we have reclassified our intangible assets, net with balances of $139 and $323 into other long-term assets, net in our consolidated balance sheets as of September 30, 2015 and June 30, 2015, respectively. Intangible assets at September 30, 2015 includes an internet domain name (www.concurrent.com) acquired during the three months ended September 30, 2015 for $35. The domain name is considered an indefinite-lived intangible asset and is not amortizable.

Additionally, amortization expense related to finite-lived intangible assets was $36 and $46 for the three months ended September 30, 2015 and 2014, respectively.

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Concentration of Risk (Details)	3 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
Customer A [Member]
Concentration Risk [Line Items]
Concentration Risk, Percentage	22.00%
Customer A [Member] | Maximum [Member]
Concentration Risk [Line Items]
Concentration Risk, Percentage		10.00%
Customer B [Member]
Concentration Risk [Line Items]
Concentration Risk, Percentage		15.00%
Customer B [Member] | Maximum [Member]
Concentration Risk [Line Items]
Concentration Risk, Percentage	10.00%
Customer C [Member]
Concentration Risk [Line Items]
Concentration Risk, Percentage		11.00%
Customer C [Member] | Maximum [Member]
Concentration Risk [Line Items]
Concentration Risk, Percentage	10.00%

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Basic and Diluted Net Income per Share (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
Earnings Per Share, Basic and Diluted [Abstract]
Net income	$ 3,207	$ 387
Basic weighted average number of shares outstanding	9,112,891	8,989,751
Effect of dilutive securities:
Diluted weighted average number of shares outstanding (in shares)	9,176,877	9,115,365
Basic EPS (in dollars per share)	$ 0.35	$ 0.04
Diluted EPS (in dollars per share)	$ 0.35	$ 0.04
Employee Stock Option [Member]
Effect of dilutive securities:
Effect of dilutive securities (in shares)	0	8,722
Restricted Stock [Member]
Effect of dilutive securities:
Effect of dilutive securities (in shares)	63,821	116,892

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Sale of Product Line (Tables)

3 Months Ended

Sep. 30, 2015

Disposal of Product Line [Abstract]

Disposal Groups, Including Discontinued Operations

In accordance with ASU 2014-08, the following information is being provided:

	Three Months Ended
	September 30,
	2015			2014
Operating profit (loss) related to multi-screen video analytics product line	$	178	1	$	(191)

¹Through date of sale on September 9, 2015

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Fair Value Measurements (Tables)

3 Months Ended

Sep. 30, 2015

Fair Value Disclosures [Abstract]

Fair Value, Assets Measured on Recurring Basis

Our financial assets that are measured at fair value on a recurring basis as of September 30, 2015 are as follows:

			Quoted
			Prices in		Observable		Unobservable
	Total		Active Markets		Inputs		Inputs
	Fair Value		(Level 1)		(Level 2)		(Level 3)
Cash	$	14,416	$	14,416	$	-	$	-
Money market funds		10,046		10,046		-		-
Cash and cash equivalents	$	24,462	$	24,462	$	-	$	-

Our financial assets that are measured at fair value on a recurring basis as of June 30, 2015 are as follows:

			Quoted
			Prices in		Observable		Unobservable
	Total		Active Markets		Inputs		Inputs
	Fair Value		(Level 1)		(Level 2)		(Level 3)
Cash	$	15,406	$	15,406	$	-	$	-
Money market funds		10,045		10,045		-		-
Cash and cash equivalents	$	25,451	$	25,451	$	-	$	-

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Property and Equipment, net (Details Textual) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
Property, Plant and Equipment [Line Items]
Depreciation	$ 395	$ 384
Property, Plant and Equipment, Disposals	$ 260

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Basic and Diluted Net Income per Share (Details Textual) - shares	3 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	127,190	103,437

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Income Taxes (Tables)

3 Months Ended

Sep. 30, 2015

Income Tax Disclosure [Abstract]

Schedule of Income before Income Tax, Domestic and Foreign

The domestic and foreign components of income before the provision (benefit) for income taxes are as follows:

	Three Months Ended
	September 30,
	2015		2014
United States	$	2,755	$	377
Foreign		335		187
Income before income taxes		3,090		564

Schedule of Components of Income Tax Expense (Benefit)

The components of the provision (benefit) for income taxes are as follows:

	Three Months Ended
	September 30,
	2015		2014
United States	$	(251)	$	150
Foreign		134		27
Provision (benefit) for income taxes	$	(117)	$	177

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Share-Based Compensation (Tables)

3 Months Ended

Sep. 30, 2015

Share-based Compensation [Abstract]

Summary of Share Based Compensation Expense Allocation

We recorded share-based compensation related to the issuance of restricted stock to employees and board members as follows:

	Three Months Ended
	September 30,
	2015		2014
Share-based compensation expense included in the consolidated statement of operations:
Cost of sales	$	1	$	14
Sales and marketing		30		40
Research and development		31		28
General and administrative		105		144
Total		167		226

Summary of Option Activity

A summary of the activity of our time-based, service condition restricted shares during the three months ended September 30, 2015, is presented below:

		Weighted-
		Average
		Grant Date
Restricted Stock Awards	Shares	Fair Value
Non-vested at July 1, 2015(1)	250,690	$	6.61
Granted	212,500		4.68
Vested	(31,199)		5.83
Forfeited	(15,075)		6.72
Non-vested at September 30, 2015	416,916	$	5.68

⁽¹⁾Reflects the retroactive rescission of 120,000 restricted stock awards previously granted to the Company's president and CEO.

Summary of Activity of Restricted Shares

A summary of the activity of our performance-based restricted shares during the three months ended September 30, 2015, is presented below:

			Weighted-
			Average
			Grant Date
Performance Stock Awards	Shares		Fair Value
Non-vested at July 1, 2015		25,887	$	5.84
Granted		-		-
Vested		-		-
Forfeited		(20,500)		6.93
Non-vested at September 30, 2015		5,387	$	5.14

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Overview of Business and Basis of Presentation

3 Months Ended

Sep. 30, 2015

Overview Of Business [Abstract]

Overview of Business and Basis of Presentation

1. Overview of Business and Basis of Presentation

References herein to “Concurrent,” the “Company,” “we,” “our,” or “us” refer to Concurrent Computer Corporation and its subsidiaries unless the context specifically indicates otherwise.

We provide software, hardware and professional services for the content delivery market and the high-performance, real-time market. Our business is comprised of two segments for financial reporting purposes, products and services, which we provide for each of these markets.

Our content delivery solutions consist of software, hardware and services for intelligently streaming video content to a variety of consumer devices and storing and managing content in the network. Our streaming video and storage products and services are deployed by service providers to support consumer-facing video services including live broadcast video, video-on-demand and time-shifted video applications such as cloud-based digital video recording. In September 2015, we sold our multi-screen video analytics product line for collecting and analyzing data related to content delivery applications (see Note 6 –Sale of Product Line).

Our real-time solutions consist of real-time Linux^® operating system versions, development and performance optimization tools, simulation software and other system software combined, in many cases, with computer platforms and services. These real-time products are sold to a wide variety of companies seeking high performance, real-time computer solutions in the military, aerospace, financial and automotive markets around the world.

The June 30, 2015 condensed consolidated balance sheet data was derived from audited financial statements, but does not include all disclosures required by accounting principles generally accepted in the U.S. (“U.S. GAAP”). Our condensed consolidated interim financial statements are unaudited and reflect all adjustments (consisting of only normal recurring adjustments) that are, in the opinion of management, necessary for a fair statement of our consolidated financial position, consolidated results of operations and consolidated cash flows at the dates and for the periods indicated. These financial statements should be read in conjunction with our Annual Report on Form 10-K for the year ended June 30, 2015 filed with the Securities and Exchange Commission (“SEC”) on August 26, 2015.

There have been no changes to our Significant Accounting Policies as disclosed in Note 2 of the consolidated financial statements included in our Annual Report on Form 10-K for the year ended June 30, 2015. The results reported in these condensed consolidated financial statements should not be regarded as necessarily indicative of results that may be expected for the entire year.

Smaller Reporting Company

We meet the SEC’s definition of a “Smaller Reporting Company,” and therefore qualify for the SEC’s reduced disclosure requirements for smaller reporting companies.

Use of Estimates

The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

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Inventories (Tables)

3 Months Ended

Sep. 30, 2015

Inventory Disclosure [Abstract]

Inventories

Inventories consist of the following:

	September 30,		June 30,
	2015		2015
Raw materials	$	1,138	$	1,403
Work-in-process		266		271
Finished goods		1,559		1,754
	$	2,963	$	3,428

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Commitments and Contingencies (Tables)

3 Months Ended

Sep. 30, 2015

Commitments and Contingencies Disclosure [Abstract]

Patent Infringement Claims

We enter into agreements in the ordinary course of business with customers that often require us to defend and/or indemnify the customer against intellectual property infringement claims brought by a third-party with respect to our products. For example, we were notified that certain of our customers have settled with or been sued by the following companies, in the noted jurisdictions, regarding the listed patents:

Asserting Party	Jurisdiction	Patents at Issue
Constellation Technologies, LLC	U.S. District Court Eastern District of Texas	U.S. Patent Nos. 6,128,649, 6,901,048, 7,154,879 and 6,845,389
Trans Video Electronics Ltd.	U.S. District Court of Delaware	U.S. Patent Nos. 5,594,936 and 5,991,801
Broadband iTV, Inc.	U.S. District Court of Hawaii	U.S. Patent No. 7,361,336
Sprint Communications Company, L.P.	U.S. District Court Eastern District of Pennsylvania	U.S. Patent Nos. 6,754,907 and 6,757,907
FutureVision.com LLC	U.S. District Court Eastern District of Texas	U.S. Patent No. 5,877,755

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Share-Based Compensation (Details Textual)	3 Months Ended
	Sep. 30, 2015 shares
Options, outstanding (in shares)	89,447
Share-based Compensation Arrangement by Share-based Payment Award, Options, Forfeitures in Period	20,500
Chief Executive Officer [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Options, Forfeitures in Period	120,000
Restricted Stock [Member]
Restricted shares outstanding (in shares)	422,303
Share-based Compensation Arrangement by Share-based Payment Award, Options, Forfeitures in Period	120,000

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CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Sep. 30, 2015	Jun. 30, 2015
Current assets:
Cash and cash equivalents	$ 24,462	$ 25,451
Accounts receivable, net of allowance for doubtful accounts of $13 and $18 at September 30, 2015 and June 30, 2015, respectively	10,427	10,174
Inventories	2,963	3,428
Deferred income taxes - current, net	1,060	1,422
Prepaid expenses and other current assets	1,910	738
Total current assets	40,822	41,213
Property and equipment, net	2,779	2,448
Deferred income taxes, net	13,257	12,618
Other long-term assets, net	1,350	1,501
Total assets	58,208	57,780
Current liabilities:
Accounts payable and accrued expenses	6,163	6,320
Deferred revenue	6,834	8,362
Total current liabilities	12,997	14,682
Long-term liabilities:
Deferred revenue	1,518	1,658
Pension liability	3,251	3,189
Other long-term liabilities	1,711	1,694
Total liabilities	$ 19,477	$ 21,223
Commitments and contingencies (Note 17)
Stockholders' equity:
Shares of common stock, par value $.01; 14,000,000 authorized; 9,167,992 and 9,136,793 issued and outstanding at September 30, 2015 and June 30, 2015, respectively	$ 92	$ 91
Capital in excess of par value	210,373	210,207
Accumulated deficit	(171,491)	(173,595)
Treasury stock, at cost; 37,788 shares	(255)	(255)
Accumulated other comprehensive income (loss)	12	109
Total stockholders' equity	38,731	36,557
Total liabilities and stockholders' equity	58,208	57,780
Series Preferred Stock [Member]
Stockholders' equity:
Shares of preferred stock	0	0
Preferred Class A [Member]
Stockholders' equity:
Shares of preferred stock	$ 0	$ 0

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Fair Value Measurements (Details) - USD ($) $ in Thousands	Sep. 30, 2015	Jun. 30, 2015
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets, Fair Value Disclosure, Recurring	$ 24,462	$ 25,451
Fair Value, Inputs, Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets, Fair Value Disclosure, Recurring	24,462	25,451
Fair Value, Inputs, Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets, Fair Value Disclosure, Recurring	0	0
Fair Value, Inputs, Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets, Fair Value Disclosure, Recurring	0	0
Cash [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets, Fair Value Disclosure, Recurring	14,416	15,406
Cash [Member] | Fair Value, Inputs, Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets, Fair Value Disclosure, Recurring	14,416	15,406
Cash [Member] | Fair Value, Inputs, Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets, Fair Value Disclosure, Recurring	0	0
Cash [Member] | Fair Value, Inputs, Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets, Fair Value Disclosure, Recurring	0	0
Money Market Funds [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets, Fair Value Disclosure, Recurring	10,046	10,045
Money Market Funds [Member] | Fair Value, Inputs, Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets, Fair Value Disclosure, Recurring	10,046	10,045
Money Market Funds [Member] | Fair Value, Inputs, Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets, Fair Value Disclosure, Recurring	0	0
Money Market Funds [Member] | Fair Value, Inputs, Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets, Fair Value Disclosure, Recurring	$ 0	$ 0

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CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - 3 months ended Sep. 30, 2015 - USD ($) $ in Thousands	Total	Common Stock [Member]	Capital In Excess Of Par Value [Member]	Accumulated Deficit [Member]	Accumulated Other Comprehensive Income (Loss) [Member]	Treasury Stock [Member]
Balance at Jun. 30, 2015	$ 36,557	$ 91	$ 210,207	$ (173,595)	$ 109	$ (255)
Balance (in shares) at Jun. 30, 2015		9,136,793				(37,788)
Dividends declared	(1,146)			(1,146)
Dividends forfeited with restricted stock forfeitures	43			43
Share-based compensation expense	167		167
Lapse of restriction on restricted stock	0	$ 1	(1)
Lapse of restriction on restricted stock (in shares)		31,199
Other comprehensive income (loss), net of taxes:
Net income	3,207			3,207
Foreign currency translation adjustment	(94)				(94)
Pension plan	(3)				(3)
Total comprehensive loss	3,110
Balance at Sep. 30, 2015	$ 38,731	$ 92	$ 210,373	$ (171,491)	$ 12	$ (255)
Balance (in shares) at Sep. 30, 2015		9,167,992				(37,788)

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Pensions and Other Postretirement Benefits (Details Textual) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
Defined Contribution Plan Disclosure [Line Items]
Defined Benefit Plan, Expected Contributions in Current Fiscal Year, Total	$ 4	$ 6
Foreign Pension Plan [Member]
Defined Contribution Plan Disclosure [Line Items]
Defined Contribution Plan, Cost Recognized	$ 14	13
Foreign Pension Plan [Member] | Minimum [Member]
Defined Contribution Plan Disclosure [Line Items]
Defined Contribution Plan, Employer Matching Contribution, Percent of Match	4.00%
Foreign Pension Plan [Member] | Maximum [Member]
Defined Contribution Plan Disclosure [Line Items]
Defined Contribution Plan, Employer Matching Contribution, Percent of Match	7.00%
United States Defined Contribution Plan [Member]
Defined Contribution Plan Disclosure [Line Items]
Defined Contribution Plan, Employer Matching Contribution, Percent of Employees' Gross Pay	5.00%
Defined Contribution Plan, Employer Matching Contribution, Percent of Match	50.00%
Defined Contribution Plan, Cost Recognized	$ 124	$ 137

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Pensions and Other Postretirement Benefits (Tables)

3 Months Ended

Sep. 30, 2015

Defined Benefit Pension Plans and Defined Benefit Postretirement Plans Disclosure [Abstract]

Components of net periodic pension cost of our German defined benefit pension plans recognized in earnings

The following table provides the components of net periodic pension cost of our German defined benefit pension plans recognized in earnings for the three months ended September 30, 2015 and 2014:

	Three Months Ended
	September 30,
	2015		2014
Net Periodic Benefit Cost
Service cost	$	-	$	-
Interest cost		24		35
Expected return on plan assets		(5)		(16)
Recognized actuarial loss		12		11
Net periodic benefit cost	$	31	$	30

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Dividends (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
Dividends Payable [Line Items]
Dividends Declared Per Share (in dollars per share)	$ 0.12	$ 0.12
First Quarter Dividend [Member]
Dividends Payable [Line Items]
Record Date	Sep. 15, 2015
Payment Date	Sep. 29, 2015
Type	Quarterly
Dividends Declared Per Share (in dollars per share)	$ 0.12
Dividends	$ 1,146

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Dividends

3 Months Ended

Sep. 30, 2015

Dividends [Abstract]

Dividends

15. Dividends

During the three months ended September 30, 2015, our Board of Directors approved a quarterly cash dividend as follows:

			Dividends Declared
Record Date	Payment Date	Type	Per Share		Total
September 15, 2015	September 29, 2015	Quarterly	$	0.12	$	1,146

As of September 30, 2015, we recorded $148 of dividends payable to holders of restricted common stock who held restricted shares at the time of the dividend record dates and still hold those restricted shares as of September 30, 2015. Such dividends will be paid when the restrictions on a holder’s restricted common shares lapse. This dividend payable is divided between current payable and non-current payable in the amounts of $68 and $80, respectively, based upon the expected vesting date of the underlying shares. These holders of restricted common stock will receive the dividend payments as long as they remain eligible at the vesting date of the shares. Dividends payable at September 30, 2015 reflect the rescission of 120,000 RSAs as described in Note 2 – Immaterial Restatement of Previously Issued Financial Statements and Reclassification. For the three months ended September 30, 2015, $43 of dividends payable were forfeited and returned to capital for restricted shares that were forfeited prior to meeting vesting requirements. Because the participants are not entitled to these dividends unless they complete the requisite service period for the shares to vest, they are not “participating dividends” as defined under ASC Topic 260-10, Earnings per Share.

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Segment Information (Tables)

3 Months Ended

Sep. 30, 2015

Segment Reporting [Abstract]

Summary of Revenues by Geographic Area

A summary of our revenue and long-lived assets by geographic area is as follows:

	Three Months Ended
	September 30,
	2015		2014
United States	$	8,607	$	10,880
Canada		1,116		903
Total North America		9,723		11,783
Japan		2,097		1,863
Other Asia-Pacific		301		218
Total Asia-Pacific		2,398		2,081
Europe		1,224		3,673
South America		6		3
Total revenue	$	13,351	$	17,540

Summary of Long Lived Assets

	September 30,		June 30,
	2015		2015
Long-lived assets:
United States	$	16,246	$	15,229
Europe		282		301
Japan		699		691
Other Asia-Pacific		20		23
Total long-lived assets	$	17,247	$	16,244

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Commitments and Contingencies

3 Months Ended

Sep. 30, 2015

Commitments and Contingencies Disclosure [Abstract]

Commitments and Contingencies

17. Commitments and Contingencies

From time to time, we are involved in litigation incidental to the conduct of our business. We believe that such pending litigation will not have a material adverse effect on our results of operations or financial condition.

We enter into agreements in the ordinary course of business with customers that often require us to defend and/or indemnify the customer against intellectual property infringement claims brought by a third-party with respect to our products. For example, we were notified that certain of our customers have settled with or been sued by the following companies, in the noted jurisdictions, regarding the listed patents:

Asserting Party	Jurisdiction	Patents at Issue
Constellation Technologies, LLC	U.S. District Court Eastern District of Texas	U.S. Patent Nos. 6,128,649, 6,901,048, 7,154,879 and 6,845,389
Trans Video Electronics Ltd.	U.S. District Court of Delaware	U.S. Patent Nos. 5,594,936 and 5,991,801
Broadband iTV, Inc.	U.S. District Court of Hawaii	U.S. Patent No. 7,361,336
Sprint Communications Company, L.P.	U.S. District Court Eastern District of Pennsylvania	U.S. Patent Nos. 6,754,907 and 6,757,907
FutureVision.com LLC	U.S. District Court Eastern District of Texas	U.S. Patent No. 5,877,755

We continue to review our potential obligations under our indemnification agreements with these customers and the indemnity obligations to these customers from other vendors that also provided systems and services to these customers. From time to time, we also indemnify customers and business partners for damages, losses and liabilities they may suffer or incur relating to personal injury, personal property damage, product liability, and environmental claims relating to the use of our products and services or resulting from our acts or omissions, our employees, authorized agents or subcontractors. We have not accrued any material liabilities related to such indemnifications in our financial statements and do not expect any other material costs as a result of such obligations. The maximum potential amount of future payments that we could be required to make is unlimited, and we are unable to estimate any possible loss or range of possible loss.

Severance Arrangements

Pursuant to the terms of the employment agreements with our executive officers and certain other employees, employment may be terminated by either the respective executive officer or us at any time. In the event the employee voluntarily resigns (except as described below) or is terminated for cause, compensation under the employment agreement will end. In the event an agreement is terminated by us without cause or in certain circumstances constructively by us, the terminated employee will receive severance compensation for a period from 6 to 12 months, depending on the officer, in an annualized amount equal to the respective employee's base salary then in effect. In the event our CEO resigns within three months of a change in control or the CEO’s agreement is terminated by us within one year of a change of control other than for due cause, disability or non-renewal by our CEO, our CEO will be entitled to severance compensation multiplied by two, as well as incremental medical costs. Additionally, if terminated, our CEO and chief financial officer may be entitled to bonuses during the severance period. At September 30, 2015, the maximum contingent liability under these agreements is $2,060. Our employment agreements with certain of our employees contain certain offset provisions, as defined in their respective agreements.

Shareholder Demand Letter

As previously disclosed in our Form 8-K filed on October 15, 2015, on October 5, 2015, our Board of Directors received a demand letter from a law firm on behalf of a purported shareholder of the Company alleging that the grant of 120,000 RSAs pursuant to our November 18, 2014 employment agreement with our CEO exceeded the limits set forth in the Plan. In response to the demand letter, our Board of Directors formed a special committee to investigate the allegations and take corrective action should any be necessary. As more fully described in our Form 8-K filed on October 15, 2015, we also took actions to, among other things, amend the employment agreement to rescind the grant of 120,000 RSAs to our CEO (see Note 18 – Subsequent Events).

Assessments of claims exposures are difficult because they involve inherently unpredictable factors, particularly for matters such as this which are at a very early stage of proceeding. As a result, we are currently unable to estimate any reasonably possible losses which may result from this matter, but our management is currently of the opinion that it will not have a material effect on our business, consolidated financial position, results of operations or cash flows.

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Commitments and Contingencies (Details)	3 Months Ended
	Sep. 30, 2015
Constellation Technologies, LLC [Member]
Loss Contingencies [Line Items]
Asserting Party	Constellation Technologies, LLC
Jurisdiction	U.S. District Court Eastern District of Texas
Patents at Issue	U.S. Patent Nos. 6,128,649, 6,901,048, 7,154,879 and 6,845,389
Trans Video Electronics Ltd. [Member]
Loss Contingencies [Line Items]
Asserting Party	Trans Video Electronics Ltd.
Jurisdiction	U.S. District Court of Delaware
Patents at Issue	U.S. Patent Nos. 5,594,936 and 5,991,801
Broadband iTV, Inc. [Member]
Loss Contingencies [Line Items]
Asserting Party	Broadband iTV, Inc.
Jurisdiction	U.S. District Court of Hawaii
Patents at Issue	U.S. Patent No. 7,361,336
Sprint Communications Company LP [Member]
Loss Contingencies [Line Items]
Asserting Party	Sprint Communications Company, L.P.
Jurisdiction	U.S. District Court Eastern District of Pennsylvania
Patents at Issue	U.S. Patent Nos. 6,754,907 and 6,757,907
FutureVision com LLC [Member]
Loss Contingencies [Line Items]
Asserting Party	FutureVision.com LLC
Jurisdiction	U.S. District Court Eastern District of Texas
Patents at Issue	U.S. Patent No. 5,877,755

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CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
Cash flows provided by (used in) operating activities:
Net income	$ 3,207	$ 387
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	431	420
Share-based compensation	167	226
Deferred income taxes, net	(257)	0
Provision for excess and obsolete inventories	23	91
Foreign currency exchange (gains) losses	(120)	303
Other non-cash expenses	0	(4)
Gain on sale of product line, net	(4,116)	0
Gain on sale of intangible assets, net	0	(339)
Decrease (increase) in assets:
Accounts receivable	(219)	(1,621)
Inventories	499	105
Prepaid expenses and other current assets	(510)	(230)
Other long-term assets	(63)	(110)
Increase (decrease) in liabilities:
Accounts payable and accrued expenses	(667)	(1,132)
Deferred revenue	(571)	1,299
Pension and other long-term liabilities	51	15
Net cash used in operating activities	(2,145)	(590)
Cash flows provided by (used in) investing activities:
Additions to property and equipment	(448)	(282)
Purchase of domain name	(35)	0
Proceeds from sale of product line	2,750	0
Proceeds from sale of intangible assets	0	301
Net cash provided by investing activities	2,267	19
Cash flows used in financing activities:
Dividends paid	(1,143)	(1,190)
Net cash used in financing activities	(1,143)	(1,190)
Effect of exchange rates on cash and cash equivalents	32	(91)
Decrease in cash and cash equivalents	(989)	(1,852)
Cash and cash equivalents - beginning of year	25,451	28,074
Cash and cash equivalents - end of year	24,462	26,222
Cash paid during the period for:
Interest	1	2
Income taxes (net of refunds)	$ 225	$ 398

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CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands	Sep. 30, 2015	Jun. 30, 2015
Allowance for Doubtful Accounts Receivable, Current	$ 13	$ 18
Common Stock, Par or Stated Value Per Share	$ 0.01	$ 0.01
Common Stock, Shares Authorized	14,000,000	14,000,000
Common Stock, Shares, Issued	9,167,992	9,136,793
Common Stock, Shares, Outstanding	9,167,992	9,136,793
Treasury Stock, Shares	37,788	37,788
Series Preferred Stock [Member]
Preferred Stock, Par or Stated Value Per Share	$ 0.01	$ 0.01
Preferred Stock, Shares Authorized	1,250,000	1,250,000
Preferred Stock, Shares Issued	0	0
Preferred Class A [Member]
Preferred Stock, Par or Stated Value Per Share	$ 100	$ 100
Preferred Stock, Shares Authorized	20,000	20,000
Preferred Stock, Shares Issued	0	0

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Property and Equipment, net

3 Months Ended

Sep. 30, 2015

Property, Plant and Equipment [Abstract]

Property and Equipment, net

10. Property and Equipment, net

Property and equipment consists of the following:

	September 30,		June 30,
	2015		2015
Leasehold improvements	$	2,663	$	2,723
Machinery and equipment		14,556		14,075
		17,219		16,798
Less: Accumulated depreciation		(14,440)		(14,350)
	$	2,779	$	2,448

During the three months ended September 30, 2015, the Company wrote-off fully-depreciated property and equipment related to the sale of its multi-screen video analytics product line with an original cost of $260.

Depreciation expense for property and equipment was $395 and $384 for the three months ended September 30, 2015 and 2014, respectively.

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Document And Entity Information - shares	3 Months Ended
	Sep. 30, 2015	Nov. 09, 2015
Document Information [Line Items]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Sep. 30, 2015
Document Fiscal Year Focus	2016
Document Fiscal Period Focus	Q1
Entity Registrant Name	CONCURRENT COMPUTER CORP/DE
Entity Central Index Key	0000749038
Current Fiscal Year End Date	--06-30
Entity Filer Category	Smaller Reporting Company
Trading Symbol	CCUR
Entity Common Stock, Shares Outstanding		9,206,593

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Accounts Payable and Accrued Expenses

3 Months Ended

Sep. 30, 2015

Accounts Payable and Accrued Liabilities, Current [Abstract]

Accounts Payable and Accrued Expenses

11. Accounts Payable and Accrued Expenses

Accounts payable and accrued expenses consist of the following:

	September 30,		June 30,
	2015		2015
Accounts payable, trade	$	2,875	$	2,682
Accrued payroll, vacation and other employee expenses		2,066		2,332
Accrued income taxes		119		23
Dividend payable		68		71
Other accrued expenses		1,035		1,212
	$	6,163	$	6,320

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CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
Revenues:
Product	$ 8,494	$ 12,478
Service	4,857	5,062
Total revenues	13,351	17,540
Cost of sales:
Product	3,453	5,540
Service	2,041	2,302
Total cost of sales	5,494	7,842
Gross margin	7,857	9,698
Operating expenses:
Sales and marketing	3,394	3,966
Research and development	3,837	3,268
General and administrative	1,778	1,954
Gain on sale of product line, net	(4,116)	0
Gain on sale of intangible assets, net	0	(339)
Total operating expenses	4,893	8,849
Operating income	2,964	849
Interest income	3	4
Interest expense	0	(1)
Other income (expense), net	123	(288)
Income before income taxes	3,090	564
Provision (benefit) for income taxes	(117)	177
Net income	$ 3,207	$ 387
Net income per share
Basic (in dollars per share)	$ 0.35	$ 0.04
Diluted (in dollars per share)	$ 0.35	$ 0.04
Weighted average shares outstanding - basic (in shares)	9,112,891	8,989,751
Weighted average shares outstanding - diluted (in shares)	9,176,877	9,115,365
Cash dividends declared per common share (in dollars per share)	$ 0.12	$ 0.12

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Fair Value Measurements

3 Months Ended

Sep. 30, 2015

Fair Value Disclosures [Abstract]

Fair Value Measurements

5. Fair Value Measurements

Fair value is defined as the price that would be received from selling an asset or paid to transfer a liability in an orderly fashion between market participants at the measurements date. When determining the fair value measurements for assets and liabilities required or permitted to be either recorded or disclosed at fair value, we consider the most advantageous market in which it would transact and assumptions that market participants would use when pricing the asset of liability.

The Accounting Standards Codification requires certain disclosures around fair value and establishes a fair value hierarchy for valuation inputs. The hierarchy prioritizes the inputs into three levels based on the extent to which inputs used in measuring fair value are observable in the market. Each fair value measurement is reported in one of the three levels which are determined by the lowest level input that is significant to the fair value measurement in its entirety. These levels are:

·	Level 1	Quoted prices (unadjusted) in active markets for identical assets or liabilities;
·	Level 2	Inputs other than quoted prices included within Level 1 that are either directly or indirectly observable; and
·	Level 3	Assets or liabilities for which fair value is based on valuation models with significant unobservable pricing inputs and which result in the use of management estimates.

We have money market funds that are highly liquid and have a maturity of three months or less, and as such, are considered cash equivalents and fall within Level 1 of the fair value hierarchy. We have no financial assets that are measured on a recurring basis that fall within Level 2 or Level 3 of the fair value hierarchy.

Our financial assets that are measured at fair value on a recurring basis as of September 30, 2015 are as follows:

			Quoted
			Prices in		Observable		Unobservable
	Total		Active Markets		Inputs		Inputs
	Fair Value		(Level 1)		(Level 2)		(Level 3)
Cash	$	14,416	$	14,416	$	-	$	-
Money market funds		10,046		10,046		-		-
Cash and cash equivalents	$	24,462	$	24,462	$	-	$	-

Our financial assets that are measured at fair value on a recurring basis as of June 30, 2015 are as follows:

			Quoted
			Prices in		Observable		Unobservable
	Total		Active Markets		Inputs		Inputs
	Fair Value		(Level 1)		(Level 2)		(Level 3)
Cash	$	15,406	$	15,406	$	-	$	-
Money market funds		10,045		10,045		-		-
Cash and cash equivalents	$	25,451	$	25,451	$	-	$	-

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Basic and Diluted Net Income per Share

3 Months Ended

Sep. 30, 2015

Earnings Per Share [Abstract]

Basic and Diluted Net Income per Share

4. Basic and Diluted Net Income per Share

Basic net income per share is computed by dividing net income by the weighted average number of common shares outstanding during each year. Diluted net income per share is computed by dividing net income by the weighted average number of shares including dilutive common share equivalents. Under the treasury stock method, incremental shares representing the number of additional common shares that would have been outstanding if the dilutive potential common shares had been issued are included in the computation. Common share equivalents of 127,190 and 103,437 for the three months ended September 30, 2015 and 2014, respectively, were excluded from the calculation as their effect was anti-dilutive.

The following table presents a reconciliation of the numerators and denominators of basic and diluted net income per share for the periods indicated:

	Three Months Ended
	September 30,
	2015		2014
Basic and diluted EPS calculation:
Net income	$	3,207	$	387
Basic weighted average number of shares outstanding		9,112,891		8,989,751
Effect of dilutive securities:
Employee stock options		-		8,722
Restricted shares		63,821		116,892
Diluted weighted average number of shares outstanding		9,176,712		9,115,365
Basic EPS	$	0.35	$	0.04
Diluted EPS	$	0.35	$	0.04

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Accumulated Other Comprehensive Income (Loss)

3 Months Ended

Sep. 30, 2015

Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]

Accumulated Other Comprehensive Income (Loss)

16. Accumulated Other Comprehensive Income (Loss)

The following table summarizes the changes in accumulated other comprehensive income (loss) by component, net of taxes, for the three months ended September 30, 2015:

	Pension and
	Postretirement		Currency
	Benefit		Translation
	Plans		Adjustments		Total
Balance at June 30, 2015	$	(1,214)	$	1,323	$	109
Other comprehensive income before reclassifications		-		(94)		(94)
Amounts reclassified from accumulated other comprehensive income (loss)		(3)		-		(3)
Net current period other comprehensive income (loss)		(3)		(94)		(97)
Balance at September 30, 2015	$	(1,217)	$	1,229	$	12

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Pensions and Other Postretirement Benefits

3 Months Ended

Sep. 30, 2015

Defined Benefit Pension Plans and Defined Benefit Postretirement Plans Disclosure [Abstract]

Pensions and Other Postretirement Benefits

12. Pensions and Other Postretirement Benefits

Defined Contribution Plans

We maintain a retirement savings plan available to U.S. employees that qualifies as a defined contribution plan under Section 401(k) of the Internal Revenue Code. We match 50% of the first 5% of the participants’ compensation invested by the employee in the 401(k) plan. For the three months ended September 30, 2015 and 2014, we made matching contributions of $124 and $137, respectively.

We also maintain a defined contribution plan (the “Stakeholder Plan”) for our U.K. based employees. The Stakeholder Plan provides for discretionary matching contributions of between 4% and 7% of the employee’s salary. We contributed $14 and $13 to the Stakeholder Plan for the three months ended September 30, 2015 and 2014, respectively.

Defined Benefit Plans

The following table provides the components of net periodic pension cost of our German defined benefit pension plans recognized in earnings for the three months ended September 30, 2015 and 2014:

	Three Months Ended
	September 30,
	2015		2014
Net Periodic Benefit Cost
Service cost	$	-	$	-
Interest cost		24		35
Expected return on plan assets		(5)		(16)
Recognized actuarial loss		12		11
Net periodic benefit cost	$	31	$	30

We contributed $4 (paid in October 2015) and $6 to our German defined benefit pension plans for the three months ended September 30, 2015 and 2014, respectively, and expect to make additional, similar, quarterly contributions during the remaining quarters of our fiscal year 2016.

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Share-Based Compensation

3 Months Ended

Sep. 30, 2015

Share-based Compensation [Abstract]

Share-Based Compensation

8. Share-Based Compensation

As of September 30, 2015, we had share-based compensation plans which are described in Note 11 of the consolidated financial statements included in our Annual Report on Form 10-K for the year ended June 30, 2015. We recognize stock compensation expense over the requisite service period of the individual grantees, which generally equals the vesting period. As of September 30, 2015, we had 89,447 stock options outstanding and 422,303 restricted shares outstanding (after giving effect to the retroactive rescission of 120,000 RSAs previously granted to our CEO as described in Note 2 - Immaterial Restatement of Previously Issued Financial Statements and Reclassification). No stock options were granted, exercised, or cancelled during the three months ended September 30, 2015. We recorded share-based compensation related to the issuance of restricted stock to employees and board members as follows:

	Three Months Ended
	September 30,
	2015		2014
Share-based compensation expense included in the consolidated statement of operations:
Cost of sales	$	1	$	14
Sales and marketing		30		40
Research and development		31		28
General and administrative		105		144
Total		167		226

A summary of the activity of our time-based, service condition restricted shares during the three months ended September 30, 2015, is presented below:

		Weighted-
		Average
		Grant Date
Restricted Stock Awards	Shares	Fair Value
Non-vested at July 1, 2015(1)	250,690	$	6.61
Granted	212,500		4.68
Vested	(31,199)		5.83
Forfeited	(15,075)		6.72
Non-vested at September 30, 2015	416,916	$	5.68

⁽¹⁾Reflects the retroactive rescission of 120,000 restricted stock awards previously granted to the Company's president and CEO.

During the three months ended September 30, 2015, 20,500 previously granted performance-based restricted shares were forfeited due to a failure to meet performance goals associated with our fiscal year 2015 financial results. A summary of the activity of our performance-based restricted shares during the three months ended September 30, 2015, is presented below:

			Weighted-
			Average
			Grant Date
Performance Stock Awards	Shares		Fair Value
Non-vested at July 1, 2015		25,887	$	5.84
Granted		-		-
Vested		-		-
Forfeited		(20,500)		6.93
Non-vested at September 30, 2015		5,387	$	5.14

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Segment Information (Details) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Jun. 30, 2015
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	$ 13,351	$ 17,540
Long-lived assets	17,247		$ 16,244
Reportable Geographical Components [Member] | United States [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	8,607	10,880
Long-lived assets	16,246		15,229
Reportable Geographical Components [Member] | Canada [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	1,116	903
Reportable Geographical Components [Member] | North America [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	9,723	11,783
Reportable Geographical Components [Member] | Japan [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	2,097	1,863
Long-lived assets	699		691
Reportable Geographical Components [Member] | Other Asia Pacific Countries [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	301	218
Long-lived assets	20		23
Reportable Geographical Components [Member] | Asia Pacific [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	2,398	2,081
Reportable Geographical Components [Member] | Europe [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	1,224	3,673
Long-lived assets	282		$ 301
Reportable Geographical Components [Member] | South America [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	$ 6	$ 3

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Sale of Product Line

3 Months Ended

Sep. 30, 2015

Disposal of Product Line [Abstract]

Sale of Product Line

6. Sale of Product Line

On September 9, 2015, we sold the customer contracts and intellectual property related to our multi-screen video analytics product line for $3,500 pursuant to an Asset Purchase Agreement (“APA”) dated August 31, 2015 with Verimatrix, Inc. (“Verimatrix”), a privately-held video revenue security company based in San Diego, California. The APA includes customary terms and conditions, including provisions that require the Company to indemnify Verimatrix for certain losses that it incurs as a result of a breach by the Company of its representations and warranties in the APA and certain other matters. Proceeds from the sale are payable to the Company as follows: (1) a $2,750 payment to the Company in cash (received on September 10, 2015), (2) a $375 deferred payment which will be paid to the Company by Verimatrix on or before June 30, 2016 (less any portion  used to make indemnification payments, if necessary) and (3) $375 placed in escrow which amount will be released to the Company on or before June 30, 2016 (less any portion used to make indemnification payments to Verimatrix after exhaustion of the deferred payment).

The customer contracts and intellectual property sold had a net book value of $188 (which was included in intangible assets, net in our consolidated balance sheet). As a result of the sale, we also included $1,016 (net liability, consisting primarily of unearned deferred revenue) of related assets and liabilities not sold or transferred in the transaction in the calculation of the recorded gain. Additionally, we incurred $212 in legal, accounting and other expenses that would not have been incurred otherwise. As a result, we recorded a net gain of $4,116 in our condensed consolidated statement of operations for the three months ended September 30, 2015.

As noted above, on July 1, 2015, we adopted ASU 2014-08 regarding discontinued operations. As a result, we evaluated the sale of our multi-screen video analytics product line in light of this new standard. We concluded that the sale of our multi-screen video analytics product line in September 2015 was not a “material shift” (as defined in ASU 2014-08) for us and therefore, is not considered a discontinued operation. In accordance with ASU 2014-08, the following information is being provided:

	Three Months Ended
	September 30,
	2015			2014
Operating profit (loss) related to multi-screen video analytics product line	$	178	1	$	(191)

¹Through date of sale on September 9, 2015

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Income Taxes

3 Months Ended

Sep. 30, 2015

Income Tax Disclosure [Abstract]

Income Taxes

7. Income Taxes

Components of Provision (Benefit) for Income Taxes

The domestic and foreign components of income before the provision (benefit) for income taxes are as follows:

	Three Months Ended
	September 30,
	2015		2014
United States	$	2,755	$	377
Foreign		335		187
Income before income taxes		3,090		564

We recorded an income tax benefit for our domestic and foreign subsidiaries of $117 and income tax expense of $177 during the three months ended September 30, 2015 and 2014, respectively. The components of the provision (benefit) for income taxes are as follows:

	Three Months Ended
	September 30,
	2015		2014
United States	$	(251)	$	150
Foreign		134		27
Provision (benefit) for income taxes	$	(117)	$	177

The domestic tax expense is lower than the prior year primarily due to the release of valuation allowance attributable to the tax impact of the gain on sale of our multi-screen video analytics product line. Any other domestic differences are due to differences in projected pretax book income and permanent book/tax differences between the two periods. The foreign tax expense is higher as compared to the prior year, primarily due to higher Japanese pretax book income for the three months ended September 30, 2015 as compared to the same period for the prior year.

Net Operating Losses

As of June 30, 2015, we had U.S. federal net operating loss carryforwards of approximately $92,826 for income tax purposes, of which none expire in fiscal year 2016, and the remainder expire at various dates through 2034. We completed an evaluation of the potential effect of Section 382 of the Internal Revenue Code of 1986 (the “Code”) on our ability to utilize these net operating losses. The study concluded that we have not had an ownership change for the period from July 22, 1993 to June 30, 2015.

As of June 30, 2015, we have state NOLs of $52,310 and foreign NOLs of $28,153.  The state NOLs expire between fiscal year 2015 and fiscal year 2035.  The foreign NOLs expire according to the rules of each country and have an indefinite carryforward period.

Valuation Allowance

Realization of our deferred tax assets is dependent primarily on the generation of future taxable income. In considering the need for a valuation allowance, we consider our historical and future projected operations along with other positive and negative evidence in assessing if sufficient future taxable income will be generated to use the existing deferred tax assets. The following summarizes our conclusions on the need for a valuation allowance in each jurisdiction as of September 30, 2015:

U.S. - For the three months ended September 30, 2015, we sold the assets associated with our multi-screen video analytics product line, generating a gain of $4,116. This realized gain will now allow us to utilize an additional amount of valuation allowance that we were unable to consider in our estimate of future earnings at the end of fiscal year 2015. We are recognizing a release of $1,355 of the valuation allowance on federal and state NOLs that will be used to offset this gain. Other than this discrete item in fiscal year 2016, we do not believe that there has been a significant change in our business in the U.S. that would require a reassessment of our conclusion at the end of fiscal year 2015 with regard to the valuation allowance. We will continue to evaluate our assumptions each quarter regarding the need for a valuation allowance and will make appropriate adjustments as necessary.

U.K. - During our fiscal year 2014, a change in U.K. tax law relative to treatment of research and development expenses allowed us to release $214 of valuation allowances against deferred tax assets that we believe are now realizable as a result of the current period tax law change. We believe that in light of this law change, we will now generate sufficient taxable income to fully utilize our net deferred tax assets in the U.K.

Japan - Our subsidiary in Japan has a long history of profitable operations, and we continue to project profitability in Japan for the foreseeable future. Therefore, we continue to believe that we will fully realize the net deferred tax assets in Japan, and no valuation allowance is needed.

Other Foreign Jurisdictions - We also evaluated the need for a continued full valuation allowance against our foreign deferred tax assets in other jurisdictions. We concluded that a full valuation allowance against our deferred tax assets for other foreign jurisdictions was warranted due to, among other reasons, (i) the realized cumulative accounting losses, (ii) our long history of taxable losses and (iii) our uncertainty with respect to generating future taxable income in the near term given our recently completed projections and other inherent uncertainties in our business.

Each quarter, we assess the total weight of positive and negative evidence and evaluate whether release of all or any portion of the valuation allowance is appropriate. Should we come to the conclusion that a release of our valuation allowances is required, or that additional valuation allowance is required, there could be a significant increase or decrease in net income and earnings per share in the period of release, or the additional valuation allowance, due to the impact on the tax rate.

Unrecognized Tax Benefits

The Company has evaluated its unrecognized tax benefits and determined that there has not been a material change in the amount of such benefits for the three months ended September 30, 2015.

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Inventories

3 Months Ended

Sep. 30, 2015

Inventory Disclosure [Abstract]

Inventories

9. Inventories

Inventories consist of the following:

	September 30,		June 30,
	2015		2015
Raw materials	$	1,138	$	1,403
Work-in-process		266		271
Finished goods		1,559		1,754
	$	2,963	$	3,428

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Concentration of Risk (Details 2)	3 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
Vendor A [Member]
Concentration Risk [Line Items]
Concentration Risk, Percentage	19.00%	19.00%
Vendor B [Member]
Concentration Risk [Line Items]
Concentration Risk, Percentage	15.00%
Vendor C [Member]
Concentration Risk [Line Items]
Concentration Risk, Percentage	13.00%	16.00%
Vendor D [Member]
Concentration Risk [Line Items]
Concentration Risk, Percentage		15.00%
Vendor E [Member]
Concentration Risk [Line Items]
Concentration Risk, Percentage		15.00%

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Dividends (Details Textual) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2015	Jun. 30, 2015
Dividends Payable [Line Items]
Dividends Payable	$ 148
Dividends Payable, Current	68	$ 71
Dividends Payable Noncurrent	80
Restricted Stock Award, Forfeitures, Dividends	$ 43
Share-based Compensation Arrangement by Share-based Payment Award, Options, Forfeitures in Period	20,500
Restricted Stock [Member]
Dividends Payable [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Options, Forfeitures in Period	120,000

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Concentration of Risk (Details 1) - Accounts Receivable [Member]	3 Months Ended	12 Months Ended
	Sep. 30, 2015	Jun. 30, 2015
Customer D [Member]
Concentration Risk [Line Items]
Concentration Risk, Percentage	30.00%
Customer D [Member] | Maximum [Member]
Concentration Risk [Line Items]
Concentration Risk, Percentage		10.00%
Customer E [Member]
Concentration Risk [Line Items]
Concentration Risk, Percentage	14.00%
Customer E [Member] | Maximum [Member]
Concentration Risk [Line Items]
Concentration Risk, Percentage		10.00%
Customer F [Member]
Concentration Risk [Line Items]
Concentration Risk, Percentage	12.00%
Customer F [Member] | Maximum [Member]
Concentration Risk [Line Items]
Concentration Risk, Percentage		10.00%
Customer G [Member]
Concentration Risk [Line Items]
Concentration Risk, Percentage		37.00%
Customer G [Member] | Maximum [Member]
Concentration Risk [Line Items]
Concentration Risk, Percentage	10.00%

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Accounts Payable and Accrued Expenses (Tables)

3 Months Ended

Sep. 30, 2015

Accounts Payable and Accrued Liabilities, Current [Abstract]

Accounts Payable and Accrued Expenses

Accounts payable and accrued expenses consist of the following:

	September 30,		June 30,
	2015		2015
Accounts payable, trade	$	2,875	$	2,682
Accrued payroll, vacation and other employee expenses		2,066		2,332
Accrued income taxes		119		23
Dividend payable		68		71
Other accrued expenses		1,035		1,212
	$	6,163	$	6,320

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Share-Based Compensation (Details) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
Share-based compensation expense included in the consolidated statement of operations:
Allocated Share-based Compensation Expense	$ 167	$ 226
Cost of sales [Member]
Share-based compensation expense included in the consolidated statement of operations:
Allocated Share-based Compensation Expense	1	14
Sales and marketing [Member]
Share-based compensation expense included in the consolidated statement of operations:
Allocated Share-based Compensation Expense	30	40
Research and development [Member]
Share-based compensation expense included in the consolidated statement of operations:
Allocated Share-based Compensation Expense	31	28
General and administrative [Member]
Share-based compensation expense included in the consolidated statement of operations:
Allocated Share-based Compensation Expense	$ 105	$ 144

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Concentration of Risk

3 Months Ended

Sep. 30, 2015

Risks and Uncertainties [Abstract]

Concentration of Risk

14. Concentration of Risk

The following table summarizes revenues by significant customer where such revenue accounted for 10% or more of total revenues for any one of the indicated periods:

	Three Months Ended
	September 30,
	2015		2014
Customer A	22	%	<10	%
Customer B	<10	%	15	%
Customer C	<10	%	11	%

We assess credit risk through ongoing credit evaluations of customers’ financial condition, and collateral is generally not required. The following summarizes accounts receivable by significant customers for whom accounts receivable were 10% or more of total accounts receivables for any one of the indicated periods:

	September 30,		June 30,
	2015		2015
Customer D	30	%	<10	%
Customer E	14	%	<10	%
Customer F	12	%	<10	%
Customer G	<10	%	37	%

There were no other customers representing 10% or more of our trade receivables at September 30, 2015 and June 30, 2015.

The following summarizes purchases from significant vendors where such purchases accounted for 10% or more of total purchases for any one of the indicated periods:

	Three Months Ended
	September 30,
	2015		2014
Vendor A	19	%	19	%
Vendor B	15	%	<10	%
Vendor C	13	%	16	%
Vendor D	<10	%	15	%
Vendor E	<10	%	15	%

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Immaterial Restatement of Previously Issued Financial Statements and Reclassification (Tables)

3 Months Ended

Sep. 30, 2015

Accounting Changes and Error Corrections [Abstract]

Schedule of Error Corrections and Prior Period Adjustments

The impact of this misstatement on our previously issued condensed consolidated balance sheet as of June 30, 2015 is presented below:

	Consolidated Balance Sheet as of June 30, 2015
	As
	Previously				As
	Reported		Adjustments		Restated
ASSETS
Current assets:
Cash and cash equivalents	$	25,451			$	25,451
Accounts receivable, net		10,174				10,174
Inventories		3,428				3,428
Deferred income taxes - current, net		1,422				1,422
Prepaid expenses and other current assets		738				738
Total current assets		41,213		-		41,213
Property and equipment, net		2,448				2,448
Deferred income taxes, net		12,711		(93)		12,618
Other long-term assets, net		1,501				1,501
Total assets	$	57,873	$	(93)	$	57,780
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable and accrued expenses	$	6,342	$	(22)	$	6,320
Deferred revenue		8,362				8,362
Total current liabilities		14,704		(22)		14,682
Long-term liabilities:
Deferred revenue		1,658				1,658
Pension liability		3,189				3,189
Other long-term liabilities		1,716		(22)		1,694
Total liabilities		21,267		(44)		21,223
Commitments and contingencies
Stockholders' equity:
Shares of series preferred stock, par value $.01		-				-
Shares of class A preferred stock, par value $100		-				-
Common stock, par value $.01		91				91
Capital in excess of par value		210,456		(249)		210,207
Accumulated deficit		(173,795)		200		(173,595)
Treasury stock, at cost		(255)				(255)
Accumulated other comprehensive income (loss)		109				109
Total stockholders' equity		36,606		(49)		36,557
Total liabilities and stockholders' equity	$	57,873	$	(93)	$	57,780

The impact of this misstatement on our previously issued condensed consolidated statements of cash flows for the three months ended September 30, 2014 is presented below:

	Consolidated Statements of Cash Flows
	for the Three months Ended Ended September 30, 2014
	As
	Previously				As
	Reported		Adjustments		Restated
Depreciation and amortization	$	501	$	(81)	$	420
Provision for excess and obsolete inventories		10		81		91
Other long-term assets, net		(4)		(106)		(110)
All other operating activities, net		(991)		-		(991)
Net cash provided by (used in) operating activities	$	(484)	$	(106)	$	(590)
Additions to property and equipment	$	(388)	$	106	$	(282)
All other investing activities, net		301		-		301
Net cash Provided by (used in) investing activities	$	(87)	$	106	$	19

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Income Taxes (Details 1) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
United States	$ (251)	$ 150
Foreign	134	27
Provision (benefit) for income taxes	$ (117)	$ 177

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Immaterial Restatement of Previously Issued Financial Statements and Reclassification (Details) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Current assets:
Cash and cash equivalents	$ 24,462	$ 26,222	$ 25,451	$ 28,074
Accounts receivable, net	10,427		10,174
Inventories	2,963		3,428
Deferred income taxes - current, net	1,060		1,422
Prepaid expenses and other current assets	1,910		738
Total current assets	40,822		41,213
Property and equipment, net	2,779		2,448
Deferred income taxes, net	13,257		12,618
Other long-term assets, net	1,350		1,501
Total assets	58,208		57,780
Current liabilities:
Accounts payable and accrued expenses	6,163		6,320
Deferred revenue	6,834		8,362
Total current liabilities	12,997		14,682
Long-term liabilities:
Deferred revenue	1,518		1,658
Pension liability	3,251		3,189
Other long-term liabilities	1,711		1,694
Total liabilities	$ 19,477		$ 21,223
Commitments and contingencies
Stockholders' equity:
Common stock, par value $.01	$ 92		$ 91
Capital in excess of par value			210,207
Accumulated deficit	(171,491)		(173,595)
Treasury stock, at cost	(255)		(255)
Accumulated other comprehensive income (loss)	12		109
Total stockholders' equity	38,731		36,557
Total liabilities and stockholders' equity	58,208		57,780
Depreciation and amortization	431	420
Provision for excess and obsolete inventories	23	91
Other long-term assets, net	(63)	(110)
All other operating activities, net		(991)
Net cash provided by (used in) operating activities	(2,145)	(590)
Additions to property and equipment	(448)	(282)
All other investing activities, net		301
Net cash Provided by (used in) investing activities	2,267	19
Series A Preferred Stock [Member]
Stockholders' equity:
Shares of preferred stock, par value	0		0
Preferred Class A [Member]
Stockholders' equity:
Shares of preferred stock, par value	$ 0		0
Scenario, Previously Reported [Member]
Current assets:
Cash and cash equivalents			25,451
Accounts receivable, net			10,174
Inventories			3,428
Deferred income taxes - current, net			1,422
Prepaid expenses and other current assets			738
Total current assets			41,213
Property and equipment, net			2,448
Deferred income taxes, net			12,711
Other long-term assets, net			1,501
Total assets			57,873
Current liabilities:
Accounts payable and accrued expenses			6,342
Deferred revenue			8,362
Total current liabilities			14,704
Long-term liabilities:
Deferred revenue			1,658
Pension liability			3,189
Other long-term liabilities			1,716
Total liabilities			$ 21,267
Commitments and contingencies
Stockholders' equity:
Common stock, par value $.01			$ 91
Capital in excess of par value			210,456
Accumulated deficit			(173,795)
Treasury stock, at cost			(255)
Accumulated other comprehensive income (loss)			109
Total stockholders' equity			36,606
Total liabilities and stockholders' equity			57,873
Depreciation and amortization		501
Provision for excess and obsolete inventories		10
Other long-term assets, net		(4)
All other operating activities, net		(991)
Net cash provided by (used in) operating activities		(484)
Additions to property and equipment		(388)
All other investing activities, net		301
Net cash Provided by (used in) investing activities		(87)
Scenario, Previously Reported [Member] | Series A Preferred Stock [Member]
Stockholders' equity:
Shares of preferred stock, par value			0
Scenario, Previously Reported [Member] | Preferred Class A [Member]
Stockholders' equity:
Shares of preferred stock, par value			0
Restatement Adjustment [Member]
Current assets:
Total current assets			0
Deferred income taxes, net			(93)
Total assets			(93)
Current liabilities:
Accounts payable and accrued expenses			(22)
Total current liabilities			(22)
Long-term liabilities:
Other long-term liabilities			(22)
Total liabilities			$ (44)
Commitments and contingencies
Stockholders' equity:
Capital in excess of par value			$ (249)
Accumulated deficit			200
Total stockholders' equity			(49)
Total liabilities and stockholders' equity			$ (93)
Depreciation and amortization		(81)
Provision for excess and obsolete inventories		81
Other long-term assets, net		(106)
All other operating activities, net		0
Net cash provided by (used in) operating activities		(106)
Additions to property and equipment		106
All other investing activities, net		0
Net cash Provided by (used in) investing activities		$ 106

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CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
Net income	$ 3,207	$ 387
Other comprehensive income (loss):
Foreign currency translation adjustment	(94)	211
Pension and post-retirement benefits, net of tax	(3)	10
Other comprehensive income (loss)	(97)	221
Comprehensive income	$ 3,110	$ 608

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Recent Accounting Guidance

3 Months Ended

Sep. 30, 2015

New Accounting Pronouncements and Changes in Accounting Principles [Abstract]

Recent Accounting Guidance

3. Recent Accounting Guidance

Recently Adopted Accounting Guidance

In April 2014, the FASB issued ASU No. 2014-08, Presentation of Financial Statements (Topic 205) and Property, Plant, and Equipment (Topic 360): Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity (“ASU 2014-08”). ASU 2014-08 requires that a disposal representing a strategic shift that has (or will have) a major effect on an entity’s financial results or a business activity classified as held for sale should be reported as discontinued operations. ASU 2014-08 also expands the disclosure requirements for discontinued operations and adds new disclosures for individually significant dispositions that do not qualify as discontinued operations. ASU 2014-08 was effective for us beginning July 1, 2015. The adoption of ASU 2014-08 was considered in regards to the sale our multi-screen video analytics product line in September 2015 (see Note 6 – Sale of Product Line).

Recent Accounting Guidance Not Yet Adopted

In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606) (“ASU 2014-09”), as part of its ongoing efforts to assist in the convergence of U.S. GAAP and International Financial Reporting Standards, the FASB issued a new standard related to revenue recognition. Under ASU 2014-09, recognition of revenue occurs when a customer obtains control of promised goods or services in an amount that reflects the consideration to which the entity expects to receive in exchange for those goods or services. In addition, the standard requires disclosure of the nature, amount, timing and uncertainty of revenue and cash flows arising from contracts with customers. In July 2015, the FASB agreed to defer the original effective date of ASU 2014-09 by one year, and as a result, ASU 2014-09 will be effective for us beginning July 1, 2018. Early adoption is not permitted. We anticipate that ASU 2014-09 may have a material impact, and we are currently evaluating the impact this standard will have on our consolidated financial statements.

In August 2014, the FASB issued ASU No. 2014-15, Presentation of Financial Statements – Going Concern (Subtopic 205-40): Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern (“ASU 2014-15”), which provides guidance on determining when and how to disclose going concern uncertainties in the financial statements. ASU 2014-15 requires management to perform interim period and annual assessments of an entity’s ability to continue as a going concern within one year of the date the financial statements are issued. An entity must provide certain disclosures if “conditions or events raise substantial doubt about the entity’s ability to continue as a going concern.” ASU 2014-15 applies to all entities and is effective for annual periods ending after December 15, 2016, and interim periods thereafter, with early adoption permitted. We do not expect ASU 2014-15 to have a material impact on our consolidated financial statements or disclosures.

In July 2015, the FASB issued ASU No. 2015-11, Inventory (Topic 330): Simplifying the Measurement of Inventory (“ASU 2015-11”). This amendment requires that an entity measure its inventory at the “lower of cost and net realizable value.” Net realizable value is the estimated selling price in the ordinary course of business, less reasonably predictable costs of completion, disposal and transportation. Current literature requires measurement of inventory at “lower of cost or market.” Market could be replacement cost, net realizable value, or net realizable value less an approximate normal profit margin. ASU 2015-11 applies to all entities and is effective for annual periods beginning after December 15, 2016, and interim periods thereafter, with early adoption permitted. We do not expect ASU 2015-11 to have a material impact on our consolidated financial statements or disclosures.

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Pensions and Other Postretirement Benefits (Details) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
Net Periodic Benefit Cost
Service cost	$ 0	$ 0
Interest cost	24	35
Expected return on plan assets	(5)	(16)
Recognized actuarial loss	12	11
Net periodic benefit cost	$ 31	$ 30

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Commitments and Contingencies (Details Textual) - USD ($) $ in Thousands		3 Months Ended
	Oct. 15, 2015	Sep. 30, 2015
Loss Contingencies [Line Items]
Term of Termination CEO Resigns With in Period of Change of Control		3 years
Term of Termination CEO is Terminated by Company With in Period of Change of Control		1 year
Contingent Liability for Employee Severance Payments		$ 2,060
Share-based Compensation Arrangement by Share-based Payment Award, Options, Forfeitures in Period		20,500
Restricted Stock [Member]
Loss Contingencies [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Options, Forfeitures in Period		120,000
Board of Directors Chairman [Member] | Subsequent Event [Member] | Restricted Stock [Member]
Loss Contingencies [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Options, Forfeitures in Period	120,000
Chief Executive Officer [Member]
Loss Contingencies [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Options, Forfeitures in Period		120,000
Chief Executive Officer [Member] | Subsequent Event [Member]
Loss Contingencies [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Options, Forfeitures in Period	120,000
Chief Executive Officer [Member] | Subsequent Event [Member] | Restricted Stock [Member]
Loss Contingencies [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Options, Forfeitures in Period	120,000
Minimum [Member]
Loss Contingencies [Line Items]
Terminated Employees Severance Compensation Period		6 months
Maximum [Member]
Loss Contingencies [Line Items]
Terminated Employees Severance Compensation Period		12 months

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Basic and Diluted Net Income per Share (Tables)

3 Months Ended

Sep. 30, 2015

Earnings Per Share [Abstract]

Schedule of Earnings Per Share, Basic and Diluted

The following table presents a reconciliation of the numerators and denominators of basic and diluted net income per share for the periods indicated:

	Three Months Ended
	September 30,
	2015		2014
Basic and diluted EPS calculation:
Net income	$	3,207	$	387
Basic weighted average number of shares outstanding		9,112,891		8,989,751
Effect of dilutive securities:
Employee stock options		-		8,722
Restricted shares		63,821		116,892
Diluted weighted average number of shares outstanding		9,176,712		9,115,365
Basic EPS	$	0.35	$	0.04
Diluted EPS	$	0.35	$	0.04

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Dividends (Tables)

3 Months Ended

Sep. 30, 2015

Dividends [Abstract]

Summary of Dividend Activity

During the three months ended September 30, 2015, our Board of Directors approved a quarterly cash dividend as follows:

			Dividends Declared
Record Date	Payment Date	Type	Per Share		Total
September 15, 2015	September 29, 2015	Quarterly	$	0.12	$	1,146

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Segment Information

3 Months Ended

Sep. 30, 2015

Segments, Geographical Areas [Abstract]

Segment Information

13. Segment Information

We operate in two segments, products and services, as disclosed within our consolidated statements of operations. We evaluate segment results using revenues and gross margin as the performance measures. Such information is shown on the face of the accompanying consolidated statements of operations. We do not identify assets on a segment basis. We attribute revenues to individual countries and geographic areas based upon location of our customers and long-lived assets based upon location of the assets. As presented below, long-lived assets exclude intangible assets, net.

A summary of our revenue and long-lived assets by geographic area is as follows:

	Three Months Ended
	September 30,
	2015		2014
United States	$	8,607	$	10,880
Canada		1,116		903
Total North America		9,723		11,783
Japan		2,097		1,863
Other Asia-Pacific		301		218
Total Asia-Pacific		2,398		2,081
Europe		1,224		3,673
South America		6		3
Total revenue	$	13,351	$	17,540

	September 30,		June 30,
	2015		2015
Long-lived assets:
United States	$	16,246	$	15,229
Europe		282		301
Japan		699		691
Other Asia-Pacific		20		23
Total long-lived assets	$	17,247	$	16,244