XML 29 R19.htm IDEA: XBRL DOCUMENT
v3.8.0.1

Supporting Financial Information (Tables) | 6 Months Ended
--- | ---
Mar. 31, 2018
Organization, Consolidation and Presentation of Financial Statements [Abstract] |
Schedule of Accounts Receivable | Accounts receivable
|  |  | (in thousands)
|  |  | March 31, |  | September 30,
| Ref |  | 2018 |  | 2017
Billed receivables |  |  | $ | 11,989 |  |  | $ | 11,862 |
Unbilled receivables |  |  | 349 |  |  | 49 |
Total accounts receivable |  |  | 12,338 |  |  | 11,911 |
Less: Allowance for doubtful accounts | (a) |  | — |  |  | — |
Accounts receivable, net |  |  | $ | 12,338 |  |  | $ | 11,911 |
Ref (a): Accounts receivable are non-interest bearing, unsecured and carried at net realizable value. We evaluate our receivables on a quarterly basis and determine whether an allowance is appropriate based on specific collection issues. No allowance for doubtful accounts was deemed necessary at both March 31, 2018 and September 30, 2017.
Schedule of Other Current Assets | Other current assets
|  |  | (in thousands)
|  |  | March 31, |  | September 30,
| Ref |  | 2018 |  | 2017
Prepaid insurance and benefits |  |  | $ | 605 |  |  | $ | 240 |
Other receivables and prepaid expenses |  |  | 340 |  |  | 358 |
Other current assets |  |  | $ | 945 |  |  | $ | 598 |
Schedule of Equipment and Improvements, Net | Equipment and improvements, net
|  |  | (in thousands)
|  |  | March 31, |  | September 30,
| Ref |  | 2018 |  | 2017
Furniture and equipment |  |  | $ | 326 |  |  | $ | 331 |
Computer equipment |  |  | 810 |  |  | 715 |
Computer software | (a) |  | 1,607 |  |  | 1,108 |
Leasehold improvements |  |  | 66 |  |  | 66 |
Total fixed assets |  |  | 2,809 |  |  | 2,220 |
Less accumulated depreciation and amortization |  |  | (1,014 | ) |  | (829 | )
Equipment and improvements, net | (b) |  | $ | 1,795 |  |  | $ | 1,391 |
Ref (a): The Company implemented a new Enterprise Resource Planning system on January 1, 2018. Capitalized costs include $1.2 million and $0.7 million as of March 31, 2018 and September 30, 2017, respectively, of software licenses and implementation labor related to application development. The asset was placed in service effective as of January 1, 2018 with an estimated useful life of 5 years. Ref (b): Equipment and improvements are stated at cost. Depreciation and amortization are provided using the straight-line method over the estimated useful asset lives (3 to 7 years) and the shorter of the initial lease term or estimated useful life for leasehold improvements. Maintenance and repair costs are expensed as incurred. Depreciation of equipment was $119 thousand and $85 thousand for the three months ended March 31, 2018 and 2017 respectively and $185 thousand and $170 thousand for the six months ended March 31, 2018 and 2017 respectively.
Schedule of Goodwill and Intangibles | Goodwill and Intangibles
|  |  | (in thousands)
|  |  | as of March 31, 2018
| Ref |  | Goodwill |  | Customer Relationships (a) |  | Non Compete Agreement (a) |  | Trade Name (a) |  | Total
Gross Balance at September 30, 2017 |  |  | $ | 25,989 |  |  | $ | 16,626 |  |  | $ | 480 |  |  | $ | 517 |  |  | $ | 43,612 |
Accumulated amortization at September 30, 2017 |  |  | — |  |  | (2,355 | ) |  | (68 | ) |  | (73 | ) |  | (2,496 | )
Current period amortization |  |  | — |  |  | (831 | ) |  | (24 | ) |  | (26 | ) |  | (881 | )
Total accumulated amortization |  |  | — |  |  | (3,186 | ) |  | (92 | ) |  | (99 | ) |  | (3,377 | )
Net balance at March 31, 2018 |  |  | $ | 25,989 |  |  | $ | 13,440 |  |  | $ | 388 |  |  | $ | 418 |  |  | $ | 40,235 |
Ref (a): Intangible assets subject to amortization. The intangibles are amortized on a straight-line basis over their estimated useful lives of 10 years. Total amount of amortization expense was $0.4 million and $0.4 million for the three months ended March 31, 2018 and 2017, respectively.
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense |
Estimated amortization expense for future years: |  | (in thousands)
Year 1 |  | $ | 1,762 |
Year 2 |  | 1,762 |
Year 3 |  | 1,762 |
Year 4 |  | 1,762 |
Year 5 |  | 1,762 |
Thereafter |  | 5,436 |
|  | $ | 14,246 |
Schedule of Accounts Payable, Accrued Expenses, and Other Current Liabilities | Accounts payable, accrued expenses and other current liabilities
|  |  | (in thousands)
|  |  | March 31, |  | September 30,
| Ref |  | 2018 |  | 2017
Accounts payable |  |  | $ | 4,914 |  |  | $ | 5,205 |
Accrued benefits |  |  | 1,857 |  |  | 1,831 |
Accrued bonus and incentive compensation |  |  | 1,029 |  |  | 1,544 |
Accrued workers compensation insurance |  |  | 1,626 |  |  | 1,598 |
Other accrued expenses |  |  | 510 |  |  | 717 |
Accounts payable, accrued expenses, and other current liabilities |  |  | $ | 9,936 |  |  | $ | 10,895 |
Schedule of Debt Obligations | Debt obligations
|  |  | (in thousands)
|  |  | March 31, | September 30,
| Ref |  | 2018 |  | 2017
Bank term loan | (a) |  | $ | 14,896 |  |  | $ | 19,688 |
Less unamortized debt issuance costs |  |  | (823 | ) |  | (961 | )
Net bank debt obligation |  |  | 14,073 |  |  | 18,727 |
Less current portion of bank debt obligations |  |  | (3,622 | ) |  | (6,518 | )
Long term portion of bank debt obligation |  |  | $ | 10,451 |  |  | $ | 12,209 |
Ref (a): Maturity of the bank debt obligation as follows, in thousands: |  |
Year 1 |  | $ | 3,750 |
Year 2 |  | 3,750 |
Year 3 |  | 3,750 |
Year 4 |  | 3,646 |
Total bank debt obligation |  | $ | 14,896 |
Schedule of Interest Income (Expense) | Interest expense
|  |  | (in thousands) |  | (in thousands)
|  |  | Three Months Ended |  | Six Months Ended
|  |  | March 31, |  | March 31,
| Ref |  | 2018 |  | 2017 |  | 2018 |  | 2017
Interest expense | (a) |  | $ | (208 | ) |  | $ | (215 | ) |  | $ | (427 | ) |  | $ | (440 | )
Amortization of debt financing costs as interest expense | (b) |  | (67 | ) |  | (67 | ) |  | (132 | ) |  | (127 | )
Change in fair value of derivative financial instruments |  |  | — |  |  | 27 |  |  | — |  |  | (52 | )
Other income (expense), net |  |  | 14 |  |  |  |  |  | 20 |  |  | — |
Interest expense, net |  |  | $ | (261 | ) |  | (255 | ) |  | $ | (539 | ) |  | $ | (619 | )
Ref (a): Interest expense on borrowing Ref (b): Amortizations of expenses related to securing financing

X
- Definition Other Income (Expense) [Table Text Block] + References No definition available. + Details
Name: | dlhc_OtherIncomeExpenseTableTextBlock
Namespace Prefix: | dlhc_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- References No definition available. + Details
Name: | us-gaap_OrganizationConsolidationAndPresentationOfFinancialStatementsAbstract
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 the various types of trade accounts and notes receivable and for each the gross carrying value, allowance, and net carrying value as of the balance sheet date. Presentation is categorized by current, noncurrent and unclassified receivables. + 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 210.5-02.3,4) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682 + Details
Name: | us-gaap_ScheduleOfAccountsNotesLoansAndFinancingReceivableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of the (a) carrying value as of the balance sheet date of liabilities incurred (and for which invoices have typically been received) and payable to vendors for goods and services received that are used in an entity's business (accounts payable); (b) other payables; and (c) accrued liabilities. Examples include taxes, interest, rent and utilities. Used to reflect the current portion of the liabilities (due within one year or within the normal operating cycle if longer). An alternative caption includes accrued expenses. + References No definition available. + Details
Name: | us-gaap_ScheduleOfAccountsPayableAndAccruedLiabilitiesTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of long-debt instruments or arrangements, including identification, terms, features, collateral requirements and other information necessary to a fair presentation. These are debt arrangements that originally required repayment more than twelve months after issuance or greater than the normal operating cycle of the entity, if longer. + 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 210.5-02.22) -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 505 -SubTopic 10 -Section 50 -Paragraph 3 -URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21475-112644 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 942 -SubTopic 470 -Section 50 -Paragraph 3 -URI http://asc.fasb.org/extlink&oid=6479336&loc=d3e64711-112823 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 235 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.4-08.(e),(f)) -URI http://asc.fasb.org/extlink&oid=26873400&loc=d3e23780-122690 Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 835 -SubTopic 30 -Section 55 -Paragraph 8 -URI http://asc.fasb.org/extlink&oid=64930739&loc=d3e28878-108400 Reference 6: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 10 -Section 50 -Paragraph 8 -URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21538-112644 Reference 7: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 10 -Section 50 -Paragraph 6 -URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21506-112644 Reference 8: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 835 -SubTopic 30 -Section 45 -Paragraph 1A -URI http://asc.fasb.org/extlink&oid=64930785&loc=d3e28541-108399 Reference 9: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 835 -SubTopic 30 -Section 45 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=64930785&loc=d3e28551-108399 Reference 10: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 10 -Section 50 -Paragraph 7 -URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21521-112644 + Details
Name: | us-gaap_ScheduleOfDebtInstrumentsTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of goodwill and intangible assets, which may be broken down by segment or major class. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -SubTopic 20 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=35741047&loc=d3e13816-109267 + Details
Name: | us-gaap_ScheduleOfIntangibleAssetsAndGoodwillTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of the carrying amounts of other current assets. + References No definition available. + Details
Name: | us-gaap_ScheduleOfOtherCurrentAssetsTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of the amount of amortization expense expected to be recorded in succeeding fiscal years for finite-lived intangible assets. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -SubTopic 30 -Section 50 -Paragraph 2 -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=66006027&loc=d3e16323-109275 + Details
Name: | us-gaap_ScheduleofFiniteLivedIntangibleAssetsFutureAmortizationExpenseTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration