v3.26.1
Revenue Recognition and Contracts with Customers
12 Months Ended
Jun. 30, 2026
Revenue Recognition and Contracts with Customers  
Revenue Recognition and Contracts with Customers

NOTE 2 – Revenue Recognition and Contracts with Customers

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, 2026 and 2025, the Company included refund liabilities of approximately $3,924,000 and $4,790,000, respectively, in accrued expenses within the Consolidated Balance Sheets. As of June 30, 2026 and 2025, the Company included return-related assets of approximately $1,099,000 and $1,152,000, respectively, in other current assets.

As a percentage of gross sales, sales returns, rebates and allowances were 5%, 6% and 7% for the fiscal years ended June 30, 2026, 2025 and 2024, 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):

Fiscal year ended June 30, 

  ​ ​ ​

2026

  ​ ​ ​

2025

  ​ ​ ​

2024

Major Product Lines:

  ​

 

  ​

 

  ​

Intrusion and access alarm products

$

35,656

$

33,084

$

39,372

Door locking devices

 

69,132

 

62,207

 

73,699

Services

 

97,528

 

86,330

 

75,749

Total Revenues

$

202,316

$

181,621

$

188,820

The following table represents the allowance for credit losses accounts as of the respective years ending June 30 (in thousands):

  ​ ​ ​

Balance at beginning of period

  ​ ​ ​

Charged to costs and expenses

  ​ ​ ​

Deductions/ (recoveries)

  ​ ​ ​

Balance at end of period

For the Year Ended June 30, 2026:

Allowance for credit losses

$

25

$

76

$

$

101

For the Year Ended June 30, 2025:

Allowance for credit losses

$

32

$

$

(7)

$

25

For the Year Ended June 30, 2024:

 

Allowance for credit losses

$

131

$

$

(99)

$

32