ASTRONOVA, INC., 10-Q filed on 6/8/2023
Quarterly Report
v3.23.1
Cover Page - shares
 3 Months Ended
Apr. 29, 2023
Jun. 02, 2023
Cover [Abstract]    
Document Type 10-Q  
Amendment Flag false  
Document Period End Date Apr. 29, 2023  
Document Fiscal Year Focus 2023  
Document Fiscal Period Focus Q1  
Entity Registrant Name AstroNova, Inc.  
Entity Central Index Key 0000008146  
Current Fiscal Year End Date --01-31  
Entity Current Reporting Status Yes  
Entity Interactive Data Current Yes  
Entity Filer Category Accelerated Filer  
Trading Symbol ALOT  
Entity Shell Company false  
Entity Small Business true  
Entity Emerging Growth Company false  
Title of 12(b) Security Common Stock  
Security Exchange Name NASDAQ  
Entity Incorporation, State or Country Code RI  
Entity File Number 0-13200  
Document Quarterly Report true  
Document Transition Report false  
Entity Tax Identification Number 05-0318215  
Entity Address, Address Line One 600 East Greenwich Avenue  
Entity Address, City or Town West Warwick  
Entity Address, Postal Zip Code 02893  
Entity Address, State or Province RI  
City Area Code 401  
Local Phone Number 828-4000  
Entity Common Stock, Shares Outstanding   7,417,715
v3.23.1
Condensed Consolidated Balance Sheets - USD ($)
$ in Thousands
Apr. 29, 2023
Jan. 31, 2023
CURRENT ASSETS    
Cash and Cash Equivalents $ 5,413 $ 3,946
Accounts Receivable, net 19,285 21,598
Inventories, net 53,126 51,324
Prepaid Expenses and Other Current Assets 2,678 2,894
Total Current Assets 80,502 79,762
Property, Plant and Equipment, net 13,918 14,288
Identifiable Intangibles, net 20,630 21,232
Goodwill 14,760 14,658
Deferred Tax Assets, net 6,907 6,907
Right of Use Asset 858 794
Other Assets 1,621 1,566
TOTAL ASSETS 139,196 139,207
CURRENT LIABILITIES    
Accounts Payable 8,000 8,479
Accrued Compensation 3,267 2,750
Other Accrued Expenses 3,484 3,308
Revolving Line of Credit 15,900 15,900
Current Portion of Long-Term Debt 2,100 2,100
Current Liability—Royalty Obligation 1,600 1,725
Current Liability—Excess Royalty Payment Due 379 562
Income Taxes Payable 730 786
Deferred Revenue 1,971 1,888
Total Current Liabilities 37,431 37,498
NON-CURRENT LIABILITIES    
Long-Term Debt, net of current portion 11,678 12,040
Royalty Obligation, net of current portion 3,102 3,415
Lease Liabilities, net of current portion 581 555
Income Taxes Payable 491 491
Deferred Revenue 267 674
Deferred Tax Liabilities 172 167
TOTAL LIABILITIES 53,722 54,840
SHAREHOLDERS' EQUITY    
Preferred Stock 0 0
Common Stock 538 534
Additional Paid-in Capital 61,526 61,131
Retained Earnings 60,023 59,175
Treasury Stock, at Cost (34,585) (34,235)
Accumulated Other Comprehensive Loss, net of tax (2,028) (2,238)
TOTAL SHAREHOLDERS' EQUITY 85,474 84,367
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY $ 139,196 $ 139,207
v3.23.1
Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares
Apr. 29, 2023
Jan. 31, 2023
Statement of Financial Position [Abstract]    
Preferred Stock, Par Value $ 10 $ 10
Preferred Stock, Shares Authorized 100,000 100,000
Preferred Stock, Shares Issued 0 0
Common Stock, Par Value $ 0.05 $ 0.05
Common Stock, Shares Authorized   13,000,000
Common Stock, Shares Issued 10,780,934 10,676,851
Treasury Stock, Shares 3,368,219 3,342,032
v3.23.1
Condensed Consolidated Statements of Income - USD ($)
 3 Months Ended
Apr. 29, 2023
Apr. 30, 2022
Income Statement [Abstract]    
Revenue $ 35,419,000 $ 31,010,000
Cost of Revenue 23,034,000 20,281,000
Gross Profit 12,385,000 10,729,000
Operating Expenses:    
Selling and Marketing 6,010,000 5,883,000
Research and Development 1,788,000 1,522,000
General and Administrative 3,126,000 2,560,000
Operating Expenses 10,924,000 9,965,000
Operating Income 1,461,000 764,000
Other Income (Expense)    
Interest Expense (615,000) (175,000)
Gain (Loss) on Foreign Currency Transaction 186,000 (135,000)
Other, net (5,000) 31,000
Other Expense, net (434,000) (279,000)
Income Before Income Taxes 1,027,000 485,000
Income Tax Provision 179,000 60,000
Net Income $ 848,000 $ 425,000
Net Income per Common Share—Basic $ 0.12 $ 0.06
Net Income per Common Share—Diluted $ 0.11 $ 0.06
Weighted Average Number of Common Shares Outstanding—Basic 7,369,930 7,262,797
Weighted Average Number of Common Shares Outstanding—Diluted 7,450,052 7,360,510
v3.23.1
Condensed Consolidated Statements of Comprehensive Income (Loss) - USD ($)
$ in Thousands
 3 Months Ended
Apr. 29, 2023
Apr. 30, 2022
Statement of Comprehensive Income [Abstract]    
Net Income $ 848 $ 425
Other Comprehensive Income (Loss), Net of Taxes:    
Foreign Currency Translation Adjustments 210 (933)
Loss from Cash Flow Hedges Reclassified to Income Statement 0 16
Other Comprehensive Income (Loss) 210 (917)
Comprehensive Income (Loss) $ 1,058 $ (492)
v3.23.1
Consolidated Statements of Changes in Shareholders' Equity - USD ($)
$ in Thousands
Total
Common Stock [Member]
Additional Paid-in Capital [Member]
Retained Earnings [Member]
Treasury Stock [Member]
Accumulated Other Comprehensive Income (Loss) [Member]
Beginning Balance at Jan. 31, 2022 $ 81,012 $ 528 $ 59,692 $ 56,514 $ (33,974) $ (1,748)
Beginning Balance, Shares at Jan. 31, 2022   10,566,404        
Share-Based Compensation 337   337      
Employee Option Exercises 88 $ 1 87   0  
Employee Option Exercises, Shares   11,164        
Restricted Stock Awards (249) $ 3 (3)   (249)  
Restricted Stock Awards, Shares   61,513        
Net Income 425     425    
Other Comprehensive Income (Loss) (917)         (917)
Ending Balance at Apr. 30, 2022 80,696 $ 532 60,113 56,939 (34,223) (2,665)
Ending Balance, Shares at Apr. 30, 2022   10,639,081        
Beginning Balance at Jan. 31, 2023 84,367 $ 534 61,131 59,175 (34,235) (2,238)
Beginning Balance, Shares at Jan. 31, 2023   10,676,851        
Share-Based Compensation 356   356      
Employee Option Exercises $ 43 $ 0 43      
Employee Option Exercises, Shares 1,700 4,094        
Restricted Stock Awards $ (350) $ 4 (4)   (350)  
Restricted Stock Awards, Shares   99,989        
Net Income 848     848    
Other Comprehensive Income (Loss) 210         210
Ending Balance at Apr. 29, 2023 $ 85,474 $ 538 $ 61,526 $ 60,023 $ (34,585) $ (2,028)
Ending Balance, Shares at Apr. 29, 2023   10,780,934        
v3.23.1
Condensed Consolidated Statements of Cash Flows - USD ($)
$ in Thousands
 3 Months Ended
Apr. 29, 2023
Apr. 30, 2022
Cash Flows from Operating Activities:    
Net Income $ 848 $ 425
Adjustments to Reconcile Net Income to Net Cash Provided (Used) by Operating Activities:    
Depreciation and Amortization 1,055 912
Amortization of Debt Issuance Costs 6 7
Share-Based Compensation 356 337
Changes in Assets and Liabilities:    
Accounts Receivable 2,324 (1,489)
Other Receivable – Employee Retention Credit Receivable 0 3,135
Inventories (1,756) (2,650)
Income Taxes 38 502
Accounts Payable and Accrued Expenses 8 (2,843)
Other (237) 50
Net Cash Provided (Used) by Operating Activities 2,642 (1,614)
Cash Flows from Investing Activities:    
Additions to Property, Plant and Equipment (48) (50)
Net Cash Used for Investing Activities (48) (50)
Cash Flows from Financing Activities:    
Net Cash Proceeds from Employee Stock Option Plans 18 69
Net Cash Proceeds from Share Purchases under Employee Stock Purchase Plan 25 19
Net Cash Used for Payment of Taxes Related to Vested Restricted Stock (350) (249)
Net Borrowings under Revolving Credit Facility 0 3,000
Payment of Minimum Guarantee Royalty Obligation (500) (500)
Principal Payments on Long-Term Debt (375) (250)
Net Cash Provided (Used) by Financing Activities (1,182) 2,089
Effect of Exchange Rate Changes on Cash and Cash Equivalents 55 53
Net Increase in Cash and Cash Equivalents 1,467 478
Cash and Cash Equivalents, Beginning of Period 3,946 5,276
Cash and Cash Equivalents, End of Period 5,413 5,754
Supplemental Disclosures of Cash Flow Information:    
Cash Paid During the Period for Interest 538 53
Cash Paid (Received) During the Period for Income Taxes, Net of Refunds $ 235 $ (440)
v3.23.1
Business and Basis of Presentation
 3 Months Ended
Apr. 29, 2023
Business and Basis Of Presentation [Abstract]  
Business and Basis of Presentation
Note 1 – Business and Basis of Presentation
Overview
Headquartered in West Warwick, Rhode Island, AstroNova, Inc. leverages its expertise in data visualization technologies to design, develop, manufacture and distribute a broad range of specialty printers and data acquisition and analysis systems. Our products are employed around the world in a wide range of applications in the aerospace, apparel, automotive, avionics, chemical, computer peripherals, communications, distribution, food and beverage, general manufacturing, packaging and transportation industries.
Our business consists of two
segments, Product Identification (“PI”) and Test & Measurement (“T&M”). The PI segment includes specialty printing systems and related supplies sold under the QuickLabel
®
, TrojanLabel
®
and GetLabels
™
brand names. The T&M segment consists of our line of aerospace products, including flight deck printers, networking hardware, and related accessories as well as T&M data acquisition systems sold under the AstroNova
®
brand name.
On August 4, 2022, we acquired Astro Machine LLC (“Astro Machine”), an Illinois-based manufacturer of printing equipment, including label printers and related accessories, tabbers, conveyors, and envelope feeders. We reported Astro Machine as a part of our PI segment beginning in the third quarter of fiscal 2023.
PI products sold under the QuickLabel, TrojanLabel and GetLabels brands are used in brand owner and commercial applications to provide product packaging, marketing, tracking, branding, and labeling solutions to a wide array of industries. The PI segment offers a variety of digital color label tabletop printers and light commercial label printers,
direct-to-package
printers, high-volume presses, and specialty original equipment manufacturer (“OEM”) printing systems, as well as a wide range of label, tag and flexible packaging material substrates and other supplies, including ink and toner, allowing customers to mark, track, protect and enhance the appearance of their products. PI products sold under the Astro Machine brand also include a variety of label printers, envelope and packaging printing, and related processing and handling equipment.
In the T&M segment, we have a long history of using our technologies to provide networking systems and high-resolution flight deck and cabin printers for the aerospace market. In addition, the T&M segment includes data acquisition recorders, sold under the AstroNova brand, to enable our customers to acquire and record visual and electronic signal data from local and networked data streams and sensors. The recorded data is processed, analyzed, stored and presented in various visual output formats.
Our PI products are sold by direct field salespersons as well as independent dealers and representatives, while our T&M products are sold predominantly through direct sales and manufacturers’ representatives. In the United States, we have factory-trained direct field salespeople located throughout the country specializing in PI products. We also have direct field sales or service centers in Canada, China, Denmark, France, Germany, Malaysia, Mexico, Singapore, and the United Kingdom staffed by our own employees and dedicated third party contractors. Additionally, we utilize over 100 independent dealers and representatives selling and marketing our products in over 60 countries.
Unless otherwise indicated, references to “AstroNova”, “we,” “our,” and “us” in this Quarterly Report on
Form 10-Q
refer to AstroNova, Inc. and its consolidated subsidiaries.
Basis of Presentation
The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles and reflect all adjustments consisting of normal recurring adjustments which, in the opinion of management, are necessary for a fair presentation of the results of the interim periods included herein. These financial statements do not include all disclosures associated with annual financial statements and, accordingly, should be read in conjunction with our Annual Report on Form
10-K
for the fiscal year ended January 31, 2023.
The presentation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the amounts reported and disclosed in the condensed consolidated financial statements and accompanying notes, including those that require consideration of forecasted financial information using information that is reasonably available to us at this time. Some of the more significant estimates relate to revenue recognition; the allowances for doubtful accounts; inventory valuation; income taxes; valuation of long-lived assets, intangible assets and goodwill; share-based compensation; and warranty reserves. Management’s estimates are based on the facts and circumstances available at the time estimates are made, historical experience, risk of loss, general economic conditions and trends, and management’s assessments of the probable future outcome of these matters, including our expectations at the time regarding the ongoing impact from the
COVID-19
pandemic. Consequently, actual results could differ from those estimates.
Results of operations for the interim periods presented herein are not necessarily indicative of the results that may be expected for the full year.
Certain amounts in the prior year’s financial statements have been reclassified to conform to the current year’s presentation.
Principles of Consolidation
The accompanying condensed consolidated financial statements include the accounts of AstroNova, Inc. and its wholly-owned subsidiaries. All significant intercompany accounts and transactions are eliminated in consolidation.
v3.23.1
Summary of Significant Accounting Policies Update
 3 Months Ended
Apr. 29, 2023
Accounting Policies [Abstract]  
Summary of Significant Accounting Policies Update
Note 2 – Summary of Significant Accounting Policies Update
The accounting policies used in preparing the condensed consolidated financial statements in this Form
10-Q
are the same as those used in preparing our consolidated financial statements included in our Annual Report on Form
10-K
for the fiscal year ended January 31, 2023.
Recently Adopted Accounting Pronouncements
No new accounting pronouncements, issued or effective during the first three months of the current year, have had or are expected to have a material impact on our consolidated financial statements.
v3.23.1
Acquisitions
 3 Months Ended
Apr. 29, 2023
Business Combinations [Abstract]  
Acquisitions
Note 3 – Acquisitions
Astro Machine
On August 4, 2022, we acquired Astro Machine LLC (“Astro Machine”), an Illinois-based manufacturer of printing equipment, including label printers, tabbers, conveyors, and envelope feeders, for aggregate consideration of $17.1 million.
The acquisition was accomplished pursuant to an Equity Interest Purchase Agreement dated as of August 4, 2022 (the “Purchase Agreement”) by and among us, GSND Holding Corporation (“GSND”), the parent company of Astro Machine, and Astro Machine. Pursuant to the Purchase Agreement, we purchased 100% of the issued and outstanding equity interests of Astro Machine from GSND for a purchase price of $15.6 million. The acquisition was funded using borrowings under our credit facility. We obtained a representation and warranty insurance policy and placed $300,000 of the purchase price into an escrow account, which pursuant to the terms and conditions of the Purchase Agreement, are our sole recourse for breaches of representations and warranties by GSND. Upon the closing of the transaction, Astro Machine became a wholly owned subsidiary of AstroNova, Inc.
Concurrently with the signing of the Purchase Agreement, our newly acquired subsidiary, Astro Machine, entered into a Purchase and Sale Agreement with Selak Real Estate Limited Partnership (“SRE”), pursuant to which Astro Machine purchased certain real property assets of SRE for a purchase price, paid in cash, of $1.5 million. These real estate assets are comprised of a 34,460 square foot industrial manufacturing building (including offices) on 1.26 acres of land, which is Astro Machine’s principal place of business.
This transaction was a business combination and accounted for using the acquisition method of accounting prescribed by ASC 805, “Business Combinations” (“ASC 805”), whereby the results of operations, including the revenues and earnings of Astro Machine, are included in our financial statements from the date of acquisition. The purchase price of Astro Machine was allocated to the tangible and intangible assets acquired and liabilities assumed and recognized at their fair value based on widely accepted valuation techniques in accordance with ASC 820, “Fair Value Measurement,” as of the acquisition date. The process for estimating fair values requires the use of significant estimates, assumptions and judgments, including determining the timing and estimates of future cash flows and developing appropriate discount rates. The excess of the purchase price over the fair value of the net identified assets acquired and liabilities assumed was recorded as goodwill. ASC 805 establishes a measurement period to provide companies with a reasonable amount of time to obtain the information necessary to identify and measure various items in a business combination and cannot extend beyond one year from the acquisition date.
 
The following table sets forth the final purchase price allocation of the Astro Machine acquisition for the estimated fair value of the net assets acquired and liabilities assumed as of the date of acquisition:
 
(In thousands)       
Cash
    $ 91  
Accounts Receivable
      3,393  
Inventory
      5,715  
Property, Plant and Equipment
      4,200  
Identifiable Intangible Assets
      3,480  
Goodwill
      2,730  
Accounts Payable and Other Current Liabilities
      (2,484 ) 
    
 
 
  
Total Purchase Price
    $ 17,125  
    
 
 
  
The fair value of the intangible assets acquired was estimated by applying the income approach. This fair value measurement is based on significant inputs that are not observable in the market and therefore represents a Level 3 measurement as defined in ASC 820, “Fair Value Measurement.” Key assumptions in estimating the fair value of the intangibles include (1) remaining useful life of the tradename/trademarks and customer relations (2) royalty rate of
0.75%, (3) customer attrition rate of 18.0%, (4) discount rate of 19.0
% and (5) a range of revenue and net income projections for fiscal years 2023 through 2026.
The following table sets forth the fair value of the acquired identifiable intangible assets and related estimated useful lives:
 
(In thousands)   
Fair
Value
     
Useful Life
(years)
  
Customer Relations
    $ 3,060        5  
Trademarks/Tradenames
      420        5  
    
 
 
           
Total
    $ 3,480           
    
 
 
           
The Customer Relations intangible asset represents the relationships that will be maintained with certain historical customers of Astro Machine. The trademark/tradename intangible assets reflect the industry reputation of the Astro Machine name and the registered trademarks held by Astro Machine for the use of several marks and logos.
Goodwill of $2.73 
million, which is not deductible for tax purposes, represents the excess of the purchase price over the estimated fair value assigned to the tangible and identifiable intangible assets acquired and liabilities assumed from Astro Machine. The goodwill recognized under ASC 805 is attributable to synergies which are expected to enhance and expand our overall product portfolio, opportunities in new and existing markets, future technologies that have yet to be determined and Astro Machine’s assembled workforce. The carrying amount of the goodwill was allocated to the PI segment.
Total acquisition-related costs of $0.7 million were included in general and administrative expenses in our consolidated statement of income for the year ended January 31, 2023.
The amounts of revenue and earnings before taxes included in our consolidated statement of income for the quarter ended April 29, 2023:
 
(In thousands)
       
Revenue
    $ 4,229  
Earnings before Taxes
      689  
Astro Machine results are reported as part of the PI segment. Proforma results are not provided, as disclosure of such amounts was impractical to determine as the acquired business had insufficient financial records and no audit history prior to the transaction.
 
Honeywell Asset Purchase and License Agreement
On June 30, 2022, we entered into an Asset Purchase and License Agreement with Honeywell International Inc. (“New HW Agreement”) to acquire an exclusive, perpetual, world-wide license to manufacture Honeywell’s flight deck printers for the Boeing 787 aircraft. The New HW Agreement provides for royalty payments to Honeywell based on gross revenues from the sales of the printers, paper and repair services of the licensed products in perpetuity. The royalty rates vary based on the year in which they are paid or earned and as products are sold or as services are provided and range from single-digit to
mid-double-digit
percentages of gross revenue. The New HW Agreement includes a provision for guaranteed minimum royalty payments to be paid in the event that the royalties earned by Honeywell do not meet the minimum for the preceding calendar year as follows: $
100,000 in 2024, $200,000 in 2025, $233,000 in 2026 and 2027, and $234,000 in 2028.
This transaction was evaluated under ASC 805, “Business Combinations,” and was accounted for as an asset acquisition.
The purchase price was allocated to the customer relationship intangible, which was the only asset acquired as a result of this transaction. This asset will be amortized over the useful life of the intangible. The minimum royalty payment obligation and related customer relationships intangible were recorded at the present value of the minimum royalty payments.
The acquired identifiable intangible asset is as follows:
 
(In thousands)   
Fair
Value
     
Useful Life
(Years)
  
Customer Contract Relationships
    $ 530        20  
The minimum royalty payment due was discounted based on the payment schedule and applicable discount rate, resulting in an outstanding royalty obligation of $0.5 million as of January 31, 2023, including $0.1 million recorded as a current liability. As of April 29, 2023, the current outstanding royalty obligation remains $0.5 million, including $0.1 million recorded as a current liability in the accompanying balance sheet.
Additional royalties based on sales activity will be recorded in the period that the associated revenue is earned. During fiscal 2023, we incurred $0.1 
million in excess royalty expense, which was recorded as a current liability in our consolidated balance sheet at January 31, 2023 and was paid in the first quarter of the current fiscal year.
v3.23.1
Revenue Recognition
 3 Months Ended
Apr. 29, 2023
Revenue from Contract with Customer [Abstract]  
Revenue Recognition
Note 4 – Revenue Recognition
We derive revenue from the sale of (i) hardware, including digital color label printers and specialty OEM printing systems, portable data acquisition systems and airborne printers and networking hardware used in the flight deck and cabin of military, commercial and business aircraft, (ii) related supplies required in the operation of the hardware, (iii) repairs and maintenance of hardware and (iv) service agreements.
Revenues disaggregated by primary geographic markets and major product types are as follows:
Primary geographical markets:
 
    
Three Months Ended
  
(In thousands)   
April 29,
2023
     
April 30,
2022
  
United States
    $ 22,834      $ 19,651  
Europe
      7,964        7,419  
Canada
      1,825        1,854  
Asia
      1,294        937  
Central and South America
      1,199        888  
Other
      303        261  
    
 
 
     
 
 
  
Total Revenue
    $ 35,419      $ 31,010  
    
 
 
     
 
 
  
 
Major product types:
 
    
Three Months Ended
  
(In thousands)   
April 29,
2023
     
April 30,
2022
  
Hardware
      11,667      $ 9,301  
Supplies
      19,070        17,944  
Service and Other
      4,682        3,765  
    
 
 
     
 
 
  
Total Revenue
    $ 35,419      $ 31,010  
    
 
 
     
 
 
  
In December 2022, we entered into an amended contract with one of our T&M customers that provided for a total payment of $3.25 
million to us as a result of our claims allowable under French law relating to additional component costs we have incurred and will continue to incur in order to supply aerospace printers under the contract for the period beginning in April 2022 and continuing through 2025. Revenue from this arrangement will be recognized in proportion to the total estimated shipments through the end of the contract period. As of January 31, 2023, we have recognized $
1.1 
million in revenue and the remainder $
2.15 
million balance was recorded as deferred revenue. During the first quarter of fiscal 2024, we recognized an additional $
0.4 
million in revenue which is included in the condensed consolidated statement of income for the quarter ended April 29, 2023. The remaining revenue to be recognized will be based on our shipments of the printers during the remainder of fiscal years 2024 and 2025.
Contract Assets and Liabilities
We normally do not have contract assets, which are primarily unbilled accounts receivable that are conditional on something other than the passage of time.
Our contract liabilities, which represent billings in excess of revenue recognized, are related to advanced billings for purchased service agreements and extended warranties. Contract liabilities were $443,000 and $412,000 at April 29, 2023 and January 31, 2023, respectively, and are recorded as deferred revenue in the accompanying condensed consolidated balance sheet. The increase in the deferred revenue balance during the three months ended April 29, 2023 is due to cash payments received in advance of satisfying performance obligations in the current period which was partially offset by $143,000 of revenue recognized during the period that was included in the deferred revenue balance at January 31, 2023.
Contract Costs
We recognize an asset for the incremental costs of obtaining a contract with a customer if we expect the benefit of those costs to be longer than one year. We have determined that certain costs related to obtaining sales contracts for our aerospace printer products meet the requirement to be capitalized. These costs are deferred and amortized over the remaining useful life of these contracts, which we currently estimate to be approximately 18 years as of April 29, 2023. The balance of these contract assets at January 31, 2023 was $1.4 million. We amortized $19,000 and $16,000 of direct costs during the three months ended April 29, 2023 and April 30, 2022, respectively. The balance of deferred incremental direct costs net of accumulated amortization at April 29, 2023 was $1.3 million, of which $0.1 million is reported in other current assets and $1.2 million is reported in other assets in the accompanying condensed consolidated balance sheet.
v3.23.1
Net Income Per Common Share
 3 Months Ended
Apr. 29, 2023
Earnings Per Share [Abstract]  
Net Income Per Common Share
Note 5 – Net Income Per Common Share
Basic net income per share is calculated by dividing net income by the weighted average number of shares outstanding during the period. Diluted net income per share is calculated by dividing net income by the weighted average number of shares and, if dilutive, common equivalent shares, determined using the treasury stock method for stock options, restricted stock awards and restricted stock units outstanding during the period. A reconciliation of the shares used in calculating basic and diluted net income per share is as follows:
 
    
Three Months Ended
  
    
April 29,
2023
     
April 30,
2022
  
Weighted Average Common Shares Outstanding – Basic
      7,369,930        7,262,797  
Effect of Dilutive Options, Restricted Stock Awards and Restricted Stock Units
      80,122        97,713  
    
 
 
     
 
 
  
Weighted Average Common Shares Outstanding – Diluted
      7,450,052        7,360,510  
    
 
 
     
 
 
  
 
For the three months ended April 29, 2023 and April 30, 2022, the diluted per share amounts do not reflect common equivalent shares outstanding of 656,554 and 310,588, respectively, because of their anti-dilutive effect.
v3.23.1
Intangible Assets
 3 Months Ended
Apr. 29, 2023
Goodwill and Intangible Assets Disclosure [Abstract]  
Intangible Assets
Note 6 – Intangible Assets
Intangible assets are as follows:
 
    
April 29, 2023
     
January 31, 2023
  
(In thousands)   
Gross
Carrying
Amount
     
Accumulated
Amortization
    
Currency
Translation
Adjustment
     
Net
Carrying
Amount
     
Gross
Carrying
Amount
     
Accumulated
Amortization
    
Currency
Translation
Adjustment
     
Net
Carrying
Amount
  
Miltope:
                                                                      
Customer Contract Relationships
    $ 3,100      $ (2,857 )    $ —        $ 243      $ 3,100      $ (2,777 )    $ —        $ 323  
RITEC:
                                                                      
Customer Contract Relationships
      2,830        (1,639 )      —          1,191        2,830        (1,623 )      —          1,207  
TrojanLabel:
                                                                      
Existing Technology
      2,327        (2,171 )      97        253        2,327        (2,087 )      94        334  
Distributor Relations
      937        (616 )      36        357        937        (588 )      27        376  
Honeywell:
                                                                      
Customer Contract Relationships
      27,773        (12,145 )      —          15,628        27,773        (11,913 )      —          15,860  
Astro Machine:
                                                                      
Customer Contract Relationships
      3,060        (459 )      —          2,601        3,060        (306 )      —          2,754  
Trademarks
      420        (63 )      —          357        420        (42 )      —          378  
    
 
 
     
 
 
    
 
 
     
 
 
     
 
 
     
 
 
    
 
 
     
 
 
  
Intangible Assets, net
    $ 40,447      $ (19,950 )    $ 133      $ 20,630      $ 40,447      $ (19,336 )    $ 121      $ 21,232  
    
 
 
     
 
 
    
 
 
     
 
 
     
 
 
     
 
 
    
 
 
     
 
 
  
There were no impairments to intangible assets during the periods ended April 29, 2023 and April 30, 2022.
With respect to the acquired intangibles included in the table above, amortization expense of $
0.6
 
million and $0.4 million has been included in the condensed consolidated statements of income for the three months ended April 29, 2023 and April 30, 2022, respectively.

Estimated amortization expense for the next five fiscal years is as follows:
 
(In thousands)
  
Remaining
2024
 
  
2025
 
  
2026
 
  
2027
 
  
2028
 
Estimated amortization expense
    $ 1,786      $ 1,723      $ 1,723      $ 1,723      $ 1,281  
v3.23.1
Inventories
 3 Months Ended
Apr. 29, 2023
Inventory Disclosure [Abstract]  
Inventories
Note 7 – Inventories
Inventories are stated at the lower of cost (standard and average methods) or net realizable value and include material, labor and manufacturing overhead. The components of inventories are as follows:
 
(In thousands)
  
April 29, 2023
 
  
January 31, 2023
 
Materials and Supplies
    $ 40,624      $ 38,387  
Work-In-Process
      1,485        1,146  
Finished Goods
      22,221        23,221  
    
 
 
     
 
 
  
       64,330        62,754  
Inventory Reserve
      (11,204 )       (11,430 ) 
    
 
 
     
 
 
  
     $ 53,126      $ 51,324  
    
 
 
     
 
 
  
v3.23.1
Property, Plant and Equipment
 3 Months Ended
Apr. 29, 2023
Property, Plant and Equipment [Abstract]  
Property, Plant and Equipment
Note 8 – Property, Plant and Equipment
Property, plant and equipment consist of the following:
 
 
  
April 29,

2023
 
  
January 31,

2023
 
(In thousands)
  
 
 
  
 
 
Land and Land Improvements
    $ 2,304      $ 2,304  
Buildings and Leasehold Improvements
      14,162        14,158  
Machinery and Equipment
      25,012        24,960  
Computer Equipment and Software
      13,996        13,972  
    
 
 
     
 
 
  
Gross Property, Plant and Equipment
      55,474        55,394  
Accumulated Depreciation
      (41,556 )       (41,106 ) 
    
 
 
     
 
 
  
Net Property Plant and Equipment
    $ 13,918      $ 14,288  
    
 
 
     
 
 
  
Depreciation expense on property, plant and equipment was $0.4 
million for the each of the quarters ended April 29, 2023 and April 30, 2022.
v3.23.1
Credit Agreement and Long-Term Debt
 3 Months Ended
Apr. 29, 2023
Debt Disclosure [Abstract]  
Credit Agreement and Long-Term Debt
Note 9 – Credit Agreement and Long-Term Debt
In connection with the purchase of Astro Machine, on August 4, 2022, we entered into a Second Amendment to the Amended and Restated Credit Agreement (the “Second Amendment”) with Bank of America, N.A., as lender (the “Lender”). The Second Amendment amended the Amended and Restated Credit Agreement dated as of July 30, 2020, as amended by the First Amendment to Amended and Restated Credit Agreement, dated as of March 24, 2021, and the LIBOR Transition Amendment, dated as of December 24, 2021 (the “Existing Credit Agreement,” and the Existing Credit Agreement as amended by the Second Amendment, the “Amended Credit Agreement”), between us and the Lender.
The Amended Credit Agreement provides for (i) a new term loan in the principal amount of $6.0 million, which term loan was in addition to the existing term loan outstanding under the Existing Credit Agreement in the principal amount of $9.0 million as of the effective date of the Second Amendment, and (ii) an increase in the aggregate principal amount of the revolving credit facility available thereunder from $22.5 million to $25.0 million. At the closing of the Second Amendment, we borrowed the entire $6.0 million term loan and $12.4 million under the revolving credit facility, and the proceeds of such borrowings were used in part to pay the purchase price payable under the Purchase Agreement and certain related transaction costs. The revolving credit facility may otherwise be used for corporate purposes.

The Amended Credit Agreement requires that the term loan be paid in quarterly installments on the last day of each of our fiscal quarters over the term of the Amended Credit Agreement on the following repayment schedule: the principal amount of each quarterly installment required to be paid on the last day of each of our fiscal quarters ending on or about October 31, 2022 through July 31, 2023 is $
375,000; and the principal amount of each quarterly installment required to be paid on the last day of each of our fiscal quarters ending on or about October 31, 2023 through April 30, 2027 is $675,000. The entire remaining principal balance of the term loan is required to be paid on August 4, 2027. We may voluntarily prepay the term loan, in whole or in part, from time to time without premium or penalty (other than customary breakage costs, if applicable). We may repay borrowings under the revolving credit facility at any time without premium or penalty (other than customary breakage costs, if applicable), but in any event no later than August 4, 2027, and any outstanding revolving loans thereunder will be due and payable in full, and the revolving credit facility will terminate, on such date. We may reduce or terminate the revolving line of credit at any time, subject to certain thresholds and conditions, without premium or penalty.
The interest rates under the Amended Credit Agreement are as follows: the term loan and revolving credit loans bear interest at a rate per annum equal to, at our option, either (a) the BSBY Rate as defined in the Amended Credit Agreement (or, in the case of revolving credit loans denominated in a currency other than U.S. Dollars, the applicable quoted rate), plus a margin that varies within a range of 1.60% to 2.50% based on our consolidated leverage ratio, or (b) a fluctuating reference rate equal to the highest of (i) the federal fund rate plus 0.50%, (ii) Bank of America’s publicly announced prime rate, (iii) the BSBY Rate plus 1.00%, or (iv) 0.50%, plus a margin that varies within a range of 0.60% to 1.50% based on our consolidated leverage ratio. In addition to certain other fees and expenses that we are required to pay to the Lender, we are required to pay a commitment fee on the undrawn portion of the revolving credit facility that varies within a range of 0.15% and 0.35% based on our consolidated leverage ratio. The loans under the Amended Credit Agreement are subject to certain mandatory prepayments, subject to various exceptions, from (a) net cash proceeds from certain dispositions of property, (b) net cash proceeds from certain issuances of equity, (c) net cash proceeds from certain issuances of additional debt and (d) net cash proceeds from certain extraordinary receipts.
 
 
Amounts repaid under the revolving credit facility may be reborrowed, subject to our continued compliance with the Amended Credit Agreement. No amount of the term loan that is repaid may be reborrowed.
We must comply with various customary financial and
non-financial
covenants under the Amended Credit Agreement. The financial covenants under the Amended Credit Agreement consist of a maximum consolidated leverage ratio, a minimum consolidated fixed charge coverage ratio and a minimum consolidated asset coverage ratio. The primary
non-financial
covenants limit our and our subsidiaries’ ability to incur future indebtedness, to place liens on assets, to pay dividends or distributions on our or our subsidiaries’ capital stock, to repurchase or acquire our or our subsidiaries’ capital stock, to conduct mergers or acquisitions, to sell assets, to alter our or our subsidiaries’ capital structure, to make investments and loans, to change the nature of our or our subsidiaries’ business, and to prepay subordinated indebtedness, in each case subject to certain exceptions and thresholds as set forth in the Amended Credit Agreement, certain of which provisions were modified by the Second Amendment. As of April 29, 2023, we believe we are in compliance with all of the covenants in the Credit Agreement.
The Lender is entitled to accelerate repayment of the loans and to terminate its revolving credit commitment under the Amended Credit Agreement upon the occurrence of any of various customary events of default, which include, among other events, the following (which are subject, in some cases, to certain grace periods): failure to pay when due any principal, interest or other amounts in respect of the loans, breach of any of our covenants or representations under the loan documents, default under any other of our or our subsidiaries’ significant indebtedness agreements, a bankruptcy, insolvency or similar event with respect to us or any of our subsidiaries, a significant unsatisfied judgment against us or any of our subsidiaries, or a change of control.
Our obligations under the Amended Credit Agreement continue to be secured by substantially all of our personal property assets (including a pledge of the equity interests we hold in ANI ApS, AstroNova GmbH and AstroNova SAS), subject to certain exceptions, and by a mortgage on our owned real property in West Warwick, Rhode Island, and are guaranteed by, and secured by substantially all of the personal property assets of Astro Machine.
Summary of Outstanding Debt
At April 29, 2023, we ha
d
an outstanding balance of $15.9 million on our revolving line of credit. The balance outstanding under the revolving line of credit bore interest at a weighted average annual rate of 6.93% and 4.26% and we incurred $292,000 and $23,000 for interest on this obligation during the quarters ended April 29, 2023 and April 30, 2022, respectively. Additionally, during the quarters ended April 29, 2023 and April 30, 2022, we incurred $8,000 and $10,000, respectively, of commitment fees on the undrawn portion of our revolving credit facility. Both the interest expense and commitment fees are included as interest expense in the accompanying condensed consolidated income statement for the quarters ended April 29, 2023 and April 30, 2022. At April 29, 2023, there
wa
s $9.1 million remaining available for borrowing under the revolving line of credit.
 
Long-term debt in the accompanying condensed consolidated balance sheets is as follows:
 
(In thousands)
  
April 29,

2023
 
  
January 31,

2023
 
USD Term Loan (7.24% as of April 29, 2023 and 6.78% as of January 31, 2023); maturity date of August 4, 2027
    $ 13,875      $ 14,250  
    
 
 
     
 
 
  
       13,875        14,250  
Debt Issuance Costs, net of accumulated amortization
      (97 )       (110 ) 
Current Portion of Term Loan
      (2,100 )       (2,100 ) 
    
 
 
     
 
 
  
Long-Term Debt
    $ 11,678      $ 12,040  
    
 
 
     
 
 
  
During the three months ended April 29, 2023 and April 30, 2022, we recognized $248,000 and $53,000 of interest expense, respectively, which was included in other expense in the accompanying condensed consolidated income statement.
The schedule of required principal payments remaining during the next five years on long-term debt outstanding as of April 29, 2023 is as follows:
 
(In thousands)
       
Fiscal 2024, remainder
    $ 1,725  
Fiscal 2025
      2,700  
Fiscal 2026
      2,700  
Fiscal 2027
      2,700  
Fiscal 2028
      4,050  
    
 
 
  
     $ 13,875  
    
 
 
  
v3.23.1
Royalty Obligation
 3 Months Ended
Apr. 29, 2023
Royalty Obligation Disclosure [Abstract]  
Royalty Obligation
Note 10 –
Royalty Obligation
In fiscal 2018, we entered into an Asset Purchase and License Agreement with Honeywell International, Inc. (“Honeywell”) to acquire an exclusive, perpetual, world-wide license to manufacture Honeywell’s narrow-format flight deck printers for two aircraft families along with certain inventory used in the manufacturing of the licensed printers. The purchase price included a guaranteed minimum royalty payment of $15.0 million, to be paid over
ten years
, based on gross revenues from the sales of the printers, paper and repair services of the licensed products. The royalty rates vary based on the year in which they are paid or earned, and product sold or service provided, and range from single-digit to mid double-digit percentages of gross revenue.
The guaranteed minimum royalty payment obligation was recorded at the present value of the minimum annual royalty payments. As of April 29, 2023, we had paid an aggregate of $10.0 million of the guaranteed minimum royalty obligation. At April 29, 2023, the current portion of the outstanding guaranteed minimum royalty obligation of $1.5 million is to be paid over the next twelve months and is reported as a current liability and the remainder of $2.7 million is reported as a long-term liability on our condensed consolidated balance sheet. We incurred $0.4 million in excess royalty expense for the three-month period ended April 29, 2023, which is included in cost of revenue in our consolidated statements of income. A total of $0.4 million in excess royalties was paid in the first quarter of the current fiscal year
,
and there are $0.4 million in excess royalty payables due as a result of this agreement for the quarter ended April 29, 2023.
In fiscal 2023, AstroNova, Inc. entered into a second Asset Purchase and License Agreement with Honeywell International, Inc. as further discussed in Note 3 “Acquisitions”.
v3.23.1
Leases
 3 Months Ended
Apr. 29, 2023
Leases [Abstract]  
Leases
Note 11 – Leases
We enter into lease contracts for certain of our facilities at various locations worldwide. Our leases have remaining lease terms of one to six years.
Balance sheet and other information related to our leases is as follows:
 
Operating Leases
(In thousands)
  
Balance Sheet Classification
 
  
April 29,
2023
 
  
January 31,
2023
 
Lease Assets
  
 
Right of Use Assets
 
  
$
 858
 
  
$
 794
 
Lease Liabilities – Current
  
 
Other Liabilities and Accrued Expenses
 
  
 
 312
 
  
$
 275
 
Lease Liabilities – Long Term
  
 
Lease Liabilities
 
  
 
 581
 
  
$
 555
 
 
Lease cost information is as follows:
 
 
  
 
 
  
Three Months Ended
 
Operating Leases
(In thousands)
  
Statement of Income Classification
 
  
April 29,
2023
 
  
April 30,
2022
 
Operating Lease Costs
      General and Administrative Expense      $ 133      $ 113  
Maturities of operating lease liabilities are as follows:
 
(In thousands)
   
April 29,
2023
  
2024, remaining
    $ 263  
2025
      258  
2026
      199  
2027
      151  
2028
      93  
Thereafter
      —    
    
 
 
  
Total Lease Payments
      964  
Less: Imputed Interest
      (71 ) 
    
 
 
  
Total Lease Liabilities
    $ 893  
    
 
 
  
As of April 29, 2023, the weighted-average remaining lease term and weighted-average discount rate for our operating leases are 3.5 years and 4.37%, respectively. We calculated the weighted-average discount rate using incremental borrowing rates, which equal the rates of interest that we would pay to borrow funds on a fully collateralized basis over a similar term.
Supplemental cash flow information related to leases is as follows:
 
    
Three Months Ended
  
(In thousands)
   
April 29,
2023
     
April 30,
2022
  
Cash paid for amounts included in the measurement of lease liabilities:
                  
Operating cash flows for operating leases
    $ 93      $ 83  
v3.23.1
Accumulated Other Comprehensive Loss
 3 Months Ended
Apr. 29, 2023
Equity [Abstract]  
Accumulated Other Comprehensive Loss
Note 1
2
– Accumulated Other Comprehensive Loss
The changes in the balance of accumulated other comprehensive loss (“AOCL”) by component are as follows:
 
(In thousands)
   
Foreign Currency
Translation
Adjustments
     
Total
  
Balance at January 31, 2023
    $ (2,238 )     $ (2,238 ) 
Other Comprehensive Income before reclassification
      210        210  
    
 
 
     
 
 
  
Balance at April 29, 2023
    $ (2,028 )     $ (2,028 ) 
    
 
 
     
 
 
  
The amounts presented above in other comprehensive loss are net of taxes except for translation adjustments associated with our German and Danish subsidiaries.
v3.23.1
Share-Based Compensation
 3 Months Ended
Apr. 29, 2023
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]  
Share-Based Compensation
Note 1
3
– Share-Based Compensation
We have one equity incentive plan from which we are authorized to grant equity awards, the AstroNova, Inc. 2018 Equity Incentive Plan (the “2018 Plan”). The 2018 Plan provides for, among other things, the issuance of awards, including incentive stock options,
non-qualified
stock options, stock appreciation rights, time-based restricted stock units (“RSUs”), or performance-based restricted stock units (“PSUs”) and restricted stock awards (“RSAs”). The 2018 Plan authorizes the issuance of up to 950,000
shares of common stock, plus an additional number of shares equal to the number of shares subject to awards granted under previous equity incentive plans that are forfeited, cancelled, satisfied without the issuance of stock, otherwise terminated (other than by exercise), or,
for shares of stock issued pursuant to any unvested award, that are reacquired by us at not more than the grantee’s purchase price (other than by exercise). Under the 2018 Plan, all awards to employees generally have a minimum vesting period of one year. Options granted under the 2018 Plan must be issued at an exercise price of not less than the fair market value of our common stock on the date of grant and expire after ten years. Under the 2018 Plan, there were
124,439 unvested RSUs; 188,633 unvested PSUs; 21,172 unvested RSAs and options to purchase an aggregate of 135,500 shares outstanding as of April 29,
2023.
 
In addition to the 2018 Plan, we previously granted equity awards under our 2015 Equity Incentive Plan (the “2015 Plan”) and our 2007 Equity Incentive Plan (the “2007 Plan”). No new awards may be issued under either the 2007 Plan or 2015 Plan, but outstanding awards will continue to be governed by those plans. As of April 29, 2023, options to purchase an aggregate of
270,649 shares were outstanding under the 2007 Plan and options to purchase an aggregate of 134,950 shares were outstanding under the 2015 Plan.
We also have a
Non-Employee
Director Annual Compensation Program (the “Program”), under which each of our
non-employee
directors automatically receives a grant of restricted stock on the date of their
re-election
to our board of directors. The number of whole shares granted is equal to the number calculated by dividing the stock component of the director compensation amount determined by the compensation committee for that year by the fair market value of our stock on that day. The value of the restricted stock award for fiscal 2024 is approximately $65,000. Shares of restricted stock granted under the Program become vested on the first anniversary of the date of grant, conditioned upon the recipient’s continued service on our board of directors through that date.
Share-based compensation expense was recognized as follows:
 
    
Three Months Ended
  
(In thousands)
   
April 29,
2023
     
April 30,
2022
  
Stock Options
    $ —        $ 6  
Restricted Stock Awards and Restricted Stock Units
      352        328  
Employee Stock Purchase Plan
      4        3  
    
 
 
     
 
 
  
Total
    $ 356      $ 337  
    
 
 
     
 
 
  
Stock Options
Aggregated information regarding stock option activity for the three months ended April 29, 2023 is summarized below:
 
    
Number of
Options
     
Weighted Average
Exercise Price
  
Outstanding at January 31, 2023
      547,199      $ 15.16  
Granted
      —          —    
Exercised
      (1,700 )       10.50  
Forfeited
      (175 )       18.35  
Canceled
      (4,225 )       10.50  
    
 
 
     
 
 
  
Outstanding at April 29, 2023
      541,099      $ 15.21  
    
 
 
     
 
 
  
Set forth below is a summary of options outstanding at April 29, 2023:
 
Outstanding
 
  
Exercisable
 
Range of
Exercise prices
  
Number
of
Shares
 
  
Weighted-
Average
Exercise
Price
 
  
Weighted-
Average
Remaining
Contractual Life
 
  
Number
of
Shares
 
  
Weighted-
Average
Exercise
Price
 
  
Weighted
Average
Remaining
Contractual
Life
 
$5.00-10.00
      —        $ —          —          —        $ —          —    
$10.01-15.00
      326,924      $ 13.74        2.7        326,924      $ 13.74        2.7  
$15.01-20.00
      214,175      $ 17.45        4.6        214,175      $ 17.45        4.6  
    
 
 
     
 
 
     
 
 
     
 
 
     
 
 
     
 
 
  
       541,099      $ 15.21        3.5        541,099      $ 15.21        3.5  
    
 
 
     
 
 
     
 
 
     
 
 
     
 
 
     
 
 
  
 
There were no
stock options granted in fiscal 2023 and fiscal 2022, or in the first quarter of fiscal 2024, and as of April 29, 2023, there was
no unrecognized compensation expense related to stock options.
Restricted Stock Units (RSUs), Performance-Based Stock Units (PSUs) and Restricted Stock Awards (RSAs)
Aggregated information regarding RSU and RSA activity for the three months ended April 29, 2023 is summarized below:
 
 
  
RSUs, PSUs & RSAs
 
  
Weighted Average
Grant Date Fair Value
 
Outstanding at January 31, 2023
      274,927      $ 12.82  
Granted
      142,811        12.48  
Vested
      (78,817 )       11.85  
Forfeited
      (4,677 )       12.49  
    
 
 
     
 
 
  
Outstanding at April 29, 2023
      334,244      $ 12.90  
    
 
 
     
 
 
  
As of April 29, 2023, there was approximately $2.5 million of unrecognized compensation expense related to RSUs, PSUs and RSAs, which is expected to be recognized over a weighted average period of 1.2 years.

Employee Stock Purchase Plan
On June 7, 2022, we adopted the AstroNova Inc. 2022 Employee Stock Purchase Plan (“2022 ESPP”) to replace our previous Employee Stock Purchase Plan (the “Prior ESPP”). The 2022 ESPP allows eligible employees to purchase shares of common stock at a 15% discount from fair value on the first or last day of an offering period, whichever is less. A total of 40,000
shares were reserved for issuance under the 2022 ESPP and
5,045 shares were purchased under the 2022 ES
P
P during the year ended January 31, 2023. During the three months ended April 29, 2023, there were 2,394 shares purchased under the 2022 ESPP. During the three months ended April 30, 2022, there were 1,550 shares purchased under the Prior ESPP, and no additional purchases may be made under the Prior ESPP. As of April 29, 2023, 32,560 shares remain available for purchase under the 2022 ESPP.
v3.23.1
Income Taxes
 3 Months Ended
Apr. 29, 2023
Income Tax Disclosure [Abstract]  
Income Taxes
Note 1
4
– Income Taxes
Our effective tax rates are as follows:
 
    
First Quarter
Ended
  
Fiscal 2024
      17.4 % 
Fiscal 2023
      12.4 % 
We determine our estimated annual effective tax rate at the end of each interim period based on full-year forecasted
pre-tax
income and facts known at that time. The estimated annual effective tax rate is applied to the
year-to-date
pre-tax
income at the end of each interim period with the cumulative effect of any changes in the estimated annual effective tax rate being recorded in the fiscal quarter in which the change is determined. The tax effect of significant unusual items is reflected in the period in which they occur.
During the three months ended April 29, 2023, we recognized an income tax expense of approximately $179,000. The effective tax rate in this period was directly impacted by a $77,000 tax benefit related to the expiration of the statute of limitations on a previously uncertain tax position and a $29,000
tax benefit arising from windfall tax benefits related to our stock. During the three months ended April 30, 2022, we recognized an income tax expense of approximately $
60,000. The effective tax rate in this period was directly impacted by a $38,000 tax benefit related to the expiration of the statute of limitations on a previously uncertain tax position and a $30,000
tax benefit arising from windfall tax benefits related to our stock.
v3.23.1
Segment Information
 3 Months Ended
Apr. 29, 2023
Segment Reporting [Abstract]  
Segment Information
Note 1
5
– Segment Information
We report two segments: PI and T&M. We evaluate segment performance based on the segment profit before corporate expenses.
 
Summarized below are the Revenue and Segment Operating Profit for each reporting segment:
 
 
  
Three Months Ended
 
 
  
Revenue
 
  
Segment Operating Profit
 
(In thousands)
  
April 29,
2023
 
  
April 30,
2022
 
  
April 29,
2023
 
  
April 30,
2022
 
PI
    $ 25,095      $ 21,724      $ 2,515      $ 1,413  
T&M
      10,324        9,286        2,072        1,911  
    
 
 
     
 
 
     
 
 
     
 
 
  
Total
    $ 35,419      $ 31,010        4,587        3,324  
    
 
 
     
 
 
                    
Corporate Expenses
               3,126        2,560  
             
 
 
     
 
 
  
Operating Income
               1,461        764  
Other Expense, Net
               434        279  
             
 
 
     
 
 
  
Income Before Income Taxes
               1,027        485  
Income Tax Provision
               179        60  
             
 
 
     
 
 
  
Net Income
             $ 848      $ 425  
             
 
 
     
 
 
  
v3.23.1
Fair Value
 3 Months Ended
Apr. 29, 2023
Fair Value Disclosures [Abstract]  
Fair Value
Note 1
6
– Fair Value
Assets and Liabilities Not Recorded at Fair Value
Our long-term debt, including the current portion of long-term debt not reflected in the financial statements at fair value, is reflected in the table below:
 
    
April 29, 2023
  
    
Fair Value Measurement
         
(In thousands)
   
Level 1
     
Level 2
     
Level 3
     
Total
     
Carrying
Value
  
Long-Term debt and related current maturities
    $ —        $ —        $ 13,937      $ 13,937      $ 13,875  
 
    
January 31, 2023
  
    
Fair Value Measurement
         
(In thousands)
   
Level 1
     
Level 2
     
Level 3
     
Total
     
Carrying
Value
  
Long-Term debt and related current maturities
    $ —        $ —        $ 14,310      $ 14,310      $ 14,250  
The fair value of our long-term debt, including the current portion, is estimated by discounting the future cash flows using current interest rates at which similar loans with the same maturities would be made to borrowers with similar credit ratings and is classified as Level 3.
 
v3.23.1
Summary of Significant Accounting Policies Update (Policies)
 3 Months Ended
Apr. 29, 2023
Accounting Policies [Abstract]  
Principles of Consolidation
Principles of Consolidation
The accompanying condensed consolidated financial statements include the accounts of AstroNova, Inc. and its wholly-owned subsidiaries. All significant intercompany accounts and transactions are eliminated in consolidation.
Recently Adopted Accounting Pronouncements
Recently Adopted Accounting Pronouncements
No new accounting pronouncements, issued or effective during the first three months of the current year, have had or are expected to have a material impact on our consolidated financial statements.
v3.23.1
Acquisitions (Tables)
 3 Months Ended
Apr. 29, 2023
Business Combinations [Abstract]  
Summary of Purchase Price of Acquisition Allocated on Basis of Fair Value
The following table sets forth the final purchase price allocation of the Astro Machine acquisition for the estimated fair value of the net assets acquired and liabilities assumed as of the date of acquisition:
 
(In thousands)       
Cash
    $ 91  
Accounts Receivable
      3,393  
Inventory
      5,715  
Property, Plant and Equipment
      4,200  
Identifiable Intangible Assets
      3,480  
Goodwill
      2,730  
Accounts Payable and Other Current Liabilities
      (2,484 ) 
    
 
 
  
Total Purchase Price
    $ 17,125  
    
 
 
  
Summary of Fair Value of the Acquired Identifiable Intangible Assets and Related Estimated Useful Lives
The following table sets forth the fair value of the acquired identifiable intangible assets and related estimated useful lives:
 
(In thousands)   
Fair
Value
     
Useful Life
(years)
  
Customer Relations
    $ 3,060        5  
Trademarks/Tradenames
      420        5  
    
 
 
           
Total
    $ 3,480           
    
 
 
           
Summary of Revenue and Earnings Before Taxes
The amounts of revenue and earnings before taxes included in our consolidated statement of income for the quarter ended April 29, 2023:
 
(In thousands)
       
Revenue
    $ 4,229  
Earnings before Taxes
      689  
Summary of Acquired Identifiable Intangible Asset
The acquired identifiable intangible asset is as follows:
 
(In thousands)   
Fair
Value
     
Useful Life
(Years)
  
Customer Contract Relationships
    $ 530        20  
v3.23.1
Revenue Recognition (Tables)
 3 Months Ended
Apr. 29, 2023
Revenue from Contract with Customer [Abstract]  
Summary of Revenues Disaggregated by Primary Geographic Markets and Major Product Type
Primary geographical markets:
 
    
Three Months Ended
  
(In thousands)   
April 29,
2023
     
April 30,
2022
  
United States
    $ 22,834      $ 19,651  
Europe
      7,964        7,419  
Canada
      1,825        1,854  
Asia
      1,294        937  
Central and South America
      1,199        888  
Other
      303        261  
    
 
 
     
 
 
  
Total Revenue
    $ 35,419      $ 31,010  
    
 
 
     
 
 
  
 
Major product types:
 
    
Three Months Ended
  
(In thousands)   
April 29,
2023
     
April 30,
2022
  
Hardware
      11,667      $ 9,301  
Supplies
      19,070        17,944  
Service and Other
      4,682        3,765  
    
 
 
     
 
 
  
Total Revenue
    $ 35,419      $ 31,010  
    
 
 
     
 
 
  
v3.23.1
Net Income Per Common Share (Tables)
 3 Months Ended
Apr. 29, 2023
Earnings Per Share [Abstract]  
Summary of Basic and Diluted Net Income Per Share A reconciliation of the shares used in calculating basic and diluted net income per share is as follows:
    
Three Months Ended
  
    
April 29,
2023
     
April 30,
2022
  
Weighted Average Common Shares Outstanding – Basic
      7,369,930        7,262,797  
Effect of Dilutive Options, Restricted Stock Awards and Restricted Stock Units
      80,122        97,713  
    
 
 
     
 
 
  
Weighted Average Common Shares Outstanding – Diluted
      7,450,052        7,360,510  
    
 
 
     
 
 
  
v3.23.1
Intangible Assets (Tables)
 3 Months Ended
Apr. 29, 2023
Goodwill and Intangible Assets Disclosure [Abstract]  
Fair Value of Acquired Identifiable Intangible Assets and Related Estimated Useful Lives
Intangible assets are as follows:
 
    
April 29, 2023
     
January 31, 2023
  
(In thousands)   
Gross
Carrying
Amount
     
Accumulated
Amortization
    
Currency
Translation
Adjustment
     
Net
Carrying
Amount
     
Gross
Carrying
Amount
     
Accumulated
Amortization
    
Currency
Translation
Adjustment
     
Net
Carrying
Amount
  
Miltope:
                                                                      
Customer Contract Relationships
    $ 3,100      $ (2,857 )    $ —        $ 243      $ 3,100      $ (2,777 )    $ —        $ 323  
RITEC:
                                                                      
Customer Contract Relationships
      2,830        (1,639 )      —          1,191        2,830        (1,623 )      —          1,207  
TrojanLabel:
                                                                      
Existing Technology
      2,327        (2,171 )      97        253        2,327        (2,087 )      94        334  
Distributor Relations
      937        (616 )      36        357        937        (588 )      27        376  
Honeywell:
                                                                      
Customer Contract Relationships
      27,773        (12,145 )      —          15,628        27,773        (11,913 )      —          15,860  
Astro Machine:
                                                                      
Customer Contract Relationships
      3,060        (459 )      —          2,601        3,060        (306 )      —          2,754  
Trademarks
      420        (63 )      —          357        420        (42 )      —          378  
    
 
 
     
 
 
    
 
 
     
 
 
     
 
 
     
 
 
    
 
 
     
 
 
  
Intangible Assets, net
    $ 40,447      $ (19,950 )    $ 133      $ 20,630      $ 40,447      $ (19,336 )    $ 121      $ 21,232  
    
 
 
     
 
 
    
 
 
     
 
 
     
 
 
     
 
 
    
 
 
     
 
 
  
Summary of Estimated Amortization Expense
Estimated amortization expense for the next five fiscal years is as follows:
 
(In thousands)
  
Remaining
2024
 
  
2025
 
  
2026
 
  
2027
 
  
2028
 
Estimated amortization expense
    $ 1,786      $ 1,723      $ 1,723      $ 1,723      $ 1,281  
v3.23.1
Inventories (Tables)
 3 Months Ended
Apr. 29, 2023
Inventory Disclosure [Abstract]  
Components of Inventories The components of inventories are as follows:
 
(In thousands)
  
April 29, 2023
 
  
January 31, 2023
 
Materials and Supplies
    $ 40,624      $ 38,387  
Work-In-Process
      1,485        1,146  
Finished Goods
      22,221        23,221  
    
 
 
     
 
 
  
       64,330        62,754  
Inventory Reserve
      (11,204 )       (11,430 ) 
    
 
 
     
 
 
  
     $ 53,126      $ 51,324  
    
 
 
     
 
 
  
v3.23.1
Property, Plant and Equipment (Tables)
 3 Months Ended
Apr. 29, 2023
Property, Plant and Equipment [Abstract]  
Summary of Property, Plant and Equipment
Property, plant and equipment consist of the following:
 
 
  
April 29,

2023
 
  
January 31,

2023
 
(In thousands)
  
 
 
  
 
 
Land and Land Improvements
    $ 2,304      $ 2,304  
Buildings and Leasehold Improvements
      14,162        14,158  
Machinery and Equipment
      25,012        24,960  
Computer Equipment and Software
      13,996        13,972  
    
 
 
     
 
 
  
Gross Property, Plant and Equipment
      55,474        55,394  
Accumulated Depreciation
      (41,556 )       (41,106 ) 
    
 
 
     
 
 
  
Net Property Plant and Equipment
    $ 13,918      $ 14,288  
    
 
 
     
 
 
  
v3.23.1
Credit Agreement and Long-Term Debt (Tables)
 3 Months Ended
Apr. 29, 2023
Debt Disclosure [Abstract]  
Schedule of Long Term Debt in the Accompanying Condensed Consolidated Balance Sheets
Long-term debt in the accompanying condensed consolidated balance sheets is as follows:
 
(In thousands)
  
April 29,

2023
 
  
January 31,

2023
 
USD Term Loan (7.24% as of April 29, 2023 and 6.78% as of January 31, 2023); maturity date of August 4, 2027
    $ 13,875      $ 14,250  
    
 
 
     
 
 
  
       13,875        14,250  
Debt Issuance Costs, net of accumulated amortization
      (97 )       (110 ) 
Current Portion of Term Loan
      (2,100 )       (2,100 ) 
    
 
 
     
 
 
  
Long-Term Debt
    $ 11,678      $ 12,040  
    
 
 
     
 
 
  
Schedule of Required Principal Payments Remaining on Long Term Debt Outstanding
The schedule of required principal payments remaining during the next five years on long-term debt outstanding as of April 29, 2023 is as follows:
 
(In thousands)
       
Fiscal 2024, remainder
    $ 1,725  
Fiscal 2025
      2,700  
Fiscal 2026
      2,700  
Fiscal 2027
      2,700  
Fiscal 2028
      4,050  
    
 
 
  
     $ 13,875  
    
 
 
  
v3.23.1
Leases (Tables)
 3 Months Ended
Apr. 29, 2023
Leases [Abstract]  
Schedule Of Balance Sheet And Other Information Related To Operating Leases
Balance sheet and other information related to our leases is as follows:
 
Operating Leases
(In thousands)
  
Balance Sheet Classification
 
  
April 29,
2023
 
  
January 31,
2023
 
Lease Assets
  
 
Right of Use Assets
 
  
$
 858
 
  
$
 794
 
Lease Liabilities – Current
  
 
Other Liabilities and Accrued Expenses
 
  
 
 312
 
  
$
 275
 
Lease Liabilities – Long Term
  
 
Lease Liabilities
 
  
 
 581
 
  
$
 555
 
Schedule Lease Cost Information
Lease cost information is as follows:
 
 
  
 
 
  
Three Months Ended
 
Operating Leases
(In thousands)
  
Statement of Income Classification
 
  
April 29,
2023
 
  
April 30,
2022
 
Operating Lease Costs
      General and Administrative Expense      $ 133      $ 113  
Schedule of Maturities Of Lease Liabilities
Maturities of operating lease liabilities are as follows:
 
(In thousands)
   
April 29,
2023
  
2024, remaining
    $ 263  
2025
      258  
2026
      199  
2027
      151  
2028
      93  
Thereafter
      —    
    
 
 
  
Total Lease Payments
      964  
Less: Imputed Interest
      (71 ) 
    
 
 
  
Total Lease Liabilities
    $ 893  
    
 
 
  
Supplemental Cash Flow Information Related To Leases
Supplemental cash flow information related to leases is as follows:
 
    
Three Months Ended
  
(In thousands)
   
April 29,
2023
     
April 30,
2022
  
Cash paid for amounts included in the measurement of lease liabilities:
                  
Operating cash flows for operating leases
    $ 93      $ 83  
v3.23.1
Accumulated Other Comprehensive Loss (Tables)
 3 Months Ended
Apr. 29, 2023
Equity [Abstract]  
Changes in Balance of Accumulated Other Comprehensive Loss
The changes in the balance of accumulated other comprehensive loss (“AOCL”) by component are as follows:
 
(In thousands)
   
Foreign Currency
Translation
Adjustments
     
Total
  
Balance at January 31, 2023
    $ (2,238 )     $ (2,238 ) 
Other Comprehensive Income before reclassification
      210        210  
    
 
 
     
 
 
  
Balance at April 29, 2023
    $ (2,028 )     $ (2,028 ) 
    
 
 
     
 
 
  
v3.23.1
Share-Based Compensation (Tables)
 3 Months Ended
Apr. 29, 2023
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]  
Share-Based Compensation Expense
Share-based compensation expense was recognized as follows:
 
    
Three Months Ended
  
(In thousands)
   
April 29,
2023
     
April 30,
2022
  
Stock Options
    $ —        $ 6  
Restricted Stock Awards and Restricted Stock Units
      352        328  
Employee Stock Purchase Plan
      4        3  
    
 
 
     
 
 
  
Total
    $ 356      $ 337  
    
 
 
     
 
 
  
Aggregated Information Regarding Stock Option Activity
Aggregated information regarding stock option activity for the three months ended April 29, 2023 is summarized below:
 
    
Number of
Options
     
Weighted Average
Exercise Price
  
Outstanding at January 31, 2023
      547,199      $ 15.16  
Granted
      —          —    
Exercised
      (1,700 )       10.50  
Forfeited
      (175 )       18.35  
Canceled
      (4,225 )       10.50  
    
 
 
     
 
 
  
Outstanding at April 29, 2023
      541,099      $ 15.21  
    
 
 
     
 
 
  
Summary of Options Outstanding
Set forth below is a summary of options outstanding at April 29, 2023:
 
Outstanding
 
  
Exercisable
 
Range of
Exercise prices
  
Number
of
Shares
 
  
Weighted-
Average
Exercise
Price
 
  
Weighted-
Average
Remaining
Contractual Life
 
  
Number
of
Shares
 
  
Weighted-
Average
Exercise
Price
 
  
Weighted
Average
Remaining
Contractual
Life
 
$5.00-10.00
      —        $ —          —          —        $ —          —    
$10.01-15.00
      326,924      $ 13.74        2.7        326,924      $ 13.74        2.7  
$15.01-20.00
      214,175      $ 17.45        4.6        214,175      $ 17.45        4.6  
    
 
 
     
 
 
     
 
 
     
 
 
     
 
 
     
 
 
  
       541,099      $ 15.21        3.5        541,099      $ 15.21        3.5  
    
 
 
     
 
 
     
 
 
     
 
 
     
 
 
     
 
 
  
Aggregated Information Regarding RSU and RSA Activity
Aggregated information regarding RSU and RSA activity for the three months ended April 29, 2023 is summarized below:
 
 
  
RSUs, PSUs & RSAs
 
  
Weighted Average
Grant Date Fair Value
 
Outstanding at January 31, 2023
      274,927      $ 12.82  
Granted
      142,811        12.48  
Vested
      (78,817 )       11.85  
Forfeited
      (4,677 )       12.49  
    
 
 
     
 
 
  
Outstanding at April 29, 2023
      334,244      $ 12.90  
    
 
 
     
 
 
  
v3.23.1
Income Taxes (Tables)
 3 Months Ended
Apr. 29, 2023
Income Tax Disclosure [Abstract]  
Projected Effective Tax Rates
Our effective tax rates are as follows:
 
    
First Quarter
Ended
  
Fiscal 2024
      17.4 % 
Fiscal 2023
      12.4 % 
v3.23.1
Segment Information (Tables)
 3 Months Ended
Apr. 29, 2023
Segment Reporting [Abstract]  
Net Sales and Segment Operating Profit (Loss) for Each Reporting Segment
Summarized below are the Revenue and Segment Operating Profit for each reporting segment:
 
 
  
Three Months Ended
 
 
  
Revenue
 
  
Segment Operating Profit
 
(In thousands)
  
April 29,
2023
 
  
April 30,
2022
 
  
April 29,
2023
 
  
April 30,
2022
 
PI
    $ 25,095      $ 21,724      $ 2,515      $ 1,413  
T&M
      10,324        9,286        2,072        1,911  
    
 
 
     
 
 
     
 
 
     
 
 
  
Total
    $ 35,419      $ 31,010        4,587        3,324  
    
 
 
     
 
 
                    
Corporate Expenses
               3,126        2,560  
             
 
 
     
 
 
  
Operating Income
               1,461        764  
Other Expense, Net
               434        279  
             
 
 
     
 
 
  
Income Before Income Taxes
               1,027        485  
Income Tax Provision
               179        60  
             
 
 
     
 
 
  
Net Income
             $ 848      $ 425  
             
 
 
     
 
 
  
v3.23.1
Fair Value (Tables)
 3 Months Ended
Apr. 29, 2023
Fair Value Disclosures [Abstract]  
Summary of Changes in Fair value of Level 3 Financial Liability
Our long-term debt, including the current portion of long-term debt not reflected in the financial statements at fair value, is reflected in the table below:
 
    
April 29, 2023
  
    
Fair Value Measurement
         
(In thousands)
   
Level 1
     
Level 2
     
Level 3
     
Total
     
Carrying
Value
  
Long-Term debt and related current maturities
    $ —        $ —        $ 13,937      $ 13,937      $ 13,875  
 
    
January 31, 2023
  
    
Fair Value Measurement
         
(In thousands)
   
Level 1
     
Level 2
     
Level 3
     
Total
     
Carrying
Value
  
Long-Term debt and related current maturities
    $ —        $ —        $ 14,310      $ 14,310      $ 14,250  
v3.23.1
Business and Basis of Presentation - Additional Information (Detail)
 3 Months Ended
Apr. 29, 2023
Segment
Number of Operating Segments 2
v3.23.1
Acquisitions - Summary of Purchase Price of Acquisition Allocated on Basis of Fair Value (Detail)
$ in Thousands
Aug. 04, 2022
USD ($)
Business Acquisition [Line Items]  
Cash $ 91
Accounts Receivable 3,393
Inventory 5,715
Property, Plant and Equipment 4,200
Identifiable Intangible Assets 3,480
Goodwill 2,730
Accounts Payable and Other Current Liabilities (2,484)
Total Purchase Price $ 17,125
v3.23.1
Acquisitions - Summary of Fair Value of the Acquired Identifiable Intangible Assets and Related Estimated Useful Lives (Detail)
$ in Thousands
Aug. 04, 2022
USD ($)
Acquired Finite-Lived Intangible Assets [Line Items]  
Fair Value $ 3,480
Customer Relationships [Member]  
Acquired Finite-Lived Intangible Assets [Line Items]  
Fair Value $ 3,060
Useful Life (Years) 5 years
Trademarks and Trade Names [Member]  
Acquired Finite-Lived Intangible Assets [Line Items]  
Fair Value $ 420
Useful Life (Years) 5 years
v3.23.1
Acquisitions - Summary of Revenue and Earnings Before Taxes (Detail) - Agreement With Astro Machine For Asset Acquisitions [Member]
$ in Thousands
 3 Months Ended
Apr. 29, 2023
USD ($)
Business Acquisition Pro Forma Information [Line Items]  
Revenue $ 4,229
Earnings before Taxes $ 689
v3.23.1
Acquisitions - Summary of Acquired Identifiable Intangible Asset (Detail) - Customer Contract Relationships [Member]
$ in Thousands
 3 Months Ended
Apr. 29, 2023
USD ($)
Acquired Finite-Lived Intangible Assets [Line Items]  
Fair Value $ 530
Useful Life (Years) 20 years
v3.23.1
Acquisitions - Additional Information (Detail)
 3 Months Ended 12 Months Ended
Aug. 04, 2022
USD ($)
ft²
Apr. 29, 2023
USD ($)
Jan. 31, 2023
USD ($)
Business Acquisition [Line Items]      
Area of Land | ft² 34,460    
Goodwill   $ 14,760,000 $ 14,658,000
Royalty expense   100,000 100,000
Royalty guarantee commitement due current and non current discounted value   500,000 500,000
Royalty Payments Due In Next Twelve Months [Member]      
Business Acquisition [Line Items]      
Royalty guarantee commitement amount   100,000  
Royalty Payments Due Year Two [Member]      
Business Acquisition [Line Items]      
Royalty guarantee commitement amount   200,000  
Royalty Payments Due Year Three [Member]      
Business Acquisition [Line Items]      
Royalty guarantee commitement amount   233,000  
Royalty Payments Due Year Four [Member]      
Business Acquisition [Line Items]      
Royalty guarantee commitement amount   233,000  
Royalty Payments Due Year Five [Member]      
Business Acquisition [Line Items]      
Royalty guarantee commitement amount   234,000  
Non Current Liability [Member]      
Business Acquisition [Line Items]      
Royalty guarantees commitments amount non current   $ 100,000  
Measurement Input Royalty Rate [Member]      
Business Acquisition [Line Items]      
Fair Value Of Intangible Assets Measurement Input   0.0075  
Measurement Input Customer Attrition Rate [Member]      
Business Acquisition [Line Items]      
Fair Value Of Intangible Assets Measurement Input   0.18  
Measurement Input, Discount Rate [Member]      
Business Acquisition [Line Items]      
Fair Value Of Intangible Assets Measurement Input   0.19  
Agreement With Astro Machine For Asset Acquisitions [Member]      
Business Acquisition [Line Items]      
Purchase price of acquisition $ 15,600,000    
Business Combination, Consideration Transferred $ 17,100,000    
Payments to Acquire Businesses, Gross 100.00%    
Purchase price into an escrow account $ 300,000    
Payments to Acquire Additional Interest in Subsidiaries $ 1,500,000    
Number of Acres of land   1.26  
Goodwill   $ 2,730,000  
Agreement With Astro Machine For Asset Acquisitions [Member] | General and Administrative Expense [Member]      
Business Acquisition [Line Items]      
Business Combination, Acquisition Related Costs     $ 700,000
v3.23.1
Revenue Recognition - Summary of Revenues Disaggregated by Primary Geographic Markets (Detail) - USD ($)
$ in Thousands
 3 Months Ended
Apr. 29, 2023
Apr. 30, 2022
Disaggregation of Revenue [Line Items]    
Total Revenue $ 35,419 $ 31,010
United States [Member]    
Disaggregation of Revenue [Line Items]    
Total Revenue 22,834 19,651
Europe [Member]    
Disaggregation of Revenue [Line Items]    
Total Revenue 7,964 7,419
Canada [Member]    
Disaggregation of Revenue [Line Items]    
Total Revenue 1,825 1,854
Asia [Member]    
Disaggregation of Revenue [Line Items]    
Total Revenue 1,294 937
Central and South America [Member]    
Disaggregation of Revenue [Line Items]    
Total Revenue 1,199 888
Other [Member]    
Disaggregation of Revenue [Line Items]    
Total Revenue $ 303 $ 261
v3.23.1
Revenue Recognition - Summary of Revenues Disaggregated by Primary Product Type (Detail) - USD ($)
$ in Thousands
 3 Months Ended
Apr. 29, 2023
Apr. 30, 2022
Disaggregation of Revenue [Line Items]    
Total Revenue $ 35,419 $ 31,010
Hardware [Member]    
Disaggregation of Revenue [Line Items]    
Total Revenue 11,667 9,301
Supplies [Member]    
Disaggregation of Revenue [Line Items]    
Total Revenue 19,070 17,944
Service and Other [Member]    
Disaggregation of Revenue [Line Items]    
Total Revenue $ 4,682 $ 3,765
v3.23.1
Revenue Recognition - Additional Information (Detail) - USD ($)
 3 Months Ended 12 Months Ended
Apr. 29, 2023
Apr. 30, 2022
Jan. 31, 2023
Dec. 31, 2022
Contract liabilities and extended warranties $ 443,000   $ 412,000  
Revenue recognized     143,000  
Contract assets balance 1,300,000   1,400,000  
Amortization of incremental direct costs 19,000 $ 16,000    
Deferred incremental direct contract costs reported in other current assets $ 100,000      
Capitalized contract costs amounts incurred amortization period 18 years      
Aerospace Customer [Member]        
Deferred incremental direct contract costs reported in other current assets $ 1,200,000      
Contract with customer liability       $ 3,250,000
Deferred Revenue     2,150,000  
Revenue recognized $ 400,000   $ 1,100,000  
v3.23.1
Net Income Per Common Share - Reconciliation of Shares Used in Calculating Basic and Diluted (Detail) - shares
 3 Months Ended
Apr. 29, 2023
Apr. 30, 2022
Weighted Average Common Shares Outstanding – Basic 7,369,930 7,262,797
Effect of Dilutive Options, Restricted Stock Awards and Restricted Stock Units 80,122 97,713
Weighted Average Number of Common Shares Outstanding—Diluted 7,450,052 7,360,510
v3.23.1
Net Income Per Common Share - Additional Information (Detail) - shares
 3 Months Ended
Apr. 29, 2023
Apr. 30, 2022
Number of common equivalent shares 656,554 310,588
v3.23.1
Intangible Assets - Fair Value of Acquired Identifiable Intangible Assets and Related Estimated Useful Lives (Detail) - USD ($)
$ in Thousands
Apr. 29, 2023
Jan. 31, 2023
Finite-Lived Intangible Assets [Line Items]    
Gross Carrying Amount $ 40,447 $ 40,447
Accumulated Amortization (19,950) (19,336)
Currency Translation Adjustment 133 121
Net Carrying Amount 20,630 21,232
Customer Contract Relationships [Member] | Honeywell Asset Purchase and License Agreement [Member]    
Finite-Lived Intangible Assets [Line Items]    
Gross Carrying Amount 27,773 27,773
Accumulated Amortization (12,145) (11,913)
Net Carrying Amount 15,628 15,860
Customer Contract Relationships [Member] | Miltope [Member]    
Finite-Lived Intangible Assets [Line Items]    
Gross Carrying Amount 3,100 3,100
Accumulated Amortization (2,857) (2,777)
Net Carrying Amount 243 323
Customer Contract Relationships [Member] | RITEC [Member]    
Finite-Lived Intangible Assets [Line Items]    
Gross Carrying Amount 2,830 2,830
Accumulated Amortization (1,639) (1,623)
Net Carrying Amount 1,191 1,207
Customer Contract Relationships [Member] | Agreement With Astro Machine For Asset Acquisitions [Member]    
Finite-Lived Intangible Assets [Line Items]    
Gross Carrying Amount 3,060 3,060
Accumulated Amortization (459) (306)
Net Carrying Amount 2,601 2,754
Existing Technology [Member] | TrojanLabel ApS [Member]    
Finite-Lived Intangible Assets [Line Items]    
Gross Carrying Amount 2,327 2,327
Accumulated Amortization (2,171) (2,087)
Currency Translation Adjustment 97 94
Net Carrying Amount 253 334
Distributor Relations [Member] | TrojanLabel ApS [Member]    
Finite-Lived Intangible Assets [Line Items]    
Gross Carrying Amount 937 937
Accumulated Amortization (616) (588)
Currency Translation Adjustment 36 27
Net Carrying Amount 357 376
Trademarks [Member] | Agreement With Astro Machine For Asset Acquisitions [Member]    
Finite-Lived Intangible Assets [Line Items]    
Gross Carrying Amount 420 420
Accumulated Amortization (63) (42)
Net Carrying Amount $ 357 $ 378
v3.23.1
Intangible Assets - Additional Information (Detail) - USD ($)
$ in Thousands
 3 Months Ended
Apr. 29, 2023
Apr. 30, 2022
Intangible Assets [Line Items]    
Impairments of intangible assets $ 0 $ 0
Amortization expense $ 600 $ 400
v3.23.1
Intangible Assets - Summary of Estimated Amortization Expense (Detail)
$ in Thousands
Apr. 29, 2023
USD ($)
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract]  
2024 $ 1,786
2025 1,723
2026 1,723
2027 1,723
2028 $ 1,281
v3.23.1
Inventories - Components of Inventories (Detail) - USD ($)
$ in Thousands
Apr. 29, 2023
Jan. 31, 2023
Inventory Disclosure [Abstract]    
Materials and Supplies $ 40,624 $ 38,387
Work-In-Progress 1,485 1,146
Finished Goods 22,221 23,221
Inventory, Gross 64,330 62,754
Inventory Reserve (11,204) (11,430)
Inventories $ 53,126 $ 51,324
v3.23.1
Property, Plant and Equipment - Summary of Property, Plant and Equipment (Detail) - USD ($)
$ in Thousands
Apr. 29, 2023
Jan. 31, 2023
Land and Land Improvements $ 2,304 $ 2,304
Buildings and Leasehold Improvements 14,162 14,158
Machinery and Equipment 25,012 24,960
Computer Equipment and Software 13,996 13,972
Gross Property, Plant and Equipment 55,474 55,394
Accumulated Depreciation (41,556) (41,106)
Net Property Plant and Equipment $ 13,918 $ 14,288
v3.23.1
Property, Plant and Equipment - Additional Information (Detail) - USD ($)
$ in Millions
 3 Months Ended
Apr. 29, 2023
Apr. 30, 2022
Depreciation expense on property, plant and equipment $ 0.4 $ 0.4
v3.23.1
Credit Agreement and Long- Term Debt - Schedule of Long Term Debt in the Accompanying Condensed Consolidated Balance Sheets (Detail) - USD ($)
$ in Thousands
Apr. 29, 2023
Jan. 31, 2023
Debt Instrument [Line Items]    
USD Term Loan $ 13,875 $ 14,250
Debt Issuance Costs, net of accumulated amortization (97) (110)
Current Portion of Term Loan (2,100) (2,100)
Long-Term Debt 11,678 12,040
Term Loan Due August 4, 2027 [Member]    
Debt Instrument [Line Items]    
USD Term Loan $ 13,875 $ 14,250
v3.23.1
Credit Agreement and Long- Term Debt - Schedule of Required Principal Payments Remaining on Long Term Debt Outstanding (Detail) - Term Loan [Member]
$ in Thousands
Apr. 29, 2023
USD ($)
Debt Instrument [Line Items]  
Fiscal 2024, remainder $ 1,725
Fiscal 2025 2,700
Fiscal 2026 2,700
Fiscal 2027 2,700
Fiscal 2028 4,050
Long-term Debt $ 13,875
v3.23.1
Credit Agreement and Long- Term Debt - Additional Information (Detail) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended 42 Months Ended
Aug. 04, 2022
Apr. 29, 2023
Apr. 30, 2022
Jul. 31, 2023
Apr. 30, 2027
Debt Instrument [Line Items]          
Revolving loan outstanding   $ 15,900      
Interest Expense, Debt   $ 248,000 $ 53,000    
Revolving Credit Facility [Member]          
Debt Instrument [Line Items]          
Variable interest rate   0.50      
LIBOR [Member] | Revolving Credit Facility [Member]          
Debt Instrument [Line Items]          
Interest rate   1.00%      
Federal Funds Effective Swap Rate [Member] | Revolving Credit Facility [Member]          
Debt Instrument [Line Items]          
Interest rate   0.50%      
Minimum [Member] | Revolving Credit Facility [Member]          
Debt Instrument [Line Items]          
Commitment fee rate   0.15%      
Percentage added to variable rate   0.60%      
Minimum [Member] | LIBOR [Member] | Revolving Credit Facility [Member]          
Debt Instrument [Line Items]          
Interest rate   1.60%      
Maximum [Member] | Revolving Credit Facility [Member]          
Debt Instrument [Line Items]          
Commitment fee rate   0.35%      
Percentage added to variable rate   1.50%      
Maximum [Member] | LIBOR [Member] | Revolving Credit Facility [Member]          
Debt Instrument [Line Items]          
Interest rate   2.50%      
Bank of America, N.A. [Member] | Term Loan [Member]          
Debt Instrument [Line Items]          
Debt Instrument, principal Periodic payment       $ 375,000 $ 675,000
Bank of America, N.A. [Member] | Term Loan [Member] | Second Amendment Credit Agreement [Member]          
Debt Instrument [Line Items]          
Proceeds from long term line of credit $ 6,000        
Bank of America, N.A. [Member] | Term Loan [Member] | Additional Term Loan Availed [Member] | Second Amendment Credit Agreement [Member]          
Debt Instrument [Line Items]          
Principal amount of debt 6,000        
Bank of America, N.A. [Member] | Term Loan [Member] | Before Amendment To The Credit Agreement [Member]          
Debt Instrument [Line Items]          
Principal amount of debt 9,000        
Bank of America, N.A. [Member] | Revolving Credit Facility [Member]          
Debt Instrument [Line Items]          
Line of Credit Facility, Remaining Borrowing Capacity   $ 9,100      
Long term debt weighted average interest rate over a period of time   6.93% 4.26%    
Bank of America, N.A. [Member] | Revolving Credit Facility [Member] | Second Amendment Credit Agreement [Member]          
Debt Instrument [Line Items]          
Maximum borrowing capacity   $ 25,000      
Proceeds from long term line of credit $ 12,400        
Bank of America, N.A. [Member] | Revolving Credit Facility [Member] | Before Amendment To The Credit Agreement [Member]          
Debt Instrument [Line Items]          
Maximum borrowing capacity     $ 22,500    
Bank of America, N.A. [Member] | Revolving Credit Facility [Member] | Other Expense [Member]          
Debt Instrument [Line Items]          
Interest Expense, Debt   292,000 23,000    
Line of Credit Facility, Commitment Fee Amount   $ 8,000 $ 10,000    
v3.23.1
Royalty Obligation - Additional Information (Detail) - USD ($)
$ in Thousands
 3 Months Ended
Jan. 31, 2018
Apr. 29, 2023
Jan. 31, 2023
Guaranteed Minimum Royalty Payments   $ 10,000  
Royalty Obligation, Current   1,600 $ 1,725
Royalty Obligation Non Current   3,102 3,415
Accrued Royalties, Current, Excess Royalty Payment Due   379 $ 562
Honeywell Asset Purchase and License Agreement [Member]      
Payment Term Period 10 years    
Minimum Royalty Payment Obligation $ 15,000    
Royalty Obligation, Current   1,500  
Royalty Obligation Non Current   2,700  
Excess Royalty Payments   400  
Accrued Royalties, Current, Excess Royalty Payment Due   400  
Accrued Royalties Current Excess Royalty Payments Due   $ 400  
v3.23.1
Leases - Additional Information (Detail)
Apr. 29, 2023
Operating Lease, Weighted Average Remaining Lease Term 3 years 6 months
Operating Lease, Weighted Average Discount Rate, Percent 4.37%
v3.23.1
Leases - Schedule Of Balance Sheet And Other Information Related To Operating Leases (Detail) - USD ($)
$ in Thousands
Apr. 29, 2023
Jan. 31, 2023
Operating Leases [Abstract]    
Right of Use Assets $ 858 $ 794
Other Liabilities and Accrued Expenses 312 275
Lease Liabilities $ 581 $ 555
v3.23.1
Leases - Lease Cost Information (Detail) - USD ($)
$ in Thousands
 3 Months Ended
Apr. 29, 2023
Apr. 30, 2022
General and Administrative Expense [Member]    
Operating Lease Costs $ 133 $ 113
v3.23.1
Leases - Maturities of lease liabilities (Detail)
$ in Thousands
Apr. 29, 2023
USD ($)
Leases [Abstract]  
2024, remaining $ 263
2025 258
2026 199
2027 151
2028 93
Thereafter 0
Total Lease Payments 964
Less: Imputed Interest (71)
Total Lease Liabilities $ 893
v3.23.1
Leases - Supplemental cash flow information (Detail) - USD ($)
$ in Thousands
 3 Months Ended
Apr. 29, 2023
Apr. 30, 2022
Cash paid for amounts included in the measurement of lease liabilities [Abstract]    
Operating cash flows for operating leases $ 93 $ 83
v3.23.1
Accumulated Other Comprehensive Loss - Changes in Balance of Accumulated Other Comprehensive Loss (Detail)
$ in Thousands
 3 Months Ended
Apr. 29, 2023
USD ($)
Schedule of Capitalization, Equity [Line Items]  
Beginning Balance $ 84,367
Ending Balance 85,474
Foreign Currency Translation Adjustments [Member]  
Schedule of Capitalization, Equity [Line Items]  
Beginning Balance (2,238)
Other Comprehensive Income before reclassification 210
Ending Balance (2,028)
Accumulated Other Comprehensive Income (Loss) [Member]  
Schedule of Capitalization, Equity [Line Items]  
Beginning Balance (2,238)
Other Comprehensive Income before reclassification 210
Ending Balance $ (2,028)
v3.23.1
Share-Based Compensation - Additional Information (Detail) - USD ($)
 3 Months Ended 12 Months Ended
Apr. 29, 2023
Apr. 30, 2022
Jan. 31, 2023
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Number of shares outstanding 541,099   547,199
Number of options granted 0 0  
Reservation of shares under Stock Purchase Plan     40,000
Restricted Stock or Unit Expense $ 352,000 $ 328,000  
Employee Stock Purchase Plan [Member]      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Employee Stock Purchase Plan discount rate     15.00%
2007 Equity Incentive Plan [Member]      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Number of shares outstanding 270,649    
2018 Equity Incentive Plan [Member]      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Shares authorized for grant under the Plan 950,000    
Number of shares outstanding 135,500    
2022 Employee Stock Purchase Plan      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Shares purchase under Employee Stock Purchase Plan 2,394   5,045
Shares available for grant under the Plan 32,560    
Prior Employee Stock Purchase Plan [Member]      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Shares purchase under Employee Stock Purchase Plan   1,550  
Stock Options [Member]      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Unrecognized compensation expense related to options $ 0    
Restricted Stock Units (RSUs) [Member]      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Unrecognized compensation expense to be recognized, Weighted average period 1 year 2 months 12 days    
Unrecognized compensation expense related to RSUs and RSAs $ 2,500,000    
Restricted Stock Units (RSUs) [Member] | 2018 Equity Incentive Plan [Member]      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Number of unvested shares 124,439    
RSA [Member] | 2015 Equity Incentive Plan [Member]      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Number of shares outstanding 134,950    
RSA [Member] | 2018 Equity Incentive Plan [Member]      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Number of unvested shares 21,172    
Performance Based RSUs [Member] | 2018 Equity Incentive Plan [Member]      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Number of unvested shares 188,633    
Restricted Stock Award [Member]      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Restricted Stock or Unit Expense $ 65,000    
v3.23.1
Share-Based Compensation - Share-Based Compensation Expense (Detail) - USD ($)
$ in Thousands
 3 Months Ended
Apr. 29, 2023
Apr. 30, 2022
Share-based Compensation [Abstract]    
Stock Options $ 0 $ 6
Restricted Stock Awards and Restricted Stock Units 352 328
Employee Stock Purchase Plan 4 3
Total $ 356 $ 337
v3.23.1
Share-Based Compensation - Aggregated Information Regarding Stock Option Activity (Detail) - $ / shares
 3 Months Ended
Apr. 29, 2023
Apr. 30, 2022
Share-based Compensation [Abstract]    
Beginning balance, Number of Options 547,199  
Granted, Number of Options 0 0
Exercised, Number of Options (1,700)  
Forfeited, Number of Options (175)  
Canceled, Number of Options (4,225)  
Ending balance, Number of Options 541,099  
Beginning balance, Weighted-Average Exercise Price $ 15.16  
Granted, Weighted-Average Exercise Price 0  
Exercised, Weighted-Average Exercise Price 10.5  
Forfeited, Weighted-Average Exercise Price 18.35  
Cancelled, Weighted-Average Exercise Price 10.5  
Ending balance, Weighted-Average Exercise Price $ 15.21  
v3.23.1
Share-Based Compensation - Summary of Options Outstanding (Detail) - $ / shares
 3 Months Ended
Apr. 29, 2023
Jan. 31, 2023
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Number of shares outstanding, total 541,099 547,199
Outstanding, Weighted Average Exercise Price $ 15.21  
Exercisable, Weighted Average Exercise Price $ 15.21  
Outstanding Remaining Contractual Life 3 years 6 months  
Number of shares exercisable, total 541,099  
Exercisable Remaining Contractual Life 3 years 6 months  
$5.00 - $10.00 [Member]    
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Outstanding Range of Exercise prices, Lower Limit $ 5  
Outstanding Range of Exercise prices, Upper Limit $ 10  
Outstanding, Number of shares 0  
Outstanding, Weighted Average Exercise Price $ 0  
Exercisable, Weighted Average Exercise Price $ 0  
Exercisable, Number of shares 0  
$10.01 - $15.00 [Member]    
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Outstanding Range of Exercise prices, Lower Limit $ 10.01  
Outstanding Range of Exercise prices, Upper Limit $ 15  
Outstanding, Number of shares 326,924  
Outstanding, Weighted Average Exercise Price $ 13.74  
Exercisable, Weighted Average Exercise Price $ 13.74  
Outstanding Remaining Contractual Life 2 years 8 months 12 days  
Exercisable, Number of shares 326,924  
Exercisable Remaining Contractual Life 2 years 8 months 12 days  
$15.01 - $20.00 [Member]    
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Outstanding Range of Exercise prices, Lower Limit $ 15.01  
Outstanding Range of Exercise prices, Upper Limit $ 20  
Outstanding, Number of shares 214,175  
Outstanding, Weighted Average Exercise Price $ 17.45  
Exercisable, Weighted Average Exercise Price $ 17.45  
Outstanding Remaining Contractual Life 4 years 7 months 6 days  
Exercisable, Number of shares 214,175  
Exercisable Remaining Contractual Life 4 years 7 months 6 days  
v3.23.1
Share-Based Compensation - Aggregated Information Regarding RSU and RSA Activity (Detail) - Restricted Stock Award Preferred Stock Unit And Restricted Stock Unit [Member]
 3 Months Ended
Apr. 29, 2023
$ / shares
shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]  
Beginning balance, Outstanding Restricted Stock Units and Restricted Stock Awards | shares 274,927
Granted, Restricted Stock Units and Restricted Stock Awards | shares 142,811
Vested, Restricted Stock Units and Restricted Stock Awards | shares (78,817)
Forfeited, Restricted Stock Units and Restricted Stock Awards | shares (4,677)
Ending balance, Outstanding Restricted Stock Units and Restricted Stock Awards | shares 334,244
Beginning balance, Weighted Average Grant Date Fair Value | $ / shares $ 12.82
Granted, Weighted Average Grant Date Fair Value | $ / shares 12.48
Vested, Weighted Average Grant Date Fair Value | $ / shares 11.85
Forfeited, Weighted Average Grant Date Fair Value | $ / shares 12.49
Ending balance, Weighted Average Grant Date Fair Value | $ / shares $ 12.9
v3.23.1
Income Taxes - Projected Effective Tax Rates (Detail)
 3 Months Ended
Apr. 29, 2023
Apr. 30, 2022
Income Tax Disclosure [Abstract]    
Effective tax rates for income from continuing operations 17.40% 12.40%
v3.23.1
Income Taxes - Additional Information (Detail) - USD ($)
 3 Months Ended
Apr. 29, 2023
Apr. 30, 2022
Income tax expense (benefit) $ 179,000 $ 60,000
Tax expenses benefits resulting from provisional adjustments 29,000 30,000
Effective income tax reconciliation tax expense due to revaluation of deferred tax assets $ 77,000 $ 38,000
v3.23.1
Segment Information - Net Sales and Segment Operating Profit (Loss) for Each Reporting Segment (Detail) - USD ($)
 3 Months Ended
Apr. 29, 2023
Apr. 30, 2022
Segment Reporting Information [Line Items]    
Revenue $ 35,419,000 $ 31,010,000
Corporate Expenses 3,126,000 2,560,000
Operating Income 1,461,000 764,000
Other Expense, Net 434,000 279,000
Income Before Income Taxes 1,027,000 485,000
Income Tax Provision 179,000 60,000
Net Income 848,000 425,000
PI [Member]    
Segment Reporting Information [Line Items]    
Revenue 25,095,000 21,724,000
T&M [Member]    
Segment Reporting Information [Line Items]    
Revenue 10,324,000 9,286,000
Operating Segments [Member]    
Segment Reporting Information [Line Items]    
Operating Income 4,587,000 3,324,000
Operating Segments [Member] | PI [Member]    
Segment Reporting Information [Line Items]    
Operating Income 2,515,000 1,413,000
Operating Segments [Member] | T&M [Member]    
Segment Reporting Information [Line Items]    
Operating Income 2,072,000 1,911,000
Corporate Expenses [Member]    
Segment Reporting Information [Line Items]    
Corporate Expenses $ 3,126,000 $ 2,560,000
v3.23.1
Fair Value - Schedule of Company's Long-Term Debt Including the Current Portion Not Reflected in Financial Statements at Fair Value (Detail) - USD ($)
$ in Thousands
Apr. 29, 2023
Jan. 31, 2023
Fair Value [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Long-Term debt and related current maturities $ 13,937 $ 14,310
Fair Value [Member] | Level 3 [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Long-Term debt and related current maturities 13,937 14,310
Carrying Value [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Long-Term debt and related current maturities $ 13,875 $ 14,250