XML 19 R8.htm IDEA: XBRL DOCUMENT
v3.20.2

Note 1 - Basis of Presentation | 9 Months Ended
--- | ---
Sep. 26, 2020
Notes to Financial Statements |
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block] |
1. | Basis of Presentation
The accompanying condensed consolidated interim financial statements of RCM Technologies, Inc. and subsidiaries (“RCM” or the “Company”) are unaudited. The year-end consolidated balance sheet was derived from audited statements but does not include all disclosures required by accounting principles generally accepted in the United States. These statements have been prepared in accordance with the rules and regulations of the Securities and Exchange Commission pertaining to reports on Form 10 -Q and should be read in conjunction with the Company's condensed consolidated financial statements and the notes thereto for the year ended December 28, 2019 included in the Company's Annual Report Form 10 -K for such period. Certain information and footnote disclosures normally included in financial statements prepared in accordance with generally accepted accounting principles have been condensed or omitted pursuant to such rules and regulations. The condensed consolidated financial statements for the unaudited interim periods presented include all adjustments (consisting only of normal, recurring adjustments) necessary for a fair presentation of financial position, results of operations and cash flows for such interim periods. Results for the thirteen and thirty-nine week periods ended September 26, 2020 are not necessarily indicative of results that may be expected for the full year. Fiscal Year The Company follows a 52/53 week fiscal reporting calendar ending on the Saturday closest to December 31. The fiscal year ended December 28, 2019 ( fiscal 2019 ) was a 52 -week reporting year. The current fiscal year ending January 2, 2021 ( fiscal 2020 ) is a 53 -week reporting year. The fiscal quarters for the current year (fiscal 2020 ) and the prior year (fiscal 2019 ) align as follows:
Fiscal 2020 Quarters | Weeks | Fiscal 2019 Quarters | Weeks
March 28, 2020 | Thirteen | March 30, 2019 | Thirteen
June 27, 2020 | Thirteen | June 29, 2019 | Thirteen
September 26, 2020 | Thirteen | September 28, 2019 | Thirteen
January 2, 2021 | Fourteen | December 28, 2019 | Thirteen
Current Liquidity and Revolving Credit Facility Liquidity is a measure of our ability to meet potential cash requirements, maintain our assets, fund our operations, and meet the other general cash needs of our business. Our liquidity is impacted by general economic, financial, competitive, and other factors beyond our control. Our liquidity requirements consist primarily of funds necessary to pay our expenses, principally labor-costs, and other related expenditures. We generally satisfy our liquidity needs through cash provided by operations and, when necessary, our revolving line of credit from Citizens Bank. The Company expects to have positive cash flow over at least the next two quarters and has a great deal of flexibility to reduce its costs if it becomes necessary. The Company believes that it can satisfy its liquidity needs for at least the next twelve months. The Company's liquidity and capital resources as of September 26, 2020, included accounts receivable and total current asset balances of $33.0 million and $36.1 million, respectively. Current liabilities were $19.9 million as of September 26, 2020, $16.2 million less than total current assets. The Company experiences volatility in its daily cash flow and, at times, relies on the revolving line of credit to provide daily liquidity for the Company's financial operations. As of September 26, 2020, the Company was in compliance with all financial covenants contained in the Revolving Credit Facility. The Company believes that it will maintain compliance with its financial covenants for the foreseeable future.

X
- References No definition available. + Details
Name: | us-gaap_DisclosureTextBlockAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for organization, consolidation and basis of presentation of financial statements disclosure. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 205 -URI http://asc.fasb.org/topic&trid=2122149 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 810 -URI http://asc.fasb.org/topic&trid=2197479 + Details
Name: | us-gaap_OrganizationConsolidationAndPresentationOfFinancialStatementsDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration