Information About Major Customers

12 Months Ended

Jun. 30, 2015

Information About Major Customers [Abstract]

Information About Major Customers

5.Information About Major Customers

The Company’s sales efforts are led by account managers who develop a close consultative selling relationship with the Company’s customers.  The Company’s principal customers have historically been automotive manufacturing companies that the Company either sells to directly or through manufacturing line builders, system integrators or original equipment manufacturers.  The Company’s products are typically purchased for installation in connection with retooling programs undertaken by these companies.  Because sales are dependent on the timing of customers’ retooling programs, sales by customer vary significantly from year to year, as do the Company’s largest customers. 

For the fiscal years 2015, 2014 and 2013, approximately 40%,  43% and 46%, respectively, of net sales were derived from the Company’s four largest automotive end user customers.  The Company also sells to manufacturing line builders, system integrators or assembly equipment manufacturers, who in turn sell to the Company’s automotive customers.  For the fiscal years 2015, 2014 and 2013, approximately 10%, 16% and 7%, respectively, of net sales were to manufacturing line builders, system integrators and original equipment manufacturers for the benefit of the same four largest automotive end user customers in each respective year.  During the fiscal year ended June 30, 2015, direct sales to Volkswagen Group accounted for approximately 20% of the Company’s total net sales and General Motors Company accounted for approximately 12% of the Company’s total net sales.  At June 30, 2015, accounts receivable from Volkswagen Group totaled approximately $6.5 million and accounts receivable from General Motors Company totaled approximately $2.2 million.