What changed in this filing

/stocks — the workspaceLOADING

Item 5. Market for Registrant’s Common Equity

2021-05-05 compared with 2020-05-06 · 50 added, 80 removed, 176 unchanged (42% of the section changed)

10 unchanged sentences

and other factors our Board may deem relevant.

We have approximately 62

shareholders of record as of April 21,

A substantially greater number of holders of our common stock are street

name or beneficial holders, whose shares of record are held by banks, brokers,

and other financial institutions.

We have approximately 61 shareholders of record

as of April 16, 2021.

There are also several thousand beneficial holders

of our common stock in street name, whose shares of record are held by

banks, brokers, and other financial institutions.

Securities Authorized for Issuance Under Equity Compensation

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with cash provided by operating activities or maturating marketable securities.

We repurchased 12,972 shares of our Common Stock in fiscal 2020.

We did not repurchase shares in fiscal 2019.

The remaining authorization was $3,853,459

as of March 31, 2020.

Common Stock repurchases during each

quarter of fiscal 2020, all of which were made as part of our publicly announced

program, were as follows:

We repurchased 1,806 shares of our Common Stock in fiscal 2021 and 12,972 shares

in fiscal 2020.

The remaining authorization was $3,762,040 as of

March 31, 2021.

Common Stock repurchases during each quarter of

fiscal 2021, all of which were made as part of our publicly announced program,

were as follows:

Total number of

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January 1, 2021 March 31, 2021

Common Stock repurchases during the fourth quarter of fiscal 2020 were as follows:

Total number of

shares purchased

dollar value of

as part of publicly

shares that may

yet be purchased

under the program

January 1, 2020 January 31, 2020

February 1, 2020 February 29, 2020

March 1, 2020 March 31, 2020

MANAGEMENTS DISCUSSION AND ANALYSIS OF FINANCIAL

CONDITION AND RESULTS OF OPERATIONS.

MANAGEMENTS DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS

OF OPERATIONS.

You should read this discussion together with our

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and inventory reserves are made.

Our inventory reserve was $210,000 as of March 31,

2020 and $190,000 as of March 31, 2019.

Our inventory reserve was $230,000

as of March 31, 2021 and $210,000 as of March 31, 2020.

Deferred Tax Assets Estimation

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and development revenue was due to the completion of certain contracts.

Gross profit margin for fiscal 2020 increased to

81% from 80% for fiscal 2019 due to a more profitable revenue mix.

Total expenses decreased 10% for fiscal 2021 compared

to fiscal 2019 due to a 10% decrease in research and development expense, partially

offset by an 8% increase in selling, general, and administrative expense.

decrease in research and development expense was primarily due to the completion

to fiscal 2020 due primarily to a 14% decrease in research and development expense.

The decrease in research and development expense was primarily due to the completion

of certain new-product development projects.

The increase in selling, general,

and administrative expense was due to increased sales activities and staffing

The provision for income taxes decreased 13% due

to tax benefits from the Federal Tax Reform Act enacted in 2017.

Our effective

tax rate for fiscal 2020 was 16% of income before taxes compared to 18% for fiscal

Interest income for fiscal 2021 decreased 16% due

to a decrease in our available-for-sale securities and a decrease in the average

interest rates on those securities.

Our effective tax rate for fiscal 2021 was 18% of

income before taxes compared to 16% for fiscal 2020.

The smaller effective rate

for fiscal 2020 was due to tax benefits from the Federal Tax Reform Act enacted

We currently expect our tax rate for fiscal 2022 to be approximately

The increase in net income in fiscal 2020 compared

to the prior year was primarily due to a decrease in research and development

expense and a decrease in the provision for income taxes, partially offset by

an increase in selling, general, and administrative expense and a decrease in

total revenue.

The decrease in net income in fiscal 2021 compared

to the prior year was primarily due to decreases in revenue and interest income,

partially offset by a decrease in total expenses.

The Impact of the COVID-19 Pandemic

We believe the COVID-19 pandemic had a slight negative

impact on our results of operations in late fiscal 2020 due to deteriorating business

conditions, especially in China.

We currently expect significant decreases in

total revenue and net income for the quarter ending June 30, 2020 compared

to the prior-year quarter due to the effects of the COVID-19 pandemic on general

economic conditions, market conditions in industries we and our customers serve,

and supply-chain disruptions affecting our ability to produce certain products.

Total revenue and net income will likely continue to decrease for quarters beyond

June 30, 2020 compared to prior-year quarters due to the effects of the COVID-19

We believe the COVID-19 pandemic had a significant

impact on total revenue and net income for fiscal 2021 due to its effects on market

conditions in certain industries, especially medical devices.

We believe the effects

of the pandemic on our business began to subside in the second half of fiscal

Liquidity and Capital Resources

4 unchanged sentences

by operating activities and $8,424,873 net cash provided by investing activities,

less $19,959,112 net cash used in financing activities.

partially offset by $19,427,959 net cash used in financing activities.

Operating Activities

4 unchanged sentences

activities was $13,364,832 for fiscal 2021 and $15,895,773 for fiscal 2020.

Inventory decreased $380,426 in fiscal 2020 primarily

due to the timing of raw material purchases.

Accounts receivable decreased $301,620

primarily due to the timing of sales to and payments from customers.

Accounts receivable decreased $729,737 primarily

due to the timing of sales to and payments from customers.

Investing Activities

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Purchases were primarily for capital equipment

and leasehold improvements to speed new product development and were financed

with cash provided by operating activities.

Our capital expenditures have been

significantly higher in prior years and can vary from year to year depending on

our needs and equipment purchasing opportunities.

and leasehold improvements and were financed with cash provided by operating activities.

Our capital expenditures have been significantly higher in prior years and can

vary from year to year depending on our needs and equipment purchasing opportunities.

Financing Activities

Net cash used in financing activities in fiscal

2020 was due to $19,384,040 in cash dividends to shareholders and $687,432 in

repurchases of our common stock, partially offset by net proceeds from the sale

of common stock of $112,360 from stock option exercises.

2021 was due to $19,336,540 in cash dividends to shareholders and $91,419 in repurchases

of our common stock.

In addition to cash dividends to shareholders paid

1 unchanged sentence

cash dividend of $1.00 per share of Common Stock, or $4,833,232 based on shares

outstanding as of May 1, 2020, to be paid May 29, 2020.

We plan to fund

dividends through cash provided by operating activities and proceeds from maturities

of marketable securities.

All future dividends will be subject to Board approval

and subject to the companys results of operations, cash and marketable security

balances, estimates of future cash requirements, the impacts of the COVID-19 pandemic,

and other factors the Board may deem relevant.

Furthermore, dividends may be modified

or discontinued at any time without notice.

outstanding as of April 30, 2021, to be paid May 31, 2021.

fund dividends through cash provided by operating activities and proceeds from

maturities of marketable securities.

All future dividends will be subject to Board

approval and subject to the companys results of operations, cash and marketable

security balances, estimates of future cash requirements, the impacts of the COVID-19

pandemic, and other factors the Board may deem relevant.

Furthermore, dividends

may be modified or discontinued at any time without notice.

We believe our working capital and cash generated

from operations will be adequate for our needs at least through fiscal 2022.

Off-Balance-Sheet Arrangements

Our off-balance sheet arrangements consist of purchase

We believe such arrangements have no material current or anticipated

future effect on our profitability, cash flows, or financial position.

FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA.

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Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-K

Item 5. Market for Registrant’s Common Equity