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Note 2 - Revenue Recognition
 12 Months Ended
Mar. 31, 2020
Notes to Financial Statements  
Revenue from Contract with Customer [Text Block]
Note
2
. Revenue Recognition
 
We design, manufacture, market, sell, and maintain quality control instruments and software, consumables, and services driven primarily by the regulatory requirements of niche markets. Our consumables, such as biological indicator test strips are typically used on a standalone basis; however, some, that are used in protein synthesis and calibration solutions, are also critical to the ongoing use of our instruments. Hardware and software sales, such as medical meters, protein synthesizers, wireless sensor systems, and data loggers are generally driven by our acquisition of new customers, growth of existing customers, or customer replacement of existing equipment. Hardware sales
may
be offered with perpetual or annual software licenses, which in some cases are required for the hardware to function. Our newly acquired division, Biopharmaceutical Development, designs, manufactures, markets, and sells instruments, such as protein synthesizers that are used to process immunoassay samples and related software designed to enhance productivity; consumable chemical solutions designed for use in testing; and on-demand and long-term service contracts to support customers use of the equipment. The division generates revenue from the same general categories as those we have identified for the rest of our business and recognizes revenue consistently with our policies. We evaluate our revenues internally by product line, timing of revenue generation, and the nature of goods and services provided. Typically, discrete revenue is recognized at the shipping point or upon completion of the service, while contracted revenue is recognized over a period of time reflective of the performance obligation period in the applicable contract. Consumables are typically used on a
one
-time basis requiring frequent replacement in our customer's operating cycle. 
 
The following tables present disaggregated revenues for the years ended
March 31, 2020
,
2019
, and
2018
:
 
   
Year Ended March 31, 2020
  
   
Sterilization and Disinfection Control
    
Instruments
    
Biopharmaceutical Development
    
Continuous Monitoring
    
Corporate and Other
    
Total
  
Discrete Revenues
                                                
Consumables   $
42,654
     $
3,197
     $
4,981
     $
43
     $
2,436
     $
53,311
  
Hardware and Software
    
551
      
25,627
      
6,015
      
7,897
      
--
      
40,090
  
Services
    
1,592
      
9,160
      
1,761
      
2,396
      
27
      
14,936
  
Contracted Revenues
                                                
Services
    
4,863
      
--
      
1,094
      
3,393
      
--
      
9,350
  
Total Revenues
   $
49,660
     $
37,984
     $
13,851
     $
13,729
     $
2,463
     $
117,687
  
 
   
Year Ended March 31, 2019
  
   
Sterilization and Disinfection Control
    
Instruments
    
Biopharmaceutical Development
    
Continuous Monitoring
    
Corporate and Other
    
Total
  
Discrete Revenues
                                                
Consumables   $
39,670
     $
3,101
     $
--
     $
388
     $
6,430
     $
49,589
  
Hardware and Software
    
580
      
24,500
      
--
      
6,987
      
142
      
32,209
  
Services
    
1,209
      
8,524
      
--
      
2,001
      
335
      
12,069
  
Contracted Revenues
                                                
Services
    
4,838
      
--
      
--
      
4,430
      
--
      
9,268
  
Total Revenues
   $
46,297
     $
36,125
     $
--
     $
13,806
     $
6,907
     $
103,135
  
 
   
Year Ended March 31, 2018
  
   
Sterilization and Disinfection Control
    
Instruments
    
Biopharmaceutical Development
    
Continuous Monitoring
    
Corporate and Other
    
Total
  
Discrete Revenues
                                                
Consumables   $
36,436
     $
3,080
     $
--
     $
261
     $
5,197
     $
44,974
  
Hardware and Software
    
925
      
23,345
      
--
      
5,051
      
91
      
29,412
  
Services
    
1,110
      
7,679
      
--
      
2,017
      
549
      
11,355
  
Contracted Revenues
                                                
Services
    
4,789
      
--
      
--
      
5,649
      
--
      
10,438
  
Total Revenues
   $
43,260
     $
34,104
     $
--
     $
12,978
     $
5,837
     $
96,179
  
 
Contract Balances
 
Our contracts have varying payment terms and conditions. Some customers prepay for services, resulting in unearned revenues or customer deposits, called contract liabilities, which are included within other accrued expenses and unearned revenues in the accompanying Consolidated Balance Sheets. Contract assets would exist when sales are recorded (i.e. the control of the goods or services has been transferred to the customer), but customer payment is contingent on a future event besides the passage of time (such as satisfaction of additional performance obligations). We do
not
have any contract assets. Unbilled receivables, which are
not
classified as contract assets, represent arrangements in which sales have been recorded prior to billing and right to payment is unconditional.
 
A summary of contract liabilities is as follows:
 
Contract liabilities balance as of March 31, 2019
   $
4,426
  
Prior year liabilities recognized in revenues during the Year Ended March 31, 2020
    
(4,741
 )
Contract liabilities added during the Year Ended March 31, 2020, net of revenues recognized
    
7,532
  
Contract liabilities balance as of March 31, 2020
   $
7,217
  
 
Unearned revenues of
$2,716
 associated with GPT are included in contract liabilities as of
March 31, 2020.
Contract liabilities primarily relate to maintenance and service contract that had an original expected duration of
12
months or less and will be recognized to revenue as time passes.