XML 35 R21.htm IDEA: XBRL DOCUMENT
v3.7.0.1

Summary of Significant Accounting Policies (Tables) | 12 Months Ended
--- | ---
Jun. 30, 2017
Accounting Policies [Abstract] |
Schedule of Revision of Previously Issued Financial Statements for Correction of Immaterial Errors | The following tables summarize the impact and financial statement line items affected by the revisions:
| As of June 30, 2016 (in thousands)
Consolidated Balance Sheet: | As Reported |  | Adjustments |  | As Revised
Current deferred income tax asset | $ | 2,776 |  |  | $ | (516 | ) |  | $ | 2,260 |
Prepaid expenses and deposits | 5,082 |  |  | 1,219 |  |  | 6,301 |
Total current assets | 42,409 |  |  | 703 |  |  | 43,112 |
Long-term deferred income tax asset | 1,130 |  |  | (107 | ) |  | 1,023 |
Total assets | 50,259 |  |  | 596 |  |  | 50,855 |
Income tax payable | 1,206 |  |  | 2,078 |  |  | 3,284 |
Total current liabilities | 28,550 |  |  | 2,078 |  |  | 30,628 |
Total liabilities | 38,128 |  |  | 2,078 |  |  | 40,206 |
Additional paid-in capital | 120,150 |  |  | (908 | ) |  | 119,242 |
Accumulated deficit | (108,076 | ) |  | (524 | ) |  | (108,600 | )
Accumulated other comprehensive income (loss) | 43 |  |  | (50 | ) |  | (7 | )
Total stockholders’ equity | 12,131 |  |  | (1,482 | ) |  | 10,649 |
Total liabilities and stockholders' equity | 50,259 |  |  | 596 |  |  | 50,855 |
| For the year ended June 30, 2016 (in thousands, except per share data)
Statement of Operations and Comprehensive Income: | As Reported |  | Adjustments |  | As Revised
Income tax expense | $ | (2,665 | ) |  | $ | 87 |  |  | $ | (2,578 | )
Net income | 6,019 |  |  | 87 |  |  | 6,106 |
Net income per share: |  |  |  |  |
Basic | 0.44 |  |  |  |  | 0.44 |
Diluted | 0.41 |  |  |  |  | 0.42 |
Foreign currency translation adjustment | 294 |  |  | (50 | ) |  | 244 |
Other comprehensive income (loss), net of tax: | 294 |  |  | (50 | ) |  | 244 |
Comprehensive income | 6,313 |  |  | 37 |  |  | 6,350 |
| For the year ended June 30, 2015 (in thousands, except per share data)
Statement of Operations and Comprehensive Income: | As Reported |  | Adjustments |  | As Revised
Income tax expense | $ | (3,666 | ) |  | $ | 138 |  |  | $ | (3,528 | )
Net income | 6,987 |  |  | $ | 138 |  |  | $ | 7,125 |
Net income per share: |  |  |  |  |
Basic | 0.50 |  |  |  |  | $ | 0.51 |
Diluted | 0.49 |  |  |  |  | $ | 0.50 |
Comprehensive income | 6,852 |  |  | $ | 138 |  |  | $ | 6,990 |
| Statements of Stockholders' Equity
| Common Stock |  | Additional Paid-In Capital |  | Accumulated Deficit |  | Accumulated Other Comprehensive Income (Loss) |  | Total
(In thousands) | Shares |  | Amount |
Balances, June 30, 2014, as reported | 14,601 |  |  | $ | 15 |  |  | $ | 115,331 |  |  | $ | (111,240 | ) |  | $ | (116 | ) |  | $ | 3,990 |
Adjustments | — |  |  | — |  |  | (908 | ) |  | (749 | ) |  | — |  |  | (1,657 | )
Balances, June 30, 2014, as revised | 14,601 |  |  | $ | 15 |  |  | $ | 114,423 |  |  | $ | (111,989 | ) |  | $ | (116 | ) |  | $ | 2,333 |
Balances, June 30, 2015, as reported | 13,958 |  |  | $ | 14 |  |  | $ | 117,657 |  |  | $ | (114,095 | ) |  | $ | (251 | ) |  | $ | 3,325 |
Adjustments | — |  |  | — |  |  | (908 | ) |  | (611 | ) |  | — |  |  | (1,519 | )
Balances, June 30, 2015, as revised | 13,958 |  |  | $ | 14 |  |  | $ | 116,749 |  |  | $ | (114,706 | ) |  | $ | (251 | ) |  | $ | 1,806 |
Balances, June 30, 2016, as reported | 14,028 |  |  | $ | 14 |  |  | $ | 120,150 |  |  | $ | (108,076 | ) |  | $ | 43 |  |  | $ | 12,131 |
Adjustments | — |  |  | — |  |  | (908 | ) |  | (524 | ) |  | (50 | ) |  | (1,482 | )
Balances, June 30, 2016, as revised | 14,028 |  |  | $ | 14 |  |  | $ | 119,242 |  |  | $ | (108,600 | ) |  | $ | (7 | ) |  | $ | 10,649 |
| For the year ended June 30, 2016 (in thousands)
Consolidated Statement of Cash Flows | As Reported |  | Adjustments |  | As Revised
Cash Flows from Operating Activities: |  |  |  |  |
Net income | $ | 6,019 |  |  | $ | 87 |  |  | $ | 6,106 |
Deferred income tax | (2,491 | ) |  | 373 |  |  | (2,118 | )
Prepaid expenses and deposits | 392 |  |  | (748 | ) |  | (356 | )
Income tax payable | 1,143 |  |  | 338 |  |  | 1,481 |
Net Cash Provided by Operating Activities | 5,986 |  |  | 50 |  |  | 6,036 |
Foreign Currency Effect on cash | 251 |  |  | (50 | ) |  | 201 |
Increase (decrease) in cash and cash equivalents | (6,022 | ) |  | — |  |  | (6,022 | )
| For the year ended June 30, 2015 (in thousands)
| As Reported |  | Adjustments |  | As Revised
Cash Flows from Operating Activities: |  |  |  |  |
Net income | $ | 6,987 |  |  | $ | 138 |  |  | $ | 7,125 |
Deferred income tax | 91 |  |  | (887 | ) |  | (796 | )
Prepaid expenses and deposits | 1,486 |  |  | (217 | ) |  | 1,269 |
Income tax payable | — |  |  | 966 |  |  | 966 |
Net Cash Provided by Operating Activities | 13,221 |  |  | — |  |  | 13,221 |
Increase (decrease) in cash and cash equivalents | (6,482 | ) |  | — |  |  | (6,482 | )
Components of inventory | As of June 30, 2017 and 2016, inventory consisted of (in thousands):
| June 30,
| 2017 |  | 2016
Finished goods | $ | 7,817 |  |  | $ | 14,852 |
Raw materials | 8,758 |  |  | 10,264 |
Total inventory | $ | 16,575 |  |  | $ | 25,116 |
Property and equipment | Property and equipment are recorded at cost and depreciated using the straight-line method over the following useful lives:
| Years
Equipment (includes computer hardware and software) | 3
Furniture and fixtures | 5
Vehicles | 5
Property and equipment, net consist of (in thousands):
| June 30,
| 2017 |  | 2016
Equipment (includes computer hardware and software) | $ | 7,420 |  |  | $ | 6,402 |
Furniture and fixtures | 1,536 |  |  | 1,485 |
Leasehold improvements | 3,421 |  |  | 3,497 |
Vehicles | 51 |  |  | 51 |
Accumulated depreciation | (9,301 | ) |  | (7,979 | )
Total property and equipment, net | $ | 3,127 |  |  | $ | 3,456 |
Reconciliation of earnings per share and the weighted-average common shares outstanding for purposes of computing basic and diluted net income per share | The following is a reconciliation of net income per share and the weighted-average common shares outstanding for purposes of computing basic and diluted net income per share (in thousands, except per share amounts):
| Years ended June 30,
| 2017 |  | 2016 |  | 2015
|  |  | (As revised) |  | (As revised)
Numerator: |  |  |  |  |
Net income | $ | 1,608 |  |  | $ | 6,106 |  |  | $ | 7,125 |
Denominator: |  |  |  |  |
Basic weighted-average common shares outstanding | 13,881 |  |  | 13,730 |  |  | 13,899 |
Effect of dilutive securities: |  |  |  |  |
Stock awards and options | 237 |  |  | 735 |  |  | 180 |
Warrants | — |  |  | 66 |  |  | 71 |
Diluted weighted-average common shares outstanding | 14,118 |  |  | 14,531 |  |  | 14,150 |
Net income per share, basic | $ | 0.12 |  |  | $ | 0.44 |  |  | $ | 0.51 |
Net income per share, diluted | $ | 0.11 |  |  | $ | 0.42 |  |  | $ | 0.50 |
Revenues from unaffiliated customers by geographic regions and significant geographic area | Revenues by geographic area are as follows (in thousands):
| Years ended June 30,
| 2017 |  | 2016 |  | 2015
Americas | $ | 150,841 |  |  | $ | 158,291 |  |  | $ | 138,118 |
Asia/Pacific & Europe | 48,648 |  |  | 48,249 |  |  | 52,218 |
Total revenues | $ | 199,489 |  |  | $ | 206,540 |  |  | $ | 190,336 |
Additional information as to the Company’s revenue from operations in the most significant geographical areas is set forth below (in thousands):
| Years ended June 30,
| 2017 |  | 2016 |  | 2015
United States | $ | 144,842 |  |  | $ | 152,830 |  |  | $ | 132,831 |
Japan | $ | 39,390 |  |  | $ | 36,343 |  |  | $ | 41,428 |
Revenues by major product line | The following table shows revenues by major product line for the years ended June 30, 2017, 2016 and 2015.
| For the years ended June 30,
| 2017 |  | 2016 |  | 2015
Protandim®product line | $ | 130,873 |  |  | 65.6 | % |  | $ | 128,019 |  |  | 62.0 | % |  | $ | 120,967 |  |  | 63.6 | %
TrueScience® product line | 24,440 |  |  | 12.3 | % |  | 32,914 |  |  | 15.9 | % |  | 38,287 |  |  | 20.1 | %
Other | 44,176 |  |  | 22.1 | % |  | 45,607 |  |  | 22.1 | % |  | 31,082 |  |  | 16.3 | %
Total | $ | 199,489 |  |  | 100.0 | % |  | $ | 206,540 |  |  | 100.0 | % |  | $ | 190,336 |  |  | 100.0 | %

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

X
- Definition Tabular disclosure of physical assets used in the normal conduct of business and not intended for resale. Includes, but is not limited to, balances by class of assets, depreciation and depletion expense and method used, including composite depreciation, and accumulated deprecation. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 360 -SubTopic 10 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=6391035&loc=d3e2868-110229 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02(13)) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682 + Details
Name: | us-gaap_PropertyPlantAndEquipmentTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of an entity's basic and diluted earnings per share calculations, including a reconciliation of numerators and denominators of the basic and diluted per-share computations for income from continuing operations. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 260 -SubTopic 10 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=6371337&loc=d3e3550-109257 + Details
Name: | us-gaap_ScheduleOfEarningsPerShareBasicAndDilutedTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of entity-wide revenues from external customers for each product or service or each group of similar products or services if the information is not provided as part of the reportable operating segment information. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 40 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e9031-108599 + Details
Name: | us-gaap_ScheduleOfEntityWideInformationRevenueFromExternalCustomersByProductsAndServicesTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of prior period adjustments to previously issued financial statements including (1) the effect of the correction on each financial statement line item and any per-share amounts affected for each prior period presented (2) the cumulative effect of the change on retained earnings or other appropriate components of equity or net assets in the statement of financial position, as of the beginning of the earliest period presented, and (3) the effect of the prior period adjustments (both gross and net of applicable income tax) on the net income of each prior period presented in the entity's annual report for the year in which the adjustments are made. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 250 -SubTopic 10 -Section 50 -Paragraph 9 -URI http://asc.fasb.org/extlink&oid=64853466&loc=d3e22663-107794 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 250 -SubTopic 10 -Section 50 -Paragraph 7 -URI http://asc.fasb.org/extlink&oid=64853466&loc=d3e22644-107794 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 250 -SubTopic 10 -Section 50 -Paragraph 8 -URI http://asc.fasb.org/extlink&oid=64853466&loc=d3e22658-107794 + Details
Name: | us-gaap_ScheduleOfErrorCorrectionsAndPriorPeriodAdjustmentsTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of the carrying amount as of the balance sheet date of merchandise, goods, commodities, or supplies held for future sale or to be used in manufacturing, servicing or production process. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02(6)(b)) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02(6)(a)) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=6361739&loc=d3e7789-107766 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02(6)(c)) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682 + Details
Name: | us-gaap_ScheduleOfInventoryCurrentTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of information concerning material long-lived assets (excluding financial instruments, customer relationships with financial institutions, mortgage and other servicing rights, deferred policy acquisition costs, and deferred taxes assets) located in identified geographic areas and/or the amount of revenue from external customers attributed to that country from which revenue is material. An entity may also provide subtotals of geographic information about groups of countries. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 225 -SubTopic 10 -Section S99 -Paragraph 2 -Subparagraph (SX 210.5-03.1) -URI http://asc.fasb.org/extlink&oid=63488584&loc=d3e20235-122688 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 41 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e9038-108599 + Details
Name: | us-gaap_ScheduleOfRevenuesFromExternalCustomersAndLongLivedAssetsByGeographicalAreasTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration