Basis of Presentation (Tables)

9 Months Ended

Jun. 30, 2013

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Deferred Revenue, by Arrangement, Disclosure

The components of deferred profit are as follows:

	June 30, 2013		September 30, 2012
	(dollars in thousands)
Deferred revenues	$	4,814	$	11,200
Deferred costs	513		964
Deferred profit	$	4,301	$	10,236

Schedule of Inventory, Current

The components of inventories are as follows:

	June 30, 2013		September 30, 2012
	(dollars in thousands)
Purchased parts and raw materials	$	11,367	$	19,644
Work-in-process	2,509		2,328
Finished goods	3,657		3,698
	$	17,533	$	25,670

Property, Plant and Equipment

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

	June 30, 2013			September 30, 2012
	(dollars in thousands)
Land, building and leasehold improvements	$	10,605		$	10,476
Equipment and machinery	7,453			7,272
Furniture and fixtures	5,524			5,458
	23,582			23,206
Accumulated depreciation and amortization	(12,427		)	(10,819		)
	$	11,155		$	12,387

Schedule of Goodwill

The following is a summary of activity in goodwill:

	Nine Months Ended June 30,
	2013		2012
	(dollars in thousands)
Beginning balance	$	8,355	$	13,313
Change in foreign exchange rates	29		(307		)
Ending balance	$	8,384	$	13,006

Schedule of Finite-Lived Intangible Assets

The following is a summary of intangibles:

	Useful Life	June 30, 2013			September 30, 2012
		(dollars in thousands)
Non-compete agreements	4-8 years	$	1,059		$	1,057
Customer lists	10 years	838			828
Technology	5-10 years	2,360			2,341
In-process research and development	(1)	1,600			1,600
Other	2-10 years	329			325
		6,186			6,151
Accumulated amortization		(2,582		)	(2,055		)
		$	3,604		$	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:

	Nine Months Ended June 30,
	2013			2012
	(dollars in thousands)
Beginning balance	$	2,687		$	2,265
Warranty expenditures	(1,137		)	(1,260		)
Warranty expense	216			2,266
Ending balance	$	1,766		$	3,271

Effects of share-based compensation expense

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

	Three Months Ended June 30,						Nine Months Ended June 30,
	2013			2012			2013			2012
	(dollars in thousands)						(dollars in thousands)
Effect on income before income taxes (1)	$	(1,553	)	$	(438	)	$	(2,313	)	$	(1,341	)
Effect on income taxes	315			63			469			194
Effect on net income	$	(1,238	)	$	(375	)	$	(1,844	)	$	(1,147	)

(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:

	Nine Months Ended June 30,
	2013					2012
	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		285,400			7.98
Exercised	—			—		(600		)	5.33
Forfeited	(132,318		)	15.79		(4,078		)	9.46
Outstanding at end of period	1,071,825			$	6.71	892,106			$	9.37
Exercisable at end of period	873,969			$	7.07	377,756			$	9.16
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:

	Nine Months Ended June 30,
	2013	2012
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:

	Nine Months Ended June 30,
	2013				2012
	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		(2,000	)	7.22
Ending Outstanding	72,279		$	10.15	132,556		$	9.11

Research and Development Expense

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

	Three Months Ended						Nine Months Ended
	June 30, 2013			June 30, 2012			June 30, 2013			June 30, 2012
	(dollars in thousands)						(dollars in thousands)
Research and development	$	2,158		$	3,902		$	6,801		$	10,289
Grants earned	(211		)	(208		)	(1,746		)	(543		)
Net research and development	$	1,947		$	3,694		$	5,055		$	9,746