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Note 4 - Revenue Disaggregation
 9 Months Ended
Sep. 30, 2020
Notes to Financial Statements  
Revenue from Contract with Customer [Text Block]
NOTE
4:
     REVENUE DISAGGREGATION
 
The following table represents a disaggregation of revenue for the
three
and
nine
months ended
September 30, 2020
and
2019
(in thousands):
 
   
Three Months Ending September 30, 2020
  
                         
   
Over time
    
Point in time
    
Total
  
Aerospace
   $
181
     $
1,252
     $
1,433
  
Industrial
   $
217
     $
1,451
     $
1,668
  
Research
   $
571
     $
321
     $
892
  
Total
   $
969
     $
3,024
     $
3,993
  
 
 
   
Three Months ending
September
30, 2019
  
                         
   
Over time
    
Point in time
    
Total
  
Aerospace
   $
1,080
     $
1,426
     $
2,506
  
Industrial
   $
476
     $
1,387
     $
1,863
  
Research
   $
493
     $
843
     $
1,336
  
Total
   $
2,049
     $
3,656
     $
5,705
  
 
 
   
Nine
Months Ending
September
30, 2020
  
                         
   
Over time
    
Point in time
    
Total
  
Aerospace
   $
1,502
     $
5,246
     $
6,748
  
Industrial
   $
741
     $
2,592
     $
3,333
  
Research
   $
2,566
     $
1,101
     $
3,667
  
Total
   $
4,809
     $
8,939
     $
13,748
  
 
 
   
Nine
Months ending
September
30, 2019
  
                         
   
Over time
    
Point in time
    
Total
  
Aerospace
   $
1,880
     $
2,529
     $
4,409
  
Industrial
   $
1,741
     $
3,989
     $
5,730
  
Research
   $
1,685
     $
2,276
     $
3,961
  
Total
   $
5,306
     $
8,794
     $
14,100
  
 
The Company has unrecognized contract revenue of approximately
$2.7
million at
September 30, 2020,
which it expects to recognize as revenue within the next
twelve
months.
 
Judgment is required to evaluate assumptions including the amount of net contract revenues and the total estimated costs to determine our progress towards contract completion and to calculate the corresponding amount of revenue to recognize.
 
Changes in estimates for sales of systems occur for a variety of reasons, including but
not
limited to (i) build accelerations or delays, (ii) product cost forecast changes, (iii) cost related change orders or add-ons, or (iv) changes in other information used to estimate costs. Changes in estimates
may
have a material effect on the Company's consolidated statements of operations.
 
Contract Assets and Liabilities
 
Contract assets consist of (i) retainage which represent the earned, but unbilled, portion for which payment is deferred by the customer until certain contractual milestones are met; and (ii) unbilled receivables which represent revenue that has been recognized in advance of billing the customer, which is common for long-term contracts. Contract liabilities consist of customer advances and billings in excess of revenue recognized.
 
During the
nine
months ended
September 30, 2020
and
2019,
the increase in contract assets of approximately
$.5
million and
$1.2
million, respectively, was the result of work performed in excess of billings which are based upon project milestones. During the
nine
months ended
September 30, 2020
and
2019,
the decrease in contract liabilities of (
$.8
million) and (
$.4
million), respectively, was primarily due to timing of invoicing for those projects.