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SEGMENTS AND CONCENTRATIONS | 12 Months Ended
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Sep. 30, 2021
Segment Reporting [Abstract] |
SEGMENTS AND CONCENTRATIONS | NOTE 16 SEGMENTS AND CONCENTRATIONS Segments The Company has three reportable segments: OEM distribution, retail distribution and design. See Note 2 for more information on the composition and accounting policies of our reportable segments. Our chief operating decision maker (“CODM”) regularly reviews revenue and operating income for each segment to assess financial results and allocate resources. In Fiscal 2021, due to the growth of our retail division, we determined it to be a separate reportable segment. For our OEM and retail distribution segments, we exclude general and administrative and general corporate expenses from their measure of profitability as these expenses are not allocated to the segments and therefore not included in the measure of profitability used by the CODM. For the design segment, general and administrative expenses directly attributable to that segment are included in its measure of profitability as these expenses are included in the measure of its profitability reviewed by the CODM. We do not include intercompany activity in our segment results shown below to be consistent with the information that is presented to the CODM. Segment assets consist of accounts receivable and inventory, which are regularly reviewed by the CODM, as well as goodwill and intangible assets resulting from design segment acquisitions. The Fiscal 2020 results of operations for each segment discussed below have been reformatted from what was previously disclosed to segregate the retail distribution segment and exclude general corporate expenses from segment operating income to show them as a reconciling item so that results are comparable to the current year presentation. Information by segment and related reconciliations are shown in tables below:
Segment operating income (loss) |  |  |  |  |  |  |  |
|  | Revenues |
|  | Fiscal 2021 |  |  | Fiscal 2020 |
OEM distribution |  | $ | 19,290,000 |  |  | $ | 19,726,000 |
Retail distribution |  |  | 3,183,000 |  |  |  | 1,026,000 |
Design |  |  | 16,549,000 |  |  |  | 13,726,000 |
Total segment revenues |  | $ | 39,022,000 |  |  | $ | 34,478,000 |
|  | Operating Income/(Loss) |
|  | Fiscal 2021 |  |  | Fiscal 2020 |
OEM distribution |  | $ | 1,479,000 |  |  | $ | 1,616,000 |
Retail distribution |  |  | (779,000 | ) |  |  | (337,000 | )
Design |  |  | 603,000 |  |  |  | (378,000 | )
Total segment operating income |  |  | 1,303,000 |  |  |  | 901,000 |
General corporate expenses |  |  | (2,068,000 | ) |  |  | (2,883,000 | )
Total loss from operations |  |  | (765,000 | ) |  |  | (1,982,000 | )
Other income, net |  |  | (1,289,000 | ) |  |  | (216,000 | )
Income/(loss) before income taxes |  | $ | 524,000 |  |  | $ | (1,766,000 | )
Condensed Balance Sheet |  |  |  |  |  |  |  |
|  | Depreciation and Amortization |
|  | Fiscal 2021 |  |  | Fiscal 2020 |
OEM distribution |  | $ | 7,000 |  |  | $ | 7,000 |
Retail distribution |  |  | 1,000 |  |  |  | – |
Design |  |  | 319,000 |  |  |  | 265,000 |
Total |  | $ | 327,000 |  |  | $ | 272,000 |
|  | Segment Assets |
|  | September 30, |
|  | 2021 |  |  | 2020 |
OEM distribution |  | $ | 5,898,000 |  |  | $ | 5,103,000 |
Retail distribution |  |  | 2,178,000 |  |  |  | 416,000 |
Design |  |  | 5,824,000 |  |  |  | 6,649,000 |
Total segment assets |  |  | 13,900,000 |  |  |  | 12,168,000 |
General corporate assets |  |  | 5,956,000 |  |  |  | 7,188,000 |
Total assets |  | $ | 19,856,000 |  |  | $ | 19,356,000 |
Geographic Concentrations The Company’s long-lived assets consist of property and equipment and operating lease right of use assets, all of which are located in the United States. The following table sets forth our consolidated net revenues by country for Fiscal 2021 and Fiscal 2020:
Revenues from External Customers |  |  |  |  |  |  |  |
|  | Revenues |
|  | Fiscal 2021 |  |  | Fiscal 2020 |
United States |  | $ | 25,670,000 |  |  | $ | 21,017,000 |
China |  |  | 5,640,000 |  |  |  | 5,093,000 |
Germany |  |  | 2,787,000 |  |  |  | 3,375,000 |
Poland |  |  | 3,111,000 |  |  |  | 2,675,000 |
Other foreign countries |  |  | 1,814,000 |  |  |  | 2,318,000 |
Total |  | $ | 39,022,000 |  |  | $ | 34,478,000 |
Customer Concentrations In Fiscal 2021 and Fiscal 2020, the Company had significant customers in the OEM distribution segment whose individual percentage of the Company’s consolidated revenues and accounts receivable was 10% or greater. The following customers or their affiliates or contract manufacturers accounted for 10% or more of the Company’s consolidated net revenues for Fiscal 2021 and Fiscal 2020:
Schedule of concentration percentages |  |  |  |  |  |  |  |
|  | Fiscal 2021 |  |  | Fiscal 2020 |
Customer A |  | $ | 5,343,000 |  |  | $ | 6,145,000 |
Customer B |  |  | 3,913,000 |  |  |  | 3,448,000 |
Customer C |  |  | 5,111,000 |  |  |  | 4,912,000 |
The following customers or their affiliates or contract manufacturers accounted for 10% or more of the Company’s consolidated accounts receivable at September 30, 2021 and 2020:
|  | September 30, |
|  | 2021 |  |  | 2020 |
Customer A |  | $ | 1,454,000 |  |  | $ | 977,000 |
Customer B |  |  | 1,259,000 |  |  |  | 966,000 |
Customer C |  |  | 1,138,000 |  |  |  | 843,000 |
Supplier Concentration The Company’s OEM and retail distribution segments procure substantially all their products through independent suppliers in China through Forward China. Depending on the product, Forward China may require several different suppliers to furnish component parts or pieces.

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- Definition The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 31 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8924-108599 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 34 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8981-108599 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 21 -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8721-108599 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 40 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e9031-108599 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (f) -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8933-108599 Reference 6: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (e) -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8933-108599 Reference 7: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 26 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8844-108599 Reference 8: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 41 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e9038-108599 Reference 9: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (d) -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8933-108599 Reference 10: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 22 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8736-108599 Reference 11: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 42 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e9054-108599 Reference 12: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 15 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8657-108599 Reference 13: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 21 -Subparagraph (b) -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8721-108599 Reference 14: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -URI http://asc.fasb.org/topic&trid=2134510 + Details
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