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Note 21 - Concentrations
12 Months Ended
Jan. 31, 2022
Notes to Financial Statements  
Concentration Risk Disclosure [Text Block]

21. Concentrations

 

Credit Risk— As of January 31, 2022, we had two customers that exceeded 10% of consolidated accounts receivable. During fiscal 2021, we had three customers that exceeded 10% of consolidated accounts receivable.

 

Revenue Risk— In fiscal 2022 and 2021, our single largest customer accounted for approximately 23% and 15%, respectively, of our consolidated revenues. Together, our five largest customers accounted for approximately 51% of our consolidated revenues in fiscal 2022.

 

The Company maintains deposits and certificates of deposit with banks which may exceed the Federal Deposit Insurance Corporation (“FDIC”) insured limit and money market accounts which are not FDIC insured. In addition, deposits aggregating approximately $2.6 million at January 31, 2022 are held in foreign banks. Management believes the risk of loss in connection with these accounts is minimal.

 

Supplier Concentration—The Company has satisfactory relationships with its suppliers. However, should those relationships deteriorate, the Company may have difficulty in obtaining new technology requested by its customers and maintaining the existing equipment in accordance with manufacturers’ specifications.