Basis of Presentation (Tables)

3 Months Ended

Dec. 31, 2012

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Deferred Revenue, by Arrangement, Disclosure

The components of deferred profit are as follows:

	December 31, 2012		September 30, 2012
	(dollars in thousands)
Deferred revenues	$	8,883	$	11,200
Deferred costs	860		964
Deferred profit	$	8,023	$	10,236

Schedule of Inventory, Current

The components of inventories are as follows:

	December 31, 2012		September 30, 2012
	(dollars in thousands)
Purchased parts and raw materials	$	19,201	$	19,644
Work-in-process	2,978		2,328
Finished goods	2,551		3,698
	$	24,730	$	25,670

Property, Plant and Equipment

The following is a summary of property, plant and equipment:

	December 31, 2012			September 30, 2012
	(dollars in thousands)
Land, building and leasehold improvements	$	10,730		$	10,476
Equipment and machinery	7,495			7,272
Furniture and fixtures	5,577			5,458
	23,802			23,206
Accumulated depreciation and amortization	(11,537		)	(10,819		)
	$	12,265		$	12,387

Schedule of Goodwill

The following is a summary of activity in goodwill:

	Three Months Ended December 31,
	2012		2011
	(dollars in thousands)
Beginning balance	$	8,355	$	13,313
Change in foreign exchange rates	68		(196		)
Ending balance	$	8,423	$	13,117

Schedule of Finite-Lived Intangible Assets

The following is a summary of intangibles:

	Useful Life	December 31, 2012			September 30, 2012
		(dollars in thousands)
Non-compete agreements	4-8 years	$	1,061		$	1,057
Customer lists	10 years	851			828
Technology	5-10 years	2,387			2,341
In-process research and development	(1)	1,600			1,600
Other	2-10 years	334			325
		6,233			6,151
Accumulated amortization		(2,251		)	(2,055		)
		$	3,982		$	4,096

(1) The in-process research and development will be amortized over its useful life when it has reached technological feasibility.

Schedule of Product Warranty Liability

The following is a summary of activity in accrued warranty expense:

	Three Months Ended December 31,
	2012			2011
	(dollars in thousands)
Beginning balance	$	2,687		$	2,265
Warranty expenditures	(362		)	(330		)
Warranty expense	103			378
Ending balance	$	2,428		$	2,313

Effects of share-based compensation expense

Share-based compensation expense reduced the Company’s results of operations by the following amounts:

	Three Months Ended December 31,
	2012			2011
	(dollars in thousands)
Effect on income before income taxes (1)	$	(433	)	$	(465	)
Effect on income taxes	62			117
Effect on net income	$	(371	)	$	(348	)

(1) Stock-based compensation expense is included in selling, general and administrative expenses.

Schedule of Share-based Compensation, Stock Options, Activity

Stock option transactions and the options outstanding are summarized as follows:

	Three Months Ended December 31,
	2012					2011
	Options			Weighted Average Exercise Price		Options			Weighted Average Exercise Price
Outstanding at beginning of period	891,293			$	9.37	611,384			$	10.02
Granted	312,850			2.95		288,400			7.98
Exercised	—			—		(50		)	6.15
Forfeited	(1,085		)	7.64		—			—
Outstanding at end of period	1,203,058			$	7.71	899,734			$	9.37
Exercisable at end of period	597,545			$	9.19	366,216			$	9.18
Weighted average fair value of options granted during the period	$	1.82				$	4.95

Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions

The fair value of options was estimated at the grant date using the Black-Scholes option pricing model with the following assumptions:

	Three Months Ended December 31,
	2012	2011
Risk free interest rate	1%	1%
Expected life	6 years	6 years
Dividend rate	0%	0%
Volatility	70%	70%

Schedule of Share-based Compensation, Restricted Stock Activity

Restricted stock transactions and awards outstanding are summarized as follows:

	Three Months Ended December 31,
	2012				2011
	Awards		Weighted Average Grant Date Fair Value		Awards		Weighted Average Grant Date Fair Value
Beginning Outstanding	127,975		$	9.06	120,970		$	9.42
Awarded	—		—		60,600		7.98
Released	(55,646	)	7.65		(47,014	)	8.53
Forfeited	(50	)	7.98		—		—
Ending Outstanding	72,279		$	10.15	134,556		$	9.09

Research and Development Expense

The table below shows gross research and development expenses and grants earned:

	Three Months Ended
	December 31, 2012			December 31, 2011
	(dollars in thousands)
Research and development	$	2,458		$	2,838
Grants earned	(1,297		)	(85		)
Net research and development	$	1,161		$	2,753