17. Quarterly Results of Operations (Unaudited)

12 Months Ended

Mar. 31, 2013

Quarterly Financial Information [Text Block]

Quarterly Financial Information [Text Block]

17.                   Quarterly Results of Operations (Unaudited)

  Quarterly consolidated data for the years ended March 31, 2013 and 2012 is as follows:

FY 2013	June 30			September 30			December 31			March 31
Net sales	$	1,177,288		$	2,394,950		$	2,350,020		$	1,905,000
Gross margin		283,694			602,423			453,368			(378,263	)	(2)
Loss before taxes		(832,344	)		(878,276	)		(848,965	)		(1,756,566	)
Net loss		(668,800	)		(429,705	)		(545,177	)		(1,128,889	)
Basic loss per share		(0.25	)		(0.16	)		(0.19	)		(0.38	)
Diluted loss per share		(0.25	)		(0.16	)		(0.19	)		(0.38	)

	Quarter Ended
FY 2012	June 30			September 30		December 31		March 31
	(restated)
Net sales	$	3,990,211		$	3,674,354	$	3,673,235	$	5,170,878
Gross margin		1,861,631			1,483,227		1,445,379		1,650,205
Income before taxes		202,138			105,220		75,142		44,235
Net income (loss) (1)		(80,795	)		103,316		97,431		(48,936	)
Basic income (loss) per share (1)		(0.03	)		0.04		0.04		(0.02	)
Diluted income (loss) per share (1)		(0.03	)		0.04		0.04		(0.02	)

(1) The state and local deferred tax provision was increased for the year ended March 31, 2012 as a result of a change in New Jersey tax law which, in substance, lowered the New Jersey tax rate, which resulted in lowering the carrying value of the New Jersey net deferred tax assets and net income by $394,604 and $256,644, respectively. The New Jersey tax law change was effective for the first quarter of fiscal year 2012, ending June 30, 2011. As such, the above table has reflected the adjustment to net income in the first quarter of fiscal year 2012. Such adjustment to net income also lowered the basic and diluted income (loss) per share to ($0.03) from $0.07 and $0.06, respectively. The change has also been reported on Form 8-K. The Company did not lose any future benefit, and the result is such that the Company will have lower NJ tax expense in the future.

(2) During the fourth quarter of fiscal 2013, the Company recorded a write down of inventory of approximately of $180,000 related to book to physical adjustments, approximately $200,000 of additional third party costs related to vendor services,  manufacturing variances, and incurred charges related to temporarily curtailing production in order to enhance quality procedures in its production process.