Note 11 - Segment Information

12 Months Ended

Jun. 30, 2015

Notes to Financial Statements

Segment Reporting Disclosure [Text Block]

Note 11 – Segment Information

Based on the provisions of ASC 280, “Segment Reporting,” and the manner in which the Chief Operating Decision Maker analyzes the business, Qualstar has determined that it has two separate operating segments. Segment revenue, loss before income taxes and total assets were as follows:

	Year Ended June 30,
	2015		2014		2013
	(in thousands)
Revenue
Power Supplies	$	6,330	$	5,874	$	6,489
Data Storage:
Product		4,478		2,922		4,337
Service		2,094		2,145		1,816
Total Data Storage		6,572		5,067		6,153
Total Revenue	$	12,902	$	10,941	$	12,642

	Year Ended June 30,
	2015			2014			2013
	(in thousands)
(Loss) before Taxes
Power Supplies	$	(714	)	$	(865	)	$	(1,239	)
Data Storage		(594	)		(4,759	)		(9,124	)
Total Loss before Income Taxes	$	(1,308	)	$	(5,624	)	$	(10,363	)

	June 30,
	2015		2014
	(in thousands)
Total Assets
Cash and Marketable Securities:
Cash and Cash Equivalents	$	4,696	$	5,462
Marketable Securities		—		1,763
Total Cash and Marketable Securities	$	4,696	$	7,225
Power Supplies and Data Storage :
Power Supplies		2,435		2,329
Data Storage		3,553		3,231
Total Power Supplies and Data Storage	$	5,988	$	5,560
Total Assets	$	10,684	$	12,785

	June 30,
	2015			2014
	(in thousands)
Property and Equipment
Power Supplies:
Gross fixed assets	$	568			624
Less: accumulated depreciation and amortization		(510	)		(491	)
Net power supply fixed assets	$	58		$	133
Data Storage:
Gross fixed assets		1,240			2,081
Less: accumulated depreciation and amortization		(760	)		(1,551	)
Net data storage fixed assets	$	480		$	530

In its operation of the business, management reviews certain financial information, including segmented internal profit and loss statements prepared on a basis consistent with U.S. GAAP. Our two segments are power supplies and data storage. The two segments discussed in this analysis are presented in the way we internally managed and monitored performance for the years ended June 30, 2015, 2014, and 2013. Allocations for internal resources were made for the years ended June 30, 2015, 2014, and 2013. The power supplies segment tracks certain assets separately, and all others are recorded in the data storage segment for internal reporting presentations.

The types of products and services provided by each segment are summarized below

:

Power Supplies

 — We design, manufacture, and sell small, open frame, high efficiency switching power supplies. These power supplies are used to convert AC line voltage to DC voltages, or DC voltages to other DC voltages for use in a wide variety of electronic equipment such as telecommunications equipment, machine tools, routers, switches, wireless systems and gaming devices.

Data Storage

 — We design, develop, manufacture and sell automated magnetic tape libraries used to store, retrieve and manage electronic data primarily in network computing environments. Tape libraries consist of cartridge tape drives, tape cartridges and robotics to move the cartridges from their storage locations to the tape drives under software control. Our tape libraries provide data storage solutions for organizations requiring backup, recovery and archival storage of critical data.

Geographic Information

Information regarding revenues attributable to the Qualstar’s primary geographic operating regions is as follows:

	Year Ended June 30,
	2015		2014		2013
	(In thousands)
Total Revenue:
North America	$	5,929	$	6,104	$	6,357
Europe		2,195		1,992		3,195
Asia Pacific		4,169		2,641		2,936
Other		609		204		154
	$	12,902	$	10,941	$	12,642

	Year Ended June 30,
	2015		2014		2013
	(In thousands)
Power Supply Revenue:
North America	$	2,185	$	2,122	$	2,564
Europe		1,333		1,232		1,218
Asia Pacific		2,812		2,520		2,707
Other		—		—		—
	$	6,330	$	5,874	$	6,489

	Year Ended June 30,
	2015		2014		2013
	(In thousands)
Data Storage Revenue:
North America	$	3,744	$	3,982	$	3,793
Europe		862		760		1,977
Asia Pacific		1,357		121		229
Other		609		204		154
	$	6,572	$	5,067	$	6,153

The geographic classification of revenues is based upon the location to which the product is shipped. Qualstar does not have any significant long-lived assets outside of the United States.