Document And Entity Information
v0.0.0.0
Document And Entity Information
9 Months Ended
Jun. 30, 2013
Aug. 01, 2013
Document And Entity Information [Abstract]    
Document Type 10-Q  
Amendment Flag false  
Document Period End Date Jun. 30, 2013  
Document Fiscal Year Focus 2013  
Document Fiscal Period Focus Q3  
Entity Filer Category Smaller Reporting Company  
Entity Registrant Name MICROWAVE FILTER CO INC /NY/  
Entity Central Index Key 0000716688  
Current Fiscal Year End Date --09-30  
Entity Common Stock, Shares Outstanding   2,585,086

Condensed Consolidated Balance Sheets
v0.0.0.0
Condensed Consolidated Balance Sheets (USD $)
Jun. 30, 2013
Sep. 30, 2012
Assets    
Cash and cash equivalents $ 409,697 $ 1,023,017
Accounts receivable-trade, net of allowance for doubtful accounts of $26,000 and $26,000 228,249 263,385
Inventories, net 593,006 529,075
Prepaid expenses and other current assets 86,736 111,342
Total current assets 1,317,688 1,926,819
Property, plant and equipment, net 621,703 672,525
Total assets 1,939,391 2,599,344
Liabilities and Stockholders' Equity    
Accounts payable 84,926 92,325
Customer deposits 29,707 30,563
Accrued payroll and related expenses 42,373 51,289
Accrued compensated absences 117,568 172,198
Other current liabilities 28,865 31,308
Total current liabilities 303,439 377,683
Total liabilities 303,439 377,683
Stockholders' Equity:    
Common stock, $.10 par value Authorized 5,000,000 shares, Issued 4,324,140 shares in 2013 and 2012, Outstanding 2,585,086 shares in 2013 and 2,585,321 in 2012 432,414 432,414
Additional paid-in capital 3,248,706 3,248,706
Retained earnings (deficit) (353,552) 232,013
Common stock in treasury, at cost 1,739,054 shares in 2013 and 1,738,819 shares in 2012 (1,691,616) (1,691,472)
Total stockholders' equity 1,635,952 2,221,661
Total liabilities and stockholders' equity $ 1,939,391 $ 2,599,344

Condensed Consolidated Balance Sheets (Parenthetical)
v0.0.0.0
Condensed Consolidated Balance Sheets (Parenthetical) (USD $)
Jun. 30, 2013
Sep. 30, 2012
Condensed Consolidated Balance Sheets [Abstract]    
Accounts receivable, allowance for doubtful accounts $ 26,000 $ 26,000
Common stock, par value $ 0.10 $ 0.10
Common stock, shares authorized 5,000,000 5,000,000
Common stock, shares, issued 4,324,140 4,324,140
Common stock, shares, outstanding 2,585,086 2,585,321
Treasury stock, shares 1,739,054 1,738,819

Condensed Consolidated Statements Of Operations
v0.0.0.0
Condensed Consolidated Statements Of Operations (USD $)
3 Months Ended 9 Months Ended
Jun. 30, 2013
Jun. 30, 2012
Jun. 30, 2013
Jun. 30, 2012
Condensed Consolidated Statements Of Operations [Abstract]        
Net sales $ 705,148 $ 1,147,336 $ 2,084,735 $ 3,490,463
Cost of goods sold 439,440 713,193 1,484,560 2,215,494
Gross profit 265,708 434,143 600,175 1,274,969
Selling, general and administrative expenses 317,827 381,294 1,190,719 1,274,001
(Loss) income from operations (52,119) 52,849 (590,544) 968
Other income (net) 1,579 2,027 4,979 26,673
(Loss) income before income taxes (50,540) 54,876 (585,565) 27,641
(Benefit) provision for income taxes 0 (38,582) 0 (38,582)
Net (loss) income $ (50,540) $ 93,458 $ (585,565) $ 66,223
Net (Loss) Income Per Common Share        
Basic and diluted earnings per share $ (0.02) $ 0.04 $ (0.23) $ 0.03
Shares used in computing net (loss) earnings per share:        
Basic and diluted 2,585,156 2,585,569 2,585,243 2,586,008

Condensed Consolidated Statements Of Cash Flows
v0.0.0.0
Condensed Consolidated Statements Of Cash Flows (USD $)
9 Months Ended
Jun. 30, 2013
Jun. 30, 2012
Cash flows from operating activities:    
Net (loss) income $ (585,565) $ 66,223
Adjustments to reconcile net (loss) income to net cash provided by (used in) operating activities:    
Depreciation 125,167 117,172
Gain on sale of fixed assets 0 (20,000)
Change in operating assets and liabilities:    
Accounts receivable-trade 35,136 38,096
Federal and state income tax recoverable 0 (13,754)
Inventories (63,931) 69,231
Prepaid expenses and other assets 24,606 421
Accounts payable and customer deposits (8,255) (118,972)
Accrued payroll and related expenses and compensated absences (63,546) (65,091)
Other current liabilities (2,443) (52,740)
Net cash (used in) provided by operating activities (538,831) 20,586
Cash flows from investing activities:    
Property, plant and equipment purchased (74,345) (198,225)
Proceeds from sale of fixed assets 0 20,000
Net cash used in investing activities (74,345) (178,225)
Cash flows from financing activities:    
Purchase of treasury stock (144) (663)
Net cash used in financing activities (144) (663)
Decrease in cash and cash equivalents (613,320) (158,302)
Cash and cash equivalents at beginning of period 1,023,017 1,258,885
Cash and cash equivalents at end of period 409,697 1,100,583
Supplemental Schedule of Cash Flow Information:    
Income taxes paid $ 0 $ 15,000

Summary Of Significant Accounting Policies
v0.0.0.0
Summary Of Significant Accounting Policies
9 Months Ended
Jun. 30, 2013
Summary Of Significant Accounting Policies [Abstract]  
Summary Of Significant Accounting Policies

Note 1. Summary of Significant Accounting Policies   

   The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with generally accepted accounting principles for interim financial information and with the instructions to Form 10-Q and Regulation S-K. Accordingly, they do not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. The operating results for the nine month period ended June 30, 2013 are not necessarily indicative of the results that may be expected for the year ended September 30, 2013. For further information, refer to the condensed consolidated financial statements and notes thereto included in the Company's Annual Report on Form 10K for the year ended September 30, 2012.


Industry Segment Data
v0.0.0.0
Industry Segment Data
9 Months Ended
Jun. 30, 2013
Industry Segment Data [Abstract]  
Industry Segment Data

Note 2. Industry Segment Data

  The Company's primary business segment involves the operations of Microwave Filter Company, Inc. (MFC) which designs, develops, manufactures and sells electronic filters, both for radio and microwave frequencies, to help process signal distribution and to prevent unwanted signals from disrupting transmit or receive operations. Markets served include cable television, television and radio broadcast, satellite broadcast, mobile radio, commercial communications and defense electronics.


Inventories
v0.0.0.0
Inventories
9 Months Ended
Jun. 30, 2013
Inventories [Abstract]  
Inventories

Note 3. Inventories                  

 

  Inventories are stated at the lower of cost determined on the first-in, first-out method or market.

   Inventories net of reserve for obsolescence consisted of the following:

 

 

 

 

 

 

 

 

 

 

   

June 30, 2013

 

September 30, 2012

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Raw materials and stock parts

   

$

502,276 

   

$  

455,000 

   

Work-in-process

   

   

16,011 

   

   

13,554 

   

Finished goods

   

   

74,719 

   

   

60,521 

   

   

   

   

   

   

   

   

   

   

   

$

593,006 

   

$  

529,075 

   

 

 The Company's reserve for obsolescence equaled $373,171 at June 30, 2013 and $408,340 at September 30, 2012. The Company provides for a valuation reserve for certain inventory that is deemed to be obsolete, of excess quantity or otherwise impaired. The decrease of $35,169 in inventory reserve at June 30, 2013 can be attributed to the sale of inventory that had been reserved.


Inventories (Tables)
v0.0.0.0
Inventories (Tables)
9 Months Ended
Jun. 30, 2013
Inventories [Abstract]  
Schedule Of Inventories Net Of Reserve For Obsolescence

 

 

 

 

 

 

 

 

 

   

June 30, 2013

 

September 30, 2012

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Raw materials and stock parts

   

$

502,276 

   

$  

455,000 

   

Work-in-process

   

   

16,011 

   

   

13,554 

   

Finished goods

   

   

74,719 

   

   

60,521 

   

   

   

   

   

   

   

   

   

   

   

$

593,006 

   

$  

529,075 

   

 


Inventories (Schedule Of Inventories Net Of Reserve For Obsolescence) (Details)
v0.0.0.0
Inventories (Schedule Of Inventories Net Of Reserve For Obsolescence) (Details) (USD $)
Jun. 30, 2013
Sep. 30, 2012
Inventories [Abstract]    
Raw materials and stock parts $ 502,276 $ 455,000
Work-in-process 16,011 13,554
Finished goods 74,719 60,521
Inventories, net 593,006 529,075
Reserve for obsolescence 373,171 408,340
Decrease in inventory reserve $ 35,169  

Income Taxes
v0.0.0.0
Income Taxes
9 Months Ended
Jun. 30, 2013
Income Taxes [Abstract]  
Income Taxes

Note 4. Income Taxes

  The Company accounts for income taxes under FASB ASC 740-10. Deferred tax assets and liabilities are based on the difference between the financial statement and tax basis of assets and liabilities as measured by the enacted tax rates which are anticipated to be in effect when these differences reverse. The deferred tax provision is the result of the net change in the deferred tax assets and liabilities.  A valuation allowance is established when it is necessary to reduce deferred tax assets to amounts expected to be realized. The Company has provided a full valuation allowance against its deferred tax assets.

  The Company adopted FASB ASC 740-10. FASB ASC 740-10 clarifies the accounting for uncertainty in income taxes recognized in an entity’s financial statements  and prescribes a recognition threshold and measurement attributes for financial statement disclosure of tax position taken or expected to be taken on a tax return. Additionally, it provides guidance on derecognition, classification, interest and penalties, accounting in interim periods, disclosure and transition. The Company determined it has no uncertain tax positions and therefore no amounts are recorded.


Legal Matters
v0.0.0.0
Legal Matters
9 Months Ended
Jun. 30, 2013
Legal Matters [Abstract]  
Legal Matters

Note 5. Legal Matters

  The State of New York Workers’ Compensation Board has commenced an action against Microwave Filter Company, Inc. to recover for an underfunded self insured program that Microwave Filter Company, Inc. participated in. Due to the relatively short period of time Microwave Filter Company, Inc. participated in the program and the limited amount of potential exposure, we do not expect the resolution of this action will have a material adverse effect on our financial condition, results of operations or cash flows. The Company has accrued $12,000 for this action in other current liabilities.


Legal Matters (Details)
v0.0.0.0
Legal Matters (Details) (USD $)
Jun. 30, 2013
Legal Matters [Abstract]  
Accrued action in other current liabilities $ 12,000

Fair Value Of Financial Instruments
v0.0.0.0
Fair Value Of Financial Instruments
9 Months Ended
Jun. 30, 2013
Fair Value Of Financial Instruments [Abstract]  
Fair Value Of Financial Instruments

Note 6. Fair Value of Financial Instruments

  The carrying values of the Company cash and cash equivalents, accounts receivable and accounts payable approximate fair value because of the short maturity of those instruments.

   The Company currently does not trade in or utilize derivative financial instruments.


Significant Customers
v0.0.0.0
Significant Customers
9 Months Ended
Jun. 30, 2013
Significant Customers [Abstract]  
Significant Customers

Note 7. Significant Customers

  Sales to one customer represented approximately 17% of total sales for the nine months ended June 30, 2013 compared to approximately 20% of total sales for the nine months ended June 30, 2012.


Significant Customers (Details)
v0.0.0.0
Significant Customers (Details)
9 Months Ended
Jun. 30, 2013
Jun. 30, 2012
Significant Customers [Abstract]    
Percentage of sales to one customer 17.00% 20.00%

Subsequent Event
v0.0.0.0
Subsequent Event
9 Months Ended
Jun. 30, 2013
Subsequent Event [Abstract]  
Subsequent Event

Note 8. Subsequent Event 

 

 On July 2, 2013, Microwave Filter Company, Inc. (the “Company”) entered into a Ten Year Term Loan with KeyBank National Association in the amount of Five Hundred Thousand and No/100 Dollars ($500,000.00). The amount of all advances outstanding together with accrued interest thereon shall be due and payable on July 2, 2023 (“Maturity”). The Company shall pay interest on the outstanding principal balance of this Note at the rate per annum equal to 4.5%. The net proceeds from the Term Loan will be available to provide working capital as needed.

 

 The Company has secured this Note by: (a) a Mortgage, Assignment of Rents, Security Agreement and Fixture Filing which creates a 1st lien on real property situated in the Town of Dewitt, County of Onondaga, and State of New York and known as 6743 Kinne Street, East Syracuse, New York; (b) a General Assignment of Rents and Leases; (c) an Environmental Compliance and Indemnification; and (d) such other security as may now or hereafter b e given to Lender as collateral for the loan.


Subsequent Event (Details)
v0.0.0.0
Subsequent Event (Details) (Subsequent Event [Member], KeyBank National Association [Member], USD $)
Jul. 02, 2013
Subsequent Event [Member] | KeyBank National Association [Member]
 
Subsequent Event [Line Items]  
Ten year term loan, amount $ 500,000.00
Per annum interest rate 4.50%

Recent Accounting Pronouncements
v0.0.0.0
Recent Accounting Pronouncements
9 Months Ended
Jun. 30, 2013
Recent Accounting Pronouncements [Abstract]  
Recent Accounting Pronouncements

 

 

Note 9. Recent Accounting Pronouncements

  None applicable.