Note 3 - Accounts Receivable, Net, Contract Asset and Contract Liability

12 Months Ended

Apr. 30, 2022

Notes to Financial Statements

Contract with Customer, Contract Asset, Contract Liability, and Receivable [Text Block]

3. ACCOUNTS RECEIVABLE, NET, CONTRACT ASSET AND CONTRACT LIABILITY:

Accounts Receivables, net, contract asset and contract liability were as follows (in thousands):

	2022		2021
Accounts Receivable, net	$	3,636	$	1,961
Contract Asset		1,470		421
Contract Liability		820		5,798

Accounts Receivables, net consist of $3,636 and $1,961 from customers as of April 30, 2022 and April 30, 2021, respectively. At  April 30, 2022, and 2021, the allowance for doubtful accounts was $205 and $143, respectively.

Contract assets are net of progress payments and performance based payments from our customers as well as advance payments from customers totaling $1,470 and $421 as of April 30, 2022 and 2021. Contract assets increased $1,049 during 2022, primarily due to the recognition of revenue related to the satisfaction or partial satisfaction of performance obligations during 2022 for which we have not yet billed our customers. There were no significant impairment losses related to our contract assets during 2022 and 2021. We expect to bill our customers for the majority of the April 30, 2022 contract assets during fiscal year end 2023.

Contract liabilities decreased $4,978 during 2022, primarily due to payments received in excess of revenue recognized on these performance obligations. During 2022, we recognized $5,798 of our contract liabilities at April 30, 2021 as revenue. During 2021, we recognized $2,189 of our contract liabilities at April 30, 2020 as revenue.