Napco Security (NSSC) 10-K/A17 May 222021 FY Annual report (amended)Financial data

Company Profile

Document And Entity Information

Document And Entity Information - USD ($)	12 Months Ended
Document And Entity Information - USD ($)	Jun. 30, 2021	Sep. 10, 2021	Dec. 31, 2020
Document And Entity Information
Document Type	10-K/A
Amendment Flag	true
Amendment Description	Napco Security Technologies, Inc. ( “Company”) is filing this Amendment No. 1 on Form 10-K/A (the “Amendment”) to amend its Annual Report on Form 10-K for the fiscal year ended June 30, 2021, originally filed with the U.S. Securities and Exchange Commission (the “SEC”) on September 13, 2021 (the “Original Report”). In filing this amendment, the Company is restating its previously issued audited financial statements for the periods contained therein to account changes to the Company’s inventory obsolescence reserve. Those previously issued financial statements should no longer be relied upon. Except as described below, all other information in, and the exhibits to, the Original Report remain unchanged. Accordingly, this Amendment should be read in conjunction with the Original Report and with our filings with the SEC made after the Original Report. This Amendment speaks as of the date of the Original Report and the Company has not updated the Original Report to reflect events occurring subsequent to the date of the Original Report.
Document Annual Report	true
Document Period End Date	Jun. 30, 2021
Entity File Number	1-10004
Entity Registrant Name	NAPCO SECURITY TECHNOLOGIES, INC
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	11-2277818
Entity Address, Address Line One	333 Bayview Avenue
Entity Address, City or Town	Amityville
Entity Address, State or Province	NY
Entity Address, Postal Zip Code	11701
City Area Code	631
Local Phone Number	842-9400
Document Fiscal Year Focus	2021
Document Fiscal Period Focus	FY
Title of 12(b) Security	Common Stock, $0.01 par value
Trading Symbol	NSSC
Security Exchange Name	NASDAQ
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filers	No
Entity Interactive Data Current	Yes
Entity Current Reporting Status	Yes
Entity Filer Category	Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Central Index Key	0000069633
Current Fiscal Year End Date	--06-30
ICFR Auditor Attestation Flag	false
Entity Public Float			$ 376,476,776
Entity Common Stock, Shares Outstanding		36,702,168

CONSOLIDATED BALANCE SHEETS

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Jun. 30, 2021	Jun. 30, 2020
CURRENT ASSETS
Cash and cash equivalents	$ 34,806	$ 18,248
Marketable securities	5,413
Accounts receivable, net of allowance for doubtful accounts of $226 and $326 at June 30, 2021 and June 30, 2020, respectively, and other reserves	28,081	22,932
Inventories, net	24,933	34,727
Prepaid expenses and other current assets	2,408	2,049
Total Current Assets	95,641	77,956
Inventories - non-current, net	6,767	5,688
Property, plant and equipment, net	7,836	8,088
Intangible assets, net	4,691	5,116
Operating lease asset	7,373	7,395
Other assets	243	255
TOTAL ASSETS	122,551	104,498
CURRENT LIABILITIES
Accounts payable	6,095	6,547
Accrued expenses	6,582	5,743
Accrued salaries and wages	3,478	2,181
Current portion of long-term debt	2,386	1,794
Accrued income taxes	1,709	1,239
Total Current Liabilities	20,250	17,504
Long term debt, net of current portion	1,518	2,110
Deferred income taxes	380	43
Accrued income taxes	925	1,188
Long term operating lease liabilities	7,090	7,113
Total Liabilities	30,163	27,958
COMMITMENTS AND CONTINGENCIES (Note 13)
STOCKHOLDERS' EQUITY
Common Stock, par value $0.01 per share; 40,000,000 shares authorized; 21,244,799 and 21,241,066 shares issued; and 18,351,084 and 18,347,351 shares outstanding, respectively	396	396
Additional paid-in capital	18,201	17,766
Retained earnings	93,312	77,899
Less: Treasury Stock, at cost (2,893,715 shares)	(19,521)	(19,521)
TOTAL STOCKHOLDERS' EQUITY	92,388	76,540
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY	$ 122,551	$ 104,498

CONSOLIDATED BALANCE SHEETS (Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($)	Jun. 30, 2021	Jun. 30, 2020
CONSOLIDATED BALANCE SHEETS
Allowance for doubtful accounts	$ 226,000	$ 326,000
Common stock, par value (per share)	$ 0.01	$ 0.01
Common stock, authorized (in shares)	80,000,000	80,000,000
Common stock, issued (in shares)	39,595,883	39,588,417
Common stock, outstanding (in shares)	36,702,168	36,694,702
Treasury stock, shares	2,893,715	2,893,715

CONSOLIDATED STATEMENTS OF INCO

CONSOLIDATED STATEMENTS OF INCOME - USD ($)	12 Months Ended
CONSOLIDATED STATEMENTS OF INCOME - USD ($)	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2019
Net sales:
Revenues	$ 114,035,000	$ 101,359,000	$ 102,932,000
Cost of sales:
Cost of sales	63,287,000	58,515,000	58,732,000
Gross Profit	50,748,000	42,844,000	44,200,000
Operating expenses:
Research and development	7,620,000	7,257,000	7,212,000
Selling, general, and administrative expenses	25,196,000	23,670,000	23,212,000
Impairment of intangible asset		1,852,000
Total Operating Expenses	32,816,000	32,779,000	30,424,000
Operating Income	17,932,000	10,065,000	13,776,000
Other expense:
Interest and other expense, net	5,000	9,000	21,000
Income before Provision for Income Taxes	17,927,000	10,056,000	13,755,000
Provision for Income Taxes	2,514,000	2,261,000	1,274,000
Net Income	$ 15,413,000	$ 7,795,000	$ 12,481,000
Income per share:
Basic (in dollars per share)	$ 0.42	$ 0.21	$ 0.34
Diluted (in dollars per share)	$ 0.42	$ 0.21	$ 0.34
Weighted average number of shares outstanding:
Basic (in shares)	36,696,000	36,888,000	37,148,000
Diluted (in shares)	36,808,000	36,986,000	37,248,000
Equipment
Net sales:
Revenues	$ 80,131,000	$ 77,314,000	$ 85,505,000
Cost of sales:
Cost of sales	58,401,000	54,182,000	54,930,000
Services
Net sales:
Revenues	33,904,000	24,045,000	17,427,000
Cost of sales:
Cost of sales	$ 4,886,000	$ 4,333,000	$ 3,802,000

CONSOLIDATED STATEMENT OF STOCK

CONSOLIDATED STATEMENT OF STOCKHOLDERS EQUITY - USD ($) $ in Thousands	Common StockPreviously Reported	Common Stock	Additional Paid-in CapitalPreviously Reported	Additional Paid-in Capital	Treasury StockPreviously Reported	Treasury Stock	Retained EarningsPreviously Reported	Retained EarningsRevision of Prior Period, Adjustment	Retained Earnings	Previously Reported	Revision of Prior Period, Adjustment	Total
Balance at Jun. 30, 2018	$ 212	$ 396	$ 16,890	$ 16,890	$ (13,069)	$ (13,069)	$ 59,420	$ (894)	$ 58,342	$ 63,453	$ (894)	$ 62,559
Balance (in shares) at Jun. 30, 2018	21,204,327	39,514,939			(2,475,245)	(2,475,245)
Repurchase of treasury shares						$ (3,998)						(3,998)
Repurchase of treasury shares (in shares)						(274,065)
Stock options exercised				53								53
Stock options exercised (in shares)		45,534
Stock-based compensation expense				160								160
Net income									12,481			12,481
Balance (Implementation of ASC 606) at Jun. 30, 2019									(719)			(719)
Balance at Jun. 30, 2019		$ 396		17,103		$ (17,067)			70,104			70,536
Balance (in shares) at Jun. 30, 2019		39,560,473				(2,749,310)
Repurchase of treasury shares						$ (2,454)						(2,454)
Repurchase of treasury shares (in shares)						(144,405)
Stock options exercised				80								80
Stock options exercised (in shares)		27,944
Stock-based compensation expense				583								583
Net income									7,795			7,795
Balance at Jun. 30, 2020		$ 396		17,766		$ (19,521)			77,899			76,540
Balance (in shares) at Jun. 30, 2020		39,588,417				(2,893,715)
Stock options exercised
Stock options exercised (in shares)		7,466
Stock-based compensation expense				435								435
Net income									15,413	$ 14,901		15,413
Balance at Jun. 30, 2021		$ 396		$ 18,201		$ (19,521)			$ 93,312			$ 92,388
Balance (in shares) at Jun. 30, 2021		39,595,883				(2,893,715)

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)	12 Months Ended
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2019
CASH FLOWS FROM OPERATING ACTIVITIES
Net income	$ 15,413,000	$ 7,795,000	$ 12,481,000
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	1,697,000	1,495,000	1,409,000
Impairment of intangible asset		1,852,000
Loss on marketable securities	9,000
(Recovery of) provision for doubtful accounts	(100,000)	238,000	(26,000)
Change to inventory obsolescence reserve	(79,000)	624,000	(582,000)
Deferred income taxes	337,000	(47,000)	755,000
Stock based compensation expense	435,000	583,000	160,000
Changes in operating assets and liabilities:
Accounts receivable	(5,049,000)	2,800,000	(1,440,000)
Inventories	8,794,000	(6,793,000)	(5,991,000)
Prepaid expenses and other current assets	(359,000)	(168,000)	318,000
Other assets			(11,000)
Accounts payable, accrued expenses, accrued salaries and wages, accrued income taxes	1,889,000	1,926,000	1,580,000
Net Cash Provided by Operating Activities	22,987,000	10,305,000	8,653,000
CASH FLOWS FROM INVESTING ACTIVITIES
Purchases of property, plant, and equipment	(1,007,000)	(1,615,000)	(1,988,000)
Purchases of marketable securities	(5,422,000)
Net Cash Used in Investing Activities	(6,429,000)	(1,615,000)	(1,988,000)
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from long-term debt		3,904,000
Proceeds from stock option exercises		80,000	53,000
Cash paid for purchase of treasury stock		(2,454,000)	(3,998,000)
Net Cash Provided by (Used in) Financing Activities		1,530,000	(3,945,000)
Net increase in Cash and Cash Equivalents	16,558,000	10,220,000	2,720,000
CASH AND CASH EQUIVALENTS - Beginning	18,248,000	8,028,000	5,308,000
CASH AND CASH EQUIVALENTS - Ending	34,806,000	18,248,000	8,028,000
SUPPLEMENTAL CASH FLOW INFORMATION
Interest paid	18,000	29,000	23,000
Income taxes paid	$ 1,970,000	$ 749,000	262,000
Surrender of Common Shares			$ 8,000

Nature of Business and Summary

Nature of Business and Summary of Significant Accounting Policies	12 Months Ended
	Jun. 30, 2021
Nature of Business and Summary of Significant Accounting Policies
Nature of Business and Summary of Significant Accounting Policies	NOTE 1 - Nature of Business and Summary of Significant Accounting Policies Nature of Business : Napco Security Technologies, Inc (“NAPCO”, “the Company”, “we”) is one of the leading manufacturers and designers of high-tech electronic security devices, as well as a leading provider of school safety solutions. We offer a diversified array of security products, encompassing access control systems, door-locking products, intrusion and fire alarm systems and video surveillance products. These products are used for commercial, residential, institutional, industrial and governmental applications, and are sold worldwide principally to independent distributors, dealers and installers of security equipment. We have experienced significant growth in recent years, primarily driven by fast growing recurring service revenues generated from wireless communication services for intrusion and fire alarm systems, as well as our school security products that are designed to meet the increasing needs to enhance school security as a result of on-campus shooting and violence in the U.S. The Company’s fiscal year begins on July 1 and ends on June 30. Historically, the end users of the Company’s products want to install its products prior to the summer; therefore sales of its products historically peak in the period April 1 through June 30, the Company’s fiscal fourth quarter, and are reduced in the period July 1 through September 30, the Company’s fiscal first quarter. In addition, demand for our products is affected by the housing and construction markets. Deterioration of the current economic conditions may also affect this trend. Our results for fiscal 2021 reflects the increase in customer demand after the creation of the challenging business environment resulting from the COVID-19 pandemic. While the Company believes this recovery will continue, there can be no assurances in the event of a return to building and construction restrictions that might result from a return to last year’s levels of COVID-19 cases. Significant Accounting Policies : Principles of Consolidation The consolidated financial statements include the accounts of Napco Security Technologies, Inc. and its wholly-owned subsidiaries. All inter-company balances and transactions have been eliminated in consolidation. Accounting Estimates The preparation of financial statements in conformity with Generally Accepted Accounting Principles (“GAAP”) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent gains and losses at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Critical estimates include management’s judgments associated with reserves for sales returns and allowances, allowance for doubtful accounts, inventory reserves, valuation of Fair Value of Financial Instruments The methods and assumptions used to estimate the fair value of the following classes of financial instruments were: Current Assets and Current Liabilities - The carrying amount of cash and cash equivalents, certificates of deposits, current receivables and payables and certain other short-term financial instruments approximate their fair value as of June 30, 2021 and 2020 due to their short-term maturities. Cash and Cash Equivalents Cash and cash equivalents include approximately $63,000 and $460,000 of short-term time deposits at June 30, 2021 and 2020, respectively. The Company considers all highly liquid investments with original maturities of three months or less to be cash equivalents. The Company has cash balances in banks in excess of the maximum amount insured by the FDIC and other international agencies as of June 30, 2021 and 2020. The Company has not historically experienced any credit losses with balances in excess of FDIC limits. Marketable Securities The Company’s marketable securities include investments in mutual funds, which invest primarily in various government and corporate obligations, stocks and money market funds Accounts Receivable Accounts receivable is stated net of the reserves for doubtful accounts of $226,000 and $326,000 as of June 30, 2021 and 2020, respectively. Our reserves for doubtful accounts are subjective critical estimates that have a direct impact on reported net earnings. These reserves are based upon the evaluation of our accounts receivable aging, specific exposures, sales levels and historical trends. Inventories Inventories are valued at the lower of cost or net realizable value, with cost being determined on the first-in, first-out (FIFO) method. The reported net value of inventory includes finished saleable products, work-in-process and raw materials that will be sold or used in future periods. Inventory costs include raw materials, direct labor and overhead. The Company’s overhead expenses are applied based, in part, upon estimates of the proportion of those expenses that are related to procuring and storing raw materials as compared to the manufacture and assembly of finished products. These proportions, the method of their application, and the resulting overhead included in ending inventory, are based in part on subjective estimates and actual results could differ from those estimates. In addition, the Company records an inventory obsolescence reserve, which represents any excess of the cost of the inventory over its estimated realizable value. This reserve is calculated using an estimated obsolescence percentage applied to the inventory based on age, historical trends, product life cycles, requirements to support forecasted sales, and the ability to find alternate applications of its raw materials and to convert finished product into alternate versions of the same product to better match customer demand. In addition, and as necessary, the Company may establish specific reserves for future known or anticipated events. There is inherent professional judgment and subjectivity made by both production and engineering members of management in determining the estimated obsolescence percentage. The Company also regularly reviews the period over which its inventories will be converted to sales. Any inventories expected to convert to sales beyond 12 months from the balance sheet date are classified as non-current. Property, Plant, and Equipment Property, plant, and equipment are carried at cost less accumulated depreciation. Expenditures for maintenance and repairs are charged to expense as incurred; costs of major renewals and improvements are capitalized. At the time property and equipment are retired or otherwise disposed of, the cost and accumulated depreciation are eliminated from the asset and accumulated depreciation accounts and the profit or loss on such disposition is reflected in income. Depreciation is recorded over the estimated service lives of the related assets using primarily the straight-line method. Amortization of leasehold improvements is calculated by using the straight-line method over the estimated useful life of the asset or lease term, whichever is shorter. Long-Lived and Intangible Assets Long-lived assets are amortized over their useful lives and are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of the assets in question may not be recoverable. Impairment would be recorded in circumstances where undiscounted cash flows expected to be generated by an asset are less than the carrying value of that asset. Intangible assets determined to have indefinite lives were not amortized but were tested for impairment at least annually. The Company’s acquisition of substantially all of the assets and certain liabilities of G. Marks Hardware, Inc. (“Marks”) in August 2008 included intangible assets recorded at fair value on the date of acquisition. The customer relationships are amortized over their estimated useful lives of twenty years. At the acquisition date, the Marks trade name was deemed to have an indefinite life. During the 4th quarter of fiscal 2020, the Company determined that the trade-name was impaired. Accordingly, the Company recorded an impairment charge of $1,852,000 and reclassified the remaining balance of the underlying asset from indefinite-lived to a long-lived asset with a remaining useful life of 20 years as of June 30, 2020. Changes in intangible assets are as follows (in thousands): June 30, 2021 June 30, 2020 June 30, 2019 Carrying Accumulated Net book Carrying Accumulated Net book Carrying Accumulated Net book value amortization value value amortization value value amortization value Customer relationships $ 9,800 $ (8,955) $ 845 $ 9,800 $ (8,732) $ 1,068 $ 9,800 $ (8,468) $ 1,332 Trade name 4,048 (202) 3,846 4,048 — 4,048 5,900 — 5,900 $ 13,848 $ (9,157) $ 4,691 $ 13,848 $ (8,732) $ 5,116 $ 15,700 $ (8,468) $ 7,232 Amortization expense for intangible assets subject to amortization was approximately $425,000, $264,000 and $313,000 for the fiscal years ended June 30, 2021, 2020 and 2019, respectively. Amortization expense for each of the next five fiscal years is estimated to be as follows: 2022-$390,000; 2023 - $361,000; 2024 - $336,000; 2025 - $315,000; and 2026-$297,000. The weighted average remaining amortization period for intangible assets was 16.9 years and 17.5 years at June 30, 2021 and 2020, respectively. Revenue Recognition Revenue is recognized upon transfer of control of promised products or services to customers in an amount that reflects the consideration the Company expects to receive in exchange for those products or services. For product sales, the Company typically transfers control at a point in time upon shipment or delivery of the product. For monthly communication services the Company satisfies its performance obligation as the services are rendered and therefore recognizes revenue over the monthly period. Typically timing of revenue recognition coincides with the timing of invoicing to the customers, at which time the Company has an unconditional right to consideration. As such, the Company typically records a receivable when revenue is recognized. The contract with the customer states the final terms of the sale, including the description, quantity, and price of each product purchased. Payment for product sales is typically due within 30 and 180 days of the delivery date. Payment for monthly communication services is billed on a monthly basis and is typically due at the beginning of the month of service. The Company provides limited standard warranty for defective products, usually for a period of 24 to 36 months. The Company accepts returns for such defective products as well as for other limited circumstances. The Company also provides rebates to customers for meeting specified purchasing targets and other coupons or credits in limited circumstances. The Company establishes reserves for the estimated returns, rebates and credits and measures such variable consideration based on the expected value method using an analysis of historical data. Changes to the estimated variable consideration in subsequent periods are not material. The Company analyzes sales returns and is able to make reasonable and reliable estimates of product returns based on the Company’s past history. Estimates for sales returns are based on several factors including actual returns and based on expected return data communicated to it by its customers. Accordingly, the Company believes that its historical returns analysis is an accurate basis for its allowance for sales returns. Actual results could differ from those estimates. Advertising and Promotional Costs Advertising and promotional costs are included in "Selling, General and Administrative" expenses in the consolidated statements of income and are expensed as incurred. Advertising expense for fiscal years ended June 30, 2021, 2020 and 2019 was $1,306,000, $1,722,000 and $2,047,000, respectively. Research and Development Costs Research and development costs incurred by the Company are charged to expense as incurred and are included in operating expenses in the consolidated statements of income. Company-sponsored research and development expense for the fiscal years ended June 30, 2021, 2020 and 2019 was $7,620,000, $7,257,000 and $7,212,000, respectively. Income Taxes Deferred tax assets and liabilities are recognized for the future tax consequences attributable to temporary differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. Deferred income tax expense represents the change during the period in the deferred tax assets and deferred tax liabilities. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion or all of the deferred tax assets will not be realized. The Company measures and recognizes the tax implications of positions taken or expected to be taken in its tax returns on an ongoing basis. The Company records uncertain tax positions in accordance with ASC 740 on the basis of a two-step process in which (1) we determine whether it is more likely than not that the tax positions will be sustained on the basis of the technical merits of the position and (2) for those tax positions that meet the more-likely-than-not recognition threshold, we recognize the largest amount of tax benefit that is more than 50 percent likely to be realized upon ultimate settlement with the related tax authority. Net Income per Share as Restated Basic net income per common share (Basic EPS) is computed by dividing net income by the weighted average number of common shares outstanding. Diluted net income per common share (Diluted EPS) is computed by dividing net income by the weighted average number of common shares and dilutive common share equivalents and convertible securities then outstanding. The following provides a reconciliation of information used in calculating the per share amounts for the fiscal years ended June 30 (in thousands, except per share data): Weighted Average Net Income per Net Income Shares Share 2021 2020 2019 2021 2020 2019 2021 2020 2019 Basic EPS $ 15,413 $ 7,795 $ 12,481 36,696 36,888 37,148 $ 0.42 $ 0.21 $ 0.34 Effect of Dilutive Securities: Stock Options — — — 112 98 100 — — — Diluted EPS $ 15,413 $ 7,795 $ 12,481 36,808 36,986 37,248 $ 0.42 $ 0.21 $ 0.34 Options to purchase 40,000, 77,638 and 5,914 shares of common stock were excluded for the fiscal years ended June 30, 2021, 2020 and 2019, respectively, and were not included in the computation of Diluted EPS because their inclusion would be anti-dilutive. These options were still outstanding at the end of the respective periods.Stock-Based Compensation The Company has established four share incentive programs as discussed in Note 9. Stock-based compensation cost is measured at the grant date based on the fair value of the award and is recognized as expense on a straight-line basis over the vesting period. Determining the fair value of share-based awards at the grant date requires assumptions and judgments about expected volatility and forfeiture rates, among other factors. Stock-based compensation costs of $435,000, $583,000 and $160,000 were recognized for the fiscal years ended June 30, 2021, 2020 and 2019, respectively. Foreign Currency The Company has determined the functional currency of all foreign subsidiaries is the U.S. Dollar. All foreign operations are considered a direct and integral part or extension of the Company’s operations. The day-to-day operations of all foreign subsidiaries are dependent on the economic environment of the U.S. Dollar. Therefore, no realized and unrealized gains and losses associated with foreign currency translation are recorded for the fiscal years ended June 30, 2021, 2020 or 2019. Comprehensive Income For the fiscal years ended June 30, 2021, 2020 and 20219, the Company’s operations did not give rise to material items includable in comprehensive income, which were not already included in net income. Accordingly, the Company’s comprehensive income approximates its net income for all periods presented. Segment Reporting The Company’s reportable operating segments are determined based on the Company’s management approach. The management approach is based on the way that the chief operating decision maker organizes the segments within an enterprise for making operating decisions and assessing performance. The Company’s results of operations are reviewed by the chief operating decision maker on a consolidated basis and the Company operates in only one segment. The Company has presented required geographical data in Note 14. Shipping and Handling Sales and Costs The Company records the amount billed to customers for shipping and handling in net sales ($395,000, $452,000 and $430,000 in the fiscal years ended June 30, 2021, 2020 and 2019, respectively) and classifies the costs associated with these sales in cost of sales ($1,058,000, $1,034,000 and $1,115,000 in the fiscal years ended June 30, 2021, 2020 and 2019, respectively). Leases Effective July 1, 2019, the Company adopted the new lease accounting standard using the modified retrospective transition option of applying the new standard at the adoption date. In addition, we elected the package of practical expedients million Recently Adopted Accounting Standards On July 1, 2019, we adopted Accounting Standards Update No. 2016-02, Leases (Topic 842) (ASU 2016-02), as amended, which supersedes the lease accounting guidance under Topic 840, and generally requires lessees to recognize operating and financing lease liabilities and corresponding right-of-use assets on the balance sheet and to provide enhanced disclosures surrounding the amount, timing and uncertainty of cash flows arising from leasing arrangements. We adopted the new guidance using the modified retrospective transition approach by applying the new standard to all leases existing at the date of initial application and not restating comparative periods. The most significant impact was the recognition of ROU assets and lease liabilities for operating leases. For information regarding the impact of Topic 842 adoption, see Significant Accounting Policies - Leases and Note 13- Leases. Recently Issued Accounting Standards Reference Rate Reform (ASC Topic 848) In March 2020, the FASB issued authoritative guidance to provide optional relief for companies preparing for the discontinuation of interest rates such as the London Interbank Offered Rate (“LIBOR”), which is expected to be phased out at the end of calendar 2021, and applies to lease contracts, hedging instruments, held-to-maturity debt securities and debt arrangements that have LIBOR as the benchmark rate. In January 2021, the FASB issued authoritative guidance that makes amendments to the new rules on accounting for reference rate reform. The amendments clarify that for all derivative instruments affected by the changes to interest rates used for discounting, margining or contract price alignment, regardless of whether they reference LIBOR or another rate expected to be discontinued as a result of reference rate reform, an entity may apply certain practical expedients in ASC Topic 848. Effective for the Company – This guidance can be applied for a limited time through December 31, 2022. The guidance will no longer be available to apply after December 31, 2022. Impact on consolidated financial statements – The Company is currently assessing the impact of applying this guidance on its existing derivative contracts, leases and other arrangements, as well as when to adopt this guidance.

Restatement of Previously Issue

Restatement of Previously Issued Financial Statements	12 Months Ended
Restatement of Previously Issued Financial Statements	Jun. 30, 2021
Nature of Business and Summary of Significant Accounting Policies
Restatement of Previously Issued Financial Statements	NOTE 1A – Restatement of Previously Issued Financial Statements Subsequent to the filing of the Original Form 10-K, management reviewed its methodology for calculating its reserves for obsolete inventory. During this review, management identified changes related to the Company’s reserves for obsolete inventory that it deemed appropriate. The reserves reflected in the Company’s Original Form 10-K relied primarily on estimates developed by management, which were based on historic and institutional knowledge and judgements as to the potential for obsolescence for items deemed at risk. Upon management’s review, it was determined a systematic method of evaluation, which utilized historical data, including sales data and component parts usage, as well as product life cycles, trends and judgement, is more accurate. This resulted in changes to the Company’s reserves for obsolescence for fiscal years 2021, 2020 and 2019. The effects of these changes on the financial statements for these periods are shown in the tables below. Retained earning as of the beginning of fiscal 2019 has been adjusted by $894 related to the restatement of inventories ($901) net of tax effect of ($7). The table below sets forth the consolidated balance sheets information, including the balances originally reported and the restated balances as of June 30: June 30, 2021 June 30, 2020 (in thousands, except for share and per share data) As As previously As previously As reported restated reported restated Inventory - Current $ 25,278 $ 24,933 $ 35,231 $ 34,727 Inventory - Non-Current 7,164 6,767 6,524 5,688 Accrued income taxes 1,635 1,709 1,148 1,239 Deferred income taxes 347 380 112 43 Retained earnings 94,345 93,312 79,444 77,899 The table below sets forth the consolidated statements of income information, including the balances originally reported and the restated balances for the fiscal years ended June 30: June 30, 2021 (in thousands, except for share and per share data) As previously reported Restated Equipment Related Expenses $ 58,998 $ 58,401 Cost of Sales 63,884 63,287 Gross Profit 50,151 50,748 Operating Income 17,335 17,932 Income before provision for Income Taxes 17,330 17,927 Provision for Income Taxes 2,429 2,514 Net Income 14,901 15,413 Income per share: Basic $ 0.41 $ 0.42 Diluted $ 0.41 $ 0.42 June 30, 2020 (in thousands, except for share and per share data) As previously reported Restated Equipment Related Expenses $ 53,434 $ 54,182 Cost of Sales 57,767 58,515 Gross Profit 43,592 42,844 Operating Income 10,813 10,065 Income before provision for Income Taxes 10,804 10,056 Provision for Income Taxes 2,284 2,261 Net Income 8,520 7,795 Income per share: Basic $ 0.23 $ 0.21 Diluted $ 0.23 $ 0.21 June 30, 2019 (in thousands, except for share and per share data) As previously reported Restated Equipment Related Expenses $ 55,240 $ 54,930 Cost of Sales 59,042 58,732 Gross Profit 43,890 44,200 Operating Income 13,466 13,776 Income before provision for Income Taxes 13,445 13,755 Provision for Income Taxes 1,222 1,274 Net Income 12,223 12,481 Income per share: Basic $ 0.33 $ 0.34 Diluted $ 0.33 $ 0.34 The table below sets forth the consolidated statements of cash flows information, including the balances originally reported and the restated balances for the fiscal years ended June 30: June 30, 2021 (in thousands, except for share and per share data) As previously reported Restated Net income $ 14,901 $ 15,413 Change to inventory obsolescence reserve 519 (79) Deferred income taxes 235 337 Changes in operating assets and liabilities: Accounts payable, accrued expenses, accrued salaries and wages, accrued income taxes 1,906 1,889 Net Cash Provided by Operating Activities 22,987 22,987 June 30, 2020 (in thousands, except for share and per share data) As previously reported Restated Net income $ 8,520 $ 7,795 Change to inventory obsolescence reserve (124) 624 Deferred income taxes 40 (47) Changes in operating assets and liabilities: Accounts payable, accrued expenses, accrued salaries and wages, accrued income taxes 1,862 1,926 Net Cash Provided by Operating Activities 10,305 10,305 'June 30, 2019 (in thousands, except for share and per share data) As previously reported Restated Net income $ 12,223 $ 12,481 Change to inventory obsolescence reserve (272) (582) Deferred income taxes 755 755 Changes in operating assets and liabilities: Accounts payable, accrued expenses, accrued salaries and wages, accrued income taxes 1,528 1,580 Net Cash Provided by Operating Activities 8,653 8,653 In addition to the restated consolidated financial statements, the information contained in notes 5, 7 and 14 have been restated.

Revenue Recognition and Contrac

Revenue Recognition and Contracts with Customers	12 Months Ended
Revenue Recognition and Contracts with Customers	Jun. 30, 2021
Revenue Recognition and Contracts with Customers
Revenue Recognition and Contracts with Customers	NOTE 2 – Revenue Recognition and Contracts with Customers Adoption On July 1, 2018 the Company adopted new guidance on revenue from contracts with customers using the modified retrospective method applied to contracts that were not completed as of July 1, 2018. Results for reporting periods beginning after July 1, 2018 are presented under the new guidance, while prior period amounts are not adjusted and continue to be reported in accordance with previous guidance. The Company recorded a net decrease to opening retained earnings of approximately $719,000 (net of tax benefit of $191,000) as of July 1, 2018, for the cumulative impact of adopting the new guidance. The impact primarily related to the change in the recognition and measurement of certain types of variable considerations, which resulted in the increase in sales allowance reserves (i.e. refund liabilities) by a net of $1,627,000 and increased other assets (i.e. return related assets) by approximately $716,000. The Company is engaged in one major line of business: the development, manufacture, and distribution of security products, encompassing access control systems, door security products, intrusion and fire alarm systems, alarm communication services, and video surveillance products for commercial and residential use. The Company also provides wireless communication service for intrusion and fire alarm systems on a monthly basis. These products are used for commercial, residential, institutional, industrial and governmental applications, and are sold worldwide principally to independent distributors, dealers and installers of security equipment. Sales to unaffiliated customers are primarily shipped from the United States. As of June 30, 2021 and 2020, the Company included refund liabilities of approximately $4,277,000 and $3,331,000, respectively, in current liabilities. As of June 30, 2021 and 2020, the Company included return-related assets of approximately $890,000 and $701,000, respectively, in other current assets. As a percentage of gross sales, sales returns, rebates and allowances were 10%, 9% and 8% for the fiscal years ended June 30, 2021, 2020 and 2019, respectively. The Company disaggregates revenue from contracts with customers into major product lines. The Company determines that disaggregating revenue into these categories achieves the disclosure objective to depict how the nature, amount, timing, and uncertainty of revenue and cash flows are affected by economic factors. As noted in the accounting policy footnote, the Company’s business consists of one operating segment. Following is the disaggregation of revenues based on major product lines (in thousands): Year ended June 30, 2021 2020 2019 Major Product Lines: Intrusion and access alarm products $ 36,794 $ 31,310 $ 31,557 Door locking devices 43,337 46,004 53,948 Services 33,904 24,045 17,427 Total Revenues $ 114,035 $ 101,359 $ 102,932

Reserve for Doubtful Accounts

Reserve for Doubtful Accounts	12 Months Ended
Reserve for Doubtful Accounts	Jun. 30, 2021
Reserve for Doubtful Accounts
Reserve for Doubtful Accounts	NOTE 3 – Reserve for Doubtful Accounts An entity is more vulnerable to concentrations of credit risk if it is exposed to risk of loss greater than it would have had if it mitigated its risk through diversification of customers. The Company had one customer with an accounts receivable balance that comprised 19%, 24% and 19% of the Company’s accounts receivable at June 30, 2021, 2020 and 2019, respectively. Sales to this customer did not exceed 10% of net sales during fiscal year ended June 30, 2020. Sales to this customer comprised 10% of net sales during fiscal year ended June 30, 2021 and 2019. The Company had another customer with an accounts receivable balance that comprised 10% of the Company’s accounts receivable at June 30, 2021. Sales to this customer did not exceed 10% of net sales in any of the fiscal years ended June 30, 2021, 2020 and 2019, respectively. The Company had another customer with an accounts receivable balance that comprised 10% of the Company’s accounts receivable at June 30, 2020. Sales to this customer did not exceed 10% of net sales in any of the fiscal years ended June 30, 2021, 2020 and 2019, respectively. The Company had another customer with an accounts receivable balance that comprised 10% of the Company’s accounts receivable at June 30, 2021 and 2019. Sales to this customer did not exceed 10% of net sales in any of the fiscal years ended June 30, 2021, 2020 and 2019.

Marketable Securities

Marketable Securities	12 Months Ended
Marketable Securities	Jun. 30, 2021
Marketable Securities
Marketable Securities	NOTE 4 – Marketable Securities Marketable securities include investments in fixed income mutual funds, which are reported at their fair values. The disaggregated net gains and losses on the marketable securities recognize in the income statement for the year ended June 30, 2021, are as follows: June 30, 2021 Net gains recognized during the period on marketable securities $ — Less: Net gains recognized during the year on marketable securities sold during the period — Unrealized (losses) gains recognized during the reporting year on marketable securities still held at the reporting date (9) $ (9) The fair values of the Company’s marketable securities are determined as being the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. As such, fair value is a market-based measurement that should be determined based on assumptions that market participants would use in pricing an asset or liability. As a basis for considering such assumptions, the Company utilizes the three-tier value hierarchy, as prescribed by US GAAP, which prioritizes the inputs used in measuring fair value as follows: ● ● ● The Company’s marketable securities, which are considered available-for-sale securities, are re-measured to fair value on a recurring basis and are valued using Level 1 inputs using quoted prices (unadjusted) for identical assets in active markets. The following tables summarize the Company’s investments: Unrealized Cost Fair Value Gain (Loss) Marketable Securities $ 5,422 $ 5,413 $ (9) Investment income is recognized when earned and consists principally of interest income from fixed income mutual funds. Realized gains and losses on sales of investments are determined on a specific identification basis. For the year ended June 30, 2021, there were no transfers between Levels 1 and 2 investments and no transfers in or out of Level 3.

Inventories

Inventories	12 Months Ended
Inventories	Jun. 30, 2021
Inventories
Inventories	NOTE 5 - Inventories Inventories, net of reserves are valued at lower of cost (first-in, first-out method) or net realizable value. Inventories, net of reserves consist of the following as of (in thousands): June 30, June 30, 2021 2020 (as restated) Component parts $ 17,245 $ 21,677 Work-in-process 6,158 7,276 Finished product 8,297 11,462 $ 31,700 $ 40,415 Classification of inventories, net of reserves: Current $ 24,933 $ 34,727 Non-current 6,767 5,688 $ 31,700 $ 40,415

Property, Plant, and Equipment

Property, Plant, and Equipment	12 Months Ended
Property, Plant, and Equipment	Jun. 30, 2021
Property, Plant, and Equipment
Property, Plant, and Equipment	NOTE 6 - Property, Plant, and Equipment Property, plant and equipment consist of the following (in thousands): June 30, 2021 June 30, 2020 Useful Life in Years Land $ 904 $ 904 N/A Buildings 8,911 8,911 30 to 40 Molds and dies 7,416 7,337 3 to 5 Furniture and fixtures 2,813 2,792 5 to 10 Machinery and equipment 25,548 24,878 7 to 10 Building improvements 2,409 2,173 Shorter of the lease term or life of asset 48,001 46,995 Less: accumulated depreciation and amortization (40,165) (38,907) $ 7,836 $ 8,088 Depreciation and amortization expense on property, plant, and equipment was approximately $1,260,000, $1,221,000 and $1,085,000 in fiscal 2021, 2020 and 2019, respectively.

Income Taxes

Income Taxes	12 Months Ended
Income Taxes	Jun. 30, 2021
Income Taxes
Income Taxes	NOTE 7 - Income Taxes The provision for income taxes is comprised of the following as restated For the Year ended June 30, 2021 2020 2019 Current income taxes: Federal $ 1,912 $ 1,765 $ 334 State 265 418 151 2,177 2,183 485 Deferred income tax provision 337 78 789 Provision for income taxes $ 2,514 $ 2,261 $ 1,274 A reconciliation of the U.S. Federal statutory income tax rate to our actual effective tax rate on earnings before income taxes is as follows for the years ended June 30, as restated 2021 2020 2019 % of % of % of Pre-tax Pre-tax Pre-tax Amount Income Amount Income Amount Income Tax at Federal statutory rate $ 3,765 21.0 % $ 2,112 21.0 % $ 2,888 21.0 % Increases (decreases) in taxes resulting from: Meals and entertainment 29 0.2 % 44 0.4 % 49 0.4 % State income taxes, net of Federal income tax benefit 135 0.8 % 122 1.2 % 111 0.8 % Foreign source income not subject to tax (1,647) (9.2) % (1,089) (10.8) % (1,241) (9.0) % R&D Credit (523) (2.9) % (523) (4.7) % (408) (3.0) % Foreign withholding tax 205 1.1 % — — % — — % Release of accrued tax reserves — — % — — % (151) (1.1) % Uncertain Tax Positions 312 1.7 % 775 7.2 % — — % IRS examination settlements — — % 832 8.3 % 12 0.1 % Other, net 238 1.3 % (12) (0.1) % 14 0.1 % Effective tax rate $ 2,514 14.0 % $ 2,261 22.5 % $ 1,274 9.3 % Deferred tax assets and deferred tax liabilities at June 30, 2021 and 2020 are as follows as restated Deferred Tax Assets (Liabilities) 2021 2020 Accounts receivable $ 43 $ 40 Inventories 314 443 Accrued liabilities 374 262 Stock based compensation expense 102 96 Intangibles (454) (300) Property, plant and equipment (539) (484) Revenue reserves 393 308 Other deferred tax liabilities (613) (408) (380) (43) Valuation allowance — — Net deferred tax liabilities $ (380) $ (43) The Company has identified the United States and New York State as its major tax jurisdictions. Fiscal year 2018 and forward years are still open for examination. In addition, the Company has a wholly-owned subsidiary which operates in a Free Zone in the Dominican Republic (“DR”) and is exempt from DR income tax. The Company was audited by the IRS for the fiscal year 2016. In July 2019, the Company received Form 4549-A, Income Tax Examination Changes from the IRS proposing an adjustment to income for the fiscal 2016 tax year regarding deemed dividends based on its interpretation of Internal Revenue Code ("IRC") Section 956 arising from the intercompany balances on the books of the Company. In August 2019, the Company filed a formal protest with the IRS requesting an opportunity to appeal the examination findings to the Appeals Office. During fiscal year 2020, the Company settled the issue at Appeals. There was a provision recorded for the federal and state impact of $762,000 and $70,000, respectively. The Company was audited by the IRS for the fiscal year 2017. The Company received Form 4549-A, Income Tax Examination Changes from the IRS proposing an adjustment to income for the fiscal 2017 tax year regarding deemed dividends based on its interpretation under IRC Section 956 arising from the intercompany balances on the books of the Company. During the third quarter of fiscal 2021, the Company settled the issue and paid the IRS $399,000 . The Company reported the results of the IRS exam to all the jurisdictions in which it files and paid taxes and interest totaling $97,000. Subsequent to the quarter end, the Company paid the IRS $68,000 for interest. None of the payments were recorded to expense since liabilities had previously been established. The provision for income taxes represents Federal, foreign, and state and local income taxes. The effective rate differs from statutory rates due to the effect of tax rates in foreign jurisdictions, state and local income taxes, tax benefit of R&D credits, certain nondeductible expenses, uncertain tax positions, audit settlements and global intangible low-taxed income ("GILTI"). During the year ending June 30, 2021 the Company decreased its reserve for uncertain income tax positions by $208,000. The Company’s practice is to recognize interest and penalties related to income tax matters in income tax expense and accrued income taxes. As of June 30, 2021, the Company had accrued interest totaling $63,000 and $678,000 of unrecognized net tax benefits that, if recognized, would favorably affect the Company’s effective income tax rate in any future period. The Company does not expect that its unrecognized tax benefits will significantly change within the next twelve months. The Company claims R&D tax credits on eligible research and development expenditures. The R&D tax credits are recognized as a reduction to income tax expense. A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows as restated Tax Interest Total Balance of gross unrecognized tax benefits as of July 1, 2018 $ 221 $ — $ 221 Decrease to unrecognized tax benefits resulting from release of R&D credits due to the IRS audit (151) — (151) Increases to unrecognized tax benefits resulting from the generation of additional R&D credits 55 — 55 Balance of gross unrecognized tax benefits as of June 30, 2019 $ 125 $ — $ 125 Increase to unrecognized tax benefits resulting from deemed dividends for investments in US property 682 83 765 Increases to unrecognized tax benefits resulting from the generation of additional R&D credits 59 — 59 Balance of gross unrecognized tax benefits as of June 30, 2020 $ 866 $ 83 $ 949 Decrease to unrecognized tax benefits from deemed dividends for investments in US property (3) (20) (23) Decrease to unrecognized tax benefits resulting from the release of R&D credits due to the settled IRS audit (185) — (185) Balance of gross unrecognized tax benefits as of June 30, 2021 $ 678 $ 63 $ 741 The Company plans to permanently reinvest a substantial portion of its foreign earnings and as such has not provided withholding tax on the permanently reinvested earnings. The Company has accrued $613,000 for withholding taxes on undistributed earnings that are not permanently reinvested. As of June 30, 2021 the Company had approximately $60.4 million of undistributed earnings of foreign subsidiaries.

Long-Term Debt

Long-Term Debt	12 Months Ended
Long-Term Debt	Jun. 30, 2021
Long-Term Debt
Long-Term Debt	NOTE 8 - Long-Term Debt As of June 30, 2021 and 2020, long-term debt consisted of a revolving line of credit of $11,000,000 (“Revolver Agreement”) which expires in June 2024 and term loans from the U.S. Small Business Administration totaling $3,904,000 through its Payroll Protection Program. Outstanding balances and interest rates as of June 30, 2021 and June 30, 2020 are as follows (dollars in thousands): June 30, 2021 June 30, 2020 Outstanding Interest Rate Outstanding Interest Rate Revolving line of credit $ — n/a $ — n/a Term loans 3,904 1 % 3,904 1 % 3,904 3,904 Less: current maturities (2,386) (1,794) Long-term debt $ 1,518 $ 2,110 The Revolver Agreement also provides for a LIBOR-based interest rate option of LIBOR plus 1.15% to 2.00%, depending on the ratio of outstanding debt to EBITDA, which is to be measured and adjusted quarterly, a prime rate-based option of the prime rate plus 0.25% and other terms and conditions as more fully described in the Revolver Agreement. The Company’s obligations under the Revolver Agreement continue to be secured by substantially all of its domestic assets, including but not limited to, deposit accounts, accounts receivable, inventory, equipment and fixtures and intangible assets. In addition, the Company’s wholly owned subsidiaries, with the exception of the Company’s foreign subsidiaries, have issued guarantees and pledges of all of their assets to secure the Company’s obligations under the Revolver Agreement. All of the outstanding common stock of the Company’s domestic subsidiaries and 65% of the common stock of the Company’s foreign subsidiaries has been pledged to secure the Company’s obligations under the Revolver Agreement. The Revolver Agreement contains various restrictions and covenants including, among others, restrictions on payment of dividends, restrictions on borrowings and compliance with certain financial ratios, as defined in the Revolver Agreement. In September 2020, the Company and its lender amended the Revolver Agreement, which had an expiration date of June 2021, to expire in June 2024. The amended Revolver Agreement also removed certain requirements and restrictions on the Company as well as removing the mortgage on the Company’s Amityville facility. During the fourth quarter of fiscal 2020, the Company received the proceeds of promissory notes dated between April 17, 2020 and May 7, 2020 (the "PPP Loan Agreement"), entered into between the Company and HSBC Bank USA N.A., as lender (the "Lender). Lender made the loans pursuant to the Paycheck Protection Program (the "PPP"), created by Section 1102 of the CARES Act and governed by the CARES Act, Section 7(a)(36) of the Small Business Act, any rules or guidance that has been issued by the Small Business Association (“SBA”) implementing the PPP and acting as guarantor, or any other applicable loan program requirements, as defined in 13 CFR § 120.10, as amended from time to time. Pursuant to the PPP Loan Agreement, the Lender made loans to the Company with an aggregate principal amount of $3,904,000 (the "PPP Loan"). Pursuant to the CARES Act, the loans may be forgiven by the SBA. The Company has applied to have the balance of the Loan forgiven. Following year-end, $2,850,000 of the PPP Loan was forgiven in accordance with guidelines set for in the PPP. The Company will recognize debt forgiveness in the first quarter of 2022 in the amount of $2,850,000 and will recognize further forgiveness income in the quarter that the remaing forgiveness application may be granted. While the Company believes that it meets to requirements for forgiveness, there can be no assurance that its remaining application will be granted.

Stock Options

Stock Options	12 Months Ended
Stock Options	Jun. 30, 2021
Stock Options
Stock Options	NOTE 9 - Stock Options as Restated The Company follows ASC 718 (“Share-Based Payment”), which requires that all share based payments to employees, including stock options, be recognized as compensation expense in the consolidated financial statements based on their fair values and over the requisite service period. For the fiscal years ended June 30, 2021, 2020 and 2019, the Company recorded non-cash compensation expense of $435,000 ($0.01 per basic and diluted share), $583,000 ($0.02 per basic and diluted share) and $160,000 ($0.00 per basic and diluted share), respectively, relating to stock-based compensation. 2012 Employee Stock Option Plan In December 2012, the stockholders approved the 2012 Employee Stock Option Plan (the 2012 Employee Plan). The 2012 Employee Plan authorizes the granting of awards, the exercise of which would allow up to an aggregate of 1,900,000 shares of the Company’s common stock to be acquired by the holders of such awards. Under this plan, the Company may grant stock options, which are intended to qualify as incentive stock options (ISOs), to valued employees. Any plan participant who is granted ISOs and possesses more than 10% of the voting rights of the Company’s outstanding common stock must be granted an option with a price of at least 110% of the fair market value on the date of grant. Under the 2012 Employee Plan, stock options may be granted to valued employees with a term of up to 10 years at an exercise price equal to or greater than the fair market value on the date of grant and are exercisable, in whole or in part, at 20% per year beginning on the date of grant. An option granted under this plan shall vest in full upon a “change in control” as defined in the plan. At June 30, 2021, 214,080 stock options were outstanding, 98,176 stock options were exercisable and 1,476,920 stock options were available for grant under this plan. No options were granted under this plan during the year ended June 30, 2021. The fair value of each option granted was estimated on the date of grant using the Black-Scholes option-pricing model with the following weighted average assumptions: 2021 2020 2019 Risk-free interest rates n/a % .6% - 2.10 % 2.5% - 3.10 % Expected lives n/a 10 years 10 years Expected volatility n/a % 44% - 46 % 48% - 52 % Expected dividend yields n/a % 0 % 0 % The Company uses a weighted-average expected stock-price volatility assumption that is a combination of both current and historical implied volatilities of the underlying stock. The implied volatilities were obtained from publicly available data sources. For the weighted-average expected option life assumption, the Company considers the exercise behavior of past grants. The average risk-free interest rate is based on the U.S. Treasury Bond rate for the expected term of the options and the average dividend yield is based on historical experience. The following table reflects activity under the 2012 Plan for the fiscal years ended June 30,: 2021 2020 2019 Weighted average Weighted average Weighted average Options exercise price Options exercise price Options exercise price Outstanding, beginning of year 235,680 $ 9.42 145,000 $ 5.51 114,400 $ 3.55 Granted — — 141,880 12.25 58,000 8.30 Forfeited (13,000) 6.91 (20,000) 9.92 — — Exercised (8,600) 9.04 (31,200) 3.78 (27,400) 3.21 Outstanding, end of period 214,080 $ 9.59 235,680 $ 9.42 145,000 $ 5.51 Exercisable, end of period 98,176 $ 8.07 70,000 $ 6.57 67,600 $ 4.03 Weighted average fair value at grant date of options granted n/a $ 6.72 $ 4.58 Total intrinsic value of options exercised $ 65,000 278,000 160,000 Total intrinsic value of options outstanding $ 1,840,000 $ 696,000 $ 1,353,000 Total intrinsic value of options exercisable $ 993,000 $ 389,000 $ 731,000 The following table summarizes information about stock options outstanding under the 2012 Employee Plan at June 30, 2021: Options outstanding Options exercisable Weighted average Number remaining Weighted average Number Weighted average Range of exercise prices outstanding contractual life exercise price exercisable exercise price $2.19 ‑ $16.80 214,080 7.4 $ 9.59 98,176 $ 8.07 214,080 7.4 $ 9.59 98,176 $ 8.07 As of June 30, 2021, there was $555,000 of unearned stock-based compensation cost related to share-based compensation arrangements granted under the 2012 Employee Plan. 0 and 141,880 options were granted during the fiscal years ended June 30, 2021 and 2020, respectively. 8,600 stock options exercised during the fiscal year ended June 30, 2021, were settled by exchanging 4,604 shares of the Company’s common stock which were retired and returned to unissued status upon receipt. 7,200 of the 31,200 stock options exercised during the fiscal year ended June 30, 2020 were settled by exchanging 3,256 shares of the Company's common stock which were retired and returned to unissued status upon receipt. 16,400 of the 27,400 stock options exercised during the fiscal year ended June 30, 2019 were settled by exchanging 6,212 shares of the Company’s common stock which were retired and returned to unissued status upon receipt. The total grant date fair value of the options vesting during the fiscal years ended June 30, 2021, 2020 and 2019 under this plan was $244,000, $197,000 and $95,000, respectively. $0, $79,000 and $31,000 was received from option exercises for the fiscal years ended June 30, 2021, 2020 and 2019, respectively, and the actual tax benefit realized for the tax deductions from option exercises was $0 for each of these periods. 2012 Non-Employee Stock Option Plan In December 2012, the stockholders approved the 2012 Non-Employee Stock Option Plan (the 2012 Non-Employee Plan). This plan authorizes the granting of awards, the exercise of which would allow up to an aggregate of 100,000 shares of the Company’s common stock to be acquired by the holders of such awards. Under this plan, the Company may grant stock options to non-employee directors and consultants to the Company and its subsidiaries. Under the 2012 Non-Employee Plan, stock options may be granted with a term of up to 10 years at an exercise price equal to or greater than the fair market value on the date of grant and are exercisable in whole or in part at 20% per year beginning on the date of grant. An option granted under this plan shall vest in full upon a “change in control” as defined in the plan. At June 30, 2021, 12,000 stock options were outstanding, 6,240 stock options were exercisable and 9,600 stock options were available for grant under this plan. No options were granted under this plan during the year ended June 30, 2021. The fair value of each option granted was estimated on the date of grant using the Black-Scholes option-pricing model with the following weighted average assumptions: 2021 2020 2019 Risk-free interest rates n/a % 1.6 % n/a % Expected lives n/a 10 years n/a Expected volatility n/a % 44 % n/a % Expected dividend yields n/a % 0 % n/a % The following table reflects activity under the 2012 Non-Employee Plan for the fiscal years ended June 30,: 2021 2020 2019 Weighted average Weighted average Weighted average Options exercise price Options exercise price Options exercise price Outstanding, beginning of year 24,000 $ 5.15 20,400 $ 4.00 55,600 $ 3.43 Granted — — 3,600 11.68 — — Forfeited (9,600) 3.59 — — (3,600) 4.35 Exercised (2,400) 4.35 — — (31,600) 2.96 Outstanding, end of period 12,000 $ 6.55 24,000 $ 5.15 20,400 $ 4.00 Exercisable, end of period 6,240 $ 6.04 11,520 $ 4.18 6,000 $ 3.14 Weighted average fair value at grant date of options granted n/a $ 6.47 n/a Total intrinsic value of options exercised $ 31,000 n/a $ 192,000 Total intrinsic value of options outstanding $ 140,000 $ 157,000 $ 221,000 Total intrinsic value of options exercisable $ 76,000 $ 87,000 $ 70,000 The following table summarizes information about stock options outstanding under the 2012 Non-Employee Plan at June 30, 2021: Options outstanding Options exercisable Weighted average Number remaining Weighted average Number Weighted average Range of exercise prices outstanding contractual life exercise price exercisable exercise price $2.19 - $11.68 12,000 7.1 $ 6.55 6,240 $ 6.04 12,000 7.1 $ 6.55 6,240 $ 6.04 As of June 30, 2021, there was $15,000 of unearned stock-based compensation cost related to share-based compensation arrangements granted under the 2012 Non-Employee Plan. 0 and 3,600 options were granted during the fiscal years ended June 30, 2021 and 2020, respectively. 2,400 stock options exercised during the fiscal year ended June 30, 2021 were settled by exchanging 612 shares of the Company’s common stock which were retired and returned to unissued status upon receipt. 29,200 of the 31,600 stock options exercised during the fiscal year ended June 30, 2019 were settled by exchanging 9,664 shares of the Company common stock which were retired and returned to unissued status upon receipt. No options were exercised during the fiscal year ended June 30, 2020. The actual tax benefit realized for the tax deductions from option exercises was $6,000, $0 and $35,000 in fiscal 2021, 2020 and 2019, respectively.The total grant date fair value of the options vesting during each of the fiscal years ended June 30, 2021, 2020 and 2019 under this plan was $18,000, $18,000 and $22,000, respectively. 2018 Non-Employee Stock Option Plan In December 2018, the stockholders approved the 2018 Non-Employee Stock Option Plan (the “2018 Non-Employee Plan”). This plan authorizes the granting of awards, the exercise of which would allow up to an aggregate of 100,000 shares of the Company's common stock to be acquired by the holders of such awards. Under this plan, the Company may grant stock options to non-employee directors and consultants to the Company and its subsidiaries. Under the 2018 Non-Employee Plan, stock options may be granted with a term of up to 10 years at an exercise price equal to or greater than the fair market value on the date of grant and are exercisable in whole or in part at 20% per year beginning on the date of grant. An option granted under this plan shall vest in full upon a “change in control” as defined in the plan. At June 30, 2021, 70,100 stock options were outstanding, 29,960 stock options were exercisable and 23,500 stock options were available for grant under this plan. No options were granted under this plan during the year ended June 30, 2021. The fair value of each option granted was estimated on the date of grant using the Black-Scholes option-pricing model with the following weighted average assumptions: 2021 2020 2019 Risk-free interest rates n/a % 1.60 - 1.80 % 2.90 % Expected lives n/a 10 years 10 years Expected volatility n/a % 44 - 45 % 50 % Expected dividend yields n/a % — % — % The following table reflects activity under the 2018 Non-Employee plan for the fiscal year ended June 30,: 2021 2020 2019 Weighted average Weighted average Weighted average Options exercise price Options exercise price Options exercise price Outstanding, beginning of year 96,800 $ 11.74 30,400 $ 8.10 — $ — Granted — — 66,400 13.41 40,000 8.10 Forfeited/Lapsed (23,500) 11.68 — — (6,400) 8.10 Exercised (3,200) 8.10 — — (3,200) 8.10 Outstanding, end of period 70,100 $ 11.93 96,800 $ 11.74 30,400 $ 8.10 Exercisable, end of period 29,960 $ 11.68 24,480 $ 10.98 4,800 $ 8.10 Weighted average fair value at grant date of options granted n/a $ 7.55 $ 5.12 Total intrinsic value of options exercised $ 29,000 n/a $ 24,000 Total intrinsic value of options outstanding $ 439,000 $ 110,000 $ 205,000 Total intrinsic value of options exercisable $ 195,000 $ 40,000 $ 32,000 The following table summarizes information about stock options outstanding under the 2018 Non- Employee Plan at June 30, 2021: Options outstanding Options exercisable Weighted average Number remaining Weighted average Number Weighted average Range of exercise prices outstanding contractual life exercise price exercisable exercise price $8.10 - $15.27 70,100 8.2 $ 11.93 29,960 $ 11.68 70,100 8.2 $ 11.93 29,960 $ 11.68 As of June 30, 2021, there was $278,000 of unearned stock-based compensation cost related to share-based compensation arrangements granted under the 2018 Non-Employee Plan. 0, 66,400 and 40,000 options were granted during the fiscal years ended June 30, 2021, 2020 and 2019, respectively. 3,200 of the stock options exercised during the fiscal year ended June 30, 2021 were settled by exchanging 1,518 shares of the Company’s common stock which were retired and returned to unissued status upon receipt. 1,600 of the 3,200 stock options exercised during the fiscal year ended June 30, 2019 were settled by exchanging 790 shares of the Company’s common stock which were retired and returned to unissued status upon receipt. There were no options exercised during the fiscal year ended June 30, 2020. The actual tax benefit realized for the tax deductions from option exercises was $6,000, $0 $3,000 in fiscal 2021, 2020 and 2019, respectively. The total grant date fair value of the options vesting during the fiscal year ended June 30, 2021, 2020 and 2019 under this plan was $133,000, $133,000 and $41,000, respectively. 2020 Non-Employee Stock Option Plan In May 2020, the stockholders approved the 2020 Non-Employee Stock Option Plan (the “2020 Non-Employee Plan”). This plan authorizes the granting of awards, the exercise of which would allow up to an aggregate of 100,000 shares of the Company's common stock to be acquired by the holders of such awards. Under this plan, the Company may grant stock options to non-employee directors and consultants to the Company and its subsidiaries. Under the 2020 Non-Employee Plan, stock options may be granted with a term of up to 10 years at an exercise price equal to or greater than the fair market value on the date of grant and are exercisable in whole or in part at 20% per year beginning on the date of grant. An option granted under this plan shall vest in full upon a “change in control” as defined in the plan. At June 30, 2021, 10,000 stock options were outstanding, 2,000 stock options were exercisable and 90,000 stock options were available for grant under this plan. The fair value of each option granted during the fiscal year ended June 30, 2021 was estimated on the date of grant using the Black-Scholes option-pricing model with the following weighted average assumptions: 2021 Risk-free interest rates 0.62 % Expected lives 10 Expected volatility 45 % Expected dividend yields 0 % The following table reflects activity under the 2020 Non-Employee plan for the fiscal year ended June 30,: 2021 Weighted average Options exercise price Outstanding, beginning of year — — Granted 10,000 $ 11.40 Exercised — — Outstanding, end of period 10,000 $ 11.40 Exercisable, end of period 2,000 $ 11.40 Weighted average fair value at grant date of options granted $ 6.10 Total intrinsic value of options exercised n/a Total intrinsic value of options outstanding $ 68,000 Total intrinsic value of options exercisable $ 14,000 The following table summarizes information about stock options outstanding under the 2020 Non- Employee Plan at June 30, 2021: Options outstanding Options exercisable Weighted average Number remaining Weighted average Number Weighted average Range of exercise prices outstanding contractual life exercise price exercisable exercise price $11.40 10,000 9.2 $ 11.40 2,000 $ 11.40 10,000 9.2 $ 11.40 2,000 $ 11.40 As of June 30, 2021, there was $37,000 of unearned stock-based compensation cost related to share-based compensation arrangements granted under the 2020 Non-Employee Plan. 10,000 and 0 options were granted during the fiscal years ended June 30, 2021 and 2020, respectively. The total grant date fair value of the options vesting during the fiscal year ended June 30, 2021 and 2020 under this plan was $12,000 and $0, respectively. There were no options exercised in either of the fiscal years ended June 30, 2021 and 2020.

Stockholders' Equity Transactio

Stockholders' Equity Transactions	12 Months Ended
Stockholders' Equity Transactions	Jun. 30, 2021
Stockholders' Equity Transactions
Stockholders' Equity Transactions	NOTE 10 – Stockholders’ Equity Transactions On September 16, 2014 the Company’s board of directors authorized the repurchase of up to 2,000,000 of the approximately 38.8 million shares of the Company’s common stock then outstanding. Such repurchases may be made from time to time in the open market or in privately negotiated transactions subject to market conditions and the market price of the common stock. Relative to the loan agreement described in Note 8, the Company’s lender gave its consent to this stock repurchase plan. During the fiscal year ended June 30, 2021 the Company did not repurchase any shares of its outstanding common stock. During the fiscal year ended June 30, 2020 the Company repurchased 288,810 shares of its outstanding common stock at a weighted average price of $8.50. Shares repurchased through June 30, 2021 are included in the Company’s Treasury Stock as of June 30, 2021 and 2020. Pursuant to the PPP Loan Agreement described in Note 8, the Company may not repurchase any of its shares of common stock until 12 months after the termination of the term loans described therein. During fiscal 2021, certain employees and Directors exercised stock options under the Company's 2012 Employee and Non-Employee and 2018 Non-employee Stock Option Plans totaling 14,200 shares. All of these exercises were completed as cashless exercises as allowed for under the Plans, where the exercise shares are issued by the Company in exchange for shares of the Company's common stock that are owned by the optionees. The number of shares surrendered by the optionees was 6,734 and was based upon the per share price on the effective date of the option exercise. During fiscal 2020, certain employees and Directors exercised stock options under the Company's 2012 Employee and Non-Employee Stock Option Plans totaling 31,200 shares. 7,200 of these exercises were completed as cashless exercises as allowed for under the Plans, where the exercise shares are issued by the Company in exchange for shares of the Company's common stock that are owned by the optionees. The number of shares surrendered by the optionees was 3,256 and was based upon the per share price on the effective date of the option exercise. During fiscal 2019, certain employees and Directors exercised stock options under the Company’s 2012 Employee and Non-Employee Stock Option Plans and the Company’s 2002 Employee Stock Option Plan totaling 62,200 shares. 47,200 of these exercises were completed as cashless exercises as allowed for under the Plans, where the exercise shares are issued by the Company in exchange for shares of the Company’s common stock that are owned by the optionees. The number of shares surrendered by the optionees was 16,666 and was based upon the per share price on the effective date of the option exercise.

Related Party Transaction

Related Party Transaction	12 Months Ended
Related Party Transaction	Jun. 30, 2021
Related Party Transaction
Related Party Transaction	NOTE 11 – Related Party Transaction On December 15, 2020, 4,666,142 shares of common stock were sold in a secondary offering by the Company's President and Chairman. On December 21, 2020, the underwriters of the secondary offering fully exercised the option granted at the time of the secondary offering to purchase an additional 669,922 shares of common stock at the secondary offering price of $13.00 per share ("Greenshoe"), less underwriting discounts and commissions, which consists solely of shares sold by the Company's President and Chairman. The Company received no proceeds from the secondary offering or the Greenshoe, but incurred $289,000 in offering expenses, which are recorded in selling, general, and administrative expenses in the accompanying condensed consolidated statements of income.

401(k) Plan

401(k) Plan	12 Months Ended
401(k) Plan	Jun. 30, 2021
401(k) Plan
401(k) Plan	NOTE 12 - 401(k) Plan The Company maintains a 401(k) plan (“the Plan”) that covers all U.S. non-union employees with one or more years of service and is qualified under Sections 401(a) and 401(k) of the Internal Revenue Code. Company contributions to this plan are discretionary and totaled $138,000, $133,000 and $133,000 for the years ended June 30, 2021, 2020 and 2019, respectively.

Commitments and Contingencies

Commitments and Contingencies	12 Months Ended
Commitments and Contingencies	Jun. 30, 2021
Commitments and Contingencies
Commitments and Contingencies	NOTE 13 - Commitments and Contingencies Leases Effective July 1, 2019, the Company adopted the new lease accounting standard using the modified retrospective transition option of applying the new standard at the adoption date. In addition, we elected the package million Our lease obligation consists of a 99 year lease which commenced on April 26, 1993 with one of the Company’s foreign subsidiaries, expiring in 2092, for approximately four acres of land in the Dominican Republic at an annual cost of $288,000, on which the Company’s principal production facility is located. Operating leases are included in operating lease right-of-use assets, accrued expenses and operating lease liabilities, non-current on our condensed consolidated balance sheets. For the fiscal year ended June 30, 2021 and 2020, cash payments against operating lease liabilities totaled $288,000 and $240,000 respectively. Supplemental balance sheet information related to operating leases was as follows: Weighted-average remaining lease term 71 Years Weighted-average discount rate 3.55 % The following is a schedule, by years, of maturities of lease liabilities as of June 30, 2021 (in thousands): Year Ending June 30, Amount 2022 $ 282 2023 272 2024 263 2025 254 2026 245 Thereafter 6,057 Total $ 7,373 Operating lease expense totaled approximately $316,000, $315,000 and $330,000, for the fiscal years ended June 30, 2021, 2020 and 2019, respectively. Litigation In the normal course of business, the Company is a party to claims and/or litigation. Management believes that the settlement of such claims and/or litigation, considered in the aggregate, will not have a material adverse effect on the Company’s financial position and results of operations. Employment Agreements As of June 30, 2021, the Company was obligated under two employment agreements and one severance agreement. The employment agreements are with the Company’s CEO and the Senior Vice President of Engineering (“the SVP of Engineering”). The employment agreement with the CEO provides for an annual salary of $838,000, as adjusted for inflation; incentive compensation as may be approved by the Board of Directors from time to time and a termination payment in an amount up to 299% of the average of the prior five calendar year’s compensation, subject to certain limitations, as defined in the agreement. The employment agreement renews annually in August unless either party gives the other notice of non-renewal at least six months prior to the end of the applicable term. The employment agreement with the SVP of Engineering expires in August 2021 and provides for an annual salary of $347,000, and, if terminated by the Company without cause, severance of nine month’s salary and continued company-sponsored health insurance for six months from the date of termination. The severance agreement is with the Senior Vice President of Operations and Finance and provides for, if terminated by the Company without cause or within three months of a change in corporate control of the Company, severance of nine month’s salary, continued company-sponsored health insurance for six months from the date of termination and certain non-compete and other restrictive provisions.

Geographical Data

Geographical Data	12 Months Ended
Geographical Data	Jun. 30, 2021
Geographical Data
Geographical Data	NOTE 14 - Geographical Data The Company is engaged in one major line of business: the development, manufacture, and distribution of security products, encompassing access control systems, door-locking products, intrusion and fire alarm systems and video surveillance products for commercial and residential use. The Company also provides wireless communication service for intrusion and fire alarm systems. These products are used for commercial, residential, institutional, industrial and governmental applications, and are sold worldwide principally to independent distributors, dealers and installers of security equipment. Sales to unaffiliated customers are primarily shipped from the United States. The Company has customers worldwide with major concentrations in North America. Financial Information Relating to Domestic and Foreign Operations Year ended June 30, 2021 2020 2019 Sales to external customers (1): Domestic $ 112,618 $ 99,496 $ 100,716 Foreign 1,417 1,863 2,216 Total Net Sales $ 114,035 $ 101,359 $ 102,932 June 30, 2021 June 30, 2020 Identifiable assets, as restated: United States $ 90,941 $ 68,520 Dominican Republic (2) 31,610 35,978 Total Identifiable Assets $ 122,551 $ 104,498 (1) All of the Company’s sales originate in the United States and are shipped primarily from the Company’s facilities in the United States. There were no sales into any one foreign country in excess of 10% of total Net Sales. (2) Consists primarily of inventories (2021 = $20,712 ; 2020 = $24,821 ), operating lease assets (2021 = $ 7,373 ; 2020 = $ 7,395 ) and fixed assets (2021 = $3,208 ; 2020 = $3,481 ) located at the Company’s principal manufacturing facility in the Dominican Republic.

Subsequent Events

Subsequent Events	12 Months Ended
Subsequent Events	Jun. 30, 2021
Subsequent Events
Subsequent Events	NOTE 15 – Subsequent Events The Company has evaluated subsequent events occurring after the date of the consolidated financial statements for events requiring recording or disclosure in the consolidated financial statements. (a) During the fourth quarter of fiscal 2020, the Company received the proceeds of promissory notes dated between April 17, 2020 and May 7, 2020 (the "PPP Loan Agreement"), entered into between the Company and HSBC Bank USA N.A., as lender (the "Lender). Lender made the loans pursuant to the Paycheck Protection Program (the "PPP"), created by Section 1102 of the CARES Act and governed by the CARES Act, Section 7(a)(36) of the Small Business Act, any rules or guidance that has been issued by the Small Business Association (“SBA”) implementing the PPP and acting as guarantor, or any other applicable loan program requirements, as defined in 13 CFR § 120.10, as amended from time to time. Pursuant to the PPP Loan Agreement, the Lender made loans to the Company with an aggregate principal amount of $3,904,000 (the "PPP Loan"). Pursuant to the CARES Act, the loans may be forgiven by the SBA. Subsequent to June 30, 2021, the Company received notice from the SBA that its loans had been forgiven in full. Based on the guidance in FASB ASC 405-20-40-1, the proceeds from the loan will remain recorded as a liability until either (1) the loan is, in part or wholly, forgiven and the debtor has been “legally released” or (2) the debtor pays off the loan to the creditor. Accordingly, the Company will eliminate the liability and record a gain of $3,904,000 on the extinguishment of this debt in its fiscal quarter ended September 30, 2021. (b) In December 2021, the Company's Board of Directors approved a two-for-one stock split in the form of a 100% stock dividend of the Company’s common stock payable to stockholders of record on December 20, 2021. The additional shares were distributed on January 4, 2022. All share and per share amounts (except par value) have been retroactively adjusted to reflect the stock split. There was no net effect on total stockholders' equity as a result of the stock split.

Nature of Business and Summar_2

Nature of Business and Summary of Significant Accounting Policies (Policies)	12 Months Ended
	Jun. 30, 2021
Nature of Business and Summary of Significant Accounting Policies
Nature of Business	Nature of Business : Napco Security Technologies, Inc (“NAPCO”, “the Company”, “we”) is one of the leading manufacturers and designers of high-tech electronic security devices, as well as a leading provider of school safety solutions. We offer a diversified array of security products, encompassing access control systems, door-locking products, intrusion and fire alarm systems and video surveillance products. These products are used for commercial, residential, institutional, industrial and governmental applications, and are sold worldwide principally to independent distributors, dealers and installers of security equipment. We have experienced significant growth in recent years, primarily driven by fast growing recurring service revenues generated from wireless communication services for intrusion and fire alarm systems, as well as our school security products that are designed to meet the increasing needs to enhance school security as a result of on-campus shooting and violence in the U.S. The Company’s fiscal year begins on July 1 and ends on June 30. Historically, the end users of the Company’s products want to install its products prior to the summer; therefore sales of its products historically peak in the period April 1 through June 30, the Company’s fiscal fourth quarter, and are reduced in the period July 1 through September 30, the Company’s fiscal first quarter. In addition, demand for our products is affected by the housing and construction markets. Deterioration of the current economic conditions may also affect this trend. Our results for fiscal 2021 reflects the increase in customer demand after the creation of the challenging business environment resulting from the COVID-19 pandemic. While the Company believes this recovery will continue, there can be no assurances in the event of a return to building and construction restrictions that might result from a return to last year’s levels of COVID-19 cases.
Principles of Consolidation	Principles of Consolidation The consolidated financial statements include the accounts of Napco Security Technologies, Inc. and its wholly-owned subsidiaries. All inter-company balances and transactions have been eliminated in consolidation.
Accounting Estimates	Accounting Estimates The preparation of financial statements in conformity with Generally Accepted Accounting Principles (“GAAP”) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent gains and losses at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Critical estimates include management’s judgments associated with reserves for sales returns and allowances, allowance for doubtful accounts, inventory reserves, valuation of
Fair Value of Financial Instruments	Fair Value of Financial Instruments The methods and assumptions used to estimate the fair value of the following classes of financial instruments were: Current Assets and Current Liabilities - The carrying amount of cash and cash equivalents, certificates of deposits, current receivables and payables and certain other short-term financial instruments approximate their fair value as of June 30, 2021 and 2020 due to their short-term maturities.
Cash and Cash Equivalents	Cash and Cash Equivalents Cash and cash equivalents include approximately $63,000 and $460,000 of short-term time deposits at June 30, 2021 and 2020, respectively. The Company considers all highly liquid investments with original maturities of three months or less to be cash equivalents. The Company has cash balances in banks in excess of the maximum amount insured by the FDIC and other international agencies as of June 30, 2021 and 2020. The Company has not historically experienced any credit losses with balances in excess of FDIC limits.
Marketable Securities.	Marketable Securities The Company’s marketable securities include investments in mutual funds, which invest primarily in various government and corporate obligations, stocks and money market funds
Accounts Receivable	Accounts Receivable Accounts receivable is stated net of the reserves for doubtful accounts of $226,000 and $326,000 as of June 30, 2021 and 2020, respectively. Our reserves for doubtful accounts are subjective critical estimates that have a direct impact on reported net earnings. These reserves are based upon the evaluation of our accounts receivable aging, specific exposures, sales levels and historical trends.
Inventories	Inventories Inventories are valued at the lower of cost or net realizable value, with cost being determined on the first-in, first-out (FIFO) method. The reported net value of inventory includes finished saleable products, work-in-process and raw materials that will be sold or used in future periods. Inventory costs include raw materials, direct labor and overhead. The Company’s overhead expenses are applied based, in part, upon estimates of the proportion of those expenses that are related to procuring and storing raw materials as compared to the manufacture and assembly of finished products. These proportions, the method of their application, and the resulting overhead included in ending inventory, are based in part on subjective estimates and actual results could differ from those estimates. In addition, the Company records an inventory obsolescence reserve, which represents any excess of the cost of the inventory over its estimated realizable value. This reserve is calculated using an estimated obsolescence percentage applied to the inventory based on age, historical trends, product life cycles, requirements to support forecasted sales, and the ability to find alternate applications of its raw materials and to convert finished product into alternate versions of the same product to better match customer demand. In addition, and as necessary, the Company may establish specific reserves for future known or anticipated events. There is inherent professional judgment and subjectivity made by both production and engineering members of management in determining the estimated obsolescence percentage. The Company also regularly reviews the period over which its inventories will be converted to sales. Any inventories expected to convert to sales beyond 12 months from the balance sheet date are classified as non-current.
Property, Plant, and Equipment	Property, Plant, and Equipment Property, plant, and equipment are carried at cost less accumulated depreciation. Expenditures for maintenance and repairs are charged to expense as incurred; costs of major renewals and improvements are capitalized. At the time property and equipment are retired or otherwise disposed of, the cost and accumulated depreciation are eliminated from the asset and accumulated depreciation accounts and the profit or loss on such disposition is reflected in income. Depreciation is recorded over the estimated service lives of the related assets using primarily the straight-line method. Amortization of leasehold improvements is calculated by using the straight-line method over the estimated useful life of the asset or lease term, whichever is shorter.
Long-Lived and Intangible Assets	Long-Lived and Intangible Assets Long-lived assets are amortized over their useful lives and are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of the assets in question may not be recoverable. Impairment would be recorded in circumstances where undiscounted cash flows expected to be generated by an asset are less than the carrying value of that asset. Intangible assets determined to have indefinite lives were not amortized but were tested for impairment at least annually. The Company’s acquisition of substantially all of the assets and certain liabilities of G. Marks Hardware, Inc. (“Marks”) in August 2008 included intangible assets recorded at fair value on the date of acquisition. The customer relationships are amortized over their estimated useful lives of twenty years. At the acquisition date, the Marks trade name was deemed to have an indefinite life. During the 4th quarter of fiscal 2020, the Company determined that the trade-name was impaired. Accordingly, the Company recorded an impairment charge of $1,852,000 and reclassified the remaining balance of the underlying asset from indefinite-lived to a long-lived asset with a remaining useful life of 20 years as of June 30, 2020. Changes in intangible assets are as follows (in thousands): June 30, 2021 June 30, 2020 June 30, 2019 Carrying Accumulated Net book Carrying Accumulated Net book Carrying Accumulated Net book value amortization value value amortization value value amortization value Customer relationships $ 9,800 $ (8,955) $ 845 $ 9,800 $ (8,732) $ 1,068 $ 9,800 $ (8,468) $ 1,332 Trade name 4,048 (202) 3,846 4,048 — 4,048 5,900 — 5,900 $ 13,848 $ (9,157) $ 4,691 $ 13,848 $ (8,732) $ 5,116 $ 15,700 $ (8,468) $ 7,232 Amortization expense for intangible assets subject to amortization was approximately $425,000, $264,000 and $313,000 for the fiscal years ended June 30, 2021, 2020 and 2019, respectively. Amortization expense for each of the next five fiscal years is estimated to be as follows: 2022-$390,000; 2023 - $361,000; 2024 - $336,000; 2025 - $315,000; and 2026-$297,000. The weighted average remaining amortization period for intangible assets was 16.9 years and 17.5 years at June 30, 2021 and 2020, respectively.
Revenue Recognition	Revenue Recognition Revenue is recognized upon transfer of control of promised products or services to customers in an amount that reflects the consideration the Company expects to receive in exchange for those products or services. For product sales, the Company typically transfers control at a point in time upon shipment or delivery of the product. For monthly communication services the Company satisfies its performance obligation as the services are rendered and therefore recognizes revenue over the monthly period. Typically timing of revenue recognition coincides with the timing of invoicing to the customers, at which time the Company has an unconditional right to consideration. As such, the Company typically records a receivable when revenue is recognized. The contract with the customer states the final terms of the sale, including the description, quantity, and price of each product purchased. Payment for product sales is typically due within 30 and 180 days of the delivery date. Payment for monthly communication services is billed on a monthly basis and is typically due at the beginning of the month of service. The Company provides limited standard warranty for defective products, usually for a period of 24 to 36 months. The Company accepts returns for such defective products as well as for other limited circumstances. The Company also provides rebates to customers for meeting specified purchasing targets and other coupons or credits in limited circumstances. The Company establishes reserves for the estimated returns, rebates and credits and measures such variable consideration based on the expected value method using an analysis of historical data. Changes to the estimated variable consideration in subsequent periods are not material. The Company analyzes sales returns and is able to make reasonable and reliable estimates of product returns based on the Company’s past history. Estimates for sales returns are based on several factors including actual returns and based on expected return data communicated to it by its customers. Accordingly, the Company believes that its historical returns analysis is an accurate basis for its allowance for sales returns. Actual results could differ from those estimates.
Advertising and Promotional Costs	Advertising and Promotional Costs Advertising and promotional costs are included in "Selling, General and Administrative" expenses in the consolidated statements of income and are expensed as incurred. Advertising expense for fiscal years ended June 30, 2021, 2020 and 2019 was $1,306,000, $1,722,000 and $2,047,000, respectively.
Research and Development Costs	Research and Development Costs Research and development costs incurred by the Company are charged to expense as incurred and are included in operating expenses in the consolidated statements of income. Company-sponsored research and development expense for the fiscal years ended June 30, 2021, 2020 and 2019 was $7,620,000, $7,257,000 and $7,212,000, respectively.
Income Taxes	Income Taxes Deferred tax assets and liabilities are recognized for the future tax consequences attributable to temporary differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. Deferred income tax expense represents the change during the period in the deferred tax assets and deferred tax liabilities. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion or all of the deferred tax assets will not be realized. The Company measures and recognizes the tax implications of positions taken or expected to be taken in its tax returns on an ongoing basis. The Company records uncertain tax positions in accordance with ASC 740 on the basis of a two-step process in which (1) we determine whether it is more likely than not that the tax positions will be sustained on the basis of the technical merits of the position and (2) for those tax positions that meet the more-likely-than-not recognition threshold, we recognize the largest amount of tax benefit that is more than 50 percent likely to be realized upon ultimate settlement with the related tax authority.
Net Income per Share	Net Income per Share as Restated Basic net income per common share (Basic EPS) is computed by dividing net income by the weighted average number of common shares outstanding. Diluted net income per common share (Diluted EPS) is computed by dividing net income by the weighted average number of common shares and dilutive common share equivalents and convertible securities then outstanding. The following provides a reconciliation of information used in calculating the per share amounts for the fiscal years ended June 30 (in thousands, except per share data): Weighted Average Net Income per Net Income Shares Share 2021 2020 2019 2021 2020 2019 2021 2020 2019 Basic EPS $ 15,413 $ 7,795 $ 12,481 36,696 36,888 37,148 $ 0.42 $ 0.21 $ 0.34 Effect of Dilutive Securities: Stock Options — — — 112 98 100 — — — Diluted EPS $ 15,413 $ 7,795 $ 12,481 36,808 36,986 37,248 $ 0.42 $ 0.21 $ 0.34
Stock-Based Compensation	Options to purchase 40,000, 77,638 and 5,914 shares of common stock were excluded for the fiscal years ended June 30, 2021, 2020 and 2019, respectively, and were not included in the computation of Diluted EPS because their inclusion would be anti-dilutive. These options were still outstanding at the end of the respective periods.Stock-Based Compensation The Company has established four share incentive programs as discussed in Note 9. Stock-based compensation cost is measured at the grant date based on the fair value of the award and is recognized as expense on a straight-line basis over the vesting period. Determining the fair value of share-based awards at the grant date requires assumptions and judgments about expected volatility and forfeiture rates, among other factors. Stock-based compensation costs of $435,000, $583,000 and $160,000 were recognized for the fiscal years ended June 30, 2021, 2020 and 2019, respectively.
Foreign Currency	Foreign Currency The Company has determined the functional currency of all foreign subsidiaries is the U.S. Dollar. All foreign operations are considered a direct and integral part or extension of the Company’s operations. The day-to-day operations of all foreign subsidiaries are dependent on the economic environment of the U.S. Dollar. Therefore, no realized and unrealized gains and losses associated with foreign currency translation are recorded for the fiscal years ended June 30, 2021, 2020 or 2019.
Comprehensive Income	Comprehensive Income For the fiscal years ended June 30, 2021, 2020 and 20219, the Company’s operations did not give rise to material items includable in comprehensive income, which were not already included in net income. Accordingly, the Company’s comprehensive income approximates its net income for all periods presented.
Segment Reporting	Segment Reporting The Company’s reportable operating segments are determined based on the Company’s management approach. The management approach is based on the way that the chief operating decision maker organizes the segments within an enterprise for making operating decisions and assessing performance. The Company’s results of operations are reviewed by the chief operating decision maker on a consolidated basis and the Company operates in only one segment. The Company has presented required geographical data in Note 14.
Shipping and Handling Sales and Costs	Shipping and Handling Sales and Costs The Company records the amount billed to customers for shipping and handling in net sales ($395,000, $452,000 and $430,000 in the fiscal years ended June 30, 2021, 2020 and 2019, respectively) and classifies the costs associated with these sales in cost of sales ($1,058,000, $1,034,000 and $1,115,000 in the fiscal years ended June 30, 2021, 2020 and 2019, respectively).
Leases	Leases Effective July 1, 2019, the Company adopted the new lease accounting standard using the modified retrospective transition option of applying the new standard at the adoption date. In addition, we elected the package of practical expedients million
Recently Adopted Accounting Standards and Recently Issued Accounting Standards	Recently Adopted Accounting Standards On July 1, 2019, we adopted Accounting Standards Update No. 2016-02, Leases (Topic 842) (ASU 2016-02), as amended, which supersedes the lease accounting guidance under Topic 840, and generally requires lessees to recognize operating and financing lease liabilities and corresponding right-of-use assets on the balance sheet and to provide enhanced disclosures surrounding the amount, timing and uncertainty of cash flows arising from leasing arrangements. We adopted the new guidance using the modified retrospective transition approach by applying the new standard to all leases existing at the date of initial application and not restating comparative periods. The most significant impact was the recognition of ROU assets and lease liabilities for operating leases. For information regarding the impact of Topic 842 adoption, see Significant Accounting Policies - Leases and Note 13- Leases. Recently Issued Accounting Standards Reference Rate Reform (ASC Topic 848) In March 2020, the FASB issued authoritative guidance to provide optional relief for companies preparing for the discontinuation of interest rates such as the London Interbank Offered Rate (“LIBOR”), which is expected to be phased out at the end of calendar 2021, and applies to lease contracts, hedging instruments, held-to-maturity debt securities and debt arrangements that have LIBOR as the benchmark rate. In January 2021, the FASB issued authoritative guidance that makes amendments to the new rules on accounting for reference rate reform. The amendments clarify that for all derivative instruments affected by the changes to interest rates used for discounting, margining or contract price alignment, regardless of whether they reference LIBOR or another rate expected to be discontinued as a result of reference rate reform, an entity may apply certain practical expedients in ASC Topic 848. Effective for the Company – This guidance can be applied for a limited time through December 31, 2022. The guidance will no longer be available to apply after December 31, 2022. Impact on consolidated financial statements – The Company is currently assessing the impact of applying this guidance on its existing derivative contracts, leases and other arrangements, as well as when to adopt this guidance.

Nature of Business and Summar_3

Nature of Business and Summary of Significant Accounting Policies (Tables)	12 Months Ended
	Jun. 30, 2021
Nature of Business and Summary of Significant Accounting Policies
Schedule of changes in intangible assets	June 30, 2021 June 30, 2020 June 30, 2019 Carrying Accumulated Net book Carrying Accumulated Net book Carrying Accumulated Net book value amortization value value amortization value value amortization value Customer relationships $ 9,800 $ (8,955) $ 845 $ 9,800 $ (8,732) $ 1,068 $ 9,800 $ (8,468) $ 1,332 Trade name 4,048 (202) 3,846 4,048 — 4,048 5,900 — 5,900 $ 13,848 $ (9,157) $ 4,691 $ 13,848 $ (8,732) $ 5,116 $ 15,700 $ (8,468) $ 7,232
Schedule of reconciliation of earnings per share	Weighted Average Net Income per Net Income Shares Share 2021 2020 2019 2021 2020 2019 2021 2020 2019 Basic EPS $ 15,413 $ 7,795 $ 12,481 36,696 36,888 37,148 $ 0.42 $ 0.21 $ 0.34 Effect of Dilutive Securities: Stock Options — — — 112 98 100 — — — Diluted EPS $ 15,413 $ 7,795 $ 12,481 36,808 36,986 37,248 $ 0.42 $ 0.21 $ 0.34

Restatement of Previously Iss_2

Restatement of Previously Issued Financial Statements (Tables)	12 Months Ended
	Jun. 30, 2021
Nature of Business and Summary of Significant Accounting Policies
Schedule of originally reported and restated balances	Subsequent to the filing of the Original Form 10-K, management reviewed its methodology for calculating its reserves for obsolete inventory. During this review, management identified changes related to the Company’s reserves for obsolete inventory that it deemed appropriate. The reserves reflected in the Company’s Original Form 10-K relied primarily on estimates developed by management, which were based on historic and institutional knowledge and judgements as to the potential for obsolescence for items deemed at risk. Upon management’s review, it was determined a systematic method of evaluation, which utilized historical data, including sales data and component parts usage, as well as product life cycles, trends and judgement, is more accurate. This resulted in changes to the Company’s reserves for obsolescence for fiscal years 2021, 2020 and 2019. The effects of these changes on the financial statements for these periods are shown in the tables below. Retained earning as of the beginning of fiscal 2019 has been adjusted by $894 related to the restatement of inventories ($901) net of tax effect of ($7). The table below sets forth the consolidated balance sheets information, including the balances originally reported and the restated balances as of June 30: June 30, 2021 June 30, 2020 (in thousands, except for share and per share data) As As previously As previously As reported restated reported restated Inventory - Current $ 25,278 $ 24,933 $ 35,231 $ 34,727 Inventory - Non-Current 7,164 6,767 6,524 5,688 Accrued income taxes 1,635 1,709 1,148 1,239 Deferred income taxes 347 380 112 43 Retained earnings 94,345 93,312 79,444 77,899 The table below sets forth the consolidated statements of income information, including the balances originally reported and the restated balances for the fiscal years ended June 30: June 30, 2021 (in thousands, except for share and per share data) As previously reported Restated Equipment Related Expenses $ 58,998 $ 58,401 Cost of Sales 63,884 63,287 Gross Profit 50,151 50,748 Operating Income 17,335 17,932 Income before provision for Income Taxes 17,330 17,927 Provision for Income Taxes 2,429 2,514 Net Income 14,901 15,413 Income per share: Basic $ 0.41 $ 0.42 Diluted $ 0.41 $ 0.42 June 30, 2020 (in thousands, except for share and per share data) As previously reported Restated Equipment Related Expenses $ 53,434 $ 54,182 Cost of Sales 57,767 58,515 Gross Profit 43,592 42,844 Operating Income 10,813 10,065 Income before provision for Income Taxes 10,804 10,056 Provision for Income Taxes 2,284 2,261 Net Income 8,520 7,795 Income per share: Basic $ 0.23 $ 0.21 Diluted $ 0.23 $ 0.21 June 30, 2019 (in thousands, except for share and per share data) As previously reported Restated Equipment Related Expenses $ 55,240 $ 54,930 Cost of Sales 59,042 58,732 Gross Profit 43,890 44,200 Operating Income 13,466 13,776 Income before provision for Income Taxes 13,445 13,755 Provision for Income Taxes 1,222 1,274 Net Income 12,223 12,481 Income per share: Basic $ 0.33 $ 0.34 Diluted $ 0.33 $ 0.34 The table below sets forth the consolidated statements of cash flows information, including the balances originally reported and the restated balances for the fiscal years ended June 30: June 30, 2021 (in thousands, except for share and per share data) As previously reported Restated Net income $ 14,901 $ 15,413 Change to inventory obsolescence reserve 519 (79) Deferred income taxes 235 337 Changes in operating assets and liabilities: Accounts payable, accrued expenses, accrued salaries and wages, accrued income taxes 1,906 1,889 Net Cash Provided by Operating Activities 22,987 22,987 June 30, 2020 (in thousands, except for share and per share data) As previously reported Restated Net income $ 8,520 $ 7,795 Change to inventory obsolescence reserve (124) 624 Deferred income taxes 40 (47) Changes in operating assets and liabilities: Accounts payable, accrued expenses, accrued salaries and wages, accrued income taxes 1,862 1,926 Net Cash Provided by Operating Activities 10,305 10,305 'June 30, 2019 (in thousands, except for share and per share data) As previously reported Restated Net income $ 12,223 $ 12,481 Change to inventory obsolescence reserve (272) (582) Deferred income taxes 755 755 Changes in operating assets and liabilities: Accounts payable, accrued expenses, accrued salaries and wages, accrued income taxes 1,528 1,580 Net Cash Provided by Operating Activities 8,653 8,653

Revenue Recognition and Contr_2

Revenue Recognition and Contracts with Customers (Tables)	12 Months Ended
Revenue Recognition and Contracts with Customers (Tables)	Jun. 30, 2021
Revenue Recognition and Contracts with Customers
Schedule of disaggregation of revenues	Year ended June 30, 2021 2020 2019 Major Product Lines: Intrusion and access alarm products $ 36,794 $ 31,310 $ 31,557 Door locking devices 43,337 46,004 53,948 Services 33,904 24,045 17,427 Total Revenues $ 114,035 $ 101,359 $ 102,932

Marketable Securities (Tables)

Marketable Securities (Tables)	12 Months Ended
Marketable Securities (Tables)	Jun. 30, 2021
Marketable Securities
Schedule of net gains and losses of marketable securities	June 30, 2021 Net gains recognized during the period on marketable securities $ — Less: Net gains recognized during the year on marketable securities sold during the period — Unrealized (losses) gains recognized during the reporting year on marketable securities still held at the reporting date (9) $ (9)

Inventories (Tables)

Inventories (Tables)	12 Months Ended
Inventories (Tables)	Jun. 30, 2021
Inventories
Schedule of inventory	June 30, June 30, 2021 2020 (as restated) Component parts $ 17,245 $ 21,677 Work-in-process 6,158 7,276 Finished product 8,297 11,462 $ 31,700 $ 40,415 Classification of inventories, net of reserves: Current $ 24,933 $ 34,727 Non-current 6,767 5,688 $ 31,700 $ 40,415

Property, Plant, and Equipment

Property, Plant, and Equipment (Tables)	12 Months Ended
Property, Plant, and Equipment (Tables)	Jun. 30, 2021
Property, Plant, and Equipment
Schedule of property, plant and equipment	June 30, 2021 June 30, 2020 Useful Life in Years Land $ 904 $ 904 N/A Buildings 8,911 8,911 30 to 40 Molds and dies 7,416 7,337 3 to 5 Furniture and fixtures 2,813 2,792 5 to 10 Machinery and equipment 25,548 24,878 7 to 10 Building improvements 2,409 2,173 Shorter of the lease term or life of asset 48,001 46,995 Less: accumulated depreciation and amortization (40,165) (38,907) $ 7,836 $ 8,088

Income Taxes (Tables)

Income Taxes (Tables)	12 Months Ended
Income Taxes (Tables)	Jun. 30, 2021
Income Taxes
Schedule of provision for income taxes	For the Year ended June 30, 2021 2020 2019 Current income taxes: Federal $ 1,912 $ 1,765 $ 334 State 265 418 151 2,177 2,183 485 Deferred income tax provision 337 78 789 Provision for income taxes $ 2,514 $ 2,261 $ 1,274
Schedule of effective income tax rate reconciliation	2021 2020 2019 % of % of % of Pre-tax Pre-tax Pre-tax Amount Income Amount Income Amount Income Tax at Federal statutory rate $ 3,765 21.0 % $ 2,112 21.0 % $ 2,888 21.0 % Increases (decreases) in taxes resulting from: Meals and entertainment 29 0.2 % 44 0.4 % 49 0.4 % State income taxes, net of Federal income tax benefit 135 0.8 % 122 1.2 % 111 0.8 % Foreign source income not subject to tax (1,647) (9.2) % (1,089) (10.8) % (1,241) (9.0) % R&D Credit (523) (2.9) % (523) (4.7) % (408) (3.0) % Foreign withholding tax 205 1.1 % — — % — — % Release of accrued tax reserves — — % — — % (151) (1.1) % Uncertain Tax Positions 312 1.7 % 775 7.2 % — — % IRS examination settlements — — % 832 8.3 % 12 0.1 % Other, net 238 1.3 % (12) (0.1) % 14 0.1 % Effective tax rate $ 2,514 14.0 % $ 2,261 22.5 % $ 1,274 9.3 %
Schedule of deferred tax assets and liabilities	Deferred Tax Assets (Liabilities) 2021 2020 Accounts receivable $ 43 $ 40 Inventories 314 443 Accrued liabilities 374 262 Stock based compensation expense 102 96 Intangibles (454) (300) Property, plant and equipment (539) (484) Revenue reserves 393 308 Other deferred tax liabilities (613) (408) (380) (43) Valuation allowance — — Net deferred tax liabilities $ (380) $ (43)
Schedule of unrecognized tax benefits roll forward	Tax Interest Total Balance of gross unrecognized tax benefits as of July 1, 2018 $ 221 $ — $ 221 Decrease to unrecognized tax benefits resulting from release of R&D credits due to the IRS audit (151) — (151) Increases to unrecognized tax benefits resulting from the generation of additional R&D credits 55 — 55 Balance of gross unrecognized tax benefits as of June 30, 2019 $ 125 $ — $ 125 Increase to unrecognized tax benefits resulting from deemed dividends for investments in US property 682 83 765 Increases to unrecognized tax benefits resulting from the generation of additional R&D credits 59 — 59 Balance of gross unrecognized tax benefits as of June 30, 2020 $ 866 $ 83 $ 949 Decrease to unrecognized tax benefits from deemed dividends for investments in US property (3) (20) (23) Decrease to unrecognized tax benefits resulting from the release of R&D credits due to the settled IRS audit (185) — (185) Balance of gross unrecognized tax benefits as of June 30, 2021 $ 678 $ 63 $ 741

Long-Term Debt (Tables)

Long-Term Debt (Tables)	12 Months Ended
Long-Term Debt (Tables)	Jun. 30, 2021
Long-Term Debt
Schedule of debt instruments	June 30, 2021 June 30, 2020 Outstanding Interest Rate Outstanding Interest Rate Revolving line of credit $ — n/a $ — n/a Term loans 3,904 1 % 3,904 1 % 3,904 3,904 Less: current maturities (2,386) (1,794) Long-term debt $ 1,518 $ 2,110

Stock Options (Tables)

Stock Options (Tables)	12 Months Ended
Stock Options (Tables)	Jun. 30, 2021
2012 Employee Stock Option Plan
Stock Option
Schedule of fair value and valuation assumptions	2021 2020 2019 Risk-free interest rates n/a % .6% - 2.10 % 2.5% - 3.10 % Expected lives n/a 10 years 10 years Expected volatility n/a % 44% - 46 % 48% - 52 % Expected dividend yields n/a % 0 % 0 %
Schedule of plan activity	2021 2020 2019 Weighted average Weighted average Weighted average Options exercise price Options exercise price Options exercise price Outstanding, beginning of year 235,680 $ 9.42 145,000 $ 5.51 114,400 $ 3.55 Granted — — 141,880 12.25 58,000 8.30 Forfeited (13,000) 6.91 (20,000) 9.92 — — Exercised (8,600) 9.04 (31,200) 3.78 (27,400) 3.21 Outstanding, end of period 214,080 $ 9.59 235,680 $ 9.42 145,000 $ 5.51 Exercisable, end of period 98,176 $ 8.07 70,000 $ 6.57 67,600 $ 4.03 Weighted average fair value at grant date of options granted n/a $ 6.72 $ 4.58 Total intrinsic value of options exercised $ 65,000 278,000 160,000 Total intrinsic value of options outstanding $ 1,840,000 $ 696,000 $ 1,353,000 Total intrinsic value of options exercisable $ 993,000 $ 389,000 $ 731,000
Schedule of options outstanding	Options outstanding Options exercisable Weighted average Number remaining Weighted average Number Weighted average Range of exercise prices outstanding contractual life exercise price exercisable exercise price $2.19 ‑ $16.80 214,080 7.4 $ 9.59 98,176 $ 8.07 214,080 7.4 $ 9.59 98,176 $ 8.07
2012 Non-Employee Stock Option Plan
Stock Option
Schedule of fair value and valuation assumptions	2021 2020 2019 Risk-free interest rates n/a % 1.6 % n/a % Expected lives n/a 10 years n/a Expected volatility n/a % 44 % n/a % Expected dividend yields n/a % 0 % n/a %
Schedule of plan activity	2021 2020 2019 Weighted average Weighted average Weighted average Options exercise price Options exercise price Options exercise price Outstanding, beginning of year 24,000 $ 5.15 20,400 $ 4.00 55,600 $ 3.43 Granted — — 3,600 11.68 — — Forfeited (9,600) 3.59 — — (3,600) 4.35 Exercised (2,400) 4.35 — — (31,600) 2.96 Outstanding, end of period 12,000 $ 6.55 24,000 $ 5.15 20,400 $ 4.00 Exercisable, end of period 6,240 $ 6.04 11,520 $ 4.18 6,000 $ 3.14 Weighted average fair value at grant date of options granted n/a $ 6.47 n/a Total intrinsic value of options exercised $ 31,000 n/a $ 192,000 Total intrinsic value of options outstanding $ 140,000 $ 157,000 $ 221,000 Total intrinsic value of options exercisable $ 76,000 $ 87,000 $ 70,000
Schedule of options outstanding	Options outstanding Options exercisable Weighted average Number remaining Weighted average Number Weighted average Range of exercise prices outstanding contractual life exercise price exercisable exercise price $2.19 - $11.68 12,000 7.1 $ 6.55 6,240 $ 6.04 12,000 7.1 $ 6.55 6,240 $ 6.04
2018 Non-Employee Stock Option Plan
Stock Option
Schedule of fair value and valuation assumptions	2021 2020 2019 Risk-free interest rates n/a % 1.60 - 1.80 % 2.90 % Expected lives n/a 10 years 10 years Expected volatility n/a % 44 - 45 % 50 % Expected dividend yields n/a % — % — %
Schedule of plan activity	2021 2020 2019 Weighted average Weighted average Weighted average Options exercise price Options exercise price Options exercise price Outstanding, beginning of year 96,800 $ 11.74 30,400 $ 8.10 — $ — Granted — — 66,400 13.41 40,000 8.10 Forfeited/Lapsed (23,500) 11.68 — — (6,400) 8.10 Exercised (3,200) 8.10 — — (3,200) 8.10 Outstanding, end of period 70,100 $ 11.93 96,800 $ 11.74 30,400 $ 8.10 Exercisable, end of period 29,960 $ 11.68 24,480 $ 10.98 4,800 $ 8.10 Weighted average fair value at grant date of options granted n/a $ 7.55 $ 5.12 Total intrinsic value of options exercised $ 29,000 n/a $ 24,000 Total intrinsic value of options outstanding $ 439,000 $ 110,000 $ 205,000 Total intrinsic value of options exercisable $ 195,000 $ 40,000 $ 32,000
Schedule of options outstanding	Options outstanding Options exercisable Weighted average Number remaining Weighted average Number Weighted average Range of exercise prices outstanding contractual life exercise price exercisable exercise price $8.10 - $15.27 70,100 8.2 $ 11.93 29,960 $ 11.68 70,100 8.2 $ 11.93 29,960 $ 11.68
2020 Non-Employee Stock Option Plan
Stock Option
Schedule of fair value and valuation assumptions	2021 Risk-free interest rates 0.62 % Expected lives 10 Expected volatility 45 % Expected dividend yields 0 %
Schedule of plan activity	2021 Weighted average Options exercise price Outstanding, beginning of year — — Granted 10,000 $ 11.40 Exercised — — Outstanding, end of period 10,000 $ 11.40 Exercisable, end of period 2,000 $ 11.40 Weighted average fair value at grant date of options granted $ 6.10 Total intrinsic value of options exercised n/a Total intrinsic value of options outstanding $ 68,000 Total intrinsic value of options exercisable $ 14,000
Schedule of options outstanding	Options outstanding Options exercisable Weighted average Number remaining Weighted average Number Weighted average Range of exercise prices outstanding contractual life exercise price exercisable exercise price $11.40 10,000 9.2 $ 11.40 2,000 $ 11.40 10,000 9.2 $ 11.40 2,000 $ 11.40

Commitments and Contingencies (

Commitments and Contingencies (Tables)	12 Months Ended
Commitments and Contingencies (Tables)	Jun. 30, 2021
Commitments and Contingencies
Schedule of supplemental balance sheet information	Weighted-average remaining lease term 71 Years Weighted-average discount rate 3.55 %
Schedule of maturities of lease liabilities	Year Ending June 30, Amount 2022 $ 282 2023 272 2024 263 2025 254 2026 245 Thereafter 6,057 Total $ 7,373

Geographical Data (Tables)

Geographical Data (Tables)	12 Months Ended
Geographical Data (Tables)	Jun. 30, 2021
Geographical Data
Schedule of sales to external customers	Year ended June 30, 2021 2020 2019 Sales to external customers (1): Domestic $ 112,618 $ 99,496 $ 100,716 Foreign 1,417 1,863 2,216 Total Net Sales $ 114,035 $ 101,359 $ 102,932
Schedule of assets in individual foreign country by country	June 30, 2021 June 30, 2020 Identifiable assets, as restated: United States $ 90,941 $ 68,520 Dominican Republic (2) 31,610 35,978 Total Identifiable Assets $ 122,551 $ 104,498

Nature of Business and Summar_4

Nature of Business and Summary of Significant Accounting Policies (Details)	Jul. 01, 2019USD ($)	Jun. 30, 2021USD ($)segmentshares	Jun. 30, 2020USD ($)shares	Jun. 30, 2019USD ($)
Accounting policies
Cash and cash equivalents, short term deposits		$ 63,000	$ 460,000
Common stock, outstanding (in shares) \| shares		36,702,168	36,694,702
Allowance for doubtful accounts		$ 226,000	$ 326,000
Payment terms (in days)		30 and 180
Warranty term (in months)		24 to 36
Stock-Based Compensation
Number of share incentive programs		four
Stock based compensation expense		$ 435,000	583,000	$ 160,000
Foreign currency realized/unrealized gains(loss)		$ 0	0	$ 0
Segment Reporting
Operating segments (in segments) \| segment		1
Leases
Lease, Practical Expedients, Package [true false]	true
Operating lease liability	$ 7,700,000
Operating lease asset	$ 7,700,000	$ 7,373,000	$ 7,395,000
Accounting Standards Update 2016-02
Leases
Lease, Practical Expedients, Package [true false]	true
Operating lease liability	$ 7,700,000
Operating lease asset	$ 7,700,000

Nature of Business and Summar_5

Nature of Business and Summary of Significant Accounting Policies - Intangible Assets (Details) - USD ($)	1 Months Ended	12 Months Ended
	Aug. 31, 2008	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2019
Intangible assets
Impairment of intangible asset			$ 1,852,000
Useful life	20 years		20 years
Amortization expense		$ 425,000	$ 264,000	$ 313,000
Changes in intangible assets
Carrying value		13,848,000	13,848,000	15,700,000
Accumulated amortization		(9,157,000)	(8,732,000)	(8,468,000)
Net book value		4,691,000	$ 5,116,000	7,232,000
Future amortization expense
2023		390,000
2024		361,000
2025		336,000
2026		315,000
2026		$ 297,000
Weighted average remaining period		16 years 10 months 24 days	17 years 6 months
Customer relationships [Member]
Changes in intangible assets
Carrying value		$ 9,800,000	$ 9,800,000	9,800,000
Accumulated amortization		(8,955,000)	(8,732,000)	(8,468,000)
Net book value		845,000	1,068,000	1,332,000
Trade name
Changes in intangible assets
Carrying value		4,048,000	4,048,000	5,900,000
Accumulated amortization		(202,000)
Net book value		$ 3,846,000	$ 4,048,000	$ 5,900,000

Nature of Business and Summar_6

Nature of Business and Summary of Significant Accounting Policies - Income Statement location (Details) - USD ($)	12 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2019
Advertising and promotion costs	$ 1,306,000	$ 1,722,000	$ 2,047,000
Research and development	7,620,000	7,257,000	7,212,000
Cost of sales	63,287,000	58,515,000	58,732,000
Cost of sales [Member] \| Shipping and Handling
Cost of sales	395,000	452,000	430,000
Sales revenue, net \| Shipping and Handling
Cost of sales	$ 1,058,000	$ 1,034,000	$ 1,115,000

Nature of Business and Summar_7

Nature of Business and Summary of Significant Accounting Policies - Net Income per Share (Details) - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2019
Nature of Business and Summary of Significant Accounting Policies
Diluted EPS	$ 15,413	$ 7,795	$ 12,481
Weighted average
Basic (in shares)	36,696,000	36,888,000	37,148,000
Stock Options	112,000	98,000	100,000
Diluted (in shares)	36,808,000	36,986,000	37,248,000
Effect of Dilutive Securities:
Basic (in dollars per share)	$ 0.42	$ 0.21	$ 0.34
Diluted (in dollars per share)	$ 0.42	$ 0.21	$ 0.34

Restatement of Previously Iss_3

Restatement of Previously Issued Financial Statements - Consolidated balance sheets (Details) - USD ($) $ in Thousands	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2018
Error Corrections and Prior Period Adjustments Restatement [Line Items]
Inventory - Current	$ 24,933	$ 34,727
Inventory - Non-Current	6,767	5,688
Retained earnings	93,312	77,899
Shareholders Equity	92,388	76,540	$ 70,536	$ 62,559
Previously Reported
Error Corrections and Prior Period Adjustments Restatement [Line Items]
Inventory - Current	25,278	35,231
Inventory - Non-Current	7,164	6,524
Retained earnings	$ 94,345	$ 79,444
Shareholders Equity				$ 63,453

Restatement of Previously Iss_4

Restatement of Previously Issued Financial Statements - Consolidated statements of income (Details) - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2019
Error Corrections and Prior Period Adjustments Restatement [Line Items]
Cost of sales	$ 63,287	$ 58,515	$ 58,732
Gross Profit	50,748	42,844	44,200
Operating Income	17,932	10,065	13,776
Provision for Income Taxes	2,514	2,261	1,274
Net income	$ 15,413	$ 7,795	$ 12,481
Income per share:
Basic (in dollars per share)	$ 0.42	$ 0.21	$ 0.34
Diluted (in dollars per share)	$ 0.42	$ 0.21	$ 0.34
Previously Reported
Error Corrections and Prior Period Adjustments Restatement [Line Items]
Cost of sales	$ 63,884
Gross Profit	50,151
Operating Income	17,335
Provision for Income Taxes	2,429
Net income	$ 14,901

Restatement of Previously Iss_5

Restatement of Previously Issued Financial Statements - Consolidated statements of cash flows (Details) - USD ($) $ in Thousands	12 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2019
Error Corrections and Prior Period Adjustments Restatement [Line Items]
Net income	$ 15,413	$ 7,795	$ 12,481
Change to inventory obsolescence reserve	(79)	624	(582)
Deferred income taxes	337	(47)	755
Changes in operating assets and liabilities:
Accounts payable, accrued expenses, accrued salaries and wages, accrued income taxes	1,889	1,926	1,580
Net Cash Provided by Operating Activities	22,987	$ 10,305	$ 8,653
Previously Reported
Error Corrections and Prior Period Adjustments Restatement [Line Items]
Net income	14,901
Change to inventory obsolescence reserve	519
Deferred income taxes	235
Changes in operating assets and liabilities:
Accounts payable, accrued expenses, accrued salaries and wages, accrued income taxes	$ 1,906

Revenue Recognition and Contr_3

Revenue Recognition and Contracts with Customers - Adoption (Details)	Jul. 01, 2018USD ($)	Jun. 30, 2021USD ($)segment	Jun. 30, 2020USD ($)	Jun. 30, 2019USD ($)
Revenue: Adoption
Operating segments (in segments) \| segment		1
Retained earnings		$ 93,312,000	$ 77,899,000
Provision for Income Taxes		2,514,000	2,261,000	$ 1,274,000
Refund liabilities		$ 4,277,000	$ 3,331,000
Difference between Revenue Guidance in Effect
Revenue: Adoption
Right to recover	$ 716,000
Retained earnings	(719,000)
Provision for Income Taxes	(191,000)
Refund liabilities	$ 1,627,000

Revenue Recognition and Contr_4

Revenue Recognition and Contracts with Customers (Details) - USD ($)	12 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2019
Revenue:
Refund liabilities	$ 4,277,000	$ 3,331,000
Sales revenue, net \| Percentage of gross sales \| Revenue from rights
Revenue:
Concentration risk (as a percent)	10.00%	9.00%	8.00%
Other current assets
Revenue:
Right to recover	$ 890,000	$ 701,000

Revenue Recognition and Contr_5

Revenue Recognition and Contracts with Customers - Disaggregation (Details) - USD ($) $ in Thousands	12 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2019
Revenue:
Revenues	$ 114,035	$ 101,359	$ 102,932
Intrusion and access alarm products
Revenue:
Revenues	36,794	31,310	31,557
Door locking devices
Revenue:
Revenues	43,337	46,004	53,948
Services
Revenue:
Revenues	$ 33,904	$ 24,045	$ 17,427

Reserve for Doubtful Accounts (

Reserve for Doubtful Accounts (Details)	12 Months Ended
Reserve for Doubtful Accounts (Details)	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2019
Accounts Receivable \| Credit Concentration Risk \| customer One
Concentration risks
Concentration risk (as a percent)	19.00%	24.00%	19.00%
Accounts Receivable \| Credit Concentration Risk \| customer Two
Concentration risks
Concentration risk (as a percent)	10.00%
Accounts Receivable \| Credit Concentration Risk \| customer Three
Concentration risks
Concentration risk (as a percent)		10.00%
Accounts Receivable \| Credit Concentration Risk \| customer Four
Concentration risks
Concentration risk (as a percent)	10.00%		10.00%
Net Sales \| Customer Concentration Risk \| customer One
Concentration risks
Concentration risk (as a percent)	10.00%	10.00%	10.00%
Net Sales \| Customer Concentration Risk \| customer Two
Concentration risks
Concentration risk (as a percent)	10.00%	10.00%	10.00%
Net Sales \| Customer Concentration Risk \| customer Three
Concentration risks
Concentration risk (as a percent)	10.00%	10.00%	10.00%
Net Sales \| Customer Concentration Risk \| customer Four
Concentration risks
Concentration risk (as a percent)	10.00%	10.00%	10.00%

Marketable Securities (Details)

Marketable Securities (Details) $ in Thousands	12 Months Ended
Marketable Securities (Details) $ in Thousands	Jun. 30, 2021USD ($)
Marketable Securities
Unrealized (losses) gains recognized during the reporting year on marketable securities still held at the reporting date	$ (9)
Marketable securities	$ (9)

Marketable Securities - Fair Va

Marketable Securities - Fair Value (Details)	12 Months Ended
Marketable Securities - Fair Value (Details)	Jun. 30, 2021USD ($)
Marketable Securities:
Cost	$ 5,422,000
Fair Value	5,413,000
Unrealized Gain (Loss)	(9,000)
Transfers between levels 1 and 2	0
Transfers in or out of level 3	0
Fair Value, Inputs, Level 1
Marketable Securities:
Cost	5,422,000
Fair Value	5,413,000
Unrealized Gain (Loss)	$ (9,000)

Inventories (Details)

Inventories (Details) - USD ($) $ in Thousands	Jun. 30, 2021	Jun. 30, 2020
Inventories
Component parts	$ 17,245	$ 21,677
Work-in-process	6,158	7,276
Finished product	8,297	11,462
Inventory, net of reserves	31,700	40,415
Current	24,933	34,727
Non-current	6,767	5,688
Total Inventory	$ 31,700	$ 40,415

Property, Plant, and Equipmen_2

Property, Plant, and Equipment (Details) - USD ($)	12 Months Ended
Property, Plant, and Equipment (Details) - USD ($)	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2019
Property plant and equipment
Gross	$ 48,001,000	$ 46,995,000
Less: accumulated depreciation and amortization	(40,165,000)	(38,907,000)
Net	7,836,000	8,088,000
Depreciation and amortization	1,260,000	1,221,000	$ 1,085,000
Land [Member]
Property plant and equipment
Gross	904,000	904,000
Buildings [Member]
Property plant and equipment
Gross	$ 8,911,000	8,911,000
Buildings [Member] \| Minimum [Member]
Property plant and equipment
Useful life	30 years
Buildings [Member] \| Maximum [Member]
Property plant and equipment
Useful life	40 years
Molds and dies [Member]
Property plant and equipment
Gross	$ 7,416,000	7,337,000
Molds and dies [Member] \| Minimum [Member]
Property plant and equipment
Useful life	3 years
Molds and dies [Member] \| Maximum [Member]
Property plant and equipment
Useful life	5 years
Furniture and fixtures
Property plant and equipment
Gross	$ 2,813,000	2,792,000
Furniture and fixtures \| Minimum [Member]
Property plant and equipment
Useful life	5 years
Furniture and fixtures \| Maximum [Member]
Property plant and equipment
Useful life	10 years
Machinery and equipment
Property plant and equipment
Gross	$ 25,548,000	24,878,000
Machinery and equipment \| Minimum [Member]
Property plant and equipment
Useful life	7 years
Machinery and equipment \| Maximum [Member]
Property plant and equipment
Useful life	10 years
Building improvements
Property plant and equipment
Gross	$ 2,409,000	$ 2,173,000
Useful life (estimated)	Shorter of the lease term or life of asset

Income Taxes - Provision (Detai

Income Taxes - Provision (Details) - USD ($) $ in Thousands	12 Months Ended
Income Taxes - Provision (Details) - USD ($) $ in Thousands	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2019
Income Taxes
Provision for tax, federal	$ 1,912	$ 1,765	$ 334
Provision for tax, state	265	418	151
Expense (benefit)	2,177	2,183	485
Deferred tax, deferred expense	337	78	789
Provision for Income Taxes	$ 2,514	$ 2,261	$ 1,274

Income Taxes - Reconciliation (

Income Taxes - Reconciliation (Details) - USD ($) $ in Thousands	12 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2019
Amount
Tax at Federal statutory rate	$ 3,765	$ 2,112	$ 2,888
Meals and entertainment	29	44	49
State income taxes, net of Federal income tax benefit	135	122	111
Foreign source income not subject to tax	(1,647)	(1,089)	(1,241)
R&D Credit	(523)	(523)	(408)
Foreign withholding tax	205
Release of accrued tax reserves			(151)
U.S. Federal Tax rate reduction	312	775
IRS examination settlements		832	12
Other, net	238	(12)	14
Provision for income taxes	$ 2,514	$ 2,261	$ 1,274
% of Pre-tax Income
Tax at Federal statutory rate	21.00%	21.00%	21.00%
Meals and entertainment	0.20%	0.40%	0.40%
State income taxes, net of Federal income tax benefit	0.80%	1.20%	0.80%
Foreign source income not subject to tax	(9.20%)	(10.80%)	(9.00%)
R&D Credit	(2.90%)	(4.70%)	(3.00%)
Foreign withholding tax	1.10%		0.00%
Release of accrued tax reserves			(1.10%)
Uncertain Tax Positions	1.70%	7.20%	0.00%
IRS examination settlements		8.30%	0.10%
Other, net	1.30%	(0.10%)	0.10%
Effective tax rate	14.00%	22.50%	9.30%

Income Taxes - Deferred (Detail

Income Taxes - Deferred (Details) - USD ($) $ in Thousands	Jun. 30, 2021	Jun. 30, 2020
Components of deferred tax assets and liabilities
Accounts receivable	$ 43	$ 40
Inventories	314	443
Accrued liabilities	374	262
Stock based compensation expense	102	96
Intangibles	(454)	(300)
Property, plant and equipment	(539)	(484)
Revenue reserves	393	308
Other deferred tax liabilities	(613)	(408)
Deferred Tax Liabilities, Gross	(380)	(43)
Deferred Income Tax Liabilities, Net	$ (380)	$ (43)

Income Taxes - Unrecognized Rol

Income Taxes - Unrecognized Roll Forward (Details) - USD ($)	12 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2019
Reconciliation of unrecognized tax benefits:
Gross unrecognized, bgn	$ 866,000	$ 125,000	$ 221,000
Decrease due to release of R&D credits due to the IRS Audit	(185,000)		(151,000)
Increase (decrease) from deemed dividends for investments in US Property	(3,000)	682,000	55,000
Increase from the generation of additional R&D credits		59,000
Gross unrecognized, end	678,000	866,000	125,000
Interest
Unrecognized interest, bgn	83,000	0	0
Unrecognized, accrued interest		83,000
(Decrease) Unrecognized, accrued interest	(20,000)
Unrecognized interest, end	63,000	83,000	0
Total
Total, bgn	949,000	125,000	221,000
Decrease due to release of R&D credits due to the IRS Audit	(185,000)		(151,000)
Increase (decrease) to unrecognized tax benefits including interest	(23,000)	765,000	55,000
Increase from the generation of additional R&D credits		59,000
Total, end	$ 741,000	$ 949,000	$ 125,000

Income Taxes - Additional Infor

Income Taxes - Additional Information (Details) - USD ($)	3 Months Ended		12 Months Ended
Income Taxes - Additional Information (Details) - USD ($)	Jun. 30, 2021	Mar. 31, 2021	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2018
Income taxes
Income Tax Expense (Benefit)			$ 2,514,000	$ 2,261,000	$ 1,274,000
Unrecognized, period increase (decrease)			(208,000)
Unrecognized interest, total	$ 63,000		63,000	83,000	$ 0	$ 0
Unrecognized, future period	678,000		678,000
Provision for incremental Income tax liability			613,000
Undistributed earnings, foreign subsidiaries	60,400,000		$ 60,400,000
Tax Year 2017
Income taxes
Examination, interest expense	$ 68,000
Domestic Tax Authority \| Tax Year 2017
Income taxes
Penalties and interest expense		$ 399,000
State Jurisdiction \| Tax Year 2017
Income taxes
Penalties and interest expense		$ 97,000
Internal Revenue Service \| Domestic Tax Authority \| Tax Year 2016
Income taxes
Penalties and interest accrual				762,000
Internal Revenue Service \| State Jurisdiction \| Tax Year 2016
Income taxes
Penalties and interest accrual				$ 70,000

Long-Term Debt (Details)

Long-Term Debt (Details) - USD ($)	12 Months Ended
Long-Term Debt (Details) - USD ($)	Jun. 30, 2021	Jun. 30, 2020
Long-term debt disclosure:
Line of credit, maximum borrowing capacity	$ 11,000,000	$ 11,000,000
Debt by current and non-current
Outstanding	3,904,000	3,904,000
Less: current maturities	(2,386,000)	(1,794,000)
Long-term debt	1,518,000	2,110,000
Term Loans
Debt by current and non-current
Outstanding	3,904,000	3,904,000
Term Loans \| Paycheck Protection Program
Long-term debt disclosure:
Debt instrument, face	$ 3,904,000	$ 3,904,000
Revolver Agreement
Long-term debt disclosure:
Stock collateral (as a percent)	65%
Revolver Agreement \| LIBOR
Long-term debt disclosure:
Basis spread	0.25%
Revolver Agreement \| LIBOR \| Minimum [Member]
Long-term debt disclosure:
Interest rate	1.15%
Revolver Agreement \| LIBOR \| Maximum [Member]
Long-term debt disclosure:
Interest rate	2.00%

Stock Options - Fair Value (Det

Stock Options - Fair Value (Details)	12 Months Ended
Stock Options - Fair Value (Details)	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2019
2012 Employee Stock Option Plan
Stock option
Risk-free interest rates, min		0.60%	2.50%
Risk-free interest rates, max		2.10%	3.10%
Expected lives		10 years	10 years
Expected volatility, min		44.00%	48.00%
Expected volatility, max		46.00%	52.00%
Expected dividend yields		0.00%	0.00%
2012 Non-Employee Stock Option Plan
Stock option
Expected lives		10 years
Expected volatility		44.00%
Expected dividend yields		0.00%
2018 Non-Employee Stock Option Plan
Stock option
Risk-free interest rates, min		1.60%
Risk-free interest rates, max		1.80%
Risk-free interest rates			2.90%
Expected lives		10 years	10 years
Expected volatility, min		44.00%
Expected volatility, max		45.00%
Expected volatility			50.00%
2020 Non-Employee Stock Option Plan
Stock option
Risk-free interest rates	0.62%
Expected lives	10 years
Expected volatility	45.00%
Expected dividend yields	0.00%

Stock Options - Activity (Detai

Stock Options - Activity (Details) - USD ($)	12 Months Ended
Stock Options - Activity (Details) - USD ($)	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2019
2012 Employee Stock Option Plan
Options
Outstanding, beginning of year	235,680	145,000	114,400
Granted		141,880	58,000
Forfeited/Lapsed	(13,000)	(20,000)
Exercised	(8,600)	(31,200)	(27,400)
Outstanding, end of period	214,080	235,680	145,000
Exercisable, end of period	98,176	70,000	67,600
Weighted average exercise price
Weighted average exercise price, bgn	$ 9.42	$ 5.51	$ 3.55
Granted (per share)		12.25	8.30
Forfeited/Lapsed (per share)	6.91	9.92
Exercised (per share)	9.04	3.78	3.21
Weighted average exercise price, end	9.59	9.42	5.51
Exercisable, end of period, weighted average exercise price	$ 8.07	6.57	4.03
Additional disclosures
Weighted average fair value at grant date of options granted		$ 6.72	$ 4.58
Total intrinsic value of options exercised	$ 65,000	$ 278,000	$ 160,000
Total intrinsic value of options outstanding	1,840,000	696,000	1,353,000
Total intrinsic value of options exercisable	$ 993,000	$ 389,000	$ 731,000
2012 Non-Employee Stock Option Plan
Options
Outstanding, beginning of year	24,000	20,400	55,600
Granted		3,600
Forfeited/Lapsed	(9,600)		(3,600)
Exercised	(2,400)		(31,600)
Outstanding, end of period	12,000	24,000	20,400
Exercisable, end of period	6,240	11,520	6,000
Weighted average exercise price
Weighted average exercise price, bgn	$ 5.15	$ 4	$ 3.43
Granted (per share)		11.68	0
Forfeited/Lapsed (per share)	3.59		4.35
Exercised (per share)	4.35		2.96
Weighted average exercise price, end	6.55	5.15	4
Exercisable, end of period, weighted average exercise price	$ 6.04	4.18	$ 3.14
Additional disclosures
Weighted average fair value at grant date of options granted		$ 6.47
Total intrinsic value of options exercised	$ 31,000		$ 192,000
Total intrinsic value of options outstanding	140,000	$ 157,000	221,000
Total intrinsic value of options exercisable	$ 76,000	$ 87,000	$ 70,000
2018 Non-Employee Stock Option Plan
Options
Outstanding, beginning of year	96,800	30,400
Granted		66,400	40,000
Forfeited/Lapsed	(23,500)		(6,400)
Exercised	(3,200)		(3,200)
Outstanding, end of period	70,100	96,800	30,400
Exercisable, end of period	29,960	24,480	4,800
Weighted average exercise price
Weighted average exercise price, bgn	$ 11.74	$ 8.10
Granted (per share)		13.41	$ 8.10
Forfeited/Lapsed (per share)	11.68		8.10
Exercised (per share)	8.10		8.10
Weighted average exercise price, end	11.93	11.74	8.10
Exercisable, end of period, weighted average exercise price	$ 11.68	10.98	8.10
Additional disclosures
Weighted average fair value at grant date of options granted		$ 7.55	$ 5.12
Total intrinsic value of options exercised	$ 29,000		$ 24,000
Total intrinsic value of options outstanding	439,000	$ 110,000	205,000
Total intrinsic value of options exercisable	$ 195,000	$ 40,000	$ 32,000
2020 Non-Employee Stock Option Plan
Options
Granted	10,000	0
Exercised	0	0
Outstanding, end of period	10,000
Exercisable, end of period	2,000
Weighted average exercise price
Granted (per share)	$ 11.40
Weighted average exercise price, end	11.40
Exercisable, end of period, weighted average exercise price	11.40
Additional disclosures
Weighted average fair value at grant date of options granted	$ 6.10
Total intrinsic value of options outstanding	$ 68,000
Total intrinsic value of options exercisable	$ 14,000

Stock Options - Outstanding (De

Stock Options - Outstanding (Details)	12 Months Ended
Stock Options - Outstanding (Details)	Jun. 30, 2021$ / sharesshares
2012 Employee Stock Option Plan
Share based compensation, exercise prices
Options outstanding (in shares) \| shares	214,080
Weighted average remaining contractual life	7 years 4 months 24 days
Weighted average exercise price	$ 9.59
Number exercisable \| shares	98,176
Exercisable, Weighted average exercise price	$ 8.07
2012 Employee Stock Option Plan \| Exercise price range
Share based compensation, exercise prices
Exercise price upper limit	2.19
Exercise price lower limit	$ 16.80
Options outstanding (in shares) \| shares	214,080
Weighted average remaining contractual life	7 years 4 months 24 days
Weighted average exercise price	$ 9.59
Number exercisable \| shares	98,176
Exercisable, Weighted average exercise price	$ 8.07
2012 Non-Employee Stock Option Plan
Share based compensation, exercise prices
Options outstanding (in shares) \| shares	12,000
Weighted average remaining contractual life	7 years 1 month 6 days
Weighted average exercise price	$ 6.55
Number exercisable \| shares	6,240
Exercisable, Weighted average exercise price	$ 6.04
2012 Non-Employee Stock Option Plan \| Exercise price range
Share based compensation, exercise prices
Exercise price upper limit	2.19
Exercise price lower limit	$ 11.68
Options outstanding (in shares) \| shares	12,000
Weighted average remaining contractual life	7 years 1 month 6 days
Weighted average exercise price	$ 6.55
Number exercisable \| shares	6,240
Exercisable, Weighted average exercise price	$ 6.04
2018 Non-Employee Stock Option Plan
Share based compensation, exercise prices
Options outstanding (in shares) \| shares	70,100
Weighted average remaining contractual life	8 years 2 months 12 days
Weighted average exercise price	$ 11.93
Number exercisable \| shares	29,960
Exercisable, Weighted average exercise price	$ 11.68
2018 Non-Employee Stock Option Plan \| Exercise price range
Share based compensation, exercise prices
Exercise price upper limit	8.10
Exercise price lower limit	$ 15.27
Options outstanding (in shares) \| shares	70,100
Weighted average remaining contractual life	8 years 2 months 12 days
Weighted average exercise price	$ 11.93
Number exercisable \| shares	29,960
Exercisable, Weighted average exercise price	$ 11.68
2020 Non-Employee Stock Option Plan
Share based compensation, exercise prices
Options outstanding (in shares) \| shares	10,000
Weighted average remaining contractual life	9 years 2 months 12 days
Weighted average exercise price	$ 11.40
Number exercisable \| shares	2,000
Exercisable, Weighted average exercise price	$ 11.40
2020 Non-Employee Stock Option Plan \| Exercise price range
Share based compensation, exercise prices
Exercise price upper limit	$ 11.40
Options outstanding (in shares) \| shares	10,000
Weighted average remaining contractual life	9 years 2 months 12 days
Weighted average exercise price	$ 11.40
Number exercisable \| shares	2,000
Exercisable, Weighted average exercise price	$ 11.40

Stock Options - Additional Info

Stock Options - Additional Information (Details) - USD ($)	12 Months Ended
Stock Options - Additional Information (Details) - USD ($)	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2018
Stock Option
Proceeds from stock option exercises		$ 80,000	$ 53,000
2012 Employee Stock Option Plan
Stock Option
Outstanding (in shares)	214,080	235,680	145,000	114,400
Exercisable, end of period	98,176	70,000	67,600
Granted		141,880	58,000
Exercised	8,600	31,200	27,400
2012 Non-Employee Stock Option Plan
Stock Option
Outstanding (in shares)	12,000	24,000	20,400	55,600
Exercisable, end of period	6,240	11,520	6,000
Granted		3,600
Exercised	2,400		31,600
2018 Non-Employee Stock Option Plan
Stock Option
Outstanding (in shares)	70,100	96,800	30,400
Exercisable, end of period	29,960	24,480	4,800
Granted		66,400	40,000
Exercised	3,200		3,200
2020 Non-Employee Stock Option Plan
Stock Option
Stock-based compensation expense, allocated	$ 37,000
Outstanding (in shares)	10,000
Exercisable, end of period	2,000
Granted	10,000	0
Exercised	0	0
Fair Value	$ 12,000	$ 0

Stockholders' Equity Transact_2

Stockholders' Equity Transactions (Details) - shares	Jun. 30, 2021	Jun. 30, 2020
Stockholders' Equity Transactions
Common Stock Shares Outstanding	36,702,168	36,694,702

401(k) Plan (Details)

401(k) Plan (Details) - USD ($)	12 Months Ended
401(k) Plan (Details) - USD ($)	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2019
401(k) Plan
Employer contribution	$ 138,000	$ 133,000	$ 133,000

Commitments and Contingencies -

Commitments and Contingencies - Weighted - average lease term (Details)	Jun. 30, 2021
Commitments and Contingencies
Weighted-average remaining lease term	71 years
Weighted-average discount rate	3.55%

Commitments and Contingencies_2

Commitments and Contingencies - Lease liabilities (Details) $ in Thousands	Jun. 30, 2021USD ($)
Schedule, by years, of maturities of lease liabilities
2022	$ 282
2023	272
2024	263
2025	254
2026	245
Thereafter	6,057
Total	$ 7,373

Commitments and Contingencies_3

Commitments and Contingencies - Additional Information (Details) - USD ($)	12 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2019	Jul. 01, 2019
Lessee, Lease, Description [Line Items]
Operating lease term	99 years
Annual minimum rent	$ 288,000
Operating Lease Payments	288,000	$ 240,000
Operating lease expense	316,000	315,000	$ 330,000
Operating lease asset	7,373,000	7,395,000		$ 7,700,000
Operating lease liability				7,700,000
Accounting Standards Update 2016-02
Lessee, Lease, Description [Line Items]
Operating lease asset				7,700,000
Operating lease liability				$ 7,700,000
Dominican Republic [Member]
Lessee, Lease, Description [Line Items]
Operating lease asset	7,373,000	$ 7,395,000
Employment Contracts [Member] \| Chief executive officer [Member]
Lessee, Lease, Description [Line Items]
Annual salary commitment	$ 838,000
Termination pay commitment rate applied to the average of the prior five calendar years compensation	299.00%
Employment Contracts [Member] \| SVP of Engineering
Lessee, Lease, Description [Line Items]
Annual salary commitment	$ 347,000

Geographical Data (Details)

Geographical Data (Details) - USD ($) $ in Thousands	12 Months Ended
Geographical Data (Details) - USD ($) $ in Thousands	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2019
Domestic and Foreign Operations
Net Sales	$ 114,035	$ 101,359	$ 102,932
Identifiable assets	122,551	104,498
United States [Member]
Domestic and Foreign Operations
Net Sales	112,618	99,496	100,716
Identifiable assets	90,941	68,520
Foreign
Domestic and Foreign Operations
Net Sales	1,417	1,863	$ 2,216
Dominican Republic [Member]
Domestic and Foreign Operations
Identifiable assets	$ 31,610	$ 35,978

Geographical Data - Additional

Geographical Data - Additional information (Details) - USD ($) $ in Thousands	Jun. 30, 2021	Jun. 30, 2020	Jul. 01, 2019
Domestic and Foreign Operations
Inventories, net	$ 24,933	$ 34,727
Operating lease asset	7,373	7,395	$ 7,700
Fixed assets	7,836	8,088
Dominican Republic [Member]
Domestic and Foreign Operations
Inventories, net	20,712	24,821
Operating lease asset	7,373	7,395
Fixed assets	$ 3,208	$ 3,481

Subsequent Events (Details)

Subsequent Events (Details) - USD ($)	Jun. 30, 2021	Jun. 30, 2020
Term Loans \| Paycheck Protection Program
Subsequent Event [Line Items]
Principal Amount	$ 3,904,000	$ 3,904,000