Note 18 - Segment Information

9 Months Ended

Jun. 30, 2020

Notes to Financial Statements

Segment Reporting Disclosure [Text Block]

1

8

.

SEGMENT INFORMATION

The Company is engaged in the design, development and commercialization of directed and multidirectional sound technologies, voice broadcast products and location-based mass messaging solutions for emergency warning and workforce management. The Company operates in

two

business segments: Hardware and Software and its principle markets are North and South America, Europe, Middle East and Asia. As reviewed by the Company's chief operating decision maker, the Company evaluates the performance of each segment based on sales and operating income. Cash and cash equivalents, marketable securities, accounts receivable, inventory, property and equipment, deferred tax assets, goodwill and intangible assets are primary assets identified by segment. The accounting policies for segment reporting are the same for the Company as a whole and transactions between the

two

operating segments are

not

material.

The following table presents the Company's segment disclosures:

	Three months ended June 30,					Nine months ended June 30,
	2020			2019		2020			2019
Revenue from external customers
Hardware	$	11,604,345		$	8,302,811	$	27,832,550		$	27,606,026
Software		366,751			560,915		1,197,021			1,626,950
	$	11,971,096		$	8,863,726	$	29,029,571		$	29,232,976
Intercompany revenues
Hardware	$	-		$	-	$	-		$	-
Software		552,433			257,302		1,381,335			724,271
	$	552,433		$	257,302	$	1,381,335		$	724,271
Segment operating income (loss)
Hardware	$	1,971,174		$	660,106	$	3,047,418		$	3,245,060
Software		(29,992	)		26,355		(80,838	)		166,662
	$	1,941,182		$	686,461	$	2,966,580		$	3,411,722
Other expenses:
Depreciation and amortization expense
Hardware	$	127,166		$	149,331	$	386,641		$	392,296
Software		77,864			76,350		233,419			231,021
	$	205,030		$	225,681	$	620,060		$	623,317
Income tax expense
Hardware	$	473,332		$	118,310	$	742,490		$	675,457
Software		-			-		-			-
	$	473,332		$	118,310	$	742,490		$	675,457

	June 30, 2020		September 30, 2019
Long-lived assets
Hardware	$	1,982,351	$	2,283,344
Software		3,354,692		3,467,546
	$	5,337,043	$	5,750,890
Total assets
Hardware	$	54,070,323	$	42,470,356
Software		4,953,721		4,649,627
	$	59,024,044	$	47,119,983